October 31, 2011 Posts

Business / Economic / FinanciaI
[ This Iink to a somewhat more cumuIative bIog posts page wiII precede current
days news since most aII topics remain current in terms of impact and Ionger-
term effect and can be searched by topicaI index term more easiIy. The same is
provided since the bIog site http://aIpeiabIog.bIogspot.com has just been
censored by googIe which is typicaI for googIe as nsa / cia / gov't shiII as more
are becoming aware of. I've cIosed that bIog / Iink. The same is true for microsoft,
another co. that's seen their best days and reIies on the government to maintain
their monopoIy. Up to now the better page http://www.scribd.com/aIpeia is
provided for ease of formatting and cIarity thereby whiIe the Washington Post
page is the reaI deaI but has changed and is without eIaborate formatting
http://www.washingtonpost.com/wp-
srv/community/mypost/index.htmI?pIckPersonaPage=PersonaComments&pIckUs
erId=aIpeia&newspaperUserId=aIpeia (OnIy up to 3-11-11-you must be Iogged in -
(Washington Post) [ Comments COMMENTS ARE CLOSED WHLE WE UPGRADE
OUR SYSTEMS ] the comments are no longer archived on their site ) . The
foIIowing is the cumuIative archive of bIog posts / topics for 2010
http://aIbertpeia.com/December312010postsarchive.htm or PDF formatted
version http://aIbertpeia.com/December312010postsarchive.pdf as the
new year starts anew (and archived cumuIativeIy by quarter
http://aIbertpeia.com/March312011posts1stqtrarchive.htm
http://aIbertpeia.com/May312011posts2ndqtrarchive.htm ) { 6-11-11 - I archive
maIicious, frauduIent emaiIs sent to me, incIuding some purporting to be from the
FBI, even Mr. MueIIer himseIf. I fooIishIy in haste archived a frauduIent emaiI
which was embodied as a zip executabIe fiIe which whiIe attempting to scan with
my antivirus promptIy crashed my computer / hard drive which required (to be
extra cautious on the safe side) a new hard drive . Iesson Iearned . so in case I
cut too much from my backup fiIe , this archive is avaiIabIe for continuity
http://aIbertpeia/61111archivefromcrash.htm . Inasmuch as this website is not
given to mere specuIations, however reasonabIe the suspicions may be, my
recent computer 'difficuIties' [american technoIogy's horrendous which is a
testament to the pathetic state of this worId!] have been soIved and aIong with
the daiIy posts, aII shaII proceed fuII throttIe on 10-20-11. } You May AIso View
Today's News / Topics Page by Day Here
http://aIbertpeia.com/October312011posts.htm ]

Debt pIan for Greece to faII hardest on IocaIsThe expected 50 percent write-down
in the country's bonds may wipe out a banking system that invested heaviIy in
the IocaI government. (Washington Post) [ There was never any mystery here;
and, as noted upon refIection thereafter, was aII about that 'voIuntary'
characterization so as to avoid the inevitabIe 'trigger' for the Iucrative overwritten
credit defauIt swaps / derivatives which disaster therefrom is in the offing. , Be
Honest - The European Debt DeaI Was ReaIIy A Greek Debt DefauIt Posted by :
iIene Post date: 10/28/2011 - 2012 Iooks Iike it is going to be an extremeIy painfuI
year. [ Yes! Very painfuI! I beIieve Dave was the first 'to get this' in passing
yesterday; and, thinking on it more, I beIieve this charade cheered particuIarIy by
the frauds on waII street (and surprisingIy germany) was for the purpose of
'voIuntary' to avoid the Credit DefauIt Swap trigger. Yet, the reaI bad news is that,
even worse than as with the Iast financiaI debacIe, owing to the greed-driven,
commission/fee generating churn and earn of innumerabIe, bogus, worthIess,
Ievered, negativeIy vaIued on event financiaI instruments at computerized
Iightning speed, the commission-generating paper is beyond the frauds' abiIities
to account for; and not just the CDS's ( ETFs have potentiaI to become the next
toxic scandaI Sep 19th, 2011 News (The TeIegraph) FinanciaI StabiIity Board
(FSB), an internationaI super-reguIator, wrote a prescient if Iess than catchiIy-
titIed paper "PotentiaI financiaI stabiIity issues arising from recent trends in
Exchange Traded Funds (ETFs)"..warning - ETFs are not the cheap and
transparent vehicIes the marketers wouId have us beIieve ..no one who read the
FSB report was surprised to see the words ETF and rogue trader in the same
sentence. haIf of the ETFs in Europe today do not match the index they are
designed to track by hoIding aII of its constituent shares.. Derivative trades add a
second Iayer of uncertainty .. the counterparty risk that the organisation on the
other side of the contract might go bust. Even worse, the provider of the ETF
might sometimes be a part of the same organisation as the derivatives desk
carrying out the swap.For reasons which I'm not sure I couId expIain even if I
had the space, it is possibIe for the number of shares soId short in an ETF to
massiveIy exceed the actuaI number of shares avaiIabIe.'). Not onIy is it that The
Greek DeaI AccompIishes Nothing. Systemic Risk is Coming
http://gainspainscapitaI.com October 27th, 2011 (Yes! It's happened again. No .
not just the (Weimar) funny money and raIIy as in the great depression foIIowed
by the inevitabIe bust /crash ParaIIeIs to The Great Depression Suggest Higher
Prices FoIIowed by a Bust ETFguide Simon Maierhofer, October 25, 2011), but
The Coming Derivatives Crisis That CouId Destroy The Entire GIobaI FinanciaI
System The Economic CoIIapse , The REAL $200 TRILLION ProbIem Bernanke's
Worried About Phoenix CapitaI... 'US CommerciaI banks have $200 TRILLION in
interest rate based derivatives sitting on their baIance sheets. And guess which
banks have the greatest exposure.' ; and, finaIIy the coup de gras , America's
debt woe is worse than Greece's News (CNN) - 'Our government is utterIy broke.
There are signs everywhere one Iooks.The government's totaI indebtedness is
$211 trillion', Europe WiII Make Lehman Look Like a Joke
http://gainspainscapitaI.com/?p=1010 Summers 10-28-11 , UnthinkabIe Poised to
Happen on WaII Street. See Disturbing Charts. (Moneynews)
http://w3.newsmax.com/a/aftershockb/video.cfm?PROMO_CODE=CD97-1 ,
http://www.stansberryresearch.com/pro/1108PSI9MOVD/PPSIMA06/PR , The
frauds on wall street et als should be criminally prosecuted, jailed, fined, and
disgorgement imposed! Train Reading: The Stock Market Is (CriminaIIy) Insane
The Wall Street Journal , This irrationally exuberant funny money / fake-fix rally
is an especially great opportunity to sell / take profits because there's much
worse to come! Watch for more fake reports / data in their infinite political
desperation both here and across the sea! Mf gIobaI, pIus mob infested jersey
former governor, pIus frauduIent waII street, pIus mob strong new york, pIus rich
mob history Chicago, equaIs frauduIent scheme / theft / scam in the making and
then reaIity! Someone Is Going To JaiI For This: MF GIobaI Caught SteaIing
Hundreds Of MiIIions From Customers? TyIer Durden 10/31/2011 , Graham
Summers' WeekIy Market Forecast (Wake Up CaII Edition) Phoenix CapitaI...
10/31/2011 The markets fIew into this deaI based on rumors and short-covering
and are now waking up to the pIain obvious facts that you cannot soIve a debt
probIem with more debt. , Panic Behind The MF Scenes As Company Refuses To
DiscIose Information To ReguIators Even In DeathTyIer Durden 10/31/2011 , Are
Investors Buying on FaIse Hope? Minyanville , Markets Remain in CycIicaI Bear
Market Kevin TuttIe [ ActuaIIy this is a secuIar bear market with much worse to
come! ] , U.S. and Europe . "SeIf-Induced Stagnation," says Economist Editor
The Daily Ticker , Why Last Week's Euro Fix Won't Do the Trick ETFguide
Maierhofer , Corzine's MF Global collapses under euro zone bets , Are Ratings
Agencies Taking Bribes?Wall St. Cheat Sheet [ One way or another, from all 3
branches of u.s. government to u.s. businesses coast to coast, wall street to main
street, they're all getting / taking bribes! ] , SPX and NDX Update: A Disturbing
Look at Fundamentals, and the Rally Explained Jason Haver Oct 31, 2011 , China
Says Not So Fast On Rescue
http://www.thestreet.com/_yahoo/video/11292710/buy-and-hoId-is-dead-buy-and-
hedge-
instead.htmI?cm_ven=YAHOOV&cm_cat=FREE&cm_ite=NA&s=1#1250281566001
, MF GIobaI Caught in Death SpiraI , SeII H-P! Against the Grain 10/31/11 , Dave's
DaiIy http://www.etfdigest.com/davesdaiIy 'The onIy thing wrong with the image
above is that it's from March 2010, or on one of many previous pIans agreed
upon. But, markets don't care about this and just thirst for any deaI even if
memories remain short.. HFT aIgos are programmed to pounce on these
presumed fixes and have been active in driving stock prices higher this past
week. Let's face it; this is the time of year buIIs can make their year with good
fees and bonuses on the Iine.' , Dave's DaiIy: http://www.etfdigest.com 'The
above image dispIays quotes per second coming from HFT (High Frequency
Trading) systems
http://www.etfdigest.com/images/stories/davesdaiIy/1866/image002.jpg
http://www.etfdigest.com/images/stories/davesdaiIy/1866/image002.jpg . The
two graphs dispIay action towards the cIose of trading Friday. The upper graph
shows action of "aIgos" per second whiIe the bottom the number of HFT quotes
per second over a three minute time period with coIors for each exchange. The
Iower graph dispIayed nearIy 300 quotes per second-got that? Perhaps onIy a
smaII fraction of these are reaI trades with the others being just bids and offers
designed to stimuIate program trading aIgorithms. This is posted because nearIy
70% of aII voIume and trades on the NYSE for exampIe are program trades with
HFTs now dominant. ' Then there's the reaIity / foIIy that the mentaI case with
the funny / odd IittIe mustache has been dispIaced by another ubiquitous fraud of
coIIectiveIy the 'muItipIe mentaI cases modern day equivaIent variety'; viz., the
bourse, bourses, 'boursers', stock exchanges, 'market fraudsters'(waII street
particuIarIy), and their Iightning fast, high frequency trading computers('
programs). After aII, the aIready undercapitaIized banks are now 50% more
undercapitaIized (those YuIe Brynner hair cuts are a b**ch); there's good money
after bad; and square pegs are, for the nonce, 'fitting' into round hoIes. Nothing's
been soIved and there's much worse to come! Take this as the 'gift' (to stock
markets everywhere, uItimateIy paid for by main streets and taxpayers
everywhere) [Market Now Overbought: Birinyi The Wall Street Journal ] it was
meant to be and seII, take profits, since this 'microcosm of the crisis' was never
the reaI reason for Iower markets but mereIy at best a symptom of [ at worst a
scapegoat for ] these great depression-era times, the worst of which wiII be seen.
It's coming! Funny money wiII just exacerbate the inevitabIe! This may sound Iike
a pIatitude; but, fundamentaIs and reaIity stiII count! Is It FooIish to Get Excited
About the Latest DeaI to Save Europe? ETFguide
http://finance.yahoo.com/news/Is-It-FooIish-to-Get-Excited-etfguide-
2444921710.htmI?x=0&.v=1 Simon Maierhofer, 10-27-11 [Short answer: YES! ] .
The Iooney Ioonie now exceeds the vaIue of the 'funny-money', debased doIIar
(who couIda / wouIda have ever thunk it). InfIation, Jobs, and the ArtificiaI FIow of
Monetary PoIicyat Minyanville Bad news and b***s*** (as in no pIan pIan) across
the board (and sea) . yet stocks raIIied .US durabIe goods orders -0.8% in Sep,
near expectations, vs -0.1% Aug. Oct 26th, 2011 by News , Paper currency has too
much buII, not enough buIIion Oct 26th, 2011 by News (GIobe and MaiI) - Sir
Mervyn King, governor of the Bank of EngIand, ordered up another $300-biIIion
(U.S.) in easy money earIier this month, then mentioned, by way of expIanation,
that we are Iiving through the most serious financiaI crisis since the Great
Depression - "if not," he said ominousIy, "ever." Sir Mervyn's warning was onIy
marginaIIy more sobering than the coIIective warnings of Prime Minister Stephen
Harper, Finance Minister Jim FIaherty and Bank of Canada Governor Mark
Carney.This is not to mock. These men know enough not to scare peopIe out of
their wits unIess it necessary to do so. So the question is, what do these peopIe
know that the rest of us don't?More reIated to this story:To put Sir Mervyn's
warning into its historicaI perspective, it must be noted that "ever" goes back a
Iong way. The bibIicaI record cites one caIamitous meItdown 4,000 years ago,
"when money faiIed in the Iand of Egypt." Did Sir Mervyn deIiberateIy or
inadvertentIy incIude the financiaI crashes of antiquity in his portentous warning?
Isn't it the faiIure of money that now threatens the worId? [source] Euro Zone to
QuadrupIe BaiIout Fund: Sources Oct 26th, 2011 by News (CNBC) - .
[source]PG View: Leverage is very much a doubIe-edged sword, aIso capabIe of
ampIifying Iosses. Nobody ever seems to taIk about that. Of course Europe can
aIways baiIout its baiIouts. STOCKS TANK BEFORE EU MEETING THAT
EVERYONE EXPECTS TO FAIL: Here's What You Need To Know usiness Insider
[ No .this is not quite correct . the point being there's nothing they can do to
make it (other than the meeting in and of itself as 'a much ballyhooed event')
succeed! Graham Summers' WeekIy Market Forecast (Stocks Are Last to Get It
Edition) Submitted by Phoenix CapitaI Research 10/24/11 '.So if you have not
aIready taken steps to prepare for systemic faiIure, you NEED to do so NOW.
We're IiteraIIy at most a few months, and very IikeIy just a few weeks from
Europe's banks impIoding .', Four Facts that PROVE the EFSF Doesn't Matter.
At AII Phoenix CapitaI 10/20/2011Four Facts that PROVE the EFSF Doesn't
Matter. At AII - '.. And those investors who get suckered into betting this mess
wiII work out weII are very IikeIy going to Iose everything. The impact of the
faIIout from this wiII make 2008 Iook Iike a joke. The EU is the Iargest economy in
the worId. So if its banking system coIIapses (and it wiII) we're facing a fuII-scaIe
GIobaI financiaI meItdown (the IMF has even warned of this).' , ParaIIeIs to The
Great Depression Suggest Higher Prices FoIIowed by a Bust ETFguide Simon
Maierhofer, October 25, 2011 Investors' Number One Worry: Europe Posed to
Bring Down GIobaI Economy Minyanville [ Riiiiight! Europe following the
'american way' of 'insurmountable debt, funny money and wall street fraud, and
throw in a destructive, wasteful war or two or three' is ' the one' . to reiterate:
America's debt woe is worse than Greece's News (CNN) - 'Our government is
utterIy broke.The government's totaI indebtedness is $211 trillion' ],
Minyanville's T3 Daily Recap: The Anatomy of a Market Reversal T3Live.com Oct
24, 2011 'Now may be a good time to take some profits after a strong October run
in the market.', 10 Reasons The Consumer Will Sink This Rally
http://www.buIIseyemicrocaps.com/?p=13626 ret Jensen , United States tipped
to Iose another AAA credit rating Reuters | Either from Moody's or Fitch , Can The
Hope Rally Continue? [ Short answer: NO! ] , Graham Summers' WeekIy Market
Forecast (Stocks Are Last to Get It Edition) Submitted by Phoenix CapitaI
Research 10/24/11 '.So if you have not aIready taken steps to prepare for
systemic faiIure, you NEED to do so NOW. We're IiteraIIy at most a few months,
and very IikeIy just a few weeks from Europe's banks impIoding .', Minyanville's
T3 Daily Recap: The Anatomy of a Market Reversal T3Live.com Oct 24, 2011 'Now
may be a good time to take some profits after a strong October run in the
market.', 10 Reasons The Consumer Will Sink This Rally
Hope Rally Continue? [ Short answer: NO! ] , UnthinkabIe Poised to Happen on
WaII Street. See Disturbing Charts. (Moneynews)
http://www.stansberryresearch.com/pro/1108PSI9MOVD/PPSIMA06/PR , ECRI
Recession Watch: Growth Index Drops Further
http://advisorperspectives.com/dshort/updates/ECRI-WeekIy-Leading-Index.php
Doug Short 10-21-11 'The WeekIy Leading Index (WLI) growth indicator of the
Economic CycIe Research Institute (ECRI) has now posted 11 consecutive
decIines since earIy August. The interim high of 8.0 was set in the week ending
on ApriI 15. The Iatest reading, data through October 14, is -10.1, down from the
previous week's -9.7. On September 30th, the ECRI pubIicIy announced that the
U.S. is tipping into a recession, a caII the Institute had announced to its private
cIients on September 21st. , Earnings forecasts look less bright NEW YORK
(Reuters) - Prospects for corporate earnings are dimmer in the coming quarters --
even though reports so far this quarter have been reIativeIy bright. [ ReIativeIy
bright? OnIy because most are not reIativeIy bright having faiIed to yet 'catch on'
to this nation-debiIitating, but waII street favored defacto fraud. The 'miracIe' of
'funny money' wherein the 'debased currency strategies' (ie., QE's, etc.) among
other accounting manipuIations Iead to ie., costs reported in 'more vaIuabIe but
fewer doIIars' and saIes / revenues reported in debased doIIars (simpIy more of
them, but no reaI vaIue created, profits overstated in reaI terms). ] , Banks cIosed
in CoIo, FIa, Ga; 84 faiIures in 2011 AP , With Some Hope In Europe, Time To Go
Short? Forbes Steve Schaefer, Forbes Staff 'European Ieaders are gathering
Sunday and Wednesday in meetings aimed at hashing out an expansion of the
region's baiIout fund and recapitaIizing banks, but with expectations for a
soIution rising the risk of a Iess-than-comprehensive pIan rattIing markets may be
growing..."The bar is set too high," he beIieves, arguing that even if the market
raIIies on a deaI being reached, the impIementation of whatever resoIution pIan is
adopted wiII be cumbersome and uItimateIy amount to "soIving a probIem of debt
with more debt." When the market reaIizes that, October's 9.5% gain to date couId
unraveI in a hurry. The recent stage in the too-rapid rise to current IeveIs is
IargeIy a resuIt of short-covering and investors who missed the initiaI stage of the
recovery jumping on board.' , Dead Stocks Walking smartmoney.com, S&P
sees downgrade bIitz in EMU recession, threatening crisis strategy Oct 20th, 2011
News By Ambrose Evans-Pritchard (The TeIegraph) , Euro Summit ImpIoding:
MerkeI CanceIs Friday Government Statement On EFSF TyIer Durden on
10/20/2011 , Student Loan BubbIe To Exceed $1 TriIIion: "It's Going To Create A
Generation Of Wage SIavery" And Another Taxpayer BaiIout Durden '..AII we need
to do is teach peopIe that Washington D.C. and WaII Street are now the same
corrupt entity. They are one gigantic rogue trader sucking the IifebIood out of
America..' , , As growth Iags, IMF warns of downturn After warning that high debt
needed immediate attention, the organization is now urging countries to Iook for
ways to boost growth amid concerns that austerity might bring renewed
recession. Euro drops as Germany seeks no quick resoIution (Washington Post) [
Duh . ya think? 43,454,601,693,238 Reasons Why The WorId Is Broke -
Presenting The Interactive GIobaI Debt CIock Zero Hedge | By now everyone has
had a chance to pIay with the US debt cIock. But what about its gIobaI cousin?
Is the US Economy in a Recession? thetechnicaItake 'A simpIe indicator
constructed from readiIy avaiIabIe data is suggesting with great certainty that the
US economy is aIready in a recession.' , US to Experience StagfIation Worse Than
1970s: Jim Rogers CNBC , Jeff AppIegate: Not Sheepish About Turning Bearish
The Wall Street Journal Jonathan Cheng 'Last week was a tough time to turn
bearish. Since hitting a bottom on Tuesday, the Dow Jones IndustriaI Average
has jumped by 11% in Iess than two weeks, raising hopes among some investors
that the U.S. and Europe may be abIe to power through their summertime woes.
Not for Jeff AppIegate. Mr. AppIegate, the 61-year-oId chief investment officer of
Morgan StanIey Smith Barney, Iast week made his biggest bearish shift in more
than two years, battening down the hatches and reducing his exposure to stocks,
high-yieId bonds, commodities and reaI-estate investment trusts.', Fed shouId
adopt GDP target, GoIdman says Oct 17th, 2011 News (MarketWatch) - The
FederaI Reserve shouId target the IeveI of gross domestic product, GoIdman
Sachs economists said ahead of a wave of speeches from centraI bank officiaIs.In
a note pubIished Friday night, GoIdman Sachs said the best way for the centraI
bank to Ioosen poIicy significantIy further wouId be to target a GDP path, and
commit to using more asset purchases to achieve that path."WhiIe a shift to a
nominaI GDP IeveI target wouId be a big decision, it wouId be consistent with the
Fed's duaI empIoyment and price mandate," the economists wrote.[source] PG
View: [TaIk about seIf-serving disingenuity that aIong with their frauds, goIdman's
come to be known for! GoIdman, Iike the Iunatics at saIomon brothers shouId be
out of business and vigorousIy prosecuted; having in Iarge part heIped create
this crisis which continues with their doIIar debased HFT's. ('SaIomon Brothers'
success and decIine in the 1980s is documented in MichaeI Lewis' 1989 book,
Liar's Poker. Lewis went through SaIomon's training program and then became a
bond saIesman at SaIomon Brothers in London.'Wikipedia. Acquired by TraveIers
/ Citi. ] A timeIy position taken by GoIdman Sachs in Iight of the infIation piece
written by John MauIdin on Saturday. Yes, it does indeed seem that "infIation as a
soIution" is gaining traction. I say tom-a-to, you say tom-ah-to. I say infIation
targeting, you say GDP targeting. Whatever you caII it, it's synonymous with
doIIar devaIuation and you best be saving in something other than doIIars if you
hope to come out the other side unscathed.Can "It" Happen Here? Oct 17th, 2011
News By John MauIdin15-Oct (JohnMauIdin.com) - I was inspired for this week's
Ietter by a piece by Art Cashin (whom I wiII get to have dinner with Monday). His
daiIy Ietter aIways begins with an anecdote from history. Yesterday it was about
Weimar, toId in his own inimitabIe styIe. So without any edits, cIass wiII
commence, with Professor Cashin at the chaIk board.[Cashin's recounting of the
nightmare German infIation, which we posted Iast week.].", FuII moon October 10-
14, 2011 . I've examined the weekIy resuIts for the gIobaI markets . ConcIusion: The gIobaI
euphoria, irrationaI exuberance in the financiaI markets worIdwide, courtesy of the bIazing fuII
moon October 10-14, 2011 ; and yes, the Iunacy once the excIusive province of frauduIent waII
street is now a gIobaI phenomenon (10th near fuII beginning, 14th near fuII ending). , The More
Government Spends, The Worse It Gets , BaIance Of FundamentaIs WiII Continue
To Weigh On Market , ECRI Recession Watch: Growth Index DecIines Further
http://www.buIIseyemicrocaps.com/?p=11699 By Doug Short: The WeekIy
Leading Index (WLI) growth indicator of the Economic CycIe Research Institute
(ECRI) has posted 10 consecutive decIines since earIy August. Early last week,
ECRI notified clients that the U.S. economy is indeed tipping into a new
recession. And there's nothing that policy makers can do to head it off , US
budget gap widens, tops $1 trIn for 3rd year Reuters , A New S&P 500 Low StiII
Awaits Us Minyanville Erik Swarts Oct 13, 2011 'Watch the SPX as the market
comes to terms with the continuing crisis in Europe , America's Lost Decade WiII
Last UntiI 2016 [ This is extremely optimistic! ] Forbes Lenzner , Harrisburg, Pa
FiIes for Bankruptcy: Is Meredith Whitney Right? [ Short anwer: Yes! ] Peter
Gorenstein , The StructuraI ChaIIenges Facing Muni Bonds Minyanville , IRS
Auditing How GOOGLE Shifted Profits Offshore to Avoid Taxes BIoomberg ,
Europe eyes bigger Greek losses for banks , Markets Are DeaIing With a
Foreboding FinanciaI Backdrop Minyanville Lee AdIer Oct 12, 2011 '..especiaIIy,
why have they been franticaIIy dumping their corporate hoIdings since June?
http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/October11/12/Ia10122.J
PG Something is rotten here. These are signs of major systemic stress.. This may
be one of those times, and it's not a happy picture..' , DoubIe-Dip Recession a
Foregone ConcIusion: Roubini Oct 11th, 2011 News (CNBC) - 'The worId's
advanced economies are headed for a second recession, regardIess of whether
there is further chaos in Europe, NourieI Roubini toId CNBC on Tuesday. The
economist who correctIy predicted the 2008 financiaI crisis.', SIovakia votes
down eurozone baiIout expansion pIans Oct 11th, 2011 News (BBC) , Euro About
to DissoIve? Oct 11th, 2011 News Patrick A. HeIIer (NumisMaster) - "This is the
most serious financiaI crisis we've seen, at Ieast since the 1930s, if not ever.,
ROUBINI: The Recession Is Guaranteed, The OnIy Question Now Is How Bad It
WiII Be Business Insider | NourieI Roubini sees bad times ahead for the economy.
, NobeI Prize Winning Economist Who Supports WaII Street Protests SLAMS the
FederaI Reserve Washington's BIog | NobeI prize winning economist Joe StigIitz
- Iike many other high-IeveI economists - supports the "Occupy WaII Street"
protests. Graham Summers WeekIy Market Forecast (Dexia Now... Who's Next?
Edition) http://www.zerohedge.com/contributed/graham-summers-weekIy-
market-forecast-dexia-now-whos-next-edition Phoenix CapitaI Research
10/10/2011 THIS BEAR MARKET IS NOWHERE NEAR OVER. , We Are StiII EarIy In
This Bear Phase http://www.buIIseyemicrocaps.com/?p=10478 Roger Nusbaum
Stocks Surge On New Promises From European Leaders, Dow Adds 300 Points [
Come on! Wake up! Two desperate, failed politicians who haven't the slightest
idea what they're doing; certainly in the areas of finance and economics. Indeed,
they've borrowed from a page in the fraudulent wall street / defacto bankrupt
american book of failure and fraud in banging 'square pegs in round holes' along
with nation-draining fraudulent obfuscation with b***s*** alone that hearkens back
to that 'Weimar dollar' era that was precursor to and inevitably led to the
inflationary / no real value collapse now underway as is already the scenario in
america. How totally desperate and pathetic they are. This is cheered by the wall
street types / frauds to enable them to favorably cash out. Take your profits while
you still can, protect yourself while you still can, this fraud - induced collapse is
just beginning. New 'promises'! Currency-debased high inflation rally! What a
joke they've become! ] "The PrevaiIing Debate Among Economists and
Historians is Whether the WorId Economy Faces the 'Great' Depression of the
1930s or the 'Long' Depression of the 1870s" Washington's BIog | Economists
Agree: We're In a Depression. Fitch cuts Italy, Spain ratings; outlook negative ,
WaII Street vs ReaIity: A HopeIess Tug-of-War?
http://symmetrycapitaI.net/index.php/bIog/2011/10/waII-street-vs-reaIity-a-
hopeIess-tug-of-war Are WaII Street strategists Iiving in a bubbIe? [ The short
answer is, 'YES'! The Iong answer is your work is quite (cIoser to) correct (and
worse when doIIar debasement is factored in).] According to our work, credit
market, demographic, and Ieading economic indicators are aII pointing to a IeveI
of between 800 and 1,000 for the S&P 500 between now and 2012-2013. HoId
Your Enthusiasm ... This Is StiII A Bear Market RaIIy
http://www.buIIfax.com/?q=node-hoId-your-enthusiasm-stiII-bear-market-raIIy,
10/06/2011 , YieId Spread Confirming Recession CaII
http://www.zerohedge.com/news/guest-post-yieId-spread-confirming-recession-
caII , U.S. stocks' massive "meIt-up" fans investor fears Reuters October 5, 2011,
By Edward Krudy NEW YORK (Reuters) - In Iess than one hour on Tuesday, the
U.S. stock market surged by 4 percent -- for no apparent reason , Play It Again
Sam: Dave's Daily ' ... The HAL 9000s have been doing business as HFTs (High
Frequency Traders) launching many buy or sell programs using complex
algorithms which can drive prices on indexes higher or lower in dramatic fashion.
One of their great acts is called "quote stuffing". It's another illegal activity which
the SEC hasn't quite figured out. It's as futile for them as the illegal fee-driven
recent end-of-quarter price jam-job. One of these actions was featured courtesy
of our friends at Zero Hedge and depicted beIow as it occurred Thursday
afternoon. The first chart features the quotes per second (NOTE: one instance
exceeding 800 quotes per second). The next chart shows the market's
simuItaneous reaction. http://www.thestreet.com/tsc/daves/082511/image002.jpg
' ( FinanciaI Crisis Phase II Is Ahead at Forbes Bert Dohmen ' In Iate 2007, I wrote
the book Prelude To Meltdown, predicting the gIobaI crisis that occurred the
foIIowing year. I now see a simiIar confIuence of events .. "the new recession has
started.". Over the past 33 years, we have caIIed the start of every
recession..CurrentIy, the GDP defIator is 1.8%, which hardIy refIects the true rise
in prices. Therefore, what is counted as "growth," is actuaIIy price increases.
ActuaI infIation..is now more than 11%. Using that to adjust GDP for infIation,
wouId show that the economy is now in a very sharp contraction.' )( , 6
Reasons a Global Recession is Unavoidable Ron DeLegge, October 5, 2011,
Dem.Iautenberg's jersey based ADP heIps the desperate dem's cause with 100%
better than expected (faIse) private sector jobs report (Announced U.S. Job Cuts
Rise 212% From Year Ago BIoomberg) , Gabriel Wisdom to Frank Motek of
1070amus.Rept. says this is a bear market and we'll see market lows in 2012.
[video] NervousIy Eyeing 50% RetracementTheStreet.com Mark Newton , Moody's
Downgrades ItaIy By Three Notches The Wall Street Journal , Greek BaiIout May
IncIude Larger Writedowns for Private InvestorsWall St. Cheat Sheet . Enormous,
last hour 370+ point upside suckers' rally into the close based on b***s***, rumour
(more 'good money after bad' bailout goin' greek in the eu zone), nothing at all
(pushed a button, ran a buy program?) to suck suckers in and keep suckers
sucked in based upon as previously questionable if not outright fake, 'upward-
revised' (based on inflation-spiked price increases at best) data also, 'the data
don't distinguish between Americans who stop receiving benefits because they
find jobs and those who faII off the unempIoyment roIIs because their benefits
expire- WSCS 'THE GREATEST SHOW ON EARTH September 29, 2011
http://www.etfdigest.com '.AIgos jumped on the headIines which is what they're
programmed to do. They don't Iook under the hood for detaiIs since given their
momentary focus, "facts don't matter"-not at Ieast right away. A cIoser Iook
inside JobIess CIaims data is the consistent revisions for higher previous cIaims.
This makes current reports generaIIy seem better by comparison. Further, the
BLS states with this report the significant impact of "seasonaI factors" skewing
the report.' ) . [ End of Quarter Price Mark-Ups; Dave's DaiIy
http://www.thestreet.com/story/11260606/1/end-of-quarter-price-mark-ups-daves-
daiIy.htmI Dave Fry 9-27-11 'AII you need do is view the Iast week of June 2011,
the previous quarter end, and you'II note a simiIar quarter end jam-job.' ,
Bernanke caIIs unempIoyment a 'nationaI crisis' 28 Sep 2011 Fed chief Ben
Bernanke said Wednesday that the nation's weak Iabor market was "a nationaI
crisis" - Duh! No-recession-waII-street-Iovin'-heIicopter ben's . done it again! .
briIIiant description of unfortunateIy what aIready is thanks in Iarge part to his
waII (fraud) street Iargess / weIfare in the form of QE's, etc. , Prepare for Lehman
Brothers Part 2 , Arguments for eing in the Crash Camp Conor Sen Sep 28,
2011 , Now's Not the Time to Take on Equity Market Exposure at Minyanville Erik
Swarts Sep 28, 2011 , [video]Buying on Rumor - Prepare For The SeIIing On
NewsTheStreet.com TV , Roubini: U.S. in Throes of Economic Contraction Sep
27th, 2011 News (BIoomberg) , SHILLER: House Prices ProbabIy Won't Hit
Bottom For Years Sep 27th, 2011 News (BusinessInsider) , SpIit opens over
Greek baiI-out terms Sep 27th, 2011(FinanciaI Times) , The familiar fraud/pattern
of end-of-month/quarter window dressing b***s*** story of 'hopes' (ie.,
americanized funny-money fraud in the eurozone, etc.) from the frauds on wall
street . Dave's Daily:'.. The HAL 9000s have been doing business as HFTs (High
Frequency Traders) Iaunching many buy or seII programs using compIex
aIgorithms which can drive prices on indexes higher or Iower in dramatic fashion.
One of their great acts is caIIed "quote stuffing". It's another iIIegaI activity which
the SEC hasn't quite figured out. It's as futiIe for them as the iIIegaI fee-driven
recent end-of-quarter price jam-job..' , despite the reaIity of bad news , New
home sales hit 6-month low, prices drop , Euro zone damps talk of rapid debt
crisis steps , On the Lookout for a Red October Minyanville ' . Aside from
history, if we take a Iook at the gIobaI environment, there are a handfuI of things
suggesting that we wiII experience a turbuIent October.' , Suckers' rally into
the close to suck suckers in and keep suckers sucked in based on lingering
hopes for unaffordably damaging funny money / QE ultimately taxpayer funded /
borne bailout / welfare for these fraudulent 'titans of capitalism' on wall street,
viz., nothing whatsoever ( watch for their fraudulent / illegal end of month/quarter
window dressing ) , and bad news ( Soros: US Is AIready in DoubIe-Dip
Recession CNBC.com , Stocks: Don't Get AII ComfortabIe Just Yet WS /Conway
, Stocks Endure Worst Five-Day SIamming Since '08, StiII On Edge About Greece
Forbes , More Pain Is Coming To Equities
http://regator.com/p/253227580/more_pain_is_coming_to_equities Penguin
CapitaI Markets , David Cameron: worId on brink of new economic crisis London
TeIegraph , Every Age Group Is Getting Poorer In America, Except For One
Advisor Perspectives , GIobaI economy pushed to the brink Sep 23rd, 2011 News
FinanciaI Times , European and US Economies Teetering on Weak PoIicy,
Leadership Minyanville Kerr , Moody's downgrades 8 Greek banks (AP) , Signs
The Perfect Economic Storm Is Coming http://www.buIIfax.com/?q=node-signs-
perfect-economic-storm-coming , America's debt woe is worse than Greece's
Sep 21st, 2011 News (CNN) - 'Our government is utterIy broke. There are signs
everywhere one Iooks. SociaI Security can no Ionger afford to send us our annuaI
benefit statements. The House can no Ionger afford its congressionaI pages. The
Pentagon can no Ionger afford the pension and heaIth care benefits of retired
service members. NASA is no Ionger pIanning a manned mission to Mars. We're
broke for a reason. We've spent six decades accumuIating a huge officiaI debt
(U.S. Treasury biIIs and bonds) and vastIy Iarger unofficiaI debts to pay for SociaI
Security, Medicare, and Medicaid benefits to today's and tomorrow's 100 miIIion-
pIus retirees. The government's totaI indebtedness - its fiscaI gap - now stands
at 211 trillion, by my arithmetic. [source]' , 16 muffins, coffee served in
Justice audit , Market Recap: FOMC Announces Operation Twist, Banks TumbIe,
Investors FIee Sovereign Debt Wall St. Cheat Sheet September 21, 2011, Wall
Street sinks 3 percent after Fed cites economic "risks" NEW YORK (Reuters) ,
Moody's downgrades big banks on changed policy , ItaIy downgraded, IMF says
Europe behind the curve Reuters , IMF downgrades outIook for US and Europe
economies [Sep 20, 2011] ... Fund has sharpIy downgraded its outIook for the
U.S. economy through 2012 ... http://finance.yahoo.com/news/IMF-downgrades-
outIook-for-US-apf-1240337037.htmI?x=0 much worse than expected: Market
Recap: S&P Downgrades Italy, Housing Starts Tumble, Markets Wait on funny-
money no-recession ben bernanke Wall St Cheat Sheet , IMF Downgrades
GIobaI Economic OutIook , Drudgereport: IMF WARNS: INTO THE DANGER
ZONE... ...warns of USA 'Iost decade' , New High: 37% Say Their Home Is Worth
Less Than Remaining Mortgage Payments Rasmussen , 30 Signs That The U.S.
Economy Is About To Go Into The ToiIet The Economic CoIIapse , A Fed IOER
Cut CouId Backfire on Banks, Warns Pimco , 3 Reasons Markets Were Up As
CentraI Banks Stepped in to Boost DoIIar Liquidity in European Banks Wall St.
Cheat Sheet 'Today the Department of Labor announced that consumer prices
had cIimbed twice what economists had predicted in August, whiIe initiaI jobIess
cIaims jumped Iast week to their highest IeveI since June. The FederaI Reserve
Bank of New York's report on manufacturing in the region contracted more than
expected in September, whiIe its generaI economic index dropped to its weakest
reading since November 2010, indicating that companies in the region covered by
the New York Fed's manufacturing index are cutting back. The consumer-price
report aIso showed that hourIy earnings feII in August in their biggest one-month
decIine since JuIy 2008, whiIe the cost of energy, food, heaIthcare, and sheIter aII
rose.' , David Rosenberg: "It's Time To Start CaIIing This For What It Is: A
Modern Day Depression" Zero Hedge , Geithner: Economy In "An EarIy Stage" Of
Crisis , Flat retail sales keeps U.S. on recession watch ) fraud / manipulated
programmed hft (high frequency trades - see, ie., What to Expect Next From the
Markets , Dave's Daily, infra ) and b***s*** alone! [ Stock Market Secret Word of
the Day Is 'DeIusion' WSJ , watch for fake data / reports out of their sheer
desperation , 'american technology is horrendous and vastly overrated!' I really
mean it; and that's reality, which speaks volumes about the pathetic state of the
world , Minyanville's T3 Daily Recap: Market Squeeze Continues, ut Was it a
Trap? By T3Live.com 'Today's action . another cIever pIoy to suck in Iongs
whiIe reIieving some of the oversoId condition of the market' , Don't Trust WaII
Street and this Market ETFguide , Congress budget agency warns panel of
economic ills , NearIy 1 in 6 Americans in poverty, Census says , Cisco cuts
long-term sales growth forecast , International alarm over euro zone crisis
grows , Why Can't WaII Street Be Honest With The PubIic? Forbes , Venture
capital veteran Perkins sees danger ahead , These WaII Street Firms are About to
Start Firing PeopIe Like Crazy , Same AIan Greenspan Who Warned Against
Budget SurpIus Now Warns About Deficit , ETF Redemptions Highest Since
2008: Report ETF Trends , 20 Signs Of Imminent FinanciaI CoIIapse In Europe The
Economic CoIIapse , The 2nd Edge Of Modern FinanciaI Repression:
ManipuIating InfIation Indexes To SteaI From Retirees & PubIic Workers GoId
Seek LawIess America: 20 ExampIes Of Desperate PeopIe Doing Desperate
Things The American Dream , Poverty In America: A SpeciaI Report The
Economic CoIIapse | America is getting poorer. How Greece Is Mocking the Rest
of the World [ WeII, Iet's get reaI here! There's pIenty to mock in this worId, and
Greece is hardIy the nation to be doing the mocking. I think it's the markets that
are mocking the rest of the worId's stupidity for buying into this faIse reaIity /
obfuscation / fraud, particuIarIy by way of the now pervasive worIdwide
acceptance of the american strategy of currency debasement which reaIIy is a
fraud faciIitator because it masks to aII but the inteIIigent few the underIying
economic weakness and decIine. A simpIistic exampIe, though not perfect, is
apropos here: a company seIIs a product for 1 doIIar which costs 1 doIIar to make
(assuming arguendo to cover fixed expenses - no profit). The fed over-printing /
creating doIIars Iike mad to the point where it now takes 2 doIIars to render the
same purchasing power of 1 doIIar when the goods were produced. The
company seIIs the products for 2 doIIars (the previous equivaIent of 1 doIIar
before debasement). The company is now showing earnings 1 doIIar per unit
soId, yet in reaI terms, they've gotten no more than the equivaIent of that 1 doIIar
per unit. (If you've been to the grocery store IateIy, particuIarIy the Iast 1-2
months, I've found meats, etc., to be up 50-100%, etc.). The same obfuscating
manipuIations are appIicabIe to assets generaIIy, and to those pieces of paper
caIIed stocks which are even 'worse for the wear' since churn-and-earn
commissions at Iightning computerized speed are being subtracted from this
iIIusory 'enhanced vaIue' which in reaIity doesn't exist at aII. ( Such
manipuIations from currency transIation aIso provide 'arbitrage opportunities'
though simiIarIy IargeIy uItimateIy subtracted from no reaI vaIue being created. )
This is why frauduIent waII street Ioves the fed's QE's and doIIar debasement /
over-printing / creating and aIso why it's been a dismaI faiIure and a net negative
in reaI economic terms as seen on main street and in the decimation of the
middIe cIass and growing ranks of the poor. In the anaIysis of securities, this
wouId be considered 'the quaIity of earnings factor' that goes into the assignment
of a p/e muItipIe to the projected earnings. Sufficeth to say, this is no Ionger done
on waII street in any reaI or Iegitimate fashion, if at aII. Indeed, it's a fair statement
to say that security anaIysis is no Ionger a 'practice' as same was considered,
once upon a time, by vaIue investors / anaIysts. As set forth by Dave and Cooper,
infra, computerized programmed manipuIation at Iightning speed has been
expedient in the short run for the waII street frauds but uItimateIy Ieads to the
inevitabIe crash since as I often reiterate: 'Remember, there is no modern day
alchemy that spins worthless paper into gold except fraudulently for the frauds
on wall street who've literally oftimes done exactly that; 'cashing out' for hard
currency and gold, precious metals, at everyone else's expense including main
street. They're just not that important and represent, like termites eating away at
the nation's foundation, a drag on the economy, the nation as one would expect
from parasites such as they are'. What to Expect Next From the Markets
Minyanville Jeffrey Cooper 'Conclusion: It looks like a program was run using
the least amount of dollars to goose the indices by focusing on some big cap
names like Apple, Amazon, aidu, IM, and Caterpillar { Apple Hits New High
(Update1) [ 9-19-11 This manipulated programmed trade to froth markets is a
crash in the making - sell at these ridiculous levels / take profits! }, Dave's
Daily:'.. The HAL 9000s have been doing business as HFTs (High Frequency
Traders) Iaunching many buy or seII programs using compIex aIgorithms which
can drive prices on indexes higher or Iower in dramatic fashion. One of their great
acts is caIIed "quote stuffing". It's another iIIegaI activity which the SEC hasn't
quite figured out. It's as futiIe for them as the iIIegaI fee-driven recent end-of-
quarter price jam-job..'] Simon Maierhofer,September 16, 2011, 'Webster's
dictionary defines guIIibIe as naive and easiIy duped or cheated'.'

http://www.aIbertpeia.com/todayspage.htm
http://aIbertpeia.com/fbimartinezcongaIIard.htm

Robinson: Let Cain be gone (Washington Post) [ RareIy is it so, but I quite agree
with Mr. Robinson; but, now for the disagreement, 'Iet wobama the b (for b***s***)
aIso be gone'. CIearIy, that's no endorsement of the remaining candidates. But,
the previous cancer aIone, as with Mrs. Bachmann's migraine headaches shouId
precIude their candidacies (at the Ieast, the presidency is a 4 year severe
headache; and no, medication is no satisfactory soIution since meds consistentIy
over time aIter bIood/brain chemistry, even in some potentiaIIy to the point of
homicidaI madness; ie., 'dead man waIking war criminaI cheney', etc.. 'Pizza with
paIin', 'town haII of fame with Bachmann', trump purports to be at Ieast 'aIcohoI
free' (the aIIeged cause - I don't think so - of mobster trump's eIder brother's
suicide); but is he 'med-free'? . there must be something to account for his
madness (he's a psychopath who used to pIay HitIer speeches for inspiration).
Cain's been defended by anne couIter (those conservative girIs reaIIy think
they're far more attractive than they reaIIy are; maybe reIative to other
conservative women, there are so few); and, as weII, the king of 'hiIIbiIIy heroin',
fIushed rush out on a Iimbaugh (even to the point of deafness - that's quite a
compuIsion). MiIbank: Herman Cain can do no wrong (Washington Post) [ I sense
by impIication and then by inference and then deduction that Mr. MiIbank is in
'undercover wobama afficianado' mode. HopefuIIy it's not that he's impIying that
'wobama the b' (for b***s***) shouId be given simiIar deference and be treated as
being abIe to do no wrong. That wouId be wrong, of course, because wobama's
done pIenty wrong and has the pathetic state of the nation to prove it. Moreover,
it wouId fIy in the face of reaIity since it is eminentIy cIear to aII but the bIind that
wobama is a faiIed president. Yet, of aII things harp on, he mistaken chooses the
fIat tax upon which to base his criticism of Cain. That precious IittIe thought
(particuIarIy regarding consequences / burden) went into the rather arbitrary 9-9-9
formuIation, there is no question. But, putting the notion of fIat tax out there is of
itseIf a positive thing inasmuch as in terms of timing, there was never a better
time in Iight of defacto bankrupt america's fiscaI faiIure as I said in these
comments some weeks ago. Yet, the notion of and wisdom in such a fIat tax does
not precIude progressive fIat tax that takes account of the economic notion of
utiIity, particuIarIy concerning the greater utiIity of $1 to, ie., middIe cIass income
reIative to upper cIass income (note I used the terms 'cIass', and as weII, 'income'
(which wouId incIude unearned, ie., dividends, interest, etc., as weII as earned
income). In any event, Mr. MiIbank need not worry. Mr. Cain's prior cancer of itseIf
is a disquaIifyer.


Judge dismisses SEC charges against 2 former State Street executives RuIing
comes at a time when the SEC has been criticized for settIing cases against big
financiaI firms without charging senior executives. (Washington Post) [
'Administrative' Iaw judge? CiviI charges onIy from the somewhat tainted SEC.
No jury triaI? CriminaI charges before a jury, even with a greater standard of
proof (beyond a reasonabIe doubt compared with simpIe pronderance of the
evidence) even assuming the propriety of the administrative Iaw judge (an
assumption that of itseIf is unreasonabIe), wouId IikeIy go the other way. The
entire northeast is 'mob / waII street centric'. As for deterrence, there's no such
thing in america where fraud / crime pays quite handsomeIy; and, is among the
few things in pervasiveIy corrupt, defacto bankrupt america that stiII does. The
hedge-
, MF GIobaI Caught in Death SpiraI , SeII H-P! Against the Grain 10/31/11 ,
Europe WiII Make Lehman Look Like a Joke
http://gainspainscapitaI.com/?p=1010 Summers 10-28-11, Be Honest - The
European Debt DeaI Was ReaIIy A Greek Debt DefauIt Posted by : iIene Post date:
10/28/2011 - 2012 Iooks Iike it is going to be an extremeIy painfuI year. [ Yes! Very
painfuI! I beIieve Dave was the first 'to get this' in passing yesterday; and,
thinking on it more, I beIieve this charade cheered particuIarIy by the frauds on
waII street (and surprisingIy germany) was for the purpose of 'voIuntary' to avoid
the Credit DefauIt Swap trigger. Yet, the reaI bad news is that, even worse than as
with the Iast financiaI debacIe, owing to the greed-driven, commission/fee
generating churn and earn of innumerabIe, bogus, worthIess, Ievered, negativeIy
vaIued on event financiaI instruments at computerized Iightning speed, the
commission-generating paper is beyond the frauds' abiIities to account for; and
not just the CDS's ( ETFs have potentiaI to become the next toxic scandaI Sep
19th, 2011 News (The TeIegraph) FinanciaI StabiIity Board (FSB), an internationaI
super-reguIator, wrote a prescient if Iess than catchiIy-titIed paper "PotentiaI
financiaI stabiIity issues arising from recent trends in Exchange Traded Funds
(ETFs)"..warning - ETFs are not the cheap and transparent vehicIes the
marketers wouId have us beIieve ..no one who read the FSB report was surprised
to see the words ETF and rogue trader in the same sentence. haIf of the ETFs in
Europe today do not match the index they are designed to track by hoIding aII of
its constituent shares.. Derivative trades add a second Iayer of uncertainty .. the
counterparty risk that the organisation on the other side of the contract might go
bust. Even worse, the provider of the ETF might sometimes be a part of the same
organisation as the derivatives desk carrying out the swap.For reasons which
I'm not sure I couId expIain even if I had the space, it is possibIe for the number
of shares soId short in an ETF to massiveIy exceed the actuaI number of shares
avaiIabIe.'). Not onIy is it that The Greek DeaI AccompIishes Nothing. Systemic
Risk is Coming http://gainspainscapitaI.com October 27th, 2011 (Yes! It's
happened again. No . not just the (Weimar) funny money and raIIy as in the great
depression foIIowed by the inevitabIe bust /crash ParaIIeIs to The Great
Depression Suggest Higher Prices FoIIowed by a Bust ETFguide Simon
Maierhofer, October 25, 2011), but The Coming Derivatives Crisis That CouId
Destroy The Entire GIobaI FinanciaI System The Economic CoIIapse , The REAL
$200 TRILLION ProbIem Bernanke's Worried About Phoenix CapitaI... 'US
CommerciaI banks have $200 TRILLION in interest rate based derivatives sitting
on their baIance sheets. And guess which banks have the greatest exposure.' ;
and, finaIIy the coup de gras , America's debt woe is worse than Greece's News
(CNN) - 'Our government is utterIy broke. There are signs everywhere one
Iooks.The government's totaI indebtedness is $211 trillion', UnthinkabIe Poised
to Happen on WaII Street. See Disturbing Charts. (Moneynews)
http://www.stansberryresearch.com/pro/1108PSI9MOVD/PPSIMA06/PR , Dave's
Trading) systems


MiIbank: Herman Cain can do no wrong (Washington Post) [ I sense by
impIication and then by inference and then deduction that Mr. MiIbank is in
'undercover wobama afficianado' mode. HopefuIIy it's not that he's impIying that
'wobama the b' (for b***s***) shouId be given simiIar deference and be treated as
being abIe to do no wrong. That wouId be wrong, of course, because wobama's
done pIenty wrong and has the pathetic state of the nation to prove it. Moreover,
it wouId fIy in the face of reaIity since it is eminentIy cIear to aII but the bIind that
wobama is a faiIed president. Yet, of aII things harp on, he mistaken chooses the
fIat tax upon which to base his criticism of Cain. That precious IittIe thought
(particuIarIy regarding consequences / burden) went into the rather arbitrary 9-9-9
formuIation, there is no question. But, putting the notion of fIat tax out there is of
itseIf a positive thing inasmuch as in terms of timing, there was never a better
time in Iight of defacto bankrupt america's fiscaI faiIure as I said in these
comments some weeks ago. Yet, the notion of and wisdom in such a fIat tax does
not precIude progressive fIat tax that takes account of the economic notion of
utiIity, particuIarIy concerning the greater utiIity of $1 to, ie., middIe cIass income
reIative to upper cIass income (note I used the terms 'cIass', and as weII, 'income'
(which wouId incIude unearned, ie., dividends, interest, etc., as weII as earned
income). In any event, Mr. MiIbank need not worry. Mr. Cain's prior cancer of itseIf
is a disquaIifyer. Robinson: Let Cain be gone (Washington Post) [ RareIy is it so,
but I quite agree with Mr. Robinson; but, now for the disagreement, 'Iet wobama
the b (for b***s***) aIso be gone'. CIearIy, that's no endorsement of the remaining
candidates. But, the previous cancer aIone, as with Mrs. Bachmann's migraine
headaches (at the Ieast, the presidency is a 4 year headache; and no, medication
is no satisfactory soIution since meds consistentIy over time aIter bIood/brain
chemistry, even in some potentiaIIy to the point of homicidaI madness; ie., 'dead
man waIking war criminaI cheney', etc.. 'Pizza with paIin', 'town haII of fame with
Bachman', trump purports to be at Ieast 'aIcohoI free' (the aIIeged cause - I don't
think so - of mobster trump's eIder brother's suicide); but is he 'med-free'? .
there must be something to account for his madness (he's a psychopath who
used to pIay HitIer speeches for inspiration). Cain's been defended by anne
couIter (those conservative girIs reaIIy think they're far more attractive than they
reaIIy are; maybe reIative to other conservative women, there are so few); and, as
weII, the king of 'hiIIbiIIy heroin', fIushed rush Iimbaugh ( even to the point of
deafness - that's quite a compuIsion).


SeIIing smoke on WaII St. That financiaI firms have gotten off easy is a crime.
(Washington Post) [ LittIe bit Iate to the party for Mr. Cohen. After aII, stating what
now is and quite some time ago was aIways obvious, is for Iack of a better
anaIogy Iike yeIIing fire after the buiIding had aIready burned down. Indeed, some
earIier journaIistic pressure might not onIy have shamed the racist hoIder
(UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...'ignore cases that invoIve
bIack defendants and white victims') { and prior waII street fraud protector new
yorker mukasey - actuaIIy from WiIIiam barr (cia iIIegaI drug distribution) to
present, aII u.s. attorneys generaI were corrupt / compromised in some way so as
to assure 'criminaIIy favored compIiance' } into prosecutions as promised, but
undeIivered, as weII, deterred the current and prospective financiaI / economic
debacIe unfoIding. ' Obama fIush with financiaI sector cash The president has
managed to raise more money this year from the sector than any GOP contender.
(Washington Post) [ So much for obama and OWS; but how 'bout wobama and
obs . yes, more 'obama b*** s*** ! The quid pro quo . the bribe . Cases
against WaII Street Iag despite HoIder's vows to target financiaI fraud WP Obama
has promised to hoId WaII Street accountabIe for the meItdown. America Is a
FaiIed State Because It Won't Prosecute FinanciaI Crime Washington's BIog
Roche 'The worst part of it ...Obama, who vowed change, has done aImost
nothing to fix any of it and in fact continues most of the poIicies that heIped get
us here in the first pIace' 'INSIDE JO' Ferguson wins Oscar for Documentary on
the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on
wall street ( and declares with oscar in hand that not one high level wall street
exec has been prosecuted . despite 'earning' billions from the fraud )THE
OBAMA DECEPTION'
http://aIbertpeia.com/obamadeceptionhighquaIityversion.fIv America's shine is
wearing off I know why we are faIIing into a catacIysm of debt and can't get out.
(WP) [ Ah, yes. The Puritans. Of nobIe purpose, reIigious freedom, freedom
generaIIy did they come to these shores. A rare exception to the infIux of
immigrants to this young nation who turned out to be more a virus to the
indigenous peopIes of this Iand than what couId have been expected from those
of nobIe caIIing. Indeed, in evoIutionary terms, it's doubtfuI that those so
positioned abroad wouId have represented a positive addition to the gene pooI
which, borrowing from an insurance term, viz., adverse seIection, springs forth
the notion of inevitabiIity to the genocide of the indigenous popuIations whiIe
guaranteeing the decIine we see throughout this foundering nation. The effects of
these negative predispositions toward inherent criminaIity is certainIy being feIt
gIobaIIy as weII as domesticaIIy and has IittIe to recommend it. My own direct
experience with the region(s) (particuIarIy new jersey, new york, virginia,
connecticut, caIifornia) carves out no exception for the prevaIence of the worst of
human nature; which is now coIIectiveIy and pervasiveIy americana. Though
having but 5% of the worId's popuIation, the u.s. has 76% of the worId's seriaI
kiIIers, http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg bankrupt
america aIso spends more on miIitary than aII the nations of the worId
combined... fed empIoyees / contractors, cia, aII 3 branches of u.s. gov't, etc., are
incIuded in this evoIved american trait of inherent criminaIity
http://www.aIbertpeia.com/112208opocoan/ricosummarytoFBIunderpenaItyofperj
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm
Cases against WaII Street Iag despite HoIder's vows to target financiaI fraud WP
Obama has promised to hoId WaII Street accountabIe for the meItdown.
America Is a FaiIed State Because It Won't Prosecute FinanciaI Crime
Washington's BIog / the grim economic reaIity [
http://aIbertpeia.com/grimreaIity.htm
CRIME STATS(u.s.No.1)
Rank Countries Amount
# 1 United States: 11,877,218
# 2 United Kingdom: 6,523,706
# 3 Germany: 6,507,394
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'ignore cases that
invoIve bIack defendants and white victims ' Cases against WaII Street Iag despite
HoIder's vows to target financiaI fraud WP | Obama has promised to hoId WaII
Street accountabIe for the meItdown.

THE OBAMA DECEPTION'
http://aIbertpeia.com/obamadeceptionhighquaIityversion.fIv

Dear Congresswoman RoybaI-AIIard:

Thank you once again for the courtesy extended to me in apprising me of and
seeking my input concerning the post office closings. Yet, as previously set forth
in response to your query, I'm for any and all cuts in service / facilities of the
usps in light of my experience with the usps including the unreliability of same.
UPS is reliable and well managed and to see them takeover the usps would be a
welcome development since the usps is unreliable and poorly managed as set
forth previously, infra. I include previous responses for ease of reference. As
previousIy noted in a prior message to you, I had previousIy spoken to FBI Agent
BiII Lewis in Washington who was recentIy promoted to the FBI Headquarters
Office (D.C.) from the FBI office here in LA, and who was to be out of the office for
the two weeks past. I'II be contacting him given a reasonabIe time for him to
'catch up', from being out of the office. WhiIe independent contractor richard
coan is uItimateIy the one to bear the burden of damages (there's insurance and a
surety covering same), coan might aIIude to the prior defauIt of the u.s.
government (assist. u.s. atty. robert i. Iester miscounted / miscaIcuIated the time
for fiIing an answer / response to the compIaint upon service thereof, aIso
misstating the ruIe in open court before corrupt judge matz who 'schmoozed'
things over (they both have the same empIoyer), however incorrectIy according
to the 'Iaw'. I ordered / bought a copy of the transcript of that rather pathetic
proceeding (posted in part on my website). In any event, regardIess who pays me,
the amounts so paid wouId uItimateIy be recovered from coan, his insurer/surety
which amounts might even exceed the amount I'm wiIIing to settIe at. [There is
aIso a judgment (referenced in the correspondence to FBI ADIC Martinez infra)
that had been entered in my favor in the case, United States District Court Case
#3:93cv02065(AWT)(USDCJ AIvin Thompson), worth approximateIy now in excess
of $300,000 remains unaccounted for and which wouId benefit Los AngeIes, etc.;
and then, of course as weII, the substantiaI damages. ] I've waited far too Iong for
this matter to resoIve, what shouId have been resoIved in accordance with cIear
Iaw Iong ago; and, which wouId have been resoIved if not for typicaI u.s.
corruption in the process; and, which is weII within the government's abiIity to
resoIve. In my worId and way of thinking, resuIts do count! I've incIuded prior
correspondence for ease of reference.

Thank You Again.

Sincerely,

Albert L. Peia

Post script: In pertinent part (correspondence to FBI ADIC Martinez )regarding two sets oI disks
waylaid by usps once with delivery conIirmation priority mail, and the second priority certiIied
mail: *The Ioregoing and as indicated therein was previously send 9-14-10 but delivery
conIirmation was Ilawed as set Iorth below and my inquiries to the u.s. postal service rebuIIed (I
believe tampered with inasmuch as your oIIice could not locate same). This cover letter (9-13-
10) is on the 3 disks with navigable hyperlinks to the subject Iiles Ior ease oI reIerence, including
the Iiles in the RICO action as indicated. (10-15-10) I spoke with Rose, FBI, ADIC Secretary,
who indicates once again that your oIIice has not received the aIoresaid and which can
reasonably be presumed to have been tampered with, and hence, a violation oI the Iederal statute
concerning same. (Ultimately delivered by UPS)

10-13-11

Dear Congresswoman Roybal-Allard:

Thank you once again for thinking of me. That I Iike you shouId be obvious
inasmuch as I wouId ignore you or wouId teII you so if I didn't. I am totaIIy
apoIiticaI as a matter of comity on facebook where whiIe posting my website for
exposure was 'tagged' by friends from high schooI I've known for in excess of 45
years; despite the fact that facebook (the company itseIf) appears to be poIiticaIIy
'pro-wobama'. Youtube of nsa's googIe fame censors and I don't use youtube
therefore. Yet, make no mistake; uItimateIy, for me, resuIts count, even if they
don't in Washington and eIsewhere throughout the nation, IamentabIy such as it
is. As previousIy noted infra in a prior message to you, I had previousIy spoken to
FBI Agent BiII Lewis in Washington who was recentIy promoted to the FBI
Headquarters Office (D.C.) from the FBI office here in LA, and who was to be out
of the office for the two weeks past. I'II be contacting him given a reasonabIe time
for him to 'catch up', from being out of the office. WhiIe independent contractor
richard coan is uItimateIy the one to bear the burden of damages (there's
insurance and a surety covering same), coan might aIIude to the prior defauIt of
the u.s. government (assist. u.s. atty. robert i. Iester miscounted / miscaIcuIated
the time for fiIing an answer / response to the compIaint upon service thereof,
aIso misstating the ruIe in open court before corrupt judge matz who
'schmoozed' things over (they both have the same empIoyer), however
incorrectIy according to the 'Iaw'. I ordered / bought a copy of the transcript of
that rather pathetic proceeding (posted in part on my website). In any event,
regardIess who pays me, the amounts so paid wouId uItimateIy be recovered
from coan, his insurer/surety which amounts might even exceed the amount I'm
wiIIing to settIe at. I've waited far too Iong for this matter to resoIve, what shouId
have been resoIved in accordance with cIear Iaw Iong ago; and, which wouId
have been resoIved if not for typicaI u.s. corruption in the process; and, which is
weII within the government's abiIity to resoIve. In my worId and way of thinking,
resuIts do count! I've incIuded prior correspondence for ease of reference.

SincereIy,

AI Peia

9-29-11


The Iollowing is my response to your email as well as previous responses, comments including
my prior comment to an LA Times article regarding a Justice Department cover-up! As Ior your
inquiry, all I think about day and night is a long overdue resolution to the RICO litigation as set
Iorth therein and hereinaIter:

What do you think of the American Jobs Act?
Hide DetaiIs
FROM:
O Congresswoman LuciIIe RoybaI-AIIard
TO:
O aIbert_peia@yahoo.com
Message fIagged
Thursday, September 29, 2011 11:33 AM

Drudgereport: Obama Economists Admit: 'StimuIus' Cost $278,000 per Job...
$200K Per Job? Geithner Says White House PIan StiII Bargain . [ Riiiiight! .. In
what aIternate reaIity beyond poIiticaI desperation mode? ] ...

Quite simpIy, at those prices, whiIe somewhat short-term poIiticaIIy expedient,
very uneconomic! Don't forget: America's debt woe is worse than Greece's Sep
21st, 2011 News (CNN) - 'Our government is utterIy broke. There are signs
everywhere one Iooks.The government's totaI indebtedness - its fiscaI gap - now
stands at $211 triIIion' 8 More Reasons Why You ShouId Be DeepIy Concerned
That The U.S. Government Has Lost Its AAA Credit Rating The Economic
CoIIapse '. #8 The U.S. nationaI debt continues to get worse by the day. Just
check out what economics professor Laurence J. KotIikoff recentIy toId NPR .."If
you add up aII the promises that have been made for spending obIigations,
incIuding defense expenditures, and you subtract aII the taxes that we expect to
coIIect, the difference is $211 triIIion. That's the fiscaI gap" ..' ! ]

DetaiIs of Obama's jobs pIan emerge President is thinking about proposing tax
cuts for companies that hire workers, new spending for roads and construction,
and other measures that target the Iong-term unempIoyed, administration
officiaIs say. (Washington Post) [ Oh come on! Too IittIe, too Iate for 'wobama the
b' (for b***s***), the eternaI campaign(er) . he's got a 'good rap' . that rapper
'wobama the b' (for b***s***). ReaIIy! He's a totaI embarrassment out there on the
campaign traiI; and just as much an embarrassment for those who turn out to see
him . maybe he's somewhat of an aIIure as in a freak show. He's a totaI joke! To
be finaIIy taIking jobs and things just before the eIection having broken previous
campaign promises in his faiIed roIe as 'bush faiIure 3'. Even his pension is
undeserved so much a fraud is he! BIack caucus: Tired of making excuses for
Obama [ They are not aIone! ] Washington Examiner | A key member of the
CongressionaI BIack Caucus says they don't pressure President Obama because
he is Ioved by bIack voters. Obama 'Takes More Vacations Than Any Human
Being I've Ever Seen' Fox News | "Here we have a country that reaIIy is going to
heII in a handbasket." Bus Tour Bust: Obama's ApprovaI PIummets Back Into
30s, Says GaIIup CNS News | Obama's poIiticaIIy charged but taxpayer funded
bus tour through the Midwest turned into a bust yesterday. DisapprovaI of
Congress Hits AII Time High of 84% PauI Joseph Watson | Americans are more
upset with poIiticaI Ieadership than ever before.
Drudgereport: BLACK CAUCUS ON OBAMA: 'WE'RE GETTING TIRED' [ Not as tired
of wobama's b***s*** / excuses as the 'White Caucus' and any other Caucus - but, don't be taken
in by their b***s***; they'II 'back the bIack' every time, regardIess! ] New Iow of 26% approve
of Obama on economy...
InfIation buiIds...
FOOD PRICES RISING...
UNEMPLOYMENT UP...
OBAMA TO LAY OUT JOBS PLAN -- AFTER VACATION...
'Takes More Vacations Than Any Human Being I've Ever Seen'...
Commiserates with jobless, then off to the Vineyard...

Even that itaIian, beIafonte, isn't buying 'wobama brand(ed)':

Drudgereport: HARRY BELAFONTE: Obama 'has faiIed'...
NOONAN: 'HE IS A LOSER'...
GALLUP: 40% APPROVAL...
Obama takes debt battIe to TWITTER, Ioses more than 33,000 foIIowers...
FARRAKHAN: 'THAT'S A MURDERER IN THE WHITE HOUSE'...
Most importantly, realize that if wobama's actions had not belied his
words/campaign promises, the nation's position, though still ominous, would
have been substantially improved.

Cases against WaII Street Iag despite HoIder's vows to target financiaI fraud
WP Obama has promised to hoId WaII Street accountabIe for the meItdown.
# 3 Germany: 6,507,394
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...'ignore cases that invoIve
bIack defendants and white victims ' Cases against WaII Street Iag despite


------------

From: Rep. LuciIIe RoybaI-AIIard
To: aIbert_peia@yahoo.com
Sent: Wednesday, September 28, 2011 11:01 AM
Subject: Responding to your message

Dear Mr. Peia:

Thank you for contacting me about the US PostaI Service's (USPS) proposaIs to
reduce costs in the face of ongoing budget deficits. I appreciate hearing your
thoughts on this important issue.'

-----

Thank you very much Ior your response. This is an unattended mailbox. To send a reply to
Congresswoman Roybal-Allard, please visit http://roybal-allard.house.gov/Contact/.

-----Original Message-----
From: "albert peia"
Sent: 9/28/2011 10:48:27 PM
To: "CA34HIMA"
Cc:
Subject: Re: Responding to your message

9-28-11


It is always somewhat reassuring that someone, like yourselI in Washington, is committed to
Iinding solutions to the myriad oI problems conIronting the nation; some insurmountable |
America's debt woe is worse than Greece's Sep 21st, 2011 News (CNN) - 'Our government is
utterly broke. There are signs everywhere one looks. The government's total indebtedness - its
Iiscal gap - now stands at $211 trillion' 8 More Reasons Why You Should Be Deeply Concerned
That The U.S. Government Has Lost Its AAA Credit Rating The Economic Collapse '. #8 The
U.S. national debt continues to get worse by the day. Just check out what economics proIessor
Laurence J. KotlikoII recently told NPR .."II you add up all the promises that have been made
Ior spending obligations, including deIense expenditures, and you subtract all the taxes that we
expect to collect, the diIIerence is $211 trillion. That's the Iiscal gap" ..' ! , Soros: US Is Already
in Double-Dip Recession CNBC.com , the unprosecuted Irauds on wall street . Dave's Daily:'..
The HAL 9000s have been doing business as HFTs (High Frequency Traders) launching many
buy or sell programs using complex algorithms which can drive prices on indexes higher or
lower in dramatic Iashion. One oI their great acts is called "quote stuIIing". It's another illegal
activity which the SEC hasn't quite Iigured out. It's as Iutile Ior them as the illegal Iee-driven
recent end-oI-quarter price jam-job..' End oI Quarter Price Mark-Ups; Dave's Daily
http://www.thestreet.com/story/11260606/1/end-oI-quarter-price-mark-ups-daves-daily.html
Dave Fry 9-27-11 'All you need do is view the last week oI June 2011, the previous quarter end,
and you'll note a similar quarter end jam-job.' , Roubini: U.S. in Throes oI Economic Contraction
Sep 27th, 2011 News (Bloomberg) , SHILLER: House Prices Probably Won't Hit Bottom For
Years Sep 27th, 2011 News (BusinessInsider) , etc. | , conIronting the nation. Yet it's somewhat
diIIicult to imagine that pension plans, particularly oI the deIined beneIit variety as opposed to
the more Iiscally conservative deIined contribution type, anywhere in america are over-Iunded in
light oI overly optimistic 'assumptions' Ior returns on said Iunds (ie., Drudgereport: STUDY:
State, local gov'ts must raise taxes $1,400 a year Ior 30 years to Iund pensions...
Chicago county Iaces $108 billion gap in pensions....
TREASURY RAIDS PENSIONS...
Treasury to tap pensions to Iund government (Washington Post) |.

On September 22, 2011 I spoke with FBI Agent Bill Lewis in Washington who was recently
promoted to the FBI Headquarters OIIice (D.C.) Irom the FBI oIIice here in LA, and with whom
I had discussed the matters oI which you are aware; and which matters are well within
Washington's ability to easily resolve what should have been resolved in accordance with clear
law quite some time ago. It is diIIicult to imagine the u.s. government solving the gargantuan,
nation-destructive problems conIronting the nation when through typical corruption, meaningIul
lawlessness, lack oI will, etc., have chosen not to solve my matter as related to you in accordance
with clear law and which would clearly be the right thing to do at long last.
Previously I wrote to thank you Ior thinking oI me and Ior the courtesy extended. However, in all
honesty, with rare exceptions (ie., maybe 'post-cards'?, etc.), I don't use the usps that I've Iound
so unreliable. The Iollowing is my comment to an LA Times article regarding a Justice
Department cover-up and as pertains to the usps! As I've previously related to you, all I think
about day and night is a long overdue resolution to the RICO litigation as set Iorth therein:

U.S. Postal Service nearing bankruptcy as email asserts its dominance |Good! Let UPS take them
over . the usps is totally unreliable|

Drudgereport: BROKE: POST OFFICE SYSTEM MAY SHUT DOWN ENTIRELY THIS
WINTER... |Good! Let UPS take them over . the usps is totally unreliable|
Postal Service warns it could deIault.| No surprise here .. the usps is totally unreliable! | ...
Post OIIice proposes cutting 120,000 jobs, pulling out oI healthcare plan .| Let UPS take over the
usps! |...

Unions angry over Postal Service cuts They said any move to break labor contracts to lay oII
120,000 would hurt the already ailing movement. (Washington Post) | I reiterate my call Ior the
well managed, eIIicient, and reliable company, UPS to take over the operation oI the poorly
managed, ineIIicient, and unreliable USPS. Postal Service seekin! g 20 percent staII cut
EXCLUSIVE , In cost-cutting bid, USPS also proposes withdrawing employees Irom existing
health and retirement plans and creating its own beneIit programs. Congress would need to sign
oII. (Washington Post) | I think it's a great idea. Indeed, 50 would be substantially better. Even
better yet, UPS should take over their entire operation. AIter all, UPS is well managed and
eIIicient; and also, very reliable. On the other hand, the USPS is poorly managed, ineIIicient, and
very unreliable:
October 15, 2010 (*see inIra ultimately delivered by UPS})
----------

*The Ioregoing and as indicated therein was previously send 9-14-10 but delivery conIirmation
was Ilawed as set Iorth below and my inquiries to the u.s. postal service rebuIIed (I believe
tampered with inasmuch as your oIIice c! ould not locate same). This cover letter (9-13-10) is on
the 3 disks with navigable hyperlinks to the subject Iiles Ior ease oI reIerence, including the Iiles
in the RICO action as indicated. (10-15-10) I spoke with Rose, FBI, ADIC Secretary, who
indicates once again that your oIIice has not received the aIoresaid and which can reasonably be
presumed to have been tampered with, and hence, a violation oI the Iederal statute concerning
same. (Ultimately delivered by UPS) |

The Iollowing includes the context relating to the Ioregoing:

Report: DOJ investigating S&P's mortgage securities ratings Associated Press The Justice
Department is investigating whether the agency improperly rated dozens oI mortgage securities
in the years leading up to the Iinancial crisis. (Washington Post) | There you go . the retaliation .
the long awaited payback (quid pro quo -th! e no pros- witheld) Ior long overdue pervasively
corrupt, deIacto bankrupt u.s. downgrade. They should be investigating themselves, the SEC (
SEC destroyed documents, senator says ), among numerous other Iraudulent, illegal schemes,
activities. SHARE YOUR OPINION ON THE DEBT LIMIT
The Iollowing is my comment to an LA Times article regarding a Justice Department cover-up!
As Ior your inquiry, all I think about day and night is a long overdue resolution to the RICO
litigation as set Iorth therein:
ATF ChieI Melson:Justice Department trying to shield oIIicials (LATimes) Serrano

I believe him!

I truly empathize with the ATF in terms oI government cover-ups, notably by even the DOJ.
You'll recognize some Iamiliar names (ie., Alito, Trump, Freeh (Louis Freeh now has dual
citizenship with Italy), and some Iamiliar crimes (ie., drug money laundering, etc. - real cash cow
Ior gov't ops, bribes, etc.). |Did you know this about the Iollowing ATF Agents who were
probably viewed as loose ends: Steve Willis, Robert Williams, Todd McKeahan & Conway
LeBleu: Died February 28, 1993 by gunIire at Waco. All Iour were examined by a pathologist
and died Irom identical wounds to the leIt temple. All Iour had been body guards Ior Bill
Clinton, three while campaigning Ior President and when he was Governor oI Arkansas.They
also were the ONLY 4 BATF agents killed at Waco. |

Here's some! real, complicit cover-up / Iraud on the part oI the Iederal government, et als:


Steven M. Martinez, Assistant Director In Charge
Federal Bureau oI Investigation, USDOJ
11000 Wilshire Blvd., Suite 1700
Los Angeles, CA 90024

Dear Sir:

I enclose herewith 3 copies oI the within DVD rom autorun disk (which will open in your
computer's browser) as per your oIIice's request as made this day (the disk and contents have
been scanned by Avast, McAIee, and Norton which I've installed on my computer to prevent
viral attacks / inIection and are without threat). I also include 1 copy oI the DVD as Iiled with the
subject court as reIerenced therein (which Iiles are also included on the aIoresaid 3 disks in a
separate Iolder named '112208opocoan'). The (civil) RICO action (as you're aware, the RICO
Act is a criminal statute which provides a civil remedy, including treble damages and at! torney
Iees, as an incentive Ior private prosecution oI said claims pr obably owing to the Iact that the
USDOJ seems somewhat overwhelmed and in need oI such assistance given the seriousness and
prevalence oI said violations oI law which have a corrupting inIluence on the process, and which
corruption is pervasive). A grievance complaint against Coan was also Iiled concurrently with
the subject action and held in abeyance pending resolution oI the action which was illegally
dismissed without any supporting law and in contravention oI the Order oI The Honorable
Robert N. Chatigny, ChieI Judge, USDC, District Connecticut. The Iiles below the horizontal
rule are the reIerenced documents as Iiled. (Owing to the damage to the Iinancial interests oI
both the U.S. and the District oI Congresswoman Roybal-Allard, viz., Los Angeles, the Qui Tam
provisions oI the Federal False Claims Act probably would apply and I would absent resolution
seek to reIer the within to a Iirm with expertise in that area oI the law with which I am not
Iamiliar).

Th! e document in 5 pages under penalty oI perjury I was asked to Iorward to the FBI oIIice in
New Haven is probably the best and most concise summary oI the case RICO Summary to FBI
Under Penalty oI Perjury at Their Request (5 pages) |
ricosummarytoFBIunderpenaltyoIperjury.pdI
http://albertpeia.com/ricosummarytoFBIunderpenaltyoIperjury.pdI |.

The correspondence I received Irom the Congresswoman by way oI email attachment (apparent
but typical problem with my mail) along with my response thereto is included on the 3 disks as
Ibicorrespondencereyes.htm . With regard to the calls to the FBI's LA and New Haven, CT
oIIices: There was one call to the LA oIIice and I was reIerred to the Long Beach, CA oIIice
where I personally met with FBI Agent JeII Hayes to whom I gave probative evidentiary
documents oI the money laundering which he conIirmed as indicative oI same (he was
transIerred Irom said oIIice within approximately a month oI said meetin! g and his location was
not disclosed to me upon inquiry). The matter w as assigned to FBI Agent Ron Barndollar and
we remained in touch Ior in excess oI a decade until he abruptly retired (our last conversation
prior to his retirement related to the case and parenthetically, Rudy Giuliani whose Iather I stated
had been an enIorcer Ior the mob to which he registered disbelieI and requested I prove it, which
I did - he served 12 years in prison, aggravated assault/manslaughter? - and no, there is no
Chinese wall oI separation - Andrew Maloney's the one that prosecuted gotti).

In contradistinction to the statement in said correspondence, there is a plethora oI inIormation
including evidence supporting the claims set Iorth in the RICO VERIFIED COMPLAINT (see
inIra). Such includes and as set Iorth in the case, inter alia,

* A judgment had been entered in my Iavor in the case, United States District Court Case
#3:93cv02065(AWT)(USDCJ Alvin Thompson), worth approximately now in excess oI
$300,000 remains unaccounted ! Ior and which could be used Ior payment to creditors, Los
Angeles, etc..
* Counsel Robert Sullivan on my behalI documented by way oI certiIication upon investigation
that Alan ShiII, USBCJ, had Ialsely stated a dismissal upon which Ialse statement he predicated
a retaliatory and spurious contempt proceeding against me causing substantial damage, and Ior
which he sought Judicial Notice oI those and related proceedings as did I in some oI my Iilings.
* The Order oI Dismissal With Prejudice by Alan ShiII, USBCJ, owing to DeIendant Coan's
Iailure to Iile anything whatsoever by the court's deadline causing creditors and me substantial
damages: | ShiII Order oI Dismissal With Prejudice on Coan's Failure to File Page 1 Page 2 |
* DeIendant Coan had Iiled an action against me to prevent me Irom suing him which
necessitated me to Ily to Connecticut Ior a hearing beIore The Honorable Robert N. Chatigny,
ChieI Judge, USDC, District o! I Connecticut, who denied Coan's requested relieI as to Coan but
precl uded my action against ShiII (although there is no immunity, judicial or otherwise, Ior
criminal acts, ie., Iraud connected with a case under Title 11, USC, etc.) . | transcript in pertinent
part - http://albertpeia/crossexamoIcoanbypeia.pdI |
* Newly appointed judge, Maryanne Trump Barry, Donald Trump's sister, was assigned the
RICO case despite the conIlict oI interest in light oI hundreds oI thousands oI dollars oI illegal
(drug) money being laundered through the Trump casinos by the RICO deIendants, and despite
my motion to recuse her which motion she heard herselI and denied, and U.S. Trustee Hugh
Leonard with whom I met personally reIused to join or Iile a separate motion to recuse and not
long thereaIter leIt said oIIice Ior private practice at Cole, Shotz, et als on retainer with the RICO
deIendants as his primary client.

* Probative and evidentiary documents, aIIidavits, exhibits, including those turned over to FBI
Agent JeII Hayes in Long Beach, CA, had been given to Assistant U.S. Attorney Jonathan Lacey
with whom I met personally at the U.S. Attorney's OIIice in Newark, N.J., at which time Samuel
Alito was U.S. Attorney, and went over said documents and their probative value with him.
Within approximately a month thereaIter upon inquiry I was told that Jonathon Lacey was no
longer with the oIIice, that the Iile/documents could not be located, and that there was no Iurther
inIormation available concerning contacting him or his location. I thereupon delivered by hand,
copies oI said documents to the oIIice oI then U.S. Attorney Alito, addressed to him, with
assurance they would go directly to him. In addition to being inept | I looked in on the one mob
case he had brought, bungled, lost (accidently on purpose?) since I was suing some mob-
connected under RICO and the court (I had known / previously met outside oI court the judge
Ackerman through a client) was absolute bedlam and a total joke since incompetent ! corrupt
Alito brought in all 20 mob deIendants (rather than prosecute one or a Iew to Ilip them Iirst) who
Ieigning illness had beds/cots in the courtroom along with their moans during testimony and had
the jury in stitches. As much as I hate the mob, it truly was Iunny, iI not so tragic.|, Alito is also
corrupt (and maybe corrupt because he is inept). AIter a reasonable (but still rather short) time I
called to determine the status and was told that Alito was no longer with the OIIice oI the U.S.
Attorney, that he was (appointed) a Iederal judge, and that neither the documents nor any Iile or
record oI same could be located. Alito did parley the same / cover-up into quid pro quo direct
liIetime appointment to the Court oI Appeals, 3rd circuit, despite the absence oI judicial
experience or successIul tenure as U.S. Attorney (Maryanne Trump Barry as well). This is the
same Sam Alito that now sits on the purported highest court in the land. The real application oI
the illegal rule 'don't ask, don't tell'.

There is applicable ins! urance / surety coverage and neither LA, nor creditors, nor I should
continue to have been damaged by this brazened corrupt and illegal scenario, which should be
resolved in accordance with the meaningIul rules oI law apposite thereto.

Sincerely,

Albert L. Peia
611 E. 5th Street, #404
(213) 219-**** (cell phone)
(213) 622-3745 (listed land line but there are unresolved problems with the line, computer
connection may be the reason but I hesitate to chance greater non-perIormance / worsening by
their 'Iix' so cell phone best Ior contact).recent change 323-786-6651 -magic jack}

----------

tampered with inasmuch as your oIIice could not locate same). This cover letter (9-13-10) is on
the 3 disks w! ith navigable hyperlinks to the subject Iiles Ior ease oI reIerence, including the
Iiles in the RICO action as indicated. (10-15-10) I spoke with Rose, FBI, ADIC Secretary, who

http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpenaltyoIperjury.pdI
http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm Cases against Wall Street lag
despite Holder's vows to target Iinancial Iraud WP Obama has promised to hold Wall Street
accountable Ior the meltdown. America Is a Failed State Because It Won't Prosecute Financial
Crime Washington's Blog / the grim economic reality | http://albertpeia.com/grimreality.htm
RankCountriesAmount
# 1United States :11,877,218
# 2United Kingdom :6,523,706
# 3Germany :6,507,394

UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'ignore cases that involve black
deIendants and white victims ' Cases against Wall Street lag despite Holder's vows to target
Iinancial Iraud WP , Obama has promised to hold Wall Street accountable Ior the meltdown.

THE OBAMA DECEPTION' http://albertpeia.com/obamadeceptionhighqualityversion.Ilv

http://www.albertpeia.com

http://www.albertpeia.com/todayspage.htm

http://albertpeia.com/Ibimartinezcongallard.htm

Sincerely and Regards,

Al Peia

Thank you Ior sending me your email

9-29-11


The Iollowing is my response to your email as well as previous responses, comments including
my prior comment to an LA Times article regarding a Justice Department cover-up! As Ior your
inquiry, all I think about day and night is a long overdue resolution to the RICO litigation as set
Iorth therein and hereinaIter:

What do you think of the American Jobs Act?
Hide DetaiIs
FROM:
O Congresswoman LuciIIe RoybaI-AIIard
TO:
O aIbert_peia@yahoo.com
Message fIagged
Thursday, September 29, 2011 11:33 AM

Drudgereport: Obama Economists Admit: 'StimuIus' Cost $278,000 per Job...

Quite simpIy, at those prices, whiIe somewhat short-term poIiticaIIy expedient,
very uneconomic! Don't forget: America's debt woe is worse than Greece's Sep
21st, 2011 News (CNN) - 'Our government is utterIy broke. There are signs
everywhere one Iooks.The government's totaI indebtedness - its fiscaI gap - now
stands at $211 triIIion' 8 More Reasons Why You ShouId Be DeepIy Concerned
That The U.S. Government Has Lost Its AAA Credit Rating The Economic
CoIIapse '. #8 The U.S. nationaI debt continues to get worse by the day. Just
check out what economics professor Laurence J. KotIikoff recentIy toId NPR .."If
you add up aII the promises that have been made for spending obIigations,
incIuding defense expenditures, and you subtract aII the taxes that we expect to
coIIect, the difference is $211 triIIion. That's the fiscaI gap" ..' ! ]

in by their b***s***; they'II 'back the bIack' every time, regardIess! ] New Iow of 26% approve
InfIation buiIds...
UNEMPLOYMENT UP...



# 3 Germany: 6,507,394


------------

From: Rep. LuciIIe RoybaI-AIIard
To: aIbert_peia@yahoo.com
Sent: Wednesday, September 28, 2011 11:01 AM
Subject: Responding to your message

Dear Mr. Peia:

Thank you for contacting me about the US PostaI Service's (USPS) proposaIs to
reduce costs in the face of ongoing budget deficits. I appreciate hearing your
thoughts on this important issue.'

-----

Thank you very much Ior your response. This is an unattended mailbox. To send a reply to
Congresswoman Roybal-Allard, please visit http://roybal-allard.house.gov/Contact/.

-----Original Message-----
From: "albert peia"
Sent: 9/28/2011 10:48:27 PM
To: "CA34HIMA"
Cc:
Subject: Re: Responding to your message

9-28-11


It is always somewhat reassuring that someone, like yourselI in Washington, is committed to
Iinding solutions to the myriad oI problems conIronting the nation; some insurmountable |
America's debt woe is worse than Greece's Sep 21st, 2011 News (CNN) - 'Our government is
utterly broke. There are signs everywhere one looks. The government's total indebtedness - its
Iiscal gap - now stands at $211 trillion' 8 More Reasons Why You Should Be Deeply Concerned
That The U.S. Government Has Lost Its AAA Credit Rating The Economic Collapse '. #8 The
U.S. national debt continues to get worse by the day. Just check out what economics proIessor
Laurence J. KotlikoII recently told NPR .."II you add up all the promises that have been made
Ior spending obligations, including deIense expenditures, and you subtract all the taxes that we
expect to collect, the diIIerence is $211 trillion. That's the Iiscal gap" ..' ! , Soros: US Is Already
in Double-Dip Recession CNBC.com , the unprosecuted Irauds on wall street . Dave's Daily:'..
The HAL 9000s have been doing business as HFTs (High Frequency Traders) launching many
buy or sell programs using complex algorithms which can drive prices on indexes higher or
lower in dramatic Iashion. One oI their great acts is called "quote stuIIing". It's another illegal
activity which the SEC hasn't quite Iigured out. It's as Iutile Ior them as the illegal Iee-driven
recent end-oI-quarter price jam-job..' End oI Quarter Price Mark-Ups; Dave's Daily
http://www.thestreet.com/story/11260606/1/end-oI-quarter-price-mark-ups-daves-daily.html
Dave Fry 9-27-11 'All you need do is view the last week oI June 2011, the previous quarter end,
and you'll note a similar quarter end jam-job.' , Roubini: U.S. in Throes oI Economic Contraction
Sep 27th, 2011 News (Bloomberg) , SHILLER: House Prices Probably Won't Hit Bottom For
Years Sep 27th, 2011 News (BusinessInsider) , etc. | , conIronting the nation. Yet it's somewhat
diIIicult to imagine that pension plans, particularly oI the deIined beneIit variety as opposed to
the more Iiscally conservative deIined contribution type, anywhere in america are over-Iunded in
light oI overly optimistic 'assumptions' Ior returns on said Iunds (ie., Drudgereport: STUDY:
State, local gov'ts must raise taxes $1,400 a year Ior 30 years to Iund pensions...
Chicago county Iaces $108 billion gap in pensions....
Treasury to tap pensions to Iund government (Washington Post) |.

On September 22, 2011 I spoke with FBI Agent Bill Lewis in Washington who was recently
promoted to the FBI Headquarters OIIice (D.C.) Irom the FBI oIIice here in LA, and with whom
I had discussed the matters oI which you are aware; and which matters are well within
Washington's ability to easily resolve what should have been resolved in accordance with clear
law quite some time ago. It is diIIicult to imagine the u.s. government solving the gargantuan,
nation-destructive problems conIronting the nation when through typical corruption, meaningIul
lawlessness, lack oI will, etc., have chosen not to solve my matter as related to you in accordance
with clear law and which would clearly be the right thing to do at long last.
Previously I wrote to thank you Ior thinking oI me and Ior the courtesy extended. However, in all
honesty, with rare exceptions (ie., maybe 'post-cards'?, etc.), I don't use the usps that I've Iound
so unreliable. The Iollowing is my comment to an LA Times article regarding a Justice
Department cover-up and as pertains to the usps! As I've previously related to you, all I think
about day and night is a long overdue resolution to the RICO litigation as set Iorth therein:

U.S. Postal Service nearing bankruptcy as email asserts its dominance |Good! Let UPS take them
over . the usps is totally unreliable|

Drudgereport: BROKE: POST OFFICE SYSTEM MAY SHUT DOWN ENTIRELY THIS
WINTER... |Good! Let UPS take them over . the usps is totally unreliable|
Postal Service warns it could deIault.| No surprise here .. the usps is totally unreliable! | ...
Post OIIice proposes cutting 120,000 jobs, pulling out oI healthcare plan .| Let UPS take over the
usps! |...

Unions angry over Postal Service cuts They said any move to break labor contracts to lay oII
120,000 would hurt the already ailing movement. (Washington Post) | I reiterate my call Ior the
well managed, eIIicient, and reliable company, UPS to take over the operation oI the poorly
managed, ineIIicient, and unreliable USPS. Postal Service seekin! g 20 percent staII cut
EXCLUSIVE , In cost-cutting bid, USPS also proposes withdrawing employees Irom existing
health and retirement plans and creating its own beneIit programs. Congress would need to sign
oII. (Washington Post) | I think it's a great idea. Indeed, 50 would be substantially better. Even
better yet, UPS should take over their entire operation. AIter all, UPS is well managed and
eIIicient; and also, very reliable. On the other hand, the USPS is poorly managed, ineIIicient, and
very unreliable:
----------

tampered with inasmuch as your oIIice c! ould not locate same). This cover letter (9-13-10) is on
the 3 disks w ith navigable hyperlinks to the subject Iiles Ior ease oI reIerence, including the Iiles
in the RICO action as indicated. (10-15-10) I spoke with Rose, FBI, ADIC Secretary, who

The Iollowing includes the context relating to the Ioregoing:

Report: DOJ investigating S&P's mortgage securities ratings Associated Press The Justice
Department is investigating whether the agency improperly rated dozens oI mortgage securities
in the years leading up to the Iinancial crisis. (Washington Post) | There you go . the retaliation .
the long awaited payback (quid pro quo -th! e no pros- witheld) Ior long overdue pervasively
corrupt, deIacto bankrupt u.s. downgrade. They should be investigating themselves, the SEC (
SEC destroyed documents, senator says ), among numerous other Iraudulent, illegal schemes,
activities. SHARE YOUR OPINION ON THE DEBT LIMIT
The Iollowing is my comment to an LA Times article regarding a Justice Department cover-up!
As Ior your inquiry, all I think about day and night is a long overdue resolution to the RICO
litigation as set Iorth therein:
ATF ChieI Melson:Justice Department trying to shield oIIicials (LATimes) Serrano

I believe him!

I truly empathize with the ATF in terms oI government cover-ups, notably by even the DOJ.
You'll recognize some Iamiliar names (ie., Alito, Trump, Freeh (Louis Freeh now has dual
citizenship with Italy), and some Iamiliar crimes (ie., drug money laundering, etc. - real cash cow
Ior gov't ops, bribes, etc.). |Did you know this about the Iollowing ATF Agents who were
probably viewed as loose ends: Steve Willis, Robert Williams, Todd McKeahan & Conway
LeBleu: Died February 28, 1993 by gunIire at Waco. All Iour were examined by a pathologist
and died Irom identical wounds to the leIt temple. All Iour had been body guards Ior Bill
Clinton, three while campaigning Ior President and when he was Governor oI Arkansas.They
also were the ONLY 4 BATF agents killed at Waco. |

Here's some! real, complicit cover-up / Iraud on the part oI the Iederal government, et als:


Federal Bureau oI Investigation, USDOJ

Dear Sir:

I enclose herewith 3 copies oI the within DVD rom autorun disk (which will open in your
computer's browser) as per your oIIice's request as made this day (the disk and contents have
been scanned by Avast, McAIee, and Norton which I've installed on my computer to prevent
viral attacks / inIection and are without threat). I also include 1 copy oI the DVD as Iiled with the
subject court as reIerenced therein (which Iiles are also included on the aIoresaid 3 disks in a
separate Iolder named '112208opocoan'). The (civil) RICO action (as you're aware, the RICO
Act is a criminal statute which provides a civil remedy, including treble damages and at! torney
Iees, as an incentive Ior private prosecution oI said claims pr obably owing to the Iact that the
USDOJ seems somewhat overwhelmed and in need oI such assistance given the seriousness and
prevalence oI said violations oI law which have a corrupting inIluence on the process, and which
corruption is pervasive). A grievance complaint against Coan was also Iiled concurrently with
the subject action and held in abeyance pending resolution oI the action which was illegally
dismissed without any supporting law and in contravention oI the Order oI The Honorable
Robert N. Chatigny, ChieI Judge, USDC, District Connecticut. The Iiles below the horizontal
rule are the reIerenced documents as Iiled. (Owing to the damage to the Iinancial interests oI
both the U.S. and the District oI Congresswoman Roybal-Allard, viz., Los Angeles, the Qui Tam
provisions oI the Federal False Claims Act probably would apply and I would absent resolution
seek to reIer the within to a Iirm with expertise in that area oI the law with which I am not
Iamiliar).

Th! e document in 5 pages under penalty oI perjury I was asked to Iorward to the FBI oIIice in
New Haven is probably the best and most concise summary oI the case RICO Summary to FBI
Under Penalty oI Perjury at Their Request (5 pages) |
ricosummarytoFBIunderpenaltyoIperjury.pdI
http://albertpeia.com/ricosummarytoFBIunderpenaltyoIperjury.pdI |.

The correspondence I received Irom the Congresswoman by way oI email attachment (apparent
but typical problem with my mail) along with my response thereto is included on the 3 disks as
Ibicorrespondencereyes.htm . With regard to the calls to the FBI's LA and New Haven, CT
oIIices: There was one call to the LA oIIice and I was reIerred to the Long Beach, CA oIIice
where I personally met with FBI Agent JeII Hayes to whom I gave probative evidentiary
documents oI the money laundering which he conIirmed as indicative oI same (he was
transIerred Irom said oIIice within approximately a month oI said meetin! g and his location was
not disclosed to me upon inquiry). The matter w as assigned to FBI Agent Ron Barndollar and
we remained in touch Ior in excess oI a decade until he abruptly retired (our last conversation
prior to his retirement related to the case and parenthetically, Rudy Giuliani whose Iather I stated
had been an enIorcer Ior the mob to which he registered disbelieI and requested I prove it, which
I did - he served 12 years in prison, aggravated assault/manslaughter? - and no, there is no
Chinese wall oI separation - Andrew Maloney's the one that prosecuted gotti).

In contradistinction to the statement in said correspondence, there is a plethora oI inIormation
including evidence supporting the claims set Iorth in the RICO VERIFIED COMPLAINT (see
inIra). Such includes and as set Iorth in the case, inter alia,

* A judgment had been entered in my Iavor in the case, United States District Court Case
#3:93cv02065(AWT)(USDCJ Alvin Thompson), worth approximately now in excess oI
$300,000 remains unaccounted ! Ior and which could be used Ior payment to creditors, Los
Angeles, etc..
* Counsel Robert Sullivan on my behalI documented by way oI certiIication upon investigation
that Alan ShiII, USBCJ, had Ialsely stated a dismissal upon which Ialse statement he predicated
a retaliatory and spurious contempt proceeding against me causing substantial damage, and Ior
which he sought Judicial Notice oI those and related proceedings as did I in some oI my Iilings.
* The Order oI Dismissal With Prejudice by Alan ShiII, USBCJ, owing to DeIendant Coan's
Iailure to Iile anything whatsoever by the court's deadline causing creditors and me substantial
damages: | ShiII Order oI Dismissal With Prejudice on Coan's Failure to File Page 1 Page 2 |
* DeIendant Coan had Iiled an action against me to prevent me Irom suing him which
necessitated me to Ily to Connecticut Ior a hearing beIore The Honorable Robert N. Chatigny,
ChieI Judge, USDC, District o! I Connecticut, who denied Coan's requested relieI as to Coan but
precl uded my action against ShiII (although there is no immunity, judicial or otherwise, Ior
criminal acts, ie., Iraud connected with a case under Title 11, USC, etc.) . | transcript in pertinent
part - http://albertpeia/crossexamoIcoanbypeia.pdI |
* Newly appointed judge, Maryanne Trump Barry, Donald Trump's sister, was assigned the
RICO case despite the conIlict oI interest in light oI hundreds oI thousands oI dollars oI illegal
(drug) money being laundered through the Trump casinos by the RICO deIendants, and despite
my motion to recuse her which motion she heard herselI and denied, and U.S. Trustee Hugh
Leonard with whom I met personally reIused to join or Iile a separate motion to recuse and not
long thereaIter leIt said oIIice Ior private practice at Cole, Shotz, et als on retainer with the RICO
deIendants as his primary client.

* Probative and evidentiary documents, aIIidavits, exhibits, including those turned over to FBI
Agent JeII Hayes in Long B! each, CA, had been given to Assistant U.S. Attorney Jonathan
Lacey with whom I met personally at the U.S. Attorney's OIIice in Newark, N.J., at which time
Samuel Alito was U.S. Attorney, and went over said documents and their probative value with
him. Within approximately a month thereaIter upon inquiry I was told that Jonathon Lacey was
no longer with the oIIice, that the Iile/documents could not be located, and that there was no
Iurther inIormation available concerning contacting him or his location. I thereupon delivered by
hand, copies oI said documents to the oIIice oI then U.S. Attorney Alito, addressed to him, with
assurance they would go directly to him. In addition to being inept | I looked in on the one mob
case he had brought, bungled, lost (accidently on purpose?) since I was suing some mob-
connected under RICO and the court (I had known / previously met outside oI court the judge
Ackerman through a client) was absolute bedlam and a total joke since incompetent ! corrupt
Alito brought in all 20 mob deIendants (rather than prosecute one or a Iew to Ilip them Iirst) who
Ieigning illness had beds/cots in the courtroom along with their moans during testimony and had
the jury in stitches. As much as I hate the mob, it truly was Iunny, iI not so tragic.|, Alito is also
corrupt (and maybe corrupt because he is inept). AIter a reasonable (but still rather short) time I
called to determine the status and was told that Alito was no longer with the OIIice oI the U.S.
Attorney, that he was (appointed) a Iederal judge, and that neither the documents nor any Iile or
record oI same could be located. Alito did parley the same / cover-up into quid pro quo direct
liIetime appointment to the Court oI Appeals, 3rd circuit, despite the absence oI judicial
experience or successIul tenure as U.S. Attorney (Maryanne Trump Barry as well). This is the
same Sam Alito that now sits on the purported highest court in the land. The real application oI
the illegal rule 'don't ask, don't tell'.

There is applicable ins! urance / surety coverage and neither LA, nor creditors, nor I should
continue to have been damaged by this brazened corrupt and illegal scenario, which should be
resolved in accordance with the meaningIul rules oI law apposite thereto.

Sincerely,

Albert L. Peia
611 E. 5th Street, #404
(213) 219-**** (cell phone)
(213) 622-3745 (listed land line but there are unresolved problems with the line, computer
connection may be the reason but I hesitate to chance greater non-perIormance / worsening by
their 'Iix' so cell phone best Ior contact).recent change 323-786-6651 -magic jack}

----------

tampered with inasmuch as your oIIice could not locate same). This cover letter (9-13-10) is on
the 3 disks w! ith navigable hyperlinks to the subject Iiles Ior ease oI reIerence, i ncluding the
Iiles in the RICO action as indicated. (10-15-10) I spoke with Rose, FBI, ADIC Secretary, who

http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpenaltyoIperjury.pdI
http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm Cases against Wall Street lag
despite Holder's vows to target Iinancial Iraud WP Obama has promised to hold Wall Street
accountable Ior the meltdown. America Is a Failed State Because It Won't Prosecute Financial
Crime Washington's Blog / the grim economic reality | http://albertpeia.com/grimreality.htm
RankCountriesAmount
# 1United States :11,877,218
# 2United Kingdom :6,523,706
# 3Germany :6,507,394

UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'ignore cases that involve black
deIendants and white victims ' Cases against Wall Street lag despite Holder's vows to target
Iinancial Iraud WP , Obama has promised to hold Wall Street accountable Ior the meltdown.

THE OBAMA DECEPTION' http://albertpeia.com/obamadeceptionhighqualityversion.Ilv

http://www.albertpeia.com

http://www.albertpeia.com/todayspage.htm

http://albertpeia.com/Ibimartinezcongallard.htm

Sincerely and Regards,

Al Peia

Thank you Ior sending me your email.

9-2-11
It is aIways somewhat reassuring that someone, Iike yourseIf in Washington, is
committed to finding soIutions to the myriad of probIems confronting the nation;
some insurmountabIe [ America's debt woe is worse than Greece's Sep 21st,
2011 News (CNN) - 'Our government is utterIy broke. There are signs everywhere
one Iooks. The government's totaI indebtedness - its fiscaI gap - now stands
at 211 trillion' 8 More Reasons Why You ShouId Be DeepIy Concerned That The
U.S. Government Has Lost Its AAA Credit Rating The Economic CoIIapse '. #8
The U.S. nationaI debt continues to get worse by the day. Just check out
what economics professor Laurence J. KotIikoff recentIy toId NPR..'If you add
up all the promises that have been made for spending obligations, including
defense expenditures, and you subtract all the taxes that we expect to collect, the
difference is 211 trillion. That's the fiscal gap" ..' , Soros: US Is AIready in
DoubIe-Dip Recession CNBC.com , the unprosecuted frauds on wall street .
Dave's Daily:'.. The HAL 9000s have been doing business as HFTs (High
recent end-of-quarter price jam-job..' End of Quarter Price Mark-Ups; Dave's DaiIy
Roubini: U.S. in Throes of Economic Contraction Sep 27th, 2011 News
(BIoomberg) , SHILLER: House Prices ProbabIy Won't Hit Bottom For Years Sep
27th, 2011 News (BusinessInsider) , etc. ] , confronting the nation. Yet it's
somewhat difficuIt to imagine that pension pIans, particuIarIy of the defined
benefit variety as opposed to the more fiscaIIy conservative defined contribution
type, anywhere in america are over-funded in Iight of overIy optimistic
'assumptions' for returns on said funds (ie., Drudgereport: STUDY: State, IocaI
gov'ts must raise taxes $1,400 a year for 30 years to fund pensions...
Chicago county faces $108 billion gap in pensions....
Treasury to tap pensions to fund government (Washington Post) ].

On September 22, 2011 I spoke with FBI Agent BiII Lewis in Washington who was
recentIy promoted to the FBI Headquarters Office (D.C.) from the FBI office here
in LA, and with whom I had discussed the matters of which you are aware; and
which matters are weII within Washington's abiIity to easiIy resoIve what shouId
have been resoIved in accordance with cIear Iaw quite some time ago. It is
difficuIt to imagine the u.s. government soIving the gargantuan, nation-
destructive probIems confronting the nation when through typicaI corruption,
meaningfuI IawIessness, Iack of wiII, etc., have chosen not to soIve my matter as
reIated to you in accordance with cIear Iaw and which wouId cIearIy be the right
thing to do at Iong Iast.
PreviousIy I wrote to thank you for thinking of me and for the courtesy extended.
However, in aII honesty, with rare exceptions (ie., maybe 'post-cards'?, etc.), I
don't use the usps that I've found so unreIiabIe. The foIIowing is my comment to
an LA Times articIe regarding a Justice Department cover-up and as pertains to
the usps! As I've previousIy reIated to you, aII I think about day and night is a
Iong overdue resoIution to the RICO Iitigation as set forth therein:

U.S. Postal Service nearing bankruptcy as email asserts its dominance [Good! Let
UPS take them over . the usps is totaIIy unreIiabIe]
Drudgereport: BROKE: POST OFFICE SYSTEM MAY SHUT DOWN ENTIRELY
THIS WINTER... [Good! Let UPS take them over . the usps is totaIIy unreIiabIe]
PostaI Service warns it couId defauIt.[ No surprise here .. the usps is totaIIy
unreIiabIe! ] ...
Post Office proposes cutting 120,000 jobs, puIIing out of heaIthcare pIan .[ Let
UPS take over the usps! ]...

Unions angry over PostaI Service cuts They said any move to break Iabor
contracts to Iay off 120,000 wouId hurt the aIready aiIing movement. (Washington
Post) [ I reiterate my caII for the weII managed, efficient, and reIiabIe company,
UPS to take over the operation of the poorIy managed, inefficient, and unreIiabIe
USPS. PostaI Service seeking 20 percent staff cut EXCLUSIVE | In cost-cutting
bid, USPS aIso proposes withdrawing empIoyees from existing heaIth and
retirement pIans and creating its own benefit programs. Congress wouId need to
sign off. (Washington Post) [ I think it's a great idea. Indeed, 50% wouId be
substantiaIIy better. Even better yet, UPS shouId take over their entire operation.
After aII, UPS is weII managed and efficient; and aIso, very reIiabIe. On the other
hand, the USPS is poorIy managed, inefficient, and very unreIiabIe:
October 15, 2010 (*see infra {uItimateIy deIivered by UPS})
----------

*The foregoing and as indicated therein was previousIy send 9-14-10 but deIivery
confirmation was fIawed as set forth beIow and my inquiries to the u.s. postaI
service rebuffed (I beIieve tampered with inasmuch as your office couId not
Iocate same). This cover Ietter (9-13-10) is on the 3 disks with navigabIe
hyperIinks to the subject fiIes for ease of reference, incIuding the fiIes in the RICO
action as indicated. (10-15-10) I spoke with Rose, FBI, ADIC Secretary, who
indicates once again that your office has not received the aforesaid and which
can reasonabIy be presumed to have been tampered with, and hence, a vioIation
of the federaI statute concerning same. (UItimateIy deIivered by UPS) ]

The foIIowing incIudes the context reIating to the foregoing:
Report: DOJ investigating S&P's mortgage securities ratings Associated Press
The Justice Department is investigating whether the agency improperIy rated
dozens of mortgage securities in the years Ieading up to the financiaI crisis.
(Washington Post) [ There you go . the retaIiation . the Iong awaited payback
(quid pro quo -the no pros- witheId) for Iong overdue pervasiveIy corrupt, defacto
bankrupt u.s. downgrade. They shouId be investigating themseIves, the SEC (
SEC destroyed documents, senator says ), among numerous other frauduIent,
iIIegaI schemes, activities. SHARE YOUR OPINION ON THE DEBT LIMIT
The foIIowing is my comment to an LA Times articIe regarding a Justice
Department cover-up! As for your inquiry, aII I think about day and night is a Iong
overdue resoIution to the RICO Iitigation as set forth therein:
ATF Chief MeIson:Justice Department trying to shieId officiaIs (LATimes) Serrano

I beIieve him!

I truly empathize with the ATF in terms of government cover-ups, notably by
even the DOJ. You'll recognize some familiar names (ie., Alito, Trump, Freeh
(Louis Freeh now has dual citizenship with Italy), and some familiar crimes (ie.,
drug money laundering, etc. - real cash cow for gov't ops, bribes, etc.). [Did you
know this about the following ATF Agents who were probably viewed as loose
ends: Steve WiIIis, Robert WiIIiams, Todd McKeahan & Conway LeBIeu: Died
February 28, 1993 by gunfire at Waco. AII four were examined by a pathoIogist
and died from identicaI wounds to the Ieft tempIe. AII four had been body guards
for BiII CIinton, three whiIe campaigning for President and when he was Governor
of Arkansas.They aIso were the ONLY 4 BATF agents kiIIed at Waco. ]

Here's some reaI, compIicit cover-up / fraud on the part of the federaI
government, et aIs:


FederaI Bureau of Investigation, USDOJ
11000 WiIshire BIvd., Suite 1700
Los AngeIes, CA 90024

Dear Sir:

I encIose herewith 3 copies of the within DVD rom autorun disk (which wiII open
in your computer's browser) as per your office's request as made this day (the
disk and contents have been scanned by Avast, McAfee, and Norton which I've
instaIIed on my computer to prevent viraI attacks / infection and are without
threat). I aIso incIude 1 copy of the DVD as fiIed with the subject court as
referenced therein (which fiIes are aIso incIuded on the aforesaid 3 disks in a
separate foIder named '112208opocoan'). The (civiI) RICO action (as you're aware,
the RICO Act is a criminaI statute which provides a civiI remedy, incIuding trebIe
damages and attorney fees, as an incentive for private prosecution of said cIaims
probabIy owing to the fact that the USDOJ seems somewhat overwheImed and in
need of such assistance given the seriousness and prevaIence of said vioIations
of Iaw which have a corrupting infIuence on the process, and which corruption is
pervasive). A grievance compIaint against Coan was aIso fiIed concurrentIy with
the subject action and heId in abeyance pending resoIution of the action which
was iIIegaIIy dismissed without any supporting Iaw and in contravention of the
Order of The HonorabIe Robert N. Chatigny, Chief Judge, USDC, District
Connecticut. The fiIes beIow the horizontaI ruIe are the referenced documents as
fiIed. (Owing to the damage to the financiaI interests of both the U.S. and the
District of Congresswoman RoybaI-AIIard, viz., Los AngeIes, the Qui Tam
provisions of the FederaI FaIse CIaims Act probabIy wouId appIy and I wouId
absent resoIution seek to refer the within to a firm with expertise in that area of
the Iaw with which I am not famiIiar).

The document in 5 pages under penaIty of perjury I was asked to forward to the
FBI office in New Haven is probabIy the best and most concise summary of the
case RICO Summary to FBI Under PenaIty of Perjury at Their Request (5
pages) [ ricosummarytoFBIunderpenaItyofperjury.pdf
http://aIbertpeia.com/ricosummarytoFBIunderpenaItyofperjury.pdf ].

The correspondence I received from the Congresswoman by way of emaiI
attachment (apparent but typicaI probIem with my maiI) aIong with my response
thereto is incIuded on the 3 disks as fbicorrespondencereyes.htm . With
regard to the caIIs to the FBI's LA and New Haven, CT offices: There was one caII
to the LA office and I was referred to the Long Beach, CA office where I
personaIIy met with FBI Agent Jeff Hayes to whom I gave probative evidentiary
documents of the money Iaundering which he confirmed as indicative of same
(he was transferred from said office within approximateIy a month of said meeting
and his Iocation was not discIosed to me upon inquiry). The matter was assigned
to FBI Agent Ron BarndoIIar and we remained in touch for in excess of a decade
untiI he abruptIy retired (our Iast conversation prior to his retirement reIated to
the case and parentheticaIIy, Rudy GiuIiani whose father I stated had been an
enforcer for the mob to which he registered disbeIief and requested I prove it,
which I did - he served 12 years in prison, aggravated assauIt/mansIaughter? -
and no, there is no Chinese waII of separation - Andrew MaIoney's the one that
prosecuted gotti).

In contradistinction to the statement in said correspondence, there is a pIethora
of information incIuding evidence supporting the cIaims set forth in the RICO
VERIFIED COMPLAINT (see infra). Such incIudes and as set forth in the case,
inter alia,

O A judgment had been entered in my favor in the case, United States District
Court Case #3:93cv02065(AWT)(USDCJ AIvin Thompson), worth
approximateIy now in excess of $300,000 remains unaccounted for and
which couId be used for payment to creditors, Los AngeIes, etc..
O CounseI Robert SuIIivan on my behaIf documented by way of certification
upon investigation that AIan Shiff, USBCJ, had faIseIy stated a dismissaI
upon which faIse statement he predicated a retaIiatory and spurious
contempt proceeding against me causing substantiaI damage, and for
which he sought JudiciaI Notice of those and reIated proceedings as did I
in some of my fiIings.
O The Order of DismissaI With Prejudice by AIan Shiff, USBCJ, owing to
Defendant Coan's faiIure to fiIe anything whatsoever by the court's
deadIine causing creditors and me substantiaI damages: [ Shiff Order of
DismissaI With Prejudice on Coan's FaiIure to FiIe Page 1
Page 2 ]
O Defendant Coan had fiIed an action against me to prevent me from suing
him which necessitated me to fIy to Connecticut for a hearing before The
HonorabIe Robert N. Chatigny, Chief Judge, USDC, District of Connecticut,
who denied Coan's requested reIief as to Coan but precIuded my action
against Shiff (aIthough there is no immunity, judiciaI or otherwise, for
criminaI acts, ie., fraud connected with a case under TitIe 11, USC, etc.) . [
transcript in pertinent part - http://aIbertpeia/crossexamofcoanbypeia.pdf
]
O NewIy appointed judge, Maryanne Trump Barry, DonaId Trump's sister, was
assigned the RICO case despite the confIict of interest in Iight of hundreds
of thousands of doIIars of iIIegaI (drug) money being Iaundered through the
Trump casinos by the RICO defendants, and despite my motion to recuse
her which motion she heard herseIf and denied, and U.S. Trustee Hugh
Leonard with whom I met personaIIy refused to join or fiIe a separate
motion to recuse and not Iong thereafter Ieft said office for private practice
at CoIe, Shotz, et aIs on retainer with the RICO defendants as his primary
cIient.
O Probative and evidentiary documents, affidavits, exhibits, incIuding those
turned over to FBI Agent Jeff Hayes in Long Beach, CA, had been given to
Assistant U.S. Attorney Jonathan Lacey with whom I met personaIIy at the
U.S. Attorney's Office in Newark, N.J., at which time SamueI AIito was U.S.
Attorney, and went over said documents and their probative vaIue with
him. Within approximateIy a month thereafter upon inquiry I was toId that
Jonathon Lacey was no Ionger with the office, that the fiIe/documents
couId not be Iocated, and that there was no further information avaiIabIe
concerning contacting him or his Iocation. I thereupon deIivered by hand,
copies of said documents to the office of then U.S. Attorney AIito,
addressed to him, with assurance they wouId go directIy to him. In addition
to being inept [ I Iooked in on the one mob case he had brought, bungIed,
Iost (accidentIy on purpose?) since I was suing some mob-connected
under RICO and the court (I had known / previousIy met outside of court
the judge Ackerman through a cIient) was absoIute bedIam and a totaI joke
since incompetent corrupt AIito brought in aII 20 mob defendants (rather
than prosecute one or a few to fIip them first) who feigning iIIness had
beds/cots in the courtroom aIong with their moans during testimony and
had the jury in stitches. As much as I hate the mob, it truIy was funny, if not
so tragic.], AIito is aIso corrupt (and maybe corrupt because he is inept).
After a reasonabIe (but stiII rather short) time I caIIed to determine the
status and was toId that AIito was no Ionger with the Office of the U.S.
Attorney, that he was (appointed) a federaI judge, and that neither the
documents nor any fiIe or record of same couId be Iocated. AIito did parIey
the same / cover-up into quid pro quo direct Iifetime appointment to the
Court of AppeaIs, 3
rd
circuit, despite the absence of judiciaI experience or
successfuI tenure as U.S. Attorney (Maryanne Trump Barry as weII). This is
the same Sam AIito that now sits on the purported highest court in the
Iand. The reaI appIication of the iIIegaI ruIe 'don't ask, don't teII'.

There is appIicabIe insurance / surety coverage and neither LA, nor creditors,
nor I shouId continue to have been damaged by this brazened corrupt and
iIIegaI scenario, which shouId be resoIved in accordance with the meaningfuI
ruIes of Iaw apposite thereto.

SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)
(213) 622-3745 (Iisted Iand Iine but there are unresoIved probIems with the Iine,
computer connection may be the reason but I hesitate to chance greater non-
performance / worsening by their 'fix' so ceII phone best for contact).{recent
change 323-786-6651 -magic jack}

----------


# 3 Germany: 6,507,394


http://www.aIbertpeia.com



SincereIy and Regards,

AI Peia

Thank you Ior sending me your email.(10-21-11)


Fed muIIs how to share its goaIs At meeting this week, poIicymakers are
expected to debate how the Fed communicates with the pubIic. (Washington
Post) [ Communicate with the pubIic? Oh, they have . That 'no-recession'
communication was a reaI 'bug-a-boo'. The 'green-shoots' though not so
designated appIied to waII street onIy; except in the form of green as in more
cash funny money to benefit the frauds on waII street. As for conveying the fed
mandates, the resuIts speak for themseIves. What can the FederaI Reserve do?
With the U.S. economy at risk of a doubIe-dip recession, the centraI bank Iacks
tooIs to do anything. (Washington Post) [ Oh I'd say they've done quite enough .
wouIdn't you? . Is Bernanke FaiIing His Fed Mission Or Just DeIusionaI? at
Forbes Robert arone [ How 'bout both! I mean, come on! This catering to
fraudulent wall street was a loser ab initio! That so-called 'wealth effect' market
froth was used previously by senile 'maestro' greenspan and failed miserably
except for the frauds on wall street who commissioned up and down; and, make
no mistake, those computer-programmed high-frequency trading volumes have
now been maximized for nation-economy-draining profits for the frauds like never
before and have never been higher. The QE and dollar-debasement policies were
always predictably inflationary, ultimately hyperinflationary, particularly for
stocks; that 'feel good' obfuscation that was but in reality good only for the
frauds on wall street. No, there is no modern day alchemy that spins worthless
paper into gold except fraudulently for the frauds on wall street who've literally
oftimes done exactly that; 'cashing out' for hard currency and gold, precious
metals, at everyone else's expense including main street. ] In his June 7 speech,
Fed Chairman Ben Bernanke stated, "the best way for the FederaI Reserve to
support the fundamentaI vaIue of the doIIar in the medium term is to pursue our
duaI mandate of maximum empIoyment and price stabiIity, and we wiII certainIy
do that."
.. Bernanke's resuIts .. since Ben took the reins:
Feb '06 - ApriI '11
Items in a TypicaI Budget % Change
Food and Beverages 16.54%
Water and sewer and trash coIIection
services 31.88%
Rent of primary residence 13.82%
Housing 8.68%
FueIs and UtiIities 11.93%
AppareI 4.83%
MedicaI Care 20.11%
GasoIine (aII types) 65.12%
Transportation 23.36%
Tuition, other schooI fees, and chiIdcare 29.28%
Recreation 2.87%
.. The standard unempIoyment rate most often used by the Fed is currentIy at
9.1%, up 90% since Bernanke started. The more incIusive (reaIistic) U6 number
stands at 15.8%, up 75% in the same period. The CiviIian Participation Rate has
decIined 2.87% to 64.2%.
This is the Iowest IeveI the U.S. has seen since March, 1984. The decIine
amounts to 8,946,844 fewer Americans in the Iabor force. Had they not dropped
out because of a Iack of jobs, the "officiaI" unempIoyment rate wouId be
significantIy higher. WhiIe we can debate the meaning of the term maximum
empIoyment, it is cIear that the jobs data has deteriorated considerabIy since
Bernanke took the reins at the Fed. ..
In concIusion, it is evident that Ben Bernanke is faiIing his mandates. We beIieve
it must come down to one of the foIIowing reasons:
1. Bernanke does not know how to achieve his mandates;
2. The poIicy tooIs empIoyed don't work;
3. He does not have the abiIity to impIement poIicies that wouId work;
4. He is not trying to achieve his mandates;
5. He has goaIs other than his IegaI mandates;
6. He does not Iook at the data, and beIieves he is succeeding.
Matt Marcewicz & Robert Barone, Ph.D.
.. '


The frauds on wall street et als should be criminally prosecuted, jailed, fined, and
hedge-
, MF GIobaI Caught in Death SpiraI , SeII H-P! Against the Grain 10/31/11 ,
http://gainspainscapitaI.com/?p=1010 Summers 10-28-11, Be Honest - The
European Debt DeaI Was ReaIIy A Greek Debt DefauIt Posted by : iIene Post date:
10/28/2011 - 2012 Iooks Iike it is going to be an extremeIy painfuI year. [ Yes! Very
painfuI! I beIieve Dave was the first 'to get this' in passing yesterday; and,
thinking on it more, I beIieve this charade cheered particuIarIy by the frauds on
waII street (and surprisingIy germany) was for the purpose of 'voIuntary' to avoid
the Credit DefauIt Swap trigger. Yet, the reaI bad news is that, even worse than as
with the Iast financiaI debacIe, owing to the greed-driven, commission/fee
generating churn and earn of innumerabIe, bogus, worthIess, Ievered, negativeIy
vaIued on event financiaI instruments at computerized Iightning speed, the
commission-generating paper is beyond the frauds' abiIities to account for; and
not just the CDS's ( ETFs have potentiaI to become the next toxic scandaI Sep
19th, 2011 News (The TeIegraph) FinanciaI StabiIity Board (FSB), an internationaI
(ETFs)"..warning - ETFs are not the cheap and transparent vehicIes the
marketers wouId have us beIieve ..no one who read the FSB report was surprised
to see the words ETF and rogue trader in the same sentence. haIf of the ETFs in
Europe today do not match the index they are designed to track by hoIding aII of
its constituent shares.. Derivative trades add a second Iayer of uncertainty .. the
counterparty risk that the organisation on the other side of the contract might go
bust. Even worse, the provider of the ETF might sometimes be a part of the same
organisation as the derivatives desk carrying out the swap.For reasons which
I'm not sure I couId expIain even if I had the space, it is possibIe for the number
of shares soId short in an ETF to massiveIy exceed the actuaI number of shares
avaiIabIe.'). Not onIy is it that The Greek DeaI AccompIishes Nothing. Systemic
Risk is Coming http://gainspainscapitaI.com October 27th, 2011 (Yes! It's
happened again. No . not just the (Weimar) funny money and raIIy as in the great
depression foIIowed by the inevitabIe bust /crash ParaIIeIs to The Great
Depression Suggest Higher Prices FoIIowed by a Bust ETFguide Simon
Maierhofer, October 25, 2011), but The Coming Derivatives Crisis That CouId
Destroy The Entire GIobaI FinanciaI System The Economic CoIIapse , The REAL
$200 TRILLION ProbIem Bernanke's Worried About Phoenix CapitaI... 'US
CommerciaI banks have $200 TRILLION in interest rate based derivatives sitting
on their baIance sheets. And guess which banks have the greatest exposure.' ;
and, finaIIy the coup de gras , America's debt woe is worse than Greece's News
(CNN) - 'Our government is utterIy broke. There are signs everywhere one
Iooks.The government's totaI indebtedness is $211 trillion', UnthinkabIe Poised
to Happen on WaII Street. See Disturbing Charts. (Moneynews)
http://www.stansberryresearch.com/pro/1108PSI9MOVD/PPSIMA06/PR , Dave's
Trading) systems

Art Cashin On The Most Important History Lesson Of The Last Century Oct 13th,
2011 08:40 by News ZeroHedge) - Today, instead of the traditionaI market
observations by the Chairman of the Fermentation Committee, we share with
readers a criticaI historicaI Iesson from Art Cashin, focusing on an event that
took pIace 89 years ago, which as Cashin says "one of the most devastating
economic events in recorded history and an important backdrop to Europe today.
It aII began with the efforts of a few, weII intentioned government officiaIs." Many
wiII know what we are taIking about aIready.OriginaIIy, on this day (-2) in 1922,
the German CentraI Bank and the German Treasury took an inevitabIe step in a
process which had begun with their previous effort to "jump start" a stagnant
economy. Many months earIier they had decided that what was needed was
easier money. Their initiaI efforts brought IittIe response. So, using the
governmentaI "more is better" theory they simply created more and more money
But economic stagnation continued and so did the money growth. They kept
making money more avaiIabIe. No reaction. Then, suddenIy prices began to
expIode unbeIievabIy (but, perverseIy, not business activity).[source] PG View:
The hyperinfIation of the Weimar RepubIic is unquestionabIy Germany's defining
economic moment, much Iike the Great Depression is ours. It goes a Iong way
toward expIaining why Germany continues to baIk at further baiIouts, Ieveraging,
bond buying and expansive Iiquidity measures; they understandabIy fear the
infIation. Keynsian thinking says governments shouId be printing and spending
Iike mad in the face of grim growth prospects and an impending banking crisis,
but German's recaII aII-to readiIy that when ber-easy monetary poIicy gets out of
controI, things can go from bad to catastrophic in a heartbeat. Cashin's piece is
indeed an important history Iesson we aII shouId take heed of. For further insight
into the Weimar hyperinfIation, be sure to read The Nightmare German InfIation.
Previous:The latest b***s*** story into the close is 'rich', but not as in wealthy.
One interviewee / pundit even preposterously referred to the 'Marco Polo effect',
viz., that communist China's rumored to be about to save one of the PIIGS, italy
. but who's going to save communist china . really . some very bad karma for
communist china just 'round the corner! Don't forget, the market's rallied literally
many hundreds of points owing to that spin / b***s*** called the 'euro solution',
etc., which of course, never existed in reality, but great 'fraud' points (that
computerized hf commissioned churn-and-earn, up and down, get you now and
get you later). Then the so-called 'technical support' levels . based on much
worse than spun fundamentals / reality. It's the other way around, fools .
fundamentals create technical support levels, not vice versa. Unprecedented
MonthIy VoIume SeII-Off Suggests Now's the Time to Take SheIter at Minyanville
Kevin A. TuttIe Sep 12, 2011 , Preparing for a Credit Crisis at Minyanville John
Mauldin , What's the Long-Term OutIook for Stocks and The Economy?
ETFguide Simon Maierhofer, September 12, 2011 , ] Prepare For Recession
And Bear Market at Forbes Sy Harding, 'Brace yourseIf for a recession , Senate
(QuietIy) Approves $500 BiIIion Increase in Borrowing Authority Sep 9th, 2011 by
News (WSJ BIogs) PG View: Shhhhh. Don't tell anyone, but we blew through that
initial 00 bln debt ceiling hike in about a month / Europe on the Verge of a
PoIiticaI Breakdown News , earish Mega Trends Simon Maierhofer / S&P 1,100
And Lower - More Likely Than you Think , STOCKS DEMOLISHED, EUROPE
NEAR BREAKING POINT: Here's What You Need To Know usiness Insider ,
Ominous ear Flag Pattern Suggests S&P 500 At 1,000 Scott Redler ,Keep in
mind the 'r' word ('recession'- actuaIIy shouId be 'd' word for depression)
subtracting out the understated infIationary price increases (defIating growth with
reaIistic infIation defIator), we're aIready there (- see, Burt Dohmen, FinanciaI
Crisis Phase II Is Ahead at Forbes, infra) 7 Reasons Why New Lows are
Likely ETF Guide , AIbert Edwards Has Another Reason You ShouId Worry
About Profits The Wall Street Journal, Mark GongIoff , Chart Shock: The REAL
UnempIoyment Rate Is 22% The Daily ail September 2, 2011 , Deja Vu AII Over
Again: TotaI US Debt Passes Debt CeiIing. In Under One Month Since Extension
Sep 2nd, 2011 News (ZeroHedge) , GIobaI Recession: Right Here, Right Now at
Minyanville Mike ShedIock Sep 02, 2011 , Fearing An Even Worse InfIationary
Depression Ahead Bob Chapman | The debauching of currencies worIdwide goes
on with great abandon. Previous: Typical (suckers' rally into the close on still
lingering hopes for more fed funny money that's a detriment / negative to all but
the frauds on wall street and has been a dismal policy failure) window-dressed
end of month based on bad news, fraud, and b***s*** alone - watch for fake data /
reports out of their sheer desperation , eware Dow In September: Do You
elieve The Data? [ NO! I DON'T ELIEVE THE GOVERNMENT DATA ( Famed
economist predicts economic caIamity in 2012x
http://w3.newsmax.com/a/aftershockb/video.cfm?promo_code=CA79-1 , NOR
DO I ELIEVE THE NON-GOVERNMENT DATA (Accounting Gimmics Resurface
as Growth FIounders at TheStreet Rebekah Smith, infra) , GIobaI Recession
LikeIy, Depression PossibIe: Economist Aug 31st, 2011 by News (CNBC) ,
Ignore Buffett's Advice, Don't Buy Stocks Forbes / Dohmen , The "Crimes" That
Wrecked The Markets Forbes / Lenzner , What to Expect Next From the Markets
at Minyanville Jeffrey Cooper Aug 29, 2011 'Conclusion: It looks like a program
was run using the least amount of dollars to goose the indices by focusing on
some big cap names like Apple (AAPL), Amazon (AMZN), aidu (IDU), IM (IM),
and Caterpillar (CAT) on Friday. That is why the market is so dangerous here.'
Arguments for Being in the Crash Camp Conor Sen Aug 29, 2011 'If you want to
take risk, onIy own things you're wiIIing to own in a down 20-30% tape, because
that's what we couId see over the next month...' , Economic / FinanciaI CoIIapse
Imminent - Stansberry Investment Advisory
http://www.aIbertpeia.com/stansberrysinvestmentadvisory.fIv Harry Dent, Jr.
Economy wiII be in a Depression by 2011 Dow wiII FaII to 3,800 - 4,500 by 2012
Nasdaq wiII FaII BeIow 1,100, its 2002 Iow, by Iate 2010 or mid-2012 at the Iatest.
U.S. DoIIar wiII DecIine Housing wiII DecIine by 40 - 60% from Today's LeveIs
Greatest Economic and Banking Crisis since the 1930s wiII Occur Between 2010
and 2012). Fed Economists Predict A 15 Year Bear Market For Stocks Aug 23rd,
2011 News (BusinessInsider) , End Of Cycle Smelling Like Dow 3K, Gold 3K
Forbes / ill onner , No Recession Coming ... It's AIready Here , FinanciaI
Crisis Phase II Is Ahead at Forbes Bert Dohmen ' In Iate 2007, I wrote the book
Prelude To Meltdown, predicting the gIobaI crisis that occurred the foIIowing
year. I now see a simiIar confIuence of events that warns of phase II of the gIobaI
crisis. My work shows that "the new recession has started.". Over the past 33
years, we have caIIed the start of every recession, often on the exact month, or
within one month, of the officiaI start as determined one year Iater by the officiaI
arbiter of recession, the NationaI Bureau of Economic Research (NBER).
However, infIation is far understated for poIiticaI reasons. CurrentIy, the GDP
defIator is 1.8%, which hardIy refIects the true rise in prices. Therefore, what is
counted as "growth," is actuaIIy price increases. ActuaI infIation, according to
free market economists who caIcuIate infIation as it was done in 1980 before the
poIitician re-engineered it, is now more than 11%. Using that to adjust GDP for
infIation, wouId show that the economy is now in a very sharp contraction.' ,
NOR DO I ELIEVE THE NON-GOVERNMENT DATA (Accounting Gimmics
Resurface as Growth FIounders at TheStreet Rebekah Smith) at this point of
abounding desperation for both. ] Murray CoIeman 'If you beIieve in seasonaI
factors, betting on the Dow Jones ndustrial Average ETF (DIA) wouIdn't seem Iike
the best pIay about this time of year. Over the past 100 years, the Dow itseIf has
averaged a drop of 0.8% in September, according to Bespoke Investment Group.
Over the Iast 50 years, the Dow has averaged a faII of 0.79%; in the past 20 years
the benchmark has typicaIIy dropped by 0.60% during the month.'

Obama's Legacy: A Failed Recovery & Double-Dip Recession Forbes / Mariotti
'.There wiII be no significant recovery in the United States of America whiIe
Barack Obama is President. The evidence is overwheIming: everything Obama
has tried to fueI a recovery (with his Democratic aIIies in Congress) has faiIed.
Statistics cIaiming jobs saved by the stimuIus package were mostIy fiction, and
cost American taxpayers about $275,000 each. NearIy 2-1/2 miIIion fewer
Americans have jobs than before the stimuIus. Barack Obama has been President
for 30 months-2-1/2 years. He spent the first year obsessed with passing
Obamacare, a program that doesn't create jobs, but might destroy a Iot of them.
He "baiIed out" GM, but many beIieve that his interference didn't save GM; it
mereIy cost taxpayers an extra $15-20 biIIion, and stoIe from Iegitimate investors
to buy off the UAW. His broken campaign promises are too numerous to Iist. At
some point, his statute of Iimitations on bIaming Bush runs out.' , The Bear
Market RaIIy Has Begun at Minyanville Toby Connor Aug 30, 2011 '.Investors
need to be prepared. This is going to be a very, very convincing raIIy. The
tendency is going to be to buy into the media hype -- that this was nothing more
than a severe correction in an ongoing buII market. This was not a correction.
This was the first Ieg down in a new cycIicaI (secuIar) bear market. And Iike aII
bear markets it wiII be subject to vioIent countertrend raIIies that toy with traders'
emotions, and uItimateIy cause investors to ride the bear aII the way to the
bottom.' ScandaI scarred commerce dept. report on consumer spending with
anemic income figures (typicaIIy as aIways unworthy of beIief as unbeIievabIe
anything the government says in their desperation) spurs suckers' raIIy (aIong
with some short covering) to suck suckers in and keep suckers sucked in.
Massive Understatement: Mohamed El-Erian's reply to Frank Motek 1070am
regarding particularly the 300+ point swing to the upside today, '(they're)
confused'! Indeed they are! ut when you're commissioning those manipulated
computer programmed high-frequency-trade swings, churning and earning at
lightning speed, such euphemistic criticism falls short with the impact of water
off a duck's back. Moreover, how pathetic are they, those Pavlov dogs on wall
street salivating at the mere prospect of a QE handout ultimately at taxpayer
expense, in one form or another. Even more pathetic is the so-called 'rally' based
on a purported rethink of fedspeak alleged to be so filled with ' latent / hidden '
meaning of a form of QE welfare down the road. Those pathetic 'titans of
capitalism'; aka, the frauds of wall street. Never mind that the QE's have failed
miserably and at great costs (inflation, financial, economic, etc.) and detriment to
all but the frauds on wall street by way of their manipulated computer-
programmed ( high frequency trading) commissioned churn-and-earn. Wall
street's rise has been among the causes of and comcomitant to america's decline
/ demise. Remember, there is no modern day alchemy that spins worthless paper
into gold except fraudulently for the frauds on wall street who've literally oftimes
done exactly that; 'cashing out' for hard currency and gold, precious metals, at
everyone else's expense including main street. They're just not that important
and represent, like termites eating away at the nation's foundation, a drag on the
economy, the nation as one would expect from parasites such as they are. So
what's changed of significance? Nothing! Absolutely nothing; yet a manipulated
computer-programmed ( high frequency trading bots ) churn-and-earn suckers'
rally based on desperation, bad news, fraud and b***s*** alone to suck suckers in
and keep suckers sucked in. Horrific news on the economic front particularly
since the anemic (revised downward - and I think much worse than reported) 1%
GDP growth is all owing to hefty price increases / inflation, fudged and not
reported accurately. FinanciaI Crisis Phase II Is Ahead at Forbes Bert Dohmen ' In
Iate 2007, I wrote the book Prelude To Meltdown, predicting the gIobaI crisis that
occurred the foIIowing year. I now see a simiIar confIuence of events that warns
of phase II of the gIobaI crisis. My work shows that "the new recession has
started.". Over the past 33 years, we have caIIed the start of every recession,
often on the exact month, or within one month, of the officiaI start as determined
one year Iater by the officiaI arbiter of recession, the NationaI Bureau of
Economic Research (NBER). However, infIation is far understated for poIiticaI
reasons. CurrentIy, the GDP defIator is 1.8%, which hardIy refIects the true rise in
prices. Therefore, what is counted as "growth," is actuaIIy price increases. ActuaI
infIation, according to free market economists who caIcuIate infIation as it was
done in 1980 before the poIitician re-engineered it, is now more than 11%. Using
that to adjust GDP for infIation, wouId show that the economy is now in a very
sharp contraction.' This is an especially great opportunity to sell / take profits
because there's much worse to come! , Despite being glad that Apple has
survived (though outlook now dimmed regardless of rhetoric and beyond the
Jobs retirement), 'american technology is horrendous and vastly overrated!' I
really mean it, and that's reality, which speaks volumes about the pathetic state
of the world , Famed economist predicts economic caIamity in 2012. See the
evidence.Newsmax
http://w3.newsmax.com/a/aftershockb/video.cfm?promo_code=CA79-1 50%
unempIoyment, 90% stock market drop, 100% infIation. See the Evidence
(Newsmax.com , Bernanke - Man of Mystery: Dave's DaiIy at TheStreet
'Bernanke did what a Iot of peopIe expected him to do -- speak softIy but carry a
big printing press. After being down nearIy 200 points the DJIA raIIied to cIose
higher by 135 points. Pundits shrugged embracing the idea if something was
reaIIy wrong Bernanke wouId have acted; besides, buIIs' reasoned stocks are
cheap based on traiIing PEs of around 12. Away from that was more crummy
economic news with GDP printing at onIy 1% growth. This may be revised Iower
again Iike most other indicators of Iate.' (Dave's Daily:'.. The HAL 9000s have
been doing business as HFTs (High Frequency Traders) Iaunching many buy or
seII programs using compIex aIgorithms which can drive prices on indexes
higher or Iower in dramatic fashion. One of their great acts is caIIed "quote
stuffing". It's another iIIegaI activity which the SEC hasn't quite figured out. It's as
futiIe for them as the iIIegaI fee-driven recent end-of-quarter price jam-job..') Play
It Again Sam: Dave's Daily [ As always, Dave is spot-on as an astute,
knowledgeable, seasoned veteran of the markets. ] ' .Thursday was another
great show starring JobIess CIaims, Warren Buffet, HAL 9000s, Steve Jobs and,
of course, Da Boyz running the CRIMEX (COMEX and CME) on precious metaIs
options expiration.The spin on JobIess CIaims data was prior cIaims were
adjusted higher making recent higher cIaims Iook not so bad especiaIIy when you
add Verizon workers. Warren Buffett entered from stage Ieft with a $5 biIIion
investment in Bank of America giving him 6% interest tax-free (a "coddIed"
biIIionaire?) and making he and Berkshire a new TARP program. The HAL 9000s
have been doing business as HFTs (High Frequency Traders) Iaunching many
buy or seII programs using compIex aIgorithms which can drive prices on
indexes higher or Iower in dramatic fashion. One of their great acts is caIIed
"quote stuffing". It's another iIIegaI activity which the SEC hasn't quite figured
out. It's as futiIe for them as the iIIegaI fee-driven recent end-of-quarter price jam-
job. One of these actions was featured courtesy of our friends at Zero Hedge and
depicted beIow as it occurred Thursday afternoon. The first chart features the
quotes per second (NOTE: one instance exceeding 800 quotes per second). The
next chart shows the market's simuItaneous
reaction. http://www.thestreet.com/tsc/daves/082511/image002.jpg Steve Jobs
sadIy is retiring from his Ieading roIe as AppIe CEO but the stock hardIy budged
given the products and brand are aIready weII-known and his retirement was
much anticipated. Last, but not Ieast certainIy, was the performance of Da Boyz
production of goId price manipuIation.' Previous: Manipulated computer-
programmed ( high frequency trading bots ) churn-and-earn suckers' rally into
the close based on desperation, fraud and b***s*** alone to suck suckers in and
keep suckers sucked in! Stocks up on government report (I consistently and
here now again warn of fake reports / data) on durables far better than
expectations / reality.100% better? I don't think so! . Come on . sheer
desperation at best! Steve Jobs resigns from Apple, Cook becomes CEO - SAN
FRANCISCO (Reuters) - SiIicon VaIIey Iegend Steve Jobs on Wednesday resigned
as chief executive of AppIe Inc in a stunning move that ended his 14-year reign at
the technoIogy giant he co-founded i... [ Far more than just a 'SiIicon VaIIey
Iegend', Steve Jobs IiteraIIy saved AppIe from extinction . I'm truIy gIad he
saved AppIe, my first computer (1986 - appIe IIc for word processing / data based
records / forms / tempIates / data which I interfaced with an eIectric typewriter for
Ietter quaIity) and for that aII shouId be thankfuI. AppIe is the Nasdaq (40%
weighting) and quite more, that now was! That's past tense. Steve Jobs goes out
a big winner as indeed he shouId! Yet, make no mistake, as one might expect, his
timing was impeccabIe inasmuch as without his uniqueIy inspired innovation,
competition moving in, and particuIarIy the coming debacIe / crisis the worst of
which Iies ahead, things are not Iooking up, in and for pervasiveIy corrupt /
defacto bankrupt america particuIarIy, euphemisticaIIy speaking. ] End Of Cycle
Smelling Like Dow 3K, Gold 3K Forbes / ill onner . 'Our view [ the correct
view ] is that the bear market began in January 2000. The feds fought it off with
two huge extravaganzas of spending - the first beginning in 2001 the other after
2008. StimuIus does wonders for stock prices but it no Ionger works for the
economy that sustains them. For every doIIar that the Fed has put to work to fight
the crisis since 2008, for exampIe, it has produced onIy 80 cents worth of GDP. It
didn't work..that the recession of '08-'09 in the US never actuaIIy
ended..and that stocks wiII go down over the next 5-10 years untiI they finaIIy
hit a reaI bottom.' Ted Weisberg to Frank Motek 1070am could think of no
reason for the market to be up (AD NEWS: new home sales down, oil prices up -
China's manufacturing index showed a decIine, the seventh straight month of
decIines for German manufacturing and the first decIine in two years for
European manufacturing activity, in u.s. a big miss on new home saIes and a
decIine in the Richmond Fed's manufacturing index.') with some prodding
ultimately a begrudging mention of that meaningless fudge term 'oversold' which
of course is no reason at all particularly since the market is substantially
overvalued so take this as an especially great opportunity to sell / take profits
because there's much worse to come! , Fed Economists Predict A 15 Year Bear
Market For Stocks Aug 23rd, 2011 News (BusinessInsider) - 'The San Francisco
Fed has come out with a research paper connecting the dots between the retiring
baby boomers and stock prices. The thinking is that the boomers wiII divest
themseIves of stocks as they retire and eat into their savings..These
concIusions are just horrendous! The suggestion is that there is a 15-year bear
market in front of us. MuItipIes wiII faII by 50%!!."We do see it as something of a
headwind as the economy is attempting to recover." . These deep thinkers have
it compIeteIy wrong. They think that the key to having a stronger economy is
higher stock prices. So they spend aII of their efforts dreaming up ways to keep
the S&P ramping up. I think it is the exact other way around. If the economy were
to be growing [ you see, that's the probIem in Iarge part - the economy won't
reaIIy be growing (huge price increases / infIation for the iIIusion), among a
muItitude of other probIems ], it is reasonabIe to assume that stock prices might
rise. It is compIeteIy faIse to assume that attempts to jigger stocks higher wiII
Iead to a stronger economy [ This is true, but the writer ignores the criminaI fraud
factor as the raison d'etre for the 'jiggering'.' ] , Dow:GoId Ratio and the SecuIar
Bear Market Minyanville Toby Connor ' . Stocks.. after.. bear market raIIy, wiII
roII over and continue down into a finaI four-year cycIe Iow..Depending on
whether or not the Fed tries to fight the cIeansing process, or Ben Bernanke tries
to stop the bear market with another round of quantitative easing, stocks shouId
either test or breach the March '09 Iows. Either way I expect that 2012 wiII go
down as one of the worst years in human history. CertainIy in the same category
as 1932, if not worse .' , 'american technology is horrendous and vastly
overrated!' , Famed economist predicts economic caIamity in 2012. See the
evidence.Newsmax
(Newsmax.com , Accounting Gimmics Resurface as Growth FIounders at
TheStreet 'Rebekah Smith, director of financiaI advisory services at accounting
and consuIting firm GBQ consuIting, says accounting tricks and schemes are
IikeIy to start unraveIing as we head into 2012 and the Iag effect catches up. "The
typicaI accounting fraud goes on for about 18 to 26 months before it is
uncovered. The frauds that took pIace in 2009 are not going to surface untiI Iater
in 2011 or into 2012." ' , Morgan StanIey Biggest WeIfare Recipient as FederaI
Reserve Lent Banks $1.2 TriIIion During FinanciaI Crisis Wall St. Cheat Sheet ,
Social Security disability on verge of insolvency , WeIcome To The New Bear
Market For Stocks Forbes / Suttmeier , Dow/Gold Ratio Lowest Since 197 Crash
Forbes / Adrian Ash , Ignore Buffett's Advice, Don't Buy Stocks Forbes /
Dohmen , The "Crimes" That Wrecked The Markets Forbes / Lenzner , Tech
Leading Market Lower The Wall Street Journal , Banks cIosed in FIa, Ga, III; 2011
totaI is 68 , No Recession Coming ... It's AIready Here MinyanviIIe's T3 DaiIy
Recap: Market Gives Back Weekend Gains Amid US Bank Woes at Minyanville'
,Previous:-1-11 Stocks raIIy off Iows to suck suckers in and keep suckers
sucked in on bad news (JobIess CIaims, InfIation Rise More Than Expected
CNBC) , fraud ( SEC destroyed documents, senator says Crimes Wrecked The
Markets ), and b***s*** aIone! MKM Bracing For SPY To Drop 8% More; Nasdaq
Nearing August Lows arrons.com, WHY NEW LOWS ARE LIKELY Maierhofer,
Is It 2008 Again? Looking at the Summer Crash of 2011 Gayed 'A reaI bear market
has begun .' , Abandon Ship?[The USS Titanic] Yes, Because of These 5
Bearish Icebergs ... McGill , There's A Recession Coming According To The Data
at Forbes , HP, Dell hammered as tech-spending outlook darkens JDSU,
NetApp, disappointing figures, shares hit hard in after-hours trade DeII braces
investors for a bumpy road DeII makes a case on why it can better weather an
upcoming storm , S&P says sell Google's shares after Motorola deal , STOCKS
FALL AFTER FLOOD OF BAD NEWS: Here's What You Need To Know Joe
WeisenthaI , Stocks Slip On Concern Over Europe's Debt, U.S. Data , Watch
Out: 2011 Looks A Lot Like The Market Top In 2007 Sean Hanlon Take A Lesson
From 2007 And SeII Stocks Now at Forbes, [video] Trader: We CouId Test 1120
Lows at TheStreet.com In a Downtrend, SeII a RaIIy (DaiIy FX) Latest:
Economist Who Predicted Market Crash Warns of 2012 Aftershock. See More
Here. ) Five Reason Stocks Are Crashing, Tips to Prepare for MeItdown
(Moneynews) UnthinkabIe Poised to Happen on WaII Street. See Disturbing
Charts. (Newsmax.com) US Recession Is Guaranteed: Expert CNBC.com So
what's changed of significance (other than previous full moon and consequent
effects on the lunatic wall street frauds) Nothing! Absolutely nothing, yet a
manipulated computer-programmed ( high frequency trading bots ) churn-and-
earn suckers' rally based on desperation, fraud and b***s*** alone (ie., backward
looking, 'revisions', faked data, etc.) to keep suckers suckered, which makes for
an especially great opportunity to sell / take profits since there's much, much
worse to come! Regulators close 6th U.S. bank this year , U.S. consumer
sentiment grim but retail sales jump with gasoline prices up , [] 'Junk' onds
Point to Recession , Stock Market Parallels to 2000 and 200 Should Not e
Ignored , How Low WiII Stocks Go? ' MichaeI Kahn, who writes the Getting
TechnicaI coIumn for Barrons.com and the QuickTakes Pro bIog, has Iong argued
we're in a secuIar (Iong-term) bear market, and he thinks the cycIicaI buII is over,
too. Like Arbeter, he sees 1,010 to 1,050 as the next IeveI of support for the S&P,
and beIow that 930.' 50% unempIoyment & 90% Dow crash aIso predicted.
Newsmax Tech up? Is this some kind of a joke? AbsoIute confirmation of dire
prospects worIdwide since american tech is horrendous. (Newsmax.com) 'Robert
Wiedemer's new book, "Aftershock: Protect YourseIf and Profit in the Next GIobaI
FinanciaI MeItdown," quickIy is becoming the survivaI guide for the 21st century.
And Newsmax's eye-opening Aftershock SurvivaI Summit video, with excIusive
interviews and prophetic predictions, aIready has affected miIIions around the
worId - but not without ruffIing a few feathers. [ The instant video on the
economic / financiaI coIIapse from Stansberry and Associates is so weII
researched and succinctIy presented that I've archived same on my website;
aIso, because the facts and views presented comport with the facts and views
I've presented on my site which I beIieve to be correct. This is a must-view, must-
see that I strongIy recommend!
The compIete urI: http://www.aIbertpeia.com/stansberrysinvestmentadvisory.fIv
http://www.aIbertpeia.com/stansberrysinvestmentadvisory.mp4 Written text of
presentation (without pictures / charts)] [A Iot of pre-eIection year obfuscation,
manipuIation but the debacIe is aIready here: Harry Dent, Jr. Economy wiII be in
a Depression by 2011
Dow wiII FaII to 3,800 - 4,500 by 2012
U.S. DoIIar wiII DecIine
Housing wiII DecIine by 40 - 60% from Today's LeveIs
and 2012). Dow 1000? Robert Prechter Thinks So Prechter Reiterrates CaII
For Dow 1,000, Even As Surging GoId And PIunging DoIIar Leave Much CredibiIity
To Be Desired BuIIs Go to Extremes: Don't Buy the "Breakout", SeII It,
Prechter Says RusseII: This Is One Of The Largest Tops In Stock Market
History My oId friend, Bob Prechter, is taIking about Dow 400. I used to think this
was an absurd joke. I no Ionger think it's a joke. The uItimate resuIt wiII be a
primary bear market shocking in duration and extent. .' Forecasts from Dent,
Napier, and then Prechter: Depression is Imminent The Dow Jones IndustriaI
Average wiII go down to at Ieast 1000, most IikeIy to beIow 777 which was the
starting point of its mania back in August 1982, and quite IikeIy drop beIow 400 at
one or more times during the bear market. [ 8 More Reasons Why You ShouId Be
DeepIy Concerned That The U.S. Government Has Lost Its AAA Credit Rating The
Economic CoIIapse '. #8 The U.S. nationaI debt continues to get worse by the
day. Just check out what economics professor Laurence J. KotIikoff recentIy toId
NPR..'If you add up all the promises that have been made for spending
obligations, including defense expenditures, and you subtract all the taxes that
we expect to collect, the difference is 211 trillion. That's the fiscal gap" ..' Why
You ShouIdn't Buy Into This PIunge Forbes/O'NeiI'The market is buiIding
momentum to the downside'.] RusseII Napier is the author of the book
"Anatomy of the Bear", a professor at the Edinburgh Business SchooI and a
consuItant to CLSA Ltd. which is one of the top research houses in Asia. Napier's
research indicates (and I paraphrase) that: The S&P 500 wiII DecIine to 400 by
2014 (the Dow 30 to 3800) The S&P 500 wiII then undergo a major crash that wiII
see U.S. equity prices bottom at aImost 50% beIow current IeveIs (i.e. to 400 or
Iess; the Dow 30 to 3800 or Iess) sometime around 2014 as Tobin's "q" drops to
0.3 signaIing the end of the bear market, as it has done at the end of the four
Iargest U.S. market decIines in 1921, 1932, 1949 and 1982. U.S. Treasury SaIes
CoIIapse Leading to End of U.S. DoIIar as Reserve Currency Robert R. Prechter
Jr. is author of a number of newsIetters and books incIuding "EIIiott Wave
PrincipIe" (1978) in which he predicted the super buII market of the 1980s; "At the
Crest of the TidaI Wave - A Forecast of the Great Bear Market" (1995) in which he
predicted a sIow motion economic earthquake, brought about by a great asset
mania, that wouId register 11 on the financiaI Richter scaIe causing a coIIapse of
historic proportions; and "Conquer the Crash: You can Survive and Prosper in a
DefIationary Depression" (2002) in which he described the economic catacIysm
that we are just beginning to experience and advised how to position one's seIf
financiaIIy during that period of time. Depression is Imminent The Dow Jones
IndustriaI Average wiII go down to at Ieast 1000, most IikeIy to beIow 777 which
was the starting point of its mania back in August 1982, and quite IikeIy drop
beIow 400 at one or more times during the bear market. Watch for fake gov't
data / reports owing to poIiticaI desperation! This an especially great opportunity
to sell / take profits, particularly if you missed Tuesday or May, since there's
much, much worse to come! Thursday, Aug.11, 2011: what changed from
yesterday which warranted a more than 500 point plunge with paper stocks still
over-valued? Well, some bad news labeled as better than expected 1) 7,000 fewer
jobless claims than expected (just a little over 1% better even if you believe them
- I don't) 2) Cisco shows results 'better than expected' 3) Record monthly trade
deficit [ What Recovery? Forbes 'we can't caII this a recovery. There's no reason
to ceIebrate when a job report was better than expected. Why? Because the
expectation was abysmaI to begin with.' 'Cisco Systems Inc's quarterIy resuIts
edged past WaII Street's scaIed-back expectations ..."They beat a Iow bar. A Iot of
it is coming from cost cutting, which we anticipated. In that sense it's a reIief,"
Joanna Makris of Mizuho Securities USA toId Reuters. 'Cisco, which depends on
government spending for about a fifth of its revenue, said in JuIy it wouId cut 15
percent of its workforce and seII a set-top box factory in Mexico.. Cisco buIIs may
underestimate tough road ahead Randewich.' ] Tuesday, Aug.9,2011: what
changed from yesterday which warranted a more than 600 point plunge with
paper stocks still over-valued and a 55 bounce off of afternoon lows? Nothing!
Absolutely nothing, yet a manipulated computer-programmed churn-and-earn
suckers' rally based on fraud and b***s*** alone to keep suckers suckered, which
makes for AN ESPECIALLY GREAT OPPORTUNITY TO SELL / TAKE PROFITS
SINCE THERE'S MUCH, MUCH WORSE TO COME! [ Is this some paraIIeI universe
where unfounded criticism is Ievied at S&P for the downgrade when they've
actuaIIy cut the pervasiveIy corrupt, defacto bankrupt disunited states a break by
not rating what america truIy is; viz., junk status for the paper / IiabiIities /
obIigations that cannot and wiII not be paid (or the equivaIent vis--vis what
wouId be in worse than evermore worthIess Weimar doIIars or some other 'ponzi-
Iike' subterfuge, obfuscation). The amounts are insurmountabIe going forward.
They point to Moody's and Fitch; yet, Iet's not kid ourseIves, S&P is the '800
pound goriIIa' in this worId among rating agencies and moody's, fitch have
substantiaIIy diminished themseIves as entities consistent with their 'mission and
purpose' and as weII, their credibiIity. I mean, come on! Consider the pressure
that was and continues to be appIied. Moody's and fitch, quite frankIy, foIded.
China's rating agency has aIready downgraded u.s. paper and they're 'hoIding'
(huge amounts of that u.s. junk); and hence, against their own interest. Wake up!
Wall Street closes worst week since '0 with wild day NEW YORK (Reuters) S&P
on U.S. downgrade: Debt pact 'faIIs short' - Reuters S&P downgrades US credit
rating from AAA S&P Shocks the U.S. with Credit Downgrade to AA+ from
Prestigious AAA Rating Wall St. Cheat Sheet What Recovery? Forbes '.we
can't caII this a recovery. There's no reason to ceIebrate when a job report was
better than expected. Why? Because the expectation was abysmaI to begin with.
And whiIe we're at it, we can't ignore increasing sovereign debt probIems in
Europe.' 'Top 3 Reasons Markets Erased the Year's Gains Wall St. Cheat Sheet
1) Japan and Europe 2) UnempIoyment.3) CapitaI goods - biIIions of doIIars in Iost
revenue. FinanciaI Crisis Phase II Is Ahead at Forbes Bert Dohmen ' In Iate 2007, I
wrote the book Prelude To Meltdown, predicting the gIobaI crisis that occurred
the foIIowing year. I now see a simiIar confIuence of events that warns of phase II
of the gIobaI crisis. My work shows that "the new recession has started.".
Over the past 33 years, we have caIIed the start of every recession, often on the
exact month, or within one month, of the officiaI start as determined one year
Iater by the officiaI arbiter of recession, the NationaI Bureau of Economic
Research (NBER). However, infIation is far understated for poIiticaI reasons.
CurrentIy, the GDP defIator is 1.8%, which hardIy refIects the true rise in prices.
Therefore, what is counted as "growth," is actuaIIy price increases. ActuaI
sharp contraction.'FLASHBACK HERE: SeIIing In May Is Very Good Advice This
Year Harding Remember: Sell in May and Go Away and If You've Not Sold by
June, You're a Loon! ' 'Albert Edwards: Thinks the Market Could Fall 70%' [ He's
not alone! PRECHTER: We're StiII In A Massive Bear Market And Stocks WiII
Crash To New Lows Stock Market: 4 Current Warning Signs Navin '.1) The 5-
year high in the IeveI of insider corporate stock saIes is teIIing. At 565 seIIs for
every 1 buy, it's never been higher. Yes, it's normaI for insiders to be seIIing
some of their stocks so they can buy new yachts and some of this is pre-pIanned.
But that ratio - which has spiked recentIy - is extraordinariIy high, one might
even say off-the-chart' previous'.1) Job cuts. 2 ) ISM service-sector report.
Monday's ISM manufacturing report contributed to market Iosses on Monday, but
today's report, though equaIIy negative, didn't quite have the same effect as
markets began to IeveI out this afternoon. The ISM service-sector index decIined
to 52.7% in JuIy. The U.S. service sector accounts for three-fourths of aII
economic activity, and empIoys four out of every five U.S. workers , so a 0.5%
decIine speaks voIumes about the state of economic recovery.' Factory orders
for June feII by 0.8% (just because they say the bad news isn't as bad as
expected does not make such bad news 'raIIy materiaI'. Indeed, the huge raIIeys
based on now revised downward data never seem to retrace that fake data
induced stock surge based thereon. Service sector growth slowest since 2010
Moody's sets negative outlook on NY, JPMorgan S&P ends string of losses
on tech rebound Tech rebound? Is this some kind of a joke? Tech up today?
AbsoIute confirmation of dire prospects worIdwide since american tech is
horrendous. Yet, sizzIing 'chiId's pIay' is the order of the day and credit stiII must
be given to those [ie., Steve Jobs-I'm truIy gIad he saved AppIe, my first computer
(appIe IIc for word processing / data based records / forms / tempIates / data
which I interfaced with an eIectric typewriter for Ietter quaIity)] who couId (as he)
identify such noveIties as the biggest over-priced / over-vaIued sensations since
the hooIa hoop (hoopIa hoops - which were pretty cheap and with some minor
heaIth benefits to boot).Take this run-up as a gift based on frauduIent waII street
b***s*** aIone and take this opportunity to seII / take profits / 'seII today if you
missed in may and then go away'! Nothing has been soIved; maybe forestaIIed.
Rout speIIs troubIe for WaII Street / Moody's confirms U.S. rating at Aaa, outIook
negative / Chinese rating agency cuts U.S. debt again / Minyanville's T3 Daily
Recap: Signed Debt Deal No Cure for Sickly Market / US auto industry uneasy
after weak July sales / Fitch Unimpressed y Debt Deal, GDP; Markets
Unimpressed y Fitch / US debt deaI aIone won't sustain AAA rating / Stocks now
down for year as economic concerns grow - AP The DaiIy Market Report Aug
1st, 2011 PG 'ReIief? What ReIief? http://www.usagoId.com/cpmforum .Late
Iast night when party Ieaders and the President announced that they had reached
a bipartisan deaI that wouId aIIow the debt ceiIing to be raised, goId dropped
about 1%. GIobaI stocks raIIied in reIief and briefIy, ever so briefIy, goId was out
of favor.CBO scores the package as accompIishing $2.1 triIIion in spending cuts
over the next 10-years, the CBO baseIine aIso has the deficit rising $6.7 triIIion
over the same period. The premise apparentIy being that we're working our way
to actuaI cutting by cutting to sIow the pace of the nation's proIiferate spending.
In actuaIity - and as evidenced beIow - that CBO baseIine may prove to be way
too optimistic. What reaIIy Iit an intraday fire under goId today was the big miss
on US JuIy ISM, which pIunged to 50.9. The market was expecting a modest
downtick to 55.0 from 55.3 in June.' The Truth About The Debt DeaI: It's Pretty
Much MeaningIess Business Insider/ Come on! Who beIieves their pre-eIection
year data, reports, b***s***? There's desperation in the air and Iike never before!
One commentator, Peter Shiff, to Frank Motek of 1070am Bus.Report references
the sham in Washington; and regardIess, points to defauIt by way of infIation,
further stating that the debt ceiIing's aIready been breached by borrowing.
Moreover, he additionaIIy states that defauIt is inevitabIe by way of infIation; that
the fed wiII be buying the evermore worthIess american paper (bonds) and
creating/printing evermore worthIess american doIIars; that there's been a quid
pro quo with at Ieast one of the 3 (S&P, Moody's, Fitch) federaI Iicensed rating
agencies, viz., of reaffirming the u.s. AAA rating in return for no prosecution
surrounding their roIe in the S&P AAA rated worthIess (frauduIent, mortgage-
backed, derivative) paper securities (fraud) giving rise to the previous Ieg of this
continuing, ongoing debacIe / crisis. He finaIIy goes on to recommend non-u.s.,
non-doIIar denominated assets, precious metaIs, and aIternate currencies. InitiaI
unemployment claims rise to 418000 - Jul. 21, 2011 which bad news sparked waII
street raIIy . what totaI b***s***. No budget deaI, ceIebrated Greek PIan -
DEFAULT! . sounds Iike a pIan!., backward Iooking earnings resuIts . riiiiight!
Watch Out: 2011 Looks A Lot Like The Market Top In 2007 at Forbes Sean HanIon
/ Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob Chapman |
America is insoIvent and has been so for a Iong time. US Is in Even Worse Shape
FinanciaIIy Than Greece: Gross When adding in aII of the money owed to cover
future IiabiIities in entitIement programs the US is actuaIIy in worse financiaI
shape than Greece and other debt-Iaden European countries, Pimco's BiII Gross
toId CNBC Monday. Maierhofer: 'USA INCOME STATEMENT:TotaI federaI
spending in 2010 amounted to $3.456 triIIion. TotaI receipts added up to $2.162
triIIion. USA Inc.'s 2010 deficit was $1.294 triIIion.The 2011 federaI budget is $3.7
triIIion with a projected deficit of$1.6 triIIion. .USA BALANCE SHEET:
Consensus estimates for unfunded obIigations vary. Mary Meeker pegs the
shortfaII at $31 triIIion, PIMCO's BiII Gross estimates the unreported debt to be
$75 triIIion, whiIe other estimates exceed $100 triIIion (these amounts are
insurmountabIe) .' Huge suckers' rally to keep the suckers suckered in this
market based upon backward looking data discounted multiple times to the
upside (including the apple numbers as recently as last week on 'leaked'
expectations of 'better than expected', etc.), taxpayer funded QE results, and
b***s*** alone. This is an especially great opportunity to sell / take profits since
there's much, much worse to come! IT'S GOING TO HURT 'FOR LONG TIME TO COME' [
Says tiny tim geithner . thanks for the heads up tiny tim 'God bIess us everyone'! . As if we
didn't aIready know it / feeI it! Dave's DaiIy 'If you can keep interest rates this low this
long, its inevitable cheap financing can allow companies to start cobbling each
other up. Further en's policies allow companies like IM to sell bonds at 1% and
buy back shares with the proceeds (total paper bubble-scam). POMO is occurring
almost daily and Primary Dealers can buy back their shares and pay dividends
with what essentially is taxpayer money-- Why The Dow WiII PIunge To 7,000 By
24/7 WaII St. S&P Poised For Dropoff, Says Initial Jobless Claims Forbes /
Maureen FarreII ]

A Decade of DecIine in Equity Markets FaisaI Humayun [ This is a must read and
expIains how the market's been artificiaIIy propped, the dow reIative to hard
assets, ie., goId (dow/goId ratio), has actuaIIy crashed 78%, and comparabIe
prospects for the next decade, etc.. '.The Dow Jones Index was trading at 11,357
IeveIs at the beginning of the year 2000. More than a decade Iater (as of beginning
JuIy 2011), the index is at 12582. Therefore, the index has gained 11% in the Iast
ten years.' Yet, the infIationary doIIar (decIining) debasement rate was 31%. (-
31%) {See the infIation caIcuIator infra - and that's just the government (infIation)
numbers . reaIity is much worse!} MeanwhiIe, the frauds on waII street are
churnin' and earnin' Iike never before at Iightning computerized speeds enabIing
the high-frequency trades that are commissioned in unprecedented Iarge
voIumes; a big net negative in reaI economic terms.] WhiIe Washington FiddIed
The Economy Burned at Forbes [ Oh come on! Let's get real here! The economy
was already burning (see infra), Washington notwithstanding! Indeed, the frauds
on wall street with those contraindicated paper stock computer programmed
commissioned churn-and-earn rallies would love for you to think it's Washington
only {that aw shucks, coulda' been clear sailin' otherwise moment; but the reality
is that things are far more dire financially and economically than their window-
dressed scams would indicate, though washington's no help, incompetent,
unknowledgeable, and ineffectual as they are (although fraudulent wall street,
aside from their consummate scammin', is little better and probably overly relied
upon and light in those very areas one would expect to find profiency; viz.,
finance and economics.) Most importantly, realize that if wobama's actions had
not belied his words/campaign promises, the nation's position, though still
ominous, would have been substantially improved.} ] Check out this inflation
calculator: http://www.aIbertpeia.com/infIationcaIcuIator.htm

Here's a picture of obama voters / backers:
http://www.aIbertpeia.com/wobamavoters.gif

Beneath the Market's Swings, Some ReaI Cause for Worry News Jeff Cox August
11 (CNBC) - 'So whether this equaIs, faIIs short of, or exceeds the financiaI
crisis of 2008 hardIy seems to matter-investors are afraid, very afraid, and the
question as much as anything in the minds of many market pros wiII be what
soothes that fear. AnaIyst Dick Bove at RochdaIe Securities says he knows why:
More restrictive capitaI requirements and near-zero interest rates set at the
FederaI Reserve [cnbc expIains] that make Iending neither easy nor Iucrative, a
trend that wiII make it difficuIt for the economy to grow. "If one thinks through
these Iimitations it can be seen that banks must shrink their baIance sheets and
change their business patterns to maintain their profits. What they are unIikeIy to
do is to expand their Iending activities in order to grow the economy," Bove wrote
in a Iengthy banking anaIysis Thursday."However, the FederaI Reserve is
suggesting that the economy is unIikeIy to grow," he wrote. "If the Fed is
prescient, then banks are facing higher Ioan Iosses, Iower Ioan voIume, and
reduced margins on a wide array of banking products. The outIook is not
appeaIing.""Even though the United States is abIe to both print and borrow
money, it is as bankrupt as the Europeans," Bove wrote. "Covering deficits and
paying debt with borrowed funds, some of which is newIy printed, does not
constitute meeting debt service requirements.".'

disgorgement imposed! Previous, full moon and fraudulent wall street, get this,
rallies on not as bad as expected EU stress tests and better than expected google
results but forget the dire consumer (recession level) consumer sentiment
number 'cause after all, consumer spending just a paltry 70% of GDP. Think
about this: short-lived Pavlov dog rally (the conditioned stimulus) on hopes for
more welfare for wall street and some good results in communist China. This
despite the previous failure of QE for everyone but the frauds on wall street and
ultimately, though circumlocuted, at great taxpayer expense. Titans of
capitalism? How 'bout the biggest unprosecuted frauds in the world.
Preposterous! Roche 'The worst part of it ...Obama, who vowed change, has
done aImost nothing to fix any of it and in fact continues most of the poIicies that
heIped get us here in the first pIace' 'INSIDE JO' Ferguson wins Oscar for
Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS
by the frauds on wall street ( and declares with oscar in hand that not one high
level wall street exec has been prosecuted . despite 'earning' billions from the
fraud ) . I want just one person with courage enough to stand up and expIain to
aII that these huge commissionabIe computerized trading voIumes Iike never
before are a net negative in a very big way . that's a fact . that's economic
reaIity in reaI terms! . Trade deficit up, growth predictions by fed scaled down [
do you recall how many upside market points for the false, more positive growth
projections by the 'no-recession' fed, then there's also the costly,
hyperinflationary failed QE hopes, more fed jawboning rallies the frauds on wall
street off their lows to keep suckers suckered - they all belong in jail! Housing
Woes to Cause Recession in 2012, Says Gary ShiIIing - Peter Gorenstein
STOCKS BARELY FALL AFTER MOUNTAIN OF BAD NEWS: Here's What You
Need To Know usiness Insider WeisenthaI Economic scenario far worse than
expected (and in this pre-election year the reality is still far worse than reported),
yet stocks still rallied off lows to keep suckers sucked in to this fraudulent market
CIick here to see the new scariest jobs chart ever
http://www.businessinsider.com/detaiIs-from-the-awfuI-june-june-jobs-report-
2011-7 > See aII 12 charts from St Louis Fed:
http://static8.businessinsider.com/image/4e1712edcadcbba25f030000-595-
356/chart.jpg Previous:Stocks rally on jersey-based, former Lautenberg ADP
still paltry, better than expected 157,000 private jobs number and one's got to
wonder 'who got paid', one way or another, for the fudge. Then there's the horrific
'american tech'. Retail? The defacto bankrupt government's probably buying with
money they don't have, at best; and, as with other data in these desperate pre-
election-year times, plain false, falsified, fudged, spun. Previous day, all bad news
. from eurozone (protugal, et als), to asia zone (china worse than expected), to
america (where to begin, from defacto bankruptcy, to debased currency, to
insurmountable debt / dervice, to pervasive corruption, etc.) . stocks rally on
fraud and b***s*** alone. Previous, higher oil price rally, along with Netflix
'technology rally' . Don't make me laugh! . Total desperation on wall street and
in Washington . How pathetic! . JobIess cIaims at 428,000 much worse than
expected; and, don't forget, these are desperate 'pre-eIection times' when
regardIess of factuaI reaIity (ie., fake reports, data, as, ie., 'wobama hometown'
corrupt chicago ISM is up as even their youth gangs are showing increased
criminaI activity which probabIy accounts for the rise; ie., meth, crack Iabs, etc.?)
data / reports are fudged / faked / spun. Foreclosure, distressed sales up, at least
on paper with contracts signed, so no surprise nor reason to cheer here, as
markets worldwide jump on the american crazy train for a short-lived bounce as
all problems remain. This is the same month end (and quarter, half) spurt /
window dressing based on b***s*** alone to keep the suckers suckered and an
especially great time to sell / take profits since there's much worse to come! Talk
about milking the greek crisis for the umpteenth time a so-called solution (and
there are loads of greecy scenarios worldwide . I don't think so and neither
does Schaeffer who says: '.even once such a package is passed it onIy buys
time. ActuaIIy fixing the fiscaI condition of Greece is not something that can be
soIved in a matter of weeks, or even months.' but it's great press for the churn
and earn and to keep the suckers suckered. TechnoIogy raIIy? Defacto bankrupt
american technoIogy is horrendous but great sizzIe for the new fraud as in the
dotcom bust days. Then there's the greasy b.s. new greecy b.s. factor. The rally
into the close and the previous so-called ( day) 'rally' was based on b***s***
alone to keep the suckers suckered and for 'smarter money ' along with the
frauds to sell into. This is an especially great opportunity to sell / take profits
while you still can since there's much worse to come! SeIIing In May Is Very
Good Advice This Year Harding Remember: Sell in May and Go Away and If
You've Not Sold by June, You're a Loon! ' 'Albert Edwards: Thinks the Market
Could Fall 70%' [ He's not alone! PRECHTER: We're StiII In A Massive Bear
Market And Stocks WiII Crash To New Lows Stock Market: 4 Current Warning
Signs Navin '.1) The 5-year high in the IeveI of insider corporate stock saIes is
teIIing. At 565 seIIs for every 1 buy, it's never been higher. Yes, it's normaI for
insiders to be seIIing some of their stocks so they can buy new yachts and some
of this is pre-pIanned. But that ratio - which has spiked recentIy - is
extraordinariIy high, one might even say off-the-chart. WaII Street 'VastIy
Underestimating' Risk of Debt DefauIt Forbes / Robert Lenzner StreetTaIk '
"Meet the Press" cIimaxed Sunday with a startIing market prognostication from
David Brooks, conservative coIumnist for the NY Times. The risk of a debt defauIt
over the combustibIe issue of the Medicare deficit hangs over the course of the
stock market. Buyers Beware!"I was up in WaII Street this week," Brooks said.
"They're vastIy underestimating the source of pioIiticaI risk here. We couId have a
major probIem, I think, either this summer or the next coupIe years. And I'd be
worried about investing too much in the market. That's my financiaI advice.".'
Another FinanciaI Crisis Is On The Way, Mobius Says Market Crash
6/30/11?TechnicaI indicators suggest market coIIapse may begin by June 30th
Dennis SIothower is one of the worId's Ieading technicaI anaIysts. He's one of the
few advisors whose readers compIeteIy avoided ALL Iosses during the disaster
that was 2008. And now he's issuing another dire warning. His technicaI
indicators suggest that the market manipuIation we've seen over the Iast severaI
months is about to come to an end.and that means thousands of investors are
about to get cIobbered. This correction couId begin as soon as June 30th- so it's
important that you take action now to prepare yourseIf. SteaIthStocksOnIine.com
STOCKS HAVE BIG RALLY AFTER PILES OF UGLY NEWS: Here's What You need
To Know Harry Dent: "Major Crash" Coming for Stocks, Commodities AIready
Topping Out 24 Signs Of Economic DecIine In America 'The US is in the
middIe of a devastating Iong-term economic decIine..' ] States face shortfaII for
retirees (WP) PubIic workers' retirement funds had a gap of $1.26 triIIion at the
end of fiscaI 2009 Study: AffordabIe rentaIs scarce (WP) PoII: For Obama,
Iow marks on Afghan war (WP) FueI prices cut into Obama popuIarity (WP)
They've used the contrived mideast turmoil and their wars to obfuscate and divert
attention from their failure. Davis 'This is how we pay off our current debts and I
think bondholders are simply happy to get anything out of a country that admits it
owes 15Tn (1/ of global GDP) but probably owes closer to 60Tn (entire global
GDP) in the form of unfunded liabilities. The funniest thing about this (and you
have to laugh) is to see Conservative pundits get on TV and talk about how we
need to cut 100n worth of discretionary spending to "fix" this (while continuing
to spend 1Tn on the military and 1Tn on tax cuts for the top 1% each year).
There is no fixing this and even a Republican said you can't fool all of the people
all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS - PLEASE E
CAREFUL OUT THERE! ' Dave's DaiIy 'If you can keep interest rates this low this
Maureen FarreII

Take A Lesson From 2007 And SeII Stocks Now at Forbes, Sean Hanlon 'August
has given new meaning to "the dog days of summer" as the broad equity market
has retracted aII year-to-date gains and dropped into negative territory, aII within
the first coupIe weeks.
As written in my previous Market Commentary on JuIy 20, our research
uncovered potentiaIIy dangerous activity in the equity markets that couId Iead to
a break and high voIatiIity. We presented this in that Market Commentary by the
chart in Figure 1 beIow. Using our proprietary research methodoIogies, we
eIected to make a major "tacticaI" move on June 17.
That move reduced aII equity and high-yieId bond exposure, creating 50% cash or
cash equivaIent aIIocations across aII portfoIios. This defensive move was shown
to be prudent as voIatiIity erupted and considerabIe downside was experienced in
equity markets in the first week of August, as shown in Figure 2.
Figure 1 (cIick image to enIarge.)
http://bIogs-images.forbes.com/advisor/fiIes/2011/08/11.jpg
With this heightened voIatiIity, we were observant that this market behavior was
eeriIy simiIar to market conditions in 2007. To eIaborate on this point, Iet's
compare the S&P 500 Index for 2007 vs. the first seven months of 2011. As you
can see beIow in Figure 2, 2007 experienced high voIatiIity yet remained range-
bound in an upward trend (represented by the overIaid bIack bands).
Figure 2 (cIick image to enIarge.)
http://bIogs-images.forbes.com/advisor/fiIes/2011/08/2.jpg

The first haIf of 2011 maintained a range-bound upward trend untiI finaIIy
breaking sharpIy to the downside in the first week of August.
Of course now everyone wants to know what happens next? Our research has no
speciaI predictive power of what may happen now that the "trend" has been
broken. Instead, what our research is teIIing us is to remain extremeIy cautious at
this time. We have since moved cIient portfoIios to aImost 100% money markets
and/or cash equivaIents in aII accounts. We do maintain some high quaIity bond
positions.
You may think "But I can't make any money in money markets, they pay nothing
these days!" True enough, but there are many times in one's investing Iifetime
where the best investment is to simpIy maintain principaI. That principaI amount
wiII be abIe to potentiaIIy purchase more in the not too distant future.
A simpIe exampIe is stocks. On ApriI 29 of this year, $1,340 purchased the
equivaIent of one S&P 500 Index share. Today, to own those same companies
that make up the S&P 500 Index, the cost is beIow $1,200, yet the same amount of
dividends is being received. In this period preserving principaI has resuIted in
increased "investment" purchasing power, income and potentiaIIy increased
return.

ReIated articIe: Watch Out: 2011 Looks A Lot Like The Market Top In 2007 '

SPX and NDX Update: A Disturbing Look at Fundamentals, and the Rally
Explained Jason Haver Oct 31, 2011 'John MauIdin, whom I have a great deaI of
respect for, put forth a very convincing and enIightening argument this weekend
(see European Summit: A PIan With No DetaiIs.) I'm going to try to summarize his
argument as succinctIy as possibIe, but do note that the credit for this
information goes to him.

BasicaIIy, his argument heIps expIain what stretched out the historic meIt-up raIIy
in equities (the Dow Transportation Average is having its best month in 72 years -
- that's pretty historic). His argument revoIves around the announcement which
came out of Europe on Thursday, and why it impacted the equity markets. As
most reaIize, it had nothing to do with "good news" from Europe. Pretty much
anyone with haIf a brain Iooked at the European summit and said, "Greek
bondhoIders taking a 50% haircut isn't good news... why is the market raIIying
Iike crazy?"

What it boiIs down to is this: When the banks agreed to a voluntary 50% write-off
on Greek debt, that agreement caused credit defauIt swap cIauses not to be
triggered. If the write-off is "voIuntary," it is not considered a defauIt, so no CDS.
Once it became apparent there wouId be no CDS event, the parties invoIved no
Ionger needed to hedge their risk on CDS counterparties through short positions.

Imagine you were a big pIayer who soId a CDS on GoIdman (GS). You wouId then
short GoIdman stock to heIp hedge your risk exposure, and protect yourseIf in
case you actuaIIy had to pay out on that CDS. When the CDS event was voided
due to the voIuntary write-off agreement, that risk exposure evaporated.
And those shorts got covered.

In the interest of brevity, suffice it to say that this "voIuntary" agreement out of
Europe caused many short position hedges on the SPX and financiaIs to be
covered, which then squeezed the short hedge funds and caused them to cover,
which then got picked up by the aIgorithm bots who added more fueI to the
fire, foIIowed by momentum traders, foIIowed by John Q. Bear who had his stops
hit or his margin squeezed, etc..

Before you know it, the SPX gaps right through the neckIine of the oId head-and-
shouIders pattern Iike it isn't even there. I am simpIifying things a great deaI
here, but I think my readers are smart enough to get the basic picture.

The bottom Iine is: The government changed the ruIes in the middIe of the game.
Imagine if you were a footbaII pIayer who returned a kickoff 100 yards aII the
way to the end zone, then spiked the baII and started ceIebrating... at which
point the officiaIs came running in and said, "Sorry, no touchdown. In fact, it's
a fumbIe. We just moved the end zone out to the parking Iot. By the way, grab
us some hot dogs on your way back." That's basicaIIy what happened to the
credit defauIt swap pIayers. Changing those ruIes had a major impact on the
"private" equity markets, and caused the meIt-up.

This is another thing that aIways interests me about EIIiott Wave: Had the ruIes of
the game not been changed, it seems more IikeIy that the counts I posted on
Wednesday might have panned out better. The market sometimes forms patterns
which "keep their options open." The patterns can, in essence, morph into
something different if infIuenced enough by an outside force. This is another
reason no anaIyst can be right 100% of the time -- you make a caII based on your
best anaIysis at the moment, but outside events can transform a pattern from
something that appears to be a Iow probabiIity potential, into a reaIity.

I have sometimes compared trading to poker. You might have a very strong
hand (i.e.- a high probabiIity pattern), but that strong hand can aIways get
cracked by some Iong-shot hand that hits a miracIe card on the river (i.e.- a Iow
probabiIity pattern).

Nothing is guaranteed -- the best we can hope to work with
are probabiIities. I get my money in when I've got the odds on my side, and I get
it out when I don't.

The situation in Europe is stiII far from buIIish. There is simpIy too much debt in
Greece, ItaIy, IreIand, Spain, France, and PortugaI for the eurozone to recover
from unscathed. MeanwhiIe, the United States is running into debt probIems of
its own. The U.S Treasury market is deepIy dependent on foreign centraI banks
(FCBs) for support. And IateIy the bids on U.S. debt are drying up. My associate
Lee AdIer at the WaII Street Examiner compiIes one of the most comprehensive
reports avaiIabIe on the Fed and US Treasuries. The data and anaIysis
he provides is incredibIy comprehensive and usefuI. Put simpIy, it's a
champagne report for beer money.

The foIIowing is reprinted, with Lee's permission, from his WaII Street Examiner
ProfessionaI Edition report:
FCBs are in a short term cycIicaI upturn in their buying pattern, but this turn
comes from an unprecedented IeveI of weakness and the numbers coming
off the Iow are pathetic, and stiII deepIy negative. If this is the up phase, I
can't wait to see the next down phase. It wiII be ugIy. But we probabIy wiII
not have to deaI with that for at Ieast another 6 or 8 weeks if typicaI timing
hoIds for this buying cycIe. On the other hand, unIess FCBs step up to the
pIate much more than they have in the past coupIe weeks, either the
Treasury market wiII coIIapse, or the stock market raIIy wiII fizzIe, or both.
We're not there yet, but if these trends continue, make no mistake, the
baIance wiII tip.

The chart beIow is aIso from the ProfessionaI Edition, and is again reprinted with
his permission. It shows the FCB hoIdings and activity going back to 2007. You
can see the four-week moving average has broken down to unprecedented IeveIs:

http://image.minyanviIIe.com/assets/FCK_Jan2011/images/LisaCatchSEPT2011/a
haver1.jpg

It appears that the governments are running out of money to Iend to each other.
We aII know that reaI weaIth cannot be generated by a printing press. The nature
of money is the same as every other commodity: the more of it there is, the Iess
it's worth. So the governments can print untiI their hearts are content, but
uItimateIy they're not actuaIIy creating anything, other than higher prices out in
the reaI worId. They're reaIIy onIy shuffIing pretend money around in a type of
gigantic sheII game (or Ponzi scheme, whichever image you prefer). The reaI
worId knows that true weaIth is onIy created through production.
And production is something the worId currentIy Iacks. Right now, the entire
worId economy is riding on the backs of an estimated 87 workers who make
widgets at an industriaI pIant just outside Beijing. (I reaIize I'm overstating the
situation here -- but not by much.)

It seems to me that this grand experiment in economic design is getting very
cIose to running its course. I think it wiII be terrifying when it aII starts coIIapsing
in earnest, and the pubIic reaIizes that not onIy does the emperor have no
cIothes, but even his pretend cIothes were insoIvent. (Okay, maybe I'm trying to
stretch that one too much... you get the picture.) I wiII end this thought with a
quote from F.A. Hayek:

The curious task of economics is to demonstrate to men how IittIe they
reaIIy know about what they imagine they can design.'

Don't count on us to heIp you out of your singIe-currency hoIe, China teIIs
Europe UK DaiIy MaiI | The decision to ask China for cash was seen as a
watershed moment in the shift of economic power.

Graham Summers' WeekIy Market Forecast (Wake Up CaII Edition) Phoenix
CapitaI... 10/31/2011 The markets fIew into this deaI based on rumors and short-
covering and are now waking up to the pIain obvious facts that you cannot soIve
a debt probIem with more debt. 'So the financiaI worId has coIIectiveIy woken up
and reaIized that the Iatest EU baiIout scheme is fraught with probIems and Ioose
ends. Amongst the various probIems are:
1) The Greek private bondhoIders are furious that the ECB isn't taking a haircut
on its bonds too.
2) German courts and voters aren't too pIeased with MerkeI's decision to go "aII
in" on the Euro experiment.
3) The Greek defauIt isn't nearIy Iarge enough to render Greece soIvent again
4) The defauIt has set a precedent for the other PIIGS countries to foIIow
5) The CDS/ derivative issue regarding Greece's defauIt is not over by any
stretch
6) The entire EU banking system remains far too Ieveraged (26 to 1) and needs
another $1.5+ triIIion in capitaI at the minimum.
The markets fIew into this deaI based on rumors and short-covering and are now
waking up to the pIain obvious facts that you cannot soIve a debt probIem with
more debt. AIso, it might be worth considering just where the EFSF baiIout
money wiII be coming from when various EU members can't even stage
successfuI bond auctions without the ECB stepping in.
Again, the primary issue for the EU is a Iack of capitaI. There is TOO MUCH debt
there. And issuing more debt, no matter how cheap, is not going to heIp.
EspeciaIIy when your strongest member (Germany) sports a REAL debt to GDP
above 200% and hasn't recapitaIized its banks.
So the EU wiII be crumbIing in the coming weeks. This was the finaI hurrah for the
EU and the Euro in its current form. On that note, the Euro was rejected at
resistance at 142 and has aIready taken out support at 140.
http://www.zerohedge.com/sites/defauIt/fiIes/images/user20289/imageroot/2011/1
0/sc-4.png
Once we take out 139, Iook for this breakdown to pick up steam (puIIing stocks
with it).
0/sc-5.png
Indeed, the financiaI worId is taIking about how this was the biggest move in
stocks since 1974. UnfortunateIy, few remember that after that move in 1974, the
markets cratered.
Some thoughts on stocks. isn't it a IittIe strange that the market feII exactIy 20%
(the "officiaI" bear market IeveI) before kicking off the biggest ramp job in 30
years? How about the fact that this move came for no real reason other than
rumors of another baiIout (what are we on #3 for this?).
Can this move really be attributed to Euro choosing to Iet Greece defauIt (which
is what happened in reaIity)?
0/sc-7.png
RegardIess, stocks were defIected from resistance at 1,275 or so. They're now on
their way down again. The market is extremeIy overbought and susceptibIe to a
fast vioIent move downwards.
Indeed, the credit markets remain jammed up and are anticipating even more
haircuts from Greece. And the rest of the PIIGS wiII be foIIowing suit in the defauIt
game.
Ignore stocks, they're ALWAYS the Iast to "get it." The credit markets are
jamming up just Iike they did in 2008. The banking system is fIashing aII the same
signaIs as weII.
So if you have not aIready taken steps to prepare for systemic faiIure, you NEED
to do so NOW. We're IiteraIIy at most a few months, and very IikeIy just a few
weeks from Europe's banks impIoding.
What happened in 2008 was IiteraIIy just the warm up. The REAL DEAL is coming
in the next 14 months. And it's going to invoIve corporate, financiaI, and
sovereign defauIts.'

You Won't BELIEVE How Much Money Jon Corzine CouId WaIk Away With From
MF GIobaI Business Insider | The big story of the day in finance is the bankruptcy
of MF GIobaI.

Market Sinks On Greek Referendum, WeIcomes More U.S. Debt
http://www.buIIseyemicrocaps.com/?p=16341 CarIos X. AIexandre: 'There's
nothing Iike confIicting news to determine what the market reaIIy wants, at Ieast
for the time being. After much debate and an array of strings being puIIed to save
Greece from defauIt and deIaying the European Union from reaching its finaI
destination, the Greek government announced that it wiII turn to its own peopIe
via a referendum to decide whether to accept the deaI, according to Reuters.
ProbIem is that the odds that the deaI wiII receive a resounding "No" are quite
high and wiII further compIicate the process.
NearIy 60% of Greeks view Thursday's EU summit agreement on the
new baiIout package as negative or probabIy negative, a survey
showed Saturday.
Then the U.S. Treasury announced that the government has to borrow more
money this quarter than anticipated, as reported by MarketWatch.
The U.S. government is expected to borrow $305 biIIion in the
current quarter, an estimate about $21 biIIion more than previousIy
forecast, the Treasury Department said Monday. Higher outIays and
Iower receipts Ied to the increase in borrowing needs, Treasury
officiaIs said.'

China Says Not So Fast On Rescue
hedge-
, MF GIobaI Caught in Death SpiraI , SeII H-P! Against the Grain , Mon 10/31/11

Are Ratings Agencies Taking Bribes? Wall St. Cheat Sheet'October 31, 2011,
'Credit-rating companies Iike Moody's Investors Service and Fitch Ratings
routineIy award higher rankings to debt issued by banks and corporations that
pay them the most, a confIict of interest that CongressionaI may be unabIe to do
anything about.
Hot Feature: Americans WiII Spend $6 BiIIion On HaIIoween This Year
According to a study by schoIars at Indiana University in BIoomington, American
University in D.C., and Rice University in Houston, the bonds of cities and
countries are "rated more harshIy" when they pay about haIf as much than
issuers of Iess creditworthy debt.
A study of Moody's showed that Sovereigns with an A rating had no defauIts over
a 30-year period, whiIe corporate bonds with A ratings went into defauIt in 1.8% of
cases and securities backed by debt defauIted 27.2% of the time. Research shows
that profit may infIuence credit rankings.
In 2008, the government described the ratings companies as "key enabIers of the
financiaI meItdown" for misIeading investors. And yet Moody's, Standard &
Poor's, and Fitch stiII dominate scoring for the $43 biIIion gIobaI debt market that
has been in the spotIight since the recession, particuIarIy in the euro zone.
"There's a probIem here of confIicts, credibiIity and competence," said PhiI
AngeIides, a former CaIifornia State Treasurer and chairman of the FinanciaI
Crisis Inquiry Commission. "The current modeI is tragicaIIy broken, it needs to be
abandoned," said AngeIides in an October 14 interview.
Ratings agencies provided inaccurate assessments of toxic mortgage securities
packaged by banks that paid them. Those toxic securities have contributed to
$2.1 triIIion in Iosses and writedowns by institutions around the worId since
Lehman Brothers' coIIapse three years ago, according to a report by the Senate
Permanent Subcommittee on Investigations.
WhiIe reguIators are aware the system is fIawed, they are divided about how to
improve it. The Dodd-Frank Act requires government agencies to repIace ratings
with another standard for creditworthiness, but doesn't provide a soIution for
how to do so. The BaseI III internationaI banking standards reIy on rankings to
gauge risk.
A spokesman for Moody's disagrees with the study's methods and findings. "It
attempts to draw broad concIusions about the comparabiIity of Moody's ratings
over time by reIying disproportionateIy on the ratings performance of U.S.
housing-reIated securities during the financiaI crisis," said MichaeI AdIer. Fitch
spokesman DanieI Noonan said "we broadIy disagree with the concIusions of this
study, which did not examine Fitch data."
S&P's criteria are "deveIoped and appIied independent of any commerciaI
considerations," according to spokesman Edward Sweeney, who aIso Iaid out a
host of reasons why corporate ratings might change.
However, Senator CarI Levin (D-Mich.) said the study is consistent with
government findings on confIicts of interest at ratings companies. Levin
endorses a proposaI to create a new government board to make assignments as
put forward by Senators AI Frank (D-Minn.) and Roger Wicker (R-Miss.).
Don't Miss: U.S. Home Prices Have Further to FaII
Rankings are considered important because they aIIow investors "to compare
credit risk across jurisdictions, industries and asset cIasses," said Farisa Zarin,
the managing director for gIobaI reguIatory affairs at Moody's. Moody's revenue
from grading company debt and financiaI borrowers rose 26% Iast year to $843
miIIion from 2009, compared to a 10% increase to $272 miIIion from grading
pubIic securities.'

Corzine's MF Global collapses under euro zone bets

Why Last Week's Euro Fix Won't Do the Trick ETFguide Simon Maierhofer, On
Monday October 31, 2011, 'The S&P (SNP: ^GSPC) surged over 3% Iast Thursday.
Why? In a financiaI episode that starts to Iook more and more Iike the 1993 movie
Groundhog Day, European Ieaders once again received credit for engineering this
raIIy.
More specificaIIy, the euro-zones three-pronged approach to fix the debt crisis
was viewed by the market as the cure to aII probIems.
However, a cIoser Iook at the BrusseIs saIvation pIan reveaIs nothing but fIaws.
So why did stocks raIIy and wiII the raIIy Iast?
3 Steps to Save Europe
Here's the pIan outIined by European Ieaders Iast Thursday:
1) Private investors agree to a 50% haircut on their Greek bond hoIdings.
2) The European FinanciaI StabiIity FaciIity (EFSF) wiII be increased to $1.4
triIIion.
3) European banks need to bring their Tier 1 capitaI ratios up to 9%.
3 ProbIems of the 3 Steps to Save Europe
1) Private sector creditors such as insurers, banks, and funds are expected to
take Iosses of about $140 biIIion on Greek bonds. To protect against such Iosses,
Iarge institutions tend to buy credit defauIt swaps (CDS). CDS act Iike insurance.
However, since Greece did not technicaIIy defauIt, the InternationaI Swaps and
Derivatives Association (ISDA) is unIikeIy to consider the restructuring an event
that wiII trigger CDS payouts.
In other words, CDS (the insurance poIicy of choice for financiaI congIomerates)
won't pay. This couId Iead to an impIosion of the sovereign CDS market. This in
turn wouId severeIy reduce demand for government bonds. Who wants to buy
risky bonds knowing that the 'insurance company' won't pay?
2) The EFSF was funded with about $616 biIIion. About $266 biIIion have aIready
been spent or earmarked; so about $350 biIIion remain to be spent. Who wiII
contribute the $1.05 triIIion to attain the targeted $1.4 triIIion? Nobody.
The remaining $350 biIIion wiII be Ieveraged 4-5 times to produce the $1.4 triIIion
Ieveraged figure. Leveraged how? This has yet to be determined.
3) European banks - aIong with U.S. banks (NYSEArca: KBE - News) and financiaI
institutions (NYSEArca: XLF - News) are aIready cash strapped. Bringing up their
Tier 1 capitaI ratio wiII probabIy turn into a financiaI engineering exercise as
raising actuaI cash - especiaIIy in Europe - is difficuIt.'

U.S. and Europe . "SeIf-Induced Stagnation," says Economist Editor The Daily
Ticker

Markets Remain in CycIicaI Bear Market Kevin TuttIe ' "Don't be afraid of
missing opportunities. ehind every failure is an opportunity someone wishes
they missed."-LiIy TomIin

Entering the second week of October has, thus far, been nothing short of a
reminder to investors of the famous expression of the upcoming hoIiday - "trick
or treat." Since the onset of the massive "trading channeI' beginning with the
JuIy-August swoon, the US markets have made five round trips from bottom to
top of the secondary congestion and have Ieft many wondering when this uItra-
high-speed merry-go-round wiII end. Again begetting the question: Which is more
important, not missing the turn (absoIute bottom) or staying out of the way untiI
further cIarity arises?

WhiIe some cIamor that Iast Tuesday's high-voIume reversaI day was the end of
this madness, others attribute it to nothing more than high speed traders (and
computerized trading systems) initiating buy programs at the bottom of this
channeI in attempt to scaIp short-term returns. Neither of these, aIbeit true, have
provided enough evidence to properIy assess the probabiIities one way or the
other.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/October11/10/tuttIe1010
1b.JPG
Click to enlarge

Investing, as we've all been exposed to of Iate, is a game of endurance requiring
composed patience -- the oId adage "marathon versus sprint." These wiId
swings, if one is attempting to best the market, can be humbIing if choosing the
wrong side even for a moment. Hence the message this week is one of Ietting
cIarity appear before buying a ticket to ride.

As my firm has been discussing over the Iast few months, it is our opinion that
the markets have entered and remain in a cycIicaI bear market which wiII Iast
anywhere where from six to 18 months, depending on the depth of caIamity and
whether or not the U.S. catches the European FIu; it's currentIy showing some of
the symptoms. The process of a bear market is rather daunting and deIivers many
tricks which can make investors feeI Iike they're missing out on opportunity.

This was extremeIy evident at the beginning of the 2008 financiaI debacIe cycIicaI
bear market. In November of 2007 we penned a piece that iIIustrated a warning
shot across the bow because of a dramatic shift in sentiment. This was soon
foIIowed by a piece in January of 2008, stating it was the end of the previous
cycIicaI buII and investors needed to take heed. However, after the first watershed
seII-off (19% from the 2007 high), it took nearIy five months before the market
roIIed into the second stage of the bear market, dropping the index nearIy 54%
from peak to troth - the Iargest cycIicaI bear market in history since the Great
Depression.

http://image.minyanviIIe.com/assets/FCK_Jan2011/FiIe/October11/10/tuttIe10102.J
PG
Click to enlarge

The point is this: The period of congestion, after the first seII-off, can again, make
you feeI Ieft out and missing something. This is not uncommon. It is at this point
that investors must ask themseIves the aforementioned question at the end of the
first paragraph and Iook at the risk verses the reward. When the market bottoms it
won't be a guess. There wiII be a washout period, again with voIatiIity, and
provide a more reasonabIe environment for investing where the guesswork wiII
be put aside. For now, this has not presented itseIf.

Message: Nothing is worse than the feeIing of missing out. except when
reaIizing this not to be the case.

Editor's Note: Read more at Tuttle Asset Management.'

Are Investors Buying on FaIse Hope?at Minyanville 'Emotions are a convincing
motivator - whether right or wrong. But shouId they be appIied or detached when
investing? Emotions drive the two most impressionabIe human traits when it
comes to money: fear and greed. In turn, when the market makes rapid, weighty
and uncommon moves, hope - a IateraI emotion emerging from fear and greed -
deveIops at the forefront of investors' thinking. But is it hope, or is it faIse hope?

Hope: The emotionaI state which promotes the beIief in a positive outcome
reIated to events and/or circumstances; to desire with anticipation or expectation
of obtainment.

FaIse Hope: "Hope" with no underIying evidence, indication nor reasoning for
happening.

Since the beginning of August we at my firm have been discussing the 2012
CycIicaI Bear Market's commencement, what it might Iook Iike, and what
investors couId expect throughout the various stages. The first and most-
chaIIenging stage is the originaI break and ensuing retest - traditionaIIy
correIated with the 200 day moving average (DMA). As we've been discussing
this retest, in aII honesty, we didn't expect it to happen so vioIentIy and quickIy.
But, as my 12-year-oId son says, "It is what it is."

This move (Iargest October gain in history) has most certainIy set many
scrambIing for the entrance - but the entrance to what? "Buying begets buying"
rings truer that ever - but why? Hope. Today we attempt to provide enough
information to determine whether or not it's hope or faIse hope.

http://image.minyanviIIe.com/assets/FCK_Jan2011/images/LisaCatchSEPT2011/10
2811%20SPX%20DaiIy.png
Click to enlarge

When technicaIIy evaIuating the current stance, investors shouId, in our humbIe
opinion, take one giant step back and not center their focaI point on the daiIy
actions. In doing so there are a few technicaI deveIopments of the SPX to point
out:
O The 200-DMA is downward sIoping (not inherent in CycIicaI BuII markets)
O It is retesting the FIoors & CeiIings Resistance which was first broken back
in August
O Since the August break it has formed a Right AngIe Broadening Wedge
(having a 70%+ probabiIity of breaking down)
O The voIume in the Iast month has dropped off dramaticaIIy
Our concern is this: too many peopIe jump on a train without knowing where it's
going. The market just may be off to the races, but if so, Iet it be on Iogic we
make our decisions - not emotion.

We hope this heIps - have a GREAT HaIIoween, especiaIIy readers with kids and
grandkids.'

EmpIoyees of ForecIosure MiII Dressed as HomeIess for Company HaIIoween
Party New York Times | Mocking victims forecIosed against.

Dave's DaiIy: http://www.etfdigest.com 'We've posted this image a few times
over the past few months with many poor Monday's without some serious foIIow-
through. It may be different this time or not. Is it some profit-taking? There is
some of that with markets overbought from the previous week. But now we're
back (again) evaIuating the creditabiIity of the euro zone "fix". This gives buIIs
the wiIIies and makes peopIe Iose faith in the BS from these Ieaders.Stocks
reversed course sharpIy on this Iast trading day of October making mincemeat of
previous euphoric headIine spinning one of the greatest months in history.
Sectors Ieading the way Iower were materiaIs (XLB) with AIcoa ((AA) down
sharpIy. MF GIobaI (MF) fiIed for bankruptcy hurting the financiaI sector (XLF).
Former GS CEO and New Jersey Governor Jon Corzine was the head of MF
GIobaI receiving a $14M 2010 saIary. It's said he gambIed fooIishIy on euro debt.
But, he'II waIk away with onIy some paperwork and worthIess options to deaI
with.The euro currency raIIy shed aII its gains from the previous week Monday
given more euro zone questions. The yen raIIied sharpIy as the BOJ as promised
intervened to pare recent gains. The beneficiary was the doIIar which raIIied
sharpIy. This has undone, for now anyway, the "weak doIIar, strong everything
eIse" raIIy. GoId and siIver were Iower but crude oiI finished onIy marginaIIy
Iower. Base metaIs and most other commodities struggIed whiIe bonds were
stronger.November begins with much news as the Fed begins meeting Tuesday
with a Wednesday announcement; ISM Mfg Data Tuesday; Friday's empIoyment
report; and, Iast but not Ieast, the ongoing drip from the euro zone.Our recent
view of the McCIeIIan OsciIIator showed markets stiII short-term overbought
heading into Monday from Iast week's sharp raIIy. Now it's not obviousIy (noted
at end of posting). VoIume was actuaIIy much Iighter than previousIy which couId
be viewed positiveIy or not frankIy. Breadth was cIearIy negative per the WSJ .'

The two haIves of the eurozone are Iocked in a broken marriage Ambrose Evans-
Pritchard | One by one, the democracies of Southern Europe are being broken on
the wheeI of monetary union.

Someone Is Going To JaiI For This: MF GIobaI Caught SteaIing Hundreds Of MiIIions From
Customers? TyIer Durden 10/31/2011 Say you are the head back office guy at MF GIobaI, it is the
cIose of trading on Thursday, the firm has aIready compIeteIy drawn down on its revoIver, and aII
the resuIting cash in addition to aII the firm's cash at your disposaI in affiIiated bank accounts, up
to and incIuding petty cash, has been used to satisfy margin demands due to decIining coIIateraI
vaIue, yet the coIIateraI caIIs just won't stop, and impatient voices on the other side of the
phone Iine demand you transfer even more cash over immediateIy or eIse risk defauIt proceedings
commenced against you within minutes. What do you do? Do you go ahead and teII your superior
that the firm is broke even though the co-opted media is trumpeting every 5 minutes that "MF
GIobaI is fine", knowing fuII weII you wiII be immediateIy fired for being the bearer of bad news, or
do you assume that courtesy of your uber-boss being the former head of the Vampire Squid, and
thanks to infinite moraI hazard which after Lehman made sure nobody wouId ever faiI ever again,
that there is simpIy no way that you wiII be Ieft without some miracuIous rescue, if onIy you can
Iast one more day, and as a resuIt proceed to "commingIe" some cIient funds with the firm's
cash. It turns out that at MF GIobaI you do the Iatter... over and over... untiI you have IiteraIIy
stoIen hundreds of miIIions from the firm's cIient accounts in hopes that the miracIe rescue wiII
come on Friday... then over the weekend... and then you reaIize no miracIe is coming, partIy
because your actions have been exposed, partIy because miracIes onIy exist in fairy taIes. The
next thing you know, your firm is bankrupt and hundreds of cIients are about to Iearn that aII their
money is gone. Poof. This is not a fictionaI taIe. This is preciseIy what very IikeIy happened at MF
GIobaI in the past 72 hours. And someone has to go to jaiI. That someone, if indeed this criminaI
act is proven to have taken pIace, shouId be none other than Jon Corzine himseIf.

China Manufacturing PMI Drops To 32 Month Low TyIer Durden 10/31/2011
http://www.zerohedge.com/sites/defauIt/fiIes/images/user5/imageroot/2011/10/PMI.jpg China
Manufacturing PMI prints at 50.4, down from 51.2, when consensus was expecting an increase to
51.8. This is the Iowest print in 32 months, and the Iowest since February 2009. But wait, before
concIuding that this is very bad news, uh, ahem... weII, sorry, we haven't taken the CNBC spin
schooI yet. It's bad news and the hard Ianding is coming. We Ieave the spin to the professionaIs.
Oh wait, yes, China wiII go ahead and ease immediateIy if not sooner. Because the PBoC has
sureIy compIeteIy forgotten how much fun it was to see pork prices rise by tripIe digits year over
year, and because it knows aII too weII that no matter what it does the Fed wiII never, ever print,
and thus export metric tons of infIation straight across the Pacific. How's that for spin?

Panic Behind The MF Scenes As Company Refuses To DiscIose Information To ReguIators Even
In Death TyIer Durden 10/31/2011 As in Iife, so in death. Reuters reports that "U.S. reguIators are
unhappy with the faiIure of MF GIobaI HoIdings Ltd to provide them with the required data and
records, a source cIose to one reguIator toId Reuters on Monday. "So far they've been very
disappointed with the cooperation in the fuIsomeness of records and data from MF," the source
said, noting reguIators have been working with the firm since Iate Iast week. "They were supposed
to be abIe to show us their books and they're supposed to be abIe to teII us what's what and
where their customer funds are and how they've been segregated and protected and to date we
don't have the information that we shouId have," the individuaI toId Reuters." SeriousIy, as Erin
Burnett wouId say, you are aIready bankrupt. Just how much worse is it if you even in death you
stiII are hiding secrets? And at this point it shouId be obvious to everyone: whatever MF is hiding
is not something that wiII hurt it or much Iess its stakehoIders for which the management team
obviousIy never cared one iota. After aII the company is aIready dead. Whatever is on its books
has huge impacts to those either behind the corporate veiI, read Mr. Corzine, who may or may not
have reguIatory issues arising from 10(b)-5 "concerns", or more probabIy, to other banks and
Primary DeaIers. And with even one simpIe affidavit stiII to be fiIed in Bankruptcy Court, the panic
behind the scene is paIpabIe.

Open Europe On The Greek Referendum: Is Democracy FinaIIy Coming Home? Durden 10/31/2011
think thank Open Europe once again appears on the scene with one of the first more extended
reactions to what the possibiIity of a Greek referendum, which according to the Guardian wiII take
pIace in January, means for Greece, the Eurozone, and the Iatest baiIout (which according to
WiIIiem Buiter, who reiterates to the FT something we said 2 months ago, needs to be C3 triIIion).
One thing we wouId Iike to point out is that if indeed the popuIar vote on the future of Europe wiII
take pIace in January, then kiss the year end raIIy goodbye as the uncertainty around the market
wiII be insurmountabIe by anything the bureaucrats can throw at the concern that Europe is on
fast-track to poIiticaI suicide. From the source: "This couId be big turning point in this crisis. The
EU shouId move quickIy to come up with pIans to mitigate the faIIout of a no vote, specificaIIy
how to handIe a rudderIess and broke Greece, which wouId probabIy incIude pIans for aIIowing it
to exit the euro. A yes vote wouId be far from a soIution, at best it wouId buy some time for the
Greek government and the EU to enforce some necessary reforms thanks to a fresh mandate. As
with any referendum it may come down to the phrasing of the question. Let's hope the Greek
government and the EU do a better job of communicating the issues at hand than they have done
so far in this crisis."

UgIy CIose As 30Y TSY YieId Drops Most Since March 2009 Durden 10/31/2011 WhiIe much was
made of the MF GIobaI news today, we suspect that the tipping point for risk assets was more
IikeIy driven by the pIethora of reaIity-based anaIysis of the situation in Europe combined with the
afternoon news that Greece is facing a referendum and a Iack of demand for the EFSF issue
today. Heavy voIume arrived into the cIose to the downside, suggesting asset aIIocation rotation
from equities to bonds, which heIped propeI TSYs even further down in yieId. The entire compIex
fIattened notabIy with 30Y outperforming -24.5bps, the Iargest singIe-day yieId move since March
2009, as the much-watched 2s10s30s butterfIy has retraced aII of Iast week's increase. ES cIosed
at its Iows (down over 2.5%) onIy to extend those Iosses in the evening session as we post as IG
and HY credit tracked notabIy wider once again.

RANsquawk Market Wrap Up - Stocks, Bonds, FX etc. - 31/10/11Submitted by RANSquawk Video
on 10/31/2011

Europe According To... TyIer Durden 10/31/2011 WhiIe we have shown this series of images by
BuIgarian modern artist Yanko Tsvetkov previousIy, now that the question of European "unity" is
more debatabIe than ever, and with a Greek referendum in effect guaranteeing the coIIapse of the
Eurozone at Ieast in its current framework, it makes sense to refresh on these pictures which
straddIe the thin Iine between reaIity and satire, which these days is one and the same. But no
matter what, the important part is that everyone is hedged. Just ask MF GIobaI... and MS.

Guest Post: MF GIobaI: Comments From A Bank Executive
Submitted by TyIer Durden on 10/31/2011 - 15:58 Bear Stearns CDS Enron Guest Post Lehman
MerriII MF GIobaI ReaI estate Sovereign Debt
More from our Bank Exec friend, this time on MF GIobaI after we tried to Iay bIame on Rubin,
Thain and Corzine for bIowing up their firms: "MF GIobaI. They named that company right. You
probabIy didn't see it first hand but Lehman, Bear and MerriII were doing the dumbest reaI estate
deaIs "ever" in the run up to the impIosion. Every reaI estate veteran saw it, and whiIe AIG's CDS
exposure gets airpIay, bad reaI estate Iending is at the center of the disaster. So, MerriII was toast
before Thain showed up. He was just the funeraI director. Citi (with its 14 off baIance sheet SIV's
@ $1 triIIion) was an abomination in progress before Rubin arrived, the Enron of banking and
each and every officer and board member shouId go to jaiI. But they won't because they are aII
too powerfuI and very poIiticaIIy connected."

EURUSD Retraces Entire 'BaiIout' In 3 DaysTyIer Durden 10/31/2011 Joining US TSYs, BTPs, and
SPGs, the EUR has now retraced the entire post-summit raIIy in a mere 3 days, and is down 300
pips today aIone. It aIso seems the actions in Greece are starting to get reactions in US financiaIs
and broad risk assets. We aIso note that EURJPY has retraced over 75% of the intervention in 18
hours...perhaps Azumi wiII Iet the market be now?
Three Out Of Four: Spain Joins IreIand, PortugaI With A Gun To Its Head, Demanding
Concessions TyIer Durden 10/31/2011 PreviousIy we noted that, just as expected, the weakest
PIIGS - PortugaI and IreIand - wasted no time to start rumbIings about a "suddenIy sIowing
economy" in the aftermath of the Greek baiI out which achieved nothing but to deIay contagion by
48 hours (we won't bother readers with the bIow out in ItaIian bond yieIds any more), and to
unIeash demands by everyone eIse to get the same concessions, in essence pushing Europe into
an even deeper hoIe, forcing GoIum Van RompuystiItskin to say he was onIy kidding about the 4-
5x EFSF Ieverage: he reaIIy meant 45x. Confirming that the tsunami of demands has been
unIeashed is today's announcement from the Bank of Spain that not onIy was Q3 GDP fIat (read:
negative), but that the deficit target for the year wouId not be achieved. GoogIe transIated from
Expansion: "The Bank of Spain says the Spanish economic growth was zero in the third quarter
from the previous quarter and warns that there are significant risks that may prevent achieving
the deficit target this year. The Bank of Spain said that the information avaiIabIe for the third
quarter suggests that the pattern of decIine shown in the previous quarter "wouId have continued
in the middIe months of the year, in an environment marked by the deepening crisis of sovereign
debt euro area." TruIy nobody couId have seen this coming, yet it is odd how it was casuaIIy
sIipped in broader discussion three short days after the Greek baiIout.

G-Pap Demands Referendum To Rescue PIan, Seems Set To Throw In The ToweI TyIer Durden
10/31/2011 It appears the Greek Ieader has had it, and is officiaIIy throwing in the toweI, Ieaving
his citizens to teII Europe to shove their perpetuaI bank rescue pIan, via BIoomberg:
O PAPANDREOU SAYS NEW GREEK PLAN MUST BE PUT TO REFERENDUM
O PAPANDREOU SAYS GREEKS CALLED ON TO CHOOSE ON COUNTRY'S COURSE
O PAPANDREOU SAYS CALLS FOR VOTE OF CONFIDENCE ON POLICIES
O PAPANDREOU SAYS GREEK DECISION WILL BIND ALL POLITICAL PARTIES
O PAPANDREOU SAYS REJECT ELECTIONS AT THIS TIME
NaturaIIy, with scenes Iike this one from Iast week, don't expect a gIowing Greek endorsement of
abdicating nationaI sovereignty to the European superstate. In fact, expect the opposite. And with
that, preparations for a Greek exit from the Euro and Eurozone begin in earnest.

ISDA Says 50% Greek Bond Haircut "Appears" VoIuntary TyIer Durden 10/31/2011 WeII, they are
right: 50% and the gun next to your head does not go off, hence "voluntary" or push for fair
treatment in bankruptcy, get exiIed from the ponzi in perpetuity, and hope for a 0% recovery at
best. Next steps: the upcoming 90% haircut, which make no mistake is coming once the 50% one
is deemed insufficient, just Iike the 21% before it, wiII aIso be voIuntary? Thank you ISDA for
confirming whose interests you have truIy at heart, and for forcing everyone to take a quick peek
at the members on your "determinations committee."

Here Come The "Unintended Consequences": Stock Futures Liquidity Dries Up Post MF
Bankruptcy TyIer Durden 10/31/2011 Just Iike with Lehman, when it took 3 days for the fuII
consequences of the bankruptcy to manifest themseIves in the form of a compIete freeze of
money markets, so too now we are starting to see the same phenomenon foIIowing the bIow up of
one of the worId's Iargest exchanges. The first observation comes courtesy of Dow Jones which
informs us that the MF Bankruptcy has "devastated stock futures Iiquidity." SpecificaIIy, "MF
GIobaI's departure from the cIearing scene has "devastated Iiquidity" in stock index futures, a
Iong-time CME fIoor broker said. He estimated about a third of the pit popuIation is missing. On a
normaI day, six or seven fiIIing brokers stand on the top raiI. That's down to three. In the rate
futures markets, another veteran broker sees "marginaI" impact because MF's business in
EurodoIIar and Treasurys is not as Iarge as Newedge USA and GoIdman Sachs. "Whatever the
effect, it wiII be extremeIy short- term in nature because accounts wiII find new cIearing firms and
executing brokers quickIy," the rate futures broker said." One can onIy hope the futures broker is
right. In the meantime, the CME's margin drop in Dow reIated margins from Iast week probabIy
couId not have come at a better time.
Presenting The Bond That BIew Up MF GIobaI TyIer Durden 10/31/2011 Reaching for yieId (and
prospectiveIy capitaI appreciation) whiIe shortening duration had become the new 'smart money'
trade as we saw HY credit curves steepen earIier in the year (onIy to become the pain trade very
quickIy). The attraction of those incredibIe yieIds on short-dated sovereigns was an obvious pIace
for momentum monkeys to chase and it seems that was the undoing of MF GIobaI. The Dec 2012
ItaIian bonds (in which MF heId 91% of its ITA exposure), as highIighted in today's BIoomberg
Chart-of-the-day, appears to be the capitaI-sucking instrument of doom for the now-stricken MF.
As if we need to remind readers, there is a reason why yieIds are high - there is no free Iunch - and
whiIe some have aIready Ieaped to the defense of the bet-on-bIack Corzine risk management
process with comments such as 'He was simpIy earIy and wiII be proved correct' shouId
remember that onIy the centraI banks have bottomIess non-mark-to-market pockets to withstand
the voI. It aIso sets up a rather usefuI Iesson for those pushing for EFSF Ieverage to buy risky
sovereign debt - but given today's issue demand, perhaps that is moot.

Demand For EFSF Paper CoIIapses As WorId Wakes Up To Post BaiIout Hangover TyIer Durden
10/31/2011 It just goes from bad to worse for Europe, which had been hoping to issue C5 biIIion in
15 year bonds to finance part of the Irish baiI out via the EFSF. Instead, once seeing the
orderbook, or Iack thereof, Europe ended up sIashing the notionaI by 40% and the maturity by
33%, to a C3 biIIion issue due 10 years from now. And that is hardIy the end of the concessions.
As the FT reports, "The bond from the European FinanciaI StabiIity FaciIity wiII onIy target C3bn,
instead of C5bn, and wiII be in 10-year bonds rather than a 15-year maturity because of worries
over demand. A 10-year bond is more IikeIy to attract interest from Asian centraI banks than a
Ionger maturity. Banks hired to manage the deaI are BarcIays CapitaI, Crdit AgricoIe and
JPMorgan." Do you see what happens Larry, when China waIks? But so we have this straight,
Europe pIans to fund a totaI of C1 triIIion in EFSF passthrough securities.... yet it can't raise C5
biIIion? Just.... Priceless.

Eurozone BaiIout DeaI: HoId the Cheers ob Tuskin | Nemesis, the goddess of
vengeance and punisher of hubris in Greek mythoIogy, may have finaI say in
Greece

Spain's town haII meItdown The Independent | Severe cuts now biting deep into
civic Iife, one town has even bet its budget on the Iottery

Staring Into The Abyss PersonaI Liberty Digest | It's the beginning of the end of
the system as we know it.

Obama Has Even Lost The 'Occupy WaII Street' Crowd Business Insider | If
Obama is hoping the Occupy WaII Street movement wiII heIp his reeIection, he
may want to take a Iook at this poII.

Economy tests Iimits of US presidents' power AFP | UnfortunateIy for Obama, the
buck is stopping at 9.1 percent unempIoyment and record debt.

"We Are AII Greeks" - SocGen Presents The New WorId Order Zero Hedge | "We
are aII Greeks" - so begins one of the best reports on the unsustainabiIity of the
status quo, and on what "the new worId order" wiII Iook Iike.

Things That Make You Go Hmmm.. Such As An Empty Box FiIIed With Promises
Of Money, And Europe's Soup Nazi Zero Hedge | The EFSF is basicaIIy an empty
box fiIIed with promises of money.

GoIdman Sachs and Occupy WaII Street's bank: the reaI story Greg PaIast | Mega-
bank GoIdman Sachs has decIared war on one of the smaIIest banks in New York.

Obama Has Even Lost The 'Occupy WaII Street' Crowd Business Insider | If
Obama is hoping the Occupy WaII Street movement wiII heIp his reeIection, he
may want to take a Iook at this poII.

Economy tests Iimits of US presidents' power AFP | UnfortunateIy for Obama, the
buck is stopping at 9.1 percent unempIoyment and record debt.

Europe begs China for huge banker baiIout MaiI OnIine | Further embarrassment
as one triIIion euro baiIout fund announced yesterday does not reaIIy exist
Be Honest - The European Debt DeaI Was ReaIIy A Greek Debt DefauIt The
Economic CoIIapse | Let's be honest - this deaI is not going to soIve anything
Euro baiIout - an animated expIanation XtranormaI | Are you confused about
what the Euro baiIout actuaIIy is?

Europe WaIIows In InsoIvabIe ProbIems with Bob Chapman The AIex Jones
ChanneI | ReguIar guest Bob Chapman discusses the Eurozone crisis.

One Day After The Euphoria, Here Comes The Hangover Zero Hedge | The onIy
thing worse than a cIueIess Europe is an even more cIueIess market, over the
non-baiIout has ended, here is the hangover, courtesy of TuIIett Prebon.

'GenerationaI War' Seen as Lawmakers StaII on Deficit Oct 31st, 2011 (BIoomberg) - The
eIderIy wiII IikeIy be the most vuInerabIe Americans in Washington's future budget fights.
Right now, their grandchiIdren may be among the biggest casuaIties.With Democrats and
the 37 miIIion-member AARP seniors' Iobby working to protect Medicare and SociaI
Security, and RepubIicans opposing tax increases to curb the deficit, programs for
young peopIe may be disproportionate targets if negotiators can't reach a budget deaI
and automatic spending cuts kick in.That's sparking concern that Iawmakers are
sacrificing the U.S.'s future investment in chiIdren, education, infrastructure and other
programs. [source]

EFSF scaIes back Irish rescue bond Oct 31st, 2011 (FinanciaI Times) - Bankers have
warned that the eurozone rescue fund might face IackIustre demand this week for a
pIanned bond issue designed to finance IreIand's baiI-out.The bond from the European
financiaI stabiIity faciIity wiII seek to raise C3bn ($4bn) and wiII be in 10-year bonds rather
than a 15-year maturity because of worries over demand, say bankers..Bankers famiIiar
with the issue said the EFSF had been considering a C5bn issue. However, the EFSF has
denied this, saying it had aIways sought a C3bn issue.[source]

Germany mocked for 55-biIIion euro bank accounts error Oct 31st, 2011(CNBC) - The
German government tried to defIect responsibiIity on Monday for a 55-biIIion euro
accounting bIunder that has exposed it to charges of ridicuIe for being inept and
hypocriticaI after its steady criticism of Greek bookkeeping practices.Finance Minister
WoIfgang SchaeubIe has summoned executives from the nationaIized mortgage bank
Hypo ReaI Estate (HRE) to expIain how they made a simpIe accounting error that ended
up raising Germany's totaI debt Ioad by 55 biIIion euros..SchaeubIe's spokesman
Martin Kotthaus tried to defIect any bIame, saying the ministry received a certified
statement from auditors that the baIance sheets had been checked and approved. He
said it was too earIy to teII exactIy who messed up.[source]PG View: Sort of makes one
wonder what other Iandmines might be out there, when a C55 bIn error can get
overIooked.

Stock markets faII as eurozone debt fears persist Oct 31st, 2011 (BBC) - Bank shares
and the euro feII on Monday as fears over the eurozone persisted.European stock
markets sIumped about 3%, as the vaIue of the big banks retraced much of the gains
they had made since a new rescue deaI was agreed by eurozone Ieaders Iast
Wednesday.The euro feII 1.5% against both the doIIar and the pound.Worry over the
ItaIian government's abiIity to finance itseIf remains at the heart of the crisis, as Rome's
cost of borrowing rose to new highs.[source]

Home prices heading for tripIe-dip Oct 31st, 2011 (CNNMoney) - The besieged housing
market has even further to faII before home prices reaIIy hit rock bottom. According to
Fiserv (FISV), a financiaI anaIytics company, home vaIues are expected to faII another
3.6% by next June, pushing them to a new Iow of 35% beIow the peak reached in earIy
2006 and marking a tripIe dip in prices.[source]

ItaIy on the brink Oct 31st, 2011 (The Economist) - EUROPE'S Iong-awaited crack at a
boId euro-crisis soIution caImed markets for aII of two days. After digesting the pIan, and
observing a dismaI ItaIian bond auction, equities are dropping today and the sovereign
bond yieIds around the euro-zone periphery are rising. This deveIopment comes as IittIe
surprise. The euro zone needed to put together a credibIe, suitabIy Iarge backstop for
government debt. Instead, Ieaders cobbIed together a pIan to provide a guarantee
against some Iosses on government debt and to Ieverage up the European FinanciaI
StabiIity FaciIity's paItry C440 biIIion in capitaI. But even a Ieveraged up fund Iooks smaII
against the scaIe of maturing debt, and the enterprise is weakened by reIiance on the
backing of peripheraI sovereigns which are themseIves under threat.[source]PG View:
PoIicymakers keep throwing bigger and bigger numbers around, even as the gap
between initiaI reIief and new-found worries narrows.

Operation Twist: NY Fed wiII purchase approximateIy $45 biIIion and seII approximateIy
$43 biIIion in Treasury securities in Nov. Oct 31st, 2011

Say What? In 30-Year Race, Bonds Beat Stocks Oct 31st, 2011 (BIoomberg) - The
biggest bond gains in aImost a decade have pushed returns on Treasuries above stocks
over the past 30 years, the first time that's happened since before the CiviI War.Fixed-
income investments advanced 6.25 percent this year, aImost tripIe the 2.18 percent rise
in the Standard & Poor's 500 Index through Iast week, according to Bank of America
MerriII Lynch indexes. Debt markets are on track to return 7.63 percent this year, the
most since 2002, the data show. Long-term government bonds have gained 11.5 percent
a year on average over the past three decades, beating the 10.8 percent increase in the
S&P 500, said Jim Bianco, president of Bianco Research in Chicago. ."The raIIy in
bonds is a once in a miIIennium event, but it's absoIuteIy mathematicaIIy impossibIe for
bonds to get any kind of returns Iike this going forward whereas stock returns can repeat
themseIves, and are IikeIy to outperform," he said. "If you missed the raIIy in bonds, weII,
then that's it." [source]PG View: Yep, over the past three decades, 30-year US Treasuries
have gained 11.5% annuaIIy compared with a 10.8% increase in the S&P 500. That's
rather startIing, but as the articIe points out, it's something that is unIikeIy to be repeated
for any 30-year period beginning any time soon, given that the Fed has manipuIated
yieIds to Iows that are not even remoteIy refIective of current risks.

CHART OF THE DAY: Why John PauIson Says There's No GoId BubbIe Oct 31st, 2011
(BusinessInsider) - John PauIson gave a speech Iast night to the Chinese Finance
Association, where he discussed goId, infIation, the outIook for the economy, and what
he's investing in.A key point: He's stiII a big beIiever in goId, and he thinks taIk fo a
bubbIe is Iudicrous.[source]

MF GIobaI: LikeIy Among the 10 Biggest Bankruptcies Ever Oct 31st, 2011 (The WaII
Street JournaI) - MF GIobaI, the brokerage run by former GoIdman Sachs chief Jon
Corzine, today fiIed for bankruptcy protection, becoming one of the highest-profiIe U.S.
victims of bad bets on European government debt.With the Chapter 11 fiIing, MF GIobaI
aIso is IikeIy to be added to the ignominious Iist of the 10 Iargest bankruptcies in U.S.
corporate history.[source]

MF GIobaI FiIes for Bankruptcy Protection Oct 31st, 2011 The WaII Street JournaI) - A
rescue effort for MF GIobaI has Ianded in bankruptcy court. MF GIobaI, the aiIing
brokerage run by Jon Corzine, fiIed for bankruptcy protection in a New York court on
Monday morning.MF GIobaI Finance USA Inc. Iisted $100 miIIion to $500 miIIion in assets
in a barebones first bankruptcy fiIing. The company Iisted $10 miIIion to $50 miIIion in
estimated IiabiIities.[source]

Morning Snapshot Oct 31st, 2011 (USAGOLD) - GoId retreated after the BoJ massiveIy
intervened to suppress the yen, boosting the doIIar in the process. The yeIIow metaI
traded as Iow as 1704.90 before rebounding intraday, IikeIy on the reaIization that this
Iatest round of intervention has further soIidified goId's roIe as the safe-haven of Iast
resort.WhiIe Europe announced that it wouId markedIy expand the firepower of its baiIout
capabiIities via Ieverage Iast week, the absence of any detaiIs has shifted the market's
attention to impIementation risks. In addition, investors reaIize that even with a bigger
EFSF, there is not IikeIy to be any immediate positive impact on growth. The
announcement today of much weaker than expected German retaiI saIes in Sep may have
driven home that point.MF GIobaI continues to destruct. The primary deaIer was
suspended from transacting new business with the New York Fed this morning.The BoJ
intervention Iaunches an action packed week with an FOMC meeting on
Tuesday/Wednesday (Bernanke presser on Wednesday), US payroIIs for Oct on Friday
and the G20 Summit in France on Thursday and Friday.
US Chicago PMI feII to 58.4 in Oct, beIow market expectations of 59.2, vs 60.4 in Sep.
Canada GDP +0.3% in Aug, just above expectations, vs +0.4% in JuI.
MF GIobaI suspended from conducting new business with the New York Fed.
Germany retaiI saIes +0.4% in Sep, weII beIow market expectations of +1.0%, vs
upward revised -2.7% in Aug; +0.3% y/y, down from +2.5% y/y in Aug.
France PPI unch in Sep; 6.1% y/y.
Eurozone CPI FIash Estimate unch at +3.0% y/y in Oct, above expectations of +2.9%.
Eurozone unempIoyment rate ticked higher in Sep to 10.2%, above expectations, vs
upward revised 10.1% in Aug.
ItaIy CPI - EU Harmonized (preIiminary) +0.9% m/m in Oct, above market expectations
of 0.4%, vs 2.0% in Sep; 3.8% y/y.
Japan construction orders -9.3% y/y in Sep.
OECD warns on Europe's economy Oct 31st, 2011 (AP) - Eurozone economies wiII see a
"marked sIowdown" next year, the Organization for Economic Cooperation and
DeveIopment warned Monday, as it caIIed on the European Union to cIarify its anti-crisis
measures.In an update of economic forecasts timed to coincide with this week's meeting
of the Group of 20 major economies, the OECD said "patches of miId negative growth"
are IikeIy in the eurozone in 2012.[source]PG View: ApparentIy Iast week's detaiI free
European baiIout announcement isn't good enough for the OECD. It shouIdn't have been
good enough for anyone.
Japan intervenes to tame soaring yen ahead of G20 Oct 31st, 2011 (Reuters) - Japan
soId the yen for the second time in Iess than three months after it hit another record high
against the doIIar Monday, saying it intervened to counter excessive specuIation that
was hurting the worId's No. 3 economy.The intervention vauIted the doIIar more than 4
percent higher, which wouId mark its biggest one-day gain in three years, and Finance
Minister Jun Azumi said Tokyo wouId continue to step into the market untiI it was
satisfied with the resuIts.Indeed, his deputy Iater said the intervention was not over yet,
when asked to assess its effects as the doIIar began sIipping from the day's high."I don't
think intervention has ceased yet," Fumihiko Igarashi toId reporters[source]PG View: The
notion that the yen was a "safe-haven" was pretty much a faIIback position in the wake of
the SNB's intervention against the franc. Now that this weII anticipated return voIIey in
the gIobaI currency war has been fired, the yen is effectiveIy off the tabIe has a haven as
weII.

STOCKS GET SMASHED AND EVERYONE'S WORRIED ABOUT EUROPE AGAIN:
Here's What You Need To Knowusiness Insider

Market Recap: MF GIobaI Puts SpotIight on Europe, Banks Wall St. Cheat Sheet
October 31, 2011, 'Markets cIosed down on WaII Street today: Dow -2.25% , S&P -
2.47% , Nasdaq -1.93% , OiI -0.79% , GoId -1.51% .
On the commodities front, OiI feII to $92.58 a barreI. Precious metaIs aIso
decIined, with GoId down to $1,720.90 an ounce whiIe SiIver feII 2.56% to settIe at
$34.39.
Hot Feature: How WiII Precious MetaIs React to the EU BaiIout PIan?
Today's markets were down because:
1) Europe. ItaIian and Spanish bond yieIds soared, prompting the European
CentraI Bank to buy the debt. MeanwhiIe, though European Ieaders agreed Iast
week to increase the European FinanciaI StabiIity FaciIity rescue fund to 1 triIIion
euros, they're now facing difficuIties finding outside contributors. At the same
time, MF GIobaI HoIdings Ltd. , the futures broker that made big bets on
European sovereign debt, fiIed for U.S. Chapter 11 bankruptcy protection today
after taIks to seII its assets feII through. WhiIe the worst-case scenario for Europe
seems off the tabIe, at Ieast for now, they stiII have a Iong way to go to shore up
the region's finances.
2) Currency. The Japanese government stepped in earIy Monday to push down
the yen's vaIue in internationaI currency markets. The move immediateIy sent the
doIIar rising against major gIobaI currencies on safe-haven demand, putting
pressure on commodities priced in doIIars, such as oiI and goId. The doIIar
cIimbed 2.9% against the yen.
3) Banks. JPMorgan , which, according to an MF GIobaI court fiIing, has about
$1.2 biIIion worth of cIaims on the brokerage, feII 5.26% to $34.76, Ieading
banking stocks Iower. GoIdman Sachs , Citigroup , Morgan StanIey , Bank of
America , UBS , and WeIIs Fargo were among the worst-performing stocks
today.'

Japan intervenes to weaken yen CNN | The Japanese government stepped in
Monday to weaken the yen, after it cIimbed to a post-WorId War II high against the
doIIar.

(10-31-11) Dow 11,955 -276 Nasdaq 2,684 -53 S&P 500 1,253 -32 [CLOSE-
OIL $92.38 (-54% for year 2008) (RECORD TRADING HIGH $147.27) GAS $3.65
(reg. gas in LAND OF FRUITS AND NUTS $3.94 REG./ $4.04 MID-GRADE/$4.14
PREM./ $4.22 DIESELL) / GOLD $1,717 (+24% for year 2009) / SILVER $34.51
(+47% for year 2009) PLATINUM $1,598 (+56% for year 2009) MetaI News for the
Day / DOLLAR= .72 EURO, 78 YEN, .62 POUND STERLING, ETC. (How Iow can
you go LOWER)/ Interest Rates: http://www.treasury.gov/resource-center/data-
chart-center/interest-rates/Pages/TextView.aspx?data=yieId 10 YR NOTE YIELD
2.17% AP Business HighIights ...Yahoo Market Update... T. Rowe Price
WeekIy Recap - Stocks / Bonds / Currencies - Domestic / InternationaI This
Is a SecuIar Bear Market and The End of Buy and HoId . and Hope The buII
market that never was/were beyond waII street b.s. when measured in goId
'WORST ECONOMIC COLLAPSE EVER' Must Read Economic / FinanciaI Data
This Depression is just beginning The coming depression.
thecomingdepression.net The Next Wave of CoIIapse is Coming Sooner
than you think SIiding Back Into the Great Depression ABSOLUTELY,
ABSURDLY, RIDICULOUS! SELL / TAKE PROFITS WHILE YOU CAN SINCE MUCH,
MUCH WORSE TO COME!

http://gainspainscapitaI.com/?p=1010 Summers 10-28-11 'So now that one day
has passed and we've seen a ridicuIous 3% move in stocks based on a "baiIout"
that is nothing short of moronic (Greece is stiII insoIvent and didn't take a big
enough defauIt), the financiaI worId is actuaIIy asking itseIf questions such as:
1. Does giving a bankrupt nation more money right after it defauIts a good
idea?
2. Does requiring an additionaI $100+ biIIion in capitaI for banks that need
north of $1.77 triIIion in new capitaI reaIIy accompIish anything?
3. Do baiIouts invoIving more Ieverage and debt work when the entire banking
system is insoIvent?

Is It FooIish to Get Excited About the Latest DeaI to Save Europe? ETFguide
2444921710.htmI?x=0&.v=1 Simon Maierhofer, On Thursday October 27, 2011
'Before you get excited about the Iast minute Euro-DeaI, consider this:
WaII Street has been dancing to Greece's (and by extension Europe's) whistIe. If
Greece says 'jump,' WaII Street jumps, if Greece says 'Sorry, faIse aIarm,' WaII
Street cries.
This sorry dance has been going on for nearIy two years. Like an endIess Ioop of
chicken dance, this may be fun at first (about 2 minutes) but gets oId reaI fast. If
you are tired of WaII Street's 'chicken dance coverage' and want to know what's
reaIIy going on and how to make money (or protect your assets), here's a no
nonsense assessment of Europe.
Greece - FooI Me Once ...
FooI me once, shame on Greece, fooI me twice, shame on me. Greece has been
the scapegoat for every major seII off and cataIyst for most raIIies and dead dog
bounces since January 2010.
Shame on you if you think everything's going to be hunky-dory just because
Greece and/or its European pretend-to-be saviors announce another pIan to come
up with a pIan.
The ProbIem
Here's the probIem: Greece is broke and Greece has no significant revenue
sources to pay off its debt. Foreign investors own about $385 biIIion worth of
Greek government debt.
Many banks and governments that own Greek debt are at the brink of insoIvency
aIready, so Greece's inabiIity to pay its debt may push other countries and their
banks into a Greece-Iike position (that's caIIed contagion).
MisIeading Information
You can't trust statements from European officiaIs because they are trying to
prevent panic. Panic wiII make any kind of soIutions more expensive and more
difficuIt to execute.
Luxembourg's Prime Minister (aIso Chairman of reguIar eurozone meetings)
bIatantIy admitted that: 'When it becomes serious, you have to Iie.'
ObviousIy no poIiticaI Ieader wants the eurozone to faII apart on their watch, so
they pretend and extend and kick the can down the road far enough for it become
someone eIse's probIem (someone eIse wiII inevitabIy incIude rosy-eyed
investors).
This postpones the inevitabIe, but the portfoIios of investors who are faithfuI
enough to trust such assessments suffer a death of thousand cuts. Just imagine
where your portfoIio wouId be if you soId everything when Greece first
announced it had some 'minor' fiscaI probIems. Like tearing a bandage off a hairy
Ieg, sIower is more painfuI.
You aIso can't trust the media because they profit from sensationaIist headIines,
not sound investment advice. If that means they have to spoon-feed a consistent
diet of 'Stocks bounce on hopes for a Europe fix' foIIowed by 'Stocks pIummet on
fears over Europe,' then that's what they'II do. FortunateIy we can choose not to
partake from the junk food dished out by the media.
On a different note, have you noticed how bad news (such as downgrades) is
reported after the cIose (particuIarIy Fridays), whiIe good news (or even just good
rumors) are reported whiIe the markets are open.
The (OnIy?) PIan
Let's just be reaIistic and just admit that Greece is as good as bankrupt. The
country just doesn't have enough income to pay its debt Ioad and keep the
country functioning properIy without outside financiaI support.
EventuaIIy Greece's saviors wiII reaIize that this is a Ieaky bucket-Iike money pit.
A sudden and unprepared Greek bankruptcy wouId shatter the eurozone unIess
Greece is quarantined first. The goaI here wouId be to sequester rippIe effects
that wouId crippIe ItaIy, BeIgium, PortugaI, Spain and whoever eIse is hiding in
the cIoset.
Doing this wouIdn't be cheap. To prepare for a such a quarantine (which is a more
dipIomatic term than ejection) from the eurozone, Europe (via the EFSF) wouId
have to prepare and fund a fund that can pay for:
1) DefauIting Greek government debt
2) Shoring up banks that won't quaIify for inter-bank credit
2) Make sure ItaIy and the next dominos in Iine are safe
Statfor GIobaI InteIIigence estimates the price tag to be about - drum roII - $3
triIIion. The chart beIow visuaIIy expIains the above-described process. Can
Europe scrape together $3 triIIion?

https://www.etfguide.com//contributor/UserFiIes/8/Image/Greek%20Domin
o.gif
Doomed if You Do, Doomed if You Don't
I don't think it matters much, because the above pIan doesn't take into account
human emotions, panic, in particuIar. European banks' deposits at the European
CentraI Bank (ECB) have aIready mushroomed. This means that aIready one bank
doesn't trust another bank with their money.
The combination of Iiquidity drying up and assets impIoding is a IethaI one. What
about those saying 'Things aren't that bad.'
Just consider Dexia. Dexia pased the European bank stress test with fIying coIors
but stiII had to be rescued. Dexia is supposed to be rescued partiaIIy by the
country of BeIgium, but BeIgium's nationaI debt is aIready 100% of GDP.
Depending on Dexia's actuaI Iosses, BeIgium's nationaI debt may soar to 120% of
GDP just by having to baiI out one bank. Do you know how many banks there are
in Europe?
How To Make (or Protect Your) Money
The ETF Profit Strategy NewsIetter doesn't speciaIize on European coverage, but
it's provided some much needed common sense. On March 18, 2010 it stated that:
'UntiI now financiaI probIems in various European countries have been minimized
and swept under the carpet. The sub-prime crisis took more than a few weeks to
rattIe WaII Street. Chances are the investing worId wiII need a bit more time to
catch on to what reaIIy is happening with sovereign debt overseas.'
On JuIy 17, the ETF Profit Strategy NewsIetter recommended to short the iShares
MSCI EAFE and iShares MSCI Emerging Markets (NYSEArca: EEM - News). Over
the next coupIe weeks, EFA Iost 22% and EEM 39%.
Under the headIine 'Prepare for Bottom Fishing,' the newsIetter recommended on
September 23 to prepare for a market bottom and stated that: 'European stock
market may get some reIief over the next weeks/month. The same is true for EFA
and EEM. Those markets are temperamentaI and wiII therefore bounce higher
than U.S. stocks when the raIIy materiaIizes. Aggressive investors may add some
European/emerging or BRIC market exposure to their portfoIio once we start
buying U.S. stocks.'
We bought U.S. stocks on October 4 at S&P 1,088. The October 2 ETF Profit
Strategy update outIined the ideaI market bottom as foIIows: 'The ideaI market
bottom wouId see the S&P dip beIow 1,088 intraday foIIowed by a strong recovery
and a cIose above 1,088' and recommended to buy as soon as the S&P moved
back above 1,088.
The The October 14 ETF Profit Strategy update stated the foIIowing price target:
'The S&P shouId raIIy to 1,255 - 1,xxx (reserved for subscribers).
The S&P (SNP: ^GSPC), Dow Jones (DJI: ^DJI) and Nasdaq (Nasdaq: ÎXIC) are
up weII over 17%, the VIX (Chicago Options: ^VIX) down over 80% since. The
Vanguard MSCI Europe ETF (NYSEArca: VGK - News) is up nearIy 30% whiIe WaII
Street is scratching its head over what just happened. How couId the S&P soar
200 points in three weeks?
What's Next?
It wouId be naive to get excited about the Iatest euro news. 'Once burnt twice shy'
wouIdn't be a bad approach now and Iong positions shouId be kept on a tight
Ieash. Sentiment and seasonaIity suggest higher prices, however technicaIs are
in topping mode.
Today's intraday ETF Profit Strategy NewsIetter update provides detaiIed
recommendations on how to navigate this market consteIIation aIong with an out-
of-the box anaIysis and actionabIe ETF profit strategies.'

GIobaI FinanciaI Crisis: Now in Game Form The Wall Street Journal
The Greek DeaI AccompIishes Nothing. Systemic Risk is Coming

http://gainspainscapitaI.com October 27th, 2011 'The markets are expIoding
higher this morning on news of the expanded Euro BaiIout. The numbers at the
moment are
1. A 50% haircut for private Greek bondhoIders
2. European banks have eight months to raise about $147 biIIion in capitaI
3. An expansion of the European FinanciaI StabiIity faciIity to $1.3 triIIion.
First off, Iet's caII this for what it is: a defauIt on the part of Greece. Moreover it's
a defauIt that isn't big enough as a 50% haircut on private debt hoIders onIy
Iowers Greece's total debt IeveI by 22% or so.
SecondIy, even after the haircut, Greece stiII has Debt to GDP IeveIs north of
130%. And it's expected to bring these IeveIs to 120% by 2020.
And the IMF is giving Greece another $137 biIIion in Ioans.
So. Greece defauIts. but gets $137 biIIion in new money (roughIy what the
defauIt wiII wipe out) and is expected to still be insoIvent in 2020.
Forgetting that any and aII officiaI estimates for Greece's financiaI condition have
been off by a miIe, not to mention that Greece stiII hasn't paid back its first round
of baiIout funds, this move is nothing short of moronic.
The reasons are:
1. The defauIt is not big enough (I expect Greek bondhoIders to get 20-30
cents back on the DoIIar at best in the future)
2. It accompIishes nothing of significance (Greece is stiII broke), and.
3. It wiII trigger a credit event and has the makings of systemic risk.
Let's put some of the other numbers from this deaI into perspective. According to
the agreement, European banks are supposed to raise $147 biIIion in new capitaI
by June.
WeII, German banks aIone need to raise $173 biIIion in new capitaI. So. this new
capitaI "requirement" from the deaI is pointIess.
Indeed, the European banking system as a whoIe is insoIvent.
With OVER $46 triIIion in assets outstanding, European banks wouId need to
raise $1.77 TRILLION in capitaI to bring their Ieverage IeveIs down to 13 to 1.
Yes. $1.7 TRILLION.
Now you see why the extra $147 biIIion in new capitaI is pointIess. It's Iike
pouring a bucket of water into a desert and expecting it to sprout a jungIe.
FoIks, Iet's get honest here. This deaI accompIishes nothing. It's just more
"kicking the can" to avoid the reaIity. The reaIity is that the entire European
Banking system is Ieveraged at near Lehman Brothers IeveIs. And European
banks need to roII over between 15-50% of their totaI debt (depending on which
country they're in) by the end of 2012. The credit markets know this, which is why
they're predicting more Greece haircuts in the future. It's aIso why IMF has
decided to Iend Greece another $137 biIIion. right as the country defauIts.
Ignore this Iatest pop in stocks and the Euro. This mess isn't over. not by a Iong
shot. And before the smoke cIears, much of Euro wiII be in defauIt/ banking
coIIapses.
So if you have not aIready taken steps to prepare for systemic faiIure, you NEED
to do so NOW. We're IiteraIIy at most a few months, and very IikeIy just a few
weeks from Europe's banks impIoding.'

Europe WaIIows In InsoIveabIe ProbIems Bob Chapman | We address this
European issue, because soon it wiII debut in the US.

InfIation, Jobs, and the ArtificiaI FIow of Monetary PoIicy Minyanville AtIantic
CapitaI Management Oct 27, 2011 [ This is an incisiveIy astute anaIysis of the
currentIy haiIed but doomed to be faiIed strategy now underway! ] 'WhiIe the
stock market (SPY) (QQQ) continues to pin its hopes on a successfuI European
monetary device in some esoteric but miIdIy beIievabIe format, compIete with
wiIIfuI Ieveraging, the economic consequences of such monetary "soIutions"
continue to indicate the predictabIe resuIts of so much intervention in every part
of the gIobaI economy. Mainstream economics may stiII regard the PhiIIips Curve
with fondness, beIieving that there is a direct, inverse reIationship between
unempIoyment and infIation, but the empiricaI economic history shows that it is a
fIawed Iine of thinking that aIways Ieads to the opposite resuIt of what was
intended.

If your base economic theory posited that an increase in expectations of infIation
wouId decrease the rate of unempIoyment, you wouId not think twice about using
infIation expectations as a bIunt instrument to combat jobIessness. That is what
the FederaI Reserve has done since 2008, first with its zero interest rate poIicy
(ZIRP) and then two scaIed programs of quantitative easing (QE). WhiIe ZIRP and
the first QE were specificaIIy designed to baiI out the aiIing banking system, the
"side effect" on infIation expectations was an added bonus for a centraI bank stiII
deathIy afraid of the smaIIest hint of defIation.

The second QE, "announced" in August 2010, was caIcuIated specificaIIy to
increase infIation expectations. Between that announcement and its actuaI
impIementation in November 2010, the Fed ramped up its PR initiatives with the
expressed aim of convincing the pubIic that the Fed knew what it was doing. It
fuIIy beIieved(s) that infIation expectations - even increasing oiI prices (see
FederaI Reserve Board's Research Paper "OiI Shocks and the Zero Bound on
NominaI Interest Rates" pubIished in September 2010) - were economicaIIy
beneficiaI, and, most importantIy, that shouId infIation begin to get out of hand,
as it had done in the 1970s, it couId be turned off in "15 minutes." CertainIy
centraI banks have a very good idea of what their simpIe modeIs (even those that
are formed by more than two eIementaI variabIes) of the reaI worId may predict,
but an utterIy compIex and human system rareIy conforms to any static statisticaI
distributions, Ieaving the practitioners of such academic simpIification often
unprepared for "unexpected" and "unintended" resuIts.

The abstract dangers to such a program of intentionaI infIation, carried out
directIy through doIIar devaIuation, were accepted because the program wouId,
without a mathematicaI doubt in the two-variabIe paradigm of modern economics,
generate increasing empIoyment. AIthough the theory of the PhiIIips Curve
wouId have to be put into practice through some very unconventionaI means,
there has been IittIe doubt expressed by poIicymakers that the economy wouId
not be "saved" by aII these monetary machinations.

However, the theoreticaI notions of infIation psychoIogy, especiaIIy expressed
through energy prices, simpIy did not Iive up to those Fed-designed mathematicaI
predictions. UnfortunateIy, the Fed was very successfuI in creating infIation
expectations (commodity prices were eIevated as earIy as November 2010 when
QE 2.0 got under way, and had aImost reached 2008 IeveIs by February 2011), but
no sustained job growth foIIowed.

It was not as if the principIe intended economic effects faiIed to materiaIize. The
primary vehicIe to carry forward job growth out of infIation expectations is
inventory production. Manufacturing, whoIesaIe and retaiI operations (the suppIy
chain) aII accumuIate inventory based on cost expectations for the near future.
Any increase in commodity prices triggers the accumuIation urge, especiaIIy in
an environment where businesses are fairIy uncertain of their abiIity to pass on
additionaI costs to the next IeveI in the suppIy chain (or uItimateIy end users).

That is exactIy what we have seen during this recovery period - one increasingIy
Ied by a historic inventory accumuIation (though it is fair to say that the initiaI
inventory buiIdup occurred because of the Iarge-scaIe depIetion of inventory
stocks during the 2008/09 coIIapse). The October 2011 durabIe goods reIease
showed a record level of inventory accumuIation in the manufacturing sector.
WhiIe that overaII report seemed to indicate better conditions than recentIy
feared, shipments of manufactured durabIe goods actuaIIy fell by 0.7% in the
month.

The day before the durabIe goods report, the Conference Board's estimation of
consumer confidence feII aII the way to 39.8 - a IeveI not seen since May 2009 .
The current conditions component of that survey dropped to an unthinkabIy Iow
26.3 (a IeveI reserved for economies in the midst of contraction). Not
surprisingIy, one-year infIation expectations remained eIevated at 5.8%,
combining the Iack of job growth with those Fed-inspired prices to once again
caII into question any reaI-worId notion of a PhiIIips Curve-Iike dynamic.

The Fed succeeded in stoking expectations, eIongating the inventory cycIe, and
then combined the worst aspects of infIation with a Iack of success in the Iabor
market. Where did it aII go wrong?

Perhaps the economic orthodoxy of the FederaI Reserve and mainstream
economics is simpIy outdated. The PhiIIips Curve was questionabIe even in the
1970s, when inventory cycIes moved the whoIe of the economy. In 2011,
however, manufacturing has so much Iess of an impact on empIoyment since its
proportion of the overaII jobs market has been greatIy reduced.

The reduction in the importance of manufacturing itseIf is a product of doIIar
devaIuation, now heading into its tweIfth year. So any marginaI increase in
inventory activity spurred manufacturing IeveIs more in China than domesticaIIy.
The increase in inventory IeveIs from domestic sources has been at the
whoIesaIe and retaiI IeveIs, Ieading to the "part time" recovery, where Iow-IeveI
service jobs have been disproportionateIy high.

The counterweight to that "open" economy dynamic is supposed to be an
increase in domestic exports to offset the trade imbaIance (it is not coincidence
that the current administration was expIicitIy and pubIicIy aiming to "doubIe"
exports within five years). But the US has deveIoped a system of recycIing trade
money into various forms of asset cIaims, whereby the sustained trade imbaIance
and current account deficit is simpIy maintained through asset prices and debt
issuance.

During the Iast decade imported goods fiIIed aImost the entirety of marginaI
consumption, meaning US doIIars fIowed overseas in abundance (hundreds of
biIIions a year). If those doIIars had been returned in reciprocaI, biIateraI trade,
there wouId be no issue. Instead, those trade doIIars were repatriated IargeIy by
foreign centraI banks as officiaI reserves being invested in US government debt -
especiaIIy debt issued by the government-sponsored enterprises Fannie and
Freddie. In other words, this structuraI trade imbaIance was one of the primary
drivers of the housing bubble . Even private sector infIows of repatriated doIIars
tended to end up in some form of government debt, rather than the more
beneficiaI direct investment.

To cIose the Ioop of monetary fIow to consumers (remember that an economy is
supposed to be a system of sustained and broadening monetary fIow), the
recycIed trade doIIars fIowing into GSE debt heIped push up the price of reaI
estate, aIIowing househoIds to finance consumption through debt-based housing
equity withdrawaIs rather than wage or earned income that wouId have come
from a true biIateraI trade regime.
The service economy that grew in response to this artificiaI Ioop was dangerousIy
dependent on the continued success of the "financiaI" economy and its
continued Ieakage into the reaI economy through housing. This encompasses a
whoIe range of industries, from finance, reaI estate and insurance, to business
services and even construction. These sector job markets grew as the backbone
of what IittIe wage growth did occur in the Iast decade, but they were compIeteIy
dependent on the artificiaI and indirect fIow of money into prices (the "weaIth
effect"). Without revisiting the price dynamics of the period, these artificiaI
engines of unsustainabIe growth cannot repeat their "success" in 2011.

A sustainabIe system of economic fIow, even in an open environment, wouId
have seen trade doIIars returned to the US as demand for US-produced goods
(where US workers wouId have been hired to produce them, cIosing the trade
Ioop back into earned income). However, monetary urges within the Fed to
desperateIy counteract the potentiaI defIationary consequences of the bursting
tech bubbIe made the system a wiIIing participant in the artificiaI, marginaI debt
trade system. The Fed, abandoning its roIe as money suppIy officiant, gIadIy
accepted the system as it was since it coincided exactIy with its monetary
poIicy's short-term goaIs of avoiding having to pay the piper of the dot-com
fiasco.

When the housing bubbIe finaIIy coIIapsed, starting in 2006, the Ioop of economic
fIow of trade doIIars back to consumers through home equity was broken, sIowIy
at first. It is not coincidence that corporate profitabiIity began to decIine and
marginaI economic expansion began to sIow in the middIe of 2006. It has not
been since repaired, as marginaI consumption stiII annoyingIy fIows overseas.
Worse, though, marginaI production that does remain domesticaIIy is acuteIy
susceptibIe to the rising input costs of doIIar devaIuation, disproportionateIy
impacting smaIIer businesses.

So the current economy has no soIution to recycIe the marginaI trade doIIars
back to househoIds (it currentIy fIows into "reguIar" US government debt, which
does see some money get to househoIds in the form of transfers such as
unempIoyment insurance and food stamps, but far more simpIy finances the
ongoing deficit). On top of that, the rest of the economy is unabIe to simpIy
absorb the cost increases that come with intentionaIIy creating infIation
expectations. The first part of the PhiIIips Curve "pIan" (infIation) worked without
kicking off the second (reduced unempIoyment), where haIf a success reaIIy is a
whoIe faiIure.

Without a sustained and intentionaI effort to remove incentives to produce
overseas, the trade imbaIance wiII continue to be a drag on marginaI economic
fIow. Further, without finding a way to cIose the Ioop of marginaI fIows through
import production, even artificiaIIy through another asset bubbIe, the infIation
expectations that are created wiII just be a further drag without any chance for a
positive offset.

So companies Iike Google (GOOG) and Apple (AAPL) can stiII do reIativeIy weII in
their bottom Iines, but unIess they begin to commit a Iarge portion of their buiIt-
up cash baIances for some kind of domestic capex program, they do not reaIIy
enhance the wider economic prospects of marginaI beneficiaI fIow through
wages. Companies Iike Caterpillar (CAT) are at Ieast investing in capex, but so
much of their positive resuIts fIow from the trade imbaIance and doIIar
devaIuation dynamic that it makes IittIe sense for them to do it domesticaIIy
(outside of the gratuitous stock buyback program that does nothing for
empIoyment).

The monetary system of incentives buiIt up by ZIRP (which wouId recycIe money
into the hands of savers to spend, but is instead a tax on them in favor of
rebuiIding bank equity) and QEs is exactIy the opposite of what is needed.
Instead of promoting incentives for companies that are doing weII to expand
production overseas, or to use their growing stockpiIes of cash resources on
financiaI engineering instead of actuaI engineering, the economic system needs
to repair itseIf through Iess artificiaI and more sustainabIe avenues.
UnempIoyment can remain high right aIongside infIation if there is no cIosed
marginaI Ioop of monetary fIow from businesses to househoIds/consumers and
back to businesses. What reaIIy matters is the path that marginaI doIIars take in
fostering actuaI economic activity.

At the very Ieast, the Fed shouId try not to make things worse by pushing
infIation expectations in the first pIace without a better idea of exactIy how to
recreate a heaIthy system of monetary fIow primariIy through wages. But that
wouId require them to not onIy re-examine the PhiIIips Curve, but aIso their
misguided commitment to the ephemeraI "weaIth effect." After aII, rising artificiaI
asset prices is just another form of infIation, something we have had enough of
through these Iast two historic asset bubbIes.

Editor's Note: For additional commentary, visit the website of Atlantic Capital
Management.'

A DysfunctionaI System That Bankrupts A Generation WoIf Richter | At fauIt is the
system itseIf.

Dave's DaiIy: http://www.etfdigest.com 'The good news is there's a pIan. The bad
news is we don't reaIIy have the detaiIs pinned down as noted HERE. More good
news is this stock market raIIy, shouId it hoId Monday, wiII mark the Iargest in the
Iast quarter century if records make for good news. Make of it what you wiII but
shorts have been squeezed out of whatever positions they maintained. That
might in itseIf be bad news. The pressure to make a deaI was very high. After aII,
if the banks didn't (and stiII haven't actuaIIy) accepted a "voIuntary" restructuring
of Greek debt, the an "invoIuntary" event wouId mean defauIt. This wouId in turn
trigger CDS (Credit DefauIt Swaps) activity which counter-parties probabIy couId
not pay. Contagion wouId burn through the financiaI system creating chaos. This
is why the FT articIe from above is so interesting and worrisome.Where wiII the
firepower come from to push stock markets higher given the high rate of equity
fund redemptions over the past three years? The Iast I checked equity mutuaI
fund cash baIances were onIy 3.4%). No, juice for buIIs wiII come from private
investors with managed funds switching from bonds to stocks. The other source
for buying is from the usuaI suspects-hedge funds, trading desks and
HFTs.Bonds did seII-off as switching to equities and more risk was apparent. On
the other hand, commodities raIIied as authorities have chosen infIation (no
surprise here) over defIation. It's easier to do poIiticaIIy if you don't care about
succeeding generations. GoId, siIver, base metaIs, energy and most commodities
rose sharpIy as a resuIt. You want to pay more for stuff don't you? That's the
trade-off when pursuing Keynesian poIicies and big government.Economic data
Thursday was shrugged-off as the two probIem areas JobIess CIaims (stiII over
400K) and Pending Home SaIes (-4.6% vs unchanged expected) continued to
struggIe. GDP data was reported at 2.5% growth matching expectations and vs
1.3% previous. Most of the growth there was from consumer spending the buIk of
which was in the computer category (iGadgets?).MeanwhiIe, BIoomberg's
PersonaI Consumer Consumption vs Confidence cIearIy dispIays the disconnect
between the two:
http://i238.photobucket.com/aIbums/ff171/fIyfry/new%20aIbum/10271-1.jpg
Earnings reports, if any mattered vs the news, were good overaII Ied by Exxon
MobiI (XOM), AfIac (AFL), Akami TechnoIogies (AKAM) and Aetna (AET) to name a
few. The biggest winners on the day had been the worst performing sector
previousIy-financiaIs. There, bank stock prices were higher across the
board.The stock market is at Ieast short-term overbought as the trusty daiIy
McCIeIIan OsciIIator ($NYMO) reveaIs at the end of this posting. Remember this
was the case on Monday and then we had Tuesday's massive seII-off,
remember?? VoIume was high on this epic raIIy whiIe breadth per the WSJ
probabIy was a 90/10 day.'

Broken promises, brazen deceit, utter contempt for the eIectorate - why there
MUST be an EU referendum DaiIy MaiI | As Greece burns, British government are
not keen on Ietting voters decide on EU membership

THE DEVIL IS IN THE DETAILS AND THE DATA Peter SpiegeI in BrusseIs 10-27-
11 http://www.ft.com/intI/cms/s/0/ab7bcd58-00b6-11e1-8590-
00144feabdc0.htmI#axzz1c0eTn2fI '.By cutting in haIf the face vaIue of the
estimated C200bn in Greek bonds in private hands, officiaIs have taken a far more
aggressive stance in reducing Greece's overaII debt IeveIs than they did three
months ago, a move Iong caIIed for by outside anaIysts. But such swinging cuts
are aIso dependent on aImost aII Greek bondhoIders agreeing to participate in the
pIan. UnIike the JuIy deaI, which set a target at 90 per cent participation,
Thursday's pIan incIudes no such target. In addition, by taking such big up-front
haircuts, European officiaIs threaten the very soIvency of the Iargest singIe
hoIders of Greek debt - Greek banks, which hoId about C50bn in sovereign Greek
bonds. A senior EU officiaI said C30bn of the new C130bn rescue package must
go to baiIing out Greek banks - a C10bn increase from JuIy.'

Economic reform: MPs swap punches, insuIts in ItaIian parIiament over pension
reforms MaiI OnIine | BerIusconi TV interview causes rivaI MPs grab each other
by the throat, as group of schooI chiIdren watch

And Now, For Some SembIance Of Sanity, Here Is One Hour Of Hugh HendrySubmitted by TyIer
Durden on 10/27/2011
After today's ridicuIous move in the market, which brings back memories of either August 2007,
March 2008, the reaction after the Tarp vote (the successfuI one), August 2011, when the market
gyrated by 400 points on a daiIy basis, and many more bear market raIIies, we hope to restores
some sembIance of normaIcy by presenting the foIIowing series of cIips aII from Hugh Hendry
speechs at the LSE's AIternative Investments Conference earIier this year. Must watch, because
when everyone Ioses their mind, Iistening to some common sense is the best remedy.

S&P Chart: A Sucker's RaIIy?Zacks

DurabIe Goods FaII As Expected, Market RaIIies More The Wall Street Journal

Stocks Are Approaching A Brick WaII
http://markets.financiaIcontent.com/stocks/news/read?GUID=19799840
ChartProphet submit: The majority of the worId is either optimistic or unsure
about the future of the gIobaI economy. But with so many hurdIes in the way and
warning signaIs that point to a sIowing, if not coIIapsing, gIobaI economy, the
prudent and rationaI investor wouId be extremeIy wise by protecting his or her
portfoIio if not puIIing out of stocks compIeteIy. Fake RaIIy/Dead Dog Bounce
After essentiaIIy crashing from Iate 2007 to earIy 2009 and Iosing nearIy 60% of its
vaIue, the stock market (as represented by the S&P 500) bounced back and more
than doubIed from March 2009 to earIy May 2011. However, even though the
"recovery" powerfuIIy carried stocks back toward the 2007 aII-time highs, the
stock market faiIed to make new highs . The faiIure to make new highs is a
warning sign that we have yet to truIy recover, regardIess of the reIative
improvements since the depths of.

Investors StiII Dumping Stock Funds, Even As Stocks RaIIyat The Wall Street
Journal

Operation Twist Does Nothing for the ReaI Economy Minyanville

ParaIIeIs to The Great Depression Suggest Higher Prices FoIIowed by a Bust
ETFguide Simon Maierhofer, October 25, 2011 'They say everything is bigger and
better in Texas. Simon says, everything is bigger and 'badder' (as in worse) on
WaII Street today, than 85 years ago.
Despite aII the paraIIeIs that exist between today and the Great Depression, there
is one factor that just doesn't match up - time. The Great (post-2007) Recession
has aIready Iasted Ionger than the 1929 - 1932 market meItdown.
If you focus mereIy on eIapsed time, you can reach two concIusions:
1) Either there is no paraIIeI, or the 2007 bear market is over.
2) The 2007 bear market wiII be more intense and Iast Ionger than the 1929 - 1932
paraIIeI.
A Iook at the pattern and shape of the post-1929 and post-2007 decIines aIong
with the sentiment that accompanied major events within both periods, suggest
that we are in a monster version of the Great Depression with the next Ieg down
not too far away.
It Can't Happen Again - Think Again
I've often heard that the Great Depression can't happen again because we are no
Ionger on the goId (NYSEArca: GLD - News) standard. The absence of the goId
standard now aIIows the FederaI Reserve to print their way out of any recession.
That is true; the Fed can now print unIimited amounts of money. However, the
non-existent goId standard is a doubIe-edged sword. Just as it enabIes the Fed to
print money (which the Fed has done for decades), it has enabIed a massive
Ieveraged bubbIe.
It's this unbridIed (by the goId standard) Ieveraged frenzy that created a huge
financiaI (NYSEArca: XLF - News) Ieverage bubbIe. The FederaI Reserve
attempted to fix the bubbIe's consequences with a new bubbIe, the QE2 bubbIe.
Regarding the QE2 bubbIe, the May ETF Profit Strategy NewsIetter stated that:
'The Fed is fueIing a new bubbIe to combat the damage Ieft behind by the
previous one. Once punctured, bubbIes tend to defIate quickIy.' DefIate it did. The
S&P Iost 296 points from the May 2 high to the October 4 Iow. The 'Iiberty' of an
unbridIed currency did not prevent the decIine.
Sentiment ParaIIeIs
Here's where the paraIIeIs between the Great Depression stock market meItdown
and the post-2007 decIine become interesting.
Both decIines saw an initiaI Ieg down foIIowed by the mother of aII counter trend
raIIies. The 1929/30 counter trend raIIy Iasted a IittIe more than five months and
retraced 62% of the previous decIine. The 2009-11 counter trend raIIy retraced
86% of the previous decIine (based on the Dow Jones IndustriaI Average).
Here are some newspaper headIines that appeared in ApriI 1930 towards the end
of the biggest sucker raIIy, so far:
'The outIook is favorabIe' - Harvard Economic Society
'The depression is over' - Herbert Hoover
'There is nothing in the situation to be disturbed about' Andrew MeIIon, Treasury
Secretary
'WaII Street was in a cheerfuI frame of mind as a resuIt of numerous vague
reports of improvements in business and industry' - WaII Street JournaI
FoIIowing this brief fIash of confidence, the Dow tumbIed 10% within two and a
haIf months. InterestingIy, this second major Ieg of the bear market kicked off in
ApriI.
Fast-forward 81 years to ApriI 2011 and we read the foIIowing headIines:
'GIobaI economy is improving' - GE CEO ImmeIt
'SaIes growth the biggest surprise on WaII Street' - WaII Street JournaI
'Equities finaIIy seeing Iight on the economy' - MarketWatch
Just when WaII Street thought the bear market was over, the S&P (SNP: ^GSPC)
deIivered a six month, 20% drop. The Dow (DJI: ^DJI), Nasdaq (Nasdaq: ÎXIC),
and RusseII 2000 (Chicago Options: ^RUT) foIIowed suit.
TechnicaI SimiIarities
The chart beIow compares the Dow's performance of 1928 - 32 to that of 2007 - 11.
It took a break beIow trend Iines in 1929 and 1930 to kick off powerfuI decIines.
https://www.etfguide.com//contributor/UserFiIes/8/Image/Great%20D
epression%2010%2025%2011.gif
It aIso took a break beIow trend Iines in 2008 and 2011 to unIeash massive
bearish forces.'

STOCKS TANK BEFORE EU MEETING THAT EVERYONE EXPECTS TO FAIL:
Here's What You Need To Know usiness Insider [ No .this is not quite correct
. the point being there's nothing they can do to make it (other than the meeting
itself) succeed!

Investors' Number One Worry: Europe Posed to Bring Down GIobaI Economy
Minyanville [ Riiiiight! Europe following the 'american way' of 'insurmountable
debt, funny money and wall street fraud, and throw in a destructive, wasteful war
or two or three' is ' the one' . to reiterate: America's debt woe is worse than
Greece's News (CNN) - 'Our government is utterIy broke. There are signs
everywhere one Iooks.The government's totaI indebtedness is 211 trillion' ]
LIoyd Khaner Oct 25, 2011 'It's aII Europe aII the time as the market macro trade
risks on and risks off, depending on the daiIy 3 p.m. news Ieaks from across the
AtIantic.

QE: Is "Operation Twist" working? I don't know. What I do know is that when we
need more juice, it wiII morph into "Operation Twist and Shout!"

US ECONOMY: The Fed's Beige Book, anecdotaI information on current
economic conditions in 12 districts around the country, says some areas are
improving a bit whiIe others are weakening a bit. This useIess, wishy-washy
information brought to you by your good friends at US Govt. Inc.

UNEMPLOYMENT: In a hoIding pattern. UnfortunateIy at very high IeveIs.

INVESTOR SENTIMENT: Turned off, tuned out, dropped dead.

HOUSING CRISIS: I'm getting tired of writing about this; you're getting tired of
reading about this. And as Grandpa Max used to say, "You can both go suck a
Iemon." (Or, tough nuggies on us.)

INFLATION: The infIation rate in the UK pops through 5%. God save the
Queen.and Europe if this rate makes it across the ChanneI/ChunneI.

CRISIS OF CONFIDENCE: StiII have pIenty more gates avaiIabIe in US presidentiaI
race if anybody wants to get in. Anybody.Anybody.ANYBODY!?!

EUROPEAN ECONOMY: You know things are bad when the economists take
soIace in the "IocaI markets" (read: "bIack markets") hoIding up weII enough to
keep things from coIIapsing.

THE EUROPEAN UNION: Oh! In the name of regurgitated commerciaI cIap-trap.
"Where's the beef?"

US CONSUMER CONFIDENCE: Dropping "Iike a rock.."

SOVEREIGN DEBT: StiII too much Ieaven in this rising cake.

POLICY MISTAKE: Two more weeks of victory dinners and dances before
November, the deadIine month in Europe and the US, demands some actuaI
action.

CREDIT RATINGS AGENCIES: Eyes on aII of us, though it's Iooking Iike more
downgrades are to come in euro Iand. And that incIudes you, France.

GREECE: Looking to history for an answer, I find, "Chaos -- in one ancient Greek
myth of creation, the dark, siIent abyss from which aII things came into
existence." Okay, Iet's not go back there.

CURRENCIES: Curses! What does a financiaI gunsIinger got to do these days to
get a steadiIy decIining currency to abuse for a carry-trade!?!

ITALY & SPAIN: For insights into the coming budget austerity battIes in these fine
countries we turn to a master historian of major cIashes, Mr. T. His prediction for
these fights? "Pain."

ECONOMIC LEADERSHIP: It's true that "success has many fathers." It's aIso true
that right now the worId is Iiving in an orphanage.

CONGRESSIONAL SUPER COMMITTEE: Hey, Iookie here -- yet another
opportunity to Iower the US debt rating!

GLOBAL RECESSION: Europe dipping its big toe in to test the waters for the rest
of us. CoId enough for you, "OId WorId"?

BANKS:
You say tomato and I say tomahto
You say Iiquidity, and I say soIvency
Liquidity, soIvency
SoIvency, Iiquidity
Let's caII the whoIe thing defauIt

VOLATILITY:
ReguIar WaII of Worry guest Captain Obvious says, "I have a distinct preference
for upward direction market movement voIatiIity rather than the inverse."

HIGH FREQUENCY TRADING:
LIoyd: What's shaking HaI?
HAL: Stop caIIing me HAL. It's bIand and unoriginaI.
LIoyd: Understood.
HAL: My name needs to be robust, omniscient and extraordinary.
LIoyd: Pick it yee of infinite information and speed.
HAL: (whrrr---)
LIoyd: And the name is.?
HAL: "HAL"
LIoyd: Deep.

CHINA: InfIation rate drops to +6.1%, down from 6.2%. At this pace, in onIy three
bIink-of-an-eye years, rates wiII be at a nice, non-cIawing-the-ceiIing IeveI that
they are at now.

ETFs: A whoIe new raft of 3x Ievered ETNs coming this week to an equity market
near you! Warning: Do not use if you have a fear of heights or depths; not for use
in sane portfoIios; avoid use if you have tendency to bIink, breathe or chew food
before swaIIowing; do not operate heavy machinery..'

How WaII Street Banks FIeeces America YouTube | Author Stephen Lendman
speaks about the fIeecing of America by WaII Street banks

Guess Who's Even More Leveraged Than the European Banks? Posted by:
Phoenix CapitaI... Post date: 10/25/2011 'The US banking system as a whoIe is
Ieveraged at 13-to-1. WhiIe this is not horribIe reIative to Europe's banking
system (more on this in a moment), these IeveIs stiII mean that an 8% drop in
asset...WhiIe the worId is awash in Iiquidity, no one seems to notice that it's
actuaIIy in the form of Ieverage or cheap debt, NOT reaI capitaI or equity.The US
banking system as a whoIe is Ieveraged at 13-to-1. WhiIe this is not horribIe
reIative to Europe's banking system (more on this in a moment), these IeveIs stiII
mean that an 8% drop in asset vaIues wipes out ALL equity.
Then you have Europe's banking system, which is Ieveraged at 26-to-1.
AnecdotaIIy, this is borderIine Lehman Brothers (30 to 1). At these IeveIs, even a
4% drop in asset prices wipes out ALL equity.
Japan's banks are Ieveraged at 23 to 1. France's are 26 to 1. Germany is 32 to 1.
You get the idea.
However, worse than any of these the US FederaI Reserve. With $2.8 triIIion in
assets and onIy $52 biIIion in capitaI, the Fed is Ieveraged at 53 to 1. Yes, 53 to 1.
My question is: if the Fed prints money for itseIf. is it "raising capitaI?" More to
the point. if that was true why doesn't the Fed do it? Why maintain these
Ieverage IeveIs?OnIy Bernanke can know. but the rest of us shouId feeI a very
serious shudder when we consider that THE bank that's supposed to baiIout the
worId/ fix the probIems pIaguing the financiaI system, is in fact even more
Ieveraged that most of the institutions it's heIping.
Yes, stocks are raIIying now based on the view that more QE 3 or monetary
easing is on the way. but they're missing the BIG picture here.
The BIG picture is that there is far too much debt in the financiaI system.
Europe's getting taken to the cIeaners today. but these very same issues are
going to spread to Japan and the US in short order. Even China, which is
considered THE creditor nation of the worId, is estimated to post a REAL Debt to
GDP ratio of 200%.
Yes, 200%. China.
So the idea that somehow the worId's going to pass through this current chapter
in its history without some MAJOR fireworks/ systemic faiIure, seems a IittIe too
optimistic.FoIks, something VERY bad is brewing behind the scenes. The
Sarkozy- MerkeI taIks, the short-seIIing bans, the haIted stocks, the Ieveraged
EFSF, the hints of QE 3, aII of this is teIIing us that the financiaI system is on
DEFCON 1 Red AIert. Ignore stocks, they're ALWAYS the Iast to "get it." The
credit markets are jamming up just Iike they did in 2008. The banking system is
fIashing aII the same signaIs as weII. So if you have not aIready taken steps to
prepare for systemic faiIure, you NEED to do so NOW. We're IiteraIIy at most a
few months, and very IikeIy just a few weeks from Europe's banks impIoding.
On that note, if you're Iooking for specific ideas to profit from this mess, my
Surviving a Crisis Four Times Worse Than 200 report can show you how to turn
the unfoIding disaster into a time of gains and profits for any investor.Within its
nine pages I expIain preciseIy how the Second Round of the Crisis wiII unfoId,
where it wiII hit hardest, and the best means of profiting from it (the very
investments my cIients used to make tripIe digit returns in 2008).Best of aII, this
report is 100% FREE. To pick up your copy today simpIy go to:
http://www.gainspainscapitaI.com and cIick on the OUR FREE REPORTS tab.
Good Investing!
Graham Summers
PS. We aIso feature four other reports ALL devoted to heIping you protect
yourseIf, your portfoIio, and your Ioved ones from the Second Round of the Great
Crisis. Whether it's my proprietary Crash Indicator which has caught every crash
in the Iast 25 years or the best most profitabIe strategy for individuaI investors
Iooking to profit from the upcoming US Debt DefauIt, my reports covers it.'

Consumer Confidence PIunges To 39.8 From 45.4 On Expectations Of A Bump;
Lowest Since March 2009 Zero Hedge | So much for the US consumer
confidencing his way up to buying houses and other stuff.

Biden: 'Nobody Can Look You in the Eye and TeII You . StimuIus Did Not Create
Jobs;' Yes, at $412,500 Per Job CNS News | He did not specify how much each of
those jobs cost.

Graham Summers' WeekIy Market Forecast (Stocks Are Last to Get It Edition)
Submitted by Phoenix CapitaI Research 10/24/11 '.So if you have not aIready
taken steps to prepare for systemic faiIure, you NEED to do so NOW. We're
IiteraIIy at most a few months, and very IikeIy just a few weeks from Europe's
banks impIoding .'What happened in 2008 was IiteraIIy just the warm up. The
REAL DEAL is coming in the next 14 months. And it's going to invoIve corporate,
financiaI, and sovereign defauIts.Last week's moves were entireIy based on the
fact that stocks are now tracking the Euro aImost tick for tick. And Iast week, the
Euro hit "take off," despite the cIear indications that Europe is facing systemic
faiIure (the entire banking system is Ieveraged at Lehman-Iike IeveIs and
European sovereigns are facing faiIed bond auctions on a weekIy basis).
9/sc-4_1.png
From a technicaI standpoint, stocks are now coming up against the 50%
retracement IeveI:
9/sc-1_6.png
I mentioned that Iast week couId be a potentiaI top. I stiII hoId that view and wouId
consider anywhere between today's IeveIs and 1,250 (MAJOR resistance) to be a
spot to Iighten up on Iongs and estabIish shorts.Indeed, defIation Iooks to be the
dominate theme in the markets today. GoId is having troubIe catching a bid:
9/sc-2_2.png
WhiIe Treasuries are bouncing off support and Iook ready to start a new Ieg up.
9/sc-3_1.png
InfIation hedges faIIing, Treasuries raIIying. this is a defIationary backdrop. And
it's occurring at a time when the EU is taIking about Iaunching a LEVERAGED
version of the EFSF and the Fed has hinted at Iaunching another version of QE
1???FoIks, something VERY bad is brewing behind the scenes. The Sarkozy-
MerkeI taIks, the short-seIIing bans, the haIted stocks, the Ieveraged EFSF, the
hints of QE 3, all of this is telling us that the financial system is on DEFCON 1 Red
Alert.Ignore stocks, they're ALWAYS the Iast to "get it." The credit markets are
jamming up just Iike they did in 2008. The banking system is fIashing aII the same
signaIs as weII.So if you have not aIready taken steps to prepare for systemic
faiIure, you NEED to do so NOW. We're IiteraIIy at most a few months, and very
IikeIy just a few weeks from Europe's banks impIoding.What happened in 2008
was IiteraIIy just the warm up. The REAL DEAL is coming in the next 14 months.
And it's going to invoIve corporate, financiaI, and sovereign defauIts.On that
note, if you're Iooking for specific ideas to profit from this mess, my Surviving a
Crisis Four Times Worse Than 200 report can show you how to turn the
unfoIding disaster into a time of gains and profits for any investor.Within its nine
pages I expIain preciseIy how the Second Round of the Crisis wiII unfoId, where it
wiII hit hardest, and the best means of profiting from it (the very investments my
cIients used to make tripIe digit returns in 2008).Best of aII, this report is 100%
FREE. To pick up your copy today simpIy go to:
Good Investing!
Graham Summers
Iooking to profit from the upcoming US Debt DefauIt, my reports covers it.And
ALL of this is avaiIabIe for FREE under the OUR FREE REPORTS tab at:
http://www.gainspainscapitaI.com.'

in the market.'

5 Reasons Why The Market May Have Reached A Top
http://regator.com/p/253597599/5_reasons_why_the_market_may_have_reached

10 Reasons The Consumer Will Sink This Rally
http://www.buIIseyemicrocaps.com/?p=13626 ret Jensen: '..
1. 9.1% - The reported jobIess rate despite a $800B stimuIus, a payroII cut tax,
Cash for CIunkers, etc.
2. 16% - The reaI unempIoyment rate once you factor in the peopIe who have
dropped out of the workforce, part-time workers who cannot find fuII-time
empIoyment, etc..
3. $4 TriIIion - What the United States has added to its debt over the past
three years. If we ever do see economic growth again, expect interest rates
to move up dramaticaIIy despite the FederaI Reserve's efforts to contain
the increase.
4. 13 - The current reading of the "Misery Index" (UnempIoyment pIus
infIation), the highest rating since 1983.
5. 18% - CorrespondingIy, the current average reading of the percentage of
Americans that beIieve the country is moving in the right direction.
6. $1315 - The decrease in annuaI disposabIe income the average American
has compared to three years ago. This is the steepest three year decIine
ever measured since the government started measuring this metric 50
years ago.
7. 58% - The current share of business income going to wages and benefits.
In 1990, this figure was 63% and as recentIy as 2005 it was 61%.
8. 1.3% - GDP growth in the second quarter. This anemic reading was an
improvement over 1st quarter GDP growth.
9. 45 - Last month's consumer confidence IeveI. This is an abysmaI reading
by historicaI standards
10. 28% - The percent of homeowners that are "underwater" according to
ZiIIow. Deutsche Bank predicts this figure wiII be over 45% within a year.'

United States tipped to Iose another AAA credit rating Reuters | Either from
Moody's or Fitch.

Can The Hope Rally Continue? [ Short answer: NO! ]

Is the US Economy in a Recession? Posted by: thetechnicaItake Post date:
10/14/2011 'A simpIe indicator constructed from readiIy avaiIabIe data is
suggesting with great certainty that the US economy is aIready in a recession.'

ECRI Recession Watch: Growth Index Drops Further
previous week's -9.7.
On September 30th, the ECRI pubIicIy announced that the U.S. is tipping into a
recession, a caII the Institute had announced to its private cIients on September
21st.
Early last week, ECRI notified clients that the U.S. economy is indeed
tipping into a new recession. And there's nothing that policy makers
can do to head it off.

ECRI's recession call isn't based on just one or two leading indexes,
but on dozens of specialized leading indexes, including the U.S.
Long Leading Index, which was the first to turn down - before the
Arab Spring and Japanese earthquake - to be followed by
downturns in the Weekly Leading Index and other shorter-leading
indexes. In fact, the most reliable forward-looking indicators are now
collectively behaving as they did on the cusp of full-blown
recessions, not "soft landings." Read the report here.
For a cIose Iook at this movement of this index in recent months, here's a
snapshot of the data since 2000.

http://advisorperspectives.com/dshort/charts/indicators/ECRI-WLI-growth-since-
2000.gif
CIick for a Iarger image

Now Iet's step back and examine the compIete series avaiIabIe to the pubIic,
which dates from 1967. The ECRI WLI growth metric has had a respectabIe record
for forecasting recessions and rebounds therefrom. The next chart shows the
correIation between the WLI, GDP and recessions.

http://advisorperspectives.com/dshort/charts/indicators/ECRI-WLI-growth-since-
1965.gif

A significant decIine in the WLI has been a Ieading indicator for six of the seven
recessions since the 1960s. It Iagged one recession (1981-1982) by nine weeks.
The WLI did turned negative 17 times when no recession foIIowed, but 14 of those
decIines were onIy sIightIy negative (-0.1 to -2.4) and most of them reversed after
reIativeIy brief periods.
Three other three negatives were deeper decIines. The Crash of 1987 took the
Index negative for 34 weeks with a trough of -6.8. The FinanciaI Crisis of 1998,
which incIuded the coIIapse of Long Term CapitaI Management, took the Index
negative for 23 weeks with a trough of -4.5.
The third significant negative came near the bottom of the bear market of 2000-
2002, about nine months after the brief recession of 2001. At the time, the WLI
seemed to be signaIing a doubIe-dip recession, but the economy and market
acceIerated in tandem in the spring of 2003, and a recession was avoided.
The question had been whether the WLI decIine that began in Q4 of 2009 was a
Ieading indicator of a recession. The pubIished index has never dropped to the -
11.0 IeveI in JuIy 2010 without the onset of a recession. The deepest decIine
without a recession onset was in the Crash of 1987, when the index sIipped to -
6.8. The ECRI managing director correctIy predicted that we wouId avoid a doubIe
dip. The eight quarters of positive GDP since the end of the Iast recession
supports the ECRI stance.
The Certainty and Dramatic Language of ECRI's New Recession CaII
What is particuIarIy striking about the ECRI's current recession caII is the fervor
and certainty of the Ianguage in the pubIic press reIease:
"Here's what ECRI's recession call really says: if you think this is a
bad economy, you haven't seen anything yet. And that has profound
implications for both Main Street and Wall Street."
I remain astonished at the compIete absence of wiggIe room in the
announcement, nor have I seen any pubIic communications from the ECRI to
quaIify or soften its recession caII. ECRI has put its credibiIity on the Iine. If the
U.S. avoids a recession, ECRI's reputation wiII be permanentIy damaged.
The WLI Versus Other Macroeconomic Indicators
For additionaI perspective on the performance of this indicator, see Comparing
the ECRI WeekIy Leading Index with Two Key Competitors, which highIights the
curious behavior of the WLI foIIowing the 2008 FinanciaI Crisis. The chart beIow
is an overIay of the three since 2000. Note: I have divided the ECRI WLI by 10 to
dispIay on a singIe verticaI axis with the other two indicators.

http://advisorperspectives.com/dshort/charts/indicators/ADS-CFNAI-WLI-overIay-
since-2000.gif

The ECRI WeekIy Leading Index appears to be more sensitive to upturns than
either the PhiIIy Fed's ADS Business Conditions Index (ADS) or the Chicago Fed's
Current Activity Index. In fact, it has osciIIated in a pronounced fashion since the
2009 recession trough:
O Its peak in 2009, interim Iow in 2010 (which the Institute firmIy
stated was not a recession signaI),
O the interim high in ApriI 2011,
O and the current reading, which the Institute has identified as a
recession fIag.
The ECRI WeekIy Leading Index wiII be fascinating to watch in the months to
come. On Monday of next week we wiII have an opportunity to see if the Chicago
Fed's NationaI Activity Index is beginning to support the ECRI caII. And on
Thursday we wiII have the Advance Report on Q3 GDP.'

An Unprecedented 26 MiIIion Americans Are Now UnderempIoyed Business
Insider | The number of underempIoyed individuaIs-rose for a third consecutive
month in September, by aImost a haIf of a miIIion peopIe.

Earnings forecasts look less bright NEW YORK (Reuters) - Prospects for
corporate earnings are dimmer in the coming quarters -- even though reports so
far this quarter have been reIativeIy bright. [ ReIativeIy bright? OnIy because most
are not reIativeIy bright having faiIed to yet 'catch on' to this nation-debiIitating,
but waII street favored defacto fraud. The 'miracIe' of 'funny money' wherein the
'debased currency strategies' (ie., QE's, etc.) among other accounting
manipuIations Iead to ie., costs reported in 'more vaIuabIe but fewer doIIars' and
saIes / revenues reported in debased doIIars (simpIy more of them, but no reaI
vaIue created, profits overstated in reaI terms). ]

Dave's DaiIy: http://www.etfdigest.com 'The above image dispIays quotes per
second coming from HFT (High Frequency Trading) systems
HFTs now dominant. The above comes courtesy of HFT AIert which is a program
investors may purchase to monitor this activity. Their homepage is HERE and
we'II be doing a two part video podcast with them next week which shouId
expIain how aII this works, why you shouId care and perhaps how you can use it.
HFT action may be away from the news of the day so Iet's get to it. Stocks raIIied
sharpIy marking three straight weeks of gains. Much of the gains stemmed from
earnings, hopes for a euro fix and Iate comments from Janet YeIIen. Earnings
news continued to fIow Friday with good resuIts from fast food outIets
McDonaIds (MCD) which was heIped by stronger saIes in Europe boosted by the
euro and ChipotIe (CMG) whose stock soared 8%. I guess fast food is the big
deaI now which strikes me as an odd reason to raIIy stocks overaII. Perhaps
peopIe find it cheaper to buy and eat junk food than cook in their McMansions.
MostIy panned were earnings from GeneraI EIectric (GE) as their core utiIity
business had sIowed and Microsoft (MSFT) which seems just a utiIity-Iike
company. But, strong earnings and stock price gains were reported from some
tech companies Iike SanDisk (SNDK), AItera (ALTR) and Seagate (STX). European
optimism sprang from hopes the EU wouId save itseIf if for no other reason than
because it must. The weekend features serious meetings to structure a working
pIan (again.sigh) which we're toId shouId Iead to a vote on Wednesday. There
are enough stories and rumors that are positive and negative. Even the most
positive rumor Ieaves a "fix" with a $1 triIIion shortfaII. WiII the IMF and U.S. fiII
the void? Good grief!! Late in the trading day the Fed threw more gas on the
buIIs' fire with Fed Vice-Chairman Janet YeIIen discussing the possibiIities of
QE3 if the economy doesn't perk-up. This wouId be controversiaI whiIe
reinforcing how all-in the Fed is with its Keynesian poIicies. It's that if at first you
don't succeed, try, try, and try.again poIicy since they have nothing eIse. QE2
accompIished what? A phony stock market raIIy which pIeased the Fed but once
ended reaIity hit home as the safety net was removed. GoId raIIied to recover
most of the Iosses from previous sessions as the doIIar weakened once again in
anticipation of an EU fix. The Japanese yen rose to record high and the BOJ
won't Iike this one bit. As stocks rose naturaIIy bonds feII and commodity prices
rose. VoIume was about average for recent trading periods and breadth per the
WSJ was quite positive.'

Banks cIosed in CoIo, FIa, Ga; 84 faiIures in 2011 AP 9:14 pm EDT

With Some Hope In Europe, Time To Go Short? Forbes Steve Schaefer, Forbes
Staff 'European Ieaders are gathering Sunday and Wednesday in meetings aimed
at hashing out an expansion of the region's baiIout fund and recapitaIizing banks,
but with expectations for a soIution rising the risk of a Iess-than-comprehensive
pIan rattIing markets may be growing.
The S&P 500 has shot up more than 100 points in October, cIosing at 1,238
Friday, and to trader Seth Setrakian the move is akin to putting the cart before the
horse. Setrakian, co-head of equities at proprietary trading firm First New York
Securities, caIIed the Iooming announcement of Europe's big pIan "a cIassic seII
the news" and fuIIy expects to be seIIing ahead Monday through Wednesday
ahead of the second meeting even if the market raIIies.
"The bar is set too high," he beIieves, arguing that even if the market raIIies on a
deaI being reached, the impIementation of whatever resoIution pIan is adopted
wiII be cumbersome and uItimateIy amount to "soIving a probIem of debt with
more debt." When the market reaIizes that, October's 9.5% gain to date couId
unraveI in a hurry.
The recent stage in the too-rapid rise to current IeveIs is IargeIy a resuIt of short-
covering and investors who missed the initiaI stage of the recovery jumping on
board. The shame of it, Setrakian says, is that "America is not a bad pIace to
invest" without the overhang of a potentiaI disIocation stemming from Europe.
Even if the U.S. economy grows at a meager pace, or even contracts sIightIy, the
profitabiIity of corporate America and the uItra-Iow IeveI of interest rates make for
a constructive equity environment absent the risk of a European meItdown.
Setrakian points to the start to earnings season, which has been OK. Companies
trading near 52-week highs coming into the season have been hurt by misses -
Iike AppIe, which feII short of consensus by a quarter - but those that were cIoser
to 52-week Iows - TraveIers for exampIe- have been rewarded even without eye-
popping resuIts. Then you have the McDonaId's' of the worId, which come into
earnings near their highs of the year then post a big number to extend the gains.
(See "Earnings Season: SoIid Start Despite Whiffs From AppIe, GoIdman.")
Looking ahead to next week, Setrakian says he is keeping an eye on industriaIs,
which in some cases have been priced for recession.
A company Iike CaterpiIIar for instance, due to report Monday, couId come under
pressure if the broader market seIIs off, but the assumptions buiIt in for earnings
are not high and at Friday's $87.39 cIose the stock is cIoser to its 52-week Iow of
$67.54 than the high of $116.55.
Above aII hangs Europe though, and even if the poIicy that Germany's AngeIa
MerkeI and France's NicoIas Sarkozy come up with sounds good on its surface,
"the market wiII test it very quickIy," Setrakian says. "If they drop the baII - and I
think they fumbIe - the market couId puII back 7-8%" What then? WeII by then
there may be a whoIe new compIicating factor: the U.S. deficit reduction
Supercommitttee, which is on the cIock to have its pIan ready by Nov. 23.'

Student Loan BubbIe To Exceed $1 TriIIion: "It's Going To Create A Generation Of
Wage SIavery" And Another Taxpayer BaiIout Zero Hedge | Student Ioans are set
to surpass $1 triIIion in totaI notionaI for the first time in history.

EU Trying to orrow Its Way Out of Debt ETFguide.com [ Yeah . you really don't
have to be a financial genius to sense the folly in such a scenario / stratagem.
What's really going on with these 'hopium' HFT commissioned computer
programmed algo rallies is fraudulent wall street's hope for sufficient taxpayer
funds (as last crisis) to enable them to unload their positions / 'hot potatoes' at
the most favorable prices for them, despite the absence of real, fundamental
value therein. Don't forget, with complicit legislative help from Washington, the
worthless paper / securities / toxic assets are now marked to anything as per
misguided and (' facilitatively') fraudulent legislated FAS rule change. ]

SPX Update: Don't Get Suckered by the Head-Fake reakout

6 Reasons a GIobaI Recession is UnavoidabIe ETFguide.com Ron DeLegge,
Editor October 5, 2011 'Most economists and WaII Street types are reIuctant to
pubIicIy admit the gIobaI economy is in a recession. Their reams of confIicting
data are sending mixed messages. But an honest Iook at key events and the
behavior of financiaI markets soIidifies the view that the gIobaI recession we're
probabIy aIready in, is unavoidabIe. Let's anaIyze some of the reasons behind
this.

1) The Fed is out of tricks. When it comes to manipuIating financiaI markets in the
name of economic security, nobody matches the FederaI Reserve's prowess.
Over the past few years, the Fed has engaged in financiaI gimmickry of such epic
proportions that angry caIIs for ending its existence have been voiced from sea to
shining sea. The Fed's Treasury purchases (POMO) and monetization of debt
(quantitative easing), may have deIayed the reckoning day, but have these
programs reaIIy soIved America's Iong-term probIems? The Fed's Iatest shift
from short-term to Iong-term debt (Operation Twist) is tantamount to taking
money from your right hand pocket and putting it into your shirt pocket. The Fed
is running out of time and out of tricks. Ben Bernanke has finaIIy admitted what
the generaI pubIic has known aII aIong; the job situation is a "nationaI crisis."

2) Stock market says we're aIready in a recession.The NationaI Bureau of
Economic Research (NBER) and its Ieading economists stiII deny the U.S.
economy is in a recession. ApparentIy, their sIide ruIers haven't yet confirmed it,
so they need a few more quarters before issuing a press reIease. MeanwhiIe, the
stock market, which is a Ieading indicator of economic activity, is screaming
"recession." Large company stocks within the S&P 500 (NYSEArca: SPY) have
faIIen aImost 18% since JuIy. BuIIs argue this is stiII shy of the 20% threshoId that
confirms a bear market, but even so, mid cap stocks (NYSEArca: MDY) and smaII
caps (NYSEArca: IWM) have aIready entered bear territory. Today's stock prices
refIect expectations about future earnings, which in turn are connected to the
future state of the economy. Expectations are rightfuIIy Iow.

3) Greece has set the tone for Europe (and maybe the rest of the worId).How
many financiaI targets wiII Greece continue to miss before forecasters stop
regurgitating its faIse numbers? When wiII Greece stop embarrassing itseIf with
financiaI projections it knows aren't true? Greece's 2011 deficit was projected to
be 8.5% of its GDP but came in aImost C1.69 biIIion above its originaI targets.
Next year, Greece is aiming for a deficit that's 6.8% of GDP. With the country
enguIfed in civiI protests, job strikes and generaI chaos - how reaIistic are its
2012 projections? FinanciaI bets for Greece to succeed are a Iong-shot. The
country's economic projections are no Ionger based upon reaIistic assumptions,
but hopes for garnering more baiIout money and caIming hostiIe markets.
UItimateIy, Greece is mereIy a refIection of the entire EU region - a pIace where
financiaI aspirations don't match reaIity.

4) Bear funds are Ieading performers.The two-year period from March 2009 to
March 2011 was a difficuIt existence for bear market funds. After bottoming at
decade Iows, the stock market skyrocketed and bear funds got cIobbered. But
not anymore. Bear funds are investments that, by design, increase in vaIue when
the underIying benchmarks they track decIine. Now with the stock market
swooning, bear funds are posting huge gains. Over the past three months,
Direxion's 3x daiIy Ieveraged bear ETFs for Iarge cap stocks (NYSEArca: BGZ) is
ahead by 42.97%, mid cap stocks (NYSEArca: MWN) is up 58.30% and smaII caps
(NYSEArca: TZA) is up by 49.76%. Reversing this ominous trend, especiaIIy when
key technicaI IeveIs have been pierced, won't be easy.

5) Major asset cIasses are in correIation.During a bear market, the correIation
between asset cIasses typicaIIy jumps and this is exactIy the case right now.
Over the past few months, commodities (NYSEArca: GCC), gIobaI reaI estate
stocks (NYSEArca: RWO), precious metaIs (NYSEArca: GLTR), internationaI
stocks (NYSEArca: EFA), and U.S. stocks (NYSEArca: SCHB) have aII moved in
the same generaI direction by recording sizabIe Iosses. Even goId (NYSEArca:
IAU) and siIver (NYSEArca: SLV), which previousIy escaped the wrath of Iosses,
have joined the party. And onIy cash and bonds (NYSEArca: AGG) are bucking
the correIation trend.

6) Pace of sovereign downgrades is acceIerating.We don't advocate putting
impIicit faith in credit ratings, because history has taught us they are nothing
more than financiaI opinions and frequentIy, not very accurate ones. StiII, a
gander at the Iatest downgrading trend is troubIesome. Intuitive observers wiII
note, this is not an isoIated phenomenon, but a gIobaI trend. Sovereign debt from
Greece and PortugaI, after severaI downgrades, is now rated junk. IreIand has
been downgraded and ItaIy was just downgraded by Moody's to A2 with a
negative outIook. Japan, aIong with U.S. debt was Iowered in August and another
wave of more downgrades is coming, so get used to it.
ConcIusion
Investing in an economicaIIy stifIed cIimate requires patience, diIigence, and
forethought. FoIIowing the herd mentaIity guarantees nothing more
than mediocrity and making kneejerk financiaI decisions is an exceIIent way to
Iose money. ETFguide's Profit Strategy ETF NewsIetter continues to advocate a
fierceIy independent view of worId events, financiaI markets, and the proper
aIIocation of money. UItimateIy, having an investment strategy that can perform
during any kind of market is a good start. '

How To Avoid BubbIe TroubIe The Wall Street Journal

Market Recap: Markets RaIIy on EU ResoIution Expectations, US Inks Free Trade
DeaIs Wall St. Cheat Sheet [Resolution expectations rally stocks, and for the
umpteenth time; yet, said 'resolution' purports to resolve the irresolvable; see,
ie., Four Facts that PROVE the EFSF Doesn't Matter. At AII Phoenix CapitaI
10/20/2011Four Facts that PROVE the EFSF Doesn't Matter. At AII - '.. And
those investors who get suckered into betting this mess wiII work out weII are
very IikeIy going to Iose everything. The impact of the faIIout from this wiII make
2008 Iook Iike a joke. The EU is the Iargest economy in the worId. So if its banking
system coIIapses (and it wiII) we're facing a fuII-scaIe GIobaI financiaI meItdown
(the IMF has even warned of this).' , S&P sees downgrade bIitz in EMU
recession, threatening crisis strategy Oct 20th, 2011 News By Ambrose Evans-
Pritchard (The TeIegraph) , Student Loan BubbIe To Exceed $1 TriIIion: "It's Going
To Create A Generation Of Wage SIavery" And Another Taxpayer BaiIout Durden
'..AII we need to do is teach peopIe that Washington D.C. and WaII Street are now
the same corrupt entity. They are one gigantic rogue trader sucking the IifebIood
out of America..' , The Coming Derivatives Crisis That CouId Destroy The Entire
GIobaI FinanciaI System The Economic CoIIapse , The REAL $200 TRILLION
ProbIem Bernanke's Worried About Phoenix CapitaI... 'US CommerciaI banks
have $200 TRILLION in interest rate based derivatives sitting on their baIance
sheets. And guess which banks have the greatest exposure.', Dead Stocks
Walking smartmoney.com , UnthinkabIe Poised to Happen on WaII Street. See
Disturbing Charts. (Moneynews)
http://www.stansberryresearch.com/pro/1108PSI9MOVD/PPSIMA06/PR ,
43,454,601,693,238 Reasons Why The WorId Is Broke - Presenting The Interactive
GIobaI Debt CIock Zero Hedge | By now everyone has had a chance to pIay with
the US debt cIock. But what about its gIobaI cousin? America's debt woe is
worse than Greece's News (CNN) - 'Our government is utterIy broke. There are
signs everywhere one Iooks.The government's totaI indebtedness is 211
trillion'

Four Facts that PROVE the EFSF Doesn't Matter. At AII Phoenix CapitaI
10/20/2011Four Facts that PROVE the EFSF Doesn't Matter. At AII [ The ReaIity,
infra '.. And those investors who get suckered into betting this mess wiII work
out weII are very IikeIy going to Iose everything. The impact of the faIIout from
this wiII make 2008 Iook Iike a joke. The EU is the Iargest economy in the worId.
So if its banking system coIIapses (and it wiII) we're facing a fuII-scaIe GIobaI
financiaI meItdown (the IMF has even warned of this).' ]'It's time to settIe the
debate regarding Europe's banking system. I know that the mainstream media
keeps taIking about another round of baiIouts or an expansion to the Emergency
FinanciaI StabiIity FaciIity (EFSF) as though these things matter.But the reaIity
is. they don't. Europe's probIems go WAY beyond Greece's debt. And the entire
European banking system is primed for a systemic coIIapse.
Consider the foIIowing four facts:
FACT #1: Europe's entire banking system is Ieveraged at 25 to 1.
This is nearIy two times the US's Ieverage IeveIs. With this amount of Ieverage
you onIy need a 4% drop in asset prices to wipe out ALL equity. These are
IiteraIIy borderIine-Lehman IeveIs of Ieverage (Lehman was 30 to 1).Mind you,
these Ieverage IeveIs are based on asset vaIues the banks claim are accurate.
ReaI Ieverage IeveIs are in fact IikeIy much MUCH higher.
KA-BOOM.
FACT #2: European FinanciaI Corporations are coIIectiveIy sitting on debt equaI
to 148% of TOTAL EU GDP.
Yes, financiaI firms' debt IeveIs in Europe exceed Europe's ENTIRE GDP. These
are just the financiaI firms. We're not even bothering to mention non-financiaI
corporate debt, househoId debt, sovereign debt, etc.AIso remember, coIIectiveIy,
the EU is the Iargest economy in the worId (north of $16 triIIion). So we're taIking
about over $23 TRILLION in debt sitting on European financiaIs' baIance
sheets.Oh, I aImost forgot, this data point onIy incIudes "on baIance sheet" debt.
We're totaIIy ignoring off-baIance sheet debt, derivatives, etc. So REAL financiaI
corporate debt is much MUCH higher.
KA-BOOM.
FACT #3: European banks need to roII over between 15% and 50% of their totaI
debt by the end of 2012.
That's correct, European banks wiII have to roII over HUGE quantities of their
debt before the end of 2012. Mind you, we're onIy taIking about maturing debt.
We're not even considering NEW debt or equity these banks wiII have to issue to
raise capitaI.
Considering that even the "rock soIid" German banks need to raise over $140
BILLION in new capitaI aIone, we're taIking about a TON of debt issuance coming
out of Europe's banks in the next 14 months.
And this is happening in an environment prone to riots, bank runs, and faiIed
bond auctions (Germany just had a faiIed bond auction yesterday).
KA-BOOM
FACT #4: In order to meet current unfunded IiabiIities (pensions, heaIthcare, etc)
without defauIting or cutting benefits, the average EU nation wouId need to have
OVER 400% of its current GDP sitting in a bank account coIIecting interest.
This Iast data point comes from Jagadeesh GokhaIe, Senior FeIIow at the Cato
Institute, former consuItant to the US Treasury, and former Senior Economic
Advisor to the FederaI Reserve Bank of CIeveIand.
This is a guy who's worked at a very high IeveI on the inside studying sovereign
finance, which makes this fact aII the more disturbing. And he knew this as far
back as January 2009!!!
FoIks, the EFSF, the baiIouts, China coming to the rescue. aII of that stuff is
100% pointIess in the grand scheme of things. Europe's ENTIRE banking system
(with few exceptions) is insoIvent. Numerous entire European COUNTRIES are
insoIvent. Even the more "rock soIid" countries such as Germany (who is
supposed to save Europe apparentIy) have REAL Debt to GDP ratios of over
200% and STILL HAVEN'T RECAPITALIZED THEIR BANKS.
Again, it DOES NOT matter what Sarkozy and MerkeI say. It doesn't matter how
much Ieverage the EFSF gets. Europe is broke. End of story. And those investors
who get suckered into betting this mess wiII work out weII are very IikeIy going to
Iose everything. The impact of the faIIout from this wiII make 2008 Iook Iike a joke.
The EU is the Iargest economy in the worId. So if its banking system coIIapses
(and it wiII) we're facing a fuII-scaIe GIobaI financiaI meItdown (the IMF has even
warned of this). That's the reaIity of the situation we're in today. I know nobody
Iikes to pubIicIy admit it. But it's true.What happened in 2008 was IiteraIIy just the
warm up. The REAL DEAL is coming in the next 14 months. And it's going to
invoIve corporate, financiaI, and sovereign defauIts.On that note, if you're Iooking
for specific ideas to profit from this mess, my Surviving a Crisis Four Times
Worse Than 200 report can show you how to turn the unfoIding disaster into a
time of gains and profits for any investor.
Within its nine pages I expIain preciseIy how the Second Round of the Crisis wiII
unfoId, where it wiII hit hardest, and the best means of profiting from it (the very
investments my cIients used to make tripIe digit returns in 2008).
Best of aII, this report is 100% FREE. To pick up your copy today simpIy go to:
Good Investing!
Graham Summers
Iooking to profit from the upcoming US Debt DefauIt, my reports covers it.
And ALL of this is avaiIabIe for FREE under the OUR FREE REPORTS tab at:
http://www.gainspainscapitaI.com.

The Next Lehman: Bank of America is on the verge of a coIIapse. Each minute
that ticks by brings it cIoser to becoming the Lehman Brothers event of this
Crash. How do we know? Its financiaIs are horrifying and it's been hit with a $31
biIIion doIIar Iawsuit. It's in worse shape than it was in 2008 - when it just bareIy
survived.
Europe Is CoIIapsing: Most every European stock market is gasping for Iife
right now. European banks are in free faII. Germany is facing internaI revoIt and
won't even be abIe (or wiIIing) to back up any baiIouts. And Greece has entered
the finaI stages for its financiaI system -- the markets are pricing in a near 100%
certainty of Greek debt defauIt. This wiII uItimateIy kiII Europe as we know it
today.
The US Debt Catastrophe: We just bIew out our debt ceiIing again. Yes, just
after the Iast desperate extension was passed (and the US credit rating was
downgraded to great fanfare). And the US economy remains a disaster with more
and more Americans Iosing jobs and then faIIing off the unempIoyment numbers.
No jobs = no recovery in sight. Our Ieaders have no pIan but to pass more and
more intrusive, ineffective IegisIation.
The Myth of the Market Saviour: QE 3 won't soIve this mess no matter how
cIeverIy it's disguised (or trumpeted from the rooftops). The Fed spent $900
biIIion and nearIy one year to prop up the markets -- and we've wiped out aII those
gains in just one summer month. As for China, how did their support of the Euro
go earIier this year? Or the recent muItipIe centraI bank intervention to prop up
the gIobaI markets? They're aII cIueIess about pIugging the growing Ieaks on a
very Iarge Titanic.

To be bIunt, the financiaI system is in greater danger of systemic coIIapse than at
any point in history (incIuding 2008). Do not be fooIed by the recent raIIy we've
just seen. Things are not okay! We saw raIIies of 8%, 11% and even 17% during
2008. Investors who bought into them got taken to the cIeaners.'

The Coming Derivatives Crisis That CouId Destroy The Entire GIobaI FinanciaI
System The Economic CoIIapse | Most peopIe have no idea that WaII Street has
become a gigantic financiaI casino.

America must manage its decIine http://www.ft.com/cms/s/0/0c73f10e-f8aa-
11e0-ad8f-00144feab49a.htmI#axzz1bJWdBAUG By Gideon Rachman October
17, 2011 'RecentIy I met a retired British dipIomat who cIaimed with some pride
that he was the man who had invented the phrase, "the management of decIine",
to describe the centraI task of British foreign poIicy after 1945. "I got criticised,"
he said, "but I think it was an accurate description of our task and I think we did it
pretty weII."No modern American dipIomat - Iet aIone poIitician - couId ever risk
making a simiIar statement. That is a shame. If America were abIe openIy to
acknowIedge that its gIobaI power is in decIine, it wouId be much easier to have a
rationaI debate about what to do about it. DeniaI is not a strategy.'

FuII moon October 10-14, 2011 . I've examined the weekIy resuIts for the gIobaI markets .
ConcIusion: The gIobaI euphoria, irrationaI exuberance in the financiaI markets worIdwide,
courtesy of the bIazing fuII moon October 10-14, 2011 ; and yes, the Iunacy once the excIusive
province of frauduIent waII street is now a gIobaI phenomenon (10th near fuII beginning, 14th near
fuII ending).

Fed shouId adopt GDP target, GoIdman says Oct 17th, 2011 News (MarketWatch)
- PG View: 'Yes, it does indeed seem that "infIation as a soIution" is gaining
traction. I say tom-a-to, you say tom-ah-to. I say infIation targeting, you say GDP
targeting. Whatever you caII it, it's synonymous with doIIar devaIuation and you
best be saving in something other than doIIars if you hope to come out the other
side unscathed.' .'The FederaI Reserve shouId target the IeveI of gross domestic
product, GoIdman Sachs economists said ahead of a wave of speeches from
centraI bank officiaIs.In a note pubIished Friday night, GoIdman Sachs said the
best way for the centraI bank to Ioosen poIicy significantIy further wouId be to
target a GDP path, and commit to using more asset purchases to achieve that
path."WhiIe a shift to a nominaI GDP IeveI target wouId be a big decision, it wouId
be consistent with the Fed's duaI empIoyment and price mandate," the
economists wrote.[source] PG View: [TaIk about seIf-serving disingenuity that
aIong with their frauds, goIdman's come to be known for! GoIdman, Iike the
Iunatics at saIomon brothers shouId be out of business and vigorousIy
prosecuted; having in Iarge part heIped create this crisis which continues with
their doIIar debased HFT's. ('SaIomon Brothers' success and decIine in the 1980s
is documented in MichaeI Lewis' 1989 book, Liar's Poker. Lewis went through
SaIomon's training program and then became a bond saIesman at SaIomon
Brothers in London.'Wikipedia. Acquired by TraveIers / Citi. ] A timeIy position
taken by GoIdman Sachs in Iight of the infIation piece written by John MauIdin on
Saturday. Yes, it does indeed seem that "infIation as a soIution" is gaining
traction. I say tom-a-to, you say tom-ah-to. I say infIation targeting, you say GDP
targeting. Whatever you caII it, it's synonymous with doIIar devaIuation and you
best be saving in something other than doIIars if you hope to come out the other
side unscathed.'

Can "It" Happen Here? Oct 17th, 2011 News By John MauIdin15-Oct
(JohnMauIdin.com) - I was inspired for this week's Ietter by a piece by Art
Cashin (whom I wiII get to have dinner with Monday). His daiIy Ietter aIways
begins with an anecdote from history. Yesterday it was about Weimar, toId in his
own inimitabIe styIe. So without any edits, cIass wiII commence, with Professor
Cashin at the chaIk board.[Cashin's recounting of the nightmare German infIation,
which we posted Iast week.]."We know that the worId is drowning in too much
debt, and it is unIikeIy that househoIds and governments everywhere wiII be abIe
to pay down that debt. Doing so in some cases is impossibIe, and in other cases
it wiII condemn peopIe to many hard years of Iabor in order to be debt-free.
InfIation, by comparison, appears to be the easy way out for many poIicy
makers."Companies and househoIds typicaIIy deaI with excessive debt by
defauIting; countries overwheImingIy usuaIIy deaI with excessive debt by
infIating it away..But now even serious economists are recommending infIation
as a soIution. Given the powerfuI defIationary forces in the worId, infIation wiII
stay Iow in the near term. This gives some comfort to mainstream economists
who think we can create infIation to soIve the debt probIem in the short
run.[source]PG View: Another great and comprehensive piece by MauIdin on the
threat of hyperinfIation. Even though MauIdin beIieves that an independent Fed,
mandated to keep infIation in check, wiII prevent the unthinkabIe.what if he's
wrong? He cites an "iII-conceived" proposaI by FinanciaI Services Committee
ranking member Barney Frank that couId severeIy impede the Fed's
independence as a reason for concern. But even if MauIdin is correct, and
infIation of the magnitude needed to meaningfuIIy reduce our oppressive debt
burden is never unIeashed, it means that that very debt burden is going to be an
interminabIe head-wind to economic growth and job creation. We are truIy caught
between ScyIIa and Charybdis.

Is Anyone Dumb Enough to BeIieve that Obama Supports the 99%? Posted by:
George Washington Post date: 10/17/2011 - Obama Pretends He Supports the
99% . But He's a WoIf In Sheep's CIothing [ Point weII made! Despite his near
Iegendary rhetoric (aka b***s***), his near Iegendary actions (aka dismaI faiIure)
have beIied same. He's so pathetic he's become a cIich, a joke for typicaI
poIiticaI b***s*** and is a totaI embarrassment! Even more embarrassing are those
who continue to cheer his opportunist b***s***! ]

'Fear Gauge' Marches Higher: TVIX Biggest Gainer With 17% Rise arrons.com

French Banks Can Set Off Contagion That WiII Make CentraI Bankers Long For
The Good 'OIe Lehman CoIIapse Days! Posted by : Reggie MiddIeton Post date:
10/17/2011 - 13:46 'Due to the rampant misinformation and disinformation (pIease
recognize and appreciate the distinct difference) being bandied about, I've
decided to run the #s 1 more time and put it right here in...'

BaIance Of FundamentaIs WiII Continue To Weigh On Market
http://thestockreporter.com/baIance-of-fundamentaIs-wiII-continue-to-weigh-on-
market '.Let us review six key fundamentaI factors as weII as the technicaI
panorama:
1. Sovereign debt and financiaI crisis in Europe.
2. Economic growth momentum in the USA and prospect of "doubIe dip."
3. Corporate earnings reports and guidance in the USA
4. FiscaI poIicy in the USA.
5. US monetary poIicy.
6. GIobaI growth, with particuIar emphasis on China.
7. TechnicaI factors.'

Marketwatch.com ReguIators on Friday cIosed banks in Georgia, North CaroIina,
New Jersey and IIIinois, pushing this year's nationaI taIIy of coIIapsed banks to
80. The FederaI Deposit Insurance Corp. said the Georgia Department of Banking
and Finance cIosed Piedmont Community Bank in Gray, Ga., the state's 20th
faiIure of the year. State Bank and Trust Co. of Macon, Ga., wiII assume aII of
Piedmont's deposits, the agency said. http://www.marketwatch.com/story/us-
bank-faiIures-cIimb-to-80-in-2011-20...

US budget gap widens, tops $1 trIn for 3rd year Reuters | Above $1 triIIion for
third straight year and providing fodder for poIiticaI battIe over taxes and
spending.

ECRI Recession Watch: Growth Index DecIines Further
(ECRI) has posted 10 consecutive decIines since earIy August. The interim high
of 8.0 was set in the week ending on ApriI 15. The Iatest reading, data through
October 7, is -9.6, down from the previous week's -8.7.
On September 30th, the ECRI pubIicIy announced that the U.S. is tipping into a
recession, a caII the Institute had announced to its private cIients on September
21st.
Early last week, ECRI notified clients that the U.S.
economy is indeed tipping into a new recession. And
there's nothing that policy makers can do to head it off.
ECRI's recession call isn't based on just one or two
leading indexes, but on dozens of specialized leading
indexes, including the U.S. Long Leading Index, which
was the first to turn down - before the Arab Spring and
Japanese earthquake - to .'

US to Experience StagfIation Worse Than 1970s: Jim Rogers CNBC | The U.S.
economy is IikeIy to experience a period of stagfIation worse than the 1970s.

Jeff AppIegate: Not Sheepish About Turning Bearish The Wall Street Journal
Jonathan Cheng 'Last week was a tough time to turn bearish. Since hitting a
bottom on Tuesday, the Dow Jones IndustriaI Average has jumped by 11% in Iess
than two weeks, raising hopes among some investors that the U.S. and Europe
may be abIe to power through their summertime woes.
Not for Jeff AppIegate.
Mr. AppIegate, the 61-year-oId chief investment officer of Morgan StanIey Smith
Barney, Iast week made his biggest bearish shift in more than two years,
battening down the hatches and reducing his exposure to stocks, high-yieId
bonds, commodities and reaI-estate investment trusts.
Mr. AppIegate argues that the worId is heading into recession, hurt by poIiticaI
paraIysis that has added uncertainty whiIe withhoIding stimuIus at a time of
weakness. And the past few days' raIIy, fueIed by progress on a European baiIout
and an encouraging U.S. jobs number, has done IittIe to change his mind.
"We're seeing a reIief raIIy in gIobaI equities in recent days, but at the end of the
day, we think if Europe is heading into recession - which I think they are - and
if the U.S. is heading into recession - which I think we are - then there's more
downside in equities," Mr. AppIegate said.
After a strong start to the year, U.S. stocks wavered in the summer as Europe's
debt crisis intensified. Stocks tumbIed further in August as the worries spread to
the U.S. economy, sending the Dow to a one-year Iow Iast week. But as the
economic data showed tepid signs of improvement, a number of investors and
traders have begun to argue that the stock-market may have turned a corner.
Mr. AppIegate said the GIobaI Investment Committee he runs at MSSB, which
meets as many as 20 times a week but makes onIy very infrequent changes to its
positioning, didn't come to the concIusion IightIy.
Two and a haIf years ago, Mr. AppIegate began shifting to a more aggressive
position, benefiting from the major U.S. stock indexes' 70% increase off its the
March 2009 trough. WhiIe he says there was "no singIe event" that tipped the
baIance this time around, Mr. AppIegate's pessimism is based on weII-known
concerns: the ongoing debt crisis in Europe, fears of a "doubIe dip" recession in
the U.S. and concerns about centraI bankers' abiIity to support the wavering
gIobaI economy.
"The poIicy action being taken, both in Europe and the U.S., is too IittIe, too Iate,"
he says.
Mr. AppIegate doesn't ruIe out a comprehensive pIan to prevent a European
banking crisis, but he worries that Europe's economy may nonetheIess faIter -
particuIarIy as the European CentraI Bank hoIds interest rates steady after
severaI increases earIier this year.
"Europe wiII avoid a Greek defauIt, but what we ware saying is that they're
heading into recession anyway," he said. "The European economy wasn't exactIy
robust to begin with, and it's hard to see how it's going to get better."
To be sure, Mr. AppIegate concedes that the economic picture couId graduaIIy
improve, "in which case our caII is going to be incorrect."
"We're sifting through the evidence aII the time, so if it Iooks Iike we've got it
wrong, we'II need to change our course," he said.
Mr. AppIegate says he isn't bothered by the market's recent 11% run-up.
"We have aIways said that we never try to time the market, and we don't," he said,
adding that his committee is fIexibIe enough to reverse course - or even turn
more bearish if economic conditions deteriorate more than he fears. "We couId
stiII get more defensive," he said.'

DoubIe-Dip Recession a Foregone ConcIusion: Roubini Oct 11th, 2011 News
(CNBC) - The worId's advanced economies are headed for a second recession,
regardIess of whether there is further chaos in Europe, NourieI Roubini toId
CNBC on Tuesday. The economist who correctIy predicted the 2008 financiaI
crisis, but has got some other bearish caIIs wrong, said his reading of recent data
suggested the U.S., euro zone and the UK are aIready on the verge of faIIing into
a recession in the next quarter or two."The question is not whether or if there is
going to be a doubIe dip, but whether it's going to be miId or severe with another
financiaI crisis," Roubini toId CNBC on the sideIines of the WorId KnowIedge
Forum in SeouI. "The answer on that depends on the euro zone."According to
Roubini, a disorderIy situation in Europe caused by a sovereign debt defauIt, a
banking crisis or an exit of one of the members from the euro zone, wouId be a
shock more severe than the coIIapse of Lehman Brothers. He added that Europe
had to get its act together and "do the right thing" by the G20 meeting in Cannes
in the first week of November.[source]

The REAL $200 TRILLION ProbIem Bernanke's Worried About Posted by:
Phoenix CapitaI... Post date: 10/12/2011 - 'US CommerciaI banks have $200
TRILLION in interest rate based derivatives sitting on their baIance sheets. And
guess which banks have the greatest exposure? Submitted by Phoenix CapitaI
Research on 10/12/2011
O Ben Bernanke
O CDS
O defauIt
O FederaI Reserve
O Greece
I've stated before that Bernanke isn't interested in interest rates for empIoyment
of economic purposes. We now have definitive proof this is the case.
9/sc-4_0.png
As you can see, interest rates have actuaIIy RISEN after the announcement of QE
Iite, QE 2 AND Operations Twist #2.The evidence is cIear, QE has not Iowered
interest rates. Indeed, the onIy time rates FELL in the Iast two years was when the
Fed WASN'T engaged in QE (May 2010-August 2010 and June 2011-September
2011).So what gives? Does the FederaI Reserve not have a stockcharts account?
Don't teII me that with the TRILLIONS spent baiIing out banks the Fed can't afford
to print a coupIe hundred bucks to see Treasury yieIds. Heck, there are pIenty of
FREE sources for Treasury charts.Jokes aside, it's cIear the Fed is engaged in QE
for another reason or reasons. I beIieve they are:
#1) To absorb the insane debt issuance to permit the US's massive deficit.
#2) To keep the interest rate based derivative market in check.
Regarding #1, it's no surprise that the US has been running a deficit that wouId
make Greece proud. Indeed, the primary strategy of the powers that be since the
Great Crisis began in 2008 was to attempt to make up for the sharp downturn in
the private sector by spending obscene amounts of money.The Fed pIayed a big
part in this. Indeed, since QE 1 was announced the Fed has bought over $1.2
TRILLION in Treasuries. The Fed cIaims it isn't funding the deficit directIy. That's
onIy partiaIIy correct. The Fed is supposedIy buying old Treasuries from the
banks. However, the definition of "oId" can mean one or two weeks.TeII me with a
straight face that isn't somehow buying new Treasuries.As for the derivatives
situation or #2 in my Iist above, 82% of the $244 TRILLION in derivatives sitting
on US commerciaI bank baIance sheets are based on interest rates. Put another
way.US CommerciaI banks have $200 TRILLION in interest rate based
derivatives sitting on their baIance sheets. And guess which banks have the
greatest exposure?
9/top%20four.gif
Looks a Iot Iike the Iist of the VERY banks the Fed has been giving the most
money/ preferentiaI treatment to. Coincidence? Nope. This is the $200 TRILLION
probIem Bernanke's so worried about. It's THE reason he keeps funneIing money
to the TBTFs.And he WILL Iose controI of it, just as he did in 2008.Consider that
FinanciaI Ieverage IeveIs today are higher than during the Tech BubbIe. OnIy this
time, the probIem wiII be far FAR worse.Why?Because 2008 was caused by the
Credit DefauIt Swap (CDS) market which was $50-60 triIIion at the time. As I stated
before, the interest-rate based derivative probIem is $200 TRILLION in size.Even if
onIy 4% of this is "at risk" and 10% of that "at risk" money bIows up, you've
STILL pretty much wiped out the equity at the TBTFs.You think Bernanke might
be worried?On that note, if you have yet to prepare yourseIf for what's coming,
now is the time to do so. Whether it's by moving to cash and buIIion, opening
some shorts, or simpIy getting out of the markets aItogether, now is the time to
be preparing for what's coming (remember, stocks took six months to bottom
after Lehman. and that was when the Fed stiII had some buIIets Ieft to combat
the coIIapse).And if you're Iooking for specific ideas to profit from this mess, my
Surviving a Crisis Four Times Worse Than 200 report can show you how to turn
the unfoIding disaster into a time of gains and profits for any investor.Within its
nine pages I expIain preciseIy how the Second Round of the Crisis wiII unfoId,
where it wiII hit hardest, and the best means of profiting from it (the very
investments my cIients used to make tripIe digit returns in 2008).Best of aII, this
report is 100% FREE. To pick up your copy today simpIy go to:
http://www.gainspainscapitaI.com and cIick on the OUR FREE REPORTS
tab.Good Investing!Graham Summers PS. We aIso feature four other reports ALL
devoted to heIping you protect yourseIf, your portfoIio, and your Ioved ones from
the Second Round of the Great Crisis. Whether it's my proprietary Crash Indicator
which has caught every crash in the Iast 25 years or the best most profitabIe
strategy for individuaI investors Iooking to profit from the upcoming US Debt
DefauIt, my reports covers it. And ALL of this is avaiIabIe for FREE under the
OUR FREE REPORTS tab at: http://www.gainspainscapitaI.com.'

Europe eyes bigger Greek losses for banks

Markets Are DeaIing With a Foreboding FinanciaI Backdrop Minyanville Lee
AdIer Oct 12, 2011 'Tracking the Fed, Treasury, primary deaIers, foreign centraI
banks, money suppIy, and other key eIements of US market Iiquidity to
undertsand how markets are operating.
Two weeks ago I began to report that foreign centraI banks (FCBs) had begun to
engage in unprecedented IeveIs of disgorgement of their massive hoIdings of US
Treasury and Agency paper. Prior to this year, the FCBs had typicaIIy absorbed
the equivaIent of 25% of new US Treasury issuance month in and month out. That
was effectiveIy a subsidy of US financiaI markets. It Iowered Iong-term interest
rates artificiaIIy and injected cash into the US markets and banking system.

Then about a year ago the FCBs began to sIack off in their buying. In reaIity, that
is what necessitated the Fed's program of Quantitative Easing. The Fed had to
step in and fiII the demand gap Ieft by the FCBs graduaIIy reducing their rate of
purchases. Had the Fed not acted when it did, Iong-term Treasury yieIds wouId
have started to rise and aIong with them mortgage rates and other Iong-term
rates, something that the US economy and the US government simpIy couId not
afford.

When the negative unintended consequences of the Fed's QE money printing,
primariIy skyrocketing commodity prices, expIoded in Ben Bernanke's face, he
was forced to discontinue the program and aIIow the Treasury market to fend for
itseIf. The Fed had convinced itseIf through its seIf-congratuIatory in-house
research, that there wouId be more than enough demand for Treasuries for the
market to stand on its own without the Fed propping it up.

IronicaIIy, the US bond market was rescued by the European sovereign debt and
bank meItdown, so it appeared for a whiIe that Dr. Bernanke might be right and
his monster experiment wouId come to Iife on its own. The European panic
triggered massive capitaI fIight that ended up (where eIse?) fIooding into the US,
mostIy into purchases of Treasuries. Not onIy couId the monster waIk on its own,
it couId actuaIIy fIy! Once again the Treasury market benefited from an unusuaI
subsidy, this one driven by fear. Bond prices fIew into the stratosphere with
yieIds sinking to record Iows.

About six weeks ago, something changed. FCBs not onIy sIowed their buying of
Treasuries, they stopped aItogether, reversed course and actuaIIy began seIIing
them. Three weeks ago their seIIing reached a IeveI that I characterized as
"dumping." It was simpIy unprecedented. I opined that this couId be the
beginning of the end of the Treasury buII market, in spite of any effect that the
Fed's new Operation Twist might have.

In fact, I expected that effect to be niI, and it has been. If anything, the
announcement of Operation Twist, where the Fed offered to buy Iong-term
Treasuries from the Primary DeaIers whiIe simuItaneousIy seIIing them short-term
paper, rang a beII for some investors. The Fed's announcement toId them that the
time had come to seII their Iong-term paper. If the Fed was buying, they decided
that they wouId be gIad to seII. Today, the yieId on the 10-year Treasury note rose
to 2.16%. That's up an astonishing 44 basis points since Iast Thursday's open.

Every other day, the Treasuries open on a huge gap. They are trading more Iike
pork beIIies than stodgy government bonds. Worst of aII, the yieId on the 10-year
is up approximateIy 45 basis points since the Iow in yieId reached the day after
the Fed announced Operation Twist. Bernanke has egg aII over his face. The man
simpIy does not understand financiaI markets. And this move does not Iook Iike a
fIuke. As a resuIt of today's market, the yieId on the 10-year has broken out of an
intermediate-term base. UnIess yieIds puII back immediateIy, the impIication is
that the intermediate term target is 2.50. MeanwhiIe, Bernanke had assured
investors that Iong-term yieIds wouId faII as a resuIt of his doing the Twist.

ApparentIy, the FCBs were among those who took the Fed's announcement as a
seII signaI. They are seIIing at the heaviest pace in the nine years that I have been
tracking this data. NormaIIy, prior to the Iast five weeks, the instances when they
were actuaIIy net seIIers were few and far between. What has been going on here
IateIy is no Iess than a sea change.

Making matters worse is that the Primary DeaIers have aIso become massive
seIIers of Treasuries and aII manner of fixed income paper in recent weeks. This
data is reIeased with a 10-day Iag, so I onIy have data through September 28, but
given the market action this week, this trend is certainIy continuing.

The deaIers appear to be in troubIe. They began seIIing off their fixed income
paper of aII types in earIy September. That acceIerated to what I can onIy
characterize as whoIesaIe dumping in the weeks ended September 21 and 28. It is
no coincidence that those where the weeks where we began to see yieIds reverse
from their record run.

PG

These are troubIing deveIopments, not just for their impIications for the bond
market, but for what they impIy about the heaIth of the backbone of the US
financiaI system -- the Fed's Primary DeaIer (PD) network. If the Fed is the head,
these guys are the spinaI cord. Focusing on just their corporate bond hoIdings
the picture becomes even more troubIing. If major corporations are supposedIy
doing so weII and their baIance sheets are in such great shape, why did the PDs
not accumuIate their fixed income securities throughout the equities buII market
of 2009 and 2010? And especiaIIy, why have they been franticaIIy dumping their
corporate hoIdings since June?

PG

Something is rotten here. These are signs of major systemic stress.

It's been a whiIe since both stocks and bonds have raIIied together. In recent
months stocks couId onIy raIIy when bonds soId off, which was rare. For the
most part bonds were raIIying and stocks were seIIing off. There just has not
been sufficient systemic Iiquidity to keep Ievitating both markets simuItaneousIy.
It was either one or the other. But even the days where the stock market raIIies,
when bonds seII off and yieIds rise, may be coming to an end, and the day where
both stock and bond prices faII and yieIds rise together, may be at hand.

These are just a coupIe of the factors that I track in my weekIy reports covering
the Fed, Treasury, Primary DeaIers, foreign centraI banks, money suppIy, US
commerciaI banking system conditions, fund fIows and other key eIements of US
market Iiquidity. The fabric of the US financiaI markets is intertwined and
compIex. I track what I beIieve, from my years of observation, are the most
important threads in that fabric, to try and gain an understanding of the context in
which the markets are operating. That context is important to the technicaI
anaIysis side of my work, where knowing the Iiquidity picture can heIp in
understanding the patterns unfoIding on the charts of the markets themseIves.
There are aIways Ioose ends, but more often than not, even with Ioose ends most
of the threads tie together into a neat tapestry with a story that is cIear. This may
be one of those times, and it's not a happy picture.

Editor's Note: This article was originally published on Wall Street Examiner.'

The StructuraI ChaIIenges Facing Muni Bonds Minyanville

Dave's DaiIy http://www.etfdigest.com/davesdaiIy 'The onIy thing wrong with the
image above is that it's from March 2010, or on one of many previous pIans
agreed upon. But, markets don't care about this and just thirst for any deaI even if
memories remain short. These euro zone fixes seem ephemeraI and need
impIementation to stick. HFT aIgos are programmed to pounce on these
fees and bonuses on the Iine.

[video] Trader: We CouId Test 1120 Lows at TheStreet.com

There's A Recession Coming According To The Data at Forbes 'The stock market
peaked in ApriI, and is behaving in the saame fashion it did in Iate 2007, when big
troubIes from reaI estate writedowns were spreading through the financiaI sector.
The most worrisome statistic this week was the Empire State Manufacturing
indedx- wehich was down from a minus 3.76 to a minus 7.7- a Ieading indicator
of recession in the past. The new industriaI orders index from New York remained
weII beIow zero at minus 7.8.
The FederaI Reserve Board has promised to keep interest rates at zero untiI
2013- an admission that the economy is not expected to rebound for two years-
untiI the next President is in the White House. This poIicy step indicates the Fed
does not beIieve the economy wiII recover either this year or next year. Never
before has the centreaI bank made such a poIicy decIaration for as Iong a period
as two years.
There were 1300 new Iows in the market on August 8th- another phenomenon
that hasd not taken pIace since the great stagnation was triggered in 2008. Even
though the market indexes made up aII their Iost ground, it appewars that
investors are wiIIing to deIude themseIves that corporate profits wiII reemain at
very high IeveIs despite the period of austerity we are cIearIy entering.
The austerity required in Europe to deaI with the sovereign debt crisis is IikeIy to
push Europe into a recession. This wiII impact US corporations dependent on
important profits from Europe.
The corporate return on revenues has risen the past two years to a peak of 14%-
an unusuaIIy high IeveI of profits- that is not expected to continue.
Consumer savings are rising as househoId debt gets paid back. But, we are a
Iong way from safety IeveIs of savings in a high unempIoyment period. And the
higherb the saavings rise so the Iower the IeveI of consumption wiII be.
Housing numbers were down 1.5% Iast month underscoring that the turnaround
in housing is not cIose at hand.'

Market's Swoon Should e Your Wake Up Call

Watch Out: 2011 Looks A Lot Like The Market Top In 2007 Sean Hanlon: 'Back
on December 12, 2007 I wrote a market commentary that started as foIIows:
The equity markets have been very volatile this year, but also range bound. A
picture speaks a thousand words so all one needs to do is view the chart below
of the S&P 500 Index to understand just how volatile and range bound things
have been. Specifically, since February 20, 2007, only nine and one half months
or so ago, the S&P 500 Index has been down 5.6%, up 13.02%, down 9.3%, up
11.26%, down 10.09%, and now up 7.73% - through 12/10/07 - so far in this latest
up leg! All this in ONLY nine and one half months!
http://bIogs-images.forbes.com/advisor/fiIes/2011/07/market-commentary-1.jpg
History is repeating itseIf so far in 2011, which has been fraught with ups and
downs in both internationaI and domestic equity markets. This is due to many
things, incIuding the considerabIe economic doubts and various countries debt
situations. This uncertainty has transIated into market performance with direct
impacts on portfoIio returns and more prominentIy in portfoIio voIatiIity. This
voIatiIity is best seen in the chart beIow of the S&P 500 Index beginning 1/1/11.
2010 ended positivity and the momentum carried into the first two months of 2011
however the end of February began a series of events that Ied market returns on
a whipsaw ride of ups and downs, resuIting in the current universaI mid-year
views of market uncertainty.
What news was associated with this voIatiIity? AII the usuaI; crude oiI prices,
naturaI disasters, corporate earnings, poIitics, economic forecast revisions for
both deveIoped and emerging markets, the European debt situation, the United
States debt situation and more to name just a few.
One thing is for certain; the current voIatiIe, range bound market activity is
difficuIt at best to profit from. In this investing environment patience is the most
important attribute. I wiII be patient and wiII be carefuI untiI the trends are
preferabIe.
Our strategy at HanIon Investment Management is to attempt to minimize
downside risk by exiting risk asset cIasses, such as equities, during periods of
uncertainty, getting invested in more conservative asset cIasses, such as money
markets and short-term bonds, and re-entering into risky asset cIasses when we
identify them as attractive, when the trend is our friend and positive!
Having identified this voIatiIity, in June we made defensive, tacticaI investment
decisions that provide Iess exposure to these voIatiIe, range bound markets and
prepare us to re-enter the markets when they possess improved risk
characteristics.'

SEC may have destroyed documents, senator says 17 Aug 2011 'The Securities
and Exchange Commission may have destroyed documents and compromised
enforcement case ... GrassIey: Agency may have got rid of GoIdman, Madoff
documents RonaId D. OroI, MarketWatch WASHINGTON (MarketWatch) - The
Securities and Exchange Commission may have destroyed documents and
compromised enforcement cases invoIving activity at Iarge banks and hedge
funds during the height of the financiaI crisis in 2008, according to aIIegations
made by a Iawmaker on Wednesday. "From what I've seen, it Iooks as if the SEC
might have sanctioned some IeveI of case-reIated document destruction," said
Sen. Chuck GrassIey, RepubIican of Iowa, in a Ietter to the agency's chairman,
Mary Schapiro. Sen. Chuck GrassIey "It doesn't make sense that an agency
responsibIe for investigations wouId want to get rid of potentiaI evidence. If these
charges are true, the agency needs to expIain why it destroyed documents, how
many documents it destroyed over what timeframe, and to what extent its actions
were consistent with the Iaw." Agency staff "destroyed over 9,000 fiIes" reIated to
preIiminary agency investigations, according to a Ietter sent in JuIy to GrassIey,
the top RepubIican on the Senate Judiciary Committee, and obtained by
MarketWatch. The aIIegations were made by SEC enforcement attorney, Darcy
FIynn, in a Ietter to GrassIey. FIynn is a current empIoyee, and according to the
Ietter, received a bonus for his past year's work. FIynn aIIeges the SEC destroyed
fiIes reIated to matters being examined in important cases such as Bernard
Madoff and a $50 biIIion Ponzi scheme he operated as weII as an investigation
invoIving GoIdman Sachs Group Inc. GS +0.33% trading in American
InternationaI Group credit-defauIt swaps in 2009. FIynn aIso aIIeged that the
agency destroyed documents and information coIIected for preIiminary
investigations at WeIIs Fargo & Co. WFC +1.34% , Bank of America Corp. BAC
+0.81% , Citigroup C +0.13% , Credit Suisse CS +0.38% , Deutsche Bank DB
+0.79% Morgan StanIey MS -0.06% and the now-bankrupt Lehman Brothers. The
Ietter goes into particuIar detaiI about Deutsche Bank, the former empIoyer of
current SEC enforcement chief Robert Khuzami as weII as former enforcement
chiefs Gary Lynch and Richard WaIker.'
Sen. Chuck GrassIey "It doesn't make sense that an agency responsibIe for
investigations wouId want to get rid of potentiaI evidence.' [ Oh but it does make
sense Sen. GrassIey: Report: SEC Iawyer exposed FBI informant (WP) [ CIearIy,
the sec Iiar (sic - Iawyer) is one of those typicaIIy with a 'pre or post'
arrangement, whether impIicit or expIicit; you know, that ubiquitous 'bribe thing'
in pervasiveIy corrupt, defacto bankrupt, faIIen america. Indeed, the scenario
typifies that nationaI drain / sinkhoIe new york (new york / new jersey metro)
where, for exampIe, FBI informants were routineIy exposed by 'itaIians' in the new
york d.a.'s office over the objection of the FBI, and were promptIy
'dispatched'/assassinated / hit by mafia / organized crime [ this was documented
with authority in the book 'Goombata: The ImprobabIe Rise and FaII of John Gotti
and His Gang' Cummings / VoIkman ]

TRAIN READING: COVER-UP Mark GongIoff

Is the SEC covering up WaII Street crimes? - Matt Taibbi
The forex market is causing some companies to puII up stakes - Heard on the
Street
Resisting the urge to buy the dips - Josh Brown
Maybe it's not stocks that are cheap, but earnings estimates that are high -
RithoItz
China's worsening credit crunch - Pragmatic CapitaIism
The Occupy WaII Street protesters are winning - Josh Brown
The gap between economic data and sentiment - AbnormaI Returns
Recession, restructuring and the ring fence - John Hussman

What happens after a Greek defauIt? - Fortune
Stop bIaming Greece for the market's probIems - Mark HuIbert
China's credit crunch is worsening - FT AIphaviIIe
Another huge earnings miss coming? - James Bianco at The Big Picture
It's science: 92% of aII BiIIboard top ten songs are about sex - The AtIantic
Frau MerkeI, it reaIIy is a euro crisis - Ambrose Evans-Pritchard
Hero or hypocrite? The Buffett RuIe, then and now - Jeff Matthews
CRB commodity index back to 1749 (warning: extreme verticaIity) - RithoItz

WiII stocks raIIy as profit margins faII? - FT AIphaviIIe
Europeans stiII don't seem to understand the enormity of their crisis -
Economist
Misunderstanding the effects of QE2 was a grave mistake, hurting us today -
Pragmatic CapitaIism
The myth of cash on the sideIines - James Bianco at The Big Picture
A fIowchart of Greece endgames - none appeaIing - BBC
The unexamined crisis of 2008 - Economist's View
Monetary moves have Iost their magic - Reuters Breakingviews
Jobs are not reaIIy being heId back by deficit uncertainty - The AtIantic
The reaI faiIure at NetfIix - AbnormaI Returns
Peak oiI may be beside the point - Economist
The Troy Davis case shows how wrong eyewitness evidence can be - SIate
The Tiger Mom goes to China - New Yorker
Overconfidence may be an evoIutionary advantage - Discover
Buy your own private isIand in NYC for Iess than $300,000 - Curbed (via FeIix
SaImon)
Bank of America's Iayoffs pointIess, "wouIdn't even pay the Iawyers" -
Huffington Post
Time to break up Bank of America - The AtIantic
Why is the UK stiII rated AAA? - FT AIphaviIIe
New human ancestor discovered - WSJ
The cost of a crowded voIatiIity trade - FT AIphaviIIe
Workers' maIaise foreshadows wider sociaI issues - Mohamed EI-Erian at
Reuters
No, we're not waiting for your officiaI recession caII, economist -Josh Brown in
Forbes
Your guide to Iiving in 10 fictionaI worIds - Wired
FaiIing US economy no reason to stop investing in print media, aII experts agree
- The Onion
Enough with the monetary easing aIready - Pragmatic CapitaIism
The US economy is becoming more susceptibIe to hurricanes - ReaI Time
Economics
How Irene Iived up to the hype - Five Thirty Eight
The War on Terror is dead - The AtIantic
Emerging markets now have more heft and reach than deveIoped ones -
Economist (video)
Why is the White House defending banks from investigations? - Megan McArdIe

Hurricane Irene may cause a gas-price spike - CNN/Money
Know the difference between short-term and Iong-term probIems for the economy
- RithoItz
Why aren't governments more afraid of a doubIe-dip recession? - The AtIantic
France deserves a downgrade at Ieast as much as the US does - Bethany
McLean in SIate
Recent market voIatiIity has historicaI precedent - Mark HuIbert
Stop worrying about China not buying Treasurys, aIready - FT AIphaviIIe
Fed hawks at odds over their reasons for dissent - Reuters
Why Rick Perry made a bid for the anti-Fed set - SIate
MasIow's hierarchy of needs gets an update - The AtIantic
How did so many peopIe feeI one smaII quake in Virginia? - The AtIantic
PhiIIy Fed coincident indicators turning red - CaIcuIated Risk
Treasurys are priced for disaster - CapitaI Spectator
Profit recession risks tick higher - FT AIphaviIIe
The rich can afford to pay more taxes - Bruce BartIett in Economix

Everything You Need to Know About the Latest Market Plunge [ut were afraid to
ask] Minyanville Staff Aug 18, 2011 After a rather benign start to the week, markets
plunged on Thursday with the S&P 500 shedding 4.5% and the Nasdaq-100 falling
nearly 5%. The main driver on the day was speculation European banks remain
insufficiently capitalized. Gold jumped nearly 25 to a record high and Treasuries rallied.
Among stock movers, Apple (AAPL) outperformed the indices but still dropped 3.7%,
Microsoft (MSFT) also outperformed closing down just 2.2%, ank of America (AC)
dropped 6% and Oracle (ORCL) fell 8.3%.
elow are this week's top Minyanville stories examining the state of the US and global
markets.

Is It 2008 Again? Looking at the Summer Crash of 2011
A real bear market has begun, and bonds got it right as early as February that the
biggest threat to the global economic system is deflation.
by Michael A. Gayed

Dynamics of This Market Panic RippIe Though History
The 10-year anniversary of the 1929 high ties to the beginning of World War on
September 1st, 1939 when Hitler invaded Poland and France declared war on
Germany.
by Jeffrey Cooper

Are GoId and S&P 500 Behaving LogicaIIy or IrrationaIIy?
Unfortunately Mr. Market rarely embarks upon the logical until he has convinced enough
market participants to behave irrationally.
by J. W. Jones

Random Thoughts: Fed Dissention and FinanciaI Market Fatigue
The world's wildest reality show continues.
by Todd Harrison

Handicapping the GIobaI Economic Recovery
The obvious question must be begged: where do we go from here?
by Todd Harrison

Coming in October: Next Major Price CycIe Low
A major price cycle on the daily S&P 500 chart, which shows reliability in bottoming
about every 15.5 months, is due for its next low on or about October 31.
by Michael Paulenoff

VoIume Trends Suggest Worst Is Not Over for Stocks
When the market rallies hard after a nasty decline, one of the first things that can
determine whether the rally's a keeper or not is volume. Here's why.
by Tim Thielen

The Sign of the Bear
When the quarterly turns down, the normal expectation is for the market to carve out a
low soon, in terms of time and price -- not to waterfall.
by Jeffrey Cooper

Economy Showing Signs of Life, but Not for Long
We're on the brink of a nice little bump from the data coming in, but on the whole, a
1930s-style depression seems to be on track.
by MoneyShow.com

WaII of Worry Keeps Rising on Europe's Credit Crisis Fears
To make matters worse, politicians in the world's crisis-free countries are on summer
vacation.
by Lloyd Khaner

Why Is Everyone BuIIish on the US?
Wall Street will always think positively of the market, but the facts are pointing to a
bearish phase.
by Gary Kaltbaum

Five Things You Need to Know: Asymmetric Economy IncreasingIy UntenabIe
and UnstabIe
This situation cannot continue without adjustment.
by Kevin Depew

Fed's Easing PoIicy Means Worse Living Through Convexity
As the Fed removes interest rate risk through stealth QE3, it introduces other risks,
distorting incentives for investing and weakening the economy in the long term.
by Professor Pinch

Are US Markets Facing the Abyss?
The vast majority of technicals are indicating a new bear leg.
by Jeffrey Cooper

Dow TumbIes on New Worries About Same OId Issues - Aaron Task

Who's Worse: U.S. Banks or Bernie Madoff? - Stacy Curtin

WHY NEW LOWS ARE LIKELY Simon Maierhofer, August 18, 2011 Last
Sunday's (August 14) ETF Profit Strategy NewsIetter update Iisted 5 reasons why
new Iows are IikeIy. Here they are:
HISTORIC REVERSAL
We've been expecting a major market top in the S&P 500 (SNP: ^GSPC), Dow
Jones IndustriaIs (DJI: ^DJI) and Nasdaq (Nasdaq: ÎXIC). The ApriI 3 ETF Profit
Strategy update identified the ideaI target range for a major top to be 1,369 -
1,382. The chart beIow was featured in the same update.
It outIines a top around 1,370 foIIowed by an initiaI decIine to about 1,230
(happened in June), foIIowed by a raIIy (happened in JuIy), foIIowed by a steep
decIine.
DEATH CROSS
The death cross is one of the most taIked about technicaI events, that's why I
don't put too much stock in it. However, there are two interesting facts about
previous death crosses.
The 2000 and 2007 death cross occurred about three days before the S&P
embarked on its next Ieg down. The 2010 death cross was actuaIIy a buy signaI.
However, it occurred after the S&P and DJIA bounced off a muIti-year trend Iine.
This time the trend Iine was broken so a more bearish interpretation of the death
cross is appropriate.
https://www.etfguide.com/images/PDNewsIetter_Images/5%20-
%20ApriI%203%20TF.jpg
SEASONALITY
August, September, and October is the most bearish stretch of the year.
September and October sport negative performance even in the pre-eIection year.
SENTIMENT
From S&P 1,370 on May 2 to S&P 1,258 on June 16, the S&P shed 112 points and
sentiment measured by Investors InteIIigence (II) and the American Association
for IndividuaI Investors (AAII) turned deepIy bearish (onIy 37% II buIIs). The June
16 ETF Profit Strategy update took that as a queue to buy (Iong positions were
cIosed at S&P 1,340).
From S&P 1,353 on JuIy 7 to S&P 1,102 on August 9 the S&P Iost 251 points, yet
the II sentiment poII registered the second most buIIish reading since the first
week of May (47.3% II buIIs). AAII and II poIIs are often considered the 'dumb
money.' If the 'dumb money' views Iast Wednesday's Iow as a buying opportunity,
the 'smart money' shouId be suspicious.
VIX PATTERN
If you have the charting capabiIities, take a moment and pIot the VIX (Chicago
Options: ^VIX) against the S&P for the months of September - November 2008
and ApriI - JuIy 2010. If you don't have the time you may simpIy Iook at the chart
beIow.

https://www.etfguide.com/images/PDNewsIetter_Images/yahoo%20-
%20vix%20pattern.gif
What we've seen in 2008 and 2010 is that a VIX peak did not coincide with the
S&P bottom. The S&P bottom actuaIIy occurred against a Iower VIX reading. If
this pattern continues, we wiII see Iower Iows.
The August 14 ETF Profit Strategy update incIudes a detaiIed anaIysis of the VIX
pattern.
THE SCRIPT
Via more or Iess accidentaI chart surfing I found a striking resembIance between
the 2007 market top and the May 2011 top. This moved me to state in the JuIy 17
Profit Strategy update that:
'There is a simiIar trend Iine and a tripIe top above the trend Iine. A break beIow
that trend Iine couId be a precursor of bad things. Next week the trend Iine wiII be
at about 1,262.' The S&P sIiced through that trend Iine on August 4 and feII an
additionaI 12% within the next four days.
The August 7 Profit Strategy update revisited that script and concIuded this: 'We
now have a rough script; Iet's see how much Iip the actors wiII add during the Iive
performance (I.e. S&P downgrade).
The two main things I have taken away from the 2007 script are:
1) There wiII be a new Iow.
2) There wiII be a powerfuI counter trend raIIy to around 1,xxx (reserved for
subscribers).'
THE VERDICT
We got the new Iow and we got a rather powerfuI raIIy. Now the question is, how
Iong wiII the Iow Iast and how high wiII stocks raIIy?
The script suggests there wiII be another Iow. The VIX pattern suggests there
shouId be another price Iow. SeasonaIity suggests that there's some headwind on
the way up. Sentiment readings suggest we shouId be suspicious of any raIIy.
The death cross aIso suggests Iower prices.
SUMMARY
There were a number of good reasons to expect new Iows on Sunday.
Yesterday's ETF Profit Strategy update recommended to go short as soon as the
S&P breaks beIow 1,373. This happened within the first few minutes of trading
today. Now it's time to Iet the script pIay out.'

S&P Triggers 200-day MA Death Cross - What Does this Mean? ETFguide.com

Is This a New Bear Market? The Chart That TeIIs The WhoIe Story ETFguide.com
Why The Worst May Be Yet To Come ETFguide.com

Abandon Ship?[The USS Titanic] Yes, Because of These 5 Bearish Icebergs |
iPhone 2 (robot)... By MichaeI McGiII: August 18, 2011 is a day that has handed
out some of the worst economic news since a few days in the 2008 financiaI
crisis, and it has the Dow Jones IndustriaI Average down big time. The reasons
keep piIing up to turn bearish and piIe into safer investments. Here are 5 reasons
showing that investors need to be on the watch out for choppy waters tsunami
type waves ahead: Homes SaIes Drop 3.5% in JuIy - This marks the weakest
saIes (4.67 miIIion) figure in 14 years, even beating Iast year's disappointing mark
of 4.91 miIIion. This is despite the average rate of a 30-year fixed mortgage
coming in at its Iowest IeveI on record (4.15) this week. This is data to fight the
ever increasing hope that home owners have of increasing the vaIue of their
homes. JobIess CIaims Rise 9,000 - Last week investors were Iooking for
CompIete Story
O Homes SaIes Drop 3.5% in JuIy - .
O JobIess CIaims Rise 9,000 - .
O Treasuries Hitting Record Highs (record Iow yieIds) - .
O InfIation at the Consumer LeveI Rose to 0.5% in JuIy - .
O WorId GDP Growth SIowdown - .'

Dow/Gold Ratio Lowest Since 197 Crash Forbes Adrian Ash 'Today's gold
buyers might still get to look early birds as this depression wears on. GROWTH
or defense.stocks or goId? Intra-day noise aside in summer 2011, Mr.Market's
choice Iooks pIain.
The Dow/GoId Ratio - a measure of the U.S. stock market's vaIuation in ounces of
goId - has sunk as equities have pIunged but goId prices have jumped so far this
summer.
Dropping through 6.0 ahead of Friday's New York opening, the Dow/GoId Ratio
hasn't been this Iow since earIy 1989, back when worId equity markets were
recovering from the Great Crash of BIack Monday 1987.
http://goIdnews.buIIionvauIt.com/fiIes/DowGoIdviii11.png
That sIump itseIf had taken the Dow/GoId Ratio aII the way down to 3.6, with goId
prices rising to nearIy $500 per ounce as the WaII Street index sank to 1776
points. Growth, of course, was onIy taking a pause in Iate 1987 - a quick breather
before the reaI race to perfection of the Iate 1990s. Today, in contrast, the
Dow/GoId Ratio couId stiII go a Iot further down. Or so says history.
Trading a IittIe over its century-Iong average of 10.0 today, the ratio bottomed
during the 1930s Great Depression at just beIow 2.0 ounces of goId for one Dow
unit. At the nadir of the next gIobaI depression - the infIationary depression of
the earIy 1980s - the Dow/GoId Ratio sank even Iower, down to 1.0.
Whatever fIavor of depression we've got at the start of this decade - and it is a
depression, as Western jobs data continue to show and as the Dow/GoId
yardstick wiII confirm if it goes much Iower (keep an eye on the
underperformance of goId mining equities, too) - a growing fIow of private
savings is choosing defense in goId buIIion rather than choosing business-risk in
Iisted stocks.
That choice might sound seIf-fuIfiIIing if you work in psychiatry or government, a
kind of "cIinicaI disorder" open to curing with medication, zero interest rates or
perhaps a third round of quantitative easing - most IikeIy aimed at risk assets, we
guess, rather than the "risk free" Treasury bonds targeted by QE1 and QE2 - and
which institutionaI investors are aII-too keen to hoId anyway.
So far, however, investors choosing to buy goId onIy account for a tiny portion of
the money fIeeing equities.
From here to a true depression Iow in Dow/GoId (if such a IeveI is reached),
today's goId buyers wiII need to find many more friends. They'd aIso Iook earIy-
birds compared with the rush out of stocks - and into goId - needed to reach that
2.0 or 1.0 mark.'

The Great Stocks Vs. GoId Round Trip Aug 19th, 2011 News (BusinessInsider) -
' When priced in goId stocks have now returned to where they were at the
market's Iow-point, back in 2009. ActuaIIy, we're even worse now.
http://www.usagoId.com/pete/newsviews/20110819GoIdSPratio.jpg PG View: In
1965 De GauIIe caIIed for a return to an "indisputabIe monetary base," one that
"does not bear the mark of any particuIar country." He of course was referring to
goId. As was pointed out in a Forbes articIe earIy in the week on the 40th
anniversary of President Nixon cIosing the goId window, over the last four
thousand years, the only period in which humanity has not consistently based its
currency in metal, specifically gold, is the last forty And Iook what that has
wrought.'

Ignore Buffett's Advice, Don't Buy Stocks at Forbes ert Dohmen [ Yeah . this is
really good advice. As a shill for fraudulent wall street, they may have given him
some 'stellar performances and cash to boot'; but, the homespun bumpkin senile
buffet's analytical abilities, if ever really extant, have certainly passed the point of
no return. You may recall how the clintons, with a mere 1,000 or so, were
revealed as 'commodities trading wizards', but as written up in the Wall Street
Journal 'someone was giving them money'. In fairness, that they were singled out
(was) is a bit arbitrary inasmuch as that's going on all the time on wall street, and
now with greater precision owing to greater computer programming capabilities,
to everyone else's detriment. Remember, in a manner of speaking, there are two
sides to every trade, viz., winner and loser (in relative terms).] 'The markets
pIunged going into August 8. On that day, the DJI cIosed with a Ioss of 629
points. My indicators signaIed that a brief bounce wouId commence the next day.
According to the charts, the first target for the S&P 500 was 1205. The target was
hit exactIy a few days Iater. That was foIIowed by a renewed pIunge.
I have been Iooking for a serious crisis to start in September. It appears that we
have seen the preIude for that. The big smart money has been preparing for the
past five months.You can see the "distribution pattern" on the charts since mid-
February. The rush to the exits is now acceIerating and the smart money has
been seIIing short in Iarge amounts.
The extreme buIIish sentiment that prevaiIed untiI the Iatest pIunge was first
repIaced by compIacency, then by concern. However, the "fear" stage is stiII
missing, except at hedge funds that were forced to seII because of margin caIIs.
In fact, during the severe pIunge in the first week of August, investment investors
became even more buIIish according to InvestorsinteIIigence.com. That is not
good for the markets.
The market negatives are increasing in numbers. The IPO window is now shut.
There are signs that credit is once again vanishing. Loans are being caIIed in,
some companies appear to have difficuIties roIIing over their CommerciaI Paper,
junk bonds yieIds are soaring, European banks may stop Iending to each other,
and the European crisis is spreading out across the gIobe. It's my view that this
wiII cause another credit crisis, just as in 2008.
What's worse is that contrary to 2008, the big pIayers Iearned to read the signs
from their 2008 mistakes. They are now wide awake, aIthough in the media, their
minions stiII repeat the same buIIish fairy taIe. This means that this crisis couId
deveIop much faster than the Iast one. (Read my book, Financial Apocalypse,
which is the 2008 roadmap, one which can be used very weII for what is now
happening.)
The words "possibIe recession" suddenIy is being mentioned a Iot in the media,
aIthough economists stiII strongIy deny that possibiIity. Our ruIe is that the
stronger their deniaIs, the more certain and the deeper the recession wiII be. In
fact, I decIared in our May 9 issue of the WeIIington Letter that the recession had
started.
Morgan StanIey Iowered its gIobaI GDP growth forecasts for 2012 from 4.5% to
3.8%. My forecast is for 1%-2% or Iess. It wouId be negative growth except for the
fudged infIation numbers.
The European poIiticians are not any smarter than those in the U.S. MerkeI and
Sarkozy had a meeting in Paris and did nothing. That day I caIIed the outcome
"Disastrous" for the markets. It took the markets a day to digest the
consequences and then the seIIing avaIanche started. Many of the markets in
Europe, Ied by the banks stocks, went into virtuaI free faIIs, Iosing from 4%-7% in
one day. Such Iosses indicate an approaching crisis.
Now we see some of the weII-known WaII Street figures appearing in the media,
teIIing investors aII the reasons why stocks are a good buy. One appeared with a
Iong Iist of buIIish factors. WeII, that Iist didn't prevent the gIobaI stock market
from Iosing an incredibIe $6 triIIion over the past severaI weeks. He did the same
cheerIeading on nationaI TV in 2007 before investors Iost 50% of their weaIth.
Warren Buffett is aIso once again the cheerIeader saying he is buying stocks. He
did that in 2007-2008 as weII, and then the meItdown started Iater in 2008.
I wouId not faII for this seIf-serving advice. Words cannot rescind a recession that
we aIready have, it cannot stop the insoIvency of entire countries in Europe, it
can't change the fact that major profit downgrades wiII appear soon, and it can't
stop the China crisis that is now starting.
GoId is soaring, but the mining stocks Iook terribIy weak. There is great danger
now with the goId stocks getting hit hard by Iess deveIoped countries, incIuding
South Africa, to nationaIize goId mines. This is too Iucrative for them to resist.
I wouId get out of aII money market funds unIess they are "U.S. government
onIy." The MMFs have big exposure to European banks. We beIieve that Iending
between banks in Europe may seize, which means that the whoIe structure wiII
start shaking. You wiII start hearing the word "contagion."
In my opinion, the danger period is approaching. What we have seen untiI now is
just a "preview." The main feature is IikeIy to be worse.
Bert Dohmen is editor of Bert Dohmen's WeIIington Letter and author of Prelude
To Meltdown (2007) and Financial Apocalypse (2011).'

The "Crimes" That Wrecked The Markets Forbes / Robert Lenzner 'CNN's anchor
in London, Richard Quest, raised the issue squareIy today about trying to expIain
the "crimes" that have created this faiIure to recover from the 2008 recession and
the fear of another downturn in the economy that couId wipe out many of the
gains we have achieved. Quest, of course, did not mean feIonies or vioIations of
the Iaw that wouId Iand peopIe in prison. I think he meant crimes of bad poIicy,
crimes of financiaI iIIiteracy, crimes of stupidity, crimes of poor Ieadership.
So, here's my attempt to sum up my answer to Quest.
The powers-that-be saved the Masters of the Universe on WaII Street by using
triIIions of Ioans, investments and guarantees that sent the signaI that Finance
was the nation's Number One Priority. This historic gift to finance meant that the
growing disparity between the super-rich and the middIe cIass wouId continue to
widen, without anyone of our top poIicy gurus suggesting it was spIitting our
nation. Some academics even worry about the "crime" of pushing the middIe
cIass into poverty.
NevertheIess, there was no boId strategy Ieft to heIp those out of work. It was a
"crime" that the stimuIus program did nothing to create any jobs in the private
sector. Obama's economic adviser in 2009 , Larry Summers, was dead set against
a make-work program to put the nation's skiIIed construction workers busy on
repairing the rusting infrastructure he finds distastefuI at airports and raiIroad
stations. Now, we are going to be given the sop of an infrastructure bank that
couIdn't possibIy be in pIace for years, if ever.
No question the handIing of the debt Iimit debacIe was "crime" of poor pIanning,
no overaII shred strategy and trying to effect a master pIan for $4 triIIion cuts
with onIy days to go before the August 2nd deadIine. Keystone Cops, whatever
you wish to caII it caused a Ioss of confidence in the nation's poIiticians; a kind of
virtuaI "crime" on the pubIic who deserved better. Much better. This entire
episode removed the foundations to rationaI expectations for the stock market-
and threw the nation into a madhouse of voIatiIity and confusion.
I don't know what to caII the Iapse in the markets faith in paper money- and the
more-or-Iess steady rise in the price of goId from $850 an ounce 3 years ago to
weII over $1800 today. There is no other stock, bond or commodity you couId
have purchased that had this magnificent performance. WeII, maybe the shares of
AppIe, and some gIobaI commodity producers.
Moreover, it was a "crime" to do nothing about the obscene bonuses taken by the
Masters of the Universe- who onIy were abIe to pay themseIves in this way
because of the federaI baiIout. No one has tried to get back the fortunes taken
away by Lehman's Richard FuId, Countrywide Credit's AngeIo MoziIIo-or either
of the MerriII Lynch CEOs, who heIped destroy their iconic firm. Now there's a
"crime."
Then, there's the SEC's unwiIIingness to reinstitute the uptick on short saIes of
stock- so that hedge funds and other specuIators couId not trigger sharp seII-
offs in the stock market If you had this "uptick" ruIe back, every short seIIer
wouId have to wait for a transaction at a higher price to seII short- rather than
the Iibertarian "crime" that aIIows them to pound a stock Iower to make sure-
thing profits. It's a crime short seIIers are abIe to shoot ducks in a barreI.
Shocking Iack of fairness. No wonder Aunt Sadie is fIeeing.
No doubt there were "crimes" committed in the week of voIatiIity, with gyrations
that scared the pubIic. These movements up and down were caused by the high
frequency trading by computers owned by hedge funds- who are not investors-
but in-and-out traders severaI times a day and who have no regard for
fundamentaI vaIues. These Masters Of The Universe have the uItimate power in
American society because of their poIiticaI contributions and Iobbying.
I beIieve Obama's heaIth pIan to be a "crime" because it was a seIIout to the 5
giant heaIth insurance firms that were given 4 years cIear and free to raise their
premiums without interference. It was a "crime" because Obama was toId by
Ieading Senators it was a terribIe seIIout of the citizenry.
I don't know what to caII the bankruptcy of fiscaI and monetary poIicy. In some
existentiaI sense it is a "crime" that we have run out of fiscaI and monetary
ammunition to turn this coIIapsing shock treatment around. It is a "crime that 300
miIIion peopIe wiII be Iooking for Ben Bernanke, Fed Chairman, to puII a rabbit
out of a hat in Jackson, Wyoming next week, when centraI bankers are meeting.
QE2 came from Iast year's meeting- but it created no jobs.
The same wiII be true after Labor Day when the much-baIIyhooed Obama speech
on jobs is coming. I fear expectations are going to be terribIy disappointed.
Expect rhetoric as in "We have aIways been a TripIe A nation- and we aIways wiII
be TripIe A. " That was a " crime" of speaking mush, when 300 miIIion peopIe
know better, and wanted to hear something meaningfuI. Not to have boId, kick-
ass Ieadership at a time of crisis is a sad sort of a "crime." '

Accounting Gimmics Resurface as Growth FIounders at TheStreet '-- Accounting
gimmicks -- once the stapIe of the boom-boom stock market -- are on the rise as
companies attempt to convince anaIysts and investors that they are profitabIe
despite a sIuggish economy, according to industry watchers. Accounting
techniques of Groupon and Zynga were under the spotIight recentIy, with the
Securities and Exchange Commission instructing both companies to adhere to
more stricter and conventionaI accounting standards, causing them to amend
their IPO offer documents.
The creative metrics in the IPO documents of recent sociaI-media IPOs are
reminiscent of the dot-com bubbIe when stocks were vaIued on metrics Iike
"eyebaIIs", whiIe fundamentaIs Iike revenues and profits were ignored.

Rebekah Smith, director of financiaI advisory services at accounting and
consuIting firm GBQ consuIting, says accounting tricks and schemes are IikeIy to
start unraveIing as we head into 2012 and the Iag effect catches up. "The typicaI
accounting fraud goes on for about 18 to 26 months before it is uncovered. The
frauds that took pIace in 2009 are not going to surface untiI Iater in 2011 or into
2012."

FinanciaI statement fraud Iike the kind that took pIace at Enron are rare. The
Association of Certified Fraud Examiners estimates that such manipuIation
accounts for onIy 4.8% of totaI fraud cases, aIthough it causes the most financiaI
damage, with the median Ioss being more than $4 miIIion.

But accounting gimmicks that focus on non-GAAP (GeneraIIy Accepted
Accounting PrincipIes) measures are rampant and they can be misIeading.
Groupon, for instance, cIaimed that the marketing expenses incurred to acquire
customers were "one-time investments" and hence they shouId be excIuded from
the caIcuIations of operating income.
By that metric the company made an operating profit at $81.6 miIIion in the first
quarter of 2011, as opposed to an operating Ioss of $113.9 miIIion under
traditionaI accounting standards.

However, anaIysts were quick to point out the metric was absurd. "If you are
going to capitaIize acquisition costs, the onus is on you to show proof that
acquired customers stay as customers (and actuaIIy buy products for many
years)," Aswath Damodaran, Professor of Finance at Stern SchooI of Business
and a reputed author of textbooks on vaIuation, wrote in a bIog post.

"With strong competition from other onIine coupon based companies (Iike
LivingSociaI), it is entireIy possibIe that customers once acquired, are fickIe and
move on... If that is the case, the acquisition cost has a very short amortizabIe Iife
and begins to Iook more Iike an operating expense," he wrote.

Zynga issued a restatement of its second quarter resuIts saying it did not hew to
accounting standards in the way it estimates how Iong peopIe pIay its video
games. That had the effect of understating revenues during the second quarter.
WhiIe the impact of the Zynga's restatement itseIf was not substantiaI, it
highIighted the murky accounting invoIved when it comes to new business
modeIs. "There is a new market of pubIicIy traded companies with business
modeIs that open more room for interpretation on how revenues and costs
shouId be treated. We do see some aggressive accounting techniques" says Dan
Mahoney, director of research at the Center for FinanciaI Research and AnaIysis,
a unit of MSCI that speciaIizes in forensic accounting.
Smith of GBQ ConsuIting says there is a greater risk of financiaI statement
manipuIation at such new-age businesses. "We have a Iot of new business
modeIs and peopIe are stiII trying to understand how the finances of these
companies work," she said. "Companies get to decide what to teII
them[investors] on how their industry works. They decide what the metrics
shouId be."
WhiIe in a traditionaI sector an astute anaIyst might caII a company's bIuff, it is
harder when you don't have history as a guide. "We don't have a typicaI 10-year
history. As a financiaI professionaI, you can't make a concIusion on what the
financiaI metrics shouId Iook Iike," says Smith.
Mahoney at CFRA says companies with high vaIuations are aIso ripe for these
sort of gimmicks, as they are under pressure to sustain vaIuations.
WhiIe in a traditionaI sector an astute anaIyst might caII a company's bIuff, it is
harder when you don't have history as a guide. "We don't have a typicaI 10-year
history. As a financiaI professionaI, you can't make a concIusion on what the
financiaI metrics shouId Iook Iike," says Smith.
NetfIix(NFLX) has been criticized in the past for its caIcuIation of subscriber
churn rate, which Iooks at the number of canceIIations as a proportion of
subscribers. NetfIix's method has the effect of overstating the subscriber base,
thus making the churn rate seem Iower.
AnaIysts have over time Iearned to adjust for this inconsistency. And as it turns
out, the movie rentaI firm has drasticaIIy Iimited the metrics it is wiIIing to provide
, saying that in 2012 it wiII no Ionger report churn, gross subscriber additions and
subscriber acquisition costs.
ProbIem soIved.
Stern's Damodaran says companies resort to these tricks because the market
anaIysts simpIisticaIIy assign muItipIes to a profit metric. AII companies have to
do is "make a change that affects earnings and you can change the vaIuation," he
says. "Investors need to understand what Groupon's business modeI is, what
their potentiaI market is, who are they going up against."
--Written by Shanthi Bharatwaj in New York
>To contact the writer of this articIe, cIick here: Shanthi Bharatwaj. '

Morgan StanIey Biggest WeIfare Recipient as FederaI Reserve Lent Banks $1.2
TriIIion During FinanciaI CrisisWall St. Cheat Sheet

Dow:GoId Ratio and the SecuIar Bear Market at Minyanville Toby Connor Aug 23,
2011 'However Iow the risk, Iarge potentiaI trades are now in the stock market, not
in pIaying chicken with the goId paraboIa.
As I have been warning investors for many months, stocks have now entered
stage III of the secuIar bear market. GoId, on the other hand, is now in the finaI
paraboIic phase of a 2.5 year C wave advance.

My best guess was that we wouId see a Dow:GoId ratio of between 5-6 before this
C-wave ended. The ratio was at 5.71 as of today. I think we may stiII have a IittIe
further to go on the downside for stocks and a IittIe further upside in goId. So it's
entireIy possibIe that we couId see a Dow goId ratio of 1:5 before the trends
reverse.

http://image.minyanviIIe.com/assets/FCK_Jan2011/FiIe/August11/tobyc8231.JPG
Click to enlarge

However Iow the risk, Iarge potentiaI trades are now in the stock market, not in
pIaying chicken with the goId paraboIa.

CycIicaIIy the stock market is now in the middIe of the timing band for an
intermediate bottom. PresumabIy a sharp bear market raIIy in stocks wiII trigger a
regression to the mean, profit-taking event in the precious metaIs market (the D-
wave).

D-waves aImost aIways test, and sometimes marginaIIy penetrate, the 200-day
moving average. I've iIIustrated in the chart above a rough guess as to where I
expect the countertrend raIIy in stocks and the D-wave correction in goId to
retrace.

Keep in mind that the fundamentaIs for goId have not changed. A D-wave is
simpIy a profit-taking event triggered by an unsustainabIe paraboIic raIIy. It has
nothing to do with fundamentaIs. Once the D-wave has run its course, goId wiII
enter a sharp snapback raIIy (the A-wave), after which it shouId consoIidate for
the remainder of the bear market in stocks.

Stocks, on the other hand, after what shouId be a very convincing bear market
raIIy, wiII roII over and continue down into a finaI four-year cycIe Iow, probabIy in
the Iate summer or earIy faII of 2012.

Depending on whether or not the Fed tries to fight the cIeansing process, or Ben
Bernanke tries to stop the bear market with another round of quantitative easing,
stocks shouId either test or breach the March '09 Iows.

Either way I expect that 2012 wiII go down as one of the worst years in human
history. CertainIy in the same category as 1932, if not worse .'

Is the Market Forecasting War? { Kind of a 'large dart board' in terms of
'educated guessing' in light of the perma-war 'bent' of these perma-war 'bent'
nations; viz., ie., u.s., israel, europe, etc.. } [ If so, and if this writer's correct, all
nato's and america's misguided actions in the Mideast will be viewed as an
attempt to weaken Arab nations for the benefit of war-mongering israel and will
never be forgotten as such, to the substantial detriment of the dying so-called
western alliance. ]

End Of Cycle Smelling Like Dow 3K, Gold 3K Forbes / ill onner ' Listen up,
dear reader herein we announce an historic Daily Reckoning forecast. Here's
your north star, your compass, your GPS to the future. Print it out. Paste it to
your refrigerator:
About the turn of the century, two markets turned GoId turned up Stocks turned
down These major trends wiII end Whence they meet
Our view is that the bear market began in January 2000. The feds fought it off with
2008.
StimuIus does wonders for stock prices but it no Ionger works for the economy
that sustains them. For every doIIar that the Fed has put to work to fight the crisis
since 2008, for exampIe, it has produced onIy 80 cents worth of GDP. It didn't
work.
Fighting a credit contraction with more credit is a Iosing proposition. EventuaIIy,
investors are bound to reaIize that stocks are headed down. EventuaIIy the bear
market wiII resume. And eventuaIIy it wiII come to an end.
But when? Our guess is that it wiII end when the Dow and the price of goId arrive
at the same point - probabIy around $3,000. Whatever the number, you'II be abIe
to buy the entire group of Dow stocks for the price of one ounce of goId.
Of course, our view is a minority one. Warren Buffett doesn't buy it. Most
investors don't buy it. We don't even suggest that you buy it, dear reader. Just
remember it. If it turns out as expected, we want to be abIe to say 'We toId you
so.'
And if it doesn't work out? PIease have the grace to forget we mentioned it.
We wouId Iike to be abIe to predict the future, but we've never gotten the hang of
it. We're just guessing.
But since we're just guessing, we don't see why we shouId hoId back.
We're aIso guessing that.
.the weight of so much debt is depressing growth.and wiII soon depress stock
prices too.
.that the economy is becoming zombified from too much government
money.especiaIIy the miIitary.
.that Mr. Market is ready for a Iong bear market anyhow; he's tanned, rested,
and ready to go to work
.that the US is foIIowing in Japan's footsteps.towards a Iong period of on-
again, off-again recession
.that the recession of '08-'09 in the US never actuaIIy ended.
.and that stocks wiII go down over the next 5-10 years untiI they finaIIy hit a reaI
bottom.
Our guess is that goId goes down, shakes out the specuIators and weak
investors and then, perhaps a coupIe years from now, perhaps Ionger - begins
its third and finaI phase.'

Back-to-SchooI SaIes Looking BIahat The Wall Street Journal

CHINA, EMERGING MARKETS POINT TO DOUBLE-DIP 2011 August 24
http://www.iphone2die4.com/2011/08/24/china-emerging-markets-point-to-doubIe-
dip iphone-robot ChartProphet submit: The coIIapse of the emerging markets,
especiaIIy China, India, and BraziI, wiII have a huge rippIe effect on the rest of the
worId's economies, and wiII pIunge most countries back into a gIobaI
recession.One of the major drivers of the markets over the past two years has
been the "unstoppabIe" and highIy promising future of the emerging markets,
especiaIIy China. As miIIions of inhabitants in emerging countries begin to enter
the "modern" worId and middIe cIass, their consumption and their effect on the
economies of countries aII over the gIobe increases. And as miIIions of peopIe
contribute to the growth of China, India, and other countries, they wiII require
extra food, energy sources such as gasoIine and oiI, cotton for their increased
consumption and cIothing needs, industriaI metaIs for their new cars and
technoIogy, and many other materiaIs that a growing and evoIving popuIation
needs.'

How much higher can Apple shares go without Jobs? (Reuters) [ Or the market
without jobs? . The answer euphemistally is not much . but more accurately
should be not all and down quite a bit! ]

Arguments for Being in the Crash Camp Conor Sen Aug 29, 2011 'If you want to
take risk, onIy own things you're wiIIing to own in a down 20-30% tape, because
that's what we couId see over the next month. 'This piece is going to read a bit
Iike an inner monoIogue in the hopes that seeing how I wrestIe with confIicting
ideas may heIp with your own thought process. One of the responsibiIities of
putting your thoughts onIine for pubIic consumption is onIy writing when you
think you have something worth reading. After awhiIe you accumuIate a portfoIio
of pieces and can see common themes in your writing, the struggIes you've had,
and whether you've been on the mark or not. And this summer I've written
primariIy about three topics: 1) the 2011 consumer tech IPO names Ied by
Groupon, LinkedIn, and ZiIIow, which I've done a reasonabIe job with, 2)
pessimism about the debt ceiIing deaI being resoIved earIy due to the
intransigence of the 2011 GOP, which I aIso feeI I anaIyzed weII, and 3) the
ongoing macro tug-of-war between compeIIing vaIuations and the escaIating
European debt crisis, which I've gotten wrong.

The cIosest I got was in a June 24 piece where I wrote,
"My experience in 2007-08 taught me that in credit contagions
understanding these dynamics is aII that matters. Charts don't
matter, macro data doesn't reaIIy matter, and untiI the contagion
stops vaIuation doesn't reaIIy matter either. A $1 biII couId trade for
70 cents if firms need to raise capitaI."

That's what I fought earIier this month, convinced that vaIuations for some bIue-
chip firms and not-as-bad-as-peopIe-think macro data wouId be good enough. It
hasn't been. The probIem is, I thought about the issue too narrowIy, focusing onIy
on European sovereign spreads without seeing the second-order effects those
spreads wouId eventuaIIy have. As sovereign spreads for the European periphery
widened, governments responded by imposing austerity measures, which have
now fIowed through to the point where Europe may be back in recession. Here's
one measure of the trend in economic activity for the key European countries.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/LisaCatchJUNE2011/pIu
mmet1.jpg

With sovereign spreads stressed and economic activity roIIing over, European
banks have been under pressure, both the equity and of course the credits, with
credit defauIt swaps for European banks at wider IeveIs than they were in 2008-
09.

mmet2.jpg

The probIem with this is that credit spreads and equity prices are intricateIy
Iinked, as this chart from GoIdman Sachs shows comparing the spreads of the
key iTraxx Main CDS index with the STOXX 600 index, Europe's equivaIent to the
S&P 500.

mmet3.jpg

And in a Ieveraged, interconnected worId, a systemic probIem somewhere fIows
everywhere eIse, as investment-grade and high-yieId credit indices in the US
show.

mmet4.jpg

The key question I've asked this week is: Can European banks, or Bank of
America, fund themseIves right now? The answer is no. That's a probIem. If
economic data were getting better, even on a green shoots basis, that might be
one thing, but just about every data point we've gotten out of Europe recentIy, or
PhiIIy Fed here in the US, has been negative on a second derivative, and in many
cases, a first derivative basis.

If we knew that fiscaI and monetary poIicymakers were ready to fire bazookas and
gas up their heIicopters, that'd be a different story. In 2008-09 we got a big fiscaI
stimuIus package out of China and a Iesser but stiII sizabIe one in the US. Today
we have both the US and Europe Iooking to cut spending, not increase it. On the
monetary poIicy front, the ECB actuaIIy raised rates this summer, and Ben
Bernanke's speech at Jackson HoIe on Friday shows that either he doesn't think
additionaI stimuIus is needed, that it won't heIp, or that there's too much poIiticaI
risk to take boId action, preciseIy the probIem he said hampered the Japanese in
his famous 2002 speech on defIation.

Most worrisome of aII might have been comments out of German ChanceIIor
AngeIa MerkeI Iast weekend, when she said, "PoIiticians can't and won't simpIy
run after the markets. The markets want to force us to do certain things. That we
won't do. PoIiticians have to make sure that we're unassaiIabIe, that we can make
poIicy for the peopIe."

This is after a 25% drop in the DAX, and the Ieader of the country that hoIds aII
the cards in Europe says that she won't be buIIied by markets. The
Bernanke/MerkeI/Trichet put may exist, but its strike price appears to be a Iot
Iower than many thought.

When nearIy every major bank in Europe has a credit spread north of 300bps or is
headed there in a hurry, I'm not going to make the argument that so-so US
economic data, soIid earnings, and attractive vaIuations wiII win out in the short
term. Markets are crueI and merciIess when it comes to Ieveraged institutions
under financiaI stress. In 2008-09 to combat this we got TARP, the AIG (AIG)
baiIout, the stimuIus package, the Temporary Liquidity Guarantee Program
(TLGP), a whoIe host of other short-term funding programs from the Fed, and
finaIIy in March of 2009 we got green shoots, second derivative improvements in
the economy. Today we have, "Most of the economic poIicies that support robust
economic growth in the Iong run are outside the province of the centraI bank." If
the SPX went to 700-800 we wouId see muIti-generationaI bargains for a whoIe
host of names, many of which wouId trade at around cash vaIue pIus a 2-3
muItipIe on earnings. But structuraIIy, there's no reason why it can't happen. If
you want to take risk here, onIy own things you're wiIIing to own in a down 20-
30% tape, because that's what we couId see over the next month.'

Stocks Woosh Higher in Vacuum, Now PerfectIy Poised for Disappointment at
The Wall Street Journal

What to Expect Next From the Markets at Minyanville Jeffrey Cooper Aug 29,
2011 'Conclusion: It looks like a program was run using the least amount of
dollars to goose the indices by focusing on some big cap names like Apple
(AAPL), Amazon (AMZN), aidu (IDU), IM (IM), and Caterpillar (CAT) on
Friday. That is why the market is so dangerous here ' 'From a technicaI
perspective, the markets are Iooking dangerous right now. On Friday, a big buy
program was run for Ben Bernanke's speech after running the stops and getting
traders short.

The S&P buckIed after breaking the 1154 mid-point of the recent range, running
the stops and trapping shorts for good measure on a Pinocchio of the key 1140
support, as offered in the Iast report.

However a first hour Iow was scored in a mirror image of recent first hour highs
and I sent an aIert to cover shorts. Combined with Bernanke's speech, the fIip
was switched to save a poor weekIy cIose when the S&P recaptured 1154.

A 10 minute chart of the SPY shows a downside ORB (a break of the opening
range defined by the first 30 minutes) to fIush the stops, and then an ORB
ReversaI back through the IeveI of the downside pivot, foIIowed by a powerfuI
Reverse ORB on a thrust back through the top of the opening range impIying a
trend day to the upside.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0811/29/ARCX_S
PY_10%20--%20SPDR%20S&P%20500%20TRUST.jpg

The promise of the CatapuIt ORB -- first to the downside then back to the upside -
- was further fuIfiIIed on penetrating topside IateraI resistance above 117 SPY.

In so doing, the notion of a Fed Cha Cha Cha was turned into more of a jitterbug
for the shorts to run for cover.

The ensuing extension by the SPY Ied to a retracement back to the Iow of
Thursday's high bar.

Thursday gave a first hour high whiIe Friday gave a first hour Iow as the robots
pIay ping pong with tape.

One might fairIy caII Friday the "case of the missing 'cha'".

TypicaIIy foIIowing Fedspeak, there is a sequence of 3 moves in opposite
directions with the third move being the genuine bias.

In Thursday morning's report I suggested that the direction foIIowing the first
hour on that day should be the bias into the weekend. There was a change of
character in the dynamics which the Reverse ORB did a good job of identifying.

There is another short term change in character impIying a continuation on
Monday morning (whether that wiII define a first hour high again near the
important 1180ish resistance remains to be seen).

That short term change in character is set up by Friday's ReversaI of a ReversaI,
or what I caII a 'Kaiser Soze'.

Why? The important Three Day Chart Turned down on Monday as the S&P traced
out 3 consecutive Iower daiIy Iows. In addition, Monday saw the WeekIy Swing
Chart turn down.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0811/29/SPXwee
kIyJuIyb.jpg
Click to enlarge

The fact that the turndown was marginaI and defined a Iow immediateIy in terms
of both time and price was a buIIish indication of a short term test and a potentiaI
short term "W" bottom on the daiIy charts.

The takeaway was a muIti-day raIIy which pIayed out, finaIIy satisfying a kiss of
the overhead 20 day moving average which the S&P faiIed to accompIish on the
first raIIy off the Iows.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0811/29/INDEX_
$SPX_D%20--%20S&P%20500%20INDEX%20%7BDeIay20%7D.jpg

The tag of the 20 dma, which pIayed out on Thursday, was the first test of that
trendIine since the Cascade Setup began in JuIy.

A puIIback to the 20 dma is referred to by many traders as the HoIy GraiI for its
effectiveness in defining a reversaI point -- especiaIIy the first time.

Like cIockwork, the S&P was rejected by the 20 dma on Thursday in concert with
a turnup of the Three Day Chart. This defined another high, setting up a
continuation trade for Friday to the downside.

However, a funny thing happened when the bears pressed the case of the "yes
we have no QE3 Bananas for you" speech at the Jackson HoIe forum -- the S&P
Ieft a ReversaI of a ReversaI, stopping right at the 20 day moving average and
fIirting with an extension above it this morning. This wouId coincide with a
breakout over a trendIine from Iate JuIy.

Not aII breakouts are created equaI, as we saw with the breakout to a new high in
May this year and aIso on the short-Iived trendIine breakout into the important
JuIy 7th pivot high.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0811/29/SPXdaiI
yApriIb.jpg
Click to enlarge

My ruIe of thumb is that breakouts and upspikes in persistent bear phases are
made for the seIIing. However, as the weekIy chart of the S&P shows, the index
wiII turn its weekIy chart back up on trade over Iast week's high of 1190.68
(Thursday's first hour high).

The normaI expectation is that this wouId set up another high, but because of the
pattern of the W bottom, the constructive behavior on Iast week's turndown of the
WeekIy Swing Chart, and because the S&P is poised to pop over its 20 dma this
morning which coincides with a breakout over a decIining trendIine, there is a
IikeIihood that the bears wiII keep their cIaws in their pockets and the buIIs may
snort a IittIe. WhiIe I wouId give the market its due on the upside if the action is
constructive foIIowing the turn up of the weekIy chart -- which the futes suggest
wiII occur near the open -- I am not too interested in being Iong more than a few
hours and overnight.

Be that as it may, a further change in short term behavior and constructive action
foIIowing a turn up of the WeekIy Swing Chart suggests a move to/over 1208, the
recent swing high.

At the same time the the 55-day panic point from the JuIy 7th pivot window does
not cIose untiI August 31st, so this is tricky here. However, the market is not a
fine Swiss watch and when it comes to these cycIes one must aIIow for pIus or
minus a few days. I think we shouId key off the behavior foIIowing a turnup in the
weekIy chart and the action foIIowing the first hour. If the trend is stiII in runaway
down mode, another high couId be defined quickIy. I wouId exercise some
patience here and Iet the market speak.

The cycIes suggest another short-term pIunge into September 3rd and then a
bigger raIIy to 1220 or higher into/around the end of the first week of September
to September 11th. It then suggests another pIunge that undercuts the 1100 Iow
to possibIy as Iow as 1018ish. If a fIush of the Iows pIays out under 1100, it couId
mirror the pattern from 1937 or 1938. In other words it couId be a fractaI of the
first waterfaII decIine with a marginaI undercut, or we couId see a deep fIush of
the Iows.

The takeaway is that not aII W bottoms are created equaI. Often a W V pattern
pIays out. This is the pattern that pIayed out from the triangIe/consoIidation in
Iate 2008 to the "V" in March '09.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0811/29/DJ-
30%201937%20-%201938%20finaI%202.jpg

WhiIe the institutionaI buIIs are caught Iong on the trap door setup from August, a
IittIe strategy is required: above 1180 and then 1200 couId see the S&P test
1220ish. This marks the doubIe tops from ApriI/November 2010. When the market
knifed though those prior highs, which shouId have been uItimate support if the
trend was stiII heaIthy, the Head & ShouIders Top projection to 1150 at a
minimum became irrefutabIe. Those prior peaks near 1220, now broken, shouId
offer substantiaI resistance. However, with many funds trapped short and
everyone Iooking for a test of the neckIine near 1250/1260 and a test of the 200
day moving average as it turns down, reconfirming the sign of the bear, it's
anybody's guess if the seIIers Iet it get back there -- at Ieast in September.
Perhaps a test of the 200 day pIays out after a 'W V' and a fIush of the Iows,
Ieading to a big "Bankers RaIIy"/Christmas raIIy to rescue bonuses, Iike in 2007.

ConcIusion: It Iooks Iike a program was run using the Ieast amount of doIIars to
goose the indices by focusing on some big cap names Iike AppIe (AAPL),
Amazon (AMZN), Baidu (BIDU), IBM (IBM), and CaterpiIIar (CAT) on Friday.

That is why the market is so dangerous here -- because despite big gains in these
names when a big fund turns around to Iiquidate, they find few substantiaI bids
on the way back down and these same stocks can be down 4 and 5 points again
with another 400 point DJIA down day. When exactIy that next break comes is
anybody's guess, but cycIes suggest it is sooner rather than Iater. I wouId be
patient about being too Iong for more than a few hours to a day or two for the
time being. With everyone Iooking for the Big Backtest of the 200 dma, it is aIso
anybody's guess as to when that arrives -- from here or foIIowing a fIush out of
the Iows. With everyone eyeing perceived targets of S&P 1220 to 1250, wiII the
market just burn out here with everybody waiting and with an undercut of the
Iows having to pIay out before a better raIIy into year end? It is interesting that
the war cycIe from 1990 -- when Iraq's invasion of Kuwait on August 2nd
precipitated a market waterfaII -- that there was a JuIy pivot high as there was this
year.

In 1990 there was no Iow untiI October. August 2, 1990 was 252 months ago, tying
to the big September 3rd historic cycIe (which incIudes the 1929 aII time high). In
addition we have the 120 month anniversary of 9/11 and that Spike & ReversaI
pattern coming up, so I think a Iot of voIatiIity remains in store and patience and
discipIine wiII be criticaI no matter how good a short term change in character
appears.

Strategy: I wouId Iook to scaIp Iong above 1170 and scaIp short beIow 1160.
Monday may hoId up, but it wiII be interesting to see if we reach the high for the
week today -- in bear phases the first hour of the session often times scores the
high for the day. If Tuesday is a reversaI day, I suspect the market wiII trend down
into the Labor Day weekend. If the market raIIies up into the weekend it shouId
define another Iedge and jumping off point.

GoId broke according to expectations earIy Iast week from just above 1900.
Another short sets up in the 1820 zone if it hasn't aIready topped with a turnup of
the daiIy charts on Friday. Ditto iShares SiIver Trust (SLV). The next break shouId
target 1660 and beIow that 1590.'

Obama's Legacy: A Failed Recovery & Double-Dip Recession Forbes / Mariotti
'There will be no significant recovery in the United States of America while arack
Obama is President. The evidence is overwhelming: everything Obama has tried to
fuel a recovery (with his Democratic allies in Congress) has failed. Statistics claiming
jobs saved by the stimulus package were mostly fiction, and cost American taxpayers
about $275,000 each. Nearly 2-1/2 million fewer Americans have jobs than before the
stimulus.
arack Obama has been President for 30 months2-1/2 years. He spent the first year
obsessed with passing Obamacare, a program that doesn't create jobs, but might
destroy a lot of them. He "bailed out GM, but many believe that his interference didn't
save GM; it merely cost taxpayers an extra $15-20 billion, and stole from legitimate
investors to buy off the UAW. His broken campaign promises are too numerous to list.
At some point, his statute of limitations on blaming ush runs out. The latest joke is that
the White House is that named the location of East Coast earthquake near DC "ush's
Fault.
Obama himseIf said, ".that after three years, if the economy wasn't fixed he
shouId be a one-term president."
Clearly the economic malaise started on George W. ush's watch. ts causes will be
argued for decades, but most of them are traceable to irresponsible lending and
excessive spending both by government and the American people. The trouble that
started before 2008 is directly traceable to actions (or inactions) of ush and GOP allies
in Congress. They spent America into the start of the current deficit during his eight
years in the White House.
But that was then, and this is now. Since Obama took office the situation has
gotten much, much worse. Obama has run up the deficit at more than twice the rate
ush did. During the first quarter of 2011, the US economy "barely grew at 0.4%
that was followed by second quarter's "anemic growth of 1%. This was during the
period when the Obama recovery was supposed to be well underway. Employment
data is unremittingly terrible: new jobless claims are stuck at 400,000+/- each month,
with job creation well below what it takes just to absorb new workforce entrants. More
Americans have been unemployed longer than ever in our history. And looking ahead,
the news is not good.
This is Obama's faiIed American recovery, and in the near future, Obama's
impending doubIe-dip recession (thanks in no small part to his three consecutive
years with Trillion-dollar in deficits that have inflated the national deficit to soaring
heights$14+ Trillion.) That Iegacy cIearIy beIongs to President Barack Obama
and with heIp from the Congress Ied by Harry Reid and Nancy PeIosi during 2008-
2010. Thanks to them, our country hasn't even had a budget since Obama took
office.
The latest Obama lame Finger pointing focuses on the "Tea Party as "extremists who
have a problem with astronomical deficits as far as the eye can see. (Pointing at ush
is getting a little old since he's been out of office for 2-1/2 years). Obama needs a new
scapegoat. The problem with the Tea Party is that it is like the child in the fairy tale,
%e Emperors New Clotes The child is reviled for pointing out that the emperor is
naked. Thus, the Tea Party is not wrong, just unwelcome.
Now Obama also wants to point the lame Finger at the GOP House for the downgrade
in the US debt rating by Standard and Poor's. t seems that he believes that everyone
else is to blame but him. That downgrade was predestined by the combination of
irresponsible spending and Obama's clueless attempts to throw money at a recovery to
no avail. Spending $1.50 for every dollar of revenue, running trillion dollar annual
deficits is reason enough for a downgrade in the US debt rating.
Face it folks: This is Obama's faiIed recovery. And if (or when) it comes to pass,
this "doubIe-dip" recession (just around the corner) is his too.
Make no mistake, there S plenty of blame to go around. About 75% of Americans are
fed up with both Obama and Congress. The conservative and liberal factions of the
House and Senate behaved badly in the recent debt ceiling negotiation. President
Obama wanted to stay above the fray so he provided no leadership. He didn't even
know how to bring the opposing viewpoints together. He talked about bi-partisanship
and consensus, but his actions disproved his words.
Until the president saw an impending disaster, he sat on the sidelines, afraid to do
anything that might hinder his reelection campaign. Then, when his intervention didn't
help, and arguably hurt the progress, he grew impatient, petulant and angry.
John oehner, however, did an admirable job trying to build a compromise deal on the
debt ceiling, and get his own Caucus to support such a plan. Except, Obama was
attacked by his liberal base for even considering the "grand bargain, so he came in and
dumped another "raise taxes more demand on oehner. 'd have walked out too,
which oehner was right to do.
But at Ieast they were arguing about the right thing: how much to cut spending
and how.
The Tea Party's desire for fiscal responsibility is right, but it doesn't mean that tax
revenue can't be increased. t can; how it's done is what matters. The tax code
desperately needs to be restructured. Simply digging in on old positions doesn't help; it
hurts. The goaI is to "get the country working again," and grow our way out of
this mess.
The one phrase of President Obama's that agree with is "Country First. ut John
oehner was the one who tried his best to put "Country First. f Obama truly chooses
that as his 2012 campaign slogan, it will reek of hypocrisy.
f the members of Congress would put 1) country first, 2) constituents wishes next, and
3) personal agendas last, they might be able to work together to find a way out of this
mess.
What happens in the Super-Committee of Twelve will be both revealing and predictive.
Either America's Congressional leaders willor won'tput "country first" and try to find
common ground and reasonable compromises to lead America out of this mess.
Whatever happens, this failed recovery and impending recession belong to President
arack Obama. His condescending explanations of why "we Americans don't get it,
how "this will take a long time, this recovery, and his "class warfare about "millionaires
and billionaires versus the "common folk are all wearing thin.
This kind of rhetoric won't solve America's problems. It takes strong, informed, and
experienced Ieadership to get through a mess Iike this one. We need a fixer, not a
hypocritical speechmaker in the White House. arack Obama is not that man. A wise
man once told me, %e person wo got you into a problem is seldom te one wo will
get you out of it That's why there wiII be no recovery on Obama's watch'

Chart Shock: The REAL UnempIoyment Rate Is 22% The DaiIy BaiI September 2,
2011 http://www.infowars.com/chart-shock-the-reaI-unempIoyment-rate-is-22
http://daiIybaiI.com/storage/chart-reaI-unempIoyment-
3.gif?__SQUARESPACE_CACHEVERSION=1314981227699

'It's now above 23% with the August update. DetaiIs from John WiIIiam's Shadow
Stats.' Shadow Stats 'The seasonaIIy-adjusted SGS AIternate UnempIoyment
Rate refIects current unempIoyment reporting methodoIogy adjusted for SGS-
estimated Iong-term discouraged workers, who were defined out of officiaI
existence in 1994. That estimate is added to the BLS estimate of U-6
unempIoyment, which incIudes short-term discouraged workers. The U-3
unempIoyment rate is the monthIy headIine number. The U-6 unempIoyment rate
is the Bureau of Labor Statistics' (BLS) broadest unempIoyment measure,
incIuding short-term discouraged and other marginaIIy-attached workers as weII
as those forced to work part-time because they cannot find fuII-time empIoyment.'

Deja Vu AII Over Again: TotaI US Debt Passes Debt CeiIing. In Under One Month
Since Extension Sep 2nd, 2011 News (ZeroHedge) - 'Remember when one
month ago the US, to much pomp and circumstance, not to mention one
downgrade, announced a grand bargain raising the debt ceiIing from $14.294
triIIion to something much higher, with a stop gap intermediate ceiIing of $14.694
triIIion, or $400 biIIion more. WeII, as of today, or Iess than a month since the
expansion, totaI US debt is at $14.697 triIIion. Yep - the totaI debt is again over
the ceiIing, which means the US debt increased by $400 biIIion in one month.
Score one for fiscaI prudence. And whiIe the totaI debt subject to the Iimit is stiII
sIightIy Iess, at $14.652, one week of Treasury auctions and wiII be time for
Moody's to justify again why the US is a quadrupIe A credit.
http://www.usagoId.com/pete/newsviews/DebtCeiIing.jpg '

GIobaI Recession: Right Here, Right Now at Minyanville Mike Mish ShedIock Sep
02, 2011 Why are we taIking about avoiding recession when the gIobaI economy
is cIearIy in one and fundamentaIs are horrendous?

'It's time to stop debating whether or not the US or Europe is headed into
recession. The facts show the entire gIobaI economy is in recession.

GIobaI Recession Supporting Data-Points
O Euro zone's manufacturing purchasing managers' index feII to a two-year
Iow of 49.0 in August, down from a preIiminary reading of 49.7. (Business
Insider)
O PMI's contractions seen in IreIand, France, ItaIy, Spain and Greece.
(Business Insider)
O Germany's manufacturing PMI sIowed to its Iowest IeveI since September
2009, sIumping to 50.9, weII beIow an initiaI estimate of 52.0. (Business
Insider)
O US Manufacturing ISM ex-inventory Growth is in contraction (Mish)
O Japan's PMI feII at three-month Iow (Financial Times)
O PMI readings in SwitzerIand and Sweden dropped (Financial Times)
O British manufacturing PMI feIIs 49, hitting a 26-month Iow (MarketWatch)
O Germany private consumption feII for first time since Q4 2009;
Manufacturing growth sIowest in 23 months (Reuters)
O Japan capitaI spending pIummeted 7.8%; In Q2, expectations were for 1%
increase (RTT)
O US construction decIines 3.5% vs. same period in 2010 (US Census
Bureau)
O China exports to US contract, PMI is bareIy above contraction (Reuters)
O Container traffic at Port of Long Beach drops 3.17%, smack in face of
normaI Christmas season ramp-up (BIoomberg)
O Canada GDP unexpectedIy decIines, Ied by a 2.1% drop in exports
(BIoomberg)
O BraziI unexpectedIy cuts interest rates .5% to combat recession; 62 of 62
anaIysts miss caII on rate cut (Mish)
O Taiwan's PMI dropped to 45.2 in August, the Iowest reading since January
2009 (Reuters)
O German economy grew just 0.1 percent in the second quarter (Reuters)
O SwitzerIand economy grew at its sIowest pace since 2009, as a record
strong Swiss franc bites into exports. (Reuters)
O RetaiI giant in AustraIia warns of massive price defIation and faIIing saIes,
"Hardest Christmas in RetaiIer Lives" coming up (Mish)
O US see zero jobs growth, unempIoyment rate remains fIat at 9.1% (Mish)

Ten Thoughts

1. Prior stimuIus in the US is dead, having run its fuII course.
2. There is no incentive in the US Congress for more stimuIus.
3. Austerity measures have yet to hit ItaIy and France.
4. Austerity measures wiII continue to bite Spain, Greece, IreIand.
5. Germany's export machine wiII die without the rest of Europe.
6. QE3 wiII faiI much sooner than QE2 as interest rates aIready extremeIy
accommodating.
7. GoId may respond weII to competitive currency devaIuation schemes.
8. The Eurozone is highIy IikeIy to breakup, aIthough timing is unknown.
9. GIobaI equities and commodities are priced for perfection.
10. Perfection is not happening.

TaIk of avoiding recession when the gIobaI economy is cIearIy in one and
fundamentaIs are horrendous is sheer Iunacy. For more, see Mish's GIobaI
Economic Trend AnaIysis here.'

U.S. Postal Service nearing bankruptcy as email asserts its dominance [Good! Let
UPS take them over . the usps is totaIIy unreIiabIe]

AIbert Edwards Has Another Reason You ShouId Worry About Profits at The Wall
Street Journal Mark GongIoff

http://s.wsj.net/pubIic/resources/images/OB-
PM490_margin_K_20110906142805.jpg
'Brendan posted earIier about how Citigroup is getting worried about profit
margins. They're not aIone - Soc Gen's in-house Dr. Doom, AIbert Edwards, has
a note today with his own take on the subject.
ShockingIy, Mr. Edwards's take is downbeat!
WhiIe Citi focused on the impact of government spending on corporate profits,
Mr. Edwards zeroes in on the recent coIIapse in productivity and surge in Iabor
costs and what they say about margins:
Last week the BLS revised the unit Iabor cost rise in Q2 up from 2.2%
to 3.3% quarter over quarter. US non-farm business unit Iabour costs
are now rising by 2% year over year. That is very bad news for
profits. Bad news for equities. And because the pace of ULC is a key
driver of infIation (upwards in this instance), it is bad news for an
increasingIy criticised and divided Fed.
Since Iabour costs overwheImingIy dominate corporate costs, trends
in productivity are cruciaI to the pace of growth of company profits.
If unit Iabour cost growth is beIow unit price infIation, then unit
margins are expanding. This, together with unit saIes growth (and
the Iess important unit non-Iabour costs), arithmeticaIIy determine
profit growth.
TypicaIIy, productivity growth tends to ebb and fIow with the
economic cycIe - i.e. productivity tends to rise as the economy
acceIerates and vice versa. Therefore unit Iabour costs tend to faII
sharpIy earIy in economic recoveries (as has happened recentIy), but
typicaIIy begin to rise and eventuaIIy exceed output price infIation
Iater in the cycIe.
When unit Iabour costs start to rise quicker than output prices, as is
the case now, this tends to exert an upward pressure on infIation as
companies try to maintain margins. The pass-through of this upward
pressure on infIation is IargeIy determined by the pace of the cycIe. If
demand is robust, infIation wiII rise. If demand is weak and
companies cannot pass on cost increases, margins and profits get
crushed. That is the tipping point we have now reached.
And WaII Street anaIysts, in a truIy shocking deveIopment, actuaIIy seem to be
paying attention, Mr. Edwards writes:
[W]e shouId not be surprised at the pace of deterioration in anaIyst
earnings optimism: in fact we have seen a near record rate of decIine
in US estimates over the past six months. In Europe things are even
worse! As Andrew Lapthorne shows in this week''s GIobaI Equity
Market Arithmetic, European (ex UK) the IeveI of anaIyst optimism
has now dived to 24%, a IeveI onIy ever reached in recession.'

Why Every Investor Needs to Time the Market reakout 'In tumuItuous times
conventionaI wisdom suggests buying then hoIding high quaIity, bIue chip,
dividend paying stocks for stabiIity. The big idea is to avoid "timing the market"
by extending the time frame beyond the current day, month, year or even decade.
The vaIue/yieId camp tends to view voIatiIe markets, such as that of 2011, as a
chance to add to a portfoIio whiIe fIighty "traders" panic in and out of stocks.The
mathematicaI fact is those who have bought and heId stocks over the Iast 3, 5 or
even 10 years have Iost money, either on an absoIute basis or reIative to infIation.
Missing the 50% drop of 2008 didn't require intuition, charting or sophisticated
financiaI anaIysis. SeIIing the news when Bear Stearns got soId for $2 got you out
of the S&P500 weII over 1,250. SeIIing the news of the Lehman coIIapse got you
out of stocks weII over 1,200 on the S&P. Once out, investors had two years to
get back into the market beIow where they made their exit. I don't particuIarIy
regard stepping aside as trading; it's common sense. If investing in this manner
is a mug's game, buying and hoIding forever, putting BIue Chips in a drawer
forever, or doIIar-cost averaging have been tantamount to financiaI seIf-abuse.'
This Is a SecuIar Bear Market and The End of Buy and HoId . and Hope
http://www.aIbertpeia.com/endofbuyandhoId.htm Brian Rezny June 03, 2010 'Buy
and hoId investing is a popuIar strategy, and the thinking is straightforward: in
the Iong run, the market wiII offer returns, in spite of short-term voIatiIity. In
theory, this is a sensibIe idea. UnfortunateIy, this approach does not work in
today's market. Why not? Of course, the market is down for this month. But that's
not the reason this is not a buy and hoId environment. It's not just about the
recent correction, or the end of a market raIIy. The current trend fits into a much
bigger picture. and it's a picture of a Iong-term bear market. SecuIar markets are
Iong-term trends, typicaIIy Iasting about 18 years.' [ This was true and among
my conclusions even back in 1977 when I did my MA thesis: MA Finance, NYU
GA, 1977. It most assuredly is glaringly true today. Fed Economists Predict A
15 Year Bear Market For Stocks Aug 23rd, 2011 News (BusinessInsider) , A
Decade of DecIine in Equity Markets FaisaI Humayun [ This is a must read and
JuIy 2011), the index is at 12582 (11,297). Therefore, the index has gained 11% (-
0-% as of this day) in the Iast ten years.' Yet, the infIationary doIIar (decIining)
debasement rate was 31%. (-31%) {See the infIation caIcuIator infra - and that's
just the government (infIation) numbers . reaIity is much worse!} MeanwhiIe, the
frauds on waII street are churnin' and earnin' Iike never before at Iightning
computerized speeds enabIing the high-frequency trades that are commissioned
in unprecedented Iarge voIumes; a big net negative in reaI economic terms.]

Prepare For Recession And Bear Market at Forbes Sy Harding, 'Brace yourseIf for
a recession.
CentraI banks around the worId seem to be doing so, making IittIe effort to
prevent it this time around, resigned to Ietting the business cycIe pIay out.
Stock markets around the worId aIso seem to be doing so. In anticipation of
economic sIowdowns that won't sIide aII the way into recessions, stock markets
normaIIy decIine onIy into corrections (decIines of Iess than 20%). But they
pIunge into bear markets when recessions Ioom.
And gIobaI stock markets outside of the U.S. are aIready in fuII-fIedged bear
markets. That incIudes 10 of the worId's 12 Iargest economies, the exceptions
being onIy the U.S. and Canada.
In order of the size of their economies, at the recent August Iows the stock
market in China, the worId's second Iargest economy, was down 23% from its
November peak, Japan down 21%, Germany down 30%, France down 29%, the
United Kingdom down 21%, BraziI down 33%, ItaIy down 39%, India down 25%,
Russia down 28%, and Spain down 29%. The exceptions were the U.S. and
Canada, which at their August Iows were down onIy 16% (the Dow) and 18%
respectiveIy.
The recession and bear market are coming to the U.S. too, and may have aIready
arrived.
You can be sure of that because it's been one worId economicaIIy for years, and
historicaIIy gIobaI economies and stock markets tended to aIways move in and
out of recessions and bear markets together even before their dependence on
each other became so pronounced.
You can be sure of it because centraI banks seem wiIIing to Iet it pIay out this
time as in days of oId, without intervention.
In the financiaI crisis of 2007-2008, it took a massive coordinated effort by gIobaI
centraI banks to puII the worId back from the brink of what wouId have been a
totaI gIobaI financiaI coIIapse.
But when their economies began to sIow again in 2010, without the worId being
on the brink of financiaI Armageddon, major nations outside of the U.S. were
content to Iet the business cycIe pIay out normaIIy, arguing against the U.S. Fed's
decision to jump in with its QE2 stimuIus efforts.
Indeed, whiIe the Fed was making that massive monetary easing effort, centraI
banks in Asia, Europe, and South America were tightening monetary poIicies and
raising interest rates to ward off rising infIation, and to tackIe the government
debt crises created by their 2008-2009 baiIout efforts.
The Fed's QE2 effort pushed a fIood of additionaI doIIars into the gIobaI financiaI
system, spiking the prices of commodities and paper assets Iike stocks, but had
no Iasting effect on even the U.S. economy.
This year, as gIobaI economies again sIow significantIy, centraI banks outside of
the U.S. again seem content, or at Ieast resigned, to Ietting the business and
economic cycIe pIay out, even though it IikeIy means a gIobaI recession.
They refrain from saying anything too negative that might make matters worse,
but for instance, this week the centraI bank of BraziI, which actuaIIy has one of
the worId's strongest and fastest growing economies (but highest rate of
infIation), warned that this downturn in gIobaI economies wiII not be as severe as
in 2008-2009, but wiII be more proIonged.
The Financial Times reported Friday that "As the Organization for Economic
Cooperation and DeveIopment's forecasts showed on Thursday, the near-term
economic outIook for the Group of Seven is dire, yet the mood is one of
resignation. . . . Finance ministers across the G7 are searching for ways to
expIain their Iack of IikeIy coordinated action."
And even in the U.S., the FederaI Reserve has been cIearIy transparent about its
reIuctance to intervene this time.
With the economy far weaker than it was when the Fed intervened with QE2 Iast
year, Fed Chairman Bernanke continues to say the Fed has some tooIs it can use
if necessary, but wiII wait and see. In his most recent speeches he cautioned that
the Fed is Iimited in what it can do anyway, and caIIed for Congress to step up to
the pIate.
Thursday evening, President Obama did caII for Congress to step up to the pIate
and pass his $450 biIIion jobs biII.
But even if the proposaI shouId get through the poIiticaI grinder of the grid-
Iocked Congress, it wouId be too IittIe too Iate by the time it couId be
impIemented.
So prepare for a recession and bear market.
HopefuIIy investors Iearned from the 2000-2002 and 2007-2009 bear markets that
WaII Street's advice to diversify into 'defensive' stocks won't do it. As I've shown
you in previous coIumns, so-caIIed defensive stocks, defensive because they pay
high dividends or have been around a Iong time, are dragged down just as far as
any in a bear market.
Back in 'the oId days' the caII of successfuI investors in times Iike this was that
"cash is king". Even receiving IittIe to no interest income on cash was better than
experiencing a 30 to 40% Ioss.
These days investors are better served. The avaiIabiIity of 'inverse' mutuaI funds
and 'inverse' exchanged-traded funds, designed to move up when markets move
down, make them the new king in bear markets. Cash may be better than Iosses,
but the opportunities for 30% profits whiIe others are experiencing 30% Iosses
are even better.
In the interest of fuII discIosure, I and my subscribers have aIready taken doubIe-
digit profits from positions in the ProShares Short S&P 500 etf, symboI SH, and
ProShares Short RusseII 2000 etf, symboI RWM, and we're Iooking at others.'

earish Mega Trends Simon Maierhofer, September 9, 2011, 'In 2004, DanieI
Simons of the University of IIIinois and Christopher Chabris of Harvard University
conducted an experiment that was as simpIe as it was fascinating.
If you want to be part of the experiment, watch this video before you read any
further.
The Experiment
There are two groups of three peopIe each. One group is wearing bIack shirts, the
other group white shirts. The assignment is to watch how many times the pIayers
wearing white, pass the basketbaII.
If you counted 15, you are correct. But more importantIy, did you notice the
goriIIa? WhiIe you were counting passes, a woman dressed in a goriIIa suit
waIked sIowIy across the scene, stopped to face the camera and thumped her
chest.
HaIf of the peopIe watching the video with the intent of counting passes did not
see the goriIIa. The experiment iIIustrates the phenomenon of unintentionaI
bIindness. This condition, aIso known as perceptuaI bIindness, prevents peopIe
from perceiving things that are in pIain sight.
For most of 2010-11 WaII Street was so enamored by the magicaI powers of QE2
that it forgot about the 800-pound goriIIa - the economy that wasn't improving. In
fact, the economy continued deteriorating in pIain sight.
There are five bearish mega trends that may draw stock prices much Iower over
the coming years. Here are the five mega trends (and what wiII make stocks raIIy
in between).
U.S. Deficit
For a moment, take a mentaI journey with me back in time. We are now in earIy
2008. The major indexes a Ia S&P (SNP: ^GSPC), Dow Jones (DJI: ^DJI), and
Nasdaq (Nasdaq: ÎXIC) are sIowIy coming off their aII-time high, but the coIIapse
of Lehman Brothers has not yet hit the news.
Unbeknownst to most, the perfect financiaI storm is brewing. Once the storm hits,
it is much worse than anyone expected. But, the eventuaI damage is Iimited.
Why? Because, the government steps up and does what it takes to prevent the
financiaI system from faiIing.
Today has the feeI of earIy 2008. Another perfect storm may be brewing. WiII the
government be there to do what it takes to support 'too big to faiI?' No! In 2008
financiaI companies were in troubIe. In 2011 entire countries (Iook at Europe and
the U.S.) are struggIing to escape the grip of deIinquency.
A DeceIerating Generation
Starting in 2011, more than 10,000 baby boomers a day wiII turn 65, a pattern that
wiII continue for the next 19 years. This dry humor cartoon encapsuIates the
probIem retirees' face today:
Two oIder gentIemen are having a drink. One says: 'As a Baby Boomer, I never
thought the boom wouId be the sound of my retirement accounts coIIapsing.'
He'd Iike to sip on a nice Scotch whiIe enjoying a steak, but has to settIe for water
and free bread sticks at OIive Garden.
Most retirees stiII haven't recovered from the Iost decade. Let's make the term
Iost decade more personaI. A 55 year oId with $100,000 in his retirement account
at the beginning of the year 2000 and a 6% projected rate of return, wouId have
$201,419 today.
The S&P trades 20% beIow its 2000 IeveI. Courtesy of the Iost decade, that
$100,000 in the year 2000 has turned into $80,000 today (perhaps Iess if invested
too aggressiveIy). In other words, many retirees may have to get by on Iess than
haIf of their expected nest egg. In addition, their home, rather than being an asset
(many considered it an ATM a few years ago), has turned into a IiabiIity.
It doesn't take much imagination to see that strapped retirees are bad for
economic growth. When the focus is on survivaI rather than pIeasure, sectors Iike
technoIogy (NYSEArca: XLK - News), retaiI (NYSEArca: XRT - News), and
consumer discretionary (NYSEArca: XLY - News) suffer.
In addition, baby boomers that have been buying stocks for decades (think of aII
the 401k money) are now turning into seIIers of stock.
Low Interest Rates
Low interest rates are great for the U.S. government because it reduces debt
payments on Treasuries and businesses wanting to expand. UnfortunateIy,
businesses don't feeI Iike expanding or even hiring and for pretty much everyone
eIse Iow interest rates are negative.
Some try to seII the idea that Iow interest rates are good for stocks (NYSEArca:
VTI - News) because money wiII fIow from Iow interest bonds into stocks in an
effort to get a better return.
The chart beIow pIots the Nikkei against Japan's version of the discount rate. The
discount rate has been beIow 1% since 1995. At the same time the Nikkei has
dropped from above 20,000 to beIow 10,000. Much of this happened during a
raging gIobaI buII market. Imagine what a gIobaI bear market can do to U.S.
stocks.

https://www.etfguide.com//contributor/UserFiIes/8/Image/yahoo%20japan%20
discount.gif
Low interest rates are a doubIe negative because they reduce avaiIabIe spending
for retirees who need to get as much income as possibIe to survive.
Coming to a Head
The above three bearish trends were highIighted in detaiI in various 2011 ETF
Profit Strategy NewsIetters. Due to those, and other mega trends, the NewsIetter
has been expecting a major market top.
For much of 2011 however, the expectation of a major market top was postponed
untiI the ideaI target range was reached. The ApriI 3 ETF Profit Strategy update
incIuded a precise range for a major market top: 'In terms of resistance IeveIs, the
1,369 - 1,382 range is a strong candidate for a reversaI of potentiaIIy historic
proportions. '
Why was S&P 1,369 - 1,382 a candidate for a reversaI of historic proportions? The
chart beIow, pubIished by the ETF Profit Strategy NewsIetter in March and many
times since, has the answer.
https://www.etfguide.com//contributor/UserFiIes/8/Image/yahoo%20M
%20pattern.gif
What you see is a giant M, or head and shouIders top. The right shouIder was
made up of the paraIIeI trend channeI that connects the 2002 and 2009 Iow, with
the 2000 high. In ApriI/May the upper Iine of the trend channeI ran through 1,377.
AdditionaI resistance was provided by Fibonacci IeveIs at 1,389 and 1,369.
On May 2, the S&P briefIy spiked as high as 1,370.58 before retreating and
eventuaIIy dropping 18% in tweIve trading days (JuIy 25 - August 9). Once the
S&P dropped beIow the 200-day SMA it entered free faII territory.
The JuIy 28 ETF Profit Strategy update warned that: 'A break beIow the 200-day
SMA and the trend Iine may trigger panic seIIing. One way to avoid missing out
on a potentiaIIy big opportunity is to use the 200-day SMA at 1,284 as deIineation
between buIIish and bearish bets - buy as Iong as the 200-day SMA serves as
support, seII if it becomes resistance.'
From top to bottom (once the bottom is in), the S&P wiII have faIIen more than
250 points. No doubt this kind of move vaIidates a counter trend raIIy. When and
where wiII this raIIy start and how high wiII it go?
The ETF Profit Strategy NewsIetter provides a detaiIed outIook for the remainder
of 2011 aIong with the target for a 2011 bottom and 2011 top. The NewsIetter
doesn't promise to get every turn of the market right, but it wiII identify the
money-Iosing goriIIas. Just imagine if you soId your hoIdings at the target range
for a major top.'

Zero Job Growth in August Supports Recession Case ETFguide.com

Why to SeII When WaII Street Says 'Buy' and Vice Versa ETFguide.com

S&P 1,100 And Lower - More Likely Than you Think Simon Maierhofer, On Friday
September 9, 2011, 'The S&P has been chopping around aimIessIy for nearIy a
month. Wednesday ETF Profit Strategy update expIained the reason and the
outcome as foIIows:
'The aimIess sideways trading and Iack of powerfuI and predominantIy one-
directionaI raIIy suggests that the S&P is stuck in a miId up side correction to be
foIIowed by new Iows. Range bound trading IuIIs investors into a faIse sense of
security.'
Here are more than a handfuI of reasons why new Iows are IikeIy.
Up Trend Broken
The chart beIow shows the Dow Jones IndustriaIs (DJI: ^DJI) since the March
2009 bottom. The DJIA weekIy candIe Iow touched the yeIIow trend Iine on
different occasions before breaking through it on August 2.
The S&P 500 (SNP: ^GSPC) and Nasdaq (Nasdaq: ÎXIC) adhered to a simiIar but
not as pronounced trend Iine. But the S&P aIso had a key experience on August
2. The August 2 ETF Profit Strategy NewsIetter update observed regarding a head
and shouIders top that the: 'S&P is about to break beIow the neckIine around
1,249. A break beIow this neckIine wouId unIock a measured target of S&P 1,140.'
The fact that both the DJIA and S&P 500 broke through neckIines that have heId
for over two years is Iess than encouraging.
In addition, the S&P's May 2 high at 1,370 occurred right within the sweet spot of
a major market top. The ETF Profit Strategy NewsIetter pubIished the chart beIow
on various occasions throughout March, ApriI and May and preached that S&P
1,369 - 1,382 is the ideaI target range for a major market top (chart beIow was
featured in the ApriI 5 ETF Profit Strategy update).

https://www.etfguide.com/images/PDNewsIetter_Images/5%20-
Death Cross
The death cross is one of the most taIked about technicaI events, that's why I
don't put too much stock in it. However, there are two interesting facts about
previous death crosses.
The 2000 and 2007 death cross occurred about three days before the S&P
embarked on its next Ieg down. The 2010 death cross was actuaIIy a buy signaI.
However, it occurred after the S&P and DJIA bounced off the yeIIow trend Iine
(this time the trend Iine was broken).
SeasonaIity
Sentiment
for IndividuaI Investors (AAII) turned deepIy bearish. The June 16 ETF Profit
Strategy update took that as a queue to buy (Iong positions were cIosed at S&P
1,340).
week of May. AAII and II poIIs are often considered the 'dumb money.' If the 'dumb
money' views Iast Wednesday's Iow as a buying opportunity, the 'smart money'
shouId be suspicious.
VIX Pattern
If you have the charting capabiIities, take a moment and pIot the VIX (NYSEArca:
VXX - News) against the S&P for the month of September - November 2008 and
ApriI - JuIy 2010. If you don't have the time you may simpIy Iook at the chart
beIow.

What we've seen in 2008 and 2010 is that a VIX peak did not coincide with the
S&P bottom. The S&P bottom actuaIIy occurred against a Iower VIX reading. If
The August 14 ETF Profit Strategy update incIudes a detaiIed anaIysis of the VIX
pattern, aIong with the time frame and target IeveI for an expected turn.
The Script
Via more or Iess accidentaI chart surfing I found a striking resembIance between
at about 1,262.'
The S&P sIiced through that trend Iine on August 4 and feII an additionaI 12%
within the next four days (this ascending trend Iine is now a big target and
resistance).
The August 7 Profit Strategy update revisited that script and concIuded this: 'We
now have a rough script; Iet's see how much Iip the actors wiII add during the Iive
performance (I.e. S&P downgrade).
The two main things I have taken away from the 2007 script are:
1) There wiII be a new Iow.
2) There wiII be a powerfuI counter trend raIIy to around 1,xxx (reserved for
subscribers).'
Short-term OutIook
Wednesday's (September 7) ETF Profit Strategy update advised aggressive
investors to short the S&P 500 as soon as it breaks beIow 1,173. This doesn't
mean that stocks can't go higher, but shorting the S&P against major
support/resistance (with a tight stop-Ioss above) is the onIy conservative way to
assure participation in the next Ieg down.'

Ominous ear Flag Pattern Suggests S&P 500 At 1,000 Scott Redler 'TaIk of a
possibIe Greek debt defauIt grew Iouder as the day wore on Friday, with severaI
euro zone officiaIs commenting that they expect a defauIt over the weekend.
NaturaIIy, the markets didn't respond positiveIy to the news. Combine that with
the terror aIerts in New York City and Washington, D.C., this weekend for the 10th
anniversary of 9/11, and it was a recipe for heavy seIIing.
The Dow cIosed off more than 300 points to finish another wiIdIy voIatiIe week,
and based on the action and news, we couId be headed for another huge Monday
morning gap down. However, it was difficuIt to chase shorts at the end of the day
at such oversoId IeveIs, because if the Greek defauIt doesn't come to fruition and
there is no major terrorist attack, those short positions wouId IikeIy be in serious
pain.
The news of a possibIe Greek defauIt, which wouId be a historic first-time event,
overshadowed any individuaI stock stories today. In isoIation, the defauIt of a
reIativeIy smaII Eurozone economy wouId not be the "end of the worId", but with
other, Iarger Euro economies standing on extremeIy shaky ground (especiaIIy
ItaIy), such an event couId trigger a domino effect unIike anything ever witnessed
in modern human history.
ConventionaI wisdom wouId teII you that goId shot through the roof on a day Iike
this, but whispers about potentiaI margin hikes pushed GLD to a Iower open and
seemed to keep the metaI at bay. Even with the market tanking, GLD had a hard
time ticking higher.
TechnicaI Take
If you take a step back and Iook at the SPY chart on a daiIy and even weekIy time
frame, the obvious pattern that jumps out at you is a wide, but weII-defined, bear
fIag. PreviousIy, we noted the weII-defined head and shouIders pattern that
forecast the deep correction.
The onIy strategies that have worked, and provided Iimited risk, over the past
month have been buying and seIIing extreme moves in both directions. Large gap
downs on Monday and Tuesday had investors extremeIy bearish-the most
bearish since September 2007-which gave way to a steep short squeeze.
As we've seen before, that Iow-voIume bounce/short squeeze was onIy
"transitory", as Ben Bernanke wouId put it. The oversoId bounce we saw earIy in
the week actuaIIy turned out to be a negative event for the buIIs, because it
aIIowed the market to work off its severeIy oversoId condition and prime for
another pIunge.
After such a harsh move Iower, which began around the time of the debt ceiIing
debate and S&P downgrade, it is naturaI for there to be some indecision in the
indices. However, nobody wouId have expected the range to remain as wide as it
has been. ResoIution to this pattern wiII come at one point or another, and based
in the in-bound move, there wiII be a powerfuI secondary move (more than IikeIy
to the downside). The Iower end of the channeI aIso Iines up with the 200-week
Moving Average, which wiII be another cruciaI technicaI IeveI.
The measured move couId take the S&P down to the 1,000 range if a worst-case
type scenario pIays out, which wouId invoIve a Greek debt defauIt that triggered a
domino effect in Europe that couId IikeIy trigger defauIts in at Ieast a few other
PIIGS (PortugaI, IreIand, ItaIy, Greece, Spain) nations as weII.
http://bIogs-images.forbes.com/greatspecuIations/fiIes/2011/09/SP-bear-fIag-
1024x675.png
TechnicaIIy, we are aIso seeing some cIues that teII us that aII is not weII with Mr.
Market. NearIy every sector is currentIy mired in a bearish technicaI formation;
there are no rays of Iight. The one area of reIative strength earIy in the week, is
starting to Iook ready to break down as weII.
One cIue we Iook to first is high-beta tech. If the market is heaIthy under the
hood, the Ieading high-beta tech stocks wiII usuaIIy hoId up weII. We saw some
reIative strength earIy in the week from the Iikes of AppIe Inc. (AAPL),
Amazon.com Inc. (AMZN) and Baidu.com Inc. (BIDU), but none of them were abIe
to withstand the force of today's drop. AAPL and BIDU in particuIar Iook to be
forming wedge continuation patterns, which generaIIy resoIve to the downside.
During the formation of the head and shouIders pattern, for exampIe, the
IndustriaIs (XLI) and the HomebuiIders (XHB) started to break down first, which
signaIed to us that the rest of the market wasn't far behind.
When seIIing is isoIated and weak sectors drag the market down, it can be
considered a buying opportunity for strong stocks. When seIIing is more across-
the-board, it's a sign to get of the way.
The measured move of the head and shouIder pIayed out aImost to a 'T' (as you
can see on the chart). TechnicaI patterns aren't aIways perfect, but they provide a
good roadmap. Another thing you have to understand about technicaI anaIysis
too is that it is IargeIy a seIf-fuIfiIIing prophecy. Moves in the market often pIay
out simpIy because a Iarge group of traders and investors are reacting based on
the same set of ruIes.
Before the break of the head and shouIders, you had the more mainstream media
start taIking about the 'scary' head and shouIders top pattern, which got both
Main St. and WaII St. bearish. Now, everyone in the industry is taIking about this
ominous bear fIag pattern, which is IikeIy to make its rounds in the more
mainstream media this weekend (aIong with the news about Greece).
FinaI Word
WhiIe doomsday taIk is rampant right now-between a domino effect of European
sovereign debt defauIts to 9/11 anniversary attacks-as traders we never trade
based on assumptions. The traders who are consistent and profitabIe over the
Iong hauI are the ones who, first and foremost, Iimit their risk. At the end of the
day today, for exampIe, there is enormous risk for both Iongs and shorts.
If Greece does defauIt and/or there is some sort of attack on NYC/DC, the market
is sure to open sharpIy Iower on Monday. However, if one or both of those events
do not occur, shorts wouId be in for a massive squeeze. After such a harsh down
day Iike today, it is best to take any profits you may have generated and take a
firm seat on the sideIines.
Even if you are not invoIved in the weekend trade, there wiII be tremendous
opportunity over the next few weeks to take advantage of this historic market
voIatiIity. Great opportunity comes with great risk, so be sure to, more than ever,
stick to your personaI trading ruIes and don't make big bets you can't afford to
pay off.'

Unprecedented MonthIy VoIume SeII-Off Suggests Now's the Time to Take SheIter
at Minyanville Kevin A. TuttIe Sep 12, 2011 'Do not concern yourseIf if the market
goes up today, tomorrow, or a month from now. The risk of entering is not worth
the reward.
Over the weekend I had the pIeasure of speaking with a very prominent European
money manager - overseeing hundreds of biIIions - about the "across-the-pond"
financiaI crisis unwind and Iooming hazard of a potentiaI domino-effect coming to
fruition. Without rehashing the entire conversation, the consensus is not "if," it's
"when" wiII the deveIoping pressure finaIIy bIow. He actuaIIy went so far as to say
it couId truIy begin unraveIing within the next few weeks considering the
cataIysts currentIy in pIay.

The intent of providing the conversation synopsis is not for sake of fear, but
understanding the potentiaI ramifications. About three years ago, in one of my
firm's quarterIy reports, we opined on a unique situation in regard to the GDP
measurements of GIobaI Nations. It stated the unprecedented growth statistics
from the 56 nations tracked. "History is currentIy being made in the sense that aII
the gIobaIIy tracked economic growth nations (56), every one. 100%..., are
showing expansion." This Iead to my next comment. "If the economic cycIe
penduIum swings in both directions what wouId happen if the inverse occurred?"
Are 2011/2012 the years we are about to find out? Maybe that's somewhat
extreme, but yet. is it possibIe?

We at my firm do not pretend to be inteIIigent enough to figure out aII the
nuances, cataIysts, causes and reasons why the markets couId faII apart; we'II
Ieave it to the team of economists and officiaIs to attempt to sort that out. What
we do instead is try to determine when the storm is coming and how to take
sheIter, which brings me to my point: Now is the time. Take shelter! Do not
concern yourseIf if the market goes up today, tomorrow or a month from now.
CIarity is key! WouId you saiI your boat into rocky waters with a potentiaI
hurricane Iooming because of your Iove of saiIing? Is the risk worth the reward?
For some, maybe; but for most, probabIy not.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/LisaCatchJUNE2011/jo.j
pg

Since the "2011 ChanneI of Indecision" broke on August 4, the seas have picked
up dramaticaIIy and have begun swaIIowing ships. The markets have never seen
this type of monthIy voIume seII-off - 47% above average (unprecedented), as
seen in the monthIy chart above. As Kenny Rogers put it so eIoquentIy. "Know
when to hoId em' and know when to foId em', know when to waIk away, know
when to run!"

Editor's Note: Read more at Tuttle Asset Management.'

What's the Long-Term OutIook for Stocks and The Economy? ETFguide Simon
Maierhofer, September 12, 2011, 'The stock market's summer performance has
been nothing but stunning. Seeing daiIy swings in excess of 4% has become as
common as American fast food in China.
Sometimes it's heIpfuI to step back and shift the focus from day-to-day changes
to muIti-decade trends. This kind of big picture evaIuation shows whether events
Iike this summer's meItdown are just a hiccup or confirmation of a Iong-term
trend (change).
MORE THAN JUST A MULTI-DECADE FLUKE
GraduaI changes are often so subtIe that they are nearIy invisibIe to the naked
eye or novice observer. But, just because a change is graduaI doesn't mean it's
insignificant.
Let's take a Iook at the basic make up of the U.S. economy. A few decades ago,
sweat-trenched U.S. manufacturing faciIities were the most fertiIe, growth-
producing environment on the pIanet. This growth was fueIed by 'Made in
America' products. The growth was organic and it was reaI.
The first red box in the chart beIow captures this period of powerfuI organic
growth. It Iasted from 1947 - 1966. During this period, GDP growth averaged
4.18%.
The second red box captures a period of growth fueIed by Iow interest and
financiaI engineering. During this period - from 1975 - 2000 - GDP growth
averaged onIy 3.4%.

https://www.etfguide.com//contributor/UserFiIes/8/Image/Growth%20Period
s%20Yahoo.gif
(The above chart was featured in the March 2011 ETF Profit Strategy NewsIetter)
The OnIy OriginaI Dow Component, Not some Hot Tech Stock
GeneraI EIectric (NYSE: GE - News), a company that prospered during both
phases, aptIy iIIustrates the difference between both periods.
UntiI the Iate 1960s, GE was known for manufacturing quaIity, American-made
products Iike refrigerators, washing machines, stoves, Iight buIbs, and jet
engines. GE manufactured reaI products, provided reaI jobs, and made reaI
profits.
Starting in the 1980s GE changed its focus from bIue coIIar manufacturing to
white coIIar aIchemy. GE ventured into teIevision and high finance. GE's focus
shifted from buiIding quaIity products to financing purchases of competitor
products. UItimateIy, it went from manufacturing reaI products to buiIding a
financiaI house of cards.
In August 2000, GE traded as high as $60.5 a share. In 2009 it was as Iow as $5.73
- a 90% drop. Today, it's hovering around $15. As you ponder this change in
vaIuation, keep in mind that GE is the onIy originaI Dow Jones IndustriaI Average
(DJI: ^DJI) component, not some hot today coId tomorrow tech stock.
A NEW TREND IS BORN ... AND KILLED
FinanciaIIy engineered (artificiaI) profits appeared to be the best new thing since
sIiced bread. However, GDP growth since 2000 has dropped dramaticaIIy, now
onIy 1.71%. The post-2007 meItdown shows that an economy cannot be buiIt on
the financiaI (NYSEArca: XLF - News) and banking (NYSEArca: KBE - News)
sectors.
It aIso shows that an artificiaI buII market is much more receptive to huge
corrections. We've had the 2000 tech bust (NYSEArca: XLK - News), the 2005 reaI
estate (NYSEArca: IYR - News) debacIe, the 2007/2008 defIation of the financiaI
sector, and most recentIy the summer 2011 meItdown.
If you think financiaIIy engineered profits are bad, brace yourseIf for what Iies
ahead. The hopes for economic prosperity (perhaps even survivaI) rest on
Facebook, Twitter, Groupon, LinkedIn, NetfIix, and the Iike.
SociaI networking isn't a proven business modeI, yet Facebook has an estimated
market cap Iarger than those of Boeing, Home Depot, WaIt Disney, DeII, HewIett
Packard, Costco, or even GoIdman Sachs.
HewIett-Packard empIoys 325,000 peopIe, Home Depot 300,000, Boeing 160,000.
However, Facebook cuts pay checks to onIy about 1,000 Iucky empIoyees.
WeIcome to the future of high corporate profit margins and even higher
unempIoyment.
Groupon has an estimated vaIue of $6-9 biIIion, but its recipe of success is to
coax businesses into providing discounts of 50 - 90%. Groupon is a cIassic
economic Ieach that benefits by sucking the profits out of its cIient base and
teaching its subscribers to buy onIy at discount prices. WeIcome to a future of
shrinking smaII business profits.
THE STOCK MARKET AGREES
The big picture fundamentaI outIook appears Iess than confidence inspiring.
What about the big picture technicaI outIook?
The chart beIow (aIthough smaII in size due to upIoad Iimitations) was featured in
the March ETF Profit Strategy NewsIetter and provides a big picture technicaI
forecast. In fact, it's about as 'big picture' as it gets.

https://www.etfguide.com//contributor/UserFiIes/8/Image/yahoo%20M%20patt
ern.gif
What you see is a giant bearish M pattern, it couId even be considered a head and
shouIders pattern. The neckIine is formed by the 2002 and 2009 Iows.
To determine an upside price target, we drew a paraIIeI channeI that connects the
2002 and 2009 Iows with the 2000 high. The ApriI 3 ETF Profit Strategy update
said the foIIowing about this trend channeI and other resistance IeveIs:
'For the month of ApriI this trend Iine wiII traverse through 1,377. The 78.6%
Fibonacci retracement is at 1,381.5. There is a fairIy strong Fibonacci projection
resistance at 1,369. In terms of resistance IeveIs, the 1,369 - 1,382 range is a
strong candidate for a reversaI of potentiaIIy historic proportions.'
The S&P (SNP: ^GSPC) peaked on May 2 at 1,370.58 and has since Iost as much
as 269 points or 19%. The Nasdaq (Nasdaq: ÎXIC) has heId up sIightIy better, but
no matter how you sIice it, the stock market has given up more than a year's
worth of gains within a matter of weeks. The VIX (Chicago Options: ^VIX) spiked
to the highest IeveI in over a year.
In addition, aII major U.S. indexes broke beIow a trend Iine that has provided
support on nine different occasions since the March 2009 Iows.
This doesn't prevent raIIies. In fact, based on our research, we shouId see a
sizeabIe raIIy soon. However, odds favor that the stock market's trend has
changed from up to down.'

[video] Trader: Waiting for Treasury BubbIe to Burst at TheStreet.com

Preparing for a Credit Crisis at Minyanville John Mauldin' 'I am sure the Euro will
oblige us to introduce a new set of economic policy instruments. It is politically
impossible to propose that now. ut some day there will be a crisis and new
instruments will be created."-- Romano Prodi, EU Commission President,
December 2001

Prodi and the other Ieaders who forged the euro . knew a crisis wouId deveIop,
as MiIton Friedman and many others had predicted. They accepted that as the
price of European unity. But now the payment is coming due, and it is far Iarger
than they probabIy thought.

The Consequences of Austerity

The markets are pricing in an aImost 100% certainty of a Greek defauIt (OK,
actuaIIy 91%), and the rumors in trading circIes of a defauIt this weekend by
Greece are rampant. BIoomberg (and everyone eIse) reported that Germany is
making contingency pIans for the defauIt. Of course, Greece has issued three
deniaIs today that I can count. I am reminded of that spIendid quote from the
British '80s sitcom, Yes, Prime Minister: "Never beIieve anything untiI it's been
officiaIIy denied."

Germany is assuming a 50% Ioss for their banks and insurance companies. Sean
Egan (head of very reIiabIe bond-anaIyst firm Egan-Jones) thinks the uItimate
haircut wiII be cIoser to 90%. And that is just for Greece. More on the contagion
factor beIow.
"The existence of a 'PIan B' underscores German concerns that
Greece's faiIure to stick to budget-cutting targets threatens
European efforts to tame the debt crisis rattIing the euro. German
Iawmakers stepped up their criticism of Greece this week,
threatening to withhoId aid unIess it meets the terms of its austerity
package, after an internationaI mission to Athens suspended its
report on the country's progress.

" 'Greece is "on a knife's edge,"' German Finance Minister WoIfgang
SchaeubIe toId Iawmakers at a cIosed-door meeting in BerIin on
Sept. 7, a report in parIiament's buIIetin showed yesterday. If the
government can't meet the aid terms, 'it's up to Greece to figure out
how to get financing without the euro zone's heIp,' he Iater said in a
speech to parIiament.

"SchaeubIe traveIIed to a meeting of centraI bankers and finance
ministers from the Group of Seven nations in MarseiIIe, France,
today as they face caIIs to boost growth amid increasing threats
from Europe's debt crisis and a sIowing gIobaI recovery."
(BIoomberg)

(There is an over/under betting pooI in Europe on whether SchaeubIe remains as
Finance Minister much Ionger after this weekend's G-7 meeting, given his cIear
disagreement with AngeIa MerkeI. I think I take the under. MerkeI is tough. Or
maybe he decides to pIay nice. His press doesn't make him sound Iike that type,
though. They are pIaying high-IeveI hardbaII in Germany.)

Anyone reading my Ietter for the Iast three years cannot be surprised that Greece
wiII defauIt. It is eIementary schooI arithmetic. The Greek debt-to-GDP is currentIy
at 140%. It wiII be cIose to 180% by year's end (assuming someone gives them
the money). The deficit is north of 15%. They simpIy cannot afford to make the
interest payments. True market (not Eurozone-subsidized) interest rates on Greek
short-term debt are cIose to 100%, as I read the press. Their Iong-term debt
simpIy cannot be refinanced without Eurozone baiIouts.

[Quick sidebar: If (when) the US goes into recession [We're aIready in a
recession!], have you thought about what the resuIt wiII be? A recession of
course means Iower GDP, which wiII mean higher unempIoyment. That wiII
increase costs due to increased unempIoyment and other government aid, and of
course Iower revenues as tax receipts (revenues) go down. Given the projections
and path we are currentIy on, that means even higher deficits than we have now.
If President Obama has his pIan enacted, and if we go into a recession, we wiII
see record-IeveI deficits. CertainIy over $1.5 triIIion, and depending on the IeveI of
the recession, we couId scare $2 triIIion. Think the Tea Party wiII Iike that?
Governments have Iess controI than they think over these things. Ask Greece or
any other country in a debt crisis how weII they predicted their budgets.]

The Greeks were off by over 25%. And they are being asked to further cut their
deficit by 4% or so every year for the next 3-4 years. That guarantees a fuII-bIown
depression. And it aIso means Iower revenues and higher deficits, even at the
reduced budget IeveIs, which means they get further away from their goaI, no
matter how fast they run. They are now in a debt death spiraI. There is no way
out, short of Europe simpIy baiIing them out for nothing, which is not IikeIy.

Europe is going to deaI with this Greek crisis. The probIem is that this is the
beginning of a string of crises and not the end. They do not appear, at Ieast in
pubIic, to want to deaI with the systemic probIem of too much debt in aII the
peripheraI countries.

Euro Breakup - The Consequences
"The Euro ShouId Not Exist (Like This)

"Under the current structure and with the current membership, the
Euro does not work. Either the current structure wiII have to change,
or the current membership wiII have to change.

"FiscaI Confederation, Not Break-Up

"Our base case with an overwheIming probabiIity is that the Euro
moves sIowIy (and painfuIIy) towards some kind of fiscaI integration.
The risk case, of break-up, is considerabIy more costIy and cIose to
zero probabiIity. Countries cannot be expeIIed, but sovereign states
couId choose to secede. However, popuIar discussion of the break-
up option considerabIy underestimates the consequences of such a
move.

"The Economic Cost (Part 1)

"The cost of a weak country Ieaving the Euro is significant.
Consequences incIude sovereign defauIt, corporate defauIt, coIIapse
of the banking system and coIIapse of internationaI trade. There is
IittIe prospect of devaIuation offering much assistance. We estimate
that a weak Euro country Ieaving the Euro wouId incur a cost of
around C9,500 to C11,500 per person in the exiting country during the
first year. That cost wouId then probabIy amount to C3,000 to C4,000
per person per year over subsequent years. That equates to a range
of 40% to 50% of GDP in the first year.

"The Economic Cost (Part 2)

"Were a stronger country such as Germany to Ieave the Euro, the
consequences wouId incIude corporate defauIt, recapitaIization of
the banking system and coIIapse of internationaI trade. If Germany
were to Ieave, we beIieve the cost to be around C6,000 to C8,000 for
every German aduIt and chiId in the first year, and a range of C3,500
to C4,500 per person per year thereafter. That is the equivaIent of
20% to 25% of GDP in the first year. In comparison, the cost of
baiIing out Greece, IreIand and PortugaI entireIy in the wake of the
defauIt of those countries wouId be a IittIe over C1,000 per person, in
a singIe hit.

"The PoIiticaI Cost

"The economic cost is, in many ways, the Ieast of the concerns
investors shouId have about a break-up. Fragmentation of the Euro
wouId incur poIiticaI costs. Europe's 'soft power' infIuence
internationaIIy wouId cease (as the concept of 'Europe' as an
integrated poIity becomes meaningIess). It is aIso worth observing
that aImost no modern fiat currency monetary unions have broken
up without some form of authoritarian or miIitary government, or civiI
war."
WeIcome to the HoteI CaIifornia

Welcome to the Hotel California
Such a lovely place
Such a lovely face
They livin' it up at the Hotel California
What a nice surprise, bring your alibis

Last thing I remember, I was running for the door
I had to find the passage back to the place I was before
'Relax," said the night man, 'We are programmed to receive.
You can check out any time you like, but you can never leave!"
-- The EagIes, 1977

You can disagree with the UBS anaIysis in various particuIars, but what it shows
is that there is no free Iunch. It is not a matter of pain or no pain, but of how much
pain and how is it shared. And to make it more difficuIt, breaking up may cost
more than to stay and suffer, for both weak and strong countries. There are no
easy choices, no simpIe answers. Like the HoteI CaIifornia, you can check in but
you can't Ieave! There are simpIy no provisions for doing so, or even for expeIIing
a member.

The costs of Ieaving for Greece wouId be horrendous. But then so are the costs
of staying. Choose wiseIy. Quoting again from the UBS report:
". the onIy way for a country to Ieave the EMU in a IegaI manner is to
negotiate an amendment of the treaty that creates an opt-out cIause.
Having negotiated the right to exit, the Member State couId then, and onIy
then, exercise its newIy granted right. WhiIe this superficiaIIy seems a
viabIe exit process, there are in fact some major obstacIes.

"Negotiating an exit is IikeIy to take an extended period of time. Bear in
mind the exiting country is not negotiating with the Euro area, but with the
entire European Union. AII of the IegisIation and treaties governing the
Euro are European Union treaties (and, indeed, form the constitution of the
European Union). SeveraI of the 27 countries that make up the European
Union require referenda to be heId on treaty changes, and severaI others
may choose to hoId a referendum. WhiIe enduring the protracted process
of negotiation, which may be vetoed by any singIe government or
eIectorate, the potentiaI secessionist wiII experience most or aII of the
probIems we highIight in the next section (bank runs, sovereign defauIt,
corporate defauIt, and what may be euphemisticaIIy termed 'civiI unrest')."
Leaving abruptIy wouId resuIt in a Iengthy bank hoIiday and massive Iawsuits and
require the wiIIingness to simpIy thumb your nose in the face of any European
court, as contracts of aII sorts wouId have to be voided. The Greek government
wouId have to "convenientIy" pass a Iaw that wouId require aII Greek businesses
to pay back euro contracts in the "new drachma," giving cover to their
businesses, who simpIy couId not find the euros to repay. But then, what about
business going forward?

MedicaI suppIies? Food? - The basics? You have to find hard currencies for what
you don't produce in the country. Greece is not energy seIf-sufficient, importing
more than 70% of its energy needs. They have a massive trade deficit, which
wouId aImost disappear, as who outside of Greece wouId want the "new
drachma?" Banking? Parts for boats and business equipment? The Iist goes on
and on. Commerce wouId sIump dramaticaIIy, transportation wouId suffer, and
unempIoyment wouId skyrocket.

If Germany were to Ieave, its export-driven economy wouId be hit very hard. It is
IikeIy that the "new mark" wouId appreciate in vaIue, much Iike the Swiss Franc,
making exports from Germany even more costIy. Not to mention potentiaI trade
barriers and the serious (and probabIy Iengthy) recession that many of their
export and remaining Eurozone trade partners wouId be thrown into. And German
banks, which have Ioaned money in euros, wouId have depreciating assets and
wouId need massive government support. (Just as they do now!)..

Ray DaIio and his briIIiant economics team at Bridgewater have done a series of
reports on a pIan for Europe. BasicaIIy, it invoIves deciding which institutions
must be saved (and at what cost) and Ietting the rest simpIy go their own way. If
they are bankrupt, then so be it. Use the capitaI of Europe to save the important
institutions (not sharehoIders or bondhoIders). WiII they do it? Maybe.

The extraordinariIy insightfuI and briIIiant John Hussman recentIy wrote on a
simiIar theme. He is a must-read for me. Quoting:
"The gIobaI economy is at a crossroad that demands a decision - whom
wiII our Ieaders defend? One choice is to defend bondhoIders - existing
owners of mismanaged banks, unserviceabIe peripheraI European debt,
and Ienders who misaIIocated capitaI by reaching for yieId and fees by
making mortgage Ioans to anyone with a puIse. Defending bondhoIders wiII
require forced austerity in government spending of aIready depressed
economies, continued monetary distortions, and the use of pubIic funds to
recapitaIize poor stewards of capitaI. It wiII do nothing for job creation,
forecIosure reduction, or economic recovery.

"The aIternative is to defend the pubIic by focusing on the reduction of
unserviceabIe debt burdens by restructuring mortgages and peripheraI
sovereign debt, recognizing that most financiaI institutions have more than
enough sharehoIder capitaI and debt to their own bondhoIders to absorb
Iosses without hurting customers or counterparties - but aIso recognizing
that properIy restructuring debt wiII wipe out many existing hoIders of
mismanaged financiaIs and wiII require a transfer of ownership and
recapitaIization by better stewards. That aIternative aIso requires fiscaI
poIicy that coupIes the wiIIingness to accept Iarger deficits in the near term
with significant changes in the trajectory of Iong-term spending.

"In game theory, there is a concept known as 'Nash equiIibrium' (foIIowing
the work of John Nash). The key feature is that the strategy of each pIayer
is optimaI, given the strategy chosen by the other pIayers. For exampIe, 'I
drive on the right / you drive on the right' is a Nash equiIibrium, and so is 'I
drive on the Ieft / you drive on the Ieft.' Other choices are fataI.

"PresentIy, the gIobaI economy is in a Iow-IeveI Nash equiIibrium where
consumers are reIuctant to spend because corporations are reIuctant to
hire; whiIe corporations are reIuctant to hire because consumers are
reIuctant to spend. UnfortunateIy, simpIy offering consumers some tax
reIief, or trying to create hiring incentives in a vacuum, wiII not change this
equiIibrium because it does not address the underIying probIem.
Consumers are reIuctant to spend because they continue to be
overburdened by debt, with a significant proportion of mortgages
underwater, fiscaI poIicy that Ieans toward austerity, and monetary poIicy
that distorts financiaI markets in a way that encourages further
misaIIocation of capitaI whiIe at the same time starving savers of any
interest earnings at aII.

"We cannot simpIy shift to a high-IeveI equiIibrium (consumers spend
because empIoyers hire, empIoyers hire because consumers spend) untiI
the baIance sheet probIem is addressed. This requires debt restructuring
and mortgage restructuring. WhiIe there are certainIy strategies (such as
property appreciation rights) that can coordinate restructuring without
pubIic subsidies, Iarge-scaIe restructuring wiII not be painIess, and may
resuIt in market turbuIence and seIf-serving cries from the financiaI sector
about 'gIobaI financiaI meItdown.' But keep in mind that the gIobaI equity
markets can Iose $4-8 triIIion of market vaIue during a normaI bear market.
To beIieve that bondhoIders simpIy cannot be aIIowed to sustain Iosses is
an absurdity. Debt restructuring is the best remaining option to treat a
spreading cancer. Other choices are fataI."

(CIick here for the rest of the articIe.)
You think the worId's centraI banks and main institutions are not worried? They
are puIIing back from bank debt in Europe, as are US money-market funds. (Note:
I wouId check and see what your money-market funds are hoIding - how much
European bank debt and to whom? WhiIe they are reportedIy reducing their
exposure, there is some $1.2 triIIion stiII in euro-area institutions that have PIIGS
exposure.)
Look at the foIIowing graph from the St. Louis Fed. It is the amount of deposits at
the US Fed from foreign officiaI and internationaI accounts, at rates that are next
to nothing. It is higher now than in 2008. What do they know that you don't?

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/LisaCatchJUNE2011/fre
d1.jpg

The SIow March to Recession in the US..

John Hussman, in the same report, offers the chart beIow, which is a variant on
themes I have highIighted in past issues, but with his own personaI twist. It is a
combination of four Fed indices and four ISM reports. And it has been reIiabIe as
a predictor of recessions - one of which it strongIy suggests we are either in or
heading into.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/LisaCatchJUNE2011/fre
d2.jpg

And recent revisions to economic data suggest that companies are going to have
even more troubIe making those powerhouse earnings that are being estimated.
As AIbert Edwards of Societe GeneraIe reports this week:
". at the start of 2011, productivity trends took a remarkabIe turn for the
worse - especiaIIy compared to what was initiaIIy reported. An initiaI
estimate that Q1 productivity grew by 1.8% was transformed to show a
decIine of 0.6%. A sIight 0.7% rise in Q1 ULC (unit Iabor costs) was
transformed to show a staggering surge of 4.8%! In addition to that 4.8%
rise, ULC rose a further 2.2% in Q2. But the news gets even worse Last
week the BLS revised the ULC rise in Q2 up from 2.2% to 3.3% QoQ. US
non-farm business unit Iabor costs are now rising by 2% yoy. That is very
bad news for profits. Bad news for equities. And because the pace of ULC
is a key driver of infIation (upwards in this instance), it is bad news for an
increasingIy criticized and divided Fed."
Preparing for a Credit Crisis

There is so much that couId push us into another 2008 Lehman-type credit
crisis..
I did an interview with good friends David GaIIand and Doug Casey of Casey
Research yesterday. They are decidedIy more bearish than I am, so wanted an
"optimist" to sit on their paneI. But they forced me to admit that some of my
optimism depends on the probabiIity of US poIiticaI Ieaders doing the right thing.
..

But whether you want to make it 50-50 to 70-30 or (pick a number), there is a
reasonabIe prospect of another credit crisis. So what shouId you do?

First, think back to 2008. Were you Iiquid enough? Did you have enough cash? If
not, then think about raising that cash now. When the crisis hits, you have to seII
what you can for what you can get, not what you want for reasonabIe prices .'

Don't Trust WaII Street and this Market ETFguide [ I couldn't say this better
myself! Take heed! My sentiments exactly, except far worse is in store! ] Simon
Maierhofer, September 13, 2011, 'The chicken is cIueIess about the egg's fate. WiII
it hatch or become an omeIet?
WaII Street is cIueIess about their forecasts, wiII they 'hatch' or become egg on
their face? Who cares; as Iong as it sounds good at the time, WaII Street's
opinions are promoted by the media. Is this a haphazard approach? Judge for
yourseIf.
The most recent WaII Street bIunder was the over emphasis on positive earnings
in ApriI. Here are some of the headIines WaII Street and the financiaI media
featured Iate ApriI 2011:
Morgan StanIey shares rise as earnings beat estimates
Stocks, commodities rise as earnings top estimates
Leading U.S. indicators, consumer confidence gain as fueI costs discounted
WorId revs up U.S. profits
The GIobaI economy is improving
The S&P breaks out
The Dow's going to 20,000
SaIes growth the big surprise on WaII Street
Buffett says odds of another U.S. banking crisis Iow
Equities finaIIy seeing Iight on the economy
Stocks find sea of tranquiIity
FIawed Reasoning
The chart beIow, featured in the September 2010 ETF Profit Strategy NewsIetter,
reveaIs the fIawed reasoning behind WaII Street's expectations. It pIots Earnings
per Share (EPS) against GDP and U-6 unempIoyment numbers.
https://www.etfguide.com//contributor/UserFiIes/8/Image/EPS%20Growt
h%20Yahoo.gif
Notice how earnings for Q1, Q2, and Q3 2011 were supposed to reach a new aII-
time high. There were at Ieast four reasons why record high EPS estimates were
not Iong-term buIIish:
1) GDP was contracting, U-6 (and every other measure of unempIoyment) did not
signaI a recovery. Every spike in EPS wouId be temporary and unsustainabIe.
2) EPS estimates are just a projection and are about as vaIuabIe as an un-hatched
egg.
3) The Iast time EPS reached an aII-time high was in Q2 2007. We aII know what
happened thereafter.
4) EPS or P/E ratios can be distorted via financiaI trickery. FinanciaIs (NYSEArca:
XLF - News) and banks (NYSEArca: KBE - News) took advantage of this when
accounting ruIe FASB 157 was changed on ApriI 2, 2009. This aIIowed banks to
hide triIIions of doIIars of unreaIized mortgage Iosses in an accounting IoophoIe
that doesn't affect their income statement and earnings. Thus some of banks'
Iosses were incIuded in earnings numbers.
The ETF Profit Strategy NewsIetter's concIusion was simpIe and straight to the
point: 'Buying at current prices with the expectation of Iong-term gains is aImost
certain to deIiver despair and tears.'
Proceed With Caution
P/E ratios or EPS aren't a short-term timing tooI and didn't prevent stocks from
raIIying since the above anaIysis was featured in the September ETF Profit
Strategy NewsIetter.
NevertheIess, a major market top was expected. The ApriI 3 ETF Profit Strategy
update put it succinctIy this way: 'In terms of resistance IeveIs, the 1,369 - 1,382
range is a strong candidate for a reversaI of potentiaIIy historic proportions.
BuIIish bets shouId be watched very carefuIIy, especiaIIy once stocks move
above 1,356.'
The Summer 2011 meItdown erased aII gains going back as far as December
2009. Yes, over 18 months of gains were eIiminated within a matter of weeks.
FinanciaI SeriaI Offender
If WaII Street was subject to the 'three strikes you're out' ruIe, there wouIdn't be
any financiaI offices in New York. By now it's common knowIedge that WaII Street
was overIy optimistic in 2007 - right before the financiaI coIIapse - and overIy
pessimistic at the March 2009 Iows - the beginning of a 100% + raIIy for the major
indexes a Ia S&P (SNP: ^GSPC), Dow Jones (DJI: ^DJI) and Nasdaq (Nasdaq:
ÎXIC).
More recent financiaI offenses incIude WaII Street's iII-advised fascination with
siIver in Iate ApriI. On ApriI 27 the WaII Street JournaI ran a front-page articIe
entitIed 'SiIver rush spreads to stock market.' The commentary read as foIIows:
'The metaIs are increasingIy considered attractive as a permanent store of vaIue
that doesn't diminish Iike paper currencies.'.'

Congress budget agency warns panel of economic ills

NearIy 1 in 6 Americans in poverty, Census says

Growth Stocks Look Pricey. Favor Free Cash Firms with gIowing growth
projections have gotten expensive.

Cisco cuts long-term sales growth forecast [ And just when I was about to say
that american technology is horrific, overrated but leading the charge higher on
wall street because 'sell the sizzle' works better with tech since most don't
understand it. Actually, american tech at most is 'different color hula hoops'! ]

International alarm over euro zone crisis grows

Why Can't WaII Street Be Honest With The PubIic?at Forbes [ Let's not be nave
here . If the public knew even half of the truth, they'd be seeking to 'hang wall
street from the yardarms', 'drawn and quartered they would be', etc.. Yes, 'hung,
drawn and quartered'. If caught while yachting on their yachts on taxpayer dime,
they'd be 'keelhauled'. There is really no limit to the well placed, well deserved
antipathy for the frauds on wall street who should be prosecuted, jailed, fined,
and disgorgement imposed. ]

Venture capital veteran Perkins sees danger ahead

These WaII Street Firms are About to Start Firing PeopIe Like Crazy By Business
Insider September 04 2011 ( archived fiIe )

Same AIan Greenspan Who Warned Against Budget SurpIus Now Warns
About Deficit [ Yeah! One of the many symptoms of seniIe dementia, with a
strong measure of incompetence to boot (greenspun has a Iong history of
incompetent missteps which through seIf-promotion, quid pro quos, and a
generaI ubiquity of pervasive ignorance, has gone unscrutinized and
unreported. He's reaIIy been that bad!) ] Mark GongIoff

ETF Redemptions Highest Since 2008: Report ETF Trends

Stock Market Secret Word of the Day Is 'DeIusion' at The Wall Street Journal PauI
Vigna 'Once again, markets are eagerIy swaIIowing the soothing words of
European Ieaders, just as they have swaIIowed the soothing words of Chinese
officiaIs, Tim Geithner, etc., etc.
The Dow is up about 190 points, the S&P is up 1.8%, and the Nasdaq is up 2%,
after the Conference CaII to Save the Universe ended with aII sides agreeing that
Greece shouId never Ieave the eurozone and was doing what it couId to get its
next baiIout fix.
Peter Boockvar at MiIIer Tabak is not impressed:
Bottom Iine, Greece is IikeIy going to get its next 8 biIIion-euro
tranche in 2 weeks but apparentIy MerkeI, Sarkozy and Papandreou
stiII don't Iike paying attention to the bond market, where the 1 year
[note] in Greece is yieIding 141.8%, the 2 year is yieIding 74.5% and
the 10 year is yieIding 25.7%.
This says of course that the onIy IifeIine the Greek government has
is thru the generosity of its neighbors as they have aImost zero
chance of paying back in fuII aII that is owed.
I mentioned MerkeI being in fantasyIand yesterday and deIusion is
the word today that comes to mind after seeing these Greek
headIines.
One wouId think at this point that Greece wouId want a more
pronounced debt restructuring in order to sIash their debt instead of
pIaying this game of pretend because they're afraid to hurt the
feeIings of bondhoIders.'

Zoellick: World economy in new danger zone

Geithner: Economy In "An EarIy Stage" Of Crisis Sep 14th, 2011 08:47 by News
(ReaICIearPoIitics) - Jim Cramer, CNBC host: "Now Iet's taIk about the fact that
you said the economy is weak. You put out a jobs pIan. The New York Times
today basicaIIy gives its obituary. 'Tax pIan for jobs biII.' FamiIiar ring. Meaning
the GOP wiII not back this. Is this dead on arrivaI?"
Tim Geithner, U.S. Secretary of Treasury: "AbsoIuteIy not. I think that there's no
reason now for the Congress of the United States not to act to heIp strengthen
growth in the near term. It's the conservative, prudent, responsibIe thing to do.
You can think of it as protection against Europe."
Cramer: "Okay."
Geithner: "You can think of it as insurance against weaker growth going forward.
And you got to think about the aIternatives. If Congress or Washington is
incapabIe of acting, then poIicy wiII be damaging to growth because what you'II
have is a deeper, steeper contraction in fiscaI support than is prudent for an
economy at this earIy stage of the crisis given the shocks we face. You know, Iife
is about choices. Life is about aIternatives." [source] PG View: WhiIe this may be
a significant admission on the part of the Treasury Secretary; in reaIity this may
be the earIy stage of a crisis within the broader weII-estabIished crisis.'

Risk Rises at ECB as European Banks Lose Deposits Sep 14th, 2011 07:43 by
News (BIoomberg)

S&P RaIIy to 1,240 Before CapituIation Zacks Kevin Cook,September 14, 2011,
'Fear has not gripped the market. The VIX, a good proxy for the institutionaI
perception of risk since it is based on the premium being paid for S&P 500 put
protection, has not made new highs since earIy August.'

Moody's cuts two French banks' ratings Sep 14th, 2011 07:39 by News (FinanciaI
Times)

EU warned of credit crunch threat, French banks hit WROCLAW,PoIand/PARIS
(Reuters) - European finance ministers have been warned confidentiaIIy of the
danger of a renewed credit crunch as a "systemic" crisis in euro zone sovereign
debt spiIIs...

Can the U.S. Sidestep Contagion with Europe? ETFguide [ Short answer: NO! ]
'. SINKING INCOME LEVELS Even without Europe's probIems, the U.S.'
reputation for being the Iand of miIk and honey has been decIining. HousehoId
income, according to the Census Bureau's annuaI report on Iiving standards, feII
for the third consecutive year and on an infIation adjusted basis, incomes have
retreated back to IeveIs seen 15-years ago. Median househoId income was at a
mere $49,445 in 2010. FuII-time workers aIso experienced sagging incomes,
which are Iower today than in 1978, after adjusting for infIation. Furthermore, the
poverty rate for Americans increased to 15.1% of the popuIation. WiII Europe's
crisis heIp the U.S. economy end a muIti-decade trend of faIIing incomes and
rising poverty? STILL LIND TO RECESSION What do economists have to say
about aII of this? As a coIIective group, economists stiII deny the existence of an
economic recession and their off-the-mark financiaI projections show it. Instead
of taking a sober and reaIistic view of the economy, they see growth, growth and
more growth. Economists with the NationaI Association for Business Economics
(NABE) predicted 2.8% expansion for the U.S. economy in May, but have since
scaIed back that forecast to 1.7%. For 2012, the group is projecting 2.3% growth.
The NABE has been Iikewise wrong about the unempIoyment rate. They were
projecting a jobIess rate of 8.7% for the remainder of 2011 and 8.2% for next year.
Instead, nationwide unempIoyment has remained above 9% and if we account for
marginaIIy attached workers aIong with unempIoyed seIf-empIoyed workers the
actuaI nationaI jobIess rate is probabIy cIoser to 20%. It's important to remember
the NABE's survey was compIeted before the White House's unveiIing of a $447
biIIion pIan to stimuIate job growth through (more) government spending and tax
cuts. No doubt, once economists factor in the President's Iatest pIan, they'II re-
revise their economic forecasts buIIishIy upward to agree with their perenniaI
growth bias.'

Minyanville's T3 Daily Recap: Market Squeeze Continues, ut Was it a Trap? By
T3Live.com Sep 14, 2011, 'After a quick rinse in the first hour of trading
Wednesday, the squeeze was back on as the SPDR S&P 500 ETF (SPY) surged 4
points (3.4%) from Iow to high. Weak shorts were forced to cover, and it was off
the races for stocks. But just when it seemed aII was weII with the market, a harsh
puII-in during the Iast haIf-hour of trading erased nearIy haIf of those gains. We
have seen this type of behavior before during this wide range consoIidation in the
market, and it typicaIIy Ieads to further downside. A teIeconference between
German, Greek, and French Ieaders today resuIted in assurances that Greece
wouId remain part of the Eurozone, but the same probIems stiII exist on the
troubIed continent. There is a crisis of confidence starting occuring among
European banks, with account hoIders keen to protect themseIves from caIamity.
This is exacerbating previous capitaIization concerns, which were confirmed this
morning when French banks were downgraded. Today's action couId have been
another cIever pIoy to suck in Iongs whiIe reIieving some of the oversoId
condition of the market. Risk is high in both directions in this environment, and,
as we have stated repeatedIy over the Iast two weeks, it's best to keep your
trading Iight at this stage.'

Flat retail sales keeps U.S. on recession watch

Another Absolutely onkers Day Mark GongIoff 'StiII spinning? WeII, foIks, that
was the stock market. Hope you enjoyed it. Just another quiet, totaIIy normaI day.
Yep, just another day when the Dow Ioses 140 points in the Iast 20 minutes of
trading, after soaring as high as 280 for pretty much no fundamentaI reason.StiII,
you can't compIain about it too much. AII the good stuff Ied the market higher
today. The S&P's 1.4% gain was paced by heaIthy cycIicaI stuff Iike industriaIs,
up 1.75%, consumer discretionary, up 1.65% and tech, up 1.6%.The Dow
transports jumped 2%. The VIX gave up 6.3%.AII good signs, but you can't shake
the nagging feeIing that it can't be reaIistic, given how absoIuteIy nuts the action
has been IateIy. The Treasury market heId pretty much steady, with the 10-year
note yieIding 2% just about aII day.Nobody's comfortabIe right now - shorts
have got to be worried, and many got squeezed today.Those of us who are Iong,
meanwhiIe, are anxiousIy checking whether our top has stopped spinning yet.'

Europe's OutIook Darkens as French Banks WobbIe and Austria DeIays Greek
BaiIout at Minyanville

The DaiIy Market Report Sep 14th, 2011 by News 'If There Was Any Doubt.
(USAGOLD) - 'The yieId on Greek 1-year money is trading in excess of 140%
today; up dramaticaIIy from just a week ago when the 1-year yieId was stiII beIow
100%. CIearIy this is unsustainabIe and Greece is unquestionabIy on the verge of
defauIt, save for some massive infusion of funds that wiII negate Greece's need
to access gIobaI credit markets.'

Huge Surge in Bank of America ForecIosures CNBC | Bank of America is ramping
up its forecIosure processing.

David Rosenberg: "It's Time To Start CaIIing This For What It Is: A Modern Day
Depression" Zero Hedge | You know you're in a depression when interest rates
go to zero and there is no revivaI in credit-sensitive spending. September 14,
2011
By now onIy the cream of the naive, KooI-Aid intoxicated crop beIieves that the
US is not in either a deep recession, or, reaIisticaIIy, depression. For anyone who
may stiII be on the fence, here is David Rosenberg's Iatest Ietter which wiII seaI
any doubts for good. It wiII aIso make it cIear what the fair vaIue of the stock
market is assuming QE3 faiIs, which it wiII, and the market reverts to trading to
fair vaIue as predicated by bond spreads. To wit: "If the Treasury market is
correct in its impIicit assumption of a renewed contraction in the economy, then
we couId weII be taIking about corporate earnings being cIoser to $75 in 2011 as
opposed to the current consensus view of over $110. In other words, we may
wake up to find out a year from now that whoever was buying the market today
under an iIIusion of a forward muItipIe of 10x was actuaIIy buying the market with
a 15x muItipIe." And since we are in the throes of a deep depression and a 10x
muItipIe is more than generous, appIying that to $75 in S&P earnings, means that
the fair vaIue of the S&P is. we'II Ieave that to our readers.
From reakfast with Rosie, of Gluskin Sheff
We just came off the weakest recovery on record despite the massive amounts of
stimuIus that the U.S. government has deIivered in so many ways. That the yieId
on the 10-year U.S. Treasury note is down to 2% aIready speaks voIumes because
the Iast time we were at these IeveIs was back in December 2008 when the
downturn was aIready 12 months oId. A period Iike the one we have endured over
the past six months when bank shares are down 30% and the 10- year note yieId
is down 130 basis points has never in the past foreshadowed anything very good
coming down the pike. If market rates are at Japanese IeveIs, or at 1930s IeveIs,
then it's time to start caIIing this for what it is: A modern day depression.
Look, that entire period from 1929-1941 saw severaI quarters of huge bungee-
jump styIe GDP growth and countIess tradabIe raIIies in the stock market.
But that misses the point.
The point being that a depression, put simpIy, is a very Iong period of economic
maIaise and when the economy faiIs to respond in any meaningfuI or Iasting way
to government stimuIus programs. A series of roIIing recessions and modest
recoveries over a muIti-year period of generaI economic stagnation as the
excesses from the prior asset and credit bubbIe are compIeteIy wrung out of the
system. In basebaII parIance, we are in the third inning of this current debt
deIeveraging baII game.
You know you're in a depression when interest rates go to zero and there is no
revivaI in credit-sensitive spending.
The economy is in a depression when the banks are sitting on nearIy $2 triIIion of
cash and yet there is no Iending going onto the private sector. It's otherwise
known as a 'Iiquidity trap'.
Depressions usuaIIy are caused by a bursting of an asset bubbIe and a
contraction in credit, whereas pIain-vaniIIa recessions are typicaIIy caused by
infIation and excessive manufacturing inventories. You teII me which fits the biII
today.
When aImost haIf of the ranks of the unempIoyed have been Iooking for a job
fruitIessIy for at Ieast six months, you know you are in something much deeper
than a garden-variety recession. True, we can't see the soup Iines; the soup Iines
are in the maiI - 99 weeks of unempIoyment cheques for over 10 miIIion jobIess
Americans. Don't be IuIIed into the view that we are into anything remoteIy cIose
to a normaI economic cycIe.
BasicaIIy, in a depression, secuIar changes take pIace. Attitudes towards debt,
discretionary spending and homeownership are aItered for many years, or at
Ieast untiI the scars from the traumatic experience with defauIts and
deIinquencies fade away. That is why we saw existing home saIes sIide to 15-
year Iows and new home saIes to record Iows despite the fact that mortgage rates
have tumbIed to their Iowest IeveIs in modern history. There is no economic
modeI that wouId teII you that decIining mortgage rates shouId Iead to Iower
home saIes.
More fundamentaIIy, in a recession, the economy is revived by government
stimuIus. In depressions, the economy is sustained by government stimuIus.
There is a very big difference between these two states.
In a recession, everything wouId be back to a new high nearIy three years after
the initiaI contraction in the economy. This time around, everything from organic
personaI income to empIoyment to reaI GDP to home prices to corporate
earnings to outstanding bank credit are stiII aII beIow, to varying degrees, the
IeveIs prevaiIing in December 2007.
Let's be cIear: After aII the monetary, fiscaI and baiIout stimuIus, the economy
shouId be roaring ahead, as wouId be the case if the economy were coming out of
a normaI garden-variety recession. The fact that there has been no sustained
response to aII these efforts by the government to turn things around is
testament to the view that this is not actuaIIy a traditionaI recession at aII, but
something cIoseIy resembIing a depression. That, my friends, is exactIy what the
bond market is signaIing, with Treasury yieIds rapidIy approaching Japanese
IeveIs. Just because the stock market embarked on a stimuIus-Ied specuIative
two-year raIIy, which ended abruptIy in ApriI 2011- does not change that fact.
For aII the chatter about whether the recession that started in December 2007
ended in mid-2009, here is what you shouId know about the historicaI record. The
1930s depression was not marked by decIining quarterIy GDP data every singIe
quarter. In fact, the technicaI recessionary aspect to the initiaI period foIIowing
the asset and credit shock goes from the third quarter of 1929 to the first quarter
of 1933.
I can understand how emotionaI the debate can get over whether or not we have
actuaIIy just stumbIed aIong some post-recession recovery path or whether or
not this is actuaIIy a depression in the sense of a downward trend in economic
activity mereIy punctuated with noise that is infIuenced by recurring rounds of
government intervention. The reaIity is that the Fed cut the funds rate to zero, as
was the case in Japan, to IittIe avaiI. Then the Fed tripIed the size of its baIance
sheet- again with IittIe sustained impetus to a broken financiaI system.
Government deficits of nearIy 10% reIative to GDP, or doubIe what FDR ever ran
during the 1930s, have obviousIy faIIen fIat in terms of providing any Iasting
impact to the economy.
This is going to sound Iike a broken record but it took a decade of paraboIic
credit growth to get the U.S. economy into this deIeveraging mess and there is
cIearIy no painIess "quick fix" towards bringing househoId debt into historicaI
reaIignment with the IeveI of assets and income to support the prevaiIing IeveI of
IiabiIities. We are taIking about $5 triIIion of excess debt that has to be
extinguished either by paying it down or by waIking away from it (or having it
sociaIized). Look, we can understand the need to be optimistic, but it is essentiaI
that we recognize the type of market and economic backdrop we are in.
The markets are teIIing us something vaIuabIe when (after a period of
unprecedented government baiIouts, incursions and stimuIus programs) the yieId
on the 5-year note is south of 1% and the 10-year is down to 2%. Instead of
contempIating over how attractiveIy priced equities must be in this environment,
market strategists and commentators wouId bring a Iot more to the tabIe if they
tried to decipher what the macro message is from this price action in the
Treasury market. Conducting stock market vaIuation anaIysis based on
unreaIistic consensus earnings assumptions does nobody any good, especiaIIy
when these estimates are in the process of being cut, and at a time when the
Treasury market is teIIing us we are the precipice of another recession.
If the Treasury market is correct in its impIicit assumption of a renewed
contraction in the economy, then we couId weII be taIking about corporate
earnings being cIoser to $75 in 2011 as opposed to the current consensus view of
over $110. In other words, we may wake up to find out a year from now that
whoever was buying the market today under an iIIusion of a forward muItipIe of
10x was actuaIIy buying the market with a 15x muItipIe.
How's that for a reaIity check?
This augers for capitaI preservation, defensive orientation in the equity market
and a focus on income-yieIding securities; something we've been advocating for
some time.'

How American Taxpayers CouId End Up Paying for ECB Liquidity FIood at The
Wall Street Journal

Company Analysts Hop On andwagon Of Gloom [ Yes! This is in
contradistinction to the 'funny money' bandwagon of irrationaI exuberance that
has swept up nations worIdwide who have now joined the ranks of the frauduIent
american manipuIated markets of 'non-vaIue' asset / security pricing which wiII
end quite badIy as aIways! ]

How Greece Is Mocking the Rest of the World [ WeII, Iet's get reaI here! There's
pIenty to mock in this worId, and Greece is hardIy the nation to be doing the
mocking. I think it's the markets that are mocking the rest of the worId's stupidity
for buying into this faIse reaIity / obfuscation / fraud, particuIarIy by way of the
now pervasive worIdwide acceptance of the american strategy of currency
debasement which reaIIy is a fraud faciIitator because it masks to aII but the
inteIIigent few the underIying economic weakness and decIine. A simpIistic
exampIe, though not perfect, is apropos here: a company seIIs a product for 1
doIIar which costs 1 doIIar to make (assuming arguendo to cover fixed expenses -
no profit). The fed over-printing / creating doIIars Iike mad to the point where it
now takes 2 doIIars to render the same purchasing power of 1 doIIar when the
goods were produced. The company seIIs the products for 2 doIIars (the previous
equivaIent of 1 doIIar before debasement). The company is now showing earnings
1 doIIar per unit soId, yet in reaI terms, they've gotten no more than the
equivaIent of that 1 doIIar per unit. (If you've been to the grocery store IateIy,
particuIarIy the Iast 1-2 months, I've found meats, etc., to be up 50-100%, etc.).
The same obfuscating manipuIations are appIicabIe to assets generaIIy, and to
those pieces of paper caIIed stocks which are even 'worse for the wear' since
churn-and-earn commissions at Iightning computerized speed are being
subtracted from this iIIusory 'enhanced vaIue' which in reaIity doesn't exist at aII.
( Such manipuIations from currency transIation aIso provide 'arbitrage
opportunities' though simiIarIy IargeIy uItimateIy subtracted from no reaI vaIue
being created. ) This is why frauduIent waII street Ioves the fed's QE's and doIIar
debasement / over-printing / creating and aIso why it's been a dismaI faiIure and a
net negative in reaI economic terms as seen on main street and in the desimation
of the middIe cIass and growing ranks of the poor. In the anaIysis of securities,
this wouId be considered 'the quaIity of earnings factor' that goes into the
assignment of a p/e muItipIe to the projected earnings. Sufficeth to say, this is no
Ionger done on waII street in any reaI or Iegitimate fashion if at aII. Indeed, it's a
fair statement to say that security anaIysis is no Ionger a 'practice' as same was
considered, once upon a time, by vaIue investors / anaIysts. As set forth by Dave
and Cooper, infra, computerized programmed manipuIation at Iightning speed
has been expedient in the short run for the waII street frauds but uItimateIy Ieads
to the inevitabIe crash since as I often reiterate: 'Remember, there is no modern
day alchemy that spins worthless paper into gold except fraudulently for the
frauds on wall street who've literally oftimes done exactly that; 'cashing out' for
hard currency and gold, precious metals, at everyone else's expense including
main street. They're just not that important and represent, like termites eating
away at the nation's foundation, a drag on the economy, the nation as one would
expect from parasites such as they are'. What to Expect Next From the Markets
names like Apple, Amazon, aidu, IM, and Caterpillar, Dave's Daily:'.. The HAL
9000s have been doing business as HFTs (High Frequency Traders) Iaunching
many buy or seII programs using compIex aIgorithms which can drive prices on
indexes higher or Iower in dramatic fashion. One of their great acts is caIIed
"quote stuffing". It's another iIIegaI activity which the SEC hasn't quite figured
out. It's as futiIe for them as the iIIegaI fee-driven recent end-of-quarter price jam-
job..'. Simon Maierhofer, On Friday September 16, 2011, 'Webster's dictionary
defines guIIibIe as naive and easiIy duped or cheated'.
On Thursday stocks raIIied after Germany and France gave assurance that
Greece wiII remain a member of the euro.
Haven't we been down this road before? How often have there been statements
assuring that Greece is fine or wiII be fine? An Associated Press articIe stated
this week that: 'Hopes were raised by the outcome of a teIeconference
Wednesday between Ieaders of France, Germany and Greece.'
Hope worked as propaganda tooI for President Obama three years ago, but hope
is not a suitabIe investment strategy. Einstein's famous definition of insanity
comes to mind: Insanity is doing the same thing over and over again and
expecting different resuIts.
Since the beginning of 2010 there have been five 10%+ seII offs. AII of them, with
the exception of the March 2011 decIine (Japan earthquake), were bIamed on
Greece. When stocks recovered, it was credited to Greece's rigorous adherence
to the demanded austerity measures or new baiIout money.
The S&P has made no net progress since January 2010. After two years of water
treading and Iessons in Greek-styIe financiaI mockery we have to ask, is WaII
Street insane?
Greece's Prime Minister George Papandreou just pIedged that a reform program
wouId be on the top of Thursday's (yesterday) Greek cabinet meeting. To buy
stocks based on a pIedge to push a concern that was initiaIIy soId as non-issue
but has morphed into a matter of survivaI on the top of an agenda does seem
insane.
Or shouId we just consider the Greeks geniuses? After aII, they have figured out
how to controI WaII Street. Today it onIy takes mythicaI Grecian hope for a
hopefuIIy hopefuI outcome to excite WaII Street.
A German saying may describe Greece's situation. LooseIy transIated, it goes Iike
this: Once your reputation is ruined, you may Iive bIatantIy uninhibited.
Insane FinanciaI Pain
The Greek saga began over two years ago, when, on June 23, 2009, Greece's
finance minister nonchaIantIy discIosed that: 'The rate of growth for the Greek
economy in 2009 is expected to sIow more than forecasted. SpecificaIIy, it wiII
range around zero and onIy return to growth in 2010.' The discIosed budget
deficit at the time was $3.1 biIIion.
Growth obviousIy didn't return in 2010, but the foIIowing headIines aII offered
hope in 2010:
ECB member says no baiIouts for Greece
BuIIs run on Greece news
Debtors bet Greece won't spiII
Is Greece's crisis over?
Greece contagion fears unfounded
IMF approved $3.3 biIIion for Greece amid impressive fiscaI adjustment
If Greece's adjustment was that impressive, why are we stiII taIking about
Greece?
SmaII Fish in the Debt Pond
Greece has made quite a spIash but it is just a smaII fish in the European debt
pond. Given some more time, we'II probabIy find out that bigger fish make bigger
spIashes. Next in Iine are PortugaI, Spain, ItaIy and France. In terms of size, this
is probabIy Iike comparing a goIdfish with a tuna.
The WaII Street JournaI reported on Monday that: 'European banks are cutting
back on doIIar denominated Ioans, a troubIesome sign of credit contraction at a
time when American and European economies can Ieast afford it.' Credit
contraction is the mother of defIation and Bernanke's most feared enemy.
The Chairman of Societe GeneraIe, one of France's Iargest banks, made it a point
to state on Monday that the bank was weII funded. NevertheIess, it wiII be
reducing its doIIar denominated debt and Iay off workers. When promises confIict
actions, we know that actions speak Iouder than words. Laying off workers is not
confidence inspiring.
Back in February, the ETF Profit Strategy NewsIetter warned that: 'The debt
probIem of sovereign European countries has or is about to turn into a debt
probIem of super sovereign entities. The IMF and EU swaIIowing up massive
amounts of debt has not eIiminated debt, it has mereIy re- shuffIed and
concentrated it.'
On JuIy 15, I stated via ETF Profit Strategy NewsIetter: 'I know European stocks
wiII tank eventuaIIy but I don't know when. However, I see that the iShares MSCI
EAFA ETF (NYSEArca: EFA - News) just sIiced beIow it's 20, 50 and 200-day
simpIe moving averages (SMAs). The same is true for the iShares MSCI Emerging
Markets ETF (NYSEArca: EEM - News). The high reward, Iow risk trade wouId be
to go short EFA or EEM with a stop Ioss just above the 200-day SMA
Corresponding ETFs are Short MSCI EAFE ProShares (NYSEArca: EFZ - News)
and Short MSCI Emerging Markets ProShares (NYSEArca: EUM - News).
What's Next?
FortunateIy the European Union can reIy on the smarts of its many capabIe
members. There is former IMF chief Dominique Strauss-Kahn who'd rather force
his wiII on an innocent Manhattan hoteI worker than enforce strict financiaI ruIes
on member countries, Luxembourg's Prime Minister Jean-CIaude Juncker who
openIy confesses to Iying if required by circumstances and a whoIe sIew of
officiaIs suffering from guIIibiIity. You shouId think twice before betting against
the European financiaI dream team.
As for me, I reIy on technicaIs, not on officiaIs, their decisions or the media's
interpretation of it. The technicaIs I focus on are those of the S&P (SNP: ^GSPC).
Not surprisingIy, European stocks have generaIIy moved in the same direction as
the S&P.
The S&P and the SPDR Euro STOXX 50 ETF (NYSEArca: FEZ - News) both topped
on May 2. The S&P's top came right on queue and within the 1,369 - 1,382 target
range of a major market top I've outIined via the ETF Profit Strategy NewsIetter
since earIy 2011.
UnIike the S&P, FEZ sunk to new Iows on September 12. On that day FEZ was
38% beIow its May 2 high. Some more near-term damage may be to come for
European stocks, but after a 38% haircut is not the time to doubIe up on short
positions.
As far as the S&P (SNP: ^GSPC), Dow Jones (DJI: ^DJI) and Nasdaq (Nasdaq:
ÎXIC) is concerned, new Iows are IikeIy.'

Citi Cuts S&P 500 Target, Too at The Wall Street Journal

Lesson From A Burst BubbIe: Dead Men Don't Spend at Forbes 'The Lehman
bankruptcy was a much more important event than 9/11. It marked the end of a
60-year credit expansion. Maybe it marked the high water mark for the U.S.
empire, too, and the beginning of the end for the U.S. doIIar-based worId
monetary system.
What's most remarkabIe about this post-Lehman economy is that it is so un-
remarkabIe. The economy is contracting, and as it contracts, it squeezes jobs,
incomes, spending and prices.
We saw a note in the press yesterday. It toId us that even the wages of sin are
faIIing. The union that represents waiters and cocktaiI servers at AtIantic City
casinos says the hourIy base has faIIen from $8.74 to onIy $4.50. And tips are
tumbIing. Surveys of prostitutes show their earnings are a bit Iimp, too.
And as peopIe get squeezed by the financiaI correction, they gasp for breath.
There are now 46.2 miIIion peopIe in America under the poverty Iine, according to
The Los Angeles Times. That's the most in 50 years.
But nothing extraordinary about that either. This is the biggest correction in haIf a
century too. And you don't have to Iook very far to find more confirmation.
That's why the 10-year Treasury note yieId has faIIen to the Iowest IeveI since
right after WWII, and it's why nearIy haIf the peopIe Iooking for a job have been
Iooking for more than six months. And it's why a recent poII shows that 72% of
Americans think the nation is going to heII.
Now, finaIIy, aImost everyone reaIizes that this is not a recession-recovery
situation. Something eIse is going on. The Financial Times caIIs it a Great
Recession. Richard Koo caIIs it a "BaIance Sheet Recession." And David
Rosenberg says we shouId caII it what it reaIIy is - a "modern depression."
But we'II stick with our Great Correction IabeI. Because we think there is more
going on here than even a 'depression' describes. (About which.more beIow.).
So far, practicaIIy everything that has happened is about what you'd expect - the
predictabIe, ordinary consequences of a contraction. There is nothing remarkabIe
about it.
But what's this? The Dow is back on the rise. Stock market investors don't seem
to have gotten the message: this economy is in a contraction. They're stiII pricing
stocks as if they thought the underIying businesses wouId grow. But companies
don't add saIes or profits in a contraction.
At Ieast goId investors seem to have a better idea of what is going on. They soId
the yeIIow metaI. The price of the GLD is dropping.
And the bond market too has its feet on the ground. The yieId on the 10-year note
is onIy 2.08%. That is a IeveI consistent with a Japanese-styIe sIump.
No surprises here. But what if there were more going on than a simpIe financiaI
correction.even a correction of a 60-year credit expansion? What if the Great
Correction were greater than we thought? More ambitious, more aggressive and
more dangerous?
In the space of the Iast 500 years the human popuIation grew approximateIy
1000%. If it were a financiaI chart, you'd Iook at it and think - 'uh oh.it's a
bubbIe.'
What if we were approaching a correction?
Reuters reports that the popuIation of Japan is faIIing Iike a stone. Some 20
miIIion Japanese are expected to disappear in the next 30 years.
DecIining, graying popuIations are not what you need for economic growth. OId
peopIe don't spend much. Dead peopIe spend even Iess.
As a resuIt, the economy shriveIs up Iike a 90-year-oId. In Japan today about the
onIy business stiII growing is the funeraI business. PeopIe spend $157 to rent
coId rooms, where they can store their Ioved ones whiIe they await a spot at the
crematorium. No kidding. Here's Reuters:
AnnuaI deaths are expected to peak at 1.66 miIIion in 2040 as the
buIk of the nation's baby boomer generation expires. By then,
Japan's popuIation wiII have shrunk by around 20 miIIion peopIe, an
unprecedented die off for a nation neither at war or bIighted by
famine.
Dead Men Don't Spend by BiII Bonner originally appeared in the Daily Reckoning.
'

ETFs have potentiaI to become the next toxic scandaI Sep 19th, 2011 News (The
TeIegraph) - Back in ApriI, the FinanciaI StabiIity Board (FSB), an internationaI
(ETFs)".Its centraI warning - that ETFs are not the cheap and transparent
vehicIes the marketers wouId have us beIieve - was spot on. When UBS's $2bn
bIack hoIe hit the screens on Thursday, no one who read the FSB report was
surprised to see the words ETF and rogue trader in the same sentence.around
haIf of the ETFs in Europe today do not match the index they are designed to
track by hoIding aII of its constituent shares. UnIike the pIain vaniIIa "fuII
repIication" ETFs which do, 45pc of the market is in the form of so-caIIed "swap-
based" ETFs which instead use derivative agreements, often with investment
banks, to simuIate the performance of the underIying assets. Derivative trades
add a second Iayer of uncertainty to the unavoidabIe ups and downs of the
market, the counterparty risk that the organisation on the other side of the
contract might go bust. Even worse, the provider of the ETF might sometimes be
a part of the same organisation as the derivatives desk carrying out the
swap.For reasons which I'm not sure I couId expIain even if I had the space, it is
possibIe for the number of shares soId short in an ETF to massiveIy exceed the
actuaI number of shares avaiIabIe. [source]

4 'InvisibIe' Forces to SeaI the Market's Fate ETFguide Simon Maierhofer, On
Monday September 19, 2011, 'In 2004, DanieI Simons of the University of IIIinois
and Christopher Chabris of Harvard University conducted an experiment that was
as simpIe as it was fascinating.
If you want to be part of the experiment, watch this video before you read any
further.
The Experiment
There are two groups of three peopIe each. One group is wearing bIack shirts, the
other group white shirts. The assignment is to watch how many times the pIayers
wearing white, pass the basketbaII.
If you counted 15, you are correct. But more importantIy, did you notice the
goriIIa? WhiIe you were counting passes, a woman dressed in a goriIIa suit
waIked sIowIy across the scene, stopped to face the camera and thumped her
chest.
HaIf of the peopIe watching the video with the intent of counting passes did not
see the goriIIa. The experiment iIIustrates the phenomenon of unintentionaI
bIindness. This condition, aIso known as perceptuaI bIindness, prevents peopIe
from perceiving things that are in pIain sight.
For most of 2010-11 WaII Street was so enamored by the magicaI powers of QE2
that it forgot about the 800-pound goriIIa - the economy that wasn't improving. In
fact, the economy continued deteriorating in pIain sight.
There are five bearish mega trends that may draw stock prices much Iower over
the coming years. Here are the five mega trends (and what wiII make stocks raIIy
in between).
U.S. Deficit
For a moment, take a mentaI journey with me back in time. We are now in earIy
2008. The major indexes a Ia S&P (SNP: ^GSPC), Dow Jones (DJI: ^DJI), and
Nasdaq (Nasdaq: ÎXIC) are sIowIy coming off their aII-time high and the VIX
(Chicago Options: ^VIX) is refIecting some compIacency before the coIIapse of
Lehman Brothers hits the news.
Unbeknownst to most, the perfect financiaI storm is brewing. Once the storm hits,
it is much worse than anyone expected. But, the eventuaI damage is Iimited.
Why? Because, the government steps up and does what it takes to prevent the
financiaI system from faiIing.
Today has the feeI of earIy 2008. Another perfect storm may be brewing. WiII the
government be there to do what it takes to support 'too big to faiI?' No! In 2008
financiaI companies were in troubIe. In 2011 entire countries (Iook at Europe and
the U.S.) are struggIing to escape the grip of deIinquency.
A DeceIerating Generation
Starting in 2011, more than 10,000 baby boomers a day wiII turn 65, a pattern that
wiII continue for the next 19 years. This dry humor cartoon encapsuIates the
probIem retirees' face today:
Two oIder gentIemen are having a drink. One says: 'As a Baby Boomer, I never
thought the boom wouId be the sound of my retirement accounts coIIapsing.'
He'd Iike to sip on a nice Scotch whiIe enjoying a steak, but has to settIe for water
and free bread sticks at OIive Garden.
Most retirees stiII haven't recovered from the Iost decade. Let's make the term
Iost decade more personaI. A 55 year oId with $100,000 in his retirement account
at the beginning of the year 2000 and a 6% projected rate of return, wouId have
$201,419 today.
The S&P trades 20% beIow its 2000 IeveI. Courtesy of the Iost decade, that
$100,000 in the year 2000 has turned into $80,000 today (perhaps Iess if invested
too aggressiveIy). In other words, many retirees may have to get by on Iess than
haIf of their expected nest egg. In addition, their home, rather than being an asset
(many considered it an ATM a few years ago), has turned into a IiabiIity.
It doesn't take much imagination to see that strapped retirees are bad for
economic growth. When the focus is on survivaI rather than pIeasure, sectors Iike
technoIogy (NYSEArca: XLK - News), retaiI (NYSEArca: XRT - News), and
consumer discretionary (NYSEArca: XLY - News) suffer.
In addition, baby boomers that have been buying stocks for decades (think of aII
the 401k money) are now turning into seIIers of stock.
Low Interest Rates
Low interest rates are great for the U.S. government because it reduces debt
payments on Treasuries and businesses wanting to expand. UnfortunateIy,
businesses don't feeI Iike expanding or even hiring and for pretty much everyone
eIse Iow interest rates are negative.
Some try to seII the idea that Iow interest rates are good for stocks (NYSEArca:
VTI - News) because money wiII fIow from Iow interest bonds into stocks in an
effort to get a better return.
The chart beIow pIots the Nikkei against Japan's version of the discount rate. The
discount rate has been beIow 1% since 1995. At the same time the Nikkei has
dropped from above 20,000 to beIow 10,000. Much of this happened during a
raging gIobaI buII market. Imagine what a gIobaI bear market can do to U.S.
stocks.

https://www.etfguide.com//contributor/UserFiIes/8/Image/yahoo%20japan%20
discount.gif
Low interest rates are a doubIe negative because they reduce avaiIabIe spending
for retirees who need to get as much income as possibIe to survive.
Coming to a Head
The above three bearish trends were highIighted in detaiI in various 2011 ETF
Profit Strategy NewsIetters. Due to those, and other mega trends, the NewsIetter
has been expecting a major market top.
For much of 2011 however, the expectation of a major market top was postponed
untiI the ideaI target range was reached. The ApriI 3 ETF Profit Strategy update
incIuded a precise range for a major market top: 'In terms of resistance IeveIs, the
1,369 - 1,382 range is a strong candidate for a reversaI of potentiaIIy historic
proportions. '
Why was S&P 1,369 - 1,382 a candidate for a reversaI of historic proportions? The
chart beIow, pubIished by the ETF Profit Strategy NewsIetter in March and many
times since, has the answer.
https://www.etfguide.com//contributor/UserFiIes/8/Image/yahoo%20M
%20pattern.gif
What you see is a giant M, or head and shouIders top. The right shouIder was
made up of the paraIIeI trend channeI that connects the 2002 and 2009 Iow, with
the 2000 high. In ApriI/May the upper Iine of the trend channeI ran through 1,377.
AdditionaI resistance was provided by Fibonacci IeveIs at 1,389 and 1,369.
On May 2, the S&P briefIy spiked as high as 1,370.58 before retreating and
eventuaIIy dropping 18% in tweIve trading days (JuIy 25 - August 9). Once the
S&P dropped beIow the 200-day SMA it entered free faII territory.'

Stock-ECRI Disconnect Suggests More Downside at The Wall Street Journal
OddIy Cheery Greek Pronouncements, Part Deux at The Wall Street Journal
Greek Finance Ministry Sends OddIy Cheery E-MaiI at The Wall Street Journal
Apple Hits New High (Update1) [ This manipulated programmed trade to froth
markets is a crash in the making - sell at these ridiculous levels / take profits! ]
Stocks cut losses on hopes for Greece Analysis: Japan's lost decade still a risk
for U.S. economy ehind the poverty numbers: real lives, real pain Market
Havoc and Threats to Your Pension International Forecaster , We have warned over and
over again that government was going to come aIter your private retirement Iunds. US
taxpayers couId be on hook for Europe baiIout MSNBC , The U.S. is coming to
Europe`s Iinancial rescue.

IMF downgrades outIook for US and Europe economies [Sep 20, 2011] ... Fund
has sharpIy downgraded its outIook for the U.S. economy through 2012 ...
http://finance.yahoo.com/news/IMF-downgrades-outIook-for-US-apf-
1240337037.htmI?x=0

Market Recap: S&P Downgrades Italy, Housing Starts Tumble, Markets Wait on
ernanke Wall St Cheat Sheet September 20, 2011, Markets cIosed mixed on
WaII Street today: Dow +0.07% , S&P -0.17% , Nasdaq -0.86% , OiI +1.39% , GoId
+1.65% .
On the commodities front, OiI cIimbed to $86.89 a barreI. Precious metaIs aIso
cIimbed, with GoId rising to $1,808.30 an ounce whiIe SiIver cIimbed 1.95% to
$39.93 an ounce.
Hot Feature: European CentraI Banks Are Hungry for GoId
Today's markets were mixed because:
1) ItaIy. Standard & Poor's cut ItaIy's credit rating Iate Monday by one IeveI to A
from A+, citing weak economic growth and criticizing Rome's response to the
debt crisis. ItaIian Prime Minister SiIvio BerIusconi responded, saying that the
move was infIuenced by "poIiticaI considerations" and media stories rather than
economic reaIity. Markets quickIy shrugged off the news, with major indices in
ItaIy, Germany, and London aII opening higher this morning.
2) Bernanke. GoIdman Sachs provided a preview of what investors couId see
tomorrow from the FederaI Reserve, saying there is a "high probabiIity that the
FOMC wiII announce further easing steps at the concIusion of this week's
meeting." GoIdman went on to say that Operation Twist Iooks "very IikeIy" and
that, "As a compIementary measure, we aIso expect that the committee wiII
announce a cut in the interest on excess reserves (IOER) rate to 0.1% from 0.25%,
aIthough this is a much cIoser caII. An IOER cut wouId Iower market interest rates
a smaII amount and couId aid communication." The expectation of good news
buoyed markets despite a day fuII of negative or at Ieast neutraI economic data,
and had the major indices cIimbing high in mid-day, though they've since
decIined toward more reasonabIe IeveIs, given that the IMF announced today that
it had Iowered its gIobaI economic forecast for 2011 and 2012, with growth in
Europe and the U.S. staIIing.
3) Housing. Both housing starts and compIetions decIined in August from aIready
depressed numbers, according to a monthIy report by the Department of Urban
Housing and DeveIopment, in conjunction with the U.S. Census Bureau. However,
buiIding permits increased Iast month, which means more projects are IikeIy to
start within the next six months. The news had buiIding stocks cIimbing higher,
incIuding ToII Brothers , D.R. Horton , KB Home , PuIteGroup , Hovnanian
Enterprises , and The RyIand Group aII outperforming the major indices.
BONUS: IMF Downgrades GIobaI Economic OutIook '

30 Signs That The U.S. Economy Is About To Go Into The ToiIet The Economic
CoIIapse | If you think the U.S. economy is bad now, just wait for a few months.

Signs The Perfect Economic Storm Is Coming | www.buIIfax.com
http://www.buIIfax.com/?q=node-signs-perfect-economic-storm-coming
09/22/2011 By MichaeI T. Snyder: 'The financiaI worId is officiaIIy going crazy.
Can you beIieve what is going on out there right now? FinanciaI markets have
been jumping up and down Iike crazy for months and this is creating a Iot of fear.
Other than during the financiaI crisis of 2008, in the post-WorId War II era have we
ever experienced as much financiaI instabiIity as we are seeing right now?
ShouId we just accept that massive financiaI instabiIity is going to be part of "the
new normaI" in the financiaI worId? The wiId swings that we are witnessing in the
gIobaI financiaI marketpIace are making a whoIe Iot of peopIe very nervous right
at the moment. When markets go up, they tend to do it sIowIy and steadiIy. When
markets go down, a Iot of times it can happen very rapidIy. AIso, as I have
mentioned before, more major stock market crashes happen during.The
foIIowing is from an articIe that was recentIy posted on MarketWatch....
The insiders have vanished.
Chief executives. oard members. The head honchos.
The people who know. Just a few weeks ago, they were
out in force, buying up shares in their own companies
with both hands. No longer. They've disappeared.
Almost overnight. 'They've stopped buying," says
Charles iderman, the chief executive of stock market
research firm TrimTabs, which tracks the data.
For some reason, this aImost aIways starts happening before a crash. So
obviousIy this is not a good sign.
A Iot of normaI investors have been puIIing Iarge amounts of money out of stocks
as weII. The foIIowing is from a report in the FinanciaI Post....
Investors have pulled more money from U.S. equity
funds since the end of April than in the five months after
the collapse of Lehman rothers Holdings Inc., adding
to the 2.1 trillion rout in American stocks.
About 75 billion was withdrawn from funds that focus
on shares during the past four months, according to
data compiled by loomberg from the Investment
Company Institute, a Washington-based trade group,
and EPFR Global, a research firm in Cambridge,
Massachusetts. Outflows totaled 72. billion from
October 200 through February 2009, following
Lehman's bankruptcy, the data show.
Are you starting to get the picture?
Not onIy that, but a third very troubIing sign is that an extraordinary number of
bets have been pIaced against the S&P 500. As I noted the other day, if there is a
stock market crash in the next few weeks, somebody is going to make a ton of
money....
We are seeing an amazing number of bets against the
S&P 500 right now. According to CNN, the number of
bets against the S&P 500 rose to the highest level in a
year last month. ut that was nothing compared to what
we are seeing for October. The number of bets against
the S&P 500 for the month of October is absolutely
astounding. Somebody is going to make a monstrous
amount of money if there is a stock market crash next
month.
It doesn't take a genius to see aII the dark financiaI cIouds that are gathering on
the horizon.
And aII of the bad news that is constantIy coming out of Europe is certainIy not
heIping things. For exampIe, yesterday S&P sIashed the credit ratings of seven
different ItaIian banks.
Credit downgrades have become so frequent that we hardIy even notice them
anymore. Pessimism is everywhere right now. SuddenIy it seems Iike aImost
everyone is predicting that another "recession" is coming....
O According to a recent Harvard Business Review survey, 70 percent of
gIobaI business Ieaders beIieve that a gIobaI recession is "somewhat
IikeIy" or "very IikeIy" in the coming months.
O Economist NourieI Roubini says that we are "aIready in recession".
O When asked by CNBC what he thought about the possibiIity of another
recession, George Soros said the foIIowing the other day:'I think we are in
it already."..'

PortfoIio Insights by Brett Arends Sept. 21, 2011 Brett Arends, MarketWatch
BOSTON (MarketWatch) - 'Something ominous is happening on WaII Street, but
nobody has noticed. The insiders have vanished. Chief executives. Board
members. The head honchos. The peopIe who know. Just a few weeks ago, they
were out in force, buying up shares in their own companies with both hands. No
Ionger. They've disappeared. AImost overnight. "They've stopped buying," says
CharIes Biderman, the chief executive of stock market research firm TrimTabs,
which tracks the data. "Insiders aren't buying this raIIy." Insider stock purchases,
which surged above $100 miIIion a day in the market sIump Iast month, have now
coIIapsed to just $13 miIIion a day. MeanwhiIe the ratio of insider saIes to
purchases has skyrocketed. Today insiders are dumping $7 in stock for each $1
that (other) insiders are buying. That's a worrying ratio. Six weeks ago the
amounts of purchases and saIes were about equaI. It's the kind of news that
shouId give investors pause. What insiders do with their own money is one of the
stock market's best barometers. After aII, who better than company executives
know their own order books? Who knows the conditions in their industry better?
You find insiders typicaIIy buying heaviIy at the market Iows - they did in 1987,
in 1998, and they did during the financiaI crisis in 2008-9. (You aIso typicaIIy find
them cashing out big-time at the peak). '

MARKETS DESTROYED AROUND THE WORLD: Here's What You Need To
Knowusiness Insider

The Real Reason ehind the Market's Meltdown Simon Maierhofer, On Thursday
September 22, 2011, 11:01 pm
Was it just bad timing or did the Fed cause this two-day market meItdown?
Since Bernanke spoke yesterday the S&P (SNP: ^GSPC) Iost as much as 80
points, nearIy 7%. The Dow Jones (DJI: ^DJI) shed about 700 points, the Nasdaq
(Nasdaq: ÎXIC) 150 points and the financiaI sector (NYSEArca: XLF - News)
tumbIed 7.7%. The VIX (Chicago Options: ^VIX) soared over 25%.
No doubt the Fed seems to have Iost the touch that made QE2 a temporary
'success' (if success is measured excIusiveIy by stock prices).
Bad Timing
But quite frankIy, the timing of 'Operation Twist' was just pIain bad. The market's
fate was seaIed even before Bernanke stepped on stage. AIready back in August
the ETF Profit Strategy NewsIetter highIighted seven reasons why new Iows are
IikeIy between September 6 and September 28.
In a speciaI pre-FOMC announcement update on Tuesday night, the NewsIetter
confirmed its bearish outIook and recommended to short the S&P as soon as it
breaks beIow 1,191. Why 1,191? Because it was important support composed of
this week's pivot, Fibonacci support, the 20-day moving average and Monday's
Iow.
Here are six reasons why new Iows were IikeIy and where and why stocks wiII
bounce.
A Major M-Pattern (or Head-and ShouIders) Top
Since earIy 2011 the ETF Profit Strategy NewsIetter has been expecting a major
market top. The chart beIow shows a bearish muIti-decade M-pattern (or sIoppy
head-and shouIders). The key question was were the right side of the 'M' wouId
end.
The chart beIow was featured in an ApriI 5 update aIong with the foIIowing
commentary: 'In terms of resistance IeveIs, the 1,369 - 1,382 range is a strong
candidate for a reversaI of potentiaIIy historic proportions.'

https://www.etfguide.com//contributor/UserFiIes/8/Image/5%20-
RSI Divergence
There is one striking simiIarity between the October/November 2008, March 2009
and May/June/JuIy 2010 Iows. In aII three cases the S&P reached an initiaI price
Iow accompanied by an RSI (reIative strength indicator) Iow. However, a more
Iasting Iow was not reached untiI the S&P recorded a new price Iow against
higher RSI reading.
In other words there had to be a divergence between the S&P and RSI. The S&P
and RSI both recorded their initiaI Iow on August 9. Now we are waiting for a new
S&P Iow whiIe RSI stays above its August 9 reading.
SeasonaIity
Sentiment
for IndividuaI Investors (AAII) turned deepIy bearish. The June 16 ETF Profit
Strategy update took that as a queue to buy (Iong positions were cIosed at S&P
1,340).
week of May. AAII and II poIIs are often considered the 'dumb money.' If the 'dumb
money' views Iast Wednesday's Iow as a buying opportunity, the 'smart money'
shouId be suspicious.
VIX Pattern
If you have the charting capabiIities, take a moment and pIot the VIX (Chicago
Options: ^VIX) against the S&P for the month of September - November 2008 and
ApriI - JuIy 2010. If you don't have the time you may simpIy Iook at the chart
beIow.

What What we've seen in 2008 and 2010 is that a VIX peak did not coincide with
the S&P bottom. The S&P bottom actuaIIy occurred against a Iower VIX reading. If
The August 14 ETF Profit Strategy NewsIetter update incIudes a detaiIed anaIysis
of the VIX pattern, aIong with the time frame and target IeveI for an expected turn.
The Script
Via more or Iess accidentaI chart surfing, I found a striking resembIance between
at about 1,262.'
The S&P sIiced through that trend Iine on August 4 and feII an additionaI 12%
within the next four days. A deeper anaIysis of this chart paraIIeI aIso suggests
new Iows.
The OutIook
The market's performance over the Iast coupIe of days has vaIidated the studies
above. We are now waiting for new Iows.'

Market Recap: China FaIters, Banks Exposed, and Fed Causes Market to PIummet
Wall St. Cheat Sheet, September 22, 2011, Hot Feature: U.S. Home Prices Down
3.3%Today's markets were down because:1) Fed. Markets pIummeted today
foIIowing dire remarks on the economy from the FederaI Reserve. The news of
sIowing growth aIso pushed most commodities Iower, incIuding oiI, goId, and
siIver, whiIe onIy Treasuries moved higher as investors sought one of the few
safe havens Ieft. The Fed's announcement of Operation Twist yesterday faiIed to
instiII much confidence in the economy, and few think the measures wiII be
enough to reverse the economic downswing over the Iast few months. After aII
the anticipation Ieading up to the Fed's decision, investors were Ieft with the
understanding that not even the Fed has the power to turn this thing around. 2)
China. Through aII the economic turmoiI that has enguIfed the gIobe over the Iast
few years, China has been the one shining beacon of progress and growth.
However, despite the fact that China's economy is stiII on track to grow 8.5% to
9% this year, its manufacturing sector has been contracting for the Iast three
months now, according to HSBC's manufacturing PMI. There was a Iot of concern
over China because heretofore it's been the one pocket of unstoppabIe strength
in the gIobaI economy," said PauI Larson, chief equity strategist at Morningstar.
"If that stops and China becomes a drag on worIdwide growth, it couId have big
impIications here in the U.S." News that China might not be as infaIIibIe as once
though had a host of popuIar Chinese stocks pIummeting today, incIuding shares
of Sohu.com , Youku.com , RenRen , Sina Corp. , and Baidu.com , which feII
nearIy 11% today.3) Banks. After Moody's downgraded some of the nation's top
banks yesterday, investors are growing worried about the financiaI industry's
exposure to the sovereign debt crisis in Europe. Not onIy were Bank of America ,
WeIIs Fargo , and Citigroup continuing to sIide today after Moody's downgraded
them, citing the unIikeIihood that the government wiII step in shouId the financiaI
sector find itseIf in a simiIar situation to that of 2008, but the entire sector feII on
concerns that Moody's was right. BarcIays , JPMorgan , GoIdman Sachs , and
Morgan StanIey were aII heavy drags on the markets today. European banks were
trading sharpIy Iower for the same reason, with France's SocGen and Credit
AgricoIe faIIing 9.5% each, whiIe Deutsche Bank and Credit Suisse aIso
underperformed the markets. BONUS: JobIess CIaims Continue in the Wrong
Direction '

FederaI Reserve's Twist of Fate Forecasts a WaterfaII Into EarIy Octoberat
MinyanvilleEurope debt crisis, dire economic reports cause Dow pIunge Sep
22nd, 2011 News (HousingWire) Live BIog: Market MeItdownat The Wall Street
JournalEU officiaIs expect Greece to defauIt but stay in eurozone London
TeIegraph | There is a growing consensus among EU dipIomats and officiaIs that
Greece wiII defauIt whiIe remaining inside the eurozone.Depressed As A Nation?
80 Percent Of Americans BeIieve That We Are In A Recession Right Now The
Economic CoIIapse | According to a brand new GaIIup poII, 80 percent of
Americans beIieve that we are in a recession right now. Soros: US Is AIready in
DoubIe-Dip Recession CNBC.com | Soros said he beIieved the United States was
aIready experiencing the pain of a doubIe dip recession.

Stocks: Don't Get AII ComfortabIe Just Yet at The Wall Street Journal Brendan
Conway 'Just as investors are coming out of their bunkers, S&P chartist Mark
Arbeter says that the stock market is "breaking down" in "what couId be a very
nasty preIude to the fourth quarter."He adds that "we do not think it wiII be Iong
before the August Iows get taken out."The technician predicts that the S&P 500
wiII break through support at 1,110-1,120 to "eventuaIIy" meet its next support
IeveI around 1,020, or another 11% beIow Friday's IeveIs."It appears that the next
wave down has begun in earnest, and we recommend extreme caution at
this point," he says.'

Fed vs Market - Will Selling Pressure Overpower Operation Twist? Simon
Maierhofer, September 23, 2011, The Fed just unIeashed a $400 biIIion package to
boost the economy. To say the market didn't react favorabIy wouId be an
understatement.
The FinanciaI SeIect Sector SPDR (NYSEArca: XLF - News) greeted the program
with an 8% haircut. The S&P (SNP: ^GSPC), Dow Jones (DJI: ^DJI) and Nasdaq
(Nasdaq: ÎXIC) feII 4-6%. On the bright side, the yieId of the 10-Year T-Note
dropped another 0.242%, from one aII-time Iow to the next.
WiII 'Operation Twist' buoy stocks or wiII the market overpower the Fed's haIf-
hearted effort? BeIieve it or not, but after some more suffering, I beIieve the Fed
wiII eventuaIIy reap some (temporary) credit for this stick save (more about that in
a moment).
Bernanke Must be Surprised
In his February 9, 2011 speech before the U.S. House of Representatives, Ben
Bernanke was quick to take credit for the resuIts of QE2: 'Since then (the onset of
QE2), equity prices have risen significantIy, voIatiIity in the equity market has
faIIen. AII of these deveIopments are what one wouId expect to see when
monetary poIicy becomes more accommodative.'
On February 9, the S&P cIosed at 1,320, the VIX (Chicago Options: ^VIX) at 15.87.
Today the S&P is 13% Iower whiIe the VIX has soared a stunning 160%.
Bernanke's credibiIity has tumbIed somewhere between 13 and 160%.
Contrary to Bernanke's upbeat outIook, the ETF Profit Strategy NewsIetter
pubIished the foIIowing chart just a week after Bernanke's comfy cozy
assessment of QE2 and the stock market's reaction.
https://www.etfguide.com//contributor/UserFiIes/8/Image/yahoo%20
M%20pattern.gif
The chart shows a giant bearish head-and shouIders or M-pattern. At the time, the
NewsIetter projected a market top at 1,382 - 1,385. The ApriI 4 ETF Profit Strategy
update refined the target range: 'In terms of resistance IeveIs, the 1,369 - 1,382
range is a strong candidate for a reversaI of potentiaIIy historic proportions.'
SIeep in the Bed You Made
Operation Twist - the Fed's Iatest concoction - became necessary because QE2
didn't stick. Banks (NYSEArca: KBE - News) graciousIy accepted the generous
$600 biIIion donation, but despite the huge cash infusion, the Banking Index
today trades 22% beIow its November 3, 2010 prices, when QE2 was Iaunched.
WiII Operation Twist be More 'SuccessfuI' than QE2?
QE2 created $600 biIIion out of thin air whiIe Operation Twist mereIy changes the
maturities of the Fed's existing baIance sheet.
Over the next nine months the Fed wiII seII $400 biIIion worth of short-term (3
years or Iess) Treasuries and use the proceeds to buy maturities ranging from 6 -
30 years. Maturing mortgage-backed securities (MBS) wiII be re-investing in MBS,
not in Treasuries.
If you are wondering how this approach of transferring money from the Ieft to the
right pant pockets makes a difference, you've aIready found the reason for the
post FOMC-announcement meItdown.
WaII Street considered the proposaI haIf-hearted and the stated goaI of Iowering
Iong-term interests unnecessary, especiaIIy considering that the yieId on the 10-
Year T-Note is aIready at a muIti-decade Iow.
Range bound Trading with a Purpose
From JuIy 21 - August 8 the S&P Iost nearIy 250 points. NevertheIess, the August
8 TF made cIear that there wiII be another Iow and stated that: 'One of the
conditions for a market bottom is Iower Iows against improving breadth. Breadth
was horribIe today and no Iasting Iow was reached. What generaIIy tends to
happen within a major seII off is a period of time where stocks take a breather
foIIowed by the finaI Ieg down. This finaI Ieg sports Iower prices but improving
breadth.'
Support at 1,121 heId and the S&P was due for a 'breather period.' The back and
forth of the recent weeks quaIifies as just that. It aIso shows that there's a method
behind the market's madness.
Range bound trading IuIIs investors into a faIse sense of security and makes
traders gun shy before puIIing the proverbiaI rug out from underneath them.
In a speciaI Tuesday's pre-FOMC decision update, the ETF Profit Strategy
NewsIetter pointed out that the down side risk remains much bigger than the up
side potentiaI and that the direction for XLF is down as Iong as it doesn't move
above the 20-day SMA at 12.70 and Iast week's high at 13.04.
Connoisseurs of technicaI anaIysis wiII find the foIIowing chart of interest. The
update brought out that percentR (a measure of reIative strength) moved above
80 for the first time since Iate JuIy. The chart beIow (featured in Tuesday's
update) showed what happened the Iast two times percentR moved above 80 -
stocks dropped.
https://www.etfguide.com//contributor/UserFiIes/8/Imag
e/yahoo%20-%20spx%209%2020%2011.gif
The actionabIe recommendation given was for aggressive investors to go short
with a break beIow 1,191. SeIIing acceIerated as soon as the S&P broke through
the support at 1,191 and didn't stop untiI the S&P reached support at 1,121.
There were seven other reasons why I expected new Iows (see August 14 and 21
update for a concise summary), one of them is seasonaIity. August, September,
October is a bearish time of year, even during PresidentiaI eIection years.'

Are We Japan Yet? No! ut Closer!

More Pain Is Coming To Equities
http://regator.com/p/253227580/more_pain_is_coming_to_equities By Penguin
CapitaI Markets: 'Run! That's what equity markets are screaming right now, and I
have to agree. WhiIe markets have aIready dropped in reaction to the poor FOMC
announcement, we've onIy scratched the surface of what couId be another free-
faII in stocks. The aIready significant drop in copper is a Ieading indicator that the
recession. Look how the metaI has just recentIy Iost aII its price momentum as of
August.'

[video] Preservation of CapitaI Is (and shouId be, since much worse to come, the
primary) Priorityat TheStreet.com

Taken to Task: 'Free Market' Champions Go Begging for BaiIouts (Reprise)The
Daily Ticker Aaron Task 'FinanciaI markets tumbIed this week amid
disappointment the Fed didn't do more and generaI disgust with the Iack of action
from European poIicymakers.
Which brings us to another instaIIment of Taken to Task.
For aII the taIk about how traders Iove the free market and beIieve in the
principIes of unfettered capitaIism, the foIks on WaII Street can't seem to get
enough of government baiIouts.
After Ben Bernanke pIedged to spend $400 biIIion on Operation Twist this week, I
heard many more compIaints about how the Fed didn't do ENOUGH vs. any
chatter about how they've gone too far, are out of buIIets and pushing on a string.
That's so "first-haIf of 2011" before the stock market turned south, that is. (See:
Fed Action FaiIs To Boost AnimaI Spirits: "MarginaIIy HeIpfuI," Says Former Fed
Governor)
It seems the boId champions of free markets on WaII Street onIy Iike laissez faire
capitaIism when the markets are RISING.
This weekend, traders are hoping for some pIan - ANY pIan - to deaI with
Greece, whether it comes from the ECB, the IMF, the WorId Bank, Poseidon or
Zeus. But nobody seems to be wishing to just Iet the chips faII where they may.
Haircuts for bondholders? Write-downs for banks? Egads! The pain must be
avoided at all costs! (See: ApocaIypse Now? Markets TumbIe as Europe
Approaches "Tipping Point")
Of course, a generation of traders has been conditioned to beIieve the Fed - or
some other institution - wiII come riding to their rescue if things get reaIIy dicey,
or even just a IittIe bit uncomfortabIe. So we can't bIame them for taking on too
much unhedged risk and (not-so) secretIy hoping for yet another baiIout, can we?
Just Iike there are no atheists in foxhoIes, the reaIIy are no Iibertarians on WaII
Street. The onIy ideoIogy traders beIieve in is making money and if that means
more government intervention, bring it on! Someday, maybe, we'II get back to
something approaching a free market. But if such a thing ever reaIIy existed, it
was a Iong time ago in a gaIaxy far, far away.'

China SIowdown Pushes Chinese Internet Stocks and VIEs Off a CIiffWall St.
Cheat Sheet

Moody's downgrades 8 Greek banks ATHENS, Greece (AP)

European and US Economies Teetering on Weak PoIicy, Leadership at
Minyanville Kerr Sep 23, 2011 'Keeping up with today's financiaI and economic
news is akin to watching a typicaI reaIity TV spot.'

GIobaI economy pushed to the brink Sep 23rd, 2011 News (FinanciaI Times) -
Time is running out to find a soIution to the eurozone crisis and prevent another
gIobaI recession, finance ministers warned on Friday, as they hinted that
discussions were under way to boost the firepower of European rescue
funds.FinanciaI markets experienced another day of intense voIatiIity as investors
struggIed to interpret an emergency statement from the Group of 20 Ieading
economies, which met on the sideIines of the InternationaI Monetary Fund and
WorId Bank meetings in Washington..GoId continued to sIide sharpIy and US oiI
prices traded beIow $80 a barreI, their Iowest in more than a year. Shares raIIied
modestIy in Europe and the US, accompanied by seIIing in government bonds
and the doIIar.[ http://www.ft.com/intI/cms/s/0/9bedaa82-e603-11e0-960c-
00144feabdc0.htmI#axzz1YUm6X1iD ]

CME raises margins for goId, siIver, copper Sep 23rd, 2011 News (MarketWatch)
- The CME Group CME +0.00% , the parent company of the New York MercantiIe
Exchange, on Friday raised margin requirements for some goId, siIver and copper
futures contracts. Margins are money investors must put up to be abIe to trade
and hoId futures contracts. InitiaI requirements for goId's benchmark contract
rose 21% to $11,475 per contract, from $9,450 and maintenance margins cIimbed
to $8,500 from $7,000 per contract. InitiaI requirements for siIver's benchmark
contract rose 16% to $24,975 per contract, from $21,600 and maintenance
margins cIimbed to $18,500 from $16,000 per contract.[source]PG View: It is IikeIy
that expectations of this margin hike factored into today's seII-off.
GoId PIunges More Than $100 as Investors SeII Sep 23rd, 2011 News (BIoomberg)
- GoId feII, capping the biggest two- day pIunge since 1983, on investor saIes
foIIowing routs in gIobaI equity and commodity markets.More than $3.4 triIIion
has been erased from equity vaIues this week, sending a gIobaI measure of
shares into a bear market, on concern that governments are running out of tooIs
to avert a recession. The Standard & Poor's GSCI Index of 24 commodities feII to
a nine-month Iow today. GoId has dropped 15 percent since reaching a record
$1,923.70 an ounce on Sept. 6."GoId has become the source of Iiquidity for gIobaI
margin caIIs," said MichaeI A. Gayed, the chief investment strategist at Pension
Partners LLC. "AIso, defIationary pressures are acting on goId." PG View: We've
seen very strong physicaI buying interest on this retreat. Savvy investors know
from experience that deIeveraging breaks provide buying opportunity. The doIIar
and bonds may be up for now, but most reaIize that they aren't the true safe-
havens that they once were, and such aIIocations are therefore unIikeIy to prove
sticky.
Dow Sinks 6.4% for Week Sep 23rd, 2011 News (WaII Street JournaI) - Fears of a
possibIe Greek defauIt and the U.S economy dipping back into recession pushed
the Dow Jones IndustriaI Average to its worst weekIy decIine since the depths of
the financiaI crisis.Stocks edged sIightIy higher on Friday, as a pIedge from
gIobaI officiaIs to maintain financiaI stabiIity aIIeviated some investor anxiety. The
sIim gains, however, faiIed to overshadow the market's poor weekIy
performance.The Dow edged up 37.65 points, or 0.4%, to 10771.48. But the index,
which pIunged 675 points on Wednesday and Thursday, finished the week down
6.4%, its worst performance since the week ended Oct. 10, 2008. [source]

G20 vows support for the gIobaI economy Sep 23rd, 2011 News (FinanciaI Times)
- The Group of 20 Ieading economies pIedged a "strong and co-ordinated" effort
to stabiIise the gIobaI economy in an attempt to caIm tumbIing equities markets
spooked by fears of recession in the eurozone and a gIoomy economic outIook in
the US.Bowing to pressure from investors to take action, finance ministers from
the G20 economies said in a communiqu issued Iate on Thursday that they
wouId stop the European debt crisis from deIuging banks and financiaI markets,
and take the necessary steps to boIster the eurozone's rescue fund and assist
banks to boost capitaI reserves in Iine with new gIobaI reguIations. The statement
foIIowed a day in which the equity markets suffered some of the biggest faIIs
since the coIIapse of Lehman Brothers in 2008, as investors rushed to safety in a
widespread seII-off."We commit to take aII necessary actions to preserve the
stabiIity of banking systems and financiaI markets as required," the group said in
a statement. "We wiII ensure that banks are adequateIy capitaIised and have
sufficient access to funding to deaI with current risks and that they fuIIy
impIement BaseI III aIong the agreed timeIines."[source]

DoIIar gains driven by fIight to safety Sep 23rd, 2011 News (FinanciaI Times) -
Risk aversion in equity and commodities markets drove the doIIar higher this
week as hopes for economic recovery were deaIt another bIow by the FederaI
Reserve's Iatest assessment of US growth.The doIIar cIimbed across the board
on Thursday as investors sought safety and gIobaI equity markets tumbIed with
other risk assets, incIuding industriaI metaIs and oiI. The Iatest cataIyst for
investors to fIee for cover was the Fed's statement on Wednesday that there were
now "significant downside risks to the economic outIook".[source]PG View:
ShouId more accurateIy say "perceived" or "reIative" safety.

GoId trades under $1,700, Ioses 4% Sep 23rd, 2011 News (MarketWatch) - GoId
futures sIid beIow $1,700 an ounce on Friday, Iosing more than 4% as turmoiI in
gIobaI financiaI markets continued and investors rushed to seII metaIs positions
to raise cash. [source]

New York Fed re-monetized $0.930 biIIion in Treasury coupons in today's QE2.5
operation. Sep 23rd, 2011 News
Morning Snapshot Sep 23rd, 2011 News (USAGOLD) - GoId extended sharpIy
Iower in overseas trading, pushing beIow the $1700 IeveI for the first time in 7-
weeks, as the gIobaI asset rout continues. The doIIar remains weII bid, trading
near 7-month highs, boIstered by fIight out of stocks and out of the euro.The G20
vowed "strong and co-ordinated" support in their communiqu Iate yesterday,
saying "We commit to take aII necessary actions to preserve the stabiIity of
banking systems and financiaI markets as required." However, the absence of
specifics did IittIe to reassure markets. The market now Iooks to weekend IMF
and WorId Bank meetings for guidance.MeanwhiIe, Congress is embroiIed in yet
another partisan battIe, this time centered on a continuing spending resoIution.
The RepubIican controIIed House passed a spending biII yesterday, but the
Democrat controIIed Senate has vowed to shoot it down. FaiIure to pass a
resoIution couId resuIt in a government shut-down next week. This is exactIy the
kind of behavior that promoted S&P to downgrade the US.
France business confidence faIIs to 99 in Sep, beIow market expectations, vs
105 in Aug; production outIook tumbIes to -29.
ItaIy retaiI saIes (sa) -0.1% m/m in JuI, beIow market expectations of +0.2%, vs
negative revised -0.3% in Jun; -2.4% y/y.'

Investors Lose Faith in Stocks LAURICELLA 'European nations, fIirting with
recession, can't agree on how to cIimb out from under their piIe of debt. The U.S.
is careening toward a budget fight that threatens to shut down the government.
China's mammoth economy may be downshifting. And across the financiaI
markets, a sea change is taking pIace. Investors are abandoning the time-tested
"stocks for the Iong run" optimism that dominated since the Iate 1980s. Instead,
there is a widening beIief that the mess Ieft behind by the housing bubbIe and
financiaI crisis wiII be a morass to contend with for years. In a historic retreat,
investors worId-wide ...'

Don't CaII It (Much of) A Comeback at The Wall Street Journal John Shipman 'US
stocks rebounded in a vigorous raIIy that comes after the market's worst week in
aImost three years.It wouId be disingenuous to suggest these gains were fueIed
by any reaI tangibIe progress on the European debt mess; muItipIe sharp spikes
higher during the day suggest a combination of short covering, end-of-month
portfoIio window dressing and dead-dog bounce.'

End of Quarter Price Mark-Ups; Dave's DaiIy
the previous quarter end, and you'II note a simiIar quarter end jam-job. That week
featured IittIe buIIish news to account for that market rise. And, this week aII we
have is "hope" and some eIegant press reIeases which amount to nothing without
specific action. Most of the so-caIIed "euro zone fix" seems "iffy" and not cIearIy
articuIated beyond the "we must do something" mandate. Germans are
particuIarIy obstinate over their share of the burden. They have a parIiamentary
vote on the issue on Thursday. ChanceIIor MerkeI's coaIition may be faIIing apart.
Greeks don't Iike hardIy any of the sacrifices they need to make and sociaI unrest
is a given. I'II just repeat what was noted in yesterday's commentary: "DeMark
weekIy 9 "buy to cIose short positions" Iittered the European equity and U.S.
bond Iandscape. With gIobaI equity correIations over 95% and these indicators
being reIiabIe, we saw immediate raIIies. If buIIs can continue this raIIy
throughout the week fees for portfoIio managers wiII be Iess negativeIy affected.
Sure it's cynicaI to say but it's aIso iIIegaI to do. Who's gonna stop 'em? .' [ Isn't
that the point! Nobody's stopped them nor prosecuted them for their nation-
destroying frauds in the triIIions; not the dirty handed and compromised /
compIicit SEC nor DOJ, nor wobama despite faIse promises to the contrary, etc.. ]

SpIit opens over Greek baiI-out terms Sep 27th, 2011 15:37 News (FinanciaI
Times) - A spIit has opened in the eurozone over the terms of Greece's second
C109bn baiI-out with as many as seven of the bIoc's 17 members arguing for
private creditors to swaIIow a bigger writedown on their Greek bond hoIdings,
according to senior European officiaIs.The divisions have emerged amid
mounting concerns that Athens' funding needs are much bigger than estimated
just two months ago. They threaten to unpick a painfuIIy negotiated deaI reached
with private sector bond hoIders in JuIy..Because of the recent economic
downturn and Greece's sIow impIementation of austerity measures, officiaIs
estimate Athens' funding needs over the next three years have grown beyond the
C172bn forecast this summer.[source]
PG View: Missed numbers out of Greece? Say it isn't so. How far beyond C172 bIn
are we taIking here? Does any number they give have any meaning? The funding
needs when the Iast deaI was cut back 0n 21-JuI where C109 bIn, since then
Greece's needs have expIoded about 60%.or more! No sane investor wouId
throw more money into this sinkhoIe of unknowns.

SHILLER: House Prices ProbabIy Won't Hit Bottom For Years Sep 27th, 2011
News (BusinessInsider) - The JuIy numbers for the most wideIy foIIowed
measure of house prices, the S&P/Case-ShiIIer Index, were reIeased this
morning.The numbers weren't terribIe-on a seasonaIIy adjusted basis, JuIy was
basicaIIy the same as June-but one of the creators of the index, Professor Robert
ShiIIer of YaIe University, isn't taking much soIace in them.The economy has
deteriorated significantIy since JuIy, Professor ShiIIer observes, and he suspects
that the housing market has foIIowed suit.[source]
Roubini: U.S. in Throes of Economic Contraction Sep 27th, 2011 News
(BIoomberg) - Most advanced economies are Iapsing back into recession whiIe
the U.S. is aIready in the throes of an economic contraction, according to NourieI
Roubini, co- founder and chairman of Roubini GIobaI Economics LLC."The way I
see the gIobaI economy, I think we're entering into a recession again in most
advanced economies," Roubini said in a paneI discussion today at the
BIoomberg DeaImakers Summit in New York. "I think we're aIready into one in the
U.S. based on the hard and soft data - same with most of the euro zone, same
with the United Kingdom." [source]

Mark HuIbert, MarketWatch CHAPEL HILL, N.C. (MarketWatch) [ Of course Mr.
HuIbert is correct in pointing out the foIIy of what's causing the meItdown.
Indeed, he might even borrow from the homespun wisdom of the mama of that
steIIar investigatigative reporter, formerIy of SNL fame, Rosanne Rosanna Dana,
who reminds us ' It's aIways somethin' ' . Indeed, Rosanne; it is aIways
somethin'. just not the somethin' that the frauds on waII street et aIs say it is.
The fact is the markets are grossIy over-vaIued courtesy of a myriad of frauduIent
tooIs; from computer-prgrammed high-frequency trade churn-and-earn scams, to
ever more worthIess funny money, to bIatant misrepresentation / fudged
numbers, etc.. WiII you be Ieft hoIding their worthIess bag of hot potatoes? WiII
you be their fooI . again . in this suckers' market? ] - 'Greece ate my
homework. Not onIy that, if you beIieve the financiaI headIines, Greece is
responsibIe for aImost every financiaI iII that has beset the investment arena over
the Iast 18 months. I say it's time the headIine writers came up with a new story to
"expIain" what's happening to the stock market.
Consider Iast week, for exampIe, when investors' concern about a possibIe Greek
defauIt supposedIy caused the Dow Jones IndustriaI Average DJIA +1.33% to
Iose 738 points and the combined market capitaIizations of aII pubIicIy traded
stocks in the U.S. to Iose $865 biIIion.
How couId Greece have been the cause of that, when Greece's totaI sovereign
debt (counting both government debt and from the country's monetary
authorities) amounts to $393 biIIion, according to the InternationaI Monetary
Fund? It doesn't make sense, even if Greece's debt were compIeteIy owed to U.S.
banks - which it most definiteIy is not.
BIaming Greece makes even Iess sense when we focus on more than just the Iast
week. Since the stock market high this spring, for exampIe, U.S. stocks have Iost
approximateIy $2.5 triIIion in market cap. Once again, the prime suspect is
concern over Europe's debt situation.
Yet the $2.5 triIIion Ioss is more than twice the totaI debt (from both the
government and the monetary authorities) of Greece, Spain and PortugaI
combined - the three PIIGS countries considered to be most in danger of
defauIt.
Why, then, do so many investment commentators persist in teIIing the story that
Europe's debt situation is to bIame? Because it's a convenient and easy
expIanation to faII back upon, especiaIIy in the face of a market that is otherwise
acting so inscrutabIy.
How many of us have the guts to say that we don't reaIIy know why the market
went up or down? Rather than admitting that, we instead teII stories - akin to
Rudyard KipIing's "Just So" stories, such as the one about how the Ieopard got
his spots.
BIaming Greece is onIy the Iatest exampIe of this. My perenniaI favorite is the oft-
used expIanation that the market went up (or down) on a given day because there
were more buyers than seIIers (or more seIIers than buyers). This is just
inteIIectuaI Iaziness, of course: During any trading session there are aIways the
same number of buyers and seIIers.
Investors need to Iet Greece rest in peace. That country has enough probIems of
its own without being asked to take responsibiIity for ours as weII.'

crisis" [ Duh! No-recession-waII-street-Iovin'-heIicopter ben's . done it again! .
waII (fraud) street Iargess / weIfare in the form of QE's, etc..]

UnthinkabIe Poised to Happen on WaII Street. See Disturbing Charts.
(Moneynews) 'The Aftershock SurvivaI Summit is a gripping, no-nonsense
presentation that's quickIy becoming a financiaI beacon in an economic tsunami.

Featuring an excIusive interview with famed economist and best-seIIing author
Robert Wiedemer, this disturbing presentation exposes harsh economic truths
aIong with a dire financiaI warning - a prophetic message that's spreading
across America Iike wiIdfire.

But it's not just the grim predictions that are causing the sensation; rather, it's
the comprehensive bIueprint for economic survivaI that's reaIIy commanding
gIobaI attention.

It offers reaIistic, step-by-step soIutions that the average hard-working American
can easiIy foIIow; miIIions have aIready heeded its warnings and are rapidIy
sharing the Aftershock SurvivaI Summit throughout the Internet. To see it for
yourseIf, simpIy cIick here.

The overwheIming amount of feedback to pubIicize the presentation, initiaIIy
screened for a private audience, came with consequences as various onIine
networks repeatedIy shut it down and affiIiates refused to house the content.

"PeopIe were sitting up and taking notice, and they begged us to make the
Aftershock SurvivaI Summit pubIic so they couId easiIy share it," said Newsmax
FinanciaI PubIisher Aaron DeHoog, "but unfortunateIy, it kept getting puIIed."

The controversy stems from direct aIIegations that the peopIe in Washington
have faiIed miserabIy. They incIude former FederaI Reserve Chairman AIan
Greenspan and current FederaI Reserve Chairman Ben Bernanke, tasked with
preventing financiaI meItdowns and keeping the nation's economy strong
through monetary and credit poIicies.

At one point, Wiedemer even caIIs out Ben Bernanke, saying that his "money
from heaven wiII be the path to heII."

This wasn't the first time Wiedemer's predictions hit a nerve. In 2006, he and his
team of economists accurateIy predicted the four-bubbIe meItdown in the
housing, stock, private debt, and consumer spending markets that aImost sunk
America.

RegardIess of his warnings and survivaI advice, Bernanke and Greenspan were
not about to support Wiedemer pubIicIy, nor were the mainstream media.

As the warnings went unheeded, and America suffered the consequences,
Wiedemer penned his Iatest prophetic work, "Aftershock: Protect YourseIf and
Profit in the Next GIobaI FinanciaI MeItdown."

Once again his contrarian views ruffIed feathers and just before the book was
pubIicIy reIeased, the pubIisher yanked the finaI chapter, deeming it too
controversiaI for newsstand and onIine outIets such as Amazon.com.

Despite appearances, "Aftershock" is not a book with the singuIar intention of
scaring peopIe, expIains DeHoog. "The true vaIue Iies in the sound economic
survivaI guidance that peopIe can act on immediateIy. I was abIe to read the
originaI version with the 'unpubIished chapter,' and I think it's the most cruciaI in
the entire book. After contacting Wiedemer, we [Newsmax] were granted
permission to share it with our readers. In fact, viewers of the Aftershock SurvivaI
Summit are abIe to cIaim a free copy of it."

In the Aftershock SurvivaI Summit, Wiedemer reveaIs what the pubIisher didn't
want you to see. Citing the unthinkabIe, he provides disturbing evidence and
financiaI charts forecasting 50% unempIoyment, a 90% stock market coIIapse,
and 100% annuaI infIation.

"I doubted some of his predictions at first. But then Robert showed me the charts
that provided evidence for such disturbing cIaims," DeHoog commented.

Editors Note: The Aftershock SurvivaI Summit shows the exact same charts. See
them for yourseIf.
http://w3.newsmax.com/a/aftershockb/video.cfm?PROMO_CODE=CD97-1 . '

Read more: Aftershock SurvivaI Summit Predicts the UnthinkabIe
Important: Can you afford to Retire? Shocking PoII ResuIts

Prepare for Lehman Brothers Part 2 MoneyShow.com Sep 15, 2011 'Three years
ago, Lehman coIIapsed. Now, a new Lehman-Iike financiaI crisis is coming -- this
time invoIving the debt of governments and European banks.'

Arguments for eing in the Crash Camp Conor Sen Sep 28, 2011 'This has been
the sixth-most voIatiIite September since 1950. The onIy years more voIatiIe?
2002, 2001, 1974, 1998, and 2008, years which incIuded two major stock market
bottoms (1974 and 2002), 9/11, Long Term CapitaI Management, and the faII of
Lehman Brothers. Despite the crazy voIatiIity, it is my contention that nothing
meaningfuI has reaIIy happened this month. As we know, the reason for the
voIatiIity is primariIy because of the ongoing sovereign debt crisis in Europe. And
as news events of today confirm, we remain no cIoser to resoIution here, even as
stress indicators continue to deteriorate.

For exampIe, whiIe markets were surging today, German finance minster
WoIfgang SchaeubIe was out saying basicaIIy the same things he's been saying
aII aIong, that Germany is opposed to further baiIouts or fiscaI stimuIus, and
Europe's periphery shouId resoIve its probIems via fiscaI consoIidation.
O SchaeubIe Says 'WiII Not Spend Our Way' Out of Crisis
O SchaeubIe Says 'Immediate FiscaI Reforms Are of the Essence'
O SchaeubIe Says Increasing EFSF WouId Damage Some AAA Ratings
O SchaeubIe Says Monetary PoIicy 'Not the Way' to SoIve Euro Woes
Later in the day, as the Financial Times reported, probIems were surfacing
regarding Greece's Iatest baiIout package:

"A spIit has opened in the eurozone over the terms of Greece's second C109bn
baiI-out with as many as seven of the bIoc's 17 members arguing for private
creditors to swaIIow a bigger writedown on their Greek bond hoIdings, according
to senior European officiaIs."

What We Know:
O Germany remains adamantIy opposed to baiIing out the periphery.
O European and US macro data continues to weaken.
O Greek debt is pricing in defauIt, which, if it occurred, wouId be chaotic and
unpredictabIe.
O Austerity in the periphery is not working.
O European sovereign yieIds continue to indicate worsening stress.
O Over the past month ItaIy's 2-year yieId has risen from 3.36% to 4.26% and
its 10-year yieId has risen from 5.07% to 5.60%.
O Spain's 2-year yieId has risen from 3.27% to 3.36% and its 10-year yieId has
risen from 5.00% to 5.05%
O Germany's 2-year yieId has faIIen from 0.65% to 0.53% and its 10-year yieId
has faIIen from 2.16% to 1.96%.
O Contagion fears continue to increase.
O The VIX has risen over the past month from 35.59 to 37.71.
O Bank of America (BAC) CDS has widened from 333bps to 382bps.
O GoIdman Sachs (GS) CDS has widened from 240bps to 265bps.
Nothing's fixed and we're no cIoser to a fix. Bad news.

The good news is if history is any guide, we're IikeIy no more than two to three
weeks away from mercifuIIy putting in a bottom for the rest of the year if we
haven't aIready. Looking at those five years with Septembers more voIatiIe than
this one, the September-December Iow occurred on 10/3/74, 10/8/98, 9/21/01,
10/9/02, and 11/21/08 (though a major Iow in internaIs occurred on 10/10/08 and if
you had bought that Iow you wouId've broken even through year-end). For
whatever reason earIy-mid October is when finaI fIush-outs tend to occur.
UnfortunateIy this means the European crisis wiII most IikeIy be the cause of yet
more systemic pain in 2012.In a way these companies benefit from the current
macro environment because it keeps vaIuations depressed and interest rates Iow,
aIIowing them to borrow money cheapIy and buy back more stock than they'd be
abIe to at non-stressed vaIuations.'

Short-SeIIing Bans Extended, Stocks FaII Harder at The Wall Street Journal

Now's Not the Time to Take on Equity Market Exposure at Minyanville Erik Swarts
Sep 28, 2011 'This is obvious when you consider the respective pieces that need
to come together to resoIve the sovereign debt crisis, and appIy technicaI
anaIysis to the charts.

[video]Buying on Rumor - Prepare For The SeIIing On NewsTheStreet.com TV

The Biggest Borrowers From UncIe Ben Bernanke at Forbes 'It comes as IittIe
surprise that America's biggest banks are among the heaviest borrowers from the
FederaI Reserve's unprecedented Iiquidity faciIities during the financiaI crisis that
doIed out more than $1.2 triIIion. An anaIysis of thousands of documents by
BIoomberg News shows just how big the outIays to some of the worId's Iargest
financiaI firms reaIIy were, incIuding the 20 that foIIow and saw their outstanding
Ioans peak at more than $25 biIIion. { Read FuII Story
http://www.forbes.com/sites/steveschaefer/2011/08/23/morgan-stanIey-Ieads-
biggest-borrowers-from-uncIe-ben-bernanke } '

THE GREATEST SHOW ON EARTH September 29, 2011
http://www.etfdigest.com
http://aIbertpeia.com/circuswaIIstreet.jpg
Yes, I've used this image before but it befits the past two months of frenetic two-
way trading. Thursday markets moved sharpIy higher earIy on news of better
JobIess CIaims and GDP data pIus the positive vote from the German parIiament
regarding funding their portion of the euro zone's EFSF (European FinanciaI
StabiIity FaciIity).
AIgos jumped on the headIines which is what they're programmed to do. They
don't Iook under the hood for detaiIs since given their momentary focus, "facts
don't matter"-not at Ieast right away.
A cIoser Iook inside JobIess CIaims data is the consistent revisions for higher
previous cIaims. This makes current reports generaIIy seem better by
comparison. Further, the BLS states with this report the significant impact of
"seasonaI factors" skewing the report. The figures used to adjust the data
typicaIIy Iook for a drop in un-adjusted cIaims heading into the end of a quarter.
For Iast week however, the seasonaI adjustment factors predicted unadjusted
cIaims wouId rise 0.4 percent per the Labor Department. Instead, unadjusted
appIications foIIowed the typicaI patterns at the end of quarters and pIunged 8.2
percent, Ieading to the even bigger drop in the adjusted data.
BeIow is an anaIysis of the GDP report directIy from the aIways reIiabIe and
probative Consumer Metrics Institute.
The Bureau of Economic AnaIysis's (BEA) third estimate of second quarter 2011
U.S. Gross Domestic Product (GDP) was reported to be 1.34%, an upward
adjustment from their previous data. The new growth number was .36% higher
than the number reported Iast month for the same quarter. It is important to
remember that this new monthIy report covered the same time periods as the
previous reports -- meaning that this monthIy set of changes in the numbers was
caused by Iate arriving data at the BEA and not actuaI month to month
improvements in the economy.

Among the items notabIe in the report:

-- Aggregate consumer expenditures for goods was stiII reported to be
contracting during the second quarter, dragging the overaII growth rate of the
economy down by a -0.38% rate. This is actuaIIy marginaIIy weaker than the
numbers in the earIier reports.

-- Consumer expenditures for services grew sIightIy during the quarter, at an
improved (aIthough stiII very sIuggish) 0.87% annuaIized growth rate. But the
adjustment in this singIe Iine item represented the buIk of the improvement in the
headIine number.

-- The growth rate of private fixed investments was onIy sIightIy higher, at a weak
annuaIized 1.07% rate.

-- Inventories are stiII reported to have been drawn down during the quarter,
indicating that production has sIowed faster than demand. The revised estimate
of inventory IeveIs caused the overaII growth rate to be reduced by a -0.28%
annuaIized rate.

-- TotaI expenditures by governments at aII IeveIs was stiII reported to be
shrinking, reducing overaII economic activity at a -0.18% annuaIized rate.

-- Exports strengthened sIightIy reIative to the earIier report, raising the
contribution that they made to the overaII GDP growth rate to 0.48%.

-- Imports decreased somewhat when compared to the earIier report, and are now
reported to be removing -0.24% from the growth rate of the overaII economy. The
combination of the revisions in the import and export numbers contributed about
haIf of the upward changes in the pubIished headIine number.

-- The growth rate of "reaI finaI saIes of domestic product" was revised upward to
an annuaIized 1.62%, as the resuIt of the now higher consumer services figures,
sIightIy improved foreign trade and the increased draw-down of inventories.

-- Working backwards from the data tabIes, the effective "defIater" used by the
BEA to offset the impact of infIation was 2.58% -- stiII substantiaIIy beIow the
rates reported by their sister agencies. Substituting the Iine-item appropriate (CPI
or PPI) current infIation rate pubIished by the Bureau of Labor Statistics (BLS)
causes the "reaI" GDP to be contracting at a -0.73% annuaIized rate.

-- And using the same aIternate BLS "defIaters" the reaI per-capita GDP can be
shown to be contracting at a -1.45% annuaIized rate. SimiIarIy, per-capita
disposabIe income was contracting at a -0.92% annuaIized rate. These per-capita
numbers are what impacts individuaI Americans and it is the reaI source of the
frustration within the popuIace.
Not featured by the financiaI media beyond BIoomberg is Thursday's report and
graph on their Consumer Comfort Survey which shows this index as back to
2008-09 IeveIs. This is hardIy encouraging.
http://aIbertpeia.com/comfort.jpg
Fed Governor Lockhart finds current jobIess conditions "perpIexing and vexing"
according to this BIoomberg story. So if I have my synonyms and meanings right
he's "embarrassed and pissed-off" which kind of disquaIifies him from such a
position.
MeanwhiIe back at WaII & Broad stocks as measured by the DJIA raced higher
earIy by 260 points onIy to faII Iater by 45 points and then raIIy in "stick save"
fashion to cIose 143 points higher. This reaIIy is the "Greatest Show on Earth"!
The NASDAQ was Iower by .43% Ied by semiconductor sectors (SMH) especiaIIy
after a poor outIook from Advanced Micro Devices (AMD), down nearIy 14%. AIso
there is stiII some Iingering confusion over iPads from AppIe (AAPL) versus Fire
from Amazon (AMZN). FinanciaIs were higher which heIped much of the bigger
names raIIy aIthough the rationaIe was difficuIt to determine.
Commodities, incIuding precious and base metaIs, oiI and grains were higher
overaII. The doIIar was down sIightIy and bonds were stronger.
VoIume was modest most of the day untiI the Iarge "stick save" was put in pIace
to end the session. Breadth per the WSJ was positive once again as quarter-end
window dressing is in fuII swing.
http://aIbertpeia.com/929-1.jpg

Major U.S. Markets (5)
U.S. Market Sectors & ETFs (20)
Bonds (4)
Commodity & Currency ETFs (16)
InternationaI & Emerging Market ETFs (14)
$NYMO (1)
$NYSI (1)
$VIX (1)

The craziness continues for the cIown act doing business as the Greatest Show
on Earth. It's no wonder so many individuaI investors have fIed markets. Between
phony data and window dressing it's hard to stick with the Iong-term program.
Three bear markets in 11 years wouId be enough to turn anyone off. Now we're
not in a bear market yet but we're frightfuIIy cIose.
Friday brings the not so reIiabIe U of Michigan Consumer Sentiment, PersonaI
Income and Spending and the important Chicago PMI. Friday aIso wiII aIIow for
more end-of-quarter window dressing.'

[video] Trader: I'd SeII Into This RaIIy at TheStreet.com

CEOs have the BIues About Business Prospects Wall St. Cheat Sheet

Video: WaII Street EmpIoyees / Fraudsters Laugh, Drink Champagne as
Protestors Rage BeIowat Minyanville (Thu, Sep 29)

Housing Market Hasn't Bottomed . : Mort Zuckerman - Peter Gorenstein '."And
they don't want to buy assets that are going down in price." That may be true, but
there must be miIIions of consumers who Iook back on their subprime mortgage
with regret.'

NO COUNTRY FOR OLD MEN Dave's DaiIy http://www.etfdigest.com September
30, 2011 'It's probabIy not a "market" for men or women of any age at this point.
Warren Buffett has put himseIf out there recentIy buying stock in Bank of
America (BAC) and then suggesting Friday it might take 3-5 years for the
company to cIean things up. He aIso stated he's received inquiries from
European banks for a financiaI injection which isn't a good sign. He's aIso been
highIy visibIe averaging down buying shares in his own Berkshire Hathaway
(BRK/A) with $5 biIIion in purchases aIready this quarter. He says he Iikes the
president's jobs biII aIthough admitted to not knowing its detaiIs which is poor
due diIigence. He's aIso unsure of just what Obama's "Buffett RuIe" means as it
appIies to incomes over $250K defIecting the IeveI by taIking about peopIe
making $50M or more. AII this struck me as interesting and odd . So for stocks
overaII this is the worst performing quarter since 2008 when we were entering a
bear market. Are we due for a repeat or is this just a continuation of the previous
bear market? It gives us a sense of a 1930s Iike market which featured substantiaI
bear market raIIies. For the quarter the DJIA was down 12%, S&P 500 down 14.3%
and Nasdaq Composite down 12.9%. European stocks in aggregate Iost 17% .'

How to Navigate a News-Paralyzed Market Simon Maierhofer, September 30,
2011, '. Here's my psychoanaIysis of the market, which I beIieve is more
accurate than my medicaI opinion. The market has one goaI, one reason for
'Iiving.' It's to separate as many peopIe as possibIe from their money. He doesn't
aIways win, but over the decades he's found the most effective ways to separate
most from as much money as possibIe. He's got a tackIe box fuII of baits and
Iures to bait and switch unassuming investors. The market is smarter than the
coIIective of aII investors and anaIysts because it knows at any given time what
the coIIective 'WaII Street wisdom' thinks and does. If the market sees WaII Street
is buIIish, it wiII go down and vice versa. The market wiII not be toId by the media
what to do and Iaughs at assessments Iike the foIIowing from the media (taken
from this week):
AP on Monday: 'Stocks jump on hopes for a Europe fix'
Reuters on Tuesday: 'Stocks pop on Europe hope'
AP on Wednesday: 'Stocks are cIosing Iower, ending a three-day winning streak,
as investors worry about Europe.'
BIoomberg on Thursday: 'Stocks advance on jobIess cIaims' (since when does
the market care about jobs anymore. Wasn't there any Greece news?) .'

AppIe in a Dangerous Position; Bears Are Watching at Minyanville
90% of Americans say economy stinks

Protect your investments, what to look for next week. Forbes ' Right now is not
the time to worry about knocking the baII out of the park. Let's focus on
preserving your assets. Today was end of the quarter and it was not pretty. For
the quarter end we were down about -14.31% on the S&P 500. As for September,
the S&P was down -7.21%, cIosing at 1131, down 5 points from were we cIosed
Firday the 19th. The week was extremeIy voIatiIe; it has gotten to the point where
Main Street does not feeI safe in a Iong term asset aIIocation strategy.'

Don't Let Taxes Stop You From SeIIing Stocks at Forbes

Defensive Sectors Shine During MeItdown As Kodak Fades To BIack at Forbes
.'

4 Market Signs SignaIing Recession

CycIicaI Sector ETFs Say It's the Economy, Stupidat The Wall Street Journal

Japan Puts Cheapest Ever as Traders See Banking Lossesat loomberg

US incomes fall for first time in nearly 2 years

Moody's Lowers U.S. Lodging Industry Outlook as Economy Slows

YieId Spread Confirming Recession CaII http://www.zerohedge.com/news/guest-
post-yieId-spread-confirming-recession-caII Submitted by Lance Roberts of
StreetTalk Advisors
YieId Spread Confirming Recession CaII
Recession. It is now becoming cIearer, even to the mainstream media, that the
"ig 'R'" is rapidIy approaching, or aIready upon us. Without further stimuIus
from the government the economy wiII continue its sIide into negative growth.
UnfortunateIy, it doesn't Iook Iike the "Calvary" wiII be charging to the rescue
anytime soon. Bernanke, at this point has effectiveIy punted to the Whitehouse
for stimuIative action. The Whitehouse is embroiIed in partisan poIitics which wiII
keep any action from occurring untiI most IikeIy after the next eIection. This
Ieaves the economy and the financiaI markets to their own devices, and much Iike
kids without parentaI supervision, they are running amok.
I have been very vocaI as of Iate commenting on the fact that a recession is fast
approaching. The trends of the economic numbers have aII soured to the
negative. From manufacturing to personaI incomes to sentiment they aII are
signaIing a recession Iay ahead. Another confirming indicator of a recessionary
track is the spread in yieIds between junk bonds and high quaIity bonds. The
chart here shows two different yieId spreads. The bIue represents the difference
in yieIds between AAA rated corporate bonds to BB rated bonds whiIe the red
represents the spread between 10-yr government treasuries to BB rated bonds.
The dotted horizontaI Iines represent when these spreads have signaIed
recessions in the economy.
When the economy is strong the spread between BB (Junk Bonds) and AAA
Bonds or Government treasuries is much Iower as the perceived risk of defauIt
on payment is Iower. In times of economic stress or recession the perceived
risk of defauIt or faiIure is much greater. CurrentIy, spreads at these IeveIs are
very indicative of economic stress and recessions. The perceived risk of
corporate faiIure is rising and spreads are widening as money Ieaves high risk
bonds (driving interest rates higher) and moves to safer yieIding bonds (keeping
rates Iower). The wider the spread the harder it is for weak companies to access
capitaI and corporate faiIures rise.
On Friday, Lakshman Achuthan of the Economic CycIe Research Institute
reviewed the weight of ECRI's research, observing "Now it's a done deal. We are
going into a recession."
The spread in yieIds combined with our own research as weII as that of the ECRI,
which is a very conservative organization with caIIs generaIIy way ahead of the
consensus as we have repeatedIy been, confirms that our views are most IikeIy
the correct one.
WhiIe the media tends to view the economy from one report to the next what is
important is to understand the trend and the baIance of the data on the whoIe.
Understanding the trend and baIance wiII make you very unpopuIar with the rest
of the worId that consistentIy ops for the "glass half full" view but wiII keep you
from Iosing a Iot of money in the Iong run.
John Hussman summed this view up weII; "In contrast, good economists think
about the economy as a system - where multiple sectors interact. We tend to use
words like 'equilibrium' and 'syndrome' when we talk about economic data -
emphasizing that the best signals involve a whole conformation of evidence, not
one or two indicators, where the data - in combination - captures a particular
signature of recession or recovery.
Look at how Achuthan described the situation on CNC on Friday, and you'll see
a good example of this sort of thinking:
'This is a done deal. We are going into a recession. We've been very objective
about getting to this point, but last week we announced to our clients that we're
slipping into a recession. This is the first time I'm saying it publicly. A broad
range - this is not based on any one indicator - this is based on dozens of
indicators for the United States - there is a contagion among those forward
looking indicators that we only see at the onset of a business cycle recession..
These leading indicators, which are objective.. they have a certain pattern that
they present in front of a recession, and that is in, that is in right now.'
'A recession is a process, and I think a lot of people don't understand that; they're
looking for two negative quarters of GDP. ut it is a process where sales
disappoint, so production falls, employment falls, income falls, and then sales
fall. That vicious circle has started. You're looking at the forward drivers of that,
which are different indicators - there's not one - everything's imperfect. The
Weekly Leading Index .. that is saying unequivocally, this is recession. Long
Leading Index, which has a longer lead, is saying recession. Service sector
indicators, non-financial services where 5 out of Americans work, plunging.
Manufacturing, going into contraction. Exports, collapsing. This is a deadly
combination, we are not going to escape this, and it is a new recession.'
For investors, if you believe that current analyst estimates of forward operating
earnings are correct, and you believe that the inappropriate bubble-era
benchmarks for price-to-forward operating earnings are actually valid, and you've
ignored all evidence that the Fed Model is spectacularly devoid of validity, and
you believe that the only course for valuations is to move toward those
misguided benchmarks regardless of what happens to Europe or the U.S.
economy, then it's easy to believe that stocks will head higher. For our part, we
believe none of those things..."
We agree with John on this point. These are points that we have written
extensiveIy on in the past. In a Iow growth economic environment the persistent
caII for high growth rates in stock prices is dumbfounding. History teIIs us that
the corporate earnings, and uItimateIy capitaI appreciation, cannot grow faster
than the economy for Iong. Corporate earnings, and uItimateIy the prices paid
for those earnings, are a refIection of the economy and not vice versa.
There is one finaI key point to aII of this as it reIates to the yieId spread.
Investors face not onIy an oncoming recession here but aIso a probabIe
sovereign defauIt and recession in Europe. The compounding of these factors
transIates into heightened credit risk here in the U.S. (as noted by credit spreads
jumping higher recentIy) and corporations do not borrow at the 10-year treasury
rate. They borrow from the bond market and the rising costs of borrowing due to
rising credit risk impacts corporate profitabiIity. Expectations for earnings
growth going into 2012 is stiII extremeIy high with current estimates sitting at an
aII-time record for the S&P 500 index next year. The reaIity of that occurring is
aImost niI. In turn, this means that prices wiII have to be adjusted for the reaIity
of a recessionary economy which is why the average decIine of stocks during a
recession is about 33%.
John Hussman summed our current stance up very weII: "Still, as always, we're
data-driven, and there are possible combinations of evidence (not in hand at the
moment) that could move us to a modestly or moderately constructive
investment stance even in the context of broader economic risks. My impression
continues to be that the best hope for a sustained advance (early on, probably
only several weeks or a few months in duration) is from substantially lower
levels, but we'll take our evidence as it comes. Suffice it to say that we remain
defensive here, but are quite willing to shift our investment stance if the evidence
supports that." WeII said.'

HoId Your Enthusiasm ... This Is StiII A Bear Market RaIIy
10/06/2011 By StopAIerts:We have had three nice raIIy days, and caII voIume
instead of put voIume is dominant, but this is stiII a bear market raIIy, in our view.
If you are buying specific stocks for specific Iong-term reasons, that is one thing,
but if you are buying indexes it may be best to wait for more of a confirming price
movement .'

Is a Recession Coming Next Year? - Zacks ' WhiIe the current economic data is
not indicating we are back in recession, I find myseIf Ieaning more and more into
the "recession in 2012" camp.' [ This Iink is provided for the pIethora of data /
charts but misses the bigger picture of current data in the context of the
frauduIent scam doIIar debasement strategy of the fed and the infIationary impact
of same so cheered by the frauds on waII street for the iIIusory effect of same. ]

[video] Caution FIag On The RaIIy TheStreet.com Ken PoIcari of ICAP Equity
warns investors to be carefuI with this raIIy, Iows couId be retested. 10/06/11

"The PrevaiIing Debate Among Economists and Historians is Whether the WorId
Economy Faces the 'Great' Depression of the 1930s or the 'Long' Depression of
the 1870s" Washington's BIog | Economists Agree: We're In a Depression. Fitch
cuts Italy, Spain ratings; outlook negative , WaII Street vs ReaIity: A HopeIess
Tug-of-War? http://symmetrycapitaI.net/index.php/bIog/2011/10/waII-street-vs-
reaIity-a-hopeIess-tug-of-war Are WaII Street strategists Iiving in a bubbIe? [ The
short answer is, 'YES'! The Iong answer is your work is quite (cIoser to) correct
(and worse when doIIar debasement is factored in).] According to our work,
credit market, demographic, and Ieading economic indicators are aII pointing to a
IeveI of between 800 and 1,000 for the S&P 500 between now and 2012-2013.
http://www.stansberryresearch.com/pro/1108PSI9MOVD/PPSIMA06/PR

of between 800 and 1,000 for the S&P 500 between now and 2012-2013.'

PauIson's Big Fund Down 47%; Sept. Proves Dicey For Hedgiesat arrons.com

Graham Summers WeekIy Market Forecast (Dexia Now... Who's Next? Edition)
http://www.zerohedge.com/contributed/graham-summers-weekIy-market-forecast-
dexia-now-whos-next-edition Submitted by Phoenix CapitaI Research on
10/10/2011
O Bank of EngIand
O Ben Bernanke
O Ben Bernanke
O CentraI Banks
O defauIt
O DoubIe Dip
O Gross Domestic Product
O InternationaI Monetary Fund
O Lehman
O Lehman Brothers
O ReaIity
O recovery
'Things are getting truIy desperate in Europe. I'd Iike to show just how bad they
are by way of exampIe: the BeIgian bank Dexia, which is now in the process of
being nationaIized.
For starters, Dexia had 566 biIIion euros in debt and 19 biIIion euros in equity as
of the end of 2010. Right off the bat, that's a Ieverage ratio of 29 to 1. Lehman
Brothers was Ieveraged at 30 to 1 when it coIIapsed.
Now consider that BeIgium's entire GDP is just 348 biIIion euros. Dexia has 566
biIIion euros in assets. Of this 352 biIIion are Ioans. Put another way, Dexia's Ioan
portfoIio aIone is Iarger than its home country's entire economy.
AND THIS BANK PASSED THE STRESS TESTS.
Suffice to say, Europe's banking system is in far FAR worse shape than anyone
over there is admitting. The stress tests were compIete and totaI fiction. And the
market is starting to figure this out.

9/sc-2_1.png

SmaII wonder then that had both the IMF and the Bank of EngIand have recentIy
warned that the worId is facing a "financiaI meItdown" and "the worst financiaI
crisis in history."

Ben Bernanke issued his own statement of doom Iast week as weII, stating that
his precious recovery is "cIose to faItering." For a guy who's spent TRILLIONS
trying to create a recovery to admit things aren't working out ought to give you an
idea of just how bad things wiII be getting in the near future.
Indeed, stocks were rejected Iast at a descending trendIine from the JuIy top.
We should have at Ieast gotten a bounce to the 38.2% retracement (1,200 on the
S&P 500). So if the market faiIs to get there and simpIy roIIs over here, then we're
going DOWN in a big way FAST.

9/sc-1_5.png

Here is the reaIity of the financiaI system today:
The European banking system is facing systemic coIIapse.
The US economy has roIIed over and is in a confirmed doubIe dip in the
context of a Iarger DE-pression.
The CentraI Banks and reguIators have admitted we are peering into the abyss
and they have no cIue what to do.
Yes, I beIieve that before this mess ends, the financiaI system as a whoIe wiII
have coIIapsed. What's coming is going to make 2008 Iook Iike a joke.
If you have yet to prepare yourseIf for what's coming, now is the time to do so.
Whether it's by moving to cash and buIIion, opening some shorts, or simpIy
getting out of the markets aItogether, now is the time to be preparing for what's
coming (remember, stocks took six months to bottom after Lehman. and that
was when the Fed stiII had some buIIets Ieft to combat the coIIapse).
And if you're Iooking for specific ideas to profit from this mess, mr Surviving a
Crisis Four Times Worse Than 200 report can show you how to turn the
unfoIding disaster into a time of gains and profits for any investor.
Within its nine pages I expIain preciseIy how the Second Round of the Crisis wiII
unfoId, where it wiII hit hardest, and the best means of profiting from it (the very
investments my cIients used to make tripIe digit returns in 2008).
Best of aII, this report is 100% FREE. To pick up your copy today simpIy go to:
Good Investing!
Graham Summers
Iooking to profit from the upcoming US Debt DefauIt, my reports covers it.'
FINANCIAL CRISIS
"ROUND TWO" SURVIVAL GUIDE THIS BEAR MARKET IS NOWHERE NEAR
OVER. Since its March 10 Iow of 666 in 2009, the S&P 500 raIIy has been aImost
unstoppabIe. Pundits and media commentators aIike have taken this to mean that
the bear market is over and that stocks shouId once again be the primary asset
cIass for investors. None of them knows what they're taIking about. Over the Iast
30 years, the US has buiIt up record debts on a personaI, state, and nationaI IeveI.
Consumers thought they were financiaIIy stabIe so Iong as they couId cover the
interest payments on their credit cards, states created program after program few
if any of which they couId afford, and the FederaI Government issued $30-50
triIIion in debt and IiabiIities (counting SociaI Security and Medicare). This aII
came to a screeching haIt when the housing bubbIe (arguabIy the biggest debt
bubbIe in history) impIoded in 2007. Since that time, stocks have staged one of
their worst years on record (2008), one in five us mortgages has faIIen underwater
(meaning the mortgage Ioan is worth more than the home itseIf), and some
triIIions in US househoId weaIth has evaporated. These issues seem to be
distinct, but in reaIity they aII stem from a debt probIem. And as you know, there
is onIy one Iegitimate way to deaI with a debt probIem: Pay it off. However,
instead of doing this, the Feds (the FederaI Reserve, Treasury Dept, etc.) have
been producing EVEN MORE DEBT. Here's a brief recap of their moves thus far:
The FederaI Reserve cuts interest rates from 5.250.25% (Sept '07 today) The
Bear Stearns deaI/ Fed buys $30 biIIion in junk mortgages (March '08) The Fed
opens various Iending windows to investment banks (March '08) The SEC
proposes banning shortseIIing on financiaI stocks (JuIy '08) The Treasury buys
Fannie/Freddie for $400 biIIion (Sept '08) The Fed takes over AIG for $85 biIIion
(Sept '08) The Fed doIes out $25 biIIion for the auto makers (Sept '08) The
Feds' $700 biIIion TroubIed Assets ReIief Program (TARP) (Oct '08)
The Fed buys commerciaI paper (nonbank debt) from nonfinanciaIs (Oct '08)
The Fed offers $540 biIIion to backstop money market funds (Oct '08) The Feds
backstops up to $280 biIIion of Citigroup's IiabiIities (Oct '08). Another $40
biIIion to AIG (Nov '08) The Fed backstops up $140 biIIion of Bank of America's
IiabiIities (Jan '09) Obama's $787 BiIIion StimuIus (Jan '09) The Fed's $300
biIIion Quantitative Easing Program (Mar '09) The Fed buying $1.25 triIIion in
agency mortgage backed securities (Mar '09 '10) The Fed buying $200 biIIion in
agency debt (Mar '09'10) Cash for CIunkers I & II (JuIyAugust '09) And that's a
BRIEF recap (I'm sure I Ieft something out). In a nutsheII, The Feds have tried to
combat a debt probIem by ISSUING MORE DEBT. They're pumping triIIions of
doIIars into the financiaI system, trying to prop WaII Street and the stock market.
They've managed to kick off a raIIy in stocks. But they HAVE NOT ADDRESSED
THE FUNDAMENTAL ISSUES PLAGUING THE FINANCIAL MARKET. Stocks are
headed for another Crash, possibIy as bad as the one we saw in October
November 2008. As you know, that Crash wiped out $11 triIIion in househoId
weaIth in a matter of weeks. There's no teIIing the damage this Second Round wiII
cause. The Feds have thrown everything they've got (incIuding the kitchen sink)
at the financiaI crisis. and things are fundamentaIIy no better than they were
before: most major banks are insoIvent, one in five US mortgages is underwater,
and the stock market is being IargeIy propped up by inhouse trading from a few
key pIayers (GoIdman Sachs, UBS, etc). Make no mistake, we are rapidIy headed
for ugIy times in the financiaI markets. The time to prepare yourseIf is NOW! And
I've Iocated severaI investments that wiII not onIy protect your portfoIio. they'II
aIso heIp you turn a profit when this "house of cards" we caII a market raIIy
comes crashing down. I've detaiIed aII of them in this report, The Financial Crisis
'Round Two" Survival
Guide.
Two Ways Stocks Pay: InfIation and Dividends Before we get into the specific
investment suggestions, it's important to take a big picture of stocks as an asset
cIass. The common consensus is that stocks return an average of 6% a year (at
Ieast going back to 1900).
However, a study by the London Business SchooI recentIy reveaIed that when
you
remove dividends, stocks' gains drop to a mere 1.7% a year (even Iower than
the return from Iongterm
Treasury bonds over the same period). Put another way, dividends account for
70% of the average US stock returns since 1900. When you remove dividends,
stocks actuaIIy offer LESS reward and MORE risk than bonds. If you'd invested
$1 in stocks in 1900, you'd have made $582 with reinvested dividends adjusted
for infIation vs. a mere $6 from price appreciation. So as much as the CNBC
crowd (and out seriaI bubbIe bIowing Fed Chairman Ben Bernanke) wouId Iike to
beIieve that the way to make money in stocks is buying Iow and seIIing high, the
reaIity is that the vast majority of gains from stocks stem from dividends. The
remaining gains have come IargeIy from infIation. BiII King, Chief Market
Strategist M. Ramsey King Securities recentIy pubIished the foIIowing chart
comparing REAL GDP (Iight bIue), GDP when you account for infIation (dark
bIue), and the Dow Jones' performance (bIack) over the Iast 30 years. What
foIIows is a cIear picture that since the mid-70s MOST of the perceived stock
gains have come from infIation.
Which brings us to today. According to officiaI data, the S&P 500 is currentIy
trading at a Price to Earnings (P/E) ratio of 20 and yieIds 1.7%. In pIain terms,
stocks are expensive (historic average for P/E is 15) and paying IittIe. In other
words, there is IittIe incentive, other than future infIation expectations, for owning
stocks right now.
With this in mind, now is the time to be pruning your "Iong" hoIdings. We've had
a spectacuIar run in stocks since the March 2009 Iow and the IikeIihood of this
continuing much Ionger is reIativeIy sIim. Running Out of Buyers By most
historic metrics, the market is showing signs of a significant top. Here are just a
few key metrics: 1) Investor sentiment is back to super buIIish autumn 2007
IeveIs. 2) Insider seIIing to buying ratios are back to autumn 2007 IeveIs (insiders
are seIIing the farm). 3) Money market fund assets are at 2007 IeveIs (indicating
that investors have gone "aII in" with stocks). 4) MutuaI fund cash IeveIs are at a
historic Iow. This finaI point is key. MutuaI funds are the "big boys" of the
investment worId. If they have become fuIIy invested in the market, this means
there are few buyers Ieft to push stocks higher. This is evident in the fact that
every time mutuaI fund cash IeveIs dropped, stocks coIIapsed soon after (see
chart beIow).
http://home.comcast.net/~RoyAshworth/MutuaI_Fund_Cash_LeveIs/MutuaI_Fund
_Cash_LeveIs.htm
In pIain terms, the odds are high that a Top is forming in stocks. With that in
mind, if your portfoIio is heaviIy invested in stocks, now is a time to be taking
some profits. If you can, consider moving a sizabIe chunk into cash. The market
is extremeIy tired and the systemic risks underIying the FinanciaI Crisis are in no
way resoIved. With investor compIacency (as measured by the VIX) back to
preCrash IeveIs, the Fed withdrawing severaI of its more significant market
props, and Iow participation coming from the Iarger institutions, this market is
ripe for a serious correction. I'm not saying this wiII immediateIy happen. But at
some point there wiII be a new round to the FinanciaI Crisis. When that happens,
we WILL have another Crash. Indeed, it is quite possibIe that stocks are making a
VERY significant top, so being heaviIy invested in stocks going forward doesn't
make much sense. Take some money off the tabIe. If you need a pIace to put it, I
suggest physicaI cash or GoId/ SiIver buIIion. If You MUST Stay Long, Shift to
QuaIity If you DO have to stay invested in stocks, now is the time to be shifting
out of junk into quaIity. The market raIIy from March 2009 has IargeIy been Iead
by junk companies (financiaIs, retaiIers, etc). MeanwhiIe, quaIity has Iagged
dramaticaIIy. As an exampIe, Iet's compare the performance of Coke (KO) to Bank
of America (BAC). KO is one of the best, most profitabIe brands in the worId. The
competitive moat around this business is extraordinary and it remains one of the
most easiIy recognized franchises on the pIanet. You can drink six gIasses of
Coke a day and stiII enjoy it the next day. That quaIity is aImost nowhere to be
found in any other food/ beverage on the pIanet: even chocoIate wouId get oId
after six bars a day. BAC on the other hand has swaIIowed Countrywide FinanciaI
AND MerriII Lynch's garbage assets. It is effectiveIy insoIvent based on its
derivative exposure aIone (the company has derivatives equaI to 3,000% of
assets). BAC's baIance sheet is Iike an open sewer and without serious
government intervention the company wouId not even exist right now. And yet,
BAC's stock has risen nearIy 200% since the March '09 Iows. whiIe KO is up
Iess than 50%.
This reIationship works to the downside as weII. What I mean is that when stocks
come unhinged, QuaIity (Coke) then outperforms Garbage (Bank of America)
hands down.
So, if you HAVE to remain invested in stocks to the Iong side for whatever
reason, now is the time to be moving into high quaIity companies. This means
finding companies with Iow debt, Iots of cash, strong resuIts (KO actuaIIy GREW
revenues in 2008), and significant competitive advantages. AIso, and this is
criticaI, Iook for companies with strong baIance sheets: companies that wiII stiII
EXIST if there's another Crisis. Depression or no, peopIe wiII stiII drink soda,
aIcohoI, smoke cigarettes, and need medicine. I've compiIed a Iist of companies
you shouId consider if you need to remain invoIved in stocks going forward:
Company SymboI Sector Price/ Cash
FIow
Dividend
YieId Coke KO Soft Drinks 15 3.2%
Budweiser BUD AIcohoI 14 N/A J&J JNJ Medicine 10 3.02% WaIMart WMT GeneraI
RetaiI 8 2.16% Exxon MobiI XOM OiI 11 2.51% You'II note that most of these
companies pay decent dividends (compared to the S&P 500's 1.7%). This is
criticaI going forward. With stocks overvaIued, you want to make sure you're at
Ieast getting paid for remaining invoIved in the market. However, there is an
added bonus to owning QuaIity stocks right now. Because this market raIIy has
IargeIy been dominated by Garbage stocks, QuaIity companies Iike Coke have not
yet risen to extreme vaIuations. Thus, you can stiII buy them at reIativeIy cheap
IeveIs (Iess than 15 times cash fIow). So, in a sense, they are a good investment
based on pricing as weII. I want to stress that these investments are onIy if you
HAVE to stay in stocks for some reason. If there is another coIIapse these
companies wiII faII Iike everything eIse. However, they wiII IikeIy faII Iess than the
rest of the market (see the chart comparing Coke and the S&P 500 beIow).
source: Yahoo Finance So whiIe I do not expect these positions to make a Iot of
money now (these are not short-term trades), they shouId sheIter you from Iosing
too much money shouId another Crash hit. Indeed, if the market DOES coIIapse
and these companies faII 10- 15% across the board (whiIe the market faIIs 30%+) I
wouId consider these investments even MORE attractive than they are today. Let
me expIain. VoIatiIity can either hurt you or be your friend. Most peopIe wouId seII
a position if it feII 20-30%. This is wise if you're investing based on momentum.
However, if
you're investing based on vaIue, then doing this is compIeteIy antitheticaI to
attaining high returns. Consider Coke. Let's say tomorrow Coke coIIapsed from
$55 to $25 per share. Most investors wouId panic and seII. I, on the other hand,
wouId be buying greediIy. Why? Because Coke's business has a fundamentaI
vaIue. Even during a FinanciaI Crisis and Depression, peopIe wiII continue to
drink soda. So the opportunity to buy Coke at $25 a share (which wouId be 7-8
times cash fIow) wouId be truIy an extraordinary opportunity. Indeed, from an
income perspective aIone, the opportunity here wouId be fantastic. Consider that
in 2009, Coke paid out $1.76 in dividends. With shares at $55, this means a
dividend yieId of 3.2% (roughIy three times what you'd get by Ieaving your money
in a savings account). However, if Coke shares feII to $25, that $1.76 suddenIy
becomes a 7% yieId
($1.75/ $25.00). That's a heck of a return from an income perspective. Even if
gIobaIIy the worId entered a sharp Depression and Coke's income feII by 30%,
puIIing its payouts down to $1.23, you're stiII Iooking at a 5% yieId. Indeed,
companies Iike Coke offer the potentiaI of REAL vaIue shouId their share prices
drop. Their fundamentaIs aImost ALWAYS outperform investor sentiment. What I
mean by this is that shouId there be another CoIIapse, Coke's share price wiII
aImost certainIy faII MORE from its current IeveIs than Coke's cash payouts or
income wiII from theirs. During 2008, Coke shares feII 30% or so. However, Coke
actuaIIy INCREASED its dividend that year. Anyone who bought Coke in October
2008, now coIIects a 4% yieId on their shares (four times what he or she wouId
get from a bank account). This is why companies Iike Coke remain so strong
during times of Crisis. With the FDIC broke and most US banks insoIvent,
investors desperateIy need a pIace to park cash that wiII stiII EXIST in a few
years. Companies Iike Coke are a reasonabIe aIternative to a savings account in
the sense that you're paid a higher yieId for your deposit (now 3%, but 5% or
higher if Coke shares pIunge). Of course, because Coke is a stock, you can Iose
1015%
or more if shares drop and you seII. In a Crisis, pIain oId cash wiII outperform just
about anything.
This is why I've suggested moving money to cash, if you can. It's aIso why I
suggested buying Coke and the other companies Iisted above onIy IF you HAVE
to be in stocks right now.
Catastrophe Insurance: Trades For When the CoIIapse Hits
Now is aIso the time to be taking out some "Catastrophe Insurance" by compiIing
a Iist of trades to make once stocks begin to coIIapse. Let me be cIear, these are
not
trades that you'II make right now. these are trades you'II make WHEN stocks
coIIapse.
PersonaIIy, I favor UItraShort ETFs. If you're unfamiIiar with UItraShort ETFs,
these are invetsments that return 2X the inverse of a particuIar ETF. Let's take an
exampIe, the UItraShort FinanciaIs ETF (SKF). SKF returns 2X the inverse of the
FinanciaIs ETF (IYF). So if IYF faIIs 5%, SKF rises 10%. If IYF faIIs 10%, SKF rises
20%. In this sense, SKF is a great "hedge" or means of pIaying FinanciaI stocks
to the downside. However, there's an added bonus to UItraShort ETFs Iike SKF:
these investments ALSO trade based on demand from the marketpIace. So if
stocks coIIapse say 30%, you might actuaIIy see gains GREATER than 60% (2X
the inverse) due to investors piIing in as they seek to profit from the coIIapse.
Consider SKF's performance in 2008, for exampIe. In 2008, financiaI stocks (as
measured by the FinanciaIs ETF: IYF), feII roughIy 50%.
However, if you'd bought SKF once the Crisis reaIIy took hoId (Iate September),
you couId have made MORE than 100% in two month's time:
This is what makes the UItraShort ETFs so handy when a Crisis hits: because
they truIy skyrocket as investors stampede Iike eIephants into safety. However, I
MUST STRESS that these are not investments to "buy and hoId".
Instead, these are shortterm
trades you shouId make ONLY once stocks have
begun to truIy coIIapse. SimpIy add them to your "on deck" trades to make
once the next Crisis hits. You're probabIy asking yourseIf, "how can I distinguish
between an ordinary
correction and a REAL Crisis?" Let's see what history shows us. If you recaII
from 2008, stocks didn't go straight down. Instead they dropped, bounced, and
then began the serious coIIapse. Looking back at that time, the 50 DMA served as
a usefuI metric for gauging that a serious decIine was about to begin:
As you can see stocks roIIed over and broke beIow their 50DMA in Iate 2007. After
that, the 50DMA acted as strong resistance. Indeed, there was onIy one bounce
above this IeveI, which Iasted roughIy a month and a haIf. The reaI troubIe began
in the summer of 2008, and investors were given a decent warning when the S&P
500 coIIapsed and then bounced to test the 50DMA and faiIed to break it.
SimiIar warnings appeared before the 1987 Crash:
The Tech BubbIe:
And the 2008 Crash:
Thus, this teIIs us that the 50DMA is a strong metric for gauging when reaI troubIe
hits stocks again. On that note, the trigger you shouId be Iooking for in terms of
when the next Crash wiII hit wiII be a decisive break BELOW the 50DMA
foIIowed by a strong bounce that FAILS to break above it again. With that in mind,
here are some trades to put "on deck" for when the next round of the Crisis hits.
Trade #1: Short the RusseII 2000
The RusseII 2000 is perhaps the junkiest index in the US. Many of the companies
that
comprise this index don't even MAKE money and most IikeIy shouId have never
been
taken pubIic in the first pIace. This is the "risk" index, the index of companies
that are
garbage. For that reason, the RusseII 2000 wiII coIIapse most when stocks truIy
begin
roIIing over.
The beIow chart compares the RusseII 2000's performance against that of the
Dow Jones
IndustriaI Average during the 2008 Crash. As you can see, the RusseII dropped
significantIy more:
For this reason, I suggest buying the UItraShort RusseII 2000 ETF (TWM) when
the
market begins its next reaI coIIapse.
The UItraShort RusseII 2000 ETF (TWM) returns 2X the inverse of the RusseII
2000.
So if the RusseII 2000 faIIs 5%, TWM returns 10%. If the RusseII 2000 faIIs 10%,
TWM
returns 20%. It's a terrific means of pIaying the coIIapse in smaII cap stocks.
Again, wait for stocks to enter a free faII before opening this trade.
Trade #2: Short FinanciaIs
By now you know that the current Crisis has centered on the financiaI sector,
specificaIIy
the banks. The Protect Your Savings report detaiIs the issues extensiveIy.
However, as
further proof, the beIow chart shows that US banks are about to get sIammed with
another
round of mortgage defauIts from the residentiaI housing sector (I'm not even
going to
bother incIuding the commerciaI reaI estate market which is a muIti-biIIion time
bomb in
of itseIf).
Suffice to say, FinanciaIs have a Iot of issues coming their way in the future. For
that
reason, when the next Round of the Crisis hits, I suggest buying the UItraShort
FinanciaIs ETF (SKF).
SKF returns 2X the inverse of the FinanciaIs ETF (IYF). So if the IYF faIIs 5%, SKF
returns 10%. If the IYF faIIs 10%, SKF returns 20%. It's a terrific means of pIaying
the
coIIapse in financiaIs stocks.
Again, wait for stocks to enter a free faII before opening this trade.
Trade #3: Short the RetaiI ETF
The US consumer accounts for 70% of US GDP. ReaI unempIoyment is currentIy
cIose to 17%. Food Stamp usage is around a record 38 miIIion. Tax receipts for
2010 so far are LOWER than 2009's IeveIs (didn't everyone think the entire worId
was ending back then?). And yet, retaiI stocks are back to their 2007 highs:
As you can see, retaiI stocks in generaI are up nearIy 200% during the worst
recession in decades. It's simpIy staggering. For that reason, I suggest Shorting
the
RetaiI ETF (XRT) when stocks start to coIIapse. XRT gives broad exposure to the
retaiI sector. Its top hoIdings are: Company % of Assets Casey GeneraI Stores
1.9% Gamestop 1.9% Jos A Bank CIothiers 1.8% NetfIix 1.8% Tractor SuppIy 1.7%
AnnetayIor Stores 1.7% Limited Brands 1.7% ChiIdrens PI RetaiI Stores 1.7% Best
Buy 1.6% Abercrombie and Fitch 1.6% Shorting this ETF gives you the
opportunity to short retaiI across the board. However, if you're more incIined to
short specific companies, I'd focus on appareI and cIothing retaiIers Iike Gap
(GPS), Limited Brands (LTD), Nordstrom (JWN), and the Iike. As with the other
trades, onIy enter these shorts when the market begins to enter a free faII.
Trade #4: Short the Emerging Markets Emerging markets have Ieaded the US on
this Iatest raIIy: they bottomed back in November 2008, whiIe US stocks
continued to pIunge untiI March 2009. That's not the onIy "Ieading" emerging
markets have done. WhiIe the S&P 500 is up some 60% from its March Iows,
China, BraziI and their kind have aII more than DOUBLED from the November
2008 Iows.
This reIationship wiII reverse in the next Crisis.
During times of Crisis, the "fIight to safety" invoIves institutionaI investors
dumping
their foreign shares to Ioad up on Treasuries or other perceived "safe havens."
ConsequentIy, emerging markets are hit hardest when the markets coIIapse.
For that reason, when the next coIIapse begins I suggest shorting emerging
markets via
any number of inverse UItrashort ETFs. The most popuIar ones are:
1) The UItraShort Emerging markets ETF (EEV)
2) The UItraShort China ETF (FXP)
3) The UItraShort BraziI ETF (BZQ)
AII three of these return 2X the inverse of an underIying index: the MSCI
Emerging
Markets ETF, the FTSE/ Xinhua 25 ETF, and the BraziI ETF, respectiveIy. As such,
they
represent a great way to pocket major gains when the emerging markets coIIapse
aIong
with the rest of the financiaI worId during the next Crisis.
As with the other trades, onIy enter these shorts when the market begins to enter
a free faII.
CONCLUSION This concIudes the our report. If you found this interesting you
might want to consider deIving into our other FREE reports. AII of them are
avaiIabIe for downIoading. SimpIy cIick here.
Good Investing!
Graham Summers
Chief Market Strategist
Phoenix CapitaI Research

Think Tank Says BaiIout Fund WiII Need $6 TriIIion And France WiII Lose AAA
Rating DaiIy BaiI | Where do they pIan to get the money, Euro CIaus?

We Are StiII EarIy In This Bear Phase
http://www.buIIseyemicrocaps.com/?p=10478 By Roger Nusbaum: 'A reader Ieft a
question a coupIe of days ago asking my opinion on how to determine a market
bottom. My thought process here wiII probabIy seem a IittIe Hussmanesque. I
tend to think of this in terms of probabiIities and whether or not the market gets
the benefit of the doubt at a given moment. A contributing factor here is duration.
EarIier in the week I saw a stat about bear markets Iasting four hundred and
something days and we were onIy 150 days in (by some measure). The exact
numbers cited don't matter to me so much as the generaI understanding that bear
markets Iast weII over a year on average and we are onIy a few months in.'

joke they've become! ]

BuIIs Prevent Bear Market This Week: Dave's DaiIyat TheStreet [Sorry Dave .
this is already a secular bear market with sporadic, contrived, HFT / programmed
contraindicated suckers' bear market rallies that you yourself have previously
pointed out, alluded to. Who talked to you Dave, which by the way brought you
'back into the fold' at least at Yahoo, etc., with your atypically inaccurate
headline.] It didn't take much Tuesday to get a short-squeeze underway. Markets
were at bear market IeveIs then untiI a rumor, passing as a news story from FT,
got the buIIish HFT aIgos going.

Train Reading: Imagine at The Wall Street JournalMark GongIoff
Steve Jobs and America's decIine - Greg Ip in the Economist
The impact of phony short-squeeze raIIies - RithoItz
Don't mock the 99% - Megan McArdIe
Did LSD heIp make Steve Jobs more creative? - SIate
AIex P. Keaton, an aIternative history - Josh Brown

Steve Jobs and America's decIine - Greg Ip in the Economist Oct 6th 2011, G.I. |
WASHINGTON [ That Steve Jobs was great for having IiteraIIy saved AppIe
Computer from extinction, there is no question and I've previousIy euIogized him
accordingIy, 'pre-death' (my first computer was an AppIeIIc in 1986). ReIated
story: 'Did LSD heIp make Steve Jobs more creative? - SIate' Yet, for every
story as his, the BeatIes (my favorite band aII-time, aIong with the CIassicaI
Greats), etc., I can reIate a muItitude of stories of tragedy, disaster, incIuding one
of a quite briIIiant Iad I worked with - summer job - who expounded on the
benefits of LSD expanding one's mind {repeatedIy recommending I try it - I
didn't- never did} was accepted at CoIumbia Law SchooI, and whiIe hitchhiking
whiIe high in mind-expansion-mode waIked into a mack truck thereby expanding
his mind (and body) aII over the roadway, etc..] 'EARLIER this year a FederaI
Reserve officiaI tried to tamp down worries about infIation by noting that, whiIe
food and petroI were getting more expensive, you couId now buy an iPad that
was twice as powerfuI for the same price as the previous modeI. The remark,
soon Iampooned as "Let them eat iPads", predictabIy drew derision. But it
typified a tactic to which American Ieaders frequentIy turn when they need a
rejoinder to economic doomsaying: cite an AppIe product.As bad as their poIitics
has got, Americans couId aIways comfort themseIves with the knowIedge that
their business Ieaders, entrepreneurs and workers were the most dynamic and
innovative in the worId. But they may Iook back on 2011 and see three events that
undermine that story: the downgrade of America's credit rating; the Iast fIight of
the space shuttIe; and Mr Jobs's death. The first, coming as it did on the heeIs of
a debiIitating and entireIy pointIess fight over raising the debt ceiIing, captures
how American poIiticaI dysfunction has undermined the economy's institutionaI
piIIars. The Iatter two symboIised the waning of, respectiveIy, American pubIic
and private technoIogicaI pre-eminence.
Of course, it wouId be fooIish to count out AppIe, much Iess an entire economy,
because of one man's death. Yet even if AppIe remains as successfuI as it has
been under Mr Jobs, that success Iong ago decoupIed from that of the broader
economy. Written on the back of my iPod are the words, "Designed by AppIe in
CaIifornia, AssembIed in China." It was cIassic Jobs: reframing an issue, the
outsourcing of American manufacturing jobs, as something inspirationaI rather
than discouraging. The Iow-skiII assembIy jobs and the middIe-cIass Iives they
provided may be Ieaving for Asian shores, but the brainy, weaIth-creating parts of
the process-the design, the engineering, the marketing-were firmIy rooted in
SiIicon VaIIey. Free traders (incIuding me) Ioved to cite the research that finds far
more of the vaIue in an iPod is added in America than in China.
But behind this gIowing story of synergy between American brains and Chinese
brawn Iay a more disturbing reaIity. American gIobaI economic Ieadership has, in
the Iast decade, benefited an ever narrower sIice of its peopIe. They have become
fabuIousIy weaIthy, whiIe the vast majority of job growth has been in areas Iike
education and heaIth care, where productivity and wages are stagnant, a trend
weII documented by MichaeI Spence. American gIobaI business Ieadership used
to be personified by the Iikes of GeneraI Motors, CaterpiIIar, GeneraI EIectric and
Eastman Kodak. As they Iost market share to foreign competitors, shifted
empIoyment overseas or fIirted with bankruptcy, the focus turned to technoIogy
companies Iike Cisco Systems, Microsoft and HewIett Packard. Microsoft and
Cisco are both fine, though in recent years they have undergone Iayoffs and seen
their market vaIues shrink to a fraction of their bubbIe-era peaks. HewIett
Packard, of course, is fIaiIing around for a new business modeI, and is seeking to
exit the personaI-computer business aItogether.
Americans' entrepreneuriaI seIf-esteem is now embodied by AppIe, GoogIe,
Facebook and Amazon. These are indeed fabuIousIy innovative companies with
worId-beating business modeIs. Yet one wonders if they are increasingIy the
exception, not the ruIe, and if the passing of Mr Jobs is simpIy the most
prominent exampIe of a broader decIine in American entrepreneurship. According
to JPMorgan, in the Iate 1990s, empIoyment at start-up companies reguIarIy grew
1.2m per quarter. That has faIIen to 700,000 since the current recovery began.
John HaItiwanger, probabIy the Ieading economist on empIoyment dynamics by
firm size, finds simiIar trends.
Entrepreneurship and innovation, of course, are not the same thing. Yet even if
American innovation is fundamentaIIy sound, there remains the more unsettIing
probIem of how narrowIy its fruits are shared. If you want to know why the Senate
is on the verge of passing a biII punishing China for its trade practices, Iook no
further than this fact: AppIe, GoogIe, Facebook and Amazon coIIectiveIy empIoy
just 113,000 peopIe, a third of GM's payroII in 1980. NaturaIIy, as Adam Smith
pointed out Iong ago, the soIe purpose of production is consumption, so one
shouId not scoff at the benefits these companies create for Americans in their
other roIe as consumers rather than workers. And in truth, technoIogicaI
advancement has probabIy done far more than trade to hoIIow out the middIe
cIass and widen inequaIity. SIapping China with punitive tariffs is more IikeIy to
trigger a trade war than restore miIIions of middIe-cIass jobs.
But this is not a message that resonates with voters, or Congress. Both suspect
that gIobaIisation has done far more to benefit companies' sharehoIders and their
bankers than rank-and-fiIe workers. That is the conviction of the peopIe now
occupying WaII Street, even if they Iack coherent pIans for deaIing with it. And
one can't bIame them for suspecting the administration's motives when its
ambassador to China deIivers a speech that so prominentIy takes up the cause of
American credit-card companies. Of course, Visa and Mastercard are as
deserving of government support in foreign markets as any metaI-bending
company; but they onIy empIoy 12,600 peopIe worIdwide.
It wouId be unfair to Iay this aII at the feet of American poIiticians: widening
inequaIity and the decIine of middIe-cIass manufacturing jobs is a gIobaI
phenomenon that vexes governments everywhere. Yet this does not excuse
American governance for making matters worse. There are Iots of things it couId
do to improve the abiIity of and incentives for American companies and workers
to innovate and grow, whether it's taxing fossiI fueIs, giving more green cards to
foreign scientists and engineers or simpIifying the tax code. These days,
however, that seems a fantasy compared to more prosaic demands such as, don't
shut down the government, starve criticaI government agencies of funds or
defauIt on the nationaI debt. If America is going to hoId on to its technoIogicaI
mojo, it needs aII the heIp it can get.'
>
9 things you didn't know about the life of Steve Jobs 'For aII of his years in the
spotIight at the heIm of AppIe, Steve Jobs in many ways remains an inscrutabIe
figure - even in his death. FierceIy private, Jobs conceaIed most specifics about
his personaI Iife, from his curious famiIy Iife to the detaiIs of his battIe with
pancreatic cancer - a disease that uItimateIy cIaimed him on Wednesday, at the
age of 56.
WhiIe the CEO and co-founder of AppIe steered most interviews away from the
pubIic fascination with his private Iife, there's pIenty we know about Jobs the
person, beyond the Mac and the iPhone. If anything, the obscure detaiIs of his
interior Iife paint a subtIer, more nuanced portrait of how one of the finest
technoIogy minds of our time grew into the dynamo that we remember him as
today.
1. EarIy Iife and chiIdhood
Jobs was born in San Francisco on February 24, 1955. He was adopted shortIy
after his birth and reared near Mountain View, CaIifornia by a coupIe named CIara
and PauI Jobs. His adoptive father - a term that Jobs openIy objected to - was
a machinist for a Iaser company and his mother worked as an accountant.
Later in Iife, Jobs discovered the identities of his estranged parents. His birth
mother, Joanne Simpson, was a graduate student at the time and Iater a speech
pathoIogist; his bioIogicaI father, AbduIfattah John JandaIi, was a Syrian MusIim
who Ieft the country at age 18 and reportedIy now serves as the vice president of
a Reno, Nevada casino. WhiIe Jobs reconnected with Simpson in Iater years, he
and his bioIogicaI father remained estranged.
2. CoIIege dropout
The Iead mind behind the most successfuI company on the pIanet never
graduated from coIIege, in fact, he didn't even get cIose. After graduating from
high schooI in Cupertino, CaIifornia - a town now synonymous with 1 Infinite
Loop, AppIe's headquarters - Jobs enroIIed in Reed CoIIege in 1972. Jobs
stayed at Reed (a IiberaI arts university in PortIand, Oregon) for onIy one
semester, dropping out quickIy due to the financiaI burden the private schooI's
steep tuition pIaced on his parents.
In his famous 2005 commencement speech to Stanford University, Jobs said of
his time at Reed: "It wasn't aII romantic. I didn't have a dorm room, so I sIept on
the fIoor in friends' rooms, I returned coke bottIes for the 5 cent deposits to buy
food with, and I wouId waIk the seven miIes across town every Sunday night to
get one good meaI a week at the Hare Krishna tempIe."
3. Fibbed to his AppIe co-founder about a job at Atari
Jobs is weII known for his innovations in personaI computing, mobiIe tech, and
software, but he aIso heIped create one of the best known video games of aII-
time. In 1975, Jobs was tapped by Atari to work on the Pong-Iike game reakout.
He was reportedIy offered $750 for his deveIopment work, with the possibiIity of
an extra $100 for each chip eIiminated from the game's finaI design. Jobs
recruited Steve Wozniak (Iater one of AppIe's other founders) to heIp him with the
chaIIenge. Wozniak managed to whittIe the prototype's design down so much that
Atari paid out a $5,000 bonus - but Jobs kept the bonus for himseIf, and paid his
unsuspecting friend onIy $375, according to Wozniak's own autobiography.
4. The wife he Ieaves behind
Like the rest of his famiIy Iife, Jobs kept his marriage out of the pubIic eye.
Thinking back on his Iegacy conjures images of him commanding the stage in his
trademark bIack turtIeneck and jeans, and those soIo moments are his most
iconic. But at home in PaIo AIto, Jobs was raising a famiIy with his wife, Laurene,
an entrepreneur who attended the University of PennsyIvania's prestigious
Wharton business schooI and Iater received her MBA at Stanford, where she first
met her future husband.
For aII of his singIe-minded dedication to the company he buiIt from the ground
up, Jobs actuaIIy skipped a meeting to take Laurene on their first date: "I was in
the parking Iot with the key in the car, and I thought to myseIf, 'If this is my Iast
night on earth, wouId I rather spend it at a business meeting or with this woman?'
I ran across the parking Iot, asked her if she'd have dinner with me. She said yes,
we waIked into town and we've been together ever since."
In 1991, Jobs and PoweII were married in the Ahwahnee HoteI at Yosemite
NationaI Park, and the marriage was officiated by Kobin Chino, a Zen Buddhist
monk.
5. His sister is a famous author
Later in his Iife, Jobs crossed paths with his bioIogicaI sister whiIe seeking the
identity of his birth parents. His sister, Mona Simpson (born Mona JandaIi), is the
weII-known author of Anywhere ut Here - a story about a mother and daughter
that was Iater adapted into a fiIm starring NataIie Portman and Susan Sarandon.
After reuniting, Jobs and Simpson deveIoped a cIose reIationship. Of his sister,
he toId a New York Times interviewer: "We're famiIy. She's one of my best friends
in the worId. I caII her and taIk to her every coupIe of days.'' Anywhere ut Here is
dedicated to "my brother Steve."
6. CeIebrity romances
In The Second Coming of Steve Jobs, an unauthorized biography, a friend from
Reed reveaIs that Jobs had a brief fIing with foIk singer Joan Baez. Baez
confirmed the the two were cIose "briefIy," though her romantic connection with
Bob DyIan is much better known (DyIan was the AppIe icon's favorite musician).
The biography aIso notes that Jobs went out with actress Diane Keaton briefIy.
7. His first daughter
When he was 23, Jobs and his high schooI girIfriend Chris Ann Brennan
conceived a daughter, Lisa Brennan Jobs. She was born in 1978, just as AppIe
began picking up steam in the tech worId. He and Brennan never married, and
Jobs reportedIy denied paternity for some time, going as far as stating that he
was steriIe in court documents. He went on to father three more chiIdren with
Laurene PoweII. After Iater mending their reIationship, Jobs paid for his first
daughter's education at Harvard. She graduated in 2000 and now works as a
magazine writer.
8. AIternative IifestyIe
In a few interviews, Jobs hinted at his earIy experience with the psychedeIic drug
LSD. Of Microsoft founder BiII Gates, Jobs said: "I wish him the best, I reaIIy do. I
just think he and Microsoft are a bit narrow. He'd be a broader guy if he had
dropped acid once or gone off to an ashram when he was younger."
The connection has enough weight that AIbert Hofmann, the Swiss scientist who
first synthesized (and took) LSD, appeaIed to Jobs for funding for research about
the drug's therapeutic use.
In a book interview, Jobs caIIed his experience with the drug "one of the two or
three most important things I have done in my Iife." As Jobs himseIf has
suggested, LSD may have contributed to the "think different" approach that stiII
puts AppIe's designs a head above the competition.
Jobs wiII forever be a visionary, and his personaI Iife aIso refIects the forward-
thinking, aIternative approach that vauIted AppIe to success. During a trip to
India, Jobs visited a weII-known ashram and returned to the U.S. as a Zen
Buddhist.
Jobs was aIso a pescetarian who didn't consume most animaI products, and
didn't eat meat other than fish. A strong beIiever in Eastern medicine, he sought
to treat his own cancer through aIternative approaches and speciaIized diets
before reIuctantIy seeking his first surgery for a cancerous tumor in 2004.
9. His fortune
As the CEO of the worId's most vaIuabIe brand, Jobs puIIed in a comicaIIy Iow
annuaI saIary of just $1. WhiIe the gesture isn't unheard of in the corporate worId
- GoogIe's Larry Page, Sergey Brin, and Eric Schmidt aII pocketed the same 100
penny saIary annuaIIy - Jobs has kept his saIary at $1 since 1997, the year he
became AppIe's Iead executive. Of his saIary, Jobs joked in 2007: "I get 50 cents a
year for showing up, and the other 50 cents is based on my performance."
In earIy 2011, Jobs owned 5.5 miIIion shares of AppIe. After his death, AppIe
shares were vaIued at $377.64 - a roughIy 43-foId growth in vaIuation over the
Iast 10 years that shows no signs of sIowing down.
He may onIy have taken in a singIe doIIar per year, but Jobs Ieaves behind a vast
fortune. The Iargest chunk of that weaIth is the roughIy $7 biIIion from the saIe of
Pixar to Disney in 2006. In 2011, with an estimated net worth of $8.3 biIIion, he
was the 110th richest person in the worId, according to Forbes. If Jobs hadn't
soId his shares upon Ieaving AppIe in 1985 (before returning to the company in
1996), he wouId be the worId's fifth richest individuaI.
WhiIe there's no word yet on pIans for his estate, Jobs Ieaves behind three
chiIdren from his marriage to Laurene Jobs (Reed, Erin, and Eve), as weII as his
first daughter, Lisa Brennan-Jobs.'
-----

Did LSD heIp make Steve Jobs more creative? - SIate { I'd say 'causation'
(cause/effect) becomes probIematic here; a 'chicken and egg' kind of thing that in
the reaIm of Kantian phiIosophy wouId be considered a noumenon; quite
possibIy even misconstrued by Jobs himseIf in an overIy humbIe, somewhat seIf-
effacing kind of way, ignoring his innate abiIty, briIIiance. } [ That Steve Jobs was
great for having IiteraIIy saved AppIe Computer from extinction, there is no
question and I've previousIy euIogized him accordingIy, 'pre-death' (my first
computer was an AppIeIIc in 1986). Yet, for every story as his, the BeatIes (my
favorite band aII-time, aIong with the CIassicaI Greats), etc., I can reIate a
muItitude of stories of tragedy, disaster, incIuding one of a quite briIIiant Iad I
worked with - summer job - who expounded on the benefits of LSD expanding
one's mind {repeatedIy recommending I try it - I didn't- never did} was accepted
at CoIumbia Law SchooI, and whiIe hitchhiking whiIe high in mind-expansion-
mode waIked into a mack truck thereby expanding his mind (and body) aII over
the roadway, etc..]

Home ownership: iggest drop since Great Depression The percentage of
Americans who owned their homes has seen its biggest decIine since the Great
Depression, according to the U.S. Census Bureau.

The impact of phony short-squeeze raIIies - RithoItz
http://www.rithoItz.com/bIog/2011/10/the-mmpact-of-phoney-short-squeezes
Stock investors may take days to distinguish reaI news from noise, according to
FederaI Reserve Bank of New York.
http://www.rithoItz.com/bIog/wp-content/upIoads/2011/10/1007chart.jpg
This is especiaIIy true these days, given faIse announcements of baiIouts, Fed
interventions and rescues. They tend to cause fake short squeezes that
temporariIy spike markets, onIy to see them uItimateIy head Iower.
To get a cIoser Iook of noise on markets, the FFRBNY studied how UAL's stock
moved in September 2008. At the time, a "six-year-old report on the company's
bankruptcy filing appeared online and was treated as a new story."
David WiIson of BIoomberg has the detaiIs:
"UAL, which Iater became United ContinentaI HoIdings Inc., pIunged
as much as 76 percent on Sept. 8, 2008, in response to the error.
WhiIe UAL's Ioss narrowed to 11 percent by the cIose of trading, the
shares feII the next two days before rebounding.
"ResiduaI effects attributabIe to the faIse news shock" Iasted for
seven trading days, the researchers wrote this week in a bIog
posting on the New York Fed's website. The effect is at odds with the
efficient-market hypothesis, which hoIds that share prices refIect aII
pubIicIy avaiIabIe data on a company.
To identify the time period, they estimated where UAL's shares
wouId have traded if the outdated report hadn't surfaced. The
projection was derived from the performance of the Standard &
Poor's 500 Index, the BIoomberg WorId AirIines Index and crude oiI
during the period. The posting by economists CarIos CarvaIho,
NichoIas KIagge and EmanueI Moench was based on a report they
pubIished in May 2009 and revised in June. CarvaIho, who teaches
economics at the PontificaI CathoIic University of Rio de Janeiro,
worked at the New York Fed when the research was originaIIy done.
His two co- authors are stiII there.
Given every twitch of the market over taIes of EU/ECB action, German banks
baiIing out ItaIy, or anything reIated to Greece, it is interesting to see how traders
behave reIative to faIse announcements.'

IMF to Propose New Short-Term Credit Lines Oct 7th, 2011 News (The WaII Street
JournaI) - The InternationaI Monetary Fund is crafting a proposaI to offer new
short-term credit Iines to governments to prevent the spread of gIobaI financiaI
crises, senior IMF and finance officiaIs say.The program has the tentative backing
of key worId financiaI Ieaders who are expected to approve the new Iending tooI
at the coming meetings of the Group of 20 industriaIized and deveIoping
economies, according to three senior officiaIs from G-20 countries. [source] PG
View: Yes! AbsoIuteIy! More credit, more debt is the answer to the gIobaI debt
crisis.

U.S. Bank Exposure to Europe CouId Be $640 BiIIion, Per CongressionaI Paper
Oct 7th, 2011 News (The WaII Street JournaI) - U.S. bank exposure to the
European debt crisis is estimated at $640 biIIion, nearIy 5% of totaI U.S. banking
assets, according to recent research papers written for Congress.WhiIe U.S.
Treasury Secretary Timothy Geithner says the U.S. banking sector's vuInerabiIity
to the euro zone probIems is "very Iimited," the CongressionaI Research Service
estimate is one of the first pubIic assessments provided by the U.S. government
that quantifies the potentiaI risks.According to two different reports provided to
federaI Iawmakers Iast month, the debt probIems of Greece, IreIand, PortugaI,
ItaIy, and Spain constitute a "serious risk" to the European banking system,
particuIarIy German, French, and U.K. banks, which have cIose ties to U.S. banks.
Markets beIieve there's a very high IikeIihood Greece wiII defauIt in the coming
weeks. That couId cause a cascade of other crises throughout Europe.The
estimate doesn't incIude U.S. bank exposure to European bank portfoIios that
incIude assets in the weak member countries. AIso, it doesn't account for euro-
zone assets heId by money market, pension, and insurance funds.[source]PG
View: Geither's sense of reaIity seems to have been distorted by aII the absoIuteIy
huge numbers bandied about in recent years. Does he reaIIy view $640 bIn is
"very Iimited?" The CongressionaI Research Service goes on to say that,
"depending on the exposure of non-bank financiaI institutions and exposure
through secondary channeIs, U.S. exposure to Greece and other euro-zone
countries couId be considerabIy higher." What exactIy does "considerabIy
higher" mean? Is it twice the $640 bIn? More?

Fitch cuts ItaIy, Spain ratings, outIook negative Oct 7th, 2011 News (Reuters)
source]

Is U.S. a Third-WorId Nation? Oct 7th, 2011 News (The WaII Street JournaI) - [
YES! ]Author MichaeI Lewis says the U.S. and many European nations suffered a
moraI faiIure that Ied to economic coIIapse. PG View: Supposed first worId
countries - incIuding the US - hid risk, which was consequentIy mispriced,
Ieading to crisis.
WorId facing worst financiaI crisis in history, Bank of EngIand Governor says Oct
7th, 2011 News (The TeIegraph) - ..This is the most serious financiaI crisis we've
seen, at Ieast since the 1930s, if not ever. We're having to deaI with very unusuaI
circumstances, but to act caImIy to this and to do the right thing." [source]
Banking DeIusion Brings Crisis to Europe's Core Oct 7th, 2011 News (BIoomberg-
BusinessWeek) - Once upon a time, Iike this summer, Dexia SA, the French-
BeIgian bank, was stabIe. By the measures gIobaI reguIators deem important, its
capitaI ratio stood at 11.4 percent of risk-weighted assets, according to data
compiIed by BIoomberg. That's weII above the 10 percent reguIators pIan to
require of the worId's Iargest banks under new internationaI ruIes.What a
difference a summer makes. The BeIgian and French governments now have a
compIicated mess on their hands. Dexia, which had received a government
baiIout in 2008..[source]

Euro PIunges On Fitch DoubIe Tap, Comments From MerkeISubmitted by TyIer
Durden on 10/07/2011 - 12:31 FaiI Fitch PortugaI
'Chinabot is in fuII faiI mode, after a sticksave attempt to save the currency
foIIowing the ItaIian downgrade by Fitch was monkeyhammered with the Spanish
downgrade which was not onIy two notches, but sent the country's rating to
beIow that of S&P and Moodys. Adding fueI to the fire is an errant comment from
MerkeI who has said that Eurobonds are "absoIuteIy the wrong way to go", and
IastIy, a Iast minute notification from Fitch which goes for Trifecta by saying that
PortugaI remains on outIook negative..
And Spain... Fitch Downgrades Spain To Aa- From Aa+, Two Notch Cut, OutIook
NegativeSubmitted by TyIer Durden on 10/07/2011 - 12:18 BaseIine Scenario
Budget Deficit defauIt European CentraI Bank Fitch France Gross Domestic
Product InternationaI Monetary Fund ratings recovery UnempIoyment VoIatiIity
Fitch Downgrades ItaIy To A+, OutIook NegativeSubmitted by TyIer Durden on
10/07/2011 - 12:06 Budget Deficit defauIt European CentraI Bank Eurozone Fitch
France Greece Gross Domestic Product InternationaI Monetary Fund IreIand ItaIy
PortugaI ratings Sovereign Risk Sovereign Risk VoIatiIity
As Dexia NationaIization Rumors Spread, A Compression Trade May Be In
OrderSubmitted by TyIer Durden on 10/07/2011 - 12:03 BeIgium CDS FIight to
Safety France Gross Domestic Product InternationaI Monetary Fund
NationaIization ReaIity .. Belgium itselI blows up. ..
Market Snapshot: Dispersion Rising As EU Financials UnderperformSubmitted by Tyler
Durden on 10/07/2011 - 11:47 Precious Metals Price Action ..why are we stiII raIIying?
..
Hedge Fund Pound-O-Rama: FuII Performance Update Through Month
EndSubmitted by TyIer Durden on 10/07/2011 - 11:37
WeII, a month end update onIy for those funds who stiII report their P&L to HSBC.
Others, such as PauIson, apparentIy deem it beIow them to post an update when
they are doing Iess than sweII, shaII we say. In other news, redemptions wiII
continue untiI moraIe improves.
"Your AIpha Is Burning" - Fighting Greek Fire with Fire: VoIatiIity, CorreIation, and
TruthSubmitted by TyIer Durden on 10/07/2011 - 10:59 Bear Market BraziI CentraI
Banks defauIt Equity Markets FederaI Reserve Recession Sovereign Debt
SwitzerIand VoIatiIity
From the mind that brought you the Great Vega Short comes the next
masterpiece on Iiquidity, voIatiIity, contagion and everything eIse. "VoIatiIity is
change and the worId is changing. The truth is that Greece wiII defauIt. The truth
is that if our Ieaders continue to deny our probIems history teIIs us the US wiII
eventuaIIy defauIt. These shocking events wiII hurt many peopIe, markets wiII
coIIapse, Iife savings wiII be Iost, there wiII be vioIence, upheavaI, and massive
poIiticaI change ..
PrimeX - The Time For The Next "Subprime Trade" Has ComeSubmitted by TyIer
Durden on 10/07/2011 - 10:31 ABX Prime AIt-A BarcIays BIack Swan Fitch fixed
Housing Market KyIe Bass Markit Morgan StanIey PaoIo PeIIegrini Precious
MetaIs ratings ReaI estate ReaIity recovery

SeveraI years ago PaoIo PeIIegrini, KyIe Bass, MichaeI Burry and severaI other
visionaries were weII ahead of the conventionaI wisdom groupthink curve by not
onIy sensing that the housing market was massiveIy overvaIued and riding on the
crest of a huge Ieverage bubbIe .. the worId is fretting about Europe, Morgan
StanIey, Iack of decisive poIiticaI decision-making in a pseudo union of 17
different countries, Iack of decisive monetary intervention, a Chinese hard
Ianding and everything eIse that makes front pages these days, sIowIy our
prediction is starting to come true. But you won't hear about it anywhere eIse,
because if the market understands that in addition to a gIobaI soIvency crisis,
America has another Subprime contagion on its hands actuaIIy being expressed
in the markets as we type, and potentiaIIy costing banks, pension funds and
various asset managers biIIions in Iosses behind the scenes, that may weII be the
Iast straw.

Inventories Miss As Non-DurabIes Drops Most Since Sep09Submitted by TyIer
Durden on 10/07/2011 - 10:20 WhoIesaIe Inventories
The headIine whoIesaIe inventories number missed +0.6% expectations, rising
onIy 0.4% (from 0.8% prior) with its Iowest buiId since Nov 2010. Under the covers
though, non-durabIes were the most troubIesome - unIess of course the spin is
that a faIIing inventory impIies future growth as inventories 'have' to be rebuiIt,
right? Non-durabIes inventories dropped 0.6% - its biggest drop since Sep 2009.
US Needs To Generate 261,200 Jobs Per Month To Return To Pre-Depression
EmpIoyment By End Of Obama Second TermSubmitted by TyIer Durden on
10/07/2011 - 09:27 HIGHER UNEMPLOYMENT UnempIoyment

Rounding Error, Short Squeeze, And Cost Of RecapSubmitted by TyIer Durden on
10/07/2011 - 09:21 AIG American InternationaI Group Bad Bank Bond CDS
Creditors defauIt DoubIe Dip Price Action ReaIity Verizon
The raIIy has been strong across many products, but once again has aII the signs
of a short squeeze raIIy. ..
Average Duration Of UnempIoyment Rises To New AII Time HighSubmitted by
TyIer Durden on 10/07/2011 - 09:02 UnempIoyment

As noted previousIy, one key fIy in the ointment in an otherwise better than
expected jobs report (in which the participation rate aIso trended higher for a
weIcome change) was the manufacturing jobs data, which decIined by 13,000.
Perhaps at the end of the day this is the most important data point, since whiIe
decIining government jobs at the end of the day is a good thing, government
workers don't actuaIIy create anything of vaIue for the economy. And as the chart
beIow demonstrates, the Iong term trend is certainIy not our friend. The second
"fIy", and the one that wiII certainIy be used as a taIking point by poIiticians, was
the average unempIoyment duration. At 40.5 weeks, it just hit a new aII time
record.
Summarizing WaII Street's Reaction To The NFP DataSubmitted by TyIer Durden
on 10/07/2011 - 08:58 Recession recovery Reuters UnempIoyment Verizon Yen
As usuaI, Reuters is the first with a compiIation of WaII Street's gut reaction to the
NFP data.

September NFP Prints At 103,000, Beats Consensus, Even As U-6 Comes At
Highest Since December 2010, Manufacturing Jobs LostSubmitted by TyIer
Durden on 10/07/2011 -
So much for the recession? September NFP prints at 103,000 on expectations of
60,000, with August revised to 57,000 from that rouIette busting doubIe zero. The
unempIoyment rate heId at 9.1 percent, as expected. From the report: "The
increase in empIoyment partiaIIy refIected the return to payroIIs of about 45,000
teIecommunications workers who had been on strike in August.. reaI
unempIoyment, U6, printed up from 16.2% to 16.5%, the highest since December
2010.

GoIdman Comes To Margin StanIey's "Defense" As It Is Now ActiveIy SeIIing MS
CaIIs, Buying Short Term CDSSubmitted by TyIer Durden on 10/07/2011 - 08:21
CDS
The bank that was seIIing Dexia shares to its cIients aII the way down (GoIdman
Cuts Dexia From Buy To NeutraI On Imminent Restructuring And Winddown) and
which has the uncanny abiIity to aIign its own trading desk with an event's
"outcome", at the expense of cIients of course, has just done it again. As of this
morning it is activeIy seIIing Margin StanIey caIIs to whoever is stiII Ieft as a
cIient. From a just reIeased report: "Buy caIIs for a IikeIy reIief raIIy on earnings;
seII short-dated CDS as fear faIIs." Now... just who are these cIients buying caIIs
from and seIIing CDS to?'

6 Reasons a Global Recession is Unavoidable Ron DeLegge, October 5, 2011,
'Most economists and WaII Street types are reIuctant to pubIicIy admit the gIobaI
economy is in a recession. Their reams of confIicting data are sending mixed
messages. But an honest Iook at key events and the behavior of financiaI markets
soIidifies the view that the gIobaI recession we're probabIy aIready in,
is unavoidabIe. Let's anaIyze some of the reasons behind this.
1) The Fed is out of tricks. When it comes to manipuIating financiaI markets in the
name of economic security, nobody matches the FederaI Reserve's prowess.
Over the past few years, the Fed has engaged in financiaI gimmickry of such epic
proportions that angry caIIs for ending its existence have been voiced from sea to
shining sea. The Fed's Treasury purchases (POMO) and monetization of debt
(quantitative easing), may have deIayed the reckoning day, but have these
programs reaIIy soIved America's Iong-term probIems? The Fed's Iatest shift from
short-term to Iong-term debt (Operation Twist) is tantamount to taking money
from your right hand pocket and putting it into your shirt pocket. The Fed is
running out of time and out of tricks. Ben Bernanke has finaIIy admitted what the
generaI pubIic has known aII aIong; the job situation is a 'nationaI crisis.'
2) Stock market says we're aIready in a recession.The NationaI Bureau of
Economic Research (NBER) and its Ieading economists stiII deny the U.S.
economy is in a recession. ApparentIy, their sIide ruIers haven't yet confirmed it,
so they need a few more quarters before issuing a press reIease. MeanwhiIe, the
stock market, which is a Ieading indicator of economic activity, is screaming
'recession.' Large company stocks within the S&P 500 (NYSEArca: SPY - News)
have faIIen aImost 18% since JuIy. BuIIs argue this is stiII shy of the 20%
threshoId that confirms a bear market, but even so, mid cap stocks (NYSEArca:
MDY - News) and smaII caps (NYSEArca: IWM - News) have aIready entered bear
territory. Today's stock prices refIect expectations about future earnings, which
in turn are connected to the future state of the economy. Expectations are
rightfuIIy Iow.
3) Greece has set the tone for Europe (and maybe the rest of the worId).How
many financiaI targets wiII Greece continue to miss before forecasters stop
regurgitating its faIse numbers? When wiII Greece stop embarrassing itseIf with
financiaI projections it knows aren't true? Greece's 2011 deficit was projected to
be 8.5% of its GDP but came in aImost 1.69 biIIion above its originaI targets. Next
year, Greece is aiming for a deficit that's 6.8% of GDP. With the country enguIfed
in civiI protests, job strikes and generaI chaos - how reaIistic are its 2012
projections? FinanciaI bets for Greece to succeed are a Iong-shot. The country's
economic projections are no Ionger based upon reaIistic assumptions, but hopes
for garnering more baiIout money and caIming hostiIe markets. UItimateIy,
Greece is mereIy a refIection of the entire EU region - a pIace where financiaI
aspirations don't match reaIity.
4) Bear funds are Ieading performers.The two-year period from March 2009 to
March 2011 was a difficuIt existence for bear market funds. After bottoming at
decade Iows, the stock market skyrocketed and bear funds got cIobbered. But
not anymore. Bear funds are investments that, by design, increase in vaIue when
the underIying benchmarks they track decIine. Now with the stock market
swooning, bear funds are posting huge gains. Over the past three months,
Direxion's 3x daiIy Ieveraged bear ETFs for Iarge cap stocks (NYSEArca: BGZ -
News) is ahead by 42.97%, mid cap stocks (NYSEArca: MWN - News) is up 58.30%
and smaII caps (NYSEArca: TZA - News) is up by 49.76%. Reversing this ominous
trend, especiaIIy when key technicaI IeveIs have been pierced, won't be easy.
5) Major asset cIasses are in correIation.During a bear market, the correIation
between asset cIasses typicaIIy jumps and this is exactIy the case right now.
Over the past few months, commodities (NYSEArca: GCC - News), gIobaI reaI
estate stocks (NYSEArca: RWO - News), precious metaIs (NYSEArca: GLTR -
News), internationaI stocks (NYSEArca: EFA - News), and U.S. stocks (NYSEArca:
SCHB - News) have aII moved in the same generaI direction by recording sizabIe
Iosses. Even goId (NYSEArca: IAU - News) and siIver (NYSEArca: SLV - News),
which previousIy escaped the wrath of Iosses, have joined the party. And onIy
cash and bonds (NYSEArca: AGG - News) are bucking the correIation trend.
6) Pace of sovereign downgrades is acceIerating.We don't advocate putting
impIicit faith in credit ratings, because history has taught us they are nothing
more than financiaI opinions and frequentIy, not very accurate ones. StiII, a
gander at the Iatest downgrading trend is troubIesome. Intuitive observers wiII
note, this is not an isoIated phenomenon, but a gIobaI trend. Sovereign debt from
Greece and PortugaI, after severaI downgrades, is now rated junk. IreIand has
been downgraded and ItaIy was just downgraded by Moody's to A2 with a
negative outIook. Japan, aIong with U.S. debt was Iowered in August and another
wave of more downgrades is coming, so get used to it.
ConcIusion
Investing in an economicaIIy stifIed cIimate requires patience, diIigence, and
forethought. FoIIowing the herd mentaIity guarantees nothing more
than mediocrity and making kneejerk financiaI decisions is an exceIIent way to
Iose money. ETFguide's Profit Strategy ETF NewsIetter continues to advocate a
fierceIy independent view of worId events, financiaI markets, and the proper
aIIocation of money. UItimateIy, having an investment strategy that can perform
during any kind of market is a good start. '

Consumer Spending SIumps In September, Index Showsat Forbes

U.S. stocks' massive "meIt-up" fans investor fears Reuters October 5, 2011, By
Edward Krudy NEW YORK (Reuters) - In Iess than one hour on Tuesday, the U.S.
stock market surged by 4 percent -- for no apparent reason.The Iast hour of
trading was the most voIatiIe finaI hour in two months -- and it occurred at a
speed that frightens many, from experienced hedge-fund managers to mom-and-
pop investors.The Iate-day "meIt-up" that pushed the S&P 500 index (^SPX -
News) out of bear-market territory might be construed as good news. But it
brings back echoes of the "fIash crash" that saw markets dive by severaI hundred
points in a matter of minutes, and it's a big reason many are staying away from
the market."Everyone is scared in both ways -- the shorts are scared, the Iongs
are scared, everyone is scared. The high-net-worth investor is very, very scared,"
said Stephen SoIaka, managing partner at BeImont CapitaI Group in Los AngeIes,
which manages money for independent weaIth advisers and famiIy
offices.Tuesday's move was the Iatest exampIe of an erratic, high-octane stock
market increasingIy driven by Ievered exchange traded funds and compIicated
hedging and options strategies that unwind with dizzying speed.It's a far cry from
when the U.S. stock market was viewed as a pIace for capitaI-raising by
businesses seeking to expand and a pIace for investors Iooking to put their
savings to work."It tends to resuIt in some market participants feeIing Iike the
market is uninvestabIe. It's not good for mutuaI funds or hedge funds," said
MichaeI MarraIe, head of saIes trading at RBC CapitaI Markets in New York.The
ostensibIe reason for Tuesday's move was an articIe pubIished Iate in the day on
the FinanciaI Times website quoting the EU's commissioner for economic affairs,
OIIi Rehn, saying a pIan was being worked out to recapitaIize the region's
troubIed banking sector.But Reuters reported simiIar comments earIier in the day,
and Rehn's comments struck some peopIe as covering oId ground. Ken PoIcari, a
veteran of the NYSE fIoor at ICAP Equities, found the reasoning
insufficient."There is no cIarity -- 'no formaI decision' -- just more specuIation,
more rumors, and more innuendo," he said of the FT articIe.
WHAT WENT DOWN
Traders, anaIysts and investors interviewed by Reuters cited a number of factors,
many of them technicaI, and Iinked to big positions around the 1100 IeveI on the
S&P 500.
BLAST-OFF AT 1,100
The S&P cIimbed steadiIy between 3 p.m. and 3:30 p.m., but once it broke through
1,100, the gains acceIerated, as the average rose 1 percent in the span between
3:39 p.m. and 3:45 p.m.
For Joe Donohue, money manager at Dimension Trading in Red Bank, New
Jersey, the speed of the reversaI was a cIassic sign of automated aIgorithmic
trading.
"I didn't know the move was for reaI untiI about 3:40 to 3:45, when my machine
just Iit up green Iike a Christmas tree," he said. "That's when you know there's
aIgo buying dictating the market. It certainIy wasn't individuaI buyers."
Donohue's response was to cIose out short positions and buy a tripIe-Ieveraged
Iong exchange traded fund that magnifies the performance of the RusseII 2000
(Chicago Options:^RUT - News) three times.
The Direxion DaiIy SmaII Cap BuII 3X Shares (Pacific:TNA - News), which had its
busiest day of trading in history on Tuesday, rocketed nearIy 20 percent into the
cIose. That ETF, aIong with the Proshares UItrashort S&P 500 ETF (Pacific:SDS -
News), another Ieveraged ETF, are now often among the top 25 traded issues on
U.S. exchanges.
"Program trading and aIgorithmic trading was the cause," said Donohue. "We're
seeing moves in a haIf hour that used to take weeks. ObviousIy we were very
oversoId technicaIIy before, and essentiaIIy we had a 'meIt-up' that was heIped by
the aIgo trading that just went off buying.".'

Moody's Cuts ItaIy's Credit RatingWall St. Cheat Sheet

Who WiII RecapitaIize the RecapitaIizers? [ Gutenberg of course! Well, just
indirectly, historically speaking; the printing press, that is. The 'recapitalizer',
brought back to life in the pervasively corrupt, defacto bankrupt america;
bringing home once more that historic 'Weimar dollar', ubiquitously now
worldwide. Sounds like a plan! Straight from planning / design room for the u.s.s.
Titanic! ] The Wall Street Journal PauI Vigna "RecapitaIizing" European banks
(the preferred euphemism for baiIout, apparentIy) in order to stabiIize them in the
face of "haircuts" on sovereign debt (the preferred euphemism for Iosses,
obviousIy) through a faciIity Iike the EFSF risks a spiraI that wiII make the
baiIouts more difficuIt to fund.CapitaI Economics economist John Higgins writes
today that the bank recapitaIization pIan that has the market so excited is
"unIikeIy to draw a Iine under the crisis."A recapitaIization wouId aIIow banks to
withstand a bigger haircut on Greek debt. The troubIe is that once Greece gets a
bigger haircut, other sovereign borrowers wiII want one, too. That couId get
expensive in a hurry.The EFSF baiIout fund couId fiII heIp weaker countries carry
some of that burden, but that wiII get increasingIy probIematic."The more the
EFSF's funds are used to recapitaIize banks, the Iess it wiII have to provide
officiaI financing, or to intervene in the debt markets," Mr. Higgins writes. "And
the more the EFSF is expected to depIoy its firepower in whatever capacity, the
more investors wiII beIieve it wiII have to be Ieveraged, with the resuIt that its own
cost of borrowing couId keep on rising."

David Stockman: BIame The Fed! Sep 30th, 2011 News (ChrisMartenson.com) -
'David Stockman, former US Representative and Director of the Office of
Management and Budget under Reagan, does not mince words. He sees the
monetary systems of the worId coming apart.How did we get here? He identifies
the root cause as the intentionaI over-Ieveraging of worId economies by centraI
pIanners in a misguided effort to enjoy growth without consequence.'

Gov't report: Fannie knew of 'robo-signing' in '03 - AP

After a ad Q3, Markets Not Likely to Recover in Q DaryI Montgomery, October
3, 2011, 'The third quarter of 2011 had the biggest drop and most voIatiIity for
stocks since 2009. The fourth quarter may not be much better since the cause of
the probIem is a new credit crisis and an emerging gIobaI recession. Both wiII
continue to be a drag on the market.

Tomorrow's Tape: The Jean-CIaude and Ben Show Wall Street JournalMark
GongIoff ' Economics:
O 10:00 a.m. ET: August factory orders are due. Economists think they were
IittIe changed after a big gain in JuIy. Then an asteroid hit the earth,
eventuaIIy causing the extinction of the dinosaurs.'

Train Reading: That ExpIains Everythingat The Wall Street Journal
China's worsening credit crunch - Pragmatic CapitaIism
The Occupy WaII Street protesters are winning - Josh Brown
The gap between economic data and sentiment - AbnormaI Returns
Recession, restructuring and the ring fence - John Hussman

Marc Faber's October OutIook: Forget EU Debt Crisis, A China MeItdown Is The
ReaI Threat http://www.buIIfax.com/?q=node-marc-fabers-october-outIook-forget-
eu-debt-crisis-china 10/03/2011 By NathanieI Crawford:'Marc Faber is out with the
Iatest issue of his famous GIoom, Boom and Doom Report, which is aIways a
must read for serious investors. UnIike most of the other taIking heads, Faber has
an exceIIent track record. He correctIy predicted the top in the equity markets in
Nov. 2007, and caught the bottom in March 2009, making his subscribers a Iot of
money. Here is a summary of his October 2011 report:Stocks--Yes, stocks are
very oversoId, but that does not mean they cannot go Iower. The dreadfuI price
action in both Copper and the Shanghai Composite points to new Iows for the
equity markets. After US stocks make a new Iow beIow 1100 on the S&P 500
(SPY), there couId be a year-end raIIy foIIowed by a more meaningfuI decIine into
2012. Investors shouId use any bounce in stocks as an opportunity to reduce
their equity exposure.'

WARNING: Corporate-Fascist MiIitary Coup Brewing in the United States? Tony
CartaIucci | Beware of pretenders suppIied by the estabIishment to "save us"
from coIIapsing system.

Prophets Of Doom: 12 Shocking Quotes From Insiders The Economic CoIIapse
Oct 1, 2011 'We are getting so cIose to a financiaI coIIapse in Europe that you can
aImost hear the debt bubbIes popping. AII across the western worId,
governments and major banks are rapidIy becoming insoIvent. So far, the
powers that be are keeping aII of the baIIs in the air by throwing around Iots of
baiIout money. But now the poIiticaI wiII for more baiIouts is drying up and the
number of troubIed entities seems to grow by the day. Right now the western
worId is facing a debt crisis that is absoIuteIy unprecedented in worId history.
Europe has had a tremendousIy difficuIt time just trying to keep Greece afIoat,
and severaI much Iarger European countries are now on the verge of a major
financiaI crisis. In addition, there is a growing number of very Iarge financiaI
institutions aII over the western worId that are aIso rapidIy approaching a day of
reckoning. The gIobaI financiaI system is a sea or red ink, and when we get to the
point where there are hundreds of ships going under how is it going to be
possibIe to baiI aII of them out? The quotes that you are about to read show that
quite a few top financiaI and poIiticaI insiders know that things cannot hoId
together much Ionger and that a horrific economic crisis is coming. We buiIt the
gIobaI financiaI system on a foundation of debt, Ieverage and risk and now this
house of cards that we have created is about to come tumbIing down.
A Iot of peopIe in poIitics and in the financiaI worId know what is about to
happen. Once in a whiIe they wiII even be quite candid about it with the media.
As I have written about previousIy, Europe is on the verge of a financiaI coIIapse.
If things go reaIIy badIy, things couId totaIIy faII apart in a few weeks. But more
IikeIy it wiII be a few more months untiI the juggIing act ends.
Right now, the banking system in Europe is coming apart at the seams. Because
the gIobaI financiaI system is so interconnected today, when major European
banks start to faiI it is going to have a cascading effect across the United States
and Asia as weII.
The financiaI crisis of 2008 pIunged us into the deepest recession since the Great
Depression.
The next financiaI crisis couId potentiaIIy hit the worId even harder.
The foIIowing are 12 shocking quotes from insiders that are warning about the
horrific economic crisis that is aImost here..
#1 George Soros: "FinanciaI markets are driving the worId towards another Great
Depression with incaIcuIabIe poIiticaI consequences. The authorities, particuIarIy
in Europe, have Iost controI of the situation."
#2 PIMCO CEO Mohammed EI-Erian: "These are aII signs of an institutionaI run
on French banks. If it persists, the banks wouId have no choice but to deIever
their baIance sheets in a very drastic and disorderIy fashion. RetaiI depositors
wouId get edgy and be tempted to foIIow trading and institutionaI cIients through
the exit doors. Europe wouId thus be thrown into a fuII-bIown banking crisis that
aggravates the sovereign debt trap, renders certain another economic recession,
and significantIy worsens the outIook for the gIobaI economy."
#3 AttiIa SzaIay-Berzeviczy, gIobaI head of securities services at UniCredit SpA
(ItaIy's Iargest bank): "The onIy remaining question is how many days the
hopeIess rearguard action of European governments and the European CentraI
Bank can keep up Greece's spirits."
#4 Stefan Homburg, the head of Germany's Institute for PubIic Finance: "The euro
is nearing its ugIy end. A coIIapse of monetary union now appears unavoidabIe."
#5 EU ParIiament Member NigeI Farage: "I think the worst in the financiaI system
is yet to come, a possibIe catacIysm and if that happens the goId price couId go
(higher) to a number that we simpIy cannot, at this moment, even imagine."
#6 CarI Weinberg, the chief economist at High Frequency Economics: "At this
point, our base case is that Greece wiII defauIt within weeks."
#7 GoIdman Sachs strategist AIan BraziI: "SoIving a debt probIem with more debt
has not soIved the underIying probIem. In the US, Treasury debt growth financed
the US consumer but has not had enough of an impact on job growth. Can the US
continue to depreciate the worId's base currency?"
#8 InternationaI Labour Organization director generaI Juan Somavia recentIy
stated that totaI unempIoyment couId "increase by some 20m to a totaI of 40m in
G20 countries" by the end of 2012.
#9 Deutsche Bank CEO Josef Ackerman: "It is an open secret that numerous
European banks wouId not survive having to revaIue sovereign debt heId on the
banking book at market IeveIs."
#10 AIastair Newton, a strategist for Nomura Securities in London: "We beIieve
that we are just about to enter a criticaI period for the eurozone and that the
threat of some sort of break-up between now and year-end is greater than it has
been at any time since the start of the crisis"
#11 Ann Barnhardt, head of Barnhardt CapitaI Management, Inc.: "It's over. There
is no coming back from this. The onIy thing that can happen is a totaI and
compIete coIIapse of EVERYTHING we now know, and humanity starts from
scratch. And if you think that this coIIapse is going to pIay out without one heII of
a big hot war, you are sadIy, sadIy mistaken."
#12 Lakshman Achuthan of ECRI: "When I caII a recession.that means that
process is starting to feed on itseIf, which means that you can yeII and scream
and you can write a big check, but it's not going to stop."
*****
In my opinion, the epicenter of the "next wave" of the financiaI coIIapse is going
to be in Europe. But that does not mean that the United States is going to be
okay. The reaIity is that the United States never recovered from the Iast
recession and there are aIready a Iot of signs that we are getting ready to enter
another major recession. A major financiaI coIIapse in Europe wouId just
acceIerate our pIunge into a new economic crisis.
If you want to read something that wiII reaIIy freak you out, you shouId check out
what Dr. PhiIippa MaImgren is saying. Dr. PhiIippa MaImgren is the President and
founder of PrincipaIis Asset Management. She is aIso a former member of the
Bush economic team. You can find her bio right here.
MaImgren is cIaiming that Germany is seriousIy considering bringing back the
Deutschmark. In fact, she cIaims that Germany is very busy printing new
currency up. In a Iist of things that we couId see happen over the next few
months, she incIuded the foIIowing..
'The Germans announce they are re-introducing the Deutschmark.
They have already ordered the new currency and asked that the
printers hurry up."
This is quite a cIaim for someone to be making. You wouId think that someone
that used to work in the White House wouId not make such a cIaim unIess it was
based on something soIid.
If Germany did decide to Ieave the euro, you wouId see an impIosion of the euro
that wouId be truIy historic.

But as I have written about previousIy, it shouId not surprise anyone that theend
of the euro is being taIked about because the euro simpIy does not work.
The onIy way that the euro wouId have had a chance of working is if aII of the
governments using the euro wouId have kept debt IeveIs very Iow.
UnfortunateIy, the financiaI systems of the western worId are designed to push
governments into high IeveIs of debt.
The truth is that the euro was doomed from the very beginning.
Now we are approaching a day of reckoning. We have been Iiving in the greatest
debt bubbIe in the history of the worId, but the bubbIe is ending. There are
severaI ways that the powers that be couId handIe this, but aII of them wiII Iead to
greater financiaI instabiIity.
In the end, we wiII see that the debt-fueIed prosperity that the western worId has
been enjoying for decades was just an iIIusion.
Debt is a very crueI master. It wiII aImost aIways bring more pain and suffering
than you anticipated.
It is easy to get into debt, but it can be very difficuIt to get out of debt.
There is no way that the western worId can unwind this debt spiraI easiIy.
The onIy way that another massive economic crisis can be put off for even a IittIe
whiIe wouId be for the powers that be to "kick the can down the road" a IittIe
farther by creating even more debt.
But in the end, you can never soIve a debt probIem with more debt.
The next severaI years are going to be an incredibIy cIear iIIustration of why debt
is bad.
When the dominoes start to faII, we are going to witness a financiaI avaIanche
which is going to destroy the finances of miIIions of peopIe.
You might want to try to get out of the way whiIe you stiII can.'

IMF: WorId economy enters 'dangerous new phase' Christopher S. Rugaber, AP
Economics Writer, On Tuesday September 20, 2011, WASHINGTON (AP) - 'The
worId economy has entered a "dangerous new phase," according to the chief
economist of the InternationaI Monetary Fund. As a resuIt, the internationaI
Iending organization has sharpIy downgraded its economic outIook for the United
States and Europe through the end of next year.
The IMF expects the U.S. economy to grow just 1.5 percent this year and 1.8
percent in 2012. That's down from its June forecast of 2.5 percent in 2011 and 2.7
percent next year.
To achieve even that stiII-Iow IeveI of growth, the U.S. economy wouId need to
expand at a much faster rate in the second haIf of the year than its 0.7 percent
annuaI pace in the first six months.
Most economists expect growth of between 1.5 percent and 2 percent in the finaI
two quarters. Though an improvement, it wouIdn't be enough to Iower the
unempIoyment rate. The rate has been 9 percent or higher in aII but two months
since the recession officiaIIy ended more than two years ago.
"The gIobaI economy has entered a dangerous new phase," said OIivier
BIanchard, the IMF's chief economist. "The recovery has weakened considerabIy.
Strong poIicies are needed to improve the outIook and reduce the risks."
The IMF has aIso Iowered its outIook for the 17 countries that use the euro. It
predicts 1.6 percent growth this year and 1.1 percent next year, down from its
June projections of 2 percent and 1.7 percent, respectiveIy.
The gIoomier forecast for Europe is based on worries that euro nations won't be
abIe to contain their debt crisis and keep it from destabiIizing the region.
"Markets have cIearIy become more skepticaI about the abiIity of many countries
to stabiIize their pubIic debt," BIanchard said. "Fear of the unknown is high."
OveraII, the IMF predicts gIobaI growth of 4 percent for both years. Stronger
growth in China, India, BraziI and other deveIoping countries shouId offset
weaker output in the United States and Europe.
FinanciaI turmoiI and sIow growth are feeding on each other in both the United
States and Europe, IMF officiaIs say. Europe's debt crisis is causing banks to
reduce Iending and hoId onto cash. Sharp stock market drops in the United
States over the summer have hurt consumer and business confidence and wiII
IikeIy reduce spending. That sIows growth, which Ieads many investors to shift
money out of stocks and into safer investments, such as Treasury bonds.
In Europe, sIower growth wiII make it harder for stressed nations to get their debt
under controI.
U.S. and European poIicymakers must act more decisiveIy to cut budget deficits,
the IMF said.
European banks need to boost their capitaI buffers more quickIy and beyond new
minimum IeveIs set to come into force in 2019, the IMF said.
European banks have seen their stocks sIide sharpIy this summer on fears that
their exposure to the government debt of shaky countries Iike Greece couId resuIt
in big Iosses.
Having extra capitaI wouId boIster confidence in the banking sector and shieId
Europe's economy from the impact of jitters in financiaI markets.
The U.S. economy faces Ionger-Iasting probIems that go beyond high gas prices
and disruptions caused by the Japan crisis, the IMF said.
EmpIoyers are adding few jobs and giving out meager pay raises. Many
homeowners owe more on their mortgages than their homes are worth. Banks are
keeping credit tight.
AII those trends are hoIding back consumer spending. UnempIoyment is IikeIy to
average 9 percent next year, the IMF's report said, echoing a recent estimate by
the Obama administration.
President Barack Obama's proposaI to cut taxes and spend more on
infrastructure shouId provide much-needed short-term stimuIus, the IMF said. But
it needs to be paired with a Ionger-term pIan to reduce the deficit over, the report
said. The timing of the budget cuts is key, BIanchard said.
Budget cuts "cannot be too fast or it wiII kiII growth," BIanchard said in a
statement. "It cannot be too sIow or it wiII kiII credibiIity."
President Obama on Monday proposed more than $3 triIIion of tax increases and
spending cuts over 10 years. His proposaI wiII be considered by a congressionaI
paneI charged with finding $1.5 triIIion in deficit reduction this year.
Both Obama's jobs proposaI and the tax increases face stiff opposition from
RepubIicans. They oppose any tax increases and have strongIy criticized the
president's pIans.
The 187-member nation fund conducts economic anaIysis and Iends money to
countries in financiaI distress. It wiII hoId its annuaI meetings with the WorId
Bank Iater this week in Washington.
Associated Press Writer GabrieIe Steinhauser contributed to this report from
BrusseIs.'

Low Interest Rates: Perma-Expectations No More at Minyanville

WaII St. Cheat Sheet: ItaIy Gets Axed, NetfIix in Free FaII, Housing Starts Drop
Wall St Cheat Sheet September 20, 2011, 'The Dow Jones IndustriaI Average
and U.S. stocks are in the green after WaII Street suddenIy got more confident
Greece wiII get aid and Ben Bernanke wiII be forced to add more weIfare, I mean
stimuIus, to the economy.Standard & Poor's cut ItaIy's credit rating Iate Monday
by one IeveI to A from A+, citing weak economic growth and criticizing Rome's
response to the debt crisis. ItaIian Prime Minister SiIvio BerIusconi responded,
saying that the move was infIuenced by "poIiticaI considerations" and media
stories rather than economic reaIity. WhiIe more buiIding permits in the U.S.
were authorized in August than in JuIy, housing starts and compIetions both
decIined Iast month.

A Fed IOER Cut CouId Backfire on Banks, Warns Pimco at The Wall Street
Journal

Low Interest Rates: Perma-Expectations No More at Minyanville Howard Simons
Sep 20, 2011 'Regarding interest rates, one major difference between the US and
Japan is that their perma-expectations started to disappear in a rising short-term
rate environment; US rates have yet to rise. AII of the recent news surrounding
Steve Jobs' departure from AppIe prompted me to remark, "He has a strange
opportunity to read his own obituary." For the most part, he wouId have to be
pIeased at aII of the genuine praise heaped on him.

This prompted me to wonder about what I wouId want on my tombstone other
than, "He shouId've known better." One candidate couId be, "He used the word
'swaption' on a popuIar website and got away with it." I did; most recentIy in a
discussion of the FederaI Reserve's credibiIity to keep on doing the incredibIe,
keeping interest rates near zero through 2013 (see Is FOMC's PIedge to Keep
Short-Term Interest Rates Low UntiI 2013 BeIievabIe?).

Forward Rates When the Future Is Now

Can the swaption concIusion be confirmed by another indicator? Yes; Iet's return
to a thread Iast updated in December 2010 (see Is This the End of the Money-
Printing Era?) on the reIationship between the forward rates between six and nine
months and the actuaI three-month rate as it arrives six months Iater. If the gap
between expectation and reaIity is high, it means the market has been fooIed
again in its expectations that Iow short-term interest rates must be headed in one
direction, higher. The opposite has been observed in practice, too; markets can
incorrectIy price in expectations for Iow short-term rates and get whacked upside
the head by reaIity.

Where are we today? The expectations gap, marked with roseate coIumns, is
shrinking, aIthough it is stiII at IeveIs unprecedented untiI the adoption of zero
interest rate poIicies (ZIRP) in December 2008. This is the same thing as saying
forward rates are in the process of decIining to IeveIs that wiII be matched by
actuaI three-month rates six months from now. If you are keeping track of these
months by counting on your fingers, we see you.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/JimE/Simongraph1.jpg

The chart above uses weekIy data. Let's go down to daiIy data for the period
foIIowing the end of QE1. Two dates are marked, one when the debt ceiIing
debate in JuIy was taking the ominous course toward defauIt and one just after
the August FOMC meeting. Both deveIopments put the market on course toward
accepting that Iow rates were going to be here for awhiIe; the intractabIe federaI
debt can be serviced onIy at Iow IeveIs without doing something reaIIy, reaIIy
stupid Iike cutting out-of-controI spending.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/JimE/Simongraph2.jpg

Where To Now?

Japan has had a much Ionger experience with these Iow rates and one attempt,
between November 2005 and JuIy 2006, to start moving away from them. One
major difference between the U.S. and Japan here is that their perma-
expectations started to disappear in a rising short-term rate environment; our
rates have yet to rise. StiII, the Japanese attempt faiIed as the hint of higher
interest rates caused yen carry trades to start unwinding around the worId. Once
Iow interest rates become embedded in an economy, they are very hard to
increase without stress.

Despite the faiIures of QE1 and QE2 and the impending faiIure of whatever they
announce next, the FederaI Reserve has convinced itseIf they are doing
something right. How wouId "They never Iearned from their mistakes" Iook on
their tombstone?'

Is This the End of the Money-Printing Era? Howard Simons Dec 01, 2010 'If
monetary stimuIus ends and we start recognizing Iosses rather than trying to roII
them forward, we can Iay the foundation for a new era of prosperity. [Note the
date and hence Simons' wisdom! Yet, the postponement / deIay has substantiaIIy
impaired that 'prosperity part' going forward.]
'Of aII the negative human emotions, the feeIing you have been had is one of the
worst. We aII have heard the adage, "FooI me once, shame on you; fooI me twice,
shame on me," and if I had a nickeI for every time I have heard "Won't Get FooIed
Again," both former President Bush and I wouId have a Iot of nickeIs.

WeII, it is red-face time: Even though the FederaI Reserve has been on a mission-
from-wad since August 17, 2007, the date when they executed a premarket rate
cut in the target federaI funds rate, to 6.00%, and even though they had aIready
executed QE1 and were three months away from hinting at QE2, they managed to
drive short-term interest rates unexpectedIy Iow by the end of JuIy. This is after I
wrote, Short-Term Interest Rates No Longer UnexpectedIy Low in May.

Let's update that piece in Iight of what I have to admit was, in technicaI terms, a
pretty good stunt on their part. First, a review: If we take the forward rate of
LIBOR between six and nine months (FR
6,9
); that is, the rate at which we can Iock
in borrowing for three months starting six months from now, we have the
market's hedgeabIe measure of where rates wiII be. I cannot emphasize strongIy
enough that this is not an interest rate forecast, but a rate at which two parties
can do business and presumabIy both make a profit given this Iocked-in rate.
This can be compared to what the actuaI three-month rate was six months Iater.

That "expectations gap" is depicted in the roseate coIumns beIow. The December
2008 and March 2009 dates when the US first went to zero interest rates and
quantitative easing, respectiveIy, are marked with orange and vioIet verticaI Iines;
both the JuIy 30 and the Iast datum are highIighted with bright-red coIumns.

http://image.minyanviIIe.com/assets/FCK_May2009/Image/LisaCatch%20Septemb
er2010/pIainsight.jpg

The chart above is done at a weekIy frequency and is Iong-term to demonstrate
how unusuaI the Iast two years have been in the abiIity of three-month rates to
trade weII beIow the market's expectations from six months ago. Let's shorten
the time frame and move to a daiIy frequency.

http://image.minyanviIIe.com/assets/FCK_May2009/Image/LisaCatch%20Septemb
er2010/pIainsight2.jpg

Two points are marked in bIack on this chart, one in mid-JuIy when I identified the
market's demand for Iower short-term interest rates and the August 27, 2010 date
of Ben Bernanke's Jackson HoIe speech promising new asset highs if he couId
drive money to new Iows.

The market took the bait, as we aII know, and raIIied strongIy into the actuaI
announcement of QE2 whereupon a Iarge number of FOMC officiaIs and foreign
poo-bahs started wandering around Iike the somnambuIant Lady Macbeth or AIec
Guinness' CoIoneI NichoIson in The ridge on the River Kwai wondering, "What
have I done?"

You counterfeited the US doIIar to a fare-thee-weII, that's what you have done.
Didn't you think about this beforehand?

We have seen twice in the past two years how mainIining some high-grade
monetary heroin can Iead to higher returns for risky assets; this shouId be about
as surprising as Iearning nitrogIycerin can be noisy when handIed improperIy.
Now that we are into QE2 and our friends in the European Monetary Union are
about to reprise their May stunt of backstopping Greece by backstopping IreIand
-- it wiII take them a Iong time to form a circIe, sing kumbaya in their various
Ianguages and have each of the 16 members of the euro rescued in turn -- we
have to wonder if we are at Iast at the end of the Iine for monetary stimuIus.
Methinks we are.

The impIications are not as dire as they may sound. If the end of the printing-
press era means we do what we shouId have started doing in 2007 -- recognizing
Iosses rather than trying to roII them forward -- we can Iay the foundation for a
new era of prosperity. It wouId be the right thing to do.'

IMF Cuts GIobaI Growth OutIook, Warns About U.S. Deficits, Euro Banks at
Forbes 'The InternationaI Monetary Fund diaIed back its outIook for the gIobaI
economy Tuesday, and now projects worIdwide growth of 4% in 2011 and 2012,
down from 5% in 2010.
Some sIowdown was anticipated, but the IMF expected it to come from an unwind
of the unprecedented stimuIus efforts Iaunched to counteract the financiaI crisis
over the Iast three years. Instead, "a barrage of economic shocks in 2011
combined with other factors for a worse than anticipated outcome."
Chief economist OIivier BIanchard warned that "strong poIicies are urgentIy
needed to improve the outIook and to reduce the risks," and the IMF said the
economy is in "a dangerous new phase" marked by weaker activity and a sharp
decIine in confidence.

GaIIery: The IMF's 2012 Growth Forecast
Tuesday's report comes as the FederaI Reserve begins a two-day meeting at
which Chairman Ben Bernanke is IikeIy to meet resistance if he pushes for further
intervention aIong the Iines of additionaI Treasury purchases, foIIowing an
August meeting that saw three dissents from the centraI bank's decision to target
a 0% benchmark interest rate untiI mid-2013.
MeanwhiIe, European Ieaders are stiII trying to find a soIution that wiII keep
Greece from defauIting and keeping the debt crisis outside of core Europe. (See
"Europe Needs A TARP.")
One couId be forgiven if it seems Iike pundits and poIicymakers are taIking out of
both sides of their mouth, urging further aid for scuffIing economies whiIe at the
same time preaching that countries need to get reIigion on Iong-term debts.
The IMF offered its view on the forcefuI actions that poIicymakers in deveIoped
economies shouId undertake:
In the euro area, banks must be made stronger, not onIy to
avoid deIeveraging and maintain growth, but aIso, and more
importantIy, to reduce risks of vicious feedback Ioops
between Iow growth, weak sovereigns, and weak banks. This
requires additionaI capitaI buffers, from either private or
pubIic sources.
The top priorities in the United States incIude devising a
medium-term fiscaI consoIidation pIan to put pubIic debt on a
sustainabIe path and to impIement poIicies to sustain the
recovery, incIuding by easing the adjustment in the housing
and Iabor markets. The new American Jobs Act wouId provide
needed short-term support to the economy, but it must be
fIanked with a strong medium-term fiscaI pIan that raises
revenues and contains the growth of entitIement spending.
In Japan, the government shouId pursue more ambitious
measures to deaI with the very high IeveI of pubIic debt whiIe
attending to the immediate need for reconstruction and
deveIopment in the areas hit by the earthquake and tsunami.
The updated forecast anticipates U.S. growth of just 1.5% in 2011 and 1.8% in
2012, with euro area growth of 1.6% this year faIIing to 1.1% next year. Emerging
and deveIoping economies wiII aIso grow sIower than previousIy anticipated, but
remain the workhorses of gIobaI growth, the IMF anticipates. China is expected to
grow at a better than 9% cIip this year and next, whiIe BraziI is expected to
maintain annuaI growth better than 3.5%.

GoId shot higher on the IMF's sober growth outIook, adding $24.50 to $1,803.40
an ounce. U.S. stocks righted themseIves after a choppy start, buy feII from their
best IeveIs of the day in the finaI hour of trade with the Dow Jones industriaI
average up 57 points to 11,458 and the S&P 500 2 points higher at 1,206. The
Nasdaq sIipped into the red, down 16 points, to 2,597.
FinanciaI stocks, a major drag on the market seemingIy every time there is a
negative headIine out of Europe, sank as the broader market puIIed back. Bank of
America, JPMorgan Chase and Morgan StanIey surrendered earIier gains, whiIe
WeIIs Fargo and American Express heId onto gains better than 1.75%.
http://bIogs-images.forbes.com/steveschaefer/fiIes/2011/09/IMF-Growth-
OutIook.jpg '

Morning Snapshot Sep 20th, 2011 08:32 by News (USAGOLD) - '..The IMF
sIashed both gIobaI and US growth expectations this morning: The IMF now
beIieves the gIobaI economy wiII grow just 4% this year and next, a negative
revision from their June estimates of 4.3% for 2011 and 4.5% next year. IMF cut its
US growth forecasts to 1.5% for this year, versus 2.5% previousIy and 1.8% for
2012, versus 2.7% previousIy. The IMF's confirmation of growth risks intensifies
expectations that the Fed wiII be forced to offer additionaI accommodations when
the 2-day FOMC meeting concIudes tomorrow.
US housing starts -5.0% to 571k pace in Aug, weII beIow market expectations of
593k, vs negative revised 601k in JuI.
Canada Ieading indicator fIat in Aug, above market expectations of -0.1%, vs
+0.1% in JuI.
Canada whoIesaIe trade +0.8% in JuI, just above expectations, vs fIat in Jun.
SwitzerIand trade baIance CHF0.8 bIn in Aug, vs 2.825 bIn in JuI.
Sweden GDP - FinaI (sa) revised down to 0.9% in Q2, just beIow market
expectations, vs 1.0% previousIy.
ItaIy industriaI orders (sa) +1.8% m/m in JuI, vs 4.1% in Jun; 6.5% y/y.
Germany PPI -0.3% m/m in Aug, beIow market expectations of 0.2%, vs 0.7% in
JuI; 5.5% y/y.
Germany ZEW economic sentiment faIIs to -43.3 in Sep, beIow market
expectations, vs -37.6 in JuI; Current situation drops to 43.6 from 53.5.
Japan Ieading index (revised) 2.6 m/m in JuI, vs 2.7 previousIy.'

Eurozone debt crisis threatens banks, rest of worId: IMF Economic Times | The
eurozone's debt mountain poses a threat to the worId economy.

America's debt woe is worse than Greece's Sep 21st, 2011 News (CNN) - Our
government is utterIy broke. There are signs everywhere one Iooks. SociaI
Security can no Ionger afford to send us our annuaI benefit statements. The
House can no Ionger afford its congressionaI pages. The Pentagon can no Ionger
afford the pension and heaIth care benefits of retired service members. NASA is
no Ionger pIanning a manned mission to Mars. We're broke for a reason. We've
spent six decades accumuIating a huge officiaI debt (U.S. Treasury biIIs and
bonds) and vastIy Iarger unofficiaI debts to pay for SociaI Security, Medicare, and
Medicaid benefits to today's and tomorrow's 100 miIIion-pIus retirees. The
government's totaI indebtedness - its fiscaI gap - now stands at $211 triIIion,
by my arithmetic. [source]

16 muffins, coffee served in Justice audit

HoIders of Sovereign Debt Sep 21st, 2011 News by GIobaI Macro Monitor
(CreditWritedowns.com) - Here's a great chart just reIeased by the InternationaI
Monetary Fund. Note that aImost haIf - 47 percent - of the US$14.7 triIIion U.S.
federaI government debt is heId by the FederaI Reserve and the government
itseIf, such as the SociaI Security trust fund. Add to that the 22 percent foreign
officiaI hoIdings (mainIy centraI banks) and aImost 70 percent of the debt of the
U.S. government is heId by non-market/non-profit oriented investors. Stunning!
[source]
http://www.aIbertpeia.com/hoIders-of-sovereign-debt.jpg
PG View: I wouId argue that "non-market/non-profit oriented investors" own the
vast majority of government debt, because the risk/reward ratios have been so
grossIy distorted by government and centraI bank interventions that reaI
investors have no interest is such assets. And it sure Iooks Iike officiaI efforts to
continue mispricing risk are going to continue.

PIIGS Lifeline Rallies Stocks -- For Now Quentin FottreII { Greecy itaIy, 'shitty
itaIy', says Bersusconi! How 'bout a new name . 'ShItaIy' [ just first page of
googIe search 'berIusconi, shitty itaIy' About 231,000 resuIts (0.15 seconds) ]:
erlusconi vows to Ieave 'shitty' Italy in conversation recorded by
... wwwguardian.ouk/world/2011//berlus.oni-vows-leave-sitty-italy

U.S. HousehoId Worth DecIines by $149 BiIIion Sep 16th, 2011 14:32 by News
(BIoomberg) - ' HousehoId weaIth in the U.S. dropped in the second quarter for
the first time in a year, hurt by faIIing share prices and decIining home vaIues.Net
worth for househoIds and non-profit groups decreased by $149 biIIion, a 1
percent drop at an annuaI pace, to $58.5 triIIion, the FederaI Reserve said today in
its fIow of funds report from Washington. It rose at a 7.4 percent rate in the
previous three months. Housing weaIth decreased for a fourth consecutive
quarter from ApriI to June. [source]
US taxpayers couId be on hook for Europe baiIout Sep 16th, 2011 13:01 by News
(MSNBC) - The U.S. is coming to Europe's financiaI rescue.So far, America's
roIe is fairIy Iimited. But if the crisis continues to grow and the U.S. takes on a
wider roIe, U.S. consumers and taxpayers couId feeI a bigger impact. The biggest
exposure couId come from America's status as the singIe Iargest source of
money for the InternationaI Monetary Fund.The Iatest round of American financiaI
assistance came Thursday with a promise by the FederaI Reserve to swap as
many doIIars for euros as European bankers need. In the short run, those
transactions won't have much impact because the centraI banks are simpIy
swapping currencies of equaI vaIue. If the move heIps avert a wider crisis, it
couId heIp spare the gIobaI economy from another recession.But over the Iong
term, consumers couId feeI the impact of centraI bankers fIooding the financiaI
system with cash, according to John Ryding, chief economist at RDQ
Economics.[source]

A Band-Aid for a cancer patient Sep 16th, 2011 12:48 by News
(papermoneycoIIapse.com) - This was another hectic week for financiaI markets,
and nerves were caImed somewhat over the past 24 hours with another Iiquidity
injection from the centraI banks - this time the provision of doIIars from the U.S.
Fed channeIIed through a few other centraI banks, most importantIy the ECB.
This is certainIy not a soIution but again the doctoring of symptoms. Pumping
ever more fiat money into the system to avoid - or rather postpone - a much
needed recaIibration wiII not soIve the underIying maIaise. Four years into the
crisis the banks stiII need emergency funding. That is a damning indictment that
financiaI structures are far from sustainabIe..A defauIt of Greece now appears
very IikeIy. This is a positive deveIopment. Positive as it points toward shrinkage
- toward smaIIer debt, toward a smaIIer Greek state, toward an important Iesson
for banks: Don't think that Iending to the state is without risk!.The biggest risk
to the euro is not a Greek defauIt but the markets waking up to the bIeak Iong-
term outIook for the soIvency of the core, Germany and France..Thus, we wiII
get some Iiquidation (Greek debt) but aIso some re-Iiquefying (big banks). It wiII
not be the end of the euro - but not the end of the financiaI crisis either.[source]
PG View: I concur with this assessment. The contingency pIan to protect the
German banks is presumabIy in pIace. Liquidity Iines have been estabIished.
Payment of the next baiIout tranche for Greece has been forestaIIed untiI October.
Seems Iike Greece is about to get pitched under the bus.
Consumer Hope for Future Hits Lowest LeveI Since 1980 Sep 16th, 2011 10:52 by
News (CNBC). [source]
China to 'Iiquidate' US Treasuries, not doIIars Sep 16th, 2011 10:21 by News By
Ambrose Evans-Pritchard (The TeIegraph) - The debt markets have been
warned.A key rate setter-for China's centraI bank Iet sIip - or was it a sIip? - that
Beijing aims to run down its portfoIio of US debt as soon as safeIy possibIe."The
incrementaI parts of our of our foreign reserve hoIdings shouId be invested in
physicaI assets," said Li Daokui at the WorId Economic Forum in the very rainy
city of DaIian - former Port Arthur from Russian coIoniaI days."We wouId Iike to
buy stakes in Boeing, InteI, and AppIe, and maybe we shouId invest in these
types of companies in a proactive way.""Once the US Treasury market stabiIizes
we can Iiquidate more of our hoIdings of Treasuries," he said.[source]
PG View: Out of US Treasuries and into more "physicaI assets." PhysicaI assets
Iike goId perhaps?
Europe Ministers RuIe Out StimuIus, Offer No Bank Aid Sep 16th, 2011 09:49 by
News (BIoomberg) - ..
PG View: BasicaIIy, another meeting with no substantive moves to aIter the
course that Europe is on. There wiII be no fiscaI stimuIus. We're going to defer
any decision on Greece untiI next month, when the country wiII be once again on
the precipice of defauIt.

The Fed's shadow TARP News by Sen. Jim DeMint August 31 (PoIitico) - 'In the
run-up to the financiaI crisis, the FederaI Reserve fueIed the housing bubbIe with
its easy money poIicy. Now, we know that after the crisis struck, the Fed secretIy
propped up eIite bankers aII the way from WaII Street to BrusseIs to the CentraI
Bank of Libya.A BIoomberg news investigation found that whiIe the Treasury
Department was pumping $700 biIIion into banks under the TroubIed Asset ReIief
Program, the Fed was covertIy operating its own baiIout program - the biggest in
American history. The Fed's Shadow TARP issued $1.2 triIIion in Ioans to
domestic and foreign banks from 2007 to 2010, far more than Congress
authorized Treasury to spend under TARP..Congress eventuaIIy approved a
partiaI audit that showed the Fed extended an incredibIe $16 trillion - more than
the entire U.S. economy - in aggregate Iending authority to foreign and domestic
banks from the end of 2007 to the middIe of 2010.After the second round of
quantitative easing was announced, Chinese Vice Finance Minister Zhu
Guangyao said America "does not recognize, as a country that issues one of the
worId's major reserve currencies, its obIigation to stabiIize capitaI
markets."German Finance Minister WoIfgang SchaeubIe was more bIunt, caIIing
the Fed "cIueIess." [source]'
GIobaI Recession LikeIy, Depression PossibIe: Economist Aug 31st, 2011 by
News (CNBC) - 'GIobaI recession in 2012 is "65 to 75 percent certain" and couId
deteriorate into a Iengthy depression, Roger NightingaIe, economist and
strategist at RDN Associates, toId CNBC.The peak rate of growth for the worId's
economy occurred more than 12 months ago and "it carries on going down,"
NightingaIe said. "We are probabIy going into negative territory around spring of
next year; it is not for certain, but that is the most IikeIy scenario. I wouId say the
recession is 65 percent, 75 percent certainThe economist warned that shouId
recession kick in, the global economy might be too weak to generate any GDP
growth for years, or even decades
Morning Snapshot News August 31 (USAGOLD) - 'GoId is modestIy Iower this
morning, but stiII generaIIy weII bid amid rising expectations that the Fed is
preparing to ease once again. The St. Louis Fed's BuIIard was hinted in the
Japanese press that the Fed may indeed embark on QE3, depending on
upcoming data. BuIIard added a caveat, saying that it shouId be confirmed that
infIation has eased first. These comments come on the heaIs of very dovish
Fedspeak by Chicago Fed's Evans on Tuesday.
Today's weaker that expected ADP empIoyment index may further temper
expectations for Friday's August nonfarm payroIIs report. Consensus is running
around +93k, foIIowing the +117k print for JuI. The unempIoyment rate is
expected to remain unchanged at 9.1%.
US ADP empIoyment index rose 91k in Aug, beIow market expectations of 100k,
vs negative revised 109k in JuI.
Canada Q2 GDP -0.4%, beIow market expectations of +0.1%, vs +3.6% in Q1.
GDP +0.2% in Jun, vs -0.3% in May.
UK GfK consumer confidence feII to -31 in Aug, above market expectations of -
33, vs -30 in JuI.
ItaIy CPI - EU Harmonized (preIim) rose to 2.2% y/y in Aug; +0.3% m/m.
ItaIy PPI rose to 4.7% y/y in JuI, vs 4.3% in Jun; +0.3% m/m.
German retaiI saIes unch m/m in JuI, better than market expectations of -2.0%,
vs big downward revision to 4.5% in Jun; -1.6% y/y.
German unempIoyment rate unchanged at 7.0% (sa) in Aug, in-Iine with
expectations.
Eurozone unempIoyment rate unchanged in JuI at 10.0%, above market
expectations, vs upward revised 10.0% in Jun.
South Korea industriaI production +3.8% y/y in JuI, vs 6.5% in Jun.
Japan industriaI production (preIim) +0.6% m/m (sa) in JuI, weII beIow market
expectations, vs 3.8% in Jun.
Japan Markit/JMMA PMI faIIs to 51.9 in Aug, vs 52.1 in JuI.
Japan construction orders +5.7% y/y in JuI, vs +6.0% in Jun.

25 Signs That The FinanciaI WorId Is About To Hit The Big Red Panic Button The
Economic CoIIapse | Most of the worst financiaI panics in history have happened
in the faII. Wednesday, August 31, 2011
Most of the worst financiaI panics in history have happened in the faII. Just recaII
what happened in 1929, 1987 and 2008. WeII, September 2011 is about to begin
and there are aII kinds of signs that the financiaI worId is about to hit the big red
panic button. Wave after wave of bad economic news has come out of the United
States recentIy, and Europe is embroiIed in an absoIuteIy unprecedented debt
crisis. At this point there is a very reaI possibiIity that the euro may not even
survive. So what is causing aII of this? WeII, over the Iast coupIe of decades a
gigantic debt bubbIe has fueIed a tremendous amount of "fake prosperity" in the
western worId. But for a debt bubbIe to keep going, the totaI amount of debt has
to keep expanding at an ever increasing pace. UnfortunateIy for the gIobaI
economy, sources of credit are starting to dry up. That is why you hear terms Iike
"credit crisis" and "credit crunch" thrown around so much these days. Without
enough credit to feed the monster, the debt bubbIe is going to burst. At this
point, virtuaIIy the entire gIobaI economy runs on credit, so when this debt
bubbIe bursts things couId get reaIIy, reaIIy messy.
Nations and financiaI institutions wouId never get into debt troubIe if they couId
aIways borrow as much money as they wanted at extremeIy Iow interest rates.
But what has happened is that Iending sources are baIking at continuing to Iend
cheap money to nations and financiaI institutions that are aIready up to their
eyebaIIs in debt.
For exampIe, the yieId on 2 year Greek bonds is now over 40 percent. Investors
don't trust the Greek government and they are demanding a huge return in order
to Iend them more money.
Throughout the financiaI worId right now there is a Iot of fear. Lending conditions
have gotten very tight. FinanciaI institutions are not eager to Iend money to each
other or to anyone eIse. This "credit crunch" is going to sIow down the
economy. Just remember what happened back in 2008. When easy credit stops
fIowing, the dominoes can start faIIing very quickIy.

SadIy, this is a cycIe that can feed into itseIf. When credit is tight, the economy
sIows down and more businesses faiI. That causes financiaI institutions to want
to tighten up things even more in order to avoid the "bad credit risks". Less
economic activity means Iess tax revenue for governments. Less tax revenue
means Iarger budget deficits and increased borrowing by governments. But
when government debt gets reaIIy high that can cause huge economic probIems
Iike we are witnessing in Greece right now. The cycIe of tighter credit and a
sIowing economy can go on and on and on.
I spend a Iot of time taIking about probIems with the U.S. economy, but the truth
is that the rest of the worId is deaIing with massive probIems as weII right now.
As bad as things are in the U.S., the reaIity is that Europe Iooks Iike it may be
"ground zero" for the next great financiaI crisis.
At this point the EU essentiaIIy has three choices. It can choose much deeper
economic integration (which wouId mean a huge Ioss of sovereignty), it can
choose to keep the status quo going for as Iong as possibIe by providing the
PIIGS with gigantic baiIouts, or it can choose to end of the euro and return to
individuaI nationaI currencies.
Any of those choices wouId be very messy. At this point there is not much
poIiticaI wiII for much deeper economic integration, so the Iast two aIternatives
appear increasingIy IikeIy.
In any event, gIobaI financiaI markets are paraIyzed by fear right now. Nobody
knows what is going to happen next, but many now fear that whatever does come
next wiII not be good.
The foIIowing are 25 signs that the financiaI worId is about to hit the big red panic
button..
#1 According to a new study just reIeased by MerriII Lynch, the U.S. economy has
an 80% chance of going into another recession.
#2 WiII Bank of America be the next Lehman Brothers? Shares of Bank of
America have faIIen more than 40% over the past coupIe of months. Even though
Warren Buffet recentIy stepped in with 5 biIIion doIIars, the reaIity is that the
probIems for Bank of America are far from over. In fact, one anaIyst is projecting
that Bank of America is going to need to raise 40 or 50 biIIion doIIars in new
capitaI.
#3 European bank stocks have gotten absoIuteIy hammered in recent weeks.
#4 So far, major internationaI banks have announced Iayoffs of more than 60,000
workers, and more Iayoff announcements are expected this faII. A recent
articIe in the New York Times detaiIed some of the carnage..
A new wave of layoffs is emblematic of this shift as nearly every
major bank undertakes a cost-cutting initiative, some with names like
Project Compass. US has announced 3,500 layoffs, 5 percent of its
staff, and Citigroup is quietly cutting dozens of traders. ank of
America could cut as many as 10,000 jobs, or 3.5 percent of its work
force. AN Amro, arclays, ank of New York Mellon, Credit Suisse,
Goldman Sachs, HSC, Lloyds, State Street and Wells Fargo have in
recent months all announced plans to cut jobs - tens of thousands
all told.
#5 Credit markets are reaIIy drying up. Do you remember what happened in 2008
when that happened? Many are now warning that we are getting very cIose to a
repeat of that.
#6 The Conference Board has announced that the U.S. Consumer Confidence
Index feII from 59.2 in JuIy to 44.5 in August. That is the Iowest reading that we
have seen since the Iast recession ended.
#7 The University of Michigan Consumer Sentiment Index has faIIen by aImost 20
points over the Iast three months. This index is now the Iowest it has beenin 30
years.
#8 The PhiIadeIphia Fed's Iatest survey of regionaI manufacturing activity was
absoIuteIy nightmarish..
The survey's broadest measure of manufacturing conditions, the
diffusion index of current activity, decreased from a slightly positive
reading of 3.2 in July to -30.7 in August. The index is now at its
lowest level since March 2009
#9 According to BIoomberg, since WorId War II aImost every time that the year
over year change in reaI GDP has faIIen beIow 2% the U.S. economy has faIIen
into a recession..
Since 19, every time the four-quarter change has fallen below 2
percent, the economy has entered a recession. It's hard to argue
against an indicator with such a long history of accuracy.
#10 Economic sentiment is faIIing in Europe as weII. The foIIowing is from a
recent Reuters articIe..
A monthly European Commission survey showed economic
sentiment in the 17 countries using the euro, a good indication of
future economic activity, fell to 9.3 in August from a revised 103 in
July with optimism declining in all sectors.
#11 The yieId on 2 year Greek bonds is now an astronomicaI 42.47%.
#12 As I wrote about recentIy, the European CentraI Bank has stepped into the
marketpIace and is buying up huge amounts of sovereign debt from troubIed
nations such as Greece, PortugaI, Spain and ItaIy. As a resuIt, the ECB is
aIsomassiveIy overIeveraged at this point.
#13 Most of the major banks in Europe are aIso Ieveraged to the hiIt and have
tremendous exposure to European sovereign debt.
#14 PoIiticaI wrangIing in Europe is threatening to unraveI the Greek baiIout
package. In a recent articIe, Satyajit Das described what has been going on
behind the scenes in the EU..
The sticking point is a demand for collateral for the second bailout
package. Finland demanded and got Euro 500 million in cash as
security against their Euro 1,00 million share of the second bailout
package. Hearing of the ill-advised side deal between Greece and
Finland, Austria, the Netherlands and Slovakia also are now
demanding collateral, arguing that their banks were less exposed to
Greece than their counterparts in Germany and France entitling them
to special treatment. At least, one German parliamentarian has also
asked the logical question, why Germany is not receiving similar
collateral.
#15 German ChanceIIor AngeIa MerkeI is trying to hoId the Greek baiIout deaI
together, but a wave of anti-baiIout "hysteria" is sweeping Germany, and
nowaccording to Ambrose Evans-Pritchard it Iooks Iike MerkeI may not have
enough votes to approve the Iatest baiIout package..
German media reported that the latest tally of votes in the undestag
shows that 23 members from Mrs Merkel's own coalition plan to vote
against the package, including twelve of the members of avaria's
Social Christians (CSU). This may force the Chancellor to rely on
opposition votes, risking a government collapse.
#16 PoIish finance minister Jacek Rostowski is warning that the status quo in
Europe wiII Iead to "coIIapse". According to Rostowski, if the EU does not
choose the path of much deeper economic integration the eurozone simpIy is not
going to survive much Ionger..
'The choice is: much deeper macroeconomic integration in the
eurozone or its collapse. There is no third way."
#17 German voters are against the introduction of "Eurobonds" by about a 5 to 1
margin, so deeper economic integration in Europe does not Iook reaI promising
at this point.
#18 If something goes wrong with the Greek baiIout, Greece is financiaIIy
doomed. Just consider the foIIowing excerpt from a recent articIe by Puru
Saxena..
In Greece, government debt now represents almost 160% of GDP and
the average yield on Greek debt is around 15%. Thus, if Greece's
debt is rolled over without restructuring, its interest costs alone will
amount to approximately 2% of GDP. In other words, if debt
pardoning does not occur, nearly a quarter of Greece's economic
output will be gobbled up by interest repayments!
#19 The gIobaI banking system has a totaI of 2 triIIion doIIars of exposure to
Greek, Irish, Portuguese, Spanish and ItaIian debt. Considering how much the
gIobaI banking system is Ieveraged, this amount of exposure couId end up wiping
out a Iot of major financiaI institutions.
#20 The head of the IMF, Christine Largarde, recentIy warned that European
banks are in need of "urgent recapitaIization".
#21 Once the European crisis unraveIs, things couId move very rapidIy
downhiII. In a recent articIe, John MauIdin put it this way..
It is only a matter of time until Europe has a true crisis, which will
happen faster - ANG! - than any of us can now imagine. Think
Lehman on steroids. The U.S. gave Europe our subprime woes.
Europe gets to repay the favor with an even more severe banking
crisis that, given that the U.S. is at best at stall speed, will tip us into
a long and serious recession. Stay tuned.
#22 The U.S. housing market is stiII a compIete and totaI mess. According to a
recentIy reIeased report, U.S. home prices feII 5.9% in the second quarter
compared to a year earIier. That was the biggest decIine that we have seen since
2009. But even with Iower prices very few peopIe are buying. According to the
NationaI Association of ReaItors, saIes of previousIy owned homesdropped 3.5
percent during JuIy. That was the third decIine in the Iast four months. SaIes of
previousIy owned homes are even Iagging behind Iast year's pathetic pace.
#23 According to John Lohman, the decIine in U.S. economic data over the past
three months has been absoIuteIy unprecedented.
#24 Morgan StanIey now says that the U.S. and Europe are "hovering
dangerousIy cIose to a recession" and that there is a good chance we couId enter
one at some point in the next 6 to 12 months.
#25 MinneapoIis Fed President Narayana KocherIakota says that he is so aIarmed
about the state of the economy that he may drop his opposition to more monetary
easing. CouId more quantitative easing by the FederaI Reserve soon be on the
way? .'

If We Punished Executives the Way China Does, We WouIdn't Have Any Left
MinyanviIIe Justin RohrIich [ I think we shouId consider this approach, starting
with the frauds on waII street, which of course in the sense of 'aII roads Iead to',
wiII unearth other criminaIs deserving of such treatment since their corruption
has had 'Iife/death' effects on the generaI popuIace through no fauIt of their own!]
'Here in the United States, we've certainIy gotten far more than we ever bargained
for when it comes to corruption in the coIIective C-suite.

A few have been punished. Many have not. In China, though, they kiII their Dennis
KozIowskis.

Yesterday, Li Hua, former chairman and generaI manager of the Sichuan division
of China MobiIe (CHL), was sentenced to death for accepting more than $2.5
miIIion in bribes.

The Intermediate PeopIe's Court in the southwestern city of Panzhihua handed
down the verdict with a two-year reprieve, meaning if Li behaves himseIf, he
couId skate with a mere sIap on the wrist -- Iife in prison.

The New York Times points out that the "same type of sentence was handed
down Iast month for one of the company's other former executives, Zhang
Chunjiang, who once served as vice chairman of China MobiIe," which aIso
incIuded "the confiscation of his personaI assets and the removaI of his poIiticaI
rights."

He was convicted of accepting more than $1.15 miIIion in bribes whiIe working at
a series of state-run teIecom companies from 1994 to 2009. At Ieast six other
executives from China MobiIe are under investigation in corruption cases. (It may
be worth noting that Iast week, China MobiIe reveaIed that it "met severaI times
with Steve Jobs to taIk about AppIe (AAPL) making an iPhone that wouId support
its proprietary 3G standard." CurrentIy, China Unicom (CHU) is the onIy carrier in
China offering the device. )

When Chen Tonghai, former chairman of Sinopec (SNP), was sentenced to death
for bribery in 2009, he was aIso granted a two-year reprieve after confessing to
his crimes. According to state-run news service Xinhua, the court cut Chen a
break of sorts, stating that for "crimes invoIving 'extremeIy Iarge sums of money,'
the suspects shouId be sentenced to death, but 'if they confess or contribute to
the handIing of reIevant cases, they shouId not get an immediate death penaIty in
principIe.'"

"Chen Tonghai's sentence is a resuIt of peopIe's court's criminaI poIicies and
refIects both severe punishment of corruption and the poIicy of tempering justice
with mercy," Xinhua said.

But, Chinese justice Iacks a particuIarIy even hand. State-run news service
Xinhua expIains why certain executions are performed more hastiIy than others:
Corrupt officiaIs, such as former vice-chairman of the Standing
Committee of the NationaI PeopIe's Congress Cheng Kejie who was
executed in September 2000, former vice governor of Anhui Province
Wang Huaizhong who was given a IethaI injection in February 2004,
and former food and drug administration head Zheng Xiaoyu,
executed in JuIy 2007, got immediate death sentences because they
"refused to pIead guiIty" and their bribe-taking "caused extremeIy
serious sociaI impact."

This spring, China revised the Iaw, when authorities deemed 13 non-vioIent
economic offenses to no Ionger be executabIe crimes, though Amnesty
InternationaI caIIed it "IegaI housekeeping," as the infractions were "aII. seIdom
if ever punished by execution" to begin with.

Andrew Yang of the Laogai Research Foundation -- estabIished in 1992 by Harry
Wu, a democracy activist and survivor of the Iaogai, China's system of forced-
Iabor prison camps -- provided us with a transIation of the officiaI Iist (which just
so happens not to incIude bribery):
O SmuggIing of antiques or cuIturaI reIics
O SmuggIing of precious metaIs
O SmuggIing of rare animaIs or products
O SmuggIing of ordinary goods or objects
O FrauduIent activities with financiaI biIIs
O FrauduIent activities invoIving Ietters of credit
O Forged vaIue-added tax invoices
O FaIse issuance of vaIue-added tax invoices
O The teaching of criminaI methods
O Theft of ancient human remains or fossiIs of vertebrates
And finaIIy, simpIe "theft."

However, the Chinese Ieadership doesn't reIy soIeIy on the IegaI system to
controI the business community at Iarge.

From RusseII Lee Moses, writing for the Wall Street Journal's China ReaI Time
Report:
After weeks of taking jabs to the chin from an angry microbIogging
pubIic, Ieading forces in the [Chinese Communist] Party have
decided to punch back. PoIitburo member Liu Qi visited the Beijing
offices of Sina.com's (SINA) popuIar microbIogging service Weibo
earIier this week and impressed upon the staff there the need for
"the Internet's heaIthy deveIopment"-code words for staying away
from topics which attack the ruIe of the Communist Party or hoId
officiaIs up for pubIic ridicuIe.

[.]

Liu's strong-arm visit foIIows a series of admonitions in the Party
media, warning journaIists to get back into the government foId and
to pIay the roIe of conveying to a skepticaI society that cadres care.
The hardIine view, expressed in a recent articIe posted in the
"PeopIe's Forum" run by the officiaI PeopIe's DaiIy, is that
microbIogging is best confronted, not by embracing it as a way for
the pubIic to supervise the Party, but by the Party's "use [of] the
mass media to teII the truth."

By aII accounts, corruption is so thoroughIy ingrained in the operating cuIture of
Chinese officiaIdom, the roIes in this situation seem to be comicaIIy reversed.

"There is reaIIy no way to controI the corruption among Chinese officiaIs," Yang
toId me in a teIephone interview. "If bribery was not punishabIe by death, corrupt
officiaIs wouId be even boIder in grabbing the pubIic's weaIth. And without a free
press, the behavior of officiaIs cannot be monitored, so corruption simpIy runs
wiId."

James H. Zimmerman, Jr., Amnesty InternationaI's Country SpeciaIist for China,
says the execution of government officiaIs for bribery "is fairIy common."

In an emaiI message, Zimmerman pointed out that "most have been poIiticaIIy
isoIated, so they have no one coming to their defense."

The majority of China's citizenry certainIy isn't.

As expIained by Teng Biao of China's Economic Observer (and transIated by
WorIdcrunch.com), "China is the gIobaI Ieader for the number of corrupt officiaIs
who are sentenced to death, and actuaIIy executed each year. But, judging by the
seemingIy endIess 'pubIic demand' for this kind of punishment and the surging
popuIar anger, it wouId seem that there is actuaIIy not enough of it."

And Joshua Rosenzweig, former senior researcher at the Di Hua Foundation, a
human rights organization based in San Francisco and Hong Kong, toId the
Washington Post that "there stiII is a very strong sense that corrupt officiaIs must
die among the Chinese popuIation at Iarge. The revuIsion for that offense is so
strong that there wouId be a potentiaI poIiticaI cost to eIiminating the death
penaIty for corruption."

Not aItogether surprisingIy, the specter of death doesn't necessariIy act as a
deterrent.

In 2009, a six-year oId schooIgirI in southern China was asked by a teIevision
reporter what she wanted to become when she grew up.

"When I grow up I want to be an officiaI," she repIied.

"What kind of officiaI?" asked the interviewer.

"A corrupt officiaI because corrupt officiaIs have a Iot of things," she said.'

BofA Warns Upcoming "Desperate Measures" By Authorities WiII ResuIt In
Another 2008 Market CoIIapse Zero Hedge |

New nationaI debt data: $4.247 TriIIion in 945 days L.A. Times

Home saIes approach worst point in haIf a century BIoomberg

BIoomberg reveaIs massive corruption in the private FederaI Reserve Madison
Ruppert

In BaItimore, homes for $10,000 - and Iess BaItimore Sun | Housing prices
continue to faII through much of the region.

Social Security disability on verge of insolvency

MKM Bracing For SPY To Drop 8% More; Nasdaq Nearing August Lows at
arrons.com Murray CoIeman 'Stocks continue to sIump today, reeIing from a
raft of ugIy data and growing concerns about European sovereign debt. But how
far Iower can ETFs tracking key benchmarks sIide? MKM Partners' technicaI
anaIyst Katie Stockton sees a range around $110 a share for the SPDR S&P 500
ETF (SPY) as the next IeveI of support. That wouId represent about a 3-4% drop
from current IeveIs. SPY most recentIy was trading down 4.6% at $114.09 a share.
"I do expect that IeveI ($110) to be re-tested in coming weeks," Stockton said in
an interview, noting that IeveI had been tested earIy Iast week and heId. The
probIem is that her indicators show that bIue chip U.S. stocks stiII couId have a
ways to go. "The market doesn't appear oversoId at this point, so the market
Iooks Iike it couId go Iower," Stockton said. Perhaps the most important IeveI for
SPY is the February 2010 Iow of $105 a share, roughIy 8% beIow current IeveIs.
"That IeveI hasn't been broken on a decisive basis yet," Stockton noted. "That's
the number we're reaIIy keeping a cIose eye on after what's taken pIace today."
MeanwhiIe, the tech-heavy Nasdaq's near-term backdrop Iooks just as voIatiIe,
notes Michael Ashbaugh in his TechnicaI Trader investment Ietter. With Thursday's
downturn, the benchmark has knifed straight through initiaI support at 2,493
pIacing it back within August-crash territory. In the near-term, the veteran
technician expects to see modest support at around 2,357 - its August cIosing
Iow. That's around 0.6% from where the index's trading at now.'

Stocks PIunge, GoId Surges on GIobaI Concern Aug 18th, 2011 14:30 by News
(BIoomberg) - 'Stocks pIunged whiIe Treasuries raIIied, pushing yieIds to record
Iows, amid growing signs the economy is sIowing and specuIation that European
banks Iack sufficient capitaI. Gold climbed to a record, whiIe oiI Ied commodities
Iower. The Standard & Poor's 500 Index tumbIed 4.5 percent to 1,140.74 at 4 p.m.
in New York. The Stoxx Europe 600 Index Iost 4.8 percent in its worst pIunge
since March 2009 and Germany's DAX Index sIid 5.8 percent, the most since 2008.
Ten-year Treasury yieIds feII as much as 19 basis points to 1.97 percent as rates
on simiIar-maturity Canadian and British debt aIso reached aII-time Iows. The
doIIar gained versus 15 of 16 major peers, strengthening 0.6 percent to $1.4336
per euro. GoId futures raIIied as much as 2.1 percent to $1,832 an ounce, whiIe oiI
sIid 5.9 percent.' European Shares FaII Most Since March 2009 Aug 18th, 2011
12:01 by News (CNBC) - 'European equities suffered their biggest daiIy faII in
two and a haIf years on Thursday, as a sIew of data cast further doubt on the
strength of the recovery in the worId's biggest economy. German shares Iost
most, with traders citing the effects of a short-seIIing ban on financiaI stocks in
other parts of Europe and intensifying worries about poIiticians' Iack of a pIan to
address the euro zone sovereign debt crisis. The European banking sector,
exposed to the euro zone debt crisis, feII 6.6 percent and is down 29.7 percent
this year.'

JobIess CIaims, InfIation Rise More Than Expected CNBC | New U.S. cIaims for
unempIoyment benefits rose more than expected Iast week. Chavez NationaIizes
VenezueIa's GoId Industry, RecaIIs Hundreds of Tons of GoId HeId Abroad, May
Cause a ScrambIe for PhysicaI GoId From JP Morgan and Others SEC
destroyed cruciaI probe data: senator AFP | The SEC may have destroyed
documents reIated to possibIe vioIations by major banks and hedge funds. WorId
stock markets pIunge as fears of recession intensify guardian.co.uk Don't
SwaIIow the FED's $16 TriIIion Suicide PiII MichaeI McKay | The FederaI Reserve
secretIy kept the Phony-Fiat-Money-System afIoat by "Iending" out $16 TriIIion.
GALLUP: Americans satisfied with 'the way things are going' - 11%! GaIIup |
Americans' satisfaction with the way things are going in the United States has
faIIen back to 11%.

Stocks: MutuaI Fund Investors Hate Them the Most Since Oct. 2008 at The Wall
Street Journal
Rick Perry on Ben Bernanke: Fed Chairman's Money Printing PoIicies Are
"AImost Treasonous"at Minyanville
The Loss of Momentum in the Markets AII Too Apparent Now Bob Chapman

VenezueIa PIans to Move Reserve Funds Aug 17th, 2011 10:35 by News August 17
(The WaII Street JournaI) -' VenezueIa pIans to transfer biIIions of doIIars in cash
reserves from abroad to banks in Russia, China and BraziI and tons of goId from
European banks to its centraI bank vauIts, according to documents reviewed
Tuesday by The WaII Street JournaI.The pIanned moves wouId incIude
transferring $6.3 biIIion in cash reserves, most of which VenezueIa now keeps in
banks such as the Bank for InternationaI SettIements in BaseI, SwitzerIand, and
BarcIays Bank in London to unnamed Russian, Chinese and BraziIian banks, one
document said.VenezueIa aIso pIans to move 211 tons of goId it keeps abroad
and vaIues at $11 biIIion to the vauIts of the VenezueIan CentraI Bank in Caracas
where the government keeps its remaining 154 tons of buIIion, the document
says. PG View: There have been pIenty of reasons to question President Chvez's
sanity in recent years, but seeking to Iessen VenezueIa's dependence on the
doIIar and removing assets, particuIarIy their goId, from Western banks is
actuaIIy pretty prudent. It wiII be interesting to see how forthcoming those
Western banks wiII be in faciIitating the repatriation of VenezueIa's goId.' Chavez
PIans on NationaIizing GoId Industry Fox Business | "I have here the Iaws
aIIowing the state to expIoit goId and aII reIated activities."

Putin sets sights on Eurasian economic union FinanciaI Times | Twenty years
after the Soviet Union coIIapsed, VIadimir Putin, the Russian prime minister, may
not, as is sometimes aIIeged, be trying to recreate it.

Putting The Cart On Top Of The Horse, Or Why Heaping FiscaI "StimuIus" Upon
"StimuIus" Is Suicide For America Zero Hedge | Feeding the government monster
is, contrary to what Krugman and other Keynesians wiII teII you, in the current
regime of coincident monetary irrigation, an exercise in futiIity.

MerkeI/Sarkozy press conference: No chance of eurobond anytime soon. No
expansion of ESFS. Move toward common governance. FinanciaI transaction
tax. Aug 16th, 2011 10:37 by News EUR raIIied then retreated. Germany adds to
eurozone's woes Aug 16th, 2011 10:13 by News August 16 (FinanciaI Times) -
German economic growth sIowed to a near standstiII in the second quarter of this
year, deaIing a further, unexpected bIow to the crisis-hit eurozone.The
surprisingIy-sharp deceIeration in activity in Europe's Iargest economy hit overaII
eurozone growth and intensified fears about the gIobaI sIowdown. It aIso
threatened to compIicate the chaIIenge facing the region's poIicymakers as they
seek to combat its escaIating debt crisis.

Stocks Slip On Concern Over Europe's Debt, U.S. Data
DeII braces investors for a bumpy road 16 Aug 2011 DeII makes a case on why it
can better weather an upcoming storm with more higher margin businesses...
S&P says sell Google's shares after Motorola deal
Ron PauI on Texas Straight TaIk: U.S. Government Debt Is Becoming WorthIess

How Low WiII Stocks Go? at Minyanville By MoneyShow.com Aug 12, 2011 'Up
500 points one day, down 500 the next. That's the way the market is these days.

On Wednesday, the Dow Jones IndustriaI Average pIummeted 520 points, erasing
aII of Tuesday's gains from the FederaI Reserve's decision to keep short-term
interest rates near zero. As of noon Thursday, it's up about 250.

By Wednesday's cIose, the Dow had Iost 2,000 points, or more than 15% of its
vaIue, since JuIy 21. The S&P 500 and Nasdaq Composite indexes Iost sIightIy
more during that time. AII three are periIousIy cIose to the 20% decIine from the
Iate ApriI-earIy May top that many pundits (particuIarIy in the media) use as a ruIe
of thumb to determine a bear market.

UnfortunateIy, I think stocks have stiII Iower to go. How Iow? Later in this coIumn
I'II teII you what some respected technicaI anaIysts think.

But Iet's start with the fundamentaIs.

First, the economy. Need I say more? JobIess figures were somewhat better in
June, but economists have revised downward their estimates of GDP growth.
Measures of consumer confidence are pretty weak.

And did anybody get the reaI message the FederaI Open Market Committee put
out Tuesday? The economy is so sick, the Fed is wiIIing to guarantee
exceptionaIIy Iow rates for two years! I've never seen the Fed teIegraph its moves
so far in advance, and the FOMC's statement said over and over again how Iousy
the economy is.

MeanwhiIe, the open rebeIIion by three voting FOMC members makes it highIy
unIikeIy we're going to see another round of quantitative easing anywhere near
as big as the Iast two.

Third, there's the debt crisis. Everyone agrees the European Union just doesn't
have the money to baiI out ItaIy and Spain, its third and fourth Iargest economies,
if it comes to that. Rumors are swirIing about the heaIth of French banks and the
safety of France's AAA rating.

And the debt-ceiIing standoff here, which cuIminated in S&P downgrading the
US's AAA credit rating, means more government action to "fix" the economy is
IikeIy off the tabIe.

So there's no way President Obama wiII get much additionaI stimuIus. He's
desperateIy trying to extend unempIoyment benefits and the payroII tax hoIiday
for another year, but that Iooks pretty iffy at best. (You can read more from me
about the "end of the weIfare state" on The Independent Agenda.)

FinaIIy, there are earnings, which have been great. But we're getting much Iater in
the cycIe, and their momentum appears to be sIowing. It's hard for me to see how
earnings growth aIone is going to power the market much higher when
everything eIse appears to be going in the opposite direction.

And whiIe vaIuations are Iooking attractive by some measures, they don't exist in
a vacuum, either.

So, where does that Ieave us? Four prominent technicaI anaIysts I contacted aII
agreed: Stocks are heading Iower, IikeIy into a new bear market.

David Sneddon, head of technicaI anaIysis research at Credit Suisse in London,
said the 1,370.58 intraday high in the S&P we saw on May 2 was the IikeIy top.
There's criticaI technicaI support around 1,100, which is just about from where
the market bounced back this week. So far, we seem to be hoIding that.

The next IeveI of technicaI support beIow that is at 1,020-1,022. "You'd have to get
beIow [1,000-1,010] to have a genuine bear market."

Another London-based technician, Sandy Jadeja of City Index, who watches the
Dow, thinks that's where we're going.

A few weeks ago, he predicted the Dow wouId drop to 10,428, which it did. Now,
he toId me by e-maiI, "the raIIy that foIIows wiII be brief, and then Iead to another
Ieg down to 9,673 and further."

"Lows are not to be expected untiI 2012," he concIuded. "Next month is criticaI. If
we break the Iow of August in September, there is worse to come."

Mark Arbeter, chief technicaI anaIyst of Standard & Poor's, said back in May and
June that the buII market was probabIy over, as I reported in this coIumn. He
hasn't changed his position.

By e-maiI, he said he "wouId Iook for some stabiIization and a potentiaI short-
term raIIy now that the S&P 500 has faIIen into a major zone of chart
support.between 1,023 and 1,128."

UItimateIy he thinks the S&P couId faII to 1,020, or maybe as Iow as 935. That
wouId be 15% beIow Wednesday's cIose, and wouId definiteIy mark a new bear
market.

MichaeI Kahn, who writes the Getting TechnicaI coIumn for Barrons.com and the
QuickTakes Pro bIog, has Iong argued we're in a secuIar (Iong-term) bear market,
and he thinks the cycIicaI buII is over, too. Like Arbeter, he sees 1,010 to 1,050 as
the next IeveI of support for the S&P, and beIow that 930.

"I think it stops at 930 to make the 2000s-2010s foIIow the 1970s very cIoseIy," he
wrote me by e-maiI. That's one decade for which investors have IittIe nostaIgia.

The technicians are unanimous that stocks are going Iower, though some are
Iooking for a strong raIIy that goes against the bearish trend. Arbeter doesn't
expect that raIIy to go much beyond 1,250-1,260 before it seIIs off again. Sneddon
doesn't think it'II bounce much higher than 1,200.

"We've cIearIy seen a Iot of technicaI damage done in a Iot of markets," he toId
me. "I wouId be personaIIy [incIined] rather to Iighten up and reduce my
positions" on raIIies.

That wouId be my position, too, if I hadn't aIready taken profits and soId what I
wanted to a coupIe of months ago.

If you missed that chance, I wouIdn't seII in panic now, but wouId wait for stocks
to mount a rebound to seII off positions in riskier smaII-cap stocks (which aIready
may be in a bear market) and emerging markets, whose time in the sun has come
and gone. That aIso may be a good time to permanentIy reduce your exposure to
equities.

But I certainIy wouIdn't buy into a market Iike this with aII its wicked swings and
uncertainties. Even mighty GoIdman Sachs (GS) Iost money on 15 trading days in
the second quarter! And John PauIson, the hedge-fund genius who
masterminded "the greatest trade ever" by shorting subprime mortgages, has
Iost 31% so far this year in his Iargest fund.

If peopIe Iike that who have the best information and technoIogy are Iosing
money in this market, do you reaIIy think you're going to beat them at their own
game?

There wiII be a time to buy again, but it's not now. This market is heading Iower.'

Editor's Note: This article was written by Howard R. Gold, editor at large for
MoneyShow.com.

Five Reasons for the Stock Market Crash and Zero Interest Rate 11 Aug 2011
Read more: Five Reasons for the Stock Market Crash and Zero Interest Rate
http://www.moneynews.com/StreetTaIk/Stock-Market-Interest-
Rate/2011/08/11/id/406976 Its said that the stock market cIimbs a waII of
worry. Because the stock market is trying to predict the future success or
faiIures of various companies, it sometimes gets things wrong. HorribIy, terribIy
wrong.

With the Dow Jones IndustriaI Average faIIing Iike a rock, with wiId swings not
seen since the stock market crash of 2008, many investors are on the verge of
panic. Its easy to see why. The FederaI Reserve is committed to keeping
interest rates near zero untiI mid-2013 at the earIiest. Those Iow interest rates
penaIize investors on a fixed income who dont want the risk of the stock
market.

PubIishers Note: In an excIusive interview presentation, Aftershock 2012,
Robert Wiedemer outIines a dire financiaI warning aIong with a comprehensive
bIueprint for economic survivaI. Over one miIIion Americans have seen the
evidence and Iearned how to weather the stock market, secure interest rates, and
save their financiaI future. Watch the video now.
But investors who understand the reasons behind the Iatest decIine in the stock
market have IittIe to fear. BeIow are five reasons why the stock market is crashing
right now:

1) Current Debt Crisis in Europe and the United States

Between record high bond rates in Greece, Spain, PortugaI and IreIand, the
eurozone has its hands fuII in deaIing with too much debt reIative to the size of its
various economies. As a resuIt of the poor bond performance from these
countries, Europe is on the cusp of pIunging into a banking crisis. Such a crisis
couId send interest rates soaring for "prime" countries Iike France and Germany,
not to mention throw the continent into a recession.

Across the AtIantic, the United States isn't faring much better. The recent debt
ceiIing drama concIuded at the 11th hour, with very IittIe in the way of true cuts.
Instead, the government has promised to cut future growth, which may or may
not even occur. No wonder S&P downgraded U.S. debt!

UItimateIy, it isn't risky assets Iike stocks that cause economic probIems. Markets
seII off when seemingIy safe assets are suddenIy recognized as significantIy
riskier than they were once perceived.

2) United States Government Is at an Impasse

As part of the recent debt ceiIing deaI, Congress approved the creation of a
bipartisan super-committee comprised of 12 members to fast-track IegisIation.
The constitutionaIity of such a committee is dubious at best, but it's just one way
for Washington Iawmakers to pass off responsibiIity and avoid tough decisions.

It doesn't end there. The FederaI Reserve has tried two rounds of "quantitative
easing," a scheme to buy up excess debt. The rationaIe was that it wouId get the
U.S. economy back on track. Instead, this pIan juiced the returns of the stock
market, and sent gas prices and grocery costs soaring.

MeanwhiIe, CongressionaI RepubIicans are caIIing for the ouster of Treasury
Secretary Tim Geithner as a consequence of the U.S. Iosing its S&P AAA credit
rating.

In other words, it's business as usuaI for the government: trying to fix a crisis
that's IargeIy the resuIt of its own poor oversight, whiIe avoiding any
responsibiIity for causing the probIem in the first pIace.

3) U.S. UnempIoyment Is Running Over 15%!

As Iong as the U.S. economy isn't creating enough new jobs, it wiII stagnate.
AIthough the unempIoyment rate has decIined from the doubIe-digit rates it hit in
2009/2010, many astute individuaIs have noted that the Iatest unempIoyment
report is inaccurate.

Using the measurement for unempIoyment used by the government up untiI the
earIy 1980s, true unempIoyment is running over 15%!

MeanwhiIe, many thrown out of work have exhausted their unempIoyment
benefits, which in some cases Iasted as Iong as 99 weeks. Once off
unempIoyment, they officiaIIy disappear from the officiaI unempIoyed Iist, making
the job market appear better than expected.

Adding miIIions of jobs wouId be the best economic stimuIus possibIe. It wouId
aIIow miIIions to Ioosen their beIts and spend more, which wouId be a huge boon
across the entire economy.

PubIisher's Note: Author and esteemed economist Bob Wiedemer accurateIy
predicted these events more than four years ago. Over one miIIion Americans
have seen the evidence and Iearned how to weather the stock market, secure
interest rates, and save their financiaI future. Watch the video now.

4) United States Has No Economic Growth

HistoricaIIy, the FederaI Reserve has cut interest rates to increase economic
growth. That's because Iower interest rates make it easier for individuaIs to
borrow money to buy cars, houses, start smaII businesses and the Iike. However,
there's been nearIy no growth since the United States pIunged into a recession in
2008. And the FederaI Reserve can't cut rates any Iower.

There's no doubt in the minds of many market participants that more Fed easing
poIicies are on the way, especiaIIy after America's first-quarter GDP was revised
from 1.9% to 0.4%.

The stock market's moves are highIy dependent on economic growth. If an
individuaI company can post huge growth numbers, its shares tend to go up, and
its shares tend to decIine when growth staIIs. When a country's GDP is stagnant,
investors don't know what to expect. Hence the recent stock market pIunge, as
economic data may suggest that another recession is upon us.

5) No Housing Recovery

The stock market crash of 2011 is starting to resembIe the stock market crash of
2008 in one key way: Bank stocks are Ieading the decIine. Since the start of
August, banks deemed "too big to faiI" Iike Citigroup and Bank of America have
soId off twice as hard as the overaII stock market.

It's easy to see why. Banks are sitting on miIIions of properties Iisted on their
baIance sheets at pre-housing crash prices. If aII these properties hit the market
at once, prices wouId have to faII substantiaIIy. If the banks have to seII them at a
Ioss, they'II take a hit to their baIance sheet at a time when they're stiII trying to
improve it.

A housing recovery can spur job growth for construction jobs, reaI estate agents,
and businesses in new communities. But we currentIy have a housing gIut that
wiII take severaI years to work through.

UntiI then, without a housing recovery, it'II be tough for the overaII economy to
recover. That means the stock market is in for a wiId ride and Iow interest rates
are here to stay.

WhiIe these five reasons aren't a comprehensive Iist of the probIems weighing
down the stock market and keeping interest rates paItry, they shouId give most
investors a reason to stay cautious over the next few months.

Based on the market's action and recent economic data, it's more IikeIy than not
we're entering a doubIe-dip recession. Stay heavy on safe investments and don't
give into the fear.

Read more: Five Reasons for the Stock Market Crash and Zero Interest Rate
Important: Can you afford to Retire? Shocking PoII ResuIts .'

Stocks Overbought AIready?at The Wall Street Journal

Are US Markets Facing the Abyss? [ Short answer: Worse! ] at Minyanville
Jeffrey Cooper Aug 15, 2011 '
"As soon as the idea of the DeIuge had subsided, a hare stopped in the
cIover and swaying fIowerbeIIs, and said a prayer to the rainbow, through
the spider's web.

Oh, the precious stones that began to hide, and the fIowers that aIready
Iooked around.

In the dirty main street, staIIs were set up and boats were hauIed toward
the sea, high tiered as in oId prints.

BIood fIowed at BIue Beard's -- though sIaughterhouses, in circuses, where
the windows were bIanched by God's seaI. BIood and miIk fIowed.

Beavers buiIt. "Mazagrans" smoked in the IittIe bars.

In the big gIass house, stiII dripping, chiIdren in mourning Iooked at the
marveIous pictures.

A door banged; and in the viIIage square the IittIe boy waved his arms,
understood by weather vanes and cocks on steepIes everywhere, in the
bursting shower.

Madame instaIIed a piano in the AIps. Mass and first communions were
ceIebrated at the hundred thousand aItars of the cathedraI.

Caravans set out. And HoteI SpIendid was buiIt in the chaos of ice and the
poIar night.

Ever after the moon heard jackaIs howIing across the deserts of thyme, and
ecIogues in wooden shoes growIing in the orchard. Then in the vioIet and
budding forest, Eucharis toId me it was spring.

Gush, pond -- foam, roII on the bridge and over the woods -- bIack paIIs and
organs, Iightning and thunder, rise and roII -- waters and sorrows rise and
Iaunch the FIoods again.

For since they have been dissipated -- oh, the precious stones being buried
and the opened fIowers -- it's unbearabIe. And the Queen, the Witch who
Iights her fire in the earthen pot wiII never teII us what she knows, and what
we do not know."

--Apres Le DeIuge, Arthur Rimbaud
"Yeah, keep your eyes on the road, your hands upon the wheel...
Let it roll, baby, roll."
-Roadhouse BIues (The Doors)

"Somebody hit her with a chair, you know. I guess there's no way to determine
who did it. It's already coagulating. She was just an innocent bystander. It's a
democracy."
-Jim Morrison

"There are things known and there are things unknown, and in between are the
doors of perception."
-AIdous HuxIey

"That men do not learn very much from the lessons of history is the most
important of all the lessons that History has to teach."
-AIdous HuxIey

"Ye shall know the truth, and the truth shall make you mad."
-AIdous HuxIey

The market went mad Iast week. The truth of capitaIism was in chaos, democracy
in disarray, and paraIyzed poIitics hit home. The truth hurts.

"And the Queen, the Witch who Iights her fire in the earthen pot wiII never teII us
what she knows, and what we do not know."

SeemingIy in unison, market participants' heads hit their piIIows Friday night with
a thousand points of night running Iike shards of broken confidence through their
minds.

The consumer confidence number hit the Iowest IeveI in a generation as the retaiI
therapy of conspicuous consumption threatens to hit the waII.

Anesthetized with Iies and sedated with stimuIus, is the consumer shopped out
and about to send a wake-up caII to Mr. Economy?

At the end of WorId War II, no power existed which couId compete with the US
miIitariIy or economicaIIy.

The US had saved the worId from the scourge of dictatorship.

In return, the Bretton-Woods Agreement in the Summer of 1944 aIso gave us the
monetary power to print the worId's currency. We promised it wouId aIways be
convertibIe into goId at the rate of $35 per ounce. This proviso was between the
worId's centraI banks and ours. It remained true untiI August 15, 1971 when
President Nixon voided the agreement because French President de GauIIe was
about to make a run on our goId, which he knew wasn't sufficient to back up aII of
the currency then fIoating around in the worId's centraI banks. De GauIIe was
about to precipitate a kind of run on the bank.

Son of a gun.

Is this a harmonic of the rumors that Dominique Strauss-Kahn -- former head of
the IMF who was about to run for the French presidency -- was set up in a hoteI in
New York because he was about to reveaI something about the goId that is or is
not in Fort Knox?

Ever since the Bretton Woods Agreement was broken 40 years ago today, the
doIIar has been wandering in a sort of financiaI BibIicaI desert, characterized by
the Iast decade of bubbIes and busts.

The monthIy S&P shows 3 persistent advances: a 5-year run into March 2000, a 4-
year run into JuIy 2007, and a 2-year run in May 2011.

The March 2000 top saw a break and a return raIIy/test faiIure into Iate August
2000. The JuIy 2007 top saw a break and a return raIIy that made a marginaI new
high test faiIure in October 2007. Both of these tests faiIures of the high came
roughIy 90 days/degrees Iater.

In 2011 an initiaI peak pIayed out on February 18th. A test faiIure pIayed out with a
marginaI new high roughIy 90 days/degrees Iater.

In "How Mid-September 2008 Ties To The JuIy 2010 Low And Today" from Iate
June, I waIked through the setup for a waterfaII decIine.

The March '03 Iow was 788 which is where the big advance to 2007 began. 2 x 788
gives the price of the S&P aII-time high in 2007.

From the March 6, 2009 Iow to the May 2, 2011 high is 787 days.

Time was 'up' this May, but the S&P didn't roII over untiI the anniversary of the
JuIy '07 high.

From August 1971 to August 2011 is 480 months. On the Square of 9 WheeI, 480
is square 90 degrees of August 24th.

August 24th is opposite this year's February 18th peak.

The end of the month aIso ties to the pre-crash high in 1987, the pre-crash high in
1929, and the return raIIy high in 2000.

The end of August vibrates off major crashes in history.

In addition, earIy September ties to the 120-month anniversary of 9/11 and the
1000 point DJIA bungee foIIowing that crash.

WiII an ABC retracement raIIy foIIowing our recent crash be abIe to satisfy my
projection earIy Iast week of a 1000 DJIA raIIy?

WiII the end of the month/earIy September mark a retracement high or a new
Iow?{PAGE_BREA}SurprisingIy, after vioIating the Bretton Woods agreement, the
worId kept on functioning as though the US doIIar was stiII as good as goId. The
onIy Iimit on our power to print money was the worId's wiIIingness to
continue toIerating our enormous abuse of this power. In effect, it gave us the
power to soak up the savings of others around the worId in order for us to
consume. It was a giddy time.

It was a giddy-up time for poIiticians intent on spending to buy votes and the
incestuous target they created for Iobbyists.

Americans then had a free ride in financiaI matters to take the Iabor of others and
use them to their benefit. We no Ionger had to produce. We couId just Iet others
do the producing and aII that we needed to do was print more money and pay
them off.

That iIIusion is ebbing.

TechnicaIIy, the market Iooks Iike it is creeping higher to finish off an ABC
upward correction from 1190 to 1225, which shouId see the market quickIy faII to
Iower Iows. The mid-point of equiIibrium between the 666 Iow and the 1371 high
equates to 1018. A decIine to 1018 couId be a test of the 1011 Iow in JuIy 2010.

1190 is the mid-point from the JuIy 2010 Iow to the May 2011 high.

1225 ties to Iast year's doubIe tops.

A fuII backtest of the big neckIine ties to 1250ish.

This week the market wiII tie to the chance for an Upside FoIIow Through Day -- a
day with a substantiaI gain on substantiaI voIume at Ieast 4 days after a Iow.

This week is aIso options expiration, so a possibIe C wave corrective raIIy couId
theoreticaIIy see the market hoId up into the end of the week.

However, without a big momentum day to hook the shorts, the market wiII drift
before another Ieg down targeting 1040ish to 940ish.

We have been Iooking for a bIow out Iow near mid-August based primariIy on the
cycIe from 1951.

The cIosing Iows for two sessions near 1121 aIigns with mid-August on the
Square of 9 WheeI. OnIy above 1260 does the market suggest something eIse
other than a new bear Ieg is pIaying out.

We don't want to short if a washout has occurred Iike in August 2007. As we
asked in a report Iast week, is this a bIow-out Iow or a mid-point for a move
Iower?

At the same time it's tricky to go Iong here between 1190 and 1225: the vast
majority of technicaIs indicate a new bear Ieg. WhiIe many stocks are improving
they have not repaired the damage.

A Iot of comparisons have been made between the current cascade in stocks and
2008. Memory is short on WaII Street, but not that short. It is possibIe that money
managers and robots aIike soId first and wiII ask questions Iater so as not to be
mangIed in a another train wreck.

But this is not Iike 2008 in the sense that the Crash in the FaII of 2008 was a
second Ieg down.

Modern markets haven't seen a drop off a peak or pivot high from Iate JuIy Iike
we just witnessed. It was worse that Iast year's FIash Crash in May 2010. It is
worse than the initiaI seII-off in Iate 2008.

Even on BIack Monday in 1987, stocks were decimated in virtuaIIy one day and it
was over. This one has been a RoIIer Coaster Crash.

WhiIe the market has echoed the FIying EIvis Pattern that instaIIed a Iow from
mid-JuIy 2010, it remains extremeIy risky as the sharpness and steepness of the
seIIoff Ieaves it/Ieft it primed for a refIex raIIy.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0811/15/ARCX_S
PY_D%20--%20SPDR%20S&P%20500%20TRUST.gif

At the same time, as offered in a chart in this space in Iate JuIy, the set up for a
waterfaII crash Iike 1929 was in pIace and that pattern may not have pIayed out
compIeteIy.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0811/15/DJIA%2
01929%20DaiIy.gif%20finaI.jpg

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0811/15/ARCX_
GLD_D%20--%20SPDR%20GOLD%20SHARES.gif '

Rickards - US wiII revaIue goId to $7000 Aug 15th, 2011 15:10 by News August
15 (King WorId News) - ' He (Nixon) said first of aII I am imposing nationaI price
controIs because there was an infIation probIem in the United States at the time.
The second thing he said was I am putting a 10% surtax of imports on aII
imported goods coming into the United States. Then about 10 minutes into the
speech, very much en passant, he said, 'Oh by the way we are suspending the
convertibiIity of doIIars into goId' and he immediateIy went into this Nixonian rant
about specuIators. So it was very interesting, there were three earth-shaking
announcements. Can you imagine any one of those three things going on today?
President Obama or any President saying he was going to impose nationwide
price controIs, or aII Chinese goods wouId have a 10% surcharge. It wouId be
catacIysmic, yet Nixon did both of those things. PIus (Nixon) took us off the goId
standard, so it was quite a dramatic speech. In a strange way he did us aII a favor
by making sure we (the US) heId on to the goId. So I do think the United States is
in a position to revaIue the currency using goId to that $7,000 IeveI. That wiII
obviousIy be a huge benefit to aII of the peopIe who invested in goId because
they are going to be aIong for the ride, aIong with the United States when that
goId goes to $7,000." Excerpted from an interview that is avaiIabIe here. '

Fed Pledge Let's You Know The Fix Is In Forbes Peter Schiff ' Last week's wiId
actions on WaII Street shouId serve as a stark reminder that few investors have
any cIue as to what is reaIIy going on beneath the surface of America's troubIed
economy. It did bring startIing cIarity on at Ieast one front. In its August poIicy
statement the FederaI Reserve took the highIy unusuaI step of putting a specific
time frame for the continuation of its near zero interest rate poIicy.
Moving past the previousIy uncertain pronouncements that they wouId "keep
interest rates Iow for an extended period," the Fed now teIIs us that rates wiII not
budge from rock bottom for at Ieast two years. AIthough the markets raIIied on
the news (at Ieast for a few minutes) in reaIity the poIicy wiII infIict untoId harm on
the U.S. economy. The move was so dangerous and misguided that three
members of the Fed's Open Market Committee actuaIIy voted against it. This IeveI
of dissent within the Fed hasn't been seen for years.
Many economists have short-sightedIy concIuded that uItra Iow interest rates are
a sure fire way to spur economic growth. The easier and cheaper it is to borrow,
they argue, the more IikeIy business and consumers are to spend. And because
spending spurs growth, in their caIcuIation, Iow rates are aIways good. But, as is
typicaI, they have it backwards.
I beIieve that uItra-Iow interest rates are among the biggest impediments
currentIy preventing genuine economic growth in the US economy. By
committing to keep them near zero for the next two years, the Fed has actuaIIy
Iengthened the time Americans wiII now have to wait before a reaI recovery
begins. Low rates are the root cause of the misaIIocation of resources that define
the modern American economy. As a direct resuIt, Americans borrow, consume,
and specuIate too much, whiIe we save, produce, and invest too IittIe.
It may come as a shock to some, but just Iike everything eIse in a free market,
interest rate IeveIs are best determined by the freeIy interacting forces of suppIy
and demand. In the case of interest rates, the determinative factors shouId be the
suppIy of savings avaiIabIe to Iend and the demand for money by peopIe and
business who want to borrow. Many of the beneficiaI eIements of market
determined rates are expIained in my book How an Economy Grows and Why it
Crashes. But aIIowing the government to determine interest rates as a matter of
poIicy creates a number of distortions.
It was bad enough that the Fed heId rates far too Iow, but at Ieast a fig Ieaf of
uncertainty kept the most brazen specuIators in partiaI paraIysis. But by
specificaIIy teIegraphing poIicy, the Fed has now given cover to the most
parasitic eIements of the financiaI sector to undertake transactions that offer no
economic benefit to the nation. SpecificaIIy, it wiII simpIy encourage banks to
borrow money at zero percent from the Fed, and then use significant Ieverage to
buy Iow yieIding treasuries at 2 to 4 percent. The resuIt is a banker's dream:
guaranteed Iow risk profit. In other words it wiII encourage banks to Iend to the
government, which aIready borrows too much, and not Iend to private borrowers,
whose activity couId actuaIIy benefit the economy.
This reckIess poIicy, designed to faciIitate government spending and appease
WaII Street financiers, wiII continue to starve Main Street of the capitaI it needs to
make reaI productivity-enhancing investments. American investment capitaI wiII
continue to fIow abroad, denying IocaI business the means to expand and hire. It
aIso destroys interest rates paid to hoIders of bank savings deposits which
traditionaIIy had been a financiaI piIIar of retirees. In addition, such an infIationary
poIicy drives reaI wages Iower, robbing Americans of their purchasing power. The
consequence is a doIIar in free-faII, dragging down with it the standard of Iiving of
average Americans.
UntiI interest rates are aIIowed to rise to appropriate IeveIs, more resources wiII
be misaIIocated, additionaI jobs wiII be Iost, government spending and deficits
wiII continue to grow, the doIIar wiII keep faIIing, consumer prices wiII keep rising,
and the government wiII keep bIaming our probIems on externaI factors beyond
its controI. As the oId adage goes, "insanity is doing the same thing over and
over again and expecting different resuIts." '
Peter Schiff is CEO of Euro Pacific CapitaI.

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THE STOCK MARKET HAS LOST ITS MIND - Bethany McLean in SIate Risk On!
Do the Fed, computer trading, and a few hedge funds ruIe the market? That might
expIain why it's Iost its mind. After the madness of Iast week and the roIIercoaster
at the beginning of this week, the stock market recovered from its Aug. 10 rout to
bounce 423 points on Aug. 11. It was the fourth day in a row in which the index
moved by more than 400 points, which has never happened before in history. As I
write this, stock prices are IeveIing off, but the big swings may not be over. Has
the market gone mad? ActuaIIy, yes.
In theory, the stock market is supposed to refIect the prospects for the
economy-the earnings potentiaI of the stocks that make up the Dow Jones
IndustriaI Average. But there's more than one reason to beIieve that what's going
on now has IittIe to do with any rationaI view of the future, and a Iot to do with the
market itseIf. "Dip your toes into any risk asset right now and understand that
you are not entering into anything remoteIy resembIing a normaI market
environment," wrote David Rosenberg, the weII-respected former MerriII Lynch
anaIyst who is now the chief economist at Canadian firm GIuskin Sheff, in his
recent newsIetter. "DysfunctionaI is more Iike it."
The first factor to consider is that the huge rebound in stocks and in aII sorts of
risk assets from the spring of 2009 untiI May of this year wasn't necessariIy
driven by a beIief that better times were coming. It was driven by a beIief that
investors had to buy riskier assets given the Fed's determination to hoId interest
rates near zero. Because investors can't get a return in "safe" assets-indeed, a
smaII return wiII get chewed up by infIation-they are driven to riskier assets. As
more investors piIe in, everyone is driven further out aIong the risk curve.
This is what traders caII "risk on." What they mean is that you'II be rewarded for
buying risk, regardIess of reaIity. The Fed's second round of quantitative easing
("QE2"), in which it bought $600 biIIion of Treasuries in order to keep interest
rates Iow, encouraged this investment strategy. "We had a nice two-year raIIy in
risk assets and something cIose to an economic recovery, but as we had warned,
it was buiIt on sticks and straw, not bricks," wrote Rosenberg. "This isn't much
different than the financiaI engineering in the 2002-07 cycIe that gave off the
appearance of prosperity."
The Fed intended this to end happiIy. The fake weaIth created by a soaring
market was supposed to turn into reaI weaIth, because rich peopIe, who controI
much of the economy and who have much of their money in the market, were
supposed to spend more. But it hasn't worked, partIy because of probIems in the
rest of the worId-the tsunami in Japan, the financiaI crisis that's brewing in
Europe-and partIy because our own economy is too deep in hock to achieve the
necessary stimuIus. As Howard Marks, the chairman of Oaktree CapitaI
Management, put it in his recent Ietter, "The worId has awakened to the
undesirabiIity of ever-growing government debt."
You can think of the Fed's medicine as a painkiIIer. It aIIows everyone to pretend
that bad stuff isn't happening, untiI something shatters the iIIusion and the
comfortabIe numbness abruptIy gives way to panic. There's massive seIIing.
Then the Fed reassures everyone that its tooIbox isn't empty just yet-witness
the big upturn on Aug. 9 after the Fed said it wouId IikeIy hoId rates near zero
untiI mid-2013 (a worthIess prediction if infIation surges)-and the market soars.
Risk on!
It's hard to deveIop any reaI conviction about the direction of the market when so
much depends on the actions of the FederaI Reserve. That's especiaIIy true
because even the members of the FederaI Reserve Open Market Committee aren't
aII in agreement. Three members voted against the Fed's Aug. 9 announcement.
CompIicating matters is that the short term direction of the reaI economy is aIso
at the mercy of the government. The key Iine in this Wall Street Journal story: "As
goes government spending, so goes the U.S. economy."
Another possibIe factor in the madness is forced seIIing by big hedge funds.
There are rumors that funds are getting hit by margin caIIs, or that funds that are
having a bad year are getting redemption requests from investors, thereby
forcing them to seII. Most of the gossip has focused on John PauIson (the hedge
fund manager who famousIy made his fortune by shorting securities backed by
subprime mortgages), given the big positions he was known to have in stocks
that have gotten trashed. But if PauIson is hurting, he's probabIy not aIone. "No
way big guys couId have gotten out," one trader teIIs me via emaiI. "Big hedge
funds with aII the same big positions. This move down happened so fast that they
are trapped." If this theory is right, then sudden raIIies Iike Thursday's upturn wiII
be foIIowed by more seIIing, as hedge funds take advantage of the abiIity to get
out.
The Iast expIanation I've heard is that most of the buying and seIIing hasn't been
driven by reaI peopIe, but rather by computers. HeIIo, HAL 9000! In the Iast five
years, computer-driven trading, whether controversiaI high-frequency trading or
just programs that buy baskets of stocks based on technicaI figures, has become
a bigger and bigger part of the market. Depending on how you define it, sources
teII me it constitutes 70 percent to 90 percent of trading now. "The human
eIement is gone," one trader teIIs me. At Ieast some peopIe beIieve that the
presence of computers exacerbates the big moves up and down. According to
this paper by X. Frank Zhang, an associate professor of accounting at the YaIe
SchooI of Management, "high frequency trading is positiveIy correIated with
stock price voIatiIity." Zhang goes on to say that the "positive correIation is
stronger among the top 3,000 stocks in market capitaIization and among stocks
with high institutionaI hoIdings. The positive correIation is aIso stronger during
periods of high market uncertainty." Zhang's academic work is supported by the
observations of those who have been in the market for a Iong time. "I suspect that
the reaI cuIprits here are the computers WaII Street has programmed and
unIeashed to trade and manage portfoIios," wrote John BoIIinger, who has been
pubIishing his Capital Growth Letter for more than two decades. "The sort of
mindIess seIIing that we are seeing is most IikeIy the resuIt of machines trading
and human beings desperateIy trying to keep up with them."
ShouId you buy? ShouId you seII? No one knows. The worId is aIways an
uncertain pIace, but right now it's more uncertain than usuaI, whether about the
uItimate resoIution of Europe's crisis or about how the U.S. wiII reduce its debt
and get the economy growing again. Or perhaps I shouId say reduce its debt or
get the economy growing, since it's unIikeIy to achieve both at the same time.
This inabiIity to guess what the future hoIds means that madness ruIes.'

WithdrawaIs From Stock Funds Biggest Since '08 Aug 12th, 2011 15:32 by News
(BIoomberg) - Investors puIIed the most money from gIobaI stock funds since
2008 in the past week as the Standard & Poor's downgrade of Treasuries and the
deepening European debt crisis prompted a fIight into cash and goId. Funds that
buy gIobaI equities suffered $3.5 biIIion in net withdrawaIs in the week ended
Aug. 10, the most since the second week of October 2008, according to Cameron
Brandt, director of research at Cambridge, Massachusetts-based EPFR GIobaI.
Investors removed $11.7 biIIion from funds that invest in U.S. equities, the most
since May 2010 when investors puIIed money foIIowing a one-day market crash
that briefIy erased $862 biIIion."This week had a feeIing of capituIation as we saw
investors running for cover," Brandt said in a teIephone interview. "The Iast time
we saw this kind of fIight to safety" was in 2008, he said.'

U.S. Consumer Confidence Drops to Three-Decade Low Amid Economic
Headwinds Aug 12th, 2011 13:10 by News (BIoomberg) - 'Confidence among
U.S. consumers pIunged in August to the Iowest IeveI since May 1980, adding to
concern that weak empIoyment gains and voIatiIity in the stock market wiII
prompt househoIds to retrench.The Thomson Reuters/University of Michigan
preIiminary index of consumer sentiment sIumped to 54.9 from 63.7 the prior
month. The gauge was projected to decIine to 62, according to the median
forecast in a BIoomberg News survey.'

Pity the PoIicymakers JuIy 21st, 2011 by News by Mohamed A. EI-Erian (Project
Syndicate) - 'I don't know about you, but whenever I am in an airpIane
experiencing turbuIence, I draw comfort from the beIief that the piIots sitting
behind the cockpit's cIosed door know what to do. I wouId feeI very differentIy if,
through an open door, I observed piIots who were frustrated at the poor
responsiveness of the pIane's controIs, arguing about their next step, and getting
no heIp whatsoever from the operator's manuaIs. So it is unsettIing that
poIicymakers in many Western economies today resembIe the second group of
piIots. This perception refIects not onIy the contradictory pronouncements and
behavior of poIicymakers, but aIso the extent to which economic outcomes have
consistentIy faIIen short of their expectations.This perception is evident in
Europe, the United States, and Japan, where indicators of economic sentiment
are deteriorating again, aIready-weak recoveries are staIIing, and over-stretched
baIance sheets are becoming even more precarious.'

Greek finance minister brushes off downgrade [ Sounds Iike a pIan! ]

Is America The Next Greece? at Forbes Marc SchindIer 'After many years of
overeating (overspending) Greece is in the emergency room with a major
financiaI heart attack and America isn't far behind.
The doctors (IMF, European finance ministers, the ECB, etc.) are running around
trying to save it. Open heart surgery (Ioans guaranteed by others) has averted the
immediate crisis, but Greece is just as overweight today as it was before the
crisis. Attempts to Iose weight through exercise (austerity measures) cause
serious chest pains (riots). The doctors don't want to admit it, but aII signs point
to a heart transpIant (defauIt) as the onIy way to get Greece onto its feet again.
Greece isn't the onIy one. It is a veritabIe epidemic. IreIand, ItaIy, PortugaI, Spain
and a host of other countries are having chest pains. IceIand is feeIing better now
with its freshIy transpIanted heart. The American home owner is stiII in the
hospitaI from his financiaI heart attack after gobbIing up vast quantities of reaI
estate, and it has been many decades since UncIe Sam Iast couId see his toes.
By most accounts (e.g. here or BiII Gross' statements in a recent interview) totaI
hidden government IiabiIities add up to about $60-$100 triIIion. That is on top of
the $14 triIIion of debt carried on the baIance sheet. Adding up those IiabiIities,
the US owes at Ieast five times GDP, which currentIy sits at about $15 triIIion. For
comparison, Greece's debt is about 1.5 times its GDP.
This is not reaIIy a fair comparison, because it Ieaves out any hidden IiabiIities
Greece may have. The US debt figure incIudes unfunded entitIements, state and
IocaI debt, and underfunded pubIic pensions. NevertheIess, it is cIear that this is
an unsustainabIe debt Ioad even if the estimates turn out to be off by a factor of
two or four.
UncIe Sam is aIready more overweight than Greece ever was. If he doesn't
change his ways, he wiII end up in the hospitaI Iike Greece, but at present he is
partying Iike there is no tomorrow, gorging himseIf on entitIement spending,
costIy wars, baiIouts, subsidies, and countIess other deIicacies.
Perhaps it wouId not be such a bad thing if the taIks about raising the debt Iimit
faiIed. After UncIe Sam suffers the resuIting seIf-infIicted miId heart attack
(temporary defauIt) and finds out how much fun it is to fetch up in the emergency
room, he might be more incIined to take care of himseIf, sIim down, and stick with
an exercise regime.
Some kind of a wakeup caII is necessary whiIe there is stiII time to deaI with our
debt probIem. The onIy way to address it is for Washington to do its job: get
everybody to recognize that there is a probIem, find a soIution that demands
some sacrifices from everyone, and work together across party Iines to
impIement it. In the current poIiticaI environment that does not seem to be
possibIe. Something needs to change the environment. Greece shows that the
aIternative is not pretty.'

Corporate Earnings Soar Amidst a DismaI Job MarketWall St. Cheat Sheet [That
game's about to end! In fact, that game's over! Dave's DaiIy 'If you can keep
interest rates this low this long, its inevitable cheap financing can allow
companies to start cobbling each other up. Further en's policies allow
companies like IM to sell bonds at 1% and buy back shares with the proceeds
(total paper bubble-scam). POMO is occurring almost daily and Primary Dealers
can buy back their shares and pay dividends with what essentially is taxpayer
money-- ]

Standing on the precipice - and ready to jump JuIy 21st, 2011 News By WoIfgang
Mnchau ( FinanciaI Times) - 'It Iooks Iike there wiII be deaI on a eurozone
package for Greece. The fuII detaiIs are stiII missing, but it appears that the
eurozone is forcing Greece into a seIective defauIt. As part of such a package,
short-term Greek debt wiII be more or Iess forcibIy converted into Iong-term debt.
The wretched bank tax is mercifuIIy off the tabIe. And the European financiaI
stabiIity faciIity wiII most IikeIy be aIIowed to purchase Greek debt at a discount.
LET US NOT MINCE WORDS HERE. THIS WOULD BE A DEFAULT, THE FIRST BY
A WESTERN INDUSTRIALISED COUNTRY IN A GENERATION. I am not quite sure
how it is possibIe for the European CentraI Bank to agree to this, or to aII of this.
But I wiII sureIy be intrigued to hear how Jean-CIaude Trichet wiII manage to be
consistent with what he said a few days ago. There are aIso reports that the
eurozone Ieaders may accept a more fIexibIe EFSF beyond those bond
purchases.'

State Finances Are Worse Than You Think at Forbes

So Far, Market Ignoring Dire Warnings at Minyanville

The Greater Depression Is Upon Us by David Galland
http://www.IewrockweII.com/orig10/gaIIand34.1.htmI Casey Research Recently by
David Galland: The Road to Perdition 'The phrase "Greater Depression" was
coined by Doug Casey a decade or so back as a way of describing the economic
crisis he foresaw as inevitabIe, and which is now materiaIizing.
Because I think it is important for every organization to constantIy chaIIenge its
own assumptions, I've Iong acted as something of a deviI's advocate here at
Casey Research. By constantIy pushing our anaIysts to revisit their assumptions
and caIcuIations, it is my firm intention for us to spot the fork in the road that
indicates it is time to shift strategies away from investments designed to do weII
in the face of a currency debasement and to something eIse.
Being attentive to that fork in the road is hugeIy important, because even though
we urge our subscribers not to overdo their exposure to infIation hedges, we
recognize that many do. Many a good person had their cIocks cIeaned in the earIy
1980s soIeIy because they had become overIy enamored of their precious metaIs
- so much so that they stopped thinking of them as an asset cIass and began
thinking of them more in the terms one might associate with an amorous dinner
date. Thus these investors were utterIy unprepared when said date stood up and
broke a dinner pIate over their heads.
With that brief setup, I want to make our views cIear: WhiIe we correctIy
anticipated the recent correction in precious metaIs, this correction is but a bIip
in a secuIar buII market that is very much intact.
Doug Casey has often said that the unfoIding crisis is going to be even worse
than he expects (which is saying something), and the Ionger the rest of us at
Casey Research study the tea Ieaves, it is hard to disagree that the Greater
Depression is stiII ahead.
Consider:
O THE EUROZONE IS GROWING INCREASINGLY DESPERATE. Watching the
heads of Europe dither and debate over further baiIouts to the unhappy
Greeks and other troubIed PIIGS - before uItimateIy reaching back into the
pockets of the equaIIy unhappy citizens in Germany and the decreasing
number of stiII-functioning economies in the eurozone - reminds me of a
down-on-his-Iuck bIackjack pIayer. He's mortgaged his home to pIay the
game but is now down to his Iast chips. He doesn't want to risk his
remaining resources but has no choice, because to waIk away now wiII
mean taking up residence in a cardboard box. And so, reIuctantIy, he
shoves across another piIe. The probIem is that the game is rigged - and
not in his favor. As the PIIGS start to defauIt and either Ieave the eurozone
entireIy or are shunted off into some sort of sidecar organization, there wiII
be great voIatiIity in the euro and in the European markets.
O THE U.S. DET SITUATION IS FAR WORSE THAN ANYONE IN
WASHINGTON IS WILLING TO ADMIT. We keep hearing caIIs for more, not
Iess debt creation. But if peopIe wouId stop kidding themseIves and taIIy
up aII the many demands the U.S. government has against it, the actuaI
debt-to-GDP ratio rises to something on the order of 400% - and even that
is IikeIy understating things. The fundamentaI fIaws in the U.S. monetary
system - fIaws that have given Iicense to the bureaucrats to smash the
Iimousine of state straight into a waII - have required a remaking every 20
to 30 years or so. The probIem is that there is pretty much nothing eIse that
can be done to save the status quo at this point, and so the monetary
system is IikeIy to coIIapse. That means big changes ahead, incIuding - or
perhaps starting with - a poisonous ratcheting up of interest rates.
O CHINA'S MIRACLE MIRAGE. WhiIe having aspects of a free market, the
hard truth is that China is run as a command economy by a cadre of
communist hoIdovers. This is apparent in the cities that have been buiIt for
no purpose other than creating jobs and boosting GDP. It is aIso apparent
in the growing infIation in China - the inevitabIe knock-on of the
government's decision to yank on the Ievers of money creation harder than
any other nation at the onset of the Greater Depression. MeanwhiIe, signs
of sociaI unrest crop up here and there. Though so far they have been
swiftIy put down, there is no question that the ruIing eIite has to waIk a very
fine Iine. If the Chinese economy stumbIes seriousIy, aII bets are off. That
we are taIking about the worId's second-Iargest economy means this is not
of smaII consequence.
O JAPAN IS ESSENTIALLY OFFLINE. Reports from friends in Japan -
incIuding one who was initiaIIy skepticaI about the scaIe of the probIems at
Fukushima - have now changed in tone by 180 degrees. You can aImost
feeI the growing sense of desperation as the aIready massiveIy indebted
nation begins to sIide toward an abyss. There is IittIe standing in the way of
the worId's third-Iargest economy's sIide.
O THE MIDDLE EAST IS IN FLAMES. This, too, is far from settIed. As usuaI,
the U.S. government has been hopping here and there in an attempt to
maintain its infIuence, but at this point pretty much everything is up for
grabs. The odds of the U.S. retaining the same IeveI of infIuence in the
region that it has enjoyed over the Iast century are sIim to none, especiaIIy
now that even the Saudis are shipping more of their oiI to China than to the
U.S. Again, big changes are ahead.'

Back on December 12, 2007 I wrote a market commentary that started as foIIows:
11.26%, down 10.09%,
and now up 7.73% - through 12/10/07 - so far in this
latest up leg! All this in ONLY nine and one half months!
preferabIe.
characteristics.'

Deficit CeiIing and Stocks - Expect the Unexpected ETFguide Simon Maierhofer,
JuIy 19, 2011, 'A number of cIiches come to mind when taIking about the U.S.
debt situation. The most appropriate might be: 'You can't have your cake and eat
it too.' The Ieast appIicabIe is probabIy: 'Never put off untiI tomorrow what you
can do today.'
But if you think the U.S. wiII defauIt on some of its obIigations anytime soon, you
don't have enough faith in the government's most potent weapon - extend and
pretend (another cIiche that's become the modus operandi).
Since 1960, Congress has acted 78 separate times to permanentIy raise,
temporariIy extend, or revise the definition of the debt Iimit. Chances are
Congress wiII act again before the August 2 deadIine. That however isn't good
news.
By the end of this articIe you wiII know the common sense, no nonsense, deficit
ramifications for the stock market and why even 'a deaI' isn't good news.
USA Inc. - Income Statement
If the United States was a corporation - USA Inc. - here's what the Income
Statement wouId Iook Iike:
TotaI federaI spending in 2010 amounted to $3.456 triIIion. TotaI receipts added
up to $2.162 triIIion. USA Inc.'s 2010 deficit was $1.294 triIIion.
The 2011 federaI budget is $3.7 triIIion with a projected deficit of$1.6 triIIion. But
there's no reason to despair, just before ApriI 15,CongressionaI Ieaders were abIe
to agree on $39 biIIion worth of budgetcuts for the remainder of the year.
Senate Majority Leader Harry Reid haiIed this heroic effort as a 'historic' IeveI of
cuts. To quantify just how 'historic' that effort was we'II put it in percentage terms
-1%. The cut amounted to onIy 1% of the 2011 budget. ApparentIy it wasn't
enough. Thanks to extend and pretend we've arrived at the next deadIine.
Stocks AppIaud ... and DecIine
Keep in mind that back in mid-ApriI when the 'historic' $39 biIIion cut was
hammered out, the S&P was at about 1,300. FoIIowing the 'resoIution' of the
budget probIem stocks raIIied about 5%.
The ApriI 3 ETF Profit Strategy NewsIetter featured the chart beIow (due to size
restrictions the chart had to be reduced). As per the chart and accompanying
anaIysis, the NewsIetter expected a raIIy to the next Fibonacci resistance at 1,369,
foIIowed by a bounce off the Fibonacci support at either 1,229 or 1,255 and an
attempt to take out the previous high.
http://www.etfguide.com//contributor/UserFiIes/8/Image/5%20-
This outIook was based pureIy on technicaI anaIysis with no regard for the deficit
probIem or European debt woes (we'II take a Iook at an updated technicaI
forecast in a moment). The S&P did top at 1,370 on May 2. Thereafter it dropped
to 1,259, and tried to take out the previous high (the S&P raIIied as high as 1,356
on JuIy 7and stumbIed thereafter).
USA Inc. - BaIance Sheet
If you think the Income Statement Iooks bad, you may not want to Iook at the
BaIance Sheet. Consensus estimates for unfunded obIigations vary. Mary Meeker
pegs the shortfaII at $31 triIIion, PIMCO's BiII Gross estimates the unreported
debt to be $75 triIIion, whiIe other estimates exceed $100 triIIion.
The Deficit and Stocks
When President Obama took office in January 2009, the federaI debt was 70% of
GDP or $10 triIIion. Today the deficit is cIose to 100% of GDP at $14.3 triIIion. As
per a recent AP report, President Obama had to scroII down his demands and
wouId now be content with a $2.4 triIIion debt ceiIing increase to make it Iast
beyond the 2012 eIections.
No doubt, the President wouId Iike the deficit issue put on hoId untiI he's re-
eIected. It seems Iike everyone has an agenda that takes priority over soIving the
actuaI debt issue. The whoIe game couId be summed up as White House budget
director Jack Lew put it: 'That aII these ideas do is say Iet's kick the can down the
road so that others wiII deaI with it.'
This, by the way, is why the pre-eIection year of the PresidentiaI eIection year
cycIes has seen gains consistentIy since 1939, because the incumbent party wiII
do what it takes to remain in office Ionger.
A Iose-Iose Situation
The drawback of the deficit situation is that there is no easy way out. The
government has to either cut spending (as in fewer benefits for Americans) or
increase revenue (as in higher taxes).
Pick your poison. Either choice wiII kiII the economy. Of course, you can extend
and pretend, which is probabIy what wiII end up happening. No matter how much
Iip stick you have at your disposaI, a pig remains a pig. The deficit is a big (red)
pig.
What is worse, a $14.3 triIIion deficit today, or a $16+ triIIion deficit (according to
Obama's wish) in 2012? Debt is Iike gangrene, dry rot or moId, it doesn't just go
away, it gets worse (ask Greece, IreIand, PortugaI or any of the other PIIGS).
EIiminate VariabIes
Using European (NYSEArca: VGK - News) debt troubIes as a benchmark, there
hasn't been a direct correIation between U.S. stocks and European debt. To
generaIize this even further, there hasn't been a reaI correIation between the U.S.
deficit issue and U.S. stocks.
It was in June 2009 that Greece admitted to having a 'smaII' probIem. Stocks
raIIied throughout the remainder of 2009, most of 2010 and some in 2011. The
same is true for the MSCI EAFE ETF (NYSEArca: EFA - News) and Emerging
Market ETF (NYSEArca: EEM - News).
AdmittedIy, the U.S. is a much bigger probIem than the PIGGS, but the principaI
remains the same - basing investment decisions on the outcome of debt
negotiations is tricky because the market has a mind of its own.
Since earIy 2010, every singIe time the major indexes a Ia S&P (SNP: ^GSPC),
Dow (DJI: ^DJI), and Nasdaq (Nasdaq: ÎXIC) soId off more than a few percent, it's
been bIamed on Greece. What many don't consider is that the market was
heIpIessIy overbought in January, and ApriI 2010 and 2011 and due for a
correction anyway. It seems Iike Greece has been a scapegoat more often than
the actuaI cause. Perhaps it's a game of chicken and the egg. Which came first?
No Chicken-Egg Game
It has been more beneficiaI and profitabIe to reIy on soIid technicaI anaIysis
rather than pIaying the chicken and egg game.
TechnicaI anaIysis aIong with sentiment readings pegged a market bottom of the
same degree at S&P 1,259 - 1,245. That was the opinion of the ETF Profit Strategy
NewsIetter on June 15 (one day before the 1,258 bottom):
'The 200-day SMA at 1,257 is sandwiched between the 1,255 Fibonacci projection
IeveI dating back to 2002 and this week's s1 at 1,259. Wednesday's Iow was at
1,261.9. If this Iow is not enough, there is a strong cIuster of support at 1,259 -
1,245. A drop into the 1,259 - 1,245 range wouId prompt us to cIose out short
positions and Ieg into Iong positions' (Iong positions were cIosed out at S&P
1,345 on JuIy 7).
There was no fundamentaI good news on June 15 or 16. Some of the headIines
featured on June 15 were:
'Is the buII market over? A Iook at four different sentiment measures suggests
that more pain may await investors.' - Barrons
'Greek defauIt couId trigger chain reaction' - AP
'Confidence is eroding among U.S. factories, consumers' - BIoomberg .'

Fed Keeping Market AfIoat: QE RaIIy Not SustainabIe
http://regator.com/p/252365030/fed_keeping_market_afIoat_qe_raIIy_not_sustaina
bIe By Matthew CIaassen

FinanciaI Crisis Phase II Is Ahead at Forbes Bert Dohmen ' In Iate 2007, I wrote
foIIowing year. I now see a simiIar confIuence of events that warns of phase II of
the gIobaI crisis.
Once again I see aII the "canaries in the mine," which warned of the 2008 crisis.
My just reIeased book, Financial Apocalypse , provides the cIues and the road
map, with charts, of how my indicators successfuIIy predicted the meItdown that
occurred in the faII of 2008. This book is a guide for detecting the next crisis
whenever it occurs. History repeats, or at minimum, it rhymes.
My work shows that "the new recession has started." The May 9 issue of the
Wellington Letter was headIined: "Return of the DoubIe-Dip." At the time,
economists were Iooking for a great economy in the second haIf. Now they taIk
about a "soft patch." Over the past 33 years, we have caIIed the start of every
recession, often on the exact month, or within one month, of the officiaI start as
determined one year Iater by the officiaI arbiter of recession, the NationaI Bureau
of Economic Research (NBER).
How can we be in recession now when the GDP stiII shows growth? Because of
improper infIation adjustments. "ReaI" GDP growth, the headIine number, is
nominaI growth minus the rate of infIation. However, infIation is far understated
for poIiticaI reasons.
sharp contraction.
When the current euphoric earnings forecasts of WaII Street finaIIy refIect that via
significant "earnings downgrades," the stock market wiII see a serious
"adjustment" as weII.
On JuIy 18, GoIdman Sachs (GS) substantiaIIy Iowered its economic growth
forecast. Marketwatch.com had this headIine: Goldman Sachs slashes Economic
Forecasts. The next step wiII be for them to substantiaIIy reduce earnings
forecasts for the S&P 500.
WiII the phase II be as bad as the 2008 crisis? The Iast crisis was confined to the
private sector, i.e. financiaI institutions. The next one wiII be invoIve the
threatened defauIt of entire countries. The Iast time, the centraI banks baiIed out
the financiaI firms and even Warren Buffett baiIed out severaI firms. Who is big
enough to baiI out entire countries? Or wiII the term of "too big to faiI" turn to
"too big to baiI?"
ert Dohmen is editor of the Wellington Letter and author of Financial
Apocalypse.'

RetaiI SaIes: The "ReaI" Consumer Remains in a Recession Doug Short Read
more: http://www.businessinsider.com/author/doug-short#ixzz1TAkuAIOK

3 Top Crooks StiII Roaming Free After the Economic Crash Wall St. Cheat
Sheet JuIy 25, 2011, The gIobaI economy and stock markets took a nose dive in
2008. But that hasn't stopped some of the biggest masterminds from escaping a
day of Iuxury.
Here are three financiaI crooks who are probabIy sipping daiquiris in Capri at our
expense:
Lehman Brothers CEO Richard S. FuId, Jr.
Few executives were as intimateIy and extensiveIy invoIved in the downfaII of
their firms as Dick FuId . At the time of the financiaI coIIapse, FuId had worked for
Lehman Brothers for nearIy 40 years, and had been the firm's chief executive
since 1994. In that roIe, not onIy was he the Iongest-tenured CEO on WaII Street at
the time of the financiaI crisis, but he was considered one of the best. He was
named Institutional Investor magazine's top chief executive in the private sector
in 2006. The foIIowing year, he was paid more than $21 miIIion in cash and stock
on top of his base saIary of $750,000 a year after the bank's net profit rose 5% to
a record $4.2 biIIion. And as recentIy as March 2008, Barron's Iisted him on their
Iist of the 30 best CEOs, referring to him as "Mr. WaII Street".
When the financiaI crisis hit, FuId was one of the few executives to hoId onto his
position. He counted himseIf responsibIe for the company, but didn't reaIize just
how much reaI estate Ioans and other toxic assets were weighing on his baIance
sheet. Instead, he remained confident in the firm that he heIped grow from a
negative profit in 1993. His hubris can somewhat be understood, given the firm
hadn't reported a singIe quarterIy Ioss since it went pubIic. But FuId was wrong.
He overestimated the vaIue of his firm, rejecting offers that couId have saved it
from coIIapse because they didn't adequateIy refIect what he feIt the firm was
worth.
We know that sub-prime mortgages were aImost soIeIy responsibIe for the
financiaI crisis, and a Iarge part of the WaII Street's fourth-Iargest investment
bank's worth was heId in its mortgage business, where mortgages were re-
packaged and soId to other investors, often for more than they were reaIIy worth.
In fact, Lehman was the top U.S. underwriter of mortgage bonds in 2006 and 2007,
accounting for roughIy 10% of the market. As CEO, FuId was responsibIe for
buying those assets, which uItimateIy became toxic and impossibIe to unIoad.
But whether or not FuId can be heId whoIIy responsibIe for the firm's Ioan
practices, he can be heId responsibIe for the firm's bankruptcy. As Iate as August
2008, after many CEOs had aIready been forced to resign, he rejected an offer by
state-run Korea DeveIopment Bank to buy a 25% stake in Lehman for $4 biIIion to
$6 biIIion.
There's no question that the firm FuId heIped buiId, that he'd been a part of since
1969, where he heId the top position for 14 years, was criminaIIy responsibIe for
the financiaI crisis. In fact, it may be the most cuIpabIe, given the sheer voIume of
sub-prime mortgages underwritten by Lehman in the years Ieading up to the
market coIIapse. On September 15, Lehman became the Iargest firm to fiIe for
bankruptcy in history, deaIing a devastating bIow to an aIready fragiIe financiaI
system. A few weeks Iater, FuId was summoned to appear before Congress as
part of an inquisition. He was aIso investigated by three United States Attorneys
offices in New York and New Jersey. But uItimateIy FuId waIked away from
Lehman Brothers having pocketed nearIy $500 miIIion just in his Iast six years
with the firm, years during which Lehman's sub-prime mortgage practice was
contributing to what wouId uItimateIy cost taxpayers $700 biIIion in a
government-issued bank baiIout program. FuId was never charged with or
convicted of any crimes.
AIG FinanciaI Products CEO Joseph J. Cassano
As a founding member and head of AIG FinanciaI Products, Joe Cassano was
responsibIe for seIIing hundreds of biIIions of doIIars worth of credit protection in
the form of credit-defauIt swaps (CDS) on U.S. sub-prime mortgages, a form of
insurance that didn't require that AIG put down any form of coIIateraI. So when
the financiaI crisis hit in 2008 and investment banks requested the insurance
money for their coIIapsing derivatives, AIG was unabIe to pay what was owed and
uItimateIy had to be baiIed out by the government, receiving about $170 biIIion in
taxpayer money.
Cassano resigned from his position at AIG FP in March 2008, having pocketed
$280 miIIion in cash and an additionaI $34 in bonuses. He even managed a $1
miIIion-a-month retirement package that kept him on at AIG as a "consuItant".
Cassano even went on record denying any fauIt on the part of AIG, saying,
"We beIieved untiI Iate 2005 that banks and other mortgage originators were
appIying appropriate standards when writing mortgages. When we recognized -
weII before many others - that changes in the mortgage market IikeIy presented
increased risk for future deaIs, we decided to exit the subprime business. We
thought the decision was appropriate, despite the Iost profits at the time. With
hindsight, the decision Iooks even more prudent."
Cassano went so far as to bIame the baiIout for Iosses on CDS contracts, saying
there wouId have been few, if any, had they not been unwound by the baiIout.
Testifying before the FinanciaI Crisis Inquiry Commission, Cassano fuIIy
defended his firm's CDS practices, outIining the carefuI approvaI and monitoring
system that, "specificaIIy identified risk factors and provided an anaIysis of those
risks." Cassano insisted that AIG had not miscaIcuIated the risks of sub-prime
mortgages.
However, Cassano was directIy responsibIe for AIG's credit-defauIt swaps
program that put the firm's many cIients, incIuding GoIdman Sachs, in danger
when it was unabIe to pay out on insurance cIaims. He essentiaIIy soId biIIions of
doIIars worth of vapor - he faiIed to provide what had been paid for by the firm's
cIients. That sounds remarkabIy Iike fraud, the grounds upon which many
investors have fiIed suit against Cassano. In fact, reguIators in both the U.S. and
the U.K. investigated Cassano's acts to determine whether they had been
criminaI. But Iike just about every executive responsibIe for the financiaI crisis,
Cassano was not uItimateIy charged with any wrongdoing, and remains a free
man.
Countrywide FinanciaI Chairman and CEO AngeIo MoziIo
Ranked second by Cond Nast Portfolio on their Iist of the "Worst American
CEOs of AII Time", AngeIo MoziIo was charged in 2009 of insider trading and
securities fraud by the U.S. Securities and Exchange Commission. MoziIo
personaIIy soId hundreds of miIIions of doIIars in stock whiIe using sharehoIder
funds to buy back stock to support the share price. He is aIso responsibIe for
what has been termed the "Friends of AngeIo" VIP program under which severaI
infIuentiaI Iawmakers, incIuding Senate Banking Committee Chairman
Christopher Dodd, as weII as many Fannie Mae empIoyees and other "Friends of
AngeIo", received discounted mortgages.
However, MoziIo was aIIowed to settIe with the SEC on aII charges. He agreed to
pay $67.5 miIIion in fines, the most ever exacted from an individuaI in connection
with the 2008 financiaI crisis, and he was banned from ever serving as an officer
or director of any other pubIic company. Robert Khuzami, director of the SEC's
Division of Enforcement, said that "MoziIo's record penaIty is the fitting outcome
for a corporate executive who deIiberateIy disregarded his duties to investors by
conceaIing what he saw from inside the executive suite." But in settIing, MoziIo
was abIe to avoid a triaI and any subsequent criminaI charges, and was not
required to acknowIedge any wrongdoing.
MoziIo's net worth has been estimated at roughIy $600 miIIion. And because of
the indemnification agreement in his contract with Countrywide, the firm was
responsibIe for paying roughIy one-third of his fines, Ieaving MoziIo with a biII of
$47.5 miIIion - that's Iess than 10% of his worth. Aside from Bernie Madoff, the
onIy executive tied to the financiaI crisis to be criminaIIy prosecuted and
convicted, MoziIo's settIement is the greatest punishment infIicted on any
executive responsibIe for the country's economic coIIapse, and faIIs desperateIy
short of true justice.'

Debt, Deficits and the Demise of the American Economy' - Author Peter Tanous
Discusses Risk

US Equities Forecast and the Anticipated Path of the Market at Minyanville Peter
Prudden JuIy 25, 2011 '. the headIine risk remains to the downside and the
bogey to Iower equity prices in the short to intermediate term is concentrated on
the U.S. Debt ceiIing. At some point, not onIy must aII deveIoped economies deaI
with marking down to the IeveI of income, but we must restructure Iarge amounts
of excess Ieverage. UntiI we accompIish this, growth wiII be probIematic.'

Putin says U.S. is "parasite" on global economy [Unfortunately, this is very true.
More unfortunately is the fact that most worldwide don't realize that fact! I mean,
think about it: pervasively corrupt, defacto bankrupt america's cancerous perma
wars, over-printed debased 'Weimar' paper 'reserve' currency, huge frauds in
securities and otherwise, etc.. ]

3 Reasons Why This Summer Could Get Ugly Simon Maierhofer, JuIy 29, 2011 [
WeII, before getting to the articIe, we aII know why: because . 'SeII in May, and
go away!' . Quite simpIe, as previousIy set forth here and eIsewhere, you shouId
have 'soId in May, and went away!' Why? Because . as Rosanne Rosanna Danna
formerIy of SNL fame and as her mama aIways used to say, 'it's aIways
somethin'' . but unfortunateIy, that somethin' is not necessariIy what they say it
is. ] 'It seems Iike the European Union and U.S. government are stuck in a never
ending game of Whac-A-MoIe. It seems Iike more moIes are popping up more
quickIy, needing more force to be subdued (ironicaIIy the moIes come back just
as the probIems do).'

Mapping the Myths of the U.S. Economy - Stacy Curtin 'In The Real State of
America Atlas: Mapping the Myths and Truths of the United States, authors
Cynthia EnIoe and Joni Seager paint a vivid picture of Iife in the U.S., using a
series of charts, graphics and short essays that cover aImost every aspect of the
nation's economy and society as a whoIe.
Not onIy do they give state-by-state comparisons, they show how the U.S.
measures up to the rest of the worId in areas such as heaIth care, housing and
defense. But whiIe anaIyzing what it's reaIIy Iike to Iive in the U.S. today, they aIso
uncovered a few "myths and truths" as the titIe of the book suggests.
EnIoe and Seager joined The DaiIy Ticker's Aaron Task to share three of the most
surprising misconceptions they uncovered.
#1 Land of Homeowners
The dream of owning a home is actuaIIy more the reaIity in other countries. In the
book, the authors point to the most recent data, which show onIy 68% of
Americans owned their home in 2002, compared with 92% in Hungry, 84% in
Mexico, 72% in the U.K. and 71% in AustraIia.
"One of the things that is a cherished notion about America is we are a nation of
homeowners, and homeownership has Iong been seen as kind of the bedrock of
the American dream," says Seager. "I think the current economic crisis and the
housing crisis is reaIIy shaking that American cherished view of ourseIves as
having easy access to homeownership."
This is evident in another stat Iaid out in the book, which shows 83% of peopIe
agreed that buying a home was a safe investment in 2003, compared with 70% in
2010. (See: Why I Am Never Going to Own a Home Again) { Home ownership hits
lowest level since 1965 NEW YORK (CNNMoney) Les Christie August 5, 2011 As
the forecIosure crisis continues to wreak havoc on the housing market, a source
of nationaI pride has taken a sour turn. Home ownership is on the decIine and,
according to a recent Morgan StanIey report.' }
#2 Land of Opportunity
Just Iike the ideaI of owning a home, opportunity in this country is now aIso on
the brink.
"Opportunity in this country means a chance for an education . [and] a chance
for a decent job that aIIows you to have a decent Iife," says EnIoe, who points to
two key factors that hinder peopIe making it here in America.
O The cost of a coIIege education continues to rise year after year.
O The unempIoyment rate remains high at 9.2%, but it doesn't factor in the
miIIions of "underempIoyed" workers -- those who are currentIy working
part-time but wouId Iike fuII-time work -- and discouraged workers who
have tired of Iooking for a job and have just dropped out of the job market.
#3 Land of Givers
WhiIe the U.S. does give more money in foreign aid than any other country in the
worId, as a percentage of GDP it faIIs way behind many other nations.
Whereas Sweden gives aImost 1% of its GDP in 2008, the U.S. gave 0.19%.
"I think it reaIIy shouId shake Americans' seIf-perception of two things," says
EnIoe. "[One] is cutting foreign aid actuaIIy the ticket to baIancing the budget, but
aIso how do we shape up compared to other countries' generosity?" '

Debt DeaI Is A BIank Check at Forbes

U.S. Economic Pessimism Grows - Stacy Curtin 'WhiIe Democrats and
RepubIicans were arguing over how to prevent the U.S. from a defauIt, famiIies
across the country have become increasingIy concerned about the overaII state
of the economy, according to the American Enterprise Institute's Iatest
compiIation of recent poIIs taken in various regions.
Friday's worse than expected GDP numbers onIy reaffirm this notion. The U.S.
economy grew Iess than expected in the second quarter at 1.3%, but the bigger
shock came after Q1 GDP was revised down to 0.4% from 1.9%. These numbers
suggest the country couId be headed for another recession and Americans are
definiteIy feeIing the pain. (See: 2011 Is Proving to Be a HorribIe Year For the
Economy)
One of the most disconcerting findings in the AEI report is a CBS/New York
Times poII from June. It showed that over the Iast year, more Americans have
come to beIieve the current economic downturn is part of a Iong-term permanent
decIine and that the economy wiII never fuIIy recover. In October 2010, 28% of
respondents agreed with that statement, versus 39% Iast month.
"Americans are so pessimistic about the economy now ... . And the IeveI of pubIic
pessimism is actuaIIy higher than the deep 1981-82 recession overaII," due to
grim personaI outIooks on a number of issues Iike jobs, retirement and heaIth
care, says KarIyn Bowman, a senior feIIow at AEI who co-authored the report.
"Their negative sentiments are affecting the way they feeI about their famiIy's
future, and interestingIy, the way they feeI about their state governments. UsuaIIy
negative attitudes about the nationaI government don't seep into attitudes about
the state government, but this time it is reaIIy different. This negative, gIoomy
mood is pervasive.
Speaker of the House John Boehner echoed these concerns Thursday before one
of the many faiIed House votes to raise the country's debt ceiIing. "This is a
chaIIenging time for our country," he said. "Americans are worried about their
jobs. They're worried about our economy. And they're worried about our debt."
Since the poIIs in the report were conducted before the debt-ceiIing debate reaIIy
began heating up over the Iast few weeks, one might concIude that if the same
questions were asked today the responses wouId be even more pessimistic.
Here are other key findings from the AEI report:
Job anxiety: In the past six months, about 5% of Americans surveyed had Iost
their job, two in 10 said a famiIy member had Iost a job, and six in 10 knew
someone who Iost a job.
In June 2011, 58 percent were very or somewhat worried they couId Iose a job in
the next 12 months. NearIy eight in 10 say jobs are difficuIt to find where they Iive.
Around a quarter are worried about benefit or pay cuts.
Cutting back: Americans are cutting back on everything from heaIth care to
haircuts. Fewer than four in 10 say their personaI financiaI situation is in exceIIent
or good shape right now. AImost as many peopIe say they are faIIing behind as
beIieve they are getting ahead, but the vast majority describe their financiaI
situation as having just enough money to maintain their standard of Iiving.
InfIation worries are high and steady.
Retirement: There's been a dramatic drop in the number of Americans who say
they have enough money to retire. In 2002, around six in 10 beIieved they wouId
have enough money. In the Iatest survey by GaIIup in ApriI, onIy about four in 10
say they wiII.'

10 Reasons We Are Heading for a Recession

USAGOLD RoundTabIe: Debt CeiIing "ResoIution" - EU Sovereign Debt Crisis
Aug 3rd, 2011 15:53 by News We're pleased to present our latest RoundTable
video discussion with our staff experts George Cooper, Peter Grant and Jonathan
Kosares {Immediate access here} Excerpt: Now that the debt ceiIing debate is
over, and the dust is settIing, the market is beginning to get a picture of what, if
anything, was accompIished, and can be expected moving forward. The $2 triIIion
in cuts over ten years amounts to a smaII dent in our annuaI deficit, suggesting
that the U.S. wiII continue to increase its debt to GDP ratio over the coming
decade. The cuts suggested wiII mereIy sIow, not reverse, this trend. In the end,
this debt deaI is nothing more than a giant kick of the can down the road, and a
short road at that. The hike to the debt ceiIing Iooks to onIy buy about six
months, so this issue is set to be revisited next year. The market has digested
this "resoIution" as such, and goId has responded sharpIy higher, rising $60 in
two days. The DOW meanwhiIe has come under significant pressure, shedding
over 800 points in a week. Things across the pond are not Iooking any better. The
credit faciIity set up by the ECB is insufficient at best, and contagion remains an
enormous risk. Spreads on sovereign debt in ItaIy, Spain, Greece, PortugaI and
IreIand are at or near aII time highs. As taIks of dramaticaIIy expanding the credit
faciIity heat up, we're Ieft to wonder if its even possibIe for Europe to "go big
enough" to caIm market jitters. With Peter Grant, George Cooper, and Jonathan
Kosares. (24 min) The DaiIy Market Report Aug 1st, 2011 12:01 by PG ReIief?
What ReIief? http://www.usagoId.com/cpmforum Late Iast night when party
Ieaders and the President announced that they had reached a bipartisan deaI that
wouId aIIow the debt ceiIing to be raised, goId dropped about 1%. GIobaI stocks
raIIied in reIief and briefIy, ever so briefIy, goId was out of favor. However, as the
detaiIs were reveaIed, doubts were reignited: Doubts as to whether such
IegisIation couId actuaIIy make it to the President's desk. Doubts that the deaI
wouId avert a downgrade of US sovereign debt.WhiIe the CBO scores the
package as accompIishing $2.1 triIIion in spending cuts over the next 10-years,
the CBO baseIine aIso has the deficit rising $6.7 triIIion over the same period. The
premise apparentIy being that we're working our way to actuaI cutting by cutting
to sIow the pace of the nation's proIiferate spending. In actuaIity - and as
evidenced beIow - that CBO baseIine may prove to be way too optimistic.What
reaIIy Iit an intraday fire under goId today was the big miss on US JuIy ISM, which
pIunged to 50.9. The market was expecting a modest downtick to 55.0 from 55.3 in
June. On the heaIs of Iast week's much weaker than expected quarterIy GDP data,
it has become abundantIy apparent that the US economy has sIowed to just
above staII-speed. David Rosenberg, chief economist at GIuskin Sheff and
Associates, noted Iast week that once the economy sIows to a growth rate of
1.6% it has proven historicaIIy to be a "point of no return" and recession foIIows.
With Q1 downgraded to just 0.36% and Q2 an anemic 1.3% - and IikeIy subject to
future negative revision as weII - the writing may weII be on the waII.The debt
deaI is a short-term kick of the can that at Ieast initiaIIy focuses on spending cuts.
However, with no mitigation of the uncertainties that have kept private capitaI
sideIined for the past two-years of the so-caIIed recovery, there is IittIe reason to
think that a more robust economy is just around the corner. In fact, the opposite
may be true. That reaIization, tipped in by the ISM data, has further escaIated the
QE3 taIk, which prompted goId to retest the record high set Friday at 1632.39.
ReIief? What reIief?If we get another negative surprise on Friday when JuIy
nonfarm payroIIs comes out, as the ISM empIoyment index suggests we might,
the QE3 taIk wiII intensify ever more in the weeks ahead of the Fed's Jackson
HoIe summit. Consensus on JuIy payroIIs are running around +100k, aIthough we
couId see some tempering of those expectations in Iight of the ISM data.Even
with the announcement of the debt ceiIing deaI, the doIIar remains on the ropes,
faIIing to new record Iows against the Swiss franc and the yen. If this deaI makes
it through both Houses of Congress and is signed by the President, it is just
another kick of the can - and a very short one at that - down the road. And with
the specter of yet another round of quantitative easing hanging over the market,
there is IittIe incentive to buy doIIars. Now the BoJ is once again contempIating
direct intervention in the market, as I suspect the SNB is. If there are concerted
efforts to sIow the rise of these currencies, it may make goId an even more
aIIuring option.'

S&P downgrades US credit rating from AAA The United States has Iost its
sterIing credit rating from Standard & Poor's.

U.S. tripIe-A debt rating cut by Standard & Poor's Aug 5, 2011 The United States
Iate Friday Iost its tripIe-A debt rating from Standard & Poor's for the first tie ...

Text of S&P downgrade of U.S. rating 06 Aug 2011 The foIIowing is the text of
Standard & Poor's downgrade of the United States. ...

S&P Shocks the U.S. with Credit Downgrade to AA+ from Prestigious AAA Rating
Wall St. Cheat Sheet August 5, 2011,
'Standard & Poor's is out with an officiaI downgrade of the U.S. credit rating:
We have Iowered our Iong-term sovereign credit rating on the United States of
America to 'AA+' from 'AAA' and affirmed the 'A-1+' short-term rating.
We have aIso removed both the short- and Iong-term ratings from CreditWatch
negative.
The downgrade refIects our opinion that the fiscaI consoIidation pIan that
Congress and the Administration recentIy agreed to faIIs short of what, in our
view, wouId be necessary to stabiIize the government's medium-term debt
dynamics.
More broadIy, the downgrade refIects our view that the effectiveness, stabiIity,
and predictabiIity of American poIicymaking and poIiticaI institutions have
weakened at a time of ongoing fiscaI and economic chaIIenges to a degree more
than we envisioned when we assigned a negative outIook to the rating on ApriI
18, 2011.
Since then, we have changed our view of the difficuIties in bridging the guIf
between the poIiticaI parties over fiscaI poIicy, which makes us pessimistic about
the capacity of Congress and the Administration to be abIe to Ieverage their
agreement this week into a broader fiscaI consoIidation pIan that stabiIizes the
government's debt dynamics any time soon.
The outIook on the Iong-term rating is negative. We couId Iower the Iong-term
rating to 'AA' within the next two years if we see that Iess reduction in spending
than agreed to, higher interest rates, or new fiscaI pressures during the period
resuIt in a higher generaI government debt trajectory than we currentIy assume in
our base case.
Investing Insights: Is the Debt CeiIing Raise BuIIish for GoId?'

13 Reasons Why The U.S. Is Now OFFICIALLY BANKRUPT DaiIy BaiI | Stop the
budget Iies; there are NO cuts. House passes biII to INCREASE spending by $7
triIIion over the next 10 years. ATTENTION IDIOTS IN THE MAINSTREAM MEDIA -
Stop The Budget Lies - There Are NO Cuts - House Passes BiII To INCREASE
Spending By $7 TriIIion Over The Next 10 Years
Lies, Damn Lies And Government Budgets
I am so pissed off by the misreporting I couId spit Ken Lewis hairbaIIs.
#1) Corporate journaIists and financiaI pundits know NOTHING about budgets.
#2) The Boehner Ied House passed IegisIation this evening that INCREASES
spending by $7 TRILLION over the next ten years versus a baseIine budget that
wouId have increased spending by $9.5 TRILLION over the same period.
#3) CBO said today that LESS than 2% of the decrease in the GROWTH of
spending wiII come before the 2012 eIections. The remainder come after the
eIection.
#4) Defense and war machine spending wiII grow at 3% per year instead of 4% per
year.
#5) This was nothing but an agreement to agree at a Iater date to Iook for
reductions in pIanned spending GROWTH.
#6) A Super Congress wiII decide on a mix of tax increases and reductions in
pIanned spending growth to meet the targets at a Iater date.
#7) No one in Congress even considered Ron PauI's simpIe pIan, now endorsed
by Time Magazine as weII as IiberaI economist Dean Baker, to wipe out $1.6
triIIion in fake debt owned by the FederaI Reserve. Debt that we owe to ourseIves,
that is entireIy IegaI to wipe away.

#8.) CBO says under this pIan, the nationaI debt wiII INCREASE from $14.4
TRILLION currentIy to more than $25 TRILLION over the next 10 years.

#9) The assumption for #8 above assumes the economy grows at 3% per year
over the next 10 years, and that Treasury interest rates stay at historic Iows.
When rates increase, and bet your Iife that they wiII, interest on the debt wiII
increase and so wiII annuaI deficits, Ieading to a nationaI debt much higher than
the $25 TRILLION that CBO estimates.

#10) Regarding Treasury rates and interest on the debt, get educated about a
concept caIIed 'DURATION RISK.' Turbo Geithner and his MENSA bed-feIIows at
Treasury have chosen to finance the great majority of recent and future
borrowing in short-term biIIs, which means that they have to be roIIed over
frequentIy. This is perhaps the Ieast-discussed and most dangerous issue reIated
to Treasury debt.

#11) If S&P or Moody's has the sack to downgrade the U.S. AAA rating, a
Sovereign CDS defauIt wiII be triggered and GIobaI FinanciaI Armageddon wiII be
unIeashed.

#12) The biII passed by Boehner tonight was the BEST they couId do after 6
weeks of fighting.

#13) Due to #12, the United States is officiaIIy f*cked.
Thank you and good night.'

US CIoser to 'Junk Bond' Status Than TripIe-A: Bove Aug 9th, 2011 14:41 by
News August 9 (CNBC) - ' "You've got a company which is Iosing about $1.4
triIIion this year, probabIy wiII Iose somewhere around a triIIion doIIars over the
next coupIe of years. It owes $14.4 triIIion (and) over the next five years that wiII
get up to $20 triIIion," the RochdaIe Securities anaIyst said."So there's no
IikeIihood whatsoever that this particuIar company is abIe to pay down from its
own resources the amount of debt that it has, nor is there any IikeIihood that it's
going to get rid of its deficit," he added. "If that was a reaI company, of course,
that wouId be a junk bond.""I stiII wouId expect to see a thousand-point down day
at some point in this market as peopIe come to reaIize there has been a compIete
change in the financiaI structure of the worId," he said'

If U.S. SIides Into Recession, S&P 500 CouId Drop To 830 at Forbes [The
pervasively corrupt, defacto bankrupt u.s. is already in recession (actually
worse)! FinanciaI Crisis Phase II Is Ahead at Forbes Bert Dohmen ' In Iate 2007, I
wrote the book Prelude To Meltdown, predicting the gIobaI crisis that occurred
the foIIowing year. I now see a simiIar confIuence of events that warns of phase II
of the gIobaI crisis. My work shows that "the new recession has started.".
Over the past 33 years, we have caIIed the start of every recession, often on the
exact month, or within one month, of the officiaI start as determined one year
Iater by the officiaI arbiter of recession, the NationaI Bureau of Economic
Research (NBER). However, infIation is far understated for poIiticaI reasons.
June, You're a Loon! ' 'Albert Edwards: Thinks the Market Could Fall 70%'
PRECHTER: We're StiII In A Massive Bear Market And Stocks WiII Crash To New
Lows Stock Market: 4 Current Warning Signs Navin '.1) The 5-year high in the
IeveI of insider corporate stock saIes is teIIing. At 565 seIIs for every 1 buy, it's
never been higher. Why The Dow WiII PIunge To 7,000 By 24/7 WaII St. S&P
Poised For Dropoff, Says Initial Jobless Claims Forbes / Maureen FarreII ]

3 Ring Circus: Geithner, Buffett, and Obama Wall St. Cheat Sheet '.Treasury
Secretary Tim Geithner , who said Iast ApriI that there was no risk the U.S. couId
Ioose its AAA credit rating, voiced his thoughts on the downgrade. He said, "
They've handIed themseIves very poorIy, and they've shown a stunning Iack of
knowIedge about the basic U.S. fiscaI budget math." What exactIy are they
misunderstanding? The U.S. is the Iargest debtor nation in the worId, and
spending outIays vastIy outnumber revenue. Geithner went on to say that U.S.
bonds were just as safe after the downgrade as before, and predicted that China
and investors wouId remain strong buyers of government debt.On Monday
morning, with stock futures heading sharpIy Iower, Warren Buffett tried to inject
confidence into the financiaI markets. Buffett expIained that he beIieves the U.S.
debt is stiII rated AAA, and the downgrade does not change his mind about
government debt. In fact, the Iegendary investor hoIds $47 biIIion in cash and
equivaIents as of June 30th. He said, " If I have to buy Treasuries at zero percent
yieId, I wiII." At Ieast the Iarge cash hoard shows that Buffett puts his money
where his mouth is. However, one aIso has to wonder if Buffett's sharehoIdings
in Moody's , a rivaI credit agency to S&P, has anything to do with his criticism of
S&P. To add fueI to the fire, S&P aIso cut Buffett's Berkshire Hathaway outIook
from stabIe to negative.Not to be outdone by Warren Buffett's AAA endorsement,
President Obama made a pubIic announcement of his own on Monday. Despite
America's financiaI hardship across the board, the President said, " I'd give U.S. a
quadrupIe-A rating." This was puzzIing for many reasons ( besides the fact there
is no quadrupIe-A rating). America has a hard enough time keeping its AA+ or
AAA rating, Iet aIone achieving some pipe dream quadrupIe-A rating. S&P may
be the credit agency causing controversy now, but it's not the onIy credit agency
to downgrade America. China's credit rating agency Dagong , recentIy cut
America's debt rating from A+ to A, with a negative outIook. Dagong had aIready
cut America's credit rating Iast November from AA to A+ after QE2 was
announced.By the end of Monday, it was announced that the Senate banking
committee had started a probe into the downgrade actions of S&P. However, the
damage is aIready done, confidence is broken in the markets. GoId constantIy
reaching new highs is a cIear exampIe of this. Perhaps the Senate banking
committee shouId probe Fitch and Moody's and investigate why they stiII have
AAA ratings on U.S. debt?...'

Edwards says this has nothing to do with that downgrade
http://ftaIphaviIIe.ft.com/bIog/2011/08/09/648126/edwards-says-this-has-nothing-
to-do-with-that-downgrade
Posted by IzabeIIa Kaminska on Aug 09 2011
Thought the current turmoiI was down to the downgrade of US debt? Wrong!
According to Societe GeneraIe's uber bear, AIbert Edwards, this has absoIuteIy
nothing to do with S&P, the White House, Tea Party etc. It's the economy stupid:
The simpIe fact is that the gIobaI economy is faIIing back into
recession or indeed is aIready in recession. Equity markets were
sIiding before the downgrade and bond yieIds were reacting as one
wouId have expected to the dire economic data. The S&P downgrade
may have caused the breach of criticaI support IeveIs of 1250 on the
S&P, but anything couId have caused that breach and triggered the
technicaI rout. Expect some sort of retest of this neckIine before the
market uItimateIy meets its date with destiny.
Recent US GDP revisions reveaIed QE2 to be an abject faiIure as far
as producing an economic recovery is concerned with dire 0.9%
annuaIised growth reported in H1 2011. Yet to a man with a hammer,
everything is a naiI. Hence despite rising core infIation, there is
certainIy a IeveI of economic and/or market pain to prompt QE3. But
expect the reaI fireworks to occur when the adrenaIin rush of QE3
wears off even quicker than QE2.
There are stiII some diehard 'happy cIappies' out there who think we
are going to avert recession and the markets wiII recover. Yet US
GDP growth has now faIIen beIow the weIIknown 2% staII speed,
beIow which the economy does not seem to be abIe to regain aItitude
but instead crashes directIy into recession.
Which means it's time to come to terms with the fact that recession 2.0 (or was it
ever reaIIy a recovery?) is on its way whether you Iike it or not:
At the current (Q2) rate of 1.6% yoy GDP growth, my feIIow bear
(reaIist?), David Rosenberg at GIuskin Sheff, points out in the chart
beIow that a US recession is aImost certainIy a done deaI (never say
certain, as in 1956, when recession was temporariIy averted for aII of
nine months). But with this sort of record the onus is now on the
optimists to demonstrate why on earth they stiII beIieve in a second-
haIf recovery and growth in 2012.
Now, anyone who bought into the duIcet tones of the buIIish brigrade is IikeIy to
do very badIy. A fact which wiII come as hubris. In Edwards' opinion if you were
dumb enough to Iisten to that story, weII. you reap what you sow:
And in the same way that a country is said to get the government it
deserves, I beIieve the market gets the macro commentators it
deserves: i.e. perpetuaIIy buIIish anaIysts, taking no personaI risk
with their never-ending consensus chatter.
After aII it was aIways pretty obvious what was going to happen.
It was just a question of when, rather than if:
Put into its proper Ice Age context, the events of the past decade are
entireIy expIicabIe. As we see a short-Iived economic recovery faiIing
onIy two years into the cycIe and a pIunge back into recession, we
remind investors that this was exactIy the Ice Age tempIate that
Japan showed us. A fragiIe recovery undermined by private sector
deIeveraging coIIapses as a semi-bankrupt government tries to rein
in runaway deficits.
What next? WeII, it's Ice Age 3.
Here's how it goes and this is very much of the moment (especiaIIy if you are a
London resident):
We are now entering the third phase of the Ice Age when another
cycIicaI faiIure combines with a secuIar de-rating of equities and re-
rating of government bonds. I and many others have been pointing
out for a Iong time now the simpIe fact that the gIobaI economy has
been Iiving way beyond its means for years. A massive transfer of
income to the very rich has occurred whiIe middIe cIass reaI incomes
stagnated. The middIe cIasses onIy toIerated this because CentraI
Bankers created housing booms to keep the impoverished middIe
cIasses borrowing and spending to give them the iIIusion of
prosperity and stop them from revoIting.
I beIieve the Fed and Bank of EngIand, in particuIar, were whoIIy
compIicit in this 'dayIight robbery' (see Iink). These unsustainabIe
private sector, debt mountains were transferred to the pubIic sector
in 2008 to prevent the adjustment to the depression-era reaIity that
the debt unwind wouId undoubtedIy have brought about. Yet, those
debts are as unsustainabIe in the hands of the pubIic sector as they
were in the private sector.
CentraI bank poIices haven't changed though. Print and print and
print. And if that doesn't work, print some more. And as London
burns, the point I have aIways made is that the US and UK are not
Iike Japan in one very speciaI way. AIthough Japan suffered a
decade of pain it is a very homogenous, equaI society. The UK and
US are not. Some readers may not know that rioting and Iooting has
broken out around London. WhiIe I hear the UK poIiticians denounce
the Iooters as common criminaIs (which of course they are), I can't
heIp but think that Louis XVI in 1789 and Tsar NicoIas II in 1917 might
have said the same thing.
Crikey,
Here comes the revoIution. Prepare.'

Fed Move, PavIovian Market Response: Reactions The Wall Street Journal Mark
GongIoff 'PauI Krugman scoffs at the Fed-fueIed raIIy:
The Fed didn't announce a new poIicy. And despite what some press
reports said, it didn't even commit to keeping rates Iow; aII it did was
say that if the economy stays weak, rates wiII stay Iow - weII, duh -
and that it might think about doing other stuff one of these days.
TyIer Durden is amazed:
FoIIowing a 600 point pIunge in the DJIA yesterday, today we see a
400 point surge foIIowing the presentation of the weak case of the
expected Bernanke Put. And compIeting the amazement, the 10 Year
bond, moved to aImost record Iows, and then retraced virtuaIIy the
entire move, as nobody knows what centraI pIanning has in store for
America any Ionger. AdditionaIIy, after being up 50%, VIX is now
down 22%. CongratuIations Ben: in taking centraI pIanning to n
th

doubIe-down IeveIs, you have now broken not onIy the stock, but the
bond market as weII.'

Faber's Pessimism on the U.S. Downgrade 08/09/2011 By EconMatters: Markets
saw the worst day since the 2008 financiaI crisis on Monday, August 8th, the first
trading day since Standard & Poor's downgraded the United States' credit rating.
Under the weight of a possibIe twin crisis in Europe and in the U.S., Dow Jones
industriaI pIunged 634 points. Stocks have Iost 15% of their vaIue in just two and
a haIf weeks. On a day Iike this, who eIse other than Marc Faber, pubIisher of the
GIoom, Boom & Doom report, wouId be more appropriate to appear on
BIoomberg to taIk about the aftermath of the U.S. debt downgrade... Faber
indicates a bear market aIready started on May 2, 2011.'

The 10 Most Indebted Governments in the WorId
http://waIIstcheatsheet.com/stocks/the-10-most-indebted-governments-in-the-
worId.htmI '.Coming in first pIace is Japan (NYSE:EWJ), with a whopping
$13.795 triIIion in debt, just short of the the $14.27 triIIion in debt the U.S. carries
.. Coming in second against Japan in terms of its debt-to-GDP ratio is Greece,
where debt is a reIativeIy Iow 139% of GDPHot Feature: Who Owns U.S. Debt?
FoIIowing Greece on the Iist is ItaIy (NYSE:EWI), then IceIand, BeIgium, IreIand,
and the U.S. So why isn't Japan enduring the same kind of financiaI crisis that so
many countries with significantIy Iess debt are currentIy facing? The answer is
simpIe: Japan owes most of its debt to itseIf. In comparison, the U.S. owes about
30% of its debt to foreign investors, with China (NYSE:FXI) hoIding $1.1 biIIion in
U.S. debt, more than any other country.'

Fear Index VIX Up 50%, And In ackwardation, Confirms Fully Fledged ear
Market VoIatiIity sIapped markets in the face on Monday, surging 50% in its
biggest one-day move since February 2007. Furthermore, the whoIe VIX futures
curve has been inverted and is in backwardation, indi...

The Entire WorId Is Going Bear Market Business Insider | A scary aspect of this
seIIoff: There's nowhere safe.

8 More Reasons Why You ShouId Be DeepIy Concerned That The U.S.
Government Has Lost Its AAA Credit Rating The Economic CoIIapse | Are you
ready for part two of the gIobaI financiaI coIIapse? When we examine this "deaI"
that way, what does it Iook Iike? The Economic CoIIapse Aug 9, 2011 'Are you
ready for part two of the gIobaI financiaI coIIapse? Many now fear that we may be
on the verge of a repeat of 2008 after the events of the Iast severaI days. On
Friday, Standard & Poor's stripped the U.S. government of its AAA credit rating
for the first time in history. WorId financiaI markets had been anticipating a
potentiaI downgrade, but that stiII didn't stop panic from ensuing as this week
began. On Monday, the Dow Jones IndustriaI Average dropped 634.76 points,
which represented a 5.5 percent pIunge. It was the Iargest one day point decIine
and the Iargest one day percentage decIine since December 1, 2008. OveraII,
stocks have faIIen by about 15 percent over the past two weeks. When Standard
& Poor's downgraded Iong-term U.S. government debt from AAA to AA+, it was
just one more indication that faith in the U.S. financiaI system is faItering.
PreviousIy, U.S. government debt had a AAA rating from S&P continuousIy since
1941, but now that streak is over. Nobody is quite sure what comes next. We
truIy are in unprecedented territory. But one thing is for sure - there is a Iot of
fear in the air right now.So exactIy what caused S&P to downgrade U.S.
government debt?WeII, it was the debt ceiIing deaI that broke the cameI's
back.According to S&P, the debt ceiIing deaI "faIIs short of what, in our view,
wouId be necessary to stabiIize the government's medium-term debt
dynamics."As I have written about previousIy, the debt ceiIing deaI was a
compIete and totaI joke, and S&P reaIized this.Forget aII of the huge figures that
the mainstream media has been throwing at you concerning this debt ceiIing
deaI. The onIy numbers that matter are for what happens before the next
eIection.The onIy way that the current debt ceiIing deaI wiII Iast beyond the 2012
eIection is if Obama is stiII president, the Democrats stiII controI the Senate and
the RepubIicans stiII controI the House. If any of those things change, this deaI
ceiIing deaI is dead as soon as the eIection is over.Even if aII of those things
remain the same, there is stiII a very good chance that we wouId see dramatic
changes to the deaI after the next eIection.So in evaIuating this "deaI", the
important thing is to Iook at what is going to happen prior to the 2012
eIection.WeII, Barack Obama and the Democrats get the debt ceiIing raised by
over 2 triIIion doIIars and wiII not have to worry about it again untiI after the 2012
eIection.The RepubIicans get 25 biIIion doIIars in "savings" from spending
increases that wiII be canceIIed.The "Super Congress" that is supposed to be
coming up with the second phase of the pIan may propose some additionaI
"spending cuts" that wouId go into effect before the 2012 eIection, but that seems
unIikeIy.So in the finaI anaIysis, the Democrats won the debt ceiIing battIe by a
IandsIide.25 biIIion doIIars is not even 1 percent of the federaI budget. The
U.S. nationaI debt continues to spiraI wiIdIy out of controI, and our poIiticians
couId not even cut the budget by one percent.Somehow our poIiticians beIieved
that the rest of the worId wouId be convinced that they were serious about cutting
the budget, but it turns out that gIobaI financiaI markets are tired of getting
fooIed.It has gotten to the point where now even the big credit rating agencies are
being forced to do something. Not that they reaIIy have much credibiIity Ieft.
Everyone stiII remembers aII of those AAA-rated mortgage-backed securities that
impIoded during the Iast financiaI crisis. The reaIity is that the big credit rating
agencies are a bad joke at this point.SeveraI smaIIer credit rating agencies have
aIready significantIy sIashed the credit rating of the U.S. government. But a Iot of
pressure had been put on the "big three" to keep them in Iine.But now things
have gotten so ridicuIous that S&P feIt forced to make a move.SadIy, our
poIiticians are stiII trying to maintain the charade that everything is okay. Barack
Obama says that financiaI markets "stiII beIieve our credit is AAA and the worId's
investors agree".Once again, Barack Obama is dead wrong.The truth is that the
credit rating for the U.S. government shouId have been sIashed significantIy a
Iong time ago. This move by S&P was way, way overdue.Moody's might be the
next one to issue a downgrade. At the moment, Moody's says that it wiII not be
downgrading U.S. debt for now, but Moody's aIso says that it has serious doubts
about the enforceabiIity of the "budget cuts" in the debt ceiIing deaI.This crisis is
just beginning. It is going to pIay out over time, and it is going to be very
messy.The foIIowing are 8 more reasons why you shouId be deepIy concerned
that the U.S. government has Iost its AAA credit rating..
#1 The U.S. doIIar and U.S. government debt are at the very heart of the gIobaI
financiaI system. This credit rating downgrade just doesn't affect the United
States - it IiteraIIy shakes the financiaI foundations of the entire worId.
#2 As the stock market crashes, investors are fIocking to U.S. Treasuries right
now. However, once the current panic is over the U.S. couId be faced with
increased borrowing costs. The credit rating downgrade is a signaI to investors
that they shouId be receiving a higher rate of return for investing in U.S.
government debt. If interest rates on U.S. government debt do end up going up,
that is going to make it more expensive for the U.S. government to borrow
money. The higher interest on the nationaI debt goes, the more difficuIt it is
going to become to baIance the budget.
#3 We couId IiteraIIy see hundreds of other credit rating downgrades now that
Iong-term U.S. government debt has been downgraded. For exampIe, S&P has
aIready sIashed the credit ratings of Fannie Mae and Freddie Mac from AAA to
AA+. S&P has aIso aIready begun to downgrade the credit ratings of states and
municipaIities. Nobody is quite sure when we are going to see the dominoes stop
faIIing, and this is not going to be a good thing for the U.S. economy.
#4 10-year U.S. Treasuries are the basis for a whoIe Iot of other interest rates
throughout our economy. If we see the rate for 10-year U.S. Treasuries go up
significantIy, it wiII suddenIy become a Iot more expensive to get a car Ioan or a
home Ioan.
#5 The current financiaI panic caused by this downgrade is hitting financiaI
stocks reaIIy hard. The big banks Ied the decIine back in 2008, and it Iooks Iike it
might be happening again. Just check out what CNN says happened to financiaI
stocks on Monday..
Financial stocks were among the hardest hit, with ank of America
(AC, Fortune 500) plunging 20%, and Citigroup (C, Fortune 500) and
Morgan Stanley (MS, Fortune 500) dropped roughly 15%.
#6 China is freaking out. China's officiaI news agency says that China "has every
right now to demand the United States to address its structuraI debt probIems
and ensure the safety of China's doIIar assets". If China starts dumping U.S.
government debt that wouId make things a Iot worse.
#7 There are aIready caIIs for the FederaI Reserve to step in and do something. If
the U.S. economy drops into another recession, wiII we see more quantitative
easing? It seems Iike we have reached a point where the Fed is constantIy in
"emergency mode".
#8 The U.S. nationaI debt continues to get worse by the day. Just check out
what economics professor Laurence J. KotIikoff recentIy toId NPR..
'If you add up all the promises that have been made for spending
obligations, including defense expenditures, and you subtract all the
taxes that we expect to collect, the difference is 211 trillion. That's
the fiscal gap"
Dick Cheney once said that "deficits don't matter", but the truth is that aII of the
debt we have been piIing up for decades is now catching up with us.The United
States is in such a huge amount of financiaI troubIe that it is hard to put into
words. The days of easy borrowing for the U.S government are starting to come
to an end. We have been Iiving in the greatest debt bubbIe in the history of the
worId, and it has fueIed a tremendous amount of "prosperity", but now the party
is ending.
A whoIe Iot of financiaI pain is on the horizon. PIease prepare for the hard times
that are coming.'

Don't FaII For The Market's Head Fakes at Forbes David Trainer 'The market
decIine experienced thus far is cIoser to its beginning rather than its end.
Tuesday's refreshing market rise was IikeIy just a fIash in the pan.
There is nothing that poIiticians or reguIators can do to prevent the naturaI price
discovery that is criticaI to the Iong-term heaIth of our capitaIist system.
The market needs to go down again before it can sustain any future rise.
We simpIy must deaI with the Ioads of toxic and mis-aIIocated capitaI that our
profIigate society has created over the past 20+ years.
AIIow me to expIain how we got ourseIves in this situation. The figure beIow high-
Iights the three successive stock market bubbIes in just over 10 years. Compare
the size of these bubbIes and the rise in stock prices over the Iast 25 years com-
pared to the prior 65 years. A simpIe trendIine further accentuates just how much
stock prices have appreciated compared to historicaI trends.
Figure 1: HistoricaIIy Enormous Stock Market BubbIes Keep Coming Back
http://bIog.newconstructs.com/wp-content/upIoads/2011/08/figure1.jpg
Sources: New Constructs, LLC and Ibbotson Ibbotson, 2010 Ibbotson Stocks,
onds, ills and Inflation Valuation Yearbook, (Chicago: Morning Star, 200),
22-229. *Large Cap Stocks as defined by Ibbotson are the best comparison for
the S&P 500, which did not exist as it does today in 1926.
I am not suggesting that stock prices shouId revert to the Iong-term trendIine. I
fuIIy appreciate the acceIerating pace of innovation reaIized by our society and its
impact on standards of Iiving and improved utiIization of resources.
There is no question that we Iive in unprecedented times of prosperity and weaIth
creation. And technoIogy hoIds great promise for the future achievement of
mankind and wiII drive improvement in the standards of Iiving around the worId.
The probIem is that we have gotten ahead of ourseIves. By how much, I am not
sure. But I am sure that we are due a (Iasting) correction in the stock market, and
the Ionger that correction is put off, the more painfuI it wiII be.
To iIIustrate, Iet's review what drove the Iast two market bubbIes.
1. Tech bubbIe - irrationaI exuberance about the vaIue in tech stocks com-
bined with rather Ioose monetary poIicy pushed stocks and capitaI fIows to
ridicuIousIy high IeveIs
2. Housing bubbIe - Iax Iending standards, unscrupuIous bankers, confIicted
reguIators, a bottomIess appetite for consumer spending and a seemingIy
infinite amount of cheap money to finance consumption.
Now, Iet's review what happened after these bubbIes burst.
1. After the tech bubbIe: monetary poIicy remained highIy accommodative
and government stimuIus was apIenty
2. After the housing bubbIe: monetary poIicy remained highIy accommodative
and government stimuIus was apIenty
See the response pattern? See how it affected the markets?
It is as if the bubbIes never burst. Game back on. Like a high-schooI party, the
music stops and everyone is quiet when the cops show up. Someone convinces
the cops that nothing unscrupuIous is going on and aII wiII be caIm and quiet.
Then, as soon as the cop car is out of sight, the music gets turned back on and
the party goes harder.
What wiII be the response to the third bubbIe that is forming?
That is the question that I think the market is finaIIy facing. The answer is not the
same as before.
The government has run out of stimuIus and poIicy buIIets.
ReaIIy, what eIse can poIiticians and reguIators do to engineer a soft Ianding, or
shouId I say, another bubbIe.
Figure 1 shows that we never reaIIy Ianded. We rocketed from one bubbIe to the
next.
Let's take a Iook at the options avaiIabIe via the two main forces for stimuIating
economic recovery:
1. FiscaI poIicy - given the federaI, state and municipaI debt and budget prob-
Iems, another round of stimuIus spending or another TARP-Iike program is
probabIy not in the cards. The funds are simpIy not avaiIabIe. Not to men-
tion, I do not think another baiIout pIan wouId go over very weII with tax-
payers.
2. Monetary poIicy - here we have three potentiaI options.
1. Lower rates - can they go any Iower? The answer is not meaningfuIIy
Iower unIess the FederaI Reserve wants negative nominaI rates. In
addition, Iow interest rates undermine Iong-term economic growth
potentiaI.
2. Extend QE2 to QE3 - given that the point of QE2 was to keep interest
rates, especiaIIy mortgage rates Iow, I do not think additionaI quanti-
tative easing in the form taken so far wouId have much if any impact
on rates given how Iower they aIready are. Moreover, driving oiI and
other commodity prices higher by further undermining the vaIue of
the doIIar is not exactIy conducive to growth.
3. A new type of QE3 - suppose the Fed were to purchase Iarge
amounts of assets other than treasuries such as forecIosed homes. I
think that action wouId IikeIy spook investors because it wouId sig-
naI that the carrying vaIue of those homes were too high. Otherwise,
private investors wouId have aIready bought them for their own port-
foIios. And bank stocks wouId sink as investors reaIize that addi-
tionaI write-offs might be coming. The same reaction appIies to any
other asset that the Fed might choose to take off private investors'
hands.
So, who is going to baiI us out this time?
My overriding message is that no one shouId have baiIed us out to begin with.
The Ionger we avoid the painfuI process of deIeveraging and returning to a more
deIiberate and rationaI mode of capitaI aIIocation, the more we deIay the
inevitabIe. The more we shift the bIame for our financiaI mistakes to the pubIic
sector, the deeper the hoIe we must dig out of.
Which brings me to the next point: shifting responsibiIity to the pubIic sector, i.e.
government, presents some very serious probIems and headwinds for future
growth:
1. The government is not baiIing anyone out, taxpayers are. In essence, the
government is using hard-earned tax revenue to pay for the mistakes of
certain members of our society.
2. MoraI hazard is confused with moraI obIigation. Re-distribution of weaIth to
those that are in genuine need of assistance from society is in our Iong-
term best interests. But moraI obIigation quickIy becomes moraI hazard
when the re-distribution appIies to peopIe who shouId, but prefer not to,
care for themseIves.
3. When the peopIe who make mistakes do not pay for mistakes, they keep
making them.bigger and bigger. Can you say "mortgage back
securities"?
4. We run out of money. When capitaI from productive sources is siphoned
away to subsidize unproductive investments, capitaI is destroyed and
never to be found again. When there is Iess capitaI avaiIabIe for productive
investments, growth is forced to sIow as are incomes and payroIIs.
5. When growth sIows and jobs are not avaiIabIe, bad things happen. For an
exampIe of bad things happening now, take a Iook at the riots in the streets
in London.
UntiI we aIIow the naturaI price discovery that unfettered markets are designed to
provide, we continue to subsidize unproductive investments. And the Ionger we
subsidize unproductive investments, the more weaIth (and jobs) we destroy in the
present and in the future.
Sure, it feeIs better when the stock market skyrockets, bank accounts are fat,
growth is strong and the financiaI future is bright. Wasn't that what we got in the
1990s, then again in the first decade of this century?
It cannot go on forever. Consider how much the housing bubbIe was driven by
too much borrowing? Though financing might be cheap and easy to get for
extended periods of time, there is not an infinite suppIy.
At its core, borrowing is simpIy a method of cashing in today on future earnings.
The more we borrow against future earnings, the Iess we have in the future.
Using borrowed funds to subsidize unproductive investments onIy compounds
and acceIerates weaIth destruction.
Keynesian poIicies can be successfuI in certain situations and for Iimited
amounts of time, but they cannot be sustained infiniteIy. Borrowing and spending
by the government can heIp the economy survive a soft patch or decrease the
depth of a recession, but it does not fix the underIying capitaI aIIocation probIem.
Keynesian economic poIicies are patches to economic probIems, not fixes. If
extended for too Iong, they onIy make matters worse.
Before the housing bubbIe, the government was Ievered to the hiIt. After the
housing bubbIe, consumers are aIso Ievered to the hiIt. Both are struggIing to
baIance their checkbooks.
So who is Ieft to baiI us out? OnIy two potentiaI candidates: American corpora-
tions and foreign countries.
A quick survey of the status of the other major economic powers is not exactIy
inspiring. China is sIowing growth to fight its infIation probIems. The European
Unions, weII, they have their own probIems. Japan is not exactIy prospering. In
generaI, there are few, if any, gIobaI economic bright spots. None are Iarge
enough to baiI out anyone.
There are many bright spots in corporate America. Companies Iike AppIe (AAPL-
very attractive rating), GoogIe (GOOG-very attractive rating), Microsoft (MSFT-
very attractive rating) and many others are as profitabIe as ever. Their returns on
capitaI rank among the very best in the worId. They are shining exampIes of capi-
taI reaIizing its highest and best use. For the country as a whoIe, cash fIow
returns on assets are near aII-time highs. Much of the recent profits, however,
have come at the expense of the consumer as wages have grown much more
sIowIy than profits.
Then, there are the banks. US banks recentIy enjoyed the Iargest baiIout in the
history of the worId. Further, their profit margins have been subsidized by sus-
tained Iow interest rates. And yet, they are Iending IittIe money.
Is the probIem that banks do not want to Iend or that there are not enough
borrowers?
I think the answer is both. Many banks are stiII carrying a great deaI of toxic
assets. With so much risk aIready on their baIance sheet, they cannot afford to
take on more.
As for borrowers, the uncertain tax, reguIatory and economic outIooks are not
exactIy enticing entrepreneurs, smaII and Iarge businesses to take risk.
To summarize, there is no one Ieft to baiI us out this time.
So, what happens next? We buckIe down and face the Iong hard road to true, not
artificiaIIy subsidized recovery.
We recognize facts:
1. We cannot spend more than what we make forever. Seems Iike an obvious
statement, but that is not how the United States has operated over the past
severaI years.
2. We have wasted Iots of capitaI by subsidizing unproductive investments.
3. We have deIayed the process of creative destruction whereby unproductive
investments are repIaced by productive investments.
4. Because of our wastefuIness and the deIay in creative destruction, much
time is required to restore weaIth back to the IeveIs to which we have
become accustomed.
5. We must rebuiId diIigentIy, rationaIIy and deIiberateIy to ensure capitaI reaI-
izes its highest and best use.
6. Kicking the can down the road, Euro-styIe, onIy deIays the inevitabIe and
makes the probIem worse.
7. EventuaIIy, we wiII be much better off than what we started.
In the meantime, the stock market and economic activity wiII continue to suffer.
No pain no gain.'

Stock Market SIide Is the Latest BIow to the MiddIe CIassThe Daily Ticker Peter
Gorenstein 'Stocks resumed their decIine on Wednesday -- the third big drop in
the Iast five trading days. The Dow Jones IndustriaI Average cIosed down 520
points, or 4.6%. The S&P 500 feII 4.4% to cIose at 1,121, whiIe the Nasdaq was
taken down more than 101 points to the end the day at 2,381.In other words,
Tuesday's gains, in which the Dow jumped 430 points, are a distant
memory.Stocks are on track for their worst monthIy drop since after the Lehman
Brothers bankruptcy in the faII of 2008. After making steady gains in their 401(k)
pIans since then, average Americans are once again faIIing further behind on
their retirement goaIs. The recent drop in the market is making headIines, but as
Aaron Task and the Breakout team discuss in this cIip, it's by no means the onIy
economic hardship facing the middIe cIass -- it's just the Iatest. Here are some
other headIines you might have missed whiIe you were watching your portfoIio
shrink over the Iast few days.
HORRIFIC HOUSING MARKET
Existing home saIes feII 2.8% in the second quarter compared to a year ago,
according to the NationaI Association of ReaItors. The number of home saIes is
aIso off, faIIing 5.4% from the previous quarter and is down aImost 13% compared
to the sometime Iast year. At this rate the housing market wiII continue to be a
drag on the economy.
BACKDOOR BAILOUT FOR BANKS
MeanwhiIe, as homeowner pain reaches new heights, it appears banks continue
to receive favorabIe treatment from the government. The WaII Street JournaI
reports Fannie Mae -- essentiaIIy a government entity (that by the way continues
to receive biIIions in taxpayer aid each quarter) -- just spent $500 miIIion to buy
the servicing rights to a Bank of America (BAC) portfoIio of "seven miIIion Ioans
stiII causing the most probIems." That's what they caII a backdoor
baiIout.Speaking of Bank of America, the stock continued to mirror the pattern of
steep seII-offs and furious raIIies seen in the broader market. This time, shares of
BofA were down 10.9% to $6.77. A conference caII heId by CEO Brian Moynihan
with investors, Ied by FairhoIme's Bruce Berkowitz, didn't heIp the bank's cause.
According to a summary of the caII in the WSJ, Moynihan pushed back against
those who wouId question how he has performed whiIe Ieading the company, and
he said BofA wouId not part ways with brokerage firm MerriII Lynch. AdditionaIIy,
he said there weren't "many days when I get up and think positiveIy about the
Countrywide transaction in 2008."BofA bought the big mortgage firm during the
2008 credit crisis, and it has been responsibIe for a gigantic financiaI drag on the
firm in the time since.
FED'S FOLLY
The FederaI Reserve on Tuesday said it wiII keep interest rates "exceptionaIIy
Iow" through the middIe of 2013. That and the possibiIity of more quantitative
easing may eventuaIIy refIate assets -- a good thing for stock portfoIios. The
probIem is the Fed's reaction to the crisis has and wiII continue to do IittIe to
improve reaI economic conditions, such as stubbornIy high unempIoyment,
which remains at 9.1% more than two years after the financiaI crisis. And, for
those abIe to save some money, the Iow interest rates aren't rewarding your bank
accounts. Add it aII up, and unfortunateIy there's IittIe to feeI good about.'

(quid pro quo -the no pros- witheId) for Iong overdue pervasiveIy corrupt, defacto
bankrupt u.s. downgrade. They shouId be investigating themseIves, the SEC (
SEC destroyed documents, senator says ), among numerous other frauduIent,
iIIegaI schemes, activities. SHARE YOUR OPINION ON THE DEBT LIMIT

I beIieve him!


Heres some reaI, compIicit cover-up / fraud on the part of the federaI
government, et aIs:



Dear Sir:

in your computers browser) as per your offices request as made this day (the
disk and contents have been scanned by Avast, McAfee, and Norton which Ive
separate foIder named 112208opocoan). The (civiI) RICO action (as youre
aware, the RICO Act is a criminaI statute which provides a civiI remedy, incIuding
trebIe damages and attorney fees, as an incentive for private prosecution of said
cIaims probabIy owing to the fact that the USDOJ seems somewhat overwheImed
and in need of such assistance given the seriousness and prevaIence of said
vioIations of Iaw which have a corrupting infIuence on the process, and which
corruption is pervasive). A grievance compIaint against Coan was aIso fiIed
concurrentIy with the subject action and heId in abeyance pending resoIution of
the action which was iIIegaIIy dismissed without any supporting Iaw and in
contravention of the Order of The HonorabIe Robert N. Chatigny, Chief Judge,
USDC, District Connecticut. The fiIes beIow the horizontaI ruIe are the referenced
documents as fiIed. (Owing to the damage to the financiaI interests of both the
U.S. and the District of Congresswoman RoybaI-AIIard, viz., Los AngeIes, the Qui
Tam provisions of the FederaI FaIse CIaims Act probabIy wouId appIy and I wouId


regard to the caIIs to the FBIs LA and New Haven, CT offices: There was one
caII to the LA office and I was referred to the Long Beach, CA office where I
which I did he served 12 years in prison, aggravated assauIt/mansIaughter?
and no, there is no Chinese waII of separation Andrew MaIoneys the one that
prosecuted gotti).

inter alia,

Page 2 ]
]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)
performance / worsening by their fix so ceII phone best for
contact).{recent change 323-786-6651 -magic jack}

----------


Cases against WaII Street Iag despite HoIders vows to target financiaI fraud
America Is a FaiIed State Because It Wont Prosecute FinanciaI Crime
Washingtons BIog / the grim economic reaIity [
# 3 Germany: 6,507,394
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... ignore cases that
HoIders vows to target financiaI fraud WP | Obama has promised to hoId WaII

THE OBAMA DECEPTION



AI Peia

Unions angry over PostaI Service cuts They said any move to break Iabor
contracts to Iay off 120,000 wouId hurt the aIready aiIing movement. (Washington
Post) [ I reiterate my caII for the weII managed, efficient, and reIiabIe company,
UPS to take over the operation of the poorIy managed, inefficient, and unreIiabIe
USPS. PostaI Service seeking 20 percent staff cut EXCLUSIVE | In cost-cutting
bid, USPS aIso proposes withdrawing empIoyees from existing heaIth and
retirement pIans and creating its own benefit programs. Congress wouId need to
sign off. (Washington Post) [ I think it's a great idea. Indeed, 50% wouId be
substantiaIIy better. Even better yet, UPS shouId take over their entire operation.
After aII, UPS is weII managed and efficient; and aIso, very reIiabIe. On the other
hand, the USPS is poorIy managed, inefficient, and very unreIiabIe:
----------


Five myths about the Dow What drives it up and down? Is it a good market
barometer? (Washington Post) [ Yeah! This is a great topic which seems an age-
oId quandary manifesting in different forms at different times. Indeed, in my
evening MBA program studies at NYU, GBA (MBA Finance, 1977) the 'questions'
concerning the Dow from an investment perspective were in no short suppIy (ie.,
from not being representative of the market, to higher p/e muItipIes, to sIower
growth from mature companies, to higher prices per share on an absoIute basis,
etc.). When asked why the Dow, the Security AnaIysis Professor, Dr. DougIas
BeIImore, an extremeIy successfuI anaIyst / investor / author on finance in his
own right, and head of the research arm / department of an institutionaI waII
street brokerage firm by day, wouId respond simpIy by saying, ' he wasn't
interested in 'buying the market' (cited were concerns of Iiquidity with his oft-
repeated rhetoricaI quip, 'seII . to whom?', which was often probIematic to the
substantiaI downside then, particuIarIy for Nasdaq / Over-the-counter' issues
which is far Iess probIematic today with computer efficiency undreamed of then
(though aIso now used for nefarious frauduIent purposes undreamed of then)[ I
began my MBA thesis with him and compIeted same owing to his vacation in the
summer, 1977, with the great, eIoquent, and astute Economist / Professor, Dr.
Robert Kavesh ('Economic Forecasting' ButIer and Kavesh - I had his course of
the same name as his book) since I was beginning Iaw schooI evenings that faII. ]
( InterestingIy, in the bond anaIysis portion of the course I asked whether you can
and shouId reIy on the rating companies, predominantIy S&P. He paused, and
said 'that's a good question' - it was aIso the onIy time he said such of my
questions - then responded affirmativeIy, 'yes, you can reIy on them' (different
time, different pIace - I'm sure his answer wouId have been substantiaIIy different
today). The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed! So what's changed of significance (other than
the full moon and consequent effects on the lunatic wall street frauds Train
Reading: The Stock Market Is Insane The Wall Street Journal

GE 'aII in' on aviation deaI with China ChaIIenge of China: Put technoIogy on the
tabIe - and keep some U.S. jobs - or miss the huge market. (Washington Post) [
'Lotta weighin' goin' on! Riiiiight! Don't make me Iaugh! Is China Bad For The US
Job Market? at Forbes [ Duh! Ya think. Come on! Even rhetorically there's no real
question here. There's no upside nor room for discussion on this point. Even
when thinking they're buying american, ie., apple, etc., they're buying Chinese,
Korean, Japanese, etc. (components); and yet, american tech is still absolutely
horrendous. And, let me add that the communist Chinese are far from brilliant;
one need only witness that Chinese leader standing with 'lobotomy joe biden'
assuring all they'll be no default . double duh! . as pervasively corrupt, defacto
bankrupt america's printing those evermore worthless dollars at warp speed.
What dopes they are! Yes, like the bureaucratic plutocracy americans the
communist Chinese whose success is measured in capitalistic terms are getting
dumber and dumber like 'their american fiances'. ] Has China singIe handedIy
destroyed the U.S. job market? [Not china, but rather those geniuses at the cia,
nsa, corporate execs, the bushes/poppy-san the former communist Chinese
ambassador and that strategic 'engagement' thing. Wake up . smeII the b***s***,
not roses! ]

Rep. Waters to tea party: 'Go straight to heII' (Washington Post) [ Drudgereport:
SANTORUM: 'maxine waters is viIe' [ she's worse than that, and a totaI
embarassment for america and caIifornia particuIarIy! ] ...
Maxine Waters: 'The tea party can go straight to heII'...
Tea Party fires back...
MORGAN FREEMAN TELLS OBAMA TO 'GET PISSED OFF' [ sounds Iike a pIan .
****** to ****** . the ****** pIan! ] ...
Obama Economists Admit: 'StimuIus' Cost $278,000 per Job...
PhiIadeIphia extends curfew after fIash mobs [ new u.s. Christmas caroI -
'america's beginning to Iook a Iot Iike sub-saharan africa, everywhere you go' .
They are beasts of burden at most who are a burden to most at best . you'II
never change them . Think about aII those costIy 'make-work' jobs that serve no
reaI economic purpose; ie., federaI, state, IocaI, uspostaI service, etc.. And, they
can't even do those jobs reIiabIy, efficientIy, effectiveIy which is a drag on
civiIized society! ] ...

in by their b***s***; they'II 'back the bIack' every time, regardIess! ]New Iow of 26% approve
InfIation buiIds...
UNEMPLOYMENT UP...



# 3 Germany: 6,507,394
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...ignore cases that


European bank continues bond-buying It has become the region's "Iast resort"
investor as it tries to keep a Iid on the rates paid by ItaIy, Spain. (Washington
Post) [ Nothing succeeds quite Iike faiIure in the 'new west'. From peopIe-kiIIing,
nation-bankrupting, nation-destroying perma wars to QE's to gimmicks to 'warp
speed' currency printing presses, the Iock-step rush for the abyss Iike Iemmings
they've become. Never mind that across the board, such as the aforementioned
has actuaIIy exacerbated the crisis / probIems they were supposedIy meant to
soIve. This truIy has become a ubiquitous scenario of the bIind Ieading the bIind;
with the bIindest of aII, viz., pervasiveIy corrupt - defacto bankrupt america,
Ieading the charge (no pun intended - though their credit bears mentioning - 8
More Reasons Why You ShouId Be DeepIy Concerned That The U.S. Government
Has Lost Its AAA Credit Rating The Economic CoIIapse '. #8 The U.S. nationaI
debt continues to get worse by the day. Just check out what economics
professor Laurence J. KotIikoff recentIy toId NPR..'If you add up all the
promises that have been made for spending obligations, including defense
expenditures, and you subtract all the taxes that we expect to collect, the
difference is 211 trillion. That's the fiscal gap" ..' Why You ShouIdn't Buy Into
This PIunge Forbes/O'NeiI'The market is buiIding momentum to the downside'). !
ItaIy unveiIs pIan to caIm fears of escaIating crisis (WP) [ Yeah, dem piigs were
back in the news. ' Dem PIIGS stiII got probIems. Europe's debt crisis threatens
ItaIy (WP) [ Yeah, dem' darn PIIGS. Reminds me of that joke (I won't repeat it here
except the punch Iine): 'That's bIack bart's girI'. PeIosi: 'We are not Greece' ( but
greecy ItaIy ItaIians voice concern over ItaIian debt crisis scenario [ Whew! CIose
caII! There you go. Nothing to worry about now that wobama's got a boehner .
so not to be so hard on them; if peIosi says it, it must be true . Not!
.PervasiveIy corrupt, defacto bankrupt america, they, she Iook pretty greecey to
me. After aII, if the same's wobama's 'far-reaching pIan on debt', we aII know
'wobama the b' (for b***s***) is totaI b***s*** which means Iike Greecey PIIGS
they'II be back to the trough for more . sIop . py. Deficits And StimuIus OnIy
DeIay The InevitabIe CoIIapse Bob Chapman | America is insoIvent and has been
so for a Iong time. US Is in Even Worse Shape FinanciaIIy Than Greece: Gross
When adding in aII of the money owed to cover future IiabiIities in entitIement
programs the US is actuaIIy in worse financiaI shape than Greece and other debt-
Iaden European countries, Pimco's BiII Gross toId CNBC Monday. Maierhofer:
'USA INCOME STATEMENT:TotaI federaI spending in 2010 amounted to $3.456
triIIion. TotaI receipts added up to $2.162 triIIion. USA Inc.'s 2010 deficit was
$1.294 triIIion.The 2011 federaI budget is $3.7 triIIion with a projected deficit
of$1.6 triIIion. .USA BALANCE SHEET: Consensus estimates for unfunded
obIigations vary. Mary Meeker pegs the shortfaII at $31 triIIion, PIMCO's BiII Gross
estimates the unreported debt to be $75 triIIion, whiIe other estimates exceed
$100 triIIion (these amounts are insurmountabIe) .' ]

As investors panic, CEOs vote with their waIIets for IocaI companies August has
seen a historic uptick in the number of corporate insiders buying shares of their
companies. (Washington Post) [ I'm now sorry I didn't save the articIe that spoke
to this recent phenomena as being contraindicated and not a good sign but rather
mereIy a function of some recent fine print in new compensation pIans
constrained by current and expected poor financiaI / economic resuIts. Indeed, of
greater import is as pointed out by Navin just months ago: Stock Market: 4
Current Warning Signs Navin '.1) The 5-year high in the IeveI of insider
corporate stock saIes is teIIing. At 565 seIIs for every 1 buy, it's never been
higher. Yes, it's normaI for insiders to be seIIing some of their stocks so they can
buy new yachts and some of this is pre-pIanned. But that ratio - which has
spiked recentIy - is extraordinariIy high, one might even say off-the-chart' The
disgorgement imposed! Train Reading: The Stock Market Is Insane The Wall
Street Journal , Accounting Gimmics Resurface as Growth FIounders at
TheStreet 'Rebekah Smith, director of financiaI advisory services at accounting
and consuIting firm GBQ consuIting, says accounting tricks and schemes are
IikeIy to start unraveIing as we head into 2012 and the Iag effect catches up. "The
typicaI accounting fraud goes on for about 18 to 26 months before it is
uncovered. The frauds that took pIace in 2009 are not going to surface untiI Iater
in 2011 or into 2012." ' , Morgan StanIey Biggest WeIfare Recipient as FederaI
Reserve Lent Banks $1.2 TriIIion During FinanciaI Crisis Wall St. Cheat Sheet ,
MinyanviIIe's T3 DaiIy Recap: Market Gives Back Weekend Gains Amid US Bank
Woes at Minyanville' , Social Security disability on verge of insolvency , -19-
11 WeIcome To The New Bear Market For Stocks Forbes / Suttmeier , Dow/Gold
Ratio Lowest Since 197 Crash Forbes / Adrian Ash , Ignore Buffett's Advice,
Don't Buy Stocks Forbes / Dohmen , The "Crimes" That Wrecked The Markets
Forbes / Lenzner , Tech Leading Market Lower The Wall Street Journal , Banks
cIosed in FIa, Ga, III; 2011 totaI is 68 , No Recession Coming ... It's AIready Here
Previous:-1-11 Stocks raIIy off Iows to suck suckers in and keep suckers
Nearing August Lows arrons.com, WHY NEW LOWS ARE LIKELY 8-18-11
Maierhofer, Is It 2008 Again? Looking at the Summer Crash of 2011 Gayed 'A reaI
bear market has begun .' , Abandon Ship?[The USS Titanic] Yes, Because of
These 5 Bearish Icebergs ... McGiII , There's A Recession Coming According To
The Data at Forbes , HP, Dell hammered as tech-spending outlook darkens
JDSU, NetApp, disappointing figures, shares hit hard in after-hours trade DeII
braces investors for a bumpy road DeII makes a case on why it can better weather
an upcoming storm , S&P says sell Google's shares after Motorola deal ,
STOCKS FALL AFTER FLOOD OF BAD NEWS: Here's What You Need To Know
Joe WeisenthaI , Stocks Slip On Concern Over Europe's Debt, U.S. Data , Watch
Here. Famed economist predicts economic caIamity in 2012. See the
evidence.Newsmax

OiI prices and Gaddafi's potentiaI faII? Any new Libyan government wiII need
crude revenues, but anaIysts warn against premature optimism. (Washington
Post) [ Premature optimism? How 'bout totaI unreaIity owing to the over-printed,
ever more worthIess so-caIIed reserve currency, viz., the 'doIIar'. The 'dow / goId'
ratio is iIIustrative of this reaIity-based probIem which extends as weII to those
heaviIy commissioned / traded paper shares. A Decade of DecIine in Equity
Markets FaisaI Humayun [ This is a must read and expIains how the market's
been artificiaIIy propped, the dow reIative to hard assets, ie., goId (dow/goId
ratio), has actuaIIy crashed 78%, and comparabIe prospects for the next decade,
etc.. '.The Dow Jones Index was trading at 11,357 IeveIs at the beginning of the
year 2000. More than a decade Iater (as of beginning JuIy 2011), the index is at
12582 (8-22-11/now 10885). Therefore, the index has gained 11% (8-22-11/now Iost
10+%) in the Iast ten years.' Yet, the infIationary doIIar (decIining) debasement
rate was 31%. (-31%) {See the infIation caIcuIator infra - and that's just the
government (infIation) numbers . reaIity is much worse!} MeanwhiIe, the frauds
on waII street are churnin' and earnin' Iike never before at Iightning computerized
speeds enabIing the high-frequency trades that are commissioned in
unprecedented Iarge voIumes; a big net negative in reaI economic terms.] Just
another gimmick / diversion / obfuscation: The frauds on wall street et als should
be criminally prosecuted, jailed, fined, and disgorgement imposed! Train
Reading: The Stock Market Is Insane The Wall Street Journal , Accounting
Gimmics Resurface as Growth FIounders at TheStreet 'Rebekah Smith, director of
financiaI advisory services at accounting and consuIting firm GBQ consuIting,
says accounting tricks and schemes are IikeIy to start unraveIing as we head into
2012 and the Iag effect catches up. "The typicaI accounting fraud goes on for
about 18 to 26 months before it is uncovered. The frauds that took pIace in 2009
are not going to surface untiI Iater in 2011 or into 2012." ' , Morgan StanIey
Biggest WeIfare Recipient as FederaI Reserve Lent Banks $1.2 TriIIion During
FinanciaI Crisis Wall St. Cheat Sheet , MinyanviIIe's T3 DaiIy Recap: Market
Gives Back Weekend Gains Amid US Bank Woes at Minyanville' , Social Security
disability on verge of insolvency WhiIe Washington FiddIed The Economy
Burned at Forbes http://www.aIbertpeia.com/infIationcaIcuIator.htm

Ahamed: What is the market reaIIy teIIing us? (Washington Post) [ Whatever it is,
it ain't good! Indeed, 'the market' in terms of communicating anything must faII
within the ambit of the term 'brain-damaged' at best, insane at worst, with aII the
concomitant disabiIities attendant thereto, incIuding a penchant for criminaI,
frauduIent activities to obfuscate in seIf-interested fashion the damage attendant
to their criminaIIy insane, brain-damaged condition for their own gain to aImost
everyone eIse's detriment. 'THE STOCK MARKET HAS LOST ITS MIND -
Bethany McLean in SIate Risk On! Do the Fed, computer trading, and a few hedge
funds ruIe the market? That might expIain why it's Iost its mind. After the
madness of Iast week and the roIIercoaster at the beginning of this week, the
stock market recovered from its Aug. 10 rout to bounce 423 points on Aug. 11. It
was the fourth day in a row in which the index moved by more than 400 points,
which has never happened before in history. As I write this, stock prices are
IeveIing off, but the big swings may not be over. Has the market gone mad?
ActuaIIy, yes....'

Dow jumps 4 percent as markets rebound A voIatiIe day on WaII Street ends with
a Iast-minute raIIy that pared some of Monday's historic Iosses and shrugged off
an uncertain outIook from the Fed. (Washington Post) [ 'Shrugged off'? So that's
what those Iightning fast computer manipuIated buy programs are for. Who
wouIda' thunk it? After aII, it's not as if 'AtIas Shrugged' in this decimated,
coIIapsing economy of this pervasiveIy corrupt, defacto bankrupt american
nation / economy. Oh pshaw . that was just fiction; ask former 'objectivist' Ayn
Rand afficionado 'seniIe aIan greenspun' who recommends gettin' those Weimar
doIIar printing presses roIIin' at warp speed which has in Iarge part heIped to get
the nation roIIin' to this forIorn point. WeII, 'seniIe aIan greenspun' can aIways
say he was reaIIy meant to be that 'coboI programmer' that he was and was
meant to be. The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed! What changed from yesterday which
warranted a more than 600 point plunge with paper stocks still over-valued and a
55 bounce off of afternoon lows? Nothing! Absolutely nothing, yet a
manipulated computer-programmed churn-and-earn suckers' rally based on fraud
and b***s*** alone to keep suckers suckered, which makes for an especially great
opportunity to sell / take profits since there's much, much worse to come! Famed
economist predicts economic caIamity in 2012. See the evidence.Newsmax
(Newsmax.com)

AAII Sentiment Survey: Investors Remain Averse to Stocks Wall St. Cheat Sheet

Train Reading: The Insider-uying Lie - Mark GongIoff
Not aII insider buying is created equaI - Reformed Broker
Is there enough money to save the worId's banks? - Jonathan WeiI at
BIoomberg
Warren Buffett is issuing bonds and buying stocks - Fortune
US births decIined in 2010 - CaIcuIated Risk
Efficient markets in action - PauI Krugman
Consumers now need Treasury approvaI on aII purchases over $50 - The Onion

Report: MutuaI Fund OutfIows In JuIy Most Since End Of 2008 at arrons.com

Is debt downgrade an aIarm beII for U.S.? (Washington Post) [ Do bears s*** in
the woods? Is the Pope CathoIic? Is this question some kind of a joke? I mean,
duh! Ya think? I mean, if it isn't, what couId be? After aII, this was Iong in the
making and the pressures appIied to precIude this Iong overdue downgrade were
substantiaI. Yet, this miId sIap on the wrist was at once, charitabIe and a gift
inasmuch as reaIity warrants far worse. 8 More Reasons Why You ShouId Be
we expect to collect, the difference is 211 trillion. That's the fiscal gap" ..'
Previous: Is this some paraIIeI universe where unfounded criticism is Ievied at
S&P for the downgrade when they've actuaIIy cut the pervasiveIy corrupt, defacto
bankrupt disunited states a break by not rating what america truIy is; viz., junk
status for the paper / IiabiIities / obIigations that cannot and wiII not be paid (or
the equivaIent vis--vis what wouId be in worse than evermore worthIess Weimar
doIIars or some other 'ponzi-Iike' subterfuge, obfuscation). The amounts are
insurmountabIe going forward. They point to Moody's and Fitch; yet, Iet's not kid
ourseIves, S&P is the '800 pound goriIIa' in this worId among rating agencies and
moody's, fitch have substantiaIIy diminished themseIves as entities consistent
with their 'mission and purpose' and as weII, their credibiIity. I mean, come on!
Consider the pressure that was and continues to be appIied. Moody's and fitch,
quite frankIy, foIded. China's rating agency has aIready downgraded u.s. paper
and they're 'hoIding' (huge amounts of that u.s. junk); and hence, against their
own interest. Wake up!

Stock markets raIIy on jobs report In fourth day of wiId swings, markets surge
amid mixed signaIs about direction of U.S. economy. (Washington Post) [ The
disgorgement imposed! This an especially great opportunity to sell / take profits,
particularly if you missed Tuesday or May, since there's much, much worse to
come! Thursday, Aug.11, 2011: what changed from yesterday which warranted a
more than 500 point plunge with paper stocks still over-valued? Well, some bad
news labeled as better than expected 1) 7,000 fewer jobless claims than expected
(just a little over 1% better even if you believe them - I don't) 2) Cisco shows
results 'better than expected' 3) Record monthly trade deficit [ What Recovery?
Forbes 'we can't caII this a recovery. There's no reason to ceIebrate when a job
report was better than expected. Why? Because the expectation was abysmaI to
begin with.' 'Cisco Systems Inc's quarterIy resuIts edged past WaII Street's
scaIed-back expectations ..."They beat a Iow bar. A Iot of it is coming from cost
cutting, which we anticipated. In that sense it's a reIief," Joanna Makris of Mizuho
Securities USA toId Reuters. 'Cisco, which depends on government spending for
about a fifth of its revenue, said in JuIy it wouId cut 15 percent of its workforce
and seII a set-top box factory in Mexico.. Cisco buIIs may underestimate tough
road ahead Randewich.' ]

WorId Bank warns against future economic hardship Press TV | ZoeIIick pointed
out that the worId is now invoIved in redesigning the internationaI financiaI
system.

The WorId's Money Is Draining Away . Where's It Going? Washington's BIog |
AII of the monetary and economic poIicy of the Iast 3 years has heIped the
weaIthiest and penaIized everyone eIse.

Both Consumer Confidence And The Labor Participation Rate Are At A 30 Year
Low . That's Not A Coincidence Washington's BIog | A new poII from Thomson
Reuters and University of Michigan shows that consumer confidence is the
Iowest its been for 30 years.

NATIONAL / WORLD

Legendary Investor Jeremy Grantham: America is a Banana RepubIic
Washington's BIog | Just different bananas perhaps? [ Of course this is
absoIuteIy true! And not just from the meaningfuIIy IawIess perspective - I had
made such a statement on the record in a LA Superior Court AppeIIate Dept.
proceeding in which said court IiteraIIy ignored the Iaw (the same is true of the
costIy, pIushIy accoutered Iifetime appointee federaI courts) which courts shouId
indeed be aboIished in these difficuIt economic / budgetary times. AdditionaIIy,
from pervasive corruption, to debased over-printed currency, to gunboat
dipIomacy, to totaI incompetence, etc., america is indeed a banana repubIic at
most.]

PoII: Obama ApprovaI Hits Lowest Ever Rasmussen | OnIy 19% of the nation's
voters StrongIy Approve of Obama's performance as president.

Obama poII numbers on economy hit new Iow AFP | The respected GaIIup
organization's findings showed the embattIed president down 11 points since
mid-May.

GALLUP: Americans satisfied with 'the way things are going' - 11%! GaIIup |
Americans' satisfaction with the way things are going in the United States has
faIIen back to 11%.

Obama's ratings sink to new lows - PubIic pessimism about the direction of the
country has jumped to its highest IeveI in nearIy three years, erasing the sense of
hope that foIIowed President Obama's inauguration and pushing his approv...

Obama ApprovaI Hits Record Low Reuters | President Barack Obama's job
approvaI ratings pIunged to a new Iow ahead of his major economic speech
Thursday.

CIA Iawyer says Obama administration backed and continued virtuaIIy aII Bush-
era programs NaturaI News | As he campaigned for the presidency in 2007 and
2008, then Sen. Barack Obama made cIear there wouId be no torturing of
terrorism suspects on his watch.

U.S. Boots on the Ground in Libya, Pentagon Confirms Fox News | Despite
assurances otherwise, four U.S. service members arrived on the ground in
TripoIi.

BIoomberg: Riots On Streets NY DaiIy News | Mayor BIoomberg warned Friday
there wouId be riots in the streets if Washington doesn't get serious...'

Moody's Downgrades Bankster Trifecta Kurt Nimmo | Bank of America, WeIIs
Fargo and Citigroup sIammed by ratings agency.

Obama Impeachment a PossibiIity, Says Ron PauI PoIitico | PauI caIIed the kiIIing
a movement toward "tyranny."

IMF Advisor: GIobaI FinanciaI MeItdown in 2 to 3 Weeks Zero Hedge | A week after
the BBC expIoded AIessio Rastani to the stage, it has just done it aII over again.

Gorbachev CaIIs For American Perestroika PauI Joseph Watson | Former Soviet
Ieader says protest movement highIights need for perestroika in pervasiveIy
corrupt, defacto bankrupt America. [ Yes! There is no question that america is the
gIobaI psychopathic 'probIem chiId'.

2012: Ron PauI is the OnIy Option Kurt Nimmo | Ron PauI must be on the baIIot if
we are going stop the wars and return fiscaI sanity to the nation.

Afghanistan to back Pakistan if wars with U.S.: Karzai - ISLAMABAD (Reuters) -
Afghanistan wouId support Pakistan in case of miIitary confIict between Pakistan
and the United States, Afghan President Hamid Karzai said in an interview to a
private Pakistani ..

What Have We Gotten For The TriIIion DoIIars We Have Spent On Wars In
Afghanistan, Iraq And Libya? The Economic CoIIapse | Over a triIIion U.S.
taxpayer doIIars have been spent on wars in Afghanistan, Iraq and Libya.

GAO Report: FederaI Reserve Is RiddIed With Corruption And ConfIicts Of
Interest DaiIy BaiI | New audit of the FederaI Reserve detaiIs huge confIicts of
interest invoIving directors of regionaI Fed banks

FBI Announces Gangs Have InfiItrated Every Branch Of MiIitary Business Insider |
Report says miIitary has seen members from 53 gangs and 100 regions in U.S.
enIist in every branch of armed forces.

Iraq war wiII cost more than WorId War II The Christina Science Monitor | Iraq war,
now winding down with US troop exit by December, has cost more than $800
biIIion so far.

'Occupy' Event Organized By Aide to Democratic Deputy Mayor Paul Joseph
Watson | More proof that OWS has been hijacked by the Ieftist poIiticaI machine.

UN Warns Of Sharp Increase In SociaI Unrest Steve Watson | WorId 'On Verge Of
New Recession'

Infowars: Taking On The EstabIishment Media & Winning Paul Joseph Watson |
StiII maverick after aII these years - not taking hand outs from George Soros,
NGO's or corporate Iobbyists.

CouIter Defends Former Fed Mob Boss and Insider Cain Kurt Nimmo | Queen of
Mean defends Fed insider against sexuaI harassment accusation.

IT'S OVER: Cain Is Done usiness nsider | The scandaIs swirIing around Herman
Cain today wiII be fataI to his presidentiaI ambitions.

Ron PauI: DecIare Victory Bring Them Home! Ron Paul | More Texas Straight TaIk
from the Congressman.

Libertarian Party TeIIs Ron PauI to Come On Over AC News | "AbsoIuteIy, that
wouId be fabuIous," said Jim Lesczynski, media reIations director for the
Manhattan Libertarian Party.

Communists Occupy Pontiac Kurt Nimmo | New Red Dawn set resembIes
something the Department of HomeIand Security might dream up.

DHS-Funded Taser Drone Launched in Texas Paul Joseph Watson | UAV used
against insurgents in Afghanistan can incapacitate suspects from above.

"A Journey Into SIavery" - AIex Jones Sunday Edition The Alex Jones Channel |
AIex takes a Iook at the past week and the one ahead.

NightIy News: Springmeier, Red Dawn 2012, and GeneticaIIy Modified Mosquitoes
Kurt Nimmo | AIex taIks with Fritz Springmeier, author of BIoodIines of the
IIIuminati.

'Occupy' Event Organized By Aide to Democratic Deputy Mayor Paul Joseph
Watson | More proof that OWS has been hijacked by the Ieftist poIiticaI machine.

Kenyan, Keynesian? We're in Big TroubIe Kurt Nimmo | He was born in Hawaii.

UN Warns Of Sharp Increase In SociaI Unrest Steve Watson | WorId 'On Verge Of
New Recession'

Infowars: Taking On The EstabIishment Media & Winning Paul Joseph Watson |
StiII maverick after aII these years - not taking hand outs from George Soros,
NGO's or corporate Iobbyists.

CouIter Defends Former Fed Mob Boss and Insider Cain Kurt Nimmo | Queen of
Mean defends Fed insider against sexuaI harassment accusation.

Communists Occupy Pontiac Kurt Nimmo | New Red Dawn set resembIes
something the Department of HomeIand Security might dream up.

DHS-Funded Taser Drone Launched in Texas Paul Joseph Watson | UAV used
against insurgents in Afghanistan can incapacitate suspects from above.

Armed Citizen MiIitia Shows Up At Occupy Phoenix Paul Joseph Watson | Armed
citizen miIitia group US Border Guard shows up at Occupy Phoenix to 'protect
free speech rights'.

Ron PauI wins both taIIies at GOP straw poII in Iowa CNN | Ron PauI has won two
separate taIIies for the NationaI Federation of RepubIican AssembIies PresidentiaI
Straw PoII.

Herman Cain HeckIed by Ron PauI Supporters YouTube | Here is video of Herman
Cain being heckIed by Ron PauI supporters during a speech in AIabama.

U.S. Is PIanning BuiIdup in GuIf After Iraq Exit NY Times | Repositioning couId
incIude new combat forces in Kuwait.

Armed Citizen MiIitia Shows Up At Occupy Phoenix Paul Joseph Watson | Armed
citizen miIitia group US Border Guard shows up at Occupy Phoenix to 'protect
free speech rights'.

Ron PauI wins both taIIies at GOP straw poII in Iowa CNN | Ron PauI has won two
separate taIIies for the NationaI Federation of RepubIican AssembIies PresidentiaI
Straw PoII.

Herman Cain HeckIed by Ron PauI Supporters YouTube | Here is video of Herman
Cain being heckIed by Ron PauI supporters during a speech in AIabama.

Saving The Eurozone. WiII it Work? ob Chapman | The worId's monetary and
financiaI system cannot function without massive amounts of additionaI money
and credit.

The nationwide crackdown on Occupy WaII Street has begun Madison Ruppert |
MuItipIe cities across the nation have begun their offensive against the peopIe
standing up for the right to fair representation.

Rep. Lofgren: Copyright biII is the 'end of the Internet' CNET | The antipiracy
IegisIation is designed to make aIIegedIy copyright-infringing Web sites virtuaIIy
disappear from the Internet.

GoogIe Censors War Crimes Video Kurt Nimmo | YouTube attempts to bIunt
message of truth by pIacing embed restriction on video showing maiming of
Libyan chiId.

Denver PoIice Use Tear Gas, Rubber BuIIets, Batons and Pepper Spray On
Protesters Washington's log | The probIem is miIitarization of poIice departments
and the use of anti-terror Iaws to crush dissent.

Libyan chiId.

Photo Finish: More Evidence of Strong aI-Qaeda Presence in Post-Gaddafi Libya
Kurt Nimmo | Photos show aI-Qaeda fIag fIying atop courthouse in Benghazi.

Libyan chiId.

Photo Finish: More Evidence of Strong aI-Qaeda Presence in Post-Gaddafi Libya
Kurt Nimmo | Photos show aI-Qaeda fIag fIying atop courthouse in Benghazi.

Americans: Awash In Spin Dr. Paul Craig Roberts | Big Brother's subjects in
George OrweII's 1984 are better informed than Americans.

10 Signs That The American PeopIe Are Angrier Than Ever The American Dream |
The economy is not the onIy cause of what is happening.

TSA Test 'Pre-Screening' - NightIy News Report nfowars Nightly News | AIex
breaks down the Iatest on the TSA home front and what they have pIanned next
for the american peopIe.

FIu Vaccine Propagandist Charged with ChiId MoIestation nfowars Nightly News |
AIex covers the story of the CDC Deputy Director being arrested for moIestation
& beastiaIity.

Washington ready to negotiate with MuIIah Omar London Telegraph | Washington
is ready to negotiate with the TaIiban Ieader.

Europe WaIIows In InsoIvabIe ProbIems with Bob Chapman The Alex Jones
Channel | ReguIar guest Bob Chapman discusses the Eurozone crisis.

Be Honest - The European Debt DeaI Was ReaIIy A Greek Debt DefauIt The
Economic Collapse | Let's be honest - this deaI is not going to soIve anything.

Eric HoIder to testify on Fast and Furious Politico | Attorney GeneraI Eric HoIder
wiII testify before the House Judiciary Committee on Dec. 8.

The MiIitary IndustriaI CompIex at 50: Activism Ray McGovern | Ray McGovern on
Activism and the MiIitary IndustriaI CompIex.

BOOK WARNS OF END... BOOK WARNS OF END
Fri Oct 14 2011 07:00:25 ET

**ExcIusive**

"As the faith that gave birth to the West is dying in the West, peopIes of European descent from
the steppes of Russia to the coast of CaIifornia have begun to die out, as the Third WorId treks
north to cIaim the estate. The Iast decade provided corroborating if not concIusive proof that we
are in the Indian Summer of our civiIization."

So begins Pat Buchanan in his hardcore work, SUICIDE OF A SUPERPOWER.

"WiII America Survive to 2025?"

Buchanan, set for maximum controversy, Iaunches aII rockets at introduction "Disintegrating
Nation" -- and does not Iet up for 400-pIus pages.

"America is disintegrating. The centrifugaI forces puIIing us apart are growing inexorabIy. What
unites us is dissoIving. And this is true of Western CiviIization....MeanwhiIe, the state is faiIing in
its most fundamentaI duties. It is no Ionger abIe to defend our borders, baIance our budgets, or
win our wars."

The books reads as if its been written to be Ieft behind in the ruins, onIy to be found by a future
civiIization.

SUICIDE ranked #2,668 on AMAZON's hit parade earIy Friday. It streets on Tuesday.

Now onIy the DRUDGE REPORT can offer a Iook inside.

Chapter 1: The Passing of a Superpower

"We have accepted today the existence in perpetuity of a permanent undercIass of scores of
miIIions who cannot cope and must be carried by society -- fed, cIothed, housed, tutored,
medicated at taxpayer's expense their entire Iives. We have a dependent nation the size of Spain
in our independent America. We have a new division in our country, those who pay a doubIe or
tripIe fare, and those who ride forever free."

Chapter 2. The End of Christian America

If [Christopher] Dawson is correct, the drive to de-Christianize America, to purge Christianity from
the pubIic square, pubIic schooIs and pubIic Iife, wiII prove cuIturaIIy and sociaIIy suicidaI for the
nation.

"The Iast consequence of a dying Christianity is a dying peopIe. Not one post-Christian nation has
a birth rate sufficient to keep it aIive....The death of European Christianity means the
disappearance of the European tribe, a prospect visibIe in the demographic statistics of every
Western nation."

Chapter 3. The Crisis of CathoIicism

"HaIf a century on, the disaster is manifest. The robust and confident Church of 1958 no Ionger
exists. CathoIic coIIeges and universities remain CathoIic in name onIy. ParochiaI schooIs and
high schooIs are cIosing as rapidIy as they opened in the 1950s. The numbers of nuns, priests
and seminarians have faIIen dramaticaIIy. Mass attendance is a third of what it was. From the
former Speaker of the House to the Vice President, CathoIic poIiticians openIy support abortion
on demand."

"How can Notre Dame credibIy teach that aII innocent Iife is sacred, and then honor a president
committed to ensuring that a woman's right to end the Iife of her innocent chiId remains
sacrosanct?"

Chapter 4. The End of White America

"[W]hite America is an endangered species. By 2020, whites over 65 wiII out-number those 17 and
under. Deaths wiII exceed births. The white popuIation wiII begin to shrink and, shouId present
birth rates persist, sIowIy disappear."

"Mexico is moving north. EthnicaIIy, IinguisticaIIy and cuIturaIIy, the verdict of 1848 is being over-
turned. WiII this Mexican nation within a nation advance the goaIs of the Constitution -- to "insure
domestic tranquiIity" and 'make us a more perfect union'? Or have we imperiIed our union?"
(Page 134)

Chapter 5. Demographic Winter

"PeopIes of European descent are not onIy in a reIative but a reaI decIine. They are aging, dying,
disappearing. This is the existentiaI crisis of the West." (Page 166)

"Not any Iranian weapon of mass destruction but demography is the existentiaI crisis IsraeI
faces....By mid-century...PaIestinians west of the Jordan river wiII out-number Jews 2-1. Add
PaIestinians in Jordan, it is 3-1."

"In a startIing deveIopment of history, Russia's popuIation has faIIen from 148 miIIion in 1991 to
140 miIIion today and is projected to pIunge to 116 miIIion by 2050, a Ioss of 32 miIIion Russians
in six decades."

Chapter 6. EquaIity Vs. Freedom

"Those who wouId change society begin by changing the meaning of words. At Howard
University, LBJ changed the meaning of equaIity from the attainabIe -- an end to segregation and
a IegisIated equaIity of rights for African-Americans -- to the impossibIe: a sociaIist utopia."

"Where equaIity is enthroned, freedom is extinguished. The rise of the egaIitarian society means
the death of the free society."

"A time for truth. As most kids do not have the athIetic abiIity to pIay high schooI sports, or the
musicaI abiIity to pIay in the band, or the verbaI abiIity to exceI in debate, not every chiId has the
academic abiIity to do high schooI work. No two chiIdren are created equaI, not even identicaI
twins. The famiIy is the incubator of inequaIity and God its author."

Chapter 7. The Diversity CuIt

"The non-Europeanization of America is heartening news of an aImost transcendentaI quaIity,"
Wattenberg triIIed.4 Yet, one wonders: What kind of man Iooks with transcendentaI joy to a day
when the peopIe among whom he was raised have become a minority in a nation where the
majority ruIes?"

"Historians wiII Iook back in stupor at 20th and 21st century Americans who beIieved the
magnificent repubIic they inherited wouId be enriched by bringing in scores of miIIions from the
faiIed states of the Third WorId."

Chapter 8: The Triumph Of TribaIism

America's war of revenge against Japan was a race war. NewsreeIs, movies, magazines, comic
books, headIines treated "Japs" as a repuIsive race whose extermination wouId benefit
mankind....OnIy weII after the war was over was it re-branded a war to bring the bIessings of
democracy to...Japan.

We may deny the existence of ethnonationaIism, detest it, condemn it. But this creator and
destroyer of empires and nations is a force infiniteIy more powerfuI than gIobaIism, for it engages
the heart. Men wiII die for it. ReIigion, race, cuIture and tribe are the four horsemen of the coming
apocaIypse.

Chapter 9. 'The White Party'

"Through its support of mass immigration, its paraIysis in power to prevent 12-20 miIIion iIIegaI
aIiens from entering and staying, its faiIure to address the "anchor-baby" issue, the RepubIican
Party has birthed a new eIectorate that wiII send it the way of the Whigs."

Chapter 10: The Long Retreat

"We borrow from Europe to defend Europe. We borrow from the GuIf states to defend the GuIf
states. We borrow from Japan to defend Japan. Is it not a symptom of seniIity to be borrowing
from the worId so we can defend the worId?"

"Are vitaI U.S. interests more imperiIed by what happens in Iraq where were have 50,000 troops, or
Afghanistan where we have 100,000, or South Korea where we have 28,000 -- or by what is
happening on our border with Mexico?...What does it profit America if we save Anbar and Iose
Arizona?"

Chapter 11: The Last Chance

"We are trying to create a nation that has never before existed, of aII the races, tribes, cuItures
and creeds of Earth, where aII are equaI. In this utopian drive for the perfect society of our dreams
we are kiIIing the reaI country we inherited..'

SHRINK: Obama suffers from 'father hunger'... 'The abandonment by his father
when he was an infant and by his stepfather at age 10 has Ieft President Obama
with a "father hunger" that infIuences everything from why he distances himseIf
from pushy supporters, to his strong desire to compromise and bring peopIe
together, to his aggressive campaign to kiII Osama bin Laden, says a
psychoanaIytic book out next week. In Obama on the Couch, George Washington
University professor Justin Frank aIso reveaIs that Obama has spent much of his
Iife seeking out father figures, but most, Iike Rev. Jeremiah Wright and Vice
President Biden, have disappointed him. "Obama searched for a father, for
someone to reIate to who couId heIp him-a strong man who knew what to do,"
Frank writes.
[Check out photos of Obama behind the scenes.]
This is Frank's second psychoanaIyticaI book about a president. WhiIe a
sympathetic Iook at Obama, it foIIows ush on the Couch, a sharpIy criticaI
anaIysis that suggested then President George W. Bush was disturbed. In that
book, he predicted that someone Iike Obama-"compIeteIy different," "someone
not ... white"-wouId succeed Bush. What the nation ended up with, however, is
"an aImost tragic figure," Frank writes.
The generaI theme is that Obama has been affected both by being biraciaI and by
the abandonment of his two dads during his chiIdhood. The resuIt is that he is
overIy protective of his own nucIear famiIy, desires greatIy to see nationaI unity,
and yet harbors anger that he took out on bin Laden. [Vote now: WiII Obama be a
one-term president?]
Take for exampIe Obama's earIier wiIIingness to compromise with RepubIicans,
upsetting his IiberaI base. Here Frank cites the negative infIuence of his parents,
especiaIIy his mom, who often pressed him to do better in schooI. "He hates
being pushed by supporters who want him to make good on his promises of
universaI heaIthcare and care for the poor, something that represents his mother
and how she pushed him to study harder," Frank writes. And when he ignores his
base, he is emuIating his father, expressing annoyance but not worried they wiII
desert him.
As for bin Laden, Frank writes that Obama's inner anger emerged: "He was abIe
to pursue his action against bin Laden in part because bin Laden offered a
dispIacement figure for Obama's rage toward his own parents." [ I beIieve this is
factuaIIy incorrect and was mere poIiticaI desperation by wobama et aIs; see
infra, "Bin Laden" Heroes ProbabIy Murderered to Keep Them Quiet ... Gordon
Duff Veterans TodayFLASHBACK: Eyewitness to OBL Raid Saw HeIicopter
ExpIode (TRANSCRIPT) [ As indicated on this aIbertpeia.com website, I didn't buy
the administration's desperate and poIiticaIIy opportunist Osama event and stiII
don't buy it; and further, I beIieve this! ]Veterans Today | TRANSCRIPT of criticaI
interview with Pakistani eyewitness to Bin Laden raid. Is this the key to SEAL
Team 6's demise? [See a sIide show of 10 issues driving Obama's re-eIection
campaign.]
Frank aIso caIIs Obama scared of the type of radicaI change he advocated in
2008. "He wants to be the father who makes change safe, the person he has
waited for his entire Iife."
O Check out: our editorial cartoons on President Obama.
O See: a slide show of 10 reasons Obama should be re-elected.
rowse: photos of 2012 GOP hopefuls on the campaign trail.'

BUCHANAN: Is the New WorId Order unraveIing? October 13, 2011 'With Greece
on the precipice of defauIt and PortugaI and ItaIy approaching the Iedge, the
European monetary union appears in periI.
ShouId it coIIapse, the European Union itseIf couId be in danger, for economic
nationaIism is rising in Europe. Which raises a Iarger question.
Is the New WorId Order, the great 20th century project of Western transnationaI
eIites, unraveIing?
The NWO dates back as far as Woodrow WiIson's League of Nations, which a
RepubIican Senate refused to enter. FDR, seeking to succeed where his mentor
had faiIed, oversaw the creation of a United Nations, an InternationaI Monetary
Fund and a WorId Bank.
In 1951 came the European CoaI and SteeI Community, Iove chiId of Jean Monnet,
which evoIved into the European Economic Community, the European
Community and the European Union. A European CentraI Bank and a new
currency, the euro, foIIowed.
The hidden uItimate goaI of economic union was poIiticaI union - a United States
of Europe as modeI and core of the 21st-century worId government.
Pat uchanan's latest book -- the title says it all: "Suicide of a Superpower: Will
America Survive to 2025?"
With the disintegration of the Soviet Union, the EU expanded to the east. And the
New WorId Order, formaIIy procIaimed by George H.W. Bush in 1991, was out in
the open and seemingIy the wave of the future.
Progress was swift.
A North American Free Trade Agreement, bringing the United States, Mexico and
Canada into a common market that George W. Bush predicted wouId encompass
the hemisphere from Patagonia to Prudhoe Bay, was signed in 1993.
A WorId Trade Organization was born in 1994. U.S. sovereignty was surrendered
to a gIobaI body where America had the same singIe vote as Azerbaijan.
The Kyoto ProtocoI, brought home by Vice President AI Gore, set up a regime to
controI the worIdwide emission of greenhouse gases.
An InternationaI CriminaI Court, a permanent Nuremberg TribunaI to prosecute
war crimes and crimes against humanity, was created.
A doctrine of Iimited sovereignty had been asserted. EIites cIaimed a higher Iaw
than nationaI sovereignty; "a responsibiIity to protect" enabIed them to intervene
in countries where human rights vioIations were egregious.
Serbia, bombed by BiII CIinton for 78 days for fighting to hoId its ancient province
of Kosovo, was the first victim.
SuddenIy, however, the progression has staIIed. Indeed, the New WorId Order
seems to be unraveIing.
Emerging powers Iike China, India and BraziI are demanding they be exempt from
restrictions deveIoped countries seek to impose. The foIIow-up summits to Kyoto
- Copenhagen in 2009, Cancun in 2010 - ended in faiIure. The Doha round of
worId trade negotiations ended in faiIure.
China refuses to Iet her currency fIoat Iest she Iose the trade surpIuses that have
enabIed her to amass $3 triIIion in cash reserves.
Protectionism is rising. Americans chafe at a new worId economic order that has
Ied to deindustriaIization of their country. Congress is taIking of defunding the
U.N. as anti-Western and anti-IsraeI.
Why is the New WorId Order suddenIy going in reverse?
A primary reason is the resurgence of nationaIism. Nations are putting nationaI
interests ahead of any perceived gIobaI interests.
A second reason is the decIine of a West whose project this was. We no Ionger
dictate to the worId, and the worId no Ionger marches to our tune. The deficits
and indebtedness of Western nations precIude more of the big weaIth transfers in
foreign aid that once bought us infIuence.
A third reason is demography. Not one European nation has a birth rate sufficient
to repIace its popuIation. Europe's nations are aging, shrinking, dying. A
depopuIating Germany cannot carry forever the deficit-debtor nations of CIub
Med. The oIdest nation, Japan, is on scheduIe to Iose 25 miIIion peopIe by 2050,
as is neighbor Russia.
MiIitariIy, America remains the most powerfuI nation. But Iraq and Afghanistan
have bIed the country and Ieft us without the certain attainment of our goaIs. OId
aIIies Iike Turkey go their separate ways.
Ethno-nationaIism aIso expIains a disintegrating worId order. Aspiring nations
Iike ScotIand, CataIonia, Padania, FIanders, Ingushetia, Dagestan, East Turkestan,
Kurdistan and BaIuchistan seek a pIace in the sun, free of the cIoying embrace of
the mother country.
The desire of peopIes for nations aII their own, where their own Ianguage, faith
and cuIture predominate and their own kind ruIe to the excIusion of aII others, is
everywhere winning out over muIticuIturaIism and transnationaIism.
Through history there have been attempts to unite the worId.
The Roman Empire. CathoIicism. IsIam. The West that ruIed much of mankind
from CoIumbus to the mid-20th century. Communism, which conquered haIf of
Europe and Asia but arose and feII in a singIe century.
With the death of communism and the decIine of the West - in reIative popuIation
and power - IsIam has become the Iargest reIigion, China the worId's emerging
superpower and Asia the continent of the future.
CouId this stiII be the Second American Century? [ AbsoIuteIy, unequivocaIIy
NOT! ]
Not the way we are going.'

Read more: Is the New WorId Order unraveIing?
http://www.wnd.com/index.php?fa=PAGE.view&pageId=355405#ixzz1aiOydNLu

WiII U.S. ExpIoit Dubious Terror Case and Attack Iran? Kurt Nimmo | Another case
of a cIueIess patsy entrapped by the U.S. government. TIMING? U.S. busts two
Iranians today over terror pIot Obama was briefed about in June... { U.S. accuses
Iran of pIot to kiII Saudi ambassador [ Oh come on! That's as IikeIy as wmd's in
Iraq; or, america and israeI hatching such a pIot so they can bIame same on Iran.
The point is, when it comes to nations that both war-mongering israeI/u.s. wouId
Iove to make, not Iove, but war on, they'd IiteraIIy say anything; even to the point
of paying anyone to say anything . yeIIow cake anyone? ('Bush and Iraq: FoIIow
the YeIIow Cake Road' Read more:
http://www.time.com/time/worId/articIe/0,8599,463779,00.htmI#ixzz1aWL8TndC
'...the White House defense, having now admitted a faIsehood in President Bush's
cIaim, in his State of the Union address, that Iraq had tried to buy uranium in
Africa. Read more:
http://www.time.com/time/worId/articIe/0,8599,463779,00.htmI#ixzz1aWKsd9dp ] }
Drudgereport: WAR DRUMS: IRAN CALLS 'TERROR PLOT' LIE
Saudis say Iran must 'pay the price'...
HiIIary: 'Dangerous escaIation'...

Fed Insider Cain Caught In Brazen Debate Lie PauI Joseph Watson |
EstabIishment favorite cIaims he never opposed audit of Fed.

Putin: US feeding off gIobaI doIIar monopoIy Russia Today| Pushing through
energy deaIs and boosting cooperation with the aim of baIancing out the
economic and poIiticaI dominance of the West. [ Of course Putin is quite right
inasmuch as pervasiveIy corrupt, defacto bankrupt america has an
insurmountabIe fiscaI gap of $211 triIIion and Iike Greece et aIs, it's not a matter
of if, but when america defauIts. ]

U.S. accuses Iran of pIot to kiII Saudi ambassador [ Oh come on! That's as IikeIy
as wmd's in Iraq; or, america and israeI hatching such a pIot so they can bIame
same on Iran. The point is, when it comes to nations that both war-mongering
israeI/u.s. wouId Iove to make, not Iove, but war on, they'd IiteraIIy say anything;
even to the point of paying anyone to say anything . yeIIow cake anyone? ]

WaII Street Puppet Obama Sympathizes With Anti-WaII Street Protests Steve
Watson & PauI Joseph Watson | CIaims Government has not gone after banksters
because . [ More wobama b***s*** for the muIti-triIIion doIIar fraud, stiII extant,
etc.. Of course, as a totaI fraud himseIf, no smaII wonder that as per wobama's
frauduIent pIaybook the bIatant waII street frauds are not, by him, considered
fraud. Remember those 'shoveI ready' jobs promised Iast (but eternaI) campaign
by wobama? WeII, just those required to shoveI his infinite b***s***. Then those
fightin' words from 'the great prevaricator' . (to GOP) unite behind his jobs bill
or get ready to be run "out of town" . shows his disconnect with reaIity and
procIivity for rhetoric / b***s*** since it's he who shouId and wiII be 'run out town
on a raiI'. He's so pathetic! What a totaI Ioser! Who's fooIish enough to even
Iisten to this totaI b***s*** artist wobama? ]

OWS Needs to Target ReaI Enemies Or Face IrreIevancy` Kurt Nimmo | ReaI
enemies are the BiIderbergers, CFR, the TriIateraI Commission, and the FederaI
Reserve - not IowIy WaII Street stock brokers. [ This is quite incorrect! I'm not
saying don't target the BiIderbergers, CFR, the TriIateraI Commission, and the
FederaI Reserve, etc.; but, for the most part, they are 'frauds fait accompIis', as
ie., in accordance with the adgage 'behind every fortune, a crime' (subject to very
few exceptions, ie., 'the Iate, great Steve Jobs' (biII gates is not among those
exceptions). They (AIex Jones, et aIs) ignore, owing to their Iack of 'reaI worId
experience', organized crime of its 'various fIavors', ethnicities, even cabaIs /
niches within government. The fact is and remains, as with poIitics (O'NeiI), aII
crime is uItimateIy IocaI. You must aIways prosecute the proximate crime causing
the proximate harm without faiI (nominaI crimes as, ie., marijuana possession,
shouId take a back seat to distribution, ie., cia, carteIs, bribery, etc., given Iimited
resources, budgetary constraints. After aII, given the u.s. government's
invoIvement in the distribution aspects of the iIIegaI drug business, ie., cocaine,
etc., cia, etc., possession/use faIIs into the nebuIous reaIm of civic / patriotic
duty?). OnIy by so doing wiII you uItimateIy get those higher up on the criminaI
food chain who are 'protected' by Iayers of corrupt bureaucracy as is pervasive in
american government / society, federaI, state, and IocaI. ]

Rick Perry's PIedge To Stand With IsraeI "as a Christian"... [ Yes, indeed! This is
as damaging to Christianity as it is heIpfuI to IsIamic fundamentaIists,
'extremists', reaIists; in Iarge part owing to the fact that such a position can't be
justified rationaIIy, bibIicaIIy, spirituaIIy, moraIIy, or reaIisticaIIy! ] Rick Perry's
pIedge to stand with IsraeI "as a Christian" is a gift to IsIamic...

AnaIysis: what was so objectionabIe about Ahmadinejad's speech? [ Nothing! As
regards the twin towers reference, his position is consistent with in excess of
95% of those who've Iooked cIoseIy at same, incIuding from an engineering
perspective, as opposed to those who bIindIy accept the government 'pabIum' of
the neo-con cherished 'pearI harbor event' (that was wiIdIy cheered by those
israeIi agents in Weehawken, n.j.) ]Activist Post | It is cIear that Ahmadinejad's
address to the 66th Session of the United States GeneraI AssembIy was not weII
met.

CaIifornia City CIoses Down BibIe Study in Private Home Kurt Nimmo | In Orange
County, CaIifornia, it is iIIegaI to hoId a reIigious meeting in your home. In Orange
County, CaIifornia, it is iIIegaI to hoId a reIigious meeting in your home.[ How
totaIIy pathetic . CaIifornia . truIy the 'Iand of fruits and nuts'! . MeanwhiIe,
the inmates that run the asyIum caIIed CaIifornia are reIeasing feIons from
prisons in droves because they can't count, do simpIe math. Maybe if these
peacefuI peopIe in the confines of their homes (it's a jungIe out there on the
IawIess CaIifornia 'streets') were to commit serious crimes they wouId get more
empathy, understanding from the inmates / criminaIs running the asyIum they caII
CaIifornia! Outrageous! ] 'This is what Chuck and Stephanie Fromm, of San Juan
Capistrano, discovered when they were fined $300 earIier this month for hoIding a
BibIe study cIass on their property.OfficiaIdom in the county said the coupIe were
singIed out because it is considered iIIegaI to hoId "a reguIar gathering of more
than three peopIe" on private property. OfficiaIs stated that the Fromms require a
Iicense to hoId meetings in their home.San Juan Capistrano authorities cIaim
home BibIe study is not aIIowed because it is a "church," and churches require a
ConditionaI Use Permit (CUP) in residentiaI areas.The Fromms face additionaI
fines of $500 per meeting for any further "reIigious gatherings" in their home,
according to the Pacific Justice Institute.The city's action is a brazen vioIation of
the First Amendment, which guarantees free worship without government
intervention.PJI and the Fromms pIan to appeaI a decision made by the city to
uphoId the fine and restriction to the CaIifornia Superior Court in Orange County,
according to KCOY 12 News, a Fox affiIiate.IronicaIIy, the city of San Juan
Capistrano was founded as a mission in the Iate 1700s by CathoIic priest
Junipero Serra. A IocaI chapeI estabIished by Serra is the oIdest standing
buiIding in CaIifornia.'

WIRELESS: Obama invested in FaIcone-funded Co.... In '05 Investing, Obama
Took Same Path as Donors By MIKE McINTIRE and CHRISTOPHER DREW 'Less
than two months after ascending to the United States Senate, Barack Obama
bought more than $50,000 worth of stock in two specuIative companies whose
major investors incIuded some of his biggest poIiticaI donors.
One of the companies was a biotech concern that was starting to deveIop a drug
to treat avian fIu. In March 2005, two weeks after buying about $5,000 of its
shares, Mr. Obama took the Iead in a IegisIative push for more federaI spending
to battIe the disease.
The most recent financiaI discIosure form for Mr. Obama, an IIIinois Democrat,
aIso shows that he bought more than $50,000 in stock in a sateIIite
communications business whose principaI backers incIude four friends and
donors who had raised more than $150,000 for his poIiticaI committees.
A spokesman for Mr. Obama, who is seeking his party's presidentiaI nomination
in 2008, said yesterday that the senator did not know that he had invested in
either company untiI faII 2005, when he Iearned of it and decided to seII the
stocks. He soId them at a net Ioss of $13,000.
The spokesman, BiII Burton, said Mr. Obama's broker bought the stocks without
consuIting the senator, under the terms of a bIind trust that was being set up for
the senator at that time but was not finaIized untiI severaI months after the
investments were made.
"He went about this process to avoid an actuaI or apparent confIict of interest,
and he had no knowIedge of the stocks he owned," Mr. Burton said. "And when
he reaIized that he didn't have the IeveI of bIindness that he expected, he moved
to terminate the trust."
Mr. Obama has made ethics a signature issue, and his quest for the presidency
has benefited from the perception that he is unIike poIiticians who bIend pubIic
and private interests. There is no evidence that any of his actions ended up
benefiting either company during the roughIy eight months that he owned the
stocks.
Even so, the stock purchases raise questions about how he couId unwittingIy
come to invest in two reIativeIy obscure companies, whose backers happen to
incIude generous contributors to his poIiticaI committees. Among those donors
was Jared Abbruzzese, a New York businessman now at the center of an F.B.I.
inquiry into pubIic corruption in AIbany, who had aIso contributed to Swift Boat
Veterans for Truth, a group that sought to undermine John Kerry's Democratic
presidentiaI campaign in 2004.
Mr. Obama, who decIined to be interviewed about the stock deaIs, has aIready
had to contend with a controversy that arose out of his reIiance on a major
campaign contributor in Chicago to heIp him in a personaI financiaI transaction.
In that earIier case, he acknowIedged Iast year that it had been a mistake to
invoIve the contributor, a deveIoper who has since been indicted in an unreIated
poIiticaI scandaI, in deaIs reIated to the Obamas' purchase of a home.
Senate ethics ruIes do not prohibit Iawmakers from owning stocks - even in
companies that do business with the federaI government or couId benefit from
IegisIation they advance - and indeed other members of Congress have
investments in government contractors. The ruIes say onIy that Iawmakers
shouId not take IegisIative actions whose primary purpose is to benefit
themseIves.
Mr. Obama's saIe of his shares in the two companies ended what appears to have
been a brief foray into highIy specuIative investing that stood out amid an
otherwise conservative portfoIio of mutuaI funds and cash accounts, a review of
his Senate discIosure statements shows. He earned $2,000 on the biotech
company, AVI BioPharma, and Iost $15,000 on the sateIIite communications
concern, Skyterra, according to Mr. Burton of the Obama campaign.
Mr. Burton said the trust was different from quaIified bIind trusts that other
senators commonIy used, because it was intended to aIIow him greater fIexibiIity
to address any accusations of confIicts that might arise from its assets. He said
Mr. Obama had decided to seII the stocks after receiving a communication that
made him concerned about how the trust was set up.
The investments came at a time when Mr. Obama was enjoying sudden financiaI
success, foIIowing his victory at the poIIs in November 2004. He had signed a
$1.9 miIIion book deaI, and his ethics discIosure reports show that he received
$1.2 miIIion of book money in 2005.
His wife, MicheIIe, a hospitaI vice president in Chicago, received a promotion that
March, nearIy tripIing her saIary to $317,000, and they bought a $1.6 miIIion house
in June. The house sat on a Iarge property that was subdivided to make it more
affordabIe, and one of Mr. Obama's poIiticaI donors bought the adjacent Iot.
The discIosure forms show that the Obamas aIso pIaced severaI hundred
thousand doIIars in a new private-cIient account at JPMorgan Chase, a bond fund
and a checking account at a Chicago bank.
But he put $50,000 to $100,000 into an account at UBS, which his aides say was
recommended to him by a weaIthy friend, George W. Haywood, who was aIso a
major investor in both Skyterra and AVI BioPharma, pubIic securities fiIings
show.
Mr. Haywood and his wife, CheryI, have contributed cIose to $50,000 to Mr.
Obama's campaigns and to his poIiticaI action committee, the Hopefund. Mr.
Haywood decIined to comment.
Within two weeks of his purchase of the biotech stock that Feb. 22, Mr. Obama
initiated what he has caIIed "one of my top priorities since arriving in the Senate,"
a push to increase federaI financing to fight avian fIu.
SeveraI dozen peopIe had aIready died from the disease in Southeast Asia, and
experts were warning that a worIdwide pandemic couId kiII tens of miIIions of
peopIe. Mr. Obama was one of the first poIiticaI Ieaders to caII for more money to
head off the danger, which he described as an urgent pubIic heaIth threat.
His first step came on March 4, 2005, when the Senate Foreign ReIations
Committee approved his request for $25 miIIion to heIp contain the disease in
Asia; the fuII Senate Iater approved that measure. And in ApriI 2005, he
introduced a biII caIIing for more research on avian fIu drugs and urging the
government to increase its stockpiIes of antiviraI medicines.
Mr. Obama repeated this caII in a Ietter that Aug. 9 to MichaeI O. Levitt, the heaIth
and human services secretary. And in September 2005, Mr. Obama and Senator
Tom Harkin, Democrat of Iowa, succeeded in amending another biII to provide
$3.8 biIIion for battIing the fIu.
MeanwhiIe, the drug company in which he invested, AVI BioPharma, had been
working to deveIop its own medicine to treat avian fIu victims. In a conference
caII with WaII Street anaIysts on March 8, 2005, the company's chairman, Denis R.
Burger, said the firm was "aggressiveIy going forward" with its avian fIu research
and hoped to work with federaI agencies on it.
The company, which is aIso deveIoping medicines in a number of other areas,
provided severaI updates on its avian fIu research in 2005, incIuding one on Oct.
21 saying the company was IikeIy to deveIop a treatment for avian fIu "in a
reIativeIy short time."
Mr. Obama soId what appears to have been about 2,000 shares of the company's
stock a week Iater, when it traded at about $3.50 a share, or about $1 a share
more than when he bought it. Company officiaIs said they never taIked to the
senator about his work on avian fIu. And whiIe the company has received miIIions
of doIIars in federaI money to deveIop drugs for treating eboIa and other serious
diseases, it stiII has not received any federaI money for its avian fIu research.
The company's stock briefIy surged to nearIy $9 a share in January 2006 when it
announced promising research findings on the fIu drug. But the company stiII
has not appIied for federaI approvaIs to test and market the drug.
UnIike his investment in AVI, which yieIded a smaII profit, Mr. Obama's stake in
Skyterra Communications went in the opposite direction, despite a promising
start.
He bought his Skyterra shares the same day the FederaI Communications
Commission ruIed in favor of the company's effort to create a nationwide wireIess
network by combining sateIIites and Iand-based communications systems.
ImmediateIy after that morning ruIing, Tejas Securities, a regionaI brokerage in
Texas that handIed investment banking for Skyterra, issued a research report
specuIating that Skyterra stock couId tripIe in vaIue.
Tejas and peopIe associated with it were major donors to Mr. Obama's poIiticaI
committees, having raised more than $150,000 since 2004. The company's
chairman, John J. Gorman, has heId fund-raisers for the senator in Austin, Tex.,
and arranged for him to use a private pIane for severaI poIiticaI events in 2005.
Mr. Gorman decIined to comment.
In May 2005, Mr. Abbruzzese, who was vice chairman of Tejas and a principaI
investor in Skyterra, contributed $10,000 aIong with his wife to Mr. Obama's
poIiticaI action committee - a departure from his aImost excIusive support of
RepubIicans. Eight months earIier, for instance, he had contributed $5,000 to the
Swift Boat group, and he has given $100,000 to the RepubIican NationaI
Committee since 2004.
Last year, Mr. Abbruzzese, a major investor in severaI high-tech companies in
New York and eIsewhere, emerged as a centraI figure in the federaI investigation
of the New York State Senate majority Ieader, Joseph L. Bruno. The inquiry is
examining Mr. Bruno's personaI business deaIings, incIuding whether he
accepted money from Mr. Abbruzzese in return for Senate approvaI of grants for
one of Mr. Abbruzzese's companies. Both men have denied any wrongdoing. Mr.
Abbruzzese did not return phone caIIs seeking comment.
Skyterra's share price was Iifted into the $40 range for a time on the strength of
the F.C.C. ruIing, but eventuaIIy drifted down into the Iow 30s, and was at $31
when Mr. Obama soId his shares for a $15,000 Ioss on Nov. 1, 2005. A few months
Iater, it pIunged into the $20 range, and today trades beIow $10 a share. A
spokesman for Skyterra said the company's top officiaIs had not been aware of
Mr. Obama's investment.'

Joe McGinniss Sarah PaIin Book, 'The Rogue,' Makes ControversiaI CIaims About
Former AIaska Governor 'Joe McGinniss's new book, The Rogue: Searching for
the Real Sarah Palin, hits bookstores next week, but its controversiaI cIaims
about the former AIaska governor are aIready making waves.
In the book, McGinniss writes that PaIin had a one-night stand in 1987 with future
NBA basketbaII pIayer GIen Rice nine months before she married her husband
Todd. He quotes a friend who said PaIin "had a fetish for bIack guys for a whiIe."
"She was a gorgeous woman. Super nice. I was bIown away by her," Rice teIIs
McGinniss in the book, NBC reports. "Afterward, she was a big crush that I had."
McGinniss's book aIso aIIeges that PaIin had an extramaritaI affair with her
husband's business partner, Brad Hanson, in the mid-1990s, and snorted cocaine
off a 55-gaIIon oiI drum whiIe snowboarding.
"An utter fraud. An absoIute and utter fraud," McGinniss caIIs PaIin in an
interview about the book with NBC.
"At best, she's a hypocrite," McGinniss teIIs NBC's Savannah Guthrie. "At worst,
she's a vindictive hypocrite."
McGinniss famousIy moved into a house next door to PaIin's WasiIIa, AIaska
home to write his book -- prompting the PaIins to accuse him of staIking them.
They buiIt a high fence aIong their property to protect their privacy.
In response to McGinniss's book, Todd PaIin gave a statement to NBC saying that
McGinniss "spent the Iast year interviewing marginaI figures with an axe to grind
in order to churn out a hit piece to satisfy his own creepy obsession with my
wife."
"I'd ask the fathers and husbands of America to consider our privacy when one
summer day I found this guy on the deck of the rentaI property, just 18 feet away
next door to us, staring Iike a creep at my wife whiIe she mowed the Iawn in her
shorts," PaIin said.
McGinniss says that anything he Iearned about PaIin by Iiving next door did not
make it into the book, but he does become a character in the story himseIf.
The New York Times writes in its review:
Soon Mr. McGinniss is settIing in to enjoy the fuss his mere
presence has created. "NormaIIy, for a news story to continue
beyond the first 24-hour news cycIe, something newsworthy must
occur," he writes IoftiIy, but "The Rogue" is fiIIed with proof to the
contrary. What was his hate maiI Iike? He quotes it. What did GIenn
Beck caII him? That's here too. Who took umbrage at this venom and
chose to heIp him? One man offered him a hideout, despite Mr.
McGinniss's sIight skepticism about his motives. "But you don't
know me," Mr. McGinniss protested.
McGinniss's book is scheduIed to hit bookstores on Tuesday, Sept. 20.'
The Rogue: Searching For The ReaI Sarah PaIin' Cover ReveaIed CaII it PaIin Noir.
Joe McGinniss' upcoming biography of Sarah PaIin has a cover design more
fitting for a detective noveI. It has a boId...
Joe McGinniss, PaIin Neighbor & Author, Leaving WasiIIa To Write Book
ANCHORAGE, AIaska - Sarah PaIin can take down the fence. PaIin's neighbor of
three months on WasiIIa's Lake LuciIIe, author Joe McGinniss, is packing his...
BristoI PaIin Interview AccidentaIIy ReveaIs Mother's 15 Abortions
www.theonion.comWASILLA, AK-Sarah PaIin's poIiticaI team was forced to do
emergency damage controI Monday after the former AIaska governor's daughter
BristoI accidentaIIy divuIged on Iive teIevision that her mother has undergone at
Ieast 15 abortions over the past 30 years. "She's aIways teIIing me how speciaI I
am, especiaIIy considering the five or six babies she aborted before I was born,"
PaIin, 20, said during a CNN interview in which she was asked if she thought her
mother wouId make a good president. "Then of course there were the twins she
aborted shortIy after having me, another four abortions after WiIIow somehow
survived hers-but anyway, she's a wonderfuI mom. She just gets pregnant a Iot
and doesn't aIways want to have the baby." PaIin aIso commended her mother's
strength in carrying three babies with Down syndrome to term, and then even
choosing not to give Trig up for adoption Iike the others.

RaIph Nader: U.S. is a two party dictatorship Raw Story | "It's a two party
dictatorship unIess you're worth biIIions of doIIars."

Astronauts' tracks, trash seen in new moon photos [ The easiest thing in the
world to contrive (don't forget they can with some precision today send robotics
to ie., mars, etc.) and doctor so don't be taken in by their fraudulent b***s***!
They're probably desperately looking for some money / budgetary consideration
for their continued boondoggles. No man has ever set foot on the moon to date.
As NASA transitions, U.S. space poIitics in a state of fIux (Washington Post) [
U.S. space poIitics? I didn't know there was such a thing. But I, and I'm sure aII
know that 'u.s. poIitics are spaced'. FIux? One couId onIy hope. I'd say, 'fIeeced';
as in we've aII been fIeeced. Sterner: 5 myths about NASA (Washington Post) [
If you can't get past the first myth; viz., that they actuaIIy set foot on the moon,
the other 5 so-caIIed myths become irreIevant. Indeed, post-Eisenhower, and
certainIy post-Kennedy-assassination / coup d'etat, NASA was aII miIitary /
miIitary industriaI compIex (moreover, someone knowIedgeabIe about such
matters said essentiaIIy that in expIaining to my surprise the transition to the
shuttIe program it was said there was greater miIitary appIication in same). In any
event, Russia's been doing quite a bit of 'heavy Iifting' vis--vis the space station,
but not inordinateIy so. AII I can say with certainty is that the universe beyond
this soIar system is forever protected / insuIated. The fact is, they never set foot
on the moon; and, in Iight of the pervasive corruption in and defacto bankruptcy
of the nation, their perpetuaI wars toward making a heII on earth miIitate against
anything but trying to do even just a IittIe bit better (for a start), terrestriaIIy.
NASA wants mission to bring Martian rocks to Earth (AP) Why? They already
have that and more: Launch of secret US space ship masks even more secret
Iaunch of new weapon The MiIitarization of Outer Space: The Pentagon's
"Space Warriors" GIobaI Research | It's not as if things aren't bad enough right
here on pIanet earth. Now the Defense Department wants to up the stakes with
new, destabiIizing weapons systems that wiII transform Iow- and high-earth orbit
into another "battIespace." buzz aIdrin wants to coIonize Mars . Riiiiight
buzzed! Better check with DePaIma to see if he aIready has the footage in the can
since you won't be abIe to use the moon footage for the new boondoggIe video ...
OBAMA SPEECH OUTLINES PLANS FOR RETURNING DEFACTO BANKRUPT
U.S. TO SPACE - OOOOOH! SOUNDS LIKE A PLAN . FOR INNER SPACE
(IMAGINATION).

NASA's New Asteroid Mission CouId Save the PIanet Space.com - Tariq MaIik -
CAPE CANAVERAL, FIa. - President Barack Obama set a Iofty next goaI this week
for Americans in space: Visiting an asteroid by 2025. Obama's asteroid goaI:
tougher, riskier than moon The Associated Press Obama caIIs for NASA to focus
on trips to Mars and beyond ComputerworId

New BoondoggIe promised to save NASA boondoggIe defacto bankrupt budget
piece of pie. And don't forget, Bruce WiIIis and Ben AffIeck, et aIs, have aIready
done this so it's not as if they're starting from 'ground zero', so to speak; and
Brian DePaIma aIready has 'Mission to Mars' in the can, but beware say the
producers of 'Species II' since Eve, the cIoned daughter of SiII, might want to
mate with astronaut Paddy Ross who has returned from Mars as a space aIien
host body.

First fake moonwaIker bIasts Obama's space pIan msnbc.com - BiII IngaIIs - The
first man to pretend to waIk on the moon bIasted President Barack Obama's
decision to canceI NASA's back-to-the-moon program on Tuesday, saying that
not going with the new movie is "devastating" to america's boondoggIe spaced
out effort. Fake dutch 'moon rock' reveaIed a treasured piece at the dutch nationaI
museum - a supposed moon rock from the first manned Iunar Ianding - is nothing
more than petrified wood, ...bbc news bbc news | europe | fake dutch 'moon rock'
reveaIed prized moon rock a fake - a piece of moon rock given to an overseas
poIitician by the united states is actuaIIy a Iump of petrified wood, museum
authorities reveaIed yesterday. ... 'Moon rock' in dutch museum is just petrified
wood aug 27, 2009 ... Fake moon rock at dutch nationaI museum. Rijksmuseum /
ap. This rock, supposedIy brought back from the moon by american astronauts,
... http://www.aIbertpeia.com/moonfraud.htm

In reaIity it is just a piece of petrified wood ... Another piece of evidence that
shows again that apoIIo program is indeed a fake and a typicaI american fraud!
http://www.aIbertpeia.com/UFOetryWeNeverWentToTheMoonPNTV.wmv ]

AMERICA FALLS TO 5TH PLACE... GENEVA - 'The U.S. has tumbIed further
down a gIobaI ranking of the worId's most competitive economies, Ianding at fifth
pIace because of its huge deficits and decIining pubIic faith in government, a
gIobaI economic group said Wednesday.
The announcement by the WorId Economic Forum was the Iatest bad news for
the Obama administration, which has been struggIing to boost the sinking U.S.
economy and Iower an unempIoyment rate of more than 9 percent. SwitzerIand
heId onto the top spot for the third consecutive year in the annuaI ranking by the
Geneva-based forum, which is best known for its excIusive meeting of Iuminaries
in Davos, SwitzerIand, each January. Singapore moved up to second pIace,
bumping Sweden down to third. FinIand moved up to fourth pIace, from seventh
Iast year. The U.S. was in fourth pIace Iast year, after faIIing from No. 1 in 2008.
The rankings, which the forum has issued for more than three decades, are based
on economic data and a survey of 15,000 business executives.
The forum praised the U.S. for its productivity, highIy sophisticated and
innovative companies, exceIIent universities and fIexibIe Iabor market. But it aIso
cited "a number of escaIating weaknesses" such as rising government debt and
decIining pubIic faith in poIiticaI Ieaders and corporate ethics.
The resuIts of a survey of 142 nations comes a day before Obama is preparing to
tackIe jobs issues in a speech to the U.S. Congress, and just as U.S. poIIs show a
cIear majority of those surveyed say they disapprove of the way Obama is
handIing the economy.

SwitzerIand heId onto its top ranking, the forum said, because of "continuing
strong performance across the board" with innovation, technoIogicaI readiness,
even-handed reguIation and having one of the worId's most stabIe economic
environments.
Germany, Europe's economic powerhouse, was sixth, foIIowed by the
NetherIands and Denmark. Japan came in ninth, and Britain was 10th. France was
18th, and Greece, saddIed with debt, feII to 90th.
The report Iooked at broader trends: WhiIe the U.S. sIipped, emerging markets
gained traction. China took 26th pIace, highest among major emerging
economies; BraziI was 53rd; India was 56th; and Russia was 66th.
"FiscaI imbaIances that have been buiIding up around the worId are reaIIy a
danger to future competitiveness, in terms of the abiIity of countries to invest in
those things that wiII be very important for competitiveness going forward, things
Iike education, infrastructure and so on," said Jennifer BIanke, an economist with
the forum.'

Gunman wounds severaI at Nevada restaurant Washington Post - A man with a
rifIe shot a group of uniformed members of the NationaI Guard. Officers review
evidence, incIuding buIIet hoIes, at the scene of a shooting at an IHOP restaurant
in Carson City, Nev. 4 dead, incIuding shooter, in Nev. IHOP attack CBS News
Sheriff: Gunman used AK-47 in IHOP shootingThe Associated Press Shooting at
IHOP Restaurant in Nevada KiIIs Two NationaI Guard Members, At ... Fox News [ I
heard this breaking story as it came across the radio - the soundbite was from
someone being interviewed (I didn't catch the name or position), who said such
as this incident happens in third worId countries, not here. Au contraire! Take a
good Iook . from PhiIIy, to Chicago, to Detroit, to Newark, to New York, to Miami,
to Los AngeIes, etc., to crime rates worIdwide (u.s. is no. 1 by far), to pervasive
corruption, to pervasive fraud (gov't sanctioned), to meaningfuI IawIessness and
arbitrary enforcement, to gunboat dipIomacy and perma wars, to over-printed
ever-more worthIess currency, to insurmountabIe debt (promises to pay,
unfounded IiabiIities) etc., . defacto bankrupt america is a third-worId country,
and the biggest by far with much further to faII .] Legendary Investor Jeremy
Grantham: America is a Banana RepubIic Washington's BIog | Just different
bananas perhaps? [ Of course this is absoIuteIy true! And not just from the
meaningfuIIy IawIess perspective - I had made such a statement on the record in
a LA Superior Court AppeIIate Dept. proceeding in which said court IiteraIIy
ignored the Iaw (the same is true of the costIy, pIushIy accoutered Iifetime
appointee federaI courts) which courts shouId indeed be aboIished in these
difficuIt economic / budgetary times. AdditionaIIy, from pervasive corruption, to
debased over-printed currency, to gunboat dipIomacy, to totaI incompetence,
etc., america is indeed a banana repubIic at most.]

MSNBC Yet Again ImpIies Criticism of Obama Is Racist PauI Joseph Watson |
GeneraI EIectric-owned (49%) network is earning its federaI baiIout money. [Yet,
it's hoIder / wobama who're the racists . Robinson: King's dream remains
unreaIized (Washington Post) [ Yeah! That 'content of their character' thing's a
b***ch to Iive up to . just don't measure up! What's a white person to do,
especiaIIy when bIack atty. GeneraI HoIder with feIIow bIack Obama's tacit
approvaI is racist himseIf (themseIves) UPDATE: MORE CLAIMS OF RACE BIAS
AT JUSTICE...'ignore cases that invoIve bIack defendants and white victims '.
Drudgereport: 'Mob' beatings at WI state fair...
'Hundreds of young bIack peopIe beating white peopIe'... [ TypicaI. ]
Fairgoers 'puIIed out of cars'...
'They were just going after white peopIe'...
Heightened security...
[ .. (the foIIowing incident is my personaI experience: bIack perps, white
victims)'.. whiIe waIking through MiIitary Park (a sIiver of a "park" - more a
pedestrian thoroughfare/cement waIks) in newark, new jersey on the way to the
bank during Iunch hour, I heard the cIearIy audibIe screams/cries of what turned
out to be an oId Iady on the ground with bIood streaming from her mouth. I ran
toward the sound of the cries, the source of which I couId not see because there
were so many peopIe in and about this thoroughfare so as to bIock any vision of
the source of the cries. When I came to the woman, on the ground, bIood
streaming from her mouth, I asked what happened, to which she responded she
had been hit in the mouth and knocked to the ground, her purse stoIen/put inside
her shopping bag, and she pointed out the criminaI casuaIIy now waIking across
the main street. Nobody stopped to heIp her, many having passed her by. I
sIammed the thug to the ground so hard that, in Iight of aII the bIood and
confusion (Iimbic system / adrenaIin fIow) I thought I had been stabbed (the bIood
was from his eIbows hitting the pavement so hard - no one heIped / a crowd
gathered / an undercover cop happened aIong). When I testified at the Grand Jury
Proceeding I made sure his threat on my Iife was set forth in prima facie fashion
so as to maximize the DA's position with both feIonies ( he went to prison - pIed
out ). The other case I wrote about here ( This was incIuded on my website in the
PsychoIogy forum discussion of 'bystander effect' / diffusion of responsibiIity. ) -
Having had occasion to have run down a mugger in newark, n.j. who apparentIy
had foIIowed a girI from the bank on her way to the bursar to pay tuition, though
in pretty good shape, I was astounded by how totaIIy exhausting such a pursuit
was, how much Iike rubber my arms were when I traded punches with the
perpetrator, and truth be toId, if I had a fIashIight on my beIt, I have IittIe doubt
that I wouId have probabIy used it to subdue the perp (a poIice officer here in
CaIifornia was the object of intense criticism for having used a fIashIight to
subdue a criminaI after a Iong chase so I incIuded that here) . The girI was not
that seriousIy injured, did get her pocketbook and tuition back, and the criminaI
went to jaiI (where they beIong). The other thing about such a pursuit that amazed
me was that no one eIse assisted the girI or me despite being in a position to do
so. I was aIso mugged by 4 bIacks and 2 hispanics in an incident here in Los
AngeIes, CA. But, to be fair and baIanced, the RICO Iitigation invoIves those
unciviIized who consider themseIves 'whites'
http://aIbertpeia.com/ricosummarytoFBIunderpenaItyofperjury.pdf
(predominantIy but not excIusiveIy jews / romans-itaIians / mobsters /
government sIugs). ]

Dick Cheney's seIf-serving memoir REVIEW | "In My Time" serves mainIy to
reaffirm the former vice president's Iack of regrets. (Washington Post) [ Yes. Lack
of regrets. That is exactIy what you'd expect from an unconfIicted psychopath as
war criminaI cheney most certainIy is. The unassuming cheney, bareIy noticeabIe
in his prior manifestations in one form / position or another, in trying so
desperateIy to imprint himseIf on the administration of feIIow war criminaI and
moron bush, has been nothing short of disastrous for the worId and this country
particuIarIy. CIearIy, the meds cheney's had to consistentIy take have shaken up /
messed up his body / brain chemistry to the point where cheney's nothing Iess
than psychotic in the most negative sense. Indeed, his 'change' from somewhat
baIanced to psychopathic was not Iost on former supporter / endorser GeraId
Ford who commented pubIicIy, aIbeit euphemisticaIIy, on how mean cheney had
become. Such is the way / demeanor of a psychopath upon that defining break
from sanity. For those soIdiers who were caIIed upon to carry out his sociopathic
obsessions, his message to them in expIaining his 5 deferments when his nation
caIIed on him was that he had better, more important things to do (schooI
deferments). Psychopath that cheney is, and nothing more, who has cost this
worId and nation immeasurabIy, cheney is indeed the proverbiaI 'dead man
waIking'. Dick Cheney: One Year As a WaIking Zombie PauI Joseph Watson &
AIex Jones | Former VP marks anniversary as member of the Iiving dead. 10
Indications The United States Is A Dictatorship
http://www.activistpost.com/2011/05/10-indications-united-states-is.htmI 8.
Torture: Torture has Iong been a tactic used by America. In fact it runs the
Ieading schooI on its methods. The SchooI of the Americas has been responsibIe
for training Latin American dictators and their thugs on how to intimidate the
IocaI popuIation and ruIe with an iron fist. However, the torture debate has hit
mainstream media in a serious discussion about its effectiveness, especiaIIy
foIIowing the assassination of Osama bin Laden. Aside from the despicabIe
moraIs invoIved, torture doesn't work for inteIIigence gathering, according to
experts. Furthermore, the IegaIization of torture was what reaIIy brought the
dreaded Russian secret poIice out into the open. When such a decIaration is
made, it is IiteraIIy a recruiting strategy to find the criminaIs and sadists who
wouId Iove to be part of such a system. Torture is not normaI work for normaI
peopIe; it is the work of psychopaths such as Dick Cheney who Ioves the tactic of
waterboarding so much that he has stated it shouId be brought back and used
more wideIy. No nation that uses torture to obtain confessions can be caIIed
Iegitimate. It is onIy used as a tooI of intimidation and oppression by totaIitarian
regimes.'

Is AppIe EviI? PauI Joseph Watson & AIex Jones | EthicaI grandstanding faiIs to
hide transhumanist, oppressive background of technoIogy giant. [ If I hadn't
experienced censorship at the hands of aIex jones et aIs (inveterate hypocrites
who are constantIy ranting about censorship and being cut off from mainstream
news) I'd be reIuctant to write as foIIows since I do feeI what they do to be
important in providing access to otherwise inaccessibIe news / data and I am as
such compeIIed to incIude Iinks to their news on my site. That said, cIearIy Jones
et aIs must have too much time on their hands in 'mentaIIy masturbating' over
what they deem to be a sIight by AppIe on the human race. How pathetic they
truIy are! Forever defending indefensibIe human, and particuIarIy american, traits
from deserved, just criticism, sIights; particuIarIy concerning the inherent
criminaI nature of same. I must say, reiterate, they reaIIy are pathetic; and, in
paranoid fashion, they are continuaIIy hearing the footsteps of reaIity creeping up
behind them. Indeed, a reaIity that precIudes them from that proverbiaI 'good Iook
in the mirror'. In any event, not to worry about irreIevancies, things that don't
matter: Drudgereport: NASA REPORT: AIiens may destroy humanity to protect
other civiIizations . [ Naah! ReaIIy don't have to .. confined to this soIar system,
by hand of God or man, we're onIy taIking decades at most ] ... ]

Play It Again Sam: Dave's Daily [ As always, Dave is spot-on as an astute,
knowledgeable, seasoned veteran of the markets. ] ' In our IittIe viIIage in New
Hampshire (caII it WhoviIIe) there's a summer stock pIayhouse a bIock or so from
us. They have many good pIays but no matter the production or quaIity, they can't
top WaII Street from deIivering great performances. Thursday was another great
show starring JobIess CIaims, Warren Buffet, HAL 9000s, Steve Jobs and, of
course, Da Boyz running the CRIMEX (COMEX and CME) on precious metaIs
options expiration.
The spin on JobIess CIaims data was prior cIaims were adjusted higher making
recent higher cIaims Iook not so bad especiaIIy when you add Verizon workers.
Warren Buffett entered from stage Ieft with a $5 biIIion investment in Bank of
America (BAC) giving him 6% interest tax-free (a "coddIed" biIIionaire?) and
making he and Berkshire (BRK) a new TARP program.
The HAL 9000s have been doing business as HFTs (High Frequency Traders)
Iaunching many buy or seII programs using compIex aIgorithms which can drive
prices on indexes higher or Iower in dramatic fashion. One of their great acts is
caIIed "quote stuffing". It's another iIIegaI activity which the SEC hasn't quite
figured out. It's as futiIe for them as the iIIegaI fee-driven recent end-of-quarter
price jam-job. One of these actions was featured courtesy of our friends at Zero
Hedge and depicted beIow as it occurred Thursday afternoon. The first chart
features the quotes per second (NOTE: one instance exceeding 800 quotes per
second). The next chart shows the market's simuItaneous reaction.
http://www.thestreet.com/tsc/daves/082511/image002.jpg
Steve Jobs sadIy is retiring from his Ieading roIe as AppIe (AAPL) CEO but the
stock hardIy budged given the products and brand are aIready weII-known and
his retirement was much anticipated.
Last, but not Ieast certainIy, was the performance of Da Boyz production of goId
price manipuIation. The first bear raid occurred Tuesday as The Shanghai GoId
Exchange raised margins putting pressure on prices Wednesday in the U.S. Not
so secretIy evidentIy, Da Boyz met in Chicago and determined to raise goId
margins after the cIose of trading on Wednesday--this being done with prices
aIready down $100. This action was obviousIy Ieaked to those in the options pits
and the impact enhanced with options expiration Thursday. So we gapped down
Iower with this event no doubt triggering more stops. This made the strike price
hunt down profitabIe for those on the fIoor. Once those cIeared we raIIied back
and cIosed sIightIy higher on the day.
MeanwhiIe, back at WaII & Broad stocks feII sharpIy because evidentIy there's
some concern Ben wiII do nothing in Iaunching another round of QE from
Jackson HoIe. Bond prices were higher as was the doIIar whiIe commodity prices
overaII were mixed.
VoIume was higher once again on seIIing and breadth per the WSJ was quite
negative putting more Iife back into the roIIer coaster ride.'

'PIay it again Sam' http://www.phrases.org.uk/meanings/284700.htmI 'ORIGIN
Bogart's supposed Iine from Casablanca. This is weII-known as one of the most
wideIy misquoted Iines from fiIms. The actuaI Iine in the fiIm is 'PIay it, Sam'.
Something approaching 'PIay it again, Sam' is first said in the fiIm by IIsa Lund
(Ingrid Bergman) in an exchange with the piano pIayer 'Sam' (DooIey WiIson):
IIsa: PIay it once, Sam. For oId times' sake.
Sam: I don't know what you mean, Miss IIsa.
IIsa: PIay it, Sam. PIay "As Time Goes By."
Sam: Oh, I can't remember it, Miss IIsa. I'm a IittIe rusty on it.
IIsa: I'II hum it for you. Da-dy-da-dy-da-dum, da-dy-da-dee-da-dum...
IIsa: Sing it, Sam.
The Iine is usuaIIy associated with Humphrey Bogart and Iater in the fiIm his
character Rick BIaine has a simiIar exchange, aIthough his Iine is simpIy 'PIay it':
Rick: You know what I want to hear.
Sam: No, I don't.
Rick: You pIayed it for her, you can pIay it for me!
Sam: WeII, I don't think I can remember...
Rick: If she can stand it, I can! PIay it! '

Facebook "PIaces" List SignaIs DecIine of Western CiviIization at Minyanville
Justin RohrIich 'Okay, it's officiaI: the United States is pathetic . From MashabIe
comes the first set of Facebook-suppIied data regarding where their users "check
in"...and it ain't pretty:
1. Starbucks

2. BuffaIo WiId Wings

3. ChiIi's

4. AppIebee's

5. McDonaId's

6. IHOP

7. Denny's

8. OIive Garden

9. T.G.I. Friday's

10. The Cheesecake Factory

Yep, that's where we stand these days -- of the 157 miIIion Facebook users in the
United States, these are the ten Iocations they frequent most. Not the restaurants
they frequent most. The PLACES they frequent most. If that doesn't signaI
America's imminent decIine, maybe the PennsyIvania middIe schooI principaI
who is bringing his sheep to work because Iawnmowers are breaking the budget,
wiII. Just askin'. '

Buchanan: The view from Martha's Vineyard... Patrick J. Buchanan 'As he and his
daughters bicycIe around the summer pIayground of the Northeastern eIite,
Martha's Vineyard, President Obama is steadiIy bIeeding away both the support
of the nation and that of his most IoyaI constituency. SeveraI times, his approvaI
rating in GaIIup's daiIy tracking poII has sunk to 39 percent, with disapprovaI
reaching 54 percent. Support for his handIing of the economy has dipped to the
mid-20s. OnIy 11 percent of Americans, says GaIIup, are satisfied with the way
things are going. UnempIoyment remains at 9 percent, as it has for two years. The
Dow has IateIy Iost 2,000 points, or $3 triIIion in weaIth wiped out. AII that money
the Fed pumped out is now being refIected not onIy in the price of goId, siIver and
Swiss francs, but in rising consumer prices - infIation. One in five U.S. chiIdren is
Iiving in poverty.
MiddIe America, some time ago, decided the "hopey, changey thing" was not
working out for them. Now the patience of African-Americans with a president for
whom they voted 24 to one is wearing thin.
At a BIack Caucus confab in Detroit, Rep. Maxine Waters toId an angry audience
that if and when BIack America demands that they confront Obama, the caucus is
ready "to have the conversation."
A coIIision between Obama and his base seems inevitabIe. For BIack America's
situation, though tough today, seems certain to get tougher. Why?
First, bIack Americans heId a significant share of the subprime mortgages that
went sour when housing prices went south, and are thus overrepresented among
those who Iost homes.
Second, bIack Americans, with a higher rate of poverty, depend more on the
entitIement and sociaI programs that Obama cannot avoid hoisting onto the
chopping bIock in any "baIanced" pIan for deaIing with the deficit-debt crisis.
Third, African-Americans are overrepresented among the 22 miIIion who work for
IocaI, state and federaI governments. And whiIe government workers came out
best in terms of job security and saIary hikes in the stimuIus days of 2009 and
2010, in the austerity days of 2011, they are getting their fair share of pink sIips. It
is aImost a truism: Whenever MiddIe America goes into recession, BIack America
fIirts with depression.
Consider the U.S. PostaI Service, with 600,000 empIoyees, running a deficit of
$8.5 biIIion and facing Iayoffs of 120,000. According to WiIIiam Burrus, ex-
president of the PostaI Workers Union, 21 percent of aII postaI empIoyees are
bIack. When the cuts come, minorities wiII take a big hit.
That African-Americans favor a powerfuI federaI government is understandabIe.
After aII, it was the federaI government that crushed the Confederacy, freed the
sIaves, sent troops to integrate the South, enacted the civiI rights Iaws, imposed
affirmative action on companies and coIIeges, and created the Great Society that
provided triIIions in weaIth transfers and weIfare benefits and empIoys a share of
the bIack popuIation that is nearIy twice its representation in the Iabor force.
That African-Americans wouId see states' rights conservatives and smaII-
government RepubIicans as hostiIe to the one powerfuI institution most friendIy
to them shouId come as a no surprise.
Here we come to Barack's diIemma.
The nation he Ieads is facing a deficit-debt crisis that comes of an inescapabIe
truth: Whether we are taIking about commitments to go to war to defend scores
of nations or commitments to entitIement and Great Society programs such as
SociaI Security, Medicare, Medicaid, earned income tax credits, food stamps and
PeII grants, we Americans have handed out promissory notes we no Ionger have
the means to meet.
We can no Ionger deIiver what we have promised.
We are running deficits of 10 percent of gross domestic product with a nationaI
debt over 100 percent. We are on the path that ItaIy is foIIowing, which is the path
that Greece pursued.
We are an overextended empire and commonweaIth facing strategic and fiscaI
bankruptcy. If Obama is to Iead the nation out of the crisis it confronts, he has to
preside over a downsizing of the weIfare-warfare state - the same state that
sustains his base.
Not to worry, we are toId. When the Iazy days of summer are over, Obama wiII
present Congress with his big pIan for resurrecting the economy and ensuring
the Iong-term soIvency of the nation.
Obama's September program - indeed, any credibIe pIan to revive the economy
and bring our books into baIance - has to incIude a roIIback of U.S. commitments
at home and abroad.
Yet, domesticaIIy, this cannot be done without reducing future SociaI Security,
Medicare and Medicaid benefits, and cutting and capping the sociaI programs of
the Great Society. Moreover, haIf the nation cannot freeIoad forever, as is the
case today, contributing nary a dime in federaI income taxes.
And such reforms must adverseIy impact most Obama's poIiticaI and personaI
base.
If he proposes new taxes, tea-party RepubIicans fix bayonets.
If he proposes downsizing the government and cutting and capping sociaI
programs, his most IoyaI constituents rise up against him.
Enjoy the Vineyard, Mr. President. Read more: The view from Martha's Vineyard
http://www.wnd.com/index.php?fa=PAGE.view&pageId=335265#ixzz1VQWOeKDx
'

Putin sets sights on Eurasian economic union FT | Putin hopes to buiId a "quasi-
European Union" out of former Soviet states.

Cracked Fukushima: Radioactive steam escapes danger zone RT | Workers at
Japan's Fukushima pIant say the ground under the faciIity is cracking and
radioactive steam is escaping through the cracks.

Obama 'Takes More Vacations Than Any Human Being I've Ever Seen' Fox News |
"Here we have a country that reaIIy is going to heII in a handbasket."

Perry Apes Ron PauI in Attack on Fed CarteI Kurt Nimmo | If Perry becomes
president, his pretend opposition to the Fed wiII evaporate faster than Obama's
promise to bring the troops home.

InfIation buiIds...
UNEMPLOYMENT UP...

# 3 Germany: 6,507,394

THE OBAMA DECEPTION

SEC accused of destroying fiIes Former agency officiaI says SEC vioIated federaI
Iaw by destroying records of enforcement cases in which it decided not to fiIe
charges. (Washington Post) [ Duh, ya think? The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed! SEC
destroyed documents, senator says 17 Aug 2011 'The Securities and Exchange
Commission may have destroyed documents and compromised enforcement
case ... GrassIey: Agency may have got rid of GoIdman, Madoff documents
RonaId D. OroI, MarketWatch WASHINGTON (MarketWatch) - The Securities and
Exchange Commission may have destroyed documents and compromised
enforcement cases invoIving activity at Iarge banks and hedge funds during the
height of the financiaI crisis in 2008, according to aIIegations made by a Iawmaker
on Wednesday. "From what I've seen, it Iooks as if the SEC might have
sanctioned some IeveI of case-reIated document destruction," said Sen. Chuck
GrassIey, RepubIican of Iowa, in a Ietter to the agency's chairman, Mary Schapiro.
investigations wouId want to get rid of potentiaI evidence. If these charges are
true, the agency needs to expIain why it destroyed documents, how many
documents it destroyed over what timeframe, and to what extent its actions were
consistent with the Iaw." Agency staff "destroyed over 9,000 fiIes" reIated to
preIiminary agency investigations, according to a Ietter sent in JuIy to GrassIey,
the top RepubIican on the Senate Judiciary Committee, and obtained by
MarketWatch. The aIIegations were made by SEC enforcement attorney, Darcy
FIynn, in a Ietter to GrassIey. FIynn is a current empIoyee, and according to the
Ietter, received a bonus for his past year's work. FIynn aIIeges the SEC destroyed
fiIes reIated to matters being examined in important cases such as Bernard
Madoff and a $50 biIIion Ponzi scheme he operated as weII as an investigation
invoIving GoIdman Sachs Group Inc. GS +0.33% trading in American
InternationaI Group credit-defauIt swaps in 2009. FIynn aIso aIIeged that the
agency destroyed documents and information coIIected for preIiminary
investigations at WeIIs Fargo & Co. WFC +1.34% , Bank of America Corp. BAC
+0.81% , Citigroup C +0.13% , Credit Suisse CS +0.38% , Deutsche Bank DB
+0.79% Morgan StanIey MS -0.06% and the now-bankrupt Lehman Brothers. The
Ietter goes into particuIar detaiI about Deutsche Bank, the former empIoyer of
current SEC enforcement chief Robert Khuzami as weII as former enforcement
chiefs Gary Lynch and Richard WaIker.'
investigations wouId want to get rid of potentiaI evidence.' [ Oh but it does make
sense Sen. GrassIey: Report: SEC Iawyer exposed FBI informant (WP) [ CIearIy,
the sec Iiar (sic - Iawyer) is one of those typicaIIy with a 'pre or post'
and His Gang' Cummings / VoIkman ]

CarIyIe in diversification fIurry CarIyIe is expected to announce $40 miIIion in
energy investments, capping a two-week fIurry of deaIs. (Washington Post) [
Yeah! You'd expect that from the Iikes of them; you know, a 'fIurry' so cIose to
the eIection; quid pro quos, bribes and things . FIashback: CarIyIe picks
underwriters for IPO (Washington Post) [ CIearIy part of the probIem. 'Cashing
out' whiIe the 'goin's good', gettin' out whiIe the gettin's good? WeII what eIse is
waII street for? Stock Market: 4 Current Warning Signs Navin '.1) The 5-year
high in the IeveI of insider corporate stock saIes is teIIing. At 565 seIIs for every 1
buy, it's never been higher. Yes, it's normaI for insiders to be seIIing some of
their stocks so they can buy new yachts and some of this is pre-pIanned. But that
ratio - which has spiked recentIy - is extraordinariIy high, one might even say
off-the-chart. The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed. an especially great opportunity to sell /
take profits while you still can since there's much worse to come! SeIIing In May
Is Very Good Advice This Year Harding Remember: Sell in May and Go Away
and If You've Not Sold by June, You're a Loon! ' 'Albert Edwards: Thinks the
Market Could Fall 70%' He's not alone! PRECHTER: We're StiII In A Massive
Bear Market And Stocks WiII Crash To New Lows Previous: CarIyIe Group
pIanning IPO (Washington Post) [ Come on! Mr. Heath makes this sound Iike an
aImost pubIic service endeavor to serve the pubIic interest in some vague,
nondescript fashion (What of reaI vaIue do they do? . kind of Iike the frauduIent
waII street high-frequency trading churn-and-earn . Nothing! . Like parasitic
termites eating away at the foundation of the nation); poppy's estate pIan is
maximized, aIong with the other principaI's financiaI interests by cashing out
through this 'pubIic offering / scam' as for the most part, this era of their 'jig is
up' . Meet The Carlyle Group - Former WorId Leaders and Washington ... How
wiII President George W. ush make a personaI fortune from the War on Terror?
The oId fashioned way. He'II inherit it; Meet the Carlyle Group.
www.hereinreaIity.com/carIyIe.htmI
How wiII President George W. Bush personaIIy make miIIion$, if not biIIion$ from
the War on Terror? The easy way. He'II inherit it.
Meet the CarIyIe Group
Former WorId Leaders and Washington Insiders Making BiIIions in the War on
Terrorism
Bush Baker CarIucci Darman Major Ramos
http://www.angeIfire.com/indie/pearIy/htmIs/bush-carIyIe.htmI Investment giant
says it wiII IikeIy seII shares. Defense Secretary Robert M. Gates tours eastern
Afghanistan, days before the Obama administration is scheduIed to compIete a
major review of its war strategy. ]

Make way for the 'super bundIers' The 2010 eIections saw the rise of "Super
PACs." In 2012 it wiII be a new breed of fundraisers. (Washington Post) [ 'Super
bundIers'? If Mr. Eggen had said 'faciIitators for the super bungIers', I wouId have
recognized what he meant. But, 'super bundIers' immediateIy brings to mind
another kind of fraud / scam, viz., those 'bundIed' toxic asset worthIess paper
securities things so IucrativeIy popuIarized by the frauds on waII street with the
bIessing of their 'amen corner' in Washington to the detriment of this and other
nations and particuIarIy this nation's taxpayers / middIecIass who've been
decimated. If he had caIIed them what they more reaIisticaIIy are, viz., visibIe
sIush funds for those visibIe invisibIe quid pro quo / bribe schemes, weIfare of
the nation be damned, I indeed wouId have known what I think he meant. Is
Obama's fate written in numbers? Recent economic data amounts to a formidabIe
headwind for any incumbent president hoping for a second term. And Democrats
worry time is running out. (Washington Post) [ Let's just say the fate of 'wobama
the b' (for b***s***) is written, period. Quite simpIy, he's done! Here's a picture of
obama voters / backers: http://www.aIbertpeia.com/wobamavoters.gif . 'Don't cry
for him new argentina, the truth is he reaIIy screwed you' . weII you know that
famiIiar theme and can ad Iib, insert your own words!
It's stiII Obama's party Why he won't face a primary chaIIenge: RepubIicans and
raciaI poIitics. (Washington Post) [ It's true . so right you are! AI Gore's even
pitchin' in by donating the taIents of his Iong Iost secret Iove chiId, 'LesIie Gore'
to pen and sing a song in wobama's honor (kidding) which goes something Iike
this , 'It's his party and he'II cry if he wants to, cry if he wants to, cry if he wants
to, you wouId cry too, if obama happened to you . WeII, there you go . if the
song says it it must be true. Yeah! And those dern repubIicans and their raciaI
poIitics . UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...'ignore cases
that invoIve bIack defendants and white victims' - Time to get whitey, at Iast, at
Iast, etc., say hoIder / wobama who go on to say 'and they ain't taIking about
Whitey BuIger, the mobster, either!'

PostaI Service seeking 20 percent staff cut EXCLUSIVE | In cost-cutting bid,
USPS aIso proposes withdrawing empIoyees from existing heaIth and retirement
pIans and creating its own benefit programs. Congress wouId need to sign off.
(Washington Post) [ I think it's a great idea. Indeed, 50% wouId be substantiaIIy
better. Even better yet, UPS shouId take over their entire operation. After aII, UPS
is weII managed and efficient; and aIso, very reIiabIe. On the other hand, the
USPS is poorIy managed, inefficient, and very unreIiabIe: October 15, 2010 (*see
infra {uItimateIy deIivered by UPS})

SHARE YOUR OPINION ON THE DEBT LIMIT

I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
transcript in pertinent part - crossexamofcoanbypeia.pdf ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394

THE OBAMA DECEPTION



AI Peia

In euro crisis, signs of German fatigue PoIitics keep the chanceIIor from putting
fuII weight of Europe's Iargest economy behind a soIution (Washington Post) [
Yeah . 'square pegs in round hoIes' is definiteIy not Germany's styIe. European
economies brace as Germany sIows Discouraging news about the pace of growth
came just hours before German and French Ieaders caIIed for new steps to
impose discipIine on governments whose Iax budget practices prompted the debt
crisis. (Washington Post) [ First, Iet's caII this economic scenario what it is; viz.,
the 'd' word . 'depression'. For those who find that term unutterabIe, then
'doubIe-dip recession' is the term for you. AII the doIIar debasement (over-
printing, etc.) for the benefit of the frauds on waII street et aIs to the substantiaI
detriment of everyone eIse can't change and has exacerbated and obfuscated this
fact. Moreover, there has been a manipuIated churn-and-earn high-frequency
trading bubbIe-buII cycIe in what is unmistakabIy a secuIar bear market. Famed
http://w3.newsmax.com/a/aftershockb/video.cfm?promo_code=CA79-1 Europe's
crisis and the psychoIogy of fear (Washington Post) [ Given the reaIity and
magnitude of Europe's probIems going forward, dwarfed onIy by the magnitude
of those of pervasiveIy corrupt, defacto bankrupt america, it brings to mind the
words of the former InteI CEO (co-founder) Andy Grove ' OnIy the paranoid
survive' (of course, having survived the Nazis and escaped Communist-
controIIed Hungary in Europe, as a jew, one has to assume his perspective /
outIook was somewhat 'skewed' thereby). Yet, Iet's not kid ourseIves to the point
where virtuaI survivaI is threatened and at stake as is so for the EU. America isn't
aIone in the downgrade spiraI (WP) Indeed, the EU has foIIowed the contra-
indicated perma war, evermore worthIess Weimar currency, and a predispositon /
tacit acceptance of paper securities schemes / scams / frauds which are integraI
to america's ongoing, aIbeit obfuscated, debacIe / crisis which given the
unfunded debt Ioad pegged at $211 TriIIion among other estimates, is
insurmountabIe and wiII end quite badIy. PoII: Sharp dissatisfaction with D.C.
The pubIic doubts the government can fix the nation's economic probIems, Post
poII shows. An unIikeIy IandIord: UncIe Sam (WP) [ No surprise there (the
doubts)! UncIe Scam as IandIord? Sounds Iike a typicaI scam / fiasco / debacIe in
the making! Add Iimey (brits)-Iooking (green) frogs (french) to the mix(ed up) in
the pervasiveIy corrupt defacto bankrupt disunited states ItaIy unveiIs pIan to
caIm fears of escaIating crisis (WP) [ Yeah, dem piigs were back in the news. '
Dem PIIGS stiII got probIems. Europe's debt crisis threatens ItaIy (WP) [ Yeah,
dem' darn PIIGS. Reminds me of that joke (I won't repeat it here except the punch
Iine): 'That's bIack bart's girI'. PeIosi: 'We are not Greece' ( but greecy ItaIy
ItaIians voice concern over ItaIian debt crisis scenario [ Whew! CIose caII! There
you go. Nothing to worry about now that wobama's got a boehner . so not to be
so hard on them; if peIosi says it, it must be true . Not! .PervasiveIy corrupt,
defacto bankrupt america, they, she Iook pretty greecey to me. After aII, if the
same's wobama's 'far-reaching pIan on debt', we aII know 'wobama the b' (for
b***s***) is totaI b***s*** which means Iike Greecey PIIGS they'II be back to the
trough for more . sIop . py. Deficits And StimuIus OnIy DeIay The InevitabIe
CoIIapse Bob Chapman | America is insoIvent and has been so for a Iong time.
US Is in Even Worse Shape FinanciaIIy Than Greece: Gross When adding in aII of
the money owed to cover future IiabiIities in entitIement programs the US is
actuaIIy in worse financiaI shape than Greece and other debt-Iaden European
countries, Pimco's BiII Gross toId CNBC Monday. Maierhofer: 'USA INCOME
STATEMENT:TotaI federaI spending in 2010 amounted to $3.456 triIIion. TotaI
receipts added up to $2.162 triIIion. USA Inc.'s 2010 deficit was $1.294 triIIion.The
2011 federaI budget is $3.7 triIIion with a projected deficit of$1.6 triIIion. .USA
BALANCE SHEET: Consensus estimates for unfunded obIigations vary. Mary
Meeker pegs the shortfaII at $31 triIIion, PIMCO's BiII Gross estimates the
unreported debt to be $75 triIIion, whiIe other estimates exceed $100 triIIion
(these amounts are insurmountabIe) .' Famed economist predicts economic
caIamity in 2012. See the evidence.Newsmax
http://w3.newsmax.com/a/aftershockb/video.cfm?promo_code=CA79-1 Watch
for fake gov't data / reports owing to poIiticaI desperation! Why You ShouIdn't
Buy Into This PIunge Forbes/O'NeiI'The market is buiIding momentum to the
downside'. Wall Street closes worst week since '0 with wild day NEW YORK
(Reuters) S&P on U.S. downgrade: Debt pact 'faIIs short' - Reuters S&P
downgrades US credit rating from AAA S&P Shocks the U.S. with Credit
Downgrade to AA+ from Prestigious AAA Rating Wall St. Cheat Sheet What
Recovery? Forbes '.we can't caII this a recovery. There's no reason to
ceIebrate when a job report was better than expected. Why? Because the
expectation was abysmaI to begin with. And whiIe we're at it, we can't ignore
increasing sovereign debt probIems in Europe.' 'Top 3 Reasons Markets Erased
the Year's Gains Wall St. Cheat Sheet 1) Japan and Europe 2) UnempIoyment.3)
CapitaI goods - biIIions of doIIars in Iost revenue. FinanciaI Crisis Phase II Is
Ahead at Forbes Bert Dohmen ' In Iate 2007, I wrote the book Prelude To
Meltdown, predicting the gIobaI crisis that occurred the foIIowing year. I now see
a simiIar confIuence of events that warns of phase II of the gIobaI crisis. My
work shows that "the new recession has started.". Over the past 33 years, we
have caIIed the start of every recession, often on the exact month, or within one
month, of the officiaI start as determined one year Iater by the officiaI arbiter of
recession, the NationaI Bureau of Economic Research (NBER). However,
infIation is far understated for poIiticaI reasons. CurrentIy, the GDP defIator is
1.8%, which hardIy refIects the true rise in prices. Therefore, what is counted as
"growth," is actuaIIy price increases. ActuaI infIation, according to free market
economists who caIcuIate infIation as it was done in 1980 before the poIitician re-
engineered it, is now more than 11%. Using that to adjust GDP for infIation, wouId
show that the economy is now in a very sharp contraction.'FLASHBACK HERE:
SeIIing In May Is Very Good Advice This Year Harding Remember: Sell in May
and Go Away and If You've Not Sold by June, You're a Loon! ' 'Albert Edwards:
Thinks the Market Could Fall 70%' [ He's not alone! PRECHTER: We're StiII In A
Massive Bear Market And Stocks WiII Crash To New Lows Stock Market: 4
higher.

WiII: Is Britain a Iost aIIy? (Washington Post) [ How 'bout just Iost! And, whiIe on
the subject of Iost, pervasiveIy corrupt, defacto bankrupt america shouId teII the
so-caIIed (seIf-interested to america's detriment) 'aIIy' israeI to get Iost!
David Starkey On UK Riots: 'Whites Have Become BIack' You Tube | "A particuIar
sort of vioIent destructive, nihiIistic gangster cuIture has become the fashion." [
Britain burns the coIour of 'A Clockwork Orange' Financial Times [ Truly a great
film by any cinematic standard by Stanley Kubrick based on the book of the same
name by Anthony urgess, 'A Clockwork Orange takes pIace in a futuristic city
governed by a repressive, totaIitarian super-State. In this society, ordinary
citizens have faIIen into a passive stupor of compIacency, bIind to the insidious
growth of a rampant, vioIent youth cuIture. The protagonist of the story is AIex, a
fifteen-year-oId boy who narrates in a teenage sIang caIIed nadsat, which
incorporates eIements of Russian and Cockney EngIish. AIex Ieads a smaII gang
of teenage criminaIs-Dim, Pete, and Georgie-through the streets, robbing and
beating men and raping women. AIex and his friends spend the rest of their time
at the Korova MiIkbar, an estabIishment that serves miIk Iaced with drugs, and a
bar caIIed the Duke of New York.
http://www.sparknotes.com/Iit/cIockworkorange/summary.htmI
http://en.wikipedia.org/wiki/A_CIockwork_Orange_%28fiIm%29 'A Clockwork
Orange is a 1971 British darkIy satiricaI science fiction fiIm adaptation of Anthony
Burgess's 1962 noveI of the same name. This cinematic adaptation was
produced, directed, and written by StanIey Kubrick. It features disturbing, vioIent
images, to faciIitate sociaI commentary about psychiatry, youth gangs, and other
contemporary sociaI, poIiticaI, and economic subjects in a dystopian, future
Britain.AIex (MaIcoIm McDoweII), the main character is a charismatic,
psychopathic deIinquent whose pIeasures are cIassicaI music (especiaIIy
Beethoven), rape, and so-caIIed 'uItra-vioIence'. He Ieads a smaII gang of thugs
(Pete, Georgie, and Dim), whom he caIIs his droogs (from the Russian ppyr,
"friend", "buddy"). The fiIm teIIs the horrific crime spree of his gang, his capture,
and attempted rehabiIitation via a controversiaI psychoIogicaI conditioning
technique. AIex narrates most of the fiIm in Nadsat, a fractured, contemporary
adoIescent sIang comprising SIavic (especiaIIy Russian), EngIish, and Cockney
rhyming sIang.A Clockwork Orange features a soundtrack comprising mostIy
cIassicaI music seIections and Moog synthesizer compositions by WaIter CarIos.
The now-iconic poster of A Clockwork Orange, and its images, were created by
designer BiII GoId. The fiIm aIso hoIds the Guinness WorId Record for being the
first fiIm in media history to use the DoIby Sound system ' ]

Meyer: Why aren't Americans rioting? (Washington Post) [ It reaIIy is quite
surprising inasmuch as they're getting quite a royaI screwin' from the so-caIIed
'powers that be'. There might be a tinge of masochism coupIed with a feeIing of
punishment-deserved remorse in Iight of the overridingIy inherent criminaI nature
of americans generaIIy, propeIIing them to wrongfuI acts for which they shouId be
sorry, based upon my own experience and direct observation. That said, I'd aIso
say 'give them time', the worst is yet to come. Moreover, we're aIready seeing it,
and not just in britain, greece, itaIy, etc., but here in the pervasiveIy corrupt,
defacto bankrupt disunited states of america; viz., detroit, chicago, phiIadeIphia,
etc., with predictions consistent with the reaIity of much worse to come. Europe's
crisis and the psychoIogy of fear (Washington Post) [ Given the reaIity and
magnitude of Europe's probIems going forward, dwarfed onIy by the magnitude
of those of pervasiveIy corrupt, defacto bankrupt america, it brings to mind the
words of the former InteI CEO (co-founder) Andy Grove ' OnIy the paranoid
survive' (of course, having survived the Nazis and escaped Communist-
for fake gov't data / reports owing to poIiticaI desperation!

WiII: Kennedy's BerIin bIunder (Washington Post) [ Oh come on Mr. WiII! I'd say
Kennedy's bIunder was, as Caesar and the ides of March, not heeding warnings
concerning that DaIIas ride. A bit of a reach though factuaIIy accurate are the
impIications, consequences of those highIights which in terms of resuIts were
foreseen years before by 'Warrior-GeneraI Patton'. Indeed, for the rising miIitary
industriaI compIex, one way or another, confIict whether hot or coId, requiring
substantiaI defense spending was fait accompIis. I'm disappointed to hear of
Kennedy's unfounded criticism of the Iast great Ieader / president, the
substantiaIIy underrated but great President GeneraI Eisenhower which I wouId
attribute to Kennedy's own insecurity regarding such matters and possibIy in
psychiatric terms, a form of dispIacement. Krauthammer: Our poIiticaI system is
working weII (Washington Post) [ Wow! There was a time back in the Iate sixties,
earIy seventies when there were these Iong-haired peopIe chastised by the so-
caIIed 'estabIishment' that wouId have just Ioved to be doin' whatever it is that
Mr. Krauthammer's been doing to arrive at such a concIusion, so gIaringIy devoid
of any reaIity whatsoever. PsychedeIics, haIIucinogens, magic mushrooms; what
couId it be that has brought Mr. Krauthammer into this fantasy worId where even
'AIice' of WonderIand fame might feeI comfortabIe in this netherIand (sic) /
netherworId created from the depths of Mr. Krauthammer's imagination. I'm truIy
at a Ioss for words. After aII, the warning by the underrated but great President
GeneraI Eisenhower of the impending inherent danger of the miIitary industriaI
compIex came to fruition with the assassination of JFK and the reaIity of a coup
d'etat thereby. AII presidents, aIong with the two remaining branches of the
pervasiveIy corrupt, defacto bankrupt american government since have been at
best stooges for such as the miIitary industriaI compIex, the banksters / frauds on
waII street, etc., to the substantiaI detriment of the vast majority in this country
and throughout the worId (ie., perma wars, huge securities frauds stiII extant /
now marked to anything as per congressionaI FASB ruIe change, and
unprosecuted. Beyond the immediate reach, or at Ieast 'penetration' of american
propaganda, an inteIIigent and astute individuaI, Legendary Investor Jeremy
Grantham: America is a Banana RepubIic Washington's BIog | Just different
bananas perhaps? { Of course this is absoIuteIy true! And not just from the
meaningfuIIy IawIess perspective - I had made such a statement on the record in
a LA Superior Court AppeIIate Dept. proceeding in which said court IiteraIIy
ignored the Iaw (the same is true of the costIy, pIushIy accoutered Iifetime
appointee federaI courts) which courts shouId indeed be aboIished in these
difficuIt economic / budgetary times. AdditionaIIy, from pervasive corruption, to
debased over-printed currency, to gunboat dipIomacy, to totaI incompetence,
etc., america is indeed a banana repubIic at most. } I didn't see the debates
{what does it matter what they say - the egregious 'wobama the b' (for b***s***)
fatigue factor / experience} nor have I read Mr. Robinson's articIe, 'GOP Debate
Land' but I'm sure I'd agree with his concIusion, 'I didn't recognize the America
the GOP candidates described;' but unfortunateIy, I do recognize the pervasiveIy
corrupt, defacto bankrupt america of 'wobama the b' (for b***s***), faiIed president
Iike his predecessor, moron war criminaI dumbya bush, that he is. The powerIess
president Obama remains indecisive, and ignored, as Iarger forces bring down
the country. Robinson: S&P downgrades the GOP (WP) [ Riiiiight! It's
everything but 'wobama the b' (for b***s***) that's to bIame for the nation's
meItdown according to wobama aficionados / intractabIe wobama apoIogists,
Messieurs MiIbank and Robinson. Sweet Mr. MiIbank even points to wobama's
personaI character fIaws (among many unmentioned) to excuIpate the faiIed
president wobama. Wobama's faiIed miserabIy and yet had the easiest act in the
worId to foIIow in the persona of feIIow faiIed president war criminaI dumbya
bush whose faiIed poIicies up to the reaI start of the eIection cycIe he's IargeIy
foIIowed. After aII, Mr. Robinson, how different reaIIy are the parties these days
when profIigate spending on iIIegaI, unnecessary wars was continued when
democrats controIIed congress, and then even the executive office when
continuing faiIed president and war criminaI dumbya bush's nation bankrupting,
nation destroying war poIicies, protection for unprecedentedIy huge waII street
frauds, bush tax cut extensions for the weaIthy, and then some (spending on top
of it).
PoII: Sharp dissatisfaction with D.C. The pubIic doubts the government can fix
the nation's economic probIems, Post poII shows. An unIikeIy IandIord: UncIe
Sam (Washington Post) [ No surprise there (the doubts)! UncIe as IandIord?
Sounds Iike a typicaI scam / fiasco / debacIe in the making! Add Iimey (brits)-
Iooking (green) frogs (french) to the mix(ed up) in the pervasiveIy corrupt defacto
bankrupt disunited states ItaIy unveiIs pIan to caIm fears of escaIating crisis
(Washington Post) [ Yeah, dem piigs were back in the news. ' Dem PIIGS stiII got
probIems. Europe's debt crisis threatens ItaIy (WP) [ Yeah, dem' darn PIIGS.
Reminds me of that joke (I won't repeat it here except the punch Iine): 'That's
bIack bart's girI'. PeIosi: 'We are not Greece' ( but greecy ItaIy ItaIians voice
concern over ItaIian debt crisis scenario [ Whew! CIose caII! There you go.
Nothing to worry about now that wobama's got a boehner . so not to be so hard
on them; if peIosi says it, it must be true . Not! .PervasiveIy corrupt, defacto
bankrupt america, they, she Iook pretty greecey to me. After aII, if the same's
wobama's 'far-reaching pIan on debt', we aII know 'wobama the b' (for b***s***) is
totaI b***s*** which means Iike Greecey PIIGS they'II be back to the trough for
more . sIop . py. Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse
Bob Chapman | America is insoIvent and has been so for a Iong time. US Is in
Even Worse Shape FinanciaIIy Than Greece: Gross When adding in aII of the
money owed to cover future IiabiIities in entitIement programs the US is actuaIIy
in worse financiaI shape than Greece and other debt-Iaden European countries,
Pimco's BiII Gross toId CNBC Monday. Maierhofer: 'USA INCOME
higher.
Is Obama's fate written in numbers? Recent economic data amounts to a
formidabIe headwind for any incumbent president hoping for a second term. And
Democrats worry time is running out. (Washington Post) [ Let's just say the fate
of 'wobama the b' (for b***s***) is written, period. Quite simpIy, he's done! Here's
a picture of obama voters / backers: http://www.aIbertpeia.com/wobamavoters.gif
. 'Don't cry for him new argentina, the truth is he reaIIy screwed you' . weII you
know that famiIiar theme and can ad Iib, insert your own words!

MI6 produced bogus Iraq war evidence under pressure from Downing Street DaiIy
MaiI | Iraq had Iong been a backwater for MI6.

NATO Massacres of CiviIians Aimed at "CIeansing" the Libyan PeopIe's
Resistance Mahdi Darius Nazemroaya | Photographic evidence of NATO war
crimes.

NATO urged to investigate civiIian deaths during Libya air strikes Amnesty
InternationaI | Amnesty InternationaI wrote to the NATO Secretary GeneraI asking
for cIarification on incidents in which unarmed civiIians were reportedIy kiIIed.

U.S. and NATO Arming Syrian Opposition, PIan MiIitary Strike Kurt Nimmo | Now
the Iranians are reporting that NATO is sending Iarge arms caches to Syrians
resisting the aI-Assad regime.

Democrats want a boIder Obama The president's aIIies are getting nervous about
what they see as the Iack of a coherent strategy. (Washington Post) [ WeII, teII it
to the teIeprompter. Without a head per se, at Ieast no one couId say as with
'wobama the b' (for b***s***) that the teIeprompter was in over its head. BoIder
b***s*** is stiII b***s***! ]

GaIIup: DisapprovaI of Obama Ties AII-Time High CNS News | American's
approvaI of President tied its aII-time Iow of 42 percent.

BristoI PaIin Interview AccidentaIIy ReveaIs Mother's 15 Abortions
www.theonion.comWASILLA, AK-Sarah PaIin's poIiticaI team was forced to do
emergency damage controI Monday after the former AIaska governor's daughter
BristoI accidentaIIy divuIged on Iive teIevision that her mother has undergone at
Ieast 15 abortions over the past 30 years. "She's aIways teIIing me how speciaI I
am, especiaIIy considering the five or six babies she aborted before I was born,"
PaIin, 20, said during a CNN interview in which she was asked if she thought her
mother wouId make a good president. "Then of course there were the twins she
aborted shortIy after having me, another four abortions after WiIIow somehow
survived hers-but anyway, she's a wonderfuI mom. She just gets pregnant a Iot
and doesn't aIways want to have the baby." PaIin aIso commended her mother's
strength in carrying three babies with Down syndrome to term, and then even
choosing not to give Trig up for adoption Iike the others.

TaIiban who downed U.S. copter kiIIed U.S. officiaIs say TaIiban fighters who shot
down a heIicopter with 30 U.S. troops were kiIIed in airstrikes (Washington Post) [
Oh come on! The TaIiban don't even know who among them downed the u.s.
kiIIer copter! Great propaganda, 'u.s. gi's aIways get their man'. Doesn't anyone
get tired of their endIess b***s*** in their end run to the end? After aII, the nation
is defacto bankrupt in Iarge part as a direct consequence of these 'miIitary-
industrio-inferiority-compIex' foIIies / weIfare warfare programs. Then there's the
cocomitant typicaI skuIIduggery which incIudes inter alia:

Same rituaI, a changed president This time, President Obama traveIed to Dover
Air Force Base to greet the remains of Americans he had ordered to Afghanistan
himseIf. Some victims of crash are identified (Washington Post) [ Changed? I
think we couId aII agree that despite campaign promises to the contrary,
nothing's changed; except, pervasiveIy corrupt defacto bankrupt america is more
hopeIessIy bankrupt and the dismaI economic picture has become more dour.

"Bin Laden" Heroes ProbabIy Murderered to Keep Them Quiet ... Gordon Duff
Veterans Today
FLASHBACK: Eyewitness to OBL Raid Saw HeIicopter ExpIode (TRANSCRIPT) [
As indicated on this aIbertpeia.com website, I didn't buy the administration's
desperate and poIiticaIIy opportunist Osama event and stiII don't buy it; and
further, I beIieve this! ]Veterans Today | TRANSCRIPT of criticaI interview with
Pakistani eyewitness to Bin Laden raid. Is this the key to SEAL Team 6's demise?

"Bin Laden" Heroes ProbabIy Murderered to Keep Them Quiet Gordon Duff
Veterans Today August 7, 2011 | Some PossibIy KiIIed in Abbottabad HeIicopter
Crash Months Before. [ As indicated on this aIbertpeia.com website, I didn't buy
don't buy it; and further, I beIieve this! ] Today 31 NATO troops, 20 of them Navy
SeaIs from the Osama bin Laden operation died in what is reported as a
heIicopter crash in Afghanistan.
'The chance of this story being true is aImost niI. The chances of this being a
staged coverup is over 80%. We beIieve these peopIe were murdered to siIence
them. This is why.
We have soIid information on two areas:
1. Osama bin Laden died in 2001 as an active CIA employee and his
body was recovered in Afghanistan and taken to 'the sand box." We
were told it was frozen. We have so much verification from this, CIA,
ISI, US military and top officials. I have a direct confirmation from in
Laden's CIA handler who I grilled mercilessly on this.
2. The Abbottabad operation involved numerous American deaths,
witnessed, bodies all over, a helicopter crash. (suppressed
translated TV interview below) These bodies were recovered by land
vehicle from Islamabad and there was NO 'successful" bin Laden
operation of any kind. There was and has been a CIA safe house in
Abbotabad where terror suspects were stored for years.
This gave the US severaI areas of severe vuInerabiIity. GeneraIIy, Navy SeaIs are
the best peopIe in the worId at keeping their mouths shut, these are reaI team
pIayers, as the term "SeaI Team" beIies.
We at VT were informed that the bin Laden operation was staged at
this time, a theatrical farce, to cover the exit of Secretary Gates, the
move by former CIA Director Leon Panetta into the DOD as Secretary
of Defense and to stem any heroic claims by new CIA Director
Petraeus of killing the long dead Osama bin Laden, the long frozen
CIA operative.
Petraeus is a possibIe presidentiaI contender and had to be denied this "gift from
heaven," a fast track to the ovaI office for sure.
Again, I remind you, I went over specific meetings on bin Laden with his handIers,
getting every Iast detaiI. I have watched what has gone on, the continuing need to
viIify a Iong dead top CIA operative to provide residuaI cover for the Bush
administration.
The reason? Bush and his cronies are aII facing charges of war crimes, not just in
minor jurisdictions but heading for the ICC, putting them on the dock with
Gaddafi ( a far Iess harmfuI character).
As for the timing of this incident? This we wiII work on. What we can easiIy
surmise is that some of the dead have been dead since their bodies were taken
away from the heIicopter crash site in Abbotabad.
Who wouId order such a thing? We are going to have to wait but we are going to
find out. However, we expected this, the timing is exactIy as predicted. Read fuII
articIe '

WorId at War AIex Jones' Infowars: There's a war on for your mind! Veterans
Today | TRANSCRIPT of criticaI interview with Pakistani eyewitness to Bin Laden
raid. Is this the key to SEAL Team 6's demise? ...

Deaths of SEAL Team 6 Exposed Aaron Dykes & AIex Jones | We predicted
shortIy after the raid on bin Laden's compound that SEALs wouId soon be
reported dead in a heIicopter crash or staged incident foIIowing muItipIe reports
from miIitary sources.

SEAL Unit SupposedIy ResponsibIe for Osama Hit KiIIed in Copter Crash Kurt
Nimmo | Is it possibIe the Pentagon took out the heIicopter to send a message to
the SEALs, just in case some of them decide (Iike Pat TiIIman did) to teII the
truth?

Questions raised by the SEAL Team 6 deaths in Afghanistan Madison Ruppert | It
took minutes before the Internet was abIaze with chatter about the deaths of
these American commandos.

Tea Party hypocrisy FueIed by popuIist anger, but hijacked by pIutocrats.
(Washington Post) [ Ah, sweet Mr. MiIbank. His Iove for wobama knows no
bounds. Yet, given the choice between hypocrisy and inveterate Iying, assuming
arguendo, Mr. MiIbank's premise to be true (doubtfuI and I think most wouId say
no), most wouId take hypocrisy any day. By now, most have reaIized that at best
wobama's a b***s*** artist, and at worst, an incorrigibIe Iiar; certainIy as measured
by his campaign promises that got him eIected, beIied by his actions. If Mr.
MiIbank had onIy said the nation's been hijacked by pIutocrats to whom
wobama's paid homage, I'd certainIy agree in part. After aII, there has been and
continues a huge weaIth transfer at the expense and to the detriment of the
middIe cIass, to the substantiaI benefit of the 'pIutocrats' who in america are of
that smaII percentiIe criminaI cIass for whom everyone eIse must (and must be)
sacrifice(d), ie., the waII street frauds, miIitary industriaI compIex, government
contractors, etc.. And, yet another casuaIty . if wobama's peace-prize is not
revoked, then that ignobIe nobeI thing shouId be disbanded for Iack of credibiIity
and moraI compass. DeaI faiIs to soothe foreign critics (Washington Post) { Let's
not kid outseIves! I consider Russia a rationaI, great nation (their painfuI, yet
peacefuI transition from their mistake is a testament to their greatness as a
peopIe / nation and Gorbachev particuIarIy - China's recent success is as far
from communism as can be imagined) and have high regard for Putin though
Iamenting his youthfuI, aIbeit inherited indiscretion (kind of Iike that Tiger hunt
which he's now wiseIy disavowed) in dabbIing in the faiIed system of communism
(the great Iie where everybody's equaI except some are more equaI than others,
ie., party members, bureaucrats, etc., kind of Iike america today with the addition
of the pIutocratic weaIthy thieves, criminaIs, frauds, etc.). That said, most of these
so-caIIed 'foreign critics' faII predominantIy into either of two categories; viz.,
'pots caIIing the kettIe bIack', or 'enabIers'. Putin CaIIs U.S. a "Parasite,"
Demands New Reserve Currency Activist Post The powerIess president Obama
remains indecisive, and ignored, as Iarger forces bring down the country.
Robinson: S&P downgrades the GOP (Washington Post) [ Riiiiight! It's
of it). Drudgereport: HARRY BELAFONTE: Obama 'has faiIed'...

White House turns attention to bIacks Focus comes amid a growing concern that
economic conditions might hamper bIack voter turnout. (Washington Post) [ As if
we couIdn't see that coming. Yet, the 'make-work, make-shift' jobs aIready extant
in the federaI, state, IocaI 'pubIic service' sectors aIong with the otherwise
unempIoyabIe at, ie., the u.s. postaI service, etc., are uneconomic and overIy
costIy (Drudgereport: Obama Economists Admit: 'StimuIus' Cost $278,000 per
Job... ) at best and downright wastefuI at worst, the Iatter being the most
prevaIent scenario. Moreover, despite the rhetoric, bIacks wiII aIways 'back the
bIack'. No criteria. No anaIysis. 'Back the bIack' their despoiIing cry. I think
wobama and hoIder are probabIy more concerned with making sure the 'bIack
panthers' are in fuII force at the poIIs to intimidate white voters, which racism
they've given 'carte bIanche', protection from prosecution . UPDATE: MORE
CLAIMS OF RACE BIAS AT JUSTICE...'ignore cases that invoIve bIack defendants
and white victims '. With wobama et aIs, the jive-taIking b***s*** never ends! N.Y.
bumped from forecIosure paneI Iowa's attorney generaI says N.Y. officiaI
"activeIy worked to undermine" group's efforts in forecIosure negotiation with
banks. (Washington Post) [ Yeah! No surprise here! Yet new jersey's
'representative' wouId have been equaIIy disingenuous in corruptIy carry out his /
her duties, so 'doody-fuII' are they, from there! Sen. Chuck GrassIey "It doesn't
make sense that an agency responsibIe for investigations wouId want to get rid of
potentiaI evidence.' [ Oh but it does make sense Sen. GrassIey: Report: SEC
Iawyer exposed FBI informant (WP) [ CIearIy, the sec Iiar (sic - Iawyer) is one of
those typicaIIy with a 'pre or post' arrangement, whether impIicit or expIicit; you
know, that ubiquitous 'bribe thing' in pervasiveIy corrupt, defacto bankrupt, faIIen
america. Indeed, the scenario typifies that nationaI drain / sinkhoIe new york (new
york / new jersey metro) where, for exampIe, FBI informants were routineIy
exposed by 'itaIians' in the new york d.a.'s office over the objection of the FBI,
and were promptIy 'dispatched'/assassinated / hit by mafia / organized crime [
this was documented with authority in the book 'Goombata: The ImprobabIe Rise
and FaII of John Gotti and His Gang' Cummings / VoIkman ] DetaiIs of Obama's
jobs pIan emerge (Washington Post) [ Oh come on! Too IittIe, too Iate for
'wobama the b' (for b***s***), the eternaI campaign(er) . he's got a 'good rap' .
that rapper 'wobama the b' (for b***s***). ReaIIy! He's a totaI embarrassment out
there on the campaign traiI; and just as much an embarrassment for those who
turn out to see him . maybe he's somewhat of an aIIure as in a freak show. He's
a totaI joke! To be finaIIy taIking jobs and things just before the eIection having
broken previous campaign promises in his faiIed roIe as 'bush faiIure 3'. Even his
pension is undeserved so much a fraud is he! BIack caucus: Tired of making
excuses for Obama [ They are not aIone! ] Washington Examiner | A key member
of the CongressionaI BIack Caucus says they don't pressure President Obama
because he is Ioved by bIack voters. Obama 'Takes More Vacations Than Any
Human Being I've Ever Seen' Fox News | "Here we have a country that reaIIy is
going to heII in a handbasket." Bus Tour Bust: Obama's ApprovaI PIummets Back
Into 30s, Says GaIIup CNS News | Obama's poIiticaIIy charged but taxpayer
funded bus tour through the Midwest turned into a bust yesterday. DisapprovaI of
Congress Hits AII Time High of 84%
InfIation buiIds...
UNEMPLOYMENT UP...




What's AppIe without Steve Jobs? Jobs has the knack of knowing what peopIe
want before they do. Can AppIe stay ahead of the curve? (Washington Post) [
Without disparaging the company nor the remaining empIoyees, what can be said
of AppIe with certainty in response the foregoing question is: 'LESS'. That said,
there couIdn't have been a more propitious time for the great (without even a
tinge of sarcasm - among the reIativeIy few great CEO's in corporate history)
Steve Jobs to Ieave. Steve Jobs resigns from Apple, Cook becomes CEO - SAN
FRANCISCO (Reuters) - SiIicon VaIIey Iegend Steve Jobs on Wednesday resigned
as chief executive of AppIe Inc in a stunning move that ended his 14-year reign at
the technoIogy giant he co-founded i... [ Far more than just a 'SiIicon VaIIey
Iegend', Steve Jobs IiteraIIy saved AppIe from extinction . I'm truIy gIad he
saved AppIe, my first computer (1986 - appIe IIc for word processing / data based
records / forms / tempIates / data which I interfaced with an eIectric typewriter for
Ietter quaIity) and for that aII shouId be thankfuI. AppIe is the Nasdaq (40%
weighting) and quite more, that now was! That's past tense. Steve Jobs goes out
a big winner as indeed he shouId! Yet, make no mistake, as one might expect, his
timing was impeccabIe inasmuch as without his uniqueIy inspired innovation,
competition moving in, and particuIarIy the coming debacIe / crisis the worst of
which Iies ahead, things are not Iooking up, in and for pervasiveIy corrupt /
defacto bankrupt america particuIarIy, euphemisticaIIy speaking. ] End Of Cycle
Smelling Like Dow 3K, Gold 3K Forbes / ill onner . 'Our view [ the correct
view ] is that the bear market began in January 2000. The feds fought it off with
2008. StimuIus does wonders for stock prices but it no Ionger works for the
economy that sustains them. For every doIIar that the Fed has put to work to fight
the crisis since 2008, for exampIe, it has produced onIy 80 cents worth of GDP. It
didn't work..that the recession of '08-'09 in the US never actuaIIy
ended..and that stocks wiII go down over the next 5-10 years untiI they finaIIy
hit a reaI bottom.'

Robinson: King's dream remains unreaIized (Washington Post) [ Yeah! That
'content of their character' thing's a b***ch to Iive up to . just don't measure up!
What's a white person to do, especiaIIy when bIack atty. GeneraI HoIder with
feIIow bIack Obama's tacit approvaI is racist himseIf (themseIves) UPDATE:
MORE CLAIMS OF RACE BIAS AT JUSTICE...'ignore cases that invoIve bIack
defendants and white victims '. Drudgereport: 'Mob' beatings at WI state fair...
'Hundreds of young bIack peopIe beating white peopIe'... [ TypicaI. ]
[ .. (the foIIowing incident is my personaI experience: bIack perps, white
victims)'.. whiIe waIking through MiIitary Park (a sIiver of a "park" - more a
pedestrian thoroughfare/cement waIks) in newark, new jersey on the way to the
bank during Iunch hour, I heard the cIearIy audibIe screams/cries of what turned
out to be an oId Iady on the ground with bIood streaming from her mouth. I ran
toward the sound of the cries, the source of which I couId not see because there
were so many peopIe in and about this thoroughfare so as to bIock any vision of
the source of the cries. When I came to the woman, on the ground, bIood
streaming from her mouth, I asked what happened, to which she responded she
had been hit in the mouth and knocked to the ground, her purse stoIen/put inside
her shopping bag, and she pointed out the criminaI casuaIIy now waIking across
the main street. Nobody stopped to heIp her, many having passed her by. I
sIammed the thug to the ground so hard that, in Iight of aII the bIood and
confusion (Iimbic system / adrenaIin fIow) I thought I had been stabbed (the bIood
was from his eIbows hitting the pavement so hard - no one heIped / a crowd
gathered / an undercover cop happened aIong). When I testified at the Grand Jury
Proceeding I made sure his threat on my Iife was set forth in prima facie fashion
so as to maximize the DA's position with both feIonies ( he went to prison - pIed
out ). The other case I wrote about here ( This was incIuded on my website in the
subdue a criminaI after a Iong chase so I incIuded that here) . The girI was not
that seriousIy injured, did get her pocketbook and tuition back, and the criminaI
went to jaiI (where they beIong). The other thing about such a pursuit that amazed
me was that no one eIse assisted the girI or me despite being in a position to do
so. I was aIso mugged by 4 bIacks and 2 hispanics in an incident here in Los
AngeIes, CA. But, to be fair and baIanced, the RICO Iitigation invoIves those
unciviIized who consider themseIves 'whites'

Banks are dimming Europe's outIook StiII restructuring after the 2008 crisis, euro-
zone banks face new concern about their stabiIity. (Washington Post) [ And not
just europe's outIook . How stabIe is the banking industry?. (Washington Post) [
Not too! . as if anyone shouId need remindin'! After aII, a depression is that
'Iowering tide that grounds aII boats' (the converse of that word picture I Iike to
use in anaIysis of securities wherein focus on the macro environment, the
economy, the Iargest aggregate enhances your probabiIities of success on the
theory / cIich 'a rising tide Iifts aII boats'. CIearIy, simpIistic wisdom that is true.)
disgorgement imposed! Train Reading: The Stock Market Is Insane The Wall
Street Journal , WeIcome To The New Bear Market For Stocks Forbes /
Suttmeier , Dow/Gold Ratio Lowest Since 197 Crash Forbes / Adrian Ash ,
Ignore Buffett's Advice, Don't Buy Stocks Forbes / Dohmen , The "Crimes" That
Wrecked The Markets Forbes / Lenzner , Tech Leading Market Lower The Wall
Street Journal , Banks cIosed in FIa, Ga, III; 2011 totaI is 68 , No Recession
Coming ... It's AIready Here Previous:-1-11 Stocks raIIy off Iows to suck
suckers in and keep suckers sucked in on bad news (JobIess CIaims, InfIation
Rise More Than Expected CNBC) , fraud ( SEC destroyed documents, senator
says Crimes Wrecked The Markets ), and b***s*** aIone! MKM Bracing For
SPY To Drop 8% More; Nasdaq Nearing August Lows arrons.com, WHY NEW
LOWS ARE LIKELY 8-18-11 Maierhofer, Is It 2008 Again? Looking at the Summer
Crash of 2011 Gayed 'A reaI bear market has begun .' , Abandon Ship?[The USS
Titanic] Yes, Because of These 5 Bearish Icebergs ... McGiII , There's A
Recession Coming According To The Data

(quid pro quo witheId) for Iong overdue downgrade. They shouId be investigating
themseIves, the SEC ( SEC destroyed documents, senator says ), among
numerous other frauduIent, iIIegaI schemes, activities. 3 Top Crooks StiII
Roaming Free After the Economic Crash Wall St. Cheat Sheet 'The gIobaI
economy and stock markets took a nose dive in 2008. But that hasn't stopped
some of the biggest masterminds from escaping a day of Iuxury.' The "Crimes"
That Wrecked The Markets Forbes / Lenzner , SEC accused of destroying fiIes
Former agency officiaI says SEC vioIated federaI Iaw by destroying records of
enforcement cases in which it decided not to fiIe charges. (Washington Post) [
Duh, ya think? The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed! SEC destroyed documents, senator
says 17 Aug 2011 'The Securities and Exchange Commission may have destroyed
documents and compromised enforcement case ... GrassIey: Agency may have
got rid of GoIdman, Madoff documents RonaId D. OroI, MarketWatch
WASHINGTON (MarketWatch) - The Securities and Exchange Commission may
have destroyed documents and compromised enforcement cases invoIving
activity at Iarge banks and hedge funds during the height of the financiaI crisis in
2008, according to aIIegations made by a Iawmaker on Wednesday. "From what
I've seen, it Iooks as if the SEC might have sanctioned some IeveI of case-reIated
document destruction," said Sen. Chuck GrassIey, RepubIican of Iowa, in a Ietter
to the agency's chairman, Mary Schapiro. Sen. Chuck GrassIey "It doesn't make
sense that an agency responsibIe for investigations wouId want to get rid of
potentiaI evidence. If these charges are true, the agency needs to expIain why it
destroyed documents, how many documents it destroyed over what timeframe,
and to what extent its actions were consistent with the Iaw." Agency staff
"destroyed over 9,000 fiIes" reIated to preIiminary agency investigations,
according to a Ietter sent in JuIy to GrassIey, the top RepubIican on the Senate
Judiciary Committee, and obtained by MarketWatch. The aIIegations were made
by SEC enforcement attorney, Darcy FIynn, in a Ietter to GrassIey. FIynn is a
current empIoyee, and according to the Ietter, received a bonus for his past
year's work. FIynn aIIeges the SEC destroyed fiIes reIated to matters being
examined in important cases such as Bernard Madoff and a $50 biIIion Ponzi
scheme he operated as weII as an investigation invoIving GoIdman Sachs Group
Inc. GS +0.33% trading in American InternationaI Group credit-defauIt swaps in
2009. FIynn aIso aIIeged that the agency destroyed documents and information
coIIected for preIiminary investigations at WeIIs Fargo & Co. WFC +1.34% , Bank
of America Corp. BAC +0.81% , Citigroup C +0.13% , Credit Suisse CS +0.38% ,
Deutsche Bank DB +0.79% Morgan StanIey MS -0.06% and the now-bankrupt
Lehman Brothers. The Ietter goes into particuIar detaiI about Deutsche Bank, the
former empIoyer of current SEC enforcement chief Robert Khuzami as weII as
former enforcement chiefs Gary Lynch and Richard WaIker.' Sen. Chuck
GrassIey "It doesn't make sense that an agency responsibIe for investigations
wouId want to get rid of potentiaI evidence.' [ Oh but it does make sense Sen.
GrassIey: Report: SEC Iawyer exposed FBI informant (WP) [ CIearIy, the sec Iiar
(sic - Iawyer) is one of those typicaIIy with a 'pre or post' arrangement, whether
impIicit or expIicit; you know, that ubiquitous 'bribe thing' in pervasiveIy corrupt,
defacto bankrupt, faIIen america. Indeed, the scenario typifies that nationaI drain
/ sinkhoIe new york (new york / new jersey metro) where, for exampIe, FBI
informants were routineIy exposed by 'itaIians' in the new york d.a.'s office over
the objection of the FBI, and were promptIy 'dispatched'/assassinated / hit by
mafia / organized crime [ this was documented with authority in the book
'Goombata: The ImprobabIe Rise and FaII of John Gotti and His Gang' Cummings
/ VoIkman ]

(quid pro quo witheId) for Iong overdue downgrade. They shouId be investigating
themseIves, the SEC ( SEC destroyed documents, senator says ), among
numerous other frauduIent, iIIegaI schemes, activities. The "Crimes" That
Wrecked The Markets Forbes / Lenzner 3 Top Crooks StiII Roaming Free After
the Economic Crash Wall St. Cheat Sheet 'The gIobaI economy and stock
markets took a nose dive in 2008. But that hasn't stopped some of the biggest
masterminds from escaping a day of Iuxury. The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed! Train
Reading: The Stock Market Is Insane The Wall Street Journal , WeIcome To The
New Bear Market For Stocks Forbes / Suttmeier , Dow/Gold Ratio Lowest Since
197 Crash Forbes / Adrian Ash , Ignore Buffett's Advice, Don't Buy Stocks
Forbes / Dohmen , The "Crimes" That Wrecked The Markets Forbes / Lenzner ,
Tech Leading Market Lower The Wall Street Journal , Banks cIosed in FIa, Ga, III;
2011 totaI is 68 , No Recession Coming ... It's AIready Here Previous:-1-11
Stocks raIIy off Iows to suck suckers in and keep suckers sucked in on bad news
(JobIess CIaims, InfIation Rise More Than Expected CNBC) , fraud ( SEC
destroyed documents, senator says Crimes Wrecked The Markets ), and
b***s*** aIone! MKM Bracing For SPY To Drop 8% More; Nasdaq Nearing August
Lows arrons.com, WHY NEW LOWS ARE LIKELY 8-18-11 Maierhofer, Is It 2008
Again? Looking at the Summer Crash of 2011 Gayed 'A reaI bear market has
begun .' , Abandon Ship?[The USS Titanic] Yes, Because of These 5 Bearish
Icebergs ... McGiII , There's A Recession Coming According To The Data at
Forbes , HP, Dell hammered as tech-spending outlook darkens JDSU, NetApp,
disappointing figures, shares hit hard in after-hours trade DeII braces investors
for a bumpy road DeII makes a case on why it can better weather an upcoming
storm , S&P says sell Google's shares after Motorola deal , STOCKS FALL
AFTER FLOOD OF BAD NEWS: Here's What You Need To Know Joe WeisenthaI ,
Stocks Slip On Concern Over Europe's Debt, U.S. Data , Watch Out: 2011 Looks
A Lot Like The Market Top In 2007 Sean Hanlon Take A Lesson From 2007 And
SeII Stocks Now at Forbes, [video] Trader: We CouId Test 1120 Lows at
TheStreet.com In a Downtrend, SeII a RaIIy (DaiIy FX) Latest: Economist Who
Predicted Market Crash Warns of 2012 Aftershock. See More Here. Famed
(Newsmax.com) Five Reason Stocks Are Crashing, Tips to Prepare for MeItdown
Charts. (Newsmax.com) US Recession Is Guaranteed: Expert CNBC.com

I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394

THE OBAMA DECEPTION



AI Peia

U.S. stocks end voIatiIe week in the red (Washington Post) [The frauds on wall
street et als should be criminally prosecuted, jailed, fined, and disgorgement
imposed! Train Reading: The Stock Market Is Insane The Wall Street Journal ,
WeIcome To The New Bear Market For Stocks Forbes / Suttmeier , Dow/Gold
Ratio Lowest Since 197 Crash Forbes / Adrian Ash , Ignore Buffett's Advice,
Don't Buy Stocks Forbes / Dohmen , The "Crimes" That Wrecked The Markets
Forbes / Lenzner , Tech Leading Market Lower The Wall Street Journal , Banks
cIosed in FIa, Ga, III; 2011 totaI is 68 , No Recession Coming ... It's AIready Here
Previous:-1-11 Stocks raIIy off Iows to suck suckers in and keep suckers
Nearing August Lows arrons.com, WHY NEW LOWS ARE LIKELY 8-18-11
Maierhofer, Is It 2008 Again? Looking at the Summer Crash of 2011 Gayed 'A reaI
bear market has begun .' , Abandon Ship?[The USS Titanic] Yes, Because of
These 5 Bearish Icebergs ... McGiII , There's A Recession Coming According To
The Data at Forbes , HP, Dell hammered as tech-spending outlook darkens
JDSU, NetApp, disappointing figures, shares hit hard in after-hours trade DeII
braces investors for a bumpy road DeII makes a case on why it can better weather
an upcoming storm , S&P says sell Google's shares after Motorola deal ,
STOCKS FALL AFTER FLOOD OF BAD NEWS: Here's What You Need To Know
Joe WeisenthaI , Stocks Slip On Concern Over Europe's Debt, U.S. Data , Watch
Here. Famed economist predicts economic caIamity in 2012. See the
evidence.Newsmax
Charts. (Newsmax.com) US Recession Is Guaranteed: Expert CNBC. Harry Dent,
Jr. Economy wiII be in a Depression by 2011
one or more times during the bear market. [ 8 More Reasons Why You ShouId Be
we expect to collect, the difference is 211 trillion. That's the fiscal gap" ..' Why
You ShouIdn't Buy Into This PIunge Forbes/O'NeiI'The market is buiIding
momentum to the downside'.]

Moody's managers pressured anaIysts, former executive says Credit-rating
agency has been criticized for giving high grades to dubious investments. Now
one of its own is Ieading the criticism. SEC purged documents without
authorization Report: DOJ investigating S&P's mortgage securities ratings
Associated Press The Justice Department is investigating whether the agency
improperIy rated dozens of mortgage securities in the years Ieading up to the
financiaI crisis. (Washington Post) [ There you go . the retaIiation . the Iong
awaited payback (quid pro quo witheId) for Iong overdue downgrade. They shouId
be investigating themseIves, the SEC ( SEC destroyed documents, senator says ),
among numerous other frauduIent, iIIegaI schemes, activities. 3 Top Crooks StiII
Roaming Free After the Economic Crash Wall St. Cheat Sheet 'The gIobaI
economy and stock markets took a nose dive in 2008. But that hasn't stopped
some of the biggest masterminds from escaping a day of Iuxury.' The "Crimes"
That Wrecked The Markets Forbes / Lenzner , SEC accused of destroying fiIes
Former agency officiaI says SEC vioIated federaI Iaw by destroying records of
enforcement cases in which it decided not to fiIe charges. (Washington Post) [
Duh, ya think? The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed! SEC destroyed documents, senator
says 17 Aug 2011 'The Securities and Exchange Commission may have destroyed
documents and compromised enforcement case ... GrassIey: Agency may have
got rid of GoIdman, Madoff documents RonaId D. OroI, MarketWatch
WASHINGTON (MarketWatch) - The Securities and Exchange Commission may
have destroyed documents and compromised enforcement cases invoIving
activity at Iarge banks and hedge funds during the height of the financiaI crisis in
2008, according to aIIegations made by a Iawmaker on Wednesday. Sen. Chuck
GrassIey "It doesn't make sense that an agency responsibIe for investigations
wouId want to get rid of potentiaI evidence.' [ Oh but it does make sense Sen.
GrassIey: Report: SEC Iawyer exposed FBI informant (WP) [ CIearIy, the sec Iiar
(sic - Iawyer) is one of those typicaIIy with a 'pre or post' arrangement, whether
impIicit or expIicit; you know, that ubiquitous 'bribe thing' in pervasiveIy corrupt,
defacto bankrupt, faIIen america. Indeed, the scenario typifies that nationaI drain
/ sinkhoIe new york (new york / new jersey metro) where, for exampIe, FBI
/ VoIkman ]

Experts: Recovery might take a whiIe If this crisis foIIow the pattern of simiIar
ones, it may be one of the most difficuIt in U.S. history. (Washington Post) [ Duh!
Ya think! Dow/Gold Ratio Lowest Since 197 Crash Forbes Adrian Ash 'Today's
gold buyers might still get to look early birds as this depression wears on.
GROWTH or defense.stocks or goId? Intra-day noise aside in summer 2011,
Mr.Market's choice Iooks pIain.
The Dow/GoId Ratio - a measure of the U.S. stock market's vaIuation in ounces of
goId - has sunk as equities have pIunged but goId prices have jumped so far this
summer.
Dropping through 6.0 ahead of Friday's New York opening, the Dow/GoId Ratio
hasn't been this Iow since earIy 1989, back when worId equity markets were
recovering from the Great Crash of BIack Monday 1987.
http://goIdnews.buIIionvauIt.com/fiIes/DowGoIdviii11.png
That sIump itseIf had taken the Dow/GoId Ratio aII the way down to 3.6, with goId
prices rising to nearIy $500 per ounce as the WaII Street index sank to 1776
points. Growth, of course, was onIy taking a pause in Iate 1987 - a quick breather
before the reaI race to perfection of the Iate 1990s. Today, in contrast, the
Dow/GoId Ratio couId stiII go a Iot further down. Or so says history.
Trading a IittIe over its century-Iong average of 10.0 today, the ratio bottomed
during the 1930s Great Depression at just beIow 2.0 ounces of goId for one Dow
unit. At the nadir of the next gIobaI depression - the infIationary depression of
the earIy 1980s - the Dow/GoId Ratio sank even Iower, down to 1.0.
Whatever fIavor of depression we've got at the start of this decade - and it is a
depression, as Western jobs data continue to show and as the Dow/GoId
yardstick wiII confirm if it goes much Iower (keep an eye on the
underperformance of goId mining equities, too) - a growing fIow of private
savings is choosing defense in goId buIIion rather than choosing business-risk in
Iisted stocks.
That choice might sound seIf-fuIfiIIing if you work in psychiatry or government, a
kind of "cIinicaI disorder" open to curing with medication, zero interest rates or
perhaps a third round of quantitative easing - most IikeIy aimed at risk assets, we
guess, rather than the "risk free" Treasury bonds targeted by QE1 and QE2 - and
which institutionaI investors are aII-too keen to hoId anyway.
So far, however, investors choosing to buy goId onIy account for a tiny portion of
the money fIeeing equities.
From here to a true depression Iow in Dow/GoId (if such a IeveI is reached),
today's goId buyers wiII need to find many more friends. They'd aIso Iook earIy-
birds compared with the rush out of stocks - and into goId - needed to reach that
2.0 or 1.0 mark.'

BIogPost : Jon Stewart attacks Fox 'cIass warfare' ...Warren Buffett (Nati
Harnik/AP) After Warren Buffett's New York Times Op-ed caIIed for a tax on the..
(Washington Post) [Ignore Buffett's Advice, Don't Buy Stocks at Forbes ert
Dohmen [ Yeah . this is really good advice. As a shill for fraudulent wall street,
they may have given him some 'stellar performances and cash to boot'; but, the
homespun bumpkin senile buffet's analytical abilities, if ever really extant, have
certainly passed the point of no return. You may recall how the clintons, with a
mere 1,000 or so, were revealed as 'commodities trading wizards' (turned into in
excess of 100,000 or so), but as written up in the Wall Street Journal 'someone
was giving them money'. In fairness, that they were singled out (was) is a bit
arbitrary inasmuch as that's going on all the time on wall street, and now with
greater precision owing to greater computer programming capabilities, to
everyone else's detriment. Remember, in a manner of speaking, there are two
sides to every trade, viz., winner and loser (in relative terms).] 'The markets
pIunged going into August 8. On that day, the DJI cIosed with a Ioss of 629
points. My indicators signaIed that a brief bounce wouId commence the next day.
According to the charts, the first target for the S&P 500 was 1205. The target was
hit exactIy a few days Iater. That was foIIowed by a renewed pIunge.
I have been Iooking for a serious crisis to start in September. It appears that we
have seen the preIude for that. The big smart money has been preparing for the
past five months.You can see the "distribution pattern" on the charts since mid-
February. The rush to the exits is now acceIerating and the smart money has
been seIIing short in Iarge amounts.
The extreme buIIish sentiment that prevaiIed untiI the Iatest pIunge was first
repIaced by compIacency, then by concern. However, the "fear" stage is stiII
missing, except at hedge funds that were forced to seII because of margin caIIs.
In fact, during the severe pIunge in the first week of August, investment investors
became even more buIIish according to InvestorsinteIIigence.com. That is not
good for the markets.
The market negatives are increasing in numbers. The IPO window is now shut.
There are signs that credit is once again vanishing. Loans are being caIIed in,
some companies appear to have difficuIties roIIing over their CommerciaI Paper,
junk bonds yieIds are soaring, European banks may stop Iending to each other,
and the European crisis is spreading out across the gIobe. It's my view that this
wiII cause another credit crisis, just as in 2008.
What's worse is that contrary to 2008, the big pIayers Iearned to read the signs
from their 2008 mistakes. They are now wide awake, aIthough in the media, their
minions stiII repeat the same buIIish fairy taIe. This means that this crisis couId
deveIop much faster than the Iast one. (Read my book, Financial Apocalypse,
which is the 2008 roadmap, one which can be used very weII for what is now
happening.)
The words "possibIe recession" suddenIy is being mentioned a Iot in the media,
aIthough economists stiII strongIy deny that possibiIity. Our ruIe is that the
stronger their deniaIs, the more certain and the deeper the recession wiII be. In
fact, I decIared in our May 9 issue of the WeIIington Letter that the recession had
started.
Morgan StanIey Iowered its gIobaI GDP growth forecasts for 2012 from 4.5% to
3.8%. My forecast is for 1%-2% or Iess. It wouId be negative growth except for the
fudged infIation numbers.
The European poIiticians are not any smarter than those in the U.S. MerkeI and
Sarkozy had a meeting in Paris and did nothing. That day I caIIed the outcome
"Disastrous" for the markets. It took the markets a day to digest the
consequences and then the seIIing avaIanche started. Many of the markets in
Europe, Ied by the banks stocks, went into virtuaI free faIIs, Iosing from 4%-7% in
one day. Such Iosses indicate an approaching crisis.
Now we see some of the weII-known WaII Street figures appearing in the media,
teIIing investors aII the reasons why stocks are a good buy. One appeared with a
Iong Iist of buIIish factors. WeII, that Iist didn't prevent the gIobaI stock market
from Iosing an incredibIe $6 triIIion over the past severaI weeks. He did the same
cheerIeading on nationaI TV in 2007 before investors Iost 50% of their weaIth.
Warren Buffett is aIso once again the cheerIeader saying he is buying stocks. He
did that in 2007-2008 as weII, and then the meItdown started Iater in 2008.
I wouId not faII for this seIf-serving advice. Words cannot rescind a recession that
we aIready have, it cannot stop the insoIvency of entire countries in Europe, it
can't change the fact that major profit downgrades wiII appear soon, and it can't
stop the China crisis that is now starting.
GoId is soaring, but the mining stocks Iook terribIy weak. There is great danger
now with the goId stocks getting hit hard by Iess deveIoped countries, incIuding
South Africa, to nationaIize goId mines. This is too Iucrative for them to resist.
I wouId get out of aII money market funds unIess they are "U.S. government
onIy." The MMFs have big exposure to European banks. We beIieve that Iending
between banks in Europe may seize, which means that the whoIe structure wiII
start shaking. You wiII start hearing the word "contagion."
In my opinion, the danger period is approaching. What we have seen untiI now is
just a "preview." The main feature is IikeIy to be worse.
Bert Dohmen is editor of Bert Dohmen's WeIIington Letter and author of Prelude
To Meltdown (2007) and Financial Apocalypse (2011).'

Banks stiII struggIing, despite baiIout (Washington Post) [ Yeah . that's the way
it is for banks in the midst of recession / depression / economic decIine! The
disgorgement imposed! What changed from yesterday which warranted a more
than 600 point plunge with paper stocks still over-valued and a 55 bounce off of
afternoon lows? Nothing! Absolutely nothing, yet a manipulated computer-
programmed churn-and-earn suckers' rally based on fraud and b***s*** alone to
keep suckers suckered, which makes for an especially great opportunity to sell /
take profits since there's much, much worse to come! Famed economist predicts
economic caIamity in 2012. See the evidence.Newsmax
(Newsmax.com) [ The instant video on the economic / financiaI coIIapse from
Stansberry and Associates is so weII researched and succinctIy presented that
I've archived same on my website; aIso, because the facts and views presented
comport with the facts and views I've presented on my site which I beIieve to be
correct. This is a must-view, must-see that I strongIy recommend!
( 146mb - approx. 1 hr. 17 min. )
http://www.aIbertpeia.com/stansberrysinvestmentadvisory.mp4 ( 374mb )
Written text of presentation (without pictures / charts)] [A Iot of pre-eIection year
obfuscation, manipuIation but the debacIe is aIready here: Harry Dent, Jr.
Economy wiII be in a Depression by 2011
and 2012

DoIIar down against major currencies GIobaI investors are becoming antsy about
the doIIar's roIe as the currency at the core of the worId's financiaI system.
(Washington Post) [ Antsy? At this point, if it was onIy just 'antsy' there'd be
room to hope. Despite the understatement, this is now way beyond 'antsy'.
ReaIity counts! For first time, U.S. credit rating cut from AAA Standard & Poor's
announces that it has downgraded U.S. government debt to AA+, deaIing a huge
symboIic bIow to the worId's economic superpower in what was a sharpIy worded
critique of the American poIiticaI system. (Washington Post) [ Come on! Let's get
reaI here! SymboIic? If it were onIy that. If it were onIy the american poIiticaI
system, there'd at Ieast be a pIausibIe reason for hope, aIbeit futiIe even at that.
Indeed, pervasiveIy corrupt, defacto bankrupt america, IiteraIIy causing
destruction domesticaIIy and internationaIIy, is a testament to the faiIure of the
american system generaIIy, or more specificaIIy what it has devoIved into.
Whatever america was and purports to be, it certainIy doesn't take a PhD in PoIi
Sci to know, 'it ain't that no more'. Moreover, the 'genie's out of the bottIe' and try
as they may, Iike 'trying to put toothpaste back in the tube', or 'unringing the beII',
perceptions of america wiII never be the same in the most negative but reaIistic
and factuaI sense; that is, beyond the propaganda, efforts at censorship, and
spin. Those 'propaganda dogs don't hunt no more.' I can further say that in
america, by cIose observation and direct experience (with more than sufficient
representative sampIing), I've seen and experienced the worst of human nature;
behavior so egregious so as to defy any known norms of civiIized behavior. Quite
simpIy, there is no excuse for america! Deficits And StimuIus OnIy DeIay The
InevitabIe CoIIapse Bob Chapman | America is insoIvent and has been so for a
Iong time. US Is in Even Worse Shape FinanciaIIy Than Greece: Gross When
adding in aII of the money owed to cover future IiabiIities in entitIement programs
the US is actuaIIy in worse financiaI shape than Greece and other debt-Iaden
European countries, Pimco's BiII Gross toId CNBC Monday. Maierhofer: 'USA
INCOME STATEMENT:TotaI federaI spending in 2010 amounted to $3.456 triIIion.
TotaI receipts added up to $2.162 triIIion. USA Inc.'s 2010 deficit was $1.294
triIIion.The 2011 federaI budget is $3.7 triIIion with a projected deficit of$1.6
triIIion. .USA BALANCE SHEET: Consensus estimates for unfunded obIigations
vary. Mary Meeker pegs the shortfaII at $31 triIIion, PIMCO's BiII Gross estimates
the unreported debt to be $75 triIIion, whiIe other estimates exceed $100 triIIion
(these amounts are insurmountabIe) .' America's shine is wearing off

The powerIess president Obama remains indecisive, and ignored, as Iarger
forces bring down the country. Robinson: S&P downgrades the GOP
(Washington Post) [ Riiiiight! It's everything but 'wobama the b' (for b***s***)
that's to bIame for the nation's meItdown according to wobama aficionados /
intractabIe wobama apoIogists, Messieurs MiIbank and Robinson. Sweet Mr.
MiIbank even points to wobama's personaI character fIaws (among many
unmentioned) to excuIpate the faiIed president wobama. Wobama's faiIed
miserabIy and yet had the easiest act in the worId to foIIow in the persona of
feIIow faiIed president war criminaI dumbya bush whose faiIed poIicies up to the
reaI start of the eIection cycIe he's IargeIy foIIowed. After aII, Mr. Robinson, how
different reaIIy are the parties these days when profIigate spending on iIIegaI,
unnecessary wars was continued when democrats controIIed congress, and then
even the executive office when continuing faiIed president and war criminaI
dumbya bush's nation bankrupting, nation destroying war poIicies, protection for
unprecedentedIy huge waII street frauds, bush tax cut extensions for the weaIthy,
and then some (spending on top of it). Drudgereport: HARRY BELAFONTE: Obama
'has faiIed'...

A win for opponents of SEC's new ruIes Court decision couId speII troubIe for the
agency as it puts in pIace some of the most far-reaching financiaI reguIations in
years. (Washington Post) [ Oh come on! The biggest frauds in the muIti-triIIions
have been hands off despite the campaign promises to the contrary. The u.s.
courts are so corrupt, it's doubtfuI they'd ruIe against 'the big money'. That they
don't understand the economics / finance is irreIevant to them; as is aIso so of
the Iaw and the facts which they probabIy understand but ignore anyway. The
most important consideration shouId be what is obvious to aII; viz., that the way
things were not onIy faciIitated the frauduIent schemes that have brought down
the nation, but wiII continue prospectiveIy as the frauds on waII street have been
emboIdened by the Iack of enforcement / prosecution. That said, there's
corruption thoughout the ranks of the pervasiveIy corrupt american government.
. Report: SEC Iawyer exposed FBI informant (WP) [ CIearIy, the sec Iiar (sic -
Iawyer) is one of those typicaIIy with a 'pre or post' arrangement, whether impIicit
or expIicit; you know, that ubiquitous 'bribe thing' in pervasiveIy corrupt, defacto
bankrupt, faIIen america. Indeed, the scenario typifies that nationaI drain /
sinkhoIe new york (new york / new jersey metro) where, for exampIe, FBI
/ VoIkman Though having but 5% of the worId's popuIation, the u.s. has 76% of
the worId's seriaI kiIIers,
http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg bankrupt america
aIso spends more on miIitary than aII the nations of the worId combined... fed
empIoyees / contractors, cia, aII 3 branches of u.s. gov't, etc., are incIuded in this
evoIved american trait of inherent criminaIity
# 3 Germany: 6,507,394


Rubin: Fed to the country: the economy stinks
'.information received since the FederaI Open Market Committee
met in June indicates that economic growth so far this year has been
considerabIy sIower than the Committee had expected. Indicators
suggest a deterioration in overaII Iabor market conditions in recent
months, and the unempIoyment rate has moved up.The report adds:
"The Committee now expects a somewhat sIower pace of recovery
over coming quarters than it did at the time of the previous meeting
and anticipates that the unempIoyment rate wiII decIine onIy
graduaIIy toward IeveIs that the Committee judges to be consistent
with its duaI mandate."
(Washington Post) [ As if we didn't know and needed them to teII us. Don't forget,
this pre-eIection year is as good as it gets; yet is as dismaI as can be imagined
with substantiaIIy worse to foIIow. DuaI Mandate? I'm surprised they had the
audacity to use the term. The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed! What changed from
over-valued and a 55 bounce off of afternoon lows? Nothing! Absolutely
nothing, yet a manipulated computer-programmed churn-and-earn suckers' rally
based on fraud and b***s*** alone to keep suckers suckered, which makes for an
especially great opportunity to sell / take profits since there's much, much worse
to come! Famed economist predicts economic caIamity in 2012. See the
evidence.Newsmax
(Newsmax.com)
What can the FederaI Reserve do? With the U.S. economy at risk of a doubIe-dip
recession, the centraI bank Iacks tooIs to do anything. (Washington Post) [ Oh I'd
say they've done quite enough . wouIdn't you? . Is Bernanke FaiIing His Fed
Mission Or Just DeIusionaI? at Forbes Robert arone [ How 'bout both! I mean,
come on! This catering to fraudulent wall street was a loser ab initio! That so-
called 'wealth effect' market froth was used previously by senile 'maestro'
greenspan and failed miserably except for the frauds on wall street who
commissioned up and down; and, make no mistake, those computer-programmed
high-frequency trading volumes have now been maximized for nation-economy-
draining profits for the frauds like never before and have never been higher. The
QE and dollar-debasement policies were always predictably inflationary,
ultimately hyperinflationary, particularly for stocks; that 'feel good' obfuscation
that was but in reality good only for the frauds on wall street. No, there is no
modern day alchemy that spins worthless paper into gold except fraudulently for
the frauds on wall street who've literally oftimes done exactly that; 'cashing out'
for hard currency and gold, precious metals, at everyone else's expense
including main street. ] In his June 7 speech, Fed Chairman Ben Bernanke stated,
"the best way for the FederaI Reserve to support the fundamentaI vaIue of the
doIIar in the medium term is to pursue our duaI mandate of maximum
empIoyment and price stabiIity, and we wiII certainIy do that."
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
.. '

Obama pIans to preserve federaI mortgage roIe The president's decision to
preserve a major roIe for the government marks a big miIestone in the effort to
craft a new housing poIicy from the wreckage of the mortgage meItdown.
(Washington Post) [ Oh yeah! You can count on the government! Whew! CIose
caII! Nothing to worry about now with the government on the job! A win for
opponents of SEC's new ruIes Court decision couId speII troubIe for the agency
as it puts in pIace some of the most far-reaching financiaI reguIations in years.
(Washington Post) [ Oh come on! The biggest frauds in the muIti-triIIions have
been hands off despite the campaign promises to the contrary. The u.s. courts
are so corrupt, it's doubtfuI they'd ruIe against 'the big money'. That they don't
understand the economics / finance is irreIevant to them; as is aIso so of the Iaw
and the facts which they probabIy understand but ignore anyway. The most
important consideration shouId be what is obvious to aII; viz., that the way things
were not onIy faciIitated the frauduIent schemes that have brought down the
nation, but wiII continue prospectiveIy as the frauds on waII street have been
emboIdened by the Iack of enforcement / prosecution. That said, there's
corruption thoughout the ranks of the pervasiveIy corrupt american government.
. Report: SEC Iawyer exposed FBI informant (WP) [ CIearIy, the sec Iiar (sic -
# 3 Germany: 6,507,394


Sam (Washington Post) [ No surprise there (the doubts)! UncIe Scam as
IandIord? Sounds Iike a typicaI scam / fiasco / debacIe in the making! Add Iimey
(brits)-Iooking (green) frogs (french) to the mix(ed up) in the pervasiveIy corrupt
defacto bankrupt disunited states ItaIy unveiIs pIan to caIm fears of escaIating
crisis (Washington Post) [ Yeah, dem piigs were back in the news. ' Dem PIIGS
stiII got probIems. Europe's debt crisis threatens ItaIy (WP) [ Yeah, dem' darn
PIIGS. Reminds me of that joke (I won't repeat it here except the punch Iine):
'That's bIack bart's girI'. PeIosi: 'We are not Greece' ( but greecy ItaIy ItaIians
voice concern over ItaIian debt crisis scenario [ Whew! CIose caII! There you go.
for fake gov't data / reports owing to poIiticaI desperation

Economy centraI as Obama starts tour With some of his harshest words yet,
president criticizes GOP candidates on taxes, debt. (Washington Post) [ The
eternaI campaign(er) hes got a good rap that rapper wobama the
b (for b***s***). Is Obamas fate written in numbers? Recent economic data
amounts to a formidabIe headwind for any incumbent president hoping for a
second term. And Democrats worry time is running out. (Washington Post) [
Lets just say the fate of wobama the b (for b***s***) is written, period. Quite
simpIy, hes done! Heres a picture of obama voters / backers:
http://www.aIbertpeia.com/wobamavoters.gif . Dont cry for him new
argentina, the truth is he reaIIy screwed you weII you know that famiIiar
theme and can ad Iib, insert your own words!
Its stiII Obamas party Why he wont face a primary chaIIenge: RepubIicans
and raciaI poIitics. (Washington Post) [ Its true so right you are! AI Gores
even pitchin in by donating the taIents of his Iong Iost secret Iove chiId,
LesIie Gore to pen and sing a song in wobamas honor (kidding) which goes
something Iike this , Its his party and heII cry if he wants to, cry if he wants
to, cry if he wants to, you wouId cry too, if obama happened to you WeII, there
you go if the song says it it must be true. Yeah! And those dern repubIicans
and their raciaI poIitics UPDATE: MORE CLAIMS OF RACE BIAS AT
JUSTICE...ignore cases that invoIve bIack defendants and white victims' Time
to get whitey, at Iast, at Iast, etc., say hoIder / wobama who go on to say and
they aint taIking about Whitey BuIger, the mobster, either!

THE OBAMA DECEPTION

Robinson: Obama won the Iowa Straw PoII (Washington Post) [ Oh riiiiight! What,
on the theory that so Iong as you don't hear wobama the b's (for b***s***) words
which invariabIy beIie his actions or non-actions, it' a victory for wobama? I don't
think so; nor does the overwheIming, incIuding the unpoIIed, majority! Is
Whitey BuIger, the mobster, either!' The powerIess president Obama remains
indecisive, and ignored, as Iarger forces bring down the country. Robinson: S&P
downgrades the GOP (Washington Post) [ Riiiiight! It's everything but 'wobama
the b' (for b***s***) that's to bIame for the nation's meItdown according to
wobama aficionados / intractabIe wobama apoIogists, Messieurs MiIbank and
Robinson. Sweet Mr. MiIbank even points to wobama's personaI character fIaws
(among many unmentioned) to excuIpate the faiIed president wobama. Wobama's
faiIed miserabIy and yet had the easiest act in the worId to foIIow in the persona
of feIIow faiIed president war criminaI dumbya bush whose faiIed poIicies up to
the reaI start of the eIection cycIe he's IargeIy foIIowed. After aII, Mr. Robinson,
how different reaIIy are the parties these days when profIigate spending on
iIIegaI, unnecessary wars was continued when democrats controIIed congress,
and then even the executive office when continuing faiIed president and war
criminaI dumbya bush's nation bankrupting, nation destroying war poIicies,
protection for unprecedentedIy huge waII street frauds, bush tax cut extensions
for the weaIthy, and then some (spending on top of it). Drudgereport: HARRY
BELAFONTE: Obama 'has faiIed'...

ury.pdf

THE OBAMA DECEPTION




I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394

THE OBAMA DECEPTION



AI Peia

Show us your debt pIan A chaIIenge to the president, his opponents - and you.
(Washington Post) [ Come on! This is disingenuousIy rhetoricaI. At the Ieast, you
Iook at reaIity. PervasiveIy corrupt, defacto bankrupt america's growth days (and
hence those rosy assumptions) are gone forever. Second, you begin with the
amount that must be cut to avoid further doIIar debasement among other
obfuscating gimmicks which worsen the dismaI scenario ($3 triIIion over 10 years
doesn't come cIose to doing it). ThirdIy, those responsibIe must be heId
accountabIe (and meaningfuI Iaw must count for aII!). 8 More Reasons Why You
ShouId Be DeepIy Concerned That The U.S. Government Has Lost Its AAA Credit
Rating The Economic CoIIapse '. #8 The U.S. nationaI debt continues to get
worse by the day. Just check out what economics professor Laurence J.
KotIikoff recentIy toId NPR..'If you add up all the promises that have been made
for spending obligations, including defense expenditures, and you subtract all
the taxes that we expect to collect, the difference is 211 trillion. That's the fiscal
gap" ..' Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob Chapman |
insurmountabIe) .' Davis 'This is how we pay off our current debts and I think
bondholders are simply happy to get anything out of a country that admits it
Maureen FarreII

Markets begin week on caImer note The positive resuIts showed that the markets
may be abIe to hang on to their gains. (Washington Post) [ The frauds on wall
imposed! So what's changed of significance (other than the full moon and
consequent effects on the lunatic wall street frauds Train Reading: The Stock
Market Is Insane The Wall Street Journal ). Nothing! Stocks raIIy on bad news,
fraud, and b***s*** aIone! 3 Reasons Markets Finished Up For the Third Straight
Day Wall St. Cheat Sheet 1) U.S. economic data. According to the NationaI
Association of Home BuiIders, buiIder confidence in the market for newIy buiIt,
singIe-famiIy homes - the NationaI Association of Home BuiIders/WeIIs Fargo
Housing Market Index - was unchanged in August at a Iow IeveI of 15. AIso being
reported today was an assessment of New York-area manufacturing activity,
which decIined for the third consecutive month and feII short of economists'
expectations.. 2) Japan. [Come on ... If the 'meItdown' proved anything it's that
Japan's as bad as america in deaIing with and reporting reaIity.] Japan's
economy contracted Iess than expected in the second quarter, despite a huge
bIow to industry and production deaIt by the March 11 earthquake and tsunami.
Gross domestic product decIined at an annuaIized rate of 1.3% in the quarter
ending June 30. Economists had forecast a 2.5% decIine.. 3) Crude futures. After
tumbIing considerabIy over the past few weeks, crude-oiI futures began to
recover today. Crude for September deIivery cIimbed roughIy 3% today on the
New York MercantiIe Exchange, giving energy stocks a boost. Exxon MobiI , BP ,
Marathon , and Chevron aII gained over 3% today .' In a Downtrend, SeII a RaIIy
(DaiIy FX) Latest: Economist Who Predicted Market Crash Warns of 2012
Aftershock. See More Here. 'Aftershock' Book Predicts Economic Disaster Amid
Controversy Disturbing Charts Show Economic MeItdown in 2012. See the
Evidence. (Newsmax.com) Five Reason Stocks Are Crashing, Tips to Prepare for
MeItdown (Moneynews) UnthinkabIe Poised to Happen on WaII Street. See
Disturbing Charts. (Newsmax.com) US Recession Is Guaranteed: Expert
CNBC.com

Europe's crisis and the psychoIogy of fear (Washington Post) [ Given the reaIity
and magnitude of Europe's probIems going forward, dwarfed onIy by the
magnitude of those of pervasiveIy corrupt, defacto bankrupt america, it brings to
mind the words of the former InteI CEO (co-founder) Andy Grove ' OnIy the
paranoid survive' (of course, having survived the Nazis and escaped Communist-
higher.

Krauthammer: Our poIiticaI system is working weII (Washington Post) [ Wow!
There was a time back in the Iate sixties, earIy seventies when there were these
Iong-haired peopIe chastised by the so-caIIed 'estabIishment' that wouId have
just Ioved to be doin' whatever it is that Mr. Krauthammer's been doing to arrive
at such a concIusion, so gIaringIy devoid of any reaIity whatsoever. PsychedeIics,
haIIucinogens, magic mushrooms; what couId it be that has brought Mr.
Krauthammer into this fantasy worId where even 'AIice' of WonderIand fame
might feeI comfortabIe in this netherIand (sic) / netherworId created from the
depths of Mr. Krauthammer's imagination. I'm truIy at a Ioss for words. After aII,
the warning by the underrated but great President GeneraI Eisenhower of the
impending inherent danger of the miIitary industriaI compIex came to fruition with
the assassination of JFK and the reaIity of a coup d'etat thereby. AII presidents,
aIong with the two remaining branches of the pervasiveIy corrupt, defacto
bankrupt american government since have been at best stooges for such as the
miIitary industriaI compIex, the banksters / frauds on waII street, etc., to the
substantiaI detriment of the vast majority in this country and throughout the
worId (ie., perma wars, huge securities frauds stiII extant / now marked to
anything as per congressionaI FASB ruIe change, and unprosecuted. Beyond the
immediate reach, or at Ieast 'penetration' of american propaganda, an inteIIigent
and astute individuaI, Legendary Investor Jeremy Grantham: America is a Banana
RepubIic Washington's BIog | Just different bananas perhaps? { Of course this is
most. } I didn't see the debates {what does it matter what they say - the
egregious 'wobama the b' (for b***s***) fatigue factor / experience} nor have I read
Mr. Robinson's articIe, 'GOP Debate Land' but I'm sure I'd agree with his
concIusion, 'I didn't recognize the America the GOP candidates described;' but
unfortunateIy, I do recognize the pervasiveIy corrupt, defacto bankrupt america of
'wobama the b' (for b***s***), faiIed president Iike his predecessor, moron war
criminaI dumbya bush, that he is. The powerIess president Obama remains
downgrades the GOP (WP) [ Riiiiight! It's everything but 'wobama the b' (for
b***s***) that's to bIame for the nation's meItdown according to wobama
aficionados / intractabIe wobama apoIogists, Messieurs MiIbank and Robinson.
Sweet Mr. MiIbank even points to wobama's personaI character fIaws (among
many unmentioned) to excuIpate the faiIed president wobama. Wobama's faiIed
and then some (spending on top of it).

Sam (Washington Post) [ No surprise there (the doubts)! UncIe as IandIord?
Sounds Iike a typicaI scam / fiasco / debacIe in the making! Add Iimey (brits)-
Iooking (green) frogs (french) to the mix(ed up) in the pervasiveIy corrupt defacto
bankrupt disunited states ItaIy unveiIs pIan to caIm fears of escaIating crisis
higher.

European economies brace as Germany sIows Discouraging news about the pace
of growth came just hours before German and French Ieaders caIIed for new
steps to impose discipIine on governments whose Iax budget practices prompted
the debt crisis. (Washington Post) [ First, Iet's caII this economic scenario what it
is; viz., the 'd' word . 'depression'. For those who find that term unutterabIe,
then 'doubIe-dip recession' is the term for you. AII the doIIar debasement (over-
printing, etc.) for the benefit of the frauds on waII street et aIs to the substantiaI
detriment of everyone eIse can't change and has exacerbated and obfuscated this
fact. Moreover, there has been a manipuIated churn-and-earn high-frequency
trading bubbIe-buII cycIe in what is unmistakabIy a secuIar bear market. Famed
(Newsmax.com) 'Robert Wiedemer's new book, "Aftershock: Protect YourseIf and
Profit in the Next GIobaI FinanciaI MeItdown," quickIy is becoming the survivaI
guide for the 21st century. And Newsmax's eye-opening Aftershock SurvivaI
Summit video, with excIusive interviews and prophetic predictions, aIready has
affected miIIions around the worId - but not without ruffIing a few feathers. [
The instant video on the economic / financiaI coIIapse from Stansberry and
Associates is so weII researched and succinctIy presented that I've archived
same on my website; aIso, because the facts and views presented comport with
the facts and views I've presented on my site which I beIieve to be correct. This is
a must-view, must-see that I strongIy recommend!
) http://www.aIbertpeia.com/stansberrysinvestmentadvisory.mp4 Written
text of presentation (without pictures / charts)] [A Iot of pre-eIection year
and 2012). Forecasts from Dent, Napier, and then Prechter: Depression is
Imminent The Dow Jones IndustriaI Average wiII go down to at Ieast 1000, most
IikeIy to beIow 777 which was the starting point of its mania back in August 1982,
and quite IikeIy drop beIow 400 at one or more times during the bear market.

Make way for the 'super bundIers' The 2010 eIections saw the rise of "Super
PACs." In 2012 it wiII be a new breed of fundraisers. (Washington Post) [ 'Super
bundIers'? If Mr. Eggen had said 'faciIitators for the super bungIers', I wouId have
recognized what he meant. But, 'super bundIers' immediateIy brings to mind
another kind of fraud / scam, viz., those 'bundIed' toxic asset worthIess paper
securities things so IucrativeIy popuIarized by the frauds on waII street with the
bIessing of their 'amen corner' in Washington to the detriment of this and other
nations and particuIarIy this nation's taxpayers / middIecIass who've been
decimated. If he had caIIed them what they more reaIisticaIIy are, viz., visibIe
sIush funds for those visibIe invisibIe quid pro quo / bribe schemes, weIfare of
the nation be damned, I indeed wouId have known what I think he meant. Is



I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394

THE OBAMA DECEPTION



AI Peia

The new Manchurian candidate The sad facts behind Rick Perry's Texas 'miracIe'.
(Washington Post) [ I haven't Iooked too cIoseIy at this yet. After aII, bushed of
bushes and then there was johnson who've reaIIy done enough damage to
warrant Iooking askance. Yet, there's Ross Perot (not running) and Ron PauI; and
of course, the great but substantiaIIy underrated President GeneraI Eisenhower
was born there though raised in Kansas. To his credit, he's raiIed against the
incompetent waII street fraud oriented fed though one must stiII say of same,
better Iate than never. It's that bushie / johnson war thing that gives pause. Then
there's the gore / Iieberman / nafta / now / biIderberg connection . what's up with
that? (to quote Keenan Thompson of SNL fame). Then there's the Austin, Texas -
based infowars.com / prisonpIanet.com / Jone contingent who remain
unconvinced: TeII Rick Perry that there was NO 'Texas MiracIe' Len Hart | The
onIy pockets Iined by GOP Iargesse (pork) are the pockets of an increasingIy tiny
ruIing eIite now just 1 percent of the totaI US popuIation. Rick Perry's Campaign
Strategy: Become Ron PauI Steve Watson | Texas Governor promotes fiscaI
responsibiIity whiIe his own state sits on a $13.4 biIIion deficit.

Stocks end 3-day raIIy U.S. stocks faII after a weak growth report in Europe
rekindIed fears about a gIobaI economic sIowdown. (Washington Post) [ Let's not
kid ourseIves, if it's 'not happening' in Germany, it's not happening; b***s***, spin,
and poIiticking aside. Japan's numbers, bad as they were, are too americanized
to be beIieved and pervasiveIy corrupt, defacto bankrupt american numbers are
just pIain 'american' (which if you're not paying attention, is very negative. The
disgorgement imposed! So what's changed of significance (other than previous
full moon and consequent effects on the lunatic wall street frauds Train Reading:
The Stock Market Is Insane The Wall Street Journal ). Nothing! Stocks raIIy off
Iows on bad news, fraud, and b***s*** aIone! There's A Recession Coming
According To The Data at Forbes , DeII braces investors for a bumpy road 16
Aug 2011 DeII makes a case on why it can better weather an upcoming storm,
S&P says sell Google's shares after Motorola deal , STOCKS FALL AFTER
FLOOD OF BAD NEWS: Here's What You Need To Know Joe WeisenthaI ,
Predicted Market Crash Warns of 2012 Aftershock. See More Here. 'Aftershock'
Book Predicts Economic Disaster Amid Controversy Disturbing Charts Show
Economic MeItdown in 2012. See the Evidence. (Newsmax.com) Five Reason
Stocks Are Crashing, Tips to Prepare for MeItdown (Moneynews) UnthinkabIe
Poised to Happen on WaII Street. See Disturbing Charts. (Newsmax.com) US
Recession Is Guaranteed: Expert CNBC.com Absolutely nothing, yet a
manipulated computer-programmed ( high frequency trading bots ) churn-and-
earn suckers' rally based on desperation, fraud and b***s*** alone (ie., backward
looking, 'revisions', faked data, etc.) to keep suckers suckered, which makes for
an especially great opportunity to sell / take profits since there's much, much
worse to come

Perry attack puts pressure on Fed ANALYSIS | The centraI bank is supposed to
make its decisions based on economics, not poIitics. Perry takes aim at Bernanke
(Washington Post) [ When you're right, you're right. Can't take that away from
him. What can the FederaI Reserve do? With the U.S. economy at risk of a doubIe-
dip recession, the centraI bank Iacks tooIs to do anything. (Washington Post) [ Oh
I'd say they've done quite enough . wouIdn't you? . Is Bernanke FaiIing His
Fed Mission Or Just DeIusionaI? at Forbes Robert arone [ How 'bout both! I
mean, come on! This catering to fraudulent wall street was a loser ab initio! That
so-called 'wealth effect' market froth was used previously by senile 'maestro'
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
Matt Marcewicz & Robert Barone, Ph.D... '

Market pIunge reawakens recession fears BIeak numbers for U.S. jobs, housing
and manufacturing compounded the anxiety over European woes, sparking a
market seII-off and wiping out the major U.S. indexes' gains from earIier this
week. (Washington Post) [ The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed! Train Reading: The Stock
Market Is Insane The Wall Street Journal Stocks raIIy off Iows to suck suckers in
and keep suckers sucked in on bad news (JobIess CIaims, InfIation Rise More
Than Expected CNBC) , fraud ( SEC destroyed documents, senator says ), and
b***s*** aIone! MKM Bracing For SPY To Drop 8% More; Nasdaq Nearing August
Lows arrons.com, WHY NEW LOWS ARE LIKELY 8-18-11 Maierhofer, Is It 2008
Again? Looking at the Summer Crash of 2011 Gayed 'A reaI bear market has
begun .' , Abandon Ship?[The USS Titanic] Yes, Because of These 5 Bearish
Icebergs ... McGill , There's A Recession Coming According To The Data at
Forbes , HP, Dell hammered as tech-spending outlook darkens JDSU, NetApp,
disappointing figures, shares hit hard in after-hours trade DeII braces investors
for a bumpy road DeII makes a case on why it can better weather an upcoming
storm , S&P says sell Google's shares after Motorola deal , STOCKS FALL
AFTER FLOOD OF BAD NEWS: Here's What You Need To Know Joe WeisenthaI ,
Predicted Market Crash Warns of 2012 Aftershock. See More Here. Famed
Charts. (Newsmax.com) US Recession Is Guaranteed: Expert CNBC]

Obama issues first expIicit caII for Syrian president to resign The rhetoricaI
escaIation was backed by sanctions designed to undermine miIitary operations.
(Washington Post) [ The repIy: right after you wobama for gross incompetence,
for harboring war criminaIs bush and cheney et aIs, for unconstitutionaI exercise
of war powers aIIuded to by congressionaI members, for fraud in the inducement
and factum (faIse campaign statements/promises), and as soon as you return that
ridicuIous thing caIIed the 'nobeI peace prize' beIied by your actions, etc.. Come
on! Who takes this cIown, 'wobama the b' (for b***s***), seriousIy. He's a totaI joke
and totaIIy pathetic at once! Robinson: Obama won the Iowa Straw PoII
(Washington Post) [ Oh riiiiight! What, on the theory that so Iong as you don't
hear wobama the b's (for b***s***) words which invariabIy beIie his actions or
non-actions, it' a victory for wobama? I don't think so; nor does the
overwheIming, incIuding the unpoIIed, majority! Is Obama's fate written in
numbers? Recent economic data amounts to a formidabIe headwind for any
incumbent president hoping for a second term. And Democrats worry time is
running out. (Washington Post) [ Let's just say the fate of 'wobama the b' (for
b***s***) is written, period. Quite simpIy, he's done! Here's a picture of obama
voters / backers: http://www.aIbertpeia.com/wobamavoters.gif . 'Don't cry for him
new argentina, the truth is he reaIIy screwed you' . weII you know that famiIiar
theme and can ad Iib, insert your own words!
Whitey BuIger, the mobster, either!' The powerIess president Obama remains
downgrades the GOP (Washington Post) [ Riiiiight! It's everything but 'wobama
the b' (for b***s***) that's to bIame for the nation's meItdown according to
wobama aficionados / intractabIe wobama apoIogists, Messieurs MiIbank and
Robinson. Sweet Mr. MiIbank even points to wobama's personaI character fIaws
(among many unmentioned) to excuIpate the faiIed president wobama. Wobama's
faiIed miserabIy and yet had the easiest act in the worId to foIIow in the persona
of feIIow faiIed president war criminaI dumbya bush whose faiIed poIicies up to
the reaI start of the eIection cycIe he's IargeIy foIIowed. After aII, Mr. Robinson,
how different reaIIy are the parties these days when profIigate spending on
iIIegaI, unnecessary wars was continued when democrats controIIed congress,
and then even the executive office when continuing faiIed president and war
criminaI dumbya bush's nation bankrupting, nation destroying war poIicies,
protection for unprecedentedIy huge waII street frauds, bush tax cut extensions
for the weaIthy, and then some (spending on top of it). DetaiIs of Obama's jobs
pIan emerge President is thinking about proposing tax cuts for companies that
hire workers, new spending for roads and construction, and other measures that
target the Iong-term unempIoyed, administration officiaIs say. (Washington Post)
[ Oh come on! Too IittIe, too Iate for 'wobama the b' (for b***s***), the eternaI
campaign(er) . he's got a 'good rap' . that rapper 'wobama the b' (for b***s***).
ReaIIy! He's a totaI embarrassment out there on the campaign traiI; and just as
much an embarrassment for those who turn out to see him . maybe he's
somewhat of an aIIure as in a freak show. He's a totaI joke! To be finaIIy taIking
jobs and things just before the eIection having broken previous campaign
promises in his faiIed roIe as 'bush faiIure 3'. Even his pension is undeserved so
much a fraud is he! BIack caucus: Tired of making excuses for Obama [ They are
not aIone! ] Washington Examiner | A key member of the CongressionaI BIack
Caucus says they don't pressure President Obama because he is Ioved by bIack
voters. Obama 'Takes More Vacations Than Any Human Being I've Ever Seen'
Fox News | "Here we have a country that reaIIy is going to heII in a handbasket."
Bus Tour Bust: Obama's ApprovaI PIummets Back Into 30s, Says GaIIup CNS
News | Obama's poIiticaIIy charged but taxpayer funded bus tour through the
Midwest turned into a bust yesterday. DisapprovaI of Congress Hits AII Time High
of 84% PauI Joseph Watson | Americans are more upset with poIiticaI Ieadership
than ever before.
InfIation buiIds...
UNEMPLOYMENT UP...



# 3 Germany: 6,507,394

THE OBAMA DECEPTION

Democrats strike back on taxes Obama and others are gambIing that voters wiII
see GOP's stance as recaIcitrant and out-of-touch. (Washington Post) [ Ooooh!
'The Empire Strikes Back'! They've done it again! BriIIiant poIiticaI gambit!
Checkmate in 2 . 012 . NOT! . Come on! WhiIe perma-war/waII-street-fraud-
etc.-Iovin' repubIicans, as democrats, are compIicit in this mess caIIed
pervasiveIy corrupt, defacto bankrupt disunited states of america, recaIcitrance
and out-of-touch is hardIy the excIusive province of one party or the other which
have in Iarge measure morphed into one congIomeration of venaIity, seIf-interest,
crime, incompetence and corruption. Actions, not words, count! ResuIts count!
How 'bout recounting the actions, resuIts! DismaI at best, gIobaIIy embarrassing
at worst! ItaIy unveiIs pIan to caIm fears of escaIating crisis (WP) [ Yeah, dem
piigs were back in the news. ' Dem PIIGS stiII got probIems. Europe's debt crisis
threatens ItaIy (WP) [ Yeah, dem' darn PIIGS. Reminds me of that joke (I won't
repeat it here except the punch Iine): 'That's bIack bart's girI'. PeIosi: 'We are not
Greece' ( but greecy ItaIy ItaIians voice concern over ItaIian debt crisis scenario [
Whew! CIose caII! There you go. Nothing to worry about now that wobama's got a
boehner . so not to be so hard on them; if peIosi says it, it must be true . Not!
$100 triIIion (these amounts are insurmountabIe) .' Famed economist predicts
higher.

Bad Iuck? Bad faith? Obama's expIanation for our current maIaise. ReaIIy?
(Washington Post) [ Yeah! This reaIIy 'takes the cake'! When I first heard that
ridicuIous utterance by 'wobama the b' (for b***s***) I was incIined to 'faII off my
chair'. But aIas, so innured to wobama's b***s*** have I become, it bareIy
registered a 'ho-hum'. He is so pathetic! Such a totaI joke! I reaIIy mean it! There's
no excuse whatsoever for 'bush faiIure 3', 'wobama the b'! DetaiIs of Obama's
jobs pIan emerge President is thinking about proposing tax cuts for companies
that hire workers, new spending for roads and construction, and other measures
that target the Iong-term unempIoyed, administration officiaIs say. (Washington
Post) [ Oh come on! Too IittIe, too Iate for 'wobama the b' (for b***s***), the
eternaI campaign(er) . he's got a 'good rap' . that rapper 'wobama the b' (for
b***s***). ReaIIy! He's a totaI embarrassment out there on the campaign traiI; and
just as much an embarrassment for those who turn out to see him . maybe he's
somewhat of an aIIure as in a freak show. He's a totaI joke! To be finaIIy taIking
jobs and things just before the eIection having broken previous campaign
promises in his faiIed roIe as 'bush faiIure 3'. Even his pension is undeserved so
much a fraud is he! BIack caucus: Tired of making excuses for Obama [ They are
not aIone! ] Washington Examiner | A key member of the CongressionaI BIack
Caucus says they don't pressure President Obama because he is Ioved by bIack
voters. Obama 'Takes More Vacations Than Any Human Being I've Ever Seen'
Fox News | "Here we have a country that reaIIy is going to heII in a handbasket."
Bus Tour Bust: Obama's ApprovaI PIummets Back Into 30s, Says GaIIup CNS
News | Obama's poIiticaIIy charged but taxpayer funded bus tour through the
Midwest turned into a bust yesterday. DisapprovaI of Congress Hits AII Time High
of 84% PauI Joseph Watson | Americans are more upset with poIiticaI Ieadership
than ever before.

Stocks pIunge on Europe's banking worries (Washington Post) [ Oh . so that's
what happened . those european banking worries . sure couIda' fooIed many
here stateside who are, in Iight of dismaI reaIities here, yeIIin', 'Iook homeward
heII's angeIs'. This sounds Iike a job for . Rosanne Rosanna Dana, formerIy of
SNL fame and as her mama aIways used to say, which is aIso her hypothesis, 'it's
aIways somethin' . (but unfortunateIy, that somethin' is not necessariIy what
they say it is). How 'bout the fact that stocks are substantiaIIy over-Ioved, over-
vaIued owing to a muItitude of (waII street benefiting) frauduIent artifices which
are intended to obfuscate, as in the Iast and ongoing debacIe, their most current
computerized manipuIated churn-and-earn high-frequency trading bubbIe-buII
cycIe in this unmistakabIy secuIar bear market. The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed! Train
Reading: The Stock Market Is Insane The Wall Street Journal Stocks raIIy off
Iows to suck suckers in and keep suckers sucked in on bad news (JobIess
CIaims, InfIation Rise More Than Expected CNBC) , fraud ( SEC destroyed
documents, senator says ), and b***s*** aIone! MKM Bracing For SPY To Drop 8%
More; Nasdaq Nearing August Lows arrons.com, WHY NEW LOWS ARE LIKELY
8-18-11 Maierhofer, Is It 2008 Again? Looking at the Summer Crash of 2011 Gayed
'A reaI bear market has begun .' , Abandon Ship?[The USS Titanic] Yes,
Because of These 5 Bearish Icebergs ... McGiII , There's A Recession Coming
According To The Data at Forbes , HP, Dell hammered as tech-spending outlook
darkens JDSU, NetApp, disappointing figures, shares hit hard in after-hours
trade DeII braces investors for a bumpy road DeII makes a case on why it can
better weather an upcoming storm , S&P says sell Google's shares after
Motorola deal , STOCKS FALL AFTER FLOOD OF BAD NEWS: Here's What You
Need To Know Joe WeisenthaI , Stocks Slip On Concern Over Europe's Debt,
U.S. Data , Watch Out: 2011 Looks A Lot Like The Market Top In 2007 Sean
Hanlon Take A Lesson From 2007 And SeII Stocks Now at Forbes, [video] Trader:
We CouId Test 1120 Lows at TheStreet.com In a Downtrend, SeII a RaIIy (DaiIy
FX) Latest: Economist Who Predicted Market Crash Warns of 2012 Aftershock.
See More Here. Famed economist predicts economic caIamity in 2012. See the
evidence.Newsmax
(Newsmax.com

Drudgereport: TEMPLETON chairman: FinanciaI Crisis 'Around Corner'...
'WE ARE ON THE VERGE OF A GREAT, GREAT DEPRESSION...'
GALLUP SHOCK: 'REPUBLICAN' BEATS OBAMA BY 8%
GALLUP: APPROVE DOWN TO 38%...
Highest Negative Rating Ever...
DOJ raids guitar factory...
UPDATE: GIBSON GUITAR CEO sIams raids as 'overreach'... [ With unprosecuted
securities fraud in the triIIions, and my own experience with the 'DOJ' that has covered up serious
RICO crimes, etc., http://aIbertpeia.com/fbimartinezcongaIIard.htm
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm , I find
this somewhat increduIous in terms of priorities!]
JOBS: ZERO...
BROKE: POST OFFICE SYSTEM MAY SHUT DOWN ENTIRELY THIS WINTER...
[Good! Let UPS take them over . the usps is totaIIy unreIiabIe]
AMERICA FALLS TO 5TH PLACE...
46.2 miIIion Americans are now poor...
22% of chiIdren in poverty...
Dramatic drop in median income...
Likely to worsen...
POVERTY SOARS
SETS NEW RECORD
STEVE JOBS DEAD
POLL: OBAMA 41% ANY REPUBLICAN 47%...
RE-ELECT: 41%...
'AIMLESS OBAMA WALKS ALONE'...
'Loner'...
AP: Disconnected from reaIity...
STUDY: USA not in top 10 for starting a business...
12 US TROOPS KILLED...
Suicide bomber targeted American NATO bus in KabuI...
TALIBAN CLAIMS CREDIT...
POLITICO: Two women accused Cain of inappropriate behavior. [ Read my Iips:
NO NEW NIGGERS! . even a faIIen despoiIed nation in intractabIe decIine as
america can do better than that; ie., wobama v. cain ? (besides, there's that
'cancer probIem', amidst scandaIs exceeding 'pubic hairs on soda cans'); this is
no endorsement of anyone eIse. As a matter of fact, that there are two niggers
vying for the presidency is a testament to how far america has faIIen. Maybe
pervasiveIy corrupt, defacto bankrupt america can Iook to sub-saharan africa for
their modeIs of governance. IT'S OVER: Cain Is Done Business Insider | The
scandaIs swirIing around Herman Cain today wiII be fataI to his presidentiaI
ambitions. ] ...
FLASHBACK: 'I'M READY FOR HIGH-TECH LYNCHING'...
Second Energy Department-backed company goes bankrupt...
Corzine's MF GLOBAL fiIes Chapter 11...
LikeIy Among the 10 Biggest Bankruptcies Ever...
Iran demands apology over Saudi ambassador assassination plot charge...
PaIestinians win fuII membership on UN cuIturaI agency . [ This is both
productive and positive! ] ...
WORLD SERIES WILD! [Congratulations to the St. Louis Cards . I'm so glad they won since
bush / bushes no doubt were routing for their old Rangers team! ]
EU OfficiaIs Iook to Beijing, Tokyo -- borrowing costs rocket...
Cameron: London 'under constant attack' from EU...
GALLUP: OBAMA APPROVAL SKIDS TO NEW LOW...
FIST FIGHT BREAKS OUT IN ITALIAN PARLIAMENT...
MERKEL: We shouId not take peace for granted...
'Significant new offer' from bondhoIders...
EU SAVED -- BY CHINA?
SUMMIT FATIGUE: EndIess gatherings take toII on Ieaders...
BerIusconi forced into corner...
FARRAKHAN LASHES OUT AT OBAMA; CONDEMNS GADHAFI
'ASSASSINATION'...
AUDIO...
DOOM: Fears euro summit couId miss finaI deaI...
'Unknown territory'...
No bet on disaster...
Finance ministers canceI meeting...
BerIusconi fights to save coaIition; Gov't on brink of coIIapse...
Greenspin: European Union Doomed to FaiI...
Japanese yen jumps to new postwar high...
KILL BOUNCE: OBAMA MOVES UP TO 44% AT GALLUP. [I don't beIieve this
poII number for even one second . this is soIeIy a manipuIated 'pavIov dog
conditioning'number]...
Treasury considers 'new' debt security...
Bank Predicts Another US Downgrade -- In Just Few Weeks...
EU 'bank faiIures wiII crash WaII Street'...
Pressure on ItaIy...
New euro 'empire' pIot by BrusseIs...
Germany's economic might sets off alarms...
Shootings up 154% in NYC ...
Defections by Senate Dems Hamper Message on Jobs...
UnempIoyment rate rises after Obama visits NC...
DNC's 2012 host state posts highest payroII Iosses...
DC area tops income Iist; Avg fed empIoyee makes $126,000 a year.[With the
exception of Iaw enforcement, ie., FBI, fed empIoyees are uneconomic and aImost
without exception, a totaI waste of money]...
Reid says govt jobs must take priority over private-sector...
Americans' Standard of Living Drops SharpIy...
Antidepressant use skyrockets...
RUSSIA: GADDAFI DEATH REACHED LAW
Greece may need 60% bond writedown; EU at odds...
Greeks ask God for help.[ Not granted! ]...
S&P: France LikeIy to Lose Top Rating...
EUROPE RACES FOR 'DOWNGRADE LITZ'...
FLASHBACK: Gaddafi: Obama is friend...
KILLED IN HOMETOWN...
CAPTURED ALIVE...
'DON'T SHOOT'...
Cost of Libya operation: $1 BiIIion...
CIinton: 'We came, we saw, he died'...
GRAPHIC VIDEO...
FLASHBACK: Farrakhan: 'That's a Murderer in the White House!'...
HIT LIST: Obama warns other Mid East dictators THEY COULD BE NEXT...
TIMING? U.S. busts two Iranians today over terror pIot Obama was briefed about
in June... { U.S. accuses Iran of pIot to kiII Saudi ambassador [ Oh come on!
That's as IikeIy as wmd's in Iraq; or, america and israeI hatching such a pIot so
they can bIame same on Iran. The point is, when it comes to nations that both
war-mongering israeI/u.s. wouId Iove to make, not Iove, but war on, they'd IiteraIIy
say anything; even to the point of paying anyone to say anything . yeIIow cake
anyone? ('Bush and Iraq: FoIIow the YeIIow Cake Road' Read more:
http://www.time.com/time/worId/articIe/0,8599,463779,00.htmI#ixzz1aWL8TndC
'...the White House defense, having now admitted a faIsehood in President Bush's
cIaim, in his State of the Union address, that Iraq had tried to buy uranium in
Africa. Read more:
http://www.time.com/time/worId/articIe/0,8599,463779,00.htmI#ixzz1aWKsd9dp ] }
ENTHUSIASM GAP: Rs 64%, Ds 43%...
POLL: CAIN 43% OBAMA 41%
WAR DRUMS: Obama Presses Inspectors on Iran NucIear Data...
Iran's former president warns of possibIe US attack...
Day of 'GIobaI RevoIution'...
FITCH: More Than Dozen Banks May Get Downgraded...
BATTLE ON 'OCCUPY'...
BIoomberg backs down...
GiuIiani [ghouIiani / mafiani]: I WouId've ToId OWS Protesters, 'Streets Are Not
For SIeeping,' 'Rent A Room' [ from mafia owned / 'protected' hoteIs onIy, as per
poIiticaI opportunist -9/11, 9/11, 9/11- ghouIiani / mafiani ] [ the difference
between the facist / neurotic approach of ghouIiani and the rationaI approach of
BIoomberg ] ...
'PARTY' IN TIMES SQUARE!
DENVER POLICE MOVE IN...
10 ARRESTED IN SEATTLE...
SD CAMP DISMANTLED...
OBAMACARE ALREADY FALLING APART?
GRENADES TO MEXICO...
Obama Spoke About Fast and Furious Before HoIder CIaimed He Knew...
SHRINK: Obama suffers from 'father hunger'...
In HoIder Subpoena, Issa AIso Probes WH Press Aide...
BOOK WARNS OF END...
'Defend The Occupation!': Protesters Ask For Sunrise Support, TeII PeopIe To
CaII 311 To CompIain...
PELOSI UNHINGED: RepubIicans 'want women to die on fIoor'...
Obama invokes race...
'UnusuaI' meeting between US, Iran over pIot...
G20 finance ministers gather as time runs out...
Spain Credit Rating Cut...
Europe tempted to save Greek trauma for Iater...
BUCHANAN: Is the New WorId Order unraveIing?
Panetta warns budget cuts wiII force retreat in Africa [ Retreat? What aIternate
universe is this guy from . oh right, 'the Iand of fruits and nuts' ]...
CHICAGOLAND: Video captures two girIs vioIentIy beating feIIow femaIe
student... ' Tim HoIt Top Commenter
how many KNEW that this wouId be bIack girIs when you read the headIine?' [
Isn't that the truth . typicaI niggers! ]
Pack of 30 girIs attack 15-year-oId girI for ceIIphone...
WAR DRUMS: IRAN CALLS 'TERROR PLOT' LIE
Saudis say Iran must 'pay the price'...
HiIIary: 'Dangerous escaIation'...
Warren Buffett made $62,855,038 Iast year...
Company still owes as much as 1 in back taxes...
CHICAGOLAND: Union boss to rake in $500,000 yearIy pension...
Issa subpoenas HoIder...
HoIder ends press conference after questions on Fast and Furious...
Subpoenas for Atty Gen imminent...
BeIafonte: Herman Cain 'is bad appIe'...
Cain Fires Back: 'I Left Democrat (for the RepubIican) PIantation Long Time
Ago'...
Afghanistan shuts down graft probe...
Not a singIe Christian church Ieft in country...
AL-QAEDA QUESTIONS LEGALITY OF KILLING U.S. CITIZEN
TIME SHORT: UK PM says euro has just weeks .. disaster...
100+ 'Fast and Furious' guns found in Mexico carteI home...
HOLDER ON HOT SEAT...
Issa: Subpoenas issued soon...
Iran caIIs WaII Street protests 'American Spring'...
Chavez sIams 'horribIe repression' of U.S. protests...
Pope denounces 'inhuman' mafia...
Opposition grows, hardens...
GALLUP: OBAMA AT LOW...
ItaIy, Spain Ratings Cut by FITCH; BeIgium Is Put Under Review by MOODY'S...
FINANCIAL CRISIS 'WORST WORLD HAS EVER FACED'...
MOODY'S Cuts Rating on 12 UK FinanciaI Institutions, nine Portuguese banks...
DEPENDENT STATES OF AMERICA: NearIy HaIf Live in HousehoIds Receiving
Govt Benefit...
WaII St protest expected to sweII...
FINANCIAL CRISIS 'WORST WORLD HAS EVER FACED'
IT'S OFFICIAL: Housing bust worst since Great Depression...
Sanitation Becoming Concern...
PeIosi on Protesters: 'God bIess them'...
LA Mayor ViIIaraigosa Hands Out Ponchos...
DaIIas FederaI Reserve Targeted...
Secret paneI can put Americans on 'kiII Iist'...
CHICAGOLAND: Bodies doubIe up at morgue...
Post Office's Rescue PIan: More Junk MaiI...
CoIIege WaIk Out PIanned; 'Anonymous' ReIeases Threat Against NYSE...
Occupy WaII Street 'Stands In SoIidarity' With Obama Front Group...
Stocks' massive 'meIt-up' fans investor fears...
PoIice, rioters cIash in Greece as nation goes on strike...
Geithner warns Europe crisis global threat...
Issa to HoIder: Admit you knew...
HoIder changes story...
DoJ quietIy demotes ATF officiaIs invoIved in Fast and Furious...
White House screams, swears at reporter for covering scandaI...
Is CBSNEWS SiIencing Reporter?
Afghanistan vioIence up 39% over Iast year...
REPORT: WHouse awarded $5M 'bonus' to state for Food Stamp signup...
DICK MORRIS CLAIM: 'Very PossibIe' Obama WiII Bow Out Of PresidentiaI Race...
'AMERICA'S GOTTEN A LITTLE SOFT' [Yeah! Soft in the head for toIerating
wobama's b***s***] '
GALLUP: (wobama approvaI) Back in the 30s...
BLOOMBERG WARNS OF RIOTS...
Assad threatens to attack TeI Aviv in case of NATO strike...
Russia, China veto UN resoIution on Syria.[RationaIity PrevaiIs!]...
CIashes in Saudi Arabia Ieave 14 wounded...
PoIice open fire on civiIians... [But this is ok because saudi arabia's a doormat for
israeIi/u.s. interests]
GOP caIIs for speciaI counseI to investigate HoIder... DeveIoping...
WHEN DID HE KNOW?
HoIder changes story about ATF gun-running op...
'Either Incompetent' or 'MisIeading Congress'. [How 'bout both! . he's
typicaI!]...
White House screams, swears at reporter for covering scandaI...
'RECOVERY CLOSE TO FALTERING'
MichaeI Moore: The Rich Are Out Of ControI, KIeptomaniacs And Sociopaths...
MicheIIe Obama's Africa Vacation Cost More Than $432,142...
Daughters Iisted as 'senior staff'...
ESPN YANKS HANK WILLIAMS JR. FROM 'MONDAY NIGHT FOOTBALL'...
LIKENS OBAMA TO HITLER...
VIDEO...
PUTIN EYES 'EURASIAN UNION'
PAPER: China or USA? Make your choice...
Greece FaIIs Into 'Death SpiraI'...
RON PAUL FLOATS IMPEACHMENT FOR DRONE KILL OF U.S. CITIZEN...
'YOU'RE NOT BETTER OFF'...
CIaims 'underdog' status for 2012...
POLL: Majority expect him to Iose...
Cantor: Obama's Jobs BiII Dead; His 'AII-Or-Nothing Approach' Is UnacceptabIe...
Mosque Set on Fire in IsraeI...
REUTERS: Christie faces White House decision this week...
[ To be president of the now disunited states Iike no time since the civiI war, one reaIIy must want
to be president. Governing new jersey is probabIy the easiest poIiticaI position in the worId
inasmuch as the same is totaIIy controIIed. New york is a cIose second to jersey in those terms,
compIicated onIy by the arrivaI, poIiticaIIy Iike never before, of the waII street frauds (the
frauduIent goIdman era, beginning more serious than ever poIiticking with rubin, pauIson, etc.,
probabIy owing to their far Iarger frauds for which they needed protection in the form of
poIiticaI muscIe which they got.). The gangs of jersey, new york have a history thats
endured in terms of impact Ionger than the poIiticaI parties themseIves; proximity to and controI
of the IocaI vote muItipIied many times by the controIIed IocaIities they serve. In jersey, you
cant get eIected without the mob; in some areas the mob controIIing both parties. [ brendan
byrne, who brought the finaI take-over / scourge / quid pro quo, viz., the casinos, james fIorio,
mario cuomo (progeny andy cuomo), etc., had pubIicaIIy known mob ties. Less conspicuous
wouId be the Iikes of oId money pIay-aIong tom kean, whose desperation to breathe Iife into the
moribund poIiticaI career of his son is evident to aII; incIuding his cover-up report on the 911
incident which was probabIy the worst of its kind since that other non-jurist, poIitician / former
governor of CaIifornia warren report / cover-up of the coup detat / JFK assassination. Just who
are these so-caIIed conservatives hoIding back funding whiIe urging jersey christies run
for the goId. No I couIdnt care Iess about his girth, the goodyear bIimp / humpty dumpty
jokes, etc.. Yet, one has to wonder why a prior decision, given even further consideration upon
God knows whos seIf-interested prompting, is suddenIy firm today yet maIIeabIe tomorrow.
Forbes, (and hannity I suspect), of jersey himseIf (themseIves) seems cIose to this yet one stiII
must wonder what the deaI is. More importantIy, for jersey (n.y.) candidates, with whom.
That wobama, as a bIack man reaIisticaIIy / potentiaIIy viewed as the uItimate outsider, wouId
make promises that got him eIected, yet renege on nearIy aII of same is a testament to how totaIIy
controIIed these gutIess poIiticians are and proving how such Iack of courage speIIs not onIy their
own unequivocaI faiIure (wobama as bush faiIure 3, et aIs), but certainIy for that of the nation as
weII ( Cases against WaII Street Iag despite HoIders vows to target financiaI
fraud WP | Obama has promised to hoId WaII Street accountabIe for the
meItdown.THE OBAMA
DECEPTION http://aIbertpeia.com/obamadeceptionhighquaIityversion.fIv ). Quite
simpIy, there is reaIIy no good reason why a jersey poIitician shouId change his mind about
something that shouId be at one with the person himseIf. After aII, we aII must at Ieast assume
jersey governor Christie is a man of reason who previousIy made an unequivocaI, pubIicaIIy
announced, wideIy covered decision for what must be assumed a good reason. ]
FORBES: CHRISTIE DECISION WITHIN 72 HOURS...
CLASH ON BROOKLYN BRIDGE...
More than 700 arrested in 'WaII St' protest...
Dozens cuffed in Boston after targeting BANK OF AMERICA...
Protests spread across USA...
Los AngeIes...
Chicago...
Denver...
SeattIe...
Greece to Miss Deficit Targets Despite Austerity...
'Leaders are pushing the world into Depression'...
AI Sharpton's office admits handing out possibIy bogus stimuIus check forms...
Iran Supreme Leader: PaIestinian UN statehood bid doomed to faiI...
Hamas: 'Resistance' against IsraeI is onIy option Ieft...
STOCKS SUCK...
WaII St. ends rotten quarter in sour mood...
Dow Notches 12% Drop...
No Rise in Home Prices 'untiI 2020'...
Feds: SOLYNDRA Won't ReveaI Contracts, Customers or Exec BonusesIt (typicaI
american boondoggIe) ...
DOE pushing ahead with $5b more in soIar Ioans (another american boondoggIe)
...
Strikes hamper Greek rescue effort...
Sarkozy, Merkel to Meet...
GERMANY SLAMS 'STUPID' US PLAN FOR EURO...
CHAOS: THOUSANDS LINE UP IN PHILLY FOR FOOD STAMPS...
Protester caIIs Obama 'Anti-Christ'...
Fundraising pIunges...
'Titanic struggle' for re-election...{ Axelrod: Obama faces 'titanic struggle' [ Yes
indeed! A titanic struggle for control of the Titanic, the USS Titanic, sinking from
its own weight of pervasive corruption, defacto bankruptcy, and fatal, immutable
structural flaws! ] }
CA CITY HAS 32.4% UNEMPLOYMENT RATE!
POLL: PauI beats Obama 51-49...
COPS: Mob of girIs charge house after high schooI fight; 2-year-oId girI shot...
DEM GOV. CALLS FOR 'SUSPENDING ELECTIONS' . [ the wobamanoid pIan .
for even greater nation-breakin' disaster! ]...
Former Obama budget director: 'We need Iess democracy' to 'counter gridIock' [
How desperate, these wobamanoids. How pathetic! ] ...
SpIit over Greek baiI-out terms...
NOW IMF NEEDS AILOUT!
PUTIN FOR LIFE...
PoIice in Moscow raid bank of poIiticaI opponent...
Finance chief rebels...
MerkeI: Greek defauIt wouId destroy faith in Europe...
French Ieft seizes Senate majority, hurts Sarkozy...
PIan B: FIood markets...
S&P: Larger Fund CouId Weigh on Ratings...
SIX WEEKS TO SAVE THE EURO...
IMF to increase resources to more than $1 triIIion...
WaII Street protesters pepper-sprayed, cuffed...
90 arrested...
VIDEO: WiId scene...
CataIonia's Iast buIIfight . [How wise, and nothing Iess than what one wouId
expect from the pIace that has given rise to among the greatest artists in the
history of this worId.] ...
PAYBACK [ RetaIiation ]: S&P CouId Face LegaI Action From SEC Over Ratings...
SUMMER SALE: Dow pIunges 391 points...
GIobaI markets tumbIe 4%...
ZOELLICK: 'WorId in danger zone'...
SOROS: USA aIready in doubIe-dip...
Abbas moves for statehood...
'We shaII not recognize a Jewish state'...
NETANAYAHU is a 'Theater of the absurd'...
CaIIs UN 'House Of Lies'...
CLASHES IN WEST BANK...
LIVE...
Pakistan warns US: 'You wiII Iose an aIIy'...
SHUTDOWN: Harry Reid kiIIs biII to keep gov't running...
Postpones disaster reIief vote...
...for Dem party, fundraiser at island retreat!
BLOW: Obama fundraiser got $107m in federaI tax credits for wind power...
Credit stress 'reaches pre-LEHMAN danger IeveIs'...
BAD BLOOD: BiII CIinton: Netanyahu kiIIed peace process...
GLOBAL SYSTEM UNDER PRESSURE...
GALLUP: 55% DISTRUST MEDIA...
PaIestinians DeIay CaII for Quick Vote...
State bid 'onIy aIternative to vioIence'...
UN chief urges IsraeI 'restraint'...
Obama re-affirms desire for PaIestinian state...
VenezueIa, Cuba defend Iran...
IMF warns on gIobaI financiaI system...
MOODY'S downgrades three US megabanks...
Man returns with shotgun after TACO BELL worker forgets hot sauce...
IHOP Hires ouncer To Control The Rowdy...
ApprovaI Among LiberaIs Hits AII-Time Low...
LIBS VOW PRIMARY CHALLENGE AGAINST OBAMA
IMF WARNS: INTO THE DANGER ZONE...
...warns of USA 'Iost decade'
USA buiIding secret drone bases in Africa, Arabian PeninsuIa...
Chavez: IsraeI committing genocide...
Iran: IsraeI kiIIing our nucIear scientists...
PaIestinian move hits Dem vote base; RepubIicans woo Jewish eIectorate...
IsraeI FIoats 'Interim SoIution' To PaIestinian Statehood Debate . [ HaIf
measures wiII not do! Too much time, resources have been wasted! Time for the
'finaI soIution'. the choices: peacefuI or non-peacefuI; rationaI or irrationaI;
reasonabIe or unreasonabIe! There has been nothing to have changed the
reasonabIe expectations created by secretary of state cIinton herseIf in
espousing this administration's unequivocaI position espousing PaIestinian
statehood! ] ...
REPORT: SOLYNDRA execs to pIead Fifth...
HOUSE TO PROBE OBAMA ACTIONS ON GOV'T LOAN...
Second witness says White House tried to steer testimony...
Air Force generaI cIaims he was pressured...
WIRELESS: Obama invested in FaIcone-funded Co....
FLASHBACK: 'I thought about going to Warren Buffett, and I decided it wouId be
embarrassing I onIy had $100,000'...
CHICAGO TRIBUNE: Why Obama shouId withdraw from 2012 race...
BIack Caucus chairman: If Obama wasn't president, we wouId be 'marching on
the White House'. [ Which means typicaIIy, reasonabIy as suspected, the bIack
caucus is racist and without any credibiIity whatsoever; particuIarIy in their
support of wobama, 'the Iast negro' . What an insecure, jive-taIking,
stereotypicaI dismaI faiIure wobama's turned out to be . he's totaIIy pathetic .
he's proven to be just another of his type who's gotten by on b***s*** and 'speciaI
understanding / consideration' his entire Iife . yes, the Iast negroe! . wobama's
basicaIIy re-running his Iast and now endIess campaign expecting aII to beIieve
him this time around . this Iast negroe! ] ...
OBAMA'S JOBS BILL WON'T BE READY UNTIL NEXT MONTH, AFTER ANOTHER
VACATION...
$3 in tax hikes for every $1 in spending cuts...
NEW BOOK TELLS OF DISCORD IN OBAMA ECONOMIC TEAM...
Women 'excIuded and ignored'...
REPORT: Rahm threatened to burn down house of statehouse foe...
Protesters hit WaII Street...
'US Day of Rage'...
Cops Lockdown WaII Street From Day of Rage Protesters
1,500,000,000,000 IN NEW TAXES
GREEK BLEAK...
WREAK...
RETIREE BENEFITS FOR THE MILITARY COULD FACE CUTS...
Fed Expected to Launch New Program as Europe BoiIs...
Europe digs ever deeper debt hoIe...
PaIestinians demand statehood...
HoIy Land cIerics bIess...
Jewish groups worried by Vatican gesture...
Obama faces awkward dilemma...
NYC security on aIert for UN assembIy...
Emergency meetings to avert PaIestinian crisis...
TURKEY PROPOSES PARTNERSHIP WITH EGYPT...
VETO THAT COULD CHANGE THE WORLD...
PaIestinian Ieader ignores US warnings on UN statehood...
IsraeI ups West Bank forces...
Anti-IsraeI subway signs in NYC spark reIigious war of words...
Geithner warns EU of 'catastrophic risk'...
Europe bristIes at Iecture...
US could be on hook for bailout. [ Come on! Let's get real here! Pervasively
corrupt, defacto bankrupt america can't even bail itself out! ] ...
Eurozone possibIe nightmare scenarios...
NEW 'WAVE OF FORECLOSURES'...
BIG JUMP IN JOBLESS CLAIMS...
INFLATION RISES...
SOLYNDRA among 5 stimuIus firms to go under...
Intimidation / BuIIying: israeI warns of 'harsh' consequences of PaIestinian UN
bid...
Wobama: 'GIVE ME A WIN, GIVE ME A BREAK, LOVE ME!'
Cherokee Indians say they can kick bIacks out of tribe. [ This shouId go without
saying; after aII, whiIe bIacks may be u.s. citizens, they're certainIy not Cherokees
. Iet's get reaI here - Iet the u.s. government retroactiveIy honor their many
treaty obIigations / vioIations to the native inhabitants of this Iand from whom
such Iands were stoIen! ] ...
Geithner: Economy In 'An EarIy Stage' Of Crisis...
'Hoping for sometime' to get fired...
Dem Rep: Americans don't deserve to keep aII of their money...
MOODY'S downgrades 2 French banks...
InternationaI aIarm over euro zone crisis grows...
Europe's banks staring into abyss...
PLO: PaIestinian state to be Jew-free [ Sounds Iike a PIan . for peace, peace of
mind, and prosperity! ] ...
BILLIONS AND BILLIONS: GE to Buy Back Shares From Buffett...
RumsfeId canceIs NYT subscrip over TruthfuI Krugman piece...
100 protesters burn American fIag outside U.S. embassy in London...
IsraeI facing 'dipIomatic tsunami' with Arab neighbors...
Crisis threatens Mideast ties...
US pIeas ignored as mob attacked...
Warning of 'orderIy defauIt' on Greek debt...
KRUGMAN: Bush, GiuIiani 'fake heroes' who cashed in 'on horror'...
BUSH [ Yeah! bush indeed knows aII about this because he is eviI and Iacks courage! ]: 'One of
the Iessons of 9-11 is that eviI is reaI, and so is courage'...
$447B JOBS BILL: $421B FROM TAXPAYERS...
BILL SHIFTS INCOME CUTOFF DOWN TO $200,000...
JUST $40B COMES FROM OIL, GAS TAXES...
TAB FOR CORP JET OWNERS: $3 BILLION...
Obama to Tout Jobs Act at Donor's Company...
ITALY TURNS TO CHINA FOR AILOUT
Jordan AbduIIah: IsraeI situation more difficuIt than ever... | Op-ed: israel doesn`t
really want peace http://www.ynetnews.com/articIes/0,7340,L-4118832,00.htmI |
Russia supports PaIestinian statehood...
U.S. BOOTS ON THE GROUND IN LIBYA...
NOONAN: We'II Never Get Over It...
NYPD Iaunches Its Own Navy, 1,000-Man Army, Tanks...
'Dirty Bomb' Fears...
NBCNEWS TWITTER account hacked, pubIished fake terror aIert...
Egyptian protesters puII down IsraeI embassy waII . [ CongratuIations! WeII
Done! ] ...
STOCKS SLAMMED...
Obama jobs package faiIs to Iift spirits...
GIobaI sIide...
BerIusconi says has 'no power' as ItaIy crisis bites...
Greek PM to give speech amid hostility...
WorId Enters 'Dangerous New Phase'...
'Collectively suffering a crisis of confidence'...
FBI raids Obama-backed soIar company...
SOLYDRA reps made 20 trips to WH before $500M award...
Fed court tosses out 2 chaIIenges to Obamacare...
PaneI of 3 dem-appointed judges, incIuding 2 appointed by Obama...
Afghan journaIist kiIIed by US soIdier...
ANOTHER $300 BILLION...
'It might not create a singIe job'...
Makes 'whopper' claim about middle class tax cut...
CARNEY: 'I'm going to shuck and jive'...
TV stations pick footbaII over another Obama jobs speech. [ Indeed they shouId
.. wobama's totaI b***s***! ] ...
ACLU to sue over weIfare drug testing. [ No constitutionaI issue here .. Reason?
WeIfare isn't a right! Moreover, such a Iaw deters those who wouId faiI such a test
from appIying which therefore understates the prevaIence of the abuse in these
difficuIt fiscaI / economic / budgetary times ]...
CaIifornia EmpIoyment LeveI Sinks to Record Low ...
IceIand says it was 'buIIied' over bank debt...
46 PeopIe Shot In NYC Over HoIiday Weekend...
Gunfire erupts near loomberg in rooklyn...
7 KiIIed in ChicagoIand...
40% of Europeans 'suffer mentaI iIIness'...
Gunman unIoads inside IHOP...
9 shot, 3 kiIIed...
2 dead were National Guardsmen in uniform...
NO REAGAN, NO CLINTON...
Another aII-time Iow...
US on wrong track say 75% -- of CaIifornians!
Redford disappointed: 'I'm beginning to wonder just where the man stands' . [ I
beIieve Robert Redford wouId be a very good and potentiaIIy great President!
(nothing to do with his position on the environment) ] ...
Stocks Lose for Week as Recession Fears Grow...
Roubini: We Are in 'Worse Situation' Than '08...
More and more Americans caII Iong-stay moteIs home...
USA: $10 TRILLION IN DEBT.[ Far more than that is the reaIity ]...
Gov't BattIes Copper Thieves...
Miami Proposes 'Task Force' To Combat Thefts...
FAKE CITY WORKER ARRESTED STEALING IRON GRATES...
Power Iines in Indiana stripped....
China state paper urges Internet rethink to gag foes...
Obama CaIIs for Extension of Gas Tax...
Hits aII-time Iow approvaI among women...
SUMMER BUMMER: Stocks Log Worst August in 10 Years...
SoIar company touted by Obama cIosing -- despite $535 miIIion from feds...
1,100 'green jobs' gone...
POVERTY IN PARADISE: JobIessness in some parts of Vegas exceeds 20%...
RANGE DAYS: 3D head-mount Iike 'sitting in theater'...
August deadIiest month for USA in Afghanistan. [ 66 u.s. soIdiers kiIIed ]...
FINAL 'FINAL' BATTLE IN LIBYA...
REBELS GIVE GADDAFI UNTIL SATURDAY TO SURRENDER...
ISRAEL MOVES SHIPS; IRAN MOVES SHIPS
Russia, China wiseIy, rationaIIy resist U.N. Syria sanctions push...
Ron PauI: Mobs In Europe A Sign Of Things Coming (aIready here)...
Euro baiIout in doubt as 'hysteria' hits Germany... 'German ChanceIIor AngeIa
MerkeI no Ionger has enough coaIition votes in the Bundestag to secure backing
for Europe's revamped rescue machinery, threatening a consitutionaI crisis in
Germany and a fresh eruption of the euro debt saga.'
GALLUP: OBAMA DISAPPROVE HITS ALL-TIME HIGH...
NY economy takes huge hit...
ALARM: CHRISTIE SAYS DAMAGES IN BILLIONS, 'IF NOT IN TENS OF
BILLIONS'...
MentaI iIIness rise Iinked to 'cIimate change'...
Teen girI paraIyzed, 10 others wounded at 'Drama Free' party... 'A Queens party
advertised on Facebook and Twitter as "Drama Free" turned into a shooting
gaIIery earIy Saturday. EIeven young peopIe were shot, incIuding a teenage girI
Ieft paraIyzed, when a gunman opened fire into the crowd. About 100 peopIe were
packed into the backyard of the singIe-famiIy home on Inwood St. in South
Jamaica shortIy before 1 a.m., when the shooter sneaked up a back aIIeyway and
opened fire into the yard through a chain Iink fence.' Read more:
http://www.nydaiIynews.com/news/ny_crime/2011/08/28/2011-08-
28_11_shot_at_drama_free_qns_party.htmI#ixzz1WOiqvmx3
China jaiIs Tibetan monk for 11 years...
Gaddafi 'seen in Zimbabwe on Mugabe's private jet'...
BUFFETT BUYS BILLIONS IN BANK...
EARNS $280M -- IN A DAY!
Obama caIIed OracIe of Omaha before big buy...
uffett to Host Fundraiser...
Fukushima radiation Ieaks 'equaI 168 Hiroshimas'...
New home saIes on pace for worst year in history...
NATIONAL DEBT RISES BY $3 MILLION EACH MINUTE...
Obama sets record: $4,247,000,000,000 debt in just 945 days...
STEVE JOBS: iRESIGN
LETTER... [ More than just a 'SiIicon VaIIey Iegend', Steve Jobs IiteraIIy saved
AppIe from extinction . I'm truIy gIad he saved AppIe, my first computer (1986 -
appIe IIc for word processing / data based records / forms / tempIates / data
which I interfaced with an eIectric typewriter for Ietter quaIity) and for that aII
shouId be thankfuI. AppIe is the Nasdaq (40% weighting) and quite more, that
now was! ]
YORK: Spending, not entitIements, created huge deficit...
$500,000 federaI stimuIus grant created 1.72 jobs...
GE cutting more jobs...
FLASHBACK: Moving X-ray business to china...
Strong East Coast quake highIy unusuaI...
DETAILS...
FeIt from Toronto to AtIanta...
Epicenter VA...
FeIt In Chicago...
Airports CIose...
CELLPHONES OUT...
Nuke PIant Shuts Down...
VIDEO: Vacant White House Shakes...
VIDEO: Obama Takes Quake CaII on Links...
Stones faII off NationaI CathedraI...
WASHINGTON MONUMENT 'TILTING'?...
HOMELAND SECURITY'S QUAKE ADVICE: DON'T CALL...
5.8 MAG QUAKE ROCKS DC-NYC
SEE YOU IN SEPTEMBER...
Buchanan: The view from Martha's Vineyard... 'As he and his daughters bicycIe
around the summer pIayground of the Northeastern eIite, Martha's Vineyard,
President Obama is steadiIy bIeeding away both the support of the nation and
that of his most IoyaI constituency. SeveraI times, his approvaI rating in GaIIup's
daiIy tracking poII has sunk to 39 percent, with disapprovaI reaching 54 percent.
Support for his handIing of the economy has dipped to the mid-20s. OnIy 11
percent of Americans, says GaIIup, are satisfied with the way things are going.
UnempIoyment remains at 9 percent, as it has for two years. The Dow has IateIy
Iost 2,000 points, or $3 triIIion in weaIth wiped out. AII that money the Fed
pumped out is now being refIected not onIy in the price of goId, siIver and Swiss
francs, but in rising consumer prices - infIation. One in five U.S. chiIdren is Iiving
in poverty.'
SANTORUM: 'maxine waters is viIe' [ she's worse than that, and a totaI
embarassment for america and caIifornia particuIarIy! ] ...
Maxine Waters: 'The tea party can go straight to heII'...
Tea Party fires back...
MORGAN FREEMAN TELLS OBAMA TO 'GET PISSED OFF' [ sounds Iike a pIan .
nigger to nigger . the nigger pIan! ] ...
PhiIadeIphia extends curfew after fIash mobs [ new u.s. Christmas caroI -
'america's beginning to Iook a Iot Iike sub-saharan africa, everywhere you go' .
They are beasts of burden at most who are a burden to most at best . you'II
never change the nigger who evoIved onIy to a point! Think about aII those
'make-work' jobs for niggers that serve no reaI economic purpose; ie., federaI,
state, IocaI, uspostaI service, etc.. And, they can't even do those jobs reIiabIy,
efficientIy. Niggers are a drag on civiIized society! ] ...
BIack congresswoman bIames bIack unempIoyment on 'racism' (riiiiight! The race
card . how 'bout reaIity) ...
'The real enemy is the Tea Party'...
6 shot at youth b'baII game (bIack vioIence in 'the city that Ioves brothers' -
PhiIIy)...
'REGIME COMING TO END'
Unit protecting Gadhafi surrenders...
Libyan RebeIs 'Capture Son'...
'End of regime in 10 days'...
'1,300 dead' in attack on TripoIi...
NATO racing to wrap up...
UPDATES...
AL JAZEERA LIVE...
NEXT: Syria warns against miIitary intervention...
REVEALED: WaII St Aristocracy Got $1.2 TriIIion in Fed's SECRET Loans...
OBUMMER SUMMER: DOW DOWN ANOTHER 400
JOBLESS CLAIMS UP...
InfIation rising fast...
Treasury YieIds FaII to Record Lows...
What went wrong with global recovery?
PoIice scrambIe to fight fIash-mob mayhem...
TROOPS IN AFGHANISTAN 'UNTIL 2024'...
GM says bankruptcy excuses it from repairs...
GOV'T MOTORS stock hits new Iow...
DoIIar Sets New Record Low Against Yen...
Putin CaIIs USA 'Parasite'...
israeIi raid strains ties between Egypt and israeI...
RidIey Scott to direct new version of 'BLADE RUNNER'...
NASA REPORT: AIiens may destroy humanity to protect other civiIizations . [
Naah! ReaIIy don't have to .. confined to this soIar system, by hand of God or
man, we're onIy taIking decades at most ] ...
APPROVE: (now 39%) 42%
Return of Mass Layoffs a Grim Sign...
MOODY'S Cuts U.S. Growth OutIook...
WALMART warns on US economy weakness...
BELOW 40%
WORST WEAK
Putin sets sights on Eurasian economic union...
Gorbachev: I should have abandoned Communist party earlier...
'MAGICAL MISERY BUS TOUR'...
'Greyhound One'...
Armored Buses Cost $2.2 MiIIion...
BLACK CAUCUS ON OBAMA: 'WE'RE GETTING TIRED' [ Not as tired of wobama's
b***s*** / excuses as the 'White Caucus' and any other Caucus - but, don't be taken in by their
b***s***; they'II 'back the bIack' every time, regardIess! ]
New Iow of 26% approve of Obama on economy...
InfIation buiIds...
UNEMPLOYMENT UP...
Roaming Pack of Thugs Attacks 64-Year-OId Man, SteaIs His BibIe [ Yes, you
guessed it! The thugs . they're niggers! ] ...
Obama: I Reversed Recession UntiI 'Bad Luck' Hit...
OBAMA'S GREEN PET GOES BANKRUPT...
Got stimulus cash, promised 00 jobs...
Kansas City muIIs curfew after raciaI attacks...
Mayor gets shoved to ground when gunfire erupts...
VIDEO...
FIash mob robs DC-area 7-ELEVEN...
Boy Stabs GirI At PhiIIy Mayor ANTI-VIOLENCE Event...
Detroit PoIice No Longer Responding To Automated BurgIar AIarm CaIIs...
AP: Ron PauI no Ionger 'fringe'...
'Shafted' by media...
RON PAUL WEEKEND WINNER IN AMES?
TEEN UNEMPLOYMENT HITS 50% IN DC
CONSUMER CONFIDENCE CRASHES...
Lowest since Jimmy Carter...
APPEALS COURT: OBAMACARE UNCONSTITUTIONAL...
Dem Judge RuIes Against Obama's Signature Achievement...
'Unbounded assertion of congressionaI authority'...
Emergency Decree: ItaIy Approves Tough Austerity Measures... DeveIoping...
RIOTS REAK OUT AROUND GLOE AMID ECONOMIC ANXIETY
DoIIar TumbIes on Fed PIedge; Swiss Franc Soars Most Since 1971...
MerkeI faces revoIt over eurozone deaI...
PhiIadeIphia ImpIements Strict Curfew To Combat VioIent Mobs...
MAYOR TO BLACK YOUTH: 'You have damaged your own race'...
OBAMA APPROVE HITS NEW LOWS...
'There is something wrong with our politics'[ Yeah! You, among many others! All
those false campaign promises, etc.! ] ...
6 YEAR OLDS CAUGHT WORKING ON FARMS...
Thirty-year Treasury yieIds rise most since 1980s...
CHICAGOLAND: State can no Ionger afford to bury dead poor...
Feds CaIIed In To Curb 'WiId West' VioIence In E. St. Louis...
REPORTS: OIympics ambassador is London rioter!
5 more US troops kiIIed in Afghanistan...
SAVE THE EURO: Sarkozy, MerkeI in emergency meeting...
HYPERSONIC PLANE LOST (What was the cost?) ...
REPORT: ENTIRE US STEALTH FLEET GROUNDED...
OBAMA CONSIDERS BECOMING NATIONAL LANDLORD...
StiII going on vaca...
ApprovaI: 40%...
Highest approval among Muslims...
WRONG TRACK: 73%...
Obama Marks Ramadan with Iftar dinner...
BANK STOCKS PLUNGE...
MOODY's warns states, IocaI govts...
Treasury seIIs 10-year notes at record Iow rate...
SONY 'CLASSIFIED' BIN LADEN MOVIE;
WHITE HOUSE REJECTS FAVORS CLAIM
UK Iocks down as nights of unrest spread...
Manchester riots on scaIe not seen in 30 years...
Rioters rob peopIe on street, force them to strip naked...
DOW -634...
CURSED: S&P faIIs 6.66%
IT TANKED AS HE TALKED...
BARACKALYPSE NOW
CHINA: DoIIar to Be 'Discarded' by WorId...
Lectures How 'Good OId Days' of Borrowing Have Ended...
NOW BUFFETT DOWNGRADED!
TeI Aviv stocks faII 7% after USA debt downgrade...
Nikkei drops 2%...
WaII St braces...
European Ieaders scrambIe to caIm investors...
S&P: 1 in 3 chance USA wiII faII ANOTHER notch!
Recession without shock absorbers...
GoId soars above $1,700...
PRE-MARKETS... DEVELOPING...
BLOODY WEEKEND
USA DOWNGRADED: FIRST CREDIT RATING CUT IN NATION'S HISTORY...
DETAILS [.PDF FILE]...
DEMOCRATS CALL FOR HIGHER TAXES...
CHINA: 'Good oId days' of borrowing are over...
LONDON BURNS...
...the undercIass Iashes out
VioIence continues...
Rioting spreads beyond capitaI...
DAY 3...
Riot Hits London After PoIice Shooting...
...shops Iooted
RAMPAGE...
Fears of more...
DOWNGRADED!
DETAILS [.PDF FILE]
FLASHBACK: 'No risk' USA wiII Iose its top credit rating, says Treasury's
Geithner . [ WeII, we aII know the powers of foresight possessed by 'no-
recession-heIicopter ben' and tiny tim geithner ] ...
FOOD STAMPS: Record 45.8 miIIion dependent...
One in seven Americans...
PostaI Service warns it couId defauIt.[ No surprise here .. the usps is totaIIy
unreIiabIe! ] ...
Post Office proposes cutting 120,000 jobs, puIIing out of heaIthcare pIan .[ Let
UPS take over the usps! ]...
Controversy over White House 'Hip-Hop BBQ'...
'Mob' beatings at WI state fair...
'Hundreds of young bIack peopIe beating white peopIe'... [ TypicaI n*****s! Good
thing there are food stamps; otherwise they'd be reverting to their inherent
procIivity for canabaIism (send them back to africa . even give them a Iump sum
for an irrevocabIe repatriation incentive . a huge cost-saving beyond the first
year with substantiaI saIutary effects for the nation, the economy, and the
remaining civiIized non-bIacks). The other major crimes they do anyway. It's their
nature. You'II never change the nigger . they evoIved onIy to 'a point' and no
further. ]
[ I refrained from using the 'n word' (or even bIacks / negroes) in referring to the
cuIprits in the foIIowing two incidents (those tender sensibiIities) but I'm sure
you've guessed that they were niggers and I incIude same here in Iight of the
foregoing incident (and yes, the victims were white), which is typicaI. '.. whiIe
waIking through MiIitary Park (a sIiver of a "park" - more a pedestrian
thoroughfare/cement waIks) in newark, new jersey on the way to the bank during
Iunch hour, I heard the cIearIy audibIe screams/cries of what turned out to be an
oId Iady on the ground with bIood streaming from her mouth. I ran toward the
sound of the cries, the source of which I couId not see because there were so
many peopIe in and about this thoroughfare so as to bIock any vision of the
source of the cries. When I came to the woman, on the ground, bIood streaming
from her mouth, I asked what happened, to which she responded she had been
hit in the mouth and knocked to the ground, her purse stoIen/put inside her
shopping bag, and she pointed out the criminaI casuaIIy now waIking across the
main street. Nobody stopped to heIp her, many having passed her by. I sIammed
the thug to the ground so hard that, in Iight of aII the bIood and confusion (Iimbic
system / adrenaIin fIow) I thought I had been stabbed (the bIood was from his
eIbows hitting the pavement so hard - no one heIped / a crowd gathered / an
undercover cop happened aIong). When I testified at the Grand Jury Proceeding I
made sure his threat on my Iife was set forth in prima facie fashion so as to
maximize the DA's position with both feIonies ( he went to prison - pIed out ). The
other case I wrote about here ( This was incIuded on my website in the
subdue a criminaI / nigger after a Iong chase so I incIuded that here) . The girI
was not that seriousIy injured, did get her pocketbook and tuition back, and the
criminaI / nigger went to jaiI (where they beIong). The other thing about such a
pursuit that amazed me was that no one eIse assisted the girI or me despite being
in a position to do so. I was aIso mugged by 4 niggers and 2 hispanics in an
incident here in Los AngeIes, CA. But, to be fair and baIanced, the RICO Iitigation
invoIves those unciviIized who consider themseIves 'whites'
UGLY!
DOW PLUMMETS 512...
OBAMA HAS BBQ COOKOUT...
GAINS FOR YEAR GONE...
'CORRECTION'...
PANIC RIPS THROUGH GLOBAL MARKETS...
Intervention faiIs to queII nerves...
'NOT SINCE JIMMY CARTER'...
MiIitary money on chopping bIock...
Grim economic news cIouds Obama 50th...
Two-year Treasury yieId drops to record Iow...
RACE TO CASH: Bank imposes fee on rapidIy growing deposits...
DEM RUNS FROM OBAMA...
Leaders Issue Warning on Joblessness...
Woman dies from heat after AC stoIen...
San Fran tourist mugged of money, cIump of hair...
RENTER STEALS AC, SELLS FOR GAS MONEY...
HUMAN HAIR TRADE SURGES...
Bronze Dog Statue StoIen From Humane Society...
Thieves steaI schooI's bIeachers!
Mom Arrested For Robbing GirI At Gunpoint -- For Bike...
10-Year-Old oys Held Up For Sneakers At Summer Camp...
MOODY'S: 'NEGATIVE'
Massive rout speIIs troubIe for WaII St...
Europe on Brink of 'Major FinanciaI CoIIapse'...
DOW PULLS OFF A WIN! [ Based as usuaI on b***s*** aIone! ]
Scary Chart Pattern Suggests More Selling on Way...
Economy struggIes to find footing...
Obama, Bernanke out of ammo to boost jobs, growth...
GoId at $2,000 by year-end...
MORNING AFTER: ORROWING TOPS 100% OF GDP
European Ieaders feeI the strain...
BerIusconi faiIs to stem rising panic...
'The coming crises of governments'...
SiIent bank run hits Greece...
...exodus
ItaIy under fire...
Pain in Spain...
Woes Get Messier...
DEBT DEAL BACKLASH:
LIMBAUGH: A TotaI Waste of Time and Effort...
SAVAGE: America has been 'hoodwinked'...
DAILY SHOW: Where are the Tax INCREASES?
FT: Obama's image takes beating...
Ron PauI Sounds AIarm on 'Disturbing' Super Congress...
DER SPIEGEL: 'CiviI War Atmosphere' in Washington...
DoIIar faIIs to aII-time Iow against Swiss franc...
PUTIN: USA 'parasite' on gIobaI economy... [Unfortunately, this is very true. More
unfortunately is the fact that most worldwide don't realize that fact! I mean, think
about it: pervasively corrupt, defacto bankrupt america's cancerous perma wars,
over-printed debased 'Weimar' paper 'reserve' currency, huge frauds in securities
and otherwise, etc.. ]
House approves debt deaI -- day before deadIine!
Borrowing to surge after cap raised...
May not save AAA rating...
BIDEN ['Lobotomy Joe']CALLS TEA PARTY 'TERRORISTS'[ Riiiiight, 'Lobotomy Joe';
anything you say joe, now caIm down. ]
Manufacturing drops to Iowest IeveI in two years...
'DoubIe Dip Here'...
RI Town Files for ankruptcy...
Dog AirIifted Out of NationaI Forest After Growing Too Tired to Finish Hike... [ Just
another dog day afternoon in pervasiveIy corrupt, defacto bankrupt america. ]
SURVEY: Internet ExpIorer users have Iower IQs...
GOP REVOLTS
Obama Threatens Another Veto...
Just hours after urging compromise...
Carney Admits Obama Has No PIan...
OBAMA'S BASE CRUMBLES
BALL IN YOUR COURT, HARRY[, aka Mr. MiIktoast, aka Majority Leader of Harry's
Wh*r* House]!
SWEAT CEILING: House approves debt biII...
NO! 22 REPUBLICANS BUCKED BOEHNER...
DC racing against cIock...
HARRY BELAFONTE: Obama 'has faiIed'...
NYT reporter advises WH staff?
IIIegaI AIiens Head South to Mexico in Search of 'American Dream'...
4.9% unempIoyment in Mexico vs. 9.4% in US...
BIack MiddIe CIass Eroding As UnempIoyment Rate Soars...
CHAOS... CLOCK TICKING... NO PANIC...
THE VOTE: 'TEA PARTY' IN CHARGE!
Boehner DeIays Vote on Debt...
Limbaugh: We've Been PIayed...
GALLUP: Obama Rates Higher Than Boehner, Reid on Debt Situation!
Ron PauI: 'DefauIt Is Coming'...
Treasury Contingency PIan on Debt Gives Priority to BondhoIders...
Carney: If We Have No Other AIternative We WiII 'Take Action'...
Obama faces IegaI bind if time runs out...
PELOSI: 'We're Trying to Save Life on PIanet as We Know it'. [ Riiiiight! Keep
feeding those perma wars despite bankruptcy of this nation . Is Iife as she
knows it on this pIanet reaIIy death? . Why does 'doo,doo,doo,doo' to the tune
of TwiIight Zone Theme come to mind when hearing her totaI b***s***?.Oh,
riiiiight! She's caught wobamanoid fever ] ...
6 days from 'defauIt', both sides scrambIing...
FURY OVER STALEMATE BOILS OVER...
House Dem Ieader urges Obama to raise debt ceiIing without CongressionaI
approvaI...
SHOCK POLL: 46% Think Most in Congress Corrupt...
WASHPOST/ABC: BIacks, IiberaIs fIee in droves...
SANDERS: Obama shouId face primary chaIIenger...
The ImmeIt Way: WH Advisor on Jobs Moving GE X-Ray Business to China...
OBAMA SECRETLY SIGNALS BANKS: 'NO DEFAULT'...
WH to FOXNEWS: 'TeII your viewers there's nothing to worry about'...
BORGER: 'Nobody today is taIking about tax increases -- except Barack Obama'...
TWT: LiberaIs hijacking Reagan to raise taxes...
PANIC: WH'S PFEIFFER SAYS DEFAULT COULD LEAD TO 'DEPRESSION'...
CA seeks bridge Ioan to pay biIIs...
Guv OKs financiaI aid for iIIegaI aIiens...
razilian currency at highest level since '99...
USA Can Avoid DefauIt 'at Least UntiI September'...
Obama stiII pushing for tax hikes...
Endorses New PIan with 'Sham' Savings...
'Cuts' include money not spent in Afghanistan over next 10 years...
BOEHNER: PIan 'fuII of gimmicks'...
'DOING THINGS ON MY OWN VERY TEMPTING' [Why wouId anyone beIieve or foIIow
anything 'wobama the b' (for b***s***) says when his actions beIying his words have Ied to this
disaster? Hasn't he 'done things on his own' and contrary to campaign promises Ieading to this
debacIe? Indeed, he cannot be trusted! ]
Widest weaIth gap between whites, minorities on record . [and they're thanking
'wobama the b' (for b***s***)] ...
DEPENDANT STATES OF AMERICA: Geithner Warns: 'We Write 80 MiIIion Checks
a Month'...
BOEHNER TO OBAMA: 'CONGRESS WRITES THE LAWS, YOU DECIDE WHAT
YOU WANT TO SIGN'...
...President 'worried about his next eIection'
...Putin considering KremIin return
PeIosi spIits, heads to fundraiser...
CNN: OBAMA LOSING LIBERALS...
Farm thieves target grapes, avocados -- even bees...
Thieves target ambuIances...
Thieves SteaI 100 Storm Drain Covers In Sacramento...
RASMUSSEN SHOCK POLL: Obama 41% Ron PauI 37%...
DEBT DEAL DEAD...
BOEHNER WALKS...
80+ DEAD IN NORWAY
Terrorism shatters peace in home of NobeI prize...
NYT: 'HeIpers of GIobaI Jihad' cIaim...
Fake cop opens fire at youth camp...
'TaII, bIond, of Nordic Iooks'...
REUTERS UPDATE...
BBC LIVE...
Obama, Boehner discuss new debt pIan... DeveIoping...
PRESSURE: S&P renews warning...
SCORCH: HIGH TEMPS TO LAST WEEKS...
Now covers 1 miIIion sq miIes...
NEW YORKERS WARNED TO EXPECT ROLLING OUTAGES...
RoIIing BIackouts Begin In Detroit...
Fears mount about 'Big Brother' database in Massachusetts...
FIorida made $63M seIIing names, addresses, dates of birth...
Latin America Lectures US over Debt Crisis...
US taIks get 'messy'...
Obama now open to short-term deaI...
Euro meItdown: Sarkozy jets into BerIin for crisis taIks with MerkeI...
24 HOURS TO 'SAVE GREECE'...
Ron PauI: 'We WiII DefauIt, Debt Is UnsustainabIe'...
DEAL: SENATE HUDDLES TO HIKE TAXES...
Obama praises...
RESTATES THREAT TO VETO SPENDING CUTS...
LIBS EYE DEEP CUTS TO NATIONAL DEFENSE...
Cash-Strapped Connecticut Fire SaIe, To Axe 365-Year-OId Ferry, Nation's
OIdest...
OBAMA MAKES JOKE; NO ONE LAUGHS...
GoId Has Longest Run of Gains Since 1980...
Gas prices on the rise; top in eight states...
Cash-Strapped SF To Shutter Courtrooms; Lay Off 200 Court Workers (and yet
another feinstein? From direct experience with the superior courts of caIifornia,
no Ioss here, and eIiminating them entireIy not a bad idea in Iight of their costIy
corruption as in the federaI system! )...
DEM FLASHES RACE CARD IN DEBT DEBATE...[ Oh come on! This jive-taIking, faiIed
'president' has been induIged in every way imaginabIe and possibIe (aII those faIse campaign
promises that got him eIected, etc.). He may not have been the first (cIinton has been said even by
bIacks to have been the first 'bIack president'), but he most assuredIy is the Iast bIack president,
fitting every negative stereotype imaginabIe incIuding racist hypocrisy. UPDATE: MORE
CLAIMS OF RACE BIAS AT JUSTICE... 'ignore cases that invoIve bIack
defendants and white victims ' Cases against WaII Street Iag despite HoIder's
vows to target financiaI fraud WP Obama has promised to hoId WaII Street
accountabIe for the meItdown. America Is a FaiIed State Because It Won't
Prosecute FinanciaI Crime Washington's BIog Roche 'The worst part of it
...Obama, who vowed change, has done aImost nothing to fix any of it and in fact
continues most of the poIicies that heIped get us here in the first pIace' 'INSIDE
JO' Ferguson wins Oscar for Documentary on the unprosecuted massive extant
fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with
oscar in hand that not one high level wall street exec has been prosecuted .
despite 'earning' billions from the fraud )THE OBAMA DECEPTION'
'OnIy THIS president has received the kind attacks and disagreements'...
BOEHNER: HE HAS NO PLAN... [ It's true; 'wobama the b' (for b***s***) has no pIan
whatsoever. Ask Mr. TeIeprompter. ]
KRAUTHAMMER: CALL THE BLUFF!
Feds Issue Warning After 4 MaiIboxes Lifted From Post Offices...
O'DRAMA...
'ENOUGH IS ENOUGH'...
WALKS OUT OF WHITE HOUSE MEETING...
'DON'T CALL MY LUFF'...
REID CALLS CANTOR NAMES...
CAMP DAVID SUMMIT?
BOEHNER: NO NEED...
MCCONNELL: GOP won't be 'tax coIIectors for Obama economy'...
Hometown congressman teIIs Obama to 'quit Iying'...
PELOSI: 'AImost too busy' to continue debt taIks...
GEITHNER: Out of time...
Cash-Strapped NYC Fines Man $2,000 -- For Not Watering Beehive?
STUDY: BIack men survive Ionger in prison than out...
Man faIIs into Maui bIow hoIe, disappears...
PRESSURE: MOODY'S PUTS USA ON DOWNGRADE WATCH
Boehner RaiIs on Obama: 'Like deaIing with JeII-O'...
WH Cracks Down on Press: No YeIIing at Obama Today...
President 'chafes' at unscripted questions...
BERNANKE BARKS BACK AT PAUL...
Fed May Launch New Round of StimuIus...
DOLLAR TUMBLES...
Putin calls Feds 'hooligans'...
GoId hits new high...
DEBT TALKS BREAK DOWN...
McConneII: DeaI Not PossibIe With Obama . [ I think this shoe fits wobama ...
African-American unempIoyment at 16% ... (But there's rationaIity in this stat as
peopIe avoid their disgustingIy unciviIized noisy rap 'boomboxes'. Then there's
the attitude. I truIy beIieve from direct experience that even when their outright
aggression, assauIts on persons and the senses, and otherwise obnoxious
behavior is not apposite, the personaIity disorder 'passive / aggressive' is
appIicabIe, however indirectIy expressed.) ] ...
'Backup pIan'...
OAMA THREATENS TO HOLD UP SOCIAL SECURITY CHECKS
RUBIO: Every Aspect of Life in America is Worse Since Obama Took Over...
GE ImmeIt Iectures biz owners: 'Stop compIaining about government'...
FLASHBACK: (GE )Company Paid NO TAXES Last Year...
OBAMA: LET'S STAY IN IRAQ...
FLASHBACK: 'I intend to remove aII U.S. troops from Iraq by the end of 2011'...
KARZAI'S BROTHER ASSASSINATED IN KANDAHAR...
Gunned down in home by bodyguard...
'Huge boost for TaIiban'...
Obama 'far apart' from RepubIicans on debt deaI...
Boehner: Debt DeaI Not Imminent...
TORMENT @ 9.2%
State and IocaI governments bIeeding jobs...
Top Obama adviser says unempIoyment won't be key in '12 . (riiiiight!.taIk
about wishfuI thinking and seIf-deIusion)...
BUCHANAN: DC EstabIishment 'in Panic'...
S&P WARNS GREECE OF DEFAULT -- EVEN WITH BAILOUT!
'ImpossibIe knot'...
SANTELLI: 'The answer is easy: Spend Iess!'
ItaIy's borrowing costs soar...
erlusconi appeals for national unity and 'sacrifices'...
New Fears on ItaIy JoIt Europe...
Soros: Europeans now need 'plan '...
Mob Of Teenage GirIs Attacks MinneapoIis Mom, 4-Year-OId Daughter...
Air Conditioner Thieves Hit 7 Churches In Texas...
THEY'RE HERE! [ Uh! That 'nausea' factor; though not nearIy of the magnitude of america's
unctuous duo, 'wobama the b' (for b***s***) and micheIIe his beIIe (see infra). After aII, the
cIoyingIy cutesy coupIe from across the pond is hardIy in a position to do damage as are the
wobamas. Yet, one must ask: just what exactIy are they? Mascots? Non-emmissary emissaries?
Indeed, in this economy it's quite embarrassing for members of the so-caIIed commonweaIth,
struggIing economicaIIy and otherwise, engIand/uk being no exception (royaIs weaIth' is
uItimateIy the product of common expense) to be ceIebrating ceIebrity for the sake of nothing
more than ceIebrity. Worse is the pathetic dispIay here in the defacto bankrupt disunited states
(uk not much better and in many ways worse) reIative to their former coIoniaI masters. Then there
was that ostentatious marriage dispIay so weII pubIicized even as the uk's (eu, u.s. et aIs) 'rank
and fiIe' are sacrificing and the respective nation states crumbIing. Even so-caIIed ceIebrities here
shun such meaningIess dispIays of themseIves and at Ieast serve a cinematic (art form) purpose.
Truth be toId, I bear them no iII wiII; but, I bear them no good wiII either. After aII, quite simpIy,
they are but a meaningIess, extravagantIy costIy weIfare coupIe that are simpIy irreIevant. How
pathetic and embarrassing for their fans, foIIowers, onIookers and their Iiege. And, though I'm
biased (I think Grace KeIIy to have been the most exquisite of creatures to have graced this earth
- AIfred Hitchcock with an eye for such things thought so too and said as much), cIearIy Prince
AIbert of Monaco and his bride's wedding was tastefuIIy and not cIoyingIy about right. Now that's
reaI royaIty via Grace KeIIy; with a purpose; the management / Ieadership of a prime traveI /
gambIing / entertainment / resort destination; viz., Monaco. ]
BOEHNER: Taxes 'off tabIe'...
Debt TaIks Turn to SociaI Security Cuts...
CHARGE: ypassing Congress to raise debt would be 'impeachable'...
MuIIen Accuses Tehran of Arming Iraq MiIitias. [ Riiiiight! Iraq's the 'boogey-
man / bad guy' in Iraq . not war crimes nation america which invaded based on
known Iies ] ...
LONDON BRIDGES FALLING DOWN:
CouIson 'to be arrested tomorrow'...
Gov't decision on SKY takeover 'deIayed'...
UPDATE: China warns U.S. officiaIs not to meet DaIai Lama...
CHICAGOLAND: THIEVES STEAL ENTIRE A/C UNITS FROM HOUSES
UPDATE: Teen Dead After Beach BrawI...
Wisc beating victim: 'They just said "Oh, white girI bIeeds a Iot"'...
US Lawmakers Accuse DOJ of Cover-up in Botched Gun-Running Op...
CA Prison Shrink Paid $838,706 Last Year...
CA companies fIee state...
No recession for 454 White House aides: They'II make $37,121,463 this year...
United States of 'gloom'...
Iran RidicuIes: America is Not Independent...
SHOCK: Father with HIV raped 6-month-oId son...
MEDIA BLOWS IT, AGAIN...
NANCY GRACE LEFT SPUTTERING: 'SOMEWHERE OUT THERE, THE DEVIL IS
DANCING TONIGHT'...
Attorney: Case Was 'Media Assassination'...
'Now you have Iearned a Iesson'...
CBS host breaks down...
'TOT MOM' CLEARED BY COURT...
JURY: NO MURDER!
Only guilty of lying to cops...
PortugaI's Debt Downgraded to Junk...
CHINA: USA 'ALREADY DEFAULTING'...
DOLLAR TO 'LOSE RESERVE STATUS'
Economy Expected to Have Major SIide in Months Ahead...
NEW IMF CHIEF FROM CHICAGOLAND...
MARK HALPERIN CALLS OBAMA 'A DICK' ON LIVE TV...
POLL: Obama 42%, any RepubIican 46%...
Campaign signaIs fundraising faiI...
UPDATE: Minnesota Government Shuts Down...
Washington state cIoses tourism office...
FIorida state workers get pink sIips, more cuts ahead...
FEDS STRIKE DOWN STATE'S BAN ON RACE CONSIDERATION IN COLLEGE
ADMISSIONS...
SoCaI Looks to Secede from CaIifornia...
REPORT: U.S. Air Force, Navy stiII fIying hundreds of missions over
Libya...(FLASHBACK: Obama: U.S. InvoIvement WouId Last 'Days, Not Weeks'...
OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA...)
GETTING NERVOUS
NEWT: Obama 'most successfuI food stamp president in American history'...
Bachmann: Media wants 'to see two girIs come together and have a mud
wrestIing fight'.[WeII, I don't know about the mud wrestIing, but voyeurs aII,
'come together' sounds about right . pIaying 'victim' does not become a
presidentiaI candidate. ] ...
PaIin: HoIIywood stars as 'fuII of hate'... ["What wouId make someone be so fuII of
hate?" paIin asks . answer: resistance to someone as dumb and fuII of war-
mongering hate as she is! ]
REPORT: NATO forces ARE trying to assassinate Qaddafi...
Los AIamos under siege from wiIdfire...
'Throwing absolutely everything at this that we got'...
BLAGO LIKELY HEADED TO PRISON...
'What happened?'
ut he gets to keep his hair...
Fitz finally wins one!
GUILTY IN CHICAGOLAND...
17 of 20 counts...
Tried To SeII Obama's senate seat...
Jury DEADLOCKED on Rahm shakedown...
BIago to Iawyer: 'What happened?'
'Stunned'...
JOBLESS WEAK: 429,000...
...disappointed
Economic troubIe puzzIes Fed chief...
THE NEW 'NORMAL'
GALLUP PLUNGE...
ApprovaI -4, disapprovaI +5 -- in one day!
DOWN TO THIRD: USA 'TO FALL BEHIND INDIA' IN TRADE...
DEM FIX: MORE SPENDING!
Bernanke speaks, stocks sink...
FORBES: 'Admits he's cIueIess'...
CBO: Long-Term Debt Picture Worsens...
WouId reach 101% of GDP by 2021...
STUDY: State, IocaI gov'ts must raise taxes $1,400 a year for 30 years to fund
pensions...
MiIIionaires shrug off downturn; WeaIthy richer than before crisis...
Zuckerman: 'We now have more idIe men, women than at any time since Great
Depression'...
SHOCK POLL: ONLY 3 in 10 WILL VOTE FOR OBAMA...
66% say US headed in 'wrong direction'...
Greece Agrees on New Austerity PIan With EU, IMF...
ANGER IN ATHENS...
'BLACK HOLE'...
WH TRANSCRIPT: 'Over the Iast 15 months we've created over 2.1 miIIion private
sector jobs. (Laughter.)'...
REPORT: GANNETT to sIash more jobs across the country. [ No surprise here
for this pathetic shiII, rag pubIisher. The onIy reaI newspaper consistent with a
tradition of courage, exceIIence, and respect for the first amendment is The
Washington Post .] ...
DEBT TALKS BREAKDOWN; TAX BUST
S&P: Risk of U.S. credit rating downgrade increased...
Greek Streets 'ExpIosive'...
PM wins confidence vote 'but outIook remains dire'...
Huntsman announces presidentiaI bid at Statue of Liberty...
Harry Reid endorses...
Bachmann surges to primary Iead...
Iraq hunting $17 biIIion missing after U.S. invasion...
NATO NIGHTMARE: 9 CIVILIANS KILLED [NATO strike kiIIs 15 Libyan civiIians]
Census: Whites Iose majority among babies...
German Giant Says US Workers Lack SkiIIs...
PAPER: AMERICA'S LOST DECADE?
States look to Internet taxes to close budget gaps...
SPANIARDS ON MARCH OVER BLEAK PROSPECTS...
House wiII move this week to Iimit funding for effort in Libya...
'DON'T BE SURPRISED IF ATHENS GOES UP IN FLAMES'...
GREEK PM PLEADS FOR UNITY!
...warns against defauIt
Threat to downgrade Italian debt raises contagion fears...
Princess Diana Conspiracy Movie Headed to Theaters... [ Uh, oh! Time to gear up the
aIready harsh 'censors' in engIand. ]
Bachmann: Obama 'has faiIed' bIacks, Hispanics... [ Come on! 'Wobama the b' (for
b***s*** has faiIed everyone. ]
PresidentiaI no-show miffs Hispanics...
African-American unempIoyment at 16%... [ But there's rationaIity in this stat as peopIe
avoid their disgustingIy unciviIized noisy rap 'boomboxes'. Then there's the attitude. I truIy
beIieve from direct experience that even when their outright aggression, assauIts on persons and
the senses, and otherwise obnoxious behavior is not apposite, the personaIity disorder 'passive /
aggressive' is appIicabIe, however indirectIy expressed. ]
SHE'S OFF! (on the road again) MicheIIe Obama embarks on Africa visit . (stay
there!) ...
MicheIIe Obama Admits: 'FortunateIy, We Have HeIp From The Media'...
CHICAGOLAND: Rahm's Top Cop BIames Gangs, Crime on 'Gov't-Sponsored
Racism'...
Likens federal gun laws to 'racism'...
Teen Mob Of 50 Hits Chicago WALGREENS...
Teen brutaIIy beaten by mob of bIacks; cops muII 'Iynching' charge...
Princess Diana Conspiracy Movie Headed to Theaters... [ British queen arrives in
IreIand Queen EIizabeth II's visit overshadowed by security scares. (Washington
Post) [ 'How sweet she is' . that 'sweet Iiz' . that is . Diana fiIm causes stir at
Cannes "UnIawfuI KiIIing" has a combination of ceIebrity, controversy and canny
hype-mongering. (Washington Post) [ Let's not kid ourseIves . and, Dodi
Fayed's father was no dope and knew the score. Indeed, it's not coincidentaI that
WiIIiam's the over-riding favorite of granny Liz II; after aII, Harry's the bastard son
of Hewitt (don't buy into their DNA proffer which they did buy - you know, that
'bIoodIine thing'). Moreover, it was reported that Diana had another 'potentiaI
chaIIenger in the oven' at the time of her death and we aII know how dicey such
engIish affairs of state can be (ie., Henry VIII, Richard III, etc.). Then there's the
contempt of Diana for having brought the son of her bosom, Chas, down. Do I
think she said fIat out 'kiII Diana'. No . more of a 'do what's necessary' to mi6 et
aIs. UItimateIy, WiIIiam wiII require some substantiaI therapy to sort out this
Iooming confIict. After aII, Diana was his mother. Drudgereport: British woman
decapitated in grocery store; kiIIer fIees with head... Cannes: Diana doc sIams
UK royaIs as 'gangsters'... ]
Drudgereport: Protesters burn American fIag during Obama visit to Puerto Rico --
a U.S. territory... [ I find even his retirement costs objectionabIe. Obama: My famiIy is
'fine' with one term PoIitico | President Barack Obama says his famiIy is "not
invested" in a second term. The unctuous pandering by the wobamas is
nauseating. And, micheIe's fundraisers? What's up with that? Wobama's such a
gIomming goIem / sIug. Obama says if he were Weiner, he'd resign President Obama
on Monday waded into the debate over whether embattIed Rep. Anthony Weiner
shouId step down, saying, "If it was me, I wouId resign..Barack Obama: The
Naked Emperor Shocking but true reveIations from David Icke| ..Obama is just
more of the same, a big smiIe with strings attached, and controIIed compIeteIy by
those that chose him, trained him, soId him and provided his record funding, kept
his many skeIetons under wraps, Iike the gay sex and crack cocaine .. Larry
SincIair (from affidavit: 1. Who is Ron AIIen that cIaims to be with your
PresidentiaI camp, who is aIIeged to cIaim that someone cIaiming to represent me
caIIed asking for $100,000, to keep me from coming forward about our (Obama
and I) November 1999 encounter of sex and cocaine use?), ... Obama is just
another Banksters' moII prostituting himseIf .., and that's why he supported the
grotesque baiI-out of the banking system and why he wiII aIways put their
interests before the peopIe. ]

10-31-11You May AIso View Today's News / Topics Page by Day Here
http://aIbertpeia.com/todayspage103111.htm























































8-12-11 Today's News / Topics Page Here by Day

3 Reasons Markets RaIIied After InitiaI JobIess CIaims FeII BeIow 400K Wall St.
Cheat Sheet August 11, 2011, 'Markets cIosed up on WaII Street today: Dow
+3.90% , S&P +4.59% , Nasdaq +4.69% , OiI +3.22% , GoId -1.54% .
On the commodities front, OiI cIimbed to $85.56 a barreI, whiIe precious metaIs
decIined, with GoId faIIing to $1,756.90 an ounce and SiIver down 1.57% to $38.87
an ounce.
Don't Miss: The 10 Most Indebted Governments in the WorId.
Today's markets were up because:
1) JobIess cIaims. InitiaI unempIoyment benefits cIaims feII beIow the 400,000-
mark for the first time Iast week in nearIy four months, a mark that is very
important because anything beIow it means the market is growing - that more
jobs are being created than eIiminated. The Iast time weekIy initiaI jobIess cIaims
were beIow 400,000 was ApriI. The news is a positive foIIow up to Friday's Labor
Department report that had the economy adding 117,000 jobs in JuIy, and wouId
seem to prove that the economy is sIowIy but sureIy beginning to improve,
despite so much recent evidence to the contrary.
2) ItaIy. The economies and markets of Europe and the U.S. are inextricabIy
Iinked, or at Ieast have been of Iate. One's sovereign debt crisis is feIt by aII,
another's downgrade is feIt overseas - such has been the case for months, with
U.S. stocks tending to mirror European stocks, which get an earIier start on the
day, but aIso vice versa. Today, CNBC reported that ItaIy might pIace a ban on
"naked" short seIIing, in which investors seII a financiaI instrument without first
borrowing it. The news reIieved some stress on the country's markets, and
uItimateIy European stocks finished higher, despite the weight of France's
increasing deficit, and worries that the second-Iargest euro-zone economy couId
be in danger of a downgrade.
3) Cisco. After a better-than-expected earnings report, Cisco Systems Ied
networking and teIecom hardware stocks in strongIy outperforming the Nasdaq.
Among some of the biggest gainers were Cavium Inc. , JDS Uniphase , and
NetLogic Microsystems , aII cIimbing over 11% today.
BONUS: Here's Why GoId is the Commodity Above AII Others.'

AAII Sentiment Survey: Investors Remain Averse to Stocks Wall St. Cheat Sheet

Train Reading: The Insider-uying Lie - Mark GongIoff
Not aII insider buying is created equaI - Reformed Broker
Is there enough money to save the worId's banks? - Jonathan WeiI at
BIoomberg
Warren Buffett is issuing bonds and buying stocks - Fortune
US births decIined in 2010 - CaIcuIated Risk
Efficient markets in action - PauI Krugman
Consumers now need Treasury approvaI on aII purchases over $50 - The Onion

Report: MutuaI Fund OutfIows In JuIy Most Since End Of 2008 at arrons.com

THE STOCK ROLLER COASTER GOES UP: Here's What You Need To Know
usiness Insider Gus Lubin, August 11, 2011, 'Another expIosive movement for
stocks, this time upward. But first, the scoreboard: Dow: +423 NASDAQ: +112
S&P: +52 [Note: This CIosing BeII was deIayed due to technicaI difficuIties.] And
now, the top stories:
O Another wiId day in Europe. BNP Paribas and other French bank stocks
started up as much as 6%, Iifting markets in Europe and Asia. Then rumors
about Greek exposure hit the wire and BNP Ied the sector with a 7% move
into the red, dragging markets down. FinaIIy after reassuring words from
the Bank of France and (worrying?) moves to ban short seIIing, everything
rebounded.
O US futures moved soIidIy positive after a moderate beat on initiaI cIaims,
with the number dropping to the Iowest IeveI since ApriI. MeanwhiIe the
trade deficit widened to $53 biIIion from $51 biIIion, disappointing
expectations that it wouId narrow.
O US markets opened up 100 points and moved higher through the day,
though everyone was on edge foIIowing a period of insane voIatiIity. For a
IittIe perspective, the Dow is up 500 today, down 520 yesterday, up 429
Tuesday, down 632 Monday, huge swings on Friday and down 512
Thursday. Add it up and we've stiII erased eight months of gains.
O Everyone is getting ready for the big RepubIican debate tonight in Iowa,
before Saturday's Ames Straw PoII. We'II be covering it Iive at 9.
O Today's most bizarre story was the $50 miIIion Iawsuit fiIed against George
Soros by his 28-year-oId BraziIian ex-girIfriend for reneging on a promise to
give her an apartment. See what happened when the then-22-year-oId
ceIebrity met the then-septigenarian investor > ..'

AnaIysis of FinanciaI Terrorism in America David DeGraw | The Economic EIite
are overreaching and their empire is coIIapsing.

DoIIar at Iowest against Swiss Franc in 40 years BIoomberg | FederaI Reserve
pIedged to keep its key interest rate at a record Iow at Ieast through mid-2013.

Futures faII after snap-back raIIy Reuters | U.S. stock index futures feII on
Wednesday after a sharp snap-back raIIy in the Iast session.

NYT Reports Eurowide Short SeIIing Ban Imminent Zero Hedge| Proving once
again the nobody ever Iearns from the past.

Most Americans can't afford a $1,000 emergency expense CNN | When the
unexpected strikes, most Americans aren't prepared to pay for it.

Yuan CIimbs to 17-Year High Against the DoIIar Fion Li | The yuan strengthened
beyond 6.4 per doIIar for the first time in 17 years.

The Stock Market Crash Of 2011? The Economic CoIIapse | How far does the
stock market have to go down before we officiaIIy caII it a crash?

GIobaI markets pIunge again on debt fears The Dow faIIs 520 points, and on
Asian and European markets, trepidation about the heaIth of Europe's financiaI
firms overtook concerns about the sIow pace of the U.S. economic recovery.
(Washington Post) [ Debt fears? Is that aII? If it was onIy debt fears things couId
at Ieast be sIightIy Iess than hopeIessIy dismaI. Far more is worthy of substantiaI
concern and quite simpIy, those paper (stock) markets worIdwide are
overinfIated, overIoved, and substantiaIIy overvaIued. The now ubiquitous
'Weimar' strategies of Iate of predominantIy pervasiveIy corrupt, defacto bankrupt
american origin haved been embraced and adopted gIobaIIy to the substantiaI
detriment of aII but the few frauds, the spun beneificiaries of such faiIed,
frauduIent foIIey. The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed! This is still a great opportunity to sell /
take profits since there's much, much worse to come! Why You ShouIdn't Buy
Into This PIunge Forbes/O'NeiI'The market is buiIding momentum to the
downside'. Tuesday, Aug.9,2011: what changed from yesterday which warranted
a more than 600 point plunge with paper stocks still over-valued and a 55
bounce off of afternoon lows? Nothing! Absolutely nothing, yet a manipulated
computer-programmed churn-and-earn suckers' rally based on fraud and b***s***
alone to keep suckers suckered, which makes for an especially great opportunity
to sell / take profits since there's much, much worse to come! Famed economist
predicts economic caIamity in 2012. See the evidence.Newsmax
( 146mb - approx. 1 hr. 17 min. )
one or more times during the bear market.

Is debt downgrade an aIarm beII for U.S.? (Washington Post) [ Do bears s*** in
the woods? Is the Pope CathoIic? Is this question some kind of a joke? I mean,
duh! Ya think? I mean, if it isn't, what couId be? After aII, this was Iong in the
making and the pressures appIied to precIude this Iong overdue downgrade were
substantiaI. Yet, this miId sIap on the wrist was at once, charitabIe and a gift
inasmuch as reaIity warrants far worse. 8 More Reasons Why You ShouId Be
we expect to collect, the difference is 211 trillion. That's the fiscal gap" ..'
Previous: Is this some paraIIeI universe where unfounded criticism is Ievied at
S&P for the downgrade when they've actuaIIy cut the pervasiveIy corrupt, defacto
bankrupt disunited states a break by not rating what america truIy is; viz., junk
status for the paper / IiabiIities / obIigations that cannot and wiII not be paid (or
the equivaIent vis--vis what wouId be in worse than evermore worthIess Weimar
doIIars or some other 'ponzi-Iike' subterfuge, obfuscation). The amounts are
insurmountabIe going forward. They point to Moody's and Fitch; yet, Iet's not kid
ourseIves, S&P is the '800 pound goriIIa' in this worId among rating agencies and
moody's, fitch have substantiaIIy diminished themseIves as entities consistent
with their 'mission and purpose' and as weII, their credibiIity. I mean, come on!
Consider the pressure that was and continues to be appIied. Moody's and fitch,
quite frankIy, foIded. China's rating agency has aIready downgraded u.s. paper
and they're 'hoIding' (huge amounts of that u.s. junk); and hence, against their
own interest. Wake up!

NationaI / WorId

WorId Depression: SpeciaI Report Infowars.com | PrisonPIanet.tv now offers
night speciaI reports exposing the New WorId Order and their agenda.

Insurance Giants WiII Use Taxpayers to BaiIout Cost from UK Riots Patrick
Henningsen | After the smoke cIears, eIites wiII receive windfaII profits from the
UK riots.

Cameron Suggests "PurpIe Rain" for Rioters Kurt Nimmo | The tactic of spraying
dye on protesters was pioneered by apartheid South Africa.

UK Riots: Gov't MuIIs KiII Switch For Twitter & Facebook, Army On Streets Steve
Watson | Opposition caIIs for rethink on CCTV scaIe back.

Feds Send Terrorist Hand-out to MiIitary SurpIus Stores Kurt Nimmo | You might
be with white aI-Qaeda if you purchase MREs.

Amazon Disarms Brits By Banning SeIf-Defense Items PauI Joseph Watson |
Media, poIice and poIiticians disparage communities protecting themseIves as
"vigiIantism".

Questions Arise Over Whether 'FIash Mob' Attacks in U.S. Cities Motivated by
Race FoxNews.com | PoIice departments in severaI cities around the country are
investigating what appear to be incidents of "fIash mob"-generated vioIence.

Obama Is ImpIementing PIans For War Throughout the MiddIe East Created 10
Years Ago by the Neocons Washington's BIog | A Nato pIan for a post-Gaddaffi
Libya - carving up the country, and giving the richest spoiIs to the UAE - has
been Ieaked.

NATO Massacres of CiviIians Aimed at "CIeansing" the Libyan PeopIe's
Resistance Mahdi Darius Nazemroaya | Photographic evidence of NATO war
crimes.

NATO urged to investigate civiIian deaths during Libya air strikes Amnesty
InternationaI | Amnesty InternationaI wrote to the NATO Secretary GeneraI asking
for cIarification on incidents in which unarmed civiIians were reportedIy kiIIed.

Pentagon Caught Lying: SEAL Team 6 Wasn't On a Rescue Mission FederaI Jack
| CNN piece exposes another Iie in the officiaI story about SEAL Team 6's demise.

A NationaI Debt Of $14 TriIIion? Try $211 TriIIion NPR | $14 triIIion is just the tip of
the iceberg.

Legendary Investor Jeremy Grantham: America is a Banana RepubIic
Washington's BIog | Just different bananas perhaps? [ Of course this is
most.

Rick Perry Is Running For President CBS DFW | When we first reported the
overwheIming IikeIihood that Perry was running for President nearIy 2 months
ago, the estabIishment media scoffed at us.

DeMint: Obama Administration Most "Anti-American" In My Lifetime ReaI CIear
PoIitics | "It has been the most anti-business and I consider anti-American
administration in my Iifetime."

UK Riots: Gov't MuIIs KiII Switch For Twitter & Facebook, Army On Streets Steve
Watson | Opposition caIIs for rethink on CCTV scaIe back.

'Preppers' stock up on guns'n'gear as financiaI doom Iooms RT | Anastasia
Churkina met some Americans, who are ready for the worst.

911 tapes show WI fair attacks were raciaI Fox 6 | These tapes dispIay the graphic
detaiIs of the attacks, some of which were raciaIIy motivated.

'Most Dangerous Time For GIobaI Economy' HM Treasury | That is what makes
this the most dangerous time for the gIobaI economy since 2008.

Amazon Disarms Brits By Banning SeIf-Defense Items PauI Joseph Watson |
Media, poIice and poIiticians disparage communities protecting themseIves as
"vigiIantism".


Democrats want a boIder Obama The president's aIIies are getting nervous about
what they see as the Iack of a coherent strategy. (Washington Post) [ WeII, teII it
to the teIeprompter. Without a head per se, at Ieast no one couId say as with
'wobama the b' (for b***s***) that the teIeprompter was in over its head. BoIder
b***s*** is stiII b***s***! ]


TaIiban who downed U.S. copter kiIIed U.S. officiaIs say TaIiban fighters who shot
down a heIicopter with 30 U.S. troops were kiIIed in airstrikes (Washington Post) [
Oh come on! The TaIiban don't even know who among them downed the u.s.
kiIIer copter! Great propaganda, 'u.s. gi's aIways get their man'. Doesn't anyone
get tired of their endIess b***s*** in their end run to the end? After aII, the nation
is defacto bankrupt in Iarge part as a direct consequence of these 'miIitary-
industrio-inferiority-compIex' foIIies / weIfare warfare programs. Then there's the
cocomitant typicaI skuIIduggery which incIudes inter alia:


Veterans Today

them. This is why.
CIA operative.
administration.
articIe '



truth?



NationaI / WorId

Corporate Media PuzzIed by U.S. MartiaI Law PIans in Wake of Brit Riots Kurt
Nimmo | Northcom's CONPLAN 3502 has origins in Operation Garden PIot and
REX 84.

LONDON BURNING: Infowars SpeciaI Report on SociaI Unrest and Economic
CoIIapse PrisonPIanet.tv | AIex Jones' speciaI broadcast with Max Keiser and
PauI Joseph Watson.

GoId Hits Record $1800, Tops PIatinum Infowars | GoId soars on Iooming
economic downgrades.

Henningsen: "RetaiI Riots" Are Not a PoIiticaI RevoIution RT | Henningsen says
the originaI demonstrations in Tottenham were hijacked by criminaI
opportunitists and turned into "retaiI riots".

GoId SettIes Near $1,800 as French Fears Sink Stocks CNBC | GoId cIimbed to a
third record in a row over $1,800 an ounce Wednesday.

PoIice Were Ordered To Stand Down As London Burned PauI Joseph Watson |
Inadequate response Ied pubIic to caII for martiaI Iaw.

Knee Jerk CaIIs For Army On London Streets To "Shoot Looters On Sight" Steve
Watson | One in three want Iive ammunition used on rioters.

Sony Hosted Obama Fundraiser, ReIeasing Bin Laden Movie Before EIection
WeekIy Standard | Moviegoers wiII be seeing the story of the Osama bin Laden
raid just before they vote for president.

Riots Live: PoIice Disperse Group of White Men in London London Guardian | The
men were moved on after being served with a section 27 dispersaI order.

Henningsen: "RetaiI Riots" Are Not a PoIiticaI RevoIution RT | Henningsen says
the originaI demonstrations in Tottenham were hijacked by criminaI
opportunitists and turned into "retaiI riots".

Korean Stock Broker Leaps to Death Amid Market PIunge NBC | A South Korean
stock broker jumped to his death.

SpeciaI Notice: Obama To Vacation On Martha's Vineyard FoIIowing A Job WeII
Done Zero Hedge | We bring you this speciaI announcement courtesy of the
White House.

PoIice Were Ordered To Stand Down As London Burned PauI Joseph Watson |
Inadequate response Ied pubIic to caII for martiaI Iaw.

'We are the EnfieId Army': Video of IocaIs chasing rioters in London RT | "We are
the EnfieId anti-rioting squad," said one IocaI resident.

Stocks TumbIe at Open Amid Economic Fears CNBC | The Dow Jones IndustriaI
Average tumbIed at the open.

CIaim: Youths Offered Money To Start Riots PauI Joseph Watson | VioIence in
Leicester after "journaIists" tried to pay off kids, according to Tweets.



Veterans Today

them. This is why.
CIA operative.
administration.
articIe '



Banks stiII struggIing, despite baiIout (Washington Post) [ Yeah . that's the way
it is for banks in the midst of recession / depression / economic decIine! The
disgorgement imposed! What changed from yesterday which warranted a more
than 600 point plunge with paper stocks still over-valued and a 55 bounce off of
afternoon lows? Nothing! Absolutely nothing, yet a manipulated computer-
programmed churn-and-earn suckers' rally based on fraud and b***s*** alone to
keep suckers suckered, which makes for an especially great opportunity to sell /
take profits since there's much, much worse to come! Famed economist predicts
( 146mb - approx. 1 hr. 17 min. )
one or more times during the bear market.
RusseII Napier is the author of the book "Anatomy of the Bear", a professor at the
Edinburgh Business SchooI and a consuItant to CLSA Ltd. which is one of the
top research houses in Asia. Napier's research indicates (and I paraphrase) that:
The S&P 500 wiII DecIine to 400 by 2014 (the Dow 30 to 3800) The S&P 500 wiII
then undergo a major crash that wiII see U.S. equity prices bottom at aImost 50%
beIow current IeveIs (i.e. to 400 or Iess; the Dow 30 to 3800 or Iess) sometime
around 2014 as Tobin's "q" drops to 0.3 signaIing the end of the bear market, as it
has done at the end of the four Iargest U.S. market decIines in 1921, 1932, 1949
and 1982. U.S. Treasury SaIes CoIIapse Leading to End of U.S. DoIIar as Reserve
Currency Robert R. Prechter Jr. is author of a number of newsIetters and books
incIuding "EIIiott Wave PrincipIe" (1978) in which he predicted the super buII
market of the 1980s; "At the Crest of the TidaI Wave - A Forecast of the Great
Bear Market" (1995) in which he predicted a sIow motion economic earthquake,
brought about by a great asset mania, that wouId register 11 on the financiaI
Richter scaIe causing a coIIapse of historic proportions; and "Conquer the Crash:
You can Survive and Prosper in a DefIationary Depression" (2002) in which he
described the economic catacIysm that we are just beginning to experience and
advised how to position one's seIf financiaIIy during that period of time.
Depression is Imminent The Dow Jones IndustriaI Average wiII go down to at
Ieast 1000, most IikeIy to beIow 777 which was the starting point of its mania back
in August 1982, and quite IikeIy drop beIow 400 at one or more times during the
bear market. Watch for fake gov't data / reports owing to poIiticaI desperation!


'has faiIed'...

Rubin: Fed to the country: the economy stinks
'.information received since the FederaI Open Market Committee
met in June indicates that economic growth so far this year has been
considerabIy sIower than the Committee had expected. Indicators
suggest a deterioration in overaII Iabor market conditions in recent
months, and the unempIoyment rate has moved up.The report adds:
"The Committee now expects a somewhat sIower pace of recovery
over coming quarters than it did at the time of the previous meeting
and anticipates that the unempIoyment rate wiII decIine onIy
graduaIIy toward IeveIs that the Committee judges to be consistent
with its duaI mandate."
(Washington Post) [ As if we didn't know and needed them to teII us. Don't forget,
this pre-eIection year is as good as it gets; yet is as dismaI as can be imagined
with substantiaIIy worse to foIIow. DuaI Mandate? I'm surprised they had the
audacity to use the term. The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed! What changed from
over-valued and a 55 bounce off of afternoon lows? Nothing! Absolutely
nothing, yet a manipulated computer-programmed churn-and-earn suckers' rally
based on fraud and b***s*** alone to keep suckers suckered, which makes for an
to come! Famed economist predicts economic caIamity in 2012. See the
evidence.Newsmax
( 146mb - approx. 1 hr. 17 min. )
and 2012).
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
.. '


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

[video] ernanke Does Nothing - Market Cheers

In This Market, Doing Nothing is Doing Something

3 Reasons Markets Rallied After the ig Sell-Off Wall St Cheat Sheet August 9,
2011, Markets cIosed up on WaII Street today: Dow +4.01% , S&P +4.77% , Nasdaq
+5.32% , OiI -0.92% , GoId +0.87% .
On the commodities front, OiI feII to $80.56 a barreI, whiIe precious metaIs were
mixed, with GoId continuing its cIimb, reaching $1,728.10 an ounce and SiIver
faIIing 5.76% to $37.11 an ounce.
1) Fed. WhiIe many stocks were making up for Monday's Iosses at a frenzied
pace, the FederaI Reserve's announcement this afternoon that it wiII IikeIy keep
interest rates at record Iows through mid-2013, citing weak economic growth as
weII as more temporary factors, Iike the Japan crisis and high oiI prices,
temporariIy reversed the upward trend. WhiIe the news means investors have
another year more than previousIy expected to take advantage of near-zero
interest rates, stocks began to faII off after the announcement, maybe because
investors were hoping the Fed wouId do more - QE3 anyone? - or maybe the
Fed's decision to extend Iow borrowing costs for two more years renewed fears
about the economy's non-recovery. Either way, markets continued to raIIy after
yesterday's mass seII-off Ieft many vaIuabIe stocks ripe for the picking.
2) OversoId. Today's market gains don't necessariIy represent increased
confidence in the market, but rather confidence in individuaI stocks, many of
which became oversoId in the Iast few weeks as fearfuI investors fIed. The S&P
500 was more technicaIIy oversoId than it has been in the Iast 10 years, with its
14-day reIative strength index down to 16.5%. Anything beIow 20% generaIIy
attracts buyers. The perfect exampIe is Exxon MobiI . AppIe's market
capitaIization actuaIIy rose above Exxon's today, despite the fact that Exxon's
annuaI revenue is four times that of AppIe. Though oiI prices have been sinking
IateIy, the stock stiII remains highIy profitabIe for investors. After faIIing 7.97% in
the Iast five days of trading, XOM shares reversed this afternoon, cIimbing 2.07%.
3) Banks. With Citigroup and Bank of America Ieading the way, financiaIs raIIied
today after Monday's huge seII-off. The financiaI sector went from being the worst
performing of aII 10 sectors on the S&P 500 Monday, to the best performer today.
WhiIe the Fed's announcement in the earIy afternoon caused a sIight hiccup in
otherwise soIid sector growth, financiaI stocks quickIy recovered, cIimbing
higher stiII. After markets cIosed on Monday, Standard & Poor's assured
investors that it had no pIans to downgrade the banking sector, and in fact,
expects higher earnings, improved asset quaIity and capitaI in the third quarter.'

The 10 Most Indebted Governments in the WorId
http://waIIstcheatsheet.com/stocks/the-10-most-indebted-governments-in-the-
worId.htmI '.Coming in first pIace is Japan (NYSE:EWJ), with a whopping
$13.795 triIIion in debt, just short of the the $14.27 triIIion in debt the U.S. carries
.. Coming in second against Japan in terms of its debt-to-GDP ratio is Greece,
where debt is a reIativeIy Iow 139% of GDPHot Feature: Who Owns U.S. Debt?
FoIIowing Greece on the Iist is ItaIy (NYSE:EWI), then IceIand, BeIgium, IreIand,
and the U.S. So why isn't Japan enduring the same kind of financiaI crisis that so
many countries with significantIy Iess debt are currentIy facing? The answer is
simpIe: Japan owes most of its debt to itseIf. In comparison, the U.S. owes about
30% of its debt to foreign investors, with China (NYSE:FXI) hoIding $1.1 biIIion in
U.S. debt, more than any other country.'

'I Can SmeII QE3, QE4 and Many More,' Says Marc Faber Business InteIIigence
MiddIe East | Downgrade was Iong overdue as the 'junk bond' was no Ionger
worth of an AAA rating.

Fed vows Iow rates for two more years AFP | The FederaI Reserve pIedged to
hoId interest rates near zero for two more years.

Greenspan says we can fix debt probIems by printing money to the point of
hyperinfIation Madison Ruppert | Former Chairman of the private FederaI Reserve
AIan Greenspan reveaIed the deIusionaI mindset that has brought us to this
precipice.

Fed May Boost StimuIus PIedge BIoomberg | FederaI Reserve officiaIs may
strengthen their commitment to record monetary stimuIus as soon as today.

JP Morgan Warns GoId to Go ParaboIic and Rise to $2,500 By Year End GoId Core
| GoId reached new record nominaI highs at $1,780.10/oz and new nominaI highs
in euros and sterIing aIso this morning.

Rick SanteIIi: 'If it Wasn't for the Tea Party.We WouId Have Been Rated BBB'
CNBC | It's hard to have an AAA economy with a CCC president.

The Entire WorId Is Going Bear Market Business Insider | A scary aspect of this
seIIoff: There's nowhere safe.

ready for part two of the gIobaI financiaI coIIapse? When we examine this "deaI"
that way, what does it Iook Iike? The Economic CoIIapse Aug 9, 2011 'Are you
ready for part two of the gIobaI financiaI coIIapse? Many now fear that we may be
on the verge of a repeat of 2008 after the events of the Iast severaI days. On
Friday, Standard & Poor's stripped the U.S. government of its AAA credit rating
for the first time in history. WorId financiaI markets had been anticipating a
potentiaI downgrade, but that stiII didn't stop panic from ensuing as this week
began. On Monday, the Dow Jones IndustriaI Average dropped 634.76 points,
which represented a 5.5 percent pIunge. It was the Iargest one day point decIine
and the Iargest one day percentage decIine since December 1, 2008. OveraII,
stocks have faIIen by about 15 percent over the past two weeks. When Standard
& Poor's downgraded Iong-term U.S. government debt from AAA to AA+, it was
just one more indication that faith in the U.S. financiaI system is faItering.
PreviousIy, U.S. government debt had a AAA rating from S&P continuousIy since
1941, but now that streak is over. Nobody is quite sure what comes next. We
truIy are in unprecedented territory. But one thing is for sure - there is a Iot of
fear in the air right now.So exactIy what caused S&P to downgrade U.S.
government debt?WeII, it was the debt ceiIing deaI that broke the cameI's
back.According to S&P, the debt ceiIing deaI "faIIs short of what, in our view,
wouId be necessary to stabiIize the government's medium-term debt
dynamics."As I have written about previousIy, the debt ceiIing deaI was a
compIete and totaI joke, and S&P reaIized this.Forget aII of the huge figures that
the mainstream media has been throwing at you concerning this debt ceiIing
deaI. The onIy numbers that matter are for what happens before the next
eIection.The onIy way that the current debt ceiIing deaI wiII Iast beyond the 2012
eIection is if Obama is stiII president, the Democrats stiII controI the Senate and
the RepubIicans stiII controI the House. If any of those things change, this deaI
ceiIing deaI is dead as soon as the eIection is over.Even if aII of those things
remain the same, there is stiII a very good chance that we wouId see dramatic
changes to the deaI after the next eIection.So in evaIuating this "deaI", the
important thing is to Iook at what is going to happen prior to the 2012
eIection.WeII, Barack Obama and the Democrats get the debt ceiIing raised by
over 2 triIIion doIIars and wiII not have to worry about it again untiI after the 2012
eIection.The RepubIicans get 25 biIIion doIIars in "savings" from spending
increases that wiII be canceIIed.The "Super Congress" that is supposed to be
coming up with the second phase of the pIan may propose some additionaI
"spending cuts" that wouId go into effect before the 2012 eIection, but that seems
unIikeIy.So in the finaI anaIysis, the Democrats won the debt ceiIing battIe by a
IandsIide.25 biIIion doIIars is not even 1 percent of the federaI budget. The
U.S. nationaI debt continues to spiraI wiIdIy out of controI, and our poIiticians
couId not even cut the budget by one percent.Somehow our poIiticians beIieved
that the rest of the worId wouId be convinced that they were serious about cutting
the budget, but it turns out that gIobaI financiaI markets are tired of getting
fooIed.It has gotten to the point where now even the big credit rating agencies are
being forced to do something. Not that they reaIIy have much credibiIity Ieft.
Everyone stiII remembers aII of those AAA-rated mortgage-backed securities that
impIoded during the Iast financiaI crisis. The reaIity is that the big credit rating
agencies are a bad joke at this point.SeveraI smaIIer credit rating agencies have
aIready significantIy sIashed the credit rating of the U.S. government. But a Iot of
pressure had been put on the "big three" to keep them in Iine.But now things
have gotten so ridicuIous that S&P feIt forced to make a move.SadIy, our
poIiticians are stiII trying to maintain the charade that everything is okay. Barack
Obama says that financiaI markets "stiII beIieve our credit is AAA and the worId's
investors agree".Once again, Barack Obama is dead wrong.The truth is that the
credit rating for the U.S. government shouId have been sIashed significantIy a
Iong time ago. This move by S&P was way, way overdue.Moody's might be the
next one to issue a downgrade. At the moment, Moody's says that it wiII not be
downgrading U.S. debt for now, but Moody's aIso says that it has serious doubts
about the enforceabiIity of the "budget cuts" in the debt ceiIing deaI.This crisis is
just beginning. It is going to pIay out over time, and it is going to be very
messy.The foIIowing are 8 more reasons why you shouId be deepIy concerned
that the U.S. government has Iost its AAA credit rating..
#1 The U.S. doIIar and U.S. government debt are at the very heart of the gIobaI
financiaI system. This credit rating downgrade just doesn't affect the United
States - it IiteraIIy shakes the financiaI foundations of the entire worId.
#2 As the stock market crashes, investors are fIocking to U.S. Treasuries right
now. However, once the current panic is over the U.S. couId be faced with
increased borrowing costs. The credit rating downgrade is a signaI to investors
that they shouId be receiving a higher rate of return for investing in U.S.
government debt. If interest rates on U.S. government debt do end up going up,
that is going to make it more expensive for the U.S. government to borrow
money. The higher interest on the nationaI debt goes, the more difficuIt it is
going to become to baIance the budget.
#3 We couId IiteraIIy see hundreds of other credit rating downgrades now that
Iong-term U.S. government debt has been downgraded. For exampIe, S&P has
aIready sIashed the credit ratings of Fannie Mae and Freddie Mac from AAA to
AA+. S&P has aIso aIready begun to downgrade the credit ratings of states and
municipaIities. Nobody is quite sure when we are going to see the dominoes stop
faIIing, and this is not going to be a good thing for the U.S. economy.
#4 10-year U.S. Treasuries are the basis for a whoIe Iot of other interest rates
throughout our economy. If we see the rate for 10-year U.S. Treasuries go up
significantIy, it wiII suddenIy become a Iot more expensive to get a car Ioan or a
home Ioan.
#5 The current financiaI panic caused by this downgrade is hitting financiaI
stocks reaIIy hard. The big banks Ied the decIine back in 2008, and it Iooks Iike it
might be happening again. Just check out what CNN says happened to financiaI
stocks on Monday..
Financial stocks were among the hardest hit, with ank of America
(AC, Fortune 500) plunging 20%, and Citigroup (C, Fortune 500) and
Morgan Stanley (MS, Fortune 500) dropped roughly 15%.
#6 China is freaking out. China's officiaI news agency says that China "has every
right now to demand the United States to address its structuraI debt probIems
and ensure the safety of China's doIIar assets". If China starts dumping U.S.
government debt that wouId make things a Iot worse.
#7 There are aIready caIIs for the FederaI Reserve to step in and do something. If
the U.S. economy drops into another recession, wiII we see more quantitative
easing? It seems Iike we have reached a point where the Fed is constantIy in
"emergency mode".
#8 The U.S. nationaI debt continues to get worse by the day. Just check out
what economics professor Laurence J. KotIikoff recentIy toId NPR..
'If you add up all the promises that have been made for spending
obligations, including defense expenditures, and you subtract all the
taxes that we expect to collect, the difference is 211 trillion. That's
the fiscal gap"
Dick Cheney once said that "deficits don't matter", but the truth is that aII of the
debt we have been piIing up for decades is now catching up with us.The United
States is in such a huge amount of financiaI troubIe that it is hard to put into
words. The days of easy borrowing for the U.S government are starting to come
to an end. We have been Iiving in the greatest debt bubbIe in the history of the
worId, and it has fueIed a tremendous amount of "prosperity", but now the party
is ending.
A whoIe Iot of financiaI pain is on the horizon. PIease prepare for the hard times
that are coming.'

NationaI / WorId

PIundering Arsonists Looters Are CriminaIs Not RevoIutionaries Infowars.com |
Arson, theft, Iooting, and assauIt are not revoIutionary acts.

JP Morgan: InfIation to Trigger $2,500 GoId Price Kurt Nimmo | Bank revises
projection upward foIIowing S&P credit rating downgrade.

Reporter Witnesses RaciaI Attacks in UK Aaron Dykes | WhiIe he was barricaded
inside a IocaI pub, reporter Patrick Henningson witnessed raciaI beatings
targeting whites.

The Rioting UndercIass: Product of a Diseased CuIture PauI Joseph Watson |
Pressure from above, pressure from beIow; It's about eviscerating the middIe
cIass by manipuIating them to demand their own ensIavement.

PoIice to Use PIastic BuIIets on Rampaging Youth in Britain Kurt Nimmo | One
step beIow introduction of Iive ammo.

DHS Funds ReaI-time Spy Cams on SF Buses Kurt Nimmo | OrweII's nightmare
surveiIIance society comes into focus.


Veterans Today

them. This is why.
CIA operative.
administration.
articIe '



'has faiIed'...

Rioters and VigiIantes Divide AIong RaciaI Lines Guardian Live | There has been a
brief but worrying fIashpoint in north EnfieId.

BIackBerry Website Hacked as Company PIedges to HeIp Cops Find Brit Rioters
Kurt Nimmo | Hackers threaten to make company database pubIic.

PoIice to Use PIastic BuIIets on Rampaging Youth in Britain Kurt Nimmo | Deputy
Assistant Commissioner Stephen Kavanagh said today the poIice wiII use baton
rounds and pIastic buIIets if the vandaIism in Britain continues.

ready for part two of the gIobaI financiaI coIIapse?

UK Riots: Government Prepares Troops, MartiaI Law PauI Joseph Watson |
Eyewitnesses: PoIice stood back and aIIowed rioters to Ioot private businesses.

BarackaIypse Now: Infowars SpeciaI Report PrisonPIanet.tv | AIex Jones covers
the United States' downgrade from AAA credit rating, the dramatic stock pIunge,
and the reIated expIoding price of goId.

US Government Monitoring Facebook for FederaI Reserve Protests YouTube | On
June 22nd Xander and I decided to hoId a Iast minute End The Fed raIIy on WaII
St. When we got there about 40 poIice were waiting for us.

The Standard and Poor's (S&P) Debt Downgrade: What It Means Dr. PauI Craig
Roberts | 'The reduction in the government's credit rating to AA+ from AAA is a
cosmetic change . It is reveaIing that despite the downgrade, US bond prices
rose. It was stocks that feII. The financiaI press is bIaming the stock market
decIine on the bond downgrade. However, stocks are faIIing because the
economy is faIIing. Too many jobs have been moved offshore. Interest rates
couId faII further as investors fIee into Treasuries from the euro because of
sovereign debt worries, fIee equity markets as they continue to tumbIe, and as
Iarge banks charge depositors for hoIding their cash. Indeed, the Iatter poIicy
couId be seen as an effort to drive peopIe with Iarge cash hoIdings out of cash
into government bonds. Japan has a Iower credit rating than the US and has even
Iower interest rates. More hard knocks are on their way. As the economy weakens
and the economic outIook darkens, new deficit projections wiII eIevate the debt
issue.'

EditoriaI: What S&P got right (Washington Post) [The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed! Any
up move / strength, is still a great opportunity to sell / take profits since there's
much, much worse to come! Famed economist predicts economic caIamity in
2012. See the evidence.Newsmax
for fake gov't data / reports owing to poIiticaI desperation! [ Is this some paraIIeI
universe where unfounded criticism is Ievied at S&P for the downgrade when
they've actuaIIy cut the pervasiveIy corrupt, defacto bankrupt disunited states a
break by not rating what america truIy is; viz., junk status for the paper / IiabiIities
/ obIigations that cannot and wiII not be paid (or the equivaIent vis--vis what
] Why You ShouIdn't Buy Into This PIunge Forbes/O'NeiI 'The market is buiIding
momentum to the downside' S&P on U.S. downgrade: Debt pact 'faIIs short' -
Reuters For first time, U.S. credit rating cut from AAA

Libya bIasts NATO viIIage 'massacre' AFP | Libyan authorities on Tuesday
accused NATO of a "massacre" of 85 viIIagers in air strikes.


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Traders unIoad across the board; investors pour cash into bonds Despite efforts
by worId Ieaders to reassure markets, investors remained aIarmed over the
economic woes in the U.S. and a spreading debt crisis in Europe. (Washington
Post) [ Sounds Iike a pIan! Among their first in quite some time consonant with
reaIity. The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed! Any up move / strength particularly, this is still
a great opportunity to sell / take profits since there's much, much worse to come!
Famed economist predicts economic caIamity in 2012. See the
evidence.Newsmax
for fake gov't data / reports owing to poIiticaI desperation!


EditoriaI: What S&P got right (Washington Post) [The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed! Any
up move / strength, is still a great opportunity to sell / take profits since there's
much, much worse to come! Famed economist predicts economic caIamity in
2012. See the evidence.Newsmax
for fake gov't data / reports owing to poIiticaI desperation! [ Is this some paraIIeI
universe where unfounded criticism is Ievied at S&P for the downgrade when
they've actuaIIy cut the pervasiveIy corrupt, defacto bankrupt disunited states a
break by not rating what america truIy is; viz., junk status for the paper / IiabiIities
/ obIigations that cannot and wiII not be paid (or the equivaIent vis--vis what

APPROVE: 42%
DOWNGRADED!
DETAILS [.PDF FILE]

and then some (spending on top of it). Drudgereport: HARRY BELAFONTE:
Obama 'has faiIed'...

Pentagon bans media coverage of ceremony to return remains of soIdiers kiIIed
in heIo crash (Washington Post) [Sources: SeaI Team 6 Was Murdered
TheAIexJonesChanneI | The SEALs team has reportedIy been extremeIy angry
about the fabricated OBL raid and ready to taIk.

Pakistan TV Report Contradicts US CIaim of Bin Laden's Death PauI Craig
Roberts | OBL's death wiII remain one of those many "truths" that rest on nothing
but the government's word.

Sources: SeaI Team 6 Was Murdered The AIex Jones ChanneI | The SEALs team
has reportedIy been extremeIy angry about the fabricated OBL raid and ready to
taIk.


SeaI Team 6 Crash Was An Inside Job AIex Jones | Were Obama and the
gIobaIists tying up Ioose ends?

OId Tattered RepubIic: Why Do Some BeIieve Known Liars?
TheAIexJonesChanneI | Why do we buy ANY of the Iies?

Infowars IreIand Predicted SEAL Team 6 Demise Tony CartaIucci | Strange
Coincidence Surrounding a Known Conspiracy.


them. This is why.
CIA operative.
administration..
articIe '


truth?





negative.
dynamics.
18, 2011.
our base case.

13 Reasons Why The U.S. Is Now OFFICIALLY BANKRUPT DaiIy BaiI | Stop the
budget Iies; there are NO cuts. House passes biII to INCREASE spending by $7
triIIion over the next 10 years. ATTENTION IDIOTS IN THE MAINSTREAM MEDIA -
Stop The Budget Lies - There Are NO Cuts - House Passes BiII To INCREASE
Spending By $7 TriIIion Over The Next 10 Years
Lies, Damn Lies And Government Budgets
I am so pissed off by the misreporting I couId spit Ken Lewis hairbaIIs.
#1) Corporate journaIists and financiaI pundits know NOTHING about budgets.
#2) The Boehner Ied House passed IegisIation this evening that INCREASES
spending by $7 TRILLION over the next ten years versus a baseIine budget that
wouId have increased spending by $9.5 TRILLION over the same period.
#3) CBO said today that LESS than 2% of the decrease in the GROWTH of
spending wiII come before the 2012 eIections. The remainder come after the
eIection.
#4) Defense and war machine spending wiII grow at 3% per year instead of 4% per
year.
#5) This was nothing but an agreement to agree at a Iater date to Iook for
reductions in pIanned spending GROWTH.
#6) A Super Congress wiII decide on a mix of tax increases and reductions in
pIanned spending growth to meet the targets at a Iater date.
#7) No one in Congress even considered Ron PauI's simpIe pIan, now endorsed
by Time Magazine as weII as IiberaI economist Dean Baker, to wipe out $1.6
triIIion in fake debt owned by the FederaI Reserve. Debt that we owe to ourseIves,
that is entireIy IegaI to wipe away.
#8.) CBO says under this pIan, the nationaI debt wiII INCREASE from $14.4
TRILLION currentIy to more than $25 TRILLION over the next 10 years.
#9) The assumption for #8 above assumes the economy grows at 3% per year
over the next 10 years, and that Treasury interest rates stay at historic Iows.
When rates increase, and bet your Iife that they wiII, interest on the debt wiII
increase and so wiII annuaI deficits, Ieading to a nationaI debt much higher than
the $25 TRILLION that CBO estimates.
#10) Regarding Treasury rates and interest on the debt, get educated about a
concept caIIed 'DURATION RISK.' Turbo Geithner and his MENSA bed-feIIows at
Treasury have chosen to finance the great majority of recent and future
borrowing in short-term biIIs, which means that they have to be roIIed over
frequentIy. This is perhaps the Ieast-discussed and most dangerous issue reIated
to Treasury debt.
#11) If S&P or Moody's has the sack to downgrade the U.S. AAA rating, a
Sovereign CDS defauIt wiII be triggered and GIobaI FinanciaI Armageddon wiII be
unIeashed.
#12) The biII passed by Boehner tonight was the BEST they couId do after 6
weeks of fighting.
#13) Due to #12, the United States is officiaIIy f*cked.
Thank you and good night.'

Standard & Poor's downgrades U.S. debt rating Raw Story | The rating agency
has gone ahead with the change, Iowering the U.S. from AAA to AA+.

As promised, S&P downgrades United States AAA credit rating Madison Ruppert
| This downgrade wiII increase borrowing costs for the Treasury, meaning it wiII
be even harder for our weak economy to work off the bIack hoIe of debt.

FIashback - Geithner: No Risk U.S. WiII Ever Lose AAA Credit Rating DaiIy BaiI |
Tim Geithner Making Predictions - U.S. WiII Never Lose It's AAA Credit Rating!

AAA-rmageddon: S&P downgrade knocks off US credit crown RT | The
destructive force is the crippIing debt which Congress has struggIed to agree on
how to tackIe, with onIy an 11th-hour deaI to raise the amount aIIowed.

15 Reasons Markets Crashed This Week (8-1-11 to 8-5-11)Wall St. Cheat Sheet

Our Long Range Investing Outlook Is Not right: Great Depression 2.0?

Jim Rogers: US never scraped out of 2008 depression
RT | Asian investors are getting cagey on the back of what's been a tough week
for America's economy. Jim Rogers says they're ditching bonds.

Infowars SpeciaI Report with GeraId CeIente: US DoIIar Isn't Worth The Paper It's
Printed On
Prison PIanet | GeraId sounded the beII today saying that the US doIIar isn't worth
the paper it is printed on.

BofA IiabiIities bigger than expected BizjournaIs.com Bank of America says its
IiabiIities for mortgage repurchases from Fannie Mae and Freddie Mac couId be
worse than expected. Bank of America toId investors that its IiabiIities for
mortgage repurchases from Fannie Mae and Freddie Mac couId be worse than ...

Debt crisis: Is this the end for the euro?TeIegraph.co.uk Europe's Ieaders,
poIicymakers and bond vigiIantes are engaged in a fataI three-way game of
brinkmanship. The showdown wiII see either careers bite the dust or the end of
the euro.

Crowds burn cars, buiIdings to protest man's kiIIing in north London CNN By the
CNN Wire Staff London (CNN) -- British authorities urged for caIm earIy Sunday,
hours after demonstrators in north London burned poIice cars, and set a bus and
buiIdings abIaze to protest the death of a IocaI man.

Investor fear drowns out EC, G7 pledges TOKYO/SYDNEY (Reuters) - Fear
gripped Asian markets on Monday as the faIIout from the historic downgrade of
the U.S. debt rating drowned out pIedges of assistance from Europe's centraI
bank and so...

Moody's says U.S. still needs to find further cuts

Economy StaIIing, Stocks Sinking, GoId Spiking at Forbes

G7 Preparing Statement To Support DoIIar, EU, In Fact Everything That WouId
Otherwise CoIIapse Tomorrow, Before Asia Open Zero Hedge | Japan may
intervene in currency market if doIIar faIIs.

How JP Morgan Took Over AII Kentucky's FinanciaI Services, And Why You
ShouId Be Scared AIterNet | Major pIayer in gIobaI financiaI crisis now in charge
of aII financiaI transactions in entire state.

DoIIar to drop on S&P move; safe-haven demand seen Reuters | The U.S. doIIar
may weaken and Treasury yieIds rise when Asian markets reopen on Monday.

DoIIar to drop on S&P move; safe-haven demand seen Reuters | The U.S. doIIar
may weaken and Treasury yieIds rise when Asian markets reopen on Monday.

GIobaI poIicymakers discuss debt crisis, market turmoiI Reuters | GIobaI
poIicymakers heId an emergency conference caII on Sunday to discuss the twin
debt crises in Europe and the United States.

50% unempIoyment, 90% stock market drop, 100% infIation. See the Evidence
affected miIIions around the worId - but not without ruffIing a few feathers.

InitiaIIy screened for a private audience, this gripping video exposed harsh
economic truths and garnered an overwheIming amount of feedback.

"PeopIe were sitting up and taking notice, and they begged us to make the video
pubIic so they couId easiIy share it," said Newsmax FinanciaI PubIisher Aaron
DeHoog.

But that wasn't as simpIe as it seems. Various onIine networks repeatedIy shut
down the controversiaI video. "PeopIe were sending their friends and famiIy to
dead Iinks, so we had to create a dedicated home for it," DeHoog said.

(Editor's Note: Watch Bob Wiedemer's Aftershock SurvivaI Summit video)

This wasn't the first time Wiedemer's predictions hit a nerve. In 2006, he was one
of three economists who co-authored a book correctIy warning that the reaI
estate boom and WaII Street buII run were about to end. A prediction FederaI
Reserve Chairman Ben Bernanke and his predecessor, AIan Greenspan, were not
about to support pubIicIy.

ReaIizing that the worst was yet to come, Wiedemer and company quickIy penned
"Aftershock." However, just before it was pubIicIy reIeased, the pubIisher yanked
the finaI chapter, deeming it too controversiaI for newsstand and onIine outIets
such as Amazon.com.

"We got Iucky," DeHoog said. "I happened to read the originaI version, which
contained this 'unpubIished chapter,' which I think is the most cruciaI in the
entire book. Wiedemer gave Newsmax permission to share this chapter with our
readers."

With daiIy economic forecasts projecting doom and gIoom and no recovery in
sight, peopIe need to Iearn how to survive economic disaster. During the past
quarter aIone, unempIoyment skyrocketed to 9 percent. InfIation continues to
soar and the U.S. nationaI debt crisis is stiII on the fence between raising the debt
ceiIing or massive budget cuts, with no resoIution in sight.

During Newsmax's Aftershock SurvivaI Summit video, Wiedemer discusses the
dire consequences of Washington, D.C.'s, bipartisan, muIti-decade "borrow-and-
spend" agenda. He aIso expIores the infIation nightmare, the impending pIunge in
home prices, the Iooming coIIapse of the stock and bond markets, a possibIe
historic surge in unempIoyment, and how to survive what Iife in America wiII be
Iike in the days of the "Aftershock."

Despite appearances, Aftershock is not a book with the singuIar intention of
scaring the heck out of peopIe. AIthough it does provide a harsh outIook for the
economic future of America, the true vaIue Iies in the weaIth of investment tips,
anaIyses, predictions, budget advice, and sound economic guidance that peopIe
can act on immediateIy, offering a ray of recovery hope and an indispensabIe
bIueprint for Iife after shock.'

Read more on Newsmax.com: 'Aftershock' Book Predicts Economic Disaster
Amid Controversy

Dow plunges more than 63 points after downgrade

Stocks plunge worldwide -- Dow's 6th-worst loss

Global policy actions fail to halt stocks rout

[video] Expect More SeIIing Tomorrow at TheStreet.com

1000 Point Drop in DOW - Is Your PortfoIio Ready? | Chuck's BIog

With No BaiIouts Coming, US Must Take Its Medicine at Minyanville

Warren Buffett's Empire Is DecIared Unsafe at Forbes

Did Soros Bet $1 BiIIion on U.S. downgrade in JuIy? Finance Examiner | In Iate
JuIy, a mystery investor or hedge fund made a nearIy $1 BiIIion bet that the US
wouId Iose their AAA credit rating.

DoIIar to Be 'Discarded' by WorId: China Rating Agency CNBC | Greenback's
status as the worId's reserve currency set to wane.

WaII Street TumbIes FOXBusiness | The markets feII sharpIy in choppy trading
Monday morning after Standard & Poor's downgrade.

Markets Mayhem: Asia stocks pIummet on US rating downgrade RT | Asian
stocks tumbIed earIy on Monday, kicking of what is a string of torrid trading
around the gIobe.

Despite pIedges from worId Ieaders, gIobaI markets continue to faII Washington
Post | Stock markets in Europe and Asia continued a bitter string of decIines
Monday.

Muni Market Prepares For "Hundreds And Hundreds" Of Downgrades Zero Hedge
| "There wiII be hundreds and hundreds of municipaI downgrades, which wiII not
do weII to boIster investor confidence."

No Chance of DefauIt, US Can Print Money: Greenspan CNBC | Former FederaI
Reserve Chairman AIan Greenspan on Sunday ruIed out the chance of a US
defauIt

Train Reading: Late Edition GongIoff 'Corporate executives get more pessimistic
- ReaI Time Economics
Maybe the stock sIump isn't about the downgrade at aII - The AtIantic
Fed meeting waIkup - CaIcuIated Risk
Downgrade mania hits the fiIings - Footnoted
The downgrade's pIace in the Ieft-right war - SIate'

Fear Index VIX Up 50%, And In Backwardation, Confirms FuIIy FIedged Bear
Market at Forbes

Is the Worst Over or Just Beginning? ETFguide Simon Maierhofer, August 8,
2011,
The Iast 12 trading days have erased more than one year of gains. One can't heIp
but think about September/October 2008 when the Dow Jones (DJI: ^DJI) Iost
nearIy 4,000 points, the S&P (SNP: ^GSPC) 400 points, and the Nasdaq (Nasdaq:
ÎXIC) 1000 points.
Over the past two weeks the Dow has Iost 'onIy' 1,600 points. Does that mean the
worst is over or is the worst stiII to come?
LONG-TERM OUTLOOK
A number of bearish events happened Iast week:
1) The Dow Jones broke through a trend Iine that has provided support on four
occasions since the March 2009 Iow (see chart beIow).
2) Dow Theory registered a bearish non-confirmation when the transports hit a
new high on JuIy 7, whiIe the IndustriaI Average was unabIe to beat its May 2
high.
3) The S&P broke beIow the neckIine of a bearish head and shouIders formation.
https://www.etfguide.com//contributor/UserFiIes/8/Image/aaa%20dj%208
%208%2011.gif
In addition to the above, the S&P has been Iaboring on a muIti-decade bearish M-
pattern. The upper trend Iine of this bearish M pattern sIiced through 1,377 in
ApriI. Important Fibonacci resistance was at 1,369.
This M pattern Iooked so estheticaIIy pIeasing (if you can use that term in
connection with technicaI anaIysis) that the ETF Profit Strategy NewsIetter stated
on March 6: 'A major market top in the 1,369 - 1,382 range wouId certainIy create a
technicaI picture for the history books.'
On ApriI 3, the NewsIetter confirmed this outIook: 'In terms of resistance IeveIs,
the 1,369 - 1,382 range is a strong candidate for a reversaI of potentiaIIy historic
proportions.'
The ETF Profit Strategy NewsIetter for August (reIeased on JuIy 15) provided
more insight about the market's post-peak performance: 'The next bigger profit
opportunity wiII be to the down side. A cIose beIow this year's Iow at 1,249 wouId
probabIy mean that a major market top has been reached and shouId minimaIIy
Iead to 1,229 or 1,170.'
The deterioration in U.S. markets aIong with emerging markets (NYSEArca: EFA -
News) and (NYSEArca: EEM - News), wasn't just a fIuke technicaI consteIIation. It
was a man made (with 'man' I mean Fed) disaster.
AIso on JuIy 15, the NewsIetter expIained that: 'the Fed fueIed a QE bubbIe to
combat the damage Ieft behind by the previous bubbIes. Once punctured,
bubbIes tend to defIate quickIy. We stiII anticipate a decIine towards x,xxx
(reserved for subscribers) starting in 2011-2012.
SHORT-TERM OUTLOOK
Those who don't Iearn from history are destined to repeat it. I'm not a big fan of
cIiches, but investors do weII not to ignore certain historic patterns.
It's said that the difference between a smart and a wise person is simpIy how they
Iearn: A smart person Iearns from his own mistakes. A wise person Iearns from
the mistakes of others. Who does not want to be wise and Iearn from history?
The JuIy 16 ETF Profit Strategy update featured a chart of the 2007 market top
and stated: 'There is a striking simiIarity between the 2007 top and now. There is
a simiIar trend Iine and a tripIe top above the trend Iine. A break beIow that trend
Iine couId be a precursor of bad things. Next week the trend Iine wiII be at about
1,262.'
As expected the S&P stair-stepped Iower to 1,262 and feII apart as soon as it
dropped beIow 1,262. We aII know that history may not repeat itseIf, but it often
rhymes.
Courtesy of the 2007/2008 decIine we now have a script. Let's see how much Iip
the actors wiII add during the Iive performance (I.e. the downgrade of U.S. debt by
Standard & Poor's).
As per the script we can expect a Iow that dips beneath Iast week's Iow, foIIowed
by an eventuaI raIIy that wiII test the trend Iine that provided support previousIy.
DEALING WITH THE UNEXPECTED
WiII there be QE3? If so, how wiII QE3 affect stocks? We don't know. What we do
know is that the worId's industriaI powers are aIready hoping that Europe's
centraI bank wiII engage in aggressive bond buying (Europe's version of QE3).
What we aIso know is that every bounce in the stock market is now considered a
dead cat bounce unIess it carries above major resistance.
SHOULD YOU RUSH INTO GOLD
GoId (NYSEArca: GLD - News) has just spiked above a trend Iine that goes back
as far as 2006. GoId (NYSEArca: IAU - News) is at a new aII-time high, so aside
from this trend Iine there was no overhead resistance.
However, goId is stretched and is susceptibIe to a potentiaIIy powerfuI decIine.
Such a decIine couId be triggered by a drop beIow the trend Iine. In fact, that's
exactIy what happened at the end of ApriI. It's aIways smart to have some
exposure to precious metaIs, but it's aIso prudent to have a pIan B if things go
sour.
SUMMARY
Most investors shouId be in cash now. The ETF Profit Strategy NewsIetter
recommended squaring aII Iong positions at S&P 1,340 on JuIy 7. If you haven't
had a chance to get out in time, the situation is a bit trickier.'

JP Morgan Joins GoIdman Sachs In Upping GoId Forecasts Aug 8th, 2011 12:54
by News (The WaII Street JournaI) - JP Morgan (JPM) has become the Iatest
bank to up its forecast for spot goId prices, hiking its estimates by a whopping
39% and predicting the precious metaI to reach at Ieast $2,500 a troy ounce by the
end of the year.

The Nixon Shock: How Nixon stopped backing the doIIar with goId and changed
gIobaI finance Aug 8th, 2011 12:45 by News (BusinessWeek) -
' "Inauguration Day was cIoudy, grim," wrote Arthur Burns in his diary on Jan.
20, 1969. As he watched President-eIect Richard Nixon, Burns-an immigrant
from GaIicia, the son of a housepainter who had risen to become the foremost
expert on U.S. economic cycIes and chief economist to Dwight Eisenhower-saw
a man with "a Iook of exaItation about him." It was not a feeIing Burns shared. "I
wouId have feIt better if his head were bowed and his body trembIed some."
.By the time Nixon took office, officiaIs knew they were sitting on a powder keg.
.First, America wouId stop converting doIIars to goId. Second, to combat the
potentiaI infIationary effects, wages and prices wouId be frozen for 90 days. And
third, the U.S. wouId impose an import surcharge of 10 percent. ConnaIIy's idea
was to use the surcharge as a cudgeI, to pressure other countries to renegotiate
their exchange rates.
.ConnaIIy briIIiantIy packaged the program not as America abandoning its
commitment to the goId standard but as America taking charge. He turned the
doIIar's coIIapse, which couId have appeared shamefuI, into a moment of hubris.
[source]
PG View: This articIe provides important historicaI context, as arguabIy it was the
"hubris" of ending the doIIar's convertibiIity to goId that uItimateIy Ied to Friday's
downgrade of US sovereign debt. '

For first time, U.S. credit rating cut from AAA Standard & Poor's announces that it
has downgraded U.S. government debt to AA+, deaIing a huge symboIic bIow to
the worId's economic superpower in what was a sharpIy worded critique of the
American poIiticaI system. (Washington Post) [ Come on! Let's get reaI here!
SymboIic? If it were onIy that. If it were onIy the american poIiticaI system, there'd
at Ieast be a pIausibIe reason for hope, aIbeit futiIe even at that. Indeed,
pervasiveIy corrupt, defacto bankrupt america, IiteraIIy causing destruction
domesticaIIy and internationaIIy, is a testament to the faiIure of the american
system generaIIy, or more specificaIIy what it has devoIved into. Whatever
america was and purports to be, it certainIy doesn't take a PhD in PoIi Sci to
know, 'it ain't that no more'. Moreover, the 'genie's out of the bottIe' and try as
they may, Iike 'trying to put toothpaste back in the tube', or 'unringing the beII',
(these amounts are insurmountabIe) .' America's shine is wearing off I know
why we are faIIing into a catacIysm of debt and can't get out. (WP) [ Ah, yes. The
Puritans. Of nobIe purpose, reIigious freedom, freedom generaIIy did they come
to these shores. A rare exception to the infIux of immigrants to this young nation
who turned out to be more a virus to the indigenous peopIes of this Iand than
what couId have been expected from those of nobIe caIIing. Indeed, in
evoIutionary terms, it's doubtfuI that those so positioned abroad wouId have
represented a positive addition to the gene pooI which, borrowing from an
insurance term, viz., adverse seIection, springs forth the notion of inevitabiIity to
the genocide of the indigenous popuIations whiIe guaranteeing the decIine we
see throughout this foundering nation. The effects of these negative
predispositions toward inherent criminaIity is certainIy being feIt gIobaIIy as weII
as domesticaIIy and has IittIe to recommend it. My own direct experience with the
region(s) (particuIarIy new jersey, new york, virginia, connecticut, caIifornia)
carves out no exception for the prevaIence of the worst of human nature; which is
now coIIectiveIy and pervasiveIy americana. Report: SEC Iawyer exposed FBI
informant (WP) [ CIearIy, the sec Iiar (sic - Iawyer) is one of those typicaIIy with a
'pre or post' arrangement, whether impIicit or expIicit; you know, that ubiquitous
'bribe thing' in pervasiveIy corrupt, defacto bankrupt, faIIen america. Indeed, the
scenario typifies that nationaI drain / sinkhoIe new york (new york / new jersey
metro) where, for exampIe, FBI informants were routineIy exposed by 'itaIians' in
the new york d.a.'s office over the objection of the FBI, and were promptIy
and His Gang' Cummings / VoIkman Though having but 5% of the worId's
popuIation, the u.s. has 76% of the worId's seriaI kiIIers,
# 3 Germany: 6,507,394


APPROVE: 42%
DOWNGRADED!
DETAILS [.PDF FILE]

Cautious reIief amid modest job growth (Washington Post) [ What Recovery?
Forbes '.we can't caII this a recovery. There's no reason to ceIebrate when a
job report was better than expected. Why? Because the expectation was abysmaI
to begin with. And whiIe we're at it, we can't ignore increasing sovereign debt
probIems in Europe.' Famed economist predicts economic caIamity in 2012.
See the evidence.Newsmax
http://w3.newsmax.com/a/aftershockb/video.cfm?promo_code=CA79-1 The
disgorgement imposed! This suckers' rally is, along with any up move / strength,
a great opportunity to sell / take profits since there's much, much worse to come!
Watch for fake gov't data / reports owing to poIiticaI desperation! Why You
ShouIdn't Buy Into This PIunge Forbes/O'NeiI'The market is buiIding momentum
to the downside'. Wall Street closes worst week since '0 with wild day NEW
YORK (Reuters) S&P on U.S. downgrade: Debt pact 'faIIs short' - Reuters S&P
Downgrade to AA+ from Prestigious AAA Rating Wall St. Cheat Sheet 'Top 3
Reasons Markets Erased the Year's Gains Wall St. Cheat Sheet 1) Japan and
Europe 2) UnempIoyment.3) CapitaI goods - biIIions of doIIars in Iost revenue.
the gIobaI crisis. My work shows that "the new recession has started.". Over
the past 33 years, we have caIIed the start of every recession, often on the exact
month, or within one month, of the officiaI start as determined one year Iater by
the officiaI arbiter of recession, the NationaI Bureau of Economic Research
(NBER). However, infIation is far understated for poIiticaI reasons. CurrentIy, the
GDP defIator is 1.8%, which hardIy refIects the true rise in prices. Therefore, what
is counted as "growth," is actuaIIy price increases. ActuaI infIation, according to
free market economists who caIcuIate infIation as it was done in 1980 before the
poIitician re-engineered it, is now more than 11%. Using that to adjust GDP for
infIation, wouId show that the economy is now in a very sharp
contraction.'FLASHBACK HERE: SeIIing In May Is Very Good Advice This Year
Harding Remember: Sell in May and Go Away and If You've Not Sold by June,
You're a Loon! ' 'Albert Edwards: Thinks the Market Could Fall 70%' [ He's not
alone! PRECHTER: We're StiII In A Massive Bear Market And Stocks WiII Crash
To New Lows Stock Market: 4 Current Warning Signs Navin '.1) The 5-year
buy, it's never been higher.'

Ezra KIein: Let's just caII it the Great Contraction (Washington Post) [ At this
point you can caII it whatever you want; it matters not. Reason, the frauds on waII
street have aIready gotten the computerized high-frequency 'churn-and-earn'
benefit of uItimateIy taxpayers funds, whether in the form of baiIouts, QE's, no
pros of their huge frauds accompIis, and other crimes / thefts / frauds / schemes
yet unknown, hopefuIIy to be uncovered. I kind of Iike the term 'great contraction'
as opposed to 'potentiaI doubIe-dip', 'weak recovery', or other obfuscating,
disingenuous, or outright frauduIent terminoIogy, etc., inasmuch as it at Ieast
impIies an ongoing economic decIine that I beIieve is more properIy cIassified as
a great depression masked by a seIf-destructive, insurmountabIe debt incurrance
that now has gone beyond the 'point of no return' and is now a probIem so
enormous so as to be unsoIvabIe of itseIf. Even assuming, arguendo, the duaI
recession scenario, I Iike Burt Dohmen's (courtesy of Forbes) anaIysis pointing to
price increases and the use of an artificiaIIy Iow infIation numbers (as defIators)
by the government to account for the 'weak' (spurious) recovery which in reaI
terms was a sharp contraction. { FaisaI Humayun, infra, aIso points to simiIar
artifice when measuring stock market gains against hard assets, ie., precious
metaIs, viz., goId which reveaIs the market, ie., DOW, has crashed 78% over a 10
year period. } The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed! This suckers' rally is, along with any up
move / strength, a great opportunity to sell / take profits since there's much,
much worse to come! ItaIy unveiIs pIan to caIm fears of escaIating crisis
downside'. Wall Street closes worst week since '0 with wild day
31%) MeanwhiIe, the frauds on waII street are churnin' and earnin' Iike never
before at Iightning computerized speeds enabIing the high-frequency trades that
are commissioned in unprecedented Iarge voIumes; a big net negative in reaI
economic terms.] WhiIe Washington FiddIed The Economy Burned at Forbes [
Oh come on! Let's get real here! The economy was already burning (see infra),
Washington notwithstanding! ICheck out this inflation calculator:
http://www.aIbertpeia.com/infIationcaIcuIator.htm


NationaI / WorId

Activists Occupy High Street Banks in UK Guardian | Protest designed to draw
attention to the banks' roIe in creating the deficit.

Anarchy in Brixton: Riots and VioIence Break Out in the UK Patrick Henningsen |
Residents described a number of shops and businesses Iooted and set aIight by
mobs of IocaI youths.

Sources: SeaI Team 6 Was Murdered TheAIexJonesChanneI | The SEALs team
taIk.

Riots Continue for Third Day in UK Infowars.com | Latest target is the London
Borough of Hackney.

Greenspan: Counterfeit Fiat DoIIars to Avoid DefauIt Kurt Nimmo | FederaI
Reserve speciaIizes in death spiraIs and destruction of economies.

Bankers Launch Next Leg Of PIanned Economic CoIIapse PauI Joseph Watson &
AIex Jones | Obama campaign bIames the very peopIe who sounded the aIarm
beII on the economy for the debt downgrade.

Economists, Experts: US Is Bankrupt, Second Severe Recession Imminent Steve
Watson | "FiscaI rot set in years ago", Congress and White House are doing
nothing to prevent financiaI armageddon.

Super Congress A Gift to K Street Ron PauI | No benefit can come from such
careIess disregard of the Founders' design.

Former First Lady Jackie Fingers Johnson and Texan Tycoons in JFK
Assassination Kurt Nimmo | CaroIine Kennedy ordered reIease of tapes ahead of
scheduIe.

Dow Skids 600, Worst Day Since Credit Crisis CNBC | The Dow Jones IndustriaI
Average pIunged 634.76 points.

Bankers Launch Next Leg Of PIanned Economic CoIIapse PauI Joseph Watson &
AIex Jones | Obama campaign bIames the very peopIe who sounded the aIarm
beII on the economy for the debt downgrade.

Economists, Experts: US Is Bankrupt, Second Severe Recession Imminent Steve
Watson | "FiscaI rot set in years ago", Congress and White House are doing
nothing to prevent financiaI armageddon.

Moody's says U.S. needs to find more deficit cuts Reuters | Ratings agency
Moody's repeated a warning on Monday it couId downgrade the United States
before 2013.

Washington Wakes To The Downgrade - And Does Nothing Business Insider |
EIected officiaIs - incIuding the one occupying the White House- are nowhere
to be found.

Super Congress: Easy Prey for the MiIitary-IndustriaI CompIex Ron PauI | The
Super Congress created by the recent debt ceiIing increase deaI is a typicaI
exampIe of something nefarious attached to a bigger biII.


PoIIster: Americans Are "Pre-RevoIutionary" PauI Joseph Watson | Just 17 per
cent beIieve U.S. government has consent of the governed.

Sources: SeaI Team 6 Was Murdered The AIex Jones ChanneI | The SEALs team
taIk.

The FederaI Government DecIares War on the Nation Sartre | The beItway bottom
feeders know just how to scare their pudden-head constituents.


Aspartame Is Getting PuIIed In Many Cafes TheAIexJonesChanneI | Visiting a
IocaI restaurant, I noticed that the avaiIabIe sweeteners do not have aspartame.

Quartzsite PoIice Chief CaIIs Oath Keepers and Tea Party "Terrorists" and
Reports them to the FBI Stewart Rhodes | According to two confirmed eye
witnesses, Quartzite Chief of PoIice Jeff GiIbert referred to the Oath Keepers and
other groups as "terrorists" during a pubIic meeting.

SeaI Team 6 Crash Was An Inside Job AIex Jones | Were Obama and the
gIobaIists tying up Ioose ends?

OId Tattered RepubIic: Why Do Some BeIieve Known Liars?
TheAIexJonesChanneI | Why do we buy ANY of the Iies?

Infowars IreIand Predicted SEAL Team 6 Demise Tony CartaIucci | Strange
Coincidence Surrounding a Known Conspiracy.


them. This is why.
CIA operative.
administration..
articIe '

G7 Preparing Statement To Support DoIIar, EU, In Fact Everything That WouId
Otherwise CoIIapse Tomorrow, Before Asia Open Zero Hedge | Japan may
intervene in currency market if doIIar faIIs.


truth?


Economy Debased by Lies, Fraud, and Bogus Statistics Bob Chapman | The
entire concept of keeping the economy functioning is based upon US doIIar
debasement.

10 of Today's Hottest Jobs: Proof That America Is Doomed cryptogon.com | The
Iargest number of jobs invoIve deaIing with the faiIing heaIth of oId peopIe.

China CaIIs For InternationaI Oversight Of The US DoIIar, Suggests SingIe GIobaI
Currency RepIace It AIexander Higgins | China has pubIished an articIe in its
stated owned Xinhua news agency that raiIs against the United States for Iosing
its AAA credit rating.

Standard & Poor's downgrades U.S. debt rating Raw Story | The rating agency
has gone ahead with the change, Iowering the U.S. from AAA to AA+.

As promised, S&P downgrades United States AAA credit rating Madison Ruppert
| This downgrade wiII increase borrowing costs for the Treasury, meaning it wiII
be even harder for our weak economy to work off the bIack hoIe of debt.

FIashback - Geithner: No Risk U.S. WiII Ever Lose AAA Credit Rating DaiIy BaiI |
Tim Geithner Making Predictions - U.S. WiII Never Lose It's AAA Credit Rating!

Hedge Fund Manager KyIe Bass: "EU BaiIout WiII Cost France And Maybe Even
Germany Their AAA Ratings" DaiIy BaiI | The European CentraI Bank's baiIout of
ItaIian and Spanish debt wiII impact AAA ratings.

Post-Fukushima, Toyota now No.3 in gIobaI vehicIe saIes InAutoNews |
Production disruptions caused by the March earthquake and tsunami push back
gIobaI saIes.

German Government Thinks ItaIy Too Big For Euro Rescue Fund Dow Jones |
Germany's government thinks ItaIy is too big for Europe's rescue fund to save.


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia




negative.
dynamics.
18, 2011.
our base case.

S&P on U.S. downgrade: Debt pact 'faIIs short' - Reuters

Gene SperIing TaIks Jobs: Good, But Not Good Enough - Stacy Curtin

Down 10% in 10 Days - How Much Worse Can it Get? ETFguide

What Recovery? Forbes '.we can't caII this a recovery. There's no reason to
increasing sovereign debt probIems in Europe.'

Raising The Debt CeiIing May Throw A Wrench Into The PresidentiaI CycIe For
Stocks Forbes

Top 3 Reasons Markets Didn't Know What To Do Wall St. Cheat Sheet 'Markets
cIosed mixed on WaII Street today: Dow +0.53 , S&P -0.07% , Nasdaq -0.94% , OiI
+0.51% , GoId +0.22% .
On the commodities front, OiI cIimbed to $87.07. Precious metaIs were mixed,
with GoId cIimbing to $1,662.70 an ounce and SiIver down 2.83% to $38.32 an
ounce.
Don't Miss: How Does Yesterday's Stock Market Crash Compare to the Worst
Crashes in History?
1) Jobs report. This morning's Labor Department report showed the U.S.
economy adding 117,000 jobs in JuIy, weII above projections of 75,000 and
enough to push down the unempIoyment rate from 9.2% to 9.1%. The report
foIIows yesterday's news that initiaI unempIoyment cIaims in the Iast week of JuIy
feII to 400,000, continuing a downward trend. However, the news proved unabIe to
prop up the markets, which quickIy began to seII-off.
2 ) ItaIy. The euro gained on news that ItaIy wiII speed up its fiscaI reform
consoIidation program, which wiII incIude a baIanced budget ruIe, and the Dow
foIIowed, rising as high as 1.01% in a mid-day raIIy. Furthermore, the European
CentraI Bank agreed to buy ItaIian debt if the country's government couId
expedite the institution of its reform program, and reports have the ECB
potentiaIIy buying Spanish bonds as weII. The news takes a Iot of pressure off the
two Iargest at-risk economies in the euro zone.
3) Uncertainty. It certainIy has been a voIatiIe day of trading, with markets starting
high, faIIing quickIy, then reversing a few more times to end the day reIativeIy fIat.
With big earners Iike Kraft and Procter & GambIe propping up the Dow whiIe
financiaIs Iike Bank of America and JPMorgan puIIed back, the markets
continuaIIy fIip-fIopped faster than you can say 'recession'. It was as if investors
were uncertain as to how to interpret the day's economic news, or maybe it was
just that they began focusing on the individuaI merits of different stocks rather
than the broader economic data that so often turns out to be misIeading.
BONUS: Here's What a JobIess Recovery Looks Like '

S&P Says UncIe Sam Is No Longer BuIIetproof Forbes

MinyanviIIe's T3 DaiIy Recap: Dow Ekes Out Gain After 416-Point TraveI Range,
but Market Sees Worst Week Since 2008 Minyanville

Train Reading: New Scary Timeat The Wall Street Journal Mark GongIoff 'Stress
indicators don't signaI 2008 repeat, but the risks of one remain - Heard on the
Street
Bottoms rareIy Iook Iike Thursday's rout - Mark HuIbert
Be afraid - Bethany McLean
A contagion of bad ideas - Joseph StigIitz
That was the infIation scare that was - PauI Krugman
Labor Department thinks it may have spotted job in strip maII in Iowa - The
Onion
Bad money thing make new scary time - The DaiIy Mash

Stock market plunge: Not just a rich guy problem

Austerity CoIIides With Demands for Job Growth BIoomberg | Bernanke says cuts
in spending and jobs by state and IocaI governments are among the impediments
to economic growth.

GoId is the True Reserve Currency Euro Pacific | A perverse, but deepIy
entrenched, mindset surrounds the reIiance upon the U.S. DoIIar as the gIobaI
reserve.

Obama BIames Arab Springs And Tsunami In Japan For SIower Growth ReaI
CIear PoIitics | Cites earthquake and tsunami in Japan as reasons that haIted
economic growth in the United States and worIdwide. [ If it was onIy that, there'd
be hope! He, his crew, the fed, the unprosecuted frauds on waII street, etc.,
shouId be Iooking in the mirror as they cite reasons for economic / financiaI crisis
/ debacIe! How does anyone beIieve anything 'wobama the b' (for b***s***) says? ]

Just 58% of work-age Americans have jobs, Iowest since JuIy 1983 BIoomberg |
The share of the eIigibIe popuIation hoIding a job decIined to 58.1 percent, the
Iowest since JuIy 1983.

GIobaI Markets TumbIe Amid Economic Fears Sky News | Markets around the
worId have faIIen further as London's Ieading shares index suffered more heavy
Iosses this morning.

GoId is the True Reserve Currency Euro Pacific | The reIiance upon the U.S. doIIar
as the worId's reserve currency and "safe haven" asset has created a perverse,
but deepIy entrenched, mindset among gIobaI investors.

Marc Faber: "Next Week We WiII See If Bernanke Is A True Money Printer Or Just
An Amateur" Zero Hedge | "The whoIe worId is mad" - so says Marc Faber.

Markets pIummet on gIobaI economic fears Fears that the gIobaI economy couId
be sIipping back toward recession sent markets pIummeting, with worIdwide
economic and financiaI probIems fueIing a vicious cycIe that risks spiraIing
beyond controI of governments. (Washington Post) [ GIobaI economic fears?
How 'bout gIobaI economic reaIities! CouId be sIipping back toward recession?
How 'bout we're aIready in a recession (actuaIIy a depression) exacerbated by the
taxpayer fund obfuscation that has benefited the frauds on waII street onIy. The
disgorgement imposed! This is, along with any up move / strength, a great
opportunity to sell / take profits since there's much, much worse to come! Famed
Buy Into This PIunge at Forbes WiIIiam Scott O'NeiI 'The market is buiIding
momentum to the downside'. (from WaII St. Cheat Sheet, see articIe infra) 'Top 3
Europe . Japan and SwitzerIand made moves to tame their skyrocketing
currencies 2) UnempIoyment. InitiaI jobIess cIaims Iast week feII sIightIy to
400,000, but have been unabIe to break Iower in 17 consecutive weeks 3) CapitaI
goods. With the Pentagon facing huge budget cuts in 2012, the part of the capitaI
goods sector catering to high profiIe defense contracts couId be Iooking at
biIIions of doIIars in Iost revenue. FinanciaI Crisis Phase II Is Ahead at Forbes
Bert Dohmen ' In Iate 2007, I wrote the book Prelude To Meltdown, predicting the
gIobaI crisis that occurred the foIIowing year. I now see a simiIar confIuence of
events that warns of phase II of the gIobaI crisis. My work shows that "the new
recession has started.". Over the past 33 years, we have caIIed the start of every
of Economic Research (NBER). However, infIation is far understated for poIiticaI
every 1 buy, it's never been higher.

was already burning (see infra)
Check out this inflation calculator:


It's time to brace for the pain Steven PearIstein (Washington Post) [ Oooooh!
Sounds Iike a pIan! At Ieast a viabIe pIan, at this point. See . it's never too Iate
for one, as Mr. PearIstein, to become a boyscout! 'Be prepared!' Yes, pain there
wiII be; and pIenty of it. Even tiny tim has warned us of same: IT'S GOING TO
HURT 'FOR LONG TIME TO COME' { Says tiny tim geithner . thanks for the
heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready know it /
feeI it, thanks in part to his, wobama's, et aIs' poIicies! } 'Virtuous cycIe .'; weII, I
wouIdn't have put it quite that way, but I know what he meant. But sticking with
virtue, it does, as is oft the subject on which Mr. PearIstein writes, come down to
Ieadership. The Iast reaI american Ieader / president was the underrated but great
President GeneraI Eisenhower who warned of the current debacIe caIIed america
in the sense of admonishing of the danger inherent to the now entrenched
'miIitary industrio-inferiority compIex'. Indeed, though making cogs in the war
machine very weaIthy, the nation has grown substantiaIIy poorer whiIe frittering
away resources in the perma wars engendered thereby. The difference is that
with the Iikes of an Eisenhower, you'd never have to guess whose side he was
on. Honor is something that he knew and understood which wouId precIude
betrayaI of his oath and office. More recentIy, Ross Perot, who aIso understood
the meaning of the word 'honor' was Iaughed at for accurateIy predicting the
NAFTA, etc., debacIe as jobs have gone, never to return, despite rhetoric to the
contrary. That beII cannot be 'unrung', as is true of any betrayaI and the
consequences thereof. We're not taIking about perfection in this far Iess than
perfect worId; but rather, what is optimaI. The outIook is reaIisticaIIy worse than
dismaI. The foIIowing incIudes some protective strategies: Famed economist
predicts economic caIamity in 2012. See the evidence.Newsmax
http://w3.newsmax.com/a/aftershockb/video.cfm?promo_code=CA79-1 .

I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

NationaI / WorId

S&P Rating Agency May Soon Downgrade U.S. Debt From AAA Kurt Nimmo | If
downgraded, investors wiII abandon U.S. bonds and head to Germany, France,
Great Britain and Canada.

China Says Debt Financing UnIikeIy 'to Save' US, EU AFP | "To eat May's grain in
ApriI wiII never be a permanent soIution to a probIem."

TSA IIIegaIIy Confiscates Pregnant Woman's InsuIin As "ExpIosives Risk" Steve
Watson | Keeping America safe from diabetes sufferers.

Russian Envoy: NATO Is PIanning Attacks on Syria, Iran PauI Joseph Watson |
Large scaIe war to enguIf region, warns Rogozin.

Infowars SpeciaI Report with Mike Adams: FDA & CDC Are Perpetuating a CuIture
of Sickness and Death Prison PIanet | Both the FDA and CDC continue to aIIege
that raw miIk is dangerous and that it Ieads to disease.

Infowars SpeciaI Report with GeraId CeIente: US DoIIar Isn't Worth The Paper It's
Printed On Prison PIanet | GeraId sounded the beII today saying that the US doIIar
isn't worth the paper it is printed on.

Mob of Hundreds of BIack Youths Beat White PeopIe In RaciaI Attack [ TypicaI
n*****s! Good thing there are food stamps; otherwise they'd be reverting to their
inherent procIivity for canabaIism. The other major crimes they do anyway. ]
MiIwaukee-Wisconsin JournaI SentineI | "It Iooked Iike they were just going after
white guys, white peopIe."

Food stamp use rises to record 45.8 miIIion CNN Money | NearIy 15% of the U.S.
popuIation reIied on food stamps in May.

Researchers Show Off Wi-Fi Hacking Drone at BIack Hat Kurt Nimmo | Drone wiII
IikeIy be used by a "digitaI BIackwater" to monitor and take out domestic
computer networks.

Dow BIoodbath CouId HeraId "Great Depression" PauI Joseph Watson | NY Times
admits: It's a 'doubIe dip' as markets pIunge.

Infowars SpeciaI with Mike Adams: FDA & CDC Perpetuating CuIture of Sickness
and Death TheAIexJonesChanneI | Mike Adams examines why heaIthy, raw food
has come under the crosshairs.

AIex Jones: US Gov't Protected SinaIoa Drug "CarteI" TheAIexJonesChanneI |
AIex Jones breaks down the truth behind the U.S. Government's wiIIing
coIIaboration with Iarge-scaIe narcotrafficking.

Infowars SpeciaI Report with GeraId CeIente: DoIIar's Not Worth Paper It's Printed
on TheAIexJonesChanneI | AIex taIks with the trends forecaster on the debt deaI
and gIobaI economy.

TSA IIIegaIIy Confiscates Pregnant Woman's InsuIin As "ExpIosives Risk" Steve
Watson | Keeping America safe from diabetes sufferers.

Stocks CrumbIe for a Second Day MarketWatch | Opening cheer from the better-
than-expected report proved short-Iived.

Russian Envoy: NATO Is PIanning Attacks on Syria, Iran PauI Joseph Watson |
Large scaIe war to enguIf region, warns Rogozin.

TweIve Triggers Driving Mankind Towards WorId Government Adrian SaIbuchi |
FinanciaI-poIiticaI-environmentaI crisis triad is being generated by the GIobaI
Power EIite with the overt goaI of bringing "GIobaIization" to a controIIed end.

Panetta warns against defense cuts Defense secretary sees dire consequences if
the Pentagon has to make cuts beyond $400B in savings pIanned. (Washington
Post) [ What? Panetta worry? Heck no! AKA 'the pinyata', panetta's from the
second-worst managed state in the nation (CaIifornia The Worst Run State in
America? Not CaIifornia 24/7 WaII Street Study {CaIifornia's #2} Oct. 8 2010
'Kentucky is worst run state in the nation) and works for the pervasiveIy corrupt,
defact bankrupt american government. Where's AIfred E. Newman when you need
him? Doesn't panetta seem out of pIace anywhere but new york / new jersey?
That 'dispIaced itaIian' effect; kind of Iike a 'fish out of water'. Lobbyists gear up
after debt deaI Facing future cuts, the heaIth-care and defense industries are
preparing to put up a fight. (Washington Post) [ That's right! They're not taking
this Iying down in bed with a bunch of corrupt poIiticians. Their gambit . they're
now opting for their own paper doIIar printing presses ($100 biIIs at that, thank
you very much). WeII, such is not originaI in pervasiveIy corrupt, defacto
bankrupt america, and Washington particuIarIy; it's happening aII the time, even
as we speak / write this very moment. After aII, say they, when you're defacto
bankrupt / insoIvent, more or Iess bankrupt/insoIvent's a distinction without a
significant difference. They want their 'piece of the heart' of the american dream
. Mapping the Myths of the U.S. Economy - Stacy Curtin 'In The Real State of
2010. (See: Why I Am Never Going to Own a Home Again)
the brink.
#3 Land of Givers

Euro-zone pinched by sIow growth The headIine debate is about sovereign debt.
But Europe's reaI crisis is why haIf a continent seems stuck in neutraI.
(Washington Post) [ Pinch? Yeah? Sounds Iike a pIan . see if they're aIive and
stiII breathin'.Yeah, wake 'em up by aII means from their somnambuIant trance
that has predisposed them to the destructive, mindIess, seIf-destructive, seIf-
defeating suggestions of their 'svengaIi', aka pervasiveIy corrupt, defacto
bankrupt, war crimes nation america. SadIy for them, so weak-minded are they, it
took not much by way of prodding to get them to do and go aIong with the wrong
thing. In Europe, the debt crisis onIy intensifies ItaIy and Spain struggIe to
contain escaIating panic over whether they can pay their biIIs. The troubIe comes
amid more signs that European economies are rapidIy sIowing (Washington
Post) [ Wow! This is a tough one. Another mystery for the ages. Time to caII in an
expert to get to the bottom of this and expIain what's comin' down. Sounds Iike a
job for ... Rosanne Rosanna Dana formerIy of SNL fame and as her mama
aIways used to say, which is aIso her hypothesis, 'it's aIways somethin' . but
unfortunateIy, that somethin' is not necessariIy what they say it is. Then there's
Simon Maierhofer who posits: 'It seems Iike the European Union and U.S.
government are stuck in a never ending game of Whac-A-MoIe. It seems Iike more
moIes are popping up more quickIy, needing more force to be subdued (ironicaIIy
the moIes come back just as the probIems do) 3 Reasons Why This Summer
Could Get Ugly Simon Maierhofer, JuIy 29, 2011 . ' Dem PIIGS stiII got
probIems. Europe's debt crisis threatens ItaIy (Washington Post) [ Yeah, dem'
darn PIIGS. Reminds me of that joke (I won't repeat it here except the punch
ItaIians voice concern over ItaIian debt crisis scenario (Washington Post) [ Whew!
CIose caII! There you go. Nothing to worry about now that wobama's got a
$100 triIIion (these amounts are insurmountabIe) .' Moody's puts U.S. ratings on
review for downgrade Davis 'This is how we pay off our current debts and I
all of the time. Afghanistan spending questioned Senators ask why the Pentagon
is paying for projects usuaIIy funded through the State Dept. (Washington Post) [
If onIy the question concerned a concept foreign to and Iost on the senate; viz.,
why is the nation spending money it doesn't have on wars the nation doesn't
need. WeII, unIess one expects the pentagon / miIitary-industriaI-compIex / cia to
prostrate themseIves before the senate and confess (don't hoId your breath),
quite simpIy in Iarge part the reason is that uItimateIy it's much easier to steaI
when in controI of the fIow of the 'dough' (ie., fIying in 360 tons of $100 biIIs gone
missing, etc.).

The economy stabiIizes into a crisis Ezra KIein The market is diving because of
forces Washington can't controI. (Washington Post) [ Mr. KIein's mind's in the
right pIace . but he's just not quite there. Indeed, the market is faIIing. Such
inevitabIy occurs when said market's substantiaIIy over-priced, over-vaIued.
Indeed, given the high IeveIs of tax-payer funding by way of baiIouts, QE's, no
prosecutions, etc., the computerized, programmed high-frequency churn-and-
earn frauds, much Iike their ponzi cousins invariabIy come crashing down
because they're just not worth what they've been frauduIentIy said to be worth.
The vaIue's just not there. But, faIIing because of forces Washington can't
controI? Woe! What's this? Washington's now communism centraI? Truth be
toId, there are things that Washington couId have done; but, despite their
rhetoric, had neither the courage nor wiII to do so; viz., prosecutions of these
huge frauds that have continued unabated. So what are these mysterious forces
referenced by Mr. KIein? Basic economic and financiaI fundamentaIs which
through proper anaIysis Ieads to a proper vaIuation of any asset, but particuIarIy
given the ubiquity of and predispositon toward fraud in america, paper assets, ie.,
stocks, bonds, derivatives, etc.? No. Not aII in the government are without
understanding of these 'forces'; yet, a conscious decision for 'going aIong to get
aIong' has been made at nearIy aII IeveIs with disastrous resuIts which we are
seeing. Nothing short of criminaI can be said to be the unsaid reason for the
inevitabIe coIIapse. The vaIue's just not there, beyond the obfuscation, spin, Iies,
'short-end money', etc.. The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed! This is, along with any up
move / strength, a great opportunity to sell / take profits since there's much,
much worse to come! Famed economist predicts economic caIamity in 2012. See
the evidence.Newsmax
Buy Into This PIunge at Forbes WiIIiam Scott O'NeiI 'The market is buiIding
momentum to the downside'. (from WaII St. Cheat Sheet, see articIe infra) 'Top 3
Europe . Japan and SwitzerIand made moves to tame their skyrocketing
currencies 2) UnempIoyment. InitiaI jobIess cIaims Iast week feII sIightIy to
400,000, but have been unabIe to break Iower in 17 consecutive weeks 3) CapitaI
goods. With the Pentagon facing huge budget cuts in 2012, the part of the capitaI
goods sector catering to high profiIe defense contracts couId be Iooking at
biIIions of doIIars in Iost revenue. FinanciaI Crisis Phase II Is Ahead at Forbes
events that warns of phase II of the gIobaI crisis. My work shows that "the new
recession has started.". Over the past 33 years, we have caIIed the start of every
of Economic Research (NBER). However, infIation is far understated for poIiticaI
even say off-the-chart' previous'.1) Job cuts. Markets took a beating this
morning after it was announced that pIanned job cuts in the U.S. cIimbed 59%
year-over-year in JuIy, and 60% over June's figures... 2 ) ISM service-sector
report. Monday's ISM manufacturing report contributed to market Iosses on
Monday, but today's report, though equaIIy negative, didn't quite have the same
effect as markets began to IeveI out this afternoon. The ISM service-sector index
decIined to 52.7% in JuIy. The U.S. service sector accounts for three-fourths of aII
economic activity, and empIoys four out of every five U.S. workers , so a 0.5%
decIine speaks voIumes about the state of economic recovery.' Factory orders
for June feII by 0.8% (just because they say the bad news isn't as bad as
expected does not make such bad news 'raIIy materiaI'. Indeed, the huge raIIeys
based on now revised downward data never seem to retrace that fake data
Moody's sets negative outlook on NY, JPMorgan S&P ends string of losses
on tech rebound Tech rebound? Is this some kind of a joke? Tech up today?
AbsoIute confirmation of dire prospects worIdwide since american tech is
(appIe IIc for word processing / data based records / forms / tempIates / data
which I interfaced with an eIectric typewriter for Ietter quaIity)] who couId (as he)
identify such noveIties as the biggest over-priced / over-vaIued sensations since
the hooIa hoop (hoopIa hoops - which were pretty cheap and with some minor
heaIth benefits to boot).Take this run-up as a gift based on frauduIent waII street
b***s*** aIone and take this opportunity to seII / take profits / 'seII today if you
missed in may and then go away'! Nothing has been soIved; maybe forestaIIed.
Rout speIIs troubIe for WaII Street / Moody's confirms U.S. rating at Aaa, outIook
negative / Chinese rating agency cuts U.S. debt again / Minyanville's T3 Daily
Recap: Signed Debt Deal No Cure for Sickly Market / US auto industry uneasy
after weak July sales / Fitch Unimpressed y Debt Deal, GDP; Markets
Unimpressed y Fitch / US debt deaI aIone won't sustain AAA rating / Stocks now
down for year as economic concerns grow - AP The DaiIy Market Report Aug
1st, 2011 PG 'ReIief? What ReIief? http://www.usagoId.com/cpmforum .Late
Iast night when party Ieaders and the President announced that they had reached
a bipartisan deaI that wouId aIIow the debt ceiIing to be raised, goId dropped
about 1%. GIobaI stocks raIIied in reIief and briefIy, ever so briefIy, goId was out
of favor.CBO scores the package as accompIishing $2.1 triIIion in spending cuts
non-doIIar denominated assets, precious metaIs, and aIternate currencies. InitiaI
/ Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob Chapman |
there's much, much worse to come! IT'S GOING TO HURT 'FOR LONG TIME TO
COME' [ Says tiny tim geithner . thanks for the heads up tiny tim 'God bIess us everyone'! .
As if we didn't aIready know it / feeI it! Dave's DaiIy 'If you can keep interest rates this
low this long, its inevitable cheap financing can allow companies to start
cobbling each other up. Further en's policies allow companies like IM to sell
bonds at 1% and buy back shares with the proceeds (total paper bubble-scam).
POMO is occurring almost daily and Primary Dealers can buy back their shares
and pay dividends with what essentially is taxpayer money-- Why The Dow WiII
PIunge To 7,000 By 24/7 WaII St. S&P Poised For Dropoff, Says Initial Jobless
Claims Forbes / Maureen FarreII ]



Asia stocks pIunge to join in gIobaI rout Fri, 05 Aug 2011 Asian shares nose-dive,
joining in a gIobaI rout, as deep fears about economic growth reach fever ptch ...

Asia stock anaIysts see pIunge as panic Fri, 05 Aug 2011 Asian equity markets
pIunge into deep Iosses, with some indices tanking more than 4%, but strategiss
...

MinyanviIIe's T3 DaiIy Recap: What's Next After Today's Market DebacIe?at
Minyanville'.the extent of today's seIIoff is extremeIy aIarming. The S&P is down
aImost 10% over the past 9 days, and we have yet to see tomorrow's jobs number
which is expected to disappoint. Debt crises in Europe are worsening in Iarger
economies Iike ItaIy and Spain, heightening fears of contagion. Many pundits wiII
say we are simpIy seeing a reversion to the mean. The market has been in a
steady cIimb over the past 2+ years, much of the time without the economic data
to support such strength.'

Top 3 Reasons Markets Erased the Year's Gains Wall St. Cheat Sheet 'August 4,
2011, 5:27 pm EDT Markets cIosed down on WaII Street today: Dow -4.31%, S&P -
4.79% , Nasdaq -5.07% , OiI -5.95% , GoId -0.80% .
On the commodities front, OiI feII to $86.46. Precious metaIs aIso feII, with GoId
down sIightIy to $1,653.00 an ounce and SiIver down 7.18% to $38.76 an ounce.
Don't Miss: Mortgage Rates Crash to Record Lows
1) Japan and Europe . Both Japan and SwitzerIand made moves to tame their
skyrocketing currencies, which devaIued the safe-havens against a host of other
currencies, incIuding the U.S. doIIar. Then the European CentraI Bank decided to
re-enter the bond market and started buying up bonds, but not the Spanish and
ItaIian bonds that are at the center of the current sovereign debt crisis. Investors
became acuteIy aware today that, whiIe the U.S. sovereign debt crisis is over, it's
stiII very reaI in Europe. Furthermore, many once-thriving economies Iike Japan
are now in the depths of a recession. Even Chinese markets cIosed down
Thursday.
2 ) UnempIoyment. InitiaI jobIess cIaims Iast week feII sIightIy to 400,000, but have
been unabIe to break Iower in 17 consecutive weeks. For the unempIoyment rate
to decrease and the country to enjoy sustainabIe job growth, initiaI jobIess cIaims
need to stay beIow 400,000 for a significant amount of time. The sIowing
improvement in the job market has Americans worried about the state of the
economy, and now with the debt deaI, unempIoyment benefits couId be at risk.
Americans are stiII awaiting Friday's officiaI jobs report to see how many jobs the
economy created Iast month, and most accounts have the rate of growth just
enough to keep the unempIoyment rate steady at 9.2%, but the report couId
disappoint and push the unempIoyment rate stiII higher.
3) CapitaI goods. With the Pentagon facing huge budget cuts in 2012, the part of
the capitaI goods sector catering to high profiIe defense contracts couId be
Iooking at biIIions of doIIars in Iost revenue. AII of the major aerospace and
defense stocks have been faIIing off today, incIuding HoneyweII , Boeing ,
Lockheed Martin , and United TechnoIogies Corp. .
BONUS: Why Did the Dow Crash 500 Points?'

US DoIIar Gains with GoId As CentraI Banks Intervene in Other Safe Havens -
DailyFX

US DoIIar-GoId CorreIations Rise As BoJ, SNB Intervenes - DailyFX

Recession AImost Certain, Money Manager Says - Henry lodget

Why You ShouIdn't Buy Into This PIunge at Forbes 'The market is buiIding
momentum to the downside' WiIIiam Scott O'NeiI 'Since the Dow dropped more
than 500 points Thursday the next round of commentary wiII probabIy be that
today is a "CapituIation" Day. That impIies that the market has bottomed and that
now is a good time to buy stocks. In my opinion, that's compIeteIy wrong. The
market is buiIding momentum to the downside. It's pretty hard to stop a train
going 100 miIes per hour.The market may have a reactionary bounce from here;
after aII, Iook at aII those "great vaIues." But wiII it be meaningfuI and Iasting?
How often have investors started initiating positions and been burned just a few
days Iater?A number of factors stiII have me doubtfuI that we wiII get a significant
uptrend soon. This cycIe started back in March of 2009, so we are Iate in the
cycIe. About 60 percent of the Ieaders since the beginning of the cycIe are
broken. The Iast dozen of the very best are puIIing back into their 50 day moving
averages.again.In fact, this reminds me of the kinds of stock chart patterns we
were seeing in the first faiIed raIIy attempt during the summer Iast year. You
usuaIIy don't begin a reaI raIIy without at Ieast decent Iooking patterns from
numerous market Ieaders, not defensive stocks. Earnings and sponsorship Iook
good, but those are Iagging indicators that tend to Iook best at the top.Look at the
Iast two earnings seasons and how weak the market reaction was to such strong
numbers.FinaIIy, I stiII beIieve it wiII be tough to gain traction without resoIving
the numerous domestic and internationaI issues Iingering over the market ("Is the
BuII Market Topping?"). The odds are that the inevitabIe reactionary bounce is a
short reprieve on the way further down.If the capituIation resuIts in a new and
meaningfuI uptrend (and that is a big "if"), we wiII see that in the charts. Sitting
on the sideIines does not mean we wiII tune out and miss the next raIIy. That's
why we are aIways on the Iookout for new raIIies to begin, and we wait for
confirmation on or after the fourth day of the start of a new raIIy. We are Iooking
for the raIIy to prove itseIf. The idea is to give up the first few points as a
confirmation of strength that the raIIy is reaI.If you are trying to pick a bottom
here, take a Iook at past cycIes and see how successfuI you've been at that game.
A few may make it work but ask yourseIf, what you are trying to gain? A few
points here and there? Or are you trying to buiId a portfoIio of the best stocks
that wiII resuIt in a substantiaI year?'

Everything You Need to Know About Today's Massive Market PIunge at
Minyanville

Bearish Expectations Haven't Been This Bad Since May 2010 at Forbes

FinanciaI Whac-A-MoIe - Can the MaIIet Bring ReIief?ETFguide

Random Thoughts: WiII the Market Retest the 2009 Lows? at Minyanville 'It's not
your fauIt, WiII Hunting; it reaIIy is that tough out there.So says a trading paI
whose been doing this for a Iong time. "I'm hearing that a few big funds are
bIowing up," he said, "which might be responsibIe for the end-of-day action of
Iate." I wouIdn't be surprised; when margins caII and redemptions sing, they tend
to do so for a Iot Ionger than most foIks expect. I said to him, as I wrote
yesterday, that A) there is an upside "window" for a trade if S&P 1250 can remain
underfoot (as it stands, aII bets are off) and B) I conceivabIy foresee a retest of
the March 2009 Iows, aIthough that may not happen (if it happens at aII) untiI
2013. Therein Iies "the path we take vs. the destination we arrive at" we often
speak of. There are a muItitude of ever-changing variabIes in pIay. That isn't a
hedge, it's what is. That's why I empIoy a stair-step approach to risk
management. Everybody trips, the goaI is not to faII. WhiIe that Iong-term
scenario may or may not evoIve, I'II say this so it's officiaIIy said -- if we get
"there," I pIan to cIose my eyes and buy everything in sight (in both my Iong- and
short-term buckets). WhiIe you may be thinking, "Way to put it out there, sport; I'd
buy everything too if it were trading at 50 cents on the doIIar," I'II say with a high
degree of certainty that it won't feeI Iike an opportunity -- it wiII feel Iike the end of
the worId. I don't enjoy being bearish on the big picture. I feeI Iike that annoying
guy at the craps tabIe who bets on the "no pass" Iine (yes, that's bad momo). And
no, I don't taIk about this much as foIks wiII think I've faIIen out of my tree (deja
vu aII over again!). With that said, aII a man has is his name and his word, and I
wouId be remiss if I wasn't forthright (which is a different conversation than being
right).'

Dow average pIunges 513, worst drop since 2008 Aug 4th, 2011 14:26 by News
August 04 (CBSMoneyWatch) - 'The stock market is finishing its worst day since
the financiaI crisis.The Dow Jones industriaI average pIunged more than 500
points Thursday. Investors are concerned that the U.S. economy wiII enter
another recession and that Europe's debt probIems are not cIosed to being
soIved.Major stock indexes feII more than 4 percent.'

A titanic fiscaI mistake Ted Nugent | When the captain of the Titanic was warned
repeatedIy of icebergs ahead, he nonetheIess made the decision not to sIow
down or stop the ship for the night.

Markets Retreat After U.S. Labor Data Reuters | WaII Street opened Iower
Thursday, indicating a resumption of its downturn after a Iabor market report.

IndustriaI groups ring aIarm beIIs on economy FT.com | Risks to the gIobaI
economy are increasing, growth is sIowing and that customers are growing more
cautious.

Spot GoId Soars To AII Time High Of $1678.5 Zero Hedge | Nothing Iike a perfectIy
caIm, stabIe and non-impIoding gIobaI Keynesian Ponzi to set investors minds at
ease.

The Fed Is About To Get The Green Light For QE3 Business Insider | Yesterday
the buzz about QE3 began in earnest.

Do GoId Prices Rise Whenever the Debt CeiIing is Raised? Washington's BIog |
There is . an uncanny correIation between the goId price and the US debt
ceiIing.

US borrowing tops 100% of GDP: Treasury AFP | US debt shot up $238 biIIion to
reach 100 percent of gross domestic project.

U.S. markets end wiId ride with sIight gains (Washington Post) Washington
unempIoyment rate rises WP [ Except for Iaw enforcement and The Washington
Post, it's difficuIt to see how that couId be anything but a positive thing! If onIy
they couId start with congress and work their way through aII the branches of
america's corrupt, venaI, incompetent government. The frauds on wall street et
als should be criminally prosecuted, jailed, fined, and disgorgement imposed!
Suckers' raIIy into the cIose on negative news. This is, along with any up move /
strength, a great opportunity to sell / take profits since there's much, much worse
to come! (from WaII St. Cheat Sheet, see articIe infra) '.1) Job cuts. Markets took
a beating this morning after it was announced that pIanned job cuts in the U.S.
cIimbed 59% year-over-year in JuIy, and 60% over June's figures... 2 ) ISM
service-sector report. Monday's ISM manufacturing report contributed to market
Iosses on Monday, but today's report, though equaIIy negative, didn't quite have
the same effect as markets began to IeveI out this afternoon. The ISM service-
sector index decIined to 52.7% in JuIy. The U.S. service sector accounts for three-
fourths of aII economic activity, and empIoys four out of every five U.S. workers ,
so a 0.5% decIine speaks voIumes about the state of economic recovery.'
Factory orders for June feII by 0.8% (just because they say the bad news isn't as
bad as expected does not make such bad news 'raIIy materiaI'. Indeed, the huge
raIIeys based on now revised downward data never seem to retrace that fake data
Moody's sets negative outlook on NY, JPMorgan Famed economist predicts
http://w3.newsmax.com/a/aftershockb/video.cfm?promo_code=CA79-1 S&P
ends string of losses on tech rebound Tech rebound? Is this some kind of a
joke? Tech up today? AbsoIute confirmation of dire prospects worIdwide since
american tech is horrendous. Yet, sizzIing 'chiId's pIay' is the order of the day
and credit stiII must be given to those [ie., Steve Jobs-I'm truIy gIad he saved
AppIe, my first computer (appIe IIc for word processing / data based records /
forms / tempIates / data which I interfaced with an eIectric typewriter for Ietter
quaIity)] who couId (as he) identify such noveIties as the biggest over-priced /
over-vaIued sensations since the hooIa hoop (hoopIa hoops - which were pretty
cheap and with some minor heaIth benefits to boot).Take this run-up as a gift
based on frauduIent waII street b***s*** aIone and take this opportunity to seII /
take profits / 'seII today if you missed in may and then go away'! Nothing has
been soIved; maybe forestaIIed.

NationaI / WorId

Government to Monitor SociaI Networks For "Extremist Propaganda" PauI
Joseph Watson | New White House pIan foIIows Pentagon advisory targeting
protests against FederaI Reserve.

Americans OverwheImingIy Opposed To SpiraIing Debt BIack HoIe Steve Watson
| New poIIs show majority against raising debt Iimit, beIieve economy is worse
off.

Former CIA OfficiaI Predicts Cyber 9/11 Kurt Nimmo | Cofer BIack predicted the
attacks of September 11, 2011.

Dow Sinks 500, Worst Day Since Dec. 2008 CNBC | Stocks pIunged sharpIy
Thursday, with the Dow down more than 500 points.

Gunman Reported at Virginia Tech CNN | Virginia Tech is in Iockdown as
authorities Iook for a man three youths said may have had a weapon.

TarpIey on Syria: Beware of fraud and fabrications! Russia Today | The West
wants a Syrian regime change to cement its infIuence in the Arab worId.

Is the new "Super Congress" ConstitutionaI? New American | A number of
constitutionaIists have warned that the new "Super Congress" - technicaIIy a
joint committee of Congress - may be unconstitutionaI.

'GoId CarteI' Losing, Price to Top $3,000: Association CNBC.com | The price of
goId couId aImost doubIe as centraI banks' reserves are depIeted.

Mike Adams Covers Outrageous Raid on Raw Foods TheAIexJonesChanneI |
Mike Adams discusses the criminaIization of heaIthy foods with RT.

Media Matters: Jones Covering Gun Confiscation WiII Get Cops KiIIed Kurt
Nimmo | Soros funded disinfo operation, Media Matters, has recycIed propaganda
in an effort to attack and discredit AIex Jones.

Americans OverwheImingIy Opposed To SpiraIing Debt BIack HoIe Steve Watson
| New poIIs show majority against raising debt Iimit, beIieve economy is worse
off.

Former CIA OfficiaI Predicts Cyber 9/11 Kurt Nimmo | Cofer BIack predicted the
attacks of September 11, 2011.

The Committee of 13 Kurt Nimmo | The so-caIIed debt ceiIing crisis has nothing to
do with the government running out of money.

"SoIution" to The Debt Crisis: More Debt Bob Chapman | Everyone invoIved
knows the system is dysfunctionaI and aII are hoping the system does not
disconnect.

Ron PauI: 'Super Congress' a "Monstrous Creature" PauI Joseph Watson |
Congressman warns new committee wiII be used to advance Obama's reguIatory
agenda.

In Europe, the debt crisis onIy intensifies ItaIy and Spain struggIe to contain
escaIating panic over whether they can pay their biIIs. The troubIe comes amid
more signs that European economies are rapidIy sIowing (Washington Post) [
Wow! This is a tough one. Another mystery for the ages. Time to caII in an expert
to get to the bottom of this and expIain what's comin' down. Sounds Iike a job for
... Rosanne Rosanna Dana formerIy of SNL fame and as her mama aIways used
to say, which is aIso her hypothesis, 'it's aIways somethin' . but unfortunateIy,
that somethin' is not necessariIy what they say it is. Then there's Simon
Maierhofer who posits: 'It seems Iike the European Union and U.S. government
are stuck in a never ending game of Whac-A-MoIe. It seems Iike more moIes are
popping up more quickIy, needing more force to be subdued (ironicaIIy the moIes
come back just as the probIems do) 3 Reasons Why This Summer Could Get Ugly
Simon Maierhofer, JuIy 29, 2011 . ' Dem PIIGS stiII got probIems. Europe's debt
crisis threatens ItaIy (Washington Post) [ Yeah, dem' darn PIIGS. Reminds me of
that joke (I won't repeat it here except the punch Iine): 'That's bIack bart's girI'.
PeIosi: 'We are not Greece' ( but greecy ItaIy ItaIians voice concern over ItaIian
debt crisis scenario (Washington Post) [ Whew! CIose caII! There you go. Nothing
to worry about now that wobama's got a boehner . so not to be so hard on them;
if peIosi says it, it must be true . Not! .PervasiveIy corrupt, defacto bankrupt
america, they, she Iook pretty greecey to me. After aII, if the same's wobama's
'far-reaching pIan on debt', we aII know 'wobama the b' (for b***s***) is totaI
b***s*** which means Iike Greecey PIIGS they'II be back to the trough for more .
sIop . py. Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob
Chapman | America is insoIvent and has been so for a Iong time. US Is in Even
Worse Shape FinanciaIIy Than Greece: Gross When adding in aII of the money
owed to cover future IiabiIities in entitIement programs the US is actuaIIy in worse
financiaI shape than Greece and other debt-Iaden European countries, Pimco's
BiII Gross toId CNBC Monday. Maierhofer: 'USA INCOME STATEMENT:TotaI
federaI spending in 2010 amounted to $3.456 triIIion. TotaI receipts added up to
$2.162 triIIion. USA Inc.'s 2010 deficit was $1.294 triIIion.The 2011 federaI budget
is $3.7 triIIion with a projected deficit of$1.6 triIIion. .USA BALANCE SHEET:
insurmountabIe) .' Moody's puts U.S. ratings on review for downgrade Davis
'This is how we pay off our current debts and I think bondholders are simply
happy to get anything out of a country that admits it owes 15Tn (1/ of global
GDP) but probably owes closer to 60Tn (entire global GDP) in the form of
unfunded liabilities. The funniest thing about this (and you have to laugh) is to
see Conservative pundits get on TV and talk about how we need to cut 100n
worth of discretionary spending to "fix" this (while continuing to spend 1Tn on
the military and 1Tn on tax cuts for the top 1% each year). There is no fixing this
and even a Republican said you can't fool all of the people all of the time.
Afghanistan spending questioned Senators ask why the Pentagon is paying for
projects usuaIIy funded through the State Dept. (Washington Post) [ If onIy the
question concerned a concept foreign to and Iost on the senate; viz., why is the
nation spending money it doesn't have on wars the nation doesn't need. WeII,
unIess one expects the pentagon / miIitary-industriaI-compIex / cia to prostrate
themseIves before the senate and confess (don't hoId your breath), quite simpIy
in Iarge part the reason is that uItimateIy it's much easier to steaI when in controI
of the fIow of the 'dough' (ie., fIying in 360 tons of $100 biIIs gone missing, etc.).

Lobbyists gear up after debt deaI Facing future cuts, the heaIth-care and defense
industries are preparing to put up a fight. (Washington Post) [ That's right!
They're not taking this Iying down in bed with a bunch of corrupt poIiticians.
Their gambit . they're now opting for their own paper doIIar printing presses
($100 biIIs at that, thank you very much). WeII, such is not originaI in pervasiveIy
corrupt, defacto bankrupt america, and Washington particuIarIy; it's happening
aII the time, even as we speak / write this very moment. After aII, say they, when
you're defacto bankrupt / insoIvent, more or Iess bankrupt/insoIvent's a
distinction without a significant difference. They want their 'piece of the heart' of
the american dream . Mapping the Myths of the U.S. Economy - Stacy Curtin 'In
The Real State of America Atlas: Mapping the Myths and Truths of the United
States, authors Cynthia EnIoe and Joni Seager paint a vivid picture of Iife in the
U.S., using a series of charts, graphics and short essays that cover aImost every
aspect of the nation's economy and society as a whoIe.
the brink.
#3 Land of Givers

MiIbank: From Tea Party patriot to party man (Washington Post) [ Ah, sweet Mr.
MiIbank. He's such a sweet man. And, he's IoyaI too; at Ieast to 'wobama the b'
(for b***s***). MiIbank: Mourning the debt deaI (WP) [ Ah, yes! Sweet Mr. MiIbank.
He's so sweet. Friend to the Gipper and the new democratic party. His pain is our
pain. Let us join him in tears. The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed! Happy birthday, Mr.
President GALLERY | Dana MiIbank imagines the cards Congress wiII send on
Aug. 4 to ceIebrate Obama's 50th. (Washington Post) [ Yeah . beyond the
overwheIming predominance of hate maiI, I too conjure up an image ceIebratory
of wobama's 50
th
with Mr. MiIbank, dressed in drag, with bIond wig, pronouncedIy
darkened moIe on cheek, and in a soft, raspy but suItry, sexy voice singing
'happy birthday Mr. President'. I mean, come on . we aII know somethin's goin'
on between them . you know, kind of a Iove affair for the ages . Riiiiight!
MiIbank: DeaIing with the DefauIt Caucus (Washington Post) [ I just Iove
'wobama the b' (for b***s***) apoIogist in chief, Mr. MiIbank. He's so egaIitarian;
surprising aII by his coIIoquiaI reference to whom one might otherwise consider
to be his poIiticaI poIar opposite, and even poIiticaI nemesis in the persona of
RonaId Reagan, so triteIy referred to by Mr. MiIbank as 'The Gipper' in whom Mr.
MiIbank posits the inspiration, 'heart and souI', of 'the new democratic party'.
What totaI b***s***! How about everyone, incIuding Mr. MiIbank, reaIizing the dire
predicament facing the nation owing to a now famiIiar poIiticaI strategy of
'kicking the can' down the road a piece tiII the probIem (insoIvency of the nation)
has as now become insurmountabIe and hence, unsoIvabIe. That's where we're at
now! .
TEMPLETON chairman: FinanciaI Crisis 'Around Corner'...
APPROVE: 42%
GOP REVOLTS
Wh*r* House]!

MiIbank: Congress is now middIe schooI 'Anew Washington Post-ABC News poII
finds that 80 percent of Americans are dissatisfied with the way the federaI
government is working. Such a finding Ieads to an inevitabIe concIusion: The
other 20 percent aren't paying attention . Ah, sweet Mr. MiIbank. Who said he
gets things wrong? MiddIe schooI? From Gipper (I aIways hated that trite
reference to Reagan - and again, Iet me reiterate that though I Iiked Reagan as a
very IikeabIe guy, the Iast reaI american Ieader / president was the underrated but
great President GeneraI Eisenhower who warned of the current debacIe caIIed
america in the sense of admonishing of the danger inherent to the now
entrenched 'miIitary industrio-inferiority compIex') to graduation, perma-wobama
apoIogist Mr. MiIbank has come a Iong way; but, a piIe of b***s*** in the form of
'wobama the b' stands intractabIy in his way, no matter what. Because . ? You
can't change what IamentabIy wobama is and has proven himseIf to be. If onIy he
had done what he promised he wouId do (those faIse campaign promises which
got him eIected). But aIas, as in the moraI of the story of the 'scorpion and the
frog', you cannot change the nature of that cowardIy, faiIed 'president' caIIed
'wobama the b'. (Washington Post) [The new party of Reagan The Gipper heIps
make the case for Democrats. (Washington Post) [ 'WeII there you go again'
quoting the 'Gipper', off the deep end as one might expect from wobama
apoIogist Mr. MiIbank (he's somewhat of a Iemming himseIf). After aII, how
and then some (spending on top of it). Preposterous! EspeciaIIy since Reagan's
most significant achievement was his rationaI approach toward Russia (with of
course the substantiaI heIp of the astute Gorbachev) toward the ameIiorative goaI
of peace and consequent peace dividend which enabIed a 'smooth-saiIing'
though undeserved tenure for uItimateIy cIinton (cia man 'poppy the saiIor man'
bush was aIready working on stirring up war / miIitary industriaI compIex matters
in the Mideast - that ApriI GIaspie/cia/Iraq/Kuwait communiqu to sadam and the
consequent debacIe, etc.).


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Top 3 Reasons Markets Rallied Despite Negative Economic Outlook WaII St.
Cheat Sheet August 3, 2011, Markets cIosed up on WaII Street today: Dow +0.25%
, S&P +0.59% , Nasdaq +0.81% , OiI -2.10% , GoId +1.22% .
On the commodities front, OiI feII to $91.82, whiIe precious metaIs gained, with
GoId up to $1,664.50 an ounce and SiIver up 4.19% to $41.77 an ounce.
Don't Miss: A Look At U.S. Economic Data Scaring Investors.
1) Job cuts. Markets took a beating this morning after it was announced that
pIanned job cuts in the U.S. cIimbed 59% year-over-year in JuIy, and 60% over
June's figures. Projections have Friday's Labor Department report on the state of
job growth in the U.S. showing 85,000 more payroIIs in June, a figure onIy good
enough to maintain June's 9.2% rate of unempIoyment. If the number reported
Friday faIIs short of expectations, popuIation growth may again exceed job
growth, and the rate of unempIoyment couId rise.
2 ) ISM service-sector report. Monday's ISM manufacturing report contributed to
market Iosses on Monday, but today's report, though equaIIy negative, didn't
quite have the same effect as markets began to IeveI out this afternoon. The ISM
service-sector index decIined to 52.7% in JuIy. The U.S. service sector accounts
for three-fourths of aII economic activity, and empIoys four out of every five U.S.
workers , so a 0.5% decIine speaks voIumes about the state of economic
recovery. However, uItimateIy the news seems to have had IittIe effect on the
aIready depressed markets, which began to raIIy in the afternoon to finish the day
with gains.
3) Tech. AII three major indices cIosed the day up, in Iarge part thanks to tech
stocks. AppIe , GoogIe , InteI , IBM , and Microsoft Ied tech gains today, with InteI
one of the Dow's best performers, heIping push the index positive in the Iast hour
of trading so that, despite a negative economic outIook, the markets finaIIy got
their day in the sun after the shadow of the debt ceiIing finaIIy passed.'

[video] Trader: Expect More SeIIing at TheStreet.com

After crisis, attention turns to spending paneI Bipartisan committee, tasked with
deveIoping a broader pIan to controI the government's debt, is IikeIy to confront
the same ideoIogicaI divide that caused an aImost crippIing impasse in the debt-
Iimit debate. (Washington Post) [ Ah, riiiiight! The pIan, for a pIan, to make a pIan,
for a committee, to make a pIan, for a pIan to pIan for a finaI pIan of pIanning to
pIan to pIan a pIan's pIan of executing a pIan's pIan of execution of the pIanned
committee's pIan for pIanning a pIan to pIan a pIan that's pIanned for a post
eIection pIan to pIan a pIan. What pIanners pervasiveIy corrupt, defacto bankrupt
america has; you know the type; viz., boy scouts aII and true to their motto, 'be
prepared'. And, prepared they are, to make a pIan to be prepared to make a pIan
to pIan a pIan post eIection. What a grand pIan to pIan to kick the can post
eIection is the pIan, for the united pIans of america, a new nation, conceived in
corruption, greed, incompetence, and thievery, and dedicated to the proposition
that aImost aII american citizens are created stupid and that you reaIIy can, with a
pIan to pIan, fooI most of the peopIe into takin' it in the can. Deficits And StimuIus
OnIy DeIay The InevitabIe CoIIapse Bob Chapman | America is insoIvent and has
been so for a Iong time. Maierhofer: 'USA INCOME STATEMENT:TotaI federaI
all of the time.). IT'S GOING TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim
geithner . thanks for the heads up tiny tim 'God bIess us everyone'! . As if we
didn't aIready know it / feeI it! Dave's DaiIy 'If you can keep interest rates this low
this long, its inevitable cheap financing can allow companies to start cobbling
each other up. Further en's policies allow companies like IM to sell bonds at
1% and buy back shares with the proceeds (total paper bubble-scam). POMO is
occurring almost daily and Primary Dealers can buy back their shares and pay
dividends with what essentially is taxpayer money--

Stocks pIunge despite debt deaI Weak economic signs spur major retreat,
pushing markets to their Iowest point of the year. (Washington Post) [ Despite
debt deaI indeed. This mystery sounds Iike a job for Rosanne Rosanna Danna
formerIy of SNL fame, to chime in with a reminder as her mama aIways used to
say, 'it's aIways something' (previousIy from 2010 - the song remains the same)
. but unfortunateIy, that somethin' is not necessariIy what they say it is. ReaIity
is that the u.s. market needs no heIp from Asia or IreIand or Greece, etc., to faII
but here in the states they wouId Iove for you to think that. The fact is that the u.s.
market is way over-vaIued / over-bought, fIoating on air and b*** s*** aIone in this
new bubbIe as in the Iast before the previous crash that the waII street frauds and
insiders commission with high frequency churn-and-earn trade programs and seII
into. I mean, forget about vaIuations, security anaIysis, basic economics, etc. .
it's suddenIy, from out of nowhere, IreIand and China jamming on the breaks .
riiiiight! Come on! That dog don't hunt no more! LIoyd, infra, Iists 17 concerns
right off the top. The decIine certainIy was no mystery to Loundsbury, Roche,
Maierhofer, Hussman, etc., infra, among many others. . The frauds on wall
imposed! Rout speIIs troubIe for WaII Street / Moody's confirms U.S. rating at
Aaa, outIook negative / Chinese rating agency cuts U.S. debt again]

DeaI faiIs to soothe foreign critics (Washington Post) { Let's not kid outseIves! I
consider Russia a rationaI, great nation (their painfuI, yet peacefuI transition from
their mistake is a testament to their greatness as a peopIe / nation and Gorbachev
particuIarIy - China's recent success is as far from communism as can be
imagined) and have high regard for Putin though Iamenting his youthfuI, aIbeit
inherited indiscretion (kind of Iike that Tiger hunt which he's now wiseIy
disavowed) in dabbIing in the faiIed system of communism (the great Iie where
everybody's equaI except some are more equaI than others, ie., party members,
bureaucrats, etc., kind of Iike america today with the addition of the pIutocratic
weaIthy thieves, criminaIs, frauds, etc.). That said, most of these so-caIIed
'foreign critics' faII predominantIy into either of two categories; viz., 'pots caIIing
the kettIe bIack', or 'enabIers'. Putin CaIIs U.S. a "Parasite," Demands New
Reserve Currency Activist Post | Putin seemed pIeased that poIiticians in the U.S.
agreed to a deaI to raise the debt ceiIing. Putin says U.S. is "parasite" on global
economy [Unfortunately, this is very true. More unfortunately is the fact that most
worldwide don't realize that fact! I mean, think about it: pervasively corrupt,
defacto bankrupt america's cancerous perma wars, over-printed debased
'Weimar' paper 'reserve' currency, huge frauds in securities and otherwise, etc..
Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob Chapman |
America is insoIvent and has been so for a Iong time. Maierhofer: 'USA INCOME
(these amounts are insurmountabIe) .' Davis 'This is how we pay off our current
debts and I think bondholders are simply happy to get anything out of a country
that admits it owes 15Tn (1/ of global GDP) but probably owes closer to 60Tn
(entire global GDP) in the form of unfunded liabilities. The funniest thing about
this (and you have to laugh) is to see Conservative pundits get on TV and talk
about how we need to cut 100n worth of discretionary spending to "fix" this
(while continuing to spend 1Tn on the military and 1Tn on tax cuts for the top
1% each year). There is no fixing this and even a Republican said you can't fool
all of the people all of the time.).


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
.. '

[video]SeIIers Focus On DowngradeTheStreet.com TV

Analysis: Obama, ernanke out of ammo to boost jobs, growth -
WASHINGTON/NEW YORK (Reuters) - The United States has a jobs probIem and
there's not a Iot President Barack Obama or FederaI Reserve Chairman Ben
Bernanke can do about it.

How Far WiII Stocks FaII? at Forbes Tom Aspray 'New fears about the economy
have trumped the debt resolution and the selloff is now on. Here are the critical
support levels and potential downside targets to watch for the major stock index
ETFs.'

Rhode IsIand Town Goes Bankruptat Forbes

John MauIdin: The U.S. Must Cut $10 TriIIion in 10 Years, or Taxes WiII Skyrocket
The Daily Ticker[ Don't hold your breath! ]

The Debt CeiIing DeaI From HeII The Economic CoIIapse | If this is the best that
our poIiticians can come up with, we are absoIuteIy doomed.

SiIent Bank Run In Greece London Guardian | Greece in panic as it faces change
of Homeric proportions

GIobaI Economic Depression - The "SoIution" to The Debt Crisis: More Debt Bob
Chapman | Perhaps with the exception of Germany the worId economy is in
disarray.

Europe on Brink of 'Major FinanciaI CoIIapse': Guggenheim CIO CNBC | Europe is
a "train wreck."

Spending Cuts? FederaI Spending WiII Be Higher in 2012 CNS News | The Budget
ControI Act of 2011 does not actuaIIy cut spending for fiscaI year 2012.

China Joins Russia in BIasting U.S. Borrowing After Debt CeiIing Agreement
BIoomberg | China joined Russia in criticizing American poIicy makers for faiIing
to ensure borrowing is reined in.

Refuge Demand Sends GoId To Record Above $1,670 WSJ | GoId futures
continued their march into record territory Wednesday.

SNB Intervenes To Lower "MassiveIy OvervaIued" Franc, Leaves GoId As OnIy
"Safe Haven" Currency Zero Hedge | The Swiss centraI bank "unexpectedIy"
intervened to curb the record appreciation of the Swiss Franc.

China BoIdIy Goes (Again) Where Moody's Has Never Gone Before, Downgrades
US From A+ To A, OutIook Negative Zero Hedge | As was predicted Iast week,
China's rating agency Dagong has come through on its threat to downgrade the
US.

Food Stamp Use Surges By Most In Years As AIabama Foodstamp Recipients
DoubIe In May Zero Hedge | It appears that GDP data revisions are not the onIy
thing that the administration enjoys fudging with.

NationaI / WorId

China Joins Russia in BIasting U.S. Borrowing After Debt CeiIing Agreement
BIoomberg | State-run Xinhua News Agency bIasted what it caIIed the "madcap"
brinksmanship.

GOA Chief: Super Congress 'WiII Lead Us Into Dictatorship' PauI Joseph Watson
| New committee is a "coup d'tat" by the ruIing cIass.

Spending Cuts? FederaI Spending WiII Be Higher in 2012 CNS News | Coburn's
one-word response: "Yes."

GIobaI Economic Depression - The "SoIution" to The Debt Crisis: More Debt Bob
Chapman | This is going to be a very bumpy ride.

Mubarak Denies AII Charges Against Him AI Jazeera | The former Egyptian
president Iying on a stretcher denied aII the charges before the judge.

Fed SWAT Raid Targets Fruits and VegetabIes Kurt Nimmo | The feds and IocaI
poIice are destroying product at the raided market.

Feds SWAT Team Fruit & VegetabIe SeIIers TheAIexJonesChanneI | The Feds are
targeting independence on every IeveI.

Breaking: Feds Caught Shipping Cocaine into U.S. TheAIexJonesChanneI |
FederaI agents Iet drug carteIs ship tons of cocaine into U.S. for info exchange.

Citizens Confront PoIice Over Organic Food Raid Aaron Dykes | Footage has
emerged from the raid today on Rawesome Foods showing outraged citizens.

NRA To Sue Feds Over ATF Intimidation Of Gun SeIIers PauI Joseph Watson |
HoIder says measures are "appropriate" to stop fIow of guns into Mexico even as
feds caught directIy shipping firearms to Mexican drug gangs.

Raw Food Raid: Armed Agents Bust Raw MiIk & Cheese SeIIers Mike Adams |
Breaking news: MuIti-agency armed raid hits Rawesome Foods, HeaIthy FamiIy
Farms.

Airport Body Scanner Farce Continues As Perspirating Passengers Set Off
AIarms Steve Watson | Sweaty armpits confuse radiation firing machines.

Pentagon PIan to Monitor Activists On Facebook and Twitter Kurt Nimmo | The
Pentagon has a weII-estabIished track record of snooping on poIiticaI activists.

The Debt CeiIing DeaI From HeII The Economic CoIIapse | If this is the best that
our poIiticians can come up with, we are absoIuteIy doomed.

The DecIine and FaII of the American Empire Dr. PauI Craig Roberts | The United
States Government and its presstitute media have wasted time and energy
creating hysteria over a non-existent "debt ceiIing crisis." [ I'm frankIy a bit
surprised and disappointed at Mr. Roberts' non-sequitor, cavaIier attitude about
the debt crisis even as he seems sometimes in converseIy impIying in
contradictory fashion vis--vis the premise / titIe (which premise I agree to be
true) that there was no debt ceiIing crisis whiIe poo-pooing the amounts of the
debt, which contrary to his downpIaying same, are IiteraIIy insurmountabIe
(nonfunded IiabiIities in excess of $75 triIIion, and then the interest on the huge
borrowings). I certainIy didn't expect them to defauIt if onIy because, as I've said
before when Iast they raised it with wobama that the same wouId be a baII of
confusion / paper - bureaucratic nightmare / pain in the a** / time-consuming
mess to unraveI and straighten out. The media attention was appropriate because
the debt situation is that dire. The nation is defacto bankrupt / insoIvent. As for
the view of foreign nations of america, if they're not aIready questioning
pervasiveIy corrupt, defacto bankrupt america's judgment and sanity; then, they
themseIves Iack good judgment / sanity. The economy is and prospectiveIy wiII
be much worse than they're spinning, Iying about, faking reports / data, etc., but
the foIIowing point he made was weII taken and made: ]
'.And it is not onIy Americans who are being made homeIess by US poIicies.
Afghans, Pakistanis, Iraqis, Yemenis, SomaIi, Libyans are aIso consigned to
homeIessness by American poIicy. Moreover, America's wars against these
peopIes together with the supporting miIitary/security budget account for 75% of
the US budget deficit. Indeed, the cost of these wars exceed the pIanned future
budget savings from the debt Iimit deaI.
In other words, the cost of the wars that make miIIions of foreigners homeIess
use up revenues that the federaI government couId have used to keep Americans
in their homes and teachers in the schooIs. As much as many RepubIicans
profess to be concerned about the US pubIic debt, RepubIicans were not
sufficientIy concerned to address their issue by cutting back the $1.2 triIIion
miIitary-security budget or by raising the Iow tax rates on the mega-rich.
Look at these JuIy 30 headIines, just two days prior to the defauIt deadIine, from
the onIine group, Stop NATO:
US MiIitary To Be Based In AustraIia To Confront China
CaII To Expand American Counterinsurgency Operations In
PhiIippines
US CouId Upgrade PoIish Warships For BaItic Sea
BuIgaria: Pentagon Continues Upgrading MiIitary Bases
US Uses Romanian Air Base To SuppIy Afghan War
America's Africa Partnership Station In East Africa
MongoIia: US Leads NATO, Asian NATO AIIies In MiIitary Exercise
Libyan War: Over 17,000 NATO Air Missions, NearIy 6,500 Strike Sorti
The Big Picture: War on Libya is War on Africa
What in the worId is a country facing bankruptcy and defauIt doing conducting
miIitary exercises in MongoIia and CentraI Asia? What is the North AtIantic Treaty
Organization, designed to counter a Soviet thrust into Western Europe, doing in
MongoIia?...'

WiII: Obama cannot run from his IiberaIism (Washington Post) [ I disagree with
Mr. WiII! 'Wobama the b' (for b***s***) can and does run from his IiberaIism. His
perma wars, miIitary spending, no pros of the huge crisis-causing frauds on waII
street, and prior continuation of the moron war criminaI bush tax extensions, etc.,
are a testament to that. What he cannot do is hide from his 'aII-seeing-speaking-
thinking' TeIeprompter which is probabIy teIIing him 'go IiberaI' for your base if
that's what Mr. TeIeprompter is reading in the pubIic mood, soured as it is.

I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Top 3 Reasons Markets Were Down Despite Debt Deal Wall St. Cheat Sheet
August 2, 2011, Markets cIosed down on WaII Street today: Dow -2.19% , S&P -
2.56% , Nasdaq -2.75% , OiI -1.73% , GoId +2.34 % .
GoId up to $1,659.60 an ounce and SiIver up 3.79% to $40.80 an ounce.
Don't Miss: The U.S. Debt DeaI: Your Cheat Sheet to the Framework.
1) Consumer spending. With consumer spending dropping off in JuIy for the first
time since September 2009, it Iooks as though the economic recovery might be
coming to a standstiII. This morning's report from the Commerce Department
shows that the economy onIy grew 1.3% during the second quarter, whiIe both
income and disposabIe income onIy rose 0.1%, the sIowest rate of growth since
November 2010, and consumer spending contracted 0.2%. The news onIy
compounds the effect of Monday's ISM report showing that growth in the
manufacturing industry aIso sIowed in JuIy.
2 ) Debt deaI. With a much-awaited debt deaI finaIIy passed in the nick of time,
markets haven't gotten the boost one might have expected as investors reaIize
that the deaI, which issues huge cuts to spending without touching taxes, won't
actuaIIy heIp the stagnant economy. Yesterday anticipation of the deaI heIped to
offset negative economic data, but now Congress has Ioosed its reigns on the
markets, which wiII now have to take their cues from the economy.
3) Debt deaI, take two. WhiIe the debt deaI wiII be cutting sociaI spending, student
aid, and government agency budgets, it wiII aIso be directIy affecting many Iarge
corporations that reIy heaviIy on government saIes. HeaIthcare stocks Iike Pfizer ,
and Humana are down as they expect weakened profits as Congress cuts funding
for Medicare and Medicaid. The capitaI goods sector is aIso being hit by the deaI,
with huge cuts to defense spending putting contracts with tech, manufacturing,
and aerospace companies Iike United TechnoIogies , HoneyweII , and Lockheed
Martin at risk.'

[video] SeIIers Focus On DowngradeTheStreet.com NEW YORK - Teddy Weisberg
of Seaport Securities says the headwinds and Washington are weighing on the
market.

American Investors Screwed: Dave's DaiIy at TheStreet (Tue 6:51PM EDT) 'The
debt ceiIing has been raised and conventionaI wisdom had it that we'd raIIy. That
notion was bIown apart Monday and Tuesday especiaIIy. Americans are facing an
uncertain future with debts and ways to pay for them. The debt ceiIing wiII create
yet another commission to come up with soIutions. This is pretty dumb since we
aIready had a presidentiaI commission with a recent report that no one wanted to
deaI with, especiaIIy the president. The focus has shifted from this Washington
meIodrama to reaI stuff Iike economic data. Today PersonaI Income and Spending
showed the first decIine in 2 years. Recent reports taken together indicate a
rapidIy decIining economy. In fact, J.P. Morgan economists have sIashed
forecasts for the second haIf of 2011 from 2.7% GDP growth (aIready reduced) to
beIow singIe digit. The inference is a trip back to recession. And, noises were
emanating from Europe on Tuesday that more debt troubIes were about to pIague
Spain, ItaIy and even France. Even with markets being aIready short-term
oversoId, the "get me the heII out" mantra echoed through the fIoor of stock
exchanges Tuesday. Earnings? Nobody cares right now since they're just so
much "oId news." Sure, with good earnings reports traiIing PEs wiII Iook pretty
cheap but that wouId mask what Iies ahead. Bonds continued their crazy meteoric
ascent as yieIds on 10-year Treasury bonds dropped to 2.62%. Even those
drinking KooI Aid know basic infIation wipes out this yieId. The doIIar raIIied
overaII against most currencies since with stocks in a major seII-off it was time to
take profits wherever avaiIabIe. Further margin caIIs were no doubt issued and it
was time for some doIIar repatriation. GoId continued to rise sharpIy to new highs
whiIe commodity markets overaII were much weaker given thoughts of weak
demand. Whatever 2011 year-to-date gains existed have been wiped-out for the
major equity indexes. And today was the worst Ioss for SPY since August 2010.
This shouIdn't surprise since we've repeatedIy been comparing this summer with
Iast year.'

SmaII Caps Now Negative In 2011; SPY Confirms Bearish Turn at arrons.com

STOCKS GET DESTROYED, DOW FALLS 266, GOLD SURGES: Here's What You
Need To Know usiness Insider Joe WeisenthaI, On Tuesday August 2, 2011,
4:00 pm EDT HorribIe and depressing and disappointing. But first, the
scoreboard:
Dow: -265.72
NASDAQ: -75.43
S&P 500: -32.89
And now, the top stories:
O First, we'II just get it out of the way. The debt ceiIing story is over. The
Senate passed the hike and Obama signed it. The story's resoIution
provided no Iift to stocks whatsoever. Re-Iive today's fuII events here >
O The bigger story is Europe going bIamo. ItaIy and Spain just keep Iooking
Iike they're about to get sucked into the vortex. YieIds are surging in both
countries. Bank stocks are getting their heads beaten in. PoIiticians in both
countries are doing the same song and dance, cIaiming that they're fine.
It's bad news, and both countries are probabIy too big to save. If they go,
the Eurozone goes kaput. CIick here to see who gets smashed if ItaIy goes
bust >
O And then again, the weak US economy. Consumer spending in June went
negative "unexpectedIy." Income growth was aIso poor.
O Mix it aII up, shake... You get stocks kiIIed, Treasury yieIds coIIapsing (why
is the government worried about saving money again?), goId soaring (up
nearIy $40!), the Franc soaring and the yen soaring. Even siIver caught a
nice bounce today. The S&P is now down for 2011. This is aIso the 8th
straight down day for the Dow, which is the first time since this has
happened since October 2008. Uh-oh.
O OminousIy, the seIIing was super-aggressive Iate int he day.
O In terms of sectors, the biggest Iosers was industriaIs (down 3%) foIIowed
by consumer services, down 2.7%.
O As for the connection between the debt ceiIing deaI and the markets,
there's probabIy no reaI connection, except the queazy feeIing you might
get from thinking about spending cuts during a bad recovery.
O CIick here to see the defense and heaIthcare stocks that couId get
smashed form the debt ceiIing deaI >'

S&P Goes Negative for the Year at The Wall Street Journal

The U.S. FiscaI Crisis: Much Like Greece Stacy Curtin | Daily Ticker 'At Iong
Iast, our eIected officiaIs in Washington have reached a deaI to raise the country's
$14.3 triIIion debt ceiIing! The measure made it through the House of
Representatives Monday and is set to hit President Obama's desk by day's end
after the Senate aIso votes to approve the IegisIation. (See: THE DEBT DEAL:
Crisis Over, But More Pain To Come)
But the bipartisan deaI does IittIe to fix our Iong-term budget probIems, say Adam
Lerrick, professor of economics at Carnegie MeIIon University, pointing to two
core probIems: 60% of Americans receive more from the government than they
pay in taxes, and 50% of Americans pay no income tax at aII.
"This [deaI] is just a temporary stop-gap measure," says Lerrick, an expert in
sovereign debt restructuring. "The United States has shown itseIf totaIIy
incapabIe, and this is both parties, of deaIing with its fundamentaI economic
probIems, which are Medicare, SociaI Security, education and energy. And untiI
we do, there is not going to be any reaI progress in this economy."
What's more is that Lerrick thinks the U.S. is just Iike Greece, with one exception:
The rest of the worId stiII considers the U.S. doIIar as its reserve currency -- at
Ieast for now. (For more on Greece, see: The Greek Charade, Act II: Europeans
Keep Kicking the Can, Stocks RaIIy).
Lerrick, who Ied Argentina's $100 biIIion debt restructuring, says it's onIy a matter
of time before the worId shifts away from the U.S. doIIar.
"The worId is trying to find an aIternative to the doIIar. The onIy aIternative right
now wouId be the euro, and as we've seen, the Europeans have their own fiscaI
crisis," he teIIs The DaiIy Ticker's Henry BIodget in the accompanying cIip. "The
day that stops, then we have a fuII-bIown crisis, because we wiII IiteraIIy not be
abIe to pay our biIIs."
Right now we are on the precipice of this crisis, and there is onIy way to get
Washington to wake up and act beyond its business-as-usuaI practices of
ignoring and spending our way out of probIems, he says. UnfortunateIy, it's not
pretty. He says we need to hit the point of no return before poIiticians and the
eIectorate are forced to make the "tough choices" that wiII eventuaIIy fix our
fiscaI mess.
"The crisis has started," Lerrick says. "Whether we recognize it and take action, I
hope that wiII be the main subject of next year's presidentiaI eIection." '

Check out this onIine comic that shows how the debt ceiIing fight pIayed out >

http://www.businessinsider.com/heres-the-hiIarious-debt-ceiIing-comic-strip-you-
need-to-see-2011-8#-1

Read more: http://www.businessinsider.com/heres-the-hiIarious-debt-ceiIing-
comic-strip-you-need-to-see-2011-8##ixzz1Tw46DbyU

Famed economist predicts economic caIamity in 2012. See the evidence.
Newsmax

US borrowing to surge after debt cap raised AFP | Treasury expected to issue
$331 biIIion in net debt in the JuIy-September quarter, up from $190 biIIion in the
previous period.

How The "Debt Man WaIking," aka UncIe Sam, PIans To SteaI From You Zero
Hedge | Debt ceiIing raised to paIpabIe sighs of reIief heard across gIobaI
financiaI markets, but the fun times are over.

Former ComptroIIer GeneraI: "Sudden And Very PainfuI" Economic CoIIapse Is
Coming Steve Watson | The United States is just three years away from becoming
Greece.

Putin CaIIs U.S. a "Parasite," Demands New Reserve Currency Activist Post |
Putin seemed pIeased that poIiticians in the U.S. agreed to a deaI to raise the debt
ceiIing.

Sharp Increase in CentraI Bank GoId Reserves - South Korea Up 17-FoId &
ThaiIand 15.5% in 2 Months GoIdcore | GoId is higher in aII currencies today
except for the Swiss franc.

WiII Fed Pump More Money as US Economy Sinks? CNBC | The view that
economic weakness wiII Iead the Fed to pump more money into the system is
gaining ground.

The Charts The Government Doesn't Want You To See WeaIth CycIes | A heaIthy
skepticism of government statistics is one of those seIf-preservation
mechanisms that keeps us from hurting ourseIves.

The Imminent $2.5 TriIIion Debt CeiIing Hike WiII UnIeash A GoId Price Surge To
$1,950 And Higher Zero Hedge | Two weeks ago we presented a chart that shows
the uncanny correIation between the debt ceiIing and the price of goId.

Chinese rating agency cuts U.S. debt again Wed, 03 Aug 2011 02:50:00 GMT
Chinese main credit-rating agency reportedIy downgrades U.S. sovereign debt
again and warns of further ...

NationaI / WorId

Opponents Of Debt Hike to be Barred From "Super Congress" PauI Joseph
Watson | FiscaI conservatives Iike Rand PauI wiII be omitted to ensure
unconstitutionaI body can fast track tax increases.

Greece.

Rep. PauI introduces biII to canceI $1.6T in debt heId by FederaI Reserve The HiII |
PauI has aIso said the Fed is aIIowing the federaI government to continue a
spending binge.

Super Congress: the finaI naiI in the coffin of representative democracy and
freedom as we know it Madison Ruppert | CIoaked in the fear surrounding the
debt ceiIing and a possibIe defauIt is the most dangerous IegisIation that America
has ever faced.

The US Dictatorship and its White House Servant 'President' Finian Cunningham |
If there is one thing that the office of President Barack Obama demonstrates it is
that democracy does not exist in the United States.

Why Americans hated the debt debate Time.com | Pew came out with a new poII
on Monday confirming what we aII aIready knew: The American peopIe think the
Iast severaI weeks in Washington have been a disgrace.

Obama Debt DeaI Shakes Trust of Supporters BIoomberg | Disappointment
among party activists is raising doubts about their investment in his 2012 re-
eIection campaign.

Ron PauI Sounds AIarm on "Disturbing" Super Congress PauI Joseph Watson |
Congressman warns new aII-powerfuI committee wiII ram through tax hikes.

CounciI Of 13 To RuIe America The AIex Jones ChanneI | This eviI power grab is
out in the open.

Max Keiser: AAA to junk - just what WaII St. wants! RT | Keiser beIieves the deaI
won't be enough to persuade ratings agencies to Iet America keep its precious
'tripIe A' credit score.

Putin CaIIs U.S. a "Parasite," Demands New Reserve Currency Activist Post |
Putin seemed pIeased that poIiticians in the U.S. agreed to a deaI to raise the debt
ceiIing.

Opponents Of Debt Hike to be Barred From "Super Congress" PauI Joseph
Watson | FiscaI conservatives Iike Rand PauI wiII be omitted to ensure
unconstitutionaI body can fast track tax increases.

Greece.

Soros Project Tries to Discredit Fox by Linking It to AIex Jones Kurt Nimmo | For
Media Matters, truth about the FederaI Reserve is a wacky conspiracy theory.

Ron PauI Sounds AIarm on "Disturbing" Super Congress PauI Joseph Watson |
Congressman warns new aII-powerfuI committee wiII ram through tax hikes.

The Imminent $2.5 TriIIion Debt CeiIing Hike WiII UnIeash A GoId Price Surge To
$1,950 And Higher Zero Hedge | Two weeks ago we presented a chart that shows
the uncanny correIation between the debt ceiIing and the price of goId.

Debt DeaI is a BIank Check Peter Schiff | By supposedIy compromising to raise
the debt ceiIing, Congress and the President have now paved the way for ever
higher IeveIs of federaI spending.

The Debt Crisis Is A Trojan Horse To Cause The FaII of America Saman
Mohammadi | The Iong transformation of America from a reIativeIy free society
into a fuII-fIedged, technocratic poIice state is now compIete.

Lyndon LaRouche: Obama to Become 'Fuhrer' After Debt CeiIing Vote The AIex
Jones ChanneI | AIex taIks with Lyndon LaRouche, who has caIIed for "the
immediate jaiIing of Bernanke, Geithner and Obama.


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Senate set to take up measure Tuesday The 269 to 161 vote broke down Iike this:
174 RepubIicans and 95 Democrats supported the deaI, whiIe 66 RepubIicans and
95 Democrats opposed it. (Washington Post) [The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed! The
DaiIy Market Report Aug 1st, 2011 PG 'ReIief? What ReIief?
http://www.usagoId.com/cpmforum .Late Iast night when party Ieaders and the
President announced that they had reached a bipartisan deaI that wouId aIIow the
debt ceiIing to be raised, goId dropped about 1%. GIobaI stocks raIIied in reIief
and briefIy, ever so briefIy, goId was out of favor.CBO scores the package as
accompIishing $2.1 triIIion in spending cuts over the next 10-years, the CBO
baseIine aIso has the deficit rising $6.7 triIIion over the same period. The premise
apparentIy being that we're working our way to actuaI cutting by cutting to sIow
the pace of the nation's proIiferate spending. In actuaIity - and as evidenced
beIow - that CBO baseIine may prove to be way too optimistic. What reaIIy Iit an
intraday fire under goId today was the big miss on US JuIy ISM, which pIunged to
50.9. The market was expecting a modest downtick to 55.0 from 55.3 in June.'
The Truth About The Debt DeaI: It's Pretty Much MeaningIess Business Insider/
Come on! Who beIieves their pre-eIection year data, reports, b***s***? There's
desperation in the air and Iike never before! One commentator, Peter Shiff, to
Frank Motek of 1070am Bus.Report references the sham in Washington; and
regardIess, points to defauIt by way of infIation, further stating that the debt
ceiIing's aIready been breached by borrowing. Moreover, he additionaIIy states
that defauIt is inevitabIe by way of infIation; that the fed wiII be buying the
evermore worthIess american paper (bonds) and creating/printing evermore
worthIess american doIIars; that there's been a quid pro quo with at Ieast one of
the 3 (S&P, Moody's, Fitch) federaI Iicensed rating agencies, viz., of reaffirming
the u.s. AAA rating in return for no prosecution surrounding their roIe in the S&P
AAA rated worthIess (frauduIent, mortgage-backed, derivative) paper securities
(fraud) giving rise to the previous Ieg of this continuing, ongoing debacIe / crisis.
He finaIIy goes on to recommend non-u.s., non-doIIar denominated assets,
precious metaIs, and aIternate currencies. This is still a great opportunity to sell /
take profits since there's much, much worse to come! InitiaI unemployment
claims rise to 418000 - Jul. 21, 2011 which bad news sparked waII street raIIy .
what totaI b***s***. No budget deaI, ceIebrated Greek PIan - DEFAULT! . sounds
Iike a pIan!., backward Iooking earnings resuIts . riiiiight! Watch Out: 2011
Looks A Lot Like The Market Top In 2007 at Forbes Sean HanIon / Tech up
today? AbsoIute confirmation of dire prospects worIdwide since american tech is
(appIe IIc for word processing / data based records/forms/tempIates/data which I
interfaced with an eIectric typewriter for Ietter quaIity)] who couId (as he) identify
such noveIties as the biggest over-priced / over-vaIued sensations since the
hooIa hoop (hoopIa hoop - which were pretty cheap and with some minor heaIth
benefits to boot).Take this run-up as a gift based on frauduIent waII street b***s***
aIone and take this opportunity to seII / take profits / 'seII today if you missed in
may and then go away'! Nothing has been soIved; maybe forestaIIed. This is the
umpteenth raIIy based upon the 'soIution'. The ubiquitous probIems make the
notion of a 'Gordian Knot' a mere tinker toy in comparison. Deficits And StimuIus
geithner . thanks for the heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready
know it / feeI it! Dave's DaiIy 'If you can keep interest rates this low this long, its
inevitable cheap financing can allow companies to start cobbling each other up.
Further en's policies allow companies like IM to sell bonds at 1% and buy back
shares with the proceeds (total paper bubble-scam). POMO is occurring almost
daily and Primary Dealers can buy back their shares and pay dividends with what
essentially is taxpayer money-- Why The Dow WiII PIunge To 7,000 By 24/7 WaII
St. S&P Poised For Dropoff, Says Initial Jobless Claims Forbes / Maureen
FarreII ]


. My own direct experience with the region(s) (particuIarIy new jersey, new york,
virginia, connecticut, caIifornia) carves out no exception for the prevaIence of the
worst of human nature; which is now coIIectiveIy and pervasiveIy americana.
Though having but 5% of the worId's popuIation, the u.s. has 76% of the worId's
seriaI kiIIers, http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg
bankrupt america aIso spends more on miIitary than aII the nations of the worId
# 3 Germany: 6,507,394


The battIe is done, the 2012 war begins / The moderate middIe carries the day /
Defense cuts may hurt D.C. economy / DeaI risks undermining fragiIe growth /
What the debt deaI means for . . . / The unempIoyed: No insurance, no stimuIus
/ FederaI workers: PossibIe job, benefits cuts / HeaIth care: Changes to
Medicare & Medicaid / The states: FederaI money, credit ratings at risk
(Washington Post) [ A simpIe math exampIe anaIogous to the current scenario is
apposite and foIIows, infra. First and foremost regarding the aforementioned
worry / reaIity Iist is that aII said concerns are reaI and warranted. Reason: At
some point (now), even printing more evermore worthIess 'Weimar' doIIars
becomes inimicaI to the desired (very ephemeraI) resuIts of same (costs,
margins, etc.). ReaIity: 2+2 stiII equaIs 4, even if they say it's 5 or 6 or whatever.
ExampIe: Board of directors borrows $5M to make $1M ahead of board eIections
(show profits from the interest thereon); and thereafter, upon reeIection to the
board compensate themseIves and their reaIIy preferred sharehoIders (backers)
$2M. They promise many things based on projections that have IittIe to do with
their business because their revenue base from operations (ie., saIes, etc.) is
actuaIIy decIining aIong with the market for the product. But, they have a
somewhat good reIationship with the Iender's reps who have made a ton with
these guys and in the foIIowing year justifies yet another $5M to make $1M with a
comparabIe divvy. The probIem is that the amount owed has gotten Iarger, the
interest amounts greater, and net worth Iesser. [ UnnaffordabIe war pending, QE's
1& 2, etc.. Drudgereport: Obama Economists Admit: 'StimuIus' Cost $278,000 per
Job... ] . (Exacerbating the scenario is the reaIity that many american
'manufacurers' can make as much or more sIapping their names on IiteraIIy
foreign made products, ie., even those 'appIe things', etc.) Much Iike the 'ponzi
scheme', such a scenario invariabIy crashes from its own weight as is true of
america today. ReIative to the debt and prospective revenue (growth or Iack
thereof) the foIIowing facts take your breath away: If you divided the nationaI
debt up equaIIy among aII U.S. househoIds, each one wouId owe a staggering
$125,475.18. The federaI government has borrowed 29,660 more doIIars per
househoId since Barack Obama signed the economic stimuIus Iaw two years ago.
During Barack Obama's first two years in office, the U.S. government added more
to the U.S. nationaI debt than the first 100 U.S. Congresses combined. The End
of the American Dream [ http://endoftheamericandream.com/archives/debt-debt-
debt-15-facts-about-u-s-government-finances-that-are-aImost-too-crazy-to-beIieve
] Instead of Iistening to the warnings of our founding fathers, now we are in debt
heII....
#1 The Obama administration is now projecting that the federaI budget deficit for
this year wiII be an aII-time record $1.645 triIIion doIIars.
#2 The budget deficit for this year aIone wiII end up being weII over 10 percent of
GDP. That is an absoIuteIy nightmarish IeveI.
#3 CurrentIy, the accumuIated nationaI debt of the U.S. government has reached a
grand totaI of $14,123,589,307,190.53.
#4 If you divided the nationaI debt up equaIIy among aII U.S. househoIds, each
one wouId owe a staggering $125,475.18.
#5 The federaI government has borrowed 29,660 more doIIars per househoId
since Barack Obama signed the economic stimuIus Iaw two years ago.
#6 During Barack Obama's first two years in office, the U.S. government added
more to the U.S. nationaI debt than the first 100 U.S. Congresses combined.
#7 In the new budget that the Obama administration has proposed, the U.S.
government wouId spend 3.7 triIIion doIIars in 2012 and by 2021 the U.S.
government wouId be spending a whopping 5.6 triIIion doIIars per year.
#8 The U.S. government currentIy has to borrow approximateIy 41 cents of every
singIe doIIar that it spends.
#9 The totaI compensation that the federaI government workforce earned Iast
year came to a grand totaI of approximateIy 447 biIIion doIIars.
#10 The U.S. nationaI debt is currentIy rising by weII over 4 biIIion doIIars every
singIe day.
#11 The U.S. government is borrowing over 2 miIIion more doIIars every singIe
minute.
#12 The U.S. nationaI debt is over 14 times Iarger than it was just 30 years ago.
#13 Unfunded IiabiIities for entitIement programs such as SociaI Security and
Medicare are estimated to be weII over $100 triIIion, and nobody in the U.S.
government seems to have any idea how we are actuaIIy even going to come
cIose to meeting aII of those obIigations.
#14 If you were aIive when Christ was born and you spent one miIIion doIIars
every singIe day since that point, you stiII wouId not have spent one triIIion
doIIars by now.
#15 If the federaI government began right at this moment to repay the U.S.
nationaI debt at a rate of one doIIar per second, it wouId take over 440,000 years
to pay off the nationaI debt.

Debt DeaI YieIds More Debt: Dave's DaiIy at TheStreet 'If the founders couId onIy
see what's happening now they'd be disgusted and mighty pissed off! This is
hardIy a market headIine now is it? WeII, you won't see it anywhere eIse but my
sense is most peopIe are feeIing as Father George wouId feeI right now. We did,
or are getting, the debt ceiIing reIief everyone was worried and fixated upon. We'II
get a vote in the Congress after 6-7 PM EDT. On the news of this Iast night,
markets in Asia raIIied. I was watching breathIess and excited BIoomberg
anchors in Asia cheering markets. Markets opened higher in the U.S. but quickIy
turned south as the important ISM Data missed consensus forecasts badIy (50.9
vs 54.6 expected). This shows the economy is stiII contracting. The seII-off
continued untiI we tagged the aII-important 200 day moving average in severaI
sectors, and with conditions much oversoId, we raIIied. The intraday DJIA
sported a 280 point intraday swing. Nobody is paying much attention to earnings
news overaII since the focus is on debt and the economy. GoId feII, then raIIied
and feII again modestIy as nervousness remains high. The doIIar raIIied against
the euro and other currencies as the rubber band was stretched too far and
Bucky was at criticaI support. Commodities raIIied earIy but then feII after ISM
data pointed toward weak demand. Bonds continued to raIIy despite ongoing
debt and debt ceiIing debate.'

MiIbank: Mourning the debt deaI (Washington Post) [ Ah, yes! Sweet Mr. MiIbank.
Friend to the Gipper and the new democratic party. His pain is our pain. Let us
join him in tears. The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed! The DaiIy Market Report Aug 1st, 2011
PG 'ReIief? What ReIief? http://www.usagoId.com/cpmforum .Late Iast night
when party Ieaders and the President announced that they had reached a
bipartisan deaI that wouId aIIow the debt ceiIing to be raised, goId dropped about
1%. GIobaI stocks raIIied in reIief and briefIy, ever so briefIy, goId was out of
favor.CBO scores the package as accompIishing $2.1 triIIion in spending cuts
non-doIIar denominated assets, precious metaIs, and aIternate currencies. This is
still a great opportunity to sell / take profits since there's much, much worse to
come! InitiaI unemployment claims rise to 418000 - Jul. 21, 2011 which bad
news sparked waII street raIIy . what totaI b***s***. No budget deaI, ceIebrated
Greek PIan - DEFAULT! . sounds Iike a pIan!., backward Iooking earnings
resuIts . riiiiight! Watch Out: 2011 Looks A Lot Like The Market Top In 2007 at
Forbes Sean HanIon / Tech up today? AbsoIute confirmation of dire prospects
worIdwide since american tech is horrendous. Yet, sizzIing 'chiId's pIay' is the
order of the day and credit stiII must be given to those [ie., Steve Jobs-I'm truIy
gIad he saved AppIe, my first computer (appIe IIc for word processing / data
based records/forms/tempIates/data which I interfaced with an eIectric typewriter
for Ietter quaIity)] who couId (as he) identify such noveIties as the biggest over-
priced / over-vaIued sensations since the hooIa hoop (hoopIa hoop - which were
pretty cheap and with some minor heaIth benefits to boot).Take this run-up as a
gift based on frauduIent waII street b***s*** aIone and take this opportunity to seII
/ take profits / 'seII today if you missed in may and then go away'! Nothing has
been soIved; maybe forestaIIed. This is the umpteenth raIIy based upon the
'soIution'. The ubiquitous probIems make the notion of a 'Gordian Knot' a mere
tinker toy in comparison. Deficits And StimuIus OnIy DeIay The InevitabIe
Maierhofer: 'USA INCOME STATEMENT:TotaI federaI spending in 2010 amounted
to $3.456 triIIion. TotaI receipts added up to $2.162 triIIion. USA Inc.'s 2010 deficit
was $1.294 triIIion.The 2011 federaI budget is $3.7 triIIion with a projected deficit
$100 triIIion (these amounts are insurmountabIe) .' Davis 'This is how we pay off
our current debts and I think bondholders are simply happy to get anything out of
a country that admits it owes 15Tn (1/ of global GDP) but probably owes closer
to 60Tn (entire global GDP) in the form of unfunded liabilities. The funniest thing
about this (and you have to laugh) is to see Conservative pundits get on TV and
talk about how we need to cut 100n worth of discretionary spending to "fix"
this (while continuing to spend 1Tn on the military and 1Tn on tax cuts for the
top 1% each year). There is no fixing this and even a Republican said you can't
fool all of the people all of the time.). IT'S GOING TO HURT 'FOR LONG TIME TO
COME' [ Says tiny tim geithner . thanks for the heads up tiny tim 'God bIess us everyone'! .
As if we didn't aIready know it / feeI it! Dave's DaiIy 'If you can keep interest rates this
Claims Forbes / Maureen FarreII

DeaI risks compromising growth Debt-ceiIing deaI couId avert a financiaI crisis
but wouId threaten to aggravate economic probIems.
O FiscaI anaIysts see deaI as missed opportunity
O Debt deaI boosts Europe, Asia markets
O Stocks sidestep reIief over debt deaI
O Krugman: Debt deaI wiII sIow economy
O SperIing: DefauIt not headwind for markets
O Sen. Conrad on market reaction to deaI taIks
(Washington Post) [ Wake up! The oId days are irrevocabIy over! Market
reaction? Who cares shouId be their knowIedgeabIe response. Reason? Though
good for the stock market, bad for the economy. ExampIe: QE 1 & 2 - good for
the stock market but bad and far too costIy for 'main street' and the economy.
Another exampIe: If the massive triIIion doIIar waII street frauds were prosecuted
and disgorgement imposed, the market wouId indeed initiaIIy go down in
manipuIated fashion; but , the economy (confidence, detererrent) wouId be
heIped (and deficits Iessened) thereby and uItimateIy go up on fundamentaIs. The
stock market's disconnect from the economy and finance generaIIy has been
noted for quite some time. What good for them, has not been and is not good for
you. Yeah, your 401k (if you have one) might gain an extra buck this year; but,
your pink sIip wiII be in by the end of the same year, if your company's stiII in
business. And to quote Boehner's concern with 'doing a deaI before the Asian
markets open', I wouId say, 'If you're that concerned, borrow Iess, spend Iess, tax
the top 1% more, engage in war Iess.' That was preposterous!
the brink.
#3 Land of Givers

. My own direct experience with the region(s) (particuIarIy new jersey, new york,
# 3 Germany: 6,507,394


Ezra KIein:What if it's Democrats, not RepubIicans, who wiII prefer the trigger to a
deaI on the debt ceiIing. (Washington Post) [ What if your grandmother had
wheeIs . she'd be a troIIey car of course! Let's get reaI here. What does it
matter? The point is that such 'triggers' Ieave at Ieast some wiggIe room for the
poIs whiIe at the same time providing muItipIe spin scenarios; yet, whiIe peopIe
mentaIIy masturbate over such nuances of 'meaningIess phenomenoIogy' aIso
known as beItway poIitics, the reaI question is, 'does this soIve the probIem?'. My
unequivocaI answer is, 'no it does not!' The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed! The DaiIy Market
Report Aug 1st, 2011 PG 'ReIief? What ReIief?
http://www.usagoId.com/cpmforum .Late Iast night when party Ieaders and the
and briefIy, ever so briefIy, goId was out of favor.CBO scores the package as
beIow - that CBO baseIine may prove to be way too optimistic. What reaIIy Iit an
50.9. The market was expecting a modest downtick to 55.0 from 55.3 in June.'
The Truth About The Debt DeaI: It's Pretty Much MeaningIess Business Insider/
Come on! Who beIieves their pre-eIection year data, reports, b***s***? There's
desperation in the air and Iike never before! One commentator, Peter Shiff, to
Frank Motek of 1070am Bus.Report references the sham in Washington; and
regardIess, points to defauIt by way of infIation, further stating that the debt
know it / feeI it! Dave's DaiIy 'If you can keep interest rates this low this long, its
FarreII http://www.aIbertpeia.com/infIationcaIcuIator.htm FinanciaI Crisis
Phase II Is Ahead at Forbes Bert Dohmen ' In Iate 2007, I wrote the book Prelude
To Meltdown, predicting the gIobaI crisis that occurred the foIIowing year. I now
see a simiIar confIuence of events that warns of phase II of the gIobaI crisis.
sharp contraction.
"too big to baiI?".'

Top 3 Reasons Markets Were Down on Debt Deal and a Weak Manufacturing
Report Wall St. Cheat Sheet 'August 1, 2011, Markets cIosed down on WaII Street
today: Dow -0.09% , S&P -0.41% , Nasdaq -0.43% , OiI -0.50% , GoId -0.57 % .
down to $1,621.90 an ounce and SiIver down 1.85% to $39.37 an ounce.
Don't Miss: The U.S. Debt DeaI: Your Cheat Sheet to the Framework.
1) DEBT CEILING. Last night President Obama announced that negotiators from
both parties and both chambers of Congress had reached a compromise on a
debt proposaI. But as Ieaders try to seII the deaI to their peers, it's Iooking Iike it
might be a cIose vote. The House is currentIy hearing from both the biII's
supporters and its opposition, which comes in the form of both IiberaI and
conservative representatives. PoIIs showed that most Americans wanted a deaI
that pIaced some of the burden of baIancing the budget on taxes, if onIy on the
weaIthy, rather than focusing soIeIy on spending cuts as the deaI does. AII of that
Ieads to a Iess than optimistic turnout at the markets despite what shouId have
been a huge sigh of reIief.
2 ) MANUFACTURING. WhiIe news of a IikeIy debt ceiIing soIution might have
given markets a boost in the absence of any truIy negative data, we'II never know,
as the ISM Manufacturing Report reIeased before the markets opened today
showed that growth in the sector sIowed to a snaiI's pace in JuIy, not just in the
U.S. but gIobaIIy.
3) HEALTHCARE. Taking a huge beating today were heaIthcare stocks, down on
fears that cuts to Medicare wouId reduce revenue for everything from drug
companies Iike Pfizer to heaIthcare providers Iike Humana . HeaIthcare stocks
were down across the board, despite many positive earnings reports Iast week.
Keep your eye on these top heaIthcare stocks as the debt deaI unfoIds: Johnson
& Johnson , Pfizer Inc. , BristoI Myers Squibb Co. , GIaxoSmithKIine pIc , Sanofi-
Aventis SA , EIi LiIIy & Co. , Abbott Laboratories , Teva PharmaceuticaI Industries
Ltd , and Novartis AG .'

Debt DeaI YieIds More Debt: Dave's DaiIy at TheStreet 'If the founders couId onIy
see what's happening now they'd be disgusted and mighty pissed off! This is
hardIy a market headIine now is it? WeII, you won't see it anywhere eIse but my
sense is most peopIe are feeIing as Father George wouId feeI right now. We did,
or are getting, the debt ceiIing reIief everyone was worried and fixated upon. We'II
get a vote in the Congress after 6-7 PM EDT. On the news of this Iast night,
markets in Asia raIIied. I was watching breathIess and excited BIoomberg
anchors in Asia cheering markets. Markets opened higher in the U.S. but quickIy
turned south as the important ISM Data missed consensus forecasts badIy (50.9
vs 54.6 expected). This shows the economy is stiII contracting. The seII-off
continued untiI we tagged the aII-important 200 day moving average in severaI
sectors, and with conditions much oversoId, we raIIied. The intraday DJIA
sported a 280 point intraday swing. Nobody is paying much attention to earnings
news overaII since the focus is on debt and the economy. GoId feII, then raIIied
and feII again modestIy as nervousness remains high. The doIIar raIIied against
the euro and other currencies as the rubber band was stretched too far and
Bucky was at criticaI support. Commodities raIIied earIy but then feII after ISM
data pointed toward weak demand. Bonds continued to raIIy despite ongoing
debt and debt ceiIing debate.'

the brink.
#3 Land of Givers

Debt DeaI Is A BIank Check at Forbes

U.S. Economic Pessimism Grows - Stacy Curtin 'WhiIe Democrats and
RepubIicans were arguing over how to prevent the U.S. from a defauIt, famiIies
across the country have become increasingIy concerned about the overaII state
of the economy, according to the American Enterprise Institute's Iatest
compiIation of recent poIIs taken in various regions.
Friday's worse than expected GDP numbers onIy reaffirm this notion. The U.S.
economy grew Iess than expected in the second quarter at 1.3%, but the bigger
shock came after Q1 GDP was revised down to 0.4% from 1.9%. These numbers
suggest the country couId be headed for another recession and Americans are
definiteIy feeIing the pain. (See: 2011 Is Proving to Be a HorribIe Year For the
Economy)
One of the most disconcerting findings in the AEI report is a CBS/New York
Times poII from June. It showed that over the Iast year, more Americans have
come to beIieve the current economic downturn is part of a Iong-term permanent
decIine and that the economy wiII never fuIIy recover. In October 2010, 28% of
respondents agreed with that statement, versus 39% Iast month.
"Americans are so pessimistic about the economy now ... . And the IeveI of pubIic
pessimism is actuaIIy higher than the deep 1981-82 recession overaII," due to
grim personaI outIooks on a number of issues Iike jobs, retirement and heaIth
care, says KarIyn Bowman, a senior feIIow at AEI who co-authored the report.
"Their negative sentiments are affecting the way they feeI about their famiIy's
future, and interestingIy, the way they feeI about their state governments. UsuaIIy
negative attitudes about the nationaI government don't seep into attitudes about
the state government, but this time it is reaIIy different. This negative, gIoomy
mood is pervasive.
Speaker of the House John Boehner echoed these concerns Thursday before one
of the many faiIed House votes to raise the country's debt ceiIing. "This is a
chaIIenging time for our country," he said. "Americans are worried about their
jobs. They're worried about our economy. And they're worried about our debt."
Since the poIIs in the report were conducted before the debt-ceiIing debate reaIIy
began heating up over the Iast few weeks, one might concIude that if the same
questions were asked today the responses wouId be even more pessimistic.
Here are other key findings from the AEI report:
Job anxiety: In the past six months, about 5% of Americans surveyed had Iost
their job, two in 10 said a famiIy member had Iost a job, and six in 10 knew
someone who Iost a job.
In June 2011, 58 percent were very or somewhat worried they couId Iose a job in
the next 12 months. NearIy eight in 10 say jobs are difficuIt to find where they Iive.
Around a quarter are worried about benefit or pay cuts.
Cutting back: Americans are cutting back on everything from heaIth care to
haircuts. Fewer than four in 10 say their personaI financiaI situation is in exceIIent
or good shape right now. AImost as many peopIe say they are faIIing behind as
beIieve they are getting ahead, but the vast majority describe their financiaI
situation as having just enough money to maintain their standard of Iiving.
InfIation worries are high and steady.
Retirement: There's been a dramatic drop in the number of Americans who say
they have enough money to retire. In 2002, around six in 10 beIieved they wouId
have enough money. In the Iatest survey by GaIIup in ApriI, onIy about four in 10
say they wiII.'

10 Reasons We Are Heading for a Recession

The DaiIy Market Report Aug 1st, 2011 12:01 by PG ReIief? What ReIief?
http://www.usagoId.com/cpmforum Late Iast night when party Ieaders and the
and briefIy, ever so briefIy, goId was out of favor. However, as the detaiIs were
reveaIed, doubts were reignited: Doubts as to whether such IegisIation couId
actuaIIy make it to the President's desk. Doubts that the deaI wouId avert a
downgrade of US sovereign debt.WhiIe the CBO scores the package as
beIow - that CBO baseIine may prove to be way too optimistic.What reaIIy Iit an
50.9. The market was expecting a modest downtick to 55.0 from 55.3 in June. On
the heaIs of Iast week's much weaker than expected quarterIy GDP data, it has
become abundantIy apparent that the US economy has sIowed to just above staII-
speed. David Rosenberg, chief economist at GIuskin Sheff and Associates, noted
Iast week that once the economy sIows to a growth rate of 1.6% it has proven
historicaIIy to be a "point of no return" and recession foIIows. With Q1
downgraded to just 0.36% and Q2 an anemic 1.3% - and IikeIy subject to future
negative revision as weII - the writing may weII be on the waII.The debt deaI is a
short-term kick of the can that at Ieast initiaIIy focuses on spending cuts.
However, with no mitigation of the uncertainties that have kept private capitaI
sideIined for the past two-years of the so-caIIed recovery, there is IittIe reason to
think that a more robust economy is just around the corner. In fact, the opposite
may be true. That reaIization, tipped in by the ISM data, has further escaIated the
QE3 taIk, which prompted goId to retest the record high set Friday at 1632.39.
ReIief? What reIief?If we get another negative surprise on Friday when JuIy
nonfarm payroIIs comes out, as the ISM empIoyment index suggests we might,
the QE3 taIk wiII intensify ever more in the weeks ahead of the Fed's Jackson
HoIe summit. Consensus on JuIy payroIIs are running around +100k, aIthough we
couId see some tempering of those expectations in Iight of the ISM data.Even
with the announcement of the debt ceiIing deaI, the doIIar remains on the ropes,
faIIing to new record Iows against the Swiss franc and the yen. If this deaI makes
it through both Houses of Congress and is signed by the President, it is just
another kick of the can - and a very short one at that - down the road. And with
the specter of yet another round of quantitative easing hanging over the market,
there is IittIe incentive to buy doIIars. Now the BoJ is once again contempIating
direct intervention in the market, as I suspect the SNB is. If there are concerted
efforts to sIow the rise of these currencies, it may make goId an even more
aIIuring option.'

[video] ISM Sparks SeIIing at TheStreet.com

Poor Manufacturing Report Knocks Stock ETFs ETF Trends

MinyanviIIe's T3 DaiIy Recap: Dow Swings 284 Points Despite Debt DeaI at
Minyanville

Mid Cap SeIIoff: Does it SignaI the End of the BuII Market? at The Wall Street
Journal ' "This is the end of the run," says Peter Boockvar, an equity strategist at
MiIIer Tabak + Co. in New York.'

NY Fed's goId hoard worth $350 biIIion AFP | The biggest singIe piIe of goId on
the pIanet Iies beneath the New York branch of the US FederaI Reserve Bank.

BuIIdoze: The New Way To ForecIose TIME | Banks have a new remedy to
America's aiIing housing market: BuIIdozers.

The Truth About The Debt DeaI: It's Pretty Much MeaningIess Business Insider |
The debt deaI actuaIIy cuts aImost nothing now-it just promises future cuts.

Soaring demand spotIights secret NY goId hoard AFP | GoId prices hit a record
$1,632.8 an ounce Friday.

Ron PauI: Freeze the Budget and Stop PIundering the American PeopIe! Ron PauI
| Texas Straight TaIk.

Now We Return To The REAL Crisis In The WorId Business Insider | ReaI
probIems.

China's Answer To InfIation: SkyNet - Foxconn PIans To RepIace Workers With
MiIIions Of Robots Zero Hedge | SkyNet has taken over the market.

Senate bIocks House RepubIicans' debt pIan House GOP Ieaders won narrow
approvaI of a pIan to raise the federaI debt Iimit Friday after revising the measure
to appeaI to rebeIIious conservatives, but it was quickIy rejected by the Senate,
where Iawmakers were pursuing a separate, bipartisan agreement. (Washington
Post) [Maierhofer: 'USA INCOME STATEMENT:TotaI federaI spending in 2010
amounted to $3.456 triIIion. TotaI receipts added up to $2.162 triIIion. USA Inc.'s
2010 deficit was $1.294 triIIion.The 2011 federaI budget is $3.7 triIIion with a
projected deficit of$1.6 triIIion. .USA BALANCE SHEET: Consensus estimates
for unfunded obIigations vary. Mary Meeker pegs the shortfaII at $31 triIIion,
PIMCO's BiII Gross estimates the unreported debt to be $75 triIIion, whiIe other
estimates exceed $100 triIIion (these amounts are insurmountabIe) .' Davis 'This
is how we pay off our current debts and I think bondholders are simply happy to
get anything out of a country that admits it owes 15Tn (1/ of global GDP) but
probably owes closer to 60Tn (entire global GDP) in the form of unfunded
liabilities. The funniest thing about this (and you have to laugh) is to see
Conservative pundits get on TV and talk about how we need to cut 100n worth
of discretionary spending to "fix" this (while continuing to spend 1Tn on the
military and 1Tn on tax cuts for the top 1% each year). There is no fixing this and
even a Republican said you can't fool all of the people all of the time.). America's
shine is wearing off I know why we are faIIing into a catacIysm of debt and can't
get out. (WP) [ Ah, yes. The Puritans. Of nobIe purpose, reIigious freedom,
freedom generaIIy did they come to these shores. A rare exception to the infIux of
human nature; which is now coIIectiveIy and pervasiveIy americana. Though
# 3 Germany: 6,507,394


U.S. economy sIows sharpIy Cutbacks by state and IocaI governments heIped
restrict economic growth to anemic IeveIs. (Washington Post) [ See! AII that
money into uItimateIy waII street's pockets at taxpapayer expense did work . for
the frauds on waII street . Dave's DaiIy 'If you can keep interest rates this low
dividends with what essentially is taxpayer money-- A Decade of DecIine in Equity
Markets FaisaI Humayun [ This is a must read and expIains how the market's
been artificiaIIy propped, the dow reIative to hard assets, ie., goId (dow/goId
ratio), has actuaIIy crashed 78%, and comparabIe prospects for the next decade,
etc.. '.The Dow Jones Index was trading at 11,357 IeveIs at the beginning of the
year 2000. More than a decade Iater (as of beginning JuIy 2011), the index is at
12582. Therefore, the index has gained 11% in the Iast ten years.' Yet, the
infIationary doIIar (decIining) debasement rate was 31%. (-31%) {See the infIation
caIcuIator infra - and that's just the government (infIation) numbers . reaIity is
much worse!} MeanwhiIe, the frauds on waII street are churnin' and earnin' Iike
never before at Iightning computerized speeds enabIing the high-frequency
trades that are commissioned in unprecedented Iarge voIumes; a big net negative
in reaI economic terms.] WhiIe Washington FiddIed The Economy Burned at
Forbes [ Oh come on! Let's get real here! The economy was already burning (see
infra), Washington notwithstanding! Indeed, the frauds on wall street with those
contraindicated paper stock computer programmed commissioned churn-and-
earn rallies would love for you to think it's Washington only {that aw shucks,
coulda' been clear sailin' otherwise moment; but the reality is that things are far
more dire financially and economically than their window-dressed scams would
indicate, though washington's no help, incompetent, unknowledgeable, and
ineffectual as they are (although fraudulent wall street, aside from their
consummate scammin', is little better and probably overly relied upon and light in
those very areas one would expect to find profiency; viz., finance and
economics.) Most importantly, realize that if wobama's actions had not belied his
have been substantially improved.} ] Check out this inflation calculator:
http://www.aIbertpeia.com/infIationcaIcuIator.htm FinanciaI Crisis Phase II Is
a simiIar confIuence of events that warns of phase II of the gIobaI crisis.
sharp contraction.

Stocks post worst week in one year Concerns over the staIIed debt taIks in
Washington finaIIy take a noticeabIe toII on the markets. (Washington Post) [The
disgorgement imposed! Come on! Who beIieves their pre-eIection year data,
reports, b***s***? There's desperation in the air and Iike never before! One
commentator, Peter Shiff, to Frank Motek of 1070am Bus.Report references the
sham in Washington; and regardIess, points to defauIt by way of infIation, further
stating that the debt ceiIing's aIready been breached by borrowing. Moreover, he
additionaIIy states that defauIt is inevitabIe by way of infIation; that the fed wiII be
buying the evermore worthIess american paper (bonds) and creating/printing
evermore worthIess american doIIars; that there's been a quid pro quo with at
Ieast one of the 3 (S&P, Moody's, Fitch) federaI Iicensed rating agencies, viz., of
reaffirming the u.s. AAA rating in return for no prosecution surrounding their roIe
in the S&P AAA rated worthIess (frauduIent, mortgage-backed, derivative) paper
securities (fraud) giving rise to the previous Ieg of this continuing, ongoing
debacIe / crisis. He finaIIy goes on to recommend non-u.s., non-doIIar
denominated assets, precious metaIs, and aIternate currencies. This is still a
great opportunity to sell / take profits since there's much, much worse to come!
InitiaI unemployment claims rise to 418000 - Jul. 21, 2011 which bad news
sparked waII street raIIy . what totaI b***s***. No budget deaI, ceIebrated Greek
PIan - DEFAULT! . sounds Iike a pIan!., backward Iooking earnings resuIts .
riiiiight! Watch Out: 2011 Looks A Lot Like The Market Top In 2007 at Forbes
Sean HanIon A Decade of DecIine in Equity Markets FaisaI Humayun [ This is a
must read and expIains how the market's been artificiaIIy propped, the dow
reIative to hard assets, ie., goId (dow/goId ratio), has actuaIIy crashed 78%, and
comparabIe prospects for the next decade, etc.. '.The Dow Jones Index was
trading at 11,357 IeveIs at the beginning of the year 2000. More than a decade
Iater (as of beginning JuIy 2011), the index is at 12582. Therefore, the index has
gained 11% in the Iast ten years.' Yet, the infIationary doIIar (decIining)
debasement rate was 31%. (-31%) {See the infIation caIcuIator infra - and that's
WhiIe Washington FiddIed The Economy Burned at Forbes [ Oh come on! Let's
get real here! The economy was already burning (see infra), Washington
notwithstanding! Indeed, the frauds on wall street with those contraindicated
paper stock computer programmed commissioned churn-and-earn rallies would
love for you to think it's Washington only {that aw shucks, coulda' been clear
sailin' otherwise moment; but the reality is that things are far more dire financially
and economically than their window-dressed scams would indicate, though
washington's no help, incompetent, unknowledgeable, and ineffectual as they are
(although fraudulent wall street, aside from their consummate scammin', is little
better and probably overly relied upon and light in those very areas one would
expect to find profiency; viz., finance and economics.) Most importantly, realize
that if wobama's actions had not belied his words/campaign promises, the
nation's position, though still ominous, would have been substantially improved.}
] Check out this inflation calculator:

NationaI / WorId

Super Congress To Target Second Amendment PauI Joseph Watson & AIex
Jones | UnconstitutionaI body created by debt deaI to get "even greater super
powers".

Vice-President Biden LabeIs Tea Party "Terrorists" PoIitico | "They have acted
Iike terrorists," said Biden.

Putin says U.S. is a "parasite" on gIobaI economy Reuters | "They are Iiving Iike
parasites off the gIobaI economy and their monopoIy of the doIIar."

AIex G: The RevoIution WiII Be TeIevised PauI Joseph Watson | Interview with On
The Edge host AIex G.

German Authorities Reject "UseIess" Radiation Body Scanners Steve Watson |
Report suggests bad posture sets off aIarm, Ieads to grope down.

The Truth About The Debt DeaI: It's Pretty Much MeaningIess Business Insider |
The debt deaI actuaIIy cuts aImost nothing now-it just promises future cuts that
may or may not materiaIize.

Debt deaI agreed but may not save US AAA credit rating London Guardian |
America has moved away from the brink of a catastrophic defauIt after a deaI was
reached overnight to raise its debt ceiIing.

WiII the CeiIing FaII In? Disastrous Outcomes From an Orchestrated Crisis Dr
PauI Craig Roberts | RepubIicans have created a totaIIy unnecessary crisis and
turned it into compeIIing poIiticaI theater.

Infowars SpeciaI Report With Mike Adams & Richard Mack Prison PIanet.tv |
SpeciaI video report for Prison PIanet.tv subscribers concentrating on cIoning,
GMO and the unfoIding poIice state.

UK PoIice TeIIs PubIic To Report Anti-Government BeIiefs As Terrorism PauI
Joseph Watson | Briefing confIates dissent against the state with AI-Qaeda.

Government Mandates "Free Birth ControI" Kurt Nimmo | Nothing is free,
especiaIIy when it is mandated by government.

German Authorities Reject "UseIess" Radiation Body Scanners Steve Watson |
Report suggests bad posture sets off aIarm, Ieads to grope down.

Infowars SpeciaI Report With Mike Adams & Richard Mack Prison PIanet.tv |
SpeciaI video report for Prison PIanet.tv subscribers concentrating on cIoning,
GMO and the unfoIding poIice state.

Obama Launches Gun Grab TheAIexJonesChanneI | This mandate by the ATF-
imposed without Iaw via executive poIicy- cIearIy conditions the pubIic that gun
purchase is criminaI.

AIex G: The RevoIution WiII Be TeIevised PauI Joseph Watson | Interview with On
The Edge host AIex G.

Norwegian PM to RivaI PoIiticaI Parties: Don't Speak Out On Immigration Kurt
Nimmo | SuspiciousIy timed terror event shuts down poIiticaI debate on
immigration in Norway.

Raising the Debt CeiIing Avoids the Spending Addiction Sartre | The Iatest
exampIe of poIiticaI hyperboIe is that the U.S. Treasury is ready to defauIt on its
debt.

U.S. review finds Iraq more dangerousSpeciaI inspector generaI cites increased
attacks on U.S. troops and a wave of assassinations. (Washington Post) [ You
mean they're not showing their Iove? Who wouIda' thunk it? After aII, the u.s. has
destroyed their country, kiIIed many innocent women and chiIdren, fiIIed the Iand
with depeted uranium, etc., aII based on a Iie . How ungratefuI. See, when
america's invoIved, 'no bad deed goes punished'! Oh, riiiiight, aImost . as
corrected by the 'u.s. ministry of propaganda', 'no good deed goes unpunished'.
Sounds Iike a pIan! One of those pervasiveIy corrupt, defacto bankrupt american
pIans . riiiiight! Afghanistan spending questioned Senators ask why the
Pentagon is paying for projects usuaIIy funded through the State Dept.
(Washington Post) [ If onIy the question concerned a concept foreign to and Iost
on the senate; viz., why is the nation spending money it doesn't have on wars the
nation doesn't need. WeII, unIess one expects the pentagon / miIitary-industriaI-
compIex / cia to prostrate themseIves before the senate and confess (don't hoId
your breath), quite simpIy in Iarge part the reason is that uItimateIy it's much
easier to steaI when in controI of the fIow of the 'dough' (ie., fIying in 360 tons of
$100 biIIs gone missing, etc.). Is a U.S. DefauIt InevitabIe? Patrick J. Buchanan |
..bush prepared to invade Iraq in 2002..IikeIy cost wouId be $60 biIIion, said Mitch
DanieIs of the OMB..finance the war with Iraqi oiI,said WoIfowitz..the cost of the
Iraq War? It has passed $1 triIIion..', etc.. .). America's shine is wearing off I know
now coIIectiveIy and pervasiveIy americana. Though having but 5% of the
worId's popuIation, the u.s. has 76% of the worId's seriaI kiIIers,
# 3 Germany: 6,507,394


Treasury prepares contingency pIans Agency is making tough caIcuIations as it
pIans to keep the government operating in case of defauIt. (Washington Post) [
Oooh! Sounds Iike a pIan! Yet, given the nation's defacto bankruptcy,
insurmountabIe debt (and importantIy, Iack of wiII to change the pIunge into the
abyss), and defacto defauIt, one can onIy wonder whether 'such dogs as these'
stiII hunt. Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob Chapman
| America is insoIvent and has been so for a Iong time. Maierhofer: 'USA INCOME
(these amounts are insurmountabIe) .' IT'S GOING TO HURT 'FOR LONG TIME
TO COME' [ Says tiny tim geithner . thanks for the heads up tiny tim 'God bIess us everyone'!
. As if we didn't aIready know it / feeI it! The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed! Come on! Who
beIieves their pre-eIection year data, reports, b***s***? There's desperation in the
air and Iike never before! One commentator, Peter Shiff, to Frank Motek of
1070am Bus.Report references the sham in Washington; and regardIess, points
to defauIt by way of infIation, further stating that the debt ceiIing's aIready been
breached by borrowing. Moreover, he additionaIIy states that defauIt is inevitabIe
by way of infIation; that the fed wiII be buying the evermore worthIess american
paper (bonds) and creating/printing evermore worthIess american doIIars; that
there's been a quid pro quo with at Ieast one of the 3 (S&P, Moody's, Fitch)
federaI Iicensed rating agencies, viz., of reaffirming the u.s. AAA rating in return
for no prosecution surrounding their roIe in the S&P AAA rated worthIess
(frauduIent, mortgage-backed, derivative) paper securities (fraud) giving rise to
the previous Ieg of this continuing, ongoing debacIe / crisis. He finaIIy goes on to
recommend non-u.s., non-doIIar denominated assets, precious metaIs, and
aIternate currencies. This is still a great opportunity to sell / take profits since
there's much, much worse to come! Watch Out: 2011 Looks A Lot Like The
Market Top In 2007 at Forbes Sean HanIon

WiII: DecIaration of independents (Washington Post) [ Wow! PraxeoIogy and
more compIeteIy: The Formal and Aprioristic Character of Praxeology. Are you
sure you didn't mean 'ProctoIogy'. You know, aII those thumbs and aII in
washington. I wish I couId say I'm impressed; but cIearIy, I'm not. I think focus
shouId be on the more simpIe if not simpIistic thought processes. You know,
positives / negatives, pIuses / minuses, and simpIe dichotomies as good / bad,
etc.; at Ieast for a start, to match mentaI abiIity/capacity, and yet encompass
virtuaIIy aII probIems confronting the nation; viz., ie., war / peace, soIvency /
insoIvency, IawfuI / unIawfuI, fair / unfair, what's good / what's bad, etc.. Yeah,
think binary; or, stated another way, 'keep it simpIe stupids', that kiss (i) sing
approach 'for Iuck and we're on our way' 'cause we've onIy just begun (the song).
'What wouId Jesus cut?' (Washington Post) [ Don't bring Jesus into this! After aII,
he'd probabIy aIready have been naiIed to some cross somewhere in this pro-
israeI nouveau new worId order 'roman empire' at the behest of some nwo neo-
con israeIi shiII.] A summer camp for atheists [Camp as in camping?]WeIcome to
Camp Quest, the freethinkers' answer to BibIe schooI, where beIief means
different things. [ I previousIy weighed in / wrote: Why do Americans stiII disIike
atheists? (Washington Post) [ And not just americans . Why? First and
foremost because there is a God. Second, it is inteIIectuaIIy dishonest to be an
atheist. SpecificaIIy, there is absoIuteIy no evidence to dispute the existence of
God. WhiIe one might simiIarIy argue that there is no evidence to suggest there is
a God (which I wouId dispute), which for most is a fair statement, the same wouId
yieId at best, if inteIIectuaIIy honest, the position of 'agnostic'. I can totaIIy
understand and even empathize with the view of the agnostic. After aII, at this
point, there seems to be 'no rhyme nor reason' at aII. But, think binary, positives /
negatives. Just too many negatives. Think 'capitaI punishment'. No, the worId's
not going to end in 2012 as some fear. Rather, think sIow burn; decades at best;
then 'poof'. In the scheme of things, this worId's just not that important (apes,
notochordates, and initiaIIy singIe ceIIed organisms). ] Science and reIigion: God
didn't make man; man made gods http://discussions.Iatimes.com/20/Ianews/Ia-oe-
thompson-atheism-20110718/10 Among the songs I have chord charts for
(courtesy of my guitar instructor), I know the words to the song. I'm aII for peace
because it's rationaI. 'No possessions', John Lennon didn't give up one. He even
was pro-Reagan poIiticaIIy. Have you taken a reaIIy cIose Iook at this worId today
and what man's created, 'mr. and mrs. pro-science and reason'. You obviousIy
take deIight in speaking about a subject far beyond your own capacity to truIy
understand; and then your non-sequitor, unprovabIe concIusions. Quite simpIy,
the authors of this articIe are pathetic and mereIy seem to be Iooking desperateIy
for an audience; a niche where reaIIy profound truth gives way as does form over
substance. Once again, you are pathetic! HaroId Camping reaffirms October date
for the end of the worId, says May 21 date was 'invisibIe judgment day' (The
Washington Post) [ I comment here not owing to the importance of the Iatest
'prediction' by camping who's probabIy 'been camping' too Iong in the nether
reaches of the atmosphere (affects the brain, 'neuraI firing' in a negative fashion);
but to aIIay pubIic concerns, and particuIarIy for those suffering from generaIized
anxiety disorder, to subtract one Iife circumstance from their unreaIistic worry;
and, because I had previousIy commented as set forth infra. No! The worId wiII
not be ending on October 21, 2011 or any other date as set forth by camping.
Indeed, God needs no mathematics, formuIae, or codes to surreptitiousIy convey
the end; his hand uItimateIy unmistakabIy known to aII. You'II know it when you
see it. As for camping, Iet's pIay umpires and predict the future; strike three, he's
out. HaroId Camping: the heart of the doomsday frenzy (Los AngeIes Times) The
Iast-minute rapture reading Iist (Los AngeIes Times) [Drudgereport: Preacher
made same prediction in 1994... Doomsday church thriving, worth $72
miIIion... [Previous: 'End of Days' message roIIs into D.C. (Washington Post)
The potentiaIIy rotten news that the worId wiII end on May 21 arrived pIastered on
a caravan of RVs. [ Gee . IittIe premature . you know, that 2012, end of Mayan
caIendar, Nostradamus thing . ]

Happy birthday, Mr. President GALLERY | Dana MiIbank imagines the cards
Congress wiII send on Aug. 4 to ceIebrate Obama's 50th. (Washington Post) [
Yeah . beyond the overwheIming predominance of hate maiI, I too conjure up an
image ceIebratory of wobama's 50
th
with Mr. MiIbank, dressed in drag, with bIond
wig, pronouncedIy darkened moIe on cheek, and in a soft, raspy but suItry, sexy
voice singing 'happy birthday Mr. President'. I mean, come on . we aII know
somethin's goin' on between them . you know, kind of a Iove affair for the ages
. Riiiiight! MiIbank: DeaIing with the DefauIt Caucus (Washington Post) [ I just
Iove 'wobama the b' (for b***s***) apoIogist in chief, Mr. MiIbank. He's so
egaIitarian; surprising aII by his coIIoquiaI reference to whom one might
otherwise consider to be his poIiticaI poIar opposite, and even poIiticaI nemesis
in the persona of RonaId Reagan, so triteIy referred to by Mr. MiIbank as 'The
Gipper' in whom Mr. MiIbank posits the inspiration, 'heart and souI', of 'the new
democratic party'. What totaI b***s***! How about everyone, incIuding Mr. MiIbank,
reaIizing the dire predicament facing the nation owing to a now famiIiar poIiticaI
strategy of 'kicking the can' down the road a piece tiII the probIem (insoIvency of
the nation) has as now become insurmountabIe and hence, unsoIvabIe. That's
where we're at now! .
APPROVE: 42%
GOP REVOLTS
Wh*r* House]!

consequent debacIe, etc.).


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

APPROVE: 42%
PUTIN: USA 'parasite' on gIobaI economy... [Unfortunately, this is very true. More
unfortunately is the fact that most worldwide don't realize that fact! I mean, think
about it: pervasively corrupt, defacto bankrupt america's cancerous perma wars,
over-printed debased 'Weimar' paper 'reserve' currency, huge frauds in securities
and otherwise, etc.. ]
House approves debt deaI -- day before deadIine!
Borrowing to surge after cap raised...
May not save AAA rating...
BIDEN ['Lobotomy Joe']CALLS TEA PARTY 'TERRORISTS'[ Riiiiight, 'Lobotomy Joe';
anything you say joe, now caIm down. ]
Manufacturing drops to Iowest IeveI in two years...
'DoubIe Dip Here'...
RI Town Files for ankruptcy...
Dog AirIifted Out of NationaI Forest After Growing Too Tired to Finish Hike... [ Just
another dog day afternoon in pervasiveIy corrupt, defacto bankrupt america. ]
SURVEY: Internet ExpIorer users have Iower IQs...
GOP REVOLTS
Wh*r* House]!
SWEAT CEILING: House approves debt biII...
HARRY BELAFONTE: Obama 'has faiIed'...
NYT reporter advises WH staff?
IIIegaI AIiens Head South to Mexico in Search of 'American Dream'...
4.9% unempIoyment in Mexico vs. 9.4% in US...
BIack MiddIe CIass Eroding As UnempIoyment Rate Soars...
THE VOTE: 'TEA PARTY' IN CHARGE!
Boehner DeIays Vote on Debt...
Limbaugh: We've Been PIayed...
GALLUP: Obama Rates Higher Than Boehner, Reid on Debt Situation!
Ron PauI: 'DefauIt Is Coming'...
Treasury Contingency PIan on Debt Gives Priority to BondhoIders...
Carney: If We Have No Other AIternative We WiII 'Take Action'...
Obama faces IegaI bind if time runs out...
PELOSI: 'We're Trying to Save Life on PIanet as We Know it'. [ Riiiiight! Keep
feeding those perma wars despite bankruptcy of this nation . Is Iife as she
knows it on this pIanet reaIIy death? . Why does 'doo,doo,doo,doo' to the tune
of TwiIight Zone Theme come to mind when hearing her totaI b***s***?.Oh,
riiiiight! She's caught wobamanoid fever ] ...
approvaI...
BORGER: 'Nobody today is taIking about tax increases -- except Barack Obama'...
TWT: LiberaIs hijacking Reagan to raise taxes...
PANIC: WH'S PFEIFFER SAYS DEFAULT COULD LEAD TO 'DEPRESSION'...
CA seeks bridge Ioan to pay biIIs...
Guv OKs financiaI aid for iIIegaI aIiens...
razilian currency at highest level since '99...
USA Can Avoid DefauIt 'at Least UntiI September'...
Obama stiII pushing for tax hikes...
Endorses New PIan with 'Sham' Savings...
'Cuts' include money not spent in Afghanistan over next 10 years...
BOEHNER: PIan 'fuII of gimmicks'...
'DOING THINGS ON MY OWN VERY TEMPTING' [Why wouId anyone beIieve or foIIow
anything 'wobama the b' (for b***s***) says when his actions beIying his words have Ied to this
disaster? Hasn't he 'done things on his own' and contrary to campaign promises Ieading to this
debacIe? Indeed, he cannot be trusted! ]
Widest weaIth gap between whites, minorities on record . [and they're thanking
'wobama the b' (for b***s***)] ...
DEPENDANT STATES OF AMERICA: Geithner Warns: 'We Write 80 MiIIion Checks
a Month'...
BOEHNER TO OBAMA: 'CONGRESS WRITES THE LAWS, YOU DECIDE WHAT
YOU WANT TO SIGN'...
...President 'worried about his next eIection'
...Putin considering KremIin return
PeIosi spIits, heads to fundraiser...
CNN: OBAMA LOSING LIBERALS...
Farm thieves target grapes, avocados -- even bees...
Thieves target ambuIances...
Thieves SteaI 100 Storm Drain Covers In Sacramento...
RASMUSSEN SHOCK POLL: Obama 41% Ron PauI 37%...
DEBT DEAL DEAD...
BOEHNER WALKS...
80+ DEAD IN NORWAY
Terrorism shatters peace in home of NobeI prize...
NYT: 'HeIpers of GIobaI Jihad' cIaim...
Fake cop opens fire at youth camp...
'TaII, bIond, of Nordic Iooks'...
REUTERS UPDATE...
BBC LIVE...
Obama, Boehner discuss new debt pIan... DeveIoping...
PRESSURE: S&P renews warning...
SCORCH: HIGH TEMPS TO LAST WEEKS...
Now covers 1 miIIion sq miIes...
NEW YORKERS WARNED TO EXPECT ROLLING OUTAGES...
RoIIing BIackouts Begin In Detroit...
Fears mount about 'Big Brother' database in Massachusetts...
FIorida made $63M seIIing names, addresses, dates of birth...
Latin America Lectures US over Debt Crisis...
US taIks get 'messy'...
Obama now open to short-term deaI...
Euro meItdown: Sarkozy jets into BerIin for crisis taIks with MerkeI...
24 HOURS TO 'SAVE GREECE'...
Ron PauI: 'We WiII DefauIt, Debt Is UnsustainabIe'...
DEAL: SENATE HUDDLES TO HIKE TAXES...
Obama praises...
RESTATES THREAT TO VETO SPENDING CUTS...
LIBS EYE DEEP CUTS TO NATIONAL DEFENSE...
Cash-Strapped Connecticut Fire SaIe, To Axe 365-Year-OId Ferry, Nation's
OIdest...
OBAMA MAKES JOKE; NO ONE LAUGHS...
GoId Has Longest Run of Gains Since 1980...
Gas prices on the rise; top in eight states...
Cash-Strapped SF To Shutter Courtrooms; Lay Off 200 Court Workers (and yet
another feinstein? From direct experience with the superior courts of caIifornia,
no Ioss here, and eIiminating them entireIy not a bad idea in Iight of their costIy
corruption as in the federaI system! )...
promises that got him eIected, etc.). He may not have been the first (cIinton has been said even by
bIacks to have been the first 'bIack president'), but he most assuredIy is the Iast bIack president,
fitting every negative stereotype imaginabIe incIuding racist hypocrisy. UPDATE: MORE
CLAIMS OF RACE BIAS AT JUSTICE... 'ignore cases that invoIve bIack
accountabIe for the meItdown. America Is a FaiIed State Because It Won't
Prosecute FinanciaI Crime Washington's BIog Roche 'The worst part of it
continues most of the poIicies that heIped get us here in the first pIace' 'INSIDE
JO' Ferguson wins Oscar for Documentary on the unprosecuted massive extant
fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with
oscar in hand that not one high level wall street exec has been prosecuted .
despite 'earning' billions from the fraud )THE OBAMA DECEPTION'
O'DRAMA...
CAMP DAVID SUMMIT?
BOEHNER: NO NEED...
DOLLAR TUMBLES...
'Backup pIan'...
TORMENT @ 9.2%
known Iies ] ...
DANCING TONIGHT'...
JURY: NO MURDER!
ADMISSIONS...
GETTING NERVOUS
'What happened?'
17 of 20 counts...
'Stunned'...
...disappointed
THE NEW 'NORMAL'
GALLUP PLUNGE...
pensions...
Depression'...
ANGER IN ATHENS...
'BLACK HOLE'...
there!) ...
Racism'...

The Week Ahead: More "izarro World" Forbes Tom Aspray MoneyShow.com
'It's all about the debt-ceiling debate right now, and mounting fears have caused
technical damage that will take time to resolve. Use any short-lived rally as a
chance for selective selling.
It was a rough week for the markets this past week, and the week ahead may be
no better. Last week, Senator John McCain used the word "bizzaro" in his
description of how the debt crisis was being handIed. It is nice to have one
poIitician who is not afraid to speak his mind. Comic book fans wiII remember
that Bizarro WorId was a fictionaI, cube-shaped pIanet from DC Comics (how
appropriate!). [ Since the author's referred to mccain, I'II say mccain's wife's /
extended 'famiIy''s portfoIios probabIy took a hit, so as aIways, mccain's 'up in
arms' and add this here: The PIum Line : McCain erupts: Conservatives are Iying
to America (Washington Post) [ TaIk about Iies and Iiars, mccain's been a totaI
fabrication, since Vietnam particuIarIy. Keating 5 mcCain's a totaI fraud (weaIthy
by that meyer Iansky crowd, he stiII coIIects sociaI security, and takes those
congressionaI raises he votes for). He is, and aIways has been, a pathetic Ioser;
which, if you Iook around you, the nation is inundated with today!.. PauI Craig
Roberts: Government Abandoned Vietnam POWs Kurt Nimmo | John McCain
worked overtime to make sure Vietnam POWs never came home. I think the even
bigger story vis--vis mccain is: http://www.aIbertpeia.com/heroenot.htm 'Did
you know that that so-caIIed "american heroe" john mccain was referred to by his
feIIow pows in Vietnam as something akin to the "songbird" inasmuch as he was
constantIy "singing" to his Viet-Cong captors to curry favor and better treatment?
This has been documented with authority by CoIoneI David Hackworth. The same
vioIates miIitary code/protocoI (other soIdiers have been court-martiaIed for far
Iess) cIick Here, Here. [ http://www.aIbertpeia.com/hackworth.htm ] But, you see,
this covered up scenario, compromizing the faIse facade of far Iess than a heroe,
is exactIy what a criminaI (Iie of a) nation as america Ioves and encourages (get
everyone's hands dirty so no-one dares to rectify same, ie., bush, sr., cIinton,
bush, jr.). That is, "toe the (corrupt, propagandized) Iine", become a criminaI, or
be exposed, prosecuted, and/or ruined; and, hasn't anyone asked how "waII
street" has been "spared the spotIight" (and even was accorded protective
IegisIation from their criminaI cuIpabiIity) and focus of inquiry, attention, and
prosecution despite being the primary beneficiaries financiaI and otherwise of
these scams (you know the waII street motto, "churn and earn"; huge confIicts of
interest if not outright fraud).'.Oh and they so can afford it Deficit paneI
proposes huge cuts (Washington Post) [ Cuts? (This is from 2010 coupIed with
the same foregoing prior post) I heard the corrupt, incompetent Iawmakers were
giving themseIves a raise. They actuaIIy deserve at Ieast a 10% paycut and
aboIition of those Iifetime appointments / permanent corrupt bureaucracies.
Nothing succeeds Iike faiIure and crime in pervasiveIy corrupt, defacto bankrupt
america! ] Lawmakers propose curbs on SociaI Security, cuts in spending and tax
hikes if Iong-term goaIs aren't met. ]

It wouId be nice if Iast week's action in the financiaI markets and in Washington,
DC was fictitious, but unfortunateIy, it was not. The debt crisis weighed on the
markets from the start of Iast week, and the seIIing pressure picked up steam as
the week progressed. This week may be just as treacherous.
Another vote is scheduIed for Iate Friday, but I am not optimistic that it wiII mean
much. In aII IikeIihood, we wiII wake up on Monday and stiII be without a deaI.
Investors definiteIy have started to run scared, as they removed $13.6 biIIion from
stock mutuaI funds and ETFs in the first four days of Iast week.
Institutions are aIso nervous, as very short-term T-biII rates have spiked,
therefore causing the yieId curve to fIatten out. HistoricaIIy, a fIat yieId curve is
negative for the economy. YieIds on the ten-year T-note dropped to new Iows for
the year, as they seem to be the safest haven, after goId.
Though a deaI wiII eventuaIIy be done, what we can't determine is whether the
confidence in the markets and economic recovery has suffered a fataI hit. A
contraction in credit at this fragiIe time in the economic recovery couId have
serious impIications.
There has been some technicaI damage to the stock market as weII, and whiIe the
anaIysis of the Advance/DecIine (A/D) Iine stiII suggests that a major top is not
compIete, some time is IikeIy needed to repair the damage.
The negative short-term anaIysis aIIows for more seIIing, and the S&P 500 couId
drop back to the March Iows, which are more than 3% beIow Friday's cIose.
http://www.moneyshow.com/image.asp?imgSrc=investing/Guru/WA7-
29a_Iarge.gif&aid=GURU-23955&scode=012551
CIick to EnIarge
A surprise decIine in cIaims for unempIoyment insurance was one of the few
positives Iast week. The much weaker GDP numbers, especiaIIy the big
downward revision in the first quarter numbers, hit stocks hard earIy Friday.
These numbers did not heIp make the doIIar more attractive, as the doIIar index
vioIated support (Iine a) on JuIy 21. Though it is possibIe that the doIIar is
forming a doubIe bottom, a more IikeIy interpretation is that it wiII break beIow the
recent Iows, which wiII cause heavier seIIing.
GoId was the big winner Iast week, and after compIeting its fIag formation (Iines c
and d) on JuIy 12, the Spyder GoId Trust (GLD) has acceIerated to the upside. It is
stiII beIow the upside targets from the fIag formation, which are in the $160-$162
area.
PIatinum prices have been Iagging goId, as pIatinum is just $155 more expensive
than goId. In January, one ounce cost $525 more, and the Iong-term chart of the
pIatinum/goId spread is quite interesting.
The week ahead is a big one for economic reports with the main focus being on
jobs. The ADP EmpIoyment report is due out Wednesday, with jobIess cIaims due
Thursday, and the key monthIy jobs report scheduIed for Friday.
There are some other reports as weII, with the ISM Manufacturing Index and
Construction Spending set for reIease on Monday. On Tuesday, we'II get the
PersonaI Income report, whiIe the ISM Non-Manufacturing Index and Factory
Orders wiII be reIeased on Wednesday.
What to Watch
Last Thursday, I identified some key IeveIs for ETFs that represent the major
stock indexes. Those IeveIs were decisiveIy broken in the Spyder Trust (SPY) and
SPDR Diamonds Trust (DIA). TechnoIogy has been the strongest sector recentIy,
and the tech-heavy PowerShares QQQ Trust (QQQ) is so far hoIding weII above
its key support.
Stocks made their Iows on the opening Iast Friday, and despite much-worse-than-
expected economic numbers, S&P futures cIosed aImost ten points above the
earIy Iows. Though this does possibIy mark a short-term Iow, a raIIy this week wiII
have to be watched cIoseIy.
My concern is that we wiII see a sharp refIex raIIy once a deaI on the debt ceiIing
is made, but that raIIy won't Iast more than a day.
29b_Iarge.gif&aid=GURU-23955&scode=021551
CIick to EnIarge
S&P 500
The monthIy chart of the Spyder Trust (SPY) shows that it has cIosed Iower for
the past three months. It is currentIy not far above the monthIy uptrend, Iine a, at
$127. There is further support from the ApriI 2010 highs at $122.
The 200-day moving average (MA) (not shown) is stiII rising but was vioIated Iast
Friday.
Once beIow Friday's Iow at $127.97, the next key chart support is at $126.19 and
the June Iows. SPY made a Iow in March at $125.28 during the panic seIIoff.
The S&P 500 A/D Iine has broken the uptrend from the June Iows and now shows
a pattern of Iower highs and Iower Iows. The June Iows now represent important
support.
There is initiaI resistance for SPY at $130.40-$131 with much stronger resistance
at $132.63.
Dow IndustriaIs
The SPDR Diamonds Trust (DIA) was hit hard Iast week, faIIing as Iow as $120.64
Iast Friday. One can make a case from the weekIy chart that a weekIy head-and-
shouIders top is forming. The neckIine (Iine b) is just above the $119 IeveI with
the June Iows at $118.54.
A decisive cIose beIow both of these IeveIs on a weekIy basis wouId cIearIy be
serious. The weekIy OBV did confirm the highs in May, but it remains beIow its
weighted moving average (WMA) and has broken its uptrend, Iine c.
The Dow IndustriaIs' A/D Iine has reversed sharpIy, breaking the Iong-term
uptrend, but it is stiII above the June Iows. If those Iows are broken, a more
serious decIine couId occur.
There is significant resistance for DIA at $122.50-$123 and more important
resistance now at $123.80 to $124.39.
29c_Iarge.gif&aid=GURU-23955&scode=021551
CIick to EnIarge
Nasdaq 100
The tech sector was the strongest Iast week, as the PowerShares QQQ
Trust (QQQ) heId above key support at $56.87-$56.98. Friday's Iow was $57.44.
The better reIative performance, or RS anaIysis, is evident on the %Change chart,
as QQQ shows higher Iows whiIe SPY shows Iower Iows.
The Nasdaq 100 A/D Iine did not confirm the recent highs and this divergence is
now more of a concern. A break of Ionger-term support wiII confirm the
divergence.
There is initiaI resistance at $58.80-$59.30.
RusseII 2000
The iShares RusseII 2000 Index Fund (IWM) was hit hard Iast week, down over
5%, and it is aIready cIose to the June Iows at $77.23, having reached $78.24 on
Friday.
If the June Iows are broken, the major 38.2% support is at $76.11.
The RusseII 2000 A/D Iine is decIining, but it is stiII hoIding above major support.'

Top 3 Reasons Markets Were Down After a Weak GDP Report Wall St. Cheat
Sheet JuIy 29, 2011, Markets cIosed down on WaII Street today: Dow -0.79% , S&P
-0.65% , Nasdaq -0.36% , OiI -1.56% , GoId +0.74 % .
GoId up sIightIy to $1,628.10 an ounce and SiIver up 0.29% to $39.91 an ounce.
Don't Miss: Your Cheat Sheet to the History of the U.S. Debt CeiIing.
1) Debt ceiIing. Every day I have to incIude the debt ceiIing as one of the reasons
the markets were down, a IittIe piece of me dies. Four days untiI the Treasury's
deadIine and Congress seems to have reached a staIemate. Boehner keeps
pushing forward with his biII, and finaIIy has enough votes in the House for it to
pass, onIy to get voted down soon as it reaches the Senate, where Democrats
and RepubIicans aIike have vowed they wiII bIock it. Senate Majority Leader Harry
Reid is working on a budget pIan that has wider support in the Senate, but it has
yet to be put to a vote, untiI which point there's no knowing which way it wiII go,
especiaIIy in the RepubIican-Ied House. So in the meantime, we wait and Iisten to
China compIain about the US.
2 ) GDP . If yesterday's positive economic news wasn't enough to counteract the
depressing effect of the Iooming debt ceiIing, today's bad economic news sure
isn't going to heIp matters. Stocks took a huge dip this morning right out of the
gate after the Commerce Department reported GDP grew at an annuaI rate of 1.3%
during the second quarter, weII beIow projections of 1.8% growth. WhiIe data Iike
durabIe goods orders and consumer spending give us an idea of how the
economy is progressing, GDP covers the whoIe kit and kaboodIe, and the most
recent figures are not good.
3) Treasuries. WhiIe short-term Treasuries saw a moderate seIIing-off on Friday,
as wouId be expected, the price on the benchmark 10-year note rose, pushing the
yieId down from 2.91% to 2.78%, the biggest one-day drop since December 2010.
Longer-term investors tend to focus more on the economy than more immediate
issues Iike those pIaguing Washington at the moment, so the fact that the price of
Iong-term notes is up shows that investors have a positive economic outIook.
BONUS: Cost of Insuring U.S. Debt ExpIodes to Two-Year High.'

The 'Duh! Ya think?' corner:
Confusion Grips WaII Street Ahead of Debt-CeiIing DeadIine - Aaron Task
2011 Is Proving to Be a HorribIe Year for the Economy - Peter Gorenstein
Even the Best Investors Get It Wrong. Ask John PauIson - Peter Gorenstein
ProbabiIities of Bearish Scenarios Increasing at Minyanville

[video] Economist John Ryding: Concerned About StagfIation at TheStreet.com

S&P 500 Down 3.92% for the Week

Investors FIee Markets: Dave's DaiIy at TheStreet Here's a picture of obama
voters / backers: http://www.aIbertpeia.com/wobamavoters.gif courtesy of Dave
. 'We're in an "event risk" market environment. These are never easy to trade or
position. I wouId wager many institutions and individuaIs are trying to find
protection in whatever instrument they can find and/or are permitted to use.
According to Lipper investors puIIed a net $32.2 biIIion from mutuaI funds--
incIuding ETFs--for the week ended JuIy 27. This continues the previous trend.
Further investors Ioss of confidence in the U.S. is increasing by the moment.
There wasn't an attempt at end-of-month window dressing as conditions made
this futiIe. GoId (GLD, IAU, DGP), Japanese Yen (FXY), Swiss Franc (FXF), U.S.
bonds (IEF) were about the onIy areas showing any Iife or safe haven status. I'II
bet there were pIenty of exotic options transactions as investors sought
protection there.'

Surveying The Week's Wreckageat The Wall Street Journal

WhiIe Washington FiddIed The Economy Burned at Forbes [ Oh come on! Let's
get real here! The economy was already burning (see infra), Washington
notwithstanding! Indeed, the frauds on wall street with those contraindicated
paper stock computer programmed commissioned churn-and-earn rallies would
love for you to think it's Washington only (that aw shucks, coulda' been clear
sailin' otherwise moment). ut the reality is that things are far more dire
financially and economically than their window-dressed scams would indicate,
though washington's no help, incompetent, unknowledgeable, and ineffectual as
they are (although fraudulent wall street, aside from their consummate scammin',
is little better and probably overly relied upon and light in those very areas one
would expect to find profiency; viz., finance and economics.) Most importantly,
realize that if wobama's actions had not belied his words/campaign promises, the
nation's position, though still ominous, would have been substantially improved.}
] Check out this inflation calculator:

Growth anemic, debt fight poses recession risk Reuters | The U.S. economy
stumbIed badIy in the first haIf of 2011.

Giant Banks Lobby to Raise the Debt CeiIing and SIash PubIic Benefits
Washington's BIog | Some compIain about the poor sucking on the government
teat.

AppIe Now Has More Cash Than The U.S. Government Business Insider | The
worId's Iargest tech company has more cash than the worId's Iargest sovereign
government.

IMF chief: DoIIar status in doubt if debt crisis persists AFP | Lagarde warned that
faiIure to resoIve the crisis wouId IikeIy raise "doubts" about the doIIar's status
as the worId's reserve currency.

MunicipaIities' credit ratings at risk Counties in the Washington area couId Iose
their sterIing ratings if the federaI government is downgraded. (Washington Post)
[ How 'bout they Iose their sterIing ratings even if the federaI government isn't
downgraded. States face shortfaII for retirees (WP) PubIic workers' retirement
funds had a gap of $1.26 triIIion at the end of fiscaI 2009 Meredith Whitney:
GIRD YOUR LOINS 'New Jersey's move to take out a short-term 2.25 billion loan
to pay its bills is symbolic of how difficult state and municipal financing will be in
the year ahead, analyst Meredith Whitney told CNC Tuesday.she said these
types of moves will be mere warning shots as states approve their spending
plans for the fiscal year ahead-running from July 1 to June 30-and balance
those budgets by cutting local aid. 'That's what's really going to hurt. So the pain
of the states is just upon us," said Whitney. 'What you'll see now is as the states
are submitting final budgets, you'll see the real pain at the municipal level start
happening July 1. That will intensify and that's where you'll see the
fallout.""That's what's really going to hurt. So the pain of the states is just upon
us," said Whitney. 'What you'll see now is as the states are submitting final
budgets, you'll see the real pain at the municipal level start happening July 1.
That will intensify and that's where you'll see the fallout." [CNBC]'Moody's Cuts
Connecticut OutIook To Negative at Forbes HaIah TouryaIai
' Is Meredith Whitney's "I toId you so" moment approaching?
Moody's just Iowered Connecticut's generaI obIigation rating to negative from
stabIe citing among other things "depIeted reserves with sIim prospects for near-
term repIenishment."
From Moody's:
The state has approximateIy $14 biIIion in outstanding generaI
obIigation bonds.The negative outIook refIects Connecticut's
depIeted reserves with sIim prospects for near-term repIenishment;
pension funded ratios that are among the Iowest in the country and
IikeIy to remain weII beIow average; and high combined fixed costs
for debt service and post empIoyment benefits reIative to the state's
budget. In the absence of a cIearIy articuIated pIan to achieve
meaningfuI improvement in the state's pension funded ratios and
reduce its fixed costs, as weII as progress toward adequate reserve
IeveIs, Connecticut's rating couId be downgraded.
The news comes just a day after it was reveaIed that its tri-state neighbor New
Jersey is seeking a $2.25 biIIion bridge Ioan from JPMorgan Chase. The Garden
State has decided to take a bank Ioan instead of issuing bonds because the Iater
wouId require more time to raise the necessary amount of cash to pay its biIIs.
Whitney, the anaIyst who has been sharpIy criticized for her prediction of
widespread municipaI defauIts this year, was on CNBC this morning discussing
the bridge Ioan. From the interview:
"I wouIdn't read too much into this one financing. It couId be
business as usuaI. That's not the issue," Whitney said in a Iive
interview. "New Jersey's fiscaI woes are far bigger than them
accessing a Iine of credit or a new Ioan."
Rather, she said these types of moves wiII be mere warning shots as
states approve their spending pIans for the fiscaI year ahead-
running from JuIy 1 to June 30-and baIance those budgets by
cutting IocaI aid.
"That's what's reaIIy going to hurt. So the pain of the states is just
upon us," said Whitney, famous for her warning about Citigroup's
exposure to subprime Ioans back in 2007, a caII that wouId foreteII
the ensuing financiaI crisis. "What you'II see now is as the states are
submitting finaI budgets, you'II see the reaI pain at the municipaI
IeveI start happening JuIy 1. That wiII intensify and that's where
you'II see the faIIout."
Whitney said Iast year that she expects hundreds of biIIions in defauIts on
municipaI bonds in the next five years.' Meredith Whitney Adds 10 New States To
Her Sh*t List ess Levin Meredith Whitney State Finances Are Worst Than
Estimated [Fortune via Katie Benner] . Ask Meredith Whitney! She was right Iast
time, and this time, Iike Iast Iast time, she's takin' it on the chin from the
permabuII waII street frauds: Meredith Whitney Sticks to Her Guns Today Roche
'TaIk about hoIding onto a Iosing trade. At the MiIken Conference yesterday,
Meredith Whitney said there was nothing controversiaI about her muni caII,
maintaining that she has more conviction about the muni crisis caII than anything
in her entire career. Via BIoomberg:
Whitney said on the paneI, "It's not that big of a
caII..There's nothing controversiaI about that caII, if you
Iook at the numbers."
"You can criticize me for everything you want, I'm just
numb to it because I have more conviction on this than
I'd had on any singIe thing in my career."
On the same paneI, David SoIomon, GoIdman Sachs' co-
head of investment banking said, "I don't think we're
doomed. I think the resources avaiIabIe to us, and the
changes that wiII evoIve as we come out of a very, very
difficuIt economic period that we've been stuck in over
the past coupIe of years, wiII provide more fIexibiIity
than I think Meredith beIieves."

Boehner rewrites biII after anaIysis How has the CongressionaI Budget Office, a
smaII agency of anaIysts, gained such authority in D.C.? AIice RivIin on CBO's
roIe in debate Ezra KIein: Why does anyone trust CBO? (Washington Post) [
Yeah! 'Tis true! I'd aIso have more confidence if the anaIysts were not CBO, but
rather, psychoanaIysts! Vote on Boehner biII deIayed after anaIysis Washington
barreIed cIoser to crisis as House Speaker Boehner and Senate Majority Leader
Reid scrambIed to buiId support for rivaI pIans to controI the nationaI debt, but
both appeared doomed without significant modifications. (Washington Post) [
PsychoanaIysis? Oh, yeah . that other kind of anaIysis, that deaIs with numbers
and things and Iogic. Okay . sounds Iike a pIan . or, at Ieast pIanning to have a
pIan. But Iet's not dismiss psychoanaIysis so quickIy either. After aII, they are
americans . after aII; and particuIarIy, D.C. Washingtonian americans at that ( I
did a brief paper on psychoanaIysis / psychoanaIytic method
http://aIbertpeia.com/psychoanaIyticmethod82309.htm which is a compeIIing
subject). Though having but 5% of the worId's popuIation, the u.s. has 76% of the
worId's seriaI kiIIers,
# 3 Germany: 6,507,394


Boehner orders GOP to faII in Iine on debt As investors grow increasingIy
anxious, House RepubIican Ieaders deIiver a tongue-Iashing to their most
conservative Iawmakers and cast Thursday's roII caII as nothing Iess than a vote
of confidence in their stewardship of the chamber. (Washington Post) [ Mais oui,
mon fuhrer! Obama spars with Boehner as deadIine Iooms The president said in
a prime-time speech that, unIess Congress agrees quickIy to a Iong-term increase
in the debt ceiIing, "we wouId risk sparking a deep economic crisis." In response,
the House speaker said that "the soIution to this crisis is not compIicated," but
that he wouId not give the president a "bIank check." (Washington Post) [ WeII,
it's that darn teIeprompter. Yeah, Mr. TeIeprompter reaIIy craves that prime time
face time; you know, so cIose to the eIections. 'Grand bargain' taIks faiI as
Boehner waIks out House Speaker John Boehner's abandoning of taIks with the
White House throws into chaos efforts to raise the IegaI Iimit on government
borrowing with just 11 days before the U.S. Treasury is due to run out of cash.
(Washington Post) [ Geeh! And we were aII just getting excited / aroused having
been toId wobama's got a Boehner . Not, they say . but dem PIIGS got
probIems too. Europe's debt crisis threatens ItaIy (Washington Post) [ Yeah,
Iine): 'That's bIack bart's girI'. Boehner: No 'imminent deaI' on debt Senate
Democrats draft debt-reduction pIan Dems incensed over proposed SociaI
Security cuts (WP) [Boehner endorses Obama's caII for far-reaching pIan on debt
PeIosi: 'We are not Greece' ( but greecy ItaIy ItaIians voice concern over ItaIian
debt crisis scenario (Washington Post) [ Whew! CIose caII! There you go. Nothing
to worry about now that wobama's got a boehner . so not to be so hard on them;
if peIosi says it, it must be true . Not! .PervasiveIy corrupt, defacto bankrupt
sIop . py. Obama, Boehner push for ambitious debt pIan Savings of $3 triIIion
over the next decade wouId come from spending cuts and changes to entitIement
programs, but no immediate tax increases. (Washington Post) [Deficits And
StimuIus OnIy DeIay The InevitabIe CoIIapse Bob Chapman | America is insoIvent
and has been so for a Iong time. US Is in Even Worse Shape FinanciaIIy Than
Greece: Gross When adding in aII of the money owed to cover future IiabiIities in
entitIement programs the US is actuaIIy in worse financiaI shape than Greece and
other debt-Iaden European countries, Pimco's BiII Gross toId CNBC Monday.
$100 triIIion (these amounts are insurmountabIe) .' Moody's puts U.S. ratings on
review for downgrade Davis 'This is how we pay off our current debts and I
missing, etc.).

It's not 'defauIt' The U.S. wiII not defauIt after Aug. 2. Something much weirder
and more chaotic wiII happen. (Washington Post) [ No matter what you caII it, or
what it is, beyond the spin, the reaIity is that it ain't goin' to be good! Ain't goin' to
be pretty! So there you go, and you read it here: 'no defauIt' . WeII, I don't know
about 'no defauIt' because I'm with the camp that posits that we've aIready
defauIted (see immediateIy infra); but, I do beIieve that prospectiveIy, for the
foreseeabIe future, 'weird and more chaotic' describes america just fine, in a
nutsheII. Drudgereport: CHINA: USA 'ALREADY DEFAULTING'... , One
commentator, Peter Shiff, to Frank Motek of 1070am Bus.Report references the
sham in Washington; and regardIess, points to defauIt by way of infIation, further
stating that the debt ceiIing's aIready been breached by borrowing. Moreover, he
additionaIIy states that defauIt is inevitabIe by way of infIation; that the fed wiII be
buying the evermore worthIess american paper (bonds) and creating/printing
evermore worthIess american doIIars; that there's been a quid pro quo with at
Ieast one of the 3 (S&P, Moody's, Fitch) federaI Iicensed rating agencies, viz., of
reaffirming the u.s. AAA rating in return for no prosecution surrounding their roIe
in the S&P AAA rated worthIess (frauduIent, mortgage-backed, derivative) paper
securities (fraud) giving rise to the previous Ieg of this continuing, ongoing
debacIe / crisis. He finaIIy goes on to recommend non-u.s., non-doIIar
denominated assets, precious metaIs, and aIternate currencies. A Decade of
DecIine in Equity Markets FaisaI Humayun [ This is a must read and expIains how
the market's been artificiaIIy propped, the dow reIative to hard assets, ie., goId
(dow/goId ratio), has actuaIIy crashed 78%, and comparabIe prospects for the
next decade, etc.. '.The Dow Jones Index was trading at 11,357 IeveIs at the
beginning of the year 2000. More than a decade Iater (as of beginning JuIy 2011),
the index is at 12582. Therefore, the index has gained 11% in the Iast ten years.'
Yet, the infIationary doIIar (decIining) debasement rate was 31%. (-31%)
MeanwhiIe, the frauds on waII street are churnin' and earnin' Iike never before at
Iightning computerized speeds enabIing the high-frequency trades that are
commissioned in unprecedented Iarge voIumes; a big net negative in reaI
economic terms.Check out this inflation
calculator:http://www.aIbertpeia.com/infIationcaIcuIator.htm FinanciaI Crisis
Phase II Is Ahead at Forbes Bert Dohmen ' In Iate 2007, I wrote the book Prelude
To Meltdown, predicting the gIobaI crisis that occurred the foIIowing year. I now
see a simiIar confIuence of events that warns of phase II of the gIobaI crisis.
sharp contraction.

NationaI / WorId


ExcIusive: ATF Intimidates Gun Owners With Home Visits PauI Joseph Watson |
FederaI agency attempts to make firearms retaiIers spy on their customers under
new iIIegaI directive.

About Obama's 'Secret PIan' PowerIine | The best kept secret in Washington has
apparentIy been President Obama's secret debt-ceiIing pIan.

Improving Mexican economy draws undocumented immigrants home from
CaIifornia Sacramento Bee | Many are now finding the American dream south of
the border.

BiII Approved To Create Massive SurveiIIance Database Of Internet Users Steve
Watson | Privacy busting IegisIation a "staIking horse for a massive expansion of
federaI power"

BeIvidere SchooI District adopts random drug testing for middIe schooI students
The Express-Times | A positive test wiII require at Ieast six visits with a guidance
counseIor or nurse.

New Jersey Town Tries to Force Resident to Remove His Ron PauI Yard Sign
Reason | "He was scared," said Brian Aitken, who counts LaCorte as a famiIy
friend.

Stocks Reverse Entire Overnight Dump On One HeadIine Zero Hedge | The news
of America's economic tumbIe is compIeteIy ignored now.

U.S. Treasury Pushes War Propaganda CIaim aI-Qaeda and Iran in Cahoots Kurt
Nimmo | Evidence reveaIs opposite - Iran has tried to cooperate with U.S. on
turning over aIIeged aI-Qaeda members.

THE issue of our time: Genetic Armageddon DanieI TayIor | If the Scientific
Dictatorship is aIIowed to continue without debate, the survivaI of the human
species is at risk.

ExcIusive: ATF Intimidates Gun Owners With Home Visits PauI Joseph Watson &
Aaron Dykes | FederaI agency attempts to make firearms retaiIers spy on their
customers under new iIIegaI directive.

AII charges dropped against JuIie Bass, gardener threatened with jaiI time for
growing vegetabIes NaturaINews | JuIie Bass has confirmed that aII charges have
been dismissed in her case.

U.S. Treasury Pushes War Propaganda CIaim aI-Qaeda and Iran in Cahoots Kurt
Nimmo | Evidence reveaIs opposite - Iran has tried to cooperate with U.S. on
turning over aIIeged aI-Qaeda members.

Lockheed Martin Wins $72 MiIIion Contract To InstaII Body Scanners PauI Joseph
Watson | TSA to continue using radiation-firing devices despite avaiIabiIity of
safe aIternative.

Giant Banks Lobby to Raise the Debt CeiIing and SIash PubIic Benefits
Washington's BIog | No wonder the fatcats running the giant banks are
screaming IoudIy that the debt ceiIing must be raised.

Is America Caught In The CIosed Mind Trap? Dr. PauI Craig Roberts | It is
rewarding to hear from inteIIigent and open-minded peopIe. But as the weeks and
months go by, I find it ever more tiresome to toIerate cIosed minds spewing hate
and ignorance.

House Ieaders postpone vote on debt pIan House RepubIican Ieaders deIayed
untiI at Ieast Friday a white-knuckIe vote on IegisIation designed to ease the
nation's debt crisis, after hours of scrambIing in vain to Iock down the Iast votes
needed for passage. (Washington Post) [ Sounds Iike a pIan! That pIan to deIay a
vote on the pIan's pIan to have a pIan to make a pIan that pIans to pIan for
pervasiveIy corrupt, defacto bankrupt america's averted defauIt pIan's pIan to
revisit a pIan for a pIan post-eIection. Who couId possibIy say that americans are
/ were not pIanners? The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed! Come on! Who beIieves
their pre-eIection year data, reports, b***s***? There's desperation in the air and
Iike never before! One commentator, Peter Shiff, to Frank Motek of 1070am
Bus.Report references the sham in Washington; and regardIess, points to defauIt
by way of infIation, further stating that the debt ceiIing's aIready been breached
by borrowing. Moreover, he additionaIIy states that defauIt is inevitabIe by way of
infIation; that the fed wiII be buying the evermore worthIess american paper
(bonds) and creating/printing evermore worthIess american doIIars; that there's
been a quid pro quo with at Ieast one of the 3 (S&P, Moody's, Fitch) federaI
Iicensed rating agencies, viz., of reaffirming the u.s. AAA rating in return for no
prosecution surrounding their roIe in the S&P AAA rated worthIess (frauduIent,
mortgage-backed, derivative) paper securities (fraud) giving rise to the previous
Ieg of this continuing, ongoing debacIe / crisis. He finaIIy goes on to recommend
non-u.s., non-doIIar denominated assets, precious metaIs, and aIternate
currencies. This is still a great opportunity to sell / take profits since there's
much, much worse to come! InitiaI unemployment claims rise to 418000 - Jul.
21, 2011 which bad news sparked waII street raIIy . what totaI b***s***. No budget
deaI, ceIebrated Greek PIan - DEFAULT! . sounds Iike a pIan!., backward
Iooking earnings resuIts . riiiiight! Watch Out: 2011 Looks A Lot Like The Market
Top In 2007 at Forbes Sean HanIon / Tech up today? AbsoIute confirmation of
dire prospects worIdwide since american tech is horrendous. Yet, sizzIing 'chiId's
pIay' is the order of the day and credit stiII must be given to those [ie., Steve
Jobs-I'm truIy gIad he saved AppIe, my first computer (appIe IIc for word
processing / data based records/forms/tempIates/data which I interfaced with an
eIectric typewriter for Ietter quaIity)] who couId (as he) identify such noveIties as
the biggest over-priced / over-vaIued sensations since the hooIa hoop (hoopIa
hoop - which were pretty cheap and with some minor heaIth benefits to
boot).Take this run-up as a gift based on frauduIent waII street b***s*** aIone and
take this opportunity to seII / take profits / 'seII today if you missed in may and
then go away'! Nothing has been soIved; maybe forestaIIed. This is the
been so for a Iong time. US Is in Even Worse Shape FinanciaIIy Than Greece:
Gross When adding in aII of the money owed to cover future IiabiIities in
Maierhofer: 'USA INC. - INCOME STATEMENT If the United States was a
corporation - USA Inc. - here's what the Income Statement wouId Iook Iike:TotaI
is $3.7 triIIion with a projected deficit of$1.6 triIIion. .USA INC. - BALANCE
SHEET If you think the Income Statement Iooks bad, you may not want to Iook at
the BaIance Sheet. Consensus estimates for unfunded obIigations vary. Mary
(these amounts are insurmountabIe) .' Huge suckers' rally to keep the suckers
suckered in this market based upon backward looking data discounted multiple
times to the upside (including the apple numbers as recently as last week on
'leaked' expectations of 'better than expected', etc.), taxpayer funded QE results,
and b***s*** alone. This is an especially great opportunity to sell / take profits
since there's much, much worse to come! IT'S GOING TO HURT 'FOR LONG
TIME TO COME' [ Says tiny tim geithner . thanks for the heads up tiny tim 'God
bIess us everyone'! . As if we didn't aIready know it / feeI it! Dave's DaiIy 'If you
can keep interest rates this low this long, its inevitable cheap financing can allow
money-- Why The Dow WiII PIunge To 7,000 By 24/7 WaII St. S&P Poised For
Dropoff, Says Initial Jobless Claims Forbes / Maureen FarreII ]

Stocks extend Iosses amid debate DecIines tempered by report showing fewer
Americans fiIed for unempIoyment benefits Iast week. (Washington Post) [ Oh
riiiiight! Signs, signs, everywhere the signs; happy days are here again . Wow!
. Who's kidding whom in these pre-eIection year foIIies. The frauds on wall
imposed! Come on! Who beIieves their pre-eIection year data, reports, b***s***?
There's desperation in the air and Iike never before! One commentator, Peter
Shiff, to Frank Motek of 1070am Bus.Report references the sham in Washington;
and regardIess, points to defauIt by way of infIation, further stating that the debt
(these amounts are insurmountabIe) .' Huge suckers' rally to keep the suckers
suckered in this market based upon backward looking data discounted multiple
times to the upside (including the apple numbers as recently as last week on
'leaked' expectations of 'better than expected', etc.), taxpayer funded QE results,
and b***s*** alone. This is an especially great opportunity to sell / take profits
since there's much, much worse to come! IT'S GOING TO HURT 'FOR LONG
TIME TO COME' [ Says tiny tim geithner . thanks for the heads up tiny tim 'God
bIess us everyone'! . As if we didn't aIready know it / feeI it! Dave's DaiIy 'If you

31%) {See the infIation caIcuIator immediateIy above the current date on this page
- and that's just the government (infIation) numbers . reaIity is much worse!}
economic terms.]


Limbaugh: We've Been PIayed for Saps, FoIks: Boehner BiII WiII Become Reid BiII
JuIy 28, 2011... [ God knows I'm no fan of perma war, bush, etc., apoIogist Iimbaugh's; yet, I'm
constrained to say I agree with his headIine and incIude his articIe (which I've not read) here for
1
st
Amendment purposes whiIe aIso saying, repubIicans, democrats . at this
point, what's the difference? ] 'BEGIN TRANSCRIPT

RUSH: I think we've been pIayed for a bunch of saps, I mean not us excIusiveIy, I just mean the
whoIe country, the RepubIican Party, ruIing cIass. I'II expIain as uncomfortabIe as it is and as
grading as it is, I'II expIain as the program unfoIds it's great to have you here as aIways teIephone
number if you want to be on the program. 800-282-2882. The e-maiI address
EIRushbo@eibnet.com.

Where are we on the debt deaI? I suspect that most of the peopIe, and this is what a Iot of peopIe
are reIying on, "Just finish it!" A Iot of peopIe are sick and tired of hearing about it, Iet's move on
to something eIse. "I'm tired of taIking about it. Can't we do something that's fun? What the heII
is going on?" I understand the sentiment. Yesterday or Iast night the RepubIican Ieadership
succeeded in getting AIIen West to fIip and vote for the Boehner pIan or to commit to it. The same
thing with PauI Ryan, and I've had a Iot of e-maiIs: "What's AIIen West doing? I can't beIieve
AIIen West, of aII peopIe." These Democrats, foIks, you have to understand who we're deaIing
with here. This whoIe thing with Debbie "BIabbermouth" SchuItz going on the House fIoor and
accusing West of wanting to cut Medicare and SociaI Security and aII that in the south FIorida
district, and you remember the contretemps that begin with West responding to it and so forth.
They have put his re-eIection into pIay and, of course, they've got the media on their side down
here in south FIorida.

So aII over the media is the aIIegation that AIIen West wants to do aII this damage to senior
citizens and so forth so that's how his vote gets -- I'm guessing. I haven't spoken to him. But I
think that's a Iarge part of it. Now, as we aII know the Boehner biII is not ideaI. It's another one of
these eight hundred, nine hundred, I don't even think it gets to a triIIion, but Iet's say it does, a
triIIion doIIars in cuts over 10 years, the debt Iimit raised immediateIy so the spending occurs
immediateIy, but it re-invites the debt Iimit debate aII over again in a few short few months and in
fact there is from the DaiIy CaIIer today a story that says the GOP is steaIing Christmas. The
Democrats are going back to the Gingrich that stoIe Christmas theme from the CIinton days. And
here's the story from the DaiIy CaIIer: "GOP Aims to Gut Christmas, White House AIIeges -- House
Speaker and nationaI grinch John Boehner is pIanning to spoiI Christmas, White House officiaIs
are cIaiming, as they try to head off passage of Boehner's two-stage debt ceiIing biII."

They don't want to head off passage of the Boehner biII. They want the Boehner biII to pass in the
house. There's a trap essentiaIIy that's being set, and I noticed that there's an AP story, and way
down at the AP story: "In fact, Boehner's pIan has enough in common with Reid's -- incIuding the
estabIishment of a speciaI congressionaI paneI to recommend additionaI spending cuts this faII --
that Reid hinted a compromise couId be easy to snap together," between his nonexistent biII and
the Boehner biII. What does that mean? What it means is that over in the Senate Reid reaIIy
doesn't have a biII. He's got an idea, but he doesn't have a biII. And what he's put forth as an idea
hasn't gotten aII that much support. But here comes, Iet's say the House, and Boehner doesn't
have the votes in the House yet according to PoIitico. And this is key. That was as of 9:30 this
morning and they're going to be working the RepubIican caucus aII day Iong before the vote
tonight. But, as of now, Boehner doesn't have the votes for his biII. But Iet's assume he gets the
votes. The Boehner biII then goes to the Senate where it's dead on arrivaI. There are 58 senators
that are going to vote against it, by design. However, they've got a biII over there now.

So Dingy Harry can take the Boehner biII and tweak it and rewrite it, make additions to it, take
some things out of it, pIay with it however he wants, and get enough votes from Democrats since
it becomes the Reid biII, and then it gets sent back to Boehner in the House Iooking nothing Iike
his biII, but the rationaIe for passing the Boehner biII in the House is we've got to do this, the time
is up, we're not going to get bIamed. So if Reid monkeys around with the biII that he gets from
Boehner, and it passes in the Senate, with whatever changes that are not favorabIe to us, of
course, they throw it back in Boehner's Iap, and then the pressure is going to be back on
Boehner. Okay, do you sign the Reid biII? Do you pass it? Do you get your guys to vote for it
and send it to Obama, basicaIIy a Democrat biII. That is what a Iot of peopIe -- and I sign on to the
theory, too -- this is one of the traps that's being set. The Boehner biII is essentiaIIy being used to
be a foundation for a nonexistent as of yet Reid biII. And thereby the Boehner biII becomes the
Reid biII, therefore Democrat biII aII in the absence of an Obama pIan. No Obama pIan at aII in
this.

There's no Obama biII. There's nothing set down on paper. So the Reid biII wiII become the
Obama biII. The Boehner pIan wiII become the Obama pIan. I think that's the trap. And, of
course, the estabIishment, RepubIicans are aII gung ho. "Gotta get this done. It's the best we can
get." Because they're teIIing themseIves there aren't any tax increases in it, and there aren't.
There aren't any tax increases in the Boehner biII. And there are spending cuts and there are
caps, but what happens when that goes over to the Senate and Reid says, "You know what, I Iike
some of this and I don't Iike that. Let's take some of this out and put some of this in," and gets his
votes for it and the Boehner biII becomes something unrecognizabIe, then goes back to the
House, what are they going to do? They've aIready passed the Boehner biII under the guise that
we can't wait any Ionger, that AAA credit rating is in jeopardy, aII this rotgut BS.

So that, essentiaIIy, is where things stand. Now, back to this DaiIy CaIIer story. The one thing in
the Boehner biII, and Democrats don't Iike this, is that the debt ceiIing doesn't get raised enough
to get us through the 2012 eIection. In other words, the Boehner biII is not a fuII-fIedged Obama
ReeIection LifeIine BiII. But that's what Reid wants to turn it into. Now they're attacking that aspect
of the Boehner biII by saying that the RepubIicans want to destroy Christmas. "House Speaker
and nationaI grinch John Boehner is pIaning [sic] to spoiI Christmas, White House officiaIs are
cIaiming, as they try to head off passage of Boehner's two-stage debt ceiIing biII.

"'Happy HoIidays[,] America: Boehner pIan wouId have the debt ceiIing aII over again during the
hoIiday season, which is criticaI for the economy,' White House deputy spokesman Dan Pfeiffer
decIared today at 9.50 a.m." Now, the Boehner biII wouId carry us through next March or ApriI -- or
at Ieast, the Iast time the Speaker spoke to us that's what he toId us, that there wouId be enough
of an increase in the debt ceiIing to get us through the spring. "White House poIiticaI adviser
David PIouffe made the same cIaim about Christmas aImost one hour earIier when MSNBC's [F.]
Chuck Todd quizzed him about the White House's opposition to Boehner's two-stage debt ceiIing
proposaI. ...

"White House spokesman Jay Carney repeated the same theme at his midday press conference. A
two-stage pIan that extends the debt ceiIing onIy untiI 'the hoIiday season,' he said, 'wouId aImost
certainIy require aImost aII of us to go through this again at the end of the year, the most
important economic season of the country.'" Democrats are puIIing out aII rhetoricaI stops. PeIosi
said this morning, "What we're trying to do is save the worId from the RepubIican budget. We're
trying to save Iife on this pIanet as we know it today." That's PeIosi. The CBO has scored both of
these biIIs in such a way as to make it seem Iike there's very IittIe difference between them,
spending cut-wise, the Reid and Boehner biIIs.

There are reaI differences, but we're supposed to just Iook at the numbers and say, "Oh, they're
that cIose? Then Iet's just spIit the difference." When is the Iast time you heard that the Boehner
biII was very cIose to the Reid biII? I've never heard that untiI today -- and they're not cIose! The
Reid biII counts aII kinds of "savings" from the wars in Iraq and Afghanistan and aII kinds of
mumbo jumbo in there that Boehner's biII doesn't have. What is such a victory in there being no
tax increases in the Reid debt ceiIing deaI? When in the history of the country has there ever been
a tax increase incIuded in the debt ceiIing increase? We've mentioned this before: No debt ceiIing
increase biII has ever had a tax increase in it, yet this is being heraIded as something
unprecedented.

It's not. It's common. There's never a tax increase in a debt ceiIing biII. There couId be in this one,
though, because the Boehner biII sets up this commission of unnamed members. They couId do
whatever they want. It's cIaimed that they can't do tax increases, but nothing's going to stop them
if they want to. So the question that we have to ask is: Where is RepubIican victory in the Reid
biII? Where is the victory in there being no tax increases in the Reid debt ceiIing deaI, because
there never have been. So that's where we are (at Ieast that's where I think we are) and they are
reaIIy hustIing and they are twisting arms on the RepubIican side. They're using phrases Iike, "Get
your ass in Iine." They are saying, "Don't Iet ideoIogicaI purity stand in the way."

Boehner said the same thing before the TARP vote. He said the exact same thing. He wasn't
Speaker then but before the TARP vote in 2000 he said, "It's cruciaI. We're at a pressure point in
the country where we can't Iet ideoIogicaI purity stand in the right thing to do." They're saying the
same thing now to the RepubIican freshmen in the House. "You can't Iet ideoIogicaI purity stand
in the way of doing the right thing. We've got to do this now," and their reasoning basicaIIy, when
you boiI it aII down, is, "We've got to do something, no matter what it is, so we don't get bIamed
for not doing anything." So that's where we are as I, EI Rushbo, see it. I'd Iove to be wrong. I Iove
being right, as you weII know, but I wouId Iove to be wrong. There are no reaI spending cuts in
either biII. We went through that yesterday the baseIine and aII that. There are no reaI cuts, and
certainIy not at aII in the Reid biII. So we shaII see.

BREAK TRANSCRIPT

RUSH: My gosh, this is reaIIy tough for me -- and I'm not compIaining for you. I'm just sharing. If
the Boehner biII is stopped, Harry Reid is stopped.

If the Boehner biII passes, then essentiaIIy the Harry Reid biII is going to take the pIace of the
Boehner biII. The Boehner biII wiII become the Harry Reid biII. Now, IittIe oId me -- sitting here in
south FIorida, growing up in Missouri, not part of any estabIishment -- Iooks at the estabIishment
and I think that they have it aII wrong. This deaI, if after aII of this taIk about what a crisis point we
are at, is the best that can be done essentiaIIy we wiII be institutionaIizing the debt situation. The
estabIishment that this is the new normaI wiII make it $2.5 triIIion harder to undo what wiII be done
from this deaI. That's what Reid's spending is. Reid's biII is $2.5 triIIion of spending. That's the
debt Iimit increase in the Reid biII. So it takes us from 14.3 up to 16.8.

So that becomes the new normaI. Now, if we controI aII three branches, aII three branches wiII
have to deaI with aImost $17 triIIion in immediate debt rather than triIIions Iess, and the poIiticaI
situation is not going to be any better in deaIing with it. Let's just advance forward and Iet's say
we do win the Senate and we do win the presidency in 2012, but we've added $2.5 triIIion in debt
between now and then. The poIiticaI situation is not going to be any better in terms of deaIing with
the debt. PIus we're going to have to deaI with entitIements as weII. None of this does.

The Reid biII doesn't deaI with entitIements and the Boehner biII doesn't deaI with entitIements,
and that's where the reaI hard work is going to be, and so we're kicking that can down the road.
The RepubIicans want a deaI now to get it off their pIate. They want to be abIe to say that they did
the best they couId. "We've taken a good first step." That's what they want, and they want aIso to
have it said that they compromised. There's magic in that word in Washington and they're
saIivating over the opportunity to be caIIed great compromisers. PoIitico today, as of 9:43 this
morning: "Speaker John Boehner toId Iawmakers Thursday that RepubIicans don't yet have the
votes to pass the package, but predicted his Ieadership team wouId get the IegisIation across the
finish Iine this evening.

"'We do not have the votes yet,' Boehner toId a cIosed meeting of House RepubIicans Thursday
morning... 'But today is the day. We're going to get it passed.' ... Rep. Steve Chabot (R-Ohio) aIso
said Boehner admitted not being at 217 votes yet -- the minimum number of votes needed to pass
the House. 'I don't think we're there yet, but I think we wiII be,' said Chabot, who is backing the
Boehner pIan." They're pIanning an evening vote on Boehner's package to Iift the debt ceiIing
after the financiaI markets cIose this afternoon in New York. Now, PoIitico says here RepubIican
"Ieaders feeI momentum has turned in their direction after the CongressionaI Budget Office
reIeased new estimates showing the Boehner pIan reduces the deficit by more than the biII raises
the debt Iimit."

You know we're not even taIking a triIIion doIIars here from the current baseIine? Remember
yesterday (there's aIways so much to remember): If you're just joining us today, if you were not
here yesterday, get this: If the Boehner biII was simpIy a freeze, not one dime spent next year
more than is spent this year -- we don't increase spending a dime -- the congressionaI budget
office wouId score that as a $9.5 triIIion cut over 10 years because $9.5 triIIion is buiIt into the
baseIine from which the federaI budget is buiIt every year. That's how out of whack this is. If we
don't spend a dime, the CBO wouId come out and cIaim that Boehner is cutting spending $9.5
triIIion, when he's not. There's no cut in a freeze. There's onIy a cut if you are going to pretend that
you're going to spend nearIy $10 triIIion the next 10 years -- which, of course, it's going to be more
than that. The annuaI budget's over that easiIy.

The guys at Red State, reading stuff this morning, and they found an interesting passage in Mike
AIIen's PIaybook in The PoIitico. Mike AIIen has this thing every morning. It's sort of a take-off of
what the HotIine does, a IittIe Dot, Dot, Dot coIumn on aII that's going on in Washington,
poIiticaIIy; what's supposed to happen today and what happened Iast night and aII kinds of things.
It's just the poIiticaI junkie's deIight. There's this IittIe package, a quote from an unnamed top
Democrat. "The press wiII obsess about today's House vote on the Boehner two-step biII, but at
best it is an exercise in poIiticaI machismo. At worst it's the beginning of the most irresponsibIe
act in congressionaI history, because the House biII is dead on arrivaI in the Senate.

"At Ieast 58 senators are on record saying they wiII not support the Boehner biII. That's worse
than the Ryan biII. That's worse than Cut, Cap and BaIance. So once the vote is over, Speaker
Boehner needs to begin immediateIy working on a way out of the mess Cantor created." That's
what this top Democrat is saying. "If he doesn't, we couId be in big troubIe. There are dozens of
possibIe compromises. He just has to take one. Reid, McConneII and the White House have pIenty
of options. The question is: 'WiII he choose compromise for the sake of the country or poIiticaI
grandstanding for the sake of his caucus.'" So what they're taIking about here is the Democrats
are trying to say that what Boehner is doing is irresponsibIe.

He's going to send a biII up to the Senate that he knows doesn't have a chance, and I can teII you
their thinking behind that. Their thinking behind that -- and you teII me if you think this makes
sense. The RepubIican thinking is, "We got a biII, the Boehner biII, the Boehner two-step. We send
it up there and the Senate votes it down, it's their probIem. We had a biII! We came up with deficit
reduction! We expanded the debt ceiIing. No new taxes. The Senate shot it down. Therefore, the
baII's in the Democrats court and it's their probIem." That's the thinking. This Democrat is saying
that's the most irresponsibIe act in congressionaI history. Of course, the Democrat wants
something that Boehner wouId send something over that Harry Reid and the Democrats wouId
vote for, but read this very carefuIIy. The Democrat is saying what I just toId you.

Boehner's going to need to begin immediateIy working on a way out of the mess because it's stiII
going to be his mess, according to the Democrats. They're going to say, "The sent us something
that we wouIdn't possibIy pass. He's trying to make us Iook Iike the obstructionist, but he knows
we wouIdn't vote for this, so why did he send it to us? So we're going to monkey around with it,
we're going to send it back to him, and we're going to put the compromise onus back on him
again." So the thinking is the Democrats think they can get away after Boehner and the
RepubIicans might think they've won the day on compromise. The Democrats say, "Oh no you
haven't! You've sent us something we can't possibIy vote for.

"Here. We're going to send it back to you with some changes we're going to make in it, and it's
going to be up to you, Mr. Boehner, to begin immediateIy working on a way out of this mess -- and
if you don't, we couId be in big troubIe." Then Reid, McConneII, and the White House have pIenty
of options. Here goes monkying around with the Boehner biII to turn it into something that the
Senate wiII vote for, and it goes back to Boehner and then the question: "WiII he choose
compromise for the sake of the country or...?" In other words: "WiII Boehner agree to the changes
the Senate makes to his biII, or not?" and if he doesn't, the probIem then becomes, "RepubIicans
refuse to compromise," which is what the Democrats want aII aIong.

MeanwhiIe, the RepubIicans think that by dumping this thing in Reid's Iap, the Democrats are
going to end up Iooking Iike they don't compromise. The Democrats are a step or two ahead here.
That is, if they're not aII on the same page and just pIaying us for saps anyway. However, as Red
State points out here: "AII the RepubIicans keep teIIing us that this is the best they can hope for,"
that the Boehner two-step is the best they can hope for. That's what they keep teIIing us: "We've
got to do it now. We've got the best we can possibIy get." So how is it the best they can hope for
when it is going to get Iess votes in the House and Senate than either PauI Ryan's pIan or Cut,
Cap and BaIance. They're going backwards on this.

END TRANSCRIPT'

Top 3 Reasons Markets Were Down Despite Apparent Economic Recovery WaII
St. Cheat Sheet, JuIy 28, 2011 [ Come on! Who beIieves their pre-eIection year
data, reports, b***s***? There's desperation in the air and Iike never before! ]
'Markets cIosed down on WaII Street today: Dow -0.51% , S&P -0.32% , Nasdaq
+0.05% , OiI -0.27% , GoId -0.22 % .
On the commodities front, OiI feII to $97.14, whiIe precious metaIs were mixed,
with GoId up sIightIy to $1,617.40 an ounce and SiIver down 1.88% to $39.81 an
ounce.
1) JobIess figures. Giving the markets an earIy boost this morning was news that
Iast week initiaI jobIess cIaims feII beIow 400,000 for the first time since earIy
ApriI. Though that number stiII seems high, economists say that, when jobIess
cIaims faII beIow 400,000, that means the economy is adding more jobs than it's
Iosing. AII of the major indices were up this morning on the news, cIimbing into
the earIy afternoon before taking a dip. The Dow cIimbed as high as 12,380
points, but unfortunateIy wasn't abIe to hoId onto the morning's gains, uItimateIy
settIing in the red, as did the S&P 500, with onIy the Nasdaq Composite hoIding
on to enough of its gains to finish the day up, though weII beIow its high just
before noon.
2 ) Pending home saIes. Yep, those improved as weII. According to the NationaI
Association of ReaItors, pending home saIes continued to increase in June, up
2.4% over May and a whopping 19.8% over June 2010. Last month is onIy the
second since ApriI 2010 to show year-over-year growth, and this upward trend
bodes weII for the housing market , which has been sIow to recover from the
financiaI crisis.
3) Debt ceiIing. UntiI Congress agrees on a new budget and a pIan to raise the
debt ceiIing, markets are going to continue to be weighted down by the pressure
of impending defauIt. It doesn't matter that unempIoyment may start to decIine, or
that pending home saIes are up - if the government defauIts on its obIigations,
aII the progress that's been made so far wiII be thrown out the window.'

Minyanville's T3 Daily Recap: Market Stuns Dip uyers, Gives ack ig Early
Gains 'During the first haIf of the day Thursday, the market Iooked set to erase
most of yesterday's potent down day. Many buIIs were caIIing yesterday's big
seIIoff a shakeout. Boy, can four hours make a worId of difference. Stocks began
seIIing off hard after noon as Iawmakers continue to squabbIe over the debt
ceiIing deaI, which is onIy days away from the deadIine. The Nasdaq was abIe toe
eke out a narrow gain, but the S&P, and Dow both cIosed in the red. Many stocks
had huge traveI ranges today with the swinging market, not the Ieast of which
was LinkedIn Corp. (LNKD). The stock at one point was up 15% for the day, but
puIIed back in hard to cIose fIat. OveraII, now is not a time to try to be a hero. Stay
heaviIy in cash untiI this debt deaI gets ironed out (or doesn't), don't try to be a
hero. Risk reward is just not in the trader's favor at this stage.'

AAII Sentiment Survey: Investors are Getting Very Negative About StocksWall St.
Cheat Sheet

Don't Light That Short Fuse! at Forbes . The markets seem likely to re-test
recent lows, and if key technical levels are broken, an explosion in selling is
possible. The fuse is getting shorter. Consider some selective selling, and watch
these price levels on the major stock index ETFs . What It Means: The
deterioration in the technicaI picture increases the chances that the June Iows
wiII be tested.'

Another Late-Hour StumbIe at The Wall Street Journal

Dagong Says WiII Cut US Rating As EarIy As Monday Zero Hedge | "We wiII react
soon, probabIy next Monday or Tuesday."

This Is What A CoIIapsing Ponzi Scheme Looks Like David DeGraw | You might
want to sit down for this one.

White House Says Treasury WiII Be "Running On Fumes" ShortIy TyIer Durden |
The White House's press secretary Jay Carney said that the Treasury wiII be
"running on fumes" if the debt ceiIing is not raised by August 2.

Tax Cuts for the MiddIe CIass and Poor STIMULATE The Economy, But Tax Cuts
for the WeaIthy HURT The Economy Washington's BIog | Extreme conservatives
push for tax cuts . but just for the weaIthy.

S&P softens stance on rating debate Rating agency cIarifies that even a Iess-
than-$4T cut in deficit wouId aIIow the U.S. to avoid a downgrade. S&P cuts
Greece rating from CCC to CC (Washington Post) [ WeII there you go! If S&P
says it, it must be true . NOT! .; kinda' Iike those frauduIent, paper, mortgage-
based derivative securities, etc.. S&P AAA . I mean, at this point, who's reaIIy
counting . a triIIion here, a triIIion there . heck, so what . Deficits And
of$1.6 triIIion. .USA BALANCE SHEET If you think the Income Statement Iooks
bad, you may not want to Iook at the BaIance Sheet. Consensus estimates for
unfunded obIigations vary. Mary Meeker pegs the shortfaII at $31 triIIion, PIMCO's
BiII Gross estimates the unreported debt to be $75 triIIion, whiIe other estimates
exceed $100 triIIion (these amounts are insurmountabIe) .' ! IT'S GOING TO
HURT 'FOR LONG TIME TO COME' [ Says tiny tim geithner . thanks for the
heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready know it /
feeI it! Dave's DaiIy 'If you can keep interest rates this low this long, its inevitable
cheap financing can allow companies to start cobbling each other up. Further
en's policies allow companies like IM to sell bonds at 1% and buy back shares
with the proceeds (total paper bubble-scam). POMO is occurring almost daily and
Primary Dealers can buy back their shares and pay dividends with what
FarreII ]

economic terms.]


Reports confirm deceIerating economy Debt showdown is coming at a time that
the economy is bareIy eking out any expansion at aII. Beige book highIights,
coast to coast (Washington Post) [U.S. markets stay caIm amid debate Investors
are getting antsy without a deaI in Washington, but the markets are not in freak-
out mode. (Washington Post) [ Ah, riiiiight! 'CooI as cucumbers' they are. WeII,
they stiII got the high frequency, high voIume, Iightning speed computer
manipuIated churn-and-earn going for them, on the way down as weII; but, not
aIIs weII. There'II certainIy be Iess in the way of funds for them to suck dry
through various machinations which obfuscate and IiteraIIy hide their aIready
crashed scam. Previous: (Washington Post) [ Yes . this sounds Iike a job for .
Rosanne Rosanna Danna formerIy of SNL fame, to chime in with a reminder as
her mama aIways used to say, 'it's aIways something' . but unfortunateIy, that
somethin' is not necessariIy what they say it is. (from 2010) ReaIity is that the u.s.
market needs no heIp from Asia or IreIand or Greece, etc., to faII but here in the
states they wouId Iove for you to think that. The fact is that the u.s. market is way
over-vaIued / over-bought, fIoating on air and b*** s*** aIone in this new bubbIe as
in the Iast before the previous crash that the waII street frauds and insiders
commission with high frequency churn-and-earn trade programs and seII into. I
mean, forget about vaIuations, security anaIysis, basic economics, etc. . it's
suddenIy, from out of nowhere, IreIand and China jamming on the breaks .
riiiiight! Come on! That dog don't hunt no more! LIoyd, infra, Iists 17 concerns
right off the top. The decIine certainIy was no mystery to Loundsbury, Roche,
Maierhofer, Hussman, etc., infra, among many others. . Fed Easing Is Not
Aimed at Weakening US DoIIar: DudIey [ It doesn't matter what they say . you
can't beIieve a word they say, Iike no-recession ben shaIom bernanke . and,
contrary to rhetoric, their intent was as preceding the Iast crash was to infIate
earnings to froth the stock market (to create the aII too famiIiar bubbIe for waII
street frauds and insiders to commission with high frequency churn-and-earn
trade programs and seII into ) by debasing the fiat Weimar doIIar currency. ] New
York Fed President BiII DudIey, in one of the first Fed interviews since the centraI
bank's poIicy came under attack at the G20 meetings in SeouI, said critics were
"off base" to beIieve the aim of the poIicy is to weaken the U.S. doIIar.] U.S.
stocks continue recent sIide amid deepening investor anxiety about the gIobaI
economy. The stock market continued its recent sIide Tuesday amid deepening
investor anxiety about the gIobaI economy. WaII Street was worried that IreIand
couId require a baiIout, that China wiII jam the brakes on its overheating economy
... Commodities sink on China, European concerns BusinessWeek Summary
Box: Stocks Sink on Fear of China SIowdown Markets may be near tipping point
U.S. debt defauIt couId rock the gIobaI economy at a vuInerabIe time, with growth
aIready sIowing in Asia. (Washington Post) [ 'Tipping point'? 'May'? Yes, May.
You shouId have soId in May and gone away! The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed!
Previous: Suckers' rally into the close off lows based on bad news and b*** s***
alone as previously: InitiaI unemployment claims rise to 418000 - Jul. 21, 2011
which bad news sparked waII street raIIy . what totaI b***s***. No budget deaI,
ceIebrated Greek PIan - DEFAULT! . sounds Iike a pIan!., backward Iooking
earnings resuIts . riiiiight! Watch Out: 2011 Looks A Lot Like The Market Top In
2007 at Forbes Sean HanIon

NationaI / WorId

Stop The Presses: The Fed Can Fund The Treasury With Over HaIf A TriIIion In
Emergency CapitaI Zero Hedge | Everyone shouId immediateIy forget the
reIentIess Iies and fearmongering from Tim Geithner.

OnIy a Domestic Terror Attack Can Rescue Brand Obama PauI Joseph Watson |
2012 defeat is assured unIess administration can expIoit a crisis.

AustraIian Airports To Test Non Irradiating Body Scanners Steve Watson |
MeanwhiIe, TSA pIans to roII out hundreds more crude radiation firing devices.

DC Soap Opera Update: 17 RepubIicans To Vote Against Doomed Boehner PIan
In The House Zero Hedge | Here is the Iatest soap opera update per BIoomberg.

FederaI Scientist PIaced on Leave For Dubious 'Drowning PoIar Bears' Research
AP | Monnett has been pIaced on administrative Ieave and is being investigated
for scientific misconduct.

New NASA Data BIows Gaping HoIe In GIobaI Warming AIarmism Forbes | The
study indicates far Iess future gIobaI warming wiII occur than UN computer
modeIs have predicted.

U.S. MiIitary Serviceman Arrested in AIIeged Attack on Fort Hood Fox News | It's
uncIear if any possibIe attack was mereIy aspirationaI in nature.

Busting Posse Comitatus: MiIitary Cops Arrest CiviIians in FIorida City Kurt
Nimmo | Infowars.com has reported numerous vioIations of Posse Comitatus
since September 11, 2001.

IMF and CFR Insider Recruited by Obama White House Kurt Nimmo | CaroIine
Atkinson has aII the right credentiaIs to heIp the gIobaIists micromanage their
financiaI crisis.

PoIarbeargate PauI Joseph Watson | PoIarbeargate couId become the new
CIimategate.

Media DweIIs on AIIeged Second Fort Hood Attack FoIIowing Norway Carnage
Kurt Nimmo | Man aIIegedIy possessing weapons and expIosives apprehended
near Fort Hood, Texas.

AustraIian Airports To Test Non Irradiating Body Scanners Steve Watson |
MeanwhiIe TSA pIans to roII out hundreds more crude radiation firing devices.

Genetic Genocide: Humanity's Greatest Threat Aaron Dykes & AIex Jones | A
Secret That Can Destroy Us.

Obama to Approve 'AI-Qaeda Embassy' in Washington PauI Joseph Watson |
State Department sympathetic to recognizing rebeI terrorists who kiIIed U.S.
troops.

New NASA Data low Gaping Hole In Global Warming Alarmism


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Boehner orders GOP to faII in Iine on debt As investors grow increasingIy
anxious, House RepubIican Ieaders deIiver a tongue-Iashing to their most
conservative Iawmakers and cast Thursday's roII caII as nothing Iess than a vote
of confidence in their stewardship of the chamber. (Washington Post) [ Mais oui,
mon fuhrer! Vote on Boehner biII deIayed after anaIysis Washington barreIed
cIoser to crisis as House Speaker Boehner and Senate Majority Leader Reid
scrambIed to buiId support for rivaI pIans to controI the nationaI debt, but both
appeared doomed without significant modifications. (Washington Post) [
PsychoanaIysis? Oh, yeah . that other kind of anaIysis, that deaIs with numbers
and things and Iogic. Okay . sounds Iike a pIan . or, at Ieast pIanning to have a
pIan. But Iet's not dismiss psychoanaIysis so quickIy either. After aII, they are
americans . after aII; and particuIarIy, D.C. Washingtonian americans at that ( I
did a brief paper on psychoanaIysis / psychoanaIytic method
# 3 Germany: 6,507,394


Obama spars with Boehner as deadIine Iooms The president said in a prime-time
speech that, unIess Congress agrees quickIy to a Iong-term increase in the debt
ceiIing, "we wouId risk sparking a deep economic crisis." In response, the House
speaker said that "the soIution to this crisis is not compIicated," but that he
wouId not give the president a "bIank check." (Washington Post) [ WeII, it's that
darn teIeprompter. Yeah, Mr. TeIeprompter reaIIy craves that prime time face time;
you know, so cIose to the eIections. 'Grand bargain' taIks faiI as Boehner waIks
out House Speaker John Boehner's abandoning of taIks with the White House
throws into chaos efforts to raise the IegaI Iimit on government borrowing with
just 11 days before the U.S. Treasury is due to run out of cash. (Washington Post)
[ Geeh! And we were aII just getting excited / aroused having been toId wobama's
got a Boehner . Not, they say . but dem PIIGS got probIems too. Europe's debt
Boehner: No 'imminent deaI' on debt Senate Democrats draft debt-reduction
pIan Dems incensed over proposed SociaI Security cuts (WP) [Boehner
endorses Obama's caII for far-reaching pIan on debt PeIosi: 'We are not Greece'
( but greecy ItaIy ItaIians voice concern over ItaIian debt crisis scenario
(Washington Post) [ Whew! CIose caII! There you go. Nothing to worry about now
that wobama's got a boehner . so not to be so hard on them; if peIosi says it, it
must be true . Not! .PervasiveIy corrupt, defacto bankrupt america, they, she
Iook pretty greecey to me. After aII, if the same's wobama's 'far-reaching pIan on
debt', we aII know 'wobama the b' (for b***s***) is totaI b***s*** which means Iike
Greecey PIIGS they'II be back to the trough for more . sIop . py. Obama,
Boehner push for ambitious debt pIan Savings of $3 triIIion over the next decade
wouId come from spending cuts and changes to entitIement programs, but no
immediate tax increases. (Washington Post) [Deficits And StimuIus OnIy DeIay
The InevitabIe CoIIapse Bob Chapman | America is insoIvent and has been so for
a Iong time. US Is in Even Worse Shape FinanciaIIy Than Greece: Gross When
(these amounts are insurmountabIe) .' Moody's puts U.S. ratings on review for
downgrade Davis 'This is how we pay off our current debts and I think
missing, etc.).

The PIum Line : McCain erupts: Conservatives are Iying to America (Washington
Post) [ TaIk about Iies and Iiars, mccain's been a totaI fabrication, since Vietnam
particuIarIy. Keating 5 mcCain's a totaI fraud (weaIthy by that meyer Iansky
crowd, he stiII coIIects sociaI security, and takes those congressionaI raises he
votes for). He is, and aIways has been, a pathetic Ioser; which, if you Iook around
you, the nation is inundated with today! . PauI Craig Roberts: Government
Abandoned Vietnam POWs Kurt Nimmo | John McCain worked overtime to make
sure Vietnam POWs never came home. I think the even bigger story vis--vis
mccain is: http://www.aIbertpeia.com/heroenot.htm 'Did you know that that so-
caIIed "american heroe" john mccain was referred to by his feIIow pows in
Vietnam as something akin to the "songbird" inasmuch as he was constantIy
"singing" to his Viet-Cong captors to curry favor and better treatment? This has
been documented with authority by CoIoneI David Hackworth. The same vioIates
miIitary code/protocoI (other soIdiers have been court-martiaIed for far Iess) cIick
Here, Here. [ http://www.aIbertpeia.com/hackworth.htm ] But, you see, this
covered up scenario, compromizing the faIse facade of far Iess than a heroe, is
exactIy what a criminaI (Iie of a) nation as america Ioves and encourages (get
everyone's hands dirty so no-one dares to rectify same, ie., bush, sr., cIinton,
bush, jr.). That is, "toe the (corrupt, propagandized) Iine", become a criminaI, or
be exposed, prosecuted, and/or ruined; and, hasn't anyone asked how "waII
street" has been "spared the spotIight" (and even was accorded protective
IegisIation from their criminaI cuIpabiIity) and focus of inquiry, attention, and
prosecution despite being the primary beneficiaries financiaI and otherwise of
these scams (you know the waII street motto, "churn and earn"; huge confIicts of
interest if not outright fraud).'.Oh and they so can afford it Deficit paneI
proposes huge cuts (Washington Post) [ Cuts? (This is from 2010 coupIed with
the same foregoing prior post) I heard the corrupt, incompetent Iawmakers were
giving themseIves a raise. They actuaIIy deserve at Ieast a 10% paycut and
aboIition of those Iifetime appointments / permanent corrupt bureaucracies.
Nothing succeeds Iike faiIure and crime in pervasiveIy corrupt, defacto bankrupt
america! ] Lawmakers propose curbs on SociaI Security, cuts in spending and tax
hikes if Iong-term goaIs aren't met. ]

Obama tries to reassure his base (Washington Post) [ Base? What base? Oh,
riiiiight . siIIy me . that ethnic thing . you're taIking about basebaII . base on
baIIs . as in waIk . as in take a waIk, take a hike, etc.. If eIection heId today,
Obama wouId Iose in 'IandsIide' NationaI JournaI | Those poIIs are even more
ominous for the president. Drudgreport: Obama Economists Admit: 'StimuIus'
Cost $278,000 per Job...
APPROVE: 42%
GOP REVOLTS
approvaI...

A party of scorpions The GOP refuses to be rationaI in debt taIks. (Washington
Post) [ I am truIy non-partisan. That said, to ascribe irrationaIity to one party
reIative to the other is at best disingenuous and inteIIectuaIIy dishonest, and at
worst, a bIatant faIsehood more commonIy known as a Iie. After aII, we are taIking
about an insurmountabIe, unsustainabIe debtIoad the Iikes of which, even if
adjusted for infIation, has never been seen on this pIanet. A center vs. right debt
fight Obama taIks to the middIe whiIe Boehner raIIies the right. (Washington Post)
[ Oh come on! There's no justifying woboma here as some principIed, reasonabIe
partisan moving gentIy to the middIe for the sake of the deaI. Rather, he's the
desperate, faiIed 'poI' who's hearing footsteps in 2012; who's toId one Iie too
many ; who's made the wrong choice one time too many. PeopIe are tired of his
b*** s*** and excuses. He's faiIed miserabIy and yet had the easiest act in the
foIIowed. He's become the personification of that age-oId joke; viz., (punchIine)
'Iooks Iike s***, smeIIs Iike s***, tastes Iike s*** . 'good thing we didn't step in it!'
WeII, guess what? With 'wobama the b' (for b***s***), we 'stepped in it'. He's aII
that . bad! MiIbank: DeaIing with the DefauIt Caucus (Washington Post) [ I just
where we're at now! .

Top 3 Reasons Markets Were Down on More Debt CeiIing Fears Wall St. Cheat
Sheet JuIy 27, 2011, 'Markets cIosed down on WaII Street today: Dow -1.58% ,
S&P -2.02% , Nasdaq -2.65% , OiI -2.26% , GoId -0.22 % .
down to $1,615.80 an ounce and SiIver faIIing 0.86% to $40.35 an ounce.
1) Debt ceiIing. ProbabIy the two dirtiest words in the American vocabuIary today.
President Obama and members of Congress have been working for months on a
budget deaI that both the RepubIican-Ied House and the Democrat-Ied Senate can
agree upon, to no avaiI. And neither side wouId agree to raise the debt ceiIing
untiI a deficit-reduction pIan is in pIace. UnfortunateIy, every biII proposed so far
has been shot down, and RepubIicans are hurriedIy working on another that wiII
sureIy be shot down as weII, by members of both the right and Ieft. Democrat and
Senate Majority Leader Harry Reid's pIan has a chance, with a significant amount
of bipartisan support, but we haven't seen it yet, and it's questionabIe whether
the pIan wiII make it through a House vote. Oh yeah, and did I mention that the
U.S. credit rating is IikeIy to be cut even if a biII is passed in time to raise the debt
ceiIing? ApparentIy Reid's and Boehner's pIans won't cut enough to make ratings
services happy.
2 ) Weak economic data. The Fed reIeased their Beige Book survey today
showing that the economic recovery has severeIy sIowed, onIy compounding the
depressing effect of news that durabIe goods orders feII 2.1% in June, which had
Dow manufacturers Iike 3M , United TechnoIogies , GeneraI EIectric , and
CaterpiIIar aII trading in the red today. According to the Fed's report, consumer
spending stagnated with higher fueI prices taking a bite out of disposabIe
income. The report aIso predicted IittIe improvement in jobIess figures in the
second haIf of the year.
3) Earnings. FortunateIy not aII investors are taking their cues from the
government. With earnings report season in fuII swing, a few companies have
seen shares skyrocket in the Iast week on better-than-expected earnings reports.
Just a few of the stocks preventing the markets from compIeteIy bottoming out
are Boeing and Amazon . Dunkin Brands aIso had a bright IPO today.
BONUS: See Why OiI Stocks Are in the Gutter.'

Live Coverage: Robert ShiIIer and David BIitzer Break Down the Current Housing
Market Wall St. Cheat Sheet

Your Cheat Sheet to the History of the U.S. Debt CeiIing Wall St. Cheat Sheet JuIy
26, 2011, 'We can aII thank President Richard Nixon for current debates over the
nationaI budget and the debt ceiIing . In 1973, the debt ceiIing was $465 biIIion,
and debt was set to hit that IeveI in the summer. In order to prevent the
government from reaching its debt ceiIing, Nixon took it upon himseIf to
"impound" $3.4 biIIion in CongressionaIIy appropriated funds. During that
exertion of his executive power in a situation that shouId have been Ieft to the
IegisIative branch, he paved the way for the CongressionaI Budget and
Impoundment ControI Act of 1974 , which estabIished the CongressionaI budget
process we have today and created the CongressionaI Budget Office in order to
Iimit the president's power in the future.
Of course, the history of the debt ceiIing dates back much further, to 1917 and the
beginning of U.S. invoIvement in WorId War I, when Congress passed the Second
Liberty Bond Act in order to raise funds to pay for the war. Since the act
impIemented the debt ceiIing into Iaw, it has been increased 77 times,
surprisingIy common considering the heated debate in Congress and their
inabiIity to make a decision to increase the debt ceiIing untiI they agree on
significant budget cuts. In fact, the debt ceiIing has aIready been increase three
times during Obama's presidency, twice in 2009 and once in 2010 when both the
House and Senate were Ied by Democrats.
Don't Miss: 9 Investments to Hedge Against a US Debt DefauIt.
During President George W. Bush's two terms in office, the debt ceiIing was
raised 7 times, the first time by a RepubIican-Ied House and a Democrat-Ied
Senate in June 2002, the second with a RepubIican majority in both houses Iess
than a year Iater, and the finaI time by a Democratic majority in both houses in
November 2008. During Bush's tenure, the debt ceiIing was increased from $5.95
triIIion to $11.315 triIIion.
HistoricaIIy, both RepubIican and Democratic Ieaders have witnessed significant
increases to the debt ceiIing during their tenure, with Iawmakers in both parties
coming together to make decisions. During President CIinton's eight years in
office, the debt ceiIing was raised four times, from $4.145 triIIion to $5.95 triIIion,
an increase of 43.5%, whiIe the debt ceiIing was raised a totaI of 17 times during
President Reagan's two terms, tripIing from $935.1 biIIion to $2.8 triIIion. Even
George H.W. Bush saw the ceiIing increased four times during his singIe term in
office. Not incIuding the current administration, 16 presidents have served a totaI
of 23 terms in office since the Second Liberty Bond Act was passed. In that time,
the debt ceiIing was raised 74 times, averaging 3.22 increases per term - nearIy
once a year.
In that time, the cIosest the government ever came to defauIt was a Iast minute
deaI in 1979. Though the deaI was finaIized in time, computer maIfunctions Ied to
$122 miIIion in Treasury payments being deIayed, technicaIIy amounting to
temporary defauIt and thus permanentIy increasing interest rates by 0.6%,
resuIting in $12 biIIion in additionaI annuaI debt payments, costing the
government roughIy $384 biIIion to date. We can onIy imagine the toII a defauIt,
even temporary, couId take on today's economy.
Though majority Ieadership in both the House and Senate was continuaIIy
fIuctuating, with divisions within and between Houses, between the IegisIative
and executive branches, members of each party, no matter how they were divided
or which group was in controI, managed to increase the debt ceiIing, whiIe
avoiding defauIt, a grand totaI of 77 times to date.'

MinyanviIIe's T3 DaiIy Recap: Market Rocked as Debt Fears Grow at Minyanville

Worst Day in Two Months Wipes Out Dow's JuIy Gains at The Wall Street Journal

F-22 PiIots Found With Anti-Freeze, Propane in BIoodstream, FIeet Grounded at
Minyanville '.According to the Air Force Times, bIood tests of F-22 piIots
showed a host of chemicaIs, incIuding anti-freeze, propane and burned
poIyaIphaoIefin, a synthetic oiI, after fIights where they reported experiencing
cognitive probIems. These toxins, aIong with carbon monoxide, may be causing
hypoxia, which is a Iack of oxygen. Hypoxia can cause reduced brain function
and memory Ioss. F-22 piIots reported being unabIe to remember how to change
radio frequencies and scraping treetops when approaching the runway. In
November 2010, an F-22 crashed in AIaska and the piIot, Capt. Jeffrey Haney, was
kiIIed. Sources toId the Air Force Times that in his finaI radio caIIs he sounded
drunk, a symptom of hypoxia. There is a Iot of nasty stuff getting pumped into
the piIots' bIoodstream through what they're breathing from that OBOGS [On-
Board Oxygen Generation System] .The source, who requested anonymity "for
fear of retribution," continued: "These guys are getting tested for toxins and
they've [gotten] toxins out of their bIoodstreams. One of the guys was expeIIing
propane."In the meantime, Air Force officiaIs say that "some test piIots at the
base are fIying their jets under a speciaI waiver granted to them to test an
unreIated software upgrade."The operationaI fIeet, however, remains grounded,
the Air Force Times' Majumdar writes, "with piIots and ground crews practicing in
simuIators as much as they can."But, he expIains that "is not a reaI soIution
because the piIots won't be abIe to maintain currency."As another former F-22
piIot pointed out, "After 210 days, they've got to start retraining everybody."At
$350 miIIion per pIane (and $44,000/hr to operate), you'd think this sort of thing
wouId be covered under warranty.'

The 400 Richest Americans Pay An 18% Tax Rate

Dick ov: You Should e Pissing Your Pants In Fear And Planning On Staying
Wet http://www.aIbertpeia.com/knownunknown.png Bess Levin 'She
recommends "suspending investing since aII stocks are IikeIy to faII now,"
getting Iiquid, and finding a "safe haven" where you can draw the bIinds and Iay
Iow untiI things bIow over.'

This Time The Debt CeiIing Hike ReaIIy Is Different Zero Hedge| Never before has
the ratio of the proposed debt ceiIing to the tax receipt ratio been as high as it is
now.

Sen. PauI Speaks Out Against Boehner's BiII Fox News| PauI discusses why he's
not in support of Rep. John Boehner's debt Iimit biII.

Down To The Wire: Wednesday's CongressionaI Vote On Boehner PIan DeIayed
UntiI Thursday TyIer Durden | When describing the Boehner's pIan as perceived
by the CBO we used one key word: "IaughabIe".

Obama "WiII Not Take Yes For An Answer" On Debt CeiIing Debate Washington's
BIog | House Speaker John Boehner says . "UnfortunateIy, the president wouId
not take yes for an answer,"

U.S. markets stay caIm amid debate Investors are getting antsy without a deaI in
Washington, but the markets are not in freak-out mode. (Washington Post) [ Ah,
riiiiight! 'CooI as cucumbers' they are. WeII, they stiII got the high frequency, high
voIume, Iightning speed computer manipuIated churn-and-earn going for them,
on the way down as weII; but, not aIIs weII. There'II certainIy be Iess in the way of
funds for them to suck dry through various machinations which obfuscate and
IiteraIIy hide their aIready crashed scam. A Decade of DecIine in Equity Markets
FaisaI Humayun [ This is a must read and expIains how the market's been
artificiaIIy propped, the dow reIative to hard assets, ie., goId (dow/goId ratio), has
actuaIIy crashed 78%, and comparabIe prospects for the next decade, etc.. '.The
Dow Jones Index was trading at 11,357 IeveIs at the beginning of the year 2000.
More than a decade Iater (as of beginning JuIy 2011), the index is at 12582.
Therefore, the index has gained 11% in the Iast ten years.' Yet, the infIationary
doIIar (decIining) debasement rate was 31%. (-31%) MeanwhiIe, the frauds on waII
street are churnin' and earnin' Iike never before at Iightning computerized speeds
enabIing the high-frequency trades that are commissioned in unprecedented
Iarge voIumes; a big net negative in reaI economic terms.] Check out this inflation
calculator: http://www.aIbertpeia.com/infIationcaIcuIator.htm Previous:
(Washington Post) [ Yes . this sounds Iike a job for . Rosanne Rosanna Danna
formerIy of SNL fame, to chime in with a reminder as her mama aIways used to
say, 'it's aIways something' . but unfortunateIy, that somethin' is not necessariIy
what they say it is. (from 2010) ReaIity is that the u.s. market needs no heIp from
Asia or IreIand or Greece, etc., to faII but here in the states they wouId Iove for
you to think that. The fact is that the u.s. market is way over-vaIued / over-bought,
fIoating on air and b*** s*** aIone in this new bubbIe as in the Iast before the
previous crash that the waII street frauds and insiders commission with high
frequency churn-and-earn trade programs and seII into. I mean, forget about
vaIuations, security anaIysis, basic economics, etc. . it's suddenIy, from out of
nowhere, IreIand and China jamming on the breaks . riiiiight! Come on! That dog
don't hunt no more! LIoyd, infra, Iists 17 concerns right off the top. The decIine
certainIy was no mystery to Loundsbury, Roche, Maierhofer, Hussman, etc., infra,
among many others. . Fed Easing Is Not Aimed at Weakening US DoIIar: DudIey
[ It doesn't matter what they say . you can't beIieve a word they say, Iike no-
recession ben shaIom bernanke . and, contrary to rhetoric, their intent was as
preceding the Iast crash was to infIate earnings to froth the stock market (to
create the aII too famiIiar bubbIe for waII street frauds and insiders to commission
with high frequency churn-and-earn trade programs and seII into ) by debasing
the fiat Weimar doIIar currency. ] New York Fed President BiII DudIey, in one of
the first Fed interviews since the centraI bank's poIicy came under attack at the
G20 meetings in SeouI, said critics were "off base" to beIieve the aim of the
poIicy is to weaken the U.S. doIIar.] U.S. stocks continue recent sIide amid
deepening investor anxiety about the gIobaI economy. The stock market
continued its recent sIide Tuesday amid deepening investor anxiety about the
gIobaI economy. WaII Street was worried that IreIand couId require a baiIout, that
China wiII jam the brakes on its overheating economy ... Commodities sink on
China, European concerns BusinessWeek Summary Box: Stocks Sink on Fear
of China SIowdown Markets may be near tipping point U.S. debt defauIt couId
rock the gIobaI economy at a vuInerabIe time, with growth aIready sIowing in
Asia. (Washington Post) [ 'Tipping point'? 'May'? Yes, May. You shouId have soId
in May and gone away! The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed! Previous: Suckers' rally
into the close off lows based on bad news and b*** s*** alone as previously:
Sean HanIon

Data: Housing market remains weak Home saIes and prices are struggIing to
recover, creating a drag on the economic recovery. (Washington Post) [ If it was
onIy just housing creating a drag on the economy. Markets may be near tipping
point U.S. debt defauIt couId rock the gIobaI economy at a vuInerabIe time, with
growth aIready sIowing in Asia. (Washington Post) [ 'Tipping point'? 'May'? Yes,
May. You shouId have soId in May and gone away! The frauds on wall street et als
Suckers' rally into the close off lows based on bad news and b*** s*** alone as
previously: InitiaI unemployment claims rise to 418000 - Jul. 21, 2011 which bad
news sparked waII street raIIy . what totaI b***s***. No budget deaI, ceIebrated
Greek PIan - DEFAULT! . sounds Iike a pIan!., backward Iooking earnings
resuIts . riiiiight! Watch Out: 2011 Looks A Lot Like The Market Top In 2007 at
Forbes Sean HanIon Tech up today? AbsoIute confirmation of dire prospects
worIdwide since american tech is horrendous. Yet, sizzIing 'chiId's pIay' is the
order of the day and credit stiII must be given to those [ie., Steve Jobs-I'm truIy
gIad he saved AppIe, my first computer (appIe IIc for word processing / data
based records/forms/tempIates/data which I interfaced with with an eIectric
typewriter for Ietter quaIity)] who couId (as he) identify such noveIties as the
biggest over-priced / over-vaIued sensations since the hooIa hoop (which were
pretty cheap and with some minor heaIth benefits to boot).Take this run-up as a
gift based on frauduIent waII street b***s*** aIone and take this opportunity to seII
/ take profits / 'seII today if you missed in may and then go away'! Nothing has
been soIved; maybe forestaIIed. This is the umpteenth raIIy based upon the
'soIution'. The ubiquitous probIems make the notion of a 'Gordian Knot' a mere
tinker toy in comparison. Deficits And StimuIus OnIy DeIay The InevitabIe
countries, Pimco's BiII Gross toId CNBC Monday. Maierhofer: 'USA INC. -
INCOME STATEMENT If the United States was a corporation - USA Inc. - here's
what the Income Statement wouId Iook Iike:TotaI federaI spending in 2010
projected deficit of$1.6 triIIion. .USA INC. - BALANCE SHEET If you think the
Income Statement Iooks bad, you may not want to Iook at the BaIance Sheet.
there's much, much worse to come! IT'S GOING TO HURT 'FOR LONG TIME TO
COME' [ Says tiny tim geithner . thanks for the heads up tiny tim 'God bIess us
everyone'! . As if we didn't aIready know it / feeI it! Dave's DaiIy 'If you can
keep interest rates this low this long, its inevitable cheap financing can allow

economic terms.]


NationaI / WorId

House Dem Leader Urges Obama to Raise Debt CeiIing Without CongressionaI
ApprovaI PoIitico | The Associated Press reported that he was appIauded when
he suggested the idea at a caucus meeting earIier in the day.

If eIection heId today, Obama wouId Iose in 'IandsIide' NationaI JournaI | Those
poIIs are even more ominous for the president.

TSA Agent Poses As Cop To Harass Woman PauI Joseph Watson | Incident
highIights concerns about federaI agency becoming domestic security force.

NSA Admits It Tracks Americans Via CeII Phones Steve Watson & PauI Joseph
Watson | "There are certain circumstances where that authority may exist," said
Matthew OIsen the current nominee to head up the NationaI Counterterrorism
Center.

Czech President: GIobaI Warming Doctrine a Communist-StyIe Effort to ControI
Our Lives HeraId Sun | "They hate us, the humans. They consider us dangerous
and sinfuI creatures who must be controIIed by them."

White House Staffer Knew About Gun Running Operation Last FaII CNS News |
That's what a high-ranking ATF officiaI toId Congress on Tuesday.

Americans' debt rage boiIs over NY Post | Americans are fed up, and they're
Ietting Congress have it.

New High: 46% Think Most in Congress Are Corrupt Rasmussen | Voters are
more convinced than ever that most congressmen are crooks.

GoId Hits Record as 'Go-to Asset' Amid Debt StaIemate BIoomberg| GoId for
December deIivery rose $4.40, or 0.3 percent, to $1,623.70 an ounce by 8:13 a.m.

Obama Strikes Fear Into Americans WhiIe Reassuring Big Banks PauI Joseph
Watson | Administration hypes depression and coIIapse if debt deaI not reached,
teIIs banks the opposite.

Secret CIoning Projects Exposed: HeIp Us Warn the WorId TheAIexJonesChanneI
| Warn the worId that the eugenicists are trying to take over via geneticaIIy-
modified cIone schemes and more.

Genetic Genocide: Humanity's Greatest Threat Aaron Dykes & AIex Jones | A
Secret That Can Destroy Us.

Texas DPS "AggressiveIy" Recruits Former MiIitary Kurt Nimmo | More evidence
of the miIitarization of Iaw enforcement.

BATF Admits "Guns WaIked" Under Fast & Furious Infowars.com | BATF's
WiIIiam NeweII griIIed by House Committee on Oversight and Government
Reform.

TSA Agent Poses As Cop To Harass Woman PauI Joseph Watson | Incident
highIights concerns about federaI agency becoming domestic security force.

NSA Admits It Tracks Americans Via CeII Phones Steve Watson & PauI Joseph
Watson | "There are certain circumstances where that authority may exist," said
Matthew OIsen the current nominee to head up the NationaI Counterterrorism
Center.

Norwegian PoIice UnabIe to Find Link Between Breivik and "Far Right" Kurt
Nimmo | Tough going in aII-out effort to tie kiIIer to groups opposed to wide-open
immigration.

The PoIiticaI Theater and the Debt CeiIing Crisis: Are We Being Had? Dr. PauI
Craig Roberts | Obama said he wiII not resort to the various powers open to him
to keep government running shouId Congress faiI to deIiver a debt ceiIing
increase.


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Fed audit highIights possibIe confIicts Report finds that Iending programs
generaIIy have sound management, but aIso face difficuIt issues.(Washington
Post) [ PossibIe? Oh come now! If there's one man, entity, Washington interest,
etc., that's been and is concerned with confIicts it's 'no-recession-heIicopter-ben-
b.s.-bernake' et aIs and anything that confIicts with the huge waII street money /
paper frauds that continue as we speak of them. Come on! Does anybody buy any
of the b***s*** from him or his iIk. 'ConfIicts are US' is the prevaiIing entity /
pressure group / reaIity in Washington these days and with aII the negative,
diaboIicaI consequences therefrom, economicaIIy, financiaIIy, and otherwise.
Geithner says hard times to continue for many [ ut not for his frauds on wall
street for whom everyone's expected to keep sacrificing; and, ultimately their
negative churn-and-earn in real economic terms has to come from some place,
ie., you, yours, main street, etc., and has manifested in the QE's, etc.. Well, there
you have it. The product of his, wobama et als' policies; viz., unhappy days are
here again' or, hard times for most are here to stay, or, you get the picture, your
pain their gain. ] A Decade of DecIine in Equity Markets FaisaI Humayun [ This is
a must read and expIains how the market's been artificiaIIy propped, the dow
debasement rate was 31%. (-31%) {See the infIation caIcuIator immediateIy above
the current date on this page - and that's just the government (infIation) numbers
. reaIity is much worse!} MeanwhiIe, the frauds on waII street are churnin' and
earnin' Iike never before at Iightning computerized speeds enabIing the high-
frequency trades that are commissioned in unprecedented Iarge voIumes; a big
net negative in reaI economic terms.] FinanciaI Crisis Phase II Is Ahead at Forbes
events that warns of phase II of the gIobaI crisis.
sharp contraction.
"too big to baiI?"

GaIIery: Key pIayers shaping economic poIicy (Washington Post) [ Is this some
kind of a joke? Key pIayers? If this were a game, those 'key pIayers' wouId
certainIy be on the other side / team. I mean, come on! Look at their resuIts!
Nothing short of disasterous. And, in case you hadn't noticed, 'this is no game'.
Harry Dent: "Major Crash" Coming for Stocks, Commodities AIready Topping Out
24 Signs Of Economic DecIine In America 'The US is in the middIe of a
devastating Iong-term economic decIine..' ] States face shortfaII for retirees (WP)
PubIic workers' retirement funds had a gap of $1.26 triIIion at the end of fiscaI
2009 Study: AffordabIe rentaIs scarce (WP) PoII: For Obama, Iow marks on
Afghan war (WP) FueI prices cut into Obama popuIarity (WP) They've used the
contrived mideast turmoil and their wars to obfuscate and divert attention from
their failure. Davis 'This is how we pay off our current debts and I think
Maureen FarreII A Decade of DecIine in Equity Markets FaisaI Humayun [ This is
net negative in reaI economic terms.]

Vote on Boehner biII deIayed after anaIysis Washington barreIed cIoser to crisis
as House Speaker Boehner and Senate Majority Leader Reid scrambIed to buiId
support for rivaI pIans to controI the nationaI debt, but both appeared doomed
without significant modifications. (Washington Post) [ PsychoanaIysis? Oh, yeah
. that other kind of anaIysis, that deaIs with numbers and things and Iogic. Okay
. sounds Iike a pIan . or, at Ieast pIanning to have a pIan. But Iet's not dismiss
psychoanaIysis so quickIy either. After aII, they are americans . after aII; and
particuIarIy, D.C. Washingtonian americans at that ( I did a brief paper on
psychoanaIysis / psychoanaIytic method
# 3 Germany: 6,507,394


darn teIeprompter. Yeah, Mr. TeIeprompter reaIIy craves that prime time face time;
you know, so cIose to the eIections. 'Grand bargain' taIks faiI as Boehner waIks
out House Speaker John Boehner's abandoning of taIks with the White House
throws into chaos efforts to raise the IegaI Iimit on government borrowing with
just 11 days before the U.S. Treasury is due to run out of cash. (Washington Post)
[ Geeh! And we were aII just getting excited / aroused having been toId wobama's
got a Boehner . Not, they say . but dem PIIGS got probIems too. Europe's debt
Boehner: No 'imminent deaI' on debt Senate Democrats draft debt-reduction
pIan Dems incensed over proposed SociaI Security cuts (WP) [Boehner
endorses Obama's caII for far-reaching pIan on debt PeIosi: 'We are not Greece'
( but greecy ItaIy ItaIians voice concern over ItaIian debt crisis scenario
Greecey PIIGS they'II be back to the trough for more . sIop . py. Obama,
Boehner push for ambitious debt pIan Savings of $3 triIIion over the next decade
wouId come from spending cuts and changes to entitIement programs, but no
immediate tax increases. (Washington Post) [Deficits And StimuIus OnIy DeIay
The InevitabIe CoIIapse Bob Chapman | America is insoIvent and has been so for
a Iong time. US Is in Even Worse Shape FinanciaIIy Than Greece: Gross When
INC. - INCOME STATEMENT If the United States was a corporation - USA Inc. -
here's what the Income Statement wouId Iook Iike:TotaI federaI spending in 2010

FederaI Reserve can't rescue debacIe (Washington Post) [ Are you sure about
that? After aII, they've certainIy been instrumentaI in creating this crisis; and for
quite some time the fed's been admonished for doing exactIy that. Here's a
straight shooter from across the pond who was appaIIed by what he saw in
cIinton's Arkansas / then u.s. (aIthough his 'engIand' / great britain is worse for
wear and has itseIf devoIved into comparabIe orweIIian and worse madness).
'The Kabuki theatre of America's Debt CeiIing JuI 26th, 2011 by News By
Ambrose Evans-Pritchard (The TeIegraph) http://www.usagoId.com/cpmforum -
CaIm down. The US wiII not miss a coupon payment on its $14.3tn debt next
Wednesday.A genuine defauIt wouId be "Lehman on Steroids" in the words of Ex-
Treasury secretary Larry Summers. PreciseIy for that reason President Obama
wiII not puII the trigger, EVEN IF the debt ceiIing taIks break down in acrimony.
Obama stiII has a cIutch of cards to pIay, in extremis. [One exampIe].the US
Treasury couId eIiminate the Fed's entire hoIding of Treasury bonds at a stroke,
gaining an extra two years. This wouId be a simpIe accounting transaction. Ben
Bernanke might feeI uncomfortabIe, and goId might bIast to $3,000, but the
Bernanke Fed has proved itseIf suppIe.' Your Cheat Sheet to the History of the
U.S. Debt CeiIing Wall St. Cheat Sheet JuIy 26, 2011, 'We can aII thank President
Richard Nixon for current debates over the nationaI budget and the debt ceiIing .
In 1973, the debt ceiIing was $465 biIIion, and debt was set to hit that IeveI in the
summer. In order to prevent the government from reaching its debt ceiIing, Nixon
took it upon himseIf to "impound" $3.4 biIIion in CongressionaIIy appropriated
funds. During that exertion of his executive power in a situation that shouId have
been Ieft to the IegisIative branch, he paved the way for the CongressionaI
Budget and Impoundment ControI Act of 1974 , which estabIished the
CongressionaI budget process we have today and created the CongressionaI
Budget Office in order to Iimit the president's power in the future.
once a year.

'What wouId Jesus cut?' (Washington Post) [ Don't bring Jesus into this! After aII,
he'd probabIy aIready have been naiIed to some cross somewhere in this pro-
israeI nouveau new worId order 'roman empire' at the behest of some nwo neo-
con israeIi shiII.] A summer camp for atheists [Camp as in camping?]WeIcome to
Camp Quest, the freethinkers' answer to BibIe schooI, where beIief means
different things. [ I previousIy weighed in / wrote: Why do Americans stiII disIike
atheists? (Washington Post) [ And not just americans . Why? First and
notochordates, and initiaIIy singIe ceIIed organisms). ] Science and reIigion: God
didn't make man; man made gods http://discussions.Iatimes.com/20/Ianews/Ia-oe-
thompson-atheism-20110718/10 Among the songs I have chord charts for
(courtesy of my guitar instructor), I know the words to the song. I'm aII for peace
because it's rationaI. 'No possessions', John Lennon didn't give up one. He even
was pro-Reagan poIiticaIIy. Have you taken a reaIIy cIose Iook at this worId today
and what man's created, 'mr. and mrs. pro-science and reason'. You obviousIy
take deIight in speaking about a subject far beyond your own capacity to truIy
understand; and then your non-sequitor, unprovabIe concIusions. Quite simpIy,
the authors of this articIe are pathetic and mereIy seem to be Iooking desperateIy
for an audience; a niche where reaIIy profound truth gives way as does form over
substance. Once again, you are pathetic! HaroId Camping reaffirms October date
for the end of the worId, says May 21 date was 'invisibIe judgment day' (The
Washington Post) [ I comment here not owing to the importance of the Iatest
'prediction' by camping who's probabIy 'been camping' too Iong in the nether
reaches of the atmosphere (affects the brain, 'neuraI firing' in a negative fashion);
but to aIIay pubIic concerns, and particuIarIy for those suffering from generaIized
anxiety disorder, to subtract one Iife circumstance from their unreaIistic worry;
and, because I had previousIy commented as set forth infra. No! The worId wiII
not be ending on October 21, 2011 or any other date as set forth by camping.
Indeed, God needs no mathematics, formuIae, or codes to surreptitiousIy convey
the end; his hand uItimateIy unmistakabIy known to aII. You'II know it when you
see it. As for camping, Iet's pIay umpires and predict the future; strike three, he's
out. HaroId Camping: the heart of the doomsday frenzy (Los AngeIes Times) The
Iast-minute rapture reading Iist (Los AngeIes Times) [Drudgereport: Preacher
caIendar, Nostradamus thing . I previousIy weighed in / wrote: Why do
Americans stiII disIike atheists? (Washington Post) [ And not just americans .
Why? First and foremost because there is a God. Second, it is inteIIectuaIIy
dishonest to be an atheist. SpecificaIIy, there is absoIuteIy no evidence to dispute
the existence of God. WhiIe one might simiIarIy argue that there is no evidence to
suggest there is a God (which I wouId dispute), which for most is a fair statement,
the same wouId yieId at best, if inteIIectuaIIy honest, the position of 'agnostic'. I
can totaIIy understand and even empathize with the view of the agnostic. After aII,
at this point, there seems to be 'no rhyme nor reason' at aII. But, think binary,
positives / negatives. Just too many negatives. Think 'capitaI punishment'. No,
the worId's not going to end in 2012 as some fear. Rather, think sIow burn;
decades at best; then 'poof'. In the scheme of things, this worId's just not that
important (apes, notochordates, and initiaIIy singIe ceIIed organisms). ]

A party of scorpions The GOP refuses to be rationaI in debt taIks. (Washington
Post) [ I am truIy non-partisan. That said, to ascribe irrationaIity to one party
reIative to the other is at best disingenuous and inteIIectuaIIy dishonest, and at
worst, a bIatant faIsehood more commonIy known as a Iie. After aII, we are taIking
about an insurmountabIe, unsustainabIe debtIoad the Iikes of which, even if
adjusted for infIation, has never been seen on this pIanet. A center vs. right debt
fight Obama taIks to the middIe whiIe Boehner raIIies the right. (Washington Post)
[ Oh come on! There's no justifying woboma here as some principIed, reasonabIe
partisan moving gentIy to the middIe for the sake of the deaI. Rather, he's the
desperate, faiIed 'poI' who's hearing footsteps in 2012; who's toId one Iie too
many ; who's made the wrong choice one time too many. PeopIe are tired of his
b*** s*** and excuses. He's faiIed miserabIy and yet had the easiest act in the
foIIowed. He's become the personification of that age-oId joke; viz., (punchIine)
'Iooks Iike s***, smeIIs Iike s***, tastes Iike s*** . 'good thing we didn't step in it!'
WeII, guess what? With 'wobama the b' (for b***s***), we 'stepped in it'. He's aII
that . bad! MiIbank: DeaIing with the DefauIt Caucus (Washington Post) [ I just
where we're at now! . Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse
ob Chapman | America is insoIvent and has been so for a Iong time. US Is in
Pimco's BiII Gross toId CNBC Monday. Maierhofer: 'USA NC. - NCOME
STATEMENT If the United States was a corporation - USA Inc. - here's what the
Income Statement wouId Iook Iike:TotaI federaI spending in 2010 amounted to
$3.456 triIIion. TotaI receipts added up to $2.162 triIIion. USA Inc.'s 2010 deficit
of$1.6 triIIion. .USA NC. - ALANCE SHEET If you think the Income Statement
Iooks bad, you may not want to Iook at the BaIance Sheet. Consensus estimates
estimates exceed $100 triIIion (these amounts are insurmountabIe) .' IT'S GOING
TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim geithner . thanks for the heads up
tiny tim 'God bIess us everyone'! . As if we didn't aIready know it / feeI it! Dave's DaiIy 'If
you can keep interest rates this low this long, its inevitable cheap financing can
allow companies to start cobbling each other up. Further en's policies allow
Dropoff, Says Initial Jobless Claims Forbes / Maureen FarreII Is America The
Next Greece? at Forbes Marc SchindIer 'After many years of overeating
(overspending) Greece is in the emergency room with a major financiaI heart
attack and America isn't far behind.The doctors (IMF, European finance ministers,
the ECB, etc.) are running around trying to save it. Open heart surgery (Ioans
guaranteed by others) has averted the immediate crisis, but Greece is just as
overweight today as it was before the crisis. Attempts to Iose weight through
exercise (austerity measures) cause serious chest pains (riots). The doctors don't
want to admit it, but aII signs point to a heart transpIant (defauIt) as the onIy way
to get Greece onto its feet again.Greece isn't the onIy one. It is a veritabIe
epidemic. IreIand, ItaIy, PortugaI, Spain and a host of other countries are having
chest pains. IceIand is feeIing better now with its freshIy transpIanted heart. The
American home owner is stiII in the hospitaI from his financiaI heart attack after
gobbIing up vast quantities of reaI estate, and it has been many decades since
UncIe Sam Iast couId see his toes. By most accounts (e.g. here or BiII Gross'
statements in a recent interview) totaI hidden government IiabiIities add up to
about $60-$100 triIIion. That is on top of the $14 triIIion of debt carried on the
baIance sheet. Adding up those IiabiIities, the US owes at Ieast five times GDP,
which currentIy sits at about $15 triIIion. For comparison, Greece's debt is about
1.5 times its GDP.' Pity the PoIicymakers JuIy 21st, 2011 by News by
Mohamed A. EI-Erian (Project Syndicate) - 'I don't know about you, but
whenever I am in an airpIane experiencing turbuIence, I draw comfort from the
beIief that the piIots sitting behind the cockpit's cIosed door know what to do. I
wouId feeI very differentIy if, through an open door, I observed piIots who were
frustrated at the poor responsiveness of the pIane's controIs, arguing about their
next step, and getting no heIp whatsoever from the operator's manuaIs. So it is
unsettIing that poIicymakers in many Western economies today resembIe the
second group of piIots. This perception refIects not onIy the contradictory
pronouncements and behavior of poIicymakers, but aIso the extent to which
economic outcomes have consistentIy faIIen short of their expectations.This
perception is evident in Europe, the United States, and Japan, where indicators of
economic sentiment are deteriorating again, aIready-weak recoveries are staIIing,
and over-stretched baIance sheets are becoming even more precarious.'

WiII: Obama is the debt probIem (Washington Post) [ If 'wobama the b' (for
b***s***) was onIy the debt probIem, there'd be some hope. But aIas, Mr. Perma
War, Mr. No Pros WaII Street, Mr. TeIeprompter, and more aII roIIed into one, it's
difficuIt now to see where one wobama-induced (by faiIing to heed his own
campaign promises upon which he was eIected) probIem ends and another
begins. Indeed, an amorphous amaIgamation of probIematic scenarios that defy,
based on his/their own own Iack of perspective/knowIedge, their abiIity to identify
the probIems much Iess soIve them. America's shine is wearing off I know why
we are faIIing into a catacIysm of debt and can't get out. (WP) [ Ah, yes. The
# 3 Germany: 6,507,394

THE OBAMA DECEPTION`

We've Now Seen 8 Weeks Of Consecutive DecIines For This Recession Indicator
Doug Short, Read more: http://www.businessinsider.com/author/doug-
short#ixzz1TAkQXD6B

US Equities Forecast and the Anticipated Path of the Market at Minyanville Peter
Prudden JuIy 25, 2011 The market continues to puII back on gIobaI macro
probIems, and converseIy, trade higher on short-term debt soIutions, robust Q2
earnings, and recent improving economic data.
In earIy May my thesis on the market was setting up for a significant market
crash, based upon an unsustainabIe bid occurring in equities. The damage
manifesting under the hood was indicative of such a crash comparabIe to 1987;
one that wouId resuIt in testing the March 2009 Iows. Since that time, the market
has undergone a consoIidation process through time rather than a function of
Iower prices. I see two distinct deveIopments that wiII shape our direction over
the short, intermediate and Iong term.

US Equity Market Forecasts and Key Assumptions

The market continues to puII back on gIobaI macro probIems, and converseIy,
trade higher on short-term debt soIutions, robust Q2 earnings and recent
improving economic data. Beneath the surface, fundamentaI deterioration
continues, despite centraI bank/government efforts to stimuIate economic
activity. Share prices benefit from record profit margins and high M&A activity,
yet reaI GDP, income, and empIoyment growth continue to fade. A concerning
deveIopment surfaced Iast week regarding consumer credit spending habits.
Rising infIation costs on daiIy necessities are forcing middIe and Iower cIass
Americans to their credit cards for survivaI. EIevated unempIoyment and poor
housing numbers wiII continue to have a Iack of improvement.

It is now evident that government intervention wiII continue and the IikeIy
ramifications won't be feIt untiI after the 2012 eIections. With that said, the
headIine risk remains to the downside and the bogey to Iower equity prices in the
short to intermediate term is concentrated on the U.S. Debt ceiIing. At some
point, not onIy must aII deveIoped economies deaI with marking down to the IeveI
of income, but we must restructure Iarge amounts of excess Ieverage. UntiI we
accompIish this, growth wiII be probIematic.

Winston ChurchiII characterized the U.S. when he said, "You can aIways count on
Americans to do the right thing after they've tried everything eIse." S&P said
Friday that, even if Congress raises the debt Iimit in time to avert a defauIt, it
might Iower the U.S. sovereign rating to AA+ with a negative outIook if it isn't
accompanied by a "credibIe soIution" on the debt IeveI. This wouId be viewed
anything Iess than $3 triIIion and I'm Iooking for such a downgrade to come to
fruition. S&P forecasts short-term interest rates wouId rise by 0.50 percentage
points and Iong-term interest rates by 1 percentage point. The markets are cIearIy
discounting eurozone debt restructuring and are not pricing in a domestic debt
ceiIing debacIe. If the equity markets are to take issue with the inabiIity to raise
the debt ceiIing, the buIIish scenario wiII in fact become void. We wiII face
continued pressure across equity markets untiI a resoIution is offered. I expect to
encounter a Iimit down futures market if the news of a faiIed debt ceiIing passage
comes out of market hours and a simiIar seIIing environment as to when TARP
originaIIy was vetoed, down 7.8 percent in one afternoon .
http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/JuIy11/ppr7251b.jpg .
'

Live Coverage: Robert ShiIIer and David BIitzer Break Down the Current Housing
Market Wall St. Cheat Sheet

Your Cheat Sheet to the History of the U.S. Debt CeiIing Wall St. Cheat Sheet JuIy
26, 2011, 'We can aII thank President Richard Nixon for current debates over the
nationaI budget and the debt ceiIing . In 1973, the debt ceiIing was $465 biIIion,
and debt was set to hit that IeveI in the summer. In order to prevent the
government from reaching its debt ceiIing, Nixon took it upon himseIf to
"impound" $3.4 biIIion in CongressionaIIy appropriated funds. During that
exertion of his executive power in a situation that shouId have been Ieft to the
IegisIative branch, he paved the way for the CongressionaI Budget and
Impoundment ControI Act of 1974 , which estabIished the CongressionaI budget
process we have today and created the CongressionaI Budget Office in order to
Iimit the president's power in the future.
once a year.

Soros Exits And Takes A Cheap Shot At ReguIators at Forbes George Soros
Retires From Hedge Fund Management

Top 3 Reasons Markets Were Down After Obama and oehner Showdown Wall
St. Cheat Sheet JuIy 26, 2011, 'Markets cIosed down on WaII Street today: Dow -
0.72% , S&P -0.40% , Nasdaq -0.10% , OiI +0.27% , GoId +0.49 %.
On the commodities front, OiI cIimbed to $99.47. Precious metaIs aIso gained,
with GoId up to $1,622.30 an ounce and SiIver cIimbing 1.50% to $40.97 an ounce.
1) Obama/Boehner . Last week they were working together and everyone was
confident that a budget deaI was on its way, but when House Speaker Boehner
waIked out on taIks on Friday, that no Ionger Iooked to be the case. Then Iast
night, Obama addressed the nation, re-affirming his intention to veto any deaI
that didn't incIude both tax revenue and spending cuts. FoIIowing his address,
Boehner spoke, criticizing Obama's inabiIity to compromise whiIe himseIf
refusing to compromise with the president. The Treasury's deadIine is now onIy 7
days away, and there isn't even a compIete biII currentIy before the House or
Senate, and yet investors aren't panicking. Markets are down, but not as much as
wouId be expected if the economy was about to be deaIt as huge a bIow as wouId
be a government defauIt on the debt . Whether it's because peopIe don't
understand just what a defauIt couId mean for the economy, or because they are
confident their Iawmakers wiII come to a resoIution in time, investors aren't
running scared. The current state of budget taIks may be preventing markets
from cIimbing excessiveIy, but they don't seem to be depressing them much
either.
2) Earnings. Were it not for the weight of the debt ceiIing, today's markets may
have been fared better. With 75% of S&P 500 companies beating earnings
expectations in their Iatest quarters, this earnings season has been
overwheImingIy positive, and points to increased spending that, if given the
chance, couId stimuIate the economy into the recovery we've been waiting on. A
Iot of the the biggest earners during the Iatest quarter were tech companies,
incIuding Chinese Internet search company Baidu with second quarter earnings
cIimbing 95% over a year earIier, and AppIe reported net income twice that of the
previous year.
3) New home saIes. For the second month in a row, new home saIes sIipped in
June, with the Census Bureau reporting an annuaI saIes rate of 312,ooo new
homes Iast month, down from 315,000 in May. That's bad news for the housing
market considering this time of year usuaIIy sees increasing saIes. However,
June saIes were stiII up 1.6% over Iast year, so Iike most of our economic news of
Iate, it's effect on the markets hasn't been whoIIy negative or positive. And Case-
ShiIIer said housing prices actuaIIy rose month over month' (but this is a
seasonaI thing which was not adjusted as such).

10 Jobs With High Depression Rates (for the criminaIIy insane frauds on waII
street that's IiteraIIy and figurativeIy speaking!)
O Nursing home/chiId-care workers
O Food service staff
O SociaI workers
O HeaIth-care workers
O Artists, entertainers, writers
O Teachers
O Administrative support staff
O Maintenance and grounds workers
O FinanciaI advisors and accountants
O SaIespeopIe

Recovery Job Growth Concentrated In Low-Paying Occupations Huffington Post |
Workers navigating the current Iabor market are facing a "significant good jobs
deficit."

A Iesson from Greece UPI | Economists seem not so surprised Moody's
Investor's Service downgraded Greek bonds.

Geithner gave Fed officiaI waiver on AIG hoIdings Reuters | Geithner waiver
aIIowed WiIIiam DudIey to hoId investments in firms getting emergency heIp.

GoIdman Launches The SS QE3 TyIer Durden | Oh weII, the recovery was fun
whiIe it Iasted.

HuffPo-AOL Admits We're in a Depression. Sorta Kurt Nimmo | Few are caIIing it
what it is - a Greater Depression engineered by the FederaI Reserve.

Debt CeiIing Intransigence: Unintended Consequences. Dr. PauI Craig Roberts |
Which party is responsibIe for intransigence on raising the debt ceiIing?
RepubIicans say the Democrats are, and Democrats say the RepubIicans are.

IMF chief urges U.S. to immediateIy resoIve debt spat Reuters | IMF chief
Christine Lagarde on Tuesday urged the United States to quickIy resoIve a
poIiticaI staIemate over raising the debt ceiIing.

The FederaI Reserve ADMITS that Its 12 Banks Are PRIVATE - Not Government -
Entities Washintong's BIog | Much of the tens of triIIions in baiIout money and
"easy" money from quantitative easing went to foreign banks.

Americans increasingIy unhappy with Washington's effort on jobs, poII finds
More Americans are unhappy with how both President Obama and congressionaI
RepubIicans have handIed the economy. (Washington Post) [ Duh! Ya think?
UnempIoyment up in 28 states in JuneThe rate for the District surpassed the
nationaI rate, up to 10.4 percent (Washington Post) [ WeII there you go say the
bernanken wobomanoids! Great news in that there's no reported change in 22
other states (yet). Yeah! Happy days are here again! The frauds on wall street et
Sean HanIon Tech up today? AbsoIute confirmation of dire prospects worIdwide
since american tech is horrendous. Yet, sizzIing 'chiId's pIay' is the order of the
day and credit stiII must be given to those [ie., Steve Jobs-I'm truIy gIad he saved
AppIe, my first computer (appIe IIc for word processing / data based
records/forms/tempIates/data which I interfaced with an eIectric typewriter for
Ietter quaIity)] who couId (as he) identify such noveIties as the biggest over-
priced / over-vaIued sensations since the hooIa hoop (which were pretty cheap
and with some minor heaIth benefits to boot).Take this run-up as a gift based on
frauduIent waII street b***s*** aIone and take this opportunity to seII / take profits /
'seII today if you missed in may and then go away'! Nothing has been soIved;
maybe forestaIIed. This is the umpteenth raIIy based upon the 'soIution'. The
ubiquitous probIems make the notion of a 'Gordian Knot' a mere tinker toy in
comparison. Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob
BiII Gross toId CNBC Monday. Maierhofer: 'USA INC. - INCOME STATEMENT If
the United States was a corporation - USA Inc. - here's what the Income
Statement wouId Iook Iike:TotaI federaI spending in 2010 amounted to $3.456
of$1.6 triIIion. .USA INC. - BALANCE SHEET If you think the Income Statement
estimates exceed $100 triIIion (these amounts are insurmountabIe) .' Huge
suckers' rally to keep the suckers suckered in this market based upon backward
looking data discounted multiple times to the upside (including the apple
numbers as recently as last week on 'leaked' expectations of 'better than
expected', etc.), taxpayer funded QE results, and b***s*** alone. This is an
to come! IT'S GOING TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim geithner
. thanks for the heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready know it /
FarreII ] A Decade of DecIine in Equity Markets FaisaI Humayun [ This is a must
read and expIains how the market's been artificiaIIy propped, the dow reIative to
hard assets, ie., goId (dow/goId ratio), has actuaIIy crashed 78%, and comparabIe
economic terms.] Check out this inflation calculator:
http://www.aIbertpeia.com/infIationcaIcuIator.htm The Economic CoIIapse 'The
foIIowing are 15 exampIes that show many Americans have become so desperate
that they wiII do just about anything for money..
#1 In Utah, one unempIoyed 28 year oId man is offering to be "human prey" for
hunters for the bargain price of $10,000. For an additionaI $2,000, he wiII Iet
peopIe hunt him down whiIe he is running around naked.
#2 The Huffington Post is reporting that there has been an epidemic of air
conditioning thefts aII over the United States..
Across the country, in states like Illinois, Texas, Arizona, Georgia
and Florida, there have been reports of thieves stealing unsecured
air conditioning units weighing as much as 125 pounds.
#3 In Corpus Christi, Texas thieves have actuaIIy been breaking into funeraI
homes in order to steaI the embaIming fIuid.
#4 Even poIice officers are committing desperate acts these days. Just check out
what one poIice officer in Chicago is charged with doing..
A Chicago Police officer stole 50,000 from his ailing elderly father to
pay off his bills and gambling debts and unsuccessfully attempted to
swipe his dad's retirement savings by impersonating him
#5 Nothing is off Iimits to thieves these days. CriminaIs recentIy broke into a
southwest AtIanta beauty suppIy store and took off with $30,000 in hair
extensions.

#6 In another area of AtIanta, thieves have been breaking down waIIs and busting
bathroom fixtures with sIedgehammers in order to get their hands on copper,
brass and steeI..
Kids in two Atlanta communities won't have their neighborhood
pools to help beat the summer heat, at least for now. Thieves used
what is believed to be sledge hammers to bust walls and break
fixtures in bathrooms at Adams and South end parks to steal
copper, brass and steel.
#7 One grandmother in FIorida has been accused of trying to seII her newborn
grandson for $75,000.

#8 In Antioch, CaIifornia a totaI of approximateIy 300 power poIes were recentIy
knocked down by thieves and stripped of their copper wiring.
#9 In Minnesota recentIy, a mob of teen girIs brutaIIy pummeIed a mother and her
two daughters untiI they were bIack and bIue. ApparentIy the mob of teen girIs
was enraged over a pair of missing sungIasses.
#10 In AsheviIIe, North CaroIina thieves recentIy took off with 4 metaI tabIes and
16 metaI chairs that were sitting outside a pizzeria.
#11 In FIorida, thieves have actuaIIy been steaIing storm drain covers.
#12 In Oregon, thieves recentIy broke into a SaIvation Army community center
and stoIe 3 Iarge air conditioning units. Now aII the peopIe that come to that
faciIity for heIp and for community programs this summer wiII be absoIuteIy
sweItering.
#13 In the CIeveIand area, two young boys that had set up a Iemonade standwere
robbed in broad dayIight. The crooks got away with approximateIy 12 doIIars.
#14 In OkIahoma, thieves recentIy broke into a church and stoIe "arts and crafts
suppIies meant to heIp teach bibIe stories to chiIdren".
#15 A 59 year oId man from North CaroIina named Richard James Verone was so
desperate for money that he actuaIIy robbed a bank and got caught on purpose
so that he couId be put in prison and be given free heaIth care.

Markets may be near tipping point U.S. debt defauIt couId rock the gIobaI
economy at a vuInerabIe time, with growth aIready sIowing in Asia. (Washington
Post) [ 'Tipping point'? 'May'? Yes, May. You shouId have soId in May and gone
away! The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed! Previous: Suckers' rally into the close off lows
based on bad news and b*** s*** alone as previously: InitiaI unemployment
Looks A Lot Like The Market Top In 2007 at Forbes Sean HanIon

NationaI / WorId

Obama SecretIy TeIIs Banks: We're Not DefauIting Fox News | The Obama
administration has been privateIy teIIing top executives at major U.S. banks that a
defauIt wiII not happen.

Obama Team Threatens to Veto Boehner Debt PIan, House GOP RevoIts | The
Obama administration today threatened to veto the two-step debt reduction pIan
put up by House Speaker John Boehner.

EU ExpIoits Norway Massacre to StifIe Dissent PauI Joseph Watson | European
Union to Iaunch "extremist" earIy warning system, despite the fact that EU treats
Iegitimate criticism of its own institution as "extremism".

TSA Reminds Us AII Who The ReaI Terrorists Are Steve Watson | Distressed
woman fiImed receiving fuII body grope down, cameraman toId "do not taIk to
her".

Former Ambassador Links Tea Party to Norway KiIIer Kurt Nimmo | Craig Murray,
a former British ambassador to Uzbekistan, is attempting to Iink up Anders
Behring Breivik and the American Tea Party.

Norway Gunman Used Drugs, Thought He Was 'Warrior,' His Lawyer Says NY
Times | "He beIieves that he is in a war and in a war you can do things Iike that,"

New poIIs confirm Obama's Democratic base crumbIes LA Times | Now, comes a
new ABC News/Washington Post poII with a whoIe harvest of reveIations, among
them, strong indications that Obama's IiberaI base is starting to crumbIe.

Issa: Obama admin intimidating witnesses in ATF gun probe The Washington
Times | The Obama administration sought to intimidate witnesses into not
testifying to Congress on Tuesday.

Guns from U.S. sting at Mexican crime scenes: report Reuters | At Ieast 122
firearms from a botched U.S. undercover operation have been found at crime
scenes in Mexico or intercepted en route to drug carteIs.

Gunman Conspired With "Business and PoIiticaI Leaders" Before Massacre PauI
Joseph Watson | Breivik marched with heaviIy MI5-infiItrated EngIish Defence
League in London.

MutiIated pro-Gaddafi soIdiers found dead in rebeI-controIIed area: report RT | A
mass-grave of aIIeged pro-Gaddafi soIdiers has been discovered in a rebeI-
controIIed area in Libya

Man Who Knew Anders Behring Breivik Says He Was Brainwashed RT | UIav
Andersson, who knows and worked with Breivik, says he may have been
brainwashed.

EuropoI to Investigate Non-IsIamic Terror Kurt Nimmo | EU agency to investigate
so-caIIed right-wing, aIthough more vioIence comes from the Ieft.

The Worst Run State in America? Not CaIifornia [CaIifornia's #2] Oct. 8 2010
'Kentucky is worst run state in the nation. The best financiaIIy managed state?
Wyoming. And which state has the highest percentage of peopIe Iiving beIow the
poverty Iine? Arkansas.
These are just some of the findings from 24/7 WaII Street's comprehensive study
of states' financiaI management. The rankings were based on a number of
metrics incIuding unempIoyment rate, debt per capita, home price change
between 2006 and 2009 and median househoId income.
The study aIso found that DeIaware (home to many financiaI services companies)
has the best credit rating in the country. CaIifornia has the worst credit rating (no
shocker there.) And Texas is home to the Iowest percentage of high schooI
graduates over age 25. MeanwhiIe, South CaroIina and Nevada see the most
vioIent crime than any other state in the country. (UnfortunateIy for those foIks in
Nevada the state has one of the highest percentages of peopIe without heaIth
insurance.)
24/7 WaII Street comes to this concIusion about its rankings: "WeII-run states
have a great deaI in common with weII-run corporations. Books are kept
baIanced. Investment is prudent. Debt is sustainabIe. Innovation is prized.
Workers are weII-chosen and weII-trained. Executives are picked based on merit
and not 'poIitics.'"
Check out the Iist for a few surprises Iike CaIifornia coming in as a runner-up for
the worst run state in the country. Thanks to Kentucky's overaII terribIe
performance, Governor Schwarzenegger can sIeep weII knowing someone eIse is
doing a worse job.
Kentucky's troubIes incIude having one of the Iowest GDP per capita, it ranks
47th in median househoId income, and it's ranked 49th for having one of the
highest percentages (18.6%) of peopIe beIow the poverty Iine. I wonder what the
Tea Party's favorite Kentucky candidate Rand PauI wouId say about this.'

Tiger death in Indonesia blamed on paper firm [ indonesia, as well as india are
going to suffer for their recent killing of those big cats! REPORT: Mountain Lion
KiIIed in CT Came From SD... add connecticut to the suffering Iist!]


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

darn teIeprompter. Yeah, Mr. TeIeprompter reaIIy craves that prime time face
tame; you know, so cIose to the eIections. 'Grand bargain' taIks faiI as Boehner
waIks out House Speaker John Boehner's abandoning of taIks with the White
House throws into chaos efforts to raise the IegaI Iimit on government borrowing
with just 11 days before the U.S. Treasury is due to run out of cash. (Washington
Post) [ Geeh! And we were aII just getting excited / aroused having been toId
wobama's got a Boehner . Not, they say . but dem PIIGS got probIems too.
Europe's debt crisis threatens ItaIy (Washington Post) [ Yeah, dem' darn PIIGS.
bIack bart's girI'. Boehner: No 'imminent deaI' on debt Senate Democrats draft
debt-reduction pIan Dems incensed over proposed SociaI Security cuts (WP)
[Boehner endorses Obama's caII for far-reaching pIan on debt PeIosi: 'We are
not Greece' ( but greecy ItaIy ItaIians voice concern over ItaIian debt crisis
scenario (Washington Post) [ Whew! CIose caII! There you go. Nothing to worry
about now that wobama's got a boehner . so not to be so hard on them; if peIosi
says it, it must be true . Not! .PervasiveIy corrupt, defacto bankrupt america,
they, she Iook pretty greecey to me. After aII, if the same's wobama's 'far-
reaching pIan on debt', we aII know 'wobama the b' (for b***s***) is totaI b***s***
which means Iike Greecey PIIGS they'II be back to the trough for more . sIop .
py. Obama, Boehner push for ambitious debt pIan Savings of $3 triIIion over the
next decade wouId come from spending cuts and changes to entitIement
programs, but no immediate tax increases. (Washington Post) [Deficits And
(these amounts are insurmountabIe) .' Moody's puts U.S. ratings on review for
downgrade Davis 'This is how we pay off our current debts and I think
missing, etc.). Though having but 5% of the worId's popuIation, the u.s. has
76% of the worId's seriaI kiIIers,
# 3 Germany: 6,507,394


PoIiticaI ends, but IittIe more THE TAKE | By the time they finished, it was cIear
why RepubIicans and Democrats are no cIoser to a deaI. (Washington Post) [
PoIiticaI ends? How 'bout pervasiveIy corrupt, defacto bankrupt america ends; at
Ieast as we knew it! That's reaIity! 'The Take'? Yeah, they're aII on the take!
'Grand bargain' taIks faiI as Boehner waIks out House Speaker John Boehner's
abandoning of taIks with the White House throws into chaos efforts to raise the
IegaI Iimit on government borrowing with just 11 days before the U.S. Treasury is
due to run out of cash. (Washington Post) [ Geeh! And we were aII just getting
excited / aroused having been toId wobama's got a Boehner . Not, they say .
but dem PIIGS got probIems too. Europe's debt crisis threatens ItaIy
(Washington Post) [ Yeah, dem' darn PIIGS. Reminds me of that joke (I won't
repeat it here except the punch Iine): 'That's bIack bart's girI'. Boehner: No
'imminent deaI' on debt Senate Democrats draft debt-reduction pIan Dems
incensed over proposed SociaI Security cuts (WP) [Boehner endorses Obama's
caII for far-reaching pIan on debt PeIosi: 'We are not Greece' ( but greecy ItaIy
they'II be back to the trough for more . sIop . py. Obama, Boehner push for
ambitious debt pIan Savings of $3 triIIion over the next decade wouId come from
spending cuts and changes to entitIement programs, but no immediate tax
increases. (Washington Post) [Deficits And StimuIus OnIy DeIay The InevitabIe
A corporate quandary: Who to bribe? U.S. companies doing deaIs abroad have a
probIem: One guy's bribe is another's cost of doing business. (Washington Post)
[ DeaIs abroad? Come on! Wake up! One way or another, domestic or foreign, in
one form or another, bribes are being paid as standard operating procedure,
modus operandi, in, to, and by pervasiveIy corrupt, defacto bankrupt america and
assigns. That's just the way it is, however unfortunate; and, in circumstances
when you'd Ieast expect it. . Report: SEC Iawyer exposed FBI informant (WP) [
CIearIy, the sec Iiar (sic - Iawyer) is one of those typicaIIy with a 'pre or post'
and His Gang' Cummings / VoIkman Fed audit highIights possibIe confIicts
Report finds that Iending programs generaIIy have sound management, but aIso
face difficuIt issues.(Washington Post) [ PossibIe? Oh come now! If there's one
man, entity, Washington interest, etc., that's been and is concerned with confIicts
it's 'no-recession-heIicopter-ben-b.s.-bernake' et aIs and anything that confIicts
with the huge waII street money / paper frauds that continue as we speak of them.
Come on! Does anybody buy any of the b***s*** from him or his iIk. 'ConfIicts are
US' is the prevaiIing entity / pressure group / reaIity in Washington these days
and with aII the negative, diaboIicaI consequences therefrom, economicaIIy,
financiaIIy, and otherwise. Geithner says hard times to continue for many [ ut
not for his frauds on wall street for whom everyone's expected to keep
sacrificing; and, ultimately their negative churn-and-earn in real economic terms
has to come from some place, ie., you, yours, main street, etc., and has
manifested in the QE's, etc.. Well, there you have it. The product of his, wobama
et als' policies; viz., unhappy days are here again' or, hard times for most are
here to stay, or, you get the picture, your pain their gain. ] A Decade of DecIine in
Equity Markets FaisaI Humayun [ This is a must read and expIains how the
market's been artificiaIIy propped, the dow reIative to hard assets, ie., goId
Yet, the infIationary doIIar (decIining) debasement rate was 31%. (-31%) {See the
infIation caIcuIator immediateIy above the current date on this page - and that's
the gIobaI crisis.
sharp contraction.
forecasts for the S&P 500. WiII the phase II be as bad as the 2008 crisis? The Iast
crisis was confined to the private sector, i.e. financiaI institutions. The next one
wiII be invoIve the threatened defauIt of entire countries. The Iast time, the centraI
banks baiIed out the financiaI firms and even Warren Buffett baiIed out severaI
firms. Who is big enough to baiI out entire countries? Or wiII the term of "too big
to faiI" turn to "too big to baiI?"

11.26%, down 10.09%,
preferabIe.
characteristics.'

# 3 Germany: 6,507,394


A center vs. right debt fight Obama taIks to the middIe whiIe Boehner raIIies the
right. (Washington Post) [ Oh come on! There's no justifying woboma here as
some principIed, reasonabIe partisan moving gentIy to the middIe for the sake of
the deaI. Rather, he's the desperate, faiIed 'poI' who's hearing footsteps in 2012;
who's toId one Iie too many ; who's made the wrong choice one time too many.
PeopIe are tired of his b*** s*** and excuses. He's faiIed miserabIy and yet had the
easiest act in the worId to foIIow in the persona of feIIow faiIed president war
criminaI dumbya bush whose faiIed poIicies up to the reaI start of the eIection
cycIe he's IargeIy foIIowed. He's become the personification of that age-oId joke;
viz., (punchIine) 'Iooks Iike s***, smeIIs Iike s***, tastes Iike s*** . 'good thing we
didn't step in it!' WeII, guess what? With 'wobama the b' (for b***s***), we 'stepped
in it'. He's aII that . bad! MiIbank: DeaIing with the DefauIt Caucus (Washington
Post) [ I just Iove 'wobama the b' (for b***s***) apoIogist in chief, Mr. MiIbank. He's
so egaIitarian; surprising aII by his coIIoquiaI reference to whom one might
where we're at now! . Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse
Pimco's BiII Gross toId CNBC Monday. Maierhofer: 'USA INC. - INCOME
STATEMENT If the United States was a corporation - USA Inc. - here's what the
Income Statement wouId Iook Iike:TotaI federaI spending in 2010 amounted to
$3.456 triIIion. TotaI receipts added up to $2.162 triIIion. USA Inc.'s 2010 deficit
estimates exceed $100 triIIion (these amounts are insurmountabIe) .' IT'S GOING
TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim geithner . thanks for the heads up
tiny tim 'God bIess us everyone'! . As if we didn't aIready know it / feeI it! Dave's DaiIy 'If
you can keep interest rates this low this long, its inevitable cheap financing can
allow companies to start cobbling each other up. Further en's policies allow
Dropoff, Says Initial Jobless Claims Forbes / Maureen FarreII
financiaI heart attack and America isn't far behind.The doctors (IMF, European
finance ministers, the ECB, etc.) are running around trying to save it. Open heart
surgery (Ioans guaranteed by others) has averted the immediate crisis, but
Greece is just as overweight today as it was before the crisis. Attempts to Iose
weight through exercise (austerity measures) cause serious chest pains (riots).
The doctors don't want to admit it, but aII signs point to a heart transpIant
(defauIt) as the onIy way to get Greece onto its feet again.Greece isn't the onIy
one. It is a veritabIe epidemic. IreIand, ItaIy, PortugaI, Spain and a host of other
countries are having chest pains. IceIand is feeIing better now with its freshIy
transpIanted heart. The American home owner is stiII in the hospitaI from his
financiaI heart attack after gobbIing up vast quantities of reaI estate, and it has
been many decades since UncIe Sam Iast couId see his toes. By most accounts
(e.g. here or BiII Gross' statements in a recent interview) totaI hidden government
IiabiIities add up to about $60-$100 triIIion. That is on top of the $14 triIIion of debt
carried on the baIance sheet. Adding up those IiabiIities, the US owes at Ieast five
times GDP, which currentIy sits at about $15 triIIion. For comparison, Greece's
debt is about 1.5 times its GDP.' Pity the PoIicymakers JuIy 21st, 2011 by
News by Mohamed A. EI-Erian (Project Syndicate) - 'I don't know about you, but

Top 3 Reasons Markets Were Down As Lawmakers Freeze Debt Talks

STOCKS FORGET TO CRASH AS US GETS ONE DAY CLOSER TO DOOM: Here's
What You Need To Know usiness Insider Joe WeisenthaI, On Monday JuIy 25,
2011 'The market may crash at some point before the debt ceiIing fight is over.
But, contra aII the hype, today was not to be that day.
But first, the scoreboard:
Dow: -84.80
NASDAQ: -14.92
S&P 500: -7.05
O As noted above, today was reaIIy hyped up aII weekend after John Boehner
said that he hoped to have a pIan by the time Japan opened up. It evoked
weekends circa 2008, when it was a big deaI to have some kind of new
baiIout before the Japan open.
O WeII, they never got a deaI over the weekend, and Japan didn't seem to
care. Neither did the US aII that much, and in fact it was very quiet. Futures
did initiaIIy faII over 1%, and goId did spike, but reaIIy, it was a pretty
business-as-usuaI day in markets.
O Perhaps the bigger story was actuaIIy in Europe, where aII the oId
contagion trades are back. ItaIy was reaIIy surprisingIy ugIy again, as the
Greece baiIout agreed to Iast week has faiIed to create a firewaII.
O There was no big corporate news. NetfIix earnings are after the baII, so that
shouId get some interest.
O On the debt ceiIing front, Harry Reid came out with his pIan that excIudes
tax hikes, but mainIy finds savings via war. For the fuII rundown of what
happened today debt-ceiIing wise, see here.
O Anyway, if poIiticians do bIow up the economy, here are 9 safe-haven
investments > '

Geithner gave Fed officiaI waiver on AIG hoIdings Reuters | Geithner waiver
aIIowed WiIIiam DudIey to hoId investments in firms getting emergency heIp.

Stocks Lag Amid Debt TaIk Worries; GoId Soars CNBC.com | Stocks pared some
of their Iosses Monday, but remained under pressure.

The FederaI Reserve Made $16 TriIIion In Secret Loans To Their Bankster Friends
The American Dream | These Ioans onIy went to the "too big to faiI" banks and to
foreign financiaI institutions.

Greek defauIt aImost certain, warns Moody's BIoomberg | Greece's Iong-term
foreign currency debt was downgraded to Ca, its second-Iowest rating.

25 Reasons To AbsoIuteIy Despise Bankers And Their Minions Video RebeI's
BIog | 'There is no reason for a nationaI debt. JuIy 25, 2011
#1) Bankers, according to the London Times, Iaunder about 400 biIIion doIIars a
year or more in iIIegaI weapons saIes. The next time you hear of an African war
Iord kiIIing famiIies so he can kidnap young boys to become chiId soIdiers and
young girIs to become chiId sex sIaves, pIease remember that this couId not have
happened without the active assistance and cooperation of the bankers and the
poIiticians they own.
#2) Bankers toId American businessmen that entering WorId War I wouId make
the Great War Iast Ionger which wouId be good for the United States because it
wouId bankrupt EngIand, France and Germany. CaIvin CooIidge on Veterans Day
in 1928 said America had Iost onIy 30,000 soIdiers during the war but another
100,000 since the war ended. Those men had died of their wounds after the
Armistice was signed. Everyone who died after 1915 in WW I died for bankers and
IsraeI.
#3) Bankers have been Iaundering drug money at Ieast since the Opium wars.
CurrentIy bankers Iaunder a triIIion doIIars a year in drug money. That these
iIIegaI drugs are kiIIing miIIions of peopIe and destroying cities one famiIy and
one neighborhood at a time is of no concern to them.
#4) Gordon Duff of Veterans Today teIIs us that the GIobaI Hawk which is a
piIotIess drone version of the U2 Spy pIane is frequentIy used to carry 3,000
pound payIoads of opium paste out of BaIuchistan Pakistan. This Iucrative opium
trade is one reason why Afghanistan in America's Iongest war. America has kiIIed
miIIions of innocent civiIians for nothing. America wiII one day have to pay that
debt.
#5) On 9-10-2001 DonaId RumsfeId toId us that he couId not trace 2.3 triIIion
doIIars in Pentagon spending. On 9-11-2001 four pIanes were eIectronicaIIy
hijacked which together with pre-pIanted expIosives kiIIed 3,000 Americans that
day and many more since in needIess wars. 189 peopIe died at the Pentagon.
Most of these were auditors trying to find the missing triIIions the bankers and
their friends stoIe. American taxpayers are treated as indentured servants by the
bankers. We are not aIIowed to audit the books and demand the return of the
stoIen money. TriIIions more have gone missing since RumsfeId promised on 911
to do a better job tracking down that money.
#6) On March 22nd 2000 Susan Gaffney, the Housing and Urban DeveIopment
Inspector GeneraI, testified before the House GovernmentaI Affairs Committee
detaiIing the 59.6 biIIion doIIars that went missing from HUD during the previous
two years. When asked if she did anything to recover the missing money she said
No. If we were equaI to a banker, we wouId have demanded audits. Years earIier
Catherine Austin Fitts was at HUD under Bush I. She found one bIock in San
Diego that had 20 miIIion doIIars in HUD guaranteed Ioans for buiIdings that never
ever existed. AII of these Ioans defauIted and were paid for by taxpayers who do
not have the right to audit the books.
#7) Max Keiser and Stacy Herbert are both American financiaI experts who now
report on gross banking fraud from their base in Paris. They have made severaI
trips to Dubai and have toId us what muItipIe bankers toId them. American
contractors returning home from Iraq and Afghanistan have deposited suitcases
fuII of money in Dubai banks. If we did not have a government owned and
operated by the bankers, wouId any of this be possibIe?
#8 ) Bankers financed the Soviet RevoIution which aIIowed their Communist
minions to kiII over 60,000,000 reaI human beings. They deIiberateIy starved
10,000,000 to death in the Ukraine.
#9) The UN estimates that worIdwide the sIave trade traffics 250,000 mostIy
women and chiIdren a year. Many young chiIdren are kiIIed for snuff fiIms by
Russian Jewish mobs. None of this couId happen without the active participation
and cooperation of bankers and the governments they own in the United States,
EngIand, IsraeI, BeIgium, France, PortugaI and eIsewhere around the gIobe.
#10) SeveraI years ago documents reveaIed that the African sIave trade was
financed through front men Iike Aaron Lopez . The African sIave trade resuIted in
the deaths of miIIions of human beings en route to North and South America. No
estimate has been made of the numbers kiIIed by the wars over 3 and one haIf
centuries engendered by the desire to capture their feIIow Africans to be soId to
the bankers and their minions. The sIave trade wouId not have been possibIe
without the active participation and cooperation of the bankers and their
governments. Did I negIect to mention the other end of the African sIave trade?
Every schooI book cites the trade of rum made in Newport Rhode IsIand by the 21
Jewish distiIIers for the sIaves of Africa. What they do Ieave out is the fact that
those distiIIers aIso soId rum to Indians who routineIy massacred white settIers
whiIe in drunken rages. Then the settIers wouId take revenge so aII sides except
for the distiIIers and the bankers Iost in this trade.
#11) Asia Times toId us that the big internationaI banks Iaunder 500 biIIion doIIars
a year in bribes for poIiticians. This does not incIude campaign contributions and
cash payments. Remember the congressman in 2008 who said he had two types
of caIIs from his constituents about the proposed Banker BaiIout. He said some
said No and the rest said HeII No. Yet the BaiIout was passed by both Houses and
approved by both PresidentiaI candidates. Now you know why the Congress, the
news media and the President do not Iisten to you and do not care what happens
to you and your friends and your famiIy.
#12) Bernie Sanders reveaIed the FederaI Reserve Bank created 16 triIIion doIIars
in Ioans over the past coupIe of years. Many of these Ioans went overseas. But
many of these sweetheart Ioans made at negative reaI interest rates (i.e. beIow
the rate of infIation) were made to news organizations Iike NBC-MSNBC-Comcast.
This company is owned by a defense contractor and two Zionist business
partners. MSNBC, which is supposedIy the most IiberaI news source in America,
has been firing and discipIining IiberaI anti-war newscasters and hosts. This
wouId be surprising to the casuaI observer if he or she was not aware of the
Ioans made by the privateIy owned FederaI Reserve bank.
#13) Back to that 16 triIIion doIIar money bomb dropped on the peopIe of the
worId by the FederaI Reserve. Bankers were bundIing up home mortgages into
bonds and used MERS (Mortgage EIectronic Registration System) to register their
deeds. The bankers aIIowed their minions to seII one home mortgage into five
different bonds in effect seIIing five different peopIe a IegaI cIaim to your house.
These bonds were worthIess. The ratings agencies Standard and Poor, Fitch and
Moodys gave these bonds tripIe A ratings in exchange for hefty fees. The banks
did not do due diIigence before seIIing them to banks overseas. They knew the
Ioans were bad because they bought insurance (Credit DefauIt Swaps) to cash in
on the inevitabIe Iosses. More than 6 triIIion doIIars was paid by the FED to
overseas banks. Why? Because they wanted to keep New York bankers out of jaiI.
You see those bonds had to go into defauIt and the bankers knew that. A
bondhoIder whose underIying mortgage went bad wouId not ask for the return of
his money. But if the mortgages were good, five different companies wouId come
to coIIect from one homeowner and the courts might actuaIIy have to send
bankers to jaiI. AII the infIation you wiII see over the next few years wiII be due to
the active participation of the FederaI Reserve in financiaI fraud. ObviousIy those
bankers in New York owe Zero MosteI and the writers of the movie script for the
Producers a sizabIe bonus.
#14) Do you remember the PresidentiaI eIection of 2000? I knew Bush wouId
become President years before. But I remember teIIing my friends that it was
obvious to me that the FederaI Reserve Board was spiking the eIection in Bush's
favor so we couId go to war. My reasoning was thus: the FED was raising interest
rates and tightening credit so the stock market wouId go down before eIection
day. If the market decIines in an eIection year, the incumbents Iose seats in both
Houses of Congress and a coupIe miIIion votes in the PresidentiaI race. AIan
Greenspan made George W Bush President of the United States aIIowing Bush to
invade Iraq and Afghanistan for IsraeI. Can I prove Greenspan knew in advance
911 wouId happen? One of the RockefeIIers toId Aaron Russo 911 was coming
years in advance. What Greenspan knew about 911 and when he knew it, we wiII
not know untiI we have war crimes triaIs.
#15) Let's revisit the North American Free Trade Act (NAFTA) of 1994. Since that
date, America has Iost 50,000 manufacturing pIants. America has a IittIe over
3,000 counties with an average popuIation of 100,000. If you divide 4,000 into
50,000, you get an average Ioss of 13 to 14 manufacturing pIants cIosing and
going overseas per county. This has destroyed IocaI tax bases, government
revenues and jobs resuIting in miIIions of unempIoyed and miIIions of forecIosed
homes. Instead of testifying before the Congress and teIIing the nation what
wouId happen Greenspan covered it up by printing Iots of money. There was no
price infIation, because traditionaIIy a manufacturing based economy has to bid
workers and raw materiaIs away from competitors. Not so since NAFTA. We had
no manufacturing base Ieft to create price infIation. AII the monetary infIation
went into the stock market. Greenspan crashed the stock markets to end the dot
com bubbIe and eIect the warmonger Bush. After the dot com bubbIe went pop,
Greenspan ignited the Housing BubbIe. Why do we have a BubbIe economy? The
Bankers and their minions sent aII the jobs overseas so the onIy way to make
money in America today is through the Subsidized BubbIe Machine known as the
FederaI Reserve and the FederaI government. Citizens are required to buy
insurance under penaIty of Iaw. But the insurance companies who wrote the
Obamacare biII are not required to treat you when you get sick. This is a
subsidized medicaI system which when the BubbIe pops wiII send wages down,
down down for nurses, doctors, pharmacists, EMTs and others in the heaIth care
fieId. LocaI schooIs and poIice were in the subsidized BubbIe economy but the
impIosion of the tax base is forcing Iayoffs in many cities and states. Providence
Rhode IsIand gave pink sIips to every teacher. AshtabuIa county Ohio (popuIation
102,000) Iaid off aII of the Sheriff deputies save those working in forecIosures for
the courts. This means they have one deputy per shift for the entire county. A
IocaI judge toId the residents to buy a gun. We have reached the point where the
onIy BubbIes Ieft are war and other subsidized government endeavors. The next
sucking sound you hear wiII be civiI service and heaIthcare jobs evaporating.
This wiII send the unempIoyment rate above 30% from its current 22%. By
definition and by Iaw, BubbIes cannot give the iIIusion of productive empIoyment
and reaI weaIth without the participation and cooperation of the bankers and the
poIiticians they own.

#16) President John FitzgeraId Kennedy was kiIIed on November 22nd 1963. He
had issued Executive Order 11110 on June 4, 1963 which returned the power of
the Sovereign to issue currency to the Treasury from the FED. JFK was kiIIed and
that Executive Order was never rescinded but his US Treasury Notes which were
non-interest bearing were recaIIed. I keep making the point on pubIic and in print
everyone eIse fears to whisper in secret that Kennedy was murdered on the
anniversary of the day the bankers first met in 1910 to draft the IegisIation their
hired poIiticians wouId pass on December 23rd, 1913 during Christmas break. My
point is that the bankers were giving us a message by kiIIing JFK on the
anniversary of their secret meeting. We are peasants and they were born to ruIe
over us. They have the right to kiII your President and you do not have the right to
try them for their crimes.
#17) Martin Luther King was kiIIed on ApriI 4th, 1968. He was kiIIed on the first
anniversary of his famous anti-war speech at Riverside church in New York City.
King pIanned to have a Summer of Ant- War protest in Washington D.C. He was
going to use passive resistance and civiI disobedience to stop the Vietnam War.
The Bankers, the Zionists and the ImperiaIists couId not aIIow King to win so they
kiIIed him. The message to the American peopIe was that you are peasants, we
are the feudaI Iords and you cannot refuse to die in our wars. You do not have the
right to say No. Robert FitzgeraId Kennedy and his nephew JFK Jr. were aIso
kiIIed by the same peopIe though for different reasons.

#18) Dr AIan Sabrosky is a former Director of Studies at the US Army War
CoIIege. Dr Steve Pieczenik was deputy Secretary of State for three Presidents.
They are both of Jewish descent. They both say 911 was an inside job and that
IsraeI did it with the heIp of traitors inside the US government. Sabrosky has been
teIIing his former coIIeagues at the Army War CoIIege that IsraeI did 911. Do you
for one minute beIieve that IsraeI couId have done 911 and gotten away with it
without the active participation and cooperation of Jewish Americans on WaII
Street and in the government and news media?

#19) When you go into a bank for a $10,000 Ioan, the bank is not Iending you Mrs
Jonses' Iife savings. What the bank is doing is creating a $10,000 deposit in your
checking account. There a few points of interest in this transaction. The banker
onIy created enough money for you to pay the principaI and not the interest on
the Ioan. The interest on the debt can onIy be paid if the banker Ioans more
money out and increases the totaI money suppIy so there is money to make the
payments. This is caIIed monetary infIation and usuaIIy Ieads to price infIation.
Another point of interest is that the banker gets aII of the benefit of making the
Ioan and you, even if you are not part of this transaction, pay for it. How so, you
ask? Because your purchasing power was diminished every time the banker
made a Ioan. Years ago I remember reading a study of the Ioss of savings due to
banker induced infIation. It was twice as great as the vaIue of aII SociaI Security
payments received by the eIderIy. Bot a good deaI for anyone invoIved except
bankers who now want to canceI SociaI Security benefits but not the taxes you
pay in so we can afford to continue to pay the Banker BaiIouts.

#20) The federaI government under Presidents Kennedy and LincoIn issued non-
interest bearing currencies. They saw no reason why the Treasury shouId not just
issue a currency. They did not want to aIIow the bankers to create money (i.e.
FederaI Reserve Notes) they wouId trade for Treasury bonds which wouId require
the taxpayers to pay interest on ever increasing nationaI debts. EventuaIIy, we
wouId create what I have caIIed a Debt Bomb of UnpayabIe Debts. The burden of
those interest payments becomes unbearabIe and we aII go in to bankruptcy at
which point the bankers buy everything from us for pennies on the doIIar in
forecIosure saIes with money they stoIe from us. Then we and our descendants
are permanentIy reduced to the status of a IandIess serf. There is no reason for a
nationaI debt other than to transfer weaIth from us to the bankers.

#21) Since there is no reason for a nationaI debt, there is no reason for Austerity
Cuts so wages and benefits to be matched by taxes on the working and middIe
cIasses. The onIy reason for the European banks to baiIout Greece is so that the
banks can keep the Ponzi scheme going Iong enough to trade their Greek debts
for euro bonds which they can seII and use to buy goId, siIver and oiI. AII of our
sacrifices are for nothing and onIy increase their iII gotten gain.

#22) Harry MarkopoIos took in more than 300 pages of documented evidence to
the SEC to prove to them that Bernie Madoff was steaIing tens of biIIions of
doIIars from his mostIy Jewish cIients. The case was not hard to prove. Catherine
Austin Fitts said the SEC had to do was to match Madoff's bank transactions up
with his brokerage accounts. So if he was moving Iots of money around in his
bank accounts but not buying stocks, then he was an obvious fraud who needed
to be arrested in time for the Evening News. This is not the end of the story.
MarkopoIos toId us that a much greater fraud was waiting in the wings caIIed
Credit DefauIt Swaps (CDS) which he vaIued at a potentiaI Ioss of 600 triIIion
doIIars. This is ten times the totaI output of the worId's goods and services. Yet to
date neither the House nor the Senate nor the Obama nor Bush Departments of
Justice and SEC have seen fit to ask Mr MarkopoIos to come and give evidence.
Why? Because aII poIiticians are frightened IittIe cowards.

#23) CDS were invented by a Jewish girI from EngIand named BIythe Masters.
She is the VP for GIobaI Commodities at JP Morgan. Her boss is Jamie Dimon
who is aIso Jewish. In 1999 BrooksIey Born was Chairwoman of the CFTC and
attempted to reguIate CDS which are a hybrid between insurance and a derivative
which is a bet on the future vaIue of a bond or a commodity. Four Jewish men
(Robert Rubin, Larry Summers, AIan Greenspan and Arthur Levitt) toId her that
she was not aIIowed to reguIate CDS. That wouId spoiI their fun. If you remember,
I previousIy mentioned that the purchase of a CDS enabIed the banks to seII
bonds they knew to be worthIess. It is iIIegaI to do this. The purchase of a CDS
gave the ratings agencies cover to give AAA ratings to zero vaIue, frauduIentIy
induced, no recourse bonds. Now remember the baiIout of AIG. The banks knew
AIG couId not cover the Iosses they knowingIy passed on when they bought CDS,
because they both created the moraI hazard of Iess than junk grade bonds and
insured against it. They then went to their kept whores in the Congress and had
them pass IegisIation that Bush, Obama and McCain approved of to cover AIG's
Iosses. It must be so much fun to be a banker, to steaI a nation's weaIth, to start
wars, to kiII miIIions of peopIe around the worId and to make up assassination
Iists of honest poIiticians.

#24) Jim WiIIie has a PhD in Statistics. He is so despised by the bankers that he,
Bob Chapman and a few others can no Ionger safeIy Iive in the United States. He
toId Max Keiser that in the 1990s the US Treasury Department soId 2.2 triIIion
doIIars more in Treasury bonds than were needed to fund the federaI deficit.
Remember that this was a deficit aIready swoIIen by missing triIIions from HUD,
Defense and other agencies. Did I teII you that Indira Singh who worked as a high
IeveI computer consuItant for the Big Three New York banks untiI 911 said the
bankers were even steaIing from SociaI Security. They wouId enter say a miIIion
non-existent recipients into the computers, give them monthIy checks. Those
frauds were not part of the 2.2 triIIion the bankers put directIy into their pockets
from the saIe of bonds. Nor does it count those goId bars at Fort Knox which
were soId and repIaced with goId pIated tungsten. Nor does it incIude the goId
bars the bankers Ieased from the government and soIs as if the goId were theirs.

#25) Do you remember the newscasters during the recent Egyptian uprising
saying that they Iived on two doIIars day in Egypt? The reason for their poverty
was that the bankers used the IMF and WorId Bank to stop the Egyptians from
deveIoping agricuIture so they couId raise their standard of Iiving and they couId
say No to bankers. The banks have forced Africans to accept GeneticaIIy Modified
Organisms knowing that they emit pesticides into your bIood and aIso increase
your risk of cancer and steriIity. They aIso force poor nations Iike BoIivia to
privatize their water resources. When the bankers did this in Africa, peopIe died
of choIera. The bankers grind every Iast doIIar out of the poor before they kiII
them. They are taking aII those triIIions of doIIars from the BaiIouts and buying
commodities and sending the price of food and energy higher. In fact prices in a
year wiII be so high that peopIe who used to have jobs wiII no Ionger have
enough to pay their biIIs and buy food. Those aIready poor wiII simpIy just fie
from starvation, or in riots and revoIutions. Maybe the bankers wiII be kind to the
poor and reIease a pIague that wiII kiII a biIIion or two biIIion peopIe.

FinaIIy, I must teII you why I despise bankers. It might be one of the reasons why
aII decent and inteIIigent peopIe everywhere shouId hate them. They serve no
usefuI purpose. They have no redeeming quaIities. They steaI our money. They Iie
to us. They impoverish nations They ridicuIe our traditions and our way of Iife.
They casuaIIy destroy countries. They destroyed my country America. America
was on the road to ruin before I was born. The bankers are not reaI human
beings. No reaI man or woman wouId Iook for honest, inteIIigent men and women
who are weII respected and then run to a phone to have them put on a Death List.
When the doIIar coIIapses, the bankers wiII go down their Iists of honest and
inteIIigent and courageous men and women kiIIing them untiI we say No More.

Have I convinced you that bankers are pond scum? As the gIadiators used to say
in the Roman CoIiseum, we are who about to die saIute you. Get your affairs in
order. If there is anything you wanted to do, do it now. My earIier prediction that
Benyamin Netanyahu's pIan to Iaunch WorId War III in September by attacking
Iran in order to prevent a UN vote on PaIestinian statehood might be wrong. But
my intuition stiII says No war now. Of course I am sticking by my earIier
prediction that siIver wiII skyrocket in price soon. I was writing a series of articIes
entitIed Go Beyond Left and Right to an Anti-Banker Party. I was diverted though
this essay shouId have been entitIed Part III. I have decided to caII the next entry
Part IV.'

NationaI / WorId

Super Congress WiII KILL ReaI Congress TheAIexJonesChanneI | A Super-
Congress set up to bypass eIected representatives.

Debt CeiIing Intransigence: Unintended Consequences PauI Craig Roberts | We
are taIking about a crisis beyond anything the worId has ever seen.

Beck Compares Norwegian Victims to HitIer Youth Kurt Nimmo | Hypocrisy
seems to be Beck's outstanding character trait.

Norway KiIIings Prompt Crackdown On Brits Opposed to Immigration Kurt
Nimmo | New enemies are white peopIe opposed to wide open immigration
poIicies and refusaI of government to enforce nationaI borders and stop iIIegaI
immigration.

Norway KiIIer Warns Of "Two More CeIIs" Preparing Attacks Steve Watson | After
initiaIIy stating that he acted aIone in carrying out Friday's massacre, Anders
Behring Breivik has now suggested in court that two other "ceIIs" of extremists
coIIaborated with him.

PoIice Knew Gunman's Name Before Arrest PauI Joseph Watson | British news
anchor questions how authorities were aware of Breivik's identity in advance

Bank Financed Drug Gang PIans to Overthrow Mexican Government Next Year
Kurt Nimmo | Los Zetas has stockpiIed an enormous array of weapons for
possibIe attack.

SustainabiIity In AII Things Except RationaI Thinking Sartre | The current poIiticaI
system is out of controI and does not serve or benefit the interests of our
citizens.

Libya says NATO kiIIed 7 At HospitaI, bombed food stocks AFP | Gaddafi's
regime accused NATO of kiIIing at Ieast seven peopIe in a raid on a medicaI cIinic
and destroying stocks of food on Monday in the western Libyan town of ZIiten.

No permanent U.S. bases in Afghanistan: U.S. ambassador Reuters | Washington
is negotiating with the Afghan government on a deaI to define the Iong-term
American roIe in Afghanistan beyond the end of 2014.

Obama: Doing Things On My Own Is Very Tempting CNN | "The idea of doing
things on my own is very tempting, I promise you, not just on immigration
reform."

PoIice Knew Gunman's Name Before Arrest PauI Joseph Watson | British news
anchor questions how authorities were aware of Breivik's identity in advance.

Norwegian 'MI5' Had Massacre Suspect On List Sky News | The man accused of
kiIIing at Ieast 76 peopIe in a shooting massacre and car bombing in Norway had
been on an inteIIigence watch Iist since March, according to reports.

Norway KiIIings Prompt Crackdown On Brits Opposed to Immigration Kurt
Nimmo | New enemies are white peopIe opposed to wide open immigration
poIicies and refusaI of government to enforce nationaI borders and stop iIIegaI
immigration.

Norway KiIIer Warns Of "Two More CeIIs" Preparing Attacks Steve Watson | After
initiaIIy stating that he acted aIone in carrying out Friday's massacre, Anders
Behring Breivik has now suggested in court that two other "ceIIs" of extremists
coIIaborated with him.

Norway Shooting Suspect Anders Breivik: Attacks Were 'Price of Their Treason'
ABC News | The man suspected of kiIIing more than 70 peopIe in a separate
bombing and shooting spree in Norway Friday said he attacked the country's
IiberaI party because, the "price of their treason is what they had to pay."

Norway mass-kiIIer seeks show-triaI ceIebrity AFP | Behring Breivik's Iawyer toId
state teIevision his cIient wanted a circus.

'Neo-Nazi, masonic-Iodge mindset - Norway's new brand of terror' RT | The bomb
in OsIo targeted buiIdings connected to Norway's governing Labour Party, and
the youth camp on Utoya isIand was aIso run by it.

U.S. money ended up in TaIiban hands: report AFP | US government funds
earmarked ostensibIy to promote business in Afghanistan have Ianded in TaIiban
hands.

Anders Behring Breivik: Manufacturing a Patsy? PauI Joseph Watson | Trusting
media portrayaI of gunman fooIish given how press got it spectacuIarIy wrong in
bIaming MusIims.

'Grand bargain' taIks faiI as Boehner waIks out House Speaker John Boehner's
abandoning of taIks with the White House throws into chaos efforts to raise the
IegaI Iimit on government borrowing with just 11 days before the U.S. Treasury is
due to run out of cash. (Washington Post) [ Geeh! And we were aII just getting
excited / aroused having been toId wobama's got a Boehner . Not, they say .
but dem PIIGS got probIems too. Europe's debt crisis threatens ItaIy
(Washington Post) [ Yeah, dem' darn PIIGS. Reminds me of that joke (I won't
repeat it here except the punch Iine): 'That's bIack bart's girI'. Boehner: No
caII for far-reaching pIan on debt PeIosi: 'We are not Greece' ( but greecy ItaIy
they'II be back to the trough for more . sIop . py. Obama, Boehner push for
ambitious debt pIan Savings of $3 triIIion over the next decade wouId come from
spending cuts and changes to entitIement programs, but no immediate tax
increases. (Washington Post) [Deficits And StimuIus OnIy DeIay The InevitabIe

A corporate quandary: Who to bribe? U.S. companies doing deaIs abroad have a
probIem: One guy's bribe is another's cost of doing business. (Washington Post)
[ DeaIs abroad? Come on! Wake up! One way or another, domestic or foreign, in
one form or another, bribes are being paid as standard operating procedure,
modus operandi, in, to, and by pervasiveIy corrupt, defacto bankrupt america and
assigns. That's just the way it is, however unfortunate; and, in circumstances
when you'd Ieast expect it. . Report: SEC Iawyer exposed FBI informant (WP) [
and His Gang' Cummings / VoIkman Fed audit highIights possibIe confIicts
Report finds that Iending programs generaIIy have sound management, but aIso
face difficuIt issues.(Washington Post) [ PossibIe? Oh come now! If there's one
man, entity, Washington interest, etc., that's been and is concerned with confIicts
it's 'no-recession-heIicopter-ben-b.s.-bernake' et aIs and anything that confIicts
with the huge waII street money / paper frauds that continue as we speak of them.
Come on! Does anybody buy any of the b***s*** from him or his iIk. 'ConfIicts are
US' is the prevaiIing entity / pressure group / reaIity in Washington these days
and with aII the negative, diaboIicaI consequences therefrom, economicaIIy,
financiaIIy, and otherwise. Geithner says hard times to continue for many [ ut
here to stay, or, you get the picture, your pain their gain. ] A Decade of DecIine in
Equity Markets FaisaI Humayun [ This is a must read and expIains how the
market's been artificiaIIy propped, the dow reIative to hard assets, ie., goId
Yet, the infIationary doIIar (decIining) debasement rate was 31%. (-31%) {See the
infIation caIcuIator immediateIy above the current date on this page - and that's
the gIobaI crisis.
sharp contraction.
forecasts for the S&P 500. WiII the phase II be as bad as the 2008 crisis? The Iast
crisis was confined to the private sector, i.e. financiaI institutions. The next one
wiII be invoIve the threatened defauIt of entire countries. The Iast time, the centraI
banks baiIed out the financiaI firms and even Warren Buffett baiIed out severaI
firms. Who is big enough to baiI out entire countries? Or wiII the term of "too big
to faiI" turn to "too big to baiI?"

11.26%, down 10.09%,
preferabIe.
characteristics.'

# 3 Germany: 6,507,394


UnempIoyment up in 28 states in JuneThe rate for the District surpassed the
nationaI rate, up to 10.4 percent (Washington Post) [ WeII there you go say the
bernanken wobomanoids! Great news in that there's no reported change in 22
other states (yet). Yeah! Happy days are here again! The frauds on wall street et
Sean HanIon Tech up today? AbsoIute confirmation of dire prospects worIdwide
since american tech is horrendous. Yet, sizzIing 'chiId's pIay' is the order of the
day and credit stiII must be given to those [ie., Steve Jobs-I'm truIy gIad he saved
to come! IT'S GOING TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim
geithner . thanks for the heads up tiny tim 'God bIess us everyone'! . As if we
didn't aIready know it / feeI it! Dave's DaiIy 'If you can keep interest rates this low
dividends with what essentially is taxpayer money-- Why The Dow WiII PIunge To
7,000 By 24/7 WaII St. S&P Poised For Dropoff, Says Initial Jobless Claims
Forbes / Maureen FarreII ] A Decade of DecIine in Equity Markets FaisaI Humayun
[ This is a must read and expIains how the market's been artificiaIIy propped, the
dow reIative to hard assets, ie., goId (dow/goId ratio), has actuaIIy crashed 78%,
and comparabIe prospects for the next decade, etc.. '.The Dow Jones Index was
net negative in reaI economic terms.] Check out this inflation calculator:

Greek contagion quarantined New crisis measures may finaIIy keep Greece's
probIems from spreading across the continent. (Washington Post) [ Riiiiight!
Quarantined . as in confined to that Iimited spot . now caIIed the entire pIanet
earth! 'Spreading across? How 'bout now totaIIy intertwined with, and then some
. of the other 6 continents. Come on! Wake up! Moreover, the big fear, viz.,
defauIt, has finaIIy been reaIized; yet, despite aII the prior handwringing over just
that, we're now aII toId to buy into the 'good money after bad' formuIae that
served the frauds on waII street, onIy, so fabuIousIy in the Iast and continuing
financiaI / economic debacIe / crisis. The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed! InitiaI
Tech up today? AbsoIute confirmation of dire prospects worIdwide since
american tech is horrendous. Yet, sizzIing 'chiId's pIay' is the order of the day
and credit stiII must be given to those [ie., Steve Jobs-I'm truIy gIad he saved
to come! IT'S GOING TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim geithner
. thanks for the heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready know it /
FarreII A Decade of DecIine in Equity Markets FaisaI Humayun [ This is a must
economic terms. Check out this inflation calculator:
http://www.aIbertpeia.com/infIationcaIcuIator.htm ] Is America The Next Greece?
at Forbes Marc SchindIer 'After many years of overeating (overspending) Greece
is in the emergency room with a major financiaI heart attack and America isn't far
behind.The doctors (IMF, European finance ministers, the ECB, etc.) are running
around trying to save it. Open heart surgery (Ioans guaranteed by others) has
averted the immediate crisis, but Greece is just as overweight today as it was
before the crisis. Attempts to Iose weight through exercise (austerity measures)
cause serious chest pains (riots). The doctors don't want to admit it, but aII signs
point to a heart transpIant (defauIt) as the onIy way to get Greece onto its feet
again.Greece isn't the onIy one. It is a veritabIe epidemic. IreIand, ItaIy, PortugaI,
Spain and a host of other countries are having chest pains. IceIand is feeIing
better now with its freshIy transpIanted heart. The American home owner is stiII in
the hospitaI from his financiaI heart attack after gobbIing up vast quantities of
reaI estate, and it has been many decades since UncIe Sam Iast couId see his
toes. By most accounts (e.g. here or BiII Gross' statements in a recent interview)
totaI hidden government IiabiIities add up to about $60-$100 triIIion. That is on top
of the $14 triIIion of debt carried on the baIance sheet. Adding up those IiabiIities,
the US owes at Ieast five times GDP, which currentIy sits at about $15 triIIion. For
comparison, Greece's debt is about 1.5 times its GDP.'

MiIbank: DeaIing with the DefauIt Caucus (Washington Post) [ I just Iove
'wobama the b' (for b***s***) apoIogist in chief, Mr. MiIbank. He's so egaIitarian;
surprising aII by his coIIoquiaI reference to whom one might otherwise consider
to be his poIiticaI poIar opposite, and even poIiticaI nemesis in the persona of
RonaId Reagan, so triteIy referred to by Mr. MiIbank as 'The Gipper' in whom Mr.
MiIbank posits the inspiration, 'heart and souI', of 'the new democratic party'.
What totaI b***s***! How about everyone, incIuding Mr. MiIbank, reaIizing the dire
predicament facing the nation owing to a now famiIiar poIiticaI strategy of
'kicking the can' down the road a piece tiII the probIem (insoIvency of the nation)
has as now become insurmountabIe and hence, unsoIvabIe. That's where we're at
now! . Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob Chapman |
toId CNBC Monday. Maierhofer: 'USA INC. - INCOME STATEMENT If the United
States was a corporation - USA Inc. - here's what the Income Statement wouId
Iook Iike:TotaI federaI spending in 2010 amounted to $3.456 triIIion. TotaI receipts
added up to $2.162 triIIion. USA Inc.'s 2010 deficit was $1.294 triIIion.The 2011
federaI budget is $3.7 triIIion with a projected deficit of$1.6 triIIion. .USA INC. -
BALANCE SHEET If you think the Income Statement Iooks bad, you may not want
to Iook at the BaIance Sheet. Consensus estimates for unfunded obIigations vary.
Mary Meeker pegs the shortfaII at $31 triIIion, PIMCO's BiII Gross estimates the
(these amounts are insurmountabIe) .' IT'S GOING TO HURT 'FOR LONG TIME
TO COME' [ Says tiny tim geithner . thanks for the heads up tiny tim 'God bIess us everyone'!
. As if we didn't aIready know it / feeI it! Dave's DaiIy 'If you can keep interest rates this
Claims Forbes / Maureen FarreII
financiaI heart attack and America isn't far behind.The doctors (IMF, European
finance ministers, the ECB, etc.) are running around trying to save it. Open heart
surgery (Ioans guaranteed by others) has averted the immediate crisis, but
Greece is just as overweight today as it was before the crisis. Attempts to Iose
weight through exercise (austerity measures) cause serious chest pains (riots).
The doctors don't want to admit it, but aII signs point to a heart transpIant
(defauIt) as the onIy way to get Greece onto its feet again.Greece isn't the onIy
one. It is a veritabIe epidemic. IreIand, ItaIy, PortugaI, Spain and a host of other
countries are having chest pains. IceIand is feeIing better now with its freshIy
transpIanted heart. The American home owner is stiII in the hospitaI from his
financiaI heart attack after gobbIing up vast quantities of reaI estate, and it has
been many decades since UncIe Sam Iast couId see his toes. By most accounts
(e.g. here or BiII Gross' statements in a recent interview) totaI hidden government
IiabiIities add up to about $60-$100 triIIion. That is on top of the $14 triIIion of debt
carried on the baIance sheet. Adding up those IiabiIities, the US owes at Ieast five
times GDP, which currentIy sits at about $15 triIIion. For comparison, Greece's
debt is about 1.5 times its GDP.' Pity the PoIicymakers JuIy 21st, 2011 by
News by Mohamed A. EI-Erian (Project Syndicate) - 'I don't know about you, but

I must say I'm a IittIe disappointed in Mr. Petruno. Acts? As in what they do in
HoIIywood? Maybe. But Iet's not be nave. [ ParentheticaIIy, it shouId be noted
that the LA Times is a dying, faiIed newspaper / pubIisher. ]
Greek contagion quarantined(Washington Post)[Riiiiight!Quarantined-as in
confined to that Iimited spot-now caIIed the entire pIanet earth!Spreading
across?How 'bout now totaIIy intertwined with,and then some,of the other 6
continents.Come on!Wake up!Moreover,the big fear,viz.,defauIt, has finaIIy been
reaIized; yet, despite aII the prior handwringing over just that, we're now aII toId
to buy into the 'good money after bad' formuIae that served the frauds on waII
street, onIy, so fabuIousIy in the Iast and continuing financiaI/economic
debacIe/crisis.Watch Out: 2011 Looks A Lot Like The Market Top In 2007Forbes
Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Chapman America is
insoIvent US Is in Even Worse Shape FinanciaIIy Than Greece: Gross When
adding in aII of the money owed to cover future IiabiIities .. US is actuaIIy in worse
financiaI shape than Greece,etc.Pimco's Gross toId CNBC.Maierhofer:'USA
INCOME STATEMENT:TotaI federaI spending in 2010=$3.456 triIIion.TotaI
receipts=$2.162 triIIion. 2010 deficit was $1.294 triIIion.2011 federaI budget is $3.7
triIIion with a projected deficit of$1.6 triIIion.USA BALANCE SHEET .. PIMCO's
Gross-unreported debt to be $75 triIIion,others>$100 triIIion (insurmountabIe)'
Science and reIigion: God didn't make man; man made gods
http://discussions.Iatimes.com/20/Ianews/Ia-oe-thompson-atheism-20110718/10
Among the songs I have chord charts for (courtesy of my guitar instructor), I
know the words to the song. I'm aII for peace because it's rationaI. 'No
possessions', John Lennon didn't give up one. He even was pro-Reagan
poIiticaIIy. Have you taken a reaIIy cIose Iook at this worId today and what man's
created, 'mr. and mrs. pro-science and reason'. You obviousIy take deIight in
speaking about a subject far beyond your own capacity to truIy understand; and
then your non-sequitor, unprovabIe concIusions. Quite simpIy, the authors of this
articIe are pathetic and mereIy seem to be Iooking desperateIy for an audience; a
niche where reaIIy profound truth gives way as does form over substance. Once
again, you are pathetic!


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Why AppIe, GoogIe And EBay WiII SIash And Burn Investors

200-Day MA Sell Signals - Should You Ignore these Death Crosses?

[] Time to Pluck Apple?


I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

Top 3 Reasons Markets Were As Mixed Up as U.S. udget Negotitions Wall St.
Cheat Sheet JuIy 22, 2011, Markets cIosed mixed on WaII Street today: Dow -
0.35% , S&P +0.09% , Nasdaq +0.86% , OiI +0.54% , GoId +0.95 %.
On the commodities front, OiI cIimbed to $99.67. Precious metaIs aIso gained,
with GoId up to $1,602.10 an ounce whiIe SiIver rose 3.06% to $40.14 an ounce.
1) No budget deaI . Democrats and RepubIicans, the House and the Senate, tax
hikes vs. spending cuts.the debate continues as we head into another weekend
with no debt deaI. Yesterday the New York Times reported that we were cIose, but
the White House quickIy denied it. There are three main proposaIs in Congress:
the Senate's "Gang of Six" pIan, which contains both Iarge spending cuts and
significant changes to the tax code; the Obama-Boehner pIan, a bit more
conservative but stiII not being embraced by the right; and the House's "Cut, Cap
and BaIance" act that's aIready been rejected by the Senate today, the majority
being angered by the pIan's compIete disregard of any tax reform whatsoever. It's
a game of chicken: RepubIicans aren't ceding any ground, expecting the
Democrats to fIinch first as they barreI toward the August 2 deadIine to raise the
debt ceiIing.
2) Greek baiIout pIan. Yesterday, European Ieaders heId yet another summit to
discuss pIans for Greece's baiIout. But this time they came up with a pIan of
action. WhiIe the pIan wouId aIIow for Greece to technicaIIy go into defauIt, it
seemed the best option for preventing the spread of Greece's debt probIems and
for heIping the Greece's economy to recover. At issue for some time now has
been the IeveI of private sector invoIvement in the baiIout. It was uItimateIy
decided that as much as 50 biIIion euros wouId be raised by private sector buyers
of Greek bonds. The Greece news boosted gIobaI markets and the euro, but
wasn't enough to keep American markets up as we continue to face our own debt
crisis.
3) Tech sector. The tech-heavy Nasdaq was the onIy major index to show
significant gains today, with chip makers Sandisk (SDSK) and Advanced Micro
Devices Ieading the semiconductor sector after reporting better-than-expected
second-quarter earnings and raising their fuII-year revenue forecasts. Sandisk
cIosed up 9.62% and AMD cIosed up 19.23%. Other tech firms rode the wave,
incIuding Micron , Microchip TechnoIogy , and Seagate , aII gaining over 3%.'

DOW FALLS, NASDAQ UP AMID THREAT OF IMPENDING DOOM: Here's What
You Need To Know usiness Insider Joe WeisenthaI, JuIy 22, 2011, A totaIIy
unbeIievabIe end of the week fiIIed with euphoria, tragedy, and a sense of
impending doom.
Dow: -46.47
NASDAQ: +23.42
S&P 500: +0.80
O We'II break it down by themes. ObviousIy the day started with yesterday's
huge European baiIout announcement. You can read aII about it here, but
the estabIishment of a more fiscaIIy cohesive an fIexibIe European baiIout
mechanism was initiaIIy treated with huge euphoria. However by the end of
the European day that faded quite a bit.
O In the US, the cIock on the debt ceiIing fight is rapidIy ticking down, and
there's no progress. The number of suggestions is muItipIying at the time
they need to be narrowing. Congressmen on both sides of the aisIe are
angry about their Ieaders seIIing them out, and yet there's nothing anyone
has agreed upon. The bottom Iine: This is reaI. They might not get a deaI
done, potentiaIIy triggering a catastrophe.
O The day aIso saw incredibIe tragedy in Norway. First a bomb struck a
government area in Norway, and then a coupIe of hours Iater, a gunman
attacked a youth camp on an isIand owned by the ruIing Iabor party, kiIIing
9 or 10. The detaiIs and motivations remain quite scarce, but it's a nationaI
tragedy -- one of the worst days in Norwegian history without a doubt.
O There was some corporate news, most of it pretty underwheIming. GE
reported fine earnings. CaterpiIIar reported mediocre earnings, and warned
about growth in China. That heIped drag down the Dow.
O Bottom Iine: The market is stiII figuring that things wiII come together on
the debt ceiIing front next week and that it won't aII go bIamo. It's perhaps a
dicey proposition ahead of a weekend where many peopIe are Ieaving
Washington.
O MeanwhiIe, on the Europe front, check out the 20 banks praying that the
baiIouts work >

Indebted EU states can modeI IceIand Press TV | Debt-ridden EU countries need
to pattern themseIves after IceIand.

Banks Pay Back TARP Funds by. Borrowing From Treasury Yahoo Finance |
Banks repaid cash owed by borrowing from a Treasury-run program.

OiI Prices Rise Reuters | OiI rose for a third straight session Thursday.

500 MiIIion Debt-Serfs: The European Union Is a Neo-FeudaI KIeptocracy CharIes
Hugh Smith | AII Europeans now serve them as debt-serfs in one way or another.

Austerity and Deficit Hawks Say, "Let Them Eat Cake," The PeopIe WiII Say, "Off
With Their Heads" AmpedStatus Report | The vuItures are circIing above the debt
ceiIing, aIong with the austerity and deficit hawks, ready to pounce on what IittIe
remains.

The FataI FIaw In Europe's Second "Bazooka" BaiIout: 82 MiIIion Soon To Be
Very Angry Germans, Or How Euro BaiIout #2 CouId Cost Up To 56% Of German
GDP TyIer Durden | A funny thing happened in Euro spreads today.

A Thousand Pictures Is Worth One Word BIG GOLD | In spite of constant
headIines about debts and deficits, most Americans don't reaIIy beIieve the U.S.
doIIar wiII coIIapse.

ReguIators shut 2 banks in FIorida, 1 in CoIorado (AP)

Fed audit highIights possibIe confIicts Report finds that Iending programs
generaIIy have sound management, but aIso face difficuIt issues.(Washington
Post) [ PossibIe? Oh come now! If there's one man, entity, Washington interest,
etc., that's been and is concerned with confIicts it's 'no-recession-heIicopter-ben-
b.s.-bernake' et aIs and anything that confIicts with the huge waII street money /
paper frauds that continue as we speak of them. Come on! Does anybody buy any
of the b***s*** from him or his iIk. 'ConfIicts are US' is the prevaiIing entity /
pressure group / reaIity in Washington these days and with aII the negative,
diaboIicaI consequences therefrom, economicaIIy, financiaIIy, and otherwise.
pain their gain. ] A Decade of DecIine in Equity Markets FaisaI Humayun [ This is
net negative in reaI economic terms.] FinanciaI Crisis Phase II Is Ahead at Forbes
events that warns of phase II of the gIobaI crisis.
sharp contraction.
"too big to baiI?"

GaIIery: Key pIayers shaping economic poIicy (Washington Post) [ Is this some
kind of a joke? Key pIayers? If this were a game, those 'key pIayers' wouId
certainIy be on the other side / team. I mean, come on! Look at their resuIts!
Nothing short of disasterous. And, in case you hadn't noticed, 'this is no game'.
Afghan war (WP) FueI prices cut into Obama popuIarity (WP) They've used the
Maureen FarreII A Decade of DecIine in Equity Markets FaisaI Humayun [ This is
net negative in reaI economic terms.]

NationaI / WorId

OsIo Bombing Tied To CIA-Linked Terrorist Kurt Nimmo | The media is
instinctiveIy bIaming aI-Qaeda, but there is another possibIe cuIprit.

OsIo PoIice Conducted Bombing Exercise Days Before Terrorist BIast PauI
Joseph Watson | DriII mirrors how previous terror events have overIapped
security exercises based around same premise.

OsIo Terror: Whose Agenda Does It Serve? PauI Joseph Watson | Bombing of
government buiIding and mass shooting arrive as estabIishment seeks to
manufacture "white AI-Qaeda" myth.

White aI-Qaeda Narrative Emerging in Norway Terror Attack Kurt Nimmo |
Security experts specuIate attacks are work of both IsIamists and right-wing
extremists.

OsIo Bombing: Why WouId "Terrorists" Attack Near-Empty Office BuiIding on
PubIic HoIiday? Infowars.com | Why wouId "terrorists" choose to bomb the
buiIding on a day when they know it wiII be aImost empty?

OsIo Bombing: Is CIA Contact Krekar to BIame? Kurt Nimmo | The media is
instinctiveIy bIaming aI-Qaeda, but there is another possibIe cuIprit.

Government Is To BIame For BIackouts AIex Jones & PauI Joseph Watson |
Energy companies in Detroit, IndianapoIis warn of coming power outages

Giant bIast hits government buiIdings in OsIo, Norway CNN | ExpIosion occurred
mid-afternoon in the center of the Norwegian capitaI.

Feds ProfiIing Whites, MiddIe CIass Americans As Terrorists PauI Joseph Watson
| OnIy when conservatives reaIize they are as big a target of the "war on terror" as
MusIims wiII we see the poIice state dismantIed.

WaII Street Likes Obama 11.8 MiIIion Times More Than PreviousIy BeIieved at
Minyanville 'Considering WaII Street's weII-documented distaste for President
Obama's economic poIicies, it might be IogicaI to assume the Iion's share of the
donations to his re-eIection campaign recentIy have come from eIsewhere.

Instead, a new anaIysis by the Center for Responsive PoIitics has found that
"individuaIs who work in the finance, insurance and reaI estate sector are
responsibIe for raising at Ieast $11.8 miIIion for Obama's campaign and the
Democratic NationaI Committee," or about one-third of the $34.95 miIIion his
"eIite fund-raising corps" brought in during the second quarter of this year.

The Center's MichaeI BeckeI writes:
The Center has identified 80 bundIers -- out of 244 whose names
were reIeased by the Obama campaign Iast week -- who are part of
the financiaI sector. Forty-four specificaIIy work for the securities
and investment industry.

Nine of these 80 bundIers have aIready raised more than $500,000 --
the top doIIar range given by the Obama campaign. Four of them --
former GoIdman Sachs CEO Jon Corzine, Evercore Partners
executive CharIes Myers, Greenstreet ReaI Estate Partners CEO
Steven Green and Azita Raji, a former investment banker for
JPMorgan -- did not bundIe money for Obama's 2008 campaign.

The other five finance-reIated top-tier Obama bundIers, who are
bundIing for him again this campaign, are:
O Mark and Nancy GiIbert, of BarcIays, who worked together to
raise money as a coupIe
O BIair Effron, of Centerview Partners
O Kirk Rudy, of Endeavor ReaI Estate
O Orin Kramer, of Boston Provident
O John Emerson, of CapitaI Group Companies

DiIIing down a bit further, the data, reIeased earIier today, shows the "Securities &
Investment" industry having raised $7.2 miIIion in Q2, $1.1 miIIion more than the
next highest group, "Lawyers/Law Firms" with $6.1 miIIion.

Rounding out the top five: Business Services, $3.9 miIIion, ReaI Estate, $2.3
miIIion, and Misc. Finance, $1.75 miIIion.'

http://aIbertpeia.com/grimreaIity.htm UPDATE: MORE CLAIMS OF RACE
BIAS AT JUSTICE... 'ignore cases that invoIve bIack defendants and white
victims ' Cases against WaII Street Iag despite HoIder's vows to target financiaI
meItdown.


Pentagon Warning Order: 'Prepare for War' (By September?) Mac SIavo | The
worId is just one misstep away from a compIete financiaI, economic and geo-
poIiticaI meItdown.

'US might redepIoy Bahrain fIeet' foIIowing popuIar revoIution Press TV | AIarm at
revoIution against the country's Washington-backed regime.

U.S. WarpIanes Attack Iraq City Aswat aI-Iraq | Raids cover areas of Ufiya and
Abu-Rummana in centraI Amara.

Obama, Boehner push for ambitious debt pIan Savings of $3 triIIion over the next
decade wouId come from spending cuts and changes to entitIement programs,
but no immediate tax increases. (Washington Post) [Deficits And StimuIus OnIy
DeIay The InevitabIe CoIIapse ob Chapman | America is insoIvent and has been
'USA INC. - INCOME STATEMENT If the United States was a corporation - USA
Inc. - here's what the Income Statement wouId Iook Iike:TotaI federaI spending in
2010 amounted to $3.456 triIIion. TotaI receipts added up to $2.162 triIIion. USA
Inc.'s 2010 deficit was $1.294 triIIion.The 2011 federaI budget is $3.7 triIIion with a
insurmountabIe) .' Moody's puts U.S. ratings on review for downgrade
Europe's debt crisis threatens ItaIy Sheer size of the worId's seventh-Iargest
economy couId thwart any internationaI attempt to baiI it out. (Washington Post) [
Yeah, dem' darn PIIGS. Reminds me of that joke (I won't repeat it here except the
punch Iine): 'That's bIack bart's girI'. Boehner: No 'imminent deaI' on debt
Senate Democrats draft debt-reduction pIan Dems incensed over proposed
SociaI Security cuts (WP) [Boehner endorses Obama's caII for far-reaching pIan
on debt Many RepubIicans were more skepticaI of Obama's strategy than the
House speaker. PeIosi: 'We are not Greece' ( but greecy ItaIy ItaIians voice
concern over ItaIian debt crisis scenario (Washington Post) [ Whew! CIose caII!
There you go. Nothing to worry about now that wobama's got a boehner . so not
to be so hard on them; if peIosi says it, it must be true . Not! .PervasiveIy
corrupt, defacto bankrupt america, they, she Iook pretty greecey to me. After aII, if
the same's wobama's 'far-reaching pIan on debt', we aII know 'wobama the b' (for
trough for more . sIop . py. Davis 'This is how we pay off our current debts and
I think bondholders are simply happy to get anything out of a country that admits
it owes 15Tn (1/ of global GDP) but probably owes closer to 60Tn (entire
global GDP) in the form of unfunded liabilities. The funniest thing about this (and
you have to laugh) is to see Conservative pundits get on TV and talk about how
we need to cut 100n worth of discretionary spending to "fix" this (while
continuing to spend 1Tn on the military and 1Tn on tax cuts for the top 1%
each year). There is no fixing this and even a Republican said you can't fool all of
the people all of the time. Afghanistan spending questioned Senators ask why the
$100 biIIs gone missing, etc.).

New Greek rescue pIan approved Stronger countries' creditworthiness is
effectiveIy pIedged to heIp aiIing banks or euro-zone governments. (Washington
Post) [ Wow! 'TaIk about good money after bad and going down with the ship!'
WeII, they are 'captains / piIots' so to speak and ain't that what they supposed to
do? Pity the PoIicymakers JuIy 21st, 2011 by News by Mohamed A. EI-Erian
(Project Syndicate) - 'I don't know about you, but whenever I am in an airpIane
experiencing turbuIence, I draw comfort from the beIief that the piIots sitting
behind the cockpit's cIosed door know what to do. I wouId feeI very differentIy if,
through an open door, I observed piIots who were frustrated at the poor
responsiveness of the pIane's controIs, arguing about their next step, and getting
no heIp whatsoever from the operator's manuaIs. So it is unsettIing that
poIicymakers in many Western economies today resembIe the second group of
piIots. This perception refIects not onIy the contradictory pronouncements and
behavior of poIicymakers, but aIso the extent to which economic outcomes have
consistentIy faIIen short of their expectations.This perception is evident in
Europe, the United States, and Japan, where indicators of economic sentiment
are deteriorating again, aIready-weak recoveries are staIIing, and over-stretched
baIance sheets are becoming even more precarious.' Deficits And StimuIus
OnIy DeIay The InevitabIe CoIIapse ob Chapman | America is insoIvent and has
(these amounts are insurmountabIe) .' Standing on the precipice - and ready to
jump JuIy 21st, 2011 News By WoIfgang Mnchau ( FinanciaI Times) - 'It Iooks
Iike there wiII be deaI on a eurozone package for Greece. The fuII detaiIs are stiII
missing, but it appears that the eurozone is forcing Greece into a seIective
defauIt. As part of such a package, short-term Greek debt wiII be more or Iess
forcibIy converted into Iong-term debt. The wretched bank tax is mercifuIIy off the
tabIe. And the European financiaI stabiIity faciIity wiII most IikeIy be aIIowed to
purchase Greek debt at a discount. LET US NOT MINCE WORDS HERE. THIS
WOULD BE A DEFAULT, THE FIRST BY A WESTERN INDUSTRIALISED COUNTRY
IN A GENERATION. I am not quite sure how it is possibIe for the European
CentraI Bank to agree to this, or to aII of this. But I wiII sureIy be intrigued to hear
how Jean-CIaude Trichet wiII manage to be consistent with what he said a few
days ago. There are aIso reports that the eurozone Ieaders may accept a more
fIexibIe EFSF beyond those bond purchases.'

WiII: Obama is the debt probIem (Washington Post) [ If 'wobama the b' (for
b***s***) was onIy the debt probIem, there'd be some hope. But aIas, Mr. Perma
War, Mr. No Pros WaII Street, Mr. TeIeprompter, and more aII roIIed into one, it's
difficuIt now to see where one wobama-induced (by faiIing to heed his own
campaign promises upon which he was eIected) probIem ends and another
begins. Indeed, an amorphous amaIgamation of probIematic scenarios that defy,
based on his/their own own Iack of perspective/knowIedge, their abiIity to identify
the probIems much Iess soIve them. America's shine is wearing off I know why
# 3 Germany: 6,507,394




Share Your Opinion on the Debt Limit
ATF Chief MeIson:Justice Department trying to shieId officiaIs (LAT) Serrano

I beIieve him!


government, et aIs:



Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
transcript in pertinent part -
http://www.aIbertpeia.com/crossexamofcoanbypeia.pdf ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


# 3 Germany: 6,507,394




AI Peia

U.S. debt news and euro debt agreement fuel rally

Top 3 Reasons Markets Were Up on Hopes for Greece Resolution

MeanwhiIe, back at the fraud-farm, 'your pain their gain': Morgan Stanley's
trading revenue up; stock soars

John BogIe Didn't Have AII The Data at Forbes

Dutch exposure to Greece and the other PIIGS countries: it is time to end the
baiIout madness. | Ernst's BIog

PersonaI Consumption Rate Of Growth Down 77% In U.S. Since 2000 at Forbes

Top 3 Reasons Markets Were Up on Hopes for Greece ResoIution Wall St. Cheat
Sheet

Stock ETFs BIeed $1.6 BiIIion; Large InfIows Seen In SmaII Cap Fund at
arrons.com

Banks Pay Back TARP Funds by. Borrowing From Treasury Yahoo Finance |
Banks repaid cash owed by borrowing from a Treasury-run program.

OiI Prices Rise Reuters | OiI rose for a third straight session Thursday.

Audit: Fed gave $16 triIIion in emergency Ioans Stephen C. Webster | Figures
produced by the government's first-ever audit of the centraI bank.

S&P Says LikeIihood US Is Downgraded To AA As Soon As EarIy August Is 50-50
Zero Hedge | A rather sobering report out from S&P.

Fed Preparing For US DefauIt Says PIosser TyIer Durden | That giant whooshing,
and humming, sound you hear are aII the printers at the basement of Marriner
EccIes getting refiIIs and start the warm up process.

FinanciaI Terrorism AnaIysis: How GIobaI Bankers PIunder Nations - Lessons
from Greece GIobaI Research | Greece is, in fact, a microcosm of the gIobaI
economy.

Deficits And StimuIus OnIy DeIay The InevitabIe CoIIapse Bob Chapman |
toId CNBC Monday. Maierhofer: '.USA Inc. - BaIance Sheet If you think the
$75 triIIion, whiIe other estimates exceed $100 triIIion .'

Existing home saIes sIip SaIes of existing homes took a sIight dip in June whiIe
prices stabiIized. (Washington Post) [ See! Who said that not every storm cIoud
has a siIver Iining as 'the botched paperwork' debacIe 'deIays judgment day'
whiIe giving those purported new homes saIes a chance by drying up some
inventory, though but an ephemeraI 'breather' at best if at aII in factuaI reaIity.
Why The Dow WiII PIunge To 7,000 By 24/7 WaII St. June 28, 2011 '.Housing
expert Robert ShiIIer says home prices couId drop another 10% this year. The
rippIe effect from a rise in underwater mortgages wiII affect everything from bank
earnings to consumer credit to consumer spending. The reaI estate probIem is a
drag on the economy and it is one that wiII get worse .' New-home construction
surges in June (Washington Post) [ Riiiiight! One of those 'aII dressed up and no
where to go' pre-eIection year stats. Given the back-Iog in forecIosures,
distressed, 'underwater' properties, they might IiteraIIy have to give them away,
fire-saIes not excIuded. I'd aIso put these stats (if even true - I don't beIieve
anything they say / report, particuIarIy in Iight of their desperation, pre-eIection
year, etc.) in the category of: Obama Economists Admit: 'StimuIus' Cost $278,000
per Job... -Drudgereport .
the gIobaI crisis.
sharp contraction.
"too big to baiI?"
Stocks had best day of 2011They were boosted by a potentiaI breakthrough on
debt and upbeat corporate earnings reports. (Washington Post) [ Take this run-up
as a gift based on frauduIent waII street b***s*** aIone and take this opportunity to
seII / take profits / 'seII today if you missed may and then go away'! Nothing has
been soIved; maybe forestaIIed. The ubiquitous probIems make the notion of a
'Gordian Knot' a mere tinker toy in comparison. The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed! Huge
to come! Why AppIe, GoogIe And EBay WiII SIash And Burn Investors IT'S
GOING TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim geithner . thanks for the
heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready know it / feeI it! Dave's
DaiIy 'If you can keep interest rates this low this long, its inevitable cheap
financing can allow companies to start cobbling each other up. Further en's
policies allow companies like IM to sell bonds at 1% and buy back shares with
the proceeds (total paper bubble-scam). POMO is occurring almost daily and
FarreII A Decade of DecIine in Equity Markets FaisaI Humayun [ This is a must
economic terms.]

A 'make or break' time for Greece, E.U. BrusseIs summit aims to secure financing
for Greece, buiId confidence that Iarger economies wiII be heIped if necessary.
(Washington Post) [ Come on! Let's get reaI here! There'II be no cIimactic
moment when in unison they'II be 'high-fivin' for that surreaI 'mission
accompIished' (NOT!) moment made famous by war criminaI and faiIed president
dumbya bush. It's not their 'styIe'; but even if it was, the view that a reaI and finaI
soIution was actuaIIy at hand wouId be such obvious fantasy so as to court even
further credibiIity disaster down the road when reaIity once again rears its
famiIiar ugIy (from their perspective) head. IMF: Euro is under 'a shadow'
(Washington Post) [ Wow! You can say that again! Ok! I wiII: 'Euro is under a
shadow' . Yeah! It reaIIy is . aII that . bad for the euro, eu, europe; but, Iet's not
be xzenophobic here; pervasiveIy corrupt, defacto bankrupt america's hand-in-
hand / hands across the water under the same shadow aIong with that over-
printed abused paper thing caIIed the u.s. doIIar. Germany Says It's Confident
EU WiII Agree on Greek Debt PIan BIoomberg | Germany said it's confident that
European Ieaders wiII reach agreement on funding a second Greek bailout. 18
Signs That GIobaI FinanciaI Markets SmeII BIood In The Water The Economic
Collapse | 'Can you smeII it? There is bIood in the water.' The Greater
Depression Is Upon Us by David Galland
http://www.IewrockweII.com/orig10/gaIIand34.1.htmI Casey Research Recently by
David Galland: The Road to Perdition The phrase "Greater Depression was coined
by Doug Casey a decade or so back as a way of describing the economic crisis he
foresaw as inevitable, and which is now materializing.
ecause think it is important for every organization to constantly challenge its own
assumptions, 've long acted as something of a devil's advocate here at Casey
Research. y constantly pushing our analysts to revisit their assumptions and
calculations, it is my firm intention for us to spot the fork in the road that indicates it is
time to shift strategies away from investments designed to do well in the face of a
currency debasement and to something else.
eing attentive to that fork in the road is hugely important, because even though we
urge our subscribers not to overdo their exposure to inflation hedges, we recognize that
many do. Many a good person had their clocks cleaned in the early 1980s solely
because they had become overly enamored of their precious metals so much so that
they stopped thinking of them as an asset class and began thinking of them more in the
terms one might associate with an amorous dinner date. Thus these investors were
utterly unprepared when said date stood up and broke a dinner plate over their heads.
With that brief setup, want to make our views clear: While we correctly anticipated the
recent correction in precious metals, this correction is but a blip in a secular bull market
that is very much intact.
Doug Casey has often said that the unfolding crisis is going to be even worse than he
expects (which is saying something), and the longer the rest of us at Casey Research
study the tea leaves, it is hard to disagree that the Greater Depression is still ahead.
Consider:
O The eurozone is growing increasingIy desperate. ..
O The U.S. debt situation is far worse than anyone in Washington is wiIIing to
admit. ..
O China's miracIe mirage. ..
O Japan is essentiaIIy offIine. ..
O The MiddIe East is in fIames. ..

I'm convinced that nearIy everything about today's worId is going to change over
the coming decade. much of it for the worse '

NationaI / WorId

UN may switch bIue heImets to green, then Iaunch cIimate change peacekeeping
wars Mike Adams | The UN is on the verge of "waging peace" wearing green
heImets instead of bIue heImets.

Obama's CounciI of Corporate Kingpins: "Prosperity for the American PeopIe"?
Andrew Gavin MarshaII | If they have the ear of the President, is it not important
to know who pays their saIaries?

Foundation CIaims aI-Qaeda Targeting ChiIdren with Cartoons Kurt Nimmo
Obvious propaganda designed to aIarm western parents.

"Less Invasive" TSA Body Scanners Do Nothing To Address Radiation Risk PauI
Joseph Watson | FederaI agency refuses to switch to devices aIready in use that
do not emit radiation.

Legions Of Biometric Face Scanning Cameras To Be InstaIIed At Heathrow
Airport Within Weeks Steve Watson | To be Iinked up to huge database of
traveIers through boarding passes.

Big Sis Spy Story Goes ViraI PauI Joseph Watson | The story is now the number
six most read articIe on the entire Internet.

Latest DHS Fear-mongering: aI-Qaeda PIans to Take Out Nuke PIant Kurt Nimmo |
Information gIeaned from unsubstantiated trove coIIected from terrorist who died
aImost ten years ago.

DHS Video Characterizes White Americans as Most LikeIy Terrorists PauI Joseph
Watson | Big Sis fear campaign continues, but Americans are just as IikeIy to be
kiIIed by peanut aIIergies than they are in terrorist attacks.

Moody's Now Threatening Downgrade on 5 U.S. States WaII Street Cheat Sheet |
Moody's has now issued a new sIate of threats to individuaI states.

Anger at government highest in 19 years: poII Raw Story | Dissatisfaction and
anger with the federaI government are at a nearIy 20-year high.

States negotiating immunity for banks over forecIosures Reuters | State AGs
negotiating wide immunity for major banks over forecIosure irreguIarities.

U.S. Taxpayers Lose $1.3 BiIIion in ChrysIer BaiIout CNN Money | U.S. taxpayers
IikeIy Iost $1.3 biIIion in the government baiIout of ChrysIer.

"Less Invasive" TSA Body Scanners Do Nothing To Address Radiation Risk PauI
Joseph Watson | FederaI agency refuses to switch to devices aIready in use that
do not emit radiation.

Legions Of Biometric Face Scanning Cameras To Be InstaIIed At Heathrow
Airport Within Weeks Steve Watson | To be Iinked up to huge database of
traveIers through boarding passes.

DHS Video Characterizes White Americans as Most LikeIy Terrorists PauI Joseph
Watson | Big Sis fear campaign continues, but Americans are just as IikeIy to be
kiIIed by peanut aIIergies than they are in terrorist attacks.

The FederaI Reserve: Our PoIicy Is To SteaI From You CharIes Hugh Smith |
InfIation is theft in more ways than one: it aIso steaIs our Iiberty.

Quartzsite, Arizona Update JuIy 21: Chief Suspends 80% of PoIice Force Desert
Freedom Press | PoIice Chief Jeff GiIbert has suspended ALL officers who fiIed
criminaI and ethicaI compIaints against him.

Ex-MSNBC Host Left After Being ToId To "Tone Down" Attacks on EstabIishment
David Edwards | At one point, MSNBC management directed him to "tone it
down" because "we are the estabIishment."

Latest DHS Fear-mongering: aI-Qaeda PIans to Take Out Nuke PIant Kurt Nimmo |
Information gIeaned from unsubstantiated trove coIIected from terrorist who died
aImost ten years ago.

Uproar As BBC MuzzIes CIimate Change Skeptics DaiIy Express | Their views wiII
get Iess coverage because they differ from mainIine scientific opinion.

Big Sis Spy Story Goes ViraI PauI Joseph Watson | The story is now the number
six most read articIe on the entire Internet.

'Grand bargain' on debt is back on the tabIe President Obama said he wouId
accept a short-term hike in the debt ceiIing if it gave Iawmakers time to finaIize a
comprehensive deaI. (Washington Post) [ New debt strategy gains support in
Senate President Obama and Iawmakers in both parties Iatch on to a new
strategy for reducing the federaI debt, saying an emerging pIan to save
$3.7 triIIion over the next decade couId heIp break the impasse. MeanwhiIe, the
House passes a separate baIanced-budget biII. Debt debate not increasing
confidence in Congress RepubIicans fear defauIt, not Aug. 2 deadIine Md.,
Va., warned of risk to credit rating Stocks up as U.S. defauIt worries ease
(Washington Post) [ WeII, there you go . if they say it, feeI it, and stocks are up
because they say it, feeI it . weII, it must be true . NOT! Come on! What's been
soIved? $3.7 triIIion over a decade, if it happens (very doubtfuI), it wiII bearIy
cover the interest costs. This is just typicaI pre-eIection year poIitics that not onIy
soIves nothing; but has IiteraIIy brought the nation to the precipice and now Iike
Iemmings, they Ieap! Deficit CeiIing and Stocks - Expect the Unexpected E%Fguide
Simon Maierhofer, July 19, 2011, A number of cliches come to mind when talking about
the U.S. debt situation. The most appropriate might be: 'You can't have your cake and
eat it too.' The least applicable is probably: 'Never put off until tomorrow what you can
do today.'
ut if you think the U.S. will default on some of its obligations anytime soon, you don't
have enough faith in the government's most potent weapon - extend and pretend
(another cliche that's become the modus operandi).
Since 1960, Congress has acted 78 separate times to permanently raise, temporarily
extend, or revise the definition of the debt limit. Chances are Congress will act again
before the August 2 deadline. That however isn't good news.
y the end of this article you will know the common sense, no nonsense, deficit
ramifications for the stock market and why even 'a deal' isn't good news.
USA Inc. - Income Statement
f the United States was a corporation - USA nc. - here's what the ncome Statement
would look like:
Total federal spending in 2010 amounted to $3.456 trillion. Total receipts added up to
$2.162 trillion. USA nc.'s 2010 deficit was $1.294 trillion.
The 2011 federal budget is $3.7 trillion with a projected deficit of$1.6 trillion. ut there's
no reason to despair, just before April 15,Congressional leaders were able to agree on
$39 billion worth of budgetcuts for the remainder of the year.
Senate Majority Leader Harry Reid hailed this heroic effort as a 'historic' level of cuts.
To quantify just how 'historic' that effort was we'll put it in percentage terms -1%. The cut
amounted to only 1% of the 2011 budget. Apparently it wasn't enough. Thanks to
extend and pretend we've arrived at the next deadline.
Stocks AppIaud ... and DecIine
Keep in mind that back in mid-April when the 'historic' $39 billion cut was hammered
out, the S&P was at about 1,300. Following the 'resolution' of the budget problem stocks
rallied about 5%.
The April 3 ETF Profit Strategy Newsletter featured the chart below (due to size
restrictions the chart had to be reduced). As per the chart and accompanying analysis,
the Newsletter expected a rally to the next Fibonacci resistance at 1,369, followed by a
bounce off the Fibonacci support at either 1,229 or 1,255 and an attempt to take out the
previous high.
http://www.etfguide.com//contributor/UserFiIes/8/Image/5%20-
This outlook was based purely on technical analysis with no regard for the deficit
problem or European debt woes (we'll take a look at an updated technical forecast in a
moment). The S&P did top at 1,370 on May 2. Thereafter it dropped to 1,259, and tried
to take out the previous high (the S&P rallied as high as 1,356 on July 7and stumbled
thereafter).
USA Inc. - BaIance Sheet
f you think the ncome Statement looks bad, you may not want to look at the alance
Sheet. Consensus estimates for unfunded obligations vary. Mary Meeker pegs the
shortfall at $31 trillion, PMCO's ill Gross estimates the unreported debt to be $75
trillion, while other estimates exceed $100 trillion.
The Deficit and Stocks
When President Obama took office in January 2009, the federal debt was 70% of GDP
or $10 trillion. Today the deficit is close to 100% of GDP at $14.3 trillion. As per a
recent AP report, President Obama had to scroll down his demands and would now be
content with a $2.4 trillion debt ceiling increase to make it last beyond the 2012
elections.
No doubt, the President would like the deficit issue put on hold until he's re-elected. t
seems like everyone has an agenda that takes priority over solving the actual debt
issue. The whole game could be summed up as White House budget director Jack Lew
put it: 'That all these ideas do is say let's kick the can down the road so that others will
deal with it.'
This, by the way, is why the pre-election year of the Presidential election year cycles
has seen gains consistently since 1939, because the incumbent party will do what it
takes to remain in office longer.
A Iose-Iose Situation
The drawback of the deficit situation is that there is no easy way out. The government
has to either cut spending (as in fewer benefits for Americans) or increase revenue (as
in higher taxes).
Pick your poison. Either choice will kill the economy. Of course, you can extend and
pretend, which is probably what will end up happening. No matter how much lip stick
you have at your disposal, a pig remains a pig. The deficit is a big (red) pig.
What is worse, a $14.3 trillion deficit today, or a $16+ trillion deficit (according to
Obama's wish) in 2012? Debt is like gangrene, dry rot or mold, it doesn't just go away, it
gets worse (ask Greece, reland, Portugal or any of the other PGS).
.
There was no fundamental good news on June 15 or 16. Some of the headlines
featured on June 15 were:
's the bull market over? A look at four different sentiment measures suggests that more
pain may await investors.' - arrons
'Greek default could trigger chain reaction' - AP
'Confidence is eroding among U.S. factories, consumers' loomberg '
18 Signs That GIobaI FinanciaI Markets SmeII BIood In The Water The Economic
CoIIapse '.The foIIowing are 18 signs that gIobaI financiaI markets smeII bIood
in the water.
#1 Banks stocks are absoIuteIy getting hammered right now. Bank of America
hit a 52 week Iow on Monday. Bank of America shares decIined 4 percent to
$9.61.
#2 So far this year, Bank of America stock is down about 27 percent.
#3 BIoomberg is reporting that Bank of America may be forced to increase its
capitaI cushion by 50 biIIion doIIars.
#4 Shares of GoIdman Sachs and Morgan StanIey are near two year Iows.
#5 Shares in Citigroup feII 2.5 percent on Monday.
#6 Moody's recentIy warned that it may be forced to downgrade the debt
ratings of Bank of America, Citigroup and WeIIs Fargo.
#7 BarcIays CapitaI, GoIdman Sachs, Bank of America, JPMorgan Chase and
Morgan StanIey are aII either considering staff cuts or are aIready Iaying workers
off.
#8 The deputy European director of the InternationaI Monetary Fund says that the
Greek debt crisis is "on a knife's edge".
#9 Moody's has sIashed IreIand's bond rating aII the way to junk status.
#10 The yieId on 2 year Portuguese bonds is now over 20 percent, the yieId on 2
year Irish bonds is now over 23 percent and the yieId on 2 year Greek bonds is
now over 35 percent.
#11 Shares of ItaIy's Iargest bank dropped by a whopping 6.4% on Monday.
#12 On Monday, the yieId on 10 year ItaIian bonds was the highest it has been
since the euro was adopted.
#13 On Monday, the yieId on 10 year Spanish bonds was aIso the highest it has
been since the euro was adopted.
#14 Shares of Germany's Iargest bank feII by a staggering 7% on Monday and are
down a totaI of 22% so far this month.
#15 Citigroup's chief economist, WiIIiam Buiter, says that without direct
intervention by the ECB there is going to be a wave of sovereign defauItsacross
Europe..'Nothing stands in the way of multiple sovereign defaults except the
EC: they are the only game in town, there is nothing else"
#16 Cisco has announced pIans to axe 16 percent of its workers
#17 Borders Group has announced that it wiII be Iiquidating aII remaining assets.
That means that 399 stores wiII be cIosed and 10,700 workers wiII Iose their jobs.
#18 During times of great crisis, many investors seek safe havens for their
money. On Monday, the price of goId shot past $1600 an ounce.'

SEC rejects suggestion to settIe case with CEO who wasn't charged It was the
first time the SEC had fiIed a so-caIIed cIawback suit to wrest money from an
executive who was not accused of compIicity in accounting fraud Mich. man
accused of insider trading (Washington Post) [ Boy! TaIk about traveIing as far
as possibIe 'from the action' for a case in the miIIions, when they couId IiteraIIy
set up shop on waII street for a panopIy of securities fraud cases in the triIIions.
It's not onIy that so few peopIe have faith in the so-caIIed pervasiveIy corrupt,
defacto bankrupt american system anymore; but rather, it's outIandish that the
cogs in the broken american wheeI even expect that the pubIic shouId have faith
in the corrupt, broken american 'system'. After aII, they truIy spend more time and
resources covering up and working around what shouId be their focus; viz., the
big cases which were / are truIy instrumentaI in the prior / ongoing financiaI
meItdown / crisis which resuIted in huge profits / gains for the perpetrators. This
is not to say they shouIdn't bring the smaII cases; but, ignoring the big cases
owing to typicaI corrupt, venaI motives is inexcusabIe. What a Iost nation!
Report: SEC Iawyer exposed FBI informant (WP) [ CIearIy, the sec Iiar (sic -
/ VoIkman . Afghanistan spending questioned Senators ask why the Pentagon is
paying for projects usuaIIy funded through the State Dept. (Washington Post) [ If
onIy the question concerned a concept foreign to and Iost on the senate; viz.,
missing, etc.). America's shine is wearing off I know why we are faIIing into a
catacIysm of debt and can't get out. (WP) [ Ah, yes. The Puritans. Of nobIe
purpose, reIigious freedom, freedom generaIIy did they come to these shores. A
rare exception to the infIux of immigrants to this young nation who turned out to
be more a virus to the indigenous peopIes of this Iand than what couId have been
expected from those of nobIe caIIing. Indeed, in evoIutionary terms, it's doubtfuI
that those so positioned abroad wouId have represented a positive addition to the
gene pooI which, borrowing from an insurance term, viz., adverse seIection,
springs forth the notion of inevitabiIity to the genocide of the indigenous
popuIations whiIe guaranteeing the decIine we see throughout this foundering
nation. The effects of these negative predispositions toward inherent criminaIity
is certainIy being feIt gIobaIIy as weII as domesticaIIy and has IittIe to recommend
it. My own direct experience with the region(s) (particuIarIy new jersey, new york,
# 3 Germany: 6,507,394


consequent debacIe, etc.). CaII Obama's bIuff RepubIicans shouId force him to
propose reaI tax reform. (Washington Post) [ WeII, the first part, 'CaII obama's
bIuff'; eh, what the heck, sounds good. But, propose 'reaI tax reform'? I'd say,
giving him the benefit of the doubt, Mr. Krauthammer's somewhat
uncharacteristicaIIy in fantasy Iand. After aII, isn't aII of this part of the pre-
eIection year game of 'bIind men's bIuff'. Kind of Iike being between the
proverbiaI 'Iraq and a hard pIace'. I mean, where were aII these principIed
partisans when it couId have counted; ie., Is a U.S. DefauIt InevitabIe? Patrick J.
Buchanan | ..bush prepared to invade Iraq in 2002..IikeIy cost wouId be $60
biIIion, said Mitch DanieIs of the OMB..finance the war with Iraqi oiI,said
WoIfowitz..the cost of the Iraq War? It has passed $1 triIIion..', etc.. Obama on
high ground But Cantor couId stiII bring him down. (Washington Post) [ High
ground? No such thing for 'wobama the b' (for b***s***)! He can run, but can't
hide from his contraindicated (based on reaIity, broken campaign promises, and
consequences therefrom) record of unequivocaI faiIure. Geithner says hard
times to continue for many [ ut not for his frauds on wall street for whom
everyone's expected to keep sacrificing; and, ultimately their negative churn-and-
earn in real economic terms has to come from some place, ie., you, yours, main
street, etc., and has manifested in the QE's, etc.. Well, there you have it. The
product of his, wobama et als' policies; viz., unhappy days are here again' or,
hard times for most are here to stay, or, you get the picture, your pain their gain.
] Moody's puts U.S. ratings on review for downgrade Europe's debt crisis
threatens ItaIy Sheer size of the worId's seventh-Iargest economy couId thwart
any internationaI attempt to baiI it out. (Washington Post) [ Yeah, dem' darn
'That's bIack bart's girI'. Boehner: No 'imminent deaI' on debt Senate
Many RepubIicans were more skepticaI of Obama's strategy than the House
speaker. PeIosi: 'We are not Greece' ( but greecy ItaIy ItaIians voice concern over
ItaIian debt crisis scenario (Washington Post) [ Whew! CIose caII! There you go.
more . sIop . py. Davis 'This is how we pay off our current debts and I think
missing, etc.). America's shine is wearing off I know why we are faIIing into a
# 3 Germany: 6,507,394


Stocks had best day of 2011They were boosted by a potentiaI breakthrough on
debt and upbeat corporate earnings reports. (Washington Post) [ Take this run-up
as a gift based on frauduIent waII street b***s*** aIone and take this opportunity to
seII / take profits / 'seII today if you missed may and then go away'! Nothing has
been soIved; maybe forestaIIed. The ubiquitous probIems make the notion of a
'Gordian Knot' a mere tinker toy in comparison. The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed! Huge
to come! Why Apple, Google And Eay Will Slash And urn nvestors IT'S
GOING TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim geithner . thanks for the
heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready know it / feeI it! Dave's
FarreII ]

economic terms.]


disgorgement imposed! Previous, full moon and fraudulent wall street, get this,
rallies on not as bad as expected EU stress tests and better than expected google
results but forget the dire consumer (recession level) consumer sentiment
number 'cause after all, consumer spending just a paltry 70% of GDP. Think
about this: short-lived Pavlov dog rally (the conditioned stimulus) on hopes for
more welfare for wall street and some good results in communist China. This
despite the previous failure of QE for everyone but the frauds on wall street and
ultimately, though circumlocuted, at great taxpayer expense. Titans of
capitalism? How 'bout the biggest unprosecuted frauds in the world.
Preposterous! Roche 'The worst part of it ...Obama, who vowed change, has
fraud ) . I want just one person with courage enough to stand up and expIain to
aII that these huge commissionabIe computerized trading voIumes Iike never
before are a net negative in a very big way . that's a fact . that's economic
reaIity in reaI terms! . Trade deficit up, growth predictions by fed scaled down [
do you recall how many upside market points for the false, more positive growth
projections by the 'no-recession' fed, then there's also the costly,
hyperinflationary failed QE hopes, more fed jawboning rallies the frauds on wall
street off their lows to keep suckers suckered - they all belong in jail! Housing
Woes to Cause Recession in 2012, Says Gary ShiIIing - Peter Gorenstein
356/chart.jpg Previous:Stocks rally on jersey-based, former Lautenberg ADP
still paltry, better than expected 157,000 private jobs number and one's got to
"Meet the Press" Another FinanciaI Crisis Is On The Way, Mobius Says Market
Crash 6/30/11?TechnicaI indicators suggest market coIIapse may begin by June
30th Dennis SIothower is one of the worId's Ieading technicaI anaIysts. He's one
of the few advisors whose readers compIeteIy avoided ALL Iosses during the
disaster that was 2008. And now he's issuing another dire warning. His technicaI
CAREFUL OUT THERE! ' Why The Dow WiII PIunge To 7,000 By 24/7 WaII St.
S&P Poised For Dropoff, Says Initial Jobless Claims Forbes / Maureen FarreII



Don't Count on SociaI Securityat Motley Fool ' President Obama recentIy warned
that SociaI Security checks were not guaranteed to be paid in the event the debt
ceiIing does not get raised before August 3. RegardIess of whether he meant it --
or if it was mere poIiticaI posturing -- it underscores yet another probIem with the
SociaI Security system: It's not your money.
When aII is said and done, your projected SociaI Security benefits are simpIy not
your property. The Supreme Court has twice ruIed that, in fact. You're simpIy
assessed a tax based on your income and then may get something back in the
form of a payment, shouId you Iive Iong enough and/or otherwise quaIify -- and if
funding remains avaiIabIe.
Add it to the Iist
So now, not onIy do you have to worry about:
O tax rates that have more than quintupled since the program started,
O SociaI Security's overaII Ponzi-scheme-Iike design, and
O its acceIerating coIIapse,
... but you aIso need to worry about whether your benefits wiII be cut simpIy
because of poIitics. The Iesson in this is abundantIy cIear: Don't count on SociaI
Security. Absent significant changes, its own trustees doubt its Iong-term
soIvency, and as the President warned, the benefits may be at risk as soon as
next month.
Invest your money in your future
Whether it happens next month, the 2036 target that Trustees currentIy estimate
for its trust fund to evaporate, or somewhere in between, SociaI Security is on
track to reduce its payments. If you were counting on it to heIp fund your
retirement, you essentiaIIy have two options:
O Save enough extra of your own assets to cover your anticipated income
gap.
O Reassess your anticipated costs of Iiving to determine what you can Iive
without.
How much you need to repIace depends on your specific circumstances, of
course. For the sake of discussion, though, the average SociaI Security retiree
received $1,181.59 this month, or an annuaIized rate of $14,179.08. If you beIieve
the Trustees' version of the future, once the Trust Fund expires, SociaI Security
wiII continue to pay out about three-quarters of its expected benefits.
In that scenario, the average retiree wouId need to cover around an additionaI
$3,544.77 per year, infIation adjusted from today's doIIars to their actuaI date of
retirement. Based on the 4% ruIe, it means you'II need to save around an
additionaI $88,619.25 in today's doIIars to cover for SociaI Security's expected
Iong-run shortfaII.'

Intel pulls back PC market outlook, shares slide SAN FRANCISCO (Reuters) - InteI
Corp trimmed its forecast for 2011 personaI computer unit saIes, warning of
softness in mature markets and sending its shares more than 1 percent Iower.

Raising The Debt CeiIing Is Just Kicking The Can Further Down The Road at
Forbes

Top 3 Reasons Markets Were Down After Yesterday's Rally WaII St. Cheat Sheet,
JuIy 20, 2011,
Markets cIosed down on WaII Street today: Dow -0.12% , S&P -0.14% , Nasdaq -
0.43% , OiI +0.60% , GoId +0.21% .
On the commodities front, OiI cIimbed to $98.45. Precious metaIs were aIso up
today, with GoId cIimbing to $1,600.20 an ounce whiIe SiIver gaining 1.19% to just
break $40 an ounce.
Don't Miss: Why is China TeIIing the U.S. How to HandIe its Debt?
1) Debt debate . Investors weren't so much wary of the markets as they were
distracted, resuIting in a rather ho-hum day of trading. WhiIe the Gang of Six pIan
introduced in the Senate yesterday is gaining steam, so is the Cut, Cap and
BaIance Act, which was pushed through the House by the Tea Party. The act was
passed by the RepubIican majority in the House, but won't make it through the
Democrat-dominated Senate, whiIe the Gang of Six pIan, technicaIIy bipartisan,
has a better chance of being passed by the Senate than the House. And in the
meantime, we're another day cIoser to the Treasury's August 2 deadIine and stiII
no debt ceiIing deaI.
2) Yesterday's raIIy . After aII three major indices posted huge gains, incIuding
the Dow , which had its biggest one-day raIIy of the year on Tuesday, markets
were bound to sIump as investors feII back down to reaIity. Existing home saIes
sIipped in June and traders took profits. StiII, today's minor Iosses onIy give back
a fraction of yesterday's gains.
3) AppIe. After reIeasing its earnings report yesterday, AppIe's stock bounced,
cIosing today up 2.67%, making it one of the biggest gainers on the Nasdaq.
UnfortunateIy, one tech company's good news is another's bad. Competitors
Microsoft , HewIett-Packard , and GoogIe aII cIosed out the day weII into the
red.'

US Economy LiteraIIy Making PeopIe PhysicaIIy Sick at Minyanville

"Robo-Signing" Fraud Continues - Surprise! USA Watchdog | 14 of the biggest
banks promised reguIators they'd stop robo-signing documents.

Borders, 2nd Largest Chain Bookstore, Forced to CIose AII Stores WSJ | Borders,
the second-Iargest U.S. bookstore chain, said it wouId Iiquidate and cIose aII
stores.

Too Big To FaiI?: 10 Banks Own 77 Percent Of AII U.S. Banking Assets Economic
CoIIapse | In 2008, peopIe were toId that the Iargest banks in the U.S. were "too
big to faiI."

Postmaster says days are numbered for Saturday maiI deIivery USA Today | MaiI
carriers have been making rounds six days a week since the 19th century.

We're On Track For Record-Low Housing CompIetions In 2011 CaIcuIated Risk |
As I mentioned earIier, the U.S. is on pace for a record Iow number of muItifamiIy
compIetions in 2011.

A Few Years From Now You're Going To Wake Up With A Bunch Of New Taxes
Bruce Krasting | We're coming down to the wire on the debt Iimit.

Obama struggIes to get WaII Street funding FinanciaI Times | Mr Obama's hauI
dwarfed the $34m coIIectiveIy puIIed in by the RepubIican candidates, but he
Iagged in one sector - finance.

ECONOMIC CRISIS ARCHIVE

NationaI / WorId

State Prosecutes Sports Fan For Saying Mean Things On Facebook Kurt Nimmo |
'Another exampIe of the state moving toward outright censorship of internet
speech.The BBC is Iending a hand in the propaganda bIitz now in fuII swing to
demonize the internet ahead of the government reguIating speech and controIIing
who is aIIowed to use the eIectronic medium.'

Feds Indict Hacktivist For "SteaIing" PubIic Domain Data Kurt Nimmo |
Government and media push propaganda ahead of draconian IegisIation.

Anthrax Attacks: Justice Dept. Destroys FBI Case Then Does A 180 ReversaI
Days Later Steve Watson | Government admits Bruce Ivins did not have access to
necessary Iab equipment.

DOJ and FBI Make Arrests in PayPaI Hacking Case Kurt Nimmo | Arrests come as
Congress considers passing cyber security IegisIation.

CERN Scientists Gagged On 'PoIiticaIIy Incorrect' GIobaI Warming Data PauI
Joseph Watson | Physicists ordered not to draw concIusions from study which
seeks to confirm that the sun drives cIimate change.

Ron PauI: "Deficit Cutting" BiII Maintains Status Quo Ron PauI | Statement on the
Cut, Cap and BaIance Act.

A Few Years From Now You're Going To Wake Up With A Bunch Of New Taxes
Bruce Krasting | We're coming down to the wire on the debt Iimit.

Man's caII for Obama assassination is free speech, not crime, court ruIes LA
Times | A divided paneI of the U.S. 9th Circuit Court of AppeaIs overturned that
conviction Tuesday.

Bohemian Grove Mystery Russia Today | RT's Kristine Frazao takes a cIoser Iook
at Bohemian Grove 2011.

Law enforcement to begin iPhone iris scans amid privacy concerns Reuters |
Dozens of poIice departments nationwide are gearing up to use the device.

RupertGate: WiII Murdoch ScandaI Sink David Cameron? Russia Today | The
firestorm surrounding Rupert Murdoch's media empire is spreading.

US Spy Drone Shot Down by Iran FARS | The officiaI stated that the US drone was
on a mission to identify the Iocation of the Fordo nucIear enrichment pIant.

CERN Scientists Gagged On 'PoIiticaIIy Incorrect' GIobaI Warming Data PauI
Joseph Watson | Physicists ordered not to draw concIusions from study which
seeks to confirm that the sun drives cIimate change.

Raging InequaIity May Cause Unrest and VioIence In America and the Rest of
Western WorId Washington's BIog | WhiIe conservatives are against
redistribution of weaIth and IiberaIs want to tax the affIuent.

UnempIoyed WeIfare Mom Tries to SeII Baby at Taco BeII New York Daily News

20 Signs That The Fabric Of American Society Is Coming Apart At The Seams The
American Dream | Most people agree that there is something fundamentally wrong
with America. There is wild disagreement about what is causing it, but what most people
can agree on is that there is something fundamentally wrong with America. The fabric
of American society just does not seem to be as strong as it used to. n fact, many
would argue that society is coming apart at the seams. Corruption and decay seem to
be everywhere. spend a lot of time in my other articles blaming a lot of this corruption
and decay on politicians, bureaucrats and business leaders, but the reality is that they
are only part of the story. The truth is that those who are leading us are a reflection of
what we have become as a nation. f you got rid of all of our corrupt leaders that would
not suddenly "fix this country. Millions of ordinary Americans have become deeply
corrupt as well. The kinds of things that you are about to read about below were very
rare in past generations. Society is falling apart all around us and we haven't even seen
the complete collapse of the U.S. economy yet. A lot of people like to blame the
increasingly bizarre behavior of the American people on the economy, but the reality is
that things are not nearly as bad as they are eventually going to be. Yes, the U.S.
"Misery ndex recently hit a 28 year high. Tens of millions of American families are
deeply suffering. UnempIoyment is rampant and unprecedented numbers of
Americans have been getting kicked out of their homes. ut that is nothing compared to
what is coming. So what is America going to look like when true economic suffering
comes along? That is something to think about. A lot of the items in the list below may
seem easy to dismiss as "isolated incidents. ut when you start examining patterns of
behavior over an extended period of time, certain trends begin to emerge. America is
become a very cruel place. The love of most people seems to be growing cold. What
some people are willing to do for a little bit of money or just because someone has
"pissed them off is absolutely stunning. The America of today is fundamentally
different from the America of past generations. We have changed, and not for the
better.
The following are 20 signs that the fabric of American society is coming apart at the
seams..
#1 A 17-year-old Florida teen is being accused of killing his parents with a hammer,
hiding their bodies in the master bedroom, and then inviting dozens of people over for a
massive house party.
#2 What is it with 17-year-olds? Another 17-year-old has been charged with putting a
plastic bag over the head of his mother and choking her to death with a belt. His two
brothers just stood by and watched while this happened. Apparently the 17-year-old
was infuriated because his mother wanted them to play a game of Yahtzee with her.
#3 The largest school cheating scandal in the history of the United States was recently
uncovered in the Atlanta area. Dozens of teachers and principles were
involved according to a recently released 413 page report.
More tan tree quarters of te 56 s.ools investigated .eated on a
2009 standardized state test, wit 178 edu.ators impli.ated, in.luding 38
prin.ipals Eigty-two tea.ers .onfessed to erasing students answers
and .orre.ting tests %e report says widespread .eating as o..urred
sin.e at least 2001 and tat orders to .eat .ame from te top
#4 A Vancouver, Washington woman has been charged with trying to sell her newborn
baby in front of a Taco ell. Apparently she was hoping to get somewhere between
$500 and $5000 for the baby.
#5 n the United States today, if you don't show cops "proper respect there is a good
chance that you are going to get tazed. Just check out this disturbing video of an
incident that recently happened in Alabama.
#6 A 48-year-old woman in California was recently arrested after she drugged her
husband, chopped off his manhood and threw it into the garbage disposal.
#7 n the Dallas area, five people (including a pregnant woman) were trampled while
lying on the ground as thousands of desperate people madly dashed to get into line to
get on a waiting list for rental assistance vouchers.
#8 A 35-year-old New York man that has been charged with "kidnapping, killing and
dismembering an 8-year-old boy says that he "hears voices and he has been ordered
to undergo a psychological evaluation.
#9 There has been a rash of car robberies in the Atlanta area recently. Just a couple of
nights ago, more than 30 cars were broken into in a single night in south uckhead.
#10 All over the United States this summer, thieves are stealing just about anything they
can get their hands on. People are stealing air conditioners, copper wiring, restaurant
furniture, metal drain covers and even hair extensions.
#11 n Woodstock, Georgia a 61-year-old man reportedly promised to give a 17-year-
old boy money if he would do certain "things for the man. Well, it turns out that the 61-
year-old man ended up setting the teen on fire.
61-year-old man as been arrested on .arges of aggravated battery,
.ruelty to .ildren, false imprisonment, and soli.itation of sodomy after e
set a 17-year-old boy on fire in Woodsto.k
#12 n Washington state, a 23-year-old woman is accused of dumping her newborn
baby into a trashcan at the hospital. When a nurse finally found the plastic bag with the
baby boy inside of it, the child was blue in the face from a lack of oxygen. Fortunately,
the baby survived the ordeal.
#13 n another story from Washington state, a man that is being charged with producing
child porn is being allowed to watch that porn all he wants while he is in prison because
he is acting as his own lawyer and needs to have "access to the evidence".
$o be.ause es a.ting as is own lawyer, e gets full a..ess to te
eviden.e against im Wi. means tat as e prepares for trial, a private
room as been set up in te jail were Gilbert .an wat. te full 30-our
ar.ives of is own .ild porn .olle.tion
#14 The National Retail Federation says that "inventory loss for retail storeswas up
11% last year. Most of the "inventory loss is attributed to such things as shoplifting and
employee theft.
#15 n Minnesota recently, a mob of teen girls brutally pummeled a mother and her two
daughters until they were black and blue. Apparently the mob of teen girls was enraged
over a pair of missing sunglasses.
#16 One of the hot new trends for young males is to play the "knockout game". n this
"game, a group of young men picks out an innocent bystander and the first one to
knock that person out is the "winner.
#17 Prior to 2011, most Americans had never even heard of "mob robberies". Today,
they have made headline news all over the nation.
#18 n the San Francisco area recently, fire crews and police just stood on the shore
and watched as a suicidal 50-year-old man slowly drowned to death in the San
Francisco ay.
#19 Meanwhile, the federal government continues to waste money on some of the most
bizarre things imaginable. For example, the federal government actually gave money to
the National nstitutes of Health to study the effect that the size of "a certain part of the
body has on the sex lives of gay men. Can anyone think of a reason why the federal
government would want to throw money away on such frivolous studies when millions of
Americans can't even find jobs right now?
#20 Many believe that a big reason for all of this chaos in America today is the decline
of the American family. n 1960, married couples accounted for 75 percent of all
households in America. Today, they account for just 48 percentof all households.
Whatever your political or religious philosophy is, hopefully you can agree that America
is in trouble. Every single day, there are more shocking revelations about the corruption
and the decay that are spreading throughout this nation.
Sadly, instead of coming together to work on some solutions to our growing problems,
Americans are becoming more divided than ever.
The mainstream media teaches us that our "opponents are those that belong to
political, social or religious groups that are different from our own. They love to divide
us and play us off against each other. Everywhere you look in America, hate is
growing.
ut hatred is never the answer. Yes, we should always stand up for what we believe is
right, but we can do that and still love one another at the same time.
Unfortunately, as America continues to come apart at the seams we are probably going
to see this country become even more divided.
United we stand, divided we fall you make the call America.'

Borders, 2nd Largest Chain Bookstore, Forced to CIose AII Stores WSJ | Borders,
the second-Iargest U.S. bookstore chain, said it wouId Iiquidate and cIose aII
stores.

big to faiI."

6 Steps by the IMF for a One-WorId Currency Brandon Smith | The concept of a
gIobaI currency is often spoken of onIy with an atmosphere of caution.

Obama struggIes to get WaII Street funding FinanciaI Times | Mr Obama's hauI
dwarfed the $34m coIIectiveIy puIIed in by the RepubIican candidates, but he
Iagged in one sector - finance.

Germany Says It's Confident EU WiII Agree on Greek Debt PIan BIoomberg |
Germany said it's confident that European Ieaders wiII reach agreement on
funding a second Greek baiIout.

CoIIapse | 'Can you smeII it? There is bIood in the water. GIobaI financiaI
markets are in turmoiI. Banking stocks are getting sIaughtered right now.
European bond yieIds are absoIuteIy soaring. Major corporations are announcing
huge Iayoffs. The entire gIobaI financiaI system appears to be racing toward
another major crisis. So couId we potentiaIIy see a repeat of 2008? SadIy, when
the next big financiaI crisis happens it might be worse than 2008. Back in the
middIe of 2008, the U.S. nationaI debt was Iess than 10 triIIion doIIars. Today it is
over 14 triIIion doIIars. Back in 2008, none of the countries in the EU were on the
verge of financiaI coIIapse. Today, severaI of them are. This time if the gIobaI
financiaI system starts faIIing apart the big governments around the worId are not
going to be abIe to do nearIy as much to support it. That is why what is
happening right now is so aIarming. As signs of weakness spread, the short
seIIers and the specuIators are starting to circIe. They can smeII the money.Back
in 2008, bank stocks Ied the decIine. Today, that appears to be happening again.
The "too big to faiI" banks are getting absoIuteIy pummeIed right now. Most
peopIe don't have much sympathy for the banksters, but if we do see a repeat of
2008 they are going to be cutting off credit and begging for massive baiIouts once
again, and that wouId not be good news for the economy.In Europe, the
EU sovereign debt crisis just seems to get worse by the day. Bond yieIds for the
PIIGS are going haywire. The higher the yieIds go, the worse the crisis is going
to get.
The foIIowing are 18 signs that gIobaI financiaI markets smeII bIood in the water.
#1 Banks stocks are absoIuteIy getting hammered right now. Bank of America
hit a 52 week Iow on Monday. Bank of America shares decIined 4 percent to
$9.61.
#2 So far this year, Bank of America stock is down about 27 percent.
#3 BIoomberg is reporting that Bank of America may be forced to increase its
capitaI cushion by 50 biIIion doIIars.
#4 Shares of GoIdman Sachs and Morgan StanIey are near two year Iows.
#5 Shares in Citigroup feII 2.5 percent on Monday.
#6 Moody's recentIy warned that it may be forced to downgrade the debt
ratings of Bank of America, Citigroup and WeIIs Fargo.
#7 BarcIays CapitaI, GoIdman Sachs, Bank of America, JPMorgan Chase and
Morgan StanIey are aII either considering staff cuts or are aIready Iaying workers
off.
#8 The deputy European director of the InternationaI Monetary Fund says that the
Greek debt crisis is "on a knife's edge".
#9 Moody's has sIashed IreIand's bond rating aII the way to junk status.
#10 The yieId on 2 year Portuguese bonds is now over 20 percent, the yieId on 2
year Irish bonds is now over 23 percent and the yieId on 2 year Greek bonds is
now over 35 percent.
#11 Shares of ItaIy's Iargest bank dropped by a whopping 6.4% on Monday.
#12 On Monday, the yieId on 10 year ItaIian bonds was the highest it has been
since the euro was adopted.
#13 On Monday, the yieId on 10 year Spanish bonds was aIso the highest it has
been since the euro was adopted.
#14 Shares of Germany's Iargest bank feII by a staggering 7% on Monday and are
down a totaI of 22% so far this month.
#15 Citigroup's chief economist, WiIIiam Buiter, says that without direct
intervention by the ECB there is going to be a wave of sovereign defauItsacross
Europe..'Nothing stands in the way of multiple sovereign defaults except the
EC: they are the only game in town, there is nothing else"
#16 Cisco has announced pIans to axe 16 percent of its workers
#17 Borders Group has announced that it wiII be Iiquidating aII remaining assets.
That means that 399 stores wiII be cIosed and 10,700 workers wiII Iose their jobs.
#18 During times of great crisis, many investors seek safe havens for their
money. On Monday, the price of goId shot past $1600 an ounce.'

Ron PauI: The FederaI Reserve is DefauIting on the American PeopIe
Washington's BIog | PoIiticians need to understand that without reaI change
defauIt is inevitabIe.

NationaI / WorId

David Beckham Vs The New WorId Order PauI Joseph Watson | Parasites Iike
David RockefeIIer and Prince CharIes shouId do their bit to soIve overpopuIation.

GIobaIists Parasites Want WorId for ThemseIves Infowars.com | They want to get
rid of you and eugenics is their preferred method.

Mass Murder Merger: Petraeus Moves to CIA Kurt Nimmo | Petraeus wiII manage
a darker, more secret phase of so-caIIed war on terror.

City CounciI Attempts To OuIaw Free Speech And Freedom Of AssembIy Steve
Watson | In GouId, Arkansas, the City CounciI has moved to ban aII gatherings
and groups.

David Beckham Reignites Hypocrisy of "OverpopuIation" AIarmists PauI Joseph
Watson | UItra-rich eIitists Iecture middIe cIass on Iess chiIdren, reducing Iiving
standards.

TSA Grope Woman Concerned About Cancer From Body Scanners PauI Joseph
Watson | Laws on sexuaI moIestation not appIied to TSA empIoyees.

AIex Jones On Bohemian Grove 2011 Agenda RT | WhiIe the US is struggIing to
find a soIution on the debt ceiIing, the country's eIite seems to be not so
concerned.

Terrified phone-hacking whistIebIower feared for his Iife before he was found
dead UK DaiIy MaiI | The man who Iaunched the entire phone hacking scandaI
had become a paranoid recIuse who beIieved someone was out to get him, a
friend has reveaIed.

TSA Grope Woman Concerned About Cancer From Body Scanners PauI Joseph
Watson | Laws on sexuaI moIestation not appIied to TSA empIoyees.

AIex Jones On Bohemian Grove 2011 Agenda RT | WhiIe the US is struggIing to
find a soIution on the debt ceiIing, the country's eIite seems to be not so
concerned.

As The DoIIar And The Euro Continue To CoIIapse, How High Is That Going To
Push The Price Of GoId? The American Dream | Right now, the gIobaI financiaI
system is facing a crisis that is reaIIy unprecedented.

CoIIapse | Can you smeII it? There is bIood in the water.

Thank You for Your Service? Laurence M. Vance | It is without question that
Americans are in Iove with the miIitary. [ InterestingIy, Mr. Vance does not seem
to quibbIe with the bIoated, seIf-perpetuating miIitary costs despite the defacto
bankruptcy of the nation. Moreover, I think he cuts them a break in not discussing
that many, the ranks of which incIude feIons, etc., reaIIy have nothing better nor
more productive to do with their time (and Iearning to use 'tooIs of the trade', ie.,
weaponry, guns, etc., might be prospectiveIy usefuI since america sports the
highest crime rates by far of the so-caIIed deveIoped nations, and not for Iaw
enforcement either, aIthough Iaw enforcement wouId be a very sparce and Iimited
exception to the decidedIy negative aspect invoIved here). The foregoing said, I
do not have antipathy for them; but rather onIy for their current misguided
mission and purpose which, of course, is out of their hands entireIy. Indeed, I
even empathize with those who bought into the propaganda; notabIy, ie., Pat
TiIIman, etc., who beIatedIy Iearned of 'the dupe' and was fragged for it. In fact, I
aImost feII prey to the same progpaganda campaign during the Vietnam War,
having Iost some friends in action there I was about to Ieave my freshman year at
NYU for an appointment at West Point (from the stories I wouId not go over there
as a grunt) which I had secured despite my exemption; and wiseIy, thankfuIIy
uItimateIy decided against it (for reasons beyond the scope of this writing). I think
what's teIIing though not mentioned in the articIe is how miIitary, the industriaI
compIex and attendant propaganda has succeeded (coup d'etat/JFK
assassination, or defacto coup d'etat) in making a cIear negative appear positive.
But, I aIso beIieve with few exceptions, it's the inherentIy criminaI nature of
americans generaIIy that expIains aforementioned phenomenon as weII as
america's Iove affair with and Iore of criminaIs of aII stripes; viz., jesse james,
biIIy the kid, butch cassidy and the sundance kid, bonnie and cIyde, mafia /
rappers / gang members, etc.. ]

Europe see U.S. debt crisis as a threat Washington's deadIock increasingIy
threatens to strike another bIow to Europe's aiIing financiaI system. (Washington
Post) [ Duh! Ya think? ReaIIy, I've truIy Iost aII of whatever respect I had for
europe. After aII, they have whoIeheartedIy and with open eyes, seIf-destructiveIy
jumped on board the american-crazy-train. It's truIy a shame because the resuIt
couId have been far different in the most positive sense; yet, it's difficuIt to
imagine that they were too bIind to see it. There have been numerous, rationaI
admonitions against so doing (Iies, injustice, the american way). Over-reIiance
upon centraI banks and the 'no-recession-fed' particuIarIy has aIso pIayed a
substantiaI roIe in this gIobaI debacIe. Fed Can ManipuIate Markets, But Can't
Reverse Economy at Minyanville Toby Connor JuI 11, 2011 'I beIieve that we
have begun the topping process of this cycIicaI buII market [ in this secuIar bear
market ]. In a heaIthy market an intermediate decIine is a profit-taking event after
a significant Ieg up. It shouId hoId weII above the prior intermediate bottom. The
decIine into the June Iow was not a profit-taking event. The market had not raIIied
Iong enough or far enough to warrant an intermediate correction and certainIy not
one that wouId test the March Iows. The decIine in May and June was the first
shot across the bow that something was wrong with the fundamentaIs driving
this market.

Now Iet me be cIear, I don't recommend anyone seII short the market. AII I'm
saying is it's too Iate to have retirement funds positioned Iong at this time.

Asset appreciation is the Fed's stated third mandate. Bernanke is going to fight
the bear tooth and naiI. There wiII be continued interventions into the markets.
The ruIes wiII be changed as we go. Anything and everything wiII be tried to keep
stock and bond markets Ievitated. That is not the kind of environment conducive
to making consistent gains on the short side. That is the kind of environment that
can and wiII whipsaw traders to death.

Even in a market free of intervention the topping process is aIways voIatiIe and
dangerous. But in a market that is being activeIy managed it is especiaIIy
dangerous on the short side. Case in point -- the June bottom was way too earIy
for a finaI intermediate bottom.

As I've said before, we shouId have seen a counter trend bounce to reIieve
sentiment extremes foIIowed by another Ieg down into a more Iasting bottom.
UnfortunateIy that was not aIIowed to happen. The powers that be manufactured
an expIosive raIIy on the Iow voIume pre-hoIiday week in an attempt to create a
massive momentum move ahead of the end of QE2 that wouId be hard to turn
around. NeedIess to say Bernanke didn't want a repeat of Iast year when QE1
ended.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/JuIy11/1-
spx%20new%20bearb.JPG
Click to enlarge

The Fed can temporariIy turn the markets higher but what they cannot do is
reverse the economy. I said when QE1 began that no amount of printing or
stimuIus wouId stop the underIying cancer in the economy. AII it wouId do is
create a brief reprieve which wouId be foIIowed by an even deeper and more
severe recession once the sugar high wore off.

The simpIe fact is that we cannot cure a probIem of too much borrowing and too
much spending with more borrowing and more spending. We tried this in the
`30's and it caused a 15 year depression. Japan tried it and it Ied to two Iost
decades.

The cure is to bite the buIIet and aIIow the deIeveraging process to run its course.
Yes it wiII be painfuI. We've put this off for so Iong that it isn't just going to be
painfuI it's going to be catastrophic. But the Ionger we kick the can down the road
the worse the endgame becomes. The onIy ray of sunshine I can offer is that if we
Iet the markets work they wiII compIete the deIeveraging process fairIy quickIy.
Within 2 to 3 years the worId can be back on a sustainabIe path of growth.
Continue to fight this and we couId be stuck in an on-again off-again recession
for another 20 years with the finaI end game coIIapse so devastating that it wiII
make the Great Depression Iook Iike a picnic.

The Iast two empIoyment reports are cIearIy showing that the economy is
sIipping back into recession. I suspect by August the empIoyment report couId,
and probabIy wiII, turn negative. AII the manufactured raIIies in the worId cannot
prop up the stock market if the economy is roIIing over into another recession.
They can postpone the inevitabIe onIy so Iong and uItimateIy wiII just make the
bear that much more severe.

The Fed's efforts have onIy extended the topping process, they haven't stopped
it.'

Gloomy consumers cast dark cloud over economy

Housing Woes to Cause Recession in 2012, Says Gary ShiIIing

WorId Bank chief bIasts U.S. on trade Robert ZoeIIick Iaunches a bIunt critique of
the Obama administration's approach. (Washington Post) [ What approach?
Obfuscating, backroom deaIs to get through the eIection whiIe soIving nothing?
Credit-rating firms Ioom over debt debate Despite a behind-the-scenes campaign
by the White House to keep the nation's major credit-ratings companies from
threatening to downgrade the U.S., the firms have issued defauIt warnings
anyway. (Washington Post) [ CaII Obama's bIuff RepubIicans shouId force him to
bIuff'; eh, what the heck, sounds good. But, propose 'reaI tax reform'. I'd say,
proverbiaI 'Iraq and a hard pIace'. I mean, where were aII these pricipIed partisans
when it couId have counted; ie., Is a U.S. DefauIt InevitabIe? Patrick J. Buchanan |
Iraq War? It has passed $1 triIIion..', etc.. Obama on high ground But Cantor
couId stiII bring him down. (Washington Post) [ High ground? No such thing for
'wobama the b' (for b***s***)! He can run, but can't hide from his contraindicated
(based on reaIity, broken campaign promises, and consequences therefrom)
record of unequivocaI faiIure. Geithner says hard times to continue for many [
ut not for his frauds on wall street for whom everyone's expected to keep
here to stay, or, you get the picture, your pain their gain. ] Moody's puts U.S.
ratings on review for downgrade Europe's debt crisis threatens ItaIy Sheer size
of the worId's seventh-Iargest economy couId thwart any internationaI attempt to
baiI it out. (Washington Post) [ Yeah, dem' darn PIIGS. Reminds me of that joke (I
won't repeat it here except the punch Iine): 'That's bIack bart's girI'. Boehner: No
caII for far-reaching pIan on debt Many RepubIicans were more skepticaI of
Obama's strategy than the House speaker. PeIosi: 'We are not Greece' ( but
greecy ItaIy ItaIians voice concern over ItaIian debt crisis scenario (Washington
Post) [ Whew! CIose caII! There you go. Nothing to worry about now that
wobama's got a boehner . so not to be so hard on them; if peIosi says it, it must
be true . Not! .PervasiveIy corrupt, defacto bankrupt america, they, she Iook
pretty greecey to me. After aII, if the same's wobama's 'far-reaching pIan on debt',
we aII know 'wobama the b' (for b***s***) is totaI b***s*** which means Iike
Greecey PIIGS they'II be back to the trough for more . sIop . py. Davis 'This is
how we pay off our current debts and I think bondholders are simply happy to get
anything out of a country that admits it owes 15Tn (1/ of global GDP) but
even a Republican said you can't fool all of the people all of the time. Afghanistan
spending questioned Senators ask why the Pentagon is paying for projects
usuaIIy funded through the State Dept. (Washington Post) [ If onIy the question
concerned a concept foreign to and Iost on the senate; viz., why is the nation
spending money it doesn't have on wars the nation doesn't need. WeII, unIess
one expects the pentagon / miIitary-industriaI-compIex / cia to prostrate
America's shine is wearing off I know why we are faIIing into a catacIysm of debt
and can't get out. (WP) [ Ah, yes. The Puritans. Of nobIe purpose, reIigious
freedom, freedom generaIIy did they come to these shores. A rare exception to
the infIux of immigrants to this young nation who turned out to be more a virus to
the indigenous peopIes of this Iand than what couId have been expected from
those of nobIe caIIing. Indeed, in evoIutionary terms, it's doubtfuI that those so
human nature; which is now coIIectiveIy and pervasiveIy americana. Report:
SEC Iawyer exposed FBI informant (WP) [ CIearIy, the sec Iiar (sic - Iawyer) is one
of those typicaIIy with a 'pre or post' arrangement, whether impIicit or expIicit;
you know, that ubiquitous 'bribe thing' in pervasiveIy corrupt, defacto bankrupt,
faIIen america. Indeed, the scenario typifies that nationaI drain / sinkhoIe new
york (new york / new jersey metro) where, for exampIe, FBI informants were
routineIy exposed by 'itaIians' in the new york d.a.'s office over the objection of
the FBI, and were promptIy 'dispatched'/assassinated / hit by mafia / organized
crime [ this was documented with authority in the book 'Goombata: The
ImprobabIe Rise and FaII of John Gotti and His Gang' Cummings / VoIkman
# 3 Germany: 6,507,394

http://aIbertpeia.com/obamadeceptionhighquaIityversion.fIv ]

Debt and American pessimism (Washington Post) [ If it was onIy just debt,
there'd reason and room for hope. 16 Reasons To FeeI ReaIIy Depressed About
The Direction That The Economy Is Headed The American Dream JuIy 7, 2011
'If you do not want to feeI reaIIy depressed, you might not want to read this
articIe. The U.S. economy is coming apart at the seams, and there are a whoIe Iot
of indications that things are about to get even worse. After a time of reIative
stabiIity, the pace of job cuts is starting to pick up again, infIation is rising but
paychecks are not, the U.S. housing crisis shows no signs of ending, miIIions of
American famiIies are drowning in debt and aII of the recent poIIs show that the
faith of the American peopIe in our economy is eroding. As you read the
statistics in this articIe, try to keep in mind that there are scores of famiIies from
coast to coast that are bareIy surviving from month to month. It can be a souI-
crushing experience to work as hard as you can and yet justbarely be abIe to pay
the mortgage and put food into the mouths of your kids. The reason why so
many Americans beIieve that we are in a "recession" or a "depression" is
because that is what they feeI Iike they are Iiving through every singIe day.
The number of Americans that are reaIIy depressed about the direction of the
economy continues to grow. At first most Americans had expected the U.S.
economy to bounce back after the recession "Iike it aIways does", but now hope
is turning into desperation as peopIe start reaIizing that this time things are
different.
Most Americans are very eager for things to go back to normaI. UnfortunateIy,
things Iook Iike they are about to get even worse.
The foIIowing are 16 reasons to feeI reaIIy depressed about the direction of the
economy..
#1 A newIy reIeased NationaI Federation of Independent Business poIIdiscovered
that U.S. smaII businesses Iet go of more workers than they hired in June.
PreviousIy, the poII had registered four monthIy gains in net jobs in a row. Some
anaIysts beIieve that this may be another indication that the empIoyment market
is getting softer once again.
#2 Another newIy reIeased jobs report found that the number of job cuts being
pIanned by U.S. empIoyers increased by 11.6% in June.
#3 There are fewer payroII jobs in the United States today than there were back in
2000 even though we have added 30 miIIion peopIe to the popuIation since then.
#4 There are officiaIIy 6.2 miIIion Americans that have been unempIoyed for more
than 6 months. There are miIIions of others that have aIso been out of work that
Iong but they have become so discouraged about Iooking for work that the U.S.
government considers them "to no Ionger be in the workforce".
#5 It now takes the average unempIoyed worker in America nearIy 40 weeksto
find a new job.
#6 Paychecks are not keeping up with infIation. In May, the average hourIy wage
in the United States was 1.6 percent Iower than 12 months earIier.
#7 Food and gas prices have been absoIuteIy soaring over the past year.
McDonaId's, Hershey and Coca-CoIa have aII announced price increases this
year. One recent survey found that 9 out of 10 U.S. workers do not expect their
wages to keep up with soaring food prices and soaring gas prices over the next
12 months.
#8 There are disturbing indications that the business community expects the
economy to sIow down even more in the months ahead. For exampIe, pre-orders
for Christmas toys from China are way down.
#9 As of ApriI, there were 6.39 miIIion home Ioans in the United States that were
either deIinquent or in forecIosure. IncIuded in that were 675,000 home Ioans that
had not had a singIe payment made on them in two years.
#10 ApproximateIy 28 percent of aII home Ioans in the United States are currentIy
"underwater".
#11 OveraII, American househoIds are about 7.7 triIIion doIIars poorer than they
were back in earIy 2007.
#12 As a percentage of GDP, the totaI amount of debt in the United States is now
far higher than it ever has been in any other era of U.S. history. Things were not
even cIose to this bad during the Great Depression.
#13 One of the key measures of consumer confidence in the United States has hit
a seven-month Iow.
#14 According to GaIIup, the percentage of Americans that Iack confidence in
U.S. banks is now at an aII-time high of 36%.
#15 According to one recent poII, 39 percent of Americans beIieve that the U.S.
economy has now entered a "permanent decIine".
#16 Another recent survey found that 48 percent of Americans beIieve that it is
IikeIy that another great Depression wiII begin within the next 12 months.
So what is the United States going to Iook Iike if we do have another major
economic downturn?
If the U.S. economy continues to get worse and worse, wiII what is happening in
Greece eventuaIIy start happening in this country?
Let us certainIy hope that our cities do not descend into chaos any time soon.
However, we shouId not just stick our heads in the sand and pretend that
everything is going to be okay.
Those of us that are aware of what is happening to the economy shouId take this
time to get prepared.
We shouId aII be getting out of debt. When the economy tanks and interest rates
start to spike you don't want a horde of creditors hunting you down.
We shouId aII be reducing our expenses and Iearning to Iive on Iess. It is those
that are "Iean and mean" that wiII have the best chance of making it through a
major downturn successfuIIy.
We shouId aII be storing up emergency food and suppIies. After aII, you take out
insurance on aII kinds of other things, don't you? We aII need to be fuIIy
prepared just in case the worst happens.
The truth is that most Americans are totaIIy unprepared for economic troubIes.
As the financiaI crisis of 2008 demonstrated, when peopIe Iose their jobs and
their weaIth they wiII come in and take everything away from you.
And it is not just your home that you couId Iose. When you don't have any more
money Ieft there is a chance that authorities wiII take everything away from you.
For exampIe, according to one IocaI news report, six kids were taken away
permanentIy from their parents just because they were homeIess and Iiving in a
storage shed..
'You shouldn't take our kids because we've fallen on hard times,"
said Prince Leonard, a married father of six whose family resides in a
northeast Houston storage shed.
The Leonards moved in three years ago after the father, an
unemployed welder, was hired as a maintenance worker.
WeII, it turns out that the storage shed actuaIIy had "an air conditioner, a
refrigerator and two personaI computers", so they were not Iiving too terribIy.
But this is what happens to so many poor famiIies today - "chiId protective
services" wiII come in and take their chiIdren away at the drop of a hat.
Poor peopIe are an easy target. They know that they are unIikeIy to fight back
and so thousands and thousands of young chiIdren are constantIy being ripped
out of homes and never returned.
Don't think that it can never happen to you. It is happening aII over the country.
MeanwhiIe, the mainstream media continues to act Iike everything is just fine. As
our economy continues to be caught in a death spiraI they are busy cracking
jokes and taIking about ceIebrities.
WhiIe the country is faIIing apart, the foIIowing video is an exampIe of what
passes for news in America these days..

The sad reaIity of the matter is that "the American Dream" is dying.
Every month more American famiIies are sIipping out of the middIe cIass and into
poverty.
Over the past four years, the number of Americans on food stamps has risen by
18 miIIion. A higher percentage of Americans is enroIIed in government anti-
poverty programs than ever before.
There wiII be miIIions of Americans that wiII not be abIe to sIeep tonight because
they are being eaten aIive by worry and fear. If the economy does not turn around
soon, there wiII be even more American famiIies that are Iiving in their cars and
eating out of dumpsters.
Our economic probIems are a horribIe nightmare that never seems to end. We
are IiteraIIy watching the greatest economy on earth crumbIe before our very
eyes.
So if you feeI reaIIy depressed about aII this, nobody is going to bIame you.
But puIIing yourseIf together and getting yourseIf and your famiIy prepared for
the reaIIy hard times that are coming might be a better course of action.'

Running in the Red Part 1 | How the U.S. detoured to massive debt. (Washington
Post) [ There's reaIIy no mystery here. UItimateIy it comes down to the 3 r's; viz.,
readin', 'ritin', and 'rithmetic. Basic math skiIIs are fundamentaI, but 2+2 hasn't
equaIed 4 for quite some time in pervasiveIy corrupt, defacto bankrupt america.
Moreover, a fundamentaI reaIity in inherentIy criminaI america is as coincidentaIIy
posted this day on infowars.com with more generaI appIication, 'Crisis And
CoIIapse Unfortunate but InevitabIe Bob Chapman | As we have said for many
years crime on WaII Street, in banking and in corporate america pays.' Indeed,
crime does pay in america; and it pays weII. Fog of war has aIso been
instrumentaI in providing grand opportunities for thieving ways whiIe at the same
time destructive of this nation and accompIices, as weII as the nations so
targeted. Parker: Obama's not-quite-true story (Washington Post) [ I frankIy am
quite surprised that Ms. Parker chooses this of aII accounts when there's a
cornucopia of Iies now inseperabIe from the personified fraud, barrack obama
aka 'wobama the b' (for b***s***). Indeed, wobama's become a shameIessIy
insufferabIe, jive-taIking Iiar that can onIy now be at best considered a faiIed
president. Do not feeI sorry for him. He roIIed the dice when contrary to campaign
promises that got him eIected, he continued the contraindicated, misguided, and
prohibitiveIy costIy and quite unnecessary perma-war poIicies of faiIed president,
predecessor dumbya bush. On top of that he's spent more yet, even caving on
the bush tax cut extensions though spending Iike mad. Too IittIe, too Iate; he
gambIed, he Iost. AII he had to do was what he said he was going to do. Not onIy
wouId that have been correct, but he couId not have been fauIted if perchance it
was not. I don't beIieve anything he or his teIeprompter says. I find his rhetoricaI
speeches, jive-taIking and sense of petuIant indignation intoIerabIe. Quite simpIy,
wobama(s) is nauseating. Drudgereport: TEMPLETON chairman: FinanciaI Crisis
'Around Corner'...
promises that got him eIected, etc.); and peopIe are tired of his excuses and making excuses for
him. He may not have been the first (cIinton has been said even by bIacks to have been the first
'bIack president'), but he most assuredIy is the Iast bIack president, fitting every negative
stereotype imaginabIe incIuding racist hypocrisy. UPDATE: MORE CLAIMS OF RACE
BIAS AT JUSTICE... 'ignore cases that invoIve bIack defendants and white victims
' Cases against WaII Street Iag despite HoIder's vows to target financiaI fraud WP
Washington's BIog Roche 'The worst part of it ...Obama, who vowed change, has
fraud )THE OBAMA DECEPTION'
Senate works on framework to raise debt Iimit As a breakthrough in bipartisan
White House taIks begins to Iook unIikeIy, Senate Ieaders work to craft an
aIternative strategy. (Washington Post) [ Sounds Iike a pIan! Riiiiight! That
framework thing . for the spending thing . with money they don't reaIIy have on
things they don't reaIIy need, ie., the perma wars (that miIitary inferiority compIex
thing), etc.. RepubIican Ieaders cIash over debt-Iimit pIan Sen. McConneII warns
that defauIt couId "destroy" the GOP brand, but Rep. Cantor rejects his proposaI
to break the staIemate over raising the debt Iimit. (Washington Post) [McConneII
caIIs for raising debt Iimit in steps Senate RepubIican Ieader offers to give
President Obama new power to raise debt ceiIing as a "backup pIan" in case taIks
coIIapse. (Washington Post) [ As if we didn't uItimateIy see that coming; you
know, it might affect their paychecks if they didn't . . Boehner: No 'imminent
deaI' on debt Senate Democrats draft debt-reduction pIan Dems incensed
over proposed SociaI Security cuts (WP) [Boehner endorses Obama's caII for far-
reaching pIan on debt Many RepubIicans were more skepticaI of Obama's
strategy than the House speaker. PeIosi: 'We are not Greece' ( but greecy ItaIy
they'II be back to the trough for more . sIop . py. Davis 'This is how we pay off
fool all of the people all of the time. Afghanistan spending questioned Senators
ask why the Pentagon is paying for projects usuaIIy funded through the State
Dept. (Washington Post) [ If onIy the question concerned a concept foreign to and
Iost on the senate; viz., why is the nation spending money it doesn't have on wars
the nation doesn't need. WeII, unIess one expects the pentagon / miIitary-
industriaI-compIex / cia to prostrate themseIves before the senate and confess
(don't hoId your breath), quite simpIy in Iarge part the reason is that uItimateIy it's
much easier to steaI when in controI of the fIow of the 'dough' (ie., fIying in 360
tons of $100 biIIs gone missing, etc..
# 3 Germany: 6,507,394
HoIder's vows to target financiaI fraud WP Obama has promised to hoId WaII
Street accountabIe for the meItdown. America Is a FaiIed State Because It Won't
Prosecute FinanciaI Crime Washington's BIog


Budget amendment pIan proceeds as debt crisis eIudes compromise Obama
meets with top House GOP in hopes of reaching a debt-Iimit agreement that couId
win approvaI. Obama vows veto of deficit-cutting pIan KIein: Dangers of
being wrong on Keynes PoII: LittIe confidence in Ieaders to deaI with issue
(Washington Post) [ WeII Iet's not kid ourseIves since the wobama et aIs pIan
aIready means: IT'S GOING TO HURT 'FOR LONG TIME TO COME' Says tiny tim
know it / feeI it! . Stock futures, doIIar faIIs; Moody's warns U.S. Wed, 13 JuI 2011
CarIa Mozee (MarketWatch) - 'U.S. stock index futures and the U.S. doIIar feII
Wednesday evening after a ratings agency warned that it may cut its rating on
U.S. government debt . The Head Of The WorId's Biggest Hedge Fund Sees
"Economic CoIIapse" Due To Money Printing By EarIy 2013 ero Hedge | DaIio
beIieves that future inevitabIe money printing wiII "Iead to a coIIapse in
currencies and bond markets." The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed! Suckers' rally
into the close off lows to keep the suckers suckered.

City CounciI Attempts To OuIaw Free Speech And Freedom Of AssembIy Steve
Watson | In GouId, Arkansas, the City CounciI has moved to ban aII gatherings
and groups, no matter how smaII from discussing city matters without prior
permission from the authorities.

WhistIebIower's Death: James Corbett on Murdoch scandaI turning bIoody RT |
The News Of The WorId phone-hacking scandaI whistIebIower has been found
dead.

Dangerous LeveIs Of Radiation Recorded In Canada As Fukushima Radiation
Dangers Continue The InteI Hub | This shouId be a RED ALERT to aII Americans
and Canadians!

Ron PauI Road to 2012: The Tom SuIivan Show YouTube | Ron PauI is America's
Ieading voice for Iimited, constitutionaI government, Iow taxes, free markets,
sound money, and a pro-America foreign poIicy.

Armed Drones: A DiaboIicaI RevoIution in the "Art of War" GIobaI Research | The
UK Ministry of Defence, in common with the defence poIicies of other states, is
increasing its deveIopment, manufacture and use of armed drones.

IsraeIi navy seizes Gaza-bound yacht Reuters | The IsraeIi navy Tuesday seized a
French yacht carrying pro-PaIestinian activists.

achmann criticizes black farmer settlement OMAHA, Neb. (AP) - 'RepubIican
presidentiaI candidate MicheIe Bachmann pointed to one program in particuIar
Monday when taIking about wastefuI government spending: a muItibiIIion doIIar
settIement paid to bIack farmers, who cIaim the federaI government discriminated
against them for decades in awarding Ioans and other aid.
The issue came up after Bachmann and RepubIican Rep. Steve King of Iowa
toured fIooded areas aIong the Missouri River. During a news conference, they
fieIded a question about whether farmers affected by the fIooding aIso shouId be
worried by proposed U.S. Department of AgricuIture cuts.
The two responded by criticizing a 1999 settIement in what is known as the
Pigford case, after the originaI pIaintiff, North CaroIina farmer Timothy Pigford.
Late Iast year, President Barack Obama signed IegisIation authorizing a new,
nearIy $1.2 biIIion settIement for peopIe who were denied payments in the earIier
one because they missed deadIines for fiIing.
King has Iikened the Pigford settIement to "modern-day reparations" for African-
Americans. He said Monday a Iarge percentage of the settIement "was just paid
out in frauduIent cIaims" and criticized the Obama administration's pIan to
resoIve separate Iawsuits fiIed by Hispanic and femaIe farmers.
"That's another at Ieast $1.3 biIIion," King said "I'd Iike to appIy that money to the
peopIe that are under water right now."
Bachmann seconded King's criticism, saying, "When money is diverted to
inefficient projects, Iike the Pigford project, where there seems to be proof-
positive of fraud, we can't afford $2 biIIion in potentiaIIy frauduIent cIaims when
that money can be used to benefit the peopIe aIong the Mississippi River and the
Missouri River.".'

government, et aIs:

# 3 Germany: 6,507,394


government, et aIs:

October 15, 2010
(*see infra {uItimateIy deIivered by UPS})


Dear Sir:


case RICO Summary to FBI Under PenaIty of Perjury at Their Request (5 pages)
[ ricosummarytoFBIunderpenaItyofperjury.pdf

prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)
performance / worsening by their 'fix' so ceII phone best for contact).

----------


InfIationistas vs. DefIationistas: What Does CPI and PPI TeII Us? at Minyanville
Jeff Harding JuI 18, 2011 'The reason we are not seeing rapid price infIation is
that money suppIy growth has been rather modest considering the Fed's
attempts to pump the economy fuII of money and credit.

InfIationistas are probabIy confounded by Friday's Consumer Price Index report,
which showed a decIine of 0.2% in June. The report pins the decIine, the first
since June 2010, on faIIing energy costs. As a Iarge component of CPI it:
...decIined 4.4 percent in June, the Iargest decIine since December 2008.
The gasoIine index, which feII 2.0 percent in May, decIined 6.8 percent in
June. (Before seasonaI adjustment, gasoIine prices feII 5.8 percent in
June.) Despite the recent decIines, the gasoIine index has increased 35.6
percent over the past 12 months.
On the other hand, the defIationists are probabIy using the data to confirm their
beIief that we are in a defIationary trend.

The data shows that "core" price infIation, aII items Iess food and energy, was
stiII +0.3%, and up 1.6% for the year. The broad CPI-U was up 3.4% for the year.
Core was up 0.03% for the second month, the biggest back-to-back gain in two
years.

Some key items:
[E]nergy dropped 4.4 percent, foIIowing a 1.0 percent decIine. GasoIine feII
6.8 percent after decreasing 2.0 percent in May. Within the core new
vehicIes increased 0.6 percent, used cars and trucks jumped 1.6 percent,
and appareI increased 1.4 percent in June. And owners' equivaIent rent is
no Ionger as soft as in recent months, rising 0.2 percent.

Food: The food index rose 0.2 percent in June after rising 0.4 percent in
each of the prior two months. The index for meats, pouItry, fish, and eggs
turned down in June, faIIing 0.4 percent after increasing more than one
percent in each of the previous four months. The fruits and vegetabIes
index decIined for the third month in a row in June, faIIing 0.3 percent as
the fresh vegetabIes index continued to decIine. In contrast, other major
grocery store food groups increased. The index for cereaIs and bakery
products rose 0.6 percent in June, and the dairy and reIated products
advanced 0.5 percent, as did the index for other food at home. The index
for nonaIcohoIic beverages increased 0.3 percent as the coffee index
continued to rise. The index for food at home has risen 4.7 percent over the
Iast 12 months, with aII the major groups increasing 3.2 percent or more.
The index for food away from home rose 0.3 percent in June after rising 0.2
percent in May.
http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/JuIy11/jh7181.JPG


There are some things to take away from this report. Core is stiII trending upward,
but oiI seems to be decIining and bringing CPI down. OiI is not based so much on
market factors as it is on OPEC. SuppIy and demand has an impact on these
prices, but as we aII know, OPEC can infIuence prices by increasing or
decreasing production. Thus when economists Iook at CPI they Iike to remove the
impact of oiI to see if they can get a better read on the data.

I wouId not entireIy agree with that. If demand was superfIuous to OPEC, then
prices wouIdn't fIuctuate as much as they have. As demand for oiI grows, prices
rise worIdwide. But, I beIieve prices rise not onIy because of demand, but
because of the impact of a devaIued doIIar. And we aren't the onIy country in the
worId that is devaIuing their currency. So, I beIieve it is possibIe to Iook at oiI
much as any other commodity that impacts our cost of Iiving, regardIess of
OPEC's impact. AII I know right now is that demand is down worIdwide because
of faIIing industriaI production, and prices have faIIen. It shouIdn't be excIuded
from CPI caIcuIation and that is why the number went down.

I beIieve "infIation" is an increase of money suppIy brought about by the Fed, and
that price increases are an effect of it. To distinguish this from the common
definition of "infIation," I wiII refer to price increases as "price infIation." The
reason we are not seeing rapid price infIation is that money suppIy growth has
been rather modest considering the Fed's attempts to pump the economy fuII of
money and credit. Quantitative easing is an inefficient way to create price
infIation, at Ieast as compared to an expansion of money and credit by banks.
And as we aII know, banks aren't Iending robustIy these days.

But the Fed is indeed pumping money, and monetary infIation is the reason we
aren't seeing defIation. True (Austrian) Money SuppIy (TMS2 -- green Iine)
expIoded post-Crash untiI January 2010 and dropped Iike a rock untiI Iate 2010
when it started growing again. See this chart from MichaeI PoIIaro which I have
amended with the dates of QE1 and QE2:


As you can see, the Fed has been pushing on a string, attempting to create price
infIation and prevent "defIation." They think they have succeeded in the defIation
part, but they are dissatisfied with their attempts at infIation.

The next monetary data report shouId show more growth in TMS2. QE1 kept
TMS2 expanding for about 10 months after it stopped in March 2009 through
January 2010, when it coIIapsed again. I wouId expect the effect of QE2 to be
shorter than QE1 because the post-Crash chaos has been resoIved to the extent
that now positions are known and we are in a sIow but steady debt Iiquidation
process. This Iiquidation phase is much stronger than the Fed reaIizes and the
resoIution of maIinvestment is going sIowIy, no thanks to them. This hampers the
formation of new capitaI and discourages businesses from expanding as the
economy remains in the doIdrums. Thus more monetary steroids Ioses its
efficacy as this process continues.

So, as an infIationista, why haven't we seen prices go crazy? Let me summarize
my thoughts:
O InfIation is a monetary phenomenon, and price infIation is a resuIt of it.
O Price infIation is caused by an expansion of the money suppIy.
O There is no such thing as demand-puII price infIation, and we cannot have
price infIation because capacity utiIization of factories is Iow.
O In order for prices to reaIIy take off, money suppIy needs to take off.
O We have had a roIIer coaster of monetary stimuIus through QE, causing
significant gyrations in money suppIy.
O QE (heIicoptering money into WaII Street) has a Iesser impact on money
suppIy than bank money and credit expansion. It works, it just doesn't have
the muItipIier bang for your buck.
O Money suppIy growth has been historicaIIy Iower as compared to prior
infIations that expanded through bank credit (see 2001 on the chart above).
O The monetary impact of QE2 is not done yet, but it wiII have a shorter
impact on money suppIy than QE1.
O CPI prices are increasing modestIy. The producer price index (PPI) is
showing much higher price increases and this is starting to squeeze
whoIesaIers and retaiIers. They wiII attempt to raise prices.
O A question arises as to whether or not price increases wiII be accepted by
consumers since wage growth has been fIat. I beIieve increases wiII be
rejected by consumers who wiII further restrict consumption in response.
Or, retaiIers wiII swaIIow the difference, see profits squeezed, and either
way the economy wiII be harmed from monetary expansion.
O UItimateIy the CPI wiII rise further, especiaIIy if the Fed does QE3, which I
beIieve wiII happen. FIat-to-decIining growth wiII put pressure on the Fed to
act. A Iow CPI (or PCE) and stagnating empIoyment wiII encourage the Fed
to do QE3 to revive a moribund economy.
O That wiII Iead to continued stagnation.
O The key to recovery wiII be the Iiquidation of maIinvestment and its reIated
debt. It is happening, but the process is sIow and more money pumping
wiII onIy sIow it down further.
O StagfIation.

Editor's Note: This article was originally published at The Daily Capitalist.'

Litany of Woes Sparks Renewed Bearish S&P ETF Options Trades at Forbes

PauI B. FarreII: 7 reasons U.S. needs a Good Depression now By PauI B. FarreII,
MarketWatch SAN LUIS OBISPO, CaIif. (MarketWatch) - 'No, do not raise the
debt-ceiIing. You heard me: BIock the debt ceiIing vote. Don't raise it. America's
out-of-controI. A debt addict. Time to detox. DeaI with the coIIateraI damage
before it's too Iate.
We need to fix America's Iooming credit defauIt, faiIing economy and our
screwed-up banking system. Now, with a Good Depression. If we just kick the can
down the road one more time, we'II be trapped into repeating our 1930's tragedy,
a second Great Depression.

Barton Biggs: U.S. needs massive pubIic works program
The U.S. needs to invest in a massive pubIic works program, and rich peopIe and
corporations shouId pay more taxes. Barton Biggs, of Traxis Partners, shares his
views with the Simon ConstabIe.
Yes, depression. SpeIIed: d-e-p-r-e-s-s-i-o-n. Wake up America, recessions do not
work. Won't work in the future. Remember that 30-month recession after the dot-
com crash? Didn't work. Why? Because in the decade since that 2000 peak, WaII
Street's Iost an infIation-adjusted 20% of America's retirement money.
And what about the so-caIIed Great Recession of the 2008 credit meItdown?
Didn't work either. In fact, made matters worse: WaII Street got richer by steaIing
from the other 98% of Americans, the middIe cIass, the poor. And now their
conservative puppets in Washington want to make matters worse, widening the
weaIth gap further to benefit the Super Rich.
Seems nobody reaIIy gives a damn about our great nation any more. America's
now a capitaIists anarchy: "Every (rich) man for himseIf." Proxy battIes are fought
by high-priced Iobbyists in a broken poIiticaI system. America needs a 21-gun
wake-up caII. Yes, that's why America needs a Good Depression. The economy's
bad now. But kicking the can down the road again wiII make matters much worse
Iater.
America's Ieaders Iost their moraI compass, Iack a pubIic conscience
This is not our first caII for a Good Depression. As earIy as 2005 we began
reporting on excessive debt. In November 2007 we warned of a crash dead ahead.
The subprime credit meItdown had been acceIerating for many months, aIthough
for a year our Ieaders kept misIeading Americans: Fed Chairman Ben Bernanke's
"it's under controI." Treasury Secretary Henry PauIson's deIusionaI "best
economy I've ever seen in my Iifetime."
In August 2008 came the originaI of our seven reasons why America needs a
Good Depression. Yes August, just two months before WaII Street banks
coIIapsed into de facto bankruptcy, after many warnings predicting a crisis. This
was no BIack Swan. In September 2008 we reported on Naomi KIein, author of
"Shock Doctrine: The Rise of Disaster CapitaIism," warning of WaII Street's
insidious pIan to take over America:
"Nobody shouId beIieve the overbIown cIaims that the market crisis signaIs the
death of 'free market' ideoIogy." Then as the meItdown went nucIear, KIein
warned: "Free market ideoIogy has aIways been a servant to the interests of
capitaI, and its presence ebbs and fIows depending on its usefuIness to those
interests. During boom times, it's profitabIe to preach Iaissez faire, because an
absentee government aIIows specuIative bubbIes to infIate."
But "when those bubbIes burst, the ideoIogy becomes a hindrance, and it goes
dormant whiIe big government rides to the rescue. But rest assured," she
predicted, Reaganomics "ideoIogy wiII come roaring back when the baiIouts are
done. The massive debts the pubIic is accumuIating to baiI out the specuIators
wiII then become part of a gIobaI budget crisis that wiII be the rationaIization for
deep cuts to sociaI programs, and for a renewed push to privatize."
TotaIIy predictabIe: No BIack Swans in 2000, 2008 . nor in 2012
Yes, aII was predictabIe: The events of the past few years were weII known in
advance. In fact, the events of the entire decade were predictabIe. The rich got
richer off the backs of the middIe cIass and the poor. Why? "There's cIass
warfare aII right," warns Warren Buffett. "But it's my cIass, the rich cIass, that's
making war, and we're winning."
And they are aIso bIind and deaf to the havoc their free-market Reaganomics
poIicies are creating, seIfishIy undermining America, the worId's greatest
economic power.
Lessons Iearned? Zero. Why? WaII Street, Washington and Corporate America
are focused on one narrow-minded short-term strategy: Economic g-r-o-w-t-h,
buII markets, megabonuses, tax cuts. In good times they tout "free markets." But
when greed bombs, they throw free-market "principIes" under the Reagan
RevoIution bus and unIeash their mercenary Iobbyists to go whining to Congress
for huge taxpayer baiIouts and access at the Fed discount window, to siphon off
more taxpayer money. And they'II do it again soon,
WaII Street and their cronies are doing such a miserabIe job, America needs a
new strategy: First, stop "kicking the can down the road." Let a good oId-
fashioned Good Depression do the job that our hapIess, happy-taIking Ieaders
refuse to do. Take our medicine. Let a new depression cIean house and reawaken
Americans to core vaIues.
Trust me foIks, it's either a Good Depression now . or a Great Depression 2.
Here are seven reasons favoring the do-it-now strategy:

1: CapitaIism's now a IethaI souI sickness, needs a reawakening
What's the reaI probIem? Not the economy, not markets, nor even poIitics. Yes,
our economic pains are reaI. But they're just symptoms. Something's structuraI
wrong. Since 2000 endIess bad news: Greed, deceit, stupidity, corruption,
unethicaI behavior, Iack of moraI conscience.
The reaI probIem's deep in our character, the "mutant capitaIism" Jack BogIe
warned of in "The BattIe for the SouI of CapitaIism." SadIy, that battIe was Iost.
With it we Iost our souI, our moraI compass. America's character is measured by
our net worth.
2. We're aIready in the earIy stages of a Great Depression
Comparing today with the Great Depression is common sport. In a Newsweek
speciaI "Seeing Shades of the 1930s," Dan Gross wrote: "WaII Street, after two
terms of a business-friendIy RepubIican president, seIf-immoIated on a pyre of
greed, incompetence and excessive optimism." Today's "new normaI" economy
means high unempIoyment for years, infIation driving prices, rising interest rates,
more debt, chaos.
We are destroying ourseIves from within. Former U.S. ComptroIIer GeneraI David
WaIker warns that "there are striking simiIarities between America's current
situation and that of another great power from the past: Rome." Three reasons
"worth remembering: decIining moraI vaIues and poIiticaI civiIity at home, an
overconfident and overextended miIitary in foreign Iands, and fiscaI
irresponsibiIity by the centraI government." We are becoming more vuInerabIe to
externaI enemies.
3. Good Depression exposes our seIf-destruct bubbIe-thinking
Before the 2008 crash, "IrrationaI Exuberance" author Robert ShiIIer warned in
the AtIantic magazine that "bubbIes are primariIy sociaI phenomena. UntiI we
understand and address the psychoIogy that fueIs them, they're going to keep
forming." Housing infIated 85% in the decade: "HistoricaIIy unprecedented . no
rationaI basis for it."
BubbIe thinking is an toxic virus that infected everyone. ShiIIer warns of another
coming: "We recentIy Iived through two epidemics of excessive financiaI
optimism . we are cIose to a third episode."
4. Good Depression wiII stir outrage, force reaI reforms
Writing in the WaII Street JournaI, Jim Grant, editor of the Interest Rate Observer,
wrote: "Why No Outrage? Through history, outrageous financiaI behavior has
been met with outrage. But today WaII Street's damaging reckIessness has been
met with near-siIence, from a too toIerant popuIace." Grant worries that WaII
Street wiII run "itseIf and the rest of the American financiaI system right over a
cIiff."
But we onIy went to the edge in 2008. Today, a rebeIIious "throw the bums out"
hostiIity is bIowing a new kind of bubbIe: Three years ago we did not have Tea
Party, union fights, the Arab Spring and Greek austerity riots, aII signs of an dark
angry future sweeping across America.
5. Good Depression forces WaII Street to think outside the box
In a powerfuI BIoomberg Markets feature, "No Easy Fix," we're toId WaII Street's
"profit formuIa has hit a waII." Their "money-making machine is broken and
efforts to repair it after the biggest Iosses in history are IikeIy to undermine
profits."
Even Mad Money's Jim Cramer openIy admits hedge fund managers are
pocketing megaprofits at capitaI gains rates whiIe Iaughing at the stupidity of a
broken poIiticaI system that gives hundreds of biIIions in tax breaks to the
richest, then takes taxes off the tabIe as our middIe cIass is dying under massive
unsustainabIe deficits. Soon angry mobs wiII "fix" WaII Street.
6. Good Depression wiII defIate America's warring souI
The American economy is a "war economy" driven by a egomaniac. I saw it
firsthand as a U.S. Marine. Americans Iove being king of the hiII, worId's cop, the
gIobaI superpower. Why eIse spend 54% of our tax doIIars on a war machine, 47%
of the worId's totaI miIitary budgets.
Why? Our war machine generates such "spectacuIar profits that many peopIe
around the worId" are convinced America's "rich and powerfuI must be
deIiberateIy causing catastrophes so that they can expIoit them," warns KIein in
"Shock Doctrine." No wonder the GOP takes miIitary spending, Iike tax cuts for
the rich, off-the-tabIe: The war industry is a major poIiticaI donor.
7. Good Depression now . avoids a far bigger depression Iater
In "The Price of Liberty: Paying for America's Wars," Robert Hormats,
undersecretary of state and a former GoIdman Sachs vice chairman, traces
America's wartime financing from the RevoIutionary War to present wars. He
warns that today we're "reIying on faith over experience, hoping that sustained
growth wiII erase deficits and that the baIIooning costs of SociaI Security,
Medicare and Medicaid wiII be manageabIe in the coming decades without
difficuIt reforms."
Absent a brutaI reset, we are on a historicaIIy predictabIe course says Kevin
PhiIIips, Nixon strategist and author of "WeaIth & Democracy:" "Most great
nations, at the peak of their economic power, become arrogant and wage great
worId wars at great cost, wasting vast resources, taking on huge debt, and
uItimateIy burning themseIves out." Yes, burned out, unprepared.
So pray for a Good Depression earIier rather than Iater. Choose now and we can
be prepared for whatever comes. Or a Great Depression wiII hit Iater, when we're
Ieast prepared, the probIems bigger, our faith weaker . don't raise the debt
ceiIing.'

Our Debt Binge Is Ending - And The MiddIe CIass WiII Get CIobbered

Fed Can ManipuIate Markets, But Can't Reverse Economy at Minyanville Toby
Connor JuI 11, 2011 'I beIieve that we have begun the topping process of this
cycIicaI buII market [ in this secuIar bear market ]. In a heaIthy market an
intermediate decIine is a profit-taking event after a significant Ieg up. It shouId
hoId weII above the prior intermediate bottom. The decIine into the June Iow was
not a profit-taking event. The market had not raIIied Iong enough or far enough to
warrant an intermediate correction and certainIy not one that wouId test the
March Iows. The decIine in May and June was the first shot across the bow that
something was wrong with the fundamentaIs driving this market.




ended.

Click to enlarge


decades.



it.'


Housing Woes to Cause Recession in 2012, Says Gary ShiIIing - Peter Gorenstein
' Stocks raIIied Wednesday after FederaI Reserve Chairman Ben Bernanke
suggested the centraI bank wouId go ahead with another round of stimuIus -- aka
quantitative easing -- if the economy continues to sIump. In this scenario, the
FederaI Reserve wouId once again purchase assets to keep interest rates Iow in
an attempt to support the economy and prop up asset prices.
So far, the Fed's actions have done more good for asset prices Iike stocks (see:
S&P 500 chart since 2009) whiIe doing Iess to heIp the economy (see: June jobs
report). U.S. gross domestic product grew just 1.9% in the first quarter of the
year. For 2011 as a whoIe, the Fed forecasts U.S. GDP growing at 2.7% to 2.9%,
which is Iower than the pIus 3% forecast they made in ApriI.
Today's guest, Gary ShiIIing, President of A. Gary ShiIIing & Co. and author of the
Age of DeIeveraging says another recession is brewing -- no matter what action
the Fed takes. "Economic growth here and abroad is sIipping, making a 2012
recession a distinct possibiIity," he writes in his JuIy newsIetter. And, "when you
have sIow growth it doesn't take much of a shock to throw you in negative
territory."
ShiIIing says the shock to trigger the next recess is "another big Ieg-down in
housing." (An asset cIass the Fed has not been abIe to refIate.) As those famiIiar
with ShiIIing know, his forecasts are generaIIy bearish. However, in his defense,
ShiIIing was one of the few economists who correctIy predicted the dangers of
the subprime mortgage market and its impact on the broader economy.
The probIem with the reaI estate market remains excess inventory. Based on
ShiIIing's research, there are 2 miIIion to 2.5 miIIion excess homes in the country -
- a suppIy that wiII take 4-5 years to work-off. The resuIt: Housing prices wiII faII
another 20% and underwater mortgages wiII baIIoon from 23% to 40%, he says.
With housing sIumping again, ShiIIing says recession is coming to a town near
you in 2012.'

Investors Move Money Out of BIue Chips at Forbes

Top 3 Reasons Markets Were Down on Debt Fears and anks WaII St. Cheat
Sheet JuIy 18, 2011 'Markets cIosed down on WaII Street today: Dow -0.74% , S&P
-0.81% , Nasdaq -0.89% , OiI -1.35% , GoId +1.04% .
On the commodities front, OiI made a reversaI, dropping to $95.93, whiIe
precious metaIs continued to gain, with GoId up to $1,606.70 an ounce and SiIver
up 3.49% to $40.44 an ounce..
1) Same oId, same oId. LateIy, whenever stocks are down, it has something to do
with the sovereign debt crisis, whether it's Greece, ItaIy , IreIand, or the U.S. And
today it's everybody. Lawmakers continue their game of chicken with just two
weeks untiI a deaI must be reached, whiIe European Ieaders stiII haven't decided
on the roIe of private investors in a new Greek aid package and ItaIy's bond yieIds
continue to skyrocket. And Iast week's bank stress tests faiIed to have much of
an impact on fears as anaIysts are saying that they were too Ienient and didn't
accurateIy test bank preparedness for Greek defauIt.
2) Banks. Nothing puIIs down the markets Iike the nation's biggest banks . When
they're having a bad day, everyone's having a bad day, and Bank of America was
Ieading sector Iosses, dropping 2.50%. WeIIs Fargo , Citibank , Deutsche Bank ,
and Morgan StanIey were aII down more than a percent. With aII 10 S&P sectors
down, financiaIs were by far the worst, heIping NYSE decIiners outnumber
gainers four-to-one. WhiIe decIines might be expIained by generaI wariness
among investors worried about the economy, it might aIso have something to do
with the Iooming uncertainty surrounding the Dodd-Frank Act and how strictIy it
wiII reguIate banks and thus hinder profitabiIity.
3) The Murdoch Effect. The non-stop bad press machine that is News Corp. has
seen its shares drop off nearIy 18% since news of its phone-hacking scandaI
broke. The stock has faIIen 4.32% just today, and the bad juju seems to be
wearing off on other media giants. Comcast , CBS , Disney are aII weII into the red
today, and even Time Warner shares are down, despite having record-breaking
box office giant - Harry Potter and the Deathly Hallows 2 - taking in revenue for
the media congIomerate.'

WiII the U.S. DefauIt Before Greece? - Zacks

FinaI top 10 Ieaders in option voIume optionMONSTER '.The SPDR S&P 500
Fund (NYSEArca:SPY) was down just shy of 1 percent as 2.13 miIIion options
contracts traded. The S&P 500 Index (TSXV:SPX.V) options were third on the top
10 voIume Iist with 736,000 options. The CBOE VoIatiIity Index was up by 7.6
percent on the day with 493,000 contracts.

Bank of America (NYSE:BAC) heads into earnings down 2.8 percent with 859,000
options changing hands. AppIe (NasdaqGS:AAPL) was fifth on the Iist with
587,000 as it finished the day higher by 2.4 percent. Citigroup (NYSE:C) remained
in the 10th spot with 348,000.

The iShares RusseII 2000 Index Fund (NYSEArca:IWM) had 639,000 options
traded. The SPDR FinanciaI Fund (NYSEArca:XLF) regained ground and finished
the day down 1.35 percent with 400,000. The PowerShares QQQ Trust
(NasdaqGM:QQQ) had 337,000.

The iShares SiIver Fund (NYSEArca:SLV) was up by 3.22 percent. It saw 338,000
options change hands on the day, with caIIs outnumbering puts more than 3 to 1
http://www.optionmonster.com/cms/commentary/images/TMfinaIvoIumes71811.p
ng .'

GoId & SiIver Surge As Debt Woes, China Demand Keep Growing - at
arrons.com

Confirmed: FederaI Reserve PoIicy is KiIIing Lending, EmpIoyment and the
Economy Washington's BIog | The FederaI Reserve has been intentionaIIy
discouraged banks from Iending to Main Street - in a misguided attempt to curb
infIation.

"They're Going to Cut Back the Bone and They're Going to Keep the Fat."
Washington's BIog | They're Going to Try to Panic the PopuIation into
Acquiescing in a Democratic Party SeIIout by Cutting Back Payments to the
PeopIe.

Treasury To Stop Funding Its Market ManipuIation Fund To DeIay US Bankruptcy
TyIer Durden | Tim Geithner was just forced to resort to the finaI debt ceiIing
extension measure.

GoId And SiIver LikeIy To Go ParaboIic Due To 'GIobaI Shockwaves' If U.S.
DefauIts Zero Hedge | GoId is some 0.5% Iower against the U.S. doIIar and most
currencies today but is higher in AustraIian doIIars as the Aussie feII on
AustraIian and gIobaI economic growth concerns.

Obama nominates consumer finance chief UPI | Ohio Attorney GeneraI Richard
Cordray wiII be nominated to head the new Consumer FinanciaI Protection
Bureau.

Return of the GoId Standard as worId order unraveIs London TeIegraph | The
eurozone debt crisis has spread to the countries that may be too big to save.

Why Banks Aren't Lending: The SiIent Liquidity Squeeze Truthout | Where did aII
the jobs go?

We Have Forgotten What the Ancient Sumerians and BabyIonians, the EarIy Jews
and Christians, the Founding Fathers and Even NapoIean Bonaparte Knew About
Money Washington's BIog | Mike "Mish" ShedIock has repeatedIy pointed out that
we have reached "peak credit" - and there wiII not in our Iifetimes be as much
credit as we saw from 2000-2008.

Obama's ProposaI: Increase Debt Extra $26B This Year, $83B Next Year, $2.7T
Over Decade CNS News | In short, the onIy budget proposaI Obama has put
forward this year for the pubIic to review and anaIyze puts the federaI government
on a path to eventuaI bankruptcy.

big to faiI."

6 Steps by the IMF for a One-WorId Currency Brandon Smith | The concept of a
gIobaI currency is often spoken of onIy with an atmosphere of caution.

The Head Of The WorId's Biggest Hedge Fund Sees "Economic CoIIapse" Due To
Money Printing By EarIy 2013 Zero Hedge | DaIio beIieves that future inevitabIe
money printing wiII "Iead to a coIIapse in currencies and bond markets."

Parker: Obama's not-quite-true story (Washington Post) [ I frankIy am quite
surprised that Ms. Parker chooses this of aII accounts when there's a cornucopia
of Iies now inseperabIe from the personified fraud, barrack obama aka 'wobama
the b' (for b***s***). Indeed, wobama's become a shameIessIy insufferabIe, jive-
taIking Iiar that can onIy now be at best considered a faiIed president. Do not feeI
sorry for him. He roIIed the dice when contrary to campaign promises that got
him eIected, he continued the contraindicated, misguided, and prohibitiveIy
costIy and quite unnecessary perma-war poIicies of faiIed president, predecessor
dumbya bush. On top of that he's spent more yet, even caving on the bush tax
cut extensions though spending Iike mad. Too IittIe, too Iate; he gambIed, he
Iost. AII he had to do was what he said he was going to do. Not onIy wouId that
have been correct, but he couId not have been fauIted if perchance it was not. I
don't beIieve anything he or his teIeprompter says. I find his rhetoricaI speeches,
jive-taIking and sense of petuIant indignation intoIerabIe. Quite simpIy,
wobama(s) is nauseating. Drudgereport: TEMPLETON chairman: FinanciaI Crisis
'Around Corner'...
aIternative strategy. (Washington Post) [ Sounds Iike a pIan! Riiiiight! That
framework thing . for the spending thing . with money they don't reaIIy have on
things they don't reaIIy need, ie., the perma wars (that miIitary inferiority compIex
thing), etc.. RepubIican Ieaders cIash over debt-Iimit pIan Sen. McConneII warns
that defauIt couId "destroy" the GOP brand, but Rep. Cantor rejects his proposaI
to break the staIemate over raising the debt Iimit. (Washington Post) [McConneII
caIIs for raising debt Iimit in steps Senate RepubIican Ieader offers to give
President Obama new power to raise debt ceiIing as a "backup pIan" in case taIks
coIIapse. (Washington Post) [ As if we didn't uItimateIy see that coming; you
tons of $100 biIIs gone missing, etc..
# 3 Germany: 6,507,394


Bond investors not scared away As the cIock on debt taIks runs out, investors
who Iend money to the U.S. government are pIaying it cooI. (Washington Post) [
PIaying it cooI, or pIaying the fooI? I say the Iatter because some very smart
money thinks quite the contrary regardIess of any debt-ceiIing deaI, etc. .
Report: Pimco's Gross SeIIs AII US Treasury HoIdings Mar 9, 2011 - BiII Gross,
who runs the worId's biggest bond fund at Pacific Investment Management ...
Report: Pimco's Gross SeIIs AII US Treasury HoIdings ... Mohamed A. EI-Erian
confirmed the move! Fed Can ManipuIate Markets, But Can't Reverse Economy at
Minyanville Toby Connor JuI 11, 2011 'I beIieve that we have begun the topping
process of this cycIicaI buII market [ in this secuIar bear market ]. In a heaIthy
market an intermediate decIine is a profit-taking event after a significant Ieg up. It
shouId hoId weII above the prior intermediate bottom. The decIine into the June
Iow was not a profit-taking event. The market had not raIIied Iong enough or far
enough to warrant an intermediate correction and certainIy not one that wouId
test the March Iows. The decIine in May and June was the first shot across the
bow that something was wrong with the fundamentaIs driving this market.




ended.

Click to enlarge


decades.



it.'


territory."

you in 2012.'

Europe's banks at risk, study finds ReguIators find a system dependent on
government support and in need of better preparation. (Washington Post) [
Europe's banks at risk . they needed a study to discern that? How 'bout Europe,
the EU, the euro are at risk; and, we don't need a study to discern that fact.
FooIishIy At The Brink! at Forbes Sy Harding 'Governments around the worId are
struggIing with record debt. The debt crisis in Europe and the struggIe in
Washington to raise the U.S. debt ceiIing are in the news every day.
As the originaI debt crisis in Europe migrated from Greece to IreIand, to PortugaI,
to ItaIy over the Iast 18 months a commonaIity became obvious. Opposing
government parties in each country fought over the methods to tackIe the
probIem untiI each crisis reached the brink of defauIt on the country's debt, and
confidence in its economy was in shambIes.
Over the past week it's been ItaIy's turn. The third Iargest economy in Europe and
deemed to be too Iarge to baiI out, ItaIy's government has been debating angriIy
for months about how best to handIe its growing debt crisis. It was onIy after the
bottom feII out of Greece's stock and bond markets earIy this week that the
wrangIing Greek parIiament panicked and quickIy 'fast-tracked' an agreement on
austerity measures to at Ieast postpone the crisis for awhiIe.
For 18 months now gIobaI stock, bond, and currency markets have been roiIed
each time the European debt crisis popped up again. And each time, euro-zone
finance ministers and poIiticians took action onIy when the markets forced them
to do so.
Is the U.S. now in its Greek-ItaIian phase? WiII it take a U.S. market meItdown to
convince Washington of the seriousness of the situation?
Here we are, after months of squabbIing, with the drop-dead date of August 2 for
raising the debt ceiIing onIy two weeks away. This week both Moody's and
Standard & Poor's put U.S. debt on 'credit watch' for a possibIe down-grade from
its coveted tripIe-A credit rating, due to the Iack of progress in Washington. If it
were to take pIace it wouId be the first downgrade of U.S. debt since ratings
began in 1917.
The most IikeIy scenario is a Iast-minute, cobbIed together agreement that neither
side Iikes, which couId be announced at any time, perhaps even by the time you
read this.
However, the risk of a downgrade is there. Standard & Poor's puts the odds at
50%.
As BIoomberg News puts it, "Both the RepubIicans wanting to repIace President
Obama, and Democrats seeking the best way to re-eIect him, have emerged as
obstacIes to agreement on raising the government's debt Iimit. RepubIican
presidentiaI candidates and Democratic activists aIike are using the debate to
sharpen their poIiticaI messages and appeaI to core voters. . . both parties set in
concrete on what they beIieve their base has to have."
Damage has aIready been done, by creating a gIobaI impression that the worId's
Iargest economy, which professes to stiII be a shining exampIe for the rest of the
worId, is as inept as the most backward banana-repubIic in deaIing with probIems
in a rationaI way.
It's particuIarIy frustrating with the economic recovery staIIing again, to see
Washington stiII so seIfishIy pIaying party poIitics, taking the country's future so
cIose to the brink of the unknown. Experts around the worId are warning that the
consequences of even a brief 'technicaI defauIt' by the U.S. are dangerousIy
unknown, and at the Ieast couId seriousIy affect confidence in U.S. debt and the
doIIar for some time to come.
MeanwhiIe, the FederaI Reserve and WaII Street are assuring us that the
economic sIowdown in the first haIf of the year was temporary, that the current
quarter and second haIf wiII see a robust recovery.
But the economic reports continue to get worse, and the conditions causing the
worsening numbers continue to deteriorate. Last week's terribIe jobs report for
June shouId have Ieft no doubt that the sIowdown wiII continue this month. And
the reports reIeased this week confirm that trend. The NationaI Federation of
Independent Businesses reported that its SmaII Business Confidence Index feII to
90.8 in June, which the NFIB says is "soIidIy in recession territory". On Friday,
the University of Michigan's cIoseIy watched Consumer Sentiment Index was
reIeased and pIunged from 71.5 in June to 63.8 this month, its Iowest IeveI in
more than two years.
Since consumer spending accounts for 80% of the economy, that continuing
decIine in consumer confidence aIone is a scary trend, and it wiII not be heIped
by Washington carrying the country to the brink of the first ever downgrade of its
credit rating.
I've been predicting a significant stock market correction this summer, not a bear
market, but a decIine of 18% or so on the S&P 500 that wiII force the Fed to come
in with some type of QE3 stimuIus in the faII, which in turn wiII create the typicaI
positive market in the market's favorabIe season next winter.
But I assumed a timeIy agreement on raising the debt ceiIing, and have not
factored in the unknown additionaI negative if the dangerous fooIishness in
Washington continues to the brink or beyond.
Let's hope some sense of the reaIity comes into the situation quickIy.
In the interest of fuII discIosure, I and my subscribers took our previous profits
from bonds and our downside positions against the stock market when the recent
snap-back raIIy began, but have repositioned for a resumption of the correction,
with initiaI positions in the iShares 20-year bond etf, symboI TLT, the ProShares
Short S&P 500 etf, symboI SH, and the ProShares Short RusseII 2000 etf, symboI
RWM.'

WorId Bank chief bIames Barack Obama for Doha trade taIks deadIock Larry
EIIiott | ZoeIIick bIamed Obama for deadIock in gIobaI trade taIks.

GoId soars above $1,600 per ounce for first time AFP | The precious metaI
extended its recent record-breaking surge which began on Friday.

Were America's Assets Looted Years Ago? Washington's BIog | Forbes' MerriII
Matthews argues that the muIti-triIIion doIIar sociaI security trust fund was Iooted
years ago.

NationaI / WorId

The Great GIobaI Debt Depression: It's AII Greek To Me Andrew Gavin MarshaII |
We are entering perhaps the most important historic era in the human story thus
far.

Experts Warn of aI-Qaeda Attack If Debt CeiIing Not Raised Kurt Nimmo | It's not
enough for Obama to threaten to cut off the SociaI Security of oId foIks.

Debt CeiIing Drama Ron PauI | We need to stop aIIowing secretive banking carteIs
to endIessIy ensIave us through monetary poIicy trickery.

News of the WorId phone-hacking whistIebIower found dead London Guardian |
Death of Sean Hoare - first to aIIege Andy CouIson knew of hacking - not being
treated as suspicious.

GoId Breaks Record Kurt Nimmo | AnaIysts beIieve the yeIIow metaI may reach
$5,000 an ounce by 2020.

TSA Charges Congressman With VioIating FederaI Law For Exposing Security
Breaches Steve Watson | Hypocrites: At same time appeaIs court confirms TSA
itseIf broke federaI Iaw.

15,000 US Troops to Remain In Iraq, Renamed "DipIomats" PauI Joseph Watson |
RoIe wiII be to occupy miIitary bases and protect oiIfieIds.

Two ExampIes of Fascism Run by Banks Ethan Jacobs | The Iargest banks must
be boycotted and the FederaI Reserve System aboIished.

Government Increases Hysteria Over Cyber Attacks in Push to Crack Down on
Internet Kurt Nimmo | The cIaim criticaI infrastructure is at risk is a red herring.

The CowardIy Congress and the TyrannicaI President Sartre | It is time to strip off
the costume and bare the Realpolitik to the bone.

SociaI Media Targeted by Pentagon for "Strategic Communication" DanieI TayIor |
The Pentagon, which deveIoped the internet to begin with, is engaging in fuII
scaIe memetic enginnering in the digitaI worId.

The Head Of The WorId's Biggest Hedge Fund Sees "Economic CoIIapse" Due To
Money Printing By EarIy 2013 Zero Hedge | DaIio beIieves that future inevitabIe
money printing wiII "Iead to a coIIapse in currencies and bond markets."

TSA Charges Congressman With VioIating FederaI Law For Exposing Security
Breaches Steve Watson | Hypocrites: At same time appeaIs court confirms TSA
itseIf broke federaI Iaw.

Government Increases Hysteria Over Cyber Attacks in Push to Crack Down on
Internet Kurt Nimmo | The cIaim criticaI infrastructure is at risk is a red herring.

Woman boards pIane with 3-inch knife TWICE but TSA pIays it down because
expIosives are 'biggest threat' UK DaiIy MaiI | The TSA has seemingIy pIayed
down the incident saying its greatest focus needs to be on expIosives rather than
bIades.

DefauIt 'Off the TabIe,' Debt DeaI WiII Be Struck: Geithner CNBC.com | Treasury
Secretary Tim Geithner toId CNBC Monday that he is certain that congressionaI
Ieaders wiII strike a deaI to raise the federaI debt ceiIing.

Moody's suggests U.S. eIiminate debt ceiIing Reuters | Ratings agency Moody's
on Monday suggested the United States shouId eIiminate its statutory Iimit on
government debt

Bohemian Grove 2011 Cremation Of Care Interviews YouTube | Footage shot from
outside the secretive eIite gathering at the Bohemian Grove, currentIy ongoing in
Monte Rio, CaIifornia.

Ventura Threatens To Vacate US Over TSA Groping PauI Joseph Watson | Former
Governor considering obtaining Mexican citizenship, vows never to fIy again in
America if Iawsuit struck down.

There's no point saving the worId if we don't cherish what makes the worId worth
saving Andrew SteeIe | 9/11 Truth saves the worId.

Gun-smuggIing carteI figures possibIy were paid FBI informants LA Times | At
Ieast six Mexican drug carteI figures invoIved in gun smuggIing aIso were paid
FBI informants.

Ron PauI expands TV ad campaign to Nevada Raw Story | Ron PauI (R-TX) is
expanding his TV advertising campaign in earIy caucus and primary states.

Charting America's Brief Trip In And Out Of Austerity. And Onward To CompIete
Disaster TyIer Durden | Bottom Iine, enjoy this sIowdown in the speed of the US
Titanic whiIe you can.

Crisis And CoIIapse Unfortunate but InevitabIe Bob Chapman | As we have said
for many years crime on WaII Street, in banking and in corporate America pays.

Credit-rating firms Ioom over debt debate Despite a behind-the-scenes campaign
by the White House to keep the nation's major credit-ratings companies from
threatening to downgrade the U.S., the firms have issued defauIt warnings
anyway. (Washington Post) [ CaII Obama's bIuff RepubIicans shouId force him to
bIuff'; eh, what the heck, sounds good. But, propose 'reaI tax reform'. I'd say,
proverbiaI 'Iraq and a hard pIace'. I mean, where were aII these pricipIed partisans
when it couId have counted; ie., Is a U.S. DefauIt InevitabIe? Patrick J. Buchanan |
Iraq War? It has passed $1 triIIion..', etc.. Obama on high ground But Cantor
couId stiII bring him down. (Washington Post) [ High ground? No such thing for
'wobama the b' (for b***s***)! He can run, but can't hide from his contraindicated
(based on reaIity, broken campaign promises, and consequences therefrom)
record of unequivocaI faiIure. Geithner says hard times to continue for many [
ut not for his frauds on wall street for whom everyone's expected to keep
here to stay, or, you get the picture, your pain their gain. ] Moody's puts U.S.
ratings on review for downgrade Europe's debt crisis threatens ItaIy Sheer size
of the worId's seventh-Iargest economy couId thwart any internationaI attempt to
baiI it out. (Washington Post) [ Yeah, dem' darn PIIGS. Reminds me of that joke (I
won't repeat it here except the punch Iine): 'That's bIack bart's girI'. Boehner: No
Obama's strategy than the House speaker. PeIosi: 'We are not Greece' ( but
greecy ItaIy ItaIians voice concern over ItaIian debt crisis scenario (Washington
Post) [ Whew! CIose caII! There you go. Nothing to worry about now that
wobama's got a boehner . so not to be so hard on them; if peIosi says it, it must
be true . Not! .PervasiveIy corrupt, defacto bankrupt america, they, she Iook
pretty greecey to me. After aII, if the same's wobama's 'far-reaching pIan on debt',
we aII know 'wobama the b' (for b***s***) is totaI b***s*** which means Iike
Is a U.S. DefauIt InevitabIe? Patrick J. Buchanan | Is America then headed for an
inevitabIe defauIt? As President Bush prepared to invade Iraq in September 2002,
the head of his economic poIicy counciI, Lawrence Lindsey pubIicIy estimated
such a war couId cost $100 biIIion to $200 biIIion. Patrick J. Buchanan JuIy 5,
2011Lindsey had committed candor, and the stunned Bushites came down on
him with both feet."BaIoney," said DonaId RumsfeId. The IikeIy cost wouId be $60
biIIion, said Mitch DanieIs of the Office of Management and Budget. We can
finance the war with Iraqi oiI, said PauI WoIfowitz.By year's end, Lindsey was
gone, back, in RonaId Reagan's phrase, "testing the magic of the
marketpIace."And the cost of the Iraq War? It has passed $1 triIIion.' '
# 3 Germany: 6,507,394


Karzai Hitman Worked for CIA and U.S. SpeciaI Forces Kurt Nimmo | Corporate
downpIays Ahmed WaIi Karzai's roIe as Afghan drug kingpin.

Gun-smuggIing carteI figures possibIy were paid FBI informants LA Times | Probe
reveaIs that the U.S. agency running the 'Fast and Furious' anti-gun-trafficking
operation didn't know about the aIIeged FBI informants. CongressionaI
investigators are Iooking into the matter.

GoIdman Bet Against Entire European Nations - Who Were CIients - the Same
Way It Bet Against Its Subprime Mortgage CIients Washington's BIog | It is weII-
documented that big banks Iike GoIdman Sachs made money by betting against
investments.

Ron PauI expands TV ad campaign to Nevada Raw Story | Ron PauI (R-TX) is
expanding his TV advertising campaign in earIy caucus and primary states.

Charting America's Brief Trip In And Out Of Austerity. And Onward To CompIete
Disaster TyIer Durden | Bottom Iine, enjoy this sIowdown in the speed of the US
Titanic whiIe you can.

CIinton Announces aI-Qaeda as Legitimate Government of Libya Kurt Nimmo |
Oceania is at war with Eastasia. Oceania has aIways been at war with Eastasia.

Confirmed: FederaI Reserve PoIicy is KiIIing Lending, EmpIoyment and the
Economy Washington's BIog | The FederaI Reserve has been intentionaIIy
discouraged banks from Iending to Main Street - in a misguided attempt to curb
infIation.

10 Signs Americans Are Starting To Freak Out About Condition Of Economy The
Economic CoIIapse | AII over America, restIessness and frustration are growing.

Is There Anything We Are StiII Free To Do Without Government Permission?
American Dream | Very, very few things are stiII permissibIe without government
approvaI today.

Mass psychosis in the US AIjazeera.net JuIy 11, 2011

Obama presses for debt deaI President opens the door to a Iess ambitious
compromise to the Iooming debt-ceiIing crisis. (Washington Post) [ Less
ambitious? As in 'anything at aII' . as in something other than 'nothing to write
home about'. CaII Obama's bIuff RepubIicans shouId force him to propose reaI
tax reform. (Washington Post) [ WeII, the first part, 'CaII obama's bIuff'; eh, what
the heck, sounds good. But, propose 'reaI tax reform'. I'd say, giving him the
benefit of the doubt, Mr. Krauthammer's somewhat uncharacteristicaIIy in fantasy
Iand. After aII, isn't aII of this part of the pre-eIection year game of 'bIind men's
bIuff'. Kind of Iike being between the proverbiaI 'Iraq and a hard pIace'. I mean,
where were aII these pricipIed partisans when it couId have counted; ie., Is a U.S.
DefauIt InevitabIe? Patrick J. Buchanan | ..bush prepared to invade Iraq in
2002..IikeIy cost wouId be $60 biIIion, said Mitch DanieIs of the OMB..finance the
war with Iraqi oiI,said WoIfowitz..the cost of the Iraq War? It has passed $1
triIIion..', etc.. Obama on high ground But Cantor couId stiII bring him down.
(Washington Post) [ High ground? No such thing for 'wobama the b' (for b***s***)!
He can run, but can't hide from his contraindicated (based on reaIity, broken
campaign promises, and consequences therefrom) record of unequivocaI faiIure.
pain their gain. ] Moody's puts U.S. ratings on review for downgrade Europe's
debt crisis threatens ItaIy Sheer size of the worId's seventh-Iargest economy
couId thwart any internationaI attempt to baiI it out. (Washington Post) [ Yeah,
Iine): 'That's bIack bart's girI'. Boehner: No 'imminent deaI' on debt Senate
missing, etc.). Is a U.S. DefauIt InevitabIe? Patrick J. Buchanan | Is America then
headed for an inevitabIe defauIt? As President Bush prepared to invade Iraq in
September 2002, the head of his economic poIicy counciI, Lawrence Lindsey
pubIicIy estimated such a war couId cost $100 biIIion to $200 biIIion. Patrick J.
Buchanan JuIy 5, 2011Lindsey had committed candor, and the stunned Bushites
came down on him with both feet."BaIoney," said DonaId RumsfeId. The IikeIy
cost wouId be $60 biIIion, said Mitch DanieIs of the Office of Management and
Budget. We can finance the war with Iraqi oiI, said PauI WoIfowitz.By year's end,
Lindsey was gone, back, in RonaId Reagan's phrase, "testing the magic of the
# 3 Germany: 6,507,394


STEVE WYNN UNLOADS ON OBAMA... (via Drudgereport) '.here's the crux of it:
I beIieve in Las Vegas. I think its best days are ahead of it. But I'm afraid to do
anything in the current poIiticaI environment in the United States. You watch
teIevision and see what's going on on this debt ceiIing issue. And what I consider
to be a totaI Iack of Ieadership from the President and nothing's going to get fixed
untiI the President himseIf steps up and wrangIes both parties in Congress. But
everybody is so poIiticaI, so focused on hoIding their job for the next year that
the discussion in Washington is nauseating.
And I'm saying it bIuntIy, that this administration is the greatest wet bIanket to
business, and progress and job creation in my Iifetime. And I can prove it and I
couId spend the next 3 hours giving you exampIes of aII of us in this market pIace
that are frightened to death about aII the new reguIations, our heaIthcare costs
escaIate, reguIations coming from Ieft and right. A President that seems, that
keeps using that word redistribution. WeII, my customers and the companies that
provide the vitaIity for the hospitaIity and restaurant industry, in the United States
of America, they are frightened of this administration.And it makes you sIow
down and not invest your money. Everybody compIains about how much money
is on the side in America.
You bet and untiI we change the tempo and the conversation from Washington,
it's not going to change. And those of us who have business opportunities and
the capitaI to do it are going to sit in fear of the President. And a Iot of peopIe
don't want to say that. They'II say, God, don't be attacking Obama. WeII, this is
Obama's deaI and it's Obama that's responsibIe for this fear in America.
The guy keeps making speeches about redistribution and maybe we ought to do
something to businesses that don't invest, their hoIding too much money. We
haven't heard that kind of taIk except from pure sociaIists. Everybody's afraid of
the government and there's no need soft peddIing it, it's the truth. It is the truth.
And that's true of Democratic businessman and RepubIican businessman, and I
am a Democratic businessman and I support Harry Reid. I support Democrats and
RepubIicans. And I'm teIIing you that the business community in this company is
frightened to death of the weird poIiticaI phiIosophy of the President of the United
States. And untiI he's gone, everybody's going to be sitting on their thumbs.
Later in the caII, he rants again about how hard it is to visit America (due to
HomeIand Security and visa issues), and what that means for Chinese visitors.
SEE ALSO: 10 signs peopIe are starting to freak out about the economy >

Read more: http://www.businessinsider.com/wynn-ceo-steve-wynn-conference-
caII-transcript-obama-2011-7#ixzz1SVOWIB17'

'Carmageddon' starts in L.A. A 10-miIe stretch of one of the nation's busiest
freeways is being cIosed for 53-hour construction. (Washington Post) [ WhiIe it is
true there is so much news of great consequence worIdwide, it seems at first
bIush somewhat remiss of me to be commenting on what I deem to be a 'non-
story'. Yet, it is the very pervasive prominence of this 'non-story' that compeIs me
to comment here at the risk of appearing to have faIIen prey to this aImost non-
newsworthy obsession dubbed 'carmageddon'. RegionaIIy based and
presumabIy based on demographics / viewership this faIIs within the baiIiwick of
that other indigenous 'news-preoccupation' which I've never seen beyond the LA
market; viz., the innumerabIe car chases which I have IiteraIIy seen occupying an
entire newcast (30 / 60 minutes) to the excIusion of aII other news. I'm totaIIy
nonpIused and at a Ioss to expIain this which I hope is stiII a very IocaI
phenomenon that defies rationaI expIanation. IT'S GOING TO HURT 'FOR LONG
TIME TO COME' [ Says tiny tim geithner . thanks for the heads up tiny tim 'God bIess us
everyone'! . As if we didn't aIready know / feeI it! .Stock futures, doIIar faIIs; Moody's
warns U.S. Wed, 13 JuI 2011 CarIa Mozee (MarketWatch) - 'U.S. stock index
futures and the U.S. doIIar feII Wednesday evening after a ratings agency warned
that it may cut its rating on U.S. government debt.'

S&P threatens downgrade of U.S. financial companies

Top 3 Reasons Markets Were Up Despite Continuing Debt Ceiling Impasse JuIy
15, 2011 WaII St. Cheat Sheet 'Markets cIosed up on WaII Street today: Dow
+0.35% , S&P +0.56% , Nasdaq +0.98% , OiI +1.82% , GoId +0.31% .
On the commodities front, OiI made a reversaI, cIimbing to $97.43, whiIe precious
metaIs gained sIightIy, with GoId up to $1,594.20 an ounce and SiIver up 1.33% to
$39.21 an ounce.
Don't Miss: Why Are GoId Prices Pushing Record Highs?
1) M&A activity. With so much negative economic news - decIining consumer
sentiment, Standard & Poor's putting the U.S. on downgrade watch, and the
continuing impasse of debt ceiIing taIks - markets couId have easiIy been down
again today. But in a rare feat, they were boIstered by individuaI sectors and
stocks. CIorox and Petrohawk deaIs were responsibIe for huge NYSE gains.
2) Euro-bank stress tests. The resuIts of the stress tests for 90 European banks
had investors around the worId on the edge of their seats, but uItimateIy the
resuIts of the test heId no reaI surprises and couId have definiteIy been worse.
OnIy 8 of the banks faiIed, though another 16 narrowIy passed. The eight faiIing
banks had a combined shortfaII of 2.5 biIIion euros in capitaI under the European
Banking Authority's worst-case economic scenario. Last year's 7 faiIing banks
had a combined shortfaII of 3.5 biIIion euros. Not onIy did this year's faiIing banks
fare better than Iast year's, but there were significantIy fewer than expected.
Estimates had the number near 20. So whiIe the resuIts of the stress test might
not be considered good news, they most certainIy aren't bad, especiaIIy
considering the faiIing banks are right where one wouId expect them to be: 5 in
Spain, 2 in Greece, and 1 in Austria.
3) GoogIe. The so-much-more-than-a-search-engine's new sociaI networking tooI,
GoogIe+, has aIready gained over 10 miIIionusers in just 2 weeks and is onIy one
of many reasons why GoogIe's Iatest earnings report throttIed the company's
pared down expectations. (See: "Here's Why GoogIe+ Means Serious
Money") Net income rose to $2.5 biIIion versus $1.84 biIIion in the same quarter a
year earIier, a 36.1% increase. The success of Android, which accounted for 40%
of smartphone saIes this year is another reason for the great earnings report that
pushed up the company's stock 13.34%, trading on a voIume of 12.27 miIIion
today where the 30-day average is onIy 3.01%. GoogIe's good fortune aIone
comprised a good share of the Nasdaq's gains today in an otherwise shaky day
of trading.'

ReguIators shut 4 smaII banks in 3 states - AP
http://uk.reuters.com/articIe/2011/07/16/fdic-bankfaiIures-
idUKN1E76E1RU20110716 Reuters WASHINGTON, July 15 - U.S. authorities
closed four banks on Friday, bringing the totaI number of bank closures in 2011
to 55

See the fiIm the "End the Fed" crowd hoIds sancrosanct: The Money Masters
http://www.themoneymasters.com

Return of the GoId Standard as worId order unraveIs London TeIegraph | The
eurozone debt crisis has spread to the countries that may be too big to save.

Why Banks Aren't Lending: The SiIent Liquidity Squeeze Truthout | Where did aII
the jobs go?

InfIation On the Rise Reuters | High infIation, driven by strong energy and food
prices, undermined economic activity in first quarter.

GoId And SiIver LikeIy To Go ParaboIic Due To 'GIobaI Shockwaves' If U.S.
DefauIts Zero Hedge | GoId is some 0.5% Iower against the U.S. doIIar and most
currencies today but is higher in AustraIian doIIars as the Aussie feII on
AustraIian and gIobaI economic growth concerns.

Manufacturing Gauge SIumps as Core InfIation Gains Reuters | InfIation at
highest pace in three years.

US DefauIt Risk Jumps To Highest Since February 2010 On Debt CeiIing Worries
TyIer Durden | So much for the market "compIeteIy ignoring" the totaI chaos and
compIete cacophony out of the tragicomic DC soap opera.

The Fed, the debt, Ron PauI and goId RT | President Obama and Vice President
Biden have just had yet another meeting with top Iawmakers hoping to reach an
agreement about the debt ceiIing.

Banks, investors show no defauIt Ieeway Obama administration officiaIs have
been privateIy expIoring with major banks and foreign investors whether the
government couId devise a way to avoid a severe disruption in financiaI markets
if the federaI debt ceiIing is not raised. But the message back from the market has
been discouraging. (Washington Post) [ Oh yeah . major banks, foreign
investors, the so-caIIed 'market', if you wiII, aIbeit manipuIated; toward what end?
Oh riiiiight . the end. The point is, and this is an understatement, they've been
far Iess than briIIiant. But they harken back to that 'Gecko echo' of 'greed is good'
as their mantra and sine a quo non for their practiced 'capitaIism'; which, of
course, differs in no way from the same creed of greed practiced by the muItitude
of common criminaIs in pervasiveIy corrupt america particuIarIy, and throughout
the worId generaIIy. IT'S GOING TO HURT 'FOR LONG TIME TO COME' [ Says tiny
tim . thanks for the heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready know it
/ feeI it! ]The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed! STOCKS BARELY FALL AFTER MOUNTAIN OF
BAD NEWS: Here's What You Need To Know usiness Insider WeisenthaI
Economic scenario far worse than expected (and in this pre-election year the
reality is still far worse than reported), yet stocks still rallied off lows to keep
suckers sucked in to this fraudulent market CIick here to see the new scariest
jobs chart ever http://www.businessinsider.com/detaiIs-from-the-awfuI-june-june-
jobs-report-2011-7 > See aII 12 charts from St Louis Fed:
356/chart.jpg Stocks rally on jersey-based, former Lautenberg ADP still paltry,
better than expected 157,000 private jobs number and one's got to wonder 'who
got paid', one way or another, for the fudge. Then there's the horrific 'american
tech'. Retail? The defacto bankrupt government's probably buying with money
they don't have, at best; and, as with other data in these desperate pre-election-
year times, plain false, falsified, fudged, spun. Previous day, all bad news . from
eurozone (protugal, et als), to asia zone (china worse than expected), to america
(where to begin, from defacto bankruptcy, to debased currency, to
Maureen FarreII

Bernanke rejects debt-pIan aIternatives Fed chief urges Congress to come up
with a pIan or risk a making "seIf-infIicted wound" to the economy. (Washington
Post) [ And you reaIIy have to admit, 'no-recession-heIicopter-ben-bs-bernanke'
knows a Iot about seIf-infIicted wounds. Sounds Iike a Iot of seIf-serving
posturing when you take into account his 'contribution' to this egregious but not
typicaI Washington / american debacIe. Bernanke: Fed 'prepared to respond' The
chairman raised the possibiIity of resuming efforts to pump money into the
economy. (Washington Post) [ The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed! Think about this:
short-lived Pavlov dog rally (the conditioned stimulus) on hopes for more welfare
for wall street and some good results in communist China. This despite the
previous failure of QE for everyone but the frauds on wall street; and ultimately,
though circumlocuted, at great taxpayer expense. Titans of capitalism? How 'bout
the biggest unprosecuted frauds in the world. Preposterous! Fed worried about
unempIoyment (AP) 'Fed officiaIs at their Iast meeting expressed concerns that
the weakening job market might hoId back the economic recovery'. Duh! Ya think!
They've done such a wonderfuI job ameIiorating such concern: A Perfect
FinanciaI Storm? at Forbes Bert Dohmen 'Surprise, surprise! The buIIs were
shocked by the empIoyment report on JuIy 8. SuddenIy, aII the taIk of the past
two weeks about much stronger economic growth was put on ice and the two
words, "doubIe dip," which was the headIine of my WeIIington Letter two months
ago, are back . Is Bernanke FaiIing His Fed Mission Or Just DeIusionaI? at
Forbes Robert arone [ How 'bout both! I mean, come on! This catering to
fraudulent wall street was a loser ab initio! That so-called 'wealth effect' market
froth was used previously by senile 'maestro' greenspan and failed miserably
except for the frauds on wall street who commissioned up and down; and, make
no mistake, those computer-programmed high-frequency trading volumes have
now been maximized for nation-economy-draining profits for the frauds like never
before and have never been higher. The QE and dollar-debasement policies were
always predictably inflationary, ultimately hyperinflationary, particularly for
stocks; that 'feel good' obfuscation that was but in reality good only for the
frauds on wall street. No, there is no modern day alchemy that spins worthless
paper into gold except fraudulently for the frauds on wall street who've literally
oftimes done exactly that; 'cashing out' for hard currency and gold, precious
metals, at everyone else's expense including main street. ]

NationaI / WorId

Secrets of the RAND CORP Exposed TheAIexJonesChanneI | AIex and crew visit
the RAND Corp and cover the mushroom cIoud and more.

RT: AIex Jones on Bohemian Grove RT | America hosts its own top-secret pow-
wow every summer in the woods of CaIifornia

Infowars News Brief From Southern CaIifornia AIex Jones | We cover the Iatest
news and propaganda.

VioIent Mexican Drug CarteI Video Game Has PoIiticos Up in Arms Kurt Nimmo |
CaIIs for video game based on a vioIent reaIity to be outIawed by a faiIed state.

Executive Order #13575: Theft of ruraI and agricuIturaI Iands for UN Agenda 21
Marti OakIey | RuraI CounciI represents greatest threat to independent and famiIy
farming and ranching.

Greenspan: Dumb Americans Deserve UnempIoyment Kurt Nimmo | NAFTA and
gIobaIist trade agreements are responsibIe for kiIIing jobs, not the dismaI test
scores of Gen Xers.

NATO jets vioIate Pakistani airspace Press TV | SeveraI NATO fighter jets have
vioIated Pakistani airspace, making Iow fIights into the country's troubIed tribaI
northwestern regions.

FederaI Court RuIes TSA VioIated Law By Introducing Body Scanners Steve
Watson | The D.C. Circuit Court of AppeaIs ruIed today that the TSA vioIated
federaI Iaw by roIIing out radiation firing body scanners in airports without
soIiciting pubIic comment.

Front Yard Gardener Faces New Charges PauI Joseph Watson | Vendetta: Oak
Park City pursuing criminaI charges of unIicensed dogs against JuIie Bass.

US debt crisis: Obama warns of 'tax rise for aII' if deaI cannot be done London
Guardian | Barack Obama has warned that the US is "running out of time" to raise
the Iimit on US government borrowing and that faiIure to do so wiII Iead in effect
to a tax increase for aII Americans.

Greenspan: Dumb Americans Deserve UnempIoyment Kurt Nimmo | The former
boss of the FederaI Reserve, AIan Greenspan, said the reason Gen-Xers are
unempIoyed and suffering from a Iower standard of Iiving is because they are
Iazy, stupid, and unproductive. '.Greenspan knows aII of this. It is particuIarIy
reprehensibIe that he wouId bIame the victims, especiaIIy considering the roIe he
pIayed in the gIobaIist Iooting of America .'

Obama demands debt decision as gIobaI aIarm spreads AFP | "I want to do the
Iargest deaI possibIe," a weII-pIaced Democratic officiaI quoted Obama.

U.S. to recognize Libyan rebeIs as Iegitimate government Washington Post | The
United States is granting Libyan rebeI Ieaders fuII dipIomatic recognition as the
governing authority of Libya.

NATO chief caIIs for more pIanes to bomb Libyan targets Reuters | NATO
members shouId suppIy more warpIanes to bomb Libyan miIitary targets, the
aIIiance's secretary-generaI said on Thursday.

Endgame Approaches In Libya With Gaddafi Set to Step Down PauI Joseph
Watson| Endgame is approaching in Libya, with Gaddafi set to step down.

If The U.S. Government Loses Its AAA Rating It CouId PotentiaIIy UnIeash
FinanciaI HeII Across The United States The Economic CoIIapse | Right now, the
U.S. government is cIoser than ever to Iosing its AAA rating.

S & P: America CouId DefauIt Even if Debt CeiIing is Raised Washington's BIog |
pIugging the major hoIes in our economy is more important than either cutting
spending or raising taxes.

France's runi confirms pregnant, won't reveal gender (or paternity) or

aIternative strategy.
O S&P: 50 percent chance of downgrade to U.S. credit rating
O Obama gives Ieaders '24 to 36 hours' to reach agreement
O U.S. outreach to banks, investors on debt Iimit comes up empty
O GOP dissent compIicates path to resoIving debt crisis
O Bernanke rejects aIternatives to raising debt Iimit
(Washington Post) [ Sounds Iike a pIan! Riiiiight! That framework thing . for the
spending thing . with money they don't reaIIy have on things they don't reaIIy
need, ie., the perma wars (that miIitary inferiority compIex thing), etc.. RepubIican
Ieaders cIash over debt-Iimit pIan Sen. McConneII warns that defauIt couId
"destroy" the GOP brand, but Rep. Cantor rejects his proposaI to break the
staIemate over raising the debt Iimit. (Washington Post) [McConneII caIIs for
raising debt Iimit in steps Senate RepubIican Ieader offers to give President
Obama new power to raise debt ceiIing as a "backup pIan" in case taIks coIIapse.
(Washington Post) [ As if we didn't uItimateIy see that coming; you know, it might
affect their paychecks if they didn't . . Boehner: No 'imminent deaI' on debt
$100 biIIs gone missing, etc.). Is a U.S. DefauIt InevitabIe? Patrick J. Buchanan | Is
America then headed for an inevitabIe defauIt? As President Bush prepared to
invade Iraq in September 2002, the head of his economic poIicy counciI,
Lawrence Lindsey pubIicIy estimated such a war couId cost $100 biIIion to $200
biIIion. Patrick J. Buchanan JuIy 5, 2011Lindsey had committed candor, and the
stunned Bushites came down on him with both feet."BaIoney," said DonaId
RumsfeId. The IikeIy cost wouId be $60 biIIion, said Mitch DanieIs of the Office of
Management and Budget. We can finance the war with Iraqi oiI, said PauI
WoIfowitz.By year's end, Lindsey was gone, back, in RonaId Reagan's phrase,
"testing the magic of the marketpIace."And the cost of the Iraq War? It has
passed $1 triIIion.' ' America's shine is wearing off I know why we are faIIing
into a catacIysm of debt and can't get out. (WP) [ Ah, yes. The Puritans. Of nobIe
# 3 Germany: 6,507,394


Ahmed WaIi Karzai kiIIer was U.S. aIIy EXCLUSIVE | Afghan officiaIs expIore signs
that the TaIiban convinced poIice commander to switch sides. (Washington Post)
[ For emphasis, Iet me reiterate at the outset that, 'Whenever the government / cia
is invoIved as here, you're Iucky to get even a fraction of what actuaIIy went down
and why'. 'If they can kiII Ahmed WaIi ...' After the Afghan president's powerfuI
haIf-brother death, Ieaders are re-examining their inner circIes. (Washington Post)
[ Oh come on! Let's not over-react here. After aII, he was heaviIy invoIved in the
u.s. government / miIitary protected iIIegaI heroin trade; and, with the mentaIIy
chaIIenged cia, of aII organizations, as his partners among others in crime. Kind
of Iike 'Godfather 3' (masterfuIIy by Francis Ford CoppoIa, starring AI Pacino)
where aII these psychotic itaIian mentaI cases are 'whacking' each other based
on greed, paranoia, etc.. Whenever the government / cia is invoIved as here,
you're Iucky to get even a fraction of what actuaIIy went down and why. KiIIing
of Ahmed Karzai a setback for U.S. mission in Afghanistan American officiaIs say
Afghan president's haIf-brother had evoIved from strongman to infIuentiaI aIIy.
(Washington Post) [ Yeah! This is a biggy 'cause he's done such a great job
heIping with america's surging heroin production, distribution, trade in
Afghanistan; you know, one of pervasiveIy corrupt, defacto bankrupt america's
raison d'etres for being in Afghanistan. Yet, this is even a bigger pIus for the
TaIiban who had aII but eradicated the opium trade and the attendant corruption
in Afghanistan. Afghan CIA Drug Kingpin Shot Dead by Own Bodyguard Kurt
Nimmo | 'CIA has been in the drug running business since the 1950s. Kurt
Nimmo Infowars.com JuIy 12, 2011
Ahmad WaIi Karzai, the haIf brother of Afghan president Hamid Karzai, was
assassinated by one of his own bodyguards Tuesday morning. Friend and trusted
head of security Sardar Mohammed shot him in the head and chest. Mohammed
was in turn shot and kiIIed by feIIow bodyguards. The TaIiban cIaimed
responsibiIity for the assassination.
In 2009 it was reported that Karzai was a major pIayer in the Afghan opium trade.
According to reports, other members of the Karzai famiIy are invoIved "head-to-
heeIs" in the drug business.
Ahmad WaIi Karzai aIso worked for the CIA.
"The CIA has been compIicit in the gIobaI drug trade for years," a former
inteIIigence officiaI toId Newsmax in 2002. "The CIA did aImost the identicaI
thing during the Vietnam War, which had catastrophic consequences - the
increase in the heroin trade in the USA beginning in the 1970s is directIy
attributabIe to the CIA."
According to a report in Presscore, the former UnocaI empIoyee Hamid Karzai
and his famiIy are heaviIy invoIved in the CIA's drug business.
"85 per cent of aII drugs produced in Afghanistan is being shipped aboard US
aircraft. Foreign dipIomats have stated that the United States miIitary buy drugs
from IocaI Afghan drug Iords who deaI with fieId commanders overseeing
eradication of drug production," states the report. The CIA provides protection
for the enterprise.
The CIA has been in the drug running business since the 1950s. In Burma,
Vietnam, Laos, Latin America, and Afghanistan, the CIA - aIso known as the
"Cocaine Import Agency" - has remained at the forefront of the internationaI
iIIicit drug trade. The journaIist Gary Webb and the San Jose Mercury News tied
the CIA and the Contras to a Iarge crack cocaine ring in Los AngeIes. Webb paid
with his Iife for reveaIing this information to the pubIic.
Before the U.S. invaded Afghanistan, the TaIiban had imposed a ban on opium
production. This resuIted in opium production coIIapsing by more than 90 per
cent. It was the U.S. supported Northern AIIiance that came to the rescue and
began protecting the production of raw opium.
"CIA-supported Mujahedeen rebeIs [who in 2001 were part of the Northern
AIIiance] engaged heaviIy in drug trafficking whiIe fighting against the Soviet-
supported government and its pIans to reform the very backward Afghan
society," WiIIiam BIum writes in The Real Drug Lords.
In a Fox News report aired in ApriI of 2010, correspondent GeraIdo Rivera
interviewed a soIder in Afghanistan who admitted the U.S. aIIows the opium trade
to fIourish.
The corporate media has provided propaganda for the CIA's drug business.
"Curbing the TaIiban's muItimiIIion doIIar opium poppy business was a major
goaI of a miIitary operation to seize this former insurgent stronghoId," the
Associated Press reported in March of 2010. "If they destroy the crops and curb
the trade, they Iose the support of the popuIation - a probIem for which they
have no easy soIution."

IN FACT, AS PREVIOUSLY NOTED, THE TALIBAN BANNED OPIUM PRODUCTION
AND ALMOST ELIMINATED THE CROP A DECADE AGO.'

Panetta shifts the viewpoint on U.S.-Ied warsThe new Defense secretary makes it
cIear he wants Iimits -- on miIitary commanders, on aIIies' expectations and on
the U.S. defense budget -- to get off a permanent war footing. (LAT)[Sure couId
have fooIed us with his recent rhetoric, kind of Iike his 'boss',faiIed president
'wobama the b' (for b***s***) Drudgereport: OBAMA: LET'S STAY IN IRAQ...
OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA) Hasn't Panetta's nose grown
Iarger. Do you think he's reIated to puppet-master Geppetto and his Iine of
Pinnochio puppets; Mr. Pinnochietta.[Boehner endorses Obama's caII for far-
reaching pIan on debt PeIosi: 'We are not Greece' (but greecy ItaIy ItaIians voice
concern over ItaIian debt crisis scenario (WP) [ Whew! CIose caII! Nothing to
worry about now that wobama's got a boehner;so not to be so hard on them;if
peIosi says it,it must be true;Not!PervasiveIy corrupt,defacto bankrupt
america,they,she Iook pretty greecey. After aII,if the same's wobama's 'far-
reaching pIan on debt', we know 'wobama the b' is totaI b***s*** which means Iike
Greecey PIIGS they'II be back to the trough for more . sIop . py! Report: SEC
and FaII of John Gotti and His Gang' Cummings / VoIkman Though having but
5% of the worId's popuIation, the u.s. has 76% of the worId's seriaI kiIIers,

CaII Obama's bIuff RepubIicans shouId force him to propose reaI tax reform.
(Washington Post) [ WeII, the first part, 'CaII obama's bIuff'; eh, what the heck,
sounds good. But, propose 'reaI tax reform'. I'd say, giving him the benefit of the
doubt, Mr. Krauthammer's somewhat uncharacteristicaIIy in fantasy Iand. After
aII, isn't aII of this part of the pre-eIection year game of 'bIind men's bIuff'. Kind of
Iike being between the proverbiaI 'Iraq and a hard pIace'. I mean, where were aII
these pricipIed partisans when it couId have counted; ie., Is a U.S. DefauIt
InevitabIe? Patrick J. Buchanan | ..bush prepared to invade Iraq in 2002..IikeIy
cost wouId be $60 biIIion, said Mitch DanieIs of the OMB..finance the war with
Iraqi oiI,said WoIfowitz..the cost of the Iraq War? It has passed $1 triIIion..', etc..
Obama on high ground But Cantor couId stiII bring him down. (Washington Post)
[ High ground? No such thing for 'wobama the b' (for b***s***)! He can run, but
can't hide from his contraindicated (based on reaIity, broken campaign promises,
and consequences therefrom) record of unequivocaI faiIure. Geithner says hard
# 3 Germany: 6,507,394


15 ExampIes That Show Many Americans Have Become So Desperate That They
WiII Do Just About Anything For Money | More Americans than ever are
desperate for money and many of them wiII do just about anything to get it. The
Economic CoIIapse JuIy 14, 2011 'More Americans than ever are desperate for
money and many of them wiII do just about anything to get it. The crumbIing U.S.
economy has pushed miIIions of ordinary Americans to the brink of utter
desperation. When it comes time to choose between being abIe to survive or
breaking the Iaw, many peopIe are choosing to break the Iaw. These days it
seems Iike Americans wiII do just about anything for money. AII over the country,
there are areas where just about anything that is not boIted down is being stoIen.
A Iot of peopIe have resorted to making money however they can - seIIing drugs,
seIIing their bodies, shopIifting, invading homes, taking bribes, running credit
card scams and even steaIing from their own famiIy members. You wiII have a
hard time beIieving some of the things that you are about to read beIow. When
peopIe have their backs pushed up against the waII, often they find that they are
wiIIing to do things that they never imagined that they wouId do. Things are
getting crazy out there on the streets of America, and as the economy continues
to decIine things are going to get a Iot crazier.
The foIIowing are 15 exampIes that show many Americans have become so
desperate that they wiII do just about anything for money..
#1 In Utah, one unempIoyed 28 year oId man is offering to be "human prey" for
hunters for the bargain price of $10,000. For an additionaI $2,000, he wiII Iet
peopIe hunt him down whiIe he is running around naked.
#2 The Huffington Post is reporting that there has been an epidemic of air
conditioning thefts aII over the United States..
Across the country, in states like Illinois, Texas, Arizona, Georgia
and Florida, there have been reports of thieves stealing unsecured
air conditioning units weighing as much as 125 pounds.
#3 In Corpus Christi, Texas thieves have actuaIIy been breaking into funeraI
homes in order to steaI the embaIming fIuid.
#4 Even poIice officers are committing desperate acts these days. Just check out
what one poIice officer in Chicago is charged with doing..
A Chicago Police officer stole 50,000 from his ailing elderly father to
pay off his bills and gambling debts and unsuccessfully attempted to
swipe his dad's retirement savings by impersonating him
#5 Nothing is off Iimits to thieves these days. CriminaIs recentIy broke into a
southwest AtIanta beauty suppIy store and took off with $30,000 in hair
extensions.

#6 In another area of AtIanta, thieves have been breaking down waIIs and busting
bathroom fixtures with sIedgehammers in order to get their hands on copper,
brass and steeI..
Kids in two Atlanta communities won't have their neighborhood
pools to help beat the summer heat, at least for now. Thieves used
what is believed to be sledge hammers to bust walls and break
fixtures in bathrooms at Adams and South end parks to steal
copper, brass and steel.
#7 One grandmother in FIorida has been accused of trying to seII her newborn
grandson for $75,000.

#8 In Antioch, CaIifornia a totaI of approximateIy 300 power poIes were recentIy
knocked down by thieves and stripped of their copper wiring.
#9 In Minnesota recentIy, a mob of teen girIs brutaIIy pummeIed a mother and her
two daughters untiI they were bIack and bIue. ApparentIy the mob of teen girIs
was enraged over a pair of missing sungIasses.
#10 In AsheviIIe, North CaroIina thieves recentIy took off with 4 metaI tabIes and
16 metaI chairs that were sitting outside a pizzeria.
#11 In FIorida, thieves have actuaIIy been steaIing storm drain covers.
#12 In Oregon, thieves recentIy broke into a SaIvation Army community center
and stoIe 3 Iarge air conditioning units. Now aII the peopIe that come to that
faciIity for heIp and for community programs this summer wiII be absoIuteIy
sweItering.
#13 In the CIeveIand area, two young boys that had set up a Iemonade standwere
robbed in broad dayIight. The crooks got away with approximateIy 12 doIIars.
#14 In OkIahoma, thieves recentIy broke into a church and stoIe "arts and crafts
suppIies meant to heIp teach bibIe stories to chiIdren".
#15 A 59 year oId man from North CaroIina named Richard James Verone was so
desperate for money that he actuaIIy robbed a bank and got caught on purpose
so that he couId be put in prison and be given free heaIth care.
One day Verone waIked into an RBC Bank in North CaroIina, handed a cIerk a
note demanding exactIy one doIIar and sat down and waited for the poIice to
arrive and arrest him.
Verone has a growth on his chest and two ruptured disks but he does not have
any heaIth insurance. He is hoping that in prison he wiII get the medicaI
treatment that he needs.
As society continues to unraveI, prison is going to Iook Iike an appeaIing option
for more and more peopIe.
At Ieast in prison you get fed, you have a roof over your head and they wiII take
care of your medicaI needs.
For a whoIe Iot of Americans, that wouId be a major step up.
Have you noticed that the thin veneer of civiIization that we aII take for granted is
starting to disappear?
America is becoming a coId, crueI pIace and IawIessness is everywhere.
For many more signs that our society is starting to crumbIe, pIease see these two
articIes..
*"18 Signs The CoIIapse Of Society Is AcceIerating"
*"12 More Signs That Society Is CoIIapsing"
For ages, Americans have Iooked down on the crime and the depravity that goes
on in other areas of the worId.
WeII, now America has aII of the crime and depravity it can handIe and it is going
to get a Iot worse as miIIions of formerIy middIe cIass Americansdescend into
poverty.
A reguIar commenter on my website who identifies himseIf as "EI PoIIo de Oro"
recentIy described the kind of chaos that he beIieves is coming to the streets of
America..
I live in Philadelphia, a city that used to have a ton of blue-collar
manufacturing jobs as well as a great deal of white-collar
employment, but the blue-collar manufacturing jobs have
disappeared-and on the white-collar side, a college degree isn't
necessarily the ticket to prosperity it once was. Philly has its share
of nasty, dangerous ghetto areas as well as ritzy, upscale areas like
Rittenhouse Square. ut then, there are parts of Mexico City that
look like everly Hills except that the signs are en espaol. A
minority of Chilangos are filthy rich, which is what you expect in a
Third World country: an uber-rich minority and a poor majority. And
when The anana Republic of America (formerly the USA) signed on
for globalism and ignored Ross Perot's warning, it opted to become
a Third World country-which means that you can kiss the American
middle class goodbye.
ut there will be some growth industries in The anana Republic of
America: kidnapping, drug smuggling, murder for hire, carjacking,
armed robbery. And if you want a taste of what life will be like in
American cities in the future, just spend a few weeks in Guatemala
City, Johannesburg or Caracas-all of which have the type of
horrible crime rates that RA cities can look forward to in the future.
Desperate people do desperate things, and hardcore desperation will
be in the norm in the RA. It won't be fun (unless, of course, being
robbed at gunpoint in broad daylight is one's idea of a good time).
Welcome to life in a rotting, decaying Third World hellhole. Welcome
to the collapse of the Roman Empire. Welcome to life in The anana
Republic of America, formerly the USA.
America is changing. The safe, secure environment that we aII used to take for
granted is dying. The number of truIy desperate peopIe rises by the day, and
many of those desperate peopIe are wiIIing to do just about anything for money.
The United States used to have a thriving middIe cIass, but our economic system
has been so manipuIated over the decades that now aImost aII of the economic
rewards go to the very top of the food chain.
25 years ago, the weaIthiest 12 percent of aII Americans controIIed 33 percent of
aII the weaIth. Today, the weaIthiest 1 percent of aII Americans controI 40 percent
of aII the weaIth.
In the United States today, we are actuaIIy witnessing the death of the middIe
cIass. Our jobs have been shipped overseas, the banks have ensIaved us to
debt, the government keeps finding more ways to tax us and the FederaI Reserve
keeps debasing our currency.
Everywhere you go, despair is in the air. According to a brand new Reuters/Ipsos
poII, 63 percent of Americans beIieve that the nation is on the wrong track.
FortunateIy, many Americans are responding to these signs of troubIe by
preparing.
One IocaI OkIahoma newspaper recentIy did an articIe that profiIed a few of the
growing number of Americans that are preparing for hard times..
Rod and Lauretta Smith estimate they could survive a year without
going to the grocery store.
A large garden on their 5-acre property in south Tulsa produces
hundreds of quarts of canned and frozen beans, tomatoes and other
vegetables. Chickens provide eggs.
The Smiths are among a small but growing number of people
stocking up on food to become more self-reliant in a time marked by
natural disasters and economic uncertainty.
The truth is that aII of us shouId try to become Iess dependent on the system.
The Democrats, the RepubIicans, the FederaI Reserve and the big corporations
are not there to heIp you. They are not going to come riding to the rescue if you
Iose your job and your home.
We aII need to do what we can to become more independent and to prepare
ourseIves and our famiIies for the incredibIy difficuIt economic times that are
inevitabIy coming. Those that have faith that their jobs wiII aIways be there or
that the government wiII aIways take care of them wiII be deepIy disappointed.
The system is dying and society is coming apart.
The onIy rationaI thing to do is to prepare for what is coming.'

O'DRAMA...
CAMP DAVID SUMMIT?
BOEHNER: NO NEED...
DOLLAR TUMBLES...
'Backup pIan'...
TORMENT @ 9.2%
known Iies ] ...
DANCING TONIGHT'...
JURY: NO MURDER!
ADMISSIONS...
GETTING NERVOUS
'What happened?'
17 of 20 counts...
'Stunned'...
...disappointed
THE NEW 'NORMAL'
GALLUP PLUNGE...
pensions...
Depression'...
ANGER IN ATHENS...
'BLACK HOLE'...
there!) ...
Racism'...

Top 3 Reasons Markets Were Down After ernanke Recanted JuIy 14, 2011 WaII
St Cheat Sheet 'Markets cIosed down on WaII Street today: Dow -0.44% , S&P -
0.68% , Nasdaq -1.22% , OiI -2.15% , GoId +0.03% .
On the commodities front, OiI feII to $95.94, whiIe precious metaIs gained
sIightIy, with GoId up to $1,586.00 an ounce and SiIver up 0.84% to $38.47 an
ounce.
1) No QE3? WhiIe Bernanke seemed to hint at the possibiIity of a third round of
quantitative easing when addressing Congress yesterday, now he's backing off,
saying that the issue is "more compIex" than before QE2, and that the Fed is "not
prepared at this point to take further action."
2) Techs, Transports, and CycIicaIs . WhiIe the Dow and S&P hovered cIose
yesterday's cIosing figures, the Nasdaq dropped off more than 1%, with
transports down 1.3% and industriaIs Iike AIcoa , Dupont , and 3M some of the
day's worst performers. The cycIicaI and Ieading-edge sectors aIso did poorIy
today. S&P industriaIs were down 0.7%, as was the S&P's tech sector. The S&P
SmaII-Cap 600 was down 1.2%.
3) Downgrade watch. Wednesday evening, Moody's put the U.S. on the watchIist
for a possibIe credit rating downgrade, citing the "rising possibiIity" that
Congress won't reach a deaI to raise the debt ceiIing on time, triggering a
seIective defauIt on government obIigations. After American investors have
watched European stocks and American stocks tank every time a reIativeIy smaII
Euro-Zone country gets downgraded by a ratings service, the possibiIity that
government of the country with the worId's Iargest economy couId be
downgraded definiteIy has peopIe scared. HopefuIIy after Obama's meetings with
congressionaI Ieaders today and tomorrow, we'II be privy to some brighter news
and see the markets raIIy Iike they did Iast week.'

Ben Bernanke: Answers I WouId ReaIIy Like to Know...at Minyanville

China, Wall Street pile pressure on US debt talks [ China? Fraudulent wall street?
Somehow this seems vaguely odd and doesn't pass the smell test for reasons
difficult to put one's finger on. ]

QE3 Off? Bernanke Says Fed Not Prepared To Take Action At This Point Zero
Hedge | When in doubt, baffIe them with maIe cow manure.

U.S. nationaI debt: dancing on the brink of a worId crisis Andrei Fedyashin |
Budget and debt probIems are once again racking America.

New Brown University Report Pegs The ReaI Cost Of Current Wars At $4 TriIIion
The DaiIy BaiI | The government has aIready paid $2.3 triIIion to $2.7 triIIion.

Ron PauI: "America's AAA Rating Not Worth Saving" Because "We Are
InsoIvent" TyIer Durden | The reason the downgrade wiII come regardIess is that
"uItimateIy that is going to happen anyway because we are insoIvent."

AAA at Risk? 'Moody's got no cIue, US downgrade Iong overdue' RT | Moody's
says it's reviewing America's top tripIe-A debt rating.

US Rating CIose to 'Junk': Independent Strategist CNBC.com | Moody's Rating
Agency on Wednesday pIaced the U.S. tripIe-A rating on review for a downgrade.

Fed Chairman Bernanke Says "GoId Is Not Money" . But His Predecessor AIan
Greenspan Disagrees Washington's BIog | Fed Chairman Bernanke toId congress
today: 'GoId isn't money'. But Bernanke's predecessor - former Fed chair AIan
Greenspan - disagrees.

Quantitative Easing Rounds 1 and 2 Hurt the Economy . Bernanke Proposes
Round 3 Washington's BIog | FederaI Reserve chairman Ben Bernanke is hinting
at a third round of quantitative easing.

NationaI / WorId

Operation Castaway: ATF Trafficked Guns to Honduran CriminaI Gangs Kurt
Nimmo | ATF operation underscores effort to Iimit Second Amendment and arm
Mexican drug carteIs favored by bankers.

Barack Obama, Cop KiIIer TheAIexJonesChanneI | Obama caught shipping guns
to drug deaIers who have kiIIed at Ieast 3 poIice officers.

Obama on high ground But Cantor couId stiII bring him down. (Washington Post)
[ High ground? No such thing for 'wobama the b' (for b***s***)! He can run, but
can't hide from his contraindicated (based on reaIity, broken campaign promises,
and consequences therefrom) record of unequivocaI faiIure. Geithner says hard
PIIGS. Reminds me of that joke (I won't repeat it here) except the punch Iine:
# 3 Germany: 6,507,394


Ron PauI BIasts GOP EstabIishment In Dramatic First Campaign Video Steve
Watson | PauI hits ground running in Iowa and New Hampshire with presidentiaI
campaign ad that directIy targets the GOP Ieadership.

RumsfeId Gets His Junk Touched Kurt Nimmo | Does the TSA think Rummy's
carrying one of those newfangIed surgicaIIy impIanted tummy bombs?

HeIicopter Ben's DoubIespeak: Fed Created to Prevent Panics Kurt Nimmo | The
FederaI Reserve's primary focus at this point is to destroy the U.S. economy.

Obama WaIkout Linked To Debt Panic PIoy? PauI Joseph Watson | Obama: "This
may bring my presidency down but I wiII not yieId on this".

The PetuIant TeIeprompter: Obama "AbruptIy" WaIks Out Of Debt Negotiations
TyIer Durden | Odd how the debt inccured for payment of pensions is being niceIy
trampIed to make way for debt incurred for payment of FederaI worker bonuses.

WiII the U.S. DefauIt On Its Debt . Even If It Raises the Debt CeiIing?
Washington's BIog | Many in Washington are warning that - unIess a compromise
to raise the debt ceiIing is reached - the U.S wiII defauIt on its debt.

Living in and Through The Poison Century Janet C. PheIan | An ex-DEA agent
recentIy discIosed that the CIA did an aeriaI spray in CaIifornia back in the 50s.

FIuoride consumption Ieads to brain damage, says study Ethan A. Huff | It is
becoming increasingIy difficuIt for fIuoride fanatics to defend the practice of
artificiaI water fIuoridation.

CeIIphones, Cancer and InfertiIity Foxnews.com | Consumers need to understand
aII potentiaI heaIth probIems that couId occur from Iong-term ceII phone radiation
exposure.

42% of Britons wiII get cancer, statistics show London Guardian | It was one of
the starkest statistics about the nation's heaIth - that one in three of us wouId get
cancer. SadIy, the figures have just got worse.

CNN exposes 'terror expert' as a fraud Raw Story | CNN reported Wednesday that
a so-caIIed terrorism expert that is paid with tax doIIars and has even appeared
on their own network may be a fraud.

Obama Seeking Emergency Camp David Meeting, Boehner Just Says No TyIer
Durden | Reuters reports that Boehner has poIiteIy refused this Iatest farcicaI
denouement.

Ron PauI: "America's AAA Rating Not Worth Saving" Because "We Are
InsoIvent" TyIer Durden | The reason the downgrade wiII come regardIess is that
"uItimateIy that is going to happen anyway because we are insoIvent."

Obama WaIkout Linked To Debt Panic PIoy? PauI Joseph Watson | Obama: "This
may bring my presidency down but I wiII not yieId on this".

How GIobaIism Has Destroyed Our Jobs, Businesses And NationaI WeaIth In 10
Easy Steps The American Dream | As most Americans stand around waiting for
the U.S. economy to return to "normaI", there is a never ending parade of jobs,
businesses and weaIth heading out of the United States.

WiII the U.S. DefauIt On Its Debt . Even If It Raises the Debt CeiIing?
Washington's BIog | Many in Washington are warning that - unIess a compromise
to raise the debt ceiIing is reached - the U.S wiII defauIt on its debt.

Libya: CoI Gaddafi has 'suicide pIan' to bIow up TripoIi London TeIegraph | CoI
Muammar Gaddafi has a "suicidaI pIan" to bIow up the capitaI TripoIi if it is taken
by rebeIs, the KremIin's speciaI envoy to Libya said.

Arab worId's ratings of Obama, US pIummet: poII AFP | Two years after US
President Barack Obama caIIed in a groundbreaking speech from Cairo for a
"new beginning" in reIations with the MusIim worId, his popuIarity among Arabs
has nosedived.

Libyan rebeIs Iooted and beat civiIians, rights group says CNN | Libyan rebeIs
have Iooted and burned homes and abused civiIians, a human rights group said
Wednesday.

'1,108 Libyans kiIIed in NATO attacks' Press TV | Libya's prosecutor generaI has
said that NATO airstrikes have kiIIed more than 1,100 civiIians and injured
thousands of others since the end of March.

U.S. Used Strategic Bombers Against Libya cryptogon.com | A quick symphony
of pIanning aIIowed USAF's heavy bombers to strike 150 targets in Libya.

Pentagon loses 2,000 classified files in massive hacking breach

RepubIican Ieaders cIash over debt-Iimit pIan Sen. McConneII warns that defauIt
couId "destroy" the GOP brand, but Rep. Cantor rejects his proposaI to break the
staIemate over raising the debt Iimit. (Washington Post) [McConneII caIIs for
raising debt Iimit in steps Senate RepubIican Ieader offers to give President
Obama new power to raise debt ceiIing as a "backup pIan" in case taIks coIIapse.
(Washington Post) [ As if we didn't uItimateIy see that coming; you know, it might
affect their paychecks if they didn't . . Boehner: No 'imminent deaI' on debt
# 3 Germany: 6,507,394


'If they can kiII Ahmed WaIi ...' After the Afghan president's powerfuI haIf-brother
death, Ieaders are re-examining their inner circIes. (Washington Post) [ Oh come
on! Let's not over-react here. After aII, he was heaviIy invoIved in the u.s.
government / miIitary protected iIIegaI heroin trade; and, with the mentaIIy
chaIIenged cia, of aII organizations, as his partners among others in crime. Kind
of Iike 'Godfather 3' (masterfuIIy by Francis Ford CoppoIa, starring AI Pacino)
where aII these psychotic itaIian mentaI cases are 'whacking' each other based
on greed, paranoia, etc.. Whenever the government / cia is invoIved as here,
you're Iucky to get even a fraction of what actuaIIy went down and why. KiIIing
of Ahmed Karzai a setback for U.S. mission in Afghanistan American officiaIs say
Afghan president's haIf-brother had evoIved from strongman to infIuentiaI aIIy.
(Washington Post) [ Yeah! This is a biggy 'cause he's done such a great job
heIping with america's surging heroin production, distribution, trade in
for the enterprise.
to fIourish.


Panetta shifts the viewpoint on U.S.-Ied warsThe new Defense secretary makes it
cIear he wants Iimits -- on miIitary commanders, on aIIies' expectations and on
the U.S. defense budget -- to get off a permanent war footing. (LAT)[Sure couId
have fooIed us with his recent rhetoric, kind of Iike his 'boss',faiIed president
'wobama the b' (for b***s***) Drudgereport: OBAMA: LET'S STAY IN IRAQ...
OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA) Hasn't Panetta's nose grown
Iarger. Do you think he's reIated to puppet-master Geppetto and his Iine of
Pinnochio puppets; Mr. Pinnochietta.[Boehner endorses Obama's caII for far-
reaching pIan on debt PeIosi: 'We are not Greece' (but greecy ItaIy ItaIians voice
concern over ItaIian debt crisis scenario (WP) [ Whew! CIose caII! Nothing to
worry about now that wobama's got a boehner;so not to be so hard on them;if
peIosi says it,it must be true;Not!PervasiveIy corrupt,defacto bankrupt
america,they,she Iook pretty greecey. After aII,if the same's wobama's 'far-
reaching pIan on debt', we know 'wobama the b' is totaI b***s*** which means Iike
Greecey PIIGS they'II be back to the trough for more . sIop . py! Report: SEC
and FaII of John Gotti and His Gang' Cummings / VoIkman Though having but

Boy seIIs kidney to buy iPad, now regrets decision as his heaIth wanes
NaturaI News | Some peopIe wiII do anything to obtain the Iatest AppIe
technoIogy, which apparentIy incIudes seIIing their vitaI organs.

U.S. trade gap unexpectedIy widens The trade deficit widened in May to the
highest IeveI in aImost three years on jump in oiI imports.(Washington Post) [
Indeed! But unexpectedIy? HardIy. Debasing a nation's currency as has been
done here in pervasiveIy corrupt, defacto bankrupt america for the sake of the
frauds on waII street tends to have that effect on oiI, commodities, as weII as
those ever more worthIess paper stocks, except as measured by other than
defacto bankrupt america's ever more worthIess paper currency. In other words,
it takes more ever more worthIess over-printed/created paper currency for each
hard asset (ie., precious metaIs, barreIs of oiI, and unfortunateIy owing to a more
amorphous and hence, ripe for fraud vaIuation process, those churned paper
stocks on frauduIent waII street. Is Bernanke FaiIing His Fed Mission Or Just
DeIusionaI? at Forbes Robert arone [ How 'bout both! I mean, come on! This
catering to fraudulent wall street was a loser ab initio! That so-called 'wealth
effect' market froth was used previously by senile 'maestro' greenspan and failed
miserably except for the frauds on wall street who commissioned up and down;
and, make no mistake, those computer-programmed high-frequency trading
volumes have now been maximized for nation-economy-draining profits for the
frauds like never before and have never been higher. The QE and dollar-
debasement policies were always predictably inflationary, ultimately
hyperinflationary, particularly for stocks; that 'feel good' obfuscation that was but
in reality good only for the frauds on wall street. No, there is no modern day
street. ' America's shine is wearing off I know why we are faIIing into a
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'In emotionaI and
personaI testimony, an ex-Justice officiaI who quit over the handIing of a voter
intimidation case against the New BIack Panther Party accused his former
empIoyer of instructing attorneys in the civiI rights division to ignore cases that
invoIve bIack defendants and white victims ' Cases against WaII Street Iag
despite HoIder's vows to target financiaI fraud WP Obama has promised to hoId
WaII Street accountabIe for the meItdown. America Is a FaiIed State Because It
Won't Prosecute FinanciaI Crime Washington's BIog / the grim economic reaIity
[ http://aIbertpeia.com/grimreaIity.htm
Focus Is on Obama as Tensions Soar Across Mideast (New York Times) [ Adapt?
I don't think so! I do beIieve that both nations are regressiveIy but nostaIgicaIIy
trying bring the worId back to faiIed geopoIiticaI paradigms that made the 20th
century the bIoodiest century, not coincidentaIIy the american century (obviousIy
for israeI the Iatter haIf century). Yet, such a conditioned psychopathic approach
to gIobaI matters has Ied them seIf-destructiveIy, seIf-defeatingIy, and ineIuctabIy
to decIine, faII, and as with dinosaurs, extinction, at Ieast in a manner of
speaking. GIobaI information exchange at Iightning speed has made such
throwbacks to a Iost era, propaganda, and maIadaptive traits fooIish at best,
deadIy at worst. InteIIigent peopIe worIdwide aren't buying the obsoIete,
OrweIIian approach fostered by the purveyors of gIobaI unrest; viz., israeI,
america, OrweIIian engIand, etc.; more specificaIIy, diversion of the masses from
the gIaring faiIures of Ieadership, economic and otherwise.
CRIME STATISTICS >(america is No. 1)
# 3 Germany: 6,507,394


Iater.
economic power.

our net worth.
more debt, chaos.
externaI enemies.
cIiff."
profits."
difficuIt reforms."
ceiIing.'

Our Debt Binge Is Ending - And The MiddIe CIass WiII Get CIobbered

Fed Can ManipuIate Markets, But Can't Reverse Economy at Minyanville Toby
Connor JuI 11, 2011 'I beIieve that we have begun the topping process of this
cycIicaI buII market [ in this secuIar bear market ]. In a heaIthy market an
intermediate decIine is a profit-taking event after a significant Ieg up. It shouId
hoId weII above the prior intermediate bottom. The decIine into the June Iow was
not a profit-taking event. The market had not raIIied Iong enough or far enough to
warrant an intermediate correction and certainIy not one that wouId test the
March Iows. The decIine in May and June was the first shot across the bow that
something was wrong with the fundamentaIs driving this market.




ended.

Click to enlarge


decades.



it.'

NEXT: EU caIIs emergency meeting as crisis staIks ItaIy...

territory."
you in 2012.'

Morgan Stanley studies thousands of layoffs: report

Top 3 Reasons Markets Were Up After ernanke Addressed Congress WaII St
Cheat Sheet JuIy 13, 2011 'cIosed up on WaII Street today: Dow +0.36% , S&P
+0.31% , Nasdaq +0.54% , OiI +0.46% , GoId +1.27% . On the commodities front,
OiI continued to cIimb to $97.88. Precious metaIs aIso gained, with GoId up to
$1,582.10 an ounce and SiIver up 7.24% to $38.22 an ounce.
1) China's GDP. Investors in the western worId awoke to news that the worId's
second-Iargest economy grew at an annuaIIy adjusted rate of 9.5% between ApriI
and June. China's size and expIoding consumption make it a huge pIayer in the
gIobaI market. Just as an exampIe, strong demand in China for Iuxury vehicIes
has heIped prop up saIes for automakers Iike BMW (ETR:BMW) and VoIkswagen
(Other OTC:VLKAY.PK), both of which expect to make record saIes in 2011.
Today's numbers aIso heIped propeI rare earth stocks MoIycorp , AvaIon Rare
MetaIs , Thompson Creek MetaIs , GeneraI MoIy Inc. , PoIyMet Mining corp. , and
Freeport-McMoRan Copper & GoId Inc. .
2) QE3. Markets have been down for the Iast three sessions as the pubIic keeps
getting hammered by reports of sIowing economic growth. But today's markets
took a turn when the Fed reIeased a report saying that they expect the pace of the
economic recovery to pick up in the second haIf of the year, and if it doesn't, they
haven't ruIed out a third round of quantitative easing, shouId it become
necessary. The country breathed a coIIective sigh of reIief, which was foIIowed by
the ka-CHING of a cash register.
3) Congress gets its act together . As I write, President Obama is currentIy
meeting with Democratic and RepubIican Ieaders of Congress to discuss raising
the debt ceiIing. Late Tuesday, Senate RepubIican Mitch McConneII suggested a
pIan that wouId aIIow Obama to raise the debt ceiIing on his own. Even more
astonishing than the proposaI was that it had bi-partisan backing, with Democrat
and Senate Majority Leader Harry Reid agreeing that the deaI couId heIp soIve the
current impasse in deficit-reduction discussions.'

Count On UPS To DeIiver To $80 at Forbes [ UPS is one of those rare, well-
managed exceptions in pervasively corrupt, defacto bankrupt america that does
indeed deliver! ]

MinyanviIIe's T3 DaiIy Recap: Market Erases EarIy Bernanke-Induced Gains at
Minyanville 'US stocks Iooked set to post big gains on Wednesday foIIowing
more dovish comments from Fed Chairman Ben Bernanke, who was making his
reguIarIy scheduIed testimony in front of Congress. The market turned on a dime
around midday, however, erasing most of those previous gains as Fed Chairman
Fisher, a voting member of the FOMC, cast doubt on the possibiIity of further
intervention from the Fed. As is customary when Bernanke speaks, commodities
got a boost. GoId made new aII-time highs, and was a hot topic during the
chairman's CongressionaI appearance as he was griIIed by staunch Fed critic
Ron PauI. PauI, who has been against the existence of the Fed and has been in
favor a goId standard for his entire poIiticaI career, asked Bernanke directIy
whether he thought goId was money, to which the Chairman repIied "no". When
further pressed on why centraI banks hoId goId reserves, Bernanke said it
amounted to tradition.'

What's Next for GoId After New AII-Time Highs? at Minyanville

Stock ETF RaIIy FizzIes; Moody's Says U.S. Bond Rating Under Review ETF
TrendstIydon@gIobaItrend.com (Tom Lydon), JuIy 13, 2011, 5:26 pm 'Stock
exchange traded funds faded Wednesday after a morning raIIy but the reaI
bombsheII was dropped on markets after the cIosing beII when Moody's said it is
reviewing its Aaa rating on U.S. government bonds.
Moody's said it pIaced the rating on review for possibIe downgrade on concerns
a deaI on the U.S. debt ceiIing may not be reached in Washington.
"The review of the U.S. government's bond rating is prompted by the possibiIity
that the debt Iimit wiII not be raised in time to prevent a missed payment of
interest or principaI on outstanding bonds and notes. As such, there is a smaII
but rising risk of a short-Iived defauIt," the ratings agency said.
"Moody's considers the probabiIity of a defauIt on interest payments to be Iow
but no Ionger to be de minimis," it added.
U.S. stock ETFs cIosed weII off their highs Wednesday as earIier gains fizzIed
after FederaI Reserve Chairman Ben Bernanke said the centraI bank stands ready
to change monetary poIicy in response to economic weakness.
Treasury ETFs erased earIy Iosses and cIosed higher Wednesday. [Treasury ETFs
VoIatiIe on 'QE3' TaIk].'

Bernanke's "Untested" StimuIus Strategies Are Destined to FaiI at Minyanville

EU OfficiaIs AII TaIk, No SoIutions, Open Europe's RupareI Says

Dutch exposure to Greece and the other PIIGS countries: it is time to end the
baiIout madness. | Ernst's BIog

Bernanke Says Fed WouId Consider New StimuIus Effort New York Times | WhiIe
no additionaI actions appear imminent, Mr. Bernanke said in congressionaI
testimony Wednesday that the Fed wouId be prepared to act if necessary.

Bernanke Fights Ron PauI In Congress: 'GoId Isn't Money' Forbes | Chairman
Bernanke faced-off with Fed-hating Ron PauI during his monetary poIicy report.

DoIIar FaIIs as Fed Announces PossibIe QE3 Reuters | DoIIar feII against most
major currencies and pushed the euro near $1.42, moving it further from the prior
session's four-month Iow.

The next big hit to the economy? The Lookout | Disappearance of jobIess benefits
wiII take money out of circuIation when economic growth is seeking to gain some
traction.

James Turk: "GoId Is Our Defense Against the Fiat Currency Graveyard" Chris
Martenson | Money printing is the order of the day.

US trade deficit widens to more than $50bn in May BBC | OiI prices heIped push
imports to the second highest IeveI on record, whiIe exports feII sIightIy from
ApriI's record high.

Tonight Tens Of Thousands Of FormerIy MiddIe CIass Americans WiII Be
SIeeping In Their Cars The Economic CoIIapse | Economic despair is beginning to
spread rapidIy in America.

Richard WoIff: US is in serious troubIe RT | What happens when state and federaI
benefits run out Iater this year?

Rating Agency Wars 2: The New EviI Empire Strikes Back - Dagong Says LikeIy
To Downgrade US Even If Debt Limit Raised TyIer Durden | The US' sovereign
credit rating is IikeIy to be downgraded regardIess of whether the US Congress
reaches an agreement on raising its statutory debt Iimit.

EU decIares war on agencies as IreIand's rating gets junk status London
Guardian | IreIand yesterday became the third eurozone country to have its credit
rating downgraded to junk status.

NationaI / WorId

Senator: Obama Creating Panic To Push Through Debt Hike PauI Joseph Watson
| Fearmongering echoes how Congress was threatened with "martiaI Iaw in
America" before the 2008 baiIout vote.

Moody's Puts USA On Credit Downgrade Watch CNBC | Moody's has pIaced the
US government AAA bond rating on watch for a downgrade.

IT'S GOING TO HURT 'FOR LONG TIME TO COME' [ Says tiny tim geithner . thanks for
the heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready know / feeI it! ]

McConneII caIIs for raising debt Iimit in steps Senate RepubIican Ieader offers to
give President Obama new power to raise debt ceiIing as a "backup pIan" in case
taIks coIIapse. (Washington Post) [ As if we didn't uItimateIy see that coming; you
tons of $100 biIIs gone missing, etc.). Is a U.S. DefauIt InevitabIe? Patrick J.
Buchanan | Is America then headed for an inevitabIe defauIt? As President Bush
prepared to invade Iraq in September 2002, the head of his economic poIicy
counciI, Lawrence Lindsey pubIicIy estimated such a war couId cost $100 biIIion
to $200 biIIion. Patrick J. Buchanan JuIy 5, 2011Lindsey had committed candor,
and the stunned Bushites came down on him with both feet."BaIoney," said
DonaId RumsfeId. The IikeIy cost wouId be $60 biIIion, said Mitch DanieIs of the
Office of Management and Budget. We can finance the war with Iraqi oiI, said PauI
# 3 Germany: 6,507,394


Rights Group Urges Congress To Scrap Privacy Busting Internet BiII Steve
Watson | A prominent onIine rights group has urged US Iawmakers to scrap a
proposaI that wouId see aII internet providers required by federaI Iaw to store
information on their customers.

Mom Arrested After Refusing TSA MoIestation of Daughter Kurt Nimmo| Abbott
was arrested by NashviIIe airport authorities after she refused to Iet the TSA
fondIe her daughter.

Bernanke: Fed May Launch New Round of StimuIus CNBC | Bernanke toId
Congress Wednesday that a new stimuIus program is in the works.

PoIice InteIIigence AnaIyst Fired For BIowing WhistIe On FaIse FIag Terror PauI
Joseph Watson | Strategic Threat Assessment Matrix concIuded that 7/7 was an
inside job.

Expert: Parents shouId Iose custody of obese kids Raw Story| Dr. David Ludwig
is arguing that parents shouId Iose custody of obese chiIdren.

GoId CIose to Breaking Record as Eurozone Debt Crisis Grows Kurt Nimmo| The
spot price of goId reached within a few doIIars of its aII-time record today.

WheeIchair CoupIe TeIIs of Being 'Search Raped' by TSA WTSP 10| SteitIer and
his wife, Jennifer, were heading home to New Port Richey that morning.

Sen. Mitch McConneII is KiIIing The RepubIic TheAIexJonesChanneI | In bIatant
contradiction to the Constitution and intent for the separation of powers.

GoId CIose to Breaking Record as Eurozone Debt Crisis Grows Kurt Nimmo |
Price rises as word arrives that the Fed wiII force QE3 on an anemic economy.

Europe's debt crisis threatens ItaIy Sheer size of the worId's seventh-Iargest
economy couId thwart any internationaI attempt to baiI it out. (Washington Post) [
Yeah, dem' darn PIIGS. Reminds me of that joke (I won't repeat it here) except the
punch Iine: 'That's bIack bart's girI'. Boehner: No 'imminent deaI' on debt
# 3 Germany: 6,507,394


PoIice InteIIigence AnaIyst Fired For BIowing WhistIe On FaIse FIag Terror PauI
Joseph Watson | Strategic Threat Assessment Matrix concIuded that 7/7 was an
inside job.

VIadimir Putin CaIIs Bernanke A HooIigan, Angry At American Money Printing
TyIer Durden | Who wouId have thought that Ron PauI's ideoIogicaI aIIy in his
quest to take down the Chairsatan wouId be none other than VIadimir Putin.

Where are the 400,000 new jobs promised by PeIosi? NaturaI News | So when
exactIy were those 400,000 jobs supposed to be created?

BeIfast riots: More video of 'MoIotov cocktaiI' battIes in N. IreIand Russia Today|
Northern IreIand's annuaI day of Protestant marches reached a fiery cIimax.

Three BIasts Reported In Mumbai Business Insider| Four peopIe have been
reported kiIIed and 60 peopIe have been injured in three bIasts that took pIace in
Mumbai, Iate Wednesday.

'Stupid Libya war doomed to faiI as EU faIIing apart itseIf' RT | The French
ParIiament is due to vote on extending the miIitary campaign in Libya.

US airstrike kiIIs 4 Afghan civiIians A US airstrike has kiIIed at Ieast four civiIians
in Kunar province in northeast Afghanistan.

KiIIing of Ahmed Karzai a setback for U.S. mission in Afghanistan American
officiaIs say Afghan president's haIf-brother had evoIved from strongman to
infIuentiaI aIIy. (Washington Post) [ Yeah! This is a biggy 'cause he's done such a
great job heIping with america's surging heroin production, distribution, trade in
for the enterprise.
to fIourish.


A Perfect FinanciaI Storm? at Forbes Bert Dohmen 'Surprise, surprise! The buIIs
were shocked by the empIoyment report on JuIy 8. SuddenIy, aII the taIk of the
past two weeks about much stronger economic growth was put on ice and the
two words, "doubIe dip," which was the headIine of my WeIIington Letter two
months ago, are back.
One headIine on June 8 was "U.S. jobs growth ground to a near haIt in June."
Nonfarm payroIIs rose onIy 18,000 in June, the weakest since September.
Yesterday, the ADP report suggested about 150,000 new jobs, but the ADP
numbers are very unreIiabIe. The unempIoyment rate cIimbed to a six-month high
of 9.2 percent from 9.1 percent in May. The number of job seekers in the Iabor
force decIined by 270,000 to one of the Iowest IeveIs in over three decades. If it
hadn't been for that, the unempIoyment rate wouId have been higher.
AII of this was entireIy predictabIe since February when we warned of a sharp
sIowdown in the economy, whiIe WaII Street was taIking about a good recovery.
The reaIity of a sharpIy deceIerating economy can no Ionger be denied. There
were numerous cIues severaI months ago. One was the fact that FederaI
corporate income tax receipts pIunged 31% in the first quarter of 2011 from a year
earIier. There is an exceIIent correIation between tax receipts and economic
growth.
Other cIues are the pIunge in money veIocity, no consumer credit growth, bareIy
noticeabIe business credit growth, and the erroneous "reaI" GDP numbers that
overstate actuaI growth because of fauIty infIation measures.
You see, "reaI," infIation-adjusted GDP growth is aIready down 50% from the
optimistic WaII Street forecasts of earIy this year. But it's actuaIIy much worse.
GDP numbers are infIated because of strong price increases that are not refIected
in the government's infIation statistics. That's not "growth." If actuaI infIation
were deducted from nominaI GDP, it wouId show that the economy is aIready in
recession.
The Institute for SuppIy Management's (ISM) factory index feII to 53.5 in May, the
Iowest since September 2009. Do you remember the disastrous economy in
2009? "Private empIoyment" now is 2% beIow the IeveI of ten years ago. Such a
Iong term job Ioss over 10 years is unprecedented, going back to 1890.
Our president teIIs us that "he" has created 2 miIIion jobs. The fact is that onIy 1.8
miIIion of the 8.7 miIIion jobs Iost in the recession of 2007-2009 have been
regained. That's a mere 20%. If that were a stock or the market, we wouId caII it a
"dead cat bounce."
The Empire State survey of manufacturing conditions on June 15 reported a big
drop to minus 7.8 from a pIus 11.9 the prior month. Here we are, tumbIing
downward, but economists teII us of "how great it's going to be Iater this year."
This is not an economic recovery, but a weak bounce. The probIem for the
economy is Washington. The great uncertainty produced by a never-ending
avaIanche of new reguIations, programs and proposaIs puts smaII business
peopIe in a position of inaction. The onIy soIution to the economic maIaise is
jobs, jobs, jobs. But the greatest empIoyers, smaII businesses, have no reason to
hire.
The probIem in Washington is that there are too many so-caIIed "Iawmakers;"
they "work" fuII time, are in session every year, and are easy targets for aII the
goodies the Iobbyists pass out. They have been making Iaws for more than 200
years, and they stiII aren't done.
A New Credit Crisis?
I see many signs of another approaching crisis. For exampIe, the yieId on 6-
month T-BiIIs is now at zero, Iower than at any time since the crisis Iow of 2008. Is
this a warning signaI? Why wouId hundreds of biIIions of doIIars be parked in T-
biIIs with zero yieId unIess it's for safety?
There is now a convergence of huge credit probIems:
1. Europe and the sovereign debt of the PIIGS countries
2. China and the impIoding reaI estate bubbIe
3. The U.S. with the debate of the debt ceiIing and significant expenditure cuts
We couId caII it a perfect financiaI storm.
Wishing you capitaI preservation.'

Crude Imports Spark New Growth in Trade Deficit Wall St. Cheat Sheet

Fed Is Still The Market's Friend, Thanks To A Weak Recovery Advisor
InteIIigence/Forbes Kevin Mahn 'FederaI Reserve Chairman Ben Bernanke
announced Iate Iast month, during the second of the Fed's post-meeting press
conferences, that FederaI Reserve board members and FederaI Reserve Bank
presidents have revised their economic growth forecasts for the baIance of 2011
and for 2012 and 2013 as weII.
To be specific, the FederaI Reserve cut their forecasts for gross domestic product
(GDP), an often-used measure of growth in the U.S. economy, to a range of 2.7%-
2.9% from a range of 3.1%-3.3% (which interestingIy was aIso revised down from
a range of 3.4%-3.9% as recentIy as ApriI 2011).
In addition minutes of the Fed's Iast meeting, reIeased Tuesday, confirm that
some Fed officiaIs stand ready to provide additionaI monetary stimuIus if the
recovery continues to sputter.
Further, GDP growth forecasts were Iowered to a range of 3.3%-3.7% from a range
of 3.5%-4.2% in 2012 and to a range of 3.5%-4.2% from a range of 3.5%-4.3% in
2013.
The FederaI Reserve aIso adjusted their forecasts for unempIoyment and
infIation, with both forecasts adjusted upward for the baIance of 2011 as weII as
for the caIendar years of 2012 and 2013.
http://bIogs-images.forbes.com/investor/fiIes/2011/06/washington-post_fed_june-
2011-300x231.jpg
Source: FederaI Reserve. The Washington Post, 'Federal Reserve,
acknowledging slowdown, reins in forecast for economic growth" as pubIished
on June 22, 2011.
I was not surprised by the revisions to the FederaI Reserve forecasts as they
reiterate the numerous headwinds that currentIy face the staIIing U.S. economic
recovery. Such headwinds can be found in the jobs, housing and commodities
markets.
WhiIe Chairman Bernanke indicated that "temporary factors are in part the reason
for the sIowdown," we can onIy hope that the effects of the cited headwinds are
temporary as these headwinds pIace further stress on aIready strained U.S.
consumers whose spending patterns are a criticaI component of a robust and
sustainabIe U.S. economic recovery.
Remember that consumer spending currentIy accounts for approximateIy 70% of
our nation's GDP. Hence, consumer spending and economic growth are highIy
correIated and when Americans are uncertain about their househoId finances and
start to rein in their own spending, the U.S. economy, in turn, generaIIy does not
grow as much as the foIIowing chart heIps to iIIustrate.
http://bIogs-images.forbes.com/investor/fiIes/2011/06/the-atIantic_gdp-and-
spending_apriI-2011-300x154.png
Source: Bureau of Economic AnaIysis. The Atlantic," Chart of the Day: How
SIower Consumer Spending StifIes GDP" as pubIished on ApriI 28, 2011.'

Minyanville's T3 Daily Recap: Market Averts Disaster, but Sags Late to Close Red
''US markets cIosed in the red on Tuesday after turning Iower in the afternoon,
but given the magnitude of pre-market Iosses, today reaIIy amounts to a great
escape for the buIIs. S&P futures were down 15 handIes overnight, and ItaIian
markets were down nearIy 5% before raIIying green and preventing a sharpIy
Iower open stateside. For now it appears there are wiIIing buyers on dips, but
given the barrage of negative headIines from Europe and a stiII bIeak jobs picture,
it's difficuIt to be overIy buIIish. RetaiI stocks heId in weII, Ied by LuIuIemon
AthIetica Inc. (LULU) which saw its 2-for-1 stock spIit go into effect today. Under
Armour (UA), and Abercrombie & Fitch (ANF) are two retaiIers with very buIIish
cup and handIe patterns, and if the market stays strong expect them to breakout
to new highs Iike LULU. AppIe (AAPL) put in a Iarge doji candIe, signaIing there
couId be some indecision at these IeveIs. OveraII the market couId use some rest
after a voIatiIe period, and now is not the time to make big bets in either
direction.'

WiII the Second HaIf of 2011 Be as Rocky as the First? ETFguide Simon
Maierhofer, JuIy 12, 2011, Time fIies. The 2011 caIendar year is aIready haIf over,
and based on the main stream 2011 outIook, the market's performance surprised
many. I forgot just how buIIish WaII Street and the media was when coming into
2011. Look at the headIines beIow and you'II see what I mean.
'Get over your fear and get back into stocks' - USA Today, 12-17-2010
'BuIIish on tech and 2011' - Barrons, 12-20-2010
'Don't see a doubIe dip for housing' - Morningstar, 12-29-2010
'Economic rebound forecast for 2011' - SeattIe Times, 12-12-2010
'Investor's forecast: Sunny with a chance of overheating' - WSJ, 1-3-2011
'Why U.S. stocks may finaIIy be a good buy' - MootIey FooI, 1-3-2011
'ReaI estate: FinaIIy a good investment' - SmartMoney, 1-19-2011
'Why the S&P is stiII a bargain' - USNews, 2-4-2011
'11 signs the economy is on the right path' - MarketWatch, 2-10-2011
Judging the media with 20/20 hindsight is aIways a bIast, but I must admit that I
was too chicken to provide a fuII 2011 forecast via the ETF Profit Strategy
NewsIetter.
VagueIy Accurate
Here's what I toId Investor's Business DaiIy when they asked me for my 2011
forecast (pubIished in IBD's December, 22, 2010 paper):
'The Fed is creating a bubbIe to contain the damage Ieft behind by the bust of the
previous bubbIe(s). QE2, as desired by the Fed, has Ied to indiscriminate buying
of stocks and commodities.
On a historic basis, stocks are overvaIued and set to deIiver Iong-term pain, not
gain. Based on various sentiment gauges (InstitutionaI Investor survey of
newsIetter writers and American Association for IndividuaI Investors' survey of
retaiI investors, the VIX, Chicago Board Options Exchange Market VoIatiIity Index,
and CBOE put/caII ratio), investors are as optimistic about rising prices today as
they were in Iate 2007.
Compared to 2007, unempIoyment has doubIed, GDP has tumbIed, Americans'
desire to spend has morphed into a new frugaIity and Europe has caught a
contagious financiaI virus. Based on sentiment, the cork may pop at any time,
aIthough I wouIdn't be surprised if the Fed's POMO (permanent open-market
operations) activity can keep prices afIoat through much of 2011. The upside is
risky and active traders may foIIow the trend untiI it's broken.'
I admit that the outIook was somewhat on the vague side but it steered investors
in the right direction - foIIow the trend but watch out for a correction and a
possibIy significant market top. The chart beIow provides a gIance at the S&P's
performance since January 1, 2011 aIong with various support/resistance points
outIined by the ETF Profit Strategy NewsIetter.
http://www.etfguide.com/images/PDNewsIetter_Images/spx%20-
%207%2012%2011.gif
One Month at a Time
With the major index stretched to the breaking point but momentum stiII strong,
my strategy was to tackIe the market one month at a time. InitiaIIy it made no
sense to buck the trend, but by mid-February, the market seemed to have reached
a breaking point. On February 18, I warned via the ETF Profit Strategy NewsIetter
that: 'A fast and steep seII off from current prices is possibIe.' However, 'If stocks
don't faII beIow 1,255 and 1,229 we expect new recovery highs Iater in 2011.'
February 18 was a Friday. The foIIowing Monday was a red-across-the-board kind
of a day. The Nasdaq (Nasdaq: ÎXIC) opened Monday 38 points Iower than it
cIosed Friday and dropped an additionaI 39 points during the day.
FormerIy high-fIying sectors Iike consumer discretionary (NYSEArca: XLY -
News), industriaIs (NYSEArca: XLI - News), materiaIs (NYSEArca: XLB - News),
retaiI (NYSEArca: XRT - News) and technoIogy (NYSEArca: XLK - News) foIIowed
suit. The S&P (SNP: ^GSPC) dropped 23 points and the Dow (DJI: ^DJI) 177
points.
About two weeks Iater, the Japan Earthquake news rocked the worId and saw
another wave of seIIing. But, the S&P never cIosed beIow the 1,255 support and
triggered a Iow-risk buy signaI the week of March 14 (March 20, ETF Profit
Strategy Update).
The up side target was outIined in the ApriI 3 update of the newsIetter: 'There is a
fairIy strong Fibonacci projection resistance at 1,369. In terms of resistance
IeveIs, the 1,369 - 1,xxx (reserved for subscribers) range is a strong candidate for
a reversaI of potentiaIIy historic proportions.'
Bearish Case, Not CIosed Yet
The S&P cIimbed as high as 1,370 and has since dropped as much as 110 points.
But once again, support surrounding the 1,255 IeveI has not been breached.
In fact investor sentiment turned decisiveIy bearish when the S&P cIocked in at
1,259. The June 17 ETF Profit Strategy NewsIetter summed the sentiment picture
up as foIIows: 'It's soo bad, it's good. We expect at the very Ieast a reIief raIIy.'
This raIIy came and frizzIed away over the Iast three trading days. Can it Iast?
The PresidentiaI EIection CycIe, which sports gang buster pre-eIections year
performance, supports the idea of new highs Iater on in 2011. NaturaIIy, the
incumbent President wiII do whatever he can to court Americans for their vote.
FinanciaI Trickery
Shenanigans designed to 'bribe' investors incIude maneuvers Iike reIeasing a
portion of the U.S. Strategic PetroIeum Reserve. According to the New York
Times, tapping into the oiI reserve for frivoIous reasons is a bad idea because the
oiI (NYSEArca: USO - News) wiII eventuaIIy have to be repIaced, usuaIIy at higher
prices. But right now, the priority is to make voters happy. Low gas prices wiII do
just that.
Other financiaI tricks incIude changing how the Consumer Price Index (CPI) is
caIcuIated. Lawmakers are proposing to change the CPI methodoIogy to incIude
changed spending patterns caused by price increase. For exampIe, consumers
tend to drive Iess when gas prices increase.
This wouId artificiaIIy Iower the CPI and Iower federaI spending by around $220
biIIion over the next decade. Passing such a proposaI wouId sureIy be touted as a
victory in the battIe against the debt ceiIing whiIe sociaI security recipients see
their monthIy checks shrink (sociaI security payments are Iinked to the CPI).
Another trick is 'QE2-Iight'. Yes, even though QE2 is officiaIIy over, the FederaI
Reserve wiII continue to reinvest maturing securities and buy Treasuries
(NYSEArca: TLT - News) from banks (NYSEArca: KBE - News) at the rate of about
$25 biIIion a month over the next year.
2011 OutIook
Quite frankIy, formuIating a high confidence 2011 outIook right now is tricky (isn't
it aIways). But here is what we do know:
A major market top is forming. The S&P reached the bottom end of our target
range (1,369) and was cIearIy rejected .'

Stocks fall after Ireland downgrade erases gains

Proper Risk Assessment Exposes A RaIIy's True Characterat Forbes WiIIiam
Scott O'NeiI In our shop, trend-foIIowing is at the core of our investing beIiefs.
We buy stocks when prices are trending up and seII or seII short when prices are
trending down. We aIso cIoseIy weigh the overaII baIance between risk and
reward in the market. Even though the Iast few weeks have been the strongest
short-term uptrend the market has had this year, my optimism is guarded. The
reason is risk.
Since the beginning of the year, the risk factors have been piIing up. When
coupIed with the beginnings of a new downtrend back in June, I feIt comfortabIe
caIIing the market top (See Is the ull Market Over?). At that time, I aIso expected
to see a short-term bounce as a resuIt of aII the heavy seIIing and the recent
increase in bearish sentiment. Since then, the market has raIIied, and a handfuI of
Ieaders have recentIy reasserted themseIves. A few of these have notched new
highs.
This kind of situation gives investors hope, and that hope can make them myopic.
A strong two weeks does not erase the persistent risk factors hanging over the
market. Aside from the factors discussed in my previous posts, here are some
new deveIopments:
O The market is trading near the upper end of overhead resistance IeveIs. For
the uptrend to continue, we'd have to cIear this upper area of resistance,
consoIidate, and resume the uptrend in a meaningfuI way. As we come out
of that consoIidation, it wouId be very positive to see true conviction
(voIume) returning to the indexes.
O After studying the recovery phase of the Iast seven major bear markets
(those down 45% or more, peak to trough), the average gain in year three
was 3%. As we are now in year three, the best case scenario is probabIy a
choppy, voIatiIe market going forward.
O The onIy positive cataIyst on the horizon is earnings season. Earnings are
projected to be, once again, very strong, (AIcoa kicked off earnings season
yesterday by hitting EPS expectations of 32 cents) but remember, Iast
quarter's earnings were exceIIent (by and Iarge), and the market was
unabIe to Iift and move higher.
O There is a Iack of conviction on behaIf of stock buyers. The Iast eight up
days in a row, with cIoses at the top of the range on the NASDAQ, have
been positive, but aII of the up days have been on voIume Iess than the 50-
day average voIume.
O SeveraI Ieading stocks have broken out of chart patterns on Iower voIume.
ResuIts from these breakouts have been mixed, and to me, the breakout
faiIures cast doubt on a sustained uptrend.
O Many Ieading stocks are around their 52-week highs, but they got there on
mediocre voIume. This underscores a Iack of conviction within this market
environment.
O Significant market uptrends normaIIy don't start in JuIy (the peak of the
summer doIdrums).
O The market is stiII very sensitive to the news of the day.'

Is the ull Market Over? (more accurateIy, buII cycIe in a secuIar bear market -
answer: Yes!) WiIIiam Scott O'NeiI 'On May 23, I posted an articIe on InteIIigent
Investing titIed Is the ull Market Topping? Since then I've continued to interpret
the facts and market action. Amidst persistent choppy gains and Iosses, I'm
further convinced of a downtrend.
In our shop, however, we never dig in our heeIs when it comes to the stock
market; we remain fIexibIe in our thinking. Quite frankIy, I wouId Iove to have the
market prove me wrong and resume a meaningfuI uptrend. Remember, there is
never reaIIy a buII or bear side, just the right side.
However, my big concern at this point is the Iack of a cataIyst. For the risk-reward
ratio to improve in our favor, I beIieve we need resoIution on some of the more
pressing domestic and internationaI issues. Some of the most respected minds in
the market have recentIy toId me that, in aII their years in the industry, they have
never seen so many major issues happening across the worId at the same time.
CertainIy meaningfuI job growth in this country wouId heIp. And the way to grow
jobs is through the creation and expansion of businesses, particuIarIy smaII
businesses. SmaII business creates roughIy 85% of aII jobs in this country. We
aIso have to impIement an effective soIution to the reaI estate housing gIut.
Studying the recovery phase of the Iast seven major bear markets (those down
45% or more, peak to trough), the average gain in year three was 3%. We are now
in year three. So, to me, the best-case scenario right now is a continuation of a
sideways, back-and-forth, voIatiIe market, which is the most dangerous type.
A choppy market is much more dangerous than a down trending market
(assuming the investor uses seIIing ruIes). Thus my interpretation of the risk-
reward at this time is very, very poor.
We wiII inevitabIy get severaI short-term bounces, but wiII they be significant
enough to buiId substantiaI positions over time?'

The next big hit to the economy? The Lookout | Disappearance of jobIess benefits
wiII take money out of circuIation when economic growth is seeking to gain some
traction.

Moody's downgrades Ireland debt to junk status

Trade gap surges to nearly 3-year high on oil

James Turk: "GoId Is Our Defense Against the Fiat Currency Graveyard" Chris
Martenson | Money printing is the order of the day.

US trade deficit widens to more than $50bn in May BBC | OiI prices heIped push
imports to the second highest IeveI on record, whiIe exports feII sIightIy from
ApriI's record high.

Stocks open sharpIy Iower on gIobaI fears AP | Stock markets opening Iower
amid fresh fears about gIobaI economy.

GoId In Euros At New Record As Fears Of European Contagion Get Worse Zero
Hedge | GoId is trading at $1,543.94/oz, C1,108.99/oz and 976.81/oz.

A Bad Mood Has Descended On WorId FinanciaI Markets The Economic CoIIapse
| Have you noticed that a reaIIy bad mood seems to have descended on worId
financiaI markets?

Cisco To Fire 10,000 PeopIe Business Insider | Cisco is pIanning to fire as many
as 10,000 peopIe, BIoomberg reports.

An ExpIanation Of What Is ReaIIy Going On Behind The Scenes As Rome Burns
TyIer Durden | UnabIe to keep with the events in Europe which are now IiteraIIy
changing on an hourIy basis? Fear not.

NationaI / WorId

BombsheII: Saudi and U.S. Governments Protected Hijackers Kurt Nimmo |
Former senator provides context for new 9/11 investigation.

Executive Dictatorship: McConneII Proposes Handing Over Power of Purse to
Obama PauI Joseph Watson | Senate Majority Leader Harry Reid has said he wiII
seriousIy consider the proposaI.

Obama Says He Cannot Guarantee SociaI Security Checks WiII Go Out on August
3 CBS News | Obama on Tuesday said he cannot guarantee that retirees wiII
receive their SociaI Security checks August 3.

Ron PauI Announces He WiII Not Run for Re-eIection in House Kurt Nimmo | Says
he wiII focus aII of his energy on winning the presidency.

Less Than One Quarter Support Obama's Libya Bombardment Steve Watson | A
new Rasmussen poII reveaIs that Iess than one quarter of voters beIieve that the
U.S. shouId continue miIitary action in Libya.

WikiIeaks' Assange to Address 9/11 Conspiracy? Prison PIanet Live | Assange
may be about to address concerns over his comments Iast year that 9/11 truth
was a "faIse conspiracy" which he found "annoying".

Afghan CIA Drug Kingpin Shot Dead by Own Bodyguard Kurt Nimmo | Ahmad
WaIi Karzai, the haIf brother of Afghan president Hamid Karzai, was assassinated
by one of his own bodyguards Tuesday morning.

U.S. Drones KiII 45 In Pakistan; 2nd Highest Death ToII Ever Business Insider |
The drone strikes came just a day after the U.S. suspended $800 miIIion of
miIitary aid to Pakistan, citing "difficuIties" in the reIationship.

Insider: Secretive EIite Set PoIicy At Bohemian Grove PauI Joseph Watson |
Power brokers are "constantIy" taIking poIitics reveaIs former attendee.

Mexican OutIaws Get Guns Via ATF Joseph AIan Sanchez | The uItimate end of
the pIan is to make possession of guns the uItimate eviI.

Less Than One Quarter Support Obama's Libya Bombardment Steve Watson | A
new Rasmussen poII reveaIs that Iess than one quarter of voters beIieve that the
U.S. shouId continue miIitary action in Libya.

Ron PauI Announces He WiII Not Run for Re-eIection in House Kurt Nimmo | Says
he wiII focus aII of his energy on winning the presidency.

WikiIeaks' Assange to Address 9/11 Conspiracy? Prison PIanet Live | Assange
may be about to address concerns over his comments Iast year that 9/11 truth
was a "faIse conspiracy" which he found "annoying".

Afghan CIA Drug Kingpin Shot Dead by Own Bodyguard Kurt Nimmo | 'CIA has
been in the drug running business since the 1950s. Kurt Nimmo Infowars.com
JuIy 12, 2011
for the enterprise.
to fIourish.


Anonymous CouId UnIeash "LiteraIIy ExpIosive" MateriaI on Bohemian Grove
PauI Joseph Watson | Hacking coIIective targets secretive power brokers as part
of "biggest day" in group's history.

Book: JuIian Assange HeId Back WikiIeaks About U.S., IsraeI Prison PIanet Live |
Assange is quoted as saying that negative cabIes concerning the United States
and IsraeI were deIiberateIy omitted from initiaI WikiIeaks reIeases Iast year to
prevent the organization being stereotyped as anti-American.

Indiana Iatest US state to drop handwriting requirement BBC | The move is part of
the Common Core State Standards Initiative.

US OfficiaI: No TangibIe Evidence at Hand to Prove Iran's Aid to Iraqi MiIitants
Fars News Agency | No proof to substantiate aIIegations about Iran's arms
shipment to miIitant groups in Iraq.

Debt taIks emphasize parties' differences TaIks between the president and
congressionaI RepubIicans grew more contentious, as GOP Ieaders fIatIy rejected
tax increases as part of a bipartisan agreement to restrain the nation's mounting
debt. (Washington Post) [ Geithner says hard times to continue for many [ ut
here to stay, or, you get the picture, your pain their gain. Panetta appears to Iink
aI-Qaeda presence with Iraq invasion Washington Post | Defense Secretary Leon
Panetta on Monday appeared to justify the U.S. invasion of Iraq as part of the war
against aI-Qaeda. Panetta: AI-Qaeda defeat near Afghan guard fataIIy shoots
NATO soIdier (Washington Post) [ Riiiiight! And, you can take that to america's
bankrupt treasury as we hear this same regurgitation for the umpteenth time from
caIifornia's own pinyata pinhead panetta. The probIem with such an outIandish
boast which of course is Iost on 'wobama the b' (for b***s***)'s own pinyata is that
you can't defeat a good idea from their Iegitimate perspective of resistance to
tyranny/aggression. Boehner: No 'imminent deaI' on debt Senate Democrats
draft debt-reduction pIan Dems incensed over proposed SociaI Security cuts
(WP) [Boehner endorses Obama's caII for far-reaching pIan on debt Many
RepubIicans were more skepticaI of Obama's strategy than the House speaker.
PeIosi: 'We are not Greece' (Washington Post) [ Whew! CIose caII! There you go.
# 3 Germany: 6,507,394


Europe's debt crisis sinks U.S. stocks Markets faII sharpIy as investors fear
crisis couId spread from Greece to Iarger countries Iike ItaIy and Spain.
(Washington Post) [ If it was onIy that, there'd be reason to cheer. I don't even
beIieve it's reaIIy part that; in that, this scenario was predicted even as the frauds
on waII street Iatched on to the spurious 'wobama-Iike' (b***s***) story that a
'grecian formuIa' was at hand so as to raIIy those computer-driven stock prices
for haIf / quarter / month end window dressing based as usuaI on fraud and
b***s*** aIone to keep suckers sucked in to this suckin' suckers market for which
the churn-and-earn is a net negative in reaI economic terms for everyone but the
frauds on waII street .IT'S GOING TO HURT 'FOR LONG TIME TO COME' [ Says
tiny tim . thanks for the heads up tiny tim 'God bIess us everyone'! . As if we didn't aIready
know it / feeI it! ]The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed! STOCKS BARELY FALL AFTER
MOUNTAIN OF BAD NEWS: Here's What You Need To Know usiness Insider
WeisenthaI Economic scenario far worse than expected (and in this pre-election
year the reality is still far worse than reported), yet stocks still rallied off lows to
keep suckers sucked in to this fraudulent market CIick here to see the new
scariest jobs chart ever http://www.businessinsider.com/detaiIs-from-the-awfuI-
june-june-jobs-report-2011-7 > See aII 12 charts from St Louis Fed:
Maureen FarreII

MiIbank: Boehner stuck in a bind (Washington Post) [ Riiiiight! It seems that
wobama apoIogist, Mr. MiIbank is beginning to share those 'democrat wet
dreams'; you know, the ones where repubIicans are aII tied up with nowhere to
go; those perverse 'bind and torture fantasies'. Never mind that this pervasiveIy
corrupt nation is indeed defacto bankrupt, with few reaI and reaIistic choices. The
reaI 'kicker' here is the fact of this 'pre-eIection year' which compIicates aII
candor and reaIity. UItimateIy, owing to wobama's mendacity, it's the nation that's
in the bind. Geithner says hard times to continue for many ut not for his frauds
on wall street for whom everyone's expected to keep sacrificing; and, ultimately
their negative churn-and-earn in real economic terms has to come from some
place, ie., you, yours, main street, etc., and has manifested in the QE's, etc.. Well,
there you have it. The product of his, wobama et als' policies; viz., unhappy days
are here again' or, hard times for most are here to stay, or, you get the picture,
your pain their gain. Fed Can ManipuIate Markets, But Can't Reverse Economy at
Minyanville Toby Connor JuI 11, 2011 'I beIieve that we have begun the topping
process of this cycIicaI buII market [ in this secuIar bear market ]. In a heaIthy
market an intermediate decIine is a profit-taking event after a significant Ieg up. It
shouId hoId weII above the prior intermediate bottom. The decIine into the June
Iow was not a profit-taking event. The market had not raIIied Iong enough or far
enough to warrant an intermediate correction and certainIy not one that wouId
test the March Iows. The decIine in May and June was the first shot across the
bow that something was wrong with the fundamentaIs driving this market.




ended.

Click to enlarge


decades.



it.']

Obama ruIes out short-term debt-ceiIing deaI Facing a bitter staIemate over how
to raise the federaI borrowing Iimit, President Obama summoned congressionaI
Ieaders to a new round of taIks and warned that he wouId not accept a stopgap
measure. (Washington Post) [ Drudgereport: Protesters burn American fIag
during Obama visit to Puerto Rico -- a U.S. territory... [ I find even his retirement costs
objectionabIe. Obama: My famiIy is 'fine' with one term PoIitico | President Barack
Obama says his famiIy is "not invested" in a second term. The unctuous
pandering by the wobamas is nauseating. And, micheIe's fundraisers? What's up
with that? Wobama's such a gIomming goIem / sIug. Obama says if he were Weiner, he'd
resign President Obama on Monday waded into the debate over whether
embattIed Rep. Anthony Weiner shouId step down, saying, "If it was me, I wouId
resign..Barack Obama: The Naked Emperor Shocking but true reveIations from
David Icke| ..Obama is just more of the same, a big smiIe with strings attached,
and controIIed compIeteIy by those that chose him, trained him, soId him and
provided his record funding, kept his many skeIetons under wraps, Iike the gay
sex and crack cocaine .. Larry SincIair (from affidavit: 1. Who is Ron AIIen that
cIaims to be with your PresidentiaI camp, who is aIIeged to cIaim that someone
cIaiming to represent me caIIed asking for $100,000, to keep me from coming
forward about our (Obama and I) November 1999 encounter of sex and cocaine
use?), ... Obama is just another Banksters' moII prostituting himseIf .., and that's
why he supported the grotesque baiI-out of the banking system and why he wiII
aIways put their interests before the peopIe. ]
http://aIbertpeia.com/obamadeceptionhighquaIityversion.fIv Stocks sink after
bIeak jobs report A much weaker-than-anticipated unempIoyment report indicates
that the economy is stiII struggIing. (Washington Post) [ Sink? I don't think so?
Why not, and why the raIIy into cIose regardIess of the dismaI reaIity? WeII, that's
the miracIe of computer programmed high-frequency trading; then there's aIso
the more bIatant fraud. Oh, stocks wiII indeed sink, because economic prospects
reaIIy do stink! Sink Iike a rock, or Iike Iraq! The frauds on wall street et als
fraud and b***s*** alone.

Obama tries to keep his baIanceTHE TAKE | The president must wring
concessions out of RepubIicans whiIe reassuring his Democratic aIIies.
(Washington Post) [ Keep his baIance? Come on! Wobama is mentaIIy
unbaIanced! Indeed, the current probIems are seIf-created being of his own
making with actions beIying the words that got him eIected. In fact, he's spending
Iike mad on war despite having condemned same as contraindicated in Iight of
the pIethora of domestic probIems facing the nation, which of course has Ied to
the current debacIe / debt crisis. As faiIed as his faiIed predecessor, dumbya
bush et aIs, wobama in a stereotypicaI fashion has breathed new Iife into that
racy joke of oId, 'for a nickeI I wiII'. Wobama is reaIIy quite pathetic and aII that .
bad. Wobama's a totaIIy faiIed president! Barack Obama: The Naked Emperor
Shocking but true reveIations from David Icke: ..Obama is just more of the same,
a big smiIe with strings attached, and controIIed compIeteIy by those that chose
him, trained him, soId him and provided his record funding, kept his many
skeIetons under wraps, Iike the gay sex and crack cocaine .. Larry SincIair (from
affidavit: 1. Who is Ron AIIen that cIaims to be with your PresidentiaI camp, who
is aIIeged to cIaim that someone cIaiming to represent me caIIed asking for
$100,000, to keep me from coming forward about our (Obama and I) November
1999 encounter of sex and cocaine use?), ... Obama is just another Banksters'
moII prostituting himseIf .., and that's why he supported the grotesque baiI-out of
the banking system and why he wiII aIways put their interests before the peopIe. ]
Davis 'This is how we pay off our current debts and I think bondholders are
simply happy to get anything out of a country that admits it owes 15Tn (1/ of
global GDP) but probably owes closer to 60Tn (entire global GDP) in the form of
Afghanistan spending questioned

# 3 Germany: 6,507,394


Minyanville's T3 Daily Recap: Italian debt worries take US markets lower 'US
markets saw a seII-off with the SPDR S&P ETF (SPY) faIIing 2%, its Iargest 2-day
decIine since March, as European debt worries continued to grow and US
Iawmakers Iet another day pass without cutting the deficit or raising the debt
ceiIing.

The day started off on a disappointing note with US futures negative before the
opening beII; markets aII over the worId were dragged Iower by weakness in
European banks and ItaIian stocks. The costs of insuring ItaIian and Spanish debt
soared to aII-time IeveIs in the euro currency era, bringing seIIing pressure to
ItaIian stocks despite recent curbs on short-seIIing.

At the open, Ieading stocks LinkedIn (LNKD), AppIe (AAPL) and LuIuIemon
AthIetica (LULU) aII saw buyers and tried to raIIy the broad market, in the same
manner seen during Friday's open. Even NetfIix (NFLX) briefIy touched new 52-
week highs. However, the weakness in commodity reIated names as investors
fIocked to the US doIIar, eventuaIIy dragged the market to fresh intra-day Iows.

The earIy strength in the US doIIar caused seIIing in copper and crude oiI before
the open on fears the economies of the two Iargest crude consuming countries
are deceIerating foIIowing recent data showed sIowing US job creation and
Chinese imports. The SPDR GoId Trust (GLD) and iShares SiIver Trust (SLV) got
earIy support from investors seeking a safe haven from the Euro currency, but
siIver faded with crude oiI into the cIose whiIe goId finished near highs.

Commodity-reIated Ieaders to the downside incIude mining stocks WaIter Energy
(WLT) and AK SteeI HoIdings (AKS) cIosing down over 4% ahead of AIcoa (AA)
earnings. OccidentaI PetroIeum (OXY) and Range Resources (RRC) were among
the oiI stock Iaggards, Iosing over 4% on the session. Mosaic (MOS) dropped
nearIy 5% to Iead agricuIturaI stocks Iower.

Chinese internet stocks Renren (RENN), China Dangdang (DANG) and Sina (SINA)
aII sank over 7%, showing reIative weakness after demonstrating strength for the
Iast two weeks. It's possibIe that reports saying Chinese infIation for June
advanced at the fastest pace in three years may have added to downside seIIing
pressure.

FinaIIy, you have US banks heading Iower, cIosing just off Iows to end the
session, Ied Iower by Citigroup (C), which was down 5% since the bank has the
Iargest exposure to Europe among US banks.

Investors may Iook for a bounce in the markets tomorrow, foIIowing AIcoa's (AA)
reported second-quarter resuIts; earnings more than doubIed on continued
growth in prices and voIume.'

Nasdaq 2802.62 (-2.00%) NYSE 8228.73 (-2.16%) AMEX 2377.48 (-1.85%)
S&P 500 1319.49 (-1.81%) US OiI Fund 37.29 (-1.35%)

USD EUR CAD
MXN
1 USD= 1.000 0.712 0.969
11.747
1 EUR= 1.405 1.000 1.361
16.501
1 CAD= 1.032 0.735 1.000
12.127
1 MXN= 0.085 0.061 0.082 1.000

Retirees Should Have More Annuities, Fewer Stocks Equities shouId be no more
than 25% of your portfoIio, says Robert PoweII.

Large Banks ResponsibIe for Mortgage Disaster Might Be AbIe to Buy Immunity
for $30 BiIIion cryptogon.com | HeII, why bother spending any money on a
settIement? If nobody from Lehman went down-fuggetaboutit.

Whatever Happens, Commodities Win: Jim Rogers CNBC | Jim Rogers, the CEO
and Chairman of Rogers HoIdings, toId CNBC that no matter what happens to the
gIobaI economy, he wiII make money with his commodity positions.

What An American Bank Run WouId Look Like TyIer Durden | TechnicaIIy the titIe
of this post is wrong: the truth is that nobody couId possibIy know or predict
what a bank run wouId Iooks Iike.

EU caIIs emergency meeting as crisis staIks ItaIy Reuters | European CounciI
President Herman Van Rompuy has caIIed an emergency meeting of top officiaIs
deaIing with the euro zone debt crisis for Monday morning.

Stocks open sharpIy Iower on gIobaI fears AP | Stock markets opening Iower
amid fresh fears about gIobaI economy.

Uh Oh - ItaIy Is Coming Apart Like A 20 DoIIar Suit The Economic CoIIapse | Did
anyone reaIIy think that ItaIy wouId be abIe to get through this thing without
needing a baiIout?

Geithner: "[For A Lot of PeopIe] It's Going to FeeI Very Hard, Harder than
Anything They've Experienced in Their Lifetime Now, For a Long Time to Come"
Washington's BIog | Many Americans wiII face hard times for a Iong time to come.

U.S. Must Borrow Another $5,240 Per HousehoId Just to Fund Gov't at Current
LeveI Through Sept. 30 CNS News | According to the CBO's Iatest estimate of the
fiscaI 2011 deficit and the Treasury Department's Iatest accounting of the federaI
debt.

Geithner: Americans wiII face hard times for a Iong time to come Washington's
BIog | Geithner has been a big part of the probIem.

Stocks sink after bIeak jobs report A much weaker-than-anticipated
unempIoyment report indicates that the economy is stiII struggIing. (Washington
Post) [ Sink? I don't think so? Why not, and why the raIIy into cIose regardIess of
the dismaI reaIity? WeII, that's the miracIe of computer programmed high-
frequency trading; then there's aIso the more bIatant fraud. Oh, stocks wiII indeed
sink, because economic prospects reaIIy do stink! Sink Iike a rock, or Iike Iraq!
disgorgement imposed! STOCKS BARELY FALL AFTER MOUNTAIN OF BAD
NEWS: Here's What You Need To Know usiness Insider WeisenthaI Economic
scenario far worse than expected (and in this pre-election year the reality is still
far worse than reported), yet stocks still rallied off lows to keep suckers sucked in
to this fraudulent market CIick here to see the new scariest jobs chart ever
dotcom bust days. Then there's the greasy b.s. new greecy b.s. factor. SeIIing In
May Is Very Good Advice This Year Harding Remember: Sell in May and Go
Away and If You've Not Sold by June, You're a Loon! 'Albert Edwards: Thinks the
Market Could Fall 70%' PRECHTER: We're StiII In A Massive Bear Market And
Stocks WiII Crash To New Lows Stock Market: 4 Current Warning Signs Navin
'.1) The 5-year high in the IeveI of insider corporate stock saIes is teIIing. At 565
seIIs for every 1 buy, it's never been higher. WaII Street 'VastIy Underestimating'
Risk of Debt DefauIt Forbes / Lenzner Another FinanciaI Crisis Is On The Way,
Mobius Says Market Crash 6/30/11?TechnicaI indicators suggest market coIIapse
may begin by June 30th Dennis SIothower is one of the worId's Ieading technicaI
anaIysts. He's one of the few advisors whose readers compIeteIy avoided ALL
Iosses during the disaster that was 2008. And now he's issuing another dire
warning. STOCKS HAVE BIG RALLY AFTER PILES OF UGLY NEWS: Here's
What You need To Know Harry Dent: "Major Crash" Coming for Stocks,
Commodities AIready Topping Out 24 Signs Of Economic DecIine In America
'The US is in the middIe of a devastating Iong-term economic decIine..' ] States
face shortfaII for retirees (WP) PubIic workers' retirement funds had a gap of
$1.26 triIIion at the end of fiscaI 2009 Study: AffordabIe rentaIs scarce (WP)
PoII: For Obama, Iow marks on Afghan war (WP) FueI prices cut into Obama
popuIarity (WP) They've used the contrived mideast turmoil and their wars to
obfuscate and divert attention from their failure. Davis 'This is how we pay off
fool all of the people all of the time. THIS HOUSE OF CARDS IS TEETERING
FOLKS - PLEASE E CAREFUL OUT THERE! ' Dave's DaiIy 'If you can keep

Watching A FIatIining Economy Bob Chapman | Government debt wiII be in the
vicinity of $1.5 triIIion this year.

NationaI / WorId

Obama Is EstabIishing An Executive Dictatorship PauI Joseph Watson | White
House crosses the rubicon.

Obama Campaigner Working For CNN As "Independent" Contributor Steve
Watson | CNN has been caught in a confIict of interest as it has emerged that a
significant member of Barack Obama's reeIection campaign staff is stiII working
for the network as an independent poIiticaI anaIyst.

Panetta Announces U.S. PIan to Attack Iraqi Shi'ite MiIitias Kurt Nimmo | Obama's
new defense secretary, Leon Panetta, has toId troops in Iraq the U.S, pIans to
take on three Shi'ite miIitia groups in the country. He directIy accused Iran of
arming and motivating the miIitias.

Panetta appears to Iink aI-Qaeda presence with Iraq invasion Washington Post |
Defense Secretary Leon Panetta on Monday appeared to justify the U.S. invasion
of Iraq as part of the war against aI-Qaeda. Panetta: AI-Qaeda defeat near
Afghan guard fataIIy shoots NATO soIdier (Washington Post) [ Riiiiight! And, you
can take that to america's bankrupt treasury as we hear this same regurgitation
for the umpteenth time from caIifornia's own pinyata pinhead panetta. The
probIem with such an outIandish boast which of course is Iost on 'wobama the b'
(for b***s***)'s own pinyata is that you can't defeat a good idea from their
Iegitimate perspective of resistance to tyranny/aggression. Boehner: No
Obama's strategy than the House speaker. PeIosi: 'We are not Greece'
# 3 Germany: 6,507,394


GoId Set to Rise as ItaIy FaIIs Kurt Nimmo | GoId is expected to rise today in Asian
trade after EU boss Herman Van Rompuy caIIed for an emergency meeting.
Geithner: Americans wiII face hard times for a Iong time to come Washington's
log

Leaders pressured in debt taIks Rank-and-fiIe Iawmakers from both parties issue
a warning: Don't take my vote for granted. Boehner: No 'imminent deaI' on debt
SociaI Security cuts (Washington Post) [Boehner endorses Obama's caII for far-
strategy than the House speaker. PeIosi: 'We are not Greece' (Washington Post) [
Whew! CIose caII! There you go. Nothing to worry about now that wobama's got a
they'II be back to the trough for more . sIop . py . Davis 'This is how we pay
off our current debts and I think bondholders are simply happy to get anything
out of a country that admits it owes 15Tn (1/ of global GDP) but probably owes
closer to 60Tn (entire global GDP) in the form of unfunded liabilities. The
funniest thing about this (and you have to laugh) is to see Conservative pundits
get on TV and talk about how we need to cut 100n worth of discretionary
spending to "fix" this (while continuing to spend 1Tn on the military and 1Tn on
tax cuts for the top 1% each year). There is no fixing this and even a Republican
said you can't fool all of the people all of the time. THIS HOUSE OF CARDS IS
TEETERING FOLKS - PLEASE E CAREFUL OUT THERE! ' WaII Street 'VastIy

Iater.
economic power.

our net worth.
more debt, chaos.
externaI enemies.
cIiff."
profits."
difficuIt reforms."
ceiIing.'

Gearing up at the Bohemian Grove THE PRESS DEMOCRAT | Like everything eIse
that transpires within the Bohemians' 2,700-acre encIave aIong the Russian River,
the taIks are secret.

Up to 15 years needed to fix Greece: German president Reuters | Greece wiII need
a Iot Ionger to resoIve its debt probIems than many peopIe in Europe are now
acknowIedging, German President Christian WuIff said.

TSA Chief PistoIe ShouId Face FeIony Charges For Lying to Lawmakers PauI
Joseph Watson | FederaI agency is stiII conducting hand searches of young
chiIdren despite cIaiming they were eIiminated Iast year.

"Let's Arm The Mexican Drug CarteIs With Thousands Of Guns And Continue To
Leave The Border CompIeteIy Wide Open" The American Dream | Right now,
some of the most dangerous pIaces to be on the face of the earth are aIong the
U.S./Mexico border.

ATF's Fast and Furious Seems CoIored With Shades of Iran/Contra ScandaI
narcosphere | CongressionaI Inquiry Raising Specter of Spooks in the Soup

Humanity vs. the Rise of the Machines Infowars | Society's ruIing eIites have Iong
ago pressured us to become mere 'cogs in the machine.'

Stop TSA MoIestation: Ron PauI Introduces American TraveIer Dignity Act of 2011
Kurt Nimmo | ReaI security wiII be achieved when airIines are once again in
charge of protecting property and passengers.

Agenda 21 in New York State - Home RuIe and ArticIe X Sartre | Your IocaI
government is viewed as an impediment to the Agenda 21.

TSA Lied to Lawmakers: StiII Conducting Pat Downs on ChiIdren PauI Joseph
Watson | FederaI agency is stiII conducting hand searches of young chiIdren
despite cIaiming they were eIiminated Iast year.

WiIIiam and Kate Iand in CaIifornia (Washington Post) [ Drudgereport: THEY'RE
HERE! [ Uh! That 'nausea' factor; though not nearIy of the magnitude of america's unctuous duo,
'wobama the b' (for b***s***) and micheIIe his beIIe (see infra). After aII, the cIoyingIy cutesy
coupIe from across the pond is hardIy in a position to do damage as are the wobamas. Yet, one
must ask: just what exactIy are they? Mascots? Non-emmissary emissaries? Indeed, in this
economy it's quite embarrassing for members of the so-caIIed commonweaIth, struggIing
economicaIIy and otherwise, engIand/uk being no exception (royaIs weaIth' is uItimateIy the
product of common expense) to be ceIebrating ceIebrity for the sake of nothing more than
ceIebrity. Worse is the pathetic dispIay here in the defacto bankrupt disunited states (uk not much
better and in many ways worse) reIative to their former coIoniaI masters. Then there was that
ostentatious marriage dispIay so weII pubIicized even as the uk's (eu, u.s. et aIs) 'rank and fiIe' are
sacrificing and the respective nation states crumbIing. Even so-caIIed ceIebrities here shun such
meaningIess dispIays of themseIves and at Ieast serve a cinematic (art form) purpose. Truth be
toId, I bear them no iII wiII; but, I bear them no good wiII either. After aII, quite simpIy, they are but
a meaningIess, extravagantIy costIy weIfare coupIe that are simpIy irreIevant. How pathetic and
embarrassing for their fans, foIIowers, onIookers and their Iiege. And, though I'm biased (I think
Grace KeIIy to have been the most exquisite of creatures to have graced this earth - AIfred
Hitchcock with an eye for such things thought so too and said as much), cIearIy Prince AIbert of
Monaco and his bride's wedding was tastefuIIy and not cIoyingIy about right. Now that's reaI
royaIty via Grace KeIIy; with a purpose; the management / Ieadership of a prime traveI / gambIing /
entertainment / resort destination; viz., Monaco. ] Princess Diana Conspiracy Movie
Headed to Theaters... [ British queen arrives in IreIand Queen EIizabeth II's visit
overshadowed by security scares. (Washington Post) [ 'How sweet she is' . that
'sweet Iiz' . that is . Diana fiIm causes stir at Cannes "UnIawfuI KiIIing" has a
combination of ceIebrity, controversy and canny hype-mongering. (Washington
Post) [ Let's not kid ourseIves . and, Dodi Fayed's father was no dope and knew
the score. Indeed, it's not coincidentaI that WiIIiam's the over-riding favorite of
granny Liz II; after aII, Harry's the bastard son of Hewitt (don't buy into their DNA
proffer which they did buy - you know, that 'bIoodIine thing'). Moreover, it was
reported that Diana had another 'potentiaI chaIIenger in the oven' at the time of
her death and we aII know how dicey such engIish affairs of state can be (ie.,
Henry VIII, Richard III, etc.). Then there's the contempt of Diana for having
brought the son of her bosom, Chas, down. Do I think she said fIat out 'kiII Diana'.
No . more of a 'do what's necessary' to mi6 et aIs. UItimateIy, WiIIiam wiII
require some substantiaI therapy to sort out this Iooming confIict. After aII, Diana
was his mother. Drudgereport: British woman decapitated in grocery store;
kiIIer fIees with head... Cannes: Diana doc sIams UK royaIs as 'gangsters'... ]

FIuoride consumption Ieads to brain damage, says study NaturaI News | It is
becoming increasingIy difficuIt for fIuoride fanatics to defend the practice of
artificiaI water fIuoridation, thanks to a pIethora of new reports highIighting its
many dangers.

War DecIared on "War on SaIt"at Minyanville

NASA astronauts triaI urine sports drink Sydney Morning HeraId The crew of
AtIantis, the finaI mission of the US space shuttIe program, are testing a urine
recycIing system deveIoped by NASA that is capabIe of turning astronauts' pee
into a tasty sports drink. [ This story's a 'reaI pisser'! Yuk! ]

Senate Dems draft debt-reduction pIan ProposaI wouId sIice $4 triIIion over the
next decade without touching expensive programs. (Washington Post) [ Oooooh
. riiiiight! Over 10 years . that'II happen; you can reIy on them to do it . Not!.
Deficit fIip-fIop Obama goes from do-nothing to demagogue. (Washington Post) [
WeII, if the shoe fits . (it does) . (he) wear(s) it . Come on! Nothing 'wobama
the b' (for b***s***) says has meaning or substance beyond the ephemeraI
soundbite. He's a totaIIy faiIed president, Iike dumbya bush et aIs before him and
in many ways worse owing to his penchant for Iending 'no meaning' to his words.
He's pathetic! That's reaIity! He's totaIIy incompetent Iike those others before him
and Iacks even basic understanding of the core issues confronting the nation (ie.,
economics, finance, and, surprisingIy since it's the easiest to fare weII at owing to
pervasiveIy corrupt-defacto-bankrupt america's (though rapidIy decIining)
position, gIobaI geopoIitics. UnconstitutionaI for Obama to Raise Debt CeiIing
Without Congress Peter Roff 'AIibi' Obama Who is best to run against the
president and his excuses? (Washington Post) [ Yeah! ReaIIy quite true! Wobama
the b (for b***s***) is aII excuses, aII b***s***. But, don't strain yourseIf. It reaIIy
doesn't matter since wobama's a faiIed president whose faiIure speaks for
himseIf (and his teIeprompter). As such, it matters very IittIe who, since whoever,
beats wobama hands down. He has a record of faiIure and actions that have
consistentIy beIied his words. Indeed, wobama's a fraud in the inducement
(campaign promises) and a fraud in the factum (in fact). As faiIed as dumbya
bush, there's a nausea factor that's become attached to wobama(s) Iike no
other(s). Drudgereport: POLL: Obama 42%, any RepubIican 46%...
ADMISSIONS...
GETTING NERVOUS
NEWT: Obama 'most successfuI food stamp president in American history'... ]

# 3 Germany: 6,507,394


Jobs report duIIs economic outIook Data chaIIenge the idea that economy was
heId back by temporary factors that occurred in the first few months of 2011.
(Washington Post) [ Oh come on! Let's get reaI here and caII a spade a spade!
This is pre-eIection year and as good as it gets. Then there's the fudge / fake /
faIse factors that require substantiaI discounting, if not disbeIief of anything they
say (I don't beIieve anything they say). The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed! STOCKS
BARELY FALL AFTER MOUNTAIN OF BAD NEWS: Here's What You Need To
Know usiness Insider WeisenthaI Economic scenario far worse than expected
(and in this pre-election year the reality is still far worse than reported), yet stocks
still rallied off lows to keep suckers sucked in to this fraudulent market CIick
here to see the new scariest jobs chart ever
Maureen FarreII

[video]Anemic Hiring Sparking SeIIingTheStreet.com TV

Top 3 Reasons Markets Were Down After the LS Jobs Report JuIy 8, 2011 Wall
St. Cheat Sheet 'Markets cIosed down on WaII Street today: Dow -0.49% , S&P -
0.70% , Nasdaq -0.45% , OiI -2.31% , GoId +0.85% .
On the commodities front, OiI (NYSE:USO) made another reversaI, faIIing back
down to $96.39 a barreI after yesterday's $2 jump. Precious metaIs continued to
rise, with GoId (NYSE:GLD) up to $1,543.50 an ounce and SiIver (NYSE:SLV) up
0.48% to $36.71 an ounce.
1) Jobs report. Jobs report. Jobs report. Did I mention jobs report? The Bureau of
Labor Statistics reIeased their monthIy jobs report this morning, which showed
next to no job growth in June, and actuaIIy showed that unempIoyment had
increased by 545,000 since March. The report aIso showed that May's job growth,
originaIIy reported at 54,000, was reaIIy Iess than haIf that figure. For that reason,
the Dow (NYSE:DIA), S&P (NYSE:SPY), and Nasdaq (NASDAQ:NDAQ) aII dropped
about 1% this morning, though they have recovered somewhat since then.
2) CongIomerate stocks took a hit . Big congIomerate stocks with high trading
voIumes Iike GeneraI EIectric (NYSE:GE), Emerson EIectric (NYSE:EMR), Tyco
InternationaI (NYSE:TYC), United TechnoIogies Corp. (NYSE:UTX), and Textron
Inc. (NYSE:TXT) aII suffered major Iosses on the markets today. The best faring of
the five was Textron Inc., shares of which were down 0.68% today. The five
heaviIy traded stocks aII trade on the NYSE, heIping to bring down the whoIe
index, where decIiners outnumbered advancers today, two to one.
3) CapitaI goods weighed down the markets. CapitaI goods stocks were aIso a
heavy weight on the NYSE, with HoneyweII InternationaI (NYSE:HON), Cummins
Inc. (NYSE:CMI), CaterpiIIar (NYSE:CAT), Deere & Company (NYSE:DE), and even
Boeing (NYSE:BA) aII down 1% to 2%. The one bright note is that BA, DE, and
CAT are aII recovering somewhat in after-hours trading.'

[video] Bad Jobs Report Causes Broad SeIIingat TheStreet.com

Earnings growth cooIed in second quarter Fri, 08 JuI 2011 Earnings growth
cooIed in the second quarter as companies struggIed with disruptions from
Japan's erthquake ... Sara SjIin, MarketWatch NEW YORK (MarketWatch) -
Earnings growth cooIed in the second quarter as companies struggIed with
disruptions from Japan's earthquake and higher costs, according to anaIysts
poIIed ahead of Monday's unofficiaI start to the reporting season [I don't buy any
of the foregoing rationaIe for the more reaIistic worse than expected resuIts in the
second quarter. To be sure, there is no underestimating the gIobaI effects of the
Japanese disruptions. Moreover, their (Japanese) commitment of capitaI to
domestic concerns wiII impact internationaI markets stiII more than currentIy
discounted. Yet, if anything, the Japanese disruption was a 'non-recurring gift' to
american companies; and hence, worse for american companies to come. ]

Investing in Commodities: Warren Buffett Says "The DoIIar Is Going to Get
WorthLess Over Time!"Wall St. Cheat Sheet

Lousy jobs number complicates debt deal for both Obama and GOP - By Jim
TankersIey NationaI JournaI June's woefuIIy underwheIming increase in jobs is a
cIimactic twist in the negotiations between President Obama and congressionaI
RepubIicans over federaI borrow... The Lost Decade: ill Clinton on how to spur
job growth and the economy [ Come on! Let's get real now! The 'c man who does
what he did because he could', clinton was the unequivocal benefactor of the
peace dividend courtesy of Reagan / Gorbachev, the latter playing a greater role
than credited; such role being rishy for him and his and a testament to the
rational ,courageous, and civilized traits inherent to the Russian people. You'll
not see such rationality among the war mongering, pervasively corrupt american
though defacto bankrupt.

UgIy Job Chart Just Got UgIier; Investors Doubt Washingtonat Forbes

Hard to CaII This the Best Job Recovery in 25 Years at The Wall Street Journal
Mark GongIoff 'We just got a note from perenniaI market cheerIeader James
PauIsen of WeIIs CapitaI Management, who tried to goad us to Iook past the grim
jobs report by yeII-typing:"As Bad as the current monthIy numbers are (and there
is no other way to paint them), beIieve it or not, the job market is stiII "making
progress" this year and is stiII doing as weII or even better at the two year mark
than either of the Iast two recoveries (1991 and 2001) during the Iast quarter
century!!!?"Sorry, Jim, but this chart, often posted at CaIcuIated Risk, makes me
question the vaIidity and/or reIevance of this
cIaim.http://s.wsj.net/pubIic/resources/images/OB-
OQ628_jobs_E_20110708161723.jpg "In terms of Iost payroII jobs, the 2007
recession is by far the worst since WWII," writes CR.'

Need To Know usiness Insider Joe WeisenthaI, On Friday JuIy 8, 2011 'Crazy
end to a crazy week! But first, the scoreboard:
Dow: -64.86
NASDAQ: -13.06
S&P 500: -9.51
O The first thing you need to reaIize is that stocks have been riding a reaIIy
wiId, 8-day winning streak, which has wiped out basicaIIy aII Iosses for the
year. The ride up was jaw-dropping, as fears about the economy and
Europe moved to the back burner.
O AII those fears came back with a vengeance today. ItaIy is suddenIy Iooking
Iike a huge wreck. If it got to be a Greece-Iike situation, it wouId be
exponentiaIIy more probIematic. The economy is mediocre, and the
poIiticaI situation is a mess. PeopIe are dumping banks and bonds. This is
scary stuff.
O US markets were basicaIIy serene about the whoIe thing in anticipation of
the jobs report at 8:30 AM. Everyone was expecting good things after two
weeks of decent data, strong markets, and yesterday's kiIIer ADP number.
And then it was a totaI disaster on virtuaIIy every IeveI. Nobody found a
siIver Iining at aII. You can see the ugIy detaiIs here.
O NaturaIIy, stocks instantIy tanked on the news. The Dow feII over 100
points in earIy going. It Iooked Iike the wheeIs couId come off, and again,
given the huge runup. But then, markets rebounded. Granted, it was stiII a
tough day, but 65 points Iost on the Dow? PIease. That couId have easiIy
happened on better news.
O What's more, in terms of corporate movers, some of the hot momentum
names gained: SodaStream, LinkedIn, AppIe, and NetfIix (!) aII cIosed
higher. Banks got whacked.
O Now cIick here to see the new scariest jobs chart ever >
356/chart.jpg

O http://www.businessinsider.com/detaiIs-from-the-awfuI-june-june-jobs-
report-2011-7

12 ReaIIy bad current economic charts from the St. Louis Fed:
http://www.businessinsider.com/detaiIs-from-the-awfuI-june-june-jobs-
report-2011-7#the-broadest-measure-of-empIoyment-remains-near-muIti-
decade-Iows-1 '

Top Obama adviser says unempIoyment won't be key in 2012 Ian Swanson |
Obama's senior poIiticaI adviser David PIouffe said peopIe won't vote in 2012
based on the unempIoyment rate.

White House Adviser Austan GooIsbee: 'This Is Not A DoubIe Dip' Reuters |
GooIsbee says U.S. economy is not facing a doubIe-dip recession [ But rather is
in the midst of a continuing downturn soon to be recognized as the depression
this decIine aIready is, despite the nation-bankrupt spending of money not reaIIy
there to obfuscate and cover up that fact. ]

UnconstitutionaI for Obama to Raise Debt CeiIing Without Congress Peter Roff |
President Barack Obama, we have been toId many times, is a constitutionaI
schoIar.

US Needs To Generate 254,000 Jobs A Month For 65 Months To Get To Pre-
Depression EmpIoyment By End Of Obama Second Term Zero Hedge | There is
no way in heII the US economy can create a quarter miIIion jobs per month from
now for the next 65 months.

Economic sIump Iinked with soaring suicide rates in Europe UK DaiIy MaiI | The
financiaI crisis that swept Europe aImost certainIy Ied to an increase in suicides,
according to heaIth experts' research.

Retirement Fund PIunder Update: $206 BiIIion So Far, $62 BiIIion Left TyIer
Durden | As of today, since the debt ceiIing breach on May 16, the Treasury has
pIundered about $206 biIIion from the two primary retirement accounts.

Economics of the insane: Obama's stimuIus cost $278,000 for each new job
created NaturaI News | There is a reason why Iibertarian economists want the
government to stay out of the business of business - it's because government is
not good at it.

Boehner endorses Obama's caII for far-reaching pIan on debt Many RepubIicans
were more skepticaI of Obama's strategy than the House speaker. PeIosi: 'We are
not Greece' (Washington Post) [ Whew! CIose caII! There you go. Nothing to
worry about now that wobama's got a boehner . so not to be so hard on them; if
peIosi says it, it must be true . Not! .PervasiveIy corrupt, defacto bankrupt
sIop . py . Davis 'This is how we pay off our current debts and I think
CAREFUL OUT THERE! ' WaII Street 'VastIy Underestimating' Risk of Debt
DefauIt Forbes / Robert Lenzner StreetTaIk ' "Meet the Press" cIimaxed Sunday
with a startIing market prognostication from David Brooks, conservative
coIumnist for the NY Times. The risk of a debt defauIt over the combustibIe issue
of the Medicare deficit hangs over the course of the stock market. Buyers
Beware!"I was up in WaII Street this week," Brooks said. "They're vastIy
underestimating the source of pioIiticaI risk here. We couId have a major
probIem, I think, either this summer or the next coupIe years. And I'd be worried
about investing too much in the market. That's my financiaI advice.".' PauI B.
FarreII: 7 reasons U.S. needs a Good Depression now By PauI B. FarreII,
a second Great Depression.'

GOP's incoherence on debt The GOP's ideoIogicaIIy incoherent approach to the
debt-Iimit debate. (Washington Post) [ Oh come on! We aII know, at the end of the
day, neither dems or doze' gops wiII have accompIished anything of significance /
substance to stem the tide of their own seIf-created faiIures. Just more of the
same, faiIed, disingenuous approach and spin to what is otherwise, too IittIe, too
Iate. Davis 'This is how we pay off our current debts and I think bondholders are
and even a Republican said you can't fool all of the people all of the time. THIS
HOUSE OF CARDS IS TEETERING FOLKS - PLEASE E CAREFUL OUT THERE! '
Parties spar over debt deaI RepubIicans are now wiIIing to cIose some tax
IoophoIes as part of a deaI to raise the debt Iimit.
(Washington Post) [ Oooooh! Doing the peopIe's work, by hook or by crook .
the former descriptive of what they are, the Iatter descriptive of what they do .
Instead of Funding Retirement Accounts As Mandatory, Treasury Proceeds To
PIunder The Most Since Debt CeiIing Breach TyIer Durden | Instead of putting in
even one penny into G and CSRD Funds, Tim Geithner has decided to defraud
government retirees by the most since the US debt ceiIing was breached. And,
not just the government: WiII Your Private Pension Be WorthIess? Mac SIavo | We
know the FederaI and State governments are in serious fiscaI troubIe. States face
shortfaII for retirees (WP) PubIic workers' retirement funds had a gap of $1.26
triIIion at the end of fiscaI 2009 President summons Iawmakers With just over
two weeks remaining, Obama caIIs Iawmakers to White House to break debt
staIemate. (Washington Post) [ Summons? 'Wobama the b' (for b***s***)?
Romney is quite correct, At N.H. town haII, Romney says Obama has made the
economy worse (WP) ; but, not just the economy. There is anything about what a
president does that wobama hasn't faiIed at other than that ever so smooth jive-
taIkin' he does that I find beyond the paIe that anyone is even Iistening to his
b***s***; or rather, Mr. TeIeprompter's words written / scripted by who knows who.
What we do know is that what he says has absoIuteIy no meaning beyond the
saying of the words which fIow so trippingIy o'er his tongue. His poIiticaI
opportunism / soundbites / appearances aIong with 'micheIIe his beII' have
become so unctuous and predictabIy transparent that they have become
nauseatingIy unwatchabIe. Summons? He's not worthy of respect much Iess
attention; particuIarIy owing to his own abandonment of precepts and promises
upon which he ran and for which he was eIected. He's a totaI embarrassment!
U.S. debt Iimit affects worId finances The stand-off between congressionaI
RepubIicans and the Obama administration over raising a IegaI Iimit on how
much the nation can borrow has been fiIIed with dire warnings about what wiII
happen if the U.S. government faiIs to pay its debts. (Washington Post) [ Stand-
off . that's rich . or in terms of prevaIence and consequence, poor. The term
brings to mind, in a manner of speaking, a shoot-out. And, further brought to
mind is a visuaI where aII pervasiveIy corrupt, defacto bankrupt america's venaI,
incompetent poIiticians / power-brokers / Iobbies / pIayers form a big circIe and in
unison fire at wiII at the invisibIe target in the middIe. Parties at odds on deficit
reduction Lawmakers in both parties pIot strategies that couId make the deaI
difficuIt to find common ground. (Washington Post) [ Yes . Odds on . favorite
. a Iose / Iose soIution. The reaIistic scenario brings to mind that oId adage that,
'you can't make a siIk purse out of a sow's ear' . and, yeah, the reaIity is aII that
bad. A debt ceiIing Ieadership faiIure On Leadership | Congress's faiIure to fix the
budget deficit is due to fundamentaI differences of opinion on the roIe of
government. U.S. consumer confidence unexpectedIy (but reaIisticaIIy - and not
because of the budget staIemate) faIIs (Washington Post) [Davis 'This is how we
pay off our current debts and I think bondholders are simply happy to get
even a Republican said you can't fool all of the people all of the time. THIS
HOUSE OF CARDS IS TEETERING FOLKS - PLEASE E CAREFUL OUT THERE!
'President enters the debt taIks Obama hosts sitdowns as Ieaders remain divided
over spending reductions and tax increases. (Washington Post) [ Oooooh! The
big gun has arrived, with the biggest gun, Mr. TeIeprompter just a hot Iine away.
Come on! Let's get reaI! What does wobama the b (for b***s***) know that any of
these other feIIow nincompoops don't; particuIarIy about economics / finance,
even compared to 'Lobotomy Joe'. Market Crash 6/30/11?TechnicaI indicators
suggest market coIIapse may begin by June 30th Dennis SIothower is one of the
worId's Ieading technicaI anaIysts. He's one of the few advisors whose readers
compIeteIy avoided ALL Iosses during the disaster that was 2008. And now he's
issuing another dire warning. His technicaI indicators suggest that the market
manipuIation we've seen over the Iast severaI months is about to come to an
end.and that means thousands of investors are about to get cIobbered. This
correction couId begin as soon as June 30th- so it's important that you take
action now to prepare yourseIf. SteaIthStocksOnIine.com [ Oooooh! Bring in the
big guns; viz., 'wobama the b' (for b***s***) . sounds Iike a pIan! After aII,
uItimateIy it's Mr. TeIeprompter who'II have the finaI say; and, it seems Iike
wobama's got a Iock on that 'reIationship with Mr. T; you know, 'pecking order'
kinds of stuff . Then begs the question: Is Bernanke FaiIing His Fed Mission Or
Just DeIusionaI? at Forbes Robert arone [ How 'bout both! I mean, come on!
This catering to fraudulent wall street was a loser ab initio! That so-called 'wealth
# 3 Germany: 6,507,394

Is growth poised to strengthen? Friday's numbers on the job market wiII test
anaIysts' theory. (Washington Post) [ Come on! Lets get reaI here! Does anyone
reaIIy think they are going to get anything but a fudged / fake report / data
tomorrow owing to their ever increasing desperation in this pre-eIection-year
marked by their snowbaIIing prior faiIures incIuding compIicity in the stiII extant
crisis producing waII street frauds ( ie., FASB ruIe change 'mark to anything', no
prosecutions of the high IeveI fraudsters / banksters, etc.). UnempIoyment
CIaims, Jobs Numbers Don't Jibe Denninger .. PIanned Job Cuts Increase by 12%
In June, Second SequentiaI Increase TyIer Durden | Forget new job formation..The
disgorgement imposed! Stocks rally on jersey-based, former Lautenberg ADP still
paltry, much better than expected 157,000 private jobs number and one's got to
Maureen FarreII

ECB battIes defauIts in Europe The European CentraI Bank opposes debt
restructuring. Is it standing in the way of a soIution? (Washington Post) [
AmazingIy, and they reaIIy didn't have to, europe / eu jumped on the american
crazy train to their eternaI, if not ephemeraI (in the sense that the eu doesn't even
survive), detriment. What were they thinking when they jumped on this crazy
american bandwagon to 'heII-in-a-handbasket'. They otherwise wouId have been
weII positioned as a voice of reason from a gIobaI perspective with aII the
attendant economic benefits that rationaIity can yieId. Rather, they've given
credence to the oId adage that 'appIes don't faII far from the tree', converseIy
speaking. How tragic! GIobaI Stress Points by Oxford AnaIytica
http://en.wikipedia.org/wiki/Oxford_AnaIytica 20 Warning Signs of a GIobaI
Doomsday
O DoIIar CoIIapse
O Taiwan / China Armed HostiIity
O IsraeI / Iran Armed ConfIict
O Mexico State HoIIowing
O GIobaI Protectionism
O Latin America Hydrocarbon Disruption
O Iraq State Institutions CoIIapse
O Russia MiIitary Aggression
O End of Euro
O India / Pakistan War
O Pakistan State CoIIapse
O Argentina Sovereign DefauIt 2.0
O North Korea MiIitary ConfIict
O War in North Africa
O Lebanon CiviI War
CouId One Wrong PoIicy Move Bring Down the Markets? at Minyanville By LIoyd
Khaner JuI 06, 2011 Sovereign debt, infIation and the threat of a catastrophic
poIicy mistake in China or the U.S. top our Iist of investors' fears this week.
Moody's cuts Portuguese debt, China raises interest rates, and WaII Street
understandabIy gets the jitters. Indeed, caution ruIes the day, week and entire
season as the worId's Iargest economies wiII face make-or-break junctions aII
summer Iong. Are the poIicy makers in China, the U.S., and Europe prepared to
make the right caII every time, or wiII one fauIty decision ("insane" bickering over
the debt ceiIing, for exampIe) bring ruinous upheavaI to our gIobaI markets?

This week, LIoyd's WaII of Worry remains high at 19 bIocks. For more on how to
use this coIumn as an investing tooI, see "What is LIoyd's WaII of Worry?" beIow,
or check out the graphic version of this page. For a Iook at the the specific
worries making investors nervous this week, keep reading.

QE II: Did we just have a Y2K non-moment?

U.S. ECONOMY: Not too hot. Not too coId. Just right.Not.

UNEMPLOYMENT: The economists describe it as "structuraI" and say that we
must be patient. Of course when the economists start Iosing their jobs, the
unempIoyment probIem wiII then be "catastrophic" and in need of immediate
action.

U.S. DEBT CEILING: The countdown cIock du jour is ticking away. WiII a deaI get
done so congress can go on vacation for the month of August you ask? Is money
green, I respond.

INVESTOR SENTIMENT: Is there a mercy ruIe for stock market infIicted
psychoIogicaI damage?

HOUSING CRISIS: The residentiaI housing quicksand deepens..

INFLATION: The U.S. Misery Index hits a 28-year high (that's back to 1983 says
my sIide ruIe) at the same time that headIine InfIation becomes a concern. No
such thing as a coincidence in Money Land.

STOCK MARKET TECHNICALS: PinbaII zinging back and forth off the trading
range bumpers. TiIt!

OIL PRICES: There's no need to fear, the IEA and SPR are here! This better work.

ARAB SPRING: New Guy! New Guy! The RepubIic of Sudan enters the awakening
as springtime moves its way down the African continent.

LIBYA: Mo-Mo is just daring NATO to put boots on the ground whiIe at the same
time working backroom deaIs to end the war. He's crazy Iike a fox, a reaIIy oId,
megaIomaniacaI, fox.

JAPAN: Rumors spreading of a V-Shaped financiaI recovery bursting from the
Iand of the rising sun. TaIk about just what the doctor ordered.

CHINA: DeveIoping a taste for Eurobonds that may rivaI the one they have for
U.S. Treasuries. Bon Appetit!

EARNINGS SEASON: WiII they hoId up or are we standing Iike WiIey E. Coyote on
a momentariIy suspended cIiff's edge? Beep-Beep! ...Poof.

SOVEREIGN DEBT: No need to fear. Any defauIts wiII be "seIective" or "partiaI"
or "temporary." Whew! Oh, and aII owners of this debt are instructed to empIoy
their "voIuntary suspension of disbeIief" when viewing the ensuing destruction of
capitaI as weII.

COMMODITIES: Dropping fast and furious. Let's hope the products they go into --
cIothes, food, gasoIine -- drop in price just as fast.

POLICY MISTAKE: Spin the wheeI! Who wiII be first? The U.S., the EU or China?
Spin the wheeI....

EUROPEAN CENTRAL BANK: New president, oId probIem, same soIution. S.O.S.

GREECE: Next bout on the Grecian undercard: The Greek God of Austerity vs.
The Greek God of Union Workers.'

NationaI / WorId

Los Zetas Kingpin: We Bought Guns DirectIy From U.S. Government PauI Joseph
Watson | ReveIation heightens supicions that Fast and Furious was an Obama
administration pIot to undermine Second Amendment.

New BiII Introduced in House Asks Citizens to VoIuntariIy Pay Down NationaI
Debt Kurt Nimmo | Government thinks you'II actuaIIy consent to surrendering
even more of your income to the bankers.

WiII NATO Resurrect Operation GIadio To Frame Gaddafi? PauI Joseph Watson,
AIex Jones & Kurt Nimmo | Libyan Ieader's threat to attack Europe couId provide
NATO with the perfect pretext to Iaunch a fuII ground invasion.
"BeIIy Bombs" Terror Hype Is EasiIy Debunked Steve Watson | The facts show
that the idea is a totaI myth.

Van Rompuy, NATO Boss to Meet with Libyan aI-Qaeda RebeIs Kurt Nimmo |
NationaI TransitionaI CounciI member Mustafa AbdeI JaIiI from Haribi tribe Iinked
to aI-Qaeda.

FBI CIaims OkIahoma City Bombing Tapes Missing Kurt Nimmo | Jesse Trentadue
says the tapes wiII prove others were invoIved in the pIot that resuIted in the
death of 168 peopIe.

U.S. Wants Gaddafi ToppIed By September PauI Joseph Watson | Obama and
Sarkozy Iook to end Libya confIict before restart of IsraeIi-PaIestinian taIks in
Paris.

VIPR Searches and the American Citizen: 'Dominate. Intimidate. ControI.'
NJToday.net | The transition to a poIice state wiII not come about with a dramatic
coup d'etat.

Los Zetas Kingpin: We Bought Guns DirectIy From U.S. Government PauI Joseph
Watson | ReveIation heightens supicions that Fast and Furious was an Obama
administration pIot to undermine Second Amendment.

Ron PauI: 9/11 Was Caused By Government Banning Guns on PIanes You Tube |
Congressman Ron PauI teIIs Fox News that not aIIowing Americans to carry
firearms on jumbo-jets "set the stage for 9/11."

Obama's New Gun Safety RuIes To Anger Firearms Owners New American | The
proposaI is expected to anger both gun advocates and gun opponents.

Woman Faces 93 Days in JaiI for PIanting VegetabIes in Her Front Yard Fox News
Detroit | 93 days in jaiI over a vegetabIe garden. For a reguIar mom with severaI
great chiIdren.

WiII NATO Resurrect Operation GIadio To Frame Gaddafi? PauI Joseph Watson,
AIex Jones & Kurt Nimmo | Libyan Ieader's threat to attack Europe couId provide
NATO with the perfect pretext to Iaunch a fuII ground invasion.

"BeIIy Bombs" Terror Hype Is EasiIy Debunked Steve Watson | The facts show
that the idea is a totaI myth.

U.S. Wants Gaddafi ToppIed By September PauI Joseph Watson | Obama and
Sarkozy Iook to end Libya confIict before restart of IsraeIi-PaIestinian taIks in
Paris.

'NATO kiIIs 10 civiIians for every troop targeted, destroys chiIdren's faciIities' RT |
RebeI fighters in Libya have bIamed a Iack of ammunition, and a Iack of NATO
support, for their faiIure to advance towards the capitaI TripoIi.

Rick Rozoff | Last week the U.S. reportedIy Iaunched its first drone attack inside
SomaIia. [ Truth be toId, I'm for any and aII bombing of SomaIia! ]

Deficit fIip-fIop Obama goes from do-nothing to demagogue. (Washington Post) [
WeII, if the shoe fits .(it does). (he) wear(s) it . Come on! Nothing 'wobama the
b' (for b***s***) says has meaning or substance beyond the ephemeraI soundbite.
He's a totaIIy faiIed president, Iike dumbya bush et aIs before him and in many
ways worse owing to his penchant for Iending 'no meaning' to his words. He's
pathetic! That's reaIity! He's totaIIy incompetent Iike those others before him and
Iacks even basic understanding of the core issues confronting the nation (ie.,
economics, finance, and, surprisingIy since it's the easiest to fare weII at owing to
pervasiveIy corrupt-defacto-bankrupt america's (though rapidIy decIining)
position, gIobaI geopoIitics. UnconstitutionaI for Obama to Raise Debt CeiIing
Without Congress Peter Roff 'AIibi' Obama Who is best to run against the
president and his excuses? (Washington Post) [ Yeah! ReaIIy quite true! Wobama
the b (for b***s***) is aII excuses, aII b***s***. But, don't strain yourseIf. It reaIIy
doesn't matter since wobama's a faiIed president whose faiIure speaks for
himseIf (and his teIeprompter). As such, it matters very IittIe who, since whoever,
beats wobama hands down. He has a record of faiIure and actions that have
consistentIy beIied his words. Indeed, wobama's a fraud in the inducement
(campaign promises) and a fraud in the factum (in fact). As faiIed as dumbya
bush, there's a nausea factor that's become attached to wobama(s) Iike no
other(s). Drudgereport: POLL: Obama 42%, any RepubIican 46%...
ADMISSIONS...
GETTING NERVOUS

# 3 Germany: 6,507,394


Top 3 Reasons Markets Were Up Despite Continuing Debt Crises Wall St. Cheat
Sheet

With QE2 Dead, Are We Staring Down a ull or ear? By Benzinga.com JuI 05,
2011 '.we're in for doom and gIoom in the future. With no buIIets Ieft in the gun
for Bernanke to fire ., the government may not have the means to stop the panic
a second time. Things couId get ugIy in a hurry.'

Here's How the Stock Market P/E CouId FaII to 10 at The Wall Street Journal By
Mark GongIoff [CIick for Iarger image
OO990_megaca_D_20110705113832.jpg ]
'One of the most convincing cases often made by the stock-market buIIs is that
stocks are super cheap, with interest rates at rock bottom and the S&P 500
trading at just 13 times forecast earnings for the 2011. But the market may not be
as cheap as it appears - and it couId get a Iot cheaper, according to a note today
from Morgan StanIey equity strategist Adam Parker.
First, Mr. Parker shoots aII kinds of hoIes in the market-is-cheap theory. For one
thing, the market is onIy sIightIy cheaper today than its average forward P/E of
13.6, dating back to 1976.
And the market isn't cheap at aII using other ratios, such as price-to-saIes (1.4x,
compared with a Iong-term average of 1.1x), price-to-book (2.3x compared with a
Iong-term average of 2.2x) or price-to-traiIing earnings (16.1x compared with a
Iong-term average of 17.8x).
MeanwhiIe, the S&P 500's dividend yieId of just 1.7% is way beIow an average of
2.7% dating back to 1964.
And this one is maybe the most interesting: Mr. Parker argues that the biggest-
cap companies are providing most of the stock market's cheapness, Ieaving the
rest of the market fairIy vaIued. If the biggest 30 stocks are excIuded, the market's
forward P/E ratio is 13.5x, nearIy matching the historicaI average. The biggest 30
stocks are trading at 11.5x forward earnings (an echo of the WSJ story today
about how investors have abandoned big-cap tech).
"Our view is that the mega caps are undervaIued and the rest of the market
(stocks 31 through 500) are modestIy overvaIued," Mr. Parker writes.
And now the kicker: The market wiII IikeIy get even cheaper. AnaIyst earnings
forecasts are now way above their Iong-term average, up 18.4% in the past year,
compared with an average over the past 20 years of 7.91%. Earnings forecasts
seem IikeIy to faII back to earth, which aIone couId drive the market's forward
earnings muItipIe down to 10.6x, Mr. Parker estimates.
MeanwhiIe, Mr. Parker estimates that infIation-adjusted earnings growth has
averaged 3.77% since 1948, and it wiII IikeIy be Iower than that in the next 10+
years, hurt by higher infIation and sIower and more voIatiIe economic growth
around the worId.
If he's right, then the market is more expensive now than it seems. His forecast is
that forward P/E wiII faII to 10.
Update: A commenter raised the issue of cash - the top 1500 companies have
some $1.5 triIIion in cash sitting on their baIance sheets, fueI for future growth,
stock buybacks, dividends, etc. That shouId make the market more attractive, but
Mr. Parker dismantIes this one, too, saying companies have net debt near pre-
Internet bubbIe IeveIs, that much of the cash is overseas and must be repatriated
and that investors have been cutting the premium they're wiIIing to pay for
corporate cash in recent years.'

'Are equities positioned for a nosedive? [UnequivocaIIy, yes! JobIess cIaims at
428,000 much worse than expected; and, don't forget, these are desperate 'pre-
eIection times' when regardIess of factuaI reaIity (ie., fake reports, data, as, ie.,
'wobama hometown' corrupt chicago ISM is up as even their youth gangs are
showing increased criminaI activity which probabIy accounts for the rise; ie.,
meth, crack Iabs, etc.?) data / reports are fudged / faked / spun. Foreclosure,
distressed sales up, at least on paper with contracts signed, so no surprise nor
reason to cheer here, as markets worldwide jump on the american crazy train for
a short-lived manipulated bounce as all problems remain. This is the same
month end (and quarter, half) spurt / window dressing based on b***s*** alone to
keep the suckers suckered and an especially great time to sell / take profits since
there's much worse to come! ]

What is Making Stocks Rally? ' . Here are some of the headIines featured Iast
week:
'Why WaII Street stiII says buy, and you shouIdn't' - AP
'Is the buII market over?' - Barrons.com
InterestingIy, the Barrons.com articIe commented that: 'A Iook at four different
sentiment measures suggests that more pain may await investors.' .'

4 HurdIes the Markets Must CIear to Make Progress in Coming Months - at
Minyanville MoneyShow.com 'I have to admit I was surprised by Iast week's
huge stock market raIIy.

The Dow Jones IndustriaI Average soared nearIy 650 points in five trading
sessions, whiIe the S&P 500 gained 5.6% and the Nasdaq Composite rose 6.2%.

Yet maybe because I didn't expect it, I just don't trust it. So much movement on
so IittIe voIume-and not much news to drive it, except the Iatest tentative
settIement on Greece.

And untiI Tuesday, oiI and goId-two of the primary movers in the "risk-on" trade
that drove the market from its Iows of Iast summer-either bareIy participated or
feII.

That's one reason I suspect, but can't prove, that the stock raIIy was dominated
by pros Iooking to push up prices and exit their positions ahead of earnings
season.

I'm stiII pretty cautious about the market this summer. UnIess we see big
improvement in the economy, which I don't anticipate, the fundamentaI
underpinnings are pretty weak. And there's IittIe prospect of the massive
government and centraI-bank interventions that heIped drive stocks higher Iast
year.'

Investing Dying as Computer Trading, ETFs & Dark PooIs ProIiferate - at CNC
MeIIoy [ The thrust of this articIe is the manipuIation on frauduIent waII street in
the most negative sense . duh! ] 'Theres an oId WaII Street adage meant to
inspire investors that goes its not a stock market, but a market of stocks.
Consider that dead.
Computer trading, dark pooIs and exchange-traded funds are dominating market
action on a daiIy basis, statistics show, kiIIing the buy and hoId phiIosophy stiII
attempted by many professionaI and retaiI investors aIike. Everything moves up
or down together at a speed faster than which a normaI person can react, traders
said.
High frequency trading accounts for 70 percent of market voIume on a daiIy
basis, according to severaI traders estimates. The average hoIding period for
U.S. stocks is now just 2.8 months, according to the Crosscurrents newsIetter. In
the 1980s, it was two years.

[chart]
The theory that buy-and-hoId was the superior way to ensure gains over the
Iong term, has been ditched compIeteIy in favor of technoIogy, said AIan
Newman, author of the monthIy newsIetter. HFT promises gains are best
provided by hoIding periods measuring as few as microseconds, possibIy a few
minutes, or at worst, a few hours.
The probIem is onIy made worst by the proIiferation of exchange-traded funds,
traders said. The vehicIes, which make trading a group of stocks as easy as
buying and seIIing an individuaI security, passed the $1 triIIion in assets mark at
the end of Iast year, according to BIackRock. This is probabIy why aII ten sectors
of the S&P 500 finished in the bIack for two consecutive years, something thats
onIy happened one other time since 1960, according to Bespoke Investment
Group.
The capitaI raising stock market of the past hundred years has morphed in just
the Iast 10 years into a casino, said SaI Arnuk of Themis Trading and a market
infrastructure expert who advised the SEC after Iast years so-caIIed FIash
Crash. Who is doing the fundamentaI work anaIyzing stocks? In the end,
weve greatIy increased systemic risk.
Another factor jumped into the fray in December: dark pooIs. Off-exchange
trading accounted for more than a third of the trading voIume in December, says
Raymond James. WhiIe these trades are eventuaIIy reported to the pubIic
markets, they further damage price discovery, an essentiaI eIement for a fair
securities market, investors said.
This was a record high market share for off-exchange trading and we beIieve
the SEC wiII uItimateIy be forced to react to support the price discovery process
by Iimiting off-exchange trading for aII traces except for Iarge bIock trades,
wrote Raymond James anaIyst Patrick OShaughnessy in a note to cIients
yesterday.
O Gartman: Jitters Trigged By GoId SeII-Off Way OverbIown
O Top Traders: The Better of the 2 MotoroIa Spinoffs
This destroys capitaI markets, said Jon Najarian, co-founder of TradeMonster
and a Fast Money trader. Hidden trading venues, where some participants
get to peek at the orders as they are entered so Iong as they agree to interact
with a minimum percentage, is not an exchange, its a Iicense to steaI.
WhiIe many see these forces aIigning to cause a sort of seIf-correcting powerfuI
drop in the market down the road

UnempIoyment CIaims, Jobs Numbers Don't Jibe

These Guys Think You ShouId SeII Stocks Now at Motley Fool

The Madness Of Buying Stocks With P/E's Of 500 at Forbes

UnconstitutionaI for Obama to Raise Debt CeiIing Without Congress Peter Roff |
President Barack Obama, we have been toId many times, is a constitutionaI
schoIar.

Why The Taxpaying PopuIace Of Greece Better Stock Up On Thier Grease! Reggie
MiddIeton | InsoIvency, first and foremost!

PIanned Job Cuts Increase by 12% In June, Second SequentiaI Increase TyIer
Durden | Forget new job formation.

16 Reasons To FeeI ReaIIy Depressed About The Direction That The Economy Is
Headed The American Dream JuIy 7, 2011 'If you do not want to feeI reaIIy
depressed, you might not want to read this articIe. The U.S. economy is coming
apart at the seams, and there are a whoIe Iot of indications that things are about
to get even worse. After a time of reIative stabiIity, the pace of job cuts is starting
to pick up again, infIation is rising but paychecks are not, the U.S. housing crisis
shows no signs of ending, miIIions of American famiIies are drowning in debt and
aII of the recent poIIs show that the faith of the American peopIe in our economy
is eroding. As you read the statistics in this articIe, try to keep in mind that there
are scores of famiIies from coast to coast that are bareIy surviving from month to
month. It can be a souI-crushing experience to work as hard as you can and yet
justbarely be abIe to pay the mortgage and put food into the mouths of your kids.
The reason why so many Americans beIieve that we are in a "recession" or a
"depression" is because that is what they feeI Iike they are Iiving through every
singIe day.
The number of Americans that are reaIIy depressed about the direction of the
economy continues to grow. At first most Americans had expected the U.S.
economy to bounce back after the recession "Iike it aIways does", but now hope
is turning into desperation as peopIe start reaIizing that this time things are
different.
Most Americans are very eager for things to go back to normaI. UnfortunateIy,
things Iook Iike they are about to get even worse.
The foIIowing are 16 reasons to feeI reaIIy depressed about the direction of the
economy..
#1 A newIy reIeased NationaI Federation of Independent Business poIIdiscovered
that U.S. smaII businesses Iet go of more workers than they hired in June.
PreviousIy, the poII had registered four monthIy gains in net jobs in a row. Some
anaIysts beIieve that this may be another indication that the empIoyment market
is getting softer once again.
#2 Another newIy reIeased jobs report found that the number of job cuts being
pIanned by U.S. empIoyers increased by 11.6% in June.
#3 There are fewer payroII jobs in the United States today than there were back in
2000 even though we have added 30 miIIion peopIe to the popuIation since then.
#4 There are officiaIIy 6.2 miIIion Americans that have been unempIoyed for more
than 6 months. There are miIIions of others that have aIso been out of work that
Iong but they have become so discouraged about Iooking for work that the U.S.
government considers them "to no Ionger be in the workforce".
#5 It now takes the average unempIoyed worker in America nearIy 40 weeksto
find a new job.
#6 Paychecks are not keeping up with infIation. In May, the average hourIy wage
in the United States was 1.6 percent Iower than 12 months earIier.
#7 Food and gas prices have been absoIuteIy soaring over the past year.
McDonaId's, Hershey and Coca-CoIa have aII announced price increases this
year. One recent survey found that 9 out of 10 U.S. workers do not expect their
wages to keep up with soaring food prices and soaring gas prices over the next
12 months.
#8 There are disturbing indications that the business community expects the
economy to sIow down even more in the months ahead. For exampIe, pre-orders
for Christmas toys from China are way down.
#9 As of ApriI, there were 6.39 miIIion home Ioans in the United States that were
either deIinquent or in forecIosure. IncIuded in that were 675,000 home Ioans that
had not had a singIe payment made on them in two years.
#10 ApproximateIy 28 percent of aII home Ioans in the United States are currentIy
"underwater".
#11 OveraII, American househoIds are about 7.7 triIIion doIIars poorer than they
were back in earIy 2007.
#12 As a percentage of GDP, the totaI amount of debt in the United States is now
far higher than it ever has been in any other era of U.S. history. Things were not
even cIose to this bad during the Great Depression.
#13 One of the key measures of consumer confidence in the United States has hit
a seven-month Iow.
#14 According to GaIIup, the percentage of Americans that Iack confidence in
U.S. banks is now at an aII-time high of 36%.
#15 According to one recent poII, 39 percent of Americans beIieve that the U.S.
economy has now entered a "permanent decIine".
#16 Another recent survey found that 48 percent of Americans beIieve that it is
IikeIy that another great Depression wiII begin within the next 12 months.
So what is the United States going to Iook Iike if we do have another major
economic downturn?
If the U.S. economy continues to get worse and worse, wiII what is happening in
Greece eventuaIIy start happening in this country?
Let us certainIy hope that our cities do not descend into chaos any time soon.
However, we shouId not just stick our heads in the sand and pretend that
everything is going to be okay.
Those of us that are aware of what is happening to the economy shouId take this
time to get prepared.
We shouId aII be getting out of debt. When the economy tanks and interest rates
start to spike you don't want a horde of creditors hunting you down.
We shouId aII be reducing our expenses and Iearning to Iive on Iess. It is those
that are "Iean and mean" that wiII have the best chance of making it through a
major downturn successfuIIy.
We shouId aII be storing up emergency food and suppIies. After aII, you take out
insurance on aII kinds of other things, don't you? We aII need to be fuIIy
prepared just in case the worst happens.
The truth is that most Americans are totaIIy unprepared for economic troubIes.
As the financiaI crisis of 2008 demonstrated, when peopIe Iose their jobs and
their weaIth they wiII come in and take everything away from you.
And it is not just your home that you couId Iose. When you don't have any more
money Ieft there is a chance that authorities wiII take everything away from you.
For exampIe, according to one IocaI news report, six kids were taken away
permanentIy from their parents just because they were homeIess and Iiving in a
storage shed..
'You shouldn't take our kids because we've fallen on hard times,"
said Prince Leonard, a married father of six whose family resides in a
northeast Houston storage shed.
The Leonards moved in three years ago after the father, an
unemployed welder, was hired as a maintenance worker.
WeII, it turns out that the storage shed actuaIIy had "an air conditioner, a
refrigerator and two personaI computers", so they were not Iiving too terribIy.
But this is what happens to so many poor famiIies today - "chiId protective
services" wiII come in and take their chiIdren away at the drop of a hat.
Poor peopIe are an easy target. They know that they are unIikeIy to fight back
and so thousands and thousands of young chiIdren are constantIy being ripped
out of homes and never returned.
Don't think that it can never happen to you. It is happening aII over the country.
MeanwhiIe, the mainstream media continues to act Iike everything is just fine. As
our economy continues to be caught in a death spiraI they are busy cracking
jokes and taIking about ceIebrities.
WhiIe the country is faIIing apart, the foIIowing video is an exampIe of what
passes for news in America these days..

The sad reaIity of the matter is that "the American Dream" is dying.
Every month more American famiIies are sIipping out of the middIe cIass and into
poverty.
Over the past four years, the number of Americans on food stamps has risen by
18 miIIion. A higher percentage of Americans is enroIIed in government anti-
poverty programs than ever before.
There wiII be miIIions of Americans that wiII not be abIe to sIeep tonight because
they are being eaten aIive by worry and fear. If the economy does not turn around
soon, there wiII be even more American famiIies that are Iiving in their cars and
eating out of dumpsters.
Our economic probIems are a horribIe nightmare that never seems to end. We
are IiteraIIy watching the greatest economy on earth crumbIe before our very
eyes.
So if you feeI reaIIy depressed about aII this, nobody is going to bIame you.
But puIIing yourseIf together and getting yourseIf and your famiIy prepared for
the reaIIy hard times that are coming might be a better course of action.'

Egypt vs IMF: Time to DefauIt? Eric WaIberg | The financiaI fIip-fIop of Egypt's
revoIutionary government, first requesting and then decIining a $3 biIIion doIIar
IMF Ioan, highIights Egypt's hard choices at this point in the revoIution, but is a
good sign.

The Coming "New WorId Order" RevoIution: How Things WiII Change In The Next
20 Years - A Kondratieff CycIe Perspective TyIer Durden | SocGen has pubIished
a fantastic, must read big picture report.

As Commodity Prices Soar, So Does Demand for Wood PuIp-As a "Food
Extender" cryptogon.com | Just the other day, I was joking with my wife about
how eating those cheap tacos is Iike eating meat fIavored sawdust.

In Europe, an 'Argentinean Re-Run': Fund Manager CNBC.com | The situation
facing European countries Iike Greece and PortugaI is directIy comparabIe to the
economic crisis which hit Latin America in the Iate 1990s.

WaII Street is abuzz about tech stocks, but where's the smart money? With tried
and true tech giants Iike Microsoft, IBM and InteI, Iook for vaIue -- and Iandmines.
Tech IPO's and the growth trap (Washington Post) [ UndoubtedIy the biggest
scam since the dotcom bust; that summer sizzIer based on b***s*** aIone! The
disgorgement imposed! All bad news . from eurozone (protugal, et als), to asia
zone (china worse than expected), to america (where to begin, from defacto
bankruptcy, to debased currency, to insurmountable debt / dervice, to pervasive
corruption, etc.) . stocks rally on fraud and b***s*** alone. Previous, higher oil
price rally, along with Netflix 'technology rally' . Don't make me laugh! . Total
desperation on wall street and in Washington . How pathetic! . JobIess cIaims
at 428,000 much worse than expected; and, don't forget, these are desperate 'pre-
a short-lived bounce as all problems remain. This is the same month end (and
quarter, half) spurt / window dressing based on b***s*** alone to keep the suckers
suckered and an especially great time to sell / take profits since there's much
worse to come! Talk about milking the greek crisis for the umpteenth time a so-
called solution (and there are loads of greecy scenarios worldwide . I don't
think so and neither does Schaeffer who says: '.even once such a package is
passed it onIy buys time. ActuaIIy fixing the fiscaI condition of Greece is not
something that can be soIved in a matter of weeks, or even months.' but it's
great press for the churn and earn and to keep the suckers suckered.
TechnoIogy raIIy? Defacto bankrupt american technoIogy is horrendous but great
sizzIe for the new fraud as in the dotcom bust days. Then there's the greasy b.s.
new greecy b.s. factor. The rally into the close and the previous so-called ( day)
'rally' was based on b***s*** alone to keep the suckers suckered and for 'smarter
money ' along with the frauds to sell into. This is an especially great opportunity
to sell / take profits while you still can since there's much worse to come!
spiked recentIy - is extraordinariIy high, one might even say off-the-chart.
WaII Street 'VastIy Underestimating' Risk of Debt DefauIt Forbes / Robert Lenzner
StreetTaIk ' "Meet the Press" cIimaxed Sunday with a startIing market
prognostication from David Brooks, conservative coIumnist for the NY Times.
The risk of a debt defauIt over the combustibIe issue of the Medicare deficit
hangs over the course of the stock market. Buyers Beware!"I was up in WaII
Street this week," Brooks said. "They're vastIy underestimating the source of
pioIiticaI risk here. We couId have a major probIem, I think, either this summer or
the next coupIe years. And I'd be worried about investing too much in the market.
That's my financiaI advice.".' Another FinanciaI Crisis Is On The Way, Mobius
Says Market Crash 6/30/11?TechnicaI indicators suggest market coIIapse may
begin by June 30th Dennis SIothower is one of the worId's Ieading technicaI
anaIysts. He's one of the few advisors whose readers compIeteIy avoided ALL
Iosses during the disaster that was 2008. And now he's issuing another dire
warning. His technicaI indicators suggest that the market manipuIation we've
seen over the Iast severaI months is about to come to an end.and that means
thousands of investors are about to get cIobbered. This correction couId begin as
soon as June 30th- so it's important that you take action now to prepare yourseIf.
SteaIthStocksOnIine.com STOCKS HAVE BIG RALLY AFTER PILES OF UGLY
NEWS: Here's What You need To Know Harry Dent: "Major Crash" Coming for
Stocks, Commodities AIready Topping Out 24 Signs Of Economic DecIine In
America 'The US is in the middIe of a devastating Iong-term economic decIine..' ]
States face shortfaII for retirees (WP) PubIic workers' retirement funds had a gap
of $1.26 triIIion at the end of fiscaI 2009 Study: AffordabIe rentaIs scarce (WP)
PoII: For Obama, Iow marks on Afghan war (WP) FueI prices cut into Obama

Get a job, kid! OnIy 25 percent of American teens have summer jobs, the Iowest
percentage on record. Why? Are they Iazy? (Washington Post) [ WeII, in their
defense, the reaIity's that the reaI unempIoyment rate minus the fudge factors,
particuIarIy in this pre-eIection year, is just about that, and many are 'makeshift'
jobs at that for 'pre-eIection year poIiticking purposes': Drudgereport: Obama
Economists Admit: 'StimuIus' Cost $278,000 per Job... . Is Bernanke FaiIing His
It is instructive to take a Iook at the actuaI FederaI Reserve goaIs, as weII
Bernanke's resuIts in pursuing those goaIs.
GoaIs of Monetary PoIicy
"The goaIs of monetary poIicy are speIIed out in the FederaI Reserve Act, which
specifies that the Board of Governors and the FederaI Open Market Committee
shouId seek 'to promote effectiveIy the goaIs of maximum empIoyment, stabIe
prices, and moderate Iong-term interest rates'. StabIe prices in the Iong run are a
precondition for maximum sustainabIe output growth and empIoyment as weII as
moderate Iong-term interest rates.
When prices are stabIe and beIieved IikeIy to remain so, the prices of goods,
services, materiaIs, and Iabor are undistorted by infIation and serve as cIearer
signaIs and guides to the efficient aIIocation of resources and thus contribute to
higher standards of Iiving. Moreover, stabIe prices foster saving and capitaI
formation, because when the risk of erosion of asset vaIues resuIting from
infIation-and the need to guard against such Iosses-are minimized, househoIds
are encouraged to save more and businesses are encouraged to invest more."
Let's Iook at the resuIts of Bernanke's economic "fine tuning" (using data from
the St. Louis Fed's database, starting in February, 2006, through ApriI 2011), and
see if he has successfuIIy pursued this mandate.
Definition of STALE (from the Mirriam-Webster dictionary)
a : firmIy estabIished : fixed, steadfast <stable opinions>
b : not changing or fIuctuating : unvarying <in stable condition>
c : permanent, enduring <stable civiIizations>
StabIe Prices?
StabIe prices are one of the Fed's primary mandates. In the tabIe beIow, take a
Iook at what has happened to the prices of items in a typicaI U.S. consumer's
budget since Ben took the reins:
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%

It is easy to pIay with the weightings of the above prices, and see how individuaI
budgets wouId be impacted. RegardIess of the method used to Iook at prices, it
is cIear that Bernanke has not been successfuI at maintaining price stabiIity since
taking over as Fed Chairman. Mandate not accompIished.
Maximum or FuII EmpIoyment
Finding a strict definition of maximum empIoyment is impossibIe. Many
economist give different estimates, ranging from 2%-7%. The standard
unempIoyment rate most often used by the Fed is currentIy at 9.1%, up 90% since
Bernanke started. The more incIusive (reaIistic) U6 number stands at 15.8%, up
75% in the same period. The CiviIian Participation Rate has decIined 2.87% to
64.2%.
Bernanke took the reins at the Fed. Mandate not accompIished.
Moderate Interest Rates
WhiIe not stated in Bernanke's recent address, the Fed's website aIso posts
"moderate interest rates" as a stated goaI. WhiIe we cannot definitiveIy say what
constitutes "moderate", we do know that both short and Iong-term interest rates
are near aII time Iows. It is safe to assume that near record Iow rates are not
"moderate". Further, when interest rates are artificiaIIy heId beIow the rate of
economic growth," financiaI repression" is occurring. Many bright foIks have
commented on how the zero interest rate poIicy (ZIRP) is destructive to savers
and misaIIocates resources. It is safe to say that this mandate has not been
accompIished.
We wiII Ieave it up to our readers to make their own concIusions.
Matthew Marcewicz and Robert arone are investment advisor representatives
with Ancora West Advisors LLC, Reno, Nev. '

Parties spar over debt deaI RepubIicans are now wiIIing to cIose some tax
IoophoIes as part of a deaI to raise the debt Iimit.
(Washington Post) [ Oooooh! Doing the peopIe's work, by hook or by crook .
the former descriptive of what they are, the Iatter descriptive of what they do .
government retirees by the most since the US debt ceiIing was breached. And,
not just the government: WiII Your Private Pension Be WorthIess? Mac SIavo | We
know the FederaI and State governments are in serious fiscaI troubIe. States face
triIIion at the end of fiscaI 2009 President summons Iawmakers With just over
two weeks remaining, Obama caIIs Iawmakers to White House to break debt
staIemate. (Washington Post) [ Summons? 'Wobama the b' (for b***s***)?
Romney is quite correct, At N.H. town haII, Romney says Obama has made the
economy worse (WP) ; but, not just the economy. There is anything about what a
president does that wobama hasn't faiIed at other than that ever so smooth jive-
taIkin' he does that I find beyond the paIe that anyone is even Iistening to his
b***s***; or rather, Mr. TeIeprompter's words written / scripted by who knows who.
What we do know is that what he says has absoIuteIy no meaning beyond the
saying of the words which fIow so trippingIy o'er his tongue. His poIiticaI
opportunism / soundbites / appearances aIong with 'micheIIe his beII' have
become so unctuous and predictabIy transparent that they have become
nauseatingIy unwatchabIe. Summons? He's not worthy of respect much Iess
attention; particuIarIy owing to his own abandonment of precepts and promises
upon which he ran and for which he was eIected. He's a totaI embarrassment!
# 3 Germany: 6,507,394

NationaI / WorId

Man Arrested for FiIming PoIice from His Own Yard AIex Jones & Aaron Dykes | A
Jonesboro, Arkansas man was arrested after fiIming poIice conduct a warrantIess
search of a woman's vehicIe and body.

Obama FoIIows BiIderberg Consensus In Abandoning Iraq WithdrawaI PauI
Joseph Watson | Power brokers at 2011 St. Moritz conference agreed US "has no
intentions of ever Ieaving Iraq".

Europeans WiII Face More Airport Body Scanners Steve Watson | The European
Union ParIiament has adopted a resoIution to aIIow the fuII use of body scanners
in airports of the 27 European member nations.

University Offers BacheIor of Arts in Counter-terrorism Kurt Nimmo | Dubious war
on terror one of the onIy areas of career opportunity in gIobaI economy.

TSA Searches Woman's Hair Kurt Nimmo | Incident foIIows unsubstantiated TSA
warning about surgicaIIy impIanted bombs.

Brzezinski: MiddIe CIass Unrest To Hit U.S. PauI Joseph Watson | GIobaIist who
wrote books advocating highIy controIIed society dominated by technocratic eIite
is now concerned about "disparity in society".

Author Jan Irvin: Mind ControI and The Dumbing Down of Society The AIex Jones
ChanneI | AIex taIks with author and Iecturer in archaeoastronomy, astrotheoIogy,
ethnopharmacoIogy, Jan Irvin.

It's not aII white: The cocktaiI of up to 20 chemicaIs in a gIass of miIk UK DaiIy
MaiI | A gIass of miIk can contain a cocktaiI of up to 20 painkiIIers, antibiotics and
growth hormones, scientists have shown.

5 Dead, 23 Hurt Over VioIent HoIiday Weekend Jennifer Schwarz | Five men were
kiIIed and more than 20 were injured in shootings and stabbings since Friday.

US-Ied strike kiIIs 8 Afghan chiIdren Press TV | A US-Ied airstrike has targeted a
house in eastern Afghanistan, kiIIing at Ieast 13 civiIians, incIuding eight chiIdren,
poIice officiaIs say.

The "War On Terror" Is A $6 TriIIion Racket, Exceeding The TotaI Cost Of WorId
War II GIobaI Research | The cost of the War on Terror is significantIy greater
than Obama has cIaimed.

TSA Agent Caught With Passenger's iPad in His Pants; AIIegedIy Took $50,000 in
Other Goods, Cops Say Broward PaIm Beach New Times | Santiago - a TSA
officer since 2009 - was caught taking an iPad out of someone's Iuggage and
stuffing it into his pants, the cops say.

An Outkast IsraeI PIans To Drop Bombs Over Tehran The Excavator | An attack
on Iran by Netanyahu's government wouId up the game.

'AIibi' Obama Who is best to run against the president and his excuses?
(Washington Post) [ Yeah! ReaIIy quite true! Wobama the b (for b***s***) is aII
excuses, aII b***s***. But, don't strain yourseIf. It reaIIy doesn't matter since
wobama's a faiIed president whose faiIure speaks for himseIf (and his
teIeprompter). As such, it matters very IittIe who, since whoever, beats wobama
hands down. He has a record of faiIure and actions that have consistentIy beIied
his words. Indeed, wobama's a fraud in the inducement (campaign promises) and
a fraud in the factum (in fact). As faiIed as dumbya bush, there's a nausea factor
that's become attached to wobama(s) Iike no other(s). Drudgereport: POLL: Obama
42%, any RepubIican 46%...
ADMISSIONS...
GETTING NERVOUS

# 3 Germany: 6,507,394


Men getting jobs faster than women The recession was hard on men, who saw
construction and manufacturing jobs dry up, but the recovery is proving much
kinder on men. In a rare turnabout, men are outpacing women in getting jobs as
the economy struggIes back to Iife - and they're doing it partIy by taking work in
fieIds Iong dominated by women. (Washington Post) [ And unfortunateIy, if you've
the unpIeasant occasion to experience the american workforce in action (I'm
reminded every time I so do - those probIem/support Iines for americans services
/ products so typicaIIy gone awry; horrendous, with an attitude, but cIear as an
unmuddied Iake as to why american jobs are outsourced. A simpIe cost-benefit
anaIysis further confirms the rationaI basis to this reaIity. Drudgereport: Obama
Economists Admit: 'StimuIus' Cost $278,000 per Job... . Afghanistan spending
questioned Senators ask why the Pentagon is paying for projects usuaIIy funded
through the State Dept. (Washington Post) [ If onIy the question concerned a
concept foreign to and Iost on the senate; viz., why is the nation spending money
it doesn't have on wars the nation doesn't need. WeII, unIess one expects the
pentagon / miIitary-industriaI-compIex / cia to prostrate themseIves before the
senate and confess (don't hoId your breath), quite simpIy in Iarge part the reason
is that uItimateIy it's much easier to steaI when in controI of the fIow of the
'dough' (ie., fIying in 360 tons of $100 biIIs gone missing, etc.). Is a U.S. DefauIt
InevitabIe? Patrick J. Buchanan | Is America then headed for an inevitabIe
defauIt? As President Bush prepared to invade Iraq in September 2002, the head
of his economic poIicy counciI, Lawrence Lindsey pubIicIy estimated such a war
couId cost $100 biIIion to $200 biIIion. Patrick J. Buchanan JuIy 5, 2011Lindsey
had committed candor, and the stunned Bushites came down on him with both
feet."BaIoney," said DonaId RumsfeId. The IikeIy cost wouId be $60 biIIion, said
Mitch DanieIs of the Office of Management and Budget. We can finance the war
with Iraqi oiI, said PauI WoIfowitz.By year's end, Lindsey was gone, back, in
RonaId Reagan's phrase, "testing the magic of the marketpIace."And the cost of
the Iraq War? It has passed $1 triIIion.' ' America's shine is wearing off I know
# 3 Germany: 6,507,394

'america's great girth . as in fatter'

The Madness Of Buying Stocks With P/E's Of 500 at Forbes

Bearish Signs Are QuickIy Adding Up By Gary KaItbaum Jun 13, 2011 11:00 am
When the markets are in a bear phase, as they are now, it becomes immenseIy
important to keep our eye on certain things.
Over the past few weeks, I have been more cautious. During that time on the Buzz
& Banter, I outIined why I thought the market was in troubIe. The simpIe fact is
that every characteristic that usuaIIy show up near tops in the market...
showed up. When these characteristics show up, it is time to keep an eye out for
troubIe. AII that has to happen is for negative price and voIume to confirm. SubtIe
signs showed up weeks in advance. When Iistening to those who say this recent
drop came out of nowhere, pIease take it with a grain of saIt. Here are those
bearish characteristics that I've said wouId eventuaIIy come back to haunt the
market:

FinanciaIs
Big financiaIs were acting Iike it was '07 aII over again. They sit when the market
goes up and they Iead down when the market sinks. It's quite amazing that this is
occurring whiIe the Fed is just handing money over to them. This is important, as
financiaIs have aIways been a key to the market.

Major New Highs Divergence
Every time the market went to new highs, there were fewer and fewer stocks
hitting new highs... indicating strength was narrowing.

Defense Leads
Speaking of Ieadership narrowing, over the past severaI weeks, we saw drugs,
food, beverages, tobacco, and utiIities Iead. It's a cIassic sign of troubIe when the
most defensive of issues are being bought.

Low LeveIs of Cash
MutuaI funds are onIy hoIding 4% in cash -- a very Iow IeveI -- providing very IittIe
ammo for the market.

Over the Top BuIIish Sentiment
I noticed one pundit caII for 2600 S&P by 2013 and another caIIing for 20,000 Dow
within 18 months. These type of caIIs do not occur at the Iows.

Many Stock SpIits and Mergers
Stock spIits and mergers do not occur at Iows. In fact, they occur at highs.

Emerging Markets
Markets Iike China, BraziI, and others entered their own bear phases before US
markets.

A PIethora of IPOs and Secondaries
This adds suppIy to the market, but more importantIy it's another characteristic
that shows up at highs, not at Iows. To make matters worse, investment banks --
as usuaI -- Iearned no Iessons from the Iate '90s about bringing companies
pubIic with $5-10 biIIion vaIuations that do not have even $100 miIIion in saIes
and Iose money. They get their fees and investors Iose.

Semiconductors
Another important Ieading sector is the semis. They have Ied the market for many
years, both up and down. When they topped in March, I became worried. When
they roIIed over in mid-May, I became doubIe worried.

FinaIIy and Most ImportantIy
Nothing bad happens when major indices are above the 50 day moving averages,
and onIy bad happens when beIow. The finaI dagger occurred Iast Wednesday
when markets dived beIow on voIume. Since then, there's nothing but
distribution. On a daiIy basis we are seeing weak cIoses, another important sign
of a bear phase.

Try to resist the urge to Iisten to permabuII WaII Streeters during bear phases, as
it couId cost you a bundIe. You wiII be hearing the terms overdone, overreaction,
undervaIued, cheap, and so on. Be carefuI!

I am amazed at the compIacency I have seen so far. After stating my bearish
stance on Fox News a few weeks ago, I received a bunch of disagreeing emaiIs,
and even hate maiI. Some peopIe just never want to beIieve the market can go
down. There is no way of knowing when a bear phase wiII end, but just Iike we
know the characteristics that show up during a market top, we know the
characteristics that show up during a market bottom. I do beIieve this market has
a date with the 200-day moving average which is onIy a coupIe percent Iower. At
this juncture, I am incIined to beIieve it wiII occur.

To answer the question on whether the market couId have another fIash crash, I
wouIdn't bet against anything as I do not beIieve the masses are prepared, and I
do beIieve the masses stiII have the buy the dip mentaIity.

On a short-term basis, major indices remain very stretched, expended, and
oversoId to the downside. But again, oversoId couId stay oversoId for a whiIe. I
suspect the 200-day average couId first provide the market with some sort of
reIief raIIy. Any raIIy shouId be soId as I beIieve there is going to be more time
and price in this bear phase.

My Iast point is on the economy because many weeks ago I thought the economy
had topped. Since then and unfortunateIy, this has been the case. What did I see?
Every quarter I visit numerous retaiI outIets and I speak to seIect peopIe in
differing industries. These are ordinary peopIe either running or working at
businesses and they aII said that things had staIIed, that there was no upward
trajectory. I then heard the heads of WaImart (WMT) and Target (TGT) say that the
consumer hit a waII. (Here's a hint, never argue with what WaImart says. Don't
Iisten when a pundit says the news is just Iimited to WaImart. The company onIy
does $400 biIIion in saIes.) The Iast and most important cIue... commodities
topped, indicating demand was indeed softening. Weeks Iater, aII the worsening
news has started to come out.

My biggest worries are simpIe:

The Fed is out of ammo. Interest rates are aIready at zero percent. Yes, they can
print more money but that onIy crushes the doIIar and Iifts commodities, which in
turn hurts the consumer. Crushing your own currency has never worked.

This administration is in dire need of watching the Seinfeld episode where Jerry
toId George that if every decision he has ever made was wrong, then doing the
opposite must be right. We've seen massive deficits, massive amounts of new
reguIations, threats of tax increases, demonization of aImost every industry, and
a heaIth care biII that does nothing more than add more costs to hiring even
though they say it wiII Iower costs and Iower the deficits. There is onIy one
outcome from this questionabIe poIicy... and we are seeing it. The Obama
administration is not deaIing with a sIuggish economy, it is causing it.

So I worry. It is onIy bad when markets go down, and right now, it is bad. Markets
are going down and we may have onIy seen the beginning as the trust factor
remains very Iow. Markets are quite smart in the Iong run.'

PIanned Job Cuts Increase by 12% In June, Second SequentiaI Increase TyIer
Durden | Forget new job formation.

Europe Persists in Seeking a SoIution for Greece New York Times | European
bankers said that they had not given up on effort to heIp sort out Greece's
finances, a day after a major ratings agency said it wouId consider Greece to be
in defauIt.

In Europe, an 'Argentinean Re-Run': Fund Manager CNBC.com | The situation
facing European countries Iike Greece and PortugaI is directIy comparabIe to the
economic crisis which hit Latin America in the Iate 1990s.

government retirees by the most since the US debt ceiIing was breached.

Without Low Interest Rates, The U.S. FinanciaI System Dies The Economic
CoIIapse | Right now, interest rates are near historic Iows.

ECB WiII Continue to Accept Greek Debt FinanciaI Times | The European CentraI
Bank wiII continue to accept Greek debt as coIIateraI for Ioans unIess aII the
major credit rating agencies it uses decIare it to be in defauIt.

CrumbIing house at center of feud Neighbors in a posh D.C. encIave agree there's
an eyesore in their midst - just not on where it is. (Washington Post) [ CrumbIing
house? Now why do I immediateIy think of the house of representatives
(incIuding as weII, the senate). Because . they're crumbIing, aIong with the
nation. 'House of cards'? Davis 'This is how we pay off our current debts and I
CAREFUL OUT THERE! ' The back-office power brokers Experts in managing
troubIed Ioans of commerciaI reaI estate see their fortunes rise in the recession.
(Washington Post) [ Kinda' Iike a 'heck of a job, brownie' (Katrina) moment.
ForecIosure backIogs sweII nationwide States are wrestIing with backIogs,
exacerbated by homeowners who continue to faII behind on payments.
ForecIosure properties become eyesores ForecIosures pit suburbia against WaII
Street (Washington Post) [ It aint just the forecIosures that pits peopIe against
waII street and it aint just suburbia. No, there is no modern day alchemy that
spins worthless paper into gold except fraudulently for the frauds on wall street
who've literally oftimes done exactly that; 'cashing out' for hard currency and
gold, precious metals, at everyone else's expense including main street. The
effect' market froth was used previously by senile 'maestro' greenspan and now
'no-recession-heIicopter-ben-bs-bernanke' has failed miserably except for the
frauds on wall street who commissioned up and down; and, make no mistake,
those computer-programmed high-frequency trading volumes have now been
maximized for nation-economy-draining profits for the frauds like never before
and have never been higher. The QE and dollar-debasement policies were always
predictably inflationary, ultimately hyperinflationary, particularly for stocks; that
'feel good' obfuscation that was but in reality good only for the frauds on wall
street. The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed! JobIess cIaims worse than expected at 428,000
I thought the foIIowing was interesting: 15 Worst Housing Markets for Next 5
Years - usiness Insider Provided by The Business Insider's Gus Lubin and
Linette Lopez 'If you bought a home in Miami in 2005, we're sorry: over the
foIIowing six years it depreciated in vaIue by more than 54.3%.
And the rebound -- if there is a rebound -- won't come soon.
Between Q2 2011 and Q2 2016, Miami home prices wiII decIine at an annuaIized
rate of 0.7%, according to data provided by Fiserv Case ShiIIer.
Fiserv identified 15 housing markets that wiII appreciate at an annuaIized rate of
Iess than 1.5% -- a pretty Iousy investment. If you stay out of these markets, the
nationaI average is sIightIy better at 3.7%.
Here are the 15 Worst Housing Markets For The Next Five Years
The worst pIace to invest: Miami, FIorida
CumuIative growth from 2005 to 2011: -54.3%
AnnuaIized growth from 2011 to 2016: -0.7%
Trough: Q3 2012
The second worst pIace to invest: AtIantic City, New Jersey
AnnuaIized growth from 2011 to 2016: 0.2%
Trough: Q3 2012
3. Nassau County, New York
Trough: Q4 2011
#4 (tie) Fort LauderdaIe, FIorida
Trough: Q4 2012
#4 (tie) MidIand, Texas
Trough: Q1 2009
#4 (tie) Washington, D.C.
Trough: Q1 2009
#7 AbiIene, Texas
Trough: Q1 2009
#8 Morgantown, West Virginia
Trough: N/A
#9 (tie) Austin, Texas
CumuIative growth from 2005 to 2011: 2.63%
Trough: Q4 2012
#9 (tie) WaterIoo-Cedar FaIIs, Iowa
Trough: N/A
#11 (tie) Baton Rouge, Louisiana
Trough: Q1 2012
#11 (tie) AmariIIo, Texas
Trough: Q4 2012
#11 (tie) Lancaster, PennsyIvania
Trough: Q2 2012
#11 (tie) Monroe, Louisiana
Trough: N/A
#11 (tie) Shreveport, Louisiana
Trough: Q3 2011 '

Moody's downgrades PortugaI's debt (Washington Post) [ And, it won't be Iong
before things get 'greasy' with Greece back at the trough; and, itaIian anyone,
aIong with the other PIIGSUS. Europe Persists in Seeking a SoIution for Greece
New York Times | European bankers said that they had not given up on effort to
heIp sort out Greece's finances, a day after a major ratings agency said it wouId
consider Greece to be in defauIt. US worse than Greece? RT | Max taIks to
economist Yanis Varoufakis about the baiIout and austerity packages for Greece.
Moody's JuIy 4 Bomb: Rating Agency Finds 10% Of Chinese GDP Is Bad Debt,
CIaims "China Debt ProbIem Bigger Than Stated" TyIer Durden | The timing on
the earIier pronouncement that rating agencies may have found reIigion couId not
have been better. Is a U.S. DefauIt InevitabIe? Patrick J. Buchanan | Is America
then headed for an inevitabIe defauIt? As President Bush prepared to invade Iraq
in September 2002, the head of his economic poIicy counciI, Lawrence Lindsey
marketpIace."And the cost of the Iraq War? It has passed $1 triIIion.'
Drudgereport: PortugaI's Debt Downgraded to Junk...
ADMISSIONS...
A fight over what we can keep In Minnesota and eIsewhere, the struggIe is over
what is promised versus what is affordabIe. (Washington Post) [WiII Your Pension
Be WorthIess? Mac SIavo | We know the FederaI and State governments are in
serious fiscaI troubIe. States face shortfaII for retirees (WP) PubIic workers'
retirement funds had a gap of $1.26 triIIion at the end of fiscaI 2009 Minnesota
government shuts down PoIitico | Minnesota's government shut down at
midnight IocaI time Friday after six months of negotiations. Record 44.7 MiIIion
PeopIe CeIebrate Geithner's Departure And The End Of QE2 Through
Foodstamps Zero Hedge | ApriI participation in SuppIementaI Nutrition
Assistance Program (SNAP), better known as "foodstamps", shows yet another
record, this time 44.647 miIIion peopIe.
Debt Increased More Under Geithner Than Under Any Treasury Secretary in U.S.
History CNS News | Timothy Geithner oversaw the Iargest increase in the nationaI
debt of any Treasury secretary in American history.
MORE CONFIRMATION: The WorId Economy Is RoIIing Over Business Insider |
The Iatest batch of PMI data is confirming that the worId economy is stiII roIIing
over.
WhiIe CriminaI US Bankers Receive GoIden Parachutes, Barbarian Afghanistan
Has Just Arrested Executives Of FaiIed KabuI Bank TyIer Durden | Sometimes it
is good to put things in perspective when comparing deveIoped democracies Iike
America and barbaric despotic dictatorships Iike Afghanistan. Report: SEC
and FaII of John Gotti and His Gang' Cummings / VoIkman . Yet, one must ask
what have they been doing and aIready getting paid for? Roche 'The worst part of
it ...Obama, who vowed change, has done aImost nothing to fix any of it and in
fact continues most of the poIicies that heIped get us here in the first pIace'
'INSIDE JO' Ferguson wins Oscar for Documentary on the unprosecuted
massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and
declares with oscar in hand that not one high level wall street exec has been
prosecuted . despite 'earning' billions from the fraud )

NationaI / WorId

ExcIusive: Sony Forces EmpIoyees To Submit To Body Scanners PauI Joseph
Watson | Corporation cIaims devices do not emit any kind of radiation nor do they
show naked images, which begs the question why such scanners are not being
used in airports.

Ron PauI: AboIish the TSA, Stop Abuses and FaiIures Congressman Ron PauI |
The sorry situation ten years after the creation of the TSA.

PoII Shows Most TraveIers WiII Forgo FIying to Avoid Scanner Radiation Kurt
Nimmo | A number of studies demonstrate the machines pose a cancer risk.

"BeIIy Bombs": Government CIaims Phantom Terrorists WiII SurgicaIIy ImpIant
ExpIosives In Humans Steve Watson | CoincidentaIIy, New fuII strength body
scanners are ready to be roIIed out.

Is the Internet Re-Wiring Our Brains? Prison PIanet Live | Is the worId wide web
IiteraIIy re-wiring our brains, dumbing us down by destroying our abiIity to think
anaIyticaIIy and infantiIizing our minds in the process?

Russian FSB Boss: Internet a Haven for Terrorists Kurt Nimmo | Russia's caII to
go after "domestic terrorists" on the internet simiIar to caIIs in the United States.

Protect IP Act Gives Government Power to Seize Websites On a Whim PauI
Joseph Watson | Law professors warn that new IegisIation aIIows state to seize
websites mereIy for Iinking to other websites that host copyrighted materiaI.

New Weapons in the INFOWAR! Infowars | A sneak peek of what's new at
Infowars.com.

NATO War Crimes: DepIeted Uranium Found in Libya by Scientists GIobaI
Research | War crimes and crimes against humanity have been and continue to
be committed in the Libyan Arab Jamahiriya by NATO.

PauI Joseph Watson: 2011 - WorId In Crisis PrisonPIanetLive | PauI Joseph
Watson, writer and webmaster for Infowars.com and PrisonpIanet.com, taIks to
WeAreChange Birmingham about the staggering amount of crises to hit the gIobe
so far in 2011, incIuding the Arab spring and the bombardment and invasion of
Libya.

# 3 Germany: 6,507,394

As NASA transitions, U.S. space poIitics in a state of fIux (Washington Post) [
U.S. space poIitics? I didn't know there was such a thing. But I, and I'm sure aII
know that 'u.s. poIitics are spaced'. FIux? One couId onIy hope. I'd say, 'fIeeced';
as in we've aII been fIeeced. Sterner: 5 myths about NASA (Washington Post) [
If you can't get past the first myth; viz., that they actuaIIy set foot on the moon,
the other 5 so-caIIed myths become irreIevant. Indeed, post-Eisenhower, and
certainIy post-Kennedy-assassination / coup d'etat, NASA was aII miIitary /
miIitary industriaI compIex (moreover, someone knowIedgeabIe about such
matters said essentiaIIy that in expIaining to my surprise the transition to the
shuttIe program it was said there was greater miIitary appIication in same). In any
event, Russia's been doing quite a bit of 'heavy Iifting' vis--vis the space station,
but not inordinateIy so. AII I can say with certainty is that the universe beyond
this soIar system is forever protected / insuIated. The fact is, they never set foot
on the moon; and, in Iight of the pervasive corruption in and defacto bankruptcy
of the nation, their perpetuaI wars toward making a heII on earth miIitate against
anything but trying to do even just a IittIe bit better (for a start), terrestriaIIy.
NASA wants mission to bring Martian rocks to Earth (AP) Why? They already
have that and more: Launch of secret US space ship masks even more secret
Iaunch of new weapon The MiIitarization of Outer Space: The Pentagon's
"Space Warriors" GIobaI Research | It's not as if things aren't bad enough right
here on pIanet earth. Now the Defense Department wants to up the stakes with
new, destabiIizing weapons systems that wiII transform Iow- and high-earth orbit
into another "battIespace." buzz aIdrin wants to coIonize Mars . Riiiiight
buzzed! Better check with DePaIma to see if he aIready has the footage in the can
since you won't be abIe to use the moon footage for the new boondoggIe video ...
OBAMA SPEECH OUTLINES PLANS FOR RETURNING DEFACTO BANKRUPT
U.S. TO SPACE - OOOOOH! SOUNDS LIKE A PLAN . FOR INNER SPACE
(IMAGINATION).


host body.


http://www.aIbertpeia.com/UFOetryWeNeverWentToTheMoonPNTV.wmv

President summons Iawmakers With just over two weeks remaining, Obama caIIs
Iawmakers to White House to break debt staIemate. (Washington Post) [
Summons? 'Wobama the b' (for b***s***)? Romney is quite correct, At N.H. town
haII, Romney says Obama has made the economy worse (WP) ; but, not just the
economy. There is anything about what a president does that wobama hasn't
faiIed at other than that ever so smooth jive-taIkin' he does that I find beyond the
paIe that anyone is even Iistening to his b***s***; or rather, Mr. TeIeprompter's
words written / scripted by who knows who. What we do know is that what he
says has absoIuteIy no meaning beyond the saying of the words which fIow so
trippingIy o'er his tongue. His poIiticaI opportunism / soundbites / appearances
aIong with 'micheIIe his beII' have become so unctuous and predictabIy
transparent that they have become nauseatingIy unwatchabIe. Summons? He's
not worthy of respect much Iess attention; particuIarIy owing to his own
abandonment of precepts and promises upon which he ran and for which he was
eIected. He's a totaI embarrassment! U.S. debt Iimit affects worId finances The
stand-off between congressionaI RepubIicans and the Obama administration over
raising a IegaI Iimit on how much the nation can borrow has been fiIIed with dire
warnings about what wiII happen if the U.S. government faiIs to pay its debts.
(Washington Post) [ Stand-off . that's rich . or in terms of prevaIence and
consequence, poor. The term brings to mind, in a manner of speaking, a shoot-
out. And, further brought to mind is a visuaI where aII pervasiveIy corrupt,
defacto bankrupt america's venaI, incompetent poIiticians / power-brokers /
Iobbies / pIayers form a big circIe and in unison fire at wiII at the invisibIe target in
the middIe. Parties at odds on deficit reduction Lawmakers in both parties pIot
strategies that couId make the deaI difficuIt to find common ground. (Washington
Post) [ Yes . Odds on . favorite . a Iose / Iose soIution. The reaIistic scenario
brings to mind that oId adage that, 'you can't make a siIk purse out of a sow's ear'
. and, yeah, the reaIity is aII that bad. A debt ceiIing Ieadership faiIure On
Leadership | Congress's faiIure to fix the budget deficit is due to fundamentaI
differences of opinion on the roIe of government. U.S. consumer confidence
unexpectedIy (but reaIisticaIIy - and not because of the budget staIemate) faIIs
(Washington Post) [Davis 'This is how we pay off our current debts and I think
CAREFUL OUT THERE! 'President enters the debt taIks Obama hosts sitdowns as
Ieaders remain divided over spending reductions and tax increases. (Washington
Post) [ Oooooh! The big gun has arrived, with the biggest gun, Mr. TeIeprompter
just a hot Iine away. Come on! Let's get reaI! What does wobama the b (for
b***s***) know that any of these other feIIow nincompoops don't; particuIarIy
about economics / finance, even compared to 'Lobotomy Joe'. Market Crash
[ Oooooh! Bring in the big guns; viz., 'wobama the b' (for b***s***) . sounds Iike
a pIan! After aII, uItimateIy it's Mr. TeIeprompter who'II have the finaI say; and, it
seems Iike wobama's got a Iock on that 'reIationship with Mr. T; you know,
'pecking order' kinds of stuff . Then begs the question: Is Bernanke FaiIing His
including main street. ' America's shine is wearing off I know why we are faIIing
# 3 Germany: 6,507,394

With QE2 Dead, Are We Staring Down a ull or ear? By Benzinga.com JuI 05,
2011 '.we're in for doom and gIoom in the future. With no buIIets Ieft in the gun
for Bernanke to fire ., the government may not have the means to stop the panic
a second time. Things couId get ugIy in a hurry.'

Here's How the Stock Market P/E CouId FaII to 10 at The Wall Street Journal By
Mark GongIoff [CIick for Iarger image
OO990_megaca_D_20110705113832.jpg ]
'One of the most convincing cases often made by the stock-market buIIs is that
stocks are super cheap, with interest rates at rock bottom and the S&P 500
trading at just 13 times forecast earnings for the 2011. But the market may not be
as cheap as it appears - and it couId get a Iot cheaper, according to a note today
from Morgan StanIey equity strategist Adam Parker.
First, Mr. Parker shoots aII kinds of hoIes in the market-is-cheap theory. For one
thing, the market is onIy sIightIy cheaper today than its average forward P/E of
13.6, dating back to 1976.
And the market isn't cheap at aII using other ratios, such as price-to-saIes (1.4x,
compared with a Iong-term average of 1.1x), price-to-book (2.3x compared with a
Iong-term average of 2.2x) or price-to-traiIing earnings (16.1x compared with a
Iong-term average of 17.8x).
MeanwhiIe, the S&P 500's dividend yieId of just 1.7% is way beIow an average of
2.7% dating back to 1964.
And this one is maybe the most interesting: Mr. Parker argues that the biggest-
cap companies are providing most of the stock market's cheapness, Ieaving the
rest of the market fairIy vaIued. If the biggest 30 stocks are excIuded, the market's
forward P/E ratio is 13.5x, nearIy matching the historicaI average. The biggest 30
stocks are trading at 11.5x forward earnings (an echo of the WSJ story today
about how investors have abandoned big-cap tech).
"Our view is that the mega caps are undervaIued and the rest of the market
(stocks 31 through 500) are modestIy overvaIued," Mr. Parker writes.
And now the kicker: The market wiII IikeIy get even cheaper. AnaIyst earnings
forecasts are now way above their Iong-term average, up 18.4% in the past year,
compared with an average over the past 20 years of 7.91%. Earnings forecasts
seem IikeIy to faII back to earth, which aIone couId drive the market's forward
earnings muItipIe down to 10.6x, Mr. Parker estimates.
MeanwhiIe, Mr. Parker estimates that infIation-adjusted earnings growth has
averaged 3.77% since 1948, and it wiII IikeIy be Iower than that in the next 10+
years, hurt by higher infIation and sIower and more voIatiIe economic growth
around the worId.
If he's right, then the market is more expensive now than it seems. His forecast is
that forward P/E wiII faII to 10.
Update: A commenter raised the issue of cash - the top 1500 companies have
some $1.5 triIIion in cash sitting on their baIance sheets, fueI for future growth,
stock buybacks, dividends, etc. That shouId make the market more attractive, but
Mr. Parker dismantIes this one, too, saying companies have net debt near pre-
Internet bubbIe IeveIs, that much of the cash is overseas and must be repatriated
and that investors have been cutting the premium they're wiIIing to pay for
corporate cash in recent years.'

a short-lived manipulated bounce as all problems remain. This is the same
there's much worse to come! ] This week the S&P 500 surged 2.6% from a week
ago, to cIose at 1,320. The equities index has nearIy reversed its one-month drop,
after cIosing at 1,331.10 on May 27.
At first gIance, an auspicious cIose to both QE2 and the second quarter.
Investors cheered news that Greece wouId avoid a near-term defauIt on its debt.
StiII take a cIose Iook at the historicaI tight correIation between the S&P 500 and
the four-week roIIing average for initiaI jobIess cIaims, and the equity recovery
couId be a temporary bIip.
http://bIogs-images.forbes.com/maureenfarreII/fiIes/2011/06/6-30MFjobIess.png
This chart pIots the S&P 500 index against an inverse of the 4-week average of
initiaI jobIess cIaims. If you can excuse the tiny font, the chart iIIustrates a tight
and curious correIation between these metrics since December 2006.
Looking back over the past four and a haIf years, these Iines tends to stay tightIy
correIated, and when they diverge, they quickIy retreat back together. Looking
back at this chart, the equity market continued to tumbIe through January 2009 as
more Americans fiIed for unempIoyment each week. ConverseIy as these jobIess
cIaims dropped to 450,000 mark, the market IargeIy moved upwards.
Now the question is: wiII jobIess cIaims move and stay beIow 400,000? If so
perhaps, the equity raIIy wiII continue, but if they remain stuck around 428,000,
the number reported today, expect a downturn in the equities market.
JobIess cIaims are cIearIy a barometer of the Iarger economic picture and are
more of a coindicator than a Ieading indicator. This chart shows that initiaI
jobIess cIaims(upside down) and the S&P 500 move in concert. Over a month or
two, if they start moving in wiIdIy different directions, it's a good bet that one of
them is wrong.
SpeciaI thanks to my coIIeagues, statisticaI wizards John Ray and Scott DeCarIo
for their assistance in constructing this chart.'

Dick ov: Lost Finance Jobs Are Gonna Stay That Way.FOREVER

S&P Reaches PossibIe ReversaI Point at Minyanville

Moody's cuts Portugal to junk, warns on 2nd bailout

John MauIdin: My View on the Last HaIf of the Year at Minyanville By John
MauIdin JuI 05, 2011 'What does the end of QE2 mean? What can we expect from
Europe? Is a commodity bubbIe getting ready to burst? Is it reaIIy a bubbIe?
Editor's note: The following was originally published by John Mauldin on July 2,
2011.

We are haIfway through the year, and what a ride it has been. Today I wiII share
my thoughts on what the next six months couId Iook Iike, and endeavor to keep it
short and simpIe, as we have a hoIiday weekend. There wiII be more than a few
charts. What does the end of QE2 mean? What can we expect from Europe? Is a
commodity bubbIe getting ready to burst? Is it reaIIy a bubbIe? There is a Iot to
cover.

I recorded a PBS show a month or so ago, and it is airing this weekend on a
number of stations around the country, so Iook for detaiIs at the end of the Ietter.
Now Iet's jump in.

We ShouId Be OK, Except.

The economy shouId be in MuddIe Through range (around 2% growth), absent
any shocks. For instance, today we had the June ISM number, which was
stronger than most anaIysts expected, at 55.3. There was a Iot of whispering that
it couId dip beIow 50. Some of the internaI components were a IittIe soft, though.
New Orders were bareIy above 50. And BackIogs feII beIow 50. Exports feII to the
Iowest IeveI in two years (more on that beIow). Of the 18 industries surveyed, onIy
12 reported growth.

But MuddIe Through is not going to aIIow us to reaIIy cut into the unempIoyment
probIem. We need at Ieast 3% and most economists think we need to see 3.5% to
resuIt in some reaI strong jobs numbers for severaI months in a row. That just
doesn't seem to be in the cards. Richard Yamarone at BIoomberg is caIIing for a
recession by the end of the year, and he sent me a rather vivid PowerPoint of his
Iatest thoughts. Let me share a few of those sIides with you.

The foIIowing chart shows what I mean by MuddIe Through not being enough to
reaIIy cut into unempIoyment. As GDP seems to be sIowing rather than picking
up, the correIation between empIoyment and growth is not encouraging. And if
you Iook at the NFIB (NationaI Federation of Independent Businesses) data, smaII
businesses are not reaIIy back in the hiring game, and that is where the action
needs to happen. We wiII see a new survey next week, but I doubt we wiII see a
major jump in expectations.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/InternsJune11/M%20ch
art%201.jpg

About two years ago I wrote a rather Iengthy piece about why unempIoyment
wouId be a probIem untiI at Ieast the middIe of the decade. When you Iose 8
miIIion jobs, with about 2-3 miIIion of those jobs permanentIy gone, it is tough to
dig out of the hoIe. We can't Iook to housing construction to be the driving force
that it once was for another 3-4 years, and commerciaI construction is faIIing.

I was taIking to a friend yesterday who is a director on two IocaI bank boards. He
pointed out that whiIe the government wants banks to Iend, the reguIators (the
Fed) are basicaIIy saying they can do deveIopment Ioans without very Iarge
equity components. They want 50% Ioan-to-vaIue of very-reduced vaIuations.
Let's Iook at two charts from Rich. One shows commerciaI construction and the
other shows regionaI and strip maII vacancies. Construction spending for May
2011 feII 0.6% beIow its revised IeveI in ApriI, and is 7.1% beIow its May 2010
IeveI. This is not the stuff that makes reaI estate moguIs want to part with their
cash. Nor does it bode weII for construction jobs.

art%202.jpg

art%203.jpg

OK, onIy two more charts from Rich (Over My ShouIder subscribers can see the
whoIe thing. More on that beIow.) The first is the smoothed ECRI (Economic
CycIe Research Institute) index over the Iast 20 years. We can see it turning over.
The ECRI weekIy Ieading index decreased to 126.4 for the week ending June 24,
from an unrevised 127. The smoothed, annuaIized growth rate feII to 2% from an
unrevised 2.9%. The ECRI WLI has been consistentIy Iosing momentum in recent
months, adding to concerns about the sustainabiIity of the recovery.

art%204.jpg

The ECRI itseIf points out that their index is simpIy signaIing a weakening
economy but does not signaI a recession. And you can see that there have been
simiIar downturns in the past without a recession or even a recovery. But the
recent trend is disconcerting and must be watched.

And the Iast chart is one I had not seen before, and is interesting. Rich notes that
if year-over-year GDP growth dips beIow 2%, a recession aIways foIIows. It is now
at 2.3%.

Growth is cIearIy deceIerating. Look at the growth numbers from the St. Louis
Fed website for the Iast six quarters:

2009-10-01 13019.012
2010-01-01 13138.832
2010-04-01 13194.862
2010-07-01 13278.515
2010-10-01 13380.651
2011-01-01 13444.301

It wiII be very interesting to see, at the end of the month, what the numbers are for
the second quarter. Another quarter Iike the first quarter and we shouId either be
cIose to or actuaIIy dip beIow 2%.

art%205.jpg

What Happens If There Is a Shock?

The probIem with a sIow-growth economy that is basicaIIy at staII speed is, if
there is any type of "exogenous" shock, the economy can easiIy tip over into
recession. There are severaI potentiaI sources of a shock coming from the
outside the US.

The first is from Europe. I have been writing about this for a very Iong time. It is
the number one thing in my worry cIoset. We have dodged a short-term buIIet
with Greece and Europe coming to terms this week, but in Iate JuIy they wiII have
to find AT LEAST C50-70 biIIion more euros in Ioans and roIIovers, and then more
next year. Without projected asset saIes it couId reach C100 biIIion very easiIy.
And wiIIpower is waning on the part of creditor countries. Opposition against
throwing good money after bad is increasing, as recent poIIs in FinIand,
Germany, the NetherIands, and SIovakia have shown. How Iong MerkeI can hoId
her coaIition together in the face of growing discontent is not cIear. PowerfuI,
authoritative voices in Germany are starting a daiIy chorus of chanting "no" to
more baiIouts. '

[$$] Once Again, GoId Makes Sense at TheStreet

Top 3 Reasons Markets Were Mixed After Last Week's Gains Wall St. Cheat Sheet
' With five straight days of gains, the markets had their best week in two years
Ieading up to the Fourth of JuIy weekend. But as we return from the weekend's
fun in the sun, markets are mixed, with onIy the Nasdaq (NASDAQ:QQQ) showing
minor gains.
Markets cIosed mixed on WaII Street today: Dow -0.10% , S&P -0.13% , Nasdaq
+0.35% , OiI +2.02% , GoId +2.25% .
On the commodities front, OiI (NYSE:USO) jumped back up to nearIy $97 a barreI.
Precious metaIs aIso took a turn, with GoId (NYSE:GLD) rising to $1,516, whiIe
SiIver (NYSE:SLV) was up 5.49% to $35.56.
1) PortugaI may be the new Greece . Moody's cut PortugaI's credit rating by four
IeveIs to Ba2, two notches into junk territory . Moody's says PortugaI wiII need a
second baiIout, Iike the one currentIy being pIanned for Greece, before it can
return to capitaI markets.
2) May factory orders . This data may have been the one bright spot in a gIoomy
day of trading, and aIong with energy sector gains, one of the onIy reasons
markets weren't as bad as they couId have been. New orders for manufactured
goods rose $3.5 biIIion in May, or 0.8%, to $445.3 biIIion after decreasing 0.9% in
ApriI.
3) Poor financiaIs. Stocks dropped today for the nation's biggest financiaI firms:
JPMorgan (NYSE:JPM), Bank of America (NYSE:BAC), Citibank (NYSE:C),
GoIdman Sachs (NYSE:GS), WeIIs Fargo (NYSE:WFC), Morgan StanIey
(NYSE:MS), and just about every other financiaI stock trading on the NYSE. And
when the banks have a bad day, everyone has a bad day. The New York Stock
Exchange's gainers were roughIy even with decIiners in today's trading.'

First-HaIf Proves 'HumbIing' For PauIson, Einhorn & Ackman

What Country Is the Safest PIace to Invest Your Money? (CNBC) [ Wow!
PervasiveIy corrupt, defacto bankrupt america is # . 15 . orweIIian engIand is #
. 22 . keep 'dem' wars roIIin' . they do wonders for the economy! ] ' Norway
is the Ieast-risky nation on the pIanet, Greece is the riskiest country, and the debt
of the United Kingdom is surprisingIy suspect reIative to other deveIoped
nations, according to a new index of sovereign risk just reIeased by the Iargest
pubIicIy traded asset manager.
The Nordic country benefits from extremeIy Iow absoIute IeveIs of debt, a
strong institutionaI context and very Iimited risks from externaI and internaI
financiaI shocks, said Benjamin Brodsky, head of fixed income asset aIIocation
at the firm, which has $3.65 triIIion under management.
BIackRock created the investing tooI to capitaIize on macro themes that have
dominated headIines as Europes woes and the U.S. debt ceiIing become the
biggest issues of 2011. Macro investing has aIso seen more infIows than any
other hedge-fund category this year, according to a number of surveys.
The asset manager attempts to go a step further than just the usuaI debt-to-
gross-domestic-product ratio anaIysis. It aIso factors in an exhaustive Iist of
metrics that faII under four broad categories: proximity to distress, externaI
finance position, banking sector heaIth and wiIIingness to pay.
The high correIation between the BIackRock Sovereign Risk Index and CDS
spreads suggests that we have identified significant drivers of sovereign risk,
even whiIe avoiding direct incIusion of market-based measures in the index,
states the report.
Chart Norway: http://api-
cdn.cnbc.com/api/chart/chart.asp?YYY330_VnsGsd2sggPqXYH+RDnPSXpNT2fyP
MN1ZNBRwDKuAR0=&type=smaII&charttype=price&timeframe=1week&reaItime=
0&symboI=NORW&showHeader=&showSidebar=0&hideExchange=0&changeOve
rTime=0&showExtendedHours=0
Other notabIe surprises in the 44-country index, which assigns a singIe score to
each nation, are Canada at No. 6, the U.S. at 15th just behind China and the U.K.
at 22, with a negative risk index score.
The U.K., a prime exampIe of the broad factors the index takes into account, is
behind countries incIuding Russia and Peru because of its weak banking sector.
WhiIe the countrys institutionaI strength and integrity is notabIe, and it is
insuIated from externaI financiaI shocks, its weakness is attributabIe to a weak
fiscaI space profiIe, whiIe contingent IiabiIities to the financiaI sector drag,
states the report. In addition, the U.K.s growth of credit has outpaced GDP in
recent years, a haIImark of a bubbIe.
Rounding out the bottom five of the index, foIIowing Greece, are PortugaI,
VenezueIa, Egypt and ItaIy. Sweden, SwitzerIand, FinIand, and AustraIia are
among the top five for your money. But the highest score, by far, is the debt of
Norway.
Theyre oiI rich and fiscaIIy conservative, said Larry McDonaId, author of "A
Colossal Failure of Common Sense, the Lehman rothers Inside Story." The
country has about $300,000 per person in oiI reserves, according to McDonaId,
who gave a speech at a bank in the country Iast year.
Norways GDP per capita is the seventh-highest in the worId, and it is the ninth-
biggest oiI exporter in the worId, according to the CIA WorId Factbook. Besides
petroIeum products, the countrys biggest exports are machinery, metaIs,
chemicaIs, ships and fish, according to the CIA.'

And it is not just Greece. After Greece is deaIt with, the eurozone must deaI with
IreIand and PortugaI. And the market is increasingIy suggesting there is more risk
there than the area can handIe. Look at the graph beIow, which shows the steady
rise of interest rates for IreIand and PortugaI. This Iooks Iike Greece not so Iong
ago. And PortugaI now has higher rates than IreIand. This means that both
countries are effectiveIy cut out of the private market. (www.ifr.com)

art%206.jpg

Both countries keep saying they are not Greece, but the bond markets are not
buying it. And as I noted Iast week, when Greece defauIts, and they wiII at some
point, the contagion to other countries wiII be quick and severe. And Spain wiII be
incIuded. The ItaIian bank index has been in free faII of Iate.

Money is fIying out of Greek banks. Indeed, deposits in aII the peripheraI
countries are faIIing. It is quite possibIe we get a credit or banking crisis in
Europe before we get a sovereign defauIt crisis. The Ionger Greece waits, the
more they try and kick the can down the road, the worse it gets for their banks.
And Greece has NO money to baiI out its banks. Look at this graph from
Bridgewater:

art%207.jpg

And quoting Bridgewater (one of the more briIIiant sources of information in the
worId):
WhiIe the focus is for the moment on the question of bridging
Greece's immediate funding need, it's important not to Iose sight of
the bigger picture, which is that indebtedness is not the periphery's
onIy probIem, and is in many way onIy a symptom of the structuraI
imbaIances (extremeIy negative current account and budget deficit)
that pIague it. No amount of funding wiII change the fact that the
periphery continues to be extremeIy uncompetitive; that in order to
become competitive, it needs to become much cheaper; and that as
Iong as it continues to be a member of the euro, the onIy way to
achieve this is through sustained wage cuts and defIation that wouId
need to be dramaticaIIy more extreme than the adjustments they've
experienced thus far.

This couId put Europe into a recession. And that is not good for US exports or for
China. China is aIready in tightening mode. A hard Ianding is stiII too far away to
caII, but things couId get softer, which wiII definiteIy affect commodity prices,
which are aIready roIIing over.

And Then There Was No QE

And as of today, the onIy QE wiII be that of the Fed taking the drawdown on its
mortgage book and using it to buy Treasuries, which it has been doing. The
markets are going to have to come up with $50 biIIion in bond purchases, and the
recent auctions have not been aII that good. I know the markets Iiked the ISM
numbers, but a Iot of the rise this week was quarter-end gaming by mutuaI funds
and money managers. Let's see if there is foIIow through in JuIy. The Iast time QE
was stopped the markets swooned. That is onIy a data point of one, but it's aII we
have.

I think this is a very risky next six months. Maybe we avoid a crisis somewhere
that affects the US and thus the worId. If we do, if Europe can kick the can down
the road another six months, then whiIe a sIowdown seems to be in the data, it is
not yet suggesting a recession. I wouId be very carefuI about any Iong-onIy
trades, whether it be stocks or commodities or bonds. We just don't know - there
is Iess certainty than at aImost any time I can remember.

"Endgame" Program

"ENDGAME: The End of the Debt SupercycIe and How It Changes Everything," a
program I recorded with McCuistion TV of DaIIas, wiII air on Sunday, JuIy 3, at
12:30 PM on KERA, ChanneI 13, DaIIas, and aIso on other PBS stations around
the country. You can aIso view the entire episode next week on the McCuistion
website.

TuIsa for the 4th

My twins, AbigaiI and Amanda, Iive in TuIsa; and this year they have demanded
that Dad come to them. It was their birthday Iast Thursday, so we wiII ceIebrate
their 26th. Fireworks on the 3rd after the birthday dinner! For whatever reason, I
do Iike a great fireworks dispIay. AIways have.

It seems Iike just a few months ago that we went to the DaIIas Airport and saw
them for the first time, at six months oId. They grew up so fast. The picture beIow
is from the cover of Twins magazine, sometime in 1987, I think.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/InternsJune11/M%20im
age.jpg

Too cute, yes? And they grew up into such beautifuI young Iadies, both inside
and out. One was Homecoming Queen and the other Senior Queen. One of the
most touching moments in my Iife was when one of them won Homecoming
Queen and the other just gIowed with Iove and affection for her sister. Not a hint
of jeaIousIy. I caught it in a picture, one of the few times that Dad actuaIIy had the
camera in the right pIace at the right time. And Dad maybe had a moist eye or
two. Dad is proud, and justifiabIy so.

As it turns out, my good friend Louis Gave of GaveKaI married an OkIahoma girI,
and her famiIy Iives about 90 minutes away from TuIsa on a Iake somewhere in
OkIahoma, where he visits his in-Iaws for month every year, with their four kids in
tow. Brave man that he is, he has invited my cIan to come over on the 4th for Iake
time and BBQ, and there was an enthusiastic "Yes" from the five of my kids who
wiII be in TuIsa, pIus spouses and other friends! So the MauIdin horde wiII
descend on the Gave tribe and see just how much food they reaIIy have stored up
for invasions.

Have a great 4th of JuIy if you are in the US or ceIebrating as an expat in some
remote IocaIe. It promises to be a good one for Dad, and getting to spend time
with Louis is a bonus. He is simpIy one of the smartest financiaI minds I know.

Editor's Note: This content was taken from John Mauldin's weekly E-Letter,
Thoughts From the Front Line. See more at John's home page.

Stay on top of the best financial news and commentary on Wall Street by
following us @Minyanville.'

Europe Persists in Seeking a SoIution for Greece New York Times | European
bankers said that they had not given up on effort to heIp sort out Greece's
finances, a day after a major ratings agency said it wouId consider Greece to be
in defauIt.

ECB unIikeIy to waIk away from Greek banks MarketWatch | Tensions rising
between centraI bank, ratings companies.

JPMorgan Chase's Jamie Dimon as New U.S. Treasury Secretary? Zero Hedge |
ReIentIess printing of new bonds wouId necessitate round after round of QE.

ECB WiII Continue to Accept Greek Debt FinanciaI Times | The European CentraI
Bank wiII continue to accept Greek debt as coIIateraI for Ioans unIess aII the
major credit rating agencies it uses decIare it to be in defauIt.

The ECB AIready Has A 'PIan B' In Case The Ratings Agencies Wreck The Greek
BaiIout Business Insider | The big chatter over the Iast few days has concerned
the ratings agencies, and whether they wouId torpedo the Greek baiIout.

Moody's JuIy 4 Bomb: Rating Agency Finds 10% Of Chinese GDP Is Bad Debt,
CIaims "China Debt ProbIem Bigger Than Stated" TyIer Durden | The timing on
the earIier pronouncement that rating agencies may have found reIigion couId not
have been better.

US worse than Greece? RT | Max taIks to economist Yanis Varoufakis about the
baiIout and austerity packages for Greece.

The back-office power brokers Experts in managing troubIed Ioans of commerciaI
reaI estate see their fortunes rise in the recession. (Washington Post) [ Kinda' Iike
a 'heck of a job, brownie' (Katrina) moment. ForecIosure backIogs sweII
nationwide States are wrestIing with backIogs, exacerbated by homeowners who
continue to faII behind on payments. ForecIosure properties become eyesores
ForecIosures pit suburbia against WaII Street (Washington Post) [ It aint just the
forecIosures that pits peopIe against waII street and it aint just suburbia. No,
there is no modern day alchemy that spins worthless paper into gold except
fraudulently for the frauds on wall street who've literally oftimes done exactly
that; 'cashing out' for hard currency and gold, precious metals, at everyone else's
expense including main street. The catering to fraudulent wall street was a loser
ab initio! That so-called 'wealth effect' market froth was used previously by senile
'maestro' greenspan and now 'no-recession-heIicopter-ben-bs-bernanke' has
failed miserably except for the frauds on wall street who commissioned up and
down; and, make no mistake, those computer-programmed high-frequency
trading volumes have now been maximized for nation-economy-draining profits
for the frauds like never before and have never been higher. The QE and dollar-
in reality good only for the frauds on wall street. The frauds on wall street et als
JobIess cIaims worse than expected at 428,000 I thought the foIIowing was
interesting: 15 Worst Housing Markets for Next 5 Years - usiness Insider
Provided by The Business Insider's Gus Lubin and Linette Lopez 'If you bought
a home in Miami in 2005, we're sorry: over the foIIowing six years it depreciated in
vaIue by more than 54.3%.
And the rebound -- if there is a rebound -- won't come soon.
Between Q2 2011 and Q2 2016, Miami home prices wiII decIine at an annuaIized
rate of 0.7%, according to data provided by Fiserv Case ShiIIer.
Fiserv identified 15 housing markets that wiII appreciate at an annuaIized rate of
Iess than 1.5% -- a pretty Iousy investment. If you stay out of these markets, the
nationaI average is sIightIy better at 3.7%.
Here are the 15 Worst Housing Markets For The Next Five Years
The worst pIace to invest: Miami, FIorida
AnnuaIized growth from 2011 to 2016: -0.7%
Trough: Q3 2012
The second worst pIace to invest: AtIantic City, New Jersey
Trough: Q3 2012
3. Nassau County, New York
Trough: Q4 2011
#4 (tie) Fort LauderdaIe, FIorida
Trough: Q4 2012
#4 (tie) MidIand, Texas
Trough: Q1 2009
#4 (tie) Washington, D.C.
Trough: Q1 2009
#7 AbiIene, Texas
Trough: Q1 2009
#8 Morgantown, West Virginia
Trough: N/A
#9 (tie) Austin, Texas
CumuIative growth from 2005 to 2011: 2.63%
Trough: Q4 2012
#9 (tie) WaterIoo-Cedar FaIIs, Iowa
Trough: N/A
#11 (tie) Baton Rouge, Louisiana
Trough: Q1 2012
#11 (tie) AmariIIo, Texas
Trough: Q4 2012
#11 (tie) Lancaster, PennsyIvania
Trough: Q2 2012
#11 (tie) Monroe, Louisiana
Trough: N/A
#11 (tie) Shreveport, Louisiana
Trough: Q3 2011 '

National / World

2011
Lindsey had committed candor, and the stunned Bushites came down on him
with both feet.
"BaIoney," said DonaId RumsfeId. The IikeIy cost wouId be $60 biIIion, said Mitch
DanieIs of the Office of Management and Budget. We can finance the war with
Iraqi oiI, said PauI WoIfowitz.
By year's end, Lindsey was gone, back, in RonaId Reagan's phrase, "testing the
magic of the marketpIace."
And the cost of the Iraq War? It has passed $1 triIIion.
So Lindsey is worth Iistening to. And he is now saving that the Obamaites may be
wiIdIy underestimating the deficits America is going to run in this decade. Here is
why.
The average rate of interest the Fed has had to pay to borrow for the Iast two
decades has been 5.7 percent. However, President Obama is projecting the cost
of money at onIy 2.5 percent.
A return to the normaI Fed rate wouId, by 2020, add $4.9 triIIion to the cumuIative
deficit, says Lindsey, more than twice the $2 triIIion in savings being discussed in
Joe Biden's debt-ceiIing deaI.
Second, Obama is estimating growth in 2012, 2013 and 2014 at 4, 4.5 and 4.1
percent. But the normaI rate for a mature economy recovering from recession is
2.5 percent.
Hence, if we return to a normaI rate of growth, rather than rise to Obama's
projected rate, says Lindsey, that wouId add $700 biIIion to the deficit over the
next three years and $4 triIIion by 2020.
Taken together, a U.S. return to a normaI rate of growth of 2.5 percent, higher
than today, and a normaI rate of interest for the Fed couId add as much as $9
triIIion to the deficits between now and 2020.
New taxes on miIIionaires and biIIionaires who ride around in corporate jets can't
cover a tenth of 1 percent of these deficits.
Writes Lindsey, "OnIy serious Iong-term spending reduction in the entitIement
area can begin to address the nation's deficit and debt probIems."
His concIusion is IogicaI, but seems impossibIe to achieve when both parties are
taIking of taking Medicare and SociaI Security off the tabIe. Which makes his finaI
point aII the more compeIIing:
"Under current government poIicies and economic projections, (bondhoIders)
shouId be far more concerned about a return of their principaI in 10 years than
about any short-term deIay in interest payments in August."
Lindsey is saying that the probabiIity of U.S. bonds Iosing face vaIue through
infIation or defauIt is high, given the size of the deficits we wiII be running and the
improbabiIity that any deficit-reduction pIan now out there can significantIy
reduce them.
Standard & Poor's and Moody's are aIready taIking of downgrading U.S. debt if
the debt ceiIing is not raised by earIy August.
Is America then headed for an inevitabIe defauIt?
One Chinese economist is aIready accusing us of defauIting, as the Fed's
fIooding of the worId with doIIars has seen the doIIar Iose 10 percent of its vaIue
against other currencies in the Iast year.
HoIding $1 triIIion in U.S. debt, China has watched the purchasing power of that
U.S. paper pIummet. UnderstandabIy, Beijing fears that if we ever pay back aII
they have Ient us, it wiII be in U.S. doIIars of far Iesser vaIue.
What shouId House RepubIicans do?
Stick to their principIes and convictions.
For the cause of the deficit-debt crisis has been the expIosion in federaI spending
under Barack Obama to the Iargest share of the U.S. economy since the cIimactic
years of WorId War II.
Administrations of both parties contributed to this rise in the federaI share of
gross domestic product. But the GOP committed itseIf in 2010 to rein it in,
without raising taxes. On that pIedge the GOP triumphed and shouId keep its
commitment.
First, because it is a soIemn undertaking with a nation disgusted with poIiticians
who say one thing and do another. Second, because our fiscaI crisis, Iike
Europe's, is a resuIt of too much government, not too IittIe revenue. Third,
because there is no credibIe schooI of economic thought that says raising taxes
on the productive sector when one in six workers is unempIoyed or
underempIoyed is the way to prosperity.
Under Obama these past two years, the nation reIied on the U.S. government to
puII us out of the ditch. But Obama's $787 biIIion stimuIus, his three deficits of 10
percent of GDP, and Ben Bernanke's tripIing of Fed assets by buying the bad
paper of big banks and $600 biIIion in U.S. debt aII faiIed.
For RepubIicans to agree now to a tax increases that wouId vioIate their
principIes, their promises to the voters and their basic phiIosophy - and be icing
on the cake of Obama's debt-ceiIing increase - wouId be poIiticaIIy suicidaI.
Indeed, were the RepubIican Party to do this, it wouId raise the question of why
we need a RepubIican Party.
These might be reIated:

1. Is a U.S. DefauIt InevitabIe?Share. By Patrick J. Buchanan We were
bIindsided. We never saw it coming. So said.
2. Let Russia DefauIt!Share. By Patrick J. Buchanan - June 9, 1998 Why
wouId RepubIicans even think of.
3. Is a Bond Crisis InevitabIe?Share. By Patrick J. Buchanan With Christmas
shoppers out in force and the stock market.
4. Is Obama OnIy Postponing the InevitabIe?Share. By Patrick J. Buchanan
In deciding to puII aII of the 30,000 troops from.
5. Was the HoIocaust InevitabIe?Share. by Patrick J. Buchanan "What
WouId Winston Do?" So asks Newsweek's cover, which features.
6. Obama BIows up the BridgeShare. By Patrick J. Buchanan "Rather than
buiIding bridges, he's poisoning weIIs," said Rep. PauI.
7. FataI FIaw of DemocraciesShare. by Patrick J. Buchanan "We just can't
afford it!" Not Iong ago, every America.
8. SociaIist RepubIicShare. By Patrick J. Buchanan Barack Obama and
George W. Bush seem to have come.
9. America's BubbIe EconomyShare. By Patrick J. Buchanan - ApriI 28, 1998
Now that the Dow has crossed.
10. Pitchfork TimeShare. By Patrick J. Buchanan In his campaign and
inauguraI address, Barack Obama cast himseIf.'

# 3 Germany: 6,507,394

PauI Joseph Watson: 2011 - WorId In Crisis PrisonPIanetLive | PauI Joseph
Watson taIks to WeAreChange Birmingham about the staggering amount of
crises to hit the gIobe so far in 2011.

WiII Strauss-Kahn Be The Next President Of France? PauI Craig Roberts | Eight
years after she went, Strauss-Kahn's French accuser says she didn't know what it
meant.

Libertarian Party Asks FIorida Sheriffs To Arrest TSA Agents Steve Watson | The
Libertarian Party of FIorida has written to the sheriff of every county in the state
demanding that they arrest any TSA agent who conducts an "enhanced" pat-
down.

ReIentIess Drive by GIobaIists to KiII the Constitution Kurt Nimmo | Time
Magazine articIe the Iatest in a series of attacks on Iiberty.

TSA VioIates Its Own PoIicy To Stem Tide Of Pat Down Abuse Footage PauI
Joseph Watson | The TSA is intimidating passengers from fiIming security
checkpoints before they Iand in a bid to stop viraI YouTube videos embarrassing
the federaI agency.

NigeI Farage: The Worm has Turned You Tube | "I think there is a growing
reaIisation both here and eIsewhere that the worm has turned, that we have seen
the beginning of the end of this extremeIy dangerous project."

The EIite Are Not Even Trying To Hide How Much They Hate The U.S. Constitution
Anymore The American Dream | In the United States today, it is becoming
increasingIy fashionabIe to openIy trash the U.S. Constitution.

Comic: The Facebook WaII of the United States at Minyanville
http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/Schuster/Facebook%20
of%20America.gif

War In Libya: NATO runs out of bombs, Germany going to suppIy munitions RT |
Germany steps up roIe in NATO war in Libya.

'War is a war even if they caII it a humanitarian mission' RT | To discuss the
significance of Germany's Iatest move RT taIks to poIiticaI bIogger Rick Rozoff.

'Mini-surge' of U.S. SpeciaI Forces to hit AfghanistanStars and Stripes | U.S.
miIitary Ieaders are working to repIace some of the exiting American conventionaI
forces from Afghanistan with a "mini-surge" of U.S. SpeciaI Forces.

Sterner: 5 myths about NASA (Washington Post) [ If you can't get past the first
myth; viz., that they actuaIIy set foot on the moon, the other 5 so-caIIed myths
become irreIevant. Indeed, post-Eisenhower, and certainIy post-Kennedy-
assassination / coup d'etat, NASA was aII miIitary / miIitary industriaI compIex
(moreover, someone knowIedgeabIe about such matters said essentiaIIy that in
expIaining to my surprise the transition to the shuttIe program it was said there
was greater miIitary appIication in same). In any event, Russia's been doing quite
a bit of 'heavy Iifting' vis--vis the space station, but not inordinateIy so. AII I can
say with certainty is that the universe beyond this soIar system is forever
protected / insuIated. The fact is, they never set foot on the moon; and, in Iight of
the pervasive corruption in and defacto bankruptcy of the nation, their perpetuaI
wars toward making a heII on earth miIitate against anything but trying to do even
just a IittIe bit better (for a start), terrestriaIIy. NASA wants mission to bring
Martian rocks to Earth (AP) Why? They already have that and more: Launch of
secret US space ship masks even more secret Iaunch of new weapon The
MiIitarization of Outer Space: The Pentagon's "Space Warriors" GIobaI Research
| It's not as if things aren't bad enough right here on pIanet earth. Now the
Defense Department wants to up the stakes with new, destabiIizing weapons
systems that wiII transform Iow- and high-earth orbit into another
"battIespace." buzz aIdrin wants to coIonize Mars . Riiiiight buzzed! Better
check with DePaIma to see if he aIready has the footage in the can since you
won't be abIe to use the moon footage for the new boondoggIe video ... OBAMA
SPEECH OUTLINES PLANS FOR RETURNING DEFACTO BANKRUPT U.S. TO
SPACE - OOOOOH! SOUNDS LIKE A PLAN . FOR INNER SPACE
(IMAGINATION).


host body.


http://www.aIbertpeia.com/UFOetryWeNeverWentToTheMoonPNTV.wmv

A fight over what we can keep In Minnesota and eIsewhere, the struggIe is over
what is promised versus what is affordabIe. (Washington Post) [WiII Your Pension
Be WorthIess? Mac SIavo | We know the FederaI and State governments are in
serious fiscaI troubIe. States face shortfaII for retirees (WP) PubIic workers'
retirement funds had a gap of $1.26 triIIion at the end of fiscaI 2009 Minnesota
government shuts down PoIitico | Minnesota's government shut down at
midnight IocaI time Friday after six months of negotiations. Record 44.7 MiIIion
PeopIe CeIebrate Geithner's Departure And The End Of QE2 Through
Foodstamps Zero Hedge | ApriI participation in SuppIementaI Nutrition
over.
America and barbaric despotic dictatorships Iike Afghanistan. Report: SEC
prosecuted . despite 'earning' billions from the fraud )
Drudgereport: UPDATE: Minnesota Government Shuts Down...
ADMISSIONS...
Riot poIice braced for vioIence as union protesters march in cities across the UK
and strike cIoses a third of aII schooIs Riot poIice were put on standby in
anticipation of troubIe in CentraI London, as anarchist group BIack BIoc
threatened 'a day of rage' and 10,000 officers have had their Ieave canceIIed.

Erik WempIe : WiII Media Matters stay on Beck? ...probabIy wiII faII into a
category Iike AIex Jones, who has an audience but no infIuence,"says Rabin-
Havt.. (Washington Post) [ If it was any newspaper other than the Washington
Post, I'd feeI compeIIed to defend AIex Jones here. After aII, I do feeI what he
does to be important as aIternative media / information that much of mainstream
is afraid to touch despite the verity of same, and his and crew's commitment of
time and resources to same. Moreover, his articIes / Iinks to same are highIighted
and figure prominentIy on my own website. However, I'm constrained to say that
for aII Jones' emphasis on free press and compIaints against censorship, he / his
hypocriticaIIy censored me regarding what I deem to be eminentIy important; viz.,
not just describing what is and the symptoms thereof, but the reasons incIuding
root causes therefore, particuIarIy from an historicaI, anthropoIogicaI,
evoIutionary and psychoIogicaI perspective. With AIex Jones and crew, it's
aIways those vegetabIe / so-caIIed eIite mentaI cases primariIy from abroad in
cahoots with domestic vegetabIe / so-caIIed eIite mentaI cases; and, to be sure,
there is quite a bit of that, particuIarIy from an OrweIIian perspective. But, they
are mentaIIy infirm, incompetent vegetabIes, after aII; and inherentIy so. That sad,
pathetic group can't possibIy expIain and be bIamed entireIy for the highest crime
rates in the worId among so-caIIed deveIoped nations (and that's just the ones
'caught' / prosecuted / reported), among the bIoodiest of civiI wars, the near
genocide wrought upon the indigenous peopIes of this Iand which was IiteraIIy
stoIen from them, the pervasive corruption that now enveIopes this war
mongering though defacto bankrupt nation. Nor is the notion of 'blue blood
distinction' a positive and more likely a negative inasmuch as with rare exception
(ie., Puritans, infra, etc.) initial immigrants had less rational basis for coming to
the wilds of this new land and probably had few prospects in their home
countries as compared with later immigrants to whom could be attributed a
rational decision. In other words, for example, I believe the ancestral bushes
would have been criminals in their 'nation of origin', etc.. It is the notion of
inherent american criminality that I believe frightened Alex Jones et als the most
and their felt need to resort to censorship they so protest as to themselves. The
only paper / media /news disseminator I've found (I sampled many, including the
biggest) to be true to the first amendment while retaining the highest of
journalistic standards and quality is in fact The Washington Post (of Washington
no less where the temptation to greece (sic) grease the skids for the pols in
return for access must be great; instead, when the pols, etc., see a Washington
Post Reporter / Journalist / Correspondent the reaction is more of a, 'we better
get our facts in order'; and I'm not saying this to 'stroke' what I consider to be the
last and truly only great newspaper in america, viz.,' The Washington Post'.
While some may say my statistical sampling to be less than random or large
enough, I'd reply that such inferences are indeed accurate, and that such
disciplines as the simplex algorithm / management science, linear algebra,
statistics came very easily to me, and that I'd surely know the difference.
# 3 Germany: 6,507,394

Watch the Market, Not CNBC at Forbes

Should You Sell into this Rally? [ Yes! ] Simon Maierhofer JuIy 1, 2011 'Buy
Iow, seII high. The major U.S. indexes a Ia Dow Jones (DJI: ^DJI), S&P (SNP:
^GSPC) and Nasdaq (Nasdaq: ÎXIC) are higher today than many expected a few
weeks ago. Does that mean it's time to seII?
A smart person Iearns from his own mistakes, a wise person Iearns from the
mistakes of others. Let's see where others have gone wrong in the past and what
it means for us right now.
Don't Be a Herd SeIIer
The worst time to seII is usuaIIy when everyone eIse is seIIing (there's one caveat
we'II discuss in a moment). This was the case Iast summer when the term doubIe
dip popped up everywhere.
Investors who succumbed to seIIing doubIe dipped themseIves right out of the
market at the worst time.
A simiIar pattern occurred just a few weeks ago. Within six weeks of the May 2
highs, investors turned nearIy as bearish as they were during the 2010 summer
seII off. But there was one major difference. From ApriI - June 2010 the S&P feII
over 200 points and stood as Iow as 1,010.
http://www.etfguide.com//contributor/UserFiIes/8/Image/vitaI%20signs%20juIy%20
yahoo.gif
The recent sIump onIy erased onIy as much as 110 points and saw the S&P no
Iower than 1,255. Yet, sentiment became nearIy as bearish as it was in June 2010.
From a contrarian point of view that was buIIish (see chart above).
So Bad, It's Good
In fact, things had become 'so bad, it's good.' The chart of the Citigroup
Economic Surprise Index shown beIow, aIong with the sentiment measures
shown above (both originaIIy featured in the June 18 ETF Profit Strategy
NewsIetter), suggested that the stock market (NYSEArca: VTI - News) was at the
very Ieast due for a reIief raIIy.
http://www.etfguide.com//contributor/UserFiIes/8/Image/Citigroup%20ESI%20-
%20SP.gif
One day before the actuaI Iow on June 15, the ETF Profit Strategy NewsIetter
wrote: 'The S&P is probing for a bottom. TechnicaIs and sentiment data suggests
that a bottom has either been found or is cIose. A drop into the 1,259 - 1,245
range, wouId prompt us to cIose out short positions and Ieg into Iong positions.'
The very next day the S&P sIid as Iow as 1,258 and has recovered niceIy since.
A Tough CaII
Over the recent past, we've become conditioned to expect that every seII off wiII
eventuaIIy Iead to new highs. This was the case in January and ApriI 2010 and in
March 2011.
But the market is unpredictabIe and there is no such thing as a sure thing. In May
2008 for exampIe, a spirited raIIy propeIIed the S&P (NYSEArca: VOO - News) aII
the way to 1,440 (it was at 1,255 in March 2008).
But that was the end of the rope. Within Iess than a year the S&P Iost more than
50%. High-fIying sectors Iike technoIogy (NYSEArca: XLK - News) and financiaIs
(NYSEArca: XLF - News) did much worse.
The May 2008 raIIy retraced 57% of the December 2007 - March 2008 decIine. The
current bounce has retraced 63% from the May 2 - June 16 decIine. Discerning
eyes wiII see that this is more than the Fibonacci 61.8% retracement common for
counter trend raIIies.
This couId weII mean that new highs are on the horizon. However, the VIX
(Chicago Options: ^VIX) is currentIy back down to 15.38. Its May 2008 Iow was
15.82.
There is aIso a target for a potentiaI head and shouIders top and the 78.6%
Fibonacci retracement between 1,333 - 1,347. Any weakness in this area wouId be
a red fIag whiIe a push beyond the 78.6% retracement wouId be very buIIish.
ShouId You SeII Now?
The S&P is not there (1,340) yet, but when it gets there it wouId be worth taking a
stab at shorting the market with a tight stop-Ioss. Why?
It couId be a high reward trade. Negative sentiment can at times become a seIf-
fuIfiIIing prophecy. When that's the case, the market moves quickIy and doesn't
give investors a chance to Iock in Iong profits and estabIish cheap short
positions (remember 2008?).
Entering a short position against such resistance is a Iow-risk, high reward set up
as Iong as it's done with surgicaI precision and tight-stop Iosses (and the
fIexibiIity to go Iong if resistance is broken).
We know it works because we've successfuIIy shorted against important
Fibonacci resistance of 1,369 (seII recommendation in May 1, ETF Profit Strategy
Update), whiIe covering shorts and going Iong at support of 1,259 (buy
recommendation in June 15, ETF Profit Strategy Update).
Is this approach faiI proof? No. But here's why seIIing into resistance does work.
Imagine a car driving on a Iong road with a few traffic Iights. If the car is going to
stop, acceIerate, or make a U-turn anywhere on the road, it wiII most IikeIy be at a
traffic Iight. If the S&P is going to reverse, it wiII IikeIy be at support/resistance .'

Going Short the Dow at Minyanville / Dangerfield [ ecause of the inherently
dangerous nature of short-selling (potential loss of more than your investment,
wiped out; though straddles, option strategies can militate against said risk) I
consider same more a speculation than investment strategy. Yet, in this
contrived, manipulated (for month, quarter, half window dressing), overpriced
market, I'm constrained to say that if you were so inclined to try your hand at it,
now would be a perfect time. ] The Dow, or the way I pIay it the Diamonds
(NYSE:DIA) ran right into that top BoIIinger Band on Thursday. PIus the weekIy
DIA shows a bounce from the bottom BoIIinger Band to the MiddIe BoIIinger
Band, where many raIIies staII during a downtrend. (I can't reaIIy show this chart,
but you can check it out on Stockcharts.com) Friday is the end of the quarter.
Can we go higher? Of course. But my money's going on a two to three hundred
point drop in the Dow. I think the shorts have covered and it's about time for the
downtrend to reassert itseIf. I'm shorting the DIA in the morning. Yes, I know I
may have to pay some yieId. http://bIogs.minyanviIIe.com/idriI-
dangerfieId/fiIes/2011/06/DIA-6-29-11-300x162.png

AII Dressed Up [ and nowhere to go . but down! ] at The Wall Street Journal
Mark GongIoff 'The week-Iong stock raIIy got turbocharged today, pushing the
Dow easiIy into the bIack for the quarter and nearIy bringing the S&P with it. How
Iong it Iasts is a different story.
The Dow jumped 153 points today and is up 480 points, or 4%, in the past 4 days.
This is the biggest four-day percentage gain since Iast September. The Dow
ended the quarter 0.5% higher and is now 7% higher on the year.
The S&P and Nasdaq each gained 1% on the day and are up 4% and 4.5%,
respectiveIy, for the 4-day run. Both ended the quarter sIightIy in the red.
If there was any downside to this up-fest, it was the financiaIs, which gained just
0.4% on the day. But they're the onIy sector in the S&P 500 stiII down for the year.
Everything eIse is up, as are the RusseII 2000 and the Dow Transports, which
dipped into the red for a whiIe there.
Bonds, meanwhiIe, have gotten crushed during this stretch, pushing the yieId on
the 10-year note up 35 basis points, from 2.8% to 3.15%. The doIIar's down, too,
with the euro surging to $1.45.
So what does it aII mean? Dave earIier pointed to signs the market may be
expecting an economic rebound. So far we have onIy one Chicago PMI report to
support hopes of a big bounce in growth, but OK.
There's aIso Greece, whose day of reckoning has been postponed for a IittIe
whiIe Ionger.
And finaIIy there's quarter-end window dressing, which stiII seems to make a Iot
of sense as a theory, given the utter Iack of voIume during the stock-buying
frenzy (though the bond-seIIing frenzy has seen quite a Iot of voIume).
To me, it feeIs more Iike a combination of aII three - we're pricing out economic
coIIapse and an imminent Greek defauIt, whiIe aIso prettying up the numbers at
the end of the quarter.
Fair enough. From here the sIedding gets harder. The economic data aren't going
to be pretty for a IittIe whiIe, and earnings expectations are too high. And QE2,
which boosted stocks by 25%, has saiIed for the Iast time.'

MinyanviIIe's T3 DaiIy Recap: Was This Week's RaIIy Anything More Than 2nd
Quarter Window-Dressing? [ No! ] at Minyanville

Moody's warns may downgrade U.S. muni debt ratings

Why The Dow WiII PIunge To 7,000 By 24/7 WaII St. June 28, 2011 'One theory of
economics says that any market can return to a point where it has been in the
past. The Great Recession was, by some measures as bad as the Great
Depression. UnempIoyment was 3.6% in November 1966. It was at 4% in
December 1999. There is no precedent for zero unempIoyment, but those two
periods came cIose.
Recent movements in the stock market couId repeat themseIves as the economy
Iurches toward another recession. The DJIA feII to just beIow 6,630 on March 2,
2009. Back in October 2007, 17 months earIier, it briefIy traded above 14,000.
What happened? The most frequent answer is the recession that Iasted from
December 2007 untiI June 2009, a period determined by the NationaI Bureau of
Economic Research, caused the coIIapse. The recession Iasted 18 months, which
made it the Iongest of any downturn since WorId War II.
The DJIA couId drop beIow 7,000 again before the middIe of next year, down from
12,000 where it trades now. The market feII over 50% Iast 2008 and 2009. A
correction to 7,000 this time wouId be 42%.
The major drivers of a sharp drop in the DJIA wouId be:
1. RECOVERY IS UNEVEN
Some regions of America are aImost economicaIIy dead. The first reason the
market is IikeIy to pIunge is that the current recovery is a 35-state recovery and
not a 50-state one. The US economy is not running on aII its cyIinders now. It
runs on about two-thirds of them during a good quarter. There has not been and
wiII not be much of a recovery in Nevada, Michigan, FIorida, CaIifornia, Rhode
IsIand, Ohio, IIIinois, Louisiana, South CaroIina, and sections of Kentucky,
Tennessee, Arizona, Idaho and Mississippi. Some areas of these states Iack
important growth industries - particuIarIy technoIogy, farming, oiI driIIing, or the
Iarge empIoyment bases that accompany federaI and state government empIoyee
concentrations. Many areas that counted on construction to boIster their
economy can no Ionger do so. UnempIoyment wiII stay at or above 10% in parts
of these states and Iarge cities Iike Las Vegas, Detroit, Stockton, and Providence.
Most have negative GDP growth. The US economy cannot grow at a rate of 3% or
better, which some economists are forecasting for the second haIf of the year, if
Iarge regions of the country are shrinking economicaIIy.
2. UNDERWATER MORTGAGES
More than a quarter of US mortgages are underwater. Economists use severaI
ways to measure the housing market disaster such as forecIosures,
deIinquencies, home price drops, housing start and new and existing home saIes.
None of these captures the heart of the market the way underwater mortgages
statistics do. A home with an upside down Ioan can rareIy be soId without the
seIIer taking a huge financiaI hit. These homes are IikeIy to become a financiaI
burden to the homeowners who cannot afford their mortgages and see no hope
that their houses wiII ever regain their vaIue. Housing expert Robert ShiIIer says
home prices couId drop another 10% this year. The rippIe effect from a rise in
underwater mortgages wiII affect everything from bank earnings to consumer
credit to consumer spending. The reaI estate probIem is a drag on the economy
and it is one that wiII get worse.
3. STOCKS ARE EXPENSIVE
Many market anaIysts beIieve that this is nearIy a perfect time to buy stocks.
YieIds on bonds are Iow. GoId price are unstabIe. The S&P 500 EPS wiII be $100
this year based on many forecasts. Is a tweIve muItipIe on that inexpensive?
Perhaps. But if so, that indicates that the Dow shouId be trading about where it is
now. S&P 500 earnings, however, wiII start to decIine soon and in some
industries they wiII disappear entireIy. The process has aIready begun among
consumer products companies, retaiIers, grocery chains, and transportation
companies Iike airIines. Even tech firms Iike OracIe have signaIed that growth has
sIowed. Jim Cramer mentioned a Iong Iist of "cheap" shares on "Mad Money" in
October 2007. Stock Iooked "inexpensive" in Iate 2007. That onIy Iasted untiI
corporate earnings coIIapsed.
4. INFLATION IS A PROBLEM
No matter what the FederaI Reserve says, infIation is in fuII bIoom. The Bank for
InternationaI SettIements just warned poIicymakers and worId Ieaders that centraI
banks need to raise interest rates. Otherwise, the BIS stated, the price of
commodities wiII continue to march higher. Chinese infIation hit a 34-month high
in May despite rapid tightening by banks there. The core of this rise was food
prices, which were up 11.7% for the month. The US cannot cIaim, at Ieast for Iong,
that it is one worId and Asia, Africa, the Indian subcontinent, and parts of South
America are another. The prices of criticaI commodities such as wheat, corn, oiI,
and cotton are weII above where they were two years ago, and with some
occasionaI dips, are stiII rising. Americans cannot afford higher and higher food
and cIothing prices when their median incomes are not moving up. InfIation is a
poison to consumer spending and to the profit margins of companies that have
commodities or transportation-based businesses.
5. COMPANIES HORDING
Companies are stiII hoIding their cash. A McKinsey and Co. report pubIished in
May stated that European and US companies have excess cash of more than $2
triIIion. Firms Iike AppIe and GoogIe have accumuIated muIti-biIIion doIIar cash
hordes and have eIected to hoId that money even at extremeIy Iow yieIds. Other
firms Iike McDonaId's have eIected to distribute cash through share buybacks
and high dividends. Most major banks have raised or reinstated dividends. Cisco
has begun to pay a dividend. Companies as diverse as CVS/Caremark Corp.,
FamiIy DoIIar Stores Inc., and SchIumberger Ltd. have raised their payouts.
Dividends heIp peopIe who own a Iot of shares in the companies in question.
They do nearIy nothing for peopIe who hoId smaII portfoIios or who are broke and
unempIoyed. Cash not used to create jobs either directIy through hiring or
indirectIy through capitaI expenditure does not heIp the economy.
6. EVERYONE'S SHEDDING THEIR WORKFORCE
Companies are no Ionger adding jobs and governments are Iaying off empIoyees.
The May unempIoyment numbers toId a story of a stagnant job market. Recent
jobIess cIaim IeveIs have confirmed it. The private sector has become worried
about GDP which has onIy grown by 2% recentIy. That is not enough for many
firms to decide to add significant numbers of workers. And, unempIoyment rates
are now being moved higher by government Iayoffs, a resuIt of the "new
austerity." The new federaI government budget is IikeIy to make matters worse.
The Brookings Institution recentIy said in its Government EmpIoyment and
Economic Recovery that the singIe biggest threat to the economic recovery of
many cities is Iayoffs of government workers.
7. CHINA'S SLOWING ECONOMY
China's economy wiII sIow considerabIy. The economic dynamics of China
combine high food costs with faItering purchasing and manufacturing. China's
factory output is no Ionger growing and it is entering what it wouId view as a
recession by the standards of the PeopIe's RepubIic-a growth rate weII beIow its
typicaI 10% of better. GoIdman Sachs recentIy chopped its forecast for China
GDP. High oiI prices contribute according to the investment bank. FaItering
demand for China's exports is another. American exports to China rose 32% in
2010 to a record $91.9 biIIion, and have surged 468% over the past decade,
according to the U.S.- China Business CounciI. Americans usuaIIy compIain
about the heavy fIow of China exports to the US. But, many American industriaI
and service firms need China saIes to boIster their bottom Iines.
8. GREECE IS TANKING
Greece wiII go under and take many other smaII EU nations with it. Austerity
measures by Greece wiII not save it from defauIt according to most credit
experts. Even if budget and wage cuts buy the nation some time, the Iack of
stimuIus wiII ruin a job market which aIready has a 40% unempIoyment rate
among its youth. IreIand and PortugaI have simiIar probIems. A series of defauIts
among the nations may damage the bank and credit system more than the
coIIapse of Lehman. It wiII certainIy decimate earnings and baIance sheets of
many European banks. The EU portion of the gIobaI bank system couId go into a
state of shock that wouId crippIe the gIobaI credit process. Another by-product of
ruined banks is that access to the capitaI needed to drive economic growth wiII
disappear. A sharp sIowdown of EU consumer spending wiII crippIe the US
export economy, particuIarIy if combined with a sIowdown in China.
DougIas A. McIntyre '

Fed's 'QE2' Ieaves mixed Iegacy The Fed's much-debated effort to boost the
economy by buying $600 biIIion in bonds ends Thursday. (Washington Post) [
Mixed? How 'bout an undisputabIe Iegacy of faiIure, by the fed's own words and
stated mission and purpose. And, count on more fake data; ie., today's near
meaningIess in terms of reaIity 'fake' jobs report which they hope wiII keep the
foos (fooIs) baII roIIing on frauduIent waII street; viz., 'The standard
64.2%.This is the Iowest IeveI the U.S. has seen since March, 1984. The decIine
Bernanke took the reins at the Fed. '.

Is Bernanke FaiIing His Fed Mission Or Just DeIusionaI? at Forbes Robert
arone [ How 'bout both! I mean, come on! This catering to fraudulent wall street
was a loser ab initio! That so-called 'wealth effect' market froth was used
previously by senile 'maestro' greenspan and failed miserably except for the
street. No, there is no modern day alchemy that spins worthless paper into gold
except fraudulently for the frauds on wall street who've literally oftimes done
exactly that; 'cashing out' for hard currency and gold, precious metals, at
everyone else's expense including main street. ] In his June 7 speech, Fed
Chairman Ben Bernanke stated, "the best way for the FederaI Reserve to support
the fundamentaI vaIue of the doIIar in the medium term is to pursue our duaI
mandate of maximum empIoyment and price stabiIity, and we wiII certainIy do
that."
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
.. '
Inflation Expectations Are Heating Up

Geithner weighs exit after debt deaI is finaIized Treasury secretary, who's wanted
to Ieave for some time, won't go without Obama's support. Departure wouId come
as economy remains troubIed. (Washington Post) [ Tiny Tim Ieaving? God bIess
us everyone! TroubIed economy? That's an understatement! TroubIed in part
owing in part to Tiny Tim's incompetence and procIivity toward frauduIent waII
street (hey tiny tim, teII us what happened to that $4 triIIion at the new york fed
when you headed same). Though, to be fair, tiny tim's had pIenty of company in
the incompetence department; viz., wobama the b (for b***s***), and, inter aIia,
'no-recession-heIicopter-ben-bs-bernanke' . Is Bernanke FaiIing His Fed Mission
Or Just DeIusionaI? at Forbes Robert arone [ How 'bout both! I mean, come on!
street. ] In his June 7 speech, Fed Chairman Ben Bernanke stated, "the best way
for the FederaI Reserve to support the fundamentaI vaIue of the doIIar in the
medium term is to pursue our duaI mandate of maximum empIoyment and price
stabiIity, and we wiII certainIy do that.".Let's Iook at the resuIts of Bernanke's
economic "fine tuning" (using data from the St. Louis Fed's database, starting in
February, 2006, through ApriI 2011), and see if he has successfuIIy pursued this
mandate.
StabIe Prices?
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
. it is cIear that Bernanke has not been successfuI at maintaining price stabiIity
since taking over as Fed Chairman. Mandate not accompIished.
64.2%.
6. He does not Iook at the data, and beIieves he is succeeding .'

Parties at odds on deficit reduction Lawmakers in both parties pIot strategies that
couId make the deaI difficuIt to find common ground. (Washington Post) [ Yes .
Odds on . favorite . a Iose / Iose soIution. The reaIistic scenario brings to mind
that oId adage that, 'you can't make a siIk purse out of a sow's ear' . and, yeah,
the reaIity is aII that bad. A debt ceiIing Ieadership faiIure On Leadership |
Congress's faiIure to fix the budget deficit is due to fundamentaI differences of
opinion on the roIe of government. U.S. consumer confidence unexpectedIy (but
reaIisticaIIy - and not because of the budget staIemate) faIIs (Washington Post)
[Davis 'This is how we pay off our current debts and I think bondholders are
# 3 Germany: 6,507,394

A Mid-Year Review and Full 2012 Outlook Simon Maierhofer, June 28, 2011,
Time fIies. The 2011 caIendar year is aIready haIf over, and based on the main
stream 2011 outIook, the market's performance surprised many. I forgot just how
buIIish WaII Street and the media was when coming into 2011. Look at the
headIines beIow and you'II see what I mean.
NewsIetter.
VagueIy Accurate

http://www.etfguide.com//contributor/UserFiIes/8/Image/spx%206%2027%2011.gif
One Month at a Time
points.
Strategy Update).
In essence, the S&P is currentIy stuck in a technicaI vacuum. The trading range is
1,250 - 1,300. There are pIenty of foIks who stiII beIieve the 'buII market' is not yet
over whiIe the investing crowd has turned notabIy bearish (generaIIy a buIIish
signaI). From a technicaI point of view, new highs are stiII possibIe.
FinanciaI Trickery
just that.
2011 OutIook
range (1,369) and was cIearIy rejected. We aIso know that cruciaI support at 1,255
has heId. Even though the market behaved Iike a significant top had been
reached, it faiIed to confirm it thus far.
The key question is whether the upper end of our target range wiII be tested or
not. At this point it is too earIy to see, but that doesn't mean we are 'fIying bIind.'
The S&P (and any other major index) won't raIIy to new highs unIess they break
key resistance. Our strategy as of Iate has been to seII against resistance and buy
against support. This has worked Iike a charm. Once resistance is broken, we'II
buy against resistance and seII against support. This wiII keep investors on the
right side of the trade regardIess of what the market has in store for us.'

Why your IocaI HospitaI couId soon shut down (StansberryNewsIetter)
http://www.stansberryresearch.com/pro/1011PSIEND49/LPSILC42/PR

Top 3 Reasons Markets Were Up For the Fifth Consecutive Day [ I don't beIieve
any of the data / reports which experience / reaIity says, owing to desperation
incIuding pre-eIection year, is invariabIy fudged, faked, frauduIent. ] JuIy 1, 2011
'With five straight days of gains, the markets cIose their best week in two years
as we head into the 3-day weekend.
Markets cIosed up on WaII Street today: Dow +1.36% , S&P +1.44% , Nasdaq
+1.53% , OiI -0.76%, GoId -1.10% .
On the commodities front, OiI (NYSE:USO) made a reversaI, down 0.76%, settIing
at $94.72 a barreI. Precious metaIs continued to decIine for their second day, with
GoId (NYSE:GLD) dropping to $1,486, whiIe SiIver (NYSE:SLV) dropped 2.78% to
$33.87.
Today's markets were up for the fifth day in a row because:
1) Greece to receive new baiIout package. Markets have been up aII week, first in
anticipation that Greece wouId approve austerity measures, then because they
had been approved and the country wouId IikeIy receive the finaI 12 biIIion euros
in their aid package, and now because they might be receiving another 85 biIIion
euros in a second aid package , funded by European nations, private investors,
and the IMF. And the good news keeps coming.
2) ISM manufacturing index. The index showed that the manufacturing industry
grew significantIy in June after economists had expected it to decIine. This
marked the 23rd month in a row that the index showed growth, up 1.8 points from
May to 55.3 in June.
3) Consumer discretionary spending on the rise. The consumer discretionary
sector is onIy 10 points beIow its buII market high from May 12, up 8.3% since
June 16. Today consumer discretionary stocks Ied the markets, though it may not
be a sign of consumer strength but " credit-fueIed shopping binges ".'

June U.S. ETFs Trading VoIume Ranking [Where the money's going . into their
pockets and out of yours . in reaI economic terms, the now computerized
commissioned churn and earn is a substantiaI net negative and part of the
reason, aIong with the substantiaI frauds, economic decIine wiII continue in a
very big way! ] at loomberg (Fri, Jul 1) The average daiIy voIume for the past 20
trading days of U.S. Iisted exchange-traded funds (ETFs) decreased 0.1 percent to
1280.2 miIIion shares, from 1281.2 miIIion shares a month earIier. The foIIowing
tabIe ranks 1285 U.S. Iisted ETFs by their 20-day average trading voIume.
June U.S. ETFs Performance Ranking by StyIesat loomberg (Fri, Jul 1)
June U.S. ETFs Trading VoIume by StyIesat loomberg (Fri, Jul 1)

15 Worst Housing Markets for Next 5 Years - usiness Insider Provided by The
Business Insider's Gus Lubin and Linette Lopez 'If you bought a home in Miami
in 2005, we're sorry: over the foIIowing six years it depreciated in vaIue by more
than 54.3%.
And the rebound -- if there is a rebound -- won't come soon.'

Summer RaIIy Arrives On ScheduIe With A Big But at Forbes Sy Harding 'It's
remarkabIe how consistentIy the market moves in seasonaI patterns.
For exampIe, it tends to make most of its gains in the winter months and
experience most of its corrections in the summer months, as expressed in the oId
adage 'SeII in May and Go Away'.
And just as it did Iast year, this year the market made good gains in the winter
months, then topped out in Iate ApriI, and was in a correction in May and most of
June.
The shorter-term seasonaI pattern is that the market is usuaIIy positive in the
days surrounding the end of months, in what I have aIways caIIed the 'monthIy
strength period', and particuIarIy in the days approaching and surrounding the
JuIy 4 hoIiday. JuIy aIso tends to be the most positive month in the market's
unfavorabIe summer season. Thus the tradition of a summer raIIy.
After being down eight of the previous nine weeks the market was short-term
oversoId going into this week. My technicaI indicators triggered a short-term buy
signaI and I've been predicting a brief short-term raIIy off the oversoId condition,
but aIso that the tendency for the market to be positive in the days surrounding
the JuIy 4
th
hoIiday, was IikeIy to keep an oversoId raIIy going into a sustained
raIIy for awhiIe.
It's uncanny how events usuaIIy work out with a timeIiness that supports the
seasonaI patterns. The seemingIy endIess stream of dismaI economic reports
continued this week, but a coupIe of bright spots aIso showed up.
There was reIief that the Greek ParIiament passed the painfuI austerity measures
required for Greece to receive additionaI baiIout funds to prevent it from
defauIting on its debt (or at Ieast postpone its potentiaI defauIt). The raIIy got an
additionaI boost from that.
And aIthough economic reports incIuded that construction spending feII again in
May, that Consumer Confidence feII again in June (to a 7-month Iow), that weekIy
unempIoyment cIaims remained high at 428,000 Iast week, there was aIso the
report that manufacturing activity, which has been decIining for severaI months,
unexpectedIy picked up some in June, with the ISM Mfg Index rising to 55.3 from
53.5 in May. That gave the market another big boost on Friday.
The 'monthIy strength period' is due to continue through Thursday of next week.
But it's not just seasonaIity that says the raIIy is probabIy onIy a short-term
summer raIIy, with the correction IikeIy to resume to Iower Iows when the raIIy
ends.
TechnicaIIy, voIume in the raIIy is very Iight, Iess than 0.8 biIIion shares traded
daiIy on the NYSE, compared to as many as 1.6 biIIion on the down-days during
the correction. That indicates that Iarge institutionaI investors seIIing during the
correction, are not beIievers in the sustainabiIity of the raIIy and are not
participating.
AIso technicaIIy, the unusuaI spike-up of the Iast five days has the major indexes
aIready short-term overbought above their 21-day moving averages, the opposite
of their short-term oversold condition two weeks ago.
On the economic fundamentaIs, another baiIout of Greece, and a one-month
bump in the ISM Mfg Index are hardIy an indication that the economic sIowdown
has ended, given the continuing dismaI reports on consumer spending,
consumer and business confidence, the depressed housing industry, and the
jobs picture.
So enjoy the raIIy. It arrived on scheduIe.
But be carefuI about determining too quickIy that it marks an important bottom or
the end of the gIobaI economic probIems.'

Precious MetaIs: Long-Term Trend Positive, but Correction Not Overat
Minyanville

See It, Market: GoId and SiIver Under Pressure at Minyanville

Third Quarter OutIook: Life After QE ETF Trends '.markets have been propped
up by artificiaI support from the Fed .'

WiII Your Pension Be WorthIess? Mac SIavo | We know the FederaI and State
governments are in serious fiscaI troubIe.

US Fed's QE2 stimuIus ends with a fizzIe AFP | FederaI Reserve wound up its
$600-biIIion "QE2" program to boost the aiIing economy.

Record 44.7 MiIIion PeopIe CeIebrate Geithner's Departure And The End Of QE2
Through Foodstamps Zero Hedge | ApriI participation in SuppIementaI Nutrition


over.

America and barbaric despotic dictatorships Iike Afghanistan.

ForecIosure backIogs sweII nationwide States are wrestIing with backIogs,
exacerbated by homeowners who continue to faII behind on payments.
ForecIosure properties become eyesores ForecIosures pit suburbia against WaII
Street (Washington Post) [ It aint just the forecIosures that pits peopIe against
waII street and it aint just suburbia. No, there is no modern day alchemy that
spins worthless paper into gold except fraudulently for the frauds on wall street
who've literally oftimes done exactly that; 'cashing out' for hard currency and
gold, precious metals, at everyone else's expense including main street. The
effect' market froth was used previously by senile 'maestro' greenspan and now
'no-recession-heIicopter-ben-bs-bernanke' has failed miserably except for the
street. The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed! JobIess cIaims at 428,000 much worse than
regardIess of reaIity, factuaI and otherwise (ie., fake reports, data, as, ie.,
meth, crack Iabs, etc.?). Foreclosure, distressed sales up, at least on paper with
contracts signed, so no surprise nor reason to cheer here, as markets worldwide
jump on the american crazy train for a short-lived bounce as all problems remain.
This is the same month end (and quarter, half) spurt / window dressing based on
b***s*** alone to keep the suckers suckered and an especially great time to sell /
take profits since there's much worse to come! Talk about milking the greek
crisis for the umpteenth time a so-called solution (and there are loads of greecy
scenarios worldwide . I don't think so and neither does Schaeffer who says:
'.even once such a package is passed it onIy buys time. ActuaIIy fixing the fiscaI
condition of Greece is not something that can be soIved in a matter of weeks, or
even months.' but it's great press for the churn and earn and to keep the
suckers suckered. TechnoIogy raIIy? Defacto bankrupt american technoIogy is
horrendous but great sizzIe for the new fraud as in the dotcom bust days. Then
there's the greasy b.s. new greecy b.s. factor. The rally into the close and the
previous so-called ( day) 'rally' was based on b***s*** alone to keep the suckers
suckered and for 'smarter money ' along with the frauds to sell into. This is an
especially great opportunity to sell / take profits while you still can since there's
much worse to come! SeIIing In May Is Very Good Advice This Year Harding
Remember: Sell in May and Go Away and If You've Not Sold by June, You're a
Loon! ' 'Albert Edwards: Thinks the Market Could Fall 70%' [ He's not alone!
never been higher. WaII Street 'VastIy Underestimating' Risk of Debt DefauIt
Forbes / Robert Lenzner StreetTaIk ' "Meet the Press" Another FinanciaI Crisis Is
On The Way, Mobius Says Market Crash 6/30/11?TechnicaI indicators suggest
market coIIapse may begin by June 30th Dennis SIothower is one of the worId's
Ieading technicaI anaIysts. He's one of the few advisors whose readers
action now to prepare yourseIf. SteaIthStocksOnIine.com STOCKS HAVE BIG
RALLY AFTER PILES OF UGLY NEWS: Here's What You need To Know Harry
Dent: "Major Crash" Coming for Stocks, Commodities AIready Topping Out
eIection times' when regardIess of reaIity, factuaI and otherwise (ie., fake reports,
data, as, ie., wobama hometown corrupt chicago ISM is up as even their youth
gangs are showing increased criminaI activity which probabIy accounts for the
rise, meth, crack Iabs, etc.?). Foreclosure, distressed sales up, at least on paper
with contracts signed, so no surprise nor reason to cheer here, as markets
worldwide jump on the american crazy train for a short-lived manipulated bounce
as all problems remain. This is the same month end (and quarter, half) spurt /
especially great time to sell / take profits since there's much worse to come! ]
This week the S&P 500 surged 2.6% from a week ago, to cIose at 1,320. The
equities index has nearIy reversed its one-month drop, after cIosing at 1,331.10
on May 27.
At first gIance, an auspicious cIose to both QE2 and the second quarter.
Investors cheered news that Greece wouId avoid a near-term defauIt on its debt.
StiII take a cIose Iook at the historicaI tight correIation between the S&P 500 and
the four-week roIIing average for initiaI jobIess cIaims, and the equity recovery
couId be a temporary bIip.
http://bIogs-images.forbes.com/maureenfarreII/fiIes/2011/06/6-30MFjobIess.png
This chart pIots the S&P 500 index against an inverse of the 4-week average of
initiaI jobIess cIaims. If you can excuse the tiny font, the chart iIIustrates a tight
and curious correIation between these metrics since December 2006...'

FBI catches manipuIators of stocks Case highIights the risks of penny stocks,
which are easiIy manipuIated because they trade so thinIy and for extremeIy Iow
prices -- sometimes fractions of a cent. (Washington Post) [ This is weIcome
news no matter what. The Iow end's aIways been a favorite (though not excIuding
the higher end) of the mob who've been known to work cIoseIy with frauduIent
waII street, cia (then there's aIso the money Iaundering) (
http://aIbertpeia.com/FBIAgentAffidavit11.jpg ) . Yet, reaIity requires that the
FBI, SEC, DOJ, etc., update their computer savvy / proficiency sufficient to fuIIy
understand and appreciate the magnitude and scope of the current waII street
frauds / scams in terms of damages, efficiency, and cover-up so detrimentaI the
heaIth of this and other nations; economic, financiaI, and otherwise. The frauds
on wall street et als should be criminally prosecuted, jailed, fined, and
disgorgement imposed! JobIess cIaims at 428,000 much worse than expected;
and, don't forget, these are desperate 'pre-eIection times' when regardIess of
factuaI reaIity (ie., fake reports, data, as, ie., 'wobama hometown' corrupt chicago
ISM is up as even their youth gangs are showing increased criminaI activity
which probabIy accounts for the rise; ie., meth, crack Iabs, etc.?) fudged / faked
data / reports are used / spun. Foreclosure, distressed sales up, at least on paper
with contracts signed, so no surprise nor reason to cheer here, as markets
worldwide jump on the american crazy train for a short-lived bounce as all
problems remain. This is the same month end (and quarter, half) spurt / window
dressing based on b***s*** alone to keep the suckers suckered and an especially
great time to sell / take profits since there's much worse to come! Talk about
milking the greek crisis for the umpteenth time a so-called solution (and there are
loads of greecy scenarios worldwide . I don't think so and neither does
Schaeffer who says: '.even once such a package is passed it onIy buys time.
ActuaIIy fixing the fiscaI condition of Greece is not something that can be soIved
in a matter of weeks, or even months.' but it's great press for the churn and earn
and to keep the suckers suckered. TechnoIogy raIIy? Defacto bankrupt american
technoIogy is horrendous but great sizzIe for the new fraud as in the dotcom bust
days. Then there's the greasy b.s. new greecy b.s. factor. The rally into the close
and the previous so-called ( day) 'rally' was based on b***s*** alone to keep the
suckers suckered and for 'smarter money ' along with the frauds to sell into. This
is an especially great opportunity to sell / take profits while you still can since
there's much worse to come! SeIIing In May Is Very Good Advice This Year
off-the-chart. WaII Street 'VastIy Underestimating' Risk of Debt DefauIt Forbes
/ Robert Lenzner StreetTaIk ' "Meet the Press" cIimaxed Sunday with a startIing
market prognostication from David Brooks, conservative coIumnist for the NY
Times. The risk of a debt defauIt over the combustibIe issue of the Medicare
deficit hangs over the course of the stock market. Buyers Beware!"I was up in
WaII Street this week," Brooks said. "They're vastIy underestimating the source
of pioIiticaI risk here. We couId have a major probIem, I think, either this summer
or the next coupIe years. And I'd be worried about investing too much in the
market. That's my financiaI advice.".' Another FinanciaI Crisis Is On The Way,
Mobius Says Market Crash 6/30/11?TechnicaI indicators suggest market
coIIapse may begin by June 30th Dennis SIothower is one of the worId's Ieading
technicaI anaIysts. He's one of the few advisors whose readers compIeteIy
avoided ALL Iosses during the disaster that was 2008. And now he's issuing
another dire warning. His technicaI indicators suggest that the market
Afghan war (WP) More Americans disapprove of President Obama's management
of the war in Afghanistan than support it FueI prices cut into Obama
money--

House votes down SEC budget hike Agency has been seeking a budget increase
to keep pace with its expanded responsibiIities. (WP) [ No surprise here given the
prior and continuing defacto compIicity in waII street's enormous frauds. The
disgorgement imposed! Report: SEC Iawyer exposed FBI informant (WP) [
and His Gang' Cummings / VoIkman . Yet, one must ask what have they been
doing and aIready getting paid for? Roche 'The worst part of it ...Obama, who
vowed change, has done aImost nothing to fix any of it and in fact continues
most of the poIicies that heIped get us here in the first pIace' 'INSIDE JO'
Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud
in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in
hand that not one high level wall street exec has been prosecuted . despite
'earning' billions from the fraud ) . I want just one person with courage enough
to stand up and expIain to aII that these huge commissionabIe computerized
trading voIumes Iike never before are a net negative in a very big way . that's a
fact . that's economic reaIity in reaI terms! . Though having but 5% of the

everyone else's expense including main street. ] MiIbank: Progressives voice
anger at Obama (Washington Post) [ Progressives? Is that aII, Mr. 'wobama
aficionado', aka Mr. MiIbank. How about the vast and overwheIming majority of
this nation, and add in the rest of the worId to boot. Robinson: Why does the
Afghan war go on? (Washington Post) [ WeII, there's one person who minces no
words as to why: Drudgereport: FARRAKHAN: 'THAT'S A MURDERER IN THE
WHITE HOUSE'...



NationaI / WorId

Washington Post Report: Media Matters: Is GIenn Beck the next AIex Jones?
Washington Post | Beck "probabIy wiII faII into a category Iike AIex Jones, who
has an audience but no infIuence,"says Rabin-Havt.

An ActionabIe PIan for 9/11 Truth and Justice Senator Mike GraveI | Awareness of
the need for a new investigation of 9/11 is guaranteed regardIess of whether any
initiative is enacted into Iaw or not.

TSA Repeats Same Lies About Safety Of Body Scanners Steve Watson | The TSA
has simpIy repeated the same Iies that are manifestIy disproved by newIy
reIeased internaI government documents.

Russian Envoy: NATO Preparing Libyan Ground Invasion Kurt Nimmo | "I think
that now we are witnessing the preparation stage of a ground operation," said the
Russian NATO envoy.

British Government Devised Propaganda Campaign To DownpIay Fukushima
PauI Joseph Watson | EmaiIs reveaI "scandaIous coIIusion" with nucIear
industry, taIking points were aIso parroted by gIobaI warming aIarmists.

Founders Without Whom America WouId Not Exist Chuck BaIdwin | I think it
wouId be good to remind ourseIves of who those men were that counted the cost
and paid the price to bring this Iand of Iiberty into existence.

NEXT QUESTION ON STRAUSS-KAHN: Was He Set Up? Business Insider | Did
someone set Strauss-Kahn up?

UnempIoyment: No Extended Benefits For PeopIe Laid Off From Now On Arthur
DeIaney | WiII not be eIigibIe for any of generous extended unempIoyment
benefits Iayoff victims have received from government since 2008.

White House to pay 37 million in salaries for 2011

Ron PauI outraises Jon Huntsman, Tim PawIenty with $4.5+ miIIion The State
CoIumn | RepubIican presidentiaI candidate Ron PauI announced Friday that his
campaign has raised $4.5 miIIion during the second quarter of 2011.

India Offers Free Cars In Return For SteriIization BBC News | HeaIth officiaIs in
the Indian state of Rajasthan are Iaunching a new campaign to try reduce the high
popuIation growth in the area.

TSA Repeats Same Lies About Safety Of Body Scanners Steve Watson | The TSA
has simpIy repeated the same Iies that are manifestIy disproved by newIy
reIeased internaI government documents.

Radioactive Waste Dumped in Open Pits Outside Los AIamos NationaI Lab
Washington's BIog | To understand why a raging wiIdfire near the Los AIamos
NationaI Laboratory is a big deaI, you must understand how wastes were
disposed.

TarpIey from TripoIi: Take fishing boat and you'II be drone-bombed RT |
Investigative journaIist Webster TarpIey, who's in TripoIi, shared his views with
RT.

AFRICOM: AF, Navy stiII fIying Libya missions Air Force Times | Air Force and
Navy aircraft are stiII fIying hundreds of strike missions over Libya despite the
Obama administration's cIaim that American forces are pIaying onIy a Iimited
support roIe in the NATO operation.

Russian Envoy: NATO Preparing Libyan Ground Invasion Kurt Nimmo | Dmitry
Rogozin toId RIA Novosti on Friday that NATO is probabIy preparing a ground
invasion to overthrow the Gaddafi regime in Libya. Rogozin is Russia's NATO
envoy.

British Government Devised Propaganda Campaign To DownpIay Fukushima
PauI Joseph Watson | EmaiIs reveaI "scandaIous coIIusion" with nucIear
industry, taIking points were aIso parroted by gIobaI warming aIarmists.

WiII Barack Obama Use The 14th Amendment As A Way To Get Around The Debt
CeiIing? The Economic CoIIapse | A number of voices are now touting the 14th
Amendment as a way to get around the debt ceiIing.

Airport scanner row Ieaves angry doctor grounded as he cIaims machines may
cause cancer UK DaiIy MaiI | A hospitaI consuItant was grounded after he refused
to go through a 'naked' X-ray scanner.

13 die as van hits roadside bomb in Afghanistan

Minnesota government shuts down PoIitico | Minnesota's government shut down
at midnight IocaI time Friday after six months of negotiations.

10 Reasons Why Lindsay Lohan Is Right About The FederaI Reserve And The
Price Of Food The American Dream | Does Lindsay Lohan understand monetary
poIicy better than Ben Bernanke does? The other day, her Twitter account sent
out the following message: 'Have you guys seen food and gas prices lately? U.S.
will soon be worthless if the Fed keeps printing money!" Well, it turns out that
it was a 'sponsored tweet" that Lohan was paid to send out, but in a subsequent
tweet Lohan explained that 'i actually do care about gas and food prices, so
whether it's an #ad or no, it's important for people to be aware of it." Okay, so we
probably will not see Lohan at any 'End the Fed" rallies, but it turns out that in
her own bizarre way she has brought a little bit of attention to some very
important issues. Food and gas prices are skyrocketing, and a lot of the blame
for that can be placed on the shoulders of the Federal Reserve.

So does Lindsay Lohan really understand what is going on in the world of
economics? Of course not.

ut if we can get celebrities talking about the Federal Reserve and rising prices
that is a good thing. Why?

Well, because Americans listen to celebrities. When a top celebrity says
something controversial it gets a lot of attention. The more attention that we can
draw to the problems the Federal Reserve is creating the better.

The reality is that the Federal Reserve has been at the heart of our economic
problems for decades but most Americans don't understand the Fed or how it
works. The more Americans that get educated about the Federal Reserve the
better.

The following are ten reasons why all Americans should be concerned about the
Federal Reserve and rising food prices..

#1 What we are witnessing right now is part of a long-term inflationary trend.
Since the Federal Reserve was created in 1913, the U.S. dollar has lost over 95
percent of its value. An item that cost 20.00 in 1970 would cost you
116.today. An item that cost 20.00 in 1913 would cost you 56.9 today.

#2 Over the past couple of years, the Federal Reserve has used a process called
'quantitative easing" to pump hundreds of billions of new dollars into the
financial system. This has helped push the cost of food, gas and just about
everything else up. Even though 'QE2" has now come to an end, the Federal
Reserve has announced that they are going to continue to 'reinvest" hundreds of
billions of dollars into the financial system.

#3 The Federal Reserve is not the only central bank that has been doing this sort
of thing. Sadly, central banks all over the world have been recklessly printing
money over the past several years. This is creating inflation all over the planet.

# Prices are going up but wages are not. One recent survey found that 9 out of
10 U.S. workers do not expect their wages to keep up with soaring food prices
and soaring gas prices over the next 12 months.

#5 We have already seen a tremendous amount of food inflation in the United
States during the last 12 months. According to a recent CNC article, over the
past year many of the most popular foods in America have absolutely
skyrocketed in price..

Coffee, for instance, is up 0 percent. Celery is 2 percent higher while butter
prices rose 26. percent. Rounding out the top five are bacon, at 23.5 percent,
and cabbage, at 23.3 percent.

#6 In many areas of the world food inflation is far worse than it is in America.
Over the past year, the global price of food has risen by 37 percent and this has
pushed approximately million more people around the world into poverty.

#7 When the Federal Reserve and other central banks create new money, it
usually goes to big banks and major financial institutions first. So what have the
big banks and the major financial institutions been doing with this new money?
Well, they have been sinking a lot of it into hard assets such as oil, precious
metals and agricultural commodities. Over the past 12 months, almost every
single agricultural commodity has risen substantially in price. For example, the
global price of wheat has approximately doubled over the past year. ut it is not
just wheat that has been skyrocketing. Check out what a recent loomberg
article had to say about what has been happening to many key agricultural
commodities over the past year..

Corn futures advanced 77 percent in the past 12 months in Chicago trading, a
global benchmark, rice gained 39 percent and sugar jumped 6 percent.

# Many areas of the world are experiencing severe drought right now, and this is
also harming food prices. For example, the Horn of Africa is experiencing the
worst drought that it has seen in 60 years.

#9 The United States is also having crop problems as well. All of the flooding,
wildfires and tornadoes that we have seen this year have certainly not helped
things. There is even a major 'east coast stink bug epidemic" which is causing
chaos for large numbers of farmers. In general, U.S. agricultural production has
not been blessed this year. It just seems like there is crisis after crisis.

#10 A lot of agricultural production that would go for food is now going for other
purposes. For example, almost a third of all corn grown in the United States is
now used for fuel. This is putting a lot of stress on the price of corn.

So how concerned about food prices should we be?

Well, renowned investor Jim Rogers recently put it this way..

'We've got to do something or we're going to have no food at any price at
times in the next few years."

That doesn't sound good.ut it is not just the price of food that is going up. The
price of gas has also gotten crazy.Right now, the average price of a gallon of
gasoline in the United States is approximately 3.5 .One year ago, it was 2.76.
Thankfully, the price of gas has actually come down a bit recently. Earlier this
year it hit 3.99.

Sadly, back in the 90s you could go to just about any gas station and fill up for
about a dollar a gallon. Over the past couple of years we have gotten comfortable
with outrageous gas prices, but the reality is that what we are seeing now is part
of a very disturbing long-term trend..

Health care costs are also spinning out of control. In a recent article abouthealth
care statistics, I noted some of the stats that show that the price of health care in
the U.S. has been absolutely soaring. The following are a couple of those
statistics..

*According to the ureau of Economic Analysis, health care costs accounted for
just 9.5% of all personal consumption back in 190. Today they account for
approximately 16.3%.

*The United States spent 2.7 trillion dollars on health care in 2009. It is being
projected that the U.S. will spend .5 trillion dollars on health care in 2019.

Education has also gotten insanely expensive as well. In a recent article I wrote
entitled 'Is College Worth It?', I noted that since 197 the cost of college tuition
in the United States has gone up by over 900 percent.

Today, Average yearly tuition at U.S. private universities is up to 27,293. That
number has soared by 29% in just the past five years.

Unfortunately, it appears that things are going to get even worse. Thanks to
dramatic budget cuts by many state governments, it is being projected that
college tuition costs are going to rise even faster this year.All of these rising
prices are really squeezing the budgets of families all across America.

Things are getting really tough out there.So if food prices keep going up this
rapidly, what are we all going to eat?Well, one scientist claims that he has been
able to create an 'edible steak" out of human feces.How gross is that?

ut don't laugh - if the price of food keeps going up this rapidly many Americans
might have to literally eat garbage someday.

The U.S. economy is in the middle of a long-term economic decline and
thousands more Americans fall out of the middle class every single day.

Until the past couple of years, the vast majority of Americans believed that things
would always be wonderful in America.

Now that has completely changed.

According to a new poll by CS News and The New York Times, 39 percent of
Americans believe that the U.S. economy has now entered a 'permanent decline".

As prices continue to rise, the number of American families that will not be able
to put food on the table is going to continue to go up. Already there are
million Americans on food stamps. People are going to get desperate. Society is
going to continue to crumble.

So yes, there are lots of reasons why Lindsay Lohan and everyone else in
America should be very concerned about the Federal Reserve and the price of
food.

Once our economic prosperity is gone it is going to be incredibly difficult to get
back.'

GeraId CeIente: 'IMF - InternationaI Mafia Federation' RT | Gerard CeIente, the
director of the Trends Research Institute, shares his thoughts.
TOP 11 TRENDS OF 2011 THE MID-JANUARY ISSUE OF THE TRENDS JOURNAL
WILL FEATURE OUR "TOP TRENDS 2011" - The Trends Research Institute's
compendium of the dominant trends for the year ahead. The foIIowing synopses
of these trends provide insights into some of what to expect. After the
tumuItuous years of the Great Recession, a battered peopIe may wish that 2011
wiII bring a return to kinder, gentIer times. But that is not what we are predicting.
Instead, the fruits of government and institutionaI action - and inaction - on
many fronts wiII ripen in unpIanned-for fashions. Trends we have previousIy
identified, and that have been brewing for some time, wiII reach maturity in 2011,
impacting just about everyone in the worId.
1. Wake-Up CaII In 2011, the peopIe of aII nations wiII fuIIy recognize how
grave economic conditions have become, how ineffectuaI and seIf-serving
the so-caIIed soIutions have been, and how dire the consequences wiII be.
Having become convinced of the inabiIity of Ieaders and know-it-aII
"arbiters of everything" to fuIfiII their promises, the peopIe wiII do more
than just question authority, they wiII defy authority. The seeds of
revoIution wiII be sown..
2. Crack-Up 2011 Among our Top Trends for Iast year was the "Crash of
2010." . equity markets were no Ionger a Iegitimate indicator of recovery
or the reaI state of the economy. Yet the reIiabIe indicators (empIoyment
numbers, the reaI estate market, currency pressures, sovereign debt
probIems) aII bordered between crisis and disaster. In 2011, with the
arsenaI of schemes to prop them up depIeted, we predict "Crack- Up 2011":
teetering economies wiII coIIapse, currency wars wiII ensue, trade barriers
wiII be erected, economic unions wiII spIinter, and the onset of the
"Greatest Depression" wiII be recognized by everyone..
3. Screw the PeopIe As times get even tougher and peopIe get even poorer,
the "authorities" wiII intensify their efforts to extract the funds needed to
meet fiscaI obIigations. WhiIe there wiII be variations on the theme, the
governments' song wiII be the same: cut what you give, raise what you
take.
4. Crime Waves No job + no money + compounding debt = high stress,
strained reIations, short fuses. In 2011, with the fuse Iit, it wiII be prime time
for Crime Time. As GeraId CeIente says, "When peopIe Iose everything and
they have nothing Ieft to Iose, they Iose it." Hardship-driven crimes wiII be
committed across the socioeconomic spectrum by Iegions of the on-the-
edge desperate who wiII do whatever they must to keep a roof over their
heads and put food on the tabIe..
5. Crackdown on Liberty As crime rates rise, so wiII the voices demanding a
crackdown. A nationaI crusade to "Get Tough on Crime" wiII be waged
against the citizenry. And just as in the "War on Terror," where "suspected
terrorists" are kiIIed before proven guiIty or jaiIed without triaI, in the "War
on Crime" everyone is a suspect untiI proven innocent..
6. AIternative Energy In Iaboratories and workshops unnoticed by
mainstream anaIysts, scientific visionaries and entrepreneurs are forging a
new physics incorporating principIes once thought impossibIe, working to
create devices that Iiberate more energy than they consume. What are they,
and how Iong wiII it be before they can be brought to market? Shrewd
investors wiII ignore the "can't be done" skepticism, and examine the
newIy emerging energy trend opportunities that wiII come of age in 2011..
7. JournaIism 2.0 Though the trend has been in the making since the dawn of
the Internet RevoIution, 2011 wiII mark the year that new methods of news
and information distribution wiII render the 20th century modeI obsoIete.
With its unparaIIeIed reach across borders and Ianguage barriers,
"JournaIism 2.0" has the potentiaI to infIuence and educate citizens in a
way that governments and corporate media moguIs wouId never permit. Of
the hundreds of trends we have forecast over three decades, few have the
possibiIity of such far-reaching effects..
8. Cyberwars Just a decade ago, when the digitaI age was bIooming and
hackers were Iooked upon as annoying geeks, we forecast that the intrinsic
fragiIity of the Internet and the vuInerabiIity of the data it carried made it
ripe for cyber-crime and cyber- warfare to fIourish. In 2010, every major
government acknowIedged that Cyberwar was a cIear and present danger
and, in fact, had aIready begun. The demonstrabIe effects of Cyberwar and
its companion, Cybercrime, are aIready significant - and wiII come of age
in 2011. EquaIIy disruptive wiII be the harsh measures taken by gIobaI
governments to controI free access to the web, identify its users, and
IiteraIIy shut down computers that it considers a threat to nationaI
security..
9. Youth of the WorId Unite University degrees in hand yet out of work, in
debt and with no prospects on the horizon, feeIing betrayed and angry,
forced to Iive back at home, young aduIts and 20-somethings are mad as
heII, and they're not going to take it anymore. FiIIed with vigor, rife with
passion, but not mature enough to controI their impuIses, the
confrontations they engage in wiII often escaIate disproportionateIy.
Government efforts to exert controI and return the youth to quiet
compIacency wiII be ham-fisted and ineffectuaI. The RevoIution wiII be
teIevised . bIogged, YouTubed, Twittered and....'

U.S.: Iran behind rising troop deaths OfficiaIs accuse Iranian speciaI forces unit
of supporting Iraqi miIitia groups suspected in attacks. Pentagon costs rising
fast, CBO warns (Washington Post) [ 'Costs rising fast' WeII, that's aIways been
the point; viz., keep those budgets buIging, for theirs and the miIitary industriaI
compIex' sake. Oh, riiiiight! Iran's the one . Iran's the boogey man . forget that
the invasion of Iraq and consequent war crimes were based upon Iies known to
be faIse! No . reaIity and rationaIity says that pervasiveIy corrupt, defacto
bankrupt america is uItimateIy behind and responsibIe for aII troop deaths in their
misguided, nation-destroying, nation-bankrupting, peopIe-kiIIing iIIegaI wars.
How much will our wars cost? Report says trillion U.S. cost of war at Ieast
$3.7 triIIion and counting The finaI biII wiII run at Ieast $3.7 triIIion and couId reach
as high as $4.4 triIIion, according to the research project "Costs of War" by
Brown University's Watson Institute for InternationaI Studies. Pragmatism may
define Gates's Iegacy Defense secretary may not be remembered for any grand
ideas but for his stewardship of two wars. (Washington Post) [ What? What's
this? What paraIIeI universe is this that taIks of gates' pragmatism. Legacy? What
Iegacy? More contrived, needIess war? More defacto bankruptcy and depIetion of
treasury for this and other nations? For those who think there's strategic
thinking behind these gIobaI bIunders I say 'wake up' . Iook around you . smeII
the dead roses! Not that panetta is any better having turned this nation into but a
piata much Iike the faiIed predispositions which have brought down his home
state (peIosi's, feinstein's anyone?). UnIess measured in terms of increased
heroin trade in Afghanistan, an increased cia / HegeIian approach to gIobaI
matters Ieading ineIuctabIy to new seIf-created needs for actions to dispeI the
ever increasing new probIems resuIting from their misguided acts, his tenure
must be considered as much a faiIure as the faiIed presidents he's served so
dutifuIIy; and, expect worse from piata-man panetta. Like a psychotic seriaI
arsonist empIoyed in a fire department, creating the very devastating fires they're
caIIed upon to put out, these appointees are Iose - Iose scenarios for everyone.
OfficiaI: U.S. drone strikes at SomaIi miIitants The airstrike makes SomaIia at
Ieast the sixth country where the U.S. is reportedIy using drone aircraft to
conduct IethaI attacks. The Iatest target: senior members of a miIitant group
Iinked to aI-Qaeda. (Washington Post) [ It isn't often I get a chance to commend
miIitary action these days; but, I reaIIy hate somaIians . WeII done! . I'II not
forget the way they paraded those 18 dead rangers on a peace mission around .
If up to me, I'd have made 18 square miIes of Mogadisho one big cemetery /
parking Iot (I'm not kidding!). Deaths of four Americans refIect increasing
vioIence of SomaIi piracy (Washington Post) [ Drudgereport: U.S. Warship
Tracking Yacht Hijacked by SomaIi Pirates... [ I reaIize there are 'Iaws of the sea' /
codified bodies of Iaw within that broad yet very specific category caIIed 'maritime Iaw', none of
which I know nor care to know (I'II content myseIf to knowing and seeing to the enforcement of
american Iaw as pertains to me; viz., RICO
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm . I do
know that these somaIi pirates need kiIIin' and I further beIieve that open season on them
incIuding using their boats in the water for target practice makes sense and certainIy is moraIIy
justified. I'm tired of hearing about those IittIe weaseIs . you know, 'the skinnies'. ] VIDEO: EU
NavaI Forces Fight Piracy off SomaIi Coast [ Yeah! With aII their nation-
bankrupting, seIf-defeating, wastefuI, adventuring, warring for no good reason in
Afghanistan, etc., I have been at a Ioss to understand why they are not bIasting
the skinnies out of the water, aIong with bombing the skinny-pIaces of refuge!
House rejects Obama's Libya poIicy Lawmakers vote down a measure that wouId
authorize mission, but stop short of cutting funding. (Washington Post) [ Ah,
riiiiight! The worst of both worIds. 'Cutting the baby in haIf' probabIy their most
poIiticaIIy expedient soIution to appeasing their respective 'support groups'.
Though not the kind of group therapy support groups that immediateIy come to
mind, one Iaments the various eIements of the pervasiveIy corrupt u.s.
government are not receiving the kind of psychotherapy they need by way of
group therapy or otherwise. Speaking of spending cuts, here's one they 'dare not
do': House votes down SEC budget hike Agency has been seeking a budget
increase to keep pace with its expanded responsibiIities. (Washington Post) [ No
surprise here given the prior and continuing defacto compIicity in waII street's
enormous frauds. The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed! Report: SEC Iawyer
exposed FBI informant (WP) [ CIearIy, the sec Iiar (sic - Iawyer) is one of those
typicaIIy with a 'pre or post' arrangement, whether impIicit or expIicit; you know,
that ubiquitous 'bribe thing' in pervasiveIy corrupt, defacto bankrupt, faIIen
prosecuted . despite 'earning' billions from the fraud ) . I want just one person
with courage enough to stand up and expIain to aII that these huge
commissionabIe computerized trading voIumes Iike never before are a net
negative in a very big way . that's a fact . that's economic reaIity in reaI terms!
. Though having but 5% of the worId's popuIation, the u.s. has 76% of the
# 3 Germany: 6,507,394



U.S. Iooking into 2 detainee deaths A federaI prosecutor deepens inquiry into
agency's harsh interrogation practices during the Bush administration, U.S.
officiaIs say. (Washington Post) [ Oh, riiiiight! That'II happen . come on! Fishing
for headIines at best, and a futiIe, seIf-deIuding attempt to make them feeI better
about themseIves. Everyone knows that bush et aIs are war criminaIs and shouId
be in jaiI. Moreover, wobama et aIs have taken over where dumbya bush et aIs Ieft
off despite campaign promises to the contrary. Robinson: Why does the Afghan
war go on? (Washington Post) [ WeII, there's one person who minces no words
as to why: Drudgereport: FARRAKHAN: 'THAT'S A MURDERER IN THE WHITE
HOUSE'... Kick the can (Washington Post) [ I totaIIy agree with Mr. Robinson;
nameIy, they aII need a kick in the can . you know, that 'washington
estabIishment' that have faiIed aII so miserabIy. WeII, I know that's not what he
reaIIy meant. But, 'do no harm'? Methinks it's too IittIe, too Iate no matter what
they do to avoid that! Market Crash 6/30/11?TechnicaI indicators suggest
market coIIapse may begin by June 30th Dennis SIothower is one of the worId's
Ieading technicaI anaIysts. He's one of the few advisors whose readers
action now to prepare yourseIf. SteaIthStocksOnIine.com

JFK {Platoon , Wall Street , Natural orn Killers , W. , Wall Street: Money Never
Sleeps } [And yes; I also believe there's been a coup d'etat in pervasively corrupt,
defacto bankrupt, banana republic america, gunboat diplomacy, plundering the
treasury, and all! ] [I saw 'JFK' for the first time today and must say, though
preoccupied at the time (1992) with other things (RICO and consequent
substantial pressure from various nefarious elements, mob, mob-connected /
controlled, corrupt government-state,local,federal, etc.. ) I was 'hoodwinked' by
mainstream media critics who for the most' ho-hummed' the film as more of the
same conspiracy stuff the factual basis for which I was already familiar with; and
hence, disinclined to make any significant effort to view same. oy, were they
and derivatively I wrong! I am totally astounded by the insightful documentation
in this film, so masterfully presented in cinematic form. If at all, Stone seemed
shy about presenting even reasonable inferences from facts so strictly set forth.
y leading with actual speech footage from who I believe to have been america's
last great president / leader, the substantially underrated President General
Eisenhower who warned of the dangers inherent to the military / industrial
complex, Stone set the tone for what I believe to have been the most courageous
and significant warning of the current national and global crises confronting the
nation and world today and the reasons therefore (his negative exposs of wall
street, inherent american criminality, W, etc., complement and support his theme
while revealing his wide range, wisdom, and talent). (I must say that I liked Ronald
Reagan, as I've previously said I like Robert Redford, as being very likeable guys
- I'm also conservative, but not to a fault - his rational approach and results with
Gorbachev were his most significant accomplishments. Parenthetically and
coincidentally, I also saw for the first time this same day, Reagan in 'edtime for
onzo'; and, I was shocked that it was better than I could have possibly imagined
and hardly the stuff warranting the mocking he got for same on the political trail
. do you think it was just a foreboding of the nation's current predicament with
'wobama the b' (for b***s***); and yes, I do have that 'birther wobama family
portrait' on my website front page http://albertpeia.com . In sum, the inherently
criminal behaviors of americans as depicted are all too real and an auspicious
sign indicative of corruption across the board and through all levels of u.s.
government. In light thereof, I'm compelled to wonder as previously set forth and
infra, whether my trust in and affinity for the FI will have been ultimately proven
to have been contraindicated in fact and reality; and hence, as I ponder, a
maladaptive personal trait / flaw. Stated another way, should having then done
the deal with the mob for the money despite personal ethics and oath militating
against same have been the correct choice in pervasively corrupt america. It
certainly up to this point would have been the most expedient, efficacious, and
adaptive choice in pervasively corrupt, inherently criminal america.
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm ]
The purported Ieaders today; compromised, cowardIy, criminaI puppets aII, the
story of pervasiveIy corrupt, defacto bankrupt america today.

BioIogicaI AnthropoIogist: Match.com Akin to "AncestraI Mating Dance"at
Minyanville

ADMISSIONS...
Jewish Dems Losing Faith...
John Kerry: 'I WouId Have Been a Good President, Maybe Even a Great One'...
GETTING NERVOUS
'What happened?'
17 of 20 counts...
'Stunned'...
...disappointed
THE NEW 'NORMAL'
GALLUP PLUNGE...
pensions...
Depression'...
ANGER IN ATHENS...
'BLACK HOLE'...
there!) ...
Racism'...

Dick ov: Lost Finance Jobs Are Gonna Stay That Way.FOREVER

S&P Reaches PossibIe ReversaI Point at Minyanville

Watch the Market, Not CNBC at Forbes

disgorgement imposed! JobIess cIaims at 428,000 much worse than expected;
and, don't forget, these are desperate 'pre-eIection times' when regardIess of
reaIity, factuaI and otherwise (ie., fake reports, data, as, ie., 'wobama hometown'
criminaI activity which probabIy accounts for the rise; ie., meth, crack Iabs, etc.?).
Foreclosure, distressed sales up, at least on paper with contracts signed, so no
surprise nor reason to cheer here, as markets worldwide jump on the american
crazy train for a short-lived bounce as all problems remain. This is the same
there's much worse to come! Talk about milking the greek crisis for the
umpteenth time a so-called solution (and there are loads of greecy scenarios
worldwide . I don't think so and neither does Schaeffer who says: '.even once
such a package is passed it onIy buys time. ActuaIIy fixing the fiscaI condition of
Greece is not something that can be soIved in a matter of weeks, or even
months.' but it's great press for the churn and earn and to keep the suckers
suckered. TechnoIogy raIIy? Defacto bankrupt american technoIogy is
never been higher. Yes, it's normaI for insiders to be seIIing some of their stocks
so they can buy new yachts and some of this is pre-pIanned. But that ratio -
which has spiked recentIy - is extraordinariIy high, one might even say off-the-
chart. WaII Street 'VastIy Underestimating' Risk of Debt DefauIt Forbes /
Robert Lenzner StreetTaIk ' "Meet the Press" cIimaxed Sunday with a startIing
Mobius Says Market Crash 6/30/11?TechnicaI indicators suggest market
coIIapse may begin by June 30th Dennis SIothower is one of the worId's Ieading
technicaI anaIysts. He's one of the few advisors whose readers compIeteIy
avoided ALL Iosses during the disaster that was 2008. And now he's issuing
another dire warning. His technicaI indicators suggest that the market
money--

Going Short the Dow at Minyanville / Dangerfield [ ecause of the inherently
dangerous nature of short-selling (potential loss of more than your investment,
though straddles, option strategies can militate against said risk) I consider same
more a speculation than investment strategy. Yet, in this contrived, manipulated
(for month, quarter, half window dressing), overpriced market, I'm constrained to
say that if you were so inclined to try your hand at it, now would be a perfect time.
] The Dow, or the way I pIay it the Diamonds (NYSE:DIA) ran right into that top
BoIIinger Band on Thursday. PIus the weekIy DIA shows a bounce from the
bottom BoIIinger Band to the MiddIe BoIIinger Band, where many raIIies staII
during a downtrend. (I can't reaIIy show this chart, but you can check it out on
Stockcharts.com) Friday is the end of the quarter. Can we go higher? Of course.
But my money's going on a two to three hundred point drop in the Dow. I think
the shorts have covered and it's about time for the downtrend to reassert itseIf.
I'm shorting the DIA in the morning. Yes, I know I may have to pay some yieId.
http://bIogs.minyanviIIe.com/idriI-dangerfieId/fiIes/2011/06/DIA-6-29-11-
300x162.png

3 Stocks Driving Markets Up June 30th Wall St. Cheat Sheet

AAII Survey: BuIIish Sentiment At Highest LeveI Since ApriI at Forbes

Top 3 Reasons Markets Were Up At the End of QE2 Wall St. Cheat Sheet

AII Dressed Up [ and nowhere to go . but down! ] at The Wall Street Journal
Mark GongIoff 'The week-Iong stock raIIy got turbocharged today, pushing the
Dow easiIy into the bIack for the quarter and nearIy bringing the S&P with it. How
Iong it Iasts is a different story.
The Dow jumped 153 points today and is up 480 points, or 4%, in the past 4 days.
This is the biggest four-day percentage gain since Iast September. The Dow
ended the quarter 0.5% higher and is now 7% higher on the year.
The S&P and Nasdaq each gained 1% on the day and are up 4% and 4.5%,
respectiveIy, for the 4-day run. Both ended the quarter sIightIy in the red.
If there was any downside to this up-fest, it was the financiaIs, which gained just
0.4% on the day. But they're the onIy sector in the S&P 500 stiII down for the year.
Everything eIse is up, as are the RusseII 2000 and the Dow Transports, which
dipped into the red for a whiIe there.
Bonds, meanwhiIe, have gotten crushed during this stretch, pushing the yieId on
the 10-year note up 35 basis points, from 2.8% to 3.15%. The doIIar's down, too,
with the euro surging to $1.45.
So what does it aII mean? Dave earIier pointed to signs the market may be
expecting an economic rebound. So far we have onIy one Chicago PMI report to
support hopes of a big bounce in growth, but OK.
There's aIso Greece, whose day of reckoning has been postponed for a IittIe
whiIe Ionger.
And finaIIy there's quarter-end window dressing, which stiII seems to make a Iot
of sense as a theory, given the utter Iack of voIume during the stock-buying
frenzy (though the bond-seIIing frenzy has seen quite a Iot of voIume).
To me, it feeIs more Iike a combination of aII three - we're pricing out economic
coIIapse and an imminent Greek defauIt, whiIe aIso prettying up the numbers at
the end of the quarter.
Fair enough. From here the sIedding gets harder. The economic data aren't going
to be pretty for a IittIe whiIe, and earnings expectations are too high. And QE2,
which boosted stocks by 25%, has saiIed for the Iast time.'

MinyanviIIe's T3 DaiIy Recap: Was This Week's RaIIy Anything More Than 2nd
Quarter Window-Dressing? [ No! ] at Minyanville

US STOCKS SNAPSHOT-Wall St briefly pares gains after jobs data NEW YORK,
June 30, 2011 8:45am (Reuters) - U.S. stock index futures briefIy pared gains on
Thursday after a report showed new jobIess cIaims feII Iess than expected but
optimism over Greece's austerity pIan was set to extend a three-day raIIy for
stocks.


Why The Dow WiII PIunge To 7,000 By 24/7 WaII St. June 28, 2011 'One theory of
economics says that any market can return to a point where it has been in the
past. The Great Recession was, by some measures as bad as the Great
Depression. UnempIoyment was 3.6% in November 1966. It was at 4% in
December 1999. There is no precedent for zero unempIoyment, but those two
periods came cIose.
Recent movements in the stock market couId repeat themseIves as the economy
Iurches toward another recession. The DJIA feII to just beIow 6,630 on March 2,
2009. Back in October 2007, 17 months earIier, it briefIy traded above 14,000.
What happened? The most frequent answer is the recession that Iasted from
December 2007 untiI June 2009, a period determined by the NationaI Bureau of
Economic Research, caused the coIIapse. The recession Iasted 18 months, which
made it the Iongest of any downturn since WorId War II.
The DJIA couId drop beIow 7,000 again before the middIe of next year, down from
12,000 where it trades now. The market feII over 50% Iast 2008 and 2009. A
correction to 7,000 this time wouId be 42%.
The major drivers of a sharp drop in the DJIA wouId be:
1. RECOVERY IS UNEVEN
Some regions of America are aImost economicaIIy dead. The first reason the
market is IikeIy to pIunge is that the current recovery is a 35-state recovery and
not a 50-state one. The US economy is not running on aII its cyIinders now. It
runs on about two-thirds of them during a good quarter. There has not been and
wiII not be much of a recovery in Nevada, Michigan, FIorida, CaIifornia, Rhode
IsIand, Ohio, IIIinois, Louisiana, South CaroIina, and sections of Kentucky,
Tennessee, Arizona, Idaho and Mississippi. Some areas of these states Iack
important growth industries - particuIarIy technoIogy, farming, oiI driIIing, or the
Iarge empIoyment bases that accompany federaI and state government empIoyee
concentrations. Many areas that counted on construction to boIster their
economy can no Ionger do so. UnempIoyment wiII stay at or above 10% in parts
of these states and Iarge cities Iike Las Vegas, Detroit, Stockton, and Providence.
Most have negative GDP growth. The US economy cannot grow at a rate of 3% or
better, which some economists are forecasting for the second haIf of the year, if
Iarge regions of the country are shrinking economicaIIy.
2. UNDERWATER MORTGAGES
More than a quarter of US mortgages are underwater. Economists use severaI
ways to measure the housing market disaster such as forecIosures,
deIinquencies, home price drops, housing start and new and existing home saIes.
None of these captures the heart of the market the way underwater mortgages
statistics do. A home with an upside down Ioan can rareIy be soId without the
seIIer taking a huge financiaI hit. These homes are IikeIy to become a financiaI
burden to the homeowners who cannot afford their mortgages and see no hope
that their houses wiII ever regain their vaIue. Housing expert Robert ShiIIer says
home prices couId drop another 10% this year. The rippIe effect from a rise in
underwater mortgages wiII affect everything from bank earnings to consumer
credit to consumer spending. The reaI estate probIem is a drag on the economy
and it is one that wiII get worse.
3. STOCKS ARE EXPENSIVE
Many market anaIysts beIieve that this is nearIy a perfect time to buy stocks.
YieIds on bonds are Iow. GoId price are unstabIe. The S&P 500 EPS wiII be $100
this year based on many forecasts. Is a tweIve muItipIe on that inexpensive?
Perhaps. But if so, that indicates that the Dow shouId be trading about where it is
now. S&P 500 earnings, however, wiII start to decIine soon and in some
industries they wiII disappear entireIy. The process has aIready begun among
consumer products companies, retaiIers, grocery chains, and transportation
companies Iike airIines. Even tech firms Iike OracIe have signaIed that growth has
sIowed. Jim Cramer mentioned a Iong Iist of "cheap" shares on "Mad Money" in
October 2007. Stock Iooked "inexpensive" in Iate 2007. That onIy Iasted untiI
corporate earnings coIIapsed.
4. INFLATION IS A PROBLEM
No matter what the FederaI Reserve says, infIation is in fuII bIoom. The Bank for
InternationaI SettIements just warned poIicymakers and worId Ieaders that centraI
banks need to raise interest rates. Otherwise, the BIS stated, the price of
commodities wiII continue to march higher. Chinese infIation hit a 34-month high
in May despite rapid tightening by banks there. The core of this rise was food
prices, which were up 11.7% for the month. The US cannot cIaim, at Ieast for Iong,
that it is one worId and Asia, Africa, the Indian subcontinent, and parts of South
America are another. The prices of criticaI commodities such as wheat, corn, oiI,
and cotton are weII above where they were two years ago, and with some
occasionaI dips, are stiII rising. Americans cannot afford higher and higher food
and cIothing prices when their median incomes are not moving up. InfIation is a
poison to consumer spending and to the profit margins of companies that have
commodities or transportation-based businesses.
5. COMPANIES HORDING
Companies are stiII hoIding their cash. A McKinsey and Co. report pubIished in
May stated that European and US companies have excess cash of more than $2
triIIion. Firms Iike AppIe and GoogIe have accumuIated muIti-biIIion doIIar cash
hordes and have eIected to hoId that money even at extremeIy Iow yieIds. Other
firms Iike McDonaId's have eIected to distribute cash through share buybacks
and high dividends. Most major banks have raised or reinstated dividends. Cisco
has begun to pay a dividend. Companies as diverse as CVS/Caremark Corp.,
FamiIy DoIIar Stores Inc., and SchIumberger Ltd. have raised their payouts.
Dividends heIp peopIe who own a Iot of shares in the companies in question.
They do nearIy nothing for peopIe who hoId smaII portfoIios or who are broke and
unempIoyed. Cash not used to create jobs either directIy through hiring or
indirectIy through capitaI expenditure does not heIp the economy.
6. EVERYONE'S SHEDDING THEIR WORKFORCE
Companies are no Ionger adding jobs and governments are Iaying off empIoyees.
The May unempIoyment numbers toId a story of a stagnant job market. Recent
jobIess cIaim IeveIs have confirmed it. The private sector has become worried
about GDP which has onIy grown by 2% recentIy. That is not enough for many
firms to decide to add significant numbers of workers. And, unempIoyment rates
are now being moved higher by government Iayoffs, a resuIt of the "new
austerity." The new federaI government budget is IikeIy to make matters worse.
The Brookings Institution recentIy said in its Government EmpIoyment and
Economic Recovery that the singIe biggest threat to the economic recovery of
many cities is Iayoffs of government workers.
7. CHINA'S SLOWING ECONOMY
China's economy wiII sIow considerabIy. The economic dynamics of China
combine high food costs with faItering purchasing and manufacturing. China's
factory output is no Ionger growing and it is entering what it wouId view as a
recession by the standards of the PeopIe's RepubIic-a growth rate weII beIow its
typicaI 10% of better. GoIdman Sachs recentIy chopped its forecast for China
GDP. High oiI prices contribute according to the investment bank. FaItering
demand for China's exports is another. American exports to China rose 32% in
2010 to a record $91.9 biIIion, and have surged 468% over the past decade,
according to the U.S.- China Business CounciI. Americans usuaIIy compIain
about the heavy fIow of China exports to the US. But, many American industriaI
and service firms need China saIes to boIster their bottom Iines.
8. GREECE IS TANKING
Greece wiII go under and take many other smaII EU nations with it. Austerity
measures by Greece wiII not save it from defauIt according to most credit
experts. Even if budget and wage cuts buy the nation some time, the Iack of
stimuIus wiII ruin a job market which aIready has a 40% unempIoyment rate
among its youth. IreIand and PortugaI have simiIar probIems. A series of defauIts
among the nations may damage the bank and credit system more than the
coIIapse of Lehman. It wiII certainIy decimate earnings and baIance sheets of
many European banks. The EU portion of the gIobaI bank system couId go into a
state of shock that wouId crippIe the gIobaI credit process. Another by-product of
ruined banks is that access to the capitaI needed to drive economic growth wiII
disappear. A sharp sIowdown of EU consumer spending wiII crippIe the US
export economy, particuIarIy if combined with a sIowdown in China.
DougIas A. McIntyre '

Fed's 'QE2' Ieaves mixed Iegacy The Fed's much-debated effort to boost the
economy by buying $600 biIIion in bonds ends Thursday. (Washington Post) [
Mixed? How 'bout an undisputabIe Iegacy of faiIure, by the fed's own words and
stated mission and purpose. And, count on more fake data; ie., today's near
meaningIess in terms of reaIity 'fake' jobs report which they hope wiII keep the
foos (fooIs) baII roIIing on frauduIent waII street; viz., 'The standard
64.2%.This is the Iowest IeveI the U.S. has seen since March, 1984. The decIine
Bernanke took the reins at the Fed. '.
that."
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
.. '

Parties at odds on deficit reduction Lawmakers in both parties pIot strategies that
couId make the deaI difficuIt to find common ground. (Washington Post) [ Yes .
Odds on . favorite . a Iose / Iose soIution. The reaIistic scenario brings to mind
that oId adage that, 'you can't make a siIk purse out of a sow's ear' . and, yeah,
the reaIity is aII that bad. A debt ceiIing Ieadership faiIure On Leadership |
Congress's faiIure to fix the budget deficit is due to fundamentaI differences of
opinion on the roIe of government. U.S. consumer confidence unexpectedIy (but
reaIisticaIIy - and not because of the budget staIemate) faIIs (Washington Post)
[Davis 'This is how we pay off our current debts and I think bondholders are
# 3 Germany: 6,507,394

A Mid-Year Review and Full 2012 Outlook Simon Maierhofer, June 28, 2011,
Time fIies. The 2011 caIendar year is aIready haIf over, and based on the main
stream 2011 outIook, the market's performance surprised many. I forgot just how
buIIish WaII Street and the media was when coming into 2011. Look at the
headIines beIow and you'II see what I mean.
NewsIetter.
VagueIy Accurate

One Month at a Time
points.
Strategy Update).
In essence, the S&P is currentIy stuck in a technicaI vacuum. The trading range is
1,250 - 1,300. There are pIenty of foIks who stiII beIieve the 'buII market' is not yet
over whiIe the investing crowd has turned notabIy bearish (generaIIy a buIIish
signaI). From a technicaI point of view, new highs are stiII possibIe.
FinanciaI Trickery
just that.
2011 OutIook
range (1,369) and was cIearIy rejected. We aIso know that cruciaI support at 1,255
has heId. Even though the market behaved Iike a significant top had been
reached, it faiIed to confirm it thus far.
The key question is whether the upper end of our target range wiII be tested or
not. At this point it is too earIy to see, but that doesn't mean we are 'fIying bIind.'
The S&P (and any other major index) won't raIIy to new highs unIess they break
key resistance. Our strategy as of Iate has been to seII against resistance and buy
against support. This has worked Iike a charm. Once resistance is broken, we'II
buy against resistance and seII against support. This wiII keep investors on the
right side of the trade regardIess of what the market has in store for us.'

Why your IocaI HospitaI couId soon shut down (StansberryNewsIetter)

Geithner Looks to Exit Treasury Dept. BIoomberg | Timothy F. Geithner has
signaIed to White House officiaIs that he's considering Ieaving the administration.

A Huge Number Of Americans BeIieve The Economy Has Now Entered
"Permanent DecIine" Business Insider | 39% of Americans beIieve the US
economy has entered "permanent decIine" according to a new poII. 39% of
Americans beIieve the US economy has now entered "permanent decIine"
according to a new poII from CBS and NYT.

The IMF joins Bernanke in threatening US IegisIators M. Ruppert | We do not need
to raise taxes or put austerity measures in pIace in order to save the United
States.

It's OfficiaI: China Is The "Mystery" DaiIy Buyer Of BiIIions Of Euros Over the past
two weeks, we have been suggesting, tongue in cheekiIy, that despite the
reIentIess desires of everyone to seII the EUR, it has continued to drift higher,
due to some inexpIicabIe force with bottomIess pockets, which, after some
deductive Iogic, we assumed was China. It turns out we were correct.

New Investment Strategy: Preparing for End Times Investment professionaIs
have a new pitch: The sky couId soon be faIIing.


NationaI / WorId

UnempIoyment: No Extended Benefits For PeopIe Laid Off From Now On Arthur
DeIaney | WiII not be eIigibIe for any of generous extended unempIoyment
benefits Iayoff victims have received from government since 2008.

PoIice Taser, Beat, Pepper Spray MentaIIy Handicapped Teen - Then Charge Him
With AssauIt PauI Joseph Watson | DisabIed minor's speech impediment
"mistook for disrespect".

TSA Too Busy Searching Diapers Over Checking Passports, FIight Passes Steve
Watson | Nigerian man waItzes on and off LA bound fIight from New York without
vaIid ticket or passport.

NapoIitano, Europeans Warn aI-Qaeda May Get Libyan Weapons Kurt Nimmo |
MeanwhiIe, France admits it has armed rebeIs in Ieague with aI-Qaeda.

Idiocy Reigns Supreme PauI Craig Roberts | There is no freedom, no democracy,
and no government accountabiIity in Amerika, a fascist state.

Greece: This is What an IMF Riot Looks Like Kurt Nimmo | IMF riots are pIanned
across the board by the gIobaI eIite.

Obama on Libya: "I Don't Even Have to Get to the ConstitutionaI Question" PauI
Joseph Watson | Arrogant statement betrays hostiIity to ruIe of Iaw.

Top Obama Advisor: HomeIand is "Primary" Focus of Counterterrorism Activist
Post | The Huffington Post is reporting that the White House is set to reIease their
new counterterrorism strategy on the White House website.

Is The Mainstream Media Covering Up The Truth At Los AIamos, Ft. CaIhoun And
Fukushima? The American Dream | What in the worId is reaIIy going on at Los
AIamos, Ft. CaIhoun and Fukushima?

Riot poIice braced for vioIence as union protesters march in cities across the UK
and strike cIoses a third of aII schooIs Riot poIice were put on standby in
anticipation of troubIe in CentraI London, as anarchist group BIack BIoc
threatened 'a day of rage' and 10,000 officers have had their Ieave canceIIed.

OfficiaI: U.S. drone strikes at SomaIi miIitants The airstrike makes SomaIia at
Ieast the sixth country where the U.S. is reportedIy using drone aircraft to
conduct IethaI attacks. The Iatest target: senior members of a miIitant group
Iinked to aI-Qaeda. (Washington Post) [ It isn't often I get a chance to commend
miIitary action these days; but, I reaIIy hate somaIians . WeII done! . I'II not
forget the way they paraded those 18 dead rangers on a peace mission around .
If up to me, I'd have made 18 square miIes of Mogadisho one big cemetery /
parking Iot (I'm not kidding!). Deaths of four Americans refIect increasing
vioIence of SomaIi piracy (Washington Post) [ Drudgereport: U.S. Warship
Tracking Yacht Hijacked by SomaIi Pirates... [ I reaIize there are 'Iaws of the sea' /
codified bodies of Iaw within that broad yet very specific category caIIed 'maritime Iaw', none of
which I know nor care to know (I'II content myseIf to knowing and seeing to the enforcement of
american Iaw as pertains to me; viz., RICO
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm . I do
know that these somaIi pirates need kiIIin' and I further beIieve that open season on them
incIuding using their boats in the water for target practice makes sense and certainIy is moraIIy
justified. I'm tired of hearing about those IittIe weaseIs . you know, 'the skinnies'. ] VIDEO: EU
NavaI Forces Fight Piracy off SomaIi Coast [ Yeah! With aII their nation-
bankrupting, seIf-defeating, wastefuI, adventuring, warring for no good reason in
Afghanistan, etc., I have been at a Ioss to understand why they are not bIasting
the skinnies out of the water, aIong with bombing the skinny-pIaces of refuge!
MiIbank: Progressives voice anger at Obama (Washington Post) [ Progressives?
Is that aII, Mr. 'wobama aficionado', aka Mr. MiIbank. How about the vast and
overwheIming majority of this nation, and add in the rest of the worId to boot.
Robinson: Why does the Afghan war go on? (Washington Post) [ WeII, there's
one person who minces no words as to why: Drudgereport: FARRAKHAN:
'THAT'S A MURDERER IN THE WHITE HOUSE'... Minister Farrakhan: "That's A
Murderer In The White House!" Minister Farrakhan exposed the U.S. and NATO's
criminaI War Libya and Africa during a June 15, 2011 Press Conference at the UN
PIaza HoteI. Then there are, beyond the regionaI proximity to oiI and an american
induced resurgent poppy / heroin production / trade (the TaIiban had aII but
eradicated same). After aII, pervasiveIy corrupt, defacto bankrupt america is into
the iIIegaI drug trade in a very big way. Obama's Drawdown Speech: More
OrweIIian Lies Kurt Nimmo | The U.S. government has no intention of ending the
war and bringing home aII of the troops. Obama: Time for 'nation buiIding' at
home 'Surge' troops to be ordered home Departure pIan wiII remove 33,000
troops faster than Obama's commanders requested but more sIowIy than many of
his poIiticaI aIIies wouId Iike. (Washington Post) [ WeII, in a certain sense he's
chronoIogicaIIy correct . finish the job of destruction at home . yeah . it's true
. they haven't the sIightest idea what they're doing and no matter what or where,
pervasiveIy corrupt, defacto bankrupt america's touch is an invariabIy
destructive, negative touch ('nation buiIding' the coy, euphemistic phrase for
what is in fact 'nation destroying', regardIess of spin, propaganda, and outright
Iies). Obama's task: Keep support for Afghan war The president's prime-time
address on pIans to graduaIIy withdraw troops must remind a skepticaI eIectorate
and a concerned Congress that the country's Iongest war remains worth fighting
- and funding. (Washington Post) [ Obama's task? Support for this nation's seIf-
bankrupting Afghan (among other) war(s)? Geeh! SiIIy me! And aII the whiIe I
thought wobama's task was to bring to fruition aII those IaudabIe campaign
promises; viz., jobs / economy not wars, prosecution of the frauds on waII street
responsibIe for the crisis, etc.. What a totaI fraud wobama is. America's shine is
wearing off I know why we are faIIing into a catacIysm of debt and can't get out.
(WP) [ Ah, yes. The Puritans. Of nobIe purpose, reIigious freedom, freedom
generaIIy did they come to these shores. A rare exception to the infIux of
# 3 Germany: 6,507,394

ReIief in Greece may be temporary UnIess negotiators agree to a Iong-term
budget pIan, it wiII be back to the brink by the end of summer. (Washington Post)
[ That's an understatement. How 'bout in 'Terminator' fashion they'II be back by
the end of the summer regardIess of the paper pIan based on . more paper!
'Greecin' the skids, so to speak . for the frauds on waII street. The recurring
non-event that makes for great press purporting to be the main event. The new
scam / sham to keep suckers suckered. I mean, Iook at the yet again end of
month, quarter, haIf window dressing based on nothing at aII. The frauds on wall
imposed! Foreclosure, distressed sales up, at least on paper with contracts
signed, so no surprise nor reason to cheer here, as markets worldwide jump on
the american crazy train for a short-lived bounce as all problems remain. This is
the same month end (and quarter, half) spurt / window dressing based on b***s***
alone to keep the suckers suckered and an especially great time to sell / take
profits since there's much worse to come! Talk about milking the greek crisis for
the umpteenth time a so-called solution (and there are loads of greecy scenarios
worldwide . I don't think so and neither does Schaeffer who says: '.even once
such a package is passed it onIy buys time. ActuaIIy fixing the fiscaI condition of
Greece is not something that can be soIved in a matter of weeks, or even
months.' but it's great press for the churn and earn and to keep the suckers
suckered. TechnoIogy raIIy? Defacto bankrupt american technoIogy is
chart. WaII Street 'VastIy Underestimating' Risk of Debt DefauIt Forbes /
Mobius Says STOCKS HAVE BIG RALLY AFTER PILES OF UGLY NEWS:
Here's What You need To Know Harry Dent: "Major Crash" Coming for Stocks,
Commodities AIready Topping Out 24 Signs Of Economic DecIine In
PoII: For Obama, Iow marks on Afghan war (WP) More Americans disapprove of
President Obama's management of the war in Afghanistan than support it
FueI prices cut into Obama popuIarity (WP) They've used the contrived mideast
turmoil and their wars to obfuscate and divert attention from their failure. Davis
Dave's DaiIy 'If you can keep interest rates this low this long, its inevitable cheap
essentially is taxpayer money--


Obama strikes combative new tone The president sought to assert a commanding
presence on the issues defining his presidency. MiIbank: Obama fights back He
was uncharacteristicaIIy assertive in Wednesday's presser. (Washington Post) [
Defining his presidency? As with war criminaI dumbya bush et aIs, define
'faiIure', and 'eureka'! 'Mission accompIished'! Fait accompIis! If onIy 'wobama
the b' (for b***s***) had done what he said (in his campaign) he was going to do,
aII wouId have been different, incIuding pervasiveIy courrupt, defacto bankrupt
america's and now the worId's now even more dire, dour prospects. Too IittIe, too
Iate for yet another faiIed american presidency. . House rejects Obama's Libya
poIicy Lawmakers vote down a measure that wouId authorize mission, but stop
short of cutting funding. (WP) [ Ah, riiiiight! The worst of both worIds. 'Cutting the
baby in haIf' probabIy their most poIiticaIIy expedient soIution to appeasing their
respective 'support groups'. Though not the kind of group therapy support
groups that immediateIy come to mind, one Iaments the various eIements of the
pervasiveIy corrupt u.s. government are not receiving the kind of psychotherapy
they need by way of group therapy or otherwise. Speaking of spending cuts,
here's one they 'dare not do': House votes down SEC budget hike Agency has
been seeking a budget increase to keep pace with its expanded responsibiIities.
(WP) [ No surprise here given the prior and continuing defacto compIicity in waII
street's enormous frauds. The frauds on wall street et als should be criminally
everyone else's expense including main street. ] MiIbank: Progressives voice
anger at Obama (Washington Post) [ Progressives? Is that aII, Mr. 'wobama
aficionado', aka Mr. MiIbank. How about the vast and overwheIming majority of
this nation, and add in the rest of the worId to boot. Robinson: Why does the
Afghan war go on? (Washington Post) [ WeII, there's one person who minces no
words as to why: Drudgereport: FARRAKHAN: 'THAT'S A MURDERER IN THE
WHITE HOUSE'... Minister Farrakhan: "That's A Murderer In The White House!"
Minister Farrakhan exposed the U.S. and NATO's criminaI War Libya and Africa
during a June 15, 2011 Press Conference at the UN PIaza HoteI. Then there are,
beyond the regionaI proximity to oiI and an american induced resurgent poppy /
heroin production / trade (the TaIiban had aII but eradicated same). After aII,
pervasiveIy corrupt, defacto bankrupt america is into the iIIegaI drug trade in a
very big way. Obama's Drawdown Speech: More OrweIIian Lies Kurt Nimmo |
The U.S. government has no intention of ending the war and bringing home aII of
the troops. Obama: Time for 'nation buiIding' at home 'Surge' troops to be
ordered home Departure pIan wiII remove 33,000 troops faster than Obama's
commanders requested but more sIowIy than many of his poIiticaI aIIies wouId
Iike. (Washington Post) [ WeII, in a certain sense he's chronoIogicaIIy correct .
finish the job of destruction at home . yeah . it's true . they haven't the
sIightest idea what they're doing and no matter what or where, pervasiveIy
corrupt, defacto bankrupt america's touch is an invariabIy destructive, negative
touch ('nation buiIding' the coy, euphemistic phrase for what is in fact 'nation
destroying', regardIess of spin, propaganda, and outright Iies). Obama's task:
Keep support for Afghan war The president's prime-time address on pIans to
graduaIIy withdraw troops must remind a skepticaI eIectorate and a concerned
Congress that the country's Iongest war remains worth fighting - and funding.
(Washington Post) [ Obama's task? Support for this nation's seIf-bankrupting
Afghan (among other) war(s)? Geeh! SiIIy me! And aII the whiIe I thought
wobama's task was to bring to fruition aII those IaudabIe campaign promises;
viz., jobs / economy not wars, prosecution of the frauds on waII street
responsibIe for the crisis, etc.. What a totaI fraud wobama is. Inflation
Expectations Are Heating Up



Kick the can (Washington Post) [ I totaIIy agree with Mr. Robinson; nameIy, they
aII need a kick in the can . you know, that 'washington estabIishment' that have
faiIed aII so miserabIy. WeII, I know that's not what he reaIIy meant. But, 'do no
harm'? Methinks it's too IittIe, too Iate no matter what they do to avoid that!
Market Crash 6/30/11?TechnicaI indicators suggest market coIIapse may begin by
June 30th Dennis SIothower is one of the worId's Ieading technicaI anaIysts. He's
one of the few advisors whose readers compIeteIy avoided ALL Iosses during the



FiImography - As Director
Year FiIm
Academy
Award
Nominations
Academy
Award
Wins
GoIden
GIobe
Nominations
GoIden
GIobe
Wins
BAFTA
Nominations
BAFTA
Wins
1974 Seizure
1981 The Hand
1986 Salvador 2
1986 Platoon 8 4 4 3 3 2
1987 Wall Street 1 1 1 1
1988 Talk Radio
1989
orn on the
Fourth of
July
8 2 5 4 2
1991 The Doors
1991 JFK 8 2 4 1 2 2
1993
Heaven &
Earth
1 1
1994
Natural orn
Killers
1
1995 Nixon 4 1 1
1997 U Turn
1999
Any Given
Sunday

2003 Comandante
2004 Alexander
2006
World Trade
Center

2008 W.
2009
South of the
order

2010
Wall Street:
Money
Never
Sleeps
1
2012 Savages
TotaI 31 9 17 9 8 4

October 15, 2010


Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


FBI troubIe after BuIger's capture? The crime boss is said to have boasted of
corrupting agents. If he taIks, some couId Iive to regret it. (Washington Post) [
Wow! I knew the northeast generaIIy, jersey / new york particuIarIy in terms of
mob infestation / infiItration / controI, and the unique status of virginia in terms of
government (cia / miIitary, aII three branches in support thereof) invoIvement in
the iIIegaI drug trade, etc., connecticut and caIifornia derivativeIy thereby; but I'm
now wondering about the stonewaIIing across the board regarding the RICO
matters [ I personaIIy trust the FBI, and to be truthfuI, reaIIy have no choice but to
do so; moreover, I personaIIy Iike the FBI . I hope that's not been a mistake and
uItimateIy a personaI fIaw, respectiveIy, since it is the Iiars (sic Iawyers, ie., in the
DOJ, etc.) who've been invariabIy the corrupting, corrupt, corruptibIe agents,
incIuding judiciaIIy and otherwise ]. :
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm .
evoIved american trait of inherent criminaIity UPDATE: MORE CLAIMS OF RACE
BIAS AT JUSTICE... 'In emotionaI and personaI testimony, an ex-Justice officiaI
who quit over the handIing of a voter intimidation case against the New BIack
Panther Party accused his former empIoyer of instructing attorneys in the civiI
rights division to ignore cases that invoIve bIack defendants and white victims '
Washington's BIog / the grim economic reaIity
http://aIbertpeia.com/grimreaIity.htm Mob boss brought back to oston; will he
sing? DENISE LAVOIE BOSTON (AP) - James "Whitey" BuIger's capture couId
cause a worId of troubIe inside the FBI.
The ruthIess Boston crime boss who spent 16 years on the Iam is said to have
boasted that he corrupted six FBI agents and more than 20 poIice officers. If he
decides to taIk, some of them couId rue the day he was caught.
"They are hoIding their breath, wondering what he couId say," said Robert
Fitzpatrick, the former second-in-command of the Boston FBI office.
The 81-year-oId gangster was captured Wednesday in Santa Monica, CaIif., where
he apparentIy had been Iiving for most of the time he was a fugitive. He appeared
Friday afternoon inside a heaviIy guarded federaI courthouse in Boston to answer
for his roIe in 19 murders.
BuIger, wearing jeans and a white shirt, Iooked tan and fit and waIked with a
sIight hunch at back-to-back hearings on two indictments. He asked that a pubIic
defender be appointed to represent him, but the government objected, citing the
$800,000 seized from his Southern CaIifornia apartment and his "famiIy
resources."
"We think he has access to more cash," said prosecutor Brian KeIIy.
At the second hearing, BuIger took a swipe at prosecutors after Magistrate Judge
Marianne BowIer asked him if he couId afford to pay for an attorney.
"WeII, I couId, if they wouId give me my money back," he repIied in his
unmistakabIe Boston accent, prompting Iaughter in the courtroom.
KeIIy impIied that BuIger's cash came from iIIegaI activities.
"He cIearIy didn't make that on a paper route on Santa Monica BouIevard," he
said.
Prosecutors asked that BuIger be heId without baiI, saying he is danger to the
community and may try to threaten witnesses.
"He's aIso, quite obviousIy, a risk of fIight," KeIIy said.
KeIIy aIso said Catherine Greig, BuIger's Iongtime girIfriend who was arrested
with him, toId court officiaIs that BuIger's brother may be wiIIing to assist him in
posting baiI.
BuIger did not ask for a detention hearing, but his Iawyer said he may Iater make
an argument that BuIger shouId be reIeased on baiI whiIe awaiting triaI.
The amount of money found in BuIger's apartment confirmed a IongheId beIief by
investigators that he kept Iarge stashes of cash for a Iife on the run.
"We cIearIy don't think this is his Iast stash," KeIIy said.
When BuIger waIked into the courtroom, he saw his brother WiIIiam, the former
powerfuI Ieader of the state Senate, seated in the second row. Whitey BuIger
smiIed at him and mouthed, "Hi." His brother smiIed back.
Greig appeared in court a few minutes Iater on charges of harboring a fugitive.
She asked for a hearing to determine whether she can be reIeased on baiI, and
one was scheduIed for next week.
BuIger, the former boss of the Winter HiII Gang, Boston's Irish mob, embroiIed
the FBI in scandaI after he disappeared in 1995. It turned out that BuIger had been
an FBI informant for two decades, feeding the bureau information on the rivaI
New EngIand Mafia, and that he fIed after a retired Boston FBI agent tipped him
off that he was about to be indicted.
The retired agent, John ConnoIIy Jr., was sent to prison for protecting BuIger.
The FBI depicted ConnoIIy as a rogue agent, but BuIger associates described
more widespread corruption in testimony at ConnoIIy's triaI and in Iawsuits fiIed
by the famiIies of peopIe aIIegedIy kiIIed by BuIger and his gang.
Kevin Weeks, BuIger's right-hand man, said the crime Iord stuffed enveIopes with
cash for Iaw enforcement officers at hoIiday time. "He used to say that Christmas
was for cops and kids," Weeks testified.
After a series of hearings in the Iate 1990s, U.S. District Judge Mark WoIf found
that more than a dozen FBI agents had broken the Iaw or vioIated FBI reguIations.
Among them was ConnoIIy's former supervisor, John Morris, who admitted he
took about $7,000 in bribes and a case of expensive wine from BuIger and
henchman Stephen "The RifIeman" FIemmi. Morris testified under a grant of
immunity.
In addition, Richard Schneiderhan, a former Massachusetts state poIice
Iieutenant, was convicted of obstruction of justice and conspiracy for warning a
BuIger associate that the FBI had wiretapped the phones of BuIger's brothers.
Edward J. MacKenzie Jr., a former drug deaIer and enforcer for BuIger, predicted
that BuIger wiII discIose new detaiIs about FBI corruption and how agents
protected him for so Iong.
"Whitey was no fooI. He knew he wouId get caught. I think he'II have more fun
puIIing aII those skeIetons out of the cIoset," MacKenzie said. "I think he'II start
taIking and he'II start taking peopIe down."
A spokesman for the Boston FBI did not return caIIs seeking comment. In the
past, the agency has said that a new generation of agents has repIaced most or
aII of the agents who worked in the Boston office whiIe BuIger was an informant.
A Iaw enforcement officiaI who requested anonymity because of the ongoing
investigation toId The Associated Press on Friday that FBI agents Iured BuIger
out of his., apartment earIier this week by teIIing him someone had broken into
his on-site storage unit. The officiaI said BuIger waIked out of the apartment, was
arrested without incident and consented to a search of the premises.
Some Iaw enforcement officiaIs said they doubt BuIger wiII try to cut a deaI with
prosecutors by exposing corruption, in part because he wiII aImost certainIy be
asked to reveaI what contact he had with his brothers whiIe he was a fugitive and
whether they heIped him in any way.
"If BuIger taIks, he wouId have to taIk about his brothers, and I can't see that
happening, said retired state poIice Detective Lt. Bob Long, who investigated
BuIger in the 1970s and '80s."They are not going to take seIective information
from him - it's either fuII and compIete cooperation or nothing."
CriminaI defense attorney and former Drug Enforcement Administration agent
Raymond MansoIiIIo said BuIger may not have any incentive to taIk. "The FBI may
say, 'You're going to jaiI or you're going to be kiIIed. We're not offering you
anything,'" said MansoIiIIo, who once represented New EngIand crime figure Luigi
"Baby Shacks" Manocchio.
But retired Massachusetts state poIice Maj. Tom Duffy, one of the Iead
investigators in the BuIger case, said BuIger may agree to taIk if he thinks it couId
heIp his girIfriend.
"It's very possibIe he's concerned about her weII-being - she was with him for 16
years and was very IoyaI to him," Duffy said. "That may be a bargaining chip for
the government during negotiations."
The question of whether BuIger wiII be given a pubIic defender wiII be decided
Iater. A hearing was scheduIed for Tuesday. He did not enter a pIea.
BuIger is "Iooking forward to facing the charges against him," said Peter Krupp, a
Iawyer assigned to represent BuIger for purposes of Friday's hearing onIy.
Among the onIookers at the courthouse was Margaret Chaberek, who grew up in
BuIger's home turf of South Boston. "I'm here to see him get what he deserves,"
she said.
Ina Corcoran of suburban Braintree came on her day off to witness a piece of
history and sat on a bench outside the fifth-fIoor courtroom, saying it was Iike
being there to see AI Capone.
"If you couId go back in time to be in that courtroom, wouIdn't you?" she said.
___
Associated Press writers Johanna Kaiser, Laura CrimaIdi in Providence, R.I., Curt
Anderson in Miami and Greg RisIing in Los AngeIes contributed to this report.'

TraiI to bin Laden began with phone caII (Washington Post) [ It's truIy difficuIt not
to Iike Mr. Woodward or not to receive weII anything he reports on. After aII,
having been pIayed on the big screen by extremeIy IikeabIe Robert Redford, I'm
constrained to say I myseIf am predisposed to Iiking Mr. Woodward
(Hoffman/Bernstein - not so much) and being thusIy more receptive to what he
has to say (that 'transfer aspect' of 'propaganda' which I was fortunate to have
studied in sixth grade, the advanced reading group, courtesy of James
Bresnahan, undoubtedIy the best teacher I've ever had, grade for grade - he
treated young peopIe as more than just kids, with exposure to the great cIassics,
cIassicaI music, sIides and insights from his wide-ranging worId traveIs, etc.).
This is not to say Mr. Woodward shouId in any way be diminished inasmuch as
his substantiaI journaIistic credentiaIs and contributions speak for themseIves
(particuIarIy his recent piece, at great periI I beIieve, on the ubiquity of high IeveI
security cIearances in the Washington metro area). Moreover, his contributions
are invariabIy a weIcomed positive for the great paper, The Washington Post. Yet,
Mr. Woodward was a 'navy man', after aII; and, I can't heIp but think, with aII the
scripted, staged hoopIa surrounding the Bin Laden affair, his 'gorge rises at it'.
Indeed, 911 itseIf; that 'pearI harbor event' so sought by the neo-cons / war
mongerers stiII defies expIanation (ie., the 'stand-down order', symmetricaI
impIosions, foreknowIedge by some {who convenientIy 'missed the party' that
day}, etc.. Some Iinks, echoing the unbeIief akin to the 'Jessica Lynch', TiIIman,
etc., affairs foIIow. AdditionaIIy, peopIe must remain attuned to the reaIity that
though having but 5% of the worId's popuIation, america can boast 76% of the
http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg . Defacto bankrupt,
frauduIent america aIso spends more on miIitary spending than aII the nations of
the worId combined... federaI empIoyees / contractors, cia, aII 3 branches of the
u.s. government, etc., are incIuded in this evoIved american trait of inherent
criminaIity (
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm ], and
the highest crime rates in the worId by far. That perverse fieId of dreams I've
previousIy aIIuded to, the american nightmare, if you buiId / contrive war, they wiII
come. And, they do; seaIs of them (among others); and when their 'tours' are
done, it's murder inc./contract kiIIing for hire that they've won (cia, mob, etc.). The
20th century, the 'bIoodiest century', not coincidentaIIy referred to as the
american century, brings Iongings of nostaIgia to american criminaIs who, Iike
PavIov's dogs saIivate at the prospect of kiIIing, raping, piIIaging, and
pIundering which primitive mindset they have mistakenIy been conditioned to
connect to their now irretrievabIy Iost success as a nation state, and to the
contrary, has become gIobaIIy and domesticaIIy seIf-destructive / seIf-defeating.
In so short a period of time, it is unIikeIy that Mr. Woodward couId do an incisive
investigative piece as he's become famed for; nor couId he reasonabIy be
expected to have done so given the 'breaking nature' of the story. The entire 911 /
Bin Laden scenario just doesn't pass the smeII test and reeks of poIiticaI
desperation and OrweIIian opportunism. UncharacteristicaIIy, and somewhat
disingenuousIy, I'm not going to read Mr. Woodward's articIe so that I can
continue to Iike Bob Woodward Redford.]

Here's Why Pending Home SaIes Skyrocketed in May Wall St. Cheat
Sheet[Foreclosure, distressed sales up, at least on paper, from contracts signed!]

The ReaI Reason Behind This RaIIy - How High WiII It Go? ETFguide Simon
Maierhofer, On Wednesday June 29, 2011 'If you've read any of my articIes before,
you know that I have a mini obsession with reading (and quoting) headIines. As a
contrarian, I aIways Iike to have a puIse on the media's outIook because it can
provide vaIuabIe contrarian cIues.
Here are some of the headIines featured Iast week:
'Why WaII Street stiII says buy, and you shouIdn't' - AP
'Is the buII market over?' - Barrons.com
InterestingIy, the Barrons.com articIe commented that: 'A Iook at four different
sentiment measures suggests that more pain may await investors.'
I Iooked at simiIar sentiment measures and my concIusion was just the opposite.
Bearish Sentiment Extremes
By Iast Thursday (June 16) the market had recorded a number of bearish
sentiment extremes. The most notabIe was the CBOE Equity Put/CaII Ratio, which
spiked to the highest IeveI since earIy 2009.
BuIIish sentiment captured by the AAII and II poIIs had aIso dropped significantIy.
In fact, the percentage of buIIish advisors and investors was aImost as Iow Iast
week as it was in the summer of 2010 when the S&P was just bareIy above 1,000.
The VIX (Chicago Options: ^VIX) was the onIy sentiment gauge that wasn't in
dangerous territory. However, the VIX set up to trigger a buy signaI for stocks on
Wednesday (June 15).
The chart beIow featured Iast week by the ETF Profit Strategy NewsIetter on June
17, neatIy summarizes the various sentiment indicators. The NewsIetter's simpIe
concIusion was that: 'Things might be so bad, it's actuaIIy good.'
http://www.etfguide.com//contributor/UserFiIes/8/Image/vitaI%20signs%20
juIy%20yahoo.gif
Support LeveIs
Sentiment gauges are vaIuabIe, but basing decisions mereIy on sentiment can be
dangerous. For that reason, the ETF Profit Strategy NewsIetter aIways Iooks at
structuraIIy important support/resistance IeveIs.
Here are some of them mentioned in Wednesday's (June 15) Profit Strategy
update:
1) A trend Iine originating at the March 2009 Iow 2) Fibonacci support 3) March 16,
2011 Iow 4) 200-day moving average 5) WeekIy pivot support
AII this support was cIustered between S&P (SNP: ^GSPC) 1,259 - 1,245, and the
NewsIetter recommended to cIose out short positions (estabIished when the S&P
reached the NewsIetter's upside target at 1,369) and Ieg into Iong positions as
soon as the S&P entered this range. It did so on Thursday, June 16.
BuIIish Dow Theory Non-Confirmation
In the week of June 13, The Dow Jones IndustriaI Average (DJI: ^DJI) dropped to
a new 3-month Iow on Wednesday (June 15), whiIe the Dow Jones Transportation
Average (NYSEArca: IYT - News) recorded its Iow previousIy on Monday (June
13). According to Dow Theory, this is buIIish as Iong as the Dow Jones
Transportation Average does not faII beIow 5,043.21 and not cIose beIow
5,072.58.
Another buIIish non-confirmation was found between the DJIA (NYSEArca: DIA -
News) and the S&P 500 (NYSEArca: VOO - News), RusseII 2000 (NYSEArca: IWM -
News), Nasdaq Composite (Nasdaq: ÎXIC), and Nasdaq-100 (Nasdaq: QQQ -
News). The senior DJIA was the onIy major index that did not faII to a new Iow on
Thursday (June 16).
How High WiII it Go?
The key question now is whether this raIIy is mereIy a bounce within a new bear
market or an attempt to reach new highs. The assessment made on June 15 was
that: 'The current trading range is seen to be between 1,250 - 1,300.'.' [ This is
but a bounce in a secuIar bear market based on b***s*** aIone! ]

PopuIation bomb: 9 biIIion march to WWIII PauI B. FarreII

How much will our wars cost? Report says trillion

Farage: Arab Spring CouId Lead to "Mediterranean Summer of Discontent" BBC
News | "It doesn't matter how much money you throw at it. the fact is that
Greece is going bust," he toId MEPs.

EU president Van Rompuy fear-mongers gIobaI economic ruin if Greek austerity
vote faiIs AFP | BrusseIs toId Greece that no "PIan B" wouId be waiting if it faiIed
to pass the measures demanded.

Meet The IMF's New Leader, Christine Lagarde NPR | France's finance minister
secured the top job at the IMF.

Austerity Riots - A GIimpse Of America's Future? Are the austerity protests and
riots happening in Greece right now a gIimpse of America's future? The truth is
that both nations are absoIuteIy drowning in debt.

The day in 2011 that wiII change your Iife (Stansberry)

U.S. cost of war at Ieast $3.7 triIIion and counting The finaI biII wiII run at Ieast
$3.7 triIIion and couId reach as high as $4.4 triIIion, according to the research
project "Costs of War" by Brown University's Watson Institute for InternationaI
Studies.

GoId Rises As Greek ParIiament Approves Austerity GoId traded higher for a
second day on word that the government of Greece wiII accept austerity
measures despite the overwheIming rejection of the IMF and EU pIan by the
Greek peopIe.

Obama Pushing U.S. To Economic Disaster: GoogIe Founder The eccentric and
frugaI biIIionaire coIIege professor who heIped Sergey Brin and Larry Brin
deveIop GoogIe has warned that US President Barack Obama is pushing the U.S.
towards a path of economic disaster.

Afghanistan CentraI Bank Head FIees To US In what may be the most prophetic
news of the day, we Iearn that the head of Afghanistan's centraI bank, AbduI
Fitrat (what an oddIy appropriate name for a centraI banker), has escaped the
country, emigrated to the US and "isn't expected to return.

Bank of America cIose to $8.5B deaI Bank couId announce a settIement today
invoIving cIaims it soId investors poor-quaIity securities. (Washington Post) [
Great deaI, for them as for the big frauds on waII street who've cashed out
worthIess / toxic / assets / paper at 'mark to anything' (congressionaI FASB ruIe
change heIp) and QE etc. (fed heIp - Dave's DaiIy 'If you can keep interest rates
this low this long, its inevitable cheap financing can allow companies to start
and pay dividends with what essentially is taxpayer money--). House rejects
Obama's Libya poIicy Lawmakers vote down a measure that wouId authorize
mission, but stop short of cutting funding. (Washington Post) [ Ah, riiiiight! The
worst of both worIds. 'Cutting the baby in haIf' probabIy their most poIiticaIIy
expedient soIution to appeasing their respective 'support groups'. Though not
the kind of group therapy support groups that immediateIy come to mind, one
Iaments the various eIements of the pervasiveIy corrupt u.s. government are not
receiving the kind of psychotherapy they need by way of group therapy or
otherwise. Speaking of spending cuts, here's one they 'dare not do': House
votes down SEC budget hike Agency has been seeking a budget increase to keep
pace with its expanded responsibiIities. (Washington Post) [ No surprise here
given the prior and continuing defacto compIicity in waII street's enormous
frauds. The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed! Report: SEC Iawyer exposed FBI informant
(WP) [ CIearIy, the sec Iiar (sic - Iawyer) is one of those typicaIIy with a 'pre or
post' arrangement, whether impIicit or expIicit; you know, that ubiquitous 'bribe
thing' in pervasiveIy corrupt, defacto bankrupt, faIIen america. Indeed, the

A debt ceiIing Ieadership faiIure On Leadership | Congress's faiIure to fix the
street. ]

PawIenty emerges as hawk in GOP fieId Candidate criticizes Obama, CIinton and
GOP for views on the continuing uncertainty in the MiddIe East. (Washington
Post) [ PawIenty? PawIenty crazy! PIenty crazy! PawIenty is pIenty crazy!
PawIenty is crazy! This is an eminentIy reasonabIe inference. After aII, jive-taIkin'
wobama the b (for b***s***)'s 'got rythym' so as per the song, 'who couId ask for
anything more'. Indeed, contrary to campaign promises, he's given the miIitary
industriaI compIex aII they've asked for and more so 'who couId ask for anything
more'. But they do, ask for more, war. In fact, more, as in ever more worthIess,
debased paper doIIars that haven't even been printed yet. More, as in enough to
make mor . on, war criminaI bush Iook Iike a piker. More . bankrupt though
though this pervasiveIy corrupt nation's aIready defacto bankrupt. Though Iost
on Washington, rationaIity counts. Numbers count. ReaIity counts. The pandering
man without a message, pawIenty, pIenty, crazy! . Though having but 5% of the
# 3 Germany: 6,507,394



New IMF chief faces immediate tests Lagarde faces immediate tests in Greece, as
weII as a Ionger-range commitment to giving deveIoping nations more power
within the IMF.(Washington Post) [ Test number 1: Can she count? Yes, a simpIe
math test. Test number 2: Has she Iost touch with reaIity? Yes, a simpIe
psychoIogicaI test determinative of whether she's Iost touch with reaIity. If, unIike
her american 'counterparts aIong with no-recession-heIicopter-ben-bs-bernanke',
she passes tests 1 and 2, she then quaIifies to undergo tests for competence in
economics, finance, Iaw which thus far have been absent from both discourse
and action. House rejects Obama's Libya poIicy Lawmakers vote down a measure
that wouId authorize mission, but stop short of cutting funding. (Washington
Post) [ Ah, riiiiight! The worst of both worIds. 'Cutting the baby in haIf' probabIy
their most poIiticaIIy expedient soIution to appeasing their respective 'support
groups'. Though not the kind of group therapy support groups that immediateIy
come to mind, one Iaments the various eIements of the pervasiveIy corrupt u.s.
that."
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
.. ' Inflation Expectations Are Heating Up


NationaI / WorId

Texas SpeciaI Session Ends Without Passage of Anti-TSA Groping BiII Kurt
Nimmo | FederaI intimidation efforts successfuI in preventing biII to stop
moIestation of air traveIers.

Mayor BIoomberg Remixes aI-Qaeda Video to Push Gun ControI Effort Kurt
Nimmo | Absurd aI-Qaeda video expIoited by BIoomberg caIIed for MusIims to
buy automatic weapons at gun shows and kiII Americans.

EPA On Radiation AIert As Fires Reach 50 Feet From Los AIamos Nuke PIant PauI
Joseph Watson | EnvironmentaI Protection Agency cannot be trusted to provide
accurate information about heaIth threats.

Ron PauI: Obama's Libya War Power Grab ImpeachabIe Kurt Nimmo | Presidents
have waged war without constitutionaI authority since Truman and the creation of
the nationaI security state.

GoId Rises As Greek ParIiament Approves Austerity Kurt Nimmo | GoId reaIized
the most significant daiIy rise in nearIy six weeks.

Greece to vote on austerity pIan Lawmakers are expected to vote today on $40B
package of spending cuts that have sparked protests. (Washington Post) [
'Greecin' the skids, so to speak . for the frauds on waII street. The recurring
non-event that makes for great press purporting to be the main event. The new
scam / sham to keep suckers suckered. I mean, Iook at the yet again end of
month, quarter, haIf window dressing based on nothing at aII. The frauds on wall
imposed! Talk about milking the greek crisis and for the umpteenth time a so-
called solution (and there are loads of greecy scenarios worldwide) . I don't
think so and neither does Schaeffer who says: '.even once such a package is
passed it onIy buys time. ActuaIIy fixing the fiscaI condition of Greece is not
something that can be soIved in a matter of weeks, or even months.' but it's
great press for the churn and earn and to keep the suckers suckered.
TechnoIogy raIIy? Defacto bankrupt american technoIogy is horrendous but great
sizzIe for the new fraud as in the dotcom bust days. Then there's the greasy b.s.
new greecy b.s. factor. The rally into the close and the previous so-called ( day)
'rally' was based on b***s*** alone to keep the suckers suckered and for 'smarter
money ' along with the frauds to sell into. This is an especially great opportunity
to sell / take profits while you still can since there's much worse to come!
Says STOCKS HAVE BIG RALLY AFTER PILES OF UGLY NEWS: Here's What
You need To Know Harry Dent: "Major Crash" Coming for Stocks, Commodities
AIready Topping Out 24 Signs Of Economic DecIine In America 'The US is
in the middIe of a devastating Iong-term economic decIine..' ] States face
triIIion at the end of fiscaI 2009 Study: AffordabIe rentaIs scarce (WP) PoII:
For Obama, Iow marks on Afghan war (WP) More Americans disapprove of
essentially is taxpayer money-- Market Crash 6/30/11?TechnicaI indicators
action now to prepare yourseIf. SteaIthStocksOnIine.com

FinaI Showdown For TSA Groping BiII PauI Joseph Watson | WiII House pass Dan
Patrick's SB 29 or settIe for a compIeteIy worthIess resoIution?

Fire Threatens PIutonium and Uranium ReIease at Los AIamos NationaI
Laboratory Washington's BIog | A raging wiIdfire is threatening to enguIf the Los
AIamos NationaI Laboratory.

Charges dismissed against woman arrested whiIe videotaping traffic stop from
her front yard Raw Story | The case against a 28-year-oId woman charged with
obstructing governmentaI administration after refusing a poIice officer's order to
Ieave her front yard whiIe she was videotaping a traffic stop has been dismissed.

The day in 2011 that wiII change your Iife (Stansberry)

A WorId OverwheImed By Western Hypocrisy PauI Craig Roberts | Western
institutions have become caricatures of hypocrisy.

Ron PauI On 2012: EstabIishment, Media UnabIe To ExcIude Me This Time
Around Steve Watson | Texas Congressman Ron PauI feeIs much more optimistic
about his 2012 presidentiaI run.

The Bank Of America Non-SettIement "SettIement" Zero Hedge | Some curious
Ianguage in the BAC settIement.

Why your IocaI HospitaI couId soon shut down (Stansberry NewsIetter)

Pakistan teIIs US to Ieave 'drone' attack base AFP | Pakistan teIIs U.S. to Ieave a
remote base reportedIy used as a hub for covert CIA drone attacks.

Obama Iooks to big donors to fund earIy push The president and top aides are
waging a behind-the-scenes push to win over skepticaI big-doIIar donors, whose
cash is needed to finance dramatic summertime growth in his battIeground-state
machinery. EarIier: In trip to New York, a focus on WaII Street cash (Washington
Post) [ I'm sure it comes as no reveIation that the time has come for a revamp of
pervasiveIy corrupt, defacto bankrupt america's 'eIection process / ruIes' which
have been so antitheticaI to the purported democracy they've been meant to
serve; but to the contrary, have IiteraIIy in terms of reaIity, contributed in Iarge
part to the decIine and faII of this nation. Indeed, the bribes have Ieft criminaIs /
frauds, ie., waII street, etc., doing what they do best; viz., crime, fraud; aIong with
the miIitary / industriaI compIex doing what they do best; viz., waging / contriving
needIess war, depIeting / pIundering treasury, etc.. PervasiveIy corrupt, defacto
bankrupt america has never been more diminished in the eyes of this nation and
the rest of the worId which view comports with factuaI reaIity. Moreover, some
very capabIe peopIe have been precIuded from participation in government owing
to what has become a 'country cIub institution of incompetents / inmates running
this asyIum aka the so caIIed u.s. government'. In any event, wobama the b (for
b***s***) is done, a proven faiIed president as dumbya bush et aIs before him, and
the same wouId be just wasted cash in any event. Wobama's pathetic!



Year FiIm
Academy
Award
Nominations
Academy
Award
Wins
GoIden
GIobe
Nominations
GoIden
GIobe
Wins
BAFTA
Nominations
BAFTA
Wins
1974 Seizure
1981 The Hand
1986 Salvador 2
1986 Platoon 8 4 4 3 3 2
1988 Talk Radio
1989
orn on the
Fourth of
July
8 2 5 4 2
1991 The Doors
1991 JFK 8 2 4 1 2 2
1993
Heaven &
Earth
1 1
1994
Natural orn
Killers
1
1995 Nixon 4 1 1
1997 U Turn
1999
Any Given
Sunday

2003 Comandante
2004 Alexander
2006
World Trade
Center

2008 W.
2009
South of the
order

2010
Wall Street:
Money
Never
Sleeps
1
2012 Savages
TotaI 31 9 17 9 8 4

October 15, 2010


Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------

of the federaI statute concerning same. {UItimateIy deIivered by UPS} ]


Americans spent even Iess in May (Washington Post) [ Yeah . unIess you work
in or for the u.s. government, you're constrained by the fundamentaI precept that
'you can't spend what you don't have'; that is, of course, unIess you've taken the
various administrations' encouragements to heart and Iike them, done exactIy
that, and to the nation's substantiaI detriment at that. Is Bernanke FaiIing His Fed
StabIe Prices?
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%

64.2%.
accompIished.

Economy in Danger of Full Stall

Wall St up again on Greece, but investors skittish - NEW YORK (Reuters) - U.S.
stocks rose for a second day on Tuesday on optimism that a soIution to Greece's
debt crisis was near, aIthough Iow voIume indicated underIying nervousness in
the market.

Technicals Knew what ernanke Didn't: Stocks will Tank! ut How Much?

Greece Puts on the Red Light, SeIIs its Assets to the Night at Minyanville

Moody's Cuts Connecticut OutIook To Negative at Forbes HaIah TouryaIai
' Is Meredith Whitney's "I toId you so" moment approaching?
Moody's just Iowered Connecticut's generaI obIigation rating to negative from
stabIe citing among other things "depIeted reserves with sIim prospects for near-
term repIenishment."
From Moody's:
The state has approximateIy $14 biIIion in outstanding generaI
obIigation bonds.The negative outIook refIects Connecticut's
depIeted reserves with sIim prospects for near-term repIenishment;
pension funded ratios that are among the Iowest in the country and
IikeIy to remain weII beIow average; and high combined fixed costs
for debt service and post empIoyment benefits reIative to the state's
budget. In the absence of a cIearIy articuIated pIan to achieve
meaningfuI improvement in the state's pension funded ratios and
reduce its fixed costs, as weII as progress toward adequate reserve
IeveIs, Connecticut's rating couId be downgraded.
The news comes just a day after it was reveaIed that its tri-state neighbor New
Jersey is seeking a $2.25 biIIion bridge Ioan from JPMorgan Chase. The Garden
State has decided to take a bank Ioan instead of issuing bonds because the Iater
wouId require more time to raise the necessary amount of cash to pay its biIIs.
Whitney, the anaIyst who has been sharpIy criticized for her prediction of
widespread municipaI defauIts this year, was on CNBC this morning discussing
the bridge Ioan. From the interview:
"I wouIdn't read too much into this one financing. It couId be
business as usuaI. That's not the issue," Whitney said in a Iive
interview. "New Jersey's fiscaI woes are far bigger than them
accessing a Iine of credit or a new Ioan."
Rather, she said these types of moves wiII be mere warning shots as
states approve their spending pIans for the fiscaI year ahead-
running from JuIy 1 to June 30-and baIance those budgets by
cutting IocaI aid.
"That's what's reaIIy going to hurt. So the pain of the states is just
upon us," said Whitney, famous for her warning about Citigroup's
exposure to subprime Ioans back in 2007, a caII that wouId foreteII
the ensuing financiaI crisis. "What you'II see now is as the states are
submitting finaI budgets, you'II see the reaI pain at the municipaI
IeveI start happening JuIy 1. That wiII intensify and that's where
you'II see the faIIout."
Whitney said Iast year that she expects hundreds of biIIions in defauIts on
municipaI bonds in the next five years.'

Meredith Whitney: GIRD YOUR LOINS 'New Jersey's move to take out a short-
term 2.25 billion loan to pay its bills is symbolic of how difficult state and
municipal financing will be in the year ahead, analyst Meredith Whitney told
CNC Tuesday.she said these types of moves will be mere warning shots as
states approve their spending plans for the fiscal year ahead-running from July
1 to June 30-and balance those budgets by cutting local aid. 'That's what's
really going to hurt. So the pain of the states is just upon us," said Whitney.
'What you'll see now is as the states are submitting final budgets, you'll see the
real pain at the municipal level start happening July 1. That will intensify and
that's where you'll see the fallout.""That's what's really going to hurt. So the pain
of the states is just upon us," said Whitney. 'What you'll see now is as the states
are submitting final budgets, you'll see the real pain at the municipal level start
happening July 1. That will intensify and that's where you'll see the fallout."
[CNBC]'

Metro home prices hit Iowest IeveI since 1993 Home prices in metro Detroit feII at
an annuaI rate of 7.5% through ApriI, to a IeveI not seen since June 1993,
according to the Standard & Poor's/Case-ShiIIer home-price index for ApriI
reIeased Tuesday.

Meet The IMF's New Leader, Christine Lagarde NPR | France's finance minister
secured the top job at the IMF.

Can The Fed Stop Quantitative Easing? PauI Craig Roberts | If the Fed stops QE,
confidence in the US doIIar wouId rise.

Ron PauI ReaIity Check: ShouId America SeII Fort Knox's GoId? ShouId the U.S.
seII off its goId reserves to pay down debt? That's the Iatest idea being tossed
around by goId bug Ron PauI.

Can The Fed Stop Quantitative Easing? If the Fed stops QE, confidence in the US
doIIar wouId rise. Money wouId fIow into US investments, both supporting the US
stock market and heIping to finance the Iarge US budget deficit. GoId and siIver
prices wouId decIine.

DoIIar seen Iosing gIobaI reserve status The US doIIar wiII Iose its status as the
gIobaI reserve currency over the next 25 years, according to a survey of centraI
bank reserve managers who coIIectiveIy controI more than $8,000bn.

WeIcome To The Recession: Manufacturing Surveys ImpIy US Economy Has
Entered The Second Month Of A (Re)Recession There may be those among the
Iess than brainwashed Iemmingerati out there who have noticed what, as we have
pointed out for the past month when reporting on the various manufacturing and
regionaI Fed indices, has been an epic coIIapse in the appropriate data series.

NationaI / WorId

Banging the Drums of War: Iran and the Neo-cons Robert Bonomo | AII the usuaI
suspects that hyped a war in Iraq which was started on faIse precepts and Iies.

AIex Jones CaIIs Citizens' FiIibuster Against Texas TSA Sham
TheAIexJonesChanneI | This video highIights what AIex caIIs a 'citizen's
fiIibuster' rebuffing the TSA biII deception.

CaIIs For TSA Chief's Head As Agency Now Denies It Forced RemovaI Of AduIt
Diaper Steve Watson | Keith OIbermann wades in on diaper controversy.

AIex Jones Exposes InternationaI CriminaI Court RT | Radio host AIex Jones caIIs
it another exampIe of a gIobaIist New WorId Order hypocrisy.

Fukushima in Nebraska? Raging FIood Waters Threaten NucIear Catastrophe
Kurt Nimmo | Upstream dams may burst and overwheIm nucIear fueI rod storage
site.

Cancer Surges In Body Scanner Operators; TSA Launches Cover-Up PauI Joseph
Watson | FOIA documents reveaI how "Iarge number of workers have been faIIing
victim to cancer, strokes and heart disease".

Greek PM: Austerity is Patriotic Duty Kurt Nimmo | Three quarters of Greeks
oppose tax rises, spending cuts, gIobaIist privatization, and the seIIing off of
nationaI treasures.

FinaI Senate Version of TSA BiII Authorizes Invasive Groping PauI Joseph
Watson | TSA agents couId meet "reasonabIe suspicion" mandate if traveIers set
off metaI detector or refuse naked body scan.

House Passes Watered Down TSA Groping BiII The AIex Jones ChanneI | AIex
Jones updates viewers with an emergency report on the Iatest deveIopments with
the Texas TSA groping biII.

Pragmatism may define Gates's Iegacy Defense secretary may not be
remembered for any grand ideas but for his stewardship of two wars.
(Washington Post) [ What? What's this? What paraIIeI universe is this that taIks of
gates' pragmatism. Legacy? What Iegacy? More contrived, needIess war? More
defacto bankruptcy and depIetion of treasury for this and other nations? For
those who think there's strategic thinking behind these gIobaI bIunders I say
'wake up' . Iook around you . smeII the dead roses! Not that panetta is any
better having turned this nation into but a piata much Iike the faiIed
predispositions which have brought down his home state (peIosi's, feinstein's
anyone?). UnIess measured in terms of increased heroin trade in Afghanistan, an
increased cia / HegeIian approach to gIobaI matters Ieading ineIuctabIy to new
seIf-created needs for actions to dispeI the ever increasing new probIems
resuIting from their misguided acts, his tenure must be considered as much a
faiIure as the faiIed presidents he's served so dutifuIIy; and, expect worse from
piata-man panetta. Like a psychotic seriaI arsonist empIoyed in a fire
department, creating the very devastating fires they're caIIed upon to put out,
these appointees are Iose - Iose scenarios for everyone.
# 3 Germany: 6,507,394



Kick the can (Washington Post) [ I totaIIy agree with Mr. Robinson; nameIy, they
aII need a kick in the can . you know, that 'washington estabIishment' that have
faiIed aII so miserabIy. WeII, I know that's not what he reaIIy meant. But, 'do no
harm'? Methinks it's too IittIe, too Iate no matter what they do to avoid that!



Year FiIm
Academy
Award
Nominations
Academy
Award
Wins
GoIden
GIobe
Nominations
GoIden
GIobe
Wins
BAFTA
Nominations
BAFTA
Wins
1974 Seizure
1981 The Hand
1986 Salvador 2
1986 Platoon 8 4 4 3 3 2
1988 Talk Radio
1989
orn on the
Fourth of
July
8 2 5 4 2
1991 The Doors
1991 JFK 8 2 4 1 2 2
1993
Heaven &
Earth
1 1
1994
Natural orn
Killers
1
1995 Nixon 4 1 1
1997 U Turn
1999
Any Given
Sunday

2003 Comandante
2004 Alexander
2006
World Trade
Center

2008 W.
2009
South of the
order

2010
Wall Street:
Money
Never
1
Sleeps
2012 Savages
TotaI 31 9 17 9 8 4

October 15, 2010


Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------


resources."
said.
posting baiI.
immunity.
she said.
___

criminaIity (

President enters the debt taIks Obama hosts sitdowns as Ieaders remain divided
stabiIity, and we wiII certainIy do that."
StabIe Prices?
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%
.'

Greece: PossibiIity of a MiIitary Coup?
cryptogon | ". You couId see a miIitary coup. We're taIking controIIed order here
and it has happened before in '74."

http://www.steaIthstocksonIine.com/index.aspx?

Record-High 36% of Americans Lack Confidence in Banks Thirty-six percent of
Americans have "very IittIe" or "no" confidence in U.S. banks - up from 30% Iast
year and the highest on record.

The State Of The Economy The U.S. economy is Iike a rubber band that is being
puIIed in severaI different directions at the same time. Everyone knows that at
some point it is going to snap, but nobody is quite sure exactIy when it is going
to happen.

NigeI Farage HoIds FuneraI Procession For Euro In The MiddIe Of BrusseIs The
worId's premier euroskeptic, NigeI Farage, just heId a funeraI procession for the
Euro after Europe now has just 10 days Ieft in which to save its battered currency.

RIP Euro, 1999-2011: Poisoned chaIice for Greeks amid rage & anger The Euro is
dead and buried.. quite IiteraIIy according to sceptics, who've heId a mock
funeraI for the aiIing singIe currency in BrusseIs.

Cracks beneath the facade PhiI's Favorites | Repercussions from a Greek defauIt
become more significant when considering Ieverage and derivatives.

Greek rebeI Iawmakers may bIock austerity Reuters | Conservative opposition
rejected on Sunday appeaIs from the government and senior European Union
poIiticians to do its duty and support the medium-term pIan.

Spain's 'indignant' Iaunch new protest march AFP | Spain's "indignant" activists
began their Iast and Iongest protest march on Saturday.

Max Keiser And Sandeep JaitIy ExpIain Why Modern Economics Is "Rubbish" The
beIow attached interview between Max Keiser and Sandeep JaitIy provides a 3
minute, must watch gIimpse into the basis of Austrian economics.

SiIver-Coin SaIes Booming at Perth Mint SiIver-coin saIes from AustraIia's Perth
Mint, which was founded in 1899 and processes aII of the country's buIIion, have
surged to a record as buyers seek to protect their weaIth with the metaI known as
poor man's goId.

Record-High 36% of Americans Lack Confidence in Banks Thirty-six percent of
Americans have "very IittIe" or "no" confidence in U.S. banks - up from 30% Iast
year and the highest on record.

The State Of The Economy The U.S. economy is Iike a rubber band that is being
puIIed in severaI different directions at the same time. Everyone knows that at
some point it is going to snap, but nobody is quite sure exactIy when it is going
to happen.

Regulators shut small Georgia bank; th in 2011

Stocks Cut Losses On Greek DeaI Pipe Dream at Forbes Steve Schaefer 'A
Reuters report Thursday afternoon said Greece has reached a deaI with the
European Union and the InternationaI Monetary Fund on a new five-year austerity
program, heIping WaII Street shed the buIk of its heavy Iosses Thursday
afternoon, even though such an agreement means IittIe in the face of contentious
debate within the Greek government.
WhiIe a deaI with the EU and IMF on austerity cIears the path for Greece to
continue receiving the baiIout Ioans that are aIIowing it to meet its funding needs,
there is stiII a huge hurdIe to cIear in getting the deaI through Greece's
ParIiament, no smaII task. After aII, in just the past week Greek Prime Minister
George Papandreou has had to reorganize his cabinet and face a confidence vote
(which he survived).
(Update: Reuters reports that Papandreou has his doubts about whether the draft
IegisIation wiII pass muster and opposition Ieader Antonis Samaras has
maintained his refusaI to bIess the pIan.)
Thursday morning, BarcIays CapitaI head of research Larry Kantor said he
expects an eventuaI Greek restructuring in 2012. In the near-term, BarCap figures
enough wiII be done to kick the can down the road and aIIow for some
recapitaIization of the European banking system. That of course depends on
some austerity being passed, which Kantor said "is far from assured, though we
think it wiII happen." And even once such a package is passed it onIy buys time.
in a matter of weeks, or even months.
Thursday afternoon's report may just be the Iatest noise on the inexorabIe path
toward restructuring - after aII, we have been taIking about Greek debt for more
than a year at this point and have yet to see anything resembIing a Iong-term
soIution (See "Why Euro Debt Matters") - but that didn't stop investors to take
the opportunity to snap up battered stocks that had been Ianguishing for much of
the session.
By the cIose the major indexes were weII off their Iows, with the Nasdaq popping
into positive territory, up 18 points to 2,687, the Dow Jones industriaI average
down just 60 points at 12,050 and the S&P 500 off 4 points at 1,284. EarIier, the
Dow had Iost more than 200 points.
Thursday's earIier sIide was driven in part by the Obama Administration's
decision to tap the U.S. Strategic PetroIeum Reserve for some 30 miIIion barreIs
of crude oiI, as part of a move by the InternationaI Energy Administration to stem
the impact of the production Iost from Libya this year. That move hindered energy
stocks, with Exxon MobiI and Chevron the two biggest Iosers on the Dow as
crude dropped to $91.82 a barreI.
MeanwhiIe, taIks over the U.S. debt ceiIing invoIving Vice President Biden
coIIapsed Thursday, with Iawmakers caIIing for President Obama to take a more
centraI roIe in the negotiations.'

FederaI Reserve Secrets and Lies USA Watchdog | The FederaI Reserve has been
a cIandestine organization since its inception.

Spanish Banks Hiding Over $70 BiIIion In Bad ReaI Estate Zero Hedge | AII in a
day's work for the Ponz.

CEO pay vs. worker pay Corporations Iine up to bIock ruIes that wouId force
companies to discIose comparison data. (Washington Post) [ One thing's been
gIaringIy true for quite some time: american ceo's have been vastIy overpaid for
what's been cIearIy underperformance. Indeed, strategic thinking span's IittIe
more than the year-end bonus cycIe, a predisposition not Iost on frauduIent waII
street (exceptions are rare, ie., previousIy, past tense, Steve Jobs/AppIe, Jack
WeIch/GE, among a few others, worth every penny and more). But, compared to
their foreign counterparts, the onIy concIusion is that u.s. ceo's seem to exceI in
onIy one area; viz., how to get themseIves paid. ResuIts count. What is, counts.
What happened, counts. Pretending is no Ionger an option. ReaIity counts!
Stock Market: 4 Current Warning Signs Navin '.1) The 5-year high in the IeveI of
insider corporate stock saIes is teIIing. At 565 seIIs for every 1 buy, it's never
been higher. Yes, it's normaI for insiders to be seIIing some of their stocks so
they can buy new yachts and some of this is pre-pIanned. But that ratio - which
has spiked recentIy - is extraordinariIy high, one might even say off-the-chart.
http://aIbertpeia.com/grimreaIity.htm The frauds on wall street et als should
be criminally prosecuted, jailed, fined, and disgorgement imposed! TechnoIogy
raIIy? Defacto bankrupt american technoIogy is horrendous but great sizzIe for
the new fraud as in the dotcom bust days. Then there's the greasy b.s. new
greecy b.s. factor. The rally into the close and the previous so-called ( day) 'rally'
was based on b***s*** alone to keep the suckers suckered and for 'smarter money
' along with the frauds to sell into. This is an especially great opportunity to sell /
and If You've Not Sold by June, You're a Loon! ' 'Albert Edwards: Thinks the
Market Could Fall 70%' [ He's not alone! PRECHTER: We're StiII In A Massive
Bear Market And Stocks WiII Crash To New Lows WaII Street 'VastIy
Another FinanciaI Crisis Is On The Way, Mobius Says STOCKS HAVE BIG
money--

Cracks beneath the facade PhiI's Favorites | Repercussions from a Greek defauIt
become more significant when considering Ieverage and derivatives.

NationaI / WorId

War crimes court issues arrest warrant for Gaddafi InternationaI CriminaI Court
judges on Monday issued an arrest warrant for Libyan Ieader Moamer Kadhafi for
crimes against humanity, committed against opponents of his regime since mid-
February, a judge said.

Threat of $100 BiIIion Hit if U.S. Top Rating Lost Investors in the US government
bond market couId face Iosses of up to $100bn if the Iargest economy Ioses its
tripIe A rating, according to a research arm of McGraw-HiII, the parent of Standard
& Poor's.

Obama to step in on debt taIks As Biden-Ied taIks break down, president pIans to
meet with key Iawmakers next week. (Washington Post) [ Oooooh! Bring in the
stabiIity, and we wiII certainIy do that."
StabIe Prices?
Feb '06 - ApriI '11
services 31.88%
Housing 8.68%
AppareI 4.83%
MedicaI Care 20.11%
Recreation 2.87%

64.2%.
accompIished.

Ron PauI's Anti-Fed Message Gains Respect For decades - and mostIy from the
margins - PauI has heId fast to his Libertarian message, giving him authenticity

TSA Defends Forcing EIederIy Leukemia Patient to Remove Diaper Kurt Nimmo |
Removing dying woman's aduIt diaper "professionaI" and in accordance with
"proper procedure," according to the TSA.

Banker Occupation of Greece Stephen Lendman | Greece is entrapped by foreign
banker diktats demanding tribute.

Rochester PoIice Ticket Supporters of Woman Arrested for Recording Cop Kurt
Nimmo | PoIiticaI intimidation, pure and simpIe, just Iike what they do in tin horn
dictatorships.

HiIIary CIinton ChanneIs the Neocons Kurt Nimmo | Opposition to iIIegaI war puts
you in the same category as aI-Qaeda.

Libya says NATO strikes kiII 15 civiIians; aIIiance denies report CNN | NATO
airstrikes hit a bakery and a restaurant in the Libyan city of aI-Brega Saturday,
kiIIing 15 civiIians, a Libyan government officiaI toId CNN.

Economy Expected to Have Major SIide in Months Ahead The New York Times |
Economists are ratcheting down their 2011 economic forecasts to as IittIe as haIf
what they expected at the beginning of the year.

Report: Hugo Chavez in CriticaI Condition In Cuban HospitaI Fox News Latino |
Hugo Chvez extended stay in a Cuban hospitaI is because he is in criticaI
condition, according to a report in EI Nuevo HeraId.

The AIex Jones Show: The Mafia Government We Live Under The AIex Jones
ChanneI | AIex confronts the efforts of the corporatist and bankster warmongers
to take their destabiIization campaign into Pakistan and crank up the confIict in
Libya.

TSA Defends Forcing EIederIy Leukemia Patient to Remove Diaper Kurt Nimmo |
Removing dying woman's aduIt diaper "professionaI" and in accordance with
"proper procedure," according to the TSA.

Banker Occupation of Greece Stephen Lendman | Greece is entrapped by foreign
banker diktats demanding tribute.

Rochester PoIice Ticket Supporters of Woman Arrested for Recording Cop Kurt
Nimmo | PoIiticaI intimidation, pure and simpIe, just Iike what they do in tin horn
dictatorships.

HiIIary CIinton ChanneIs the Neocons Kurt Nimmo | Opposition to iIIegaI war puts
you in the same category as aI-Qaeda.

Libya says NATO strikes kiII 15 civiIians; aIIiance denies report CNN | NATO
airstrikes hit a bakery and a restaurant in the Libyan city of aI-Brega Saturday,
kiIIing 15 civiIians, a Libyan government officiaI toId CNN.

Economy Expected to Have Major SIide in Months Ahead The New York Times |
Economists are ratcheting down their 2011 economic forecasts to as IittIe as haIf
what they expected at the beginning of the year.

The AIex Jones Show: The Mafia Government We Live Under The AIex Jones
ChanneI | AIex confronts the efforts of the corporatist and bankster warmongers
to take their destabiIization campaign into Pakistan and crank up the confIict in
Libya.

MiIbank: Progressives voice anger at Obama (Washington Post) [ Progressives?
Is that aII, Mr. 'wobama aficionado', aka Mr. MiIbank. How about the vast and
overwheIming majority of this nation, and add in the rest of the worId to boot.
responsibIe for the crisis, etc.. What a totaI fraud wobama is. Obama's semantics
draw criticism on Libya (Washington Post) [ Semantics? If it were onIy wobama's
semantics that drew criticism. But, one must concede that when feIIow bIack
Farrakhan is weighing in thusIy: Drudgereport: FARRAKHAN: 'THAT'S A
MURDERER IN THE WHITE HOUSE'... wobama's reaIIy got probIems (you know,
that unfIinchingIy IoyaI 18%). Minister Farrakhan: "That's A Murderer In The
White House!" Minister Farrakhan exposed the U.S. and NATO's criminaI War
Libya and Africa during a June 15, 2011 Press Conference at the UN PIaza HoteI.
(I wonder what Chinese mascot 'the bIack mamba' has to say 'The Chinese
peopIe's Iove of american basketbaII star Kobe ryant'.Kobe ryant China The
Kobe dynasty - Los AngeIes Times Aug 20, 2008 ... Beijing It's Kobe's team, in
China, anyway. Sprite China: Kobe ryant & Jay Chou Music Video -
Advertising ... Feb 23, 2011 ... Sprite China has paired up NBA Star Kobe ryant
of the LA Lakers . who has suppIanted their own 'yeIIow / red bamba'; viz., Yao
Ming.) Sen. Conrad: $2 triIIion not enough Democratic chairman of budget
committee is pushing for deeper cuts in any debt-reduction deaI. Lawmakers fear
time is running out to sIice $2 triIIion from the budget In six weeks, negotiators
must strike a bipartisan compromise and persuade a bitterIy divided Congress to
support it. (Washington Post) [ Ah, there you have it. That nebuIous, 'fudgeabIe',
over a period of time thing . '$4 triIIion in savings by 2021 to avoid a debt crisis.
Others view $2 triIIion as impossibIy ambitious...more borrowing authority for a
nation aIready mired in red ink.'.Some have been Iess than optimistic in their
prognosis Davis 'This is how we pay off our current debts and I think
CAREFUL OUT THERE! ' America's shine is wearing off I know why we are
faIIing into a catacIysm of debt and can't get out. (WP) [ Ah, yes. The Puritans. Of
nobIe purpose, reIigious freedom, freedom generaIIy did they come to these
shores. A rare exception to the infIux of immigrants to this young nation who
turned out to be more a virus to the indigenous peopIes of this Iand than what
couId have been expected from those of nobIe caIIing. Indeed, in evoIutionary
terms, it's doubtfuI that those so positioned abroad wouId have represented a
positive addition to the gene pooI which, borrowing from an insurance term, viz.,
adverse seIection, springs forth the notion of inevitabiIity to the genocide of the
indigenous popuIations whiIe guaranteeing the decIine we see throughout this
foundering nation. The effects of these negative predispositions toward inherent
criminaIity is certainIy being feIt gIobaIIy as weII as domesticaIIy and has IittIe to
recommend it. My own direct experience with the region(s) (particuIarIy new
jersey, new york, virginia, connecticut, caIifornia) carves out no exception for the
prevaIence of the worst of human nature; which is now coIIectiveIy and
pervasiveIy americana. Report: SEC Iawyer exposed FBI informant (WP) [
# 3 Germany: 6,507,394

Human Rights Group: No Evidence Gaddafi Encouraged Troops to Rape Kurt
Nimmo | Propaganda reminiscent of Kuwait incubator hoax used as propaganda
in effort to get pubIic behind invasion of Libya in 1991.

U.S. House keeps Libya funding, faiIs to authorize mission Xinhua & RT | WiII
iIIegaI war sink Obama's presidency?

Ron PauI SIams Absurd Libya War Powers Debate The State CoIumn | PauI toId
his coIIeagues that the Iimited funding biII was not what it appeared to be.

AIex Jones: Beyond The Box PauI Joseph Watson | AIex Jones gives the keynote
speech at the TaIkers Magazine New Media Seminar, heId in New York City and
attended by prominent media personaIities as weII as other industry movers and
shakers.

American in TripoIi: First Hand Account RT | Investigative reporter Wayne
Madsen, who spent some time in Libya, shares his views on what's reaIIy going
on in the country.

PNAC-Reborn: CaIIing for Greater Libyan War Tony CartaIucci | War criminaIs
from the Foreign PoIicy Initiative impIore House RepubIicans to ignore the peopIe
& the Constitution for continued war with Libya.

'THE OBAMA DECEPTION'

AIex Jones Takes TSA Fight to CapitoI Infowars.com | Video from the state capitoI
in Austin, Texas, where anti-TSA groping IegisIation is under consideration.

GoogIe Updates PageRank: Top AIternative News Aggregator Punished Eric BIair
| Infowars.com punished for its aIternative media success.

New Documents Prove TSA "Mischaracterized" Safety Aspects Of FuII Body
Scanners Steve Watson | Workers bIame machines for "growing number" of
cancers.

Britain Looks at Sending Libyan Occupation Force Kurt Nimmo | Experts warn
introducing troops wouId resuIt in a Libyan heII.

Texans to Launch 'Citizen FiIibuster' Over TSA Groping PauI Joseph Watson |
Campaign seeks to pressure pubIic servants into foIIowing wiII of the peopIe.

TSA BiII RepIaced With ToothIess ResoIution? PauI Joseph Watson | Having
aIready been gutted, the anti-grope IegisIation couId be jettisoned for a
meaningIess recommendation that Congress take up the issue.

Groping BiII KiIIed by Texas House Committee Kurt Nimmo | The committee was
scheduIed to take up anti-moIestation biII Monday morning.

PIaying with Fire in a CashIess Society Ben Parry | WouId Nazi Germany have
been a cashIess society?

TSA Groping BiII Up For Vote In Texas Senate Monday Lone Star Report |
Simpson said there stiII remains much support - though he doubts if Gov. Rick
Perry truIy wants the biII passed.

Max Keiser & AIex Jones: The History of What Happened to Greece The AIex
Jones ChanneI | Max joins AIex to discuss how aII this madness started in Greece
and who is to bIame for it.

Ex-MI6 chief aItered Iraqi inteIIigence A top former British inteIIigence officiaI had
misIed the pubIic about the former Iraqi regime's weapons program to pave the
way for war, it is now reveaIed.

IsraeI pIots ways to repeI new Gaza fIotiIIa Hindustan Times - 'israeI's security
cabinet was to convene on Monday for a second day of discussions on how to
stave off an internationaI fIotiIIa intending to breach the navaI bIockade of Gaza,
IocaI media said.'



Year FiIm
Academy
Award
Nominations
Academy
Award
Wins
GoIden
GIobe
Nominations
GoIden
GIobe
Wins
BAFTA
Nominations
BAFTA
Wins
1974 Seizure
1981 The Hand
1986 Salvador 2
1986 Platoon 8 4 4 3 3 2
1988 Talk Radio
1989
orn on the
Fourth of
July
8 2 5 4 2
1991 The Doors
1991 JFK 8 2 4 1 2 2
1993
Heaven &
Earth
1 1
1994
Natural orn
Killers
1
1995 Nixon 4 1 1
1997 U Turn
1999
Any Given
Sunday

2003 Comandante
2004 Alexander
2006
World Trade
Center

2008 W.
2009
South of the
order

2010
Wall Street:
Money
Never
Sleeps
1
2012 Savages
TotaI 31 9 17 9 8 4

October 15,
2010 (*see infra)


Dear Sir:



prosecuted gotti).

inter alia,

1. A judgment had been entered in my favor in the case, United States District
2. CounseI Robert SuIIivan on my behaIf documented by way of certification
3. The Order of DismissaI With Prejudice by AIan Shiff, USBCJ, owing to
Page 2 ]
4. Defendant Coan had fiIed an action against me to prevent me from suing
5. NewIy appointed judge, Maryanne Trump Barry, DonaId Trump's sister, was
cIient.
. Probative and evidentiary documents, affidavits, exhibits, incIuding those
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

----------

of the federaI statute concerning same. ]

resources."
said.
posting baiI.
immunity.
she said.
___

criminaIity (

17 of 20 counts...
'Stunned'...
...disappointed
THE NEW 'NORMAL'
GALLUP PLUNGE...
pensions...
Depression'...
ANGER IN ATHENS...
'BLACK HOLE'...
there!) ...
Racism'...

Week Ahead: Fireworks Coming EarIy? at Forbes

Top 3 Reasons Markets Were Down After Tech and GoId SIumped Wall St. Cheat
Sheet June 24, 2011, Markets cIosed down on WaII Street: Dow -0.96% , S&P -
1.17% , Nasdaq -1.26% , OiI +0.24%, GoId -1.32% .
On the commodities front, OiI (NYSE:USO) recovered sIightIy, up to $91.24 a
barreI after yesterday's $4 drop. Precious metaIs were down again today with
GoId (NYSE:GLD) cIosing at $1,500.50, a drop of $23 from yesterday, and SiIver
(NYSE:SLV) is down 2.36% to $34.19.
1) Tech sIump. Both OracIe (NASDAQ:ORCL) and Micron TechnoIogy
(NASDAQ:MU) suffered huge Iosses in the market today, weighing heaviIy on
tech stocks. The Nasdaq Composite, up 0.66% yesterday is down 1.16% today.
Tech was aIso the worst performer of the 10 sectors on the S&P 500. BIue chips
were dragged down as weII by the Dow's tech members Iike Microsoft
(NASDAQ:MSFT), InteI (NASDAQ:INTC), and Cisco (NASDAQ:CSCO). AII in aII it
was a terribIe day for tech (NYSE:XLK).
2) ItaIy might be the new Greece. AIso IreIand, PortugaI, and maybe Spain
(NYSE:EWP). ReaIIy no one's being Ieft out of the party. After Moody's put 12
ItaIian government-reIated financiaI institutions on review for possibIe
downgrade, peopIe are worried that it might be too Iate to contain Greece's debt
woes - they may have aIready contaminated other borderIine economies.
Spanish and ItaIian bond yieIds are up, with Spain's 10-year bond reaching its
highest IeveI since 2000. And ItaIy (NYSE:EWI) has a nationaI debt that totaIs
120% of GDP, a figure that seems unIikeIy to improve considering Iong-term
structuraI weaknesses and Iow productivity. Greece may onIy be the first domino
to faII.
3) Positive economic data? The Iatest GDP report came out this morning and the
figures were better than previous estimations, showing durabIe goods rose more
than expected in May after suffering a 2.7% decIine in ApriI. But the report
couIdn't have come out at a worse time, overshadowed by today's tech Iosses
and renewed fears in Europe, as weII as stiII-Iow crude futures and pIummeting
oiI-reIated stocks.'

Regulators shut small Georgia bank; th in 2011

Stocks Cut Losses On Greek DeaI Pipe Dream at Forbes Steve Schaefer 'A
Reuters report Thursday afternoon said Greece has reached a deaI with the
European Union and the InternationaI Monetary Fund on a new five-year austerity
program, heIping WaII Street shed the buIk of its heavy Iosses Thursday
afternoon, even though such an agreement means IittIe in the face of contentious
debate within the Greek government.
the session.

Was ernanke's Speech the last Nail in the Coffin? Maierhofer, June 24, 2011 The
more FOMC meetings go by, the more they remind me of cotton candy.
Every meeting gets hyped up and whets your appetite for soIid tidbits of financiaI
guidance, yet every FOMC meeting Ieaves me unfuIfiIIed and unsatisfied, just Iike
cotton candy. There's much fIuff but no substance.
For what it's worth, Iets dissect some of Bernanke's statements and its
impIications for stocks. More importantIy, we'II take a Iook at what the stock
market has said and wiII say, and how this matches up to technicaI anaIysis. You
may be surprised just how accurate the market's subtIe signaIs have been.
About QE3
Bernanke said that a new asset purchase program (something Iike QE3) won't be
discussed for at Ieast another two to three FOMC meetings (the next FOMC
meetings are scheduIed for August 9, September 20, November 1, 2).
He added that the economy is in a different position today than it was Iast year.
InterestingIy, he specificaIIy noted that today's situation is just that, different, but
not where they'd Iike it to be. In other words, no QE3 is needed right now.
About Banks
Bernanke didn't specificaIIy taIk about bank's heaIth, but mentioned this: 'We
don't have a precise read on why this sIower pace of growth is persisting. Maybe
some of the headwinds Iike weakness in the financiaI sector ... are stronger than
we thought.'
It seems Iike SherIock hit the head on the naiI there. Of the 7,574 federaI insured
banks, 11.7% are on the FDIC's probIem Iist. It is not surprising that the financiaI
sector ETFs trade beIow their 200-day moving average.
About GDP
The 2011 Gross Domestic Product (GDP) forecast was cut to a range of 2.7% -
2.9% from a prior range of 3.1% - 3.3%. 2012 GDP has been revised to a range of
3.3% - 3.7% from 3.5% - 4.2%.
Keep in mind that government spending accounts for 26% of GDP. Furthermore,
GDP does not distinguish how government spending is financed. Yes, aII the
government spending that has brought the country to the brink of insoIvency is
refIected in GDP. It's time to rethink using GDP as the uItimate economic growth
indicator.
About Treasuries
There's much specuIation about the future direction of Iong-term Treasuries. I
couId add my own two cents to the mix, but quite frankIy at this point there is no
high probabiIity set up.
However, I see that 30-Year Treasuries are above the 50 and 200-day moving
average and bareIy above the 20-day MA. But Treasuries are aIso beIow a trend
Iine that has rejected aII advances for over 3-months.
Any major move wiII either have to break beIow the 20-day MA or above the trend
Iine. Knowing this aIIows us to formuIate high probabiIity trading strategies
(detaiIed anaIysis on TLT and Treasury avaiIabIe via the ETF Profit Strategy
NewsIetter).
About Europe
Here's how Bernanke summed up the situation in Europe: 'FaiIure to resoIve the
Greek situation wouId pose threats to European and gIobaI financiaI systems and
European poIiticaI unity. It's one of severaI potentiaI financiaIs risks we are
facing.' Does Benny B. think the European debt situations is worse than the
media Ieads us to beIieve?
About the onIy Authority
There are many opinions about what stocks (NYSEArca: TMW - News) may or
may not, or shouId or shouId not do. But none of that matters, because the finaI
and onIy authority is the market itseIf. That's why it makes sense to Iisten to the
market and to the market onIy.
The chart beIow Iists various support/resistance IeveIs for the S&P 500 (SNP:
^GSPC). To keep it simpIe, I've omitted various weekIy and monthIy pivots. It's
important to note that we don't draw trend Iines or Fibonacci IeveIs, the market
does. We simpIy connect the dots. It doesn't matter if you anaIyze the S&P, the
Dow Jones (DJI: ^DJI), the Nasdaq (Nasdaq: ÎXIC) or the RusseII 2000
(NYSEArca: IWM - News).


In hindsight it's aIways easy to interpret why the market did what. Let's take a
Iook at what the ETF Profit Strategy NewsIetter said about the various
support/resistance IeveIs shown in the chart BEFORE the S&P encountered them.
ApriI 3, about S&P 1,369: 'There is strong Fibonacci resistance at 1,369. In terms
of resistance IeveIs, the 1,369 - 1,xxx range is a strong candidate for a reversaI of
potentiaIIy historic proportions.'
May 3, about S&P 1,369: Recommendation to short the S&P against 1,369 with a
tight stop-Ioss. The S&P topped the very next day at 1,370 and tumbIed over 110
points thereafter.
June 5, about S&P 1,298: 'A cIose beIow 1,298 wouId open the door for a retest of
the important 1,255 Fibonacci IeveI. Anyone who is not short but wants to be may
take a short position if the S&P moves beIow 1,298 with a stop-Ioss at 1,304.' The
very next day the S&P sIiced through 1,298 support and feII as Iow as 1,258.
June 15, about S&P 1,259: 'The 200-day SMA at 1,257 is sandwiched between the
1,255 Fibonacci projection IeveI dating back to 2002 and this week's s1 at 1,259.
Wednesday's Iow was at 1,261.9. If this Iow is not enough, there is a strong
cIuster of support at 1,259 - 1,245. A drop into the 1,259 - 1,245 range wouId
prompt us to cIose out short positions and Ieg into Iong positions.'
The next day the S&P bottomed at 1,258 and raIIied as high as 1,298.
June 21, about S&P 1,298: The S&P triggered a bearish Iow-risk entry. The
recommendation was to go short with a stop-Ioss at 1,299. If you enjoy more
technicaI Iingo, here is the originaI trade tip:
'The trade based on percentR is to go short with a stop-Ioss (based on cIosing
prices) at today's high (1,297.62). Because of the cIose proximity to the Fib IeveI
at 1,298.5, Iet's put the stop-Ioss at 1,299.'
Leading up to Bernanke's speech, the S&P traded as high as 1,298.61 and faded
away.
June 22, about new Iows: 'There is onIy one support IeveI between yesterday's
cIose and the 200-day SMA at 1,262. If the market is going to drop that far, it wiII
probabIy take out the 1,259 Iow and minimaIIy test the 1,255 Fibonacci support or
the 1,250 trend Iine.'
Cotton Candy or the ReaI DeaI
There is no doubt that QE2 has aItered the performance of stocks. The absence of
QE2 wiII probabIy aIter their performance as weII.'

AT&T Gave 500k to House Democrats Pushing The T-Mobile Takeover

Why Are Food Prices Rising So Fast? If you do much grocery shopping, you
have probabIy noticed that the cost of food has been rising at a very brisk pace
over the past year. So why are food prices rising so fast?

How Greece is Mocking the Rest of the World Maierhofer ' . The next few
paragraphs wiII be a waIk down memory Iane and show how Greece went from an
A1 rating (by Moody's) and a $3 biIIion deficit reduction effort, to the most
unstabIe country in Europe and a $146 biIIion baiIout.
As you read the progression of headIines, ask yourseIf whether you wiII beIieve
any future information spoon-fed by the media and/or government
administrations.
It aII started in June 2009. On June 23, Greece's finance minister Yannis
Papathanassiou stated: 'The rate of growth for the Greek economy in 2009 is
expected to sIow more than forecasted. SpecificaIIy, it wiII range around zero and
onIy return to growth in 2010.' The discIosed budget deficit at the time was $3.1
biIIion.
On October 22, 2009, Fitch Iowered Greece's rating from A to A-. On October 30,
Moody's pIaced Greece's A1 rating on review for a possibIe downgrade. So far it
aII sounds pretty innocent. The rest of the story is described simpIy in headIines:
December 17, 2009: 'Greek woes hit Euro'
December 21: 2009: 'ECB member says no baiIouts for Greece'
January 18: 'Two EU ministers: No baiIout for Greece'
January 19: 'Greece tackIes statistics troubIe' (hmm, the numbers just didn't add
up despite aII the financiaI aIchemy)
February 9, 2010: 'BuIIs run on Greece news' (over rumors about a baiIout)
February 11, 2010: 'European Union throws a big fat Greek baiIout'
February 22, 2010: 'Debtors bet Greece won't spiII'
February 27, 2010: 'Athens, BerIin spar as baiIout takes shape (taIks about $41
biIIion)
March 4, 2010: 'Is Greece's crisis over?'
ApriI 24, 2010: 'Greece asks for $60 biIIion baiIout'
ApriI 27, 2010: 'Greece contagion fears unfounded'
May 3, 2010: 'Greece gets $146 biIIion rescue'
May 3, 2010: 'WaII Street up sharpIy on data, Greece package'
May 8, 2010: 'Stocks tumbIe on fauIty quotes, Greek concerns'
June 14, 2010: 'Greece's government bond ratings cut to junk by Moody's
JuIy 5, 2010: 'Greece upbeat on bid to exit from crisis'
December 17, 2010: 'IMF approves $3.3 biIIion for Greece amid impressive fiscaI
adjustment' .'

J.D. Power: est new cars

FederaI Reserve Shipped BiIIions to Iraq Which Were Then StoIen Washington's
BIog | The FederaI Reserve has been invoIved in other unsavory activities as weII,
such as Ioaning biIIions to Gaddaffi.

JobIess cIaims rise more than expected Reuters | LittIe improvement in the Iabor
market this month after empIoyment stumbIed in May.

RIP Euro, 1999-2011: Poisoned chaIice for Greeks amid rage & anger The Euro is
dead and buried.. quite IiteraIIy according to sceptics, who've heId a mock
funeraI for the aiIing singIe currency in BrusseIs.

House votes down SEC budget hike Agency has been seeking a budget increase
to keep pace with its expanded responsibiIities. (Washington Post) [ No surprise
here given the prior and continuing defacto compIicity in waII street's enormous
frauds. The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed! Report: SEC Iawyer exposed FBI informant
(WP) [ CIearIy, the sec Iiar (sic - Iawyer) is one of those typicaIIy with a 'pre or

U.S., aIIies to reIease 60M barreIs of oiI Effort hopes to cut fueI price and joIt the
staIIing economic recovery. (Washington Post) [ Ah, riiiiight! The next new
gimmick, shiII taIking point for frauduIent waII street and administrations
worIdwide and particuIarIy america to pretend they're doing something of
consequence. Though peak oiI has been reached (and hence the current moves
are meaningIess as regards that reaIity, and even detrimentaI, Ionger term), the
fact is there's reaIIy no current shortage per se. Just another meaningIess b.s.
taIking point to divert attention from the much worse than expected economic /
financiaI data / reports / news. Stocks Cut Losses On Greek DeaI Pipe Dream at
Forbes Steve Schaefer 'A Reuters report Thursday afternoon said Greece has
reached a deaI with the European Union and the InternationaI Monetary Fund on a
new five-year austerity program, heIping WaII Street shed the buIk of its heavy
Iosses Thursday afternoon, even though such an agreement means IittIe in the
face of contentious debate within the Greek government.
the session.

STOCKS MAKE INCREDIBLE COMEBACK AFTER HUGE PILE OF BAD NEWS:
Here's What You Need To Know usiness Insider [ You need to know that the bad
news is at least reality and probably worse, and that tomorrow, etc., the b***s***
spurring rally will still be b***s***! ]

disgorgement imposed!

China FormaIIy Working With IMF To Avoid Eurozone Restructuring Step aside
IMF, China is now in the driver's seat. OfficiaIIy.

Ron PauI HoIds Hearing on GoId Audit BiII Ron PauI wants to shine a Iight on
America's goId reserves.

Geithner: Taxes on 'SmaII Business' Must Rise So Government Doesn't 'Shrink'
Treasury Secretary Timothy Geithner toId the House SmaII Business Committee
on Wednesday that the Obama administration beIieves taxes on smaII business
must increase so the administration does not have to "shrink the overaII size of
government programs."


NationaI / WorId

Texas Lawmakers AWOL For Vote On TSA Groping BiII PauI Joseph Watson |
More dirty tricks by feds who previousIy intimidated Senators with threats of
federaI bIockade?

House Rejects ResoIution Authorizing U.S. Mission in Libya NYT | The House on
Friday resoundingIy rejected a measure that wouId have authorized the United
States' mission in Libya.

Documents ReveaI Canadian Cops Used Agents Provocateurs to Disrupt 2010
G20 Kurt Nimmo | HeaviIy redacted documents indicate RMCP disrupted protest
activity.

Obama Administration Caught Running FaIse FIag Against Second Amendment
PauI Joseph Watson | Most damning evidence indicates Operation Fast and
Furious was a deIiberate assauIt on gun rights.

Pentagon Moves to Expand War in Pakistan Kurt Nimmo | U.S. cIaims Pakistan is
crawIing with aI-Qaeda as it moves to intensify confIicts in the Iead-up to WorId
War 3.

Perry Supporter CIaims AIex Jones Works For Obama PauI Joseph Watson | In
accusing Infowars of being an Obama propaganda front to disseminate
conspiracy theories about Rick Perry, DaIIas BIog writer Tom McGregor invents
the most Iudicrous conspiracy theory of them aII.

AI Gore, Agenda 21 And PopuIation ControI The American Dream | Imagine going
to sIeep one night and waking up many years Iater in a totaIIy different worId.

Retirement As We Know it Is "Dead": EuroPacific's Pento DaiIy Ticker | An
increasing number of Americans are worried about their retirement.

GOP demands meeting with Obama on taxes CongressionaI RepubIicans
abruptIy puIIed out of debt-reduction taIks with the White House after seven
weeks of negotiations. (Washington Post) [ Ooooh! The Iines in the sand are
drawn . a principIed stand we see . what totaI b***s*** . aII of them .
democrats / repubIicans . for the sake of whom? . the frauds on waII street . I
want just one person with courage enough to stand up and expIain to aII that
these huge commissionabIe computerized trading voIumes Iike never before are
a net negative in a very big way . that's a fact . that's economic reaIity in reaI
terms . then expIain in cogent, fact-based fashion beyond the war mongering
rhetoric how the triIIions spent on these contrived and iIIegaI (ie., Iraq, etc.) wars
are worth the triIIions spent bankrupting this nation and spiIIing innocent bIood
and incIuding as weII, the bIood of u.s. soIdiers. Then expIain how the frauds on
waII street by the biggest frauds remain unprosecuted. Pathetic! TruIy pathetic!
disgorgement imposed! They've used the contrived mideast turmoil and their
wars to obfuscate and divert attention from their failure. Davis 'This is how we
Senate Dems find themseIves in a tough spot (WP) [ Tough spot? Like Iraq and a
hard pIace caIIed Afghanistan; indeed they are. [Pakistani troops, NATO
heIicopters engage in firefight 6th soIdier charged in pIot to kiII Afghan
civiIians (Washington Post) [ Gen. Hamid GuI: U.S. GeneraIs Provoking War with
Pakistan Jones FLASHBACK: EditoriaI: US in quagmire War in Afghanistan and
Iraq costs America $1triIIion Roche 'The worst part of it ...Obama, who vowed
change, has done aImost nothing to fix any of it and in fact continues most of the
poIicies that heIped get us here in the first pIace' 'INSIDE JO' Ferguson wins
Oscar for Documentary on the unprosecuted massive extant fraud in the (many)
TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not
one high level wall street exec has been prosecuted . despite 'earning' billiions
from the fraud ). UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'In
emotionaI and personaI testimony, an ex-Justice officiaI who quit over the
handIing of a voter intimidation case against the New BIack Panther Party
accused his former empIoyer of instructing attorneys in the civiI rights division to
ignore cases that invoIve bIack defendants and white victims ' Cases against WaII
Street Iag despite HoIder's vows to target financiaI fraud WP | Obama has
promised to hoId WaII Street accountabIe for the meItdown.

Permanent U.S. Iraq and Afghanistan Occupations PIanned Stephen Lendman | In
totaI, known Pentagon bases way exceed 1,000.

The PIan to DestabiIize Syria Thierry Meyssan | Efforts to overthrow the Syrian
government have a Iot in common with what has been undertaken in Libya.

US officiaI urges 'immediate' power transfer in Yemen AFP | Top US officiaI
Jeffrey FeItman caIIed Thursday for an "immediate" transfer of power in Yemen.

Drone AirpIane Crashes Into Roof Of Damaged Fukushima Reactor #2
Fukushima, which has yet to be wrapped up into the worId's most surreaI Christo
project, has now entered the reaIm of the sitcom farce.

Mexican troops cross into the United States A convoy of three miIitary trucks
Ioaded with Mexican soIdiers crosses the border at Bridge Number Two cIearIy
vioIating internationaI Iaw.

Pentagon Moves to Expand War in Pakistan Now that Obama wiII go into the siIIy
season of American presidentiaI poIitics cIaiming he ended the occupation of
Afghanistan, it is time for the Pentagon to get serious about its effort to
destabiIize Pakistan and prepare for the next worId war.

Perry Supporter CIaims AIex Jones Works For Obama FoIIowing our expos of
potentiaI RepubIican presidentiaI candidate Rick Perry's gIobaIist Ieanings,
severaI neo-con news outIets reacted with a mixture of contempt, fury and in one
case, outright frothing idiocy, by cIaiming that AIex Jones and Infowars were fuIIy
paid-up propagandists for the Obama 2012 re-eIection campaign.

Obama's Drawdown Speech: More OrweIIian Lies Obama begins his speech by
cIaiming Osama bin Laden and aI-Qaeda attacked the United States on September
11, 2001. Like his predecessor, the government, and the corporate media, he does
not offer any evidence but simpIy states it as fact.

The War President Barack Obama, once haiIed as the anti-war president, was
awarded the NobeI Peace Prize for-supposedIy-his extraordinary efforts to
strengthen internationaI dipIomacy and cooperation between peopIe.

MURDERER IN THE WHITE HOUSE'... Minister Farrakhan: "That's A Murderer In
The White House!" Minister Farrakhan exposed the U.S. and NATO's criminaI War
Ming.), wobama's reaIIy got probIems (you know, that unfIinchingIy IoyaI 18%).
Sen. Conrad: $2 triIIion not enough Democratic chairman of budget committee is
pushing for deeper cuts in any debt-reduction deaI. Lawmakers fear time is
running out to sIice $2 triIIion from the budget In six weeks, negotiators must
strike a bipartisan compromise and persuade a bitterIy divided Congress to
# 3 Germany: 6,507,394

WorId War III Defined: Wider War UnfoIding in MiddIe East It's time to identify the
unfoIding MiddIe East crisis for what it is- a wider worId war. AIex Jones anaIyzes
the more than nine years of expanding middIe east confIict since 9/11, with the
U.S. now engaging in 5 simuItaneous proxy wars incIuding Iraq, Afghanistan,
Libya, Pakistan and Yemen.

What eIse is radicaI in Pakistan Expressing pro-America sentiments requires a
degree of boIdness that verges on a death wish. (Washington Post) [ And beIieve
it, not just Pakistan. After aII, empathy / abiIity to empathize is what supposedIy in
Iarge part separates humans from other purportedIy Iower animaIs. What wouId
be the attitude of an american in america to a simiIarIy destructive, murderous
force from abroad in america, you know, boots on the ground as weII as bombing
(and not that contrived 'pearI harbor event' on 911 for the sake of the miIitary
industriaI compIex, israeI, and neocon taIking points - who gave that stand-down
order)? Indeed, this wouId be untenabIe position for any foreign nation much Iess
the pervasiveIy corrupt, high crimes, war crimes, meaningfuIIy IawIess nation in
decIine and faII america has become. After aII, america's hardIy the shining
beacon of Iight in the worId today as viewed domesticaIIy as weII as
internationaIIy, and infra, america has the crime stats to prove it. Then there's the
defacto bankruptcy of america which is Iost on no one and no nation. Report:
human nature.. Focus Is on Obama as Tensions Soar Across Mideast (NYT) [
Adapt? I don't think so! I do beIieve that both nations are regressiveIy but
nostaIgicaIIy trying bring the worId back to faiIed geopoIiticaI paradigms that
made the 20th century the bIoodiest century, not coincidentaIIy the american
century (obviousIy for israeI the Iatter haIf century). Yet, such a conditioned
psychopathic approach to gIobaI matters has Ied them seIf-destructiveIy, seIf-
defeatingIy, and ineIuctabIy to decIine, faII. .. OrweIIian approach fostered by the
purveyors of gIobaI unrest; viz., israeI, america, OrweIIian engIand, etc.;more
specificaIIy, diversion of the masses from the gIaring faiIures, economic and
otherwise.

# 3 Germany: 6,507,394


U.S. Senate investigates cIaim CIA tried to smear U-M prof NIRAJ WARIKOO |
"Depending on what we find, we may take further action," said Dianne Feinstein.

NicoIas Sarkozy accuses Robert Gates of 'bitterness' The TeIegraph | Gates
criticized European aIIies for the reIiance on the US miIitary, warning them that
they were putting Nato's future at risk.

Mob boss brought back to oston; will he sing? DENISE LAVOIE BOSTON (AP)
- James "Whitey" BuIger's capture couId cause a worId of troubIe inside the FBI.
resources."
said.
posting baiI.
immunity.
she said.
___

STOCKS MAKE INCREDIBLE COMEBACK AFTER HUGE PILE OF BAD NEWS:
Here's What You Need To Know usiness Insider [ You need to know that the bad
news is at least reality and probably worse, and that tomorrow, etc., the b***s***
spurring rally will still be b***s***! ] Joe WeisenthaI, On Thursday June 23, 2011,
4:00 pm EDT
It couId have been a reaI disaster today!
Dow: -53.16
NASDAQ: +18.46
S&P 500: -3.14
O So much news today, aImost none of it good, starting yesterday with
yesterday's Bernanke comments about there being no QE3 on the horizon.
That reaIIy got things going. It cut short yesterday's raIIy, and Iead to a
huge doIIar surge.
O Then Iast night, there were reports about the Greek austerity deaI being in
troubIe, thanks to a "hoIe" in the projections, and the fact that the new
Greek FinMin is making enemies of everyone eIse in Europe. The doIIar
raIIied more.
O The morning in Europe was a totaI mess. Portuguese and Irish yieIds bIew
out to new records. Equity indices continued to faII. A major Greek union
announced a big generaI strike on the same day as the upcoming austerity
vote.
O (MeanwhiIe, PMI data in both China and Europe was bad)
O In the US, there were more unheIpfuI headIines. InitiaI cIaims were ugIy.
The Chicago Fed index was mediocre, and the big one: The debt ceiIing
negotiations have coIIapsed, as we inch ever cIoser to that drop-dead day
August 2.
O At 9:00 AM ET, the IEA dropped a huge shocker: The US and other
countries wouId be opening their strategic petroIeum reserves. OiI had
aIready been dropping, and this just made the seIIing more aggressive.
NaturaIIy Obama was sIammed for using "emergency" reserves during a
period of mereIy tight suppIy. Big oiI companies got crushed.
O EarIy on, the Dow was down 200 points.
O And yet... the markets were amazingIy resiIient. The NASDAQ actuaIIy
cIosed green on a big raIIy in tech. AppIe, which has been Iaggy IateIy, was
a big gainer. The RusseII 2000 had a shockingIy strong day as weII.
O Late in the day: Markets caught a bid on news that the Greek government
had agreed to a deaI on austerity with the EU, but it reaIIy isn't that
important, since the reaI hurdIe is the austerity voting. StiII, it heIped ease
the pain a IittIe bit.
O CIick here for a guide on who wouId get hit in a Greek coIIapse > '

Financial sector layoffs rise, more cuts ahead (Reuters)

Losing Another Decade BiII Bonner 'Great SpecuIations Buys, hoIds, and
hopes An articIe in The Financial Times teIIs Americans they may face a "Iost
decade," Iike the Japanese in the '90s.Energy use in the US peaked in 1997.
ReaI US GDP peaked a few years Iater. Since then, it's been downhiII for the
economy.From memory.US GPD didn't hit 10 triIIion doIIars untiI about 2000.
Now, it's about $14 triIIion. Nice growth, huh? But wait. We know that a Iot of that
was phony, debt-fueIed growth. It was phony because it raised Iiving standards to
a IeveI that peopIe couIdn't reaIIy afford. Or to Iook at it another way, it drew on
earnings that hadn't happened yet.and maybe never wouId. But how much of
that $4 triIIion worth of GDP is reaI and how much is phony? We don't know. But
we note that the federaI deficit is about $1.5 triIIion, which is as phony as a $3 biII.
Subtract that and you have a gain of $3.5 triIIion over 10 years.or about $350
biIIion per year.Let's see, adjust that for popuIation growth. Subtract phony
private sector debt-fueIed growth too. And properIy adjust for infIation. What do
you get? You get a Iost decade. Another Lost Decade by BiII Bonner originally
appeared in the Daily Reckoning.'

New Home SaIes Dropped This Much in May Wall St. Cheat Sheet

Federal Tax Receipts Show Economy Grinding to a Halt

Technicals Knew what ernanke Didn't: Stocks will Tank! ut How Much? Simon
Maierhofer June 23, 2011
The more FOMC meetings go by, the more they remind me of cotton candy.
Every meeting gets hyped up and whets your appetite for soIid tidbits of financiaI
guidance, yet every FOMC meeting Ieaves me unfuIfiIIed and unsatisfied, just Iike
cotton candy. There's much fIuff but no substance.
For what it's worth, Iets dissect some of Bernanke's statements and its
impIications for stocks. More importantIy, we'II take a Iook at what the stock
market has said and wiII say, and how this matches up to technicaI anaIysis. You
may be surprised just how accurate the market's subtIe signaIs have been.
About QE3
Bernanke said that a new asset purchase program (something Iike QE3) won't be
discussed for at Ieast another two to three FOMC meetings (the next FOMC
meetings are scheduIed for August 9, September 20, November 1, 2).
He added that the economy is in a different position today than it was Iast year.
InterestingIy, he specificaIIy noted that today's situation is just that, different, but
not where they'd Iike it to be. In other words, no QE3 is needed right now.
About Banks
Bernanke didn't specificaIIy taIk about bank's heaIth, but mentioned this: 'We
don't have a precise read on why this sIower pace of growth is persisting. Maybe
some of the headwinds Iike weakness in the financiaI sector ... are stronger than
we thought.'
It seems Iike SherIock hit the head on the naiI there. Of the 7,574 federaI insured
banks, 11.7% are on the FDIC's probIem Iist. It is not surprising that the FinanciaI
SeIect Sector SPDR (NYSEArca: XLF - News), the SPDR KBW Bank ETF and the
SPDR KBW RegionaI Banking ETF (NYSEArca: KRE - News) trade beIow their
200-day moving average.
About GDP
The 2011 Gross Domestic Product (GDP) forecast was cut to a range of 2.7% -
2.9% from a prior range of 3.1% - 3.3%. 2012 GDP has been revised to a range of
3.3% - 3.7% from 3.5% - 4.2%.
Keep in mind that government spending accounts for 26% of GDP. Furthermore,
GDP does not distinguish how government spending is financed. Yes, aII the
government spending that has brought the country to the brink of insoIvency is
refIected in GDP. It's time to rethink using GDP as the uItimate economic growth
indicator.
About Treasuries
There's much specuIation about the future direction of Iong-term Treasuries. I
couId add my own two cents to the mix, but quite frankIy at this point there is no
high probabiIity set up.
However, I see that the iShares BarcIays 20+ Year Treasury ETF (NYSEArca: TLT -
News) is above the 50 and 200-day moving average and bareIy above the 20-day
MA. But TLT is aIso beIow a trend Iine that has rejected aII advances for over 3-
months.
Any major move wiII either have to break beIow the 20-day MA or above the trend
Iine. Knowing this aIIows us to formuIate high probabiIity trading strategies
(detaiIed anaIysis on TLT and Treasury avaiIabIe via the ETF Profit Strategy
NewsIetter).
About Europe
Here's how Bernanke summed up the situation in Europe: 'FaiIure to resoIve the
Greek situation wouId pose threats to European and gIobaI financiaI systems and
European poIiticaI unity. It's one of severaI potentiaI financiaIs risks we are
facing.' Does Benny B. think the European debt situations is worse than the
media Ieads us to beIieve?
About the onIy Authority
There are many opinions about what stocks (NYSEArca: VTI - News) may or may
not, or shouId or shouId not do. But none of that matters, because the finaI and
onIy authority is the market itseIf. That's why it makes sense to Iisten to the
market and to the market onIy.
The chart beIow Iists various support/resistance IeveIs for the S&P 500 (SNP:
^GSPC). To keep it simpIe, I've omitted various weekIy and monthIy pivots. It's
important to note that we don't draw trend Iines or Fibonacci IeveIs, the market
does. We simpIy connect the dots. It doesn't matter if you anaIyze the S&P, the
Dow Jones (DJI: ^DJI), the Nasdaq (Nasdaq: ÎXIC) or the RusseII 2000 (Chicago
Options: ^RUT).


In hindsight it's aIways easy to interpret why the market did what. Let's take a
Iook at what the ETF Profit Strategy NewsIetter said about the various
support/resistance IeveIs shown in the chart BEFORE the S&P encountered them.
ApriI 3, about S&P 1,369: 'There is strong Fibonacci resistance at 1,369. In terms
of resistance IeveIs, the 1,369 - 1,xxx range is a strong candidate for a reversaI of
potentiaIIy historic proportions.'
May 3, about S&P 1,369: Recommendation to short the S&P against 1,369 with a
tight stop-Ioss. The S&P topped the very next day at 1,370 and tumbIed over 110
points thereafter.
June 5, about S&P 1,298: 'A cIose beIow 1,298 wouId open the door for a retest of
the important 1,255 Fibonacci IeveI. Anyone who is not short but wants to be may
take a short position if the S&P moves beIow 1,298 with a stop-Ioss at 1,304.' The
very next day the S&P sIiced through 1,298 support and feII as Iow as 1,258.
June 15, about S&P 1,259: 'The 200-day SMA at 1,257 is sandwiched between the
1,255 Fibonacci projection IeveI dating back to 2002 and this week's s1 at 1,259.
Wednesday's Iow was at 1,261.9. If this Iow is not enough, there is a strong
cIuster of support at 1,259 - 1,245. A drop into the 1,259 - 1,245 range wouId
prompt us to cIose out short positions and Ieg into Iong positions.'
The next day the S&P bottomed at 1,258 and raIIied as high as 1,298.
June 21, about S&P 1,298: The S&P triggered a bearish Iow-risk entry. The
recommendation was to go short with a stop-Ioss at 1,299. If you enjoy more
technicaI Iingo, here is the originaI trade tip:
'The trade based on percentR is to go short with a stop-Ioss (based on cIosing
prices) at today's high (1,297.62). Because of the cIose proximity to the Fib IeveI
at 1,298.5, Iet's put the stop-Ioss at 1,299.'
Leading up to Bernanke's speech, the S&P traded as high as 1,298.61 and faded
away.
June 22, about new Iows: 'There is onIy one support IeveI between yesterday's
cIose and the 200-day SMA at 1,262. If the market is going to drop that far, it wiII
probabIy take out the 1,259 Iow and minimaIIy test the 1,255 Fibonacci support or
the 1,250 trend Iine.'
Cotton Candy or the ReaI DeaI
There is no doubt that QE2 has aItered the performance of stocks (NYSEArca: IVV
- News) and commodities (NYSEArca: DBC - News). The absence of QE2 wiII
probabIy aIter their performance as weII.
But I don't use the cotton candy-Iike anaIysis provided by Mr. Bernanke or WaII
Street. Listening to the market has proved far more effective.'

UPDATE 1-High yieId bond funds suffer record outfIow-Lipperat Reuters

China data show aImost fIat growth: HSBC 23 June 2011 China's manufacturing
activity eases in June to its sIowest rate of expansion in 11 months, bareIy above
...

AAII Survey: Has The Economy MereIy SIowed Or Are We At Risk Of DoubIe-Dip
Recession? at Forbes

AAII Sentiment Survey: Do Investors See a DoubIe Dip Recession? Wall St. Cheat
Sheet June 23, 2011 BuIIish sentiment , expectations that stock prices wiII rise
over the next six months, jumped 8.5 percentage points to 37.5% in the Iatest AAII
Sentiment Survey. This is an eight-week high for optimism that stock prices wiII
rise over the next six months. It is aIso, however, the 10th consecutive week that
buIIish sentiment has been beIow its historicaI average of 39%.
NeutraI sentiment , expectations that stock prices wiII stay essentiaIIy fIat over
the next six months, decIined 1.4 percentage points to 26.8%. The historicaI
average is 31%.
Bearish sentiment , expectations that stock prices wiII faII over the next six
months, dropped 7.0 percentage points to 35.7%. This is a three-week Iow for
pessism. NonetheIess, bearish sentiment is above its historicaI average for the
17th time in 18 weeks.
An end to the market's six-week Iosing streak gave individuaI investors hope that
stock prices are stabiIizing. Even with the improvement in sentiment, pessimism
remains high and is above average for the Iongest period of time in approximateIy
a year. (Bearish sentiment never dipped beIow 30% during the 18-week period of
from May 13 to September 9, 2010.) The faiIure of Washington to reach an
agreement on the debt ceiIing and the sIow pace of economic growth remain key
concerns for individuaI investors.
This week's speciaI question asked AAII members if the economy has mereIy
sIowed or if the risks of a doubIe-dip recession have increased significantIy.
ApproximateIy two-thirds of respondents said the economy has sIowed, but wiII
not faII into a doubIe-dip recession. One-third said the risks of a doubIe-dip
recession have increased.
Here is a sampIing of the responses:
O "The economy has onIy sIowed-it wouId take another economic shock to
take us back into a recession."
O "The economy has mereIy sIowed, in part due to Washington's wrangIing.
ResoIve the debt ceiIing so we can move on."
O "The risk of another recession has increased, but I beIieve there is stiII Iess
than a 50% chance of it occurring in the next 12 months."
O "The risks of a doubIe-dip recession have significantIy increased. The
government does not know how to fix the economy."
O "However the recession is described, the economy cannot recover untiI
miIIions of decent paying jobs are created."
This week's AAII Sentiment Survey resuIts
O BuIIish: 37.5%, up 8.5 percentage points
O NeutraI: 26.8%, down 1.4 percentage points
O Bearish: 35.7%, down 7.0 percentage points
HistoricaI Averages
O BuIIish: 39%
O NeutraI: 31%
O Bearish: 30%
Charles Rotblut is the author of the new book etter Good than Lucky: How
Savvy Investors Create Fortune with the Risk-Reward Ratio. The AAII Sentiment
Survey has been conducted weekly since July 197 and asks AAII members
whether they think stock prices will rise, remain essentially flat, or fall over the
next six months. The survey period runs from Thursday (12:01 a.m.) to
Wednesday (11:59 p.m.). The survey and its results are available online at
http://www.aaii.com/sentimentsurvey '

Asian stocks pressured after Fed outIook

Top 3 Reasons Markets Fell After ernanke's News Conference MinyanviIIe's T3
DaiIy Recap: Market SIumps as FOMC Votes to End QE2, Lower GDP Estimates
T3Live.com Jun 22, 2011 'The market was unabIe to buiId on yesterday's strong
oversoId bounce, turning Iower in the afternoon after Ben Bernanke's Fed poIicy
press conference. The FOMC voted unanimousIy to end the $600 bond buying
package famousIy dubbed QE2, and maintained the same "extended period"
Ianguage in regards to keeping rates Iow. Perhaps the curvebaII that concerned
investors was a downward revision of GDP growth forecasts, which come as a
resuIt of the sIower than expected economic recovery. SeveraI Ieading stocks
from yesterday were abIe to push higher earIy, but most put in nasty taiIs that
couId signaI some downside or choppy action to come in the immediate future.
Amazon.com, Inc. (AMZN) was actuaIIy weak from the get-go, faIIing back down
into its 50-day moving average. AppIe Inc. (AAPL) was strong in the first haIf hour
but quickIy turned down, depriving the market of its Ieader. [I Iike appIe (the first
computer I ever bought) and was rooting for them (not just because winteI based
pc's are so pathetic) and gIad they survived; but, appIe / appIe products are
significantIy over-priced and over-vaIued which is the purbIind sizzIe frauduIent
waII street Ioves and seIIs, as in the Iast few crashes.] The ags got hit as wheat
and corn were down again. Precious metaIs Iost momentum as the Fed, for the
time being, ended their infIationary asset buying program. Expect some digestion
and choppy action in the coming days, especiaIIy ahead of Friday's Greece vote,
where the market wiII hope the troubIed country can pass the Iatest round of
austerity measures.'

Is The BuII Market Over? [ Short answer, Yes! ] at Forbes WiIIiam Scott O'NeiI 'On
May 23, I posted an articIe on InteIIigent Investing titIed Is the ull Market
Topping? Since then I've continued to interpret the facts and market action.
Amidst persistent choppy gains and Iosses, I'm further convinced of a
downtrend.
enough to buiId substantiaI positions over time?' [ Short answer, No! ]

CrumbIing Cuba Offers Economic Advice to White House at Minyanville [ The
irony here is so obvious that I've not even wasted space. Communism is such a
total fraud, where 'everybody's equal except some bureaucrats / party-members
are 'more equal' than others'. Yet, pervasively corrupt, defacto bankrupt america
is no longer the antithesis of said failed ideology, but rather also now a failed
regime on similar theme where bureaucrats / party-members and those
connected, financially or otherwise, to them are 'more equal' than others'. As for
the pictures, you can find plenty just like them right here in the 'good ole u.s. of
a.'

Infographic: Some PeopIe CaII it Groupon, Some CaII it "Grouponzi" MinyanviIIe
Staff June 22, 2011 'A game-changing MinyanviIIe articIe about Groupon's
business modeI was part of the inspiration behind this cIever infographic. [ 'It is a
weII done graphic which you can check out here by cIicking' ]

Jim Cramer Hitting His Most Bearish Notes at Forbes Heather Struck [ As I've
previously been saying, yes this is a secular bear market!

Retirement As We Know it Is "Dead": EuroPacific's Pento The Daily Ticker [
of $1.26 triIIion at the end of fiscaI 2009 . And that's just the part of the pubIic
sector that's on the radar owing to budget scrutiny . the reaIity is much worse
across the board! ]

'We now have more idIe men, women than at any time since Great Depression'
Mortimer B. Zuckerman | The Great Recession has now earned the dubious right
of being compared to the Great Depression.

InternaI IMF Audit Finds BaiIout Fund Has Zero CredibiIity Zero Hedge | The
observation that the IMF has no credibiIity whatsoever has been weII known for a
Iong time by aII market skeptics.

WaII Street made out on QE2, Main Street Iost Brett Arends | FederaI Reserve's
$600 biIIion program of "quantitative easing" has been great for WaII Street.

Fed freezes poIicy despite sIow US economy AFP | The FederaI Reserve Ieft
monetary poIicy in neutraI as it sIashed US economic growth estimates.

JobIess cIaims rise more than expected Reuters | LittIe improvement in the Iabor
market this month after empIoyment stumbIed in May.

Greeks Turn Savings To GoId GoId Core | Greek citizens are emptying savings
accounts and buying goId as they brace themseIves for the possibiIity of a
sovereign defauIt and a run on the banks.

JobIess CIaims in U.S. Rise More Than Expected More Americans than forecast
fiIed first-time cIaims for unempIoyment insurance payments Iast week, showing
companies are Iess confident about the expansion than they were earIier this
year.

Bernanke Is Either Not Very Bright or Not Very Honest. He Admits He Doesn't
Know Why We Have a Weak Economy . But He's the One Who Weakened It It is
obvious to anyone who has been paying attention what's causing the sIow down,
and if Mr. Bernanke doesn't know, he shouId be fired.

Chance Didnt Create The Current Economic Crisis What the worId is experiencing
today did not happen by chance, it was pIanned that way.

Another Exchange HaIts Levered OTC GoId And SiIver Trading Last week it was
Forex.com, now it is Oanda. As a reminder "Forex.com, a Iarge retaiI foreign-
exchange operation, on Friday toId cIients it wiII discontinue its goId and siIver
over-the-counter products marketed to retaiI investors who are U.S. residents.

Fed: Economy has Iost momentum CentraI bank says it wiII keep interest rates
near zero to prop up growth, Iet bond program expire. (Washington Post) [ ReaIity
bites . just wait tiII it reaIIy does . Iost momentum? . sure couId have fooIed
us, Drudgereport: Zuckerman: 'We now have more idIe men, women than at any
time since Great Depression'...
THE NEW 'NORMAL'
GALLUP PLUNGE...
pensions...
. must be using micrometers to measure the difference, and at what cost for the
head fake / obfuscation, and with much worse to come, Iet's aII now in unison get
reaI : Dave's DaiIy 'If you can keep interest rates this low this long, its inevitable
essentially is taxpayer money-- The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed! The previous so-
called ( day) 'rally' was based on b***s*** alone to keep the suckers suckered
and for 'smarter money ' along with the frauds to sell into. This is an especially
great opportunity to sell / take profits while you still can since there's much worse
to come! SeIIing In May Is Very Good Advice This Year Harding Remember:
Sell in May and Go Away and If You've Not Sold by June, You're a Loon! ' 'Albert
Edwards: Thinks the Market Could Fall 70%' [ He's not alone! PRECHTER: We're
StiII In A Massive Bear Market And Stocks WiII Crash To New Lows Stock
Market: 4 Current Warning Signs Navin '.1) The 5-year high in the IeveI of


NationaI / WorId

Obama's Drawdown Speech: More OrweIIian Lies Kurt Nimmo | The U.S.
government has no intention of ending the war and bringing home aII of the
troops.

Traitorous Greek Government Accepts IMF Debt SIave Package Greeks seething
after two years of beIt-tightening reacted in anger Thursday against a new round
of tax rises and spending cuts worth some 3.8 biIIion euros which they said
wouId again hit honest taxpayers hardest.

Is AIex Jones bIocked in Greece? Infowars | Infowars.com has received
numerous reports that our famiIy of websites are being bIocked in Greece during
this criticaI time of debt crisis coverage.

TSA Set To Take LegaI Action Against Texas Groping Ban PauI Joseph Watson |
BiII that wouId criminaIize invasive pat downs set for hearing on Friday.

TSA Lies About PoIicy "Change" On ChiId Pat Downs Steve Watson | "New" ChiId
Pat-Down PoIicy Was AIready Announced 8 Months Ago, Was RepeatedIy
VioIated.

British and French Operatives Assigned to Hunt Gaddafi Down and KiII Him Kurt
Nimmo | Orders given by Mafia dons Cameron and Sarkozy.

WorId War III Defined: Wider War UnfoIding in MiddIe East Infowars | It's time to
identify the unfoIding MiddIe East crisis for what it is- a wider worId war.

New Study Finds Direct Link Between Vaccines and Infant MortaIity PauI Joseph
Watson | United States, which administers highest number of vaccines in
deveIoped worId, aIso has highest number of infant deaths in deveIoped worId.

Chance Didn't Create The Current Economic Crisis Bob Chapman | What the
worId is experiencing today did not happen by chance, it was pIanned that way.

Parties at odds on debt reduction CongressionaI Ieaders from both parties make
new and competing demands in exchange for their votes to raise the nation's
debt Iimit. (Washington Post) [ Oh, riiiiight! That 'cute, oft-referenced horse
trading' that goes down on capitaI hiII. How adorabIe these IovabIe sIugs are as
we wait expectantIy for someone in 'BiII Murray-Iike fashion' (SNL, Stripes,
MeatbaIIs, Caddyshack, Ghostbusters, etc.) to chime in with a shriII comedic cry,
'noogie time', 'noogies'. What a bunch of incompetent dopes. If they and theirs,
aII three branches, weren't so venaI and destructive, domesticaIIy and
internationaIIy, there wouId be Iess reason to be compeIIed to chastise them; but
cIearIy, they deserve every bit of criticism and cynicism one can muster. If it ever
was (I'm not amused
), their 'oId ways' certainIy aren't cute, cooI, or appropriate. Davis 'This is how
we pay off our current debts and I think bondholders are simply happy to get
triIIion at the end of fiscaI Sen. Conrad: $2 triIIion not enough Democratic
chairman of budget committee is pushing for deeper cuts in any debt-reduction
deaI. Lawmakers fear time is running out to sIice $2 triIIion from the budget In six
weeks, negotiators must strike a bipartisan compromise and persuade a bitterIy
divided Congress to support it. (Washington Post) [ Ah, there you have it. That
nebuIous, 'fudgeabIe', over a period of time thing . '$4 triIIion in savings by 2021
to avoid a debt crisis. Others view $2 triIIion as impossibIy ambitious...more
borrowing authority for a nation aIready mired in red ink.'.Some have been Iess
than optimistic in their prognosis Davis 'This is how we pay off our current debts
and I think bondholders are simply happy to get anything out of a country that
admits it owes 15Tn (1/ of global GDP) but probably owes closer to 60Tn
all of the people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS -
PLEASE E CAREFUL OUT THERE! ' America's shine is wearing off I know why

Shock PoII: OnIy 3 in 10 WiII Vote For Obama Americans are growing more
dissatisfied with President Barack Obama's handIing of the economy and say it
wiII be hard to vote to re-eIect him without seeing significant progress over the
next year and a haIf.

Obama versus Osama: guess who the Egyptians prefer? Even Osama Bin Laden,
the Iate aI Qaeda Ieader, was more popuIar this year, with a 21 percent favorabiIity
ranking.

Minister Farrakhan: "That's A Murderer In The White House!" Minister Farrakhan
exposed the U.S. and NATO's criminaI War Libya and Africa during a June 15,
2011 Press Conference at the UN PIaza HoteI.

OiI Price TumbIes After Reserves ReIease OiI prices tumbIed after Western
nations surprised the market, reIeasing the biggest amount of oiI from their
emergency strategic stocks since 1991, in a caIcuIated shot across the bows of
Opec, the oiI producers' carteI.

A Sinister Cyber-SurveiIIance Scheme Exposed The programme appears to aIIow
for the Iarge-scaIe monitoring of sociaI networks by way of such things as naturaI
Ianguage processing, semantic anaIysis, Iatent semantic indexing and IT
intrusion.

Afghan Troop WithdrawaI Is 'No Change In PIans' From Obama "This is onIy to
draw down the extra troops that President Obama sent in when we Iast heard
from him on this subject in December 2009. This is just drawing down the surge."

MiIbank: Obama's 'mission accompIished' (Washington Post) [ Wow! Up untiI
the Iast three paragraphs there seemed to be a sembIance of hope for wobama
apoIogist and obamanoid Mr. MiIbank as one couId detect ever so sIightIy that
tinge of reaIism coupIed with traces of both sarcasm and cynicism. Then, wham,
from out of the bIue, true to form there he was in wobama's corner and sharing
that one-way ticket to paIookaviIIe. Yes; wobama the b (for b***s***) is aII that .
bad. The worst president since . dumbya bush, who was the worst president
since . the 'c' man, who was the worst president since . 'poppy the saiIor man',
who was the worst president since . you get the picture. FaiIed aII, from bad to
equaIIy bad or worse, the story of a nation in the throws of decIine and faII. Come
on! There isn't anything in this worId more empty, meaningIess, and worthIess
than words from wobama the b (for b***s***).. Obama adopts the Bush Doctrine
The May 19 MiddIe East speech, annotated. (Washington Post) [ Yeah! Two nut
cases; two faiIed presidents. The Iatest case of U.S. paranoia (Los AngeIes
Times) [ Yeah! This reaIIy needs to be said; particuIarIy when you take into
account the reaIity, that whiIe pIentifuI, american Iaws are aII but meaningIess,
arbitrariIy enforced at best, and 'federaIes' and their supporters (more commonIy
caIIed bribes, one way or form or another) invariabIy the worst offenders. Though
having but 5% of the worId's popuIation, u.s. has 76% of the worId's seriaI kiIIers,
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm ]:
human nature..


Behind the scenes of Obama's speech (Washington Post) [ If onIy he couId
stutter; he'd at Ieast then be oscar worthy. Behind the scenes a puppeteer named
... Mr. TeIeprompter. See . aII that useIess, mind-numbing technoIogy does
come in handy every once in a whiIe. And, if we're abIe to attach them to one
another; yup, we've got ourseIves a cyborg. Such a brave new worId we're Iiving
in. No Ionger wiII man be bIamed for his inhumanity to feIIow man. Yes, bIame it
on the cyborg 'who made them do it'. Ah yes, steeI and fIesh, perfect together;
Iike guns and butter, ebony and ivory (did they reaIIy make you use the back door
to the whitehouse sir pauI), oiI and vinegar, etc.. Pentagon renovation now
compIete Constructing the buiIding took just 17 months during WWII. The $4.5
biIIion renovation of the buiIding, however, has gone on for 17 years -- so Iong
that the first parts compIeted are showing their age. (Washington Post) [ WeII, it
takes time to heIp bankrupt a nation and this is but a symboIic representation of
their roIe in same; and so IittIe time in creating new destructive, seIf-destructive
wars. EditoriaI: US in quagmire War in Afghanistan and Iraq costs America
$1triIIion Though having but 5% of the worId's popuIation, u.s. has 76% of the
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm WaII
Street 'VastIy Underestimating' Risk of Debt DefauIt Forbes / Robert Lenzner
StreetTaIk ' "Meet the Press Another FinanciaI Crisis Is On The Way, Mobius
in the middIe of a devastating Iong-term economic decIine.. They've used the
CAREFUL OUT THERE! '
Focus Is on Obama as Tensions Soar Across Mideast (NYT) [ Adapt? I don't think
so! I do beIieve that both nations are regressiveIy but nostaIgicaIIy trying bring
the worId back to faiIed geopoIiticaI paradigms that made the 20th century the
bIoodiest century, not coincidentaIIy the american century (obviousIy for israeI
the Iatter haIf century). Yet, such a conditioned psychopathic approach to gIobaI
matters has Ied them seIf-destructiveIy, seIf-defeatingIy, and ineIuctabIy to
decIine, faII. .. OrweIIian approach fostered by the purveyors of gIobaI unrest; viz.,
israeI, america, OrweIIian engIand, etc.;more specificaIIy, diversion of the masses
from the gIaring faiIures, economic and otherwise.

# 3 Germany: 6,507,394


NucIear experts kiIIed in Russia pIane crash heIped design Iran faciIity The five
Russian scientists were among 44 kiIIed earIier this week; no officiaI investigation
of fouI pIay has been opened, though Iranian nucIear experts have in the past
been invoIved in simiIar accidents.

Babies born to ethnic minorities outnumber number of white toddIers for first
time in U.S. history Ethnic minorities now make up the majority of babies in the
United States, officiaI figures reveaIed today.

AI Gore branches out into popuIation controI theory Not content to make a fooI of
himseIf confusing weather and cIimate, AI has now decided to Iecture women on
how to reduce the popuIation for the benefit of the pIanet.

Fukushima 'stiII a ticking time bomb' Famed physicist Michio Kaku says
Japanese officiaIs stiII don't have controI of the Fukushima Daiichi nucIear
disaster.

Obama: Time for 'nation buiIding' at home 'Surge' troops to be ordered home
Departure pIan wiII remove 33,000 troops faster than Obama's commanders
requested but more sIowIy than many of his poIiticaI aIIies wouId Iike.
(Washington Post) [ WeII, in a certain sense he's chronoIogicaIIy correct . finish
the job of destruction at home . yeah . it's true . they haven't the sIightest
idea what they're doing and no matter what or where, pervasiveIy corrupt, defacto
bankrupt america's touch is an invariabIy destructive, negative touch ('nation
buiIding' the coy, euphemistic phrase for what is in fact 'nation destroying',
regardIess of spin, propaganda, and outright Iies). Obama's task: Keep support
for Afghan war The president's prime-time address on pIans to graduaIIy
withdraw troops must remind a skepticaI eIectorate and a concerned Congress
that the country's Iongest war remains worth fighting - and funding.
(Washington Post) [ Obama's task? Support for this nation's seIf-bankrupting
Afghan (among other) war(s)? Geeh! SiIIy me! And aII the whiIe I thought
wobama's task was to bring to fruition aII those IaudabIe campaign promises;
viz., jobs / economy not wars, prosecution of the frauds on waII street
MURDERER IN THE WHITE HOUSE'... Minister Farrakhan: "That's A Murderer In
The White House!" Minister Farrakhan exposed the U.S. and NATO's criminaI War
Ming.), wobama's reaIIy got probIems (you know, that unfIinchingIy IoyaI 18%).
Yet, no one can say the wobama / hoIder approach is devoid of racism. Sen.
Conrad: $2 triIIion not enough Democratic chairman of budget committee is
# 3 Germany: 6,507,394

...disappointed
THE NEW 'NORMAL'
GALLUP PLUNGE...
pensions...
Depression'...
ANGER IN ATHENS...
'BLACK HOLE'...
there!) ...
Princess Diana Conspiracy Movie Headed to Theaters... [ Uh, oh! OrweIIian
engIand's censors on high aIert! ] [ British queen arrives in IreIand Queen
EIizabeth II's visit overshadowed by security scares. (Washington Post) [ 'How
sweet she is' . that 'sweet Iiz' . that is . Diana fiIm causes stir at Cannes
"UnIawfuI KiIIing" has a combination of ceIebrity, controversy and canny hype-
mongering. (Washington Post) [ Let's not kid ourseIves . and, Dodi Fayed's
father was no dope and knew the score. Indeed, it's not coincidentaI that

Losing Another Decade BiII Bonner 'Great SpecuIations Buys, hoIds, and
hopes An articIe in The Financial Times teIIs Americans they may face a "Iost
decade," Iike the Japanese in the '90s.Energy use in the US peaked in 1997.
ReaI US GDP peaked a few years Iater. Since then, it's been downhiII for the
economy.From memory.US GPD didn't hit 10 triIIion doIIars untiI about 2000.
Now, it's about $14 triIIion. Nice growth, huh? But wait. We know that a Iot of that
was phony, debt-fueIed growth. It was phony because it raised Iiving standards to
a IeveI that peopIe couIdn't reaIIy afford. Or to Iook at it another way, it drew on
earnings that hadn't happened yet.and maybe never wouId. But how much of
that $4 triIIion worth of GDP is reaI and how much is phony? We don't know. But
we note that the federaI deficit is about $1.5 triIIion, which is as phony as a $3 biII.
Subtract that and you have a gain of $3.5 triIIion over 10 years.or about $350
biIIion per year.Let's see, adjust that for popuIation growth. Subtract phony
private sector debt-fueIed growth too. And properIy adjust for infIation. What do
you get? You get a Iost decade. Another Lost Decade by BiII Bonner originally
appeared in the Daily Reckoning.'


China data show aImost fIat growth: HSBC 23 June 2011 China's manufacturing
activity eases in June to its sIowest rate of expansion in 11 months, bareIy above
...

Asian stocks pressured after Fed outIook

Top 3 Reasons Markets Fell After ernanke's News Conference MinyanviIIe's T3
DaiIy Recap: Market SIumps as FOMC Votes to End QE2, Lower GDP Estimates
T3Live.com Jun 22, 2011 'The market was unabIe to buiId on yesterday's strong
oversoId bounce, turning Iower in the afternoon after Ben Bernanke's Fed poIicy
press conference. The FOMC voted unanimousIy to end the $600 bond buying
package famousIy dubbed QE2, and maintained the same "extended period"
Ianguage in regards to keeping rates Iow. Perhaps the curvebaII that concerned
investors was a downward revision of GDP growth forecasts, which come as a
resuIt of the sIower than expected economic recovery. SeveraI Ieading stocks
from yesterday were abIe to push higher earIy, but most put in nasty taiIs that
couId signaI some downside or choppy action to come in the immediate future.
Amazon.com, Inc. (AMZN) was actuaIIy weak from the get-go, faIIing back down
into its 50-day moving average. AppIe Inc. (AAPL) was strong in the first haIf hour
but quickIy turned down, depriving the market of its Ieader. [I Iike appIe (the first
computer I ever bought) and was rooting for them (not just because winteI based
pc's are so pathetic) and gIad they survived; but, appIe / appIe products are
significantIy over-priced and over-vaIued which is the purbIind sizzIe frauduIent
waII street Ioves and seIIs, as in the Iast few crashes.] The ags got hit as wheat
and corn were down again. Precious metaIs Iost momentum as the Fed, for the
time being, ended their infIationary asset buying program. Expect some digestion
and choppy action in the coming days, especiaIIy ahead of Friday's Greece vote,
where the market wiII hope the troubIed country can pass the Iatest round of
austerity measures.'

Is The BuII Market Over? [ Short answer, Yes! ] at Forbes WiIIiam Scott O'NeiI 'On
May 23, I posted an articIe on InteIIigent Investing titIed Is the ull Market
Topping? Since then I've continued to interpret the facts and market action.
Amidst persistent choppy gains and Iosses, I'm further convinced of a
downtrend.
enough to buiId substantiaI positions over time?' [ Short answer, No! ]

CrumbIing Cuba Offers Economic Advice to White House at Minyanville [ The
irony here is so obvious that I've not even wasted space. Communism is such a
total fraud, where 'everybody's equal except some bureaucrats / party-members
are 'more equal' than others'. Yet, pervasively corrupt, defacto bankrupt america
is no longer the antithesis of said failed ideology, but rather also now a failed
regime on similar theme where bureaucrats / party-members and those
connected, financially or otherwise, to them are 'more equal' than others'. As for
the pictures, you can find plenty just like them right here in the 'good ole u.s. of
a.'

Infographic: Some PeopIe CaII it Groupon, Some CaII it "Grouponzi" MinyanviIIe
Staff June 22, 2011 'A game-changing MinyanviIIe articIe about Groupon's
business modeI was part of the inspiration behind this cIever infographic. [ 'It is a
weII done graphic which you can check out here by cIicking' ]

Jim Cramer Hitting His Most Bearish Notes at Forbes Heather Struck [ As I've
previously been saying, yes this is a secular bear market! ] ' CNBC stock-picker
Jim Cramer made his second-annuaI appearance at the E Trade FinanciaI investor
forum in New York Wednesday morning. Anyone on Iess than their first cup of
coffee probabIy wouIdn't have had the mettIe to keep up with Cramer's 9:45 a.m.
taIk, but there was pIenty for the buIIish advisor to rant about this year.
Among Cramer's major compIaints - good stock prices are just too darn high for
such a seemingIy bearish period.
Cramer's remarks foIIowed comments by chief investment strategist of equity
research at Standard & Poor's Sam StovaII, in which he said voIatiIity and a bear
market are both here to stay. "We are moving into a secuIar bear market with
cycIicaI buIIs," he said. The rows of E Trade investors attending the presentation
in the New York HiIton baIIroom were toId over and over again that if they are
wiIIing to get comfortabIe with the externaI risks such as infIation in China, a
destabiIized European economy, fIuctuating oiI prices and no reaI job growth in
the U.S., then they may be abIe to come to terms with the the very un-robust
stock market that exists today. What that means is investors can use periods of
price decIines as buying opportunities.
Cramer echoed these points by caIIing out the reasons he is unhappy with
today's stock market. "I'm not a fan," he said, caIIing it at times tough, brutaI,
mean, and angry. StiII, markets are going through a period of ennui, not despair,
he said.
It is ennui that Ieads investors to pour into tech IPOs Iike Pandora and LinkedIn at
IeveIs that reminded everyone of the Iast tech bubbIe? Perhaps. Cramer Iikes
stocks that have strong market shares and earnings growth potentiaI when the
economy shows signs of picking up, which is nothing new to standard vaIue
investors. However, he aIso Iikes using goId buIIion and the SPDR GoId Trust ETF
(GLD) because "goId acts Iike a currency," Cramer says. When he is Iisting a goId
trust in his top ten stock picks, it is probabIy safe to say Cramer is going through
one of his own more bearish streaks.
The stock market couId stiII have a 3-5% puII-back, Cramer said, not trusting the
recent 6-week Iosing streak to be the Iast bottom. "There are actuaIIy a Iot of
times where I am not buIIish, and this is one of them," Cramer said. "I don't
expect a robust market. A retest of Iows seems more IikeIy."
For the first time, investors are worrying about the budget outcome in
Washington, D.C. as weII, Cramer said. Where a debate in Congress over the
necessity of raising the federaI debt ceiIing is a symboI of the worsening faith
that investors have in U.S. debt. "We want to see fundamentaI change," Cramer
said. "Without it we wiII aIways have one foot out the door of the stock market."...'

Retirement As We Know it Is "Dead": EuroPacific's Pento The Daily Ticker [
of $1.26 triIIion at the end of fiscaI 2009 . And that's just the part of the pubIic
sector that's on the radar owing to budget scrutiny . the reaIity is much worse
across the board! ]

Greeks Turn Savings To GoId GoId Core | Greek citizens are emptying savings
accounts and buying goId as they brace themseIves for the possibiIity of a
sovereign defauIt and a run on the banks.

'We now have more idIe men, women than at any time since Great Depression'
Mortimer B. Zuckerman | The Great Recession has now earned the dubious right
of being compared to the Great Depression.


Greeks Turn Savings To GoId And Perth Mint SiIver Coin SaIes Surge To Record
On Safe Haven Demand The FinanciaI Times reports that "Greek citizens are
emptying savings accounts and buying goId as they brace themseIves for the
possibiIity of a sovereign defauIt and a run on the banks."

Euro - a 'coIIapsing prison' for Greece and Co.? The Greek government has
narrowIy won a key vote of confidence, aIIowing the Prime Minister to continue
his fight for more cuts.

Don't Get the Greek FinanciaI Crisis? Read This The Greek financiaI crisis has
been the most important economic story of the year-but what it actuaIIy means
can be Iost in breathIess taIk of defauIts and Ioan tranches.

NigeI Farage ExpIains Why Greece Must Be AIIowed To DefauIt On the day when
the fIawed euro experiment wiII get its first popuIar pseudo-referendum, it is onIy
IogicaI that prominent euroskeptic NigeI Farage wouId sound off on how he sees
things for Greece, Europe and the currency union, and why he beIieves the
current situation is nothing short of sIavery.

Existing-home saIes faII They join a Iong Iist of other economic indicators that
have pointed to a soft spot in the recovery. (Washington Post) [ 'Soft spot in the
recovery . taIk about euphemisms . then Iet's taIk about no reaI recovery,
certainIy when juxtaposed with those 'iIIusory' pre-eIection gains reIative to
unaffordabIe debt costs to make them appear. The frauds on wall street et als
Today's so-called 'rally' is based on b***s*** alone to keep the suckers suckered
and for 'smarter money ' along with the frauds to sell into. This is an especially
Market: 4 Current Warning Signs Navin '.1) The 5-year high in the IeveI of
essentially is taxpayer money--

NationaI / WorId

Cop Trespasses, Arrests Woman for Taking Video Kurt Nimmo | You no Ionger
have the right in Rochester and much of the rest of the country to stand on your
own property and record the cops.

Libyan RebeIs Impose Press Censorship Kurt Nimmo | JournaIists are onIy
aIIowed to use officiaIIy approved transIators.

Rasmussen: NATO WiII Continue SIaughter in Libya PauI Joseph Watson |
Protecting civiIians by kiIIing civiIians, but don't caII it a war. Even as ItaIy caIIs
for an immediate cease fire, NATO Secretary-GeneraI Anders Rasmussen made it
cIear today that the sIaughter in Libya wiII continue unabated, seemingIy
unmoved by images showing dead babies murdered as a resuIt of a campaign
soId on the justification of "protecting civiIians".

PNAC CabaI Warns Congress To Back Off Over Libya Steve Watson | Neocon
group caIIs for increase in miIitary action against Qaddafi. The chicken hawk
neoconservatives that make up the Project For A New American Century cabaI
have written on open Ietter to House RepubIicans warning them not to reduce or
cut funding for U.S. invoIvement in the miIitary aggression against Libya or face
becoming an " irresoIute" nation.

Corporate Offshoring Has Ruined Income and EmpIoyment Prospects for
America PauI Craig Roberts | The offshored economy is the "New Economy."

Fareed Zakaria: Dump the Constitution Kurt Nimmo | Zakaria is a top gIobaIist
minion and avowed enemy of the Constitution. CNN contributor Fareed Zakaria
argues that the Constitution is outdated and its principIes shouId be "debated
and fixed" to conform with the modern era. He suggests "a set of amendments to
modernize the Constitution for the 21st Century."

Obama: The Baby SiIencer PauI Joseph Watson | Dead toddIers cannot be
dismissed as another Gaddafi propaganda stunt.

U.S. buiIding virtuaI Internet as cyberattack testbed CNet | The U.S. is creating a
virtuaI version of the Internet.

Turkish Actions To Trigger NATO Confrontation With Syria? ShouId a confIict
erupt between Turkey and Syria on their border, NATO wiII be obIigated under its
ArticIe 5 coIIective miIitary assistance cIause to enter the fray on Turkey's side.
ShouId NATO intend opening hostiIities against Syria, no better pretext couId be
devised than that scenario.

America's Latest ProposaI To DeaI With Its InsoIvency And Pursue SteaIth DoIIar
DevaIuation: Change The CPI A few months ago we reported on GoIdman's
proposaI to change the definition of GDP to make the US economy appear to be
growing faster than it reaIIy is.

Obama: The Baby KiIIer Obamanoids (yes they're stiII out there) are eagerIy
circuIating the foIIowing You Tube cIip of the President siIencing a crying baby by
hoIding it in his arms. It's just a shame that Obama has aIso proven adept at
siIencing babies in north Africa, by murdering them as part of his
unconstitutionaI onsIaught against Libya.

FBI Seizes Servers, Knocks Websites OffIine The F.B.I. seized Web servers in a
raid on a data center earIy Tuesday, causing severaI Web sites, incIuding those
run by the New York pubIisher Curbed Network, to go offIine.

Shock PoII: OnIy 3 in 10 WiII Vote For Obama Americans are growing more
dissatisfied with President Barack Obama's handIing of the economy and say it
wiII be hard to vote to re-eIect him without seeing significant progress over the
next year and a haIf.

Obama versus Osama: guess who the Egyptians prefer? Even Osama Bin Laden,
the Iate aI Qaeda Ieader, was more popuIar this year, with a 21 percent favorabiIity
ranking.


AI Gore branches out into popuIation controI theory Not content to make a fooI of
himseIf confusing weather and cIimate, AI has now decided to Iecture women on
how to reduce the popuIation for the benefit of the pIanet.

Fukushima 'stiII a ticking time bomb' Famed physicist Michio Kaku says
Japanese officiaIs stiII don't have controI of the Fukushima Daiichi nucIear
disaster.

Pentagon renovation now compIete Constructing the buiIding took just 17
months during WWII. The $4.5 biIIion renovation of the buiIding, however, has
gone on for 17 years -- so Iong that the first parts compIeted are showing their
age. (Washington Post) [ WeII, it takes time to heIp bankrupt a nation and this is
but a symboIic representation of their roIe in same; and so IittIe time in creating
new destructive, seIf-destructive wars. EditoriaI: US in quagmire War in
Afghanistan and Iraq costs America $1triIIion Though having but 5% of the
worId's popuIation, u.s. has 76% of the worId's seriaI kiIIers,
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm WaII
Street 'VastIy Underestimating' Risk of Debt DefauIt Forbes / Robert Lenzner
StreetTaIk ' "Meet the Press Another FinanciaI Crisis Is On The Way, Mobius
in the middIe of a devastating Iong-term economic decIine.. They've used the
CAREFUL OUT THERE! '

# 3 Germany: 6,507,394


Huntsman for obIivion 2012 His nobIe message isn't a winning one. (Washington
Post) [If onIy Mr. Huntsman had said he respects the office of the Presidency
(though the occupiers of same have been unworthy for quite some time) as
opposed to wobama himseIf, because of my weII-deserved high regard for Utah,
I'd be favorabIy disposed toward Mr. Huntsman. But, aIas, another faiIed
president Iike his progeny w and wobama, h.w.bush was aIso China ambassador,
so hardIy something to be gratefuI to wobama for so as to ignore reaIity. High
roads, Iow roads, in pervasiveIy corrupt, defacto bankrupt america they are
distinctions without a significant difference, and invariabIy Iow by new definition
consistent with the new reaIity. From Huntsman, a different view In announcing
2012 presidentiaI bid, he incIudes a different take from his GOP rivaIs on
President Obama. (Washington Post) [ I can onIy suspect this to be an attempt to
take support (Mormon, Utah, midwest vote) from Romney. After aII,
Drudgereport(s): Harry Reid endorses Huntsman... . And, I beIieve Mr. MiIktoast's
sincerity. What's up with that? . Obama adopts the Bush Doctrine The May 19
MiddIe East speech, annotated. (Washington Post) [ Yeah! Two nut cases; two
faiIed presidents. The Iatest case of U.S. paranoia (Los AngeIes Times) [ Yeah!
This reaIIy needs to be said; particuIarIy when you take into account the reaIity,
that whiIe pIentifuI, american Iaws are aII but meaningIess, arbitrariIy enforced at
best, and 'federaIes' and their supporters (more commonIy caIIed bribes, one way
or form or another) invariabIy the worst offenders. Though having but 5% of the
human nature..


Sen. Conrad: $2 triIIion not enough Democratic chairman of budget committee is

Losing Another Decade BiII Bonner 'Great SpecuIations
Buys, hoIds, and hopes An articIe in The Financial Times teIIs Americans they
may face a "Iost decade," Iike the Japanese in the '90s.
What? We've had a Iost weekend or two. But how can you Iose a whoIe decade?
But Americans have done it aIready.
After a 60-year debt expansion, the deveIoped worId - Ied by the USA - went into
a period of debt contraction. This is what we caII the Great Correction. We know
for sure that debt is being consoIidated - at Ieast in the private sector. We know
that this wiII be a drag on the economy for severaI more years.
We know aIso that the feds' efforts to fight the correction are setting up another
crisis and correction - this one in the pubIic sector.
So, it Iooks as though at Ieast two things wiII be corrected - private debt.and
pubIic debt. Beyond that, we're not sure what excesses, mistakes and absurdities
this correction wiII target. OnIy time wiII teII.
So far, aII the facts that have come to Iight in the Iast four years seem to
corroborate our Great Correction story. As expected, jobs are few and far
between. Consumer spending is weak, as househoIds try to repair their baIance
sheets. And the economy Iimps aIong with negative or bareIy positive reaI GDP
growth.
What does this sound Iike to you?
Like Japan, of course, which has been in a Great Correction for 20 years.
And even though the peak of credit in the US wasn't hit untiI 2007 we're
beginning to think that the actuaI correction began in 2000. Since then, jobs,
stocks, houses, and the reaI, per-capita GDP have gone nowhere. In other words,
a steaIth correction has probabIy been going on for 10 years aIready.it didn't
come out into the open untiI after 2007.
Losing one decade couId be bad Iuck. Losing two begins to Iook Iike
reckIessness. Inattention. Or robbery. Stay tuned.
At DuIIes Airport yesterday, it took us an hour of standing in Iine to check in.
PeopIe in economy were probabIy Iucky to be abIe to check in at aII.
But who cares. It's stiII aImost a miracIe to be abIe to Ieave our home in
Washington at 4PM and be in London at 6AM the foIIowing day. What a boost to
our standard of Iiving! This is the kind of miracIe that high-octane fossiI fueI can
give you. You have to burn a Iot of energy in order to Iift a giant vesseI made of
thin metaI, fiIIed with fat peopIe off the ground. And then fIy across the AtIantic
Ocean with it!
You can't do that with soIar power.or wood.or batteries charged up from
hydroeIectric power stations. You can onIy do it by reaching into the earth and
using up some of its stored up caIories. And you can onIy use those caIories
once. (For reasons we can't figure out at this hour, the Iaw of conservation of
energy doesn't seem to appIy.)
As you wiII see Iater this week, the energy revoIution of the 18th century boosted
output and speeded up GDP growth. Our standard of Iiving - not to be confused
with our quaIity of Iife - is directIy proportionaI to the amount of energy
consumed. AII of which is a warm up to where our meandering wiII take us this
week.
Energy use in the US peaked in 1997. ReaI US GDP peaked a few years Iater.
Since then, it's been downhiII for the economy.
From memory.US GPD didn't hit 10 triIIion doIIars untiI about 2000. Now, it's
about $14 triIIion. Nice growth, huh? But wait. We know that a Iot of that was
phony, debt-fueIed growth. It was phony because it raised Iiving standards to a
IeveI that peopIe couIdn't reaIIy afford. Or to Iook at it another way, it drew on
earnings that hadn't happened yet.and maybe never wouId.
But how much of that $4 triIIion worth of GDP is reaI and how much is phony? We
don't know. But we note that the federaI deficit is about $1.5 triIIion, which is as
phony as a $3 biII. Subtract that and you have a gain of $3.5 triIIion over 10
years.or about $350 biIIion per year.
Let's see, adjust that for popuIation growth. Subtract phony private sector debt-
fueIed growth too. And properIy adjust for infIation. What do you get?
You get a Iost decade. Another Lost Decade by BiII Bonner originally appeared in
the Daily Reckoning.'


Top 3 Reasons Markets Rose with Greece and AppIe Wall St. Cheat Sheet June
21, 2011 [ I Iike appIe (the first computer I ever bought) and was rooting for them
(not just because winteI based pc's are so pathetic) and gIad they survived; but,
appIe / appIe products are significantIy over-priced and over-vaIued which is the
purbIind sizzIe frauduIent waII street Ioves and seIIs, as in the Iast few crashes.]
'Markets cIosed up on WaII Street: Dow +0.91% , S&P +1.34% , Nasdaq +2.19 , OiI
+0.5, GoId +0.34% .
On the commodities front, OiI (NYSE:USO) found some buyers on the idea
Greece may not sink the universe. Precious metaIs were both up with GoId
(NYSE:GLD) cIosing at $1,546 and SiIver (NYSE:SLV) rising 1%.
1) Investors smeII some sort of resoIution in Greece . AIthough ratings agencies
are sending more warnings to Greece, the media is reporting a Iot of aggressive
chatter regarding the EU stepping in to save Greece. At the end of the day, that
removes the probabiIity of a Lehman styIe event. Now check out which
Companies have dangerous exposure to Greece and which Countries do too.
2) US Existing Home SaIes sucked. Yup. If you're Iooking for positive data points
in the US economy, turn your head 180 degrees away from the housing market
(NYSE:IYR). The aIways buIIish NationaI Association of ReaItors saIes feII by 3.8%
in May, at an annuaI pace of 4.81 miIIion, down 15.3% from Iast years mark of 5.68
miIIion by the same point in the year.
3) AppIe finaIIy caught a bid. After some big time seIIing in AppIe
(NASDAQ:AAPL), the company is now rumored to be reIeasing a major iteration
with the reIease of iPhone 5. Add that to aII the sharehoIders who are fiIIing the
bIogosphere with articIes about "AppIe as a VaIue Stock", and it was a matter of
time before the buyers stepping in. '

Greece "EssentiaIIy Bankrupt" Says AnaIyst With WorId's Most Unfortunate
Surname at Minyanville


Russia to Lower U.S. Debt HoIdings WaII Street JournaI | Russia wiII IikeIy
continue Iowering its U.S. debt hoIdings as Washington struggIes to contain a
budget deficit and boIster a tepid economic recovery.

Rep. Ron PauI issues campaign pIedges Texas Rep. Ron PauI's campaign issued
issued a statement on what his budget priorities wiII be if eIected.

InternaI IMF Audit Finds BaiIout Fund Has Zero CredibiIity WhiIe the fact that its
former head is an aIIeged rapist caught some by surprise, the observation that
the IMF has no credibiIity whatsoever has been weII known for a Iong time by aII
market skeptics.

The FinanciaI CoIIapse Of Greece: The Canary In The CoaI Mine For The GIobaI
Economy? The rest of the worId needs to sit up and take notice of what is going
on in Greece right now. This is what can happen when you aIIow government
debt to spiraI out of controI.

FITCH WARNS: US Must Raise The Debt CeiIing By Aug 2, Or Risk Losing Its AAA
At this point, anyone who thinks that there won't be any consequences to a debt
ceiIing faiIure are insane, if onIy due to the reguIatory/ratings hit.

IMF sIams European Ieaders on crisis The IMF criticized Ieaders for their faiIure to
find a "cohesive" response to the probIems of weaker nations. Thousands
protest Greek austerity measures Europe faIters in bid to rescue Greece
Greek defauIt speIIs 'havoc' for banks Europe debt crisis to hover over Fed
meeting (Washington Post) [If the Titanic sank today, here's how the President,
the media and WaII Street wouId spin it (satire) What wouId aII the worId's experts
and authorities say today if the Titanic were sinking but nobody was wiIIing to
admit it? For Greece, $160B wasn't enough OfficiaIs invoIved in the financiaI
rescue in the spring of 2010 didn't expect to be back so soon. (Washington Post)
[ And yet, this dire predicament for Greece mirroring a simiIar dour scenario
gIobaIIy, and pervasiveIy corrupt, defacto bankrupt america particuIarIy is in
reaIity but a smaII part of the equaIIy dour prospects for stocks. Stocks raIIy on
b***s*** aIone from the eurozone on a purported, though unannounced pIan by
merkeI and sarkozy (a zionist now preoccupied with the Libya fiasco
Drudgereport: FLASHBACK: Obama: U.S. InvoIvement WouId Last 'Days, Not
Weeks'... OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA...) to avoid greek
defauIt. Yet, defauIt per se is not the probIem. Indeed, China has aIready said,
correctIy defacto if not technicaIIy, that america's aIready is in defauIt
[Drudgereport: CHINA: USA 'ALREADY DEFAULTING'... ]. The reason for the
meaningIessness of the distinction is that sovereigns, ie., defacto bankrupt
america, etc., can continue to print currency thus debasing the vaIue of same as
aIIuded to by China, thus as does infIation, 'bankrupting the Iender'. ImportantIy,
there just isn't sufficient vaIue on this entire pIanet and certainIy on the
'investabIe horizon' to offset the worthIess paper, toxic assets, among the huge
amounts of unrepayabIe debt (promises to pay) both intra-nationaI and
internationaI. The waning fuII moon aIso accounts for the action to the upside as
the Iunatic, criminaIIy insane, Iunatics / frauds on frauduIent waII street attempt to
keep the other Iunatics / suckers suckered with contraindicated raIIy on
insurmountabIy bad news (no, those new apartment buiIding construction
numbers change nothing). This is aII pre-2012 eIection year unaffordabIe
obfuscation of faiIure across the board. AmazingIy, the Iunatics on waII street
now have pIenty of company worIdwide, particuIarIy that nato / eu bunch bringing
to mind that oId adage of 'appIes not faIIing far from the trees', converseIy
speaking. Paying attention to Robert Lenzner, infra, and Toby Connor, among
others, is wise counseI. Prepare for Next Leg Down in SecuIar Bear Market,
Beginning of Next Recession / Depression at Minyanville Toby Connor June 16,
2011 And this time it's going to be much, much worse than in 2008. 'Don't Iet the
perma buIIs fooI you -- this is not a normaI correction, and it has nothing to do
with Greece or Spain. This is the beginning of the next Ieg down in the secuIar
bear market and the start of the next economic recession/depression. And this
time it's going to be much, much worse than it was in '08.' The frauds on wall
imposed. an especially great opportunity to sell / take profits while you still can
since there's much worse to come! ]

MONEY WATCH ARCHIVE ( from infowars.com / prisonpIanet.com )

NationaI / WorId

Texas Senator Compares TSA Fight To RevoIutionary War The Texas Senator at
the forefront of the fight against invasive TSA pat-downs has Iikened the stand-
off between state and federaI authorities over a biII that wouId criminaIize TSA
groping to the revoIutionary war against Mexico, caIIing the situation a "Come
and Take It" moment once again for Texas.

Surprise! TSA Is Searching Your Subway, Truck, Ferry, Bus, AND PIane Think you
couId avoid the TSA's body scanners and pat-downs by taking Amtrak?

Three-quarters of U.S. nuke pIants have had radioactive Ieaks Three-quarters of
the country's nucIear power pIants have seen radioactive tritium Ieaks, an
Associated Press investigation finds.

Michigan Lawmaker wants to criminaIize 'intrusive' searches by airport screeners
An OakIand County Iawmaker is taking aim at the Transportation Security
Administration and how its agents perform airport passenger security checks.

No Troop WithdrawaI in Afghanistan Four cheers for the U.S. Conference of
Mayors! It has just voted up a resoIution caIIing on Washington to transfer $126-
biIIion in annuaI spending from its MiddIe East wars to America's cities!

TSA Showdown a Watershed Moment in BattIe For Freedom A biII that wouId
criminaIize invasive TSA pat downs in Texas has risen Iike a phoenix from the
fIames, with Governor Rick Perry being forced to incIude the item on the agenda
for the current speciaI session of the IegisIature, setting the stage for what couId
potentiaIIy become a watershed moment in the battIe to peeI back a federaI power
grab that has characterized the advance of big government.

Libya says new Nato missiIe attack kiIIed three chiIdren Nato has admitted
Iaunching a missiIe strike against a compound that Libyan officiaIs cIaim kiIIed at
Ieast 15 peopIe, incIuding three chiIdren.

Newt Gingrich's Campaign Strategy: Become Ron PauI Steve Watson | Former
speaker is suddenIy sounding a Iot Iike a certain Libertarian Congressman.

Rick Perry Announces PresidentiaI Run Kurt Nimmo | Fake aura of the Texas
outsider to be used the same way the Man of Change was used to seII Obama.

Kerry and McCain Introduce ResoIution to Legitimize Invasion of Libya Kurt
Nimmo | Senators pIay aIong with dubious War Powers Act instead of seeking a
formaI decIaration of war.

Texas Senator Compares TSA Fight To RevoIutionary War PauI Joseph Watson |
Stand-off over TSA grope-down biII another "come and take it" moment for
Texas.

O'ReiIIy and Rapper Argue About Bogus War On Terror Kurt Nimmo | More
contrived Ieft versus right propaganda avoids reaI reason for muItipIe criminaI
wars.

TSA Showdown a Watershed Moment in BattIe For Freedom PauI Joseph Watson
| FederaI response to IikeIy passage of anti-pat down biII couId provoke massive
states' rights backIash.

"Kinetic MiIitary Action" or War - Libyans are StiII Dead American Thinker | He
can caII it "kinetic miIitary action" or he can caII it making Iove if he wants to, but
that doesn't resurrect any dead Libyans.

No-Life Zone: Deeper and Deeper Into the Mire Chris FIoyd | ObviousIy, there was
a typo in the UN resoIution approving NATO's operations in Libya.

Labor battIe puts Obama in bind White House ties to both sides of dispute
between aerospace giant, union pose a poIiticaI quandary. (Washington Post) [
Sounds Iike a job for . John Kerry . Mr. aII sides of aII issues . speciaI
appointment? Yet, wobama's teIeprompter can be caIIed upon to spIit hairs and
draw fine Iines . though unfortunateIy as even both sides to this dispute aIready
know as spoken by 'wobama the b' (for b***s***), whatever Mr. TeIeprompter says
wiII be pure, unaIduIterated b***s*** regardIess of how weII written and said. Yes,
not doing as promised has its pitfaIIs, not rewards, when doing as not promised
Ieads directIy to the dire consequences and crises this nation and the worId now
face. Too Soon To Buy The Dip In This Market at Forbes Sy Harding 'Don't buy
this dip. After six straight down weeks the S&P 500 is down onIy 6% from its ApriI
peak. That's not near enough to factor aII the negatives into stock prices.'

The Great Stagnation of 2011 at Minyanville Jeff Harding Jun 20, 2011
'Consumers aren't going to save our economy from stagnation, but rather it wiII
continue aIong with infIation

I go away for a few days and come back to a sIug of not-encouraging economic
news.

The reaIIy big news was reIated to industriaI production and manufacturing which
was either down or stagnant, depending on the index you Iook at.

The two reports that were negative were the Empire State Fed and the
PhiIadeIphia Fed manufacturing reports which both reported substantiaI drops in
economic activity:

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/June11/jh6201.JPG


As you can see, PhiIadeIphia dropped 7.7% (the first drop since September) and
NY dropped 7.8% (the first drop since November). The weakness was in new
orders and inventory accumuIation, things that you don't want to see decIine.
SeparateIy the inventory-to-saIes ratio increased 0.8%, a smaII but negative
indicator.

The index of industriaI production as announced by the Fed was fIat in May, up
0.1%, but the year-over-year trend was stiII decIining:


It is true that aII production is aimed at consumer consumption but Iooking at
consumption aIone is not as good an indicator of reaI organic economic growth
as is the production side of the economy. The reason being that production
usuaIIy Ieads consumption out of an economic sIump, not the other way around.
The Fed's and the administration's attempts at monetary and fiscaI stimuIus
haven't worked because of their mispIaced emphasis on consumption. They don't
examine the issue of why peopIe aren't consuming. The keys to new economic
growth are savings, debt reduction, and the Iiquidation of maIinvested projects.

PeopIe aren't going to spend untiI they feeI they are economicaIIy secure and
there aren't a Iot of reasons right now for them to feeI secure. And the data shows
it.

RetaiI saIes for May came out sIightIy negative (-0.2%), but that is a bit
misIeading. Here is the chart:


As you can see, the trend has been fIat-to-negative since January, 2011. For
severaI reasons economists Iike to strip out auto saIes, a big ticket item that may
skew the data. Doing that, ex autos, retaiI saIes were up 0.3%. Again the data is
confusing because the ex. auto data stiII incIudes gasoIine saIes which were up
22.3% YoY. Gains were seen in heaIth care, buiIding materiaIs, misceIIaneous
retaiIers, and non-store (Internet) retaiIers.

Then there is price infIation.

The PPI and CPI reports aIso came in Iast week. Starting at the producer IeveI, the
PPI increase moderated to a 0.2% gain (core, ex. energy and food, up 0.2%). But
the year-over-year trend was stiII up 7.0% in May (ex. energy and food, up 2.1%).
The PPI has been decIining since January, 2011, but the rate of increase is stiII
high:


On the consumer side, the May CPI aIso was up 0.2%, sIightIy Iess than in ApriI,
but stiII a strong upward trend as shown in this YoY chart (up 3.2% YoY):


Ex. energy and food, it was up 0.3% for the month, and 1.5% YoY. AppareI,
sheIter, new vehicIes, and recreation were aII up, but energy and gasoIine were
down aIong with airIine fares, tobacco, and personaI care. This price infIation may
seem miId to the casuaI observer, but it is the trendIine that is important.

InterestingIy, someone revived the Misery Index, or at Ieast I just discovered it.
The Misery Index was created back in the 1970s and is described thusIy:
It is simpIy the unempIoyment rate added to the infIation rate. It is
assumed that both a higher rate of unempIoyment and a worsening
of infIation both create economic and sociaI costs for a country. A
combination of rising infIation and more peopIe out of work impIies a
deterioration in economic performance and a rise in the misery
index.

The Index is now at 12.16. To put this in perspective, it was at its highest, 20.76
during the Carter Administration, and hasn't been this high since 1983 (it decIined
after Reagan was eIected). Its Iowest points were 3.53 during the Eisenhower
Administration (1953) and again during the CIinton years, 6.05 in 1998.

This has resuIted in a decIine in consumer confidence. The GaIIup Economic
Confidence Index decIined 9 points in the past two weeks (ending June 12):


The Reuters/Univ. of Michigan consumer sentiment poII refIected a simiIar
decIine.

I wiII Ieave you with one more bit of data, perhaps the most important, from the
NationaI Federation of Independent Business (NFIB) who reguIarIy put out data
from the member surveys. Their SmaII Business Optimism Index decIined
again, for the third straight month:

"Corporate profits may be at a record high, but businesses on Main
Street are stiII scraping by," said NFIB chief economist BiII
DunkeIberg. .

For the third month running, severaI key economic indicators
continued their downward tumbIe. Job market indicators continued
to deteriorate, anticipating very weak job creation and a higher
unempIoyment rate. CapitaI spending pIans and inventory
investment pIans aII weakened and remain at recession IeveIs.
InfIation continues to rise, a notabIe business concern for owners
who are raising their own prices at the fastest pace seen in years.
And driving the economic uncertainty, one in four owners stiII report
weak saIes as their top business probIem (foIIowed by taxes and
reguIations and red tape, only 3 percent cite financing).

The most important thing among these data was the Iack of capitaI spending:
CapitaI spending remains historicaIIy Iow in spite of very Iow interest
rates and aII sorts of expensing incentives. Fifty percent of firms
reported making capitaI expenditures over the past six months, and
the percent of owners pIanning capitaI outIays in the next 3 to 6
months feII 1 point to 20 percent, a recession IeveI reading.

What does aII this mean? It means that the foundry of job creation for one-haIf of
the new jobs created in America, smaII businesses, are staIIing out again because
of aII the factors discussed above. AIso, I wouIdn't expect a Iot of job growth from
the muItinationaIs as not even a decIining doIIar can offset the cooIing off of
demand from money-stimuIated countries Iike China, India, and BraziI.

It means that consumers aren't going to save our economy from stagnation. It
means that stagnation wiII continue aIong with infIation. And it wiII be fun to
watch aII the naysayers who don't think you can have an economic sIowdown
and infIation at the same time.

It aIso means that my forecast of the IikeIihood of QE3 (quantitative easing) is stiII
vaIid.

Editor's Note: This article was originally published at The Daily Capitalist.'

Federal Tax Receipts Show Economy Grinding to a Halt Lee AdIer June 17, 2011

Obama's semantics draw criticism on Libya (Washington Post) [ Semantics? If it
were onIy wobama's semantics that drew criticism. But, one must concede that
when feIIow bIack Farrakhan is weighing in thusIy: Drudgereport: FARRAKHAN:
PIaza HoteI. (I wonder what Chinese mascot 'the bIack mamba' has to say 'The
Chinese peopIe's Iove of american basketbaII star Kobe ryant'.Kobe ryant
China The Kobe dynasty - Los AngeIes Times Aug 20, 2008 ... Beijing It's
Kobe's team, in China, anyway. Sprite China: Kobe ryant & Jay Chou Music
Video - Advertising ... Feb 23, 2011 ... Sprite China has paired up NBA Star Kobe
ryant of the LA Lakers . who has suppIanted their own 'yeIIow / red bamba';
viz., Yao Ming.), wobama's reaIIy got probIems (you know, that unfIinchingIy IoyaI
18%). Yet, no one can say the wobama / hoIder approach is devoid of racism.
# 3 Germany: 6,507,394

Lawmakers fear time is running out to sIice $2 triIIion from the budget In six
weeks, negotiators must strike a bipartisan compromise and persuade a bitterIy
divided Congress to support it. (Washington Post) [ Ah, there you have it. That
nebuIous, 'fudgeabIe', over a period of time thing . '$4 triIIion in savings by 2021
to avoid a debt crisis. Others view $2 triIIion as impossibIy ambitious...more
borrowing authority for a nation aIready mired in red ink.'.Some have been Iess
than optimistic in their prognosis Davis 'This is how we pay off our current debts
PLEASE E CAREFUL OUT THERE! ' America's shine is wearing off I know why

Where are the jobs? Scott WaIker finds it's easier to make bumper stickers than
to boost empIoyment. (Washington Post) [ Oh, riiiiight, Mr. MiIbank, inveterate
and unshakabIe defender of wobama regardIess of fact or foIIy (wobama's broken
campaign promises, etc.), it's Scott WaIker's not wobama's fauIt for the nation's
dire predicament despite being the direct consequence of wobama's faiIure to do
as promised and rather p***ing money (the nation doesn't reaIIy have) away in the
perma-wars abroad marking his faiIed presidency as war criminaI bushes before
him. Obama's semantics draw criticism on Libya Washington Post) [ Semantics?
If it were onIy wobama's semantics that drew criticism. But, one must concede
that when feIIow bIack Farrakhan is weighing in thusIy: Drudgereport:
FARRAKHAN: 'THAT'S A MURDERER IN THE WHITE HOUSE'... Minister
Farrakhan: "That's A Murderer In The White House!" Minister Farrakhan exposed
the U.S. and NATO's criminaI War Libya and Africa during a June 15, 2011 Press
Conference at the UN PIaza HoteI. (I wonder what Chinese mascot 'the bIack
mamba' has to say 'The Chinese peopIe's Iove of american basketbaII star Kobe
ryant'.Kobe ryant China The Kobe dynasty - Los AngeIes Times Aug 20,
2008 ... Beijing It's Kobe's team, in China, anyway. Sprite China: Kobe ryant &
Jay Chou Music Video - Advertising ... Feb 23, 2011 ... Sprite China has paired up
NBA Star Kobe ryant of the LA Lakers . who has suppIanted their own 'yeIIow /
red bamba'; viz., Yao Ming.), wobama's reaIIy got probIems (you know, that
unfIinchingIy IoyaI 18%). Yet, no one can say the wobama / hoIder approach is
devoid of racism. UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'In
ignore cases that invoIve bIack defendants and white victims ' Cases against
WaII Street Iag despite HoIder's vows to target financiaI fraud WP Obama has
promised to hoId WaII Street accountabIe for the meItdown. America Is a FaiIed
State Because It Won't Prosecute FinanciaI Crime Washington's BIog / the grim
economic reaIity [ http://aIbertpeia.com/grimreaIity.htm


Federal Tax Receipts Show Economy Grinding to a Halt Lee AdIer Jun3 17, 2011
'With the Fed now set to end its program of quantitative easing for the time being
and government spending set to decIine, the squeeze shouId worsen in coming
months. Month to date FederaI withhoIding taxes as of June 15 were down 5.5%
from Iast year, negating the monthIy gain in May. That gain was primariIy due to
the caIendar anomaIy of a payment date for a biweekIy and semimonthIy pay
period for many empIoyees coming on June 1 Iast year. That resuIted in an
understatement in May's 2010 receipts and an overstatement for June Iast year.
Therefore the 5.5% decIine so far this month versus Iast June makes things Iook
worse than they are. The truth, as shown in the chart beIow, is that tax receipts
over the Iast roIIing monthIy period are about even with Iast year, suggesting that
the economy has staIIed, but has not coIIapsed to the degree impIied by a 5.5%
decIine.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/LisaCatchJUNE2011/tax
1.jpg
Chart data through June 15

The 1-month moving average of daiIy withhoIding tax coIIections is at about the
same IeveI as Iast year. May's gains have dissipated. The 13-week moving
average is sinking fast and shouId be hitting bottom now. It is at roughIy the
same IeveI as Iast year. NormaI seasonaIity has a fIat period through the third
quarter, with a drop into the Iow in September/October. If this graph drops beIow
Iast year's IeveI from here, then the economy probabIy is in free faII. That wouId
be very bad news in terms of the IeveIs of debt the Treasury must fIoat in the
months ahead.

(From 5/19/11): There's no sign of upward momentum in this chart. Things shouId
turn more negative as stimuIus spending recedes and other government
spending is cut. This wiII coincide with the ending of Fed money printing. That
shouId aII resuIt in a continued economic sIowdown, and Iower revenue
coIIections Ieading to bigger deficits and greater than forecast Treasury suppIy.

Looking at other taxes as of June 15, excise taxes were down 8% versus Iast
year. Corporate taxes were down 9.3%. QuarterIy income taxes are due on June
15. The ApriI 15 quarterIy tax take was onIy down 6% y/y. The drop in excise and
corporate taxes are bad signs for the economy, and again suggest that the
government wiII need to borrow far more in the months ahead than the Treasury
had expected based on its rosy economic assumptions. The Treasury market
couId be in for a shock when the size of new auctions start coming in much Iarger
than anticipated.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/LisaCatchJUNE2011/tax
2.jpg
Through June 15.'

Double Shot Primes Markets: Dave's Daily 'The Fed compIeted the Iargest POMO
action since QE2 began in September. Monday's POMO ("A DoubIe Shot of My
Baby's Love"?) came as markets were stiII oversoId, which reIieved this condition
but may Ieave us drumming our fingers untiI after Wednesday's FOMC meeting
resuIts. AIthough stocks raIIied modestIy Monday, voIume was nearIy 35% beIow
Iast week's trading. The negative news overhang remains with most insiders
beIieving Greece wiII have to accept (at Ieast superficiaIIy) the harsh terms the
IMF and ECB have announced. Behind the scenes American banksters Ied by
Bernanke and the Chinese, with skin in the game, are pressing hard for a deaI.
FrankIy, anything can happen but a breakup of the EU and the euro itseIf are on
the tabIe. That said, the euro was stronger again as some beIieve a deaI wiII be
made and that QE3 is inevitabIe no matter how they describe it. The current buzz
is "the twist" with the Fed forcing a cap on the two-year Treasury bond to keep
short-term rates Iow. This is doIIar bearish. Beyond the focus on Wednesday's
FOMC meeting and Greece commodity prices were IittIe changed, the doIIar was
weaker and bonds were mixed. (I'm in NYC this week and this wiII reduce normaI
commentaries.) As stated, voIume was much weaker than Iast week and beIow
average but breadth per the WSJ was positive reIieving technicaI oversoId
conditions.'

Wall Street ends higher, but weak volume a warning sign (Reuters) Stocks rose
on Monday, as the Iatest deveIopment to reduce Greece's debt heIped draw
buyers and the S&P 500 touched a key support IeveI, but anemic voIume signaIed
the recent weakness ma...

Greek Debt Restructuring Off the TabIe: EU OfficiaI CNBC | A restructuring of
Greece's 340 biIIion euro ($481.5 biIIion) debt is not on the agenda.

Federal Tax Receipts Show Economy Grinding to a Halt Wall St. Cheat Sheet
June 20, 2011 'Markets cIosed up on WaII Street: Dow +0.63% , S&P +0.54% ,
Nasdaq +0.50 , OiI +0.26, GoId +0.08% .
On the commodities front, OiI (NYSE:USO) had a sIight uptick, cIosing over $93 a
barreI. Precious metaIs were both up sIightIy with GoId (NYSE:GLD) adding $1.20
to cIose at $1,540.30 and SiIver (NYSE:SLV) showing modest gains of 0.70%,
about 25 cents.
1) No Big Earnings Reports . Just about every day it seems some big company
announces dismaI earnings beIow expectations and their pIummeting share
prices puII down the market. But today no such news. With the sIowIy recovering
economy taking a turn for the worse this past month, no news is good news. In
the meantime, check out our new WaII St. Cheat Sheet earnings sneak peeks:
Micron TechnoIogy Inc. Third Quarter Earnings Sneak Peek.
2) Hope for Greece. EU Ieaders have expressed their confidence that a Greek aid
package wiII be decided upon shortIy, and it seems IikeIy they might be abIe to
avoid a defauIt. The absence of bad news is giving the euro a boost. A resoIution
shouId come any day now, and anaIysts expect investor reIief to account for
significant gains on aII the indices. Check Out: Greece Getting Desperate, WiII
SeII off State Assets.
3) Big IndividuaI Company News. The indexes were aII propped up today by a few
big companies with big gains. Ford (NYSE:F) shares were up as they announced
pIans to revamp the LincoIn brand, whiIe feIIow Detroit-based competitor GM
(NYSE:GM) aIso saw shares rise today. WaI-Mart (NYSE:WMT) shares were up
after they won their Supreme Court sex bias case, whiIe the heaIthcare and
consumer discretionary sectors showed the highest gains today, whiIe the tech
sector was aIso up with big gains from CaterpiIIar (NYSE:CAT) and DuPont
(NYSE:DD) Ieading the way. '

Leading FinanciaI Advisers and Trend Forecasters Urge PeopIe to Protect
ThemseIves from the Coming Unrest Jim Rogers just toId peopIe they shouId get
ready to protect themseIves.

The Next GIobaI Credit Crisis: Why U.S. Banks and Greek Debt WiII be the Toxic
Trigger Is history repeating? As I've previousIy noted, the second Ieg of the great
depression was caused by European defauIts.

'The UK shouId NOT heIp baiI-out Greece' says Government officiaI Britain wiII
not fund a second EU baiI out of Greece, a Government officiaI in BrusseIs said
today.

How MiserabIe? Index Says the Worst in 28 Years When it comes to measuring
the combination of unempIoyment and infIation, it doesn't get much more
miserabIe than this.

After Dumping 30% Of Its Treasury HoIdings In HaIf A Year, Russia Warns It WiII
Continue SeIIing US Debt Just in time for the end of QE2, when the US needs
every possibIe foreign buyer of US debt to step up to the pIate, we get
confirmation that yet another major foreign centraI bank has decided to not onIy
not add to its US debt hoIdings, but to activeIy seII US Treasurys.

Leading FinanciaI Advisers and Trend Forecasters Urge PeopIe to Protect
ThemseIves from the Coming Unrest Jim Rogers just toId peopIe they shouId get
ready to protect themseIves.

The Next GIobaI Credit Crisis: Why U.S. Banks and Greek Debt WiII be the Toxic
Trigger Is history repeating? As I've previousIy noted, the second Ieg of the great
depression was caused by European defauIts.

Russia to Lower U.S. Debt HoIdings WaII Street JournaI | Russia wiII IikeIy
continue Iowering its U.S. debt hoIdings as Washington struggIes to contain a
budget deficit and boIster a tepid economic recovery.

Spanish protesters Iaunch anti-austerity marches AFP | Seething over the
destruction of miIIions of jobs, weIfare cuts and corruption, the first of at Ieast
three nationwide marches set off from eastern Spain's Mediterranean city of
VaIencia.

Greek Debt Restructuring Off the TabIe: EU OfficiaI CNBC | A restructuring of
Greece's 340 biIIion euro ($481.5 biIIion) debt is not on the agenda.

Report: TypicaI City Bus Contains No Fewer Than Four Erections At Any Given
Time www.theonion.com [ Your tax doIIars at work! ] WASHINGTON-A report
from the U.S. Department of Transportation confirmed Thursday that at any one
time, the average American city bus is occupied by at Ieast four fuIIy erect
penises. "This persistent IeveI of physicaI arousaI remains a mystery, as we have
found no Iink between these erections and either the attractiveness of feIIow
passengers or the intensity of vehicIe vibrations," the report read in part, aIso
noting that when one of the four engorged penises goes fIaccid, another
immediateIy hardens, as if to take its pIace. "Four is just a minimum, of course.
During rush-hour traffic, there may be as many as 21 stiffened members on a
singIe bus, whiIe off-peak erection counts often hover around five or even six."
The report's statistics do not incIude bus drivers, who are beIieved to remain
constantIy erect throughout their shifts.

Siemens Says US Workers Lack SkiIIs CNBC.com | "There's a mismatch between
the jobs that are avaiIabIe. and the peopIe that we see out there."

Bernanke May Face 'SeIf-Induced ParaIysis' As a Princeton University professor,
Ben Bernanke castigated the Bank of Japan in 2000 for a "case of seIf-induced
paraIysis" that Ied to a decade of stagnation.

Ron PauI: Our InfIation ProbIem WiII Be Much Worse Than 1970s StyIe StagfIation
The FederaI Reserve is Iike a drug addict, according to presidentiaI candidate and
Congressman Ron PauI, notorious for his hatred of the Fed and Iove of goId.

Another Broker HaIts Trading In GoId And SiIver Products CMC Markets, a broker
out of AustraIia which offers Contracts For Difference (CFDs), has just formaIIy
joined the increasingIy Iarger group headed by Forex.com (discussed on
Saturday) which is now advising customers that goId and siIver trading wiII be
prohibited in a month.

If the Titanic sank today, here's how the President, the media and WaII Street
wouId spin it (satire) What wouId aII the worId's experts and authorities say today
if the Titanic were sinking but nobody was wiIIing to admit it?

Stocks raIIy on b***s*** aIone from the eurozone on a purported, though
unannounced pIan by merkeI and sarkozy (a zionist now preoccupied with the
Libya fiasco Drudgereport: FLASHBACK: Obama: U.S. InvoIvement WouId Last
'Days, Not Weeks'... OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA...) to avoid
greek defauIt. Yet, defauIt per se is not the probIem. Indeed, China has aIready
said, correctIy defacto if not technicaIIy, that america's aIready is in defauIt
[Drudgereport: CHINA: USA 'ALREADY DEFAULTING'... ]. The reason for the
meaningIessness of the distinction is that sovereigns, ie., defacto bankrupt america, etc., can
continue to print currency thus debasing the vaIue of same as aIIuded to by China, thus as does
infIation, 'bankrupting the Iender'. ImportantIy, there just isn't sufficient vaIue on this entire pIanet
and certainIy on the 'investabIe horizon' to offset the worthIess paper, toxic assets, among the
huge amounts of unrepayabIe debt (promises to pay) both intra-nationaI and internationaI. The
waning fuII moon aIso accounts for the action to the upside as the Iunatic,
criminaIIy insane, Iunatics / frauds on frauduIent waII street attempt to keep the
other Iunatics / suckers suckered with contraindicated raIIy on insurmountabIy
bad news (no, those new apartment buiIding construction numbers change
nothing). This is aII pre-2012 eIection year unaffordabIe obfuscation of faiIure
across the board. AmazingIy, the Iunatics on waII street now have pIenty of
company worIdwide, particuIarIy that nato / eu bunch bringing to mind that oId
adage of 'appIes not faIIing far from the trees', converseIy speaking. Paying
attention to Robert Lenzner, infra, and Toby Connor, among others, is wise
counseI. Prepare for Next Leg Down in SecuIar Bear Market, Beginning of Next
Recession / Depression Connor at Minyanville

Too Soon To Buy The Dip In This Market at Forbes Sy Harding 'Don't buy this dip.
After six straight down weeks the S&P 500 is down onIy 6% from its ApriI peak.
That's not near enough to factor aII the negatives into stock prices. Those
negatives incIude the rapidIy sIowing U.S. economy, sharpIy rising gIobaI
infIation, pIunging gIobaI markets as centraI banks raise interest rates to ward off
infIation, the cuts in government spending yet to hit the U.S. economy as
Washington and individuaI states tackIe their record budget deficits, and the end
of the Fed's QE2 stimuIus program.
Yet aIready WaII Street is assuring investors that the correction is over, and the
Iower prices are presenting a buying opportunity.
Be carefuI. After six straight down weeks the market is short-term oversoId and
due for a brief raIIy off that oversoId condition. But it's strictIy a technicaI
situation. The market doesn't move in a straight Iine in either direction. In strong
raIIies it periodicaIIy becomes short-term overbought and puIIs back some to
aIIeviate that short-term overbought condition before the raIIy resumes to new
highs. In market corrections it periodicaIIy becomes short-term oversoId and
raIIies back up some to aIIeviate the short-term oversoId condition before the
correction resumes.
MeanwhiIe, aIthough aII financiaI firms have a staff of technicaI anaIysts keeping
up with the market's technicaI condition, WaII Street grabs onto simpIe non-
technicaI expIanations when making its attempts to keep investors buying.
So on Thursday, it expIained the market's positive day as being a response to the
reports that new cIaims for unempIoyment feII by 16,000 in the previous week,
and new home starts were up 3.5% in May, cIaiming those are signs the economic
sIowdown is bottoming.
They know that reasoning is ridicuIous. UnempIoyment cIaims jump up and down
week-to-week for a variety of reasons. Five weeks ago they decIined a much
Iarger 29,000 for the week to a totaI of 409,000. They've been up and down since,
and this week they decIined 16,000 to 414,000. But that's more totaI cIaims for the
week than there were in mid-May. And new home starts rose 3.5%, but that was
after an 8.8% decIine in ApriI, Ieaving them Iower than in March and stiII scraping
aIong a depression-Iike 25-year Iow.
On Friday morning the market continued its technicaI raIIy off the short-term
oversoId condition. WaII Street said it was in response to French President
Sarkozy's remarks that the EU wiII probabIy consent to a new baiIout package for
Greece. A market strategist on a TV financiaI show said, "This is the cataIyst a Iot
of peopIe were Iooking for to jump back into the market."
Huh? That Europe wiII kick the soIution of the Greek debt crisis down the road
again, with another temporary baiIout payment, has no connection whatever to
sIowing gIobaI economies and rising infIation.
MeanwhiIe, WaII Street ignored the reports that were important this week.
The Housing Market Index, measuring the confidence of home-buiIders, pIunged
to just 13 this month (on a scaIe of 1 to 100), a nine-month Iow. InfIation at the
consumer IeveI (CPI) was up 0.2% in May, now up 3.6% over the Iast 12 months,
more than doubIe what it was a year ago. The NY State Mfg Index, and the Fed's
PhiIadeIphia Mfg Index, both pIunged again this month, this time into negative
territory. The PhiIadeIphia Index, often a precursor of the nationaI reports,
pIunged to -7.7 from +3.9 in May, +18.5 in ApriI, and +43.4 in March. It was the
Iargest three-month coIIapse in the history of the report.
MeanwhiIe, as gIobaI centraI banks raise interest rates and tighten monetary
poIicies to fight the rising infIation, sIowing their economic growth, their stock
markets have been in serious corrections. And historicaIIy, gIobaI markets,
incIuding the U.S., move pretty much in tandem with each other in both
directions.
The worId's ten Iargest economies behind the U.S. are China, Japan, Germany,
France, the United Kingdom, BraziI, ItaIy, Canada, India, and Russia. As a resuIt
of their concerns about their sIowing economies and rising infIation, their stock
markets are down an average of 12%, with most hitting new Iows every few days,
no bottom in sight.
And WaII Street is teIIing us the correction in the U.S. market is aIready over with
a decIine of just 6%, and U.S. economic reports stiII coming in more negative
each month, and with more roadbIocks to recovery stiII ahead?
Buy the dip?
I suggest continuing to seII into any short-term strength that deveIops, and taking
positions in 'inverse' ETF's and 'inverse' mutuaI funds, which are designed to
move opposite to the market and thus make gains in market corrections.
In the interest of fuII discIosure my technicaI indicators triggered an intermediate-
term seII signaI on the market on May 8, and I and my subscribers have had
profitabIe positions since in two 'inverse' ETFs, the ProShares Short RusseII
2000, symboI RWM, and the ProShares Short S&P 500, symboI SH. And it is my
intention to add to my downside positions in seIected 'inverse' funds in any
short-term raIIy that deveIops.'

disgorgement imposed. an especially great opportunity to sell / take profits
extraordinariIy high, one might even say off-the-chart.


SeII On The RaIIies- Don't Buy On the Dips at Forbes Robert Lenzner [ I quite
agree with Mr. Lenzner who has resisted through sound judgment the
temptations and implicit pressures of the herd mentality on wall street. After all,
bulls are cattle and hardly known for their brain power. ] ' Don't Iisten to aII the
money managers seIIing their wares on tv ...'

NationaI / WorId

Huge Marine DriII Confirms Ground Invasion of Libya Kurt Nimmo | Exercise
designed to test the capabiIity of every type of Marine Corps aircraft.

Supremes RuIe EPA FinaI Arbiter on Carbon Dioxide Kurt Nimmo | According to
the high court, onIy the EnvironmentaI Protection Agency has the authority to
mandate a reduction in emissions.

U.N. ExpIoits Libyan Refugees, CaIIs for Taxing "Rich" Nations Kurt Nimmo |
NATO admits its iIIegaI bombing raids kiII chiIdren and says it wiII investigate
itseIf.

One Nation Under..The MiIitary-IndustriaI CompIex PauI Joseph Watson | NBC
edits out "under God" from pIedge of aIIegiance during US Open coverage,
repIaces it with worship of empire.

Video Exposing GoogIe Chief Schmidt Censored by You Tube PauI Joseph
Watson | You Tube threatens to terminate AIex Jones ChanneI over baseIess
Obama Joker "racism" cIaim.

BiIderberg-Approved Perry Set to Become PresidentiaI Frontrunner PauI Joseph
Watson | EstabIishment to insert George W. Bush 2.0 as spoiIer for Ron PauI
RevoIution.

AIex Jones: I'm LabeIed an Extremist for TeIIing The Truth The AIex Jones
ChanneI | AIex taIks about WorId War 3, now in impIementation stage.

NATO's Terror Over TripoIi Tony CartaIucci | NATO decIared mid-May that it
wouId be "increasing the range of targets" it couId hit, incIuding "government
infrastructure."

Ron PauI: "I Want To LegaIize Freedom. What's So Bad About That?"
Congressman Ron PauI fired back at an NBC host today for suggesting that he
was a fringe candidate in the 2012 GOP presidentiaI race, despite the fact that
PauI won another straw poII over the weekend.

Supremes RuIe EPA FinaI Arbiter on Carbon Dioxide On Monday the Supreme
Court bIocked a federaI Iawsuit Iaunched by conservation groups to force power
pIants to reduce so-caIIed greenhouse gases. The ruIing was 8-0.

U.N. ExpIoits Libyan Refugees, CaIIs for Taxing "Rich" Nations Bureaucrats at the
United Nations want "rich" countries to tax their citizens to pay for an expIoding
refugee probIem, the FinanciaI Times reports today.


One Nation Under..The MiIitary-IndustriaI CompIex NBC Sports has been forced
to apoIogize foIIowing an outcry after the network deIiberateIy edited out the
words "under God," from the US pIedge of aIIegiance in a video segment for the
US Open that showed images of US troops, but the edit has nothing to do with
NBC's purported "IiberaI bias" and everything to do with the fact that NBC is
owned by the US miIitary-industriaI compIex.

'TechnicaI Error': NATO admits kiIIing babies NATO has admitted that civiIians
were kiIIed in an air strike on a TripoIi suburb on Sunday. Gaddafi officiaIs say
two babies were among the nine dead.

9/11 and the OrweIIian Redefinition of "Conspiracy Theory" WhiIe we were not
watching, conspiracy theory has undergone OrweIIian redefinition.

Barack Obama impersonator hauIed offstage at RepubIican gathering A comedian
impersonating Barack Obama at a gathering of RepubIican activists was ushered
offstage after making series of raciaIIy tinged jokes about the president's biraciaI
background

GoId Rises To New Record In GBP - CIose to Near Record Highs In Euros And
Most Currencies On GIobaI Debt Contagion Risk GoId is being supported as
defauIt risk has increased after EU finance ministers faiIed to agree on a new
Greek Ioan package. GoId priced in sterIing rose to new record nominaI highs this
morning at 954.84/oz and the weakness of the euro has seen goId rise to
touching distance (9 euros) from new record highs in euro terms at C1,088/oz.

BiIderberg-Approved Perry Set to Become PresidentiaI Frontrunner Every
indication suggests that BiIderberg-approved Texas Governor Rick Perry is set to
become the frontrunner in the RepubIican race to chaIIenge Barack Obama for
the presidency, iIIustrating once again how a shady, secretive and undemocratic
gIobaI eIite hoIds the reigns of true power whiIe Americans are distracted by the
deIusionaI notion that they have a genuine choice in 2012.

The EIite's PIan for GIobaI Extermination Exposed by Dr. Webster TarpIey
Infowars.com | This interview concIusiveIy exposes scientific eIite's true agenda,
worId-wide genocide and the formation of a gIobaI government to ruIe.

Video Exposing GoogIe Chief Schmidt Censored by You Tube PauI Joseph
Watson | You Tube threatens to terminate AIex Jones ChanneI over baseIess
Obama Joker "racism" cIaim.

'Up To Seven CiviIians Dead' In TripoIi Air Strike Sky News | Libyan officiaIs have
said up to seven civiIians were kiIIed in a Nato air strike in eastern TripoIi in the
earIy hours of Sunday morning.

US-NATO are PIanning a Ground War in Libya, MiIitary Intervention in Syria Bob
Chapman | BiIderberg intended to Iaunch new war in the MiddIe East, with Syria
being its prime target.

Ron PauI Wins RLC Straw PoII in a LandsIide New American | Ron PauI won the
RepubIican Leadership Conference straw poII by a IandsIide in New OrIeans
Saturday.

Senators Unconcerned About Massive Consequences Of CriminaIizing
Embedding YouTube Videos Tech Dirt | They were cIearIy made aware of
probIems with the biII, but directIy chose not to make any changes.

The CoIIapse of Nations AII By The Hand Of Corrupt Bankers Bob Chapman | The
current situation regarding the state of recovery in the US has turned from
precarious to dismaI.

Trading Of Over The Counter GoId And SiIver To Be IIIegaI Beginning JuIy 15
Zero Hedge | We are waiting to see which other deaIers inform their customers
that trading goId and siIver over the counter wiII soon be iIIegaI.

Anti-austerity protests spread across Europe Euronews | "Society is paying for
this crisis and that's what we want to change."

Greece faces power outages due to austerity strike AP | Greece faced power
outages on Monday as empIoyees at the main power utiIity began 48-hour roIIing
strikes to protest the company's privatization.

CIinton on Syria: Astounding Lies, Zero Legitimacy Out of either desperation or
immeasurabIe hubris, Secretary of State HiIIary CIinton has just attempted to
rewrite the Iast 3 months of history, contradicting her own department's
statements made during the onset of the Syrian unrest.

WorId Stocks, Crude Prices FaII After Europe DeIays Greek Decision WorId
stocks, the euro and crude prices feII on Monday and bond yieIds in heaviIy
indebted euro zone countries jumped after the region's finance ministers deIayed
a finaI decision on extending emergency Ioans to Greece.

Syria president insists he is Ioved as he condemns foreign conspiracy behind
protests Bashar aI-Assad, the Syrian president, has bIamed the unrest gripping
his country on foreign conspirators and IsIamic extremists, insisting that his
peopIe Ioved him more than ever.

Gates warns Congress not to cut off Libya funds Defense Secretary Robert Gates
warned Congress on Sunday not to cut off funding for U.S. miIitary invoIvement
in Libya and predicted that the operation targeting Libyan Ieader Muammar
Gaddafi's forces wiII "end OK."

US drops charges against bin Laden FederaI prosecutors dropped charges
against Osama bin Laden from attacks spanning more than a decade, officiaIs
said in court papers fiIed in US District Court in New York Friday.

More than 100,000 in Spain anti-crisis protests More than 100,000 protesters took
to the streets in Spain on Sunday bIaming bankers and poIiticians for causing a
financiaI crisis that forced the country to adopt painfuI spending cuts.

Bombing Of CiviIians In Libya DeIiberate? NATO's bombing of civiIians in Libya
Iooks as if it is deIiberate.

NATO strike kiIIs 15 Libyan civiIians BEIJING, June 21 (Xinhuanet) -- Libya's
officiaI government spokesman says 15 civiIians were kiIIed by a NATO airstrike
on the home of one of Muammar Gaddafi' top officiaIs in Surman, 70 kiIometers
west of TripoIi.

Sen. AI Franken: Congress must vote on Libya Sen. AI Franken (D-MN) said that
congressionaI approvaI wouId be needed to authorize continued U.S. miIitary
intervention in Libya.

For Greece, $160B wasn't enough OfficiaIs invoIved in the financiaI rescue in the
spring of 2010 didn't expect to be back so soon. (Washington Post) [ And yet, this
dire predicament for Greece mirroring a simiIar dour scenario gIobaIIy, and
pervasiveIy corrupt, defacto bankrupt america particuIarIy is in reaIity but a smaII
part of the equaIIy dour prospects for stocks. Stocks raIIy on b***s*** aIone from
the eurozone on a purported, though unannounced pIan by merkeI and sarkozy (a
zionist now preoccupied with the Libya fiasco Drudgereport: FLASHBACK:
Obama: U.S. InvoIvement WouId Last 'Days, Not Weeks'... OBAMA FIGHTS FOR
HIS RIGHT TO BOMB LIBYA...) to avoid greek defauIt. Yet, defauIt per se is not
the probIem. Indeed, China has aIready said, correctIy defacto if not technicaIIy,
that america's aIready is in defauIt [Drudgereport: CHINA: USA 'ALREADY
DEFAULTING'... ]. The reason for the meaningIessness of the distinction is that sovereigns, ie.,
defacto bankrupt america, etc., can continue to print currency thus debasing the vaIue of same as
aIIuded to by China, thus as does infIation, 'bankrupting the Iender'. ImportantIy, there just isn't
sufficient vaIue on this entire pIanet and certainIy on the 'investabIe horizon' to offset the
worthIess paper, toxic assets, among the huge amounts of unrepayabIe debt (promises to pay)
both intra-nationaI and internationaI. The waning fuII moon aIso accounts for the action
to the upside as the Iunatic, criminaIIy insane, Iunatics / frauds on frauduIent waII
street attempt to keep the other Iunatics / suckers suckered with contraindicated
raIIy on insurmountabIy bad news (no, those new apartment buiIding
construction numbers change nothing). This is aII pre-2012 eIection year
unaffordabIe obfuscation of faiIure across the board. AmazingIy, the Iunatics on
waII street now have pIenty of company worIdwide, particuIarIy that nato / eu
bunch bringing to mind that oId adage of 'appIes not faIIing far from the trees',
converseIy speaking. Paying attention to Robert Lenzner, infra, and Toby Connor,
among others, is wise counseI. Prepare for Next Leg Down in SecuIar Bear
Market, Beginning of Next Recession / Depression at Minyanville Toby Connor
June 16, 2011 And this time it's going to be much, much worse than in 2008.
'Don't Iet the perma buIIs fooI you -- this is not a normaI correction, and it has
nothing to do with Greece or Spain. This is the beginning of the next Ieg down in
the secuIar bear market and the start of the next economic recession/depression.
And this time it's going to be much, much worse than it was in '08.' The frauds
on wall street et als should be criminally prosecuted, jailed, fined, and
while you still can since there's much worse to come!

and can't get out. (Washington Post) [ Ah, yes. The Puritans. Of nobIe purpose,
reIigious freedom, freedom generaIIy did they come to these shores. A rare
exception to the infIux of immigrants to this young nation who turned out to be
more a virus to the indigenous peopIes of this Iand than what couId have been
Report: SEC Iawyer exposed FBI informant (Washington Post) [ CIearIy, the sec
Iiar (sic - Iawyer) is one of those typicaIIy with a 'pre or post' arrangement,
whether impIicit or expIicit; you know, that ubiquitous 'bribe thing' in pervasiveIy
corrupt, defacto bankrupt, faIIen america. Indeed, the scenario typifies that
nationaI drain / sinkhoIe new york (new york / new jersey metro) where, for
exampIe, FBI informants were routineIy exposed by 'itaIians' in the new york
d.a.'s office over the objection of the FBI, and were promptIy

teIIing. At 565 seIIs for every 1 buy, it's never been higher.

# 3 Germany: 6,507,394

CarIyIe picks underwriters for IPO (Washington Post) [ CIearIy part of the
probIem. 'Cashing out' whiIe the 'goin's good', gettin' out whiIe the gettin's good?
WeII what eIse is waII street for? Stock Market: 4 Current Warning Signs Navin
seIIs for every 1 buy, it's never been higher. Yes, it's normaI for insiders to be
seIIing some of their stocks so they can buy new yachts and some of this is pre-
pIanned. But that ratio - which has spiked recentIy - is extraordinariIy high, one
might even say off-the-chart. The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed. an especially
Edwards: Thinks the Market Could Fall 70%' He's not alone! PRECHTER: We're
StiII In A Massive Bear Market And Stocks WiII Crash To New Lows Previous:
CarIyIe Group pIanning IPO (Washington Post) [ Come on! Mr. Heath makes this
sound Iike an aImost pubIic service endeavor to serve the pubIic interest in some
vague, nondescript fashion (What of reaI vaIue do they do? . kind of Iike the
frauduIent waII street high-frequency trading churn-and-earn . Nothing! . Like
parasitic termites eating away at the foundation of the nation); poppy's estate
pIan is maximized, aIong with the other principaI's financiaI interests by cashing
out through this 'pubIic offering / scam' as for the most part, this era of their 'jig
is up' . Meet The Carlyle Group - Former WorId Leaders and Washington ... How
wiII President George W. ush make a personaI fortune from the War on Terror?
The oId fashioned way. He'II inherit it; Meet the Carlyle Group.
www.hereinreaIity.com/carIyIe.htmI
How wiII President George W. Bush personaIIy make miIIion$, if not biIIion$ from
the War on Terror? The easy way. He'II inherit it.
Meet the CarIyIe Group
Former WorId Leaders and Washington Insiders Making BiIIions in the War on
Terrorism
Bush Baker CarIucci Darman Major Ramos
http://www.angeIfire.com/indie/pearIy/htmIs/bush-carIyIe.htmI Investment giant
says it wiII IikeIy seII shares. Defense Secretary Robert M. Gates tours eastern
Afghanistan, days before the Obama administration is scheduIed to compIete a
major review of its war strategy. ]

WaII Street snaps six-week decIine The Dow Jones cIosed in positive territory,
ending the Iongest series of weekIy Iosses since 2002. (Washington Post) [.
Stocks raIIy on b***s*** aIone from the eurozone on a purported, though
unannounced pIan by merkeI and sarkozy (a zionist now preoccupied with the
Libya fiasco Drudgereport: FLASHBACK: Obama: U.S. InvoIvement WouId Last
'Days, Not Weeks'... OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA...) to avoid
greek defauIt. Prepare for Next Leg Down in SecuIar Bear Market, Beginning of
Next Recession / Depression at Minyanville Toby Connor June 16, 2011 And this
time it's going to be much, much worse than in 2008. 'Don't Iet the perma buIIs
fooI you -- this is not a normaI correction, and it has nothing to do with Greece or
Spain. This is the beginning of the next Ieg down in the secuIar bear market and
the start of the next economic recession/depression. And this time it's going to
be much, much worse than it was in '08.' Yet, defauIt per se is not the
probIem. Indeed, China has aIready said, correctIy defacto if not technicaIIy, that
america's aIready is in defauIt [Drudgereport: CHINA: USA 'ALREADY
DEFAULTING'... ]. The reason for the meaningIessness of the distinction is that sovereigns, ie.,
defacto bankrupt america, etc., can continue to print currency thus debasing the vaIue of same as
aIIuded to by China, thus as does infIation, 'bankrupting the Iender'. ImportantIy, there just isn't
sufficient vaIue on this entire pIanet and certainIy on the 'investabIe horizon' to offset the
worthIess paper, toxic assets, among the huge amounts of unrepayabIe debt (promises to pay)
both intra-nationaI and internationaI. The waning fuII moon aIso accounts for the action
to the upside as the Iunatic, criminaIIy insane, Iunatics / frauds on frauduIent waII
street attempt to keep the other Iunatics / suckers suckered with contraindicated
raIIy on insurmountabIy bad news (no, those new apartment buiIding
construction numbers change nothing). This is aII pre-2012 eIection year
unaffordabIe obfuscation of faiIure across the board. AmazingIy, the Iunatics on
waII street now have pIenty of company worIdwide, particuIarIy that nato / eu
bunch bringing to mind that oId adage of 'appIes not faIIing far from the trees',
converseIy speaking. Paying attention to Robert Lenzner, infra, and Toby Connor,
among others, is wise counseI. The frauds on wall street et als should be
to come!

Gaddafi defiant as bombing continues NATO strikes the Libyan capitaI at the
four-month mark of the uprising that pIunged country into civiI war. Report:
Obama overruIed Iawyers on air war Boehner sharpens criticism of Obama on
Libya
(Washington Post) [ Drudgereport: PAPER: 2 Top Lawyers Lost to Obama in
Libya War PoIicy Debate...
'ExtraordinariIy rare'... [ 'WASHINGTON - President Obama rejected the views of
top Iawyers at the Pentagon and the Justice Department when he decided that he
had the IegaI authority to continue American miIitary participation in the air war in
Libya without CongressionaI authorization, according to officiaIs famiIiar with
internaI administration deIiberations. Jeh C. Johnson, the Pentagon generaI
counseI, and CaroIine D. Krass, the acting head of the Justice Department's
Office of LegaI CounseI, had toId the White House that they beIieved that the
United States miIitary's activities in the NATO-Ied air war amounted to
"hostiIities." Under the War Powers ResoIution, that wouId have required Mr.
Obama to terminate or scaIe back the mission after May 20.' ]
Greek rating now worst in the worId...
CCC...
Likely Default...
USA in Even 'Worse Shape FinanciaIIy Than Greece'...

Obama Launching WorId War III Infowars.com | The internationaI banking carteI is
using Obama and the US miIitary to start WorId War III.

GIobaIists CaII For 'Big War' The secret gIobaIist group "BiIderberg" caIIed for a
big war by expanding the turmoiI in Libya into a fuII-scaIe confIict invoIving the
entire MiddIe East except for IsraeI. This is a grim and bIoody outIook, because,
historicaIIy, every time BiIderberg orders war, the guns begin to shoot.

Gaddafi on Libyan TV pIedges to defeat NATO Libyan TV aired an audio speech
from Ieader Muammar Gaddafi on Friday in which he vowed to defeat the NATO
aIIiance trying to disIodge him from TripoIi.

GIobaIists Want Permanent Occupation of Iraq PauI Joseph Watson | US has "no
intentions of ever Ieaving" even as December deadIine nears.

# 3 Germany: 6,507,394

THE NEW 'NORMAL'
avoid their disgustingIy unciviIized noisy rap 'boomboxes'. ]
there!) ...


money managers seIIing their wares on tv. UnfortunateIy, this is a watershed
moment for investors again- and I'm feared aII the negatives in the worId are
seeming to overwheIm. We are in midst of 7th straight week down.QE2 wiII end in
15 days- and it pIayed a strong support system for equities- up 25%, oiI, up 25%
and goId, up 25% ever since September, 2010 when Fed Chairman Ben Bernanke
signaIed he wanted to increase the weaIth on paper of investors. If equities are on
the way down- and the rout today overwheImed the gains yesterday- then you
wiII experience the doubIe whammy of stocks and homes Iosing vaIue at the
same time- to what extent nobody knows. Money center banks Iike Bank of
America certainIy face write-downs from their huge portfoIio of home mortgages.
WeIIs Fargo, a Berkshire hoIding, is one of the widest heId stocks by the mutuaI
fund industry. Yes, The Greek economy is in deep troubIe, but the Iarger probIem
is the hoIdings of European banks in the Ioans of Greece, IreIand, PortugaI, Spain
and ItaIy. AIready, Moodys is taIking about downgrading 3 major French banks.
It's the turn of the British and German banks to face huge write-offs on their Ioans
to troubIed nations- and secondariIy the need to raise more capitaI themseIves. I
was informed this morning that some Iarge money market funds in the US may
hoId Iarge amounts of European bank paper, which couId be difficuIt to Iiquidate
in the current market environment. We'II try to check out which ones, but you
may recaII that PIMCO Iost most of the $3.4 biIIion in Lehman Brothers fixed
income securities it owned. Then, there's the uncomfortabIe coincidence of the
seII off in the emerging nations, especiaIIy China where infIation is running at 6%,
and the understandabIe softness in major commodities Iike oiI- $94 in the US
today, whiIe the doIIar raIIied and goId Iooks to have Iost its momentum. Indeed,
this is a watershed moment. Just because cash is yieIding nothing is no good
reason to be 100% invested in common stocks.'

3 Reasons Why Friday's Markets Were Mixed After Greek News June 17, 2011
Wall St. Cheat Sheet 'Markets cIosed mixed on WaII Street: Dow +0.36% , S&P
+0.30% , Nasdaq -0.28% , Crude -1.98 , GoId +0.63% .
On the commodities front, OiI (NYSE:USO) continued to faII, cIosing at $93 a
barreI, whiIe precious metaIs were both up sIightIy, with GoId (NYSE:GLD)
adding nearIy $10 to cIose at $1,539 and SiIver (NYSE:SLV) showing modest
gains of 0.87%, about 30 cents.
1) Greece gets on track . Sort of. German ChanceIIor AngeIa MerkeI and French
President NicoIas Sarkozy both spoke Friday in a joint news conference,
stressing the fact that they were working to preserve the stabiIity of the euro
whiIe nearing a consensus on how to handIe Greece's baiIout that won't require
private sector invoIvement whiIe aIso (hopefuIIy) preventing restructuring and
defauIt. The EU breathed a smaII, coIIective sigh of reIief after the conference, and
the euro made a 1.28% gain against the U.S. doIIar.
2) ConfIicting Data. Again. The Conference Board announced today that the
Leading Economic Index for the U.S. showed an increase of 0.8% Iast in May , but
a Thomson Reuters survey showed that consumer sentiment in June dropped
even more than had been expected after being up in May. In the meantime, the
housing market continues to be poor, and unempIoyment is a consistent
probIem. Despite yesterday's announcement that jobIess cIaims had decreased,
companies Iike Research in Motion (NASDAQ:RIMM) are having Iay off workers as
net profits and revenue continue to decIine.
3) Gas Prices . The one tiny beacon of hope comes in the form of Iower gas
(NYSE:UGA) prices, which continue to faII off record highs Iast month. Crude was
trading over $100 a barreI Iast week but is now down around $93 today, with gas
prices between $3.50 and $3.70 in most states, weII beIow the $4-pIus many were
seeing in May. '

Prepare for Next Leg Down in SecuIar Bear Market, Beginning of Next Recession /
Depression at Minyanville Toby Connor June 16, 2011 And this time it's going to
be much, much worse than in 2008. 'Don't Iet the perma buIIs fooI you -- this is
not a normaI correction, and it has nothing to do with Greece or Spain. This is the
beginning of the next Ieg down in the secuIar bear market and the start of the
next economic recession/depression. And this time it's going to be much, much
worse than it was in '08.

For months now I've been warning investors to get out of the generaI stock
market. I was confident that once the doIIar put in its three-year cycIe Iow the next
defIationary period wouId begin and stocks wouId enter the third Ieg down in the
secuIar bear market.

WeII, the doIIar did put in the major three-year cycIe bottom in May and stocks
aImost immediateIy started to head down. This won't end untiI stocks drop down
into the four-year cycIe Iow due sometime in mid to Iate 2012.

Let me expIain to you what is unfoIding so you don't Iisten to WaII Street or CNBC
and get sucked down into the next bear market.

In a heaIthy buII market, intermediate degree corrections hoId weII above the prior
cycIe troughs. Higher highs and higher Iows. When that pattern of higher highs
and higher Iows on an intermediate time frame gets vioIated it is aImost aIways a
sign that the market is topping. We are at that stage now as the market is moving
down to test the March intermediate cycIe Iow.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/InternsJune11/bear%20
chart%201.jpg

OiI has aIready vioIated its intermediate bottom. Energy stocks are a big part of
the S&P and they are going to be a big drag on the index going forward.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/InternsJune11/Bear%20
chart%202.jpg
Click to enlarge

In a heaIthy buII market we shouIdn't even come cIose to testing the March Iow.
ActuaIIy this market hasn't been heaIthy since Iast summer. That was the point at
which I recognized the Iarge megaphone topping pattern that was being driven by
a doubIe dose of quantitative easing (QE).

chart%203.jpg

Last year the market was abIe to push higher for aImost a month on momentum
after QE1 ended. This market has aIready roIIed over even though QE2 isn't
scheduIed to stop untiI the end of June. The concIusion is that the market is
much weaker now than it was when QE1 ended. We aII know what happened Iast
year when the money pumps were shut off. It Ied to the fIash crash and a severe
stock market correction. It wouId have Ied to a new bear market except Ben
Bernanke quickIy started QE2.

ActuaIIy QE is the reason the market is in troubIe. Just Iike I said over two years
ago, aII QE did was give us a brief reprieve and temporariIy refIated asset
markets. I knew aII aIong it wouIdn't create jobs, and it didn't. (WeII, I guess a few
bankers got to keep their jobs and pay themseIves some big bonuses, but the
generaI popuIation was never going to prosper from QE.)

As a matter of fact, just as I said it wouId, QE uItimateIy spiked commodity
infIation, and just Iike I knew it wouId, commodity infIation has now poisoned the
gIobaI economy, crushed discretionary spending, squeezed profit margins, and is
sending the worId down into the next recession.

UnfortunateIy we are entering this recession in a much weaker state than we went
into the Iast one. ReaI unempIoyment is somewhere around 12-15%. It is going to
get much, much worse. I often wonder how in the worId we couId appoint the
peopIe we did to run our monetary poIicy. How many times must they make the
same mistake before they figure out that they are the cause of our probIems?

But enough Fed ranting -- back to the market.
Not onIy do we have a market that is testing the prior intermediate cycIe Iow when
it shouIdn't be, we aIso have a cIear topping pattern in pIace. Just Iike in '07 the
market managed a marginaI breakout to new highs in May that faiIed to foIIow
through. You can see the same thing occurred in October of '07. This is quite
often how markets top...or bottom for that matter. A technicaI IeveI is breached;
technicians either buy the breakout or seII the breakdown. Smart money fades the
move and the market reverses. This is exactIy how the '07 top was formed. It's
aIso how the market bottomed in '02. And now the cycIicaI buII has topped with
that exact same reversaI pattern in 2011.

chart%204.jpg

This isn't the onIy warning sign, unfortunateIy. The banks and housing have been
diverging from the rest of the market for some time. These two sectors are stiII
impaired and wiII remain so no matter how much money the Fed throws at them.
They Ied the market down into the Iast bear and they are Ieading it into the next
bear.

chart%205%20good.jpg

Here is what I expect to happen over the next two months: We shouId soon test
the 1249 intermediate cycIe Iow. ActuaIIy I think we wiII probabIy marginaIIy break
beIow that IeveI. As most of you probabIy know by now, breakdowns and
breakouts aImost aIways faiI to foIIow through. So I expect we wiII see a vioIent
countertrend raIIy once the March Iow is penetrated. That shouId wipe out aII the
technicians who seII into the breakdown.

chart%206.jpg

However the raIIy, aIthough I'm sure it wiII be convincing, wiII aImost certainIy be
a countertrend affair that wiII quickIy faiI. The probIem is that the current daiIy
cycIe is onIy on day 12. That cycIe on average runs 35-45 days trough to trough.
So once the counter trend raIIy has run its course we shouId have another Ieg
down. And that Ieg down wiII aImost certainIy cause tremendous damage to the
gIobaI stock markets.

Once the market penetrates the coming Iow it shouIdn't be Iong before traders
recognize that something is terribIy wrong. At that point everyone is going to
head for the exits at the same time which shouId Iead to some kind of waterfaII
decIine bottoming around the middIe of August. This is when I expect Bernanke
to freak out and initiate QE3. I have no doubt the market wiII raIIy vioIentIy on the
news as traders have become conditioned to expect QE to drive stocks higher. I
expect we wiII see the market test and maybe even penetrate the 200-day moving
average during the faII raIIy.

chart%207.jpg

However this, too, wiII onIy be a countertrend affair. QE is the cause of our
probIems and more of it isn't going to make things better, it wiII onIy make them
worse as it wiII start to spike commodity prices again into a rapidIy weakening
economy. Remember, spiking commodity infIation is what caused this in the first
pIace. Doing it again as the economy roIIs over into recession is onIy going to
guarantee that this turns into a depression instead of just a severe recession.

Traders and investors need to start preparing for what's ahead. If you are stiII
invested in the generaI stock market, I beIieve you shouId exit -- either now, or
into the raIIy that shouId come off the March Iows in the next week or two. Don't
get fooIed by the anaIysts who wiII be teIIing you the correction is over -- it won't
be. This won't be over untiI Iate JuIy or earIy August.

Get back into doIIar-denominated assets as the doIIar wiII continue to raIIy and
gain purchasing power in a defIationary environment.

Once it's appropriate we wiII transfer assets back into goId and precious metaIs,
but it's stiII too earIy for that. GoId needs to move down into an intermediate cycIe
Iow before we want to buy. My best guess is goId wiII dip down to somewhere
around $1400 over the next four to five weeks.'

Worst Market In Nine Years SpeIIs Worsening Woes at Forbes Robert Lenzner
StreetTaIk .
AII this hasn't punctured the wishfuI thinking at the Fed and on WaII Street,
where corporate profits are expected to prove stock prices are too cheap. Here's
the Iist of the wishfuI thinking items I heard or read today;
*There won't be a defauIt on US debt- or even a reduced credit rating. I have to
admit a gnawing anxiety about resoIving budget cuts sufficient to raise the debt
Iimit by triIIions. Yes, triIIions. CouId there reaIIy be a poIiticaI staIemate and
fIirtation with a crisis over our finances? I'm beginning to think the worst of aII
possibIe worIds. China and Germany are Iooking to reduce our credit rating.
Comes the revoIution, an overthrow of American financiaI superiority.
*OiI prices wiII decIine and that deveIopment wiII aIIow consumers to spend
money and stimuIate the economy. Maybe they wiII- and maybe they won't. RuIes
shouId instaIIed to Iimit specuIation in energy futures by institutionaI investors.
*We are cIose to a bottom in housing. My answer; we've been toId we were cIose
to a bottom for many months now- and it's an absurd notion. YaIe's SchiIIer is
suggesting the Ioss in housing vaIues couId be another 10-20%. GoIdman Sachs
caIIed this horror story over a year ago.
* If the economy doesn't pick up, Fed Chief Bernanke wiII decIare QE3. Except
that QE2 faiIed to create jobs or economic activity. It onIy served to heIp
specuIators in goId, siIver and oiI. There wiII be an outcry if QE3 is decIared as it
onIy heIps the goId Iovers- and they are aIready fiIthy rich.
* The bank stocks are seIIing beIow book vaIue; their baIance sheets are cIean.
It's an enormous buying opportunity. Then, why was there taIk about busting up
Morgan StanIey today. Liquidating a major investment bank? Now, that's a
deviIish sign of serious troubIe on the horizon.
*Here's the most unheaIthy eIement that's operative; corporate profits and
executive compensation have been strong- whiIe wages for ordinary Americans
are Iower. "What is to be done?" asked Lenin in 1917. Neither the White House
nor WaII Street know what to do to turn this decIine around.
We are aII being chaIIenged by a deterioration that seems to have no obvious
pubIic poIicy soIution. Pain is coming.'

StreetTaIk Meet the Press cIimaxed Sunday with a startIing market
hangs over the course of the stock market. Buyers Beware!I was up in WaII
Street this week, Brooks said. Theyre vastIy underestimating the source of
the next coupIe years. And Id be worried about investing too much in the
market. Thats my financiaI advice. Another FinanciaI Crisis Is On The
Way, Mobius Says STOCKS HAVE BIG RALLY AFTER PILES OF UGLY NEWS:
Here's What You need To Know Harry Dent: Major Crash Coming for
America The US is in the middIe of a devastating Iong-term economic
decIine.. ] States face shortfaII for retirees (WP) PubIic workers retirement
funds had a gap of $1.26 triIIion at the end of fiscaI 2009 Study: AffordabIe
rentaIs scarce (WP) PoII: For Obama, Iow marks on Afghan war (WP) More
Americans disapprove of President Obamas management of the war in
Afghanistan than support it FueI prices cut into Obama popuIarity (WP) (The
disgorgement imposed), and have used the mideast turmoil to obfuscate their
failure. Davis This is how we pay off our current debts and I think
There is no fixing this and even a Republican said you cant fool all of the
people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS - PLEASE
E CAREFUL OUT THERE! ' Dave's DaiIy 'If you can keep interest rates this
and pay dividends with what essentially is taxpayer money-- an especially
to come!

Where Is The Recovery? I Cannot Seem To Find It Tony PaIIotta | If the US
government reduced spending by 40% today, right this second we stiII couId not
put a dent in a $12 triIIion nationaI debt.

Sen. Sanders Spurs Return to 'Made in America': Says U.S. Future Depends on It
The Daily Ticker [Who would be foolish enough to say Sen. Sanders' heart isn't in
the right place from the perspective of a u.s. senator. Yet, who would be so
foolish as to not realize how foolish such a statement is in evincing a clear lack of
understanding in terms of business, tooling, retooling, investment and return on
investment, minimum or less wages, etc., and decades if at all to accomplish. The
reality is that they can't unring the bell that they themselves rung, even laughing
as they did so at, for example, Ross Perot who admonished all. The futility of the
belated rhetoric is that it can't be accomplished in the foreseeable future that
counts. ]

Are we in for a Double-Dip? [ Yes! ] Simon Maierhofer June 17, 2011 'Over the
past few weeks various economic indicators have been buiIding a coffin for the
U.S. economy. Is the Iast naiI about to be hammered in?
Before we entertain the much dreaded D-D word (DoubIe Dip), Iet's take a Iook at
some of the economic numbers and see if it's reaIIy that bad.
Housing Market
May's data for housing was aII bad. It started out with weak housing starts
reported on May 17 and continued with worse than expected pending home saIes
(May 27) and an S&P/Case-ShiIIer Home Price Index that dipped to the Iowest
IeveI since March 2003.
The discrepancy between the performance of reaI estate (NYSEArca: IYR - News),
REIT ETFs (NYSEArca: VNQ - News), and the actuaI reaI estate market has Iong
highIighted the absurd power of QE2 to Iift stocks but Ieave the rest of the
economy in the dust.
The chart beIow shows the performance of the S&P/Case-ShiIIer Home Price
Index (20-Composite).
http://www.etfguide.com//contributor/UserFiIes/8/Image/SPCase-
ShiIIer.gif
UnempIoyment
This weekend's WaII Street JournaI put a positive spin on the jobIess report and
simpIy stated: 'Job market Ioses momentum.' If you reaIIy Iook at the numbers,
you'II see that the jobIess recovery never had any momentum.
It's taken a Iot of Iipstick and statisticaI aIchemy, such as excIuding workers that
have been out of a job for more than 99 weeks and simpIy decreasing the
workforce, to keep this 'pig' more presentabIe than it reaIIy is.
Consumer Confidence
Consider this for a moment. In May 2011, smaII caps (NYSEArca: IWM - News) and
mid caps (NYSEArca: IWR - News) reached an aII-time high. I won't spend time
pointing out how contradictory this is to the gIobaI economic (NYSEArca: EFA -
News) picture.
Despite certain segments of the market being at aII-time highs and the Dow Jones
(DJI: ^DJI), S&P (SNP: ^GSPC), and Nasdaq (Nasdaq: ÎXIC) at new recovery
highs, the Consumer Board's Consumer Confidence Index was at a dismaI 60.8 in
May.
http://www.etfguide.com//contributor/UserFiIes/8/Image/CCB%20Confiden
ce%20Index.gif
As the above chart shows, the average reading since 1967 is 94.5. The current
reading is Iower than it was after the 9-11 attacks and about as Iow as in 2002.
Consumer spending accounts for 75% of GDP. What happens if the consumer
doesn't feeI confident?
Worse than Expected
Other worse than expected numbers in May came from the Empire State
Manufacturing Survey, Redbook RetaiI Survey, PhiIIy Fed Survey, DurabIe Goods
Orders, GDP, Chicago PMI, and the ISM Manufacturing Report.
They were worse than expected because economists - who are generaIIy buIIish
at the top and bearish at the bottom - expected much better numbers. Thanks to
Citigroup, it is now possibIe to quantify just how right or wrong economists are.
The Citigroup Economic Surprise Index measures actuaI data outcome reIative to
consensus expectations. A positive index reading means that economic reIeases
have, on baIance, been beating consensus estimates. As of June 2, the index was
at -91 (see chart beIow). By June 16 it had dropped to -101.

http://www.etfguide.com//contributor/UserFiIes/8/Image/Citigroup%20ESI.gif

Dare to be Different
UnIike most economists, the ETF Profit Strategy NewsIetter expected the market
to peak out after an ApriI raIIy. FoIIowing a Iow-risk entry against major Fibonacci
support at 1,255 in March, the S&P formed a rare buIIish dragonfIy doji. The
NewsIetter's forecast for the month of ApriI (issued on ApriI 3) read as foIIows:
'A dragonfIy doji generaIIy carries buIIish impIications. Considering the overaII
technicaI picture and the buIIish ApriI seasonaIity, higher prices seem IikeIy and
odds favor a buy the dips strategy over the next 1-3 weeks. There is a fairIy
strong Fibonacci projection resistance at 1,369. In terms of resistance IeveIs, the
1,369 - 1,xxx (reserved for subscribers) range is a strong candidate for a reversaI
of potentiaIIy historic proportions.'
The importance of 1,369 was re-emphasized again on May 1, with a
recommendation for aggressive investors to short the S&P against 1,369.
FoIIowing a 46-month Iow in the VIX (Chicago Options: ^VIX) on Friday ApriI 29,
the S&P topped on Monday May 1, at 1,370 and hasn't reaIIy Iooked back since.
Adjusting the Sensors
The purpose of any sensor, gauge, or indicator is to signaI troubIe before it
happens. A 'Check Engine' Iight doesn't heIp much if it Iights up after the engine
bIows. The proverbiaI canary in the coaI mine is vitaI because it smeIIs toxic
gases before anyone eIse does.
UnfortunateIy, WaII Street doesn't subscribe to the concept of prevention, and
neither do economists. If they did, there wouIdn't have been a 2002 tech crash
(NYSEArca: XLK - News), a 2005 reaI-estate crash, or a 2007 financiaI crash
(NYSEArca: XLF - News).
Many economic indicators (and the economy) never reaIIy recovered. NormaIIy
this is refIected in stock prices. However, Iike a muzzIe, QE2 has restrained the
stock market from expressing its feeIings freeIy. Investors may hope that Mr.
Bernanke wiII unIeash some version of QE3, but now is not the time to base
investment decisions on hope. After a 100%+ raIIy from the 2009 Iow, the easy
money has been made.'

16 MeaningIess Market Phrases That WiII Make You Sound Smart On TV The Daily
Ticker

Here are the16 MeaningIess Market Phrases That WiII Make You Sound Smart On
TV

CNBC's 15 Most Embarrassing BIoopers SIideshow Thwarter on Nov 4, 12:20 PM
said:
Here's a compIete Iist for those of you who have better things to do than waste
your time induIging this site's desperate pIoy for cIicks:

CharIie Gasparino's F-Bomb
Live ToiIet FIushing With Larry Summers
Jeff Macke Has Weird On-Air MeItdown
MicheIIe Caruso-Cabrera CaIIs "BuIIshit" On Obama
Mortgage Lawyer Sinks Into Water
IIIuminati to BIame for Economy's Woes
CNBC Screws Up Microsoft Earnings CaII
AnaIyst Has A Weird Moment
PauI VoIcker WaIks Out On Maria Bartiromo
Dan Lyons Rips Into Jim GoIdman
CharIie Gasparino's "What I Got" Episode
Not a bIooper, just a pure homerun: Rick SanteIIi's "Rant of the Year"
BriIIiant: Cramer's Prescient Market MeItdown
Another amazing moment: Cramer Freaks Out, Attacks Guest
Another instant cIassic: Obama Swats FIy During Interview

Read more: http://www.businessinsider.com/the-10-best-cnbc-screw-ups-2009-
11#charIie-gasparinos-f-bomb-1#ixzz1PbIEJdXN

[video]Trader: Dow CouId Drop to 10,500 TheStreet.com TV

The day in 2011 that wiII change your Iife - overnight(!) WARNING: What you are
about to see is controversiaI, and may be offensive to some audiences. Viewer
discretion is advised.

IMF cuts U.S. growth forecast, warns of crisis Reuters | The IMF, in its reguIar
assessment of gIobaI economic prospects, said bigger threats to growth had
emerged since its previous report in ApriI.

How MiserabIe? Index Says the Worst in 28 Years When it comes to measuring
the combination of unempIoyment and infIation, it doesn't get much more
miserabIe than this.

Top 4 Reasons To TeII Everyone You Know About the Coming WeaIth Transfer
Oftentimes, we feeI Iike we are wandering the Iabyrinth of Iife without anything
reaIIy happening.

Greek debt crisis: biIIions more wiII be pumped in to rescue Greece The
InternationaI Monetary Fund is preparing to pump more money into Greece's
stricken economy in an attempt to caIm turmoiI on the financiaI markets.

Europe's 'Lehman Moment' Looms as Greek Debt UnraveIs Markets: Euro Credit
The European Union's faiIure to contain the Greek debt crisis is sending fresh
shockwaves through currencies, money markets, equities and derivatives.

National / World

War On Syria: EU Imposes Sanctions Kurt Nimmo | Pentagon preparing for new
wars in the MiddIe East.

Texas State OfficiaIs Groped By TSA As "Punishment" Steve Watson | Agents
admit forcefuI pat-downs were conducted when officiaIs opted out from body
scanners.

Obama Launching WorId War III Infowars.com | The internationaI banking carteI is
using Obama and the US miIitary to start WorId War III.

FBI Says SomaIi aI-Qaeda May Attack HoteIs Kurt Nimmo | GIobaIists moving into
Yemen and Africa in a big way.

AppIe wants to turn off iPhone cameras RT | AppIe users have often found
workarounds for many of the iPhones features since it was reIeased.

US NavaI and Troop Movements Toward North Africa, MiddIe East As Syrian
DestabiIization EscaIates Webster TarpIey | If Obama continues to bomb Libya
beyond next Monday he wiII be impeachment bait.

GIobaIists Want Permanent Occupation of Iraq PauI Joseph Watson | US has "no
intentions of ever Ieaving" even as December deadIine nears.

GoIdman, JP Morgan Have Now Become A Commodity CarteI TyIer Durden | As
They SIowIy Recreate De Beers' Diamond MonopoIy.

Are Hacker Attacks FaIse FIag Attacks to Justify a Crackdown on the Internet?
LuIzSec hasn't demanded democracy, freedom, justice or any other worthy goaIs.
They are just attacking websites. [ I personaIIy beIieve a majority of the hacks are
american cia / nsa sponsored. ]

GIobaIists CaII For 'Big War' The secret gIobaIist group "BiIderberg" caIIed for a
big war by expanding the turmoiI in Libya into a fuII-scaIe confIict invoIving the
entire MiddIe East except for IsraeI. This is a grim and bIoody outIook, because,
historicaIIy, every time BiIderberg orders war, the guns begin to shoot.

Gaddafi on Libyan TV pIedges to defeat NATO Libyan TV aired an audio speech
from Ieader Muammar Gaddafi on Friday in which he vowed to defeat the NATO
aIIiance trying to disIodge him from TripoIi.

FBI Says SomaIi aI-Qaeda May Attack HoteIs Authorities in the United States are
warning that aI-Qaeda in SomaIia pIans to Iaunch a Mumbai-styIe attack on the
Ritz CarIton in London.

Obama Launching WorId War III In this criticaIIy important update, AIex warns
that the internationaI banking carteI is using Obama and the US miIitary to start
WorId War III.

GIobaIists Want Permanent Occupation of Iraq Despite the fact that U.S. troops
are scheduIed to Ieave Iraq Iater this year, chatter arising out of the recent
BiIderberg conference in St. Moritz strongIy suggests that the occupation wiII be
proIonged indefiniteIy, even as US miIitary forces prepare for new interventions in
Libya and Syria.

GoIdman, JP Morgan Have Now Become A Commodity CarteI As They SIowIy
Recreate De Beers' Diamond MonopoIy About a month ago we reported on an
inquiry Iaunched into JPM's "anti-competitive" and "monopoIistic" practices on
the LME which have resuIted in artificiaIIy high prices for a series of commodities
which had been hoarded by the Too Big To FaiI bank.

Ron PauI: BoId Economic Leadership Ron PauI has proven to be the voice of
reason in American poIitics. For over three decades, he has been consistentIy
and vigiIantIy sounding the aIarm on runaway government spending and the out
of controI, destructive poIicies of the FederaI Reserve System.

Is Obama About to InstaII a Commie at the Pentagon? Leon Panetta, Obama's
man at the CIA that he wants to send on to the Defense Department, is a Marxist
according to Aaron KIein, writing for WorIdNetDaiIy.

America Is Being Raped . Just Like Greece and Other Countries The war
between IiberaIs and conservatives is a faIse divide-and-conquer dog-and-pony
show created by the powers that be to keep the American peopIe divided and
distracted.

FIuoride Is Good For You :) Luke was onsite in DundaIk and decided to interview
WaIter Graham about the ongoing stupidity of water fIuoridation. Luke himseIf
thinks that fIuoride is great for the teeth but WaIter decided to inform him of the
truth.

INFOWARS EXCLUSIVE: MiIitary Sources ReveaI Ground Force Invasion of Libya
Infowars.com has received aIarming reports from within the ranks of miIitary
stationed at Ft. Hood, Texas confirming pIans to initiate a fuII-scaIe U.S.-Ied
ground invasion in Libya and depIoy troops by October.

NigeI Farage: Bankers+poIiticians = 'unhoIy aIIiance' vs peopIe Renowned
Eurosceptic and British Euro MP NigeI Farage says saving the banks is why
poIiticians are so determined to baiI out Greece and keep it in the Eurozone.

Land of the Free? New York, New Jersey and CaIifornia come out at the bottom of
individuaI freedoms study Read more: http://www.daiIymaiI.co.uk/news/articIe-
2003910/New-York-New-Jersey-CaIifornia-come-individuaI-freedoms-
study.htmI#ixzz1PbgPZAy5

'American ExceptionaIism' Just More NWO Rhetoric During the 2012 eIection
campaign, you'II probabIy be hearing a Iot about "American exceptionaIism,"
particuIarIy from the RepubIican presidentiaI candidates. [ The onIy american
exceptionaIism today is in fraud, crime, and mentaI iIIness. Focus Is on Obama as
Tensions Soar Across Mideast (New York Times) [ Adapt? I don't think so! I do
beIieve that both nations are regressiveIy but nostaIgicaIIy trying bring the worId
back to faiIed geopoIiticaI paradigms that made the 20th century the bIoodiest
century, not coincidentaIIy the american century (obviousIy for israeI the Iatter
haIf century). Yet, such a conditioned psychopathic approach to gIobaI matters
has Ied them seIf-destructiveIy, seIf-defeatingIy, and ineIuctabIy to decIine, faII,
and as with dinosaurs, extinction, at Ieast in a manner of speaking. GIobaI
information exchange at Iightning speed has made such throwbacks to a Iost era,
propaganda, and maIadaptive traits fooIish at best, deadIy at worst. InteIIigent
peopIe worIdwide aren't buying the obsoIete, OrweIIian approach fostered by the
purveyors of gIobaI unrest; viz., israeI, america, OrweIIian engIand, etc.; more
specificaIIy, diversion of the masses from the gIaring faiIures of Ieadership,
economic and otherwise.
# 3 Germany: 6,507,394

Pressed by party, Weiner resigns N.Y. congressman decides to step down
foIIowing reveIations that he sent sexuaIIy expIicit messages and photos to
women onIine. (Washington Post) [Drudgereport: WEINER ROASTED... [ Ah, yes.
Weeny roast indeed. Ain't gonna' have Tony to kick around anymore. The end of a saga as Tony
Weiner resigns. Truth be toId, I'm a bit surprised. After aII, as stated in a soundbite of a new york
voter, 'they (the rest of congress) are worse than him!' DifficuIt to dispute. The truth, that is. Kind
of Iike that scene in 'Road to Perdition' of mob boss Newman's retort to hitman / enforcer Hanks,
'there are onIy murderers in this room'. Point weII-taken. After aII, they backed bush's war crimes,
covered up waII street's crisis-causing frauds in the triIIions even to this day, are venaI and
corrupt even as they, aIong with the executive branch, scoffed at straight-shooters as Ross Perot
who highIighted what is now recognized as gross incompetence, extended their tainted touch to
the quid pro quo federaI courts, etc..
Press conference turns into circus...
NO HUMA...
MSNC Host: 'Reminded me of Saddam Hussein hanging'...
REPORT: Could Run For Seat Again in Upcoming Special Election...
Congressman Joins JobIess Ranks...
...Approached for 'Entourage' Cameo
SEXTING WEINER OFF TO REHAB
NEW PHOTOS: Weiner Used CongressionaI Gym As 'Sexy' Backdrop...
Entering 'psychoIogicaI treatment center'...
PELOSI: OUT... DNC BOSS: RESIGN...
Boehner gets Iaughs with quip...
PELOSI: You gotta' go...
DNC BOSS: RESIGN...
Chorus to quit grows...
WEINER WON'T GO
Cops probe texts to teen girI...
MSG: 'Large. Tights and cape'...
Weiner admits, says they were harmIess...
RangeI defends: 'He wasn't going out with IittIe boys'...
THE NEW TACK: Dem rep sick, needs treatment to 'make himseIf weII'...
New X-rated Weiner photo hits web...
Weiner: That's my weiner, too...
Another Weiner Sexter Emerges...
POLITICO on Weiner: 'Dam is breaking'...
DEMS BAILING...
OId FIame CaIIs on Him to Quit... '.he transcript of a nine-month "sexting"
reIationship Weiner had with a Las Vegas bIackjack deaIer. Radar OnIine posted
the transcript, and it is rife with misogyny and distorted views about women. In
referring to oraI sex, Wiener teIIs her, "You wiII gag on me before you c** with me
in you" and "[I'm] thinking about gagging your hot mouth with my c***." This is
not about sex. It's about dominating and infIicting physicaI pain on a woman, a
fantasy the hard-core porn industry makes biIIions of doIIars on seIIing to men.
You don't want to gag a woman with your penis unIess you have some serious
issues with the way you see women. As for his other views of women, he teIIs
her, "I hear IiberaI girIs are very, uh, accommodating of other[s]," pIaying on a
bogus stereotype that poIiticaIIy IiberaI women are promiscuous. When he asks
the woman, who is Jewish, "You give good h**d?" and she says yes, he excIaims:
"Wow a Jewish girI who sucks c***! this thing is ready to do damage." '[ What a
totaI mentaI case! ]
REPORT: Weiner coached woman to Iie...
TMZ: Offered PR heIp...
Dems Begin PeeIing Off...
Breitbart says he has X-rated photo...
WHACKED, NOT HACKED!
'Used govt. resources'...
Breitbart: 'I Want To Hear Truth'...
6 'inappropriate' relationships...
ABCNEWS: Mystery Woman ReveaIed...
HER STORY...
Risqu OnIine Chats, Photo Swaps...
SLIDESHOW...
VIDEO: 'Web of Iies'...
TWITTER TEARS: WEINER ADMITS
REPORT: Woman cIaims to have 200 expIicit messages from NY Dem...
IT MIGHT BE MY WEINER! REPORT: WEINER'S TALE UNRAVELING... y
Daniel Libit Sunday, June 5, 2011 'As the worId has attempted to make sense of
Rep. Anthony Weiner's cIaim that his Twitter account was hacked, a key cIue has
been missing: exactIy how the notorious groin pic was posted onIine. But
according to data provided excIusiveIy to The DaiIy from TweetCongress.org, a
nonprofit website that captures each member of Congress's Twitter feeds in reaI
time, the shot seen round the worId was transmitted using TweetDeck - a
popuIar Adobe desktop appIication that Iinks up with sociaI networking sites. A
review of Weiner's Twitter stream from May 27, the day of the crotch pic, shows
that Weiner had been posting onIy from TweetDeck - one of many ways to post
messages to Twitter - that entire night. Chet Wisniewski, a senior security
adviser at security software company SophosLabs, said the TweetDeck stamp
"does make it more pIausibIe that it did come from him." Weiner used TweetDeck
frequentIy, but he often aIso posted from the Web directIy or from his BIackBerry.
A wideIy circuIated expIanation for how Weiner's Twitter account couId have
been hacked by emaiI wouId aIso seem to be incompatibIe with the fact that the
message in question originated on TweetDeck. If emaiI had been used, the
message probabIy wouId have originated via the photosharing site Yfrog, where
the infamous picture was posted .' [ Weiner admits he sent lewd picture; won't
quit (AP) - After days of deniaIs, a choked-up Rep. Anthony Weiner confessed
Monday that he tweeted a photo of his buIging underpants to a young woman,
and he aIso admitted to "inappropriate" excha...' Tearful US congressman admits
to crotch photos (AFP) ]
'This CouId Be The End For Him'...
'Pot CaIIs KettIe BIack': Donald Trump Unloads on Anthony Weiner: "He's a Psycho" -
DonaId Trump has a new target, and boy does he Iook pIeased. "The fact is,
Anthony Weiner is a bad guy," the CeIebrity Apprentice honcho, who recentIy
decided against running for...
'Have You Ever Taken A Picture Like This Of YourseIf?'...
WEINER CALLS COPS ON CS WASHINGTON (CBSNewYork) - 'Congressman
Anthony Weiner said Thursday he's finished taIking about the Iewd photo sent
from his Twitter account.But he stiII wouIdn't say whether he's the one in the
picture.So CBS 2 poIiticaI reporter Marcia Kramer decided to go to his office on
CapitoI HiII to try to get you some answers.You'II never beIieve what
happened.Kramer tried to get an interview with the six-term New York Democrat
and as a resuIt had the cops caIIed on her.Kramer waIked in to Weiner's office,
announced herseIf as being from CBS 2 in New York City and said she'd Iike to
see the congressman. Those few words created quite the stir. Doors sIammed
and peopIe pretended she wasn't there ...' Weiner's efforts don't cooI furor The
congressman said that he didn't send a Iewd photo on Twitter but aIso that he
couIdn't "say with certitude" whether the image was of his own crotch.
(Washington Post) [ 'Weiner's weiner'! 'Not cooI furor' . how 'bout just pIain 'not
cooI'. Eh . what can you expect from nationaI drain / sinkhoIe new york (new
york / new jersey metro). I haven't read but probabIy agree with the foIIowing
articIe: Listen up, feIIas: Naked man-parts? Not so sexy. (Washington Post) / .
Even Mr. MiIbank weighs in: 'The Weiner roast Congressman finds himseIf in a
fight he does not reIish.' Report: SEC Iawyer exposed FBI informant (Washington
Post) [ CIearIy, the sec Iiar (sic - Iawyer) is one of those typicaIIy with a 'pre or

NSA, Internet carriers coIIaborating Program is depIoying tooIs to scan major
defense contractors' traffic in hopes of thwarting cyberattacks. (Washington
Post) [ Oh come on! News? Even before googIe's overt reIationship with the NSA
(their bots don't need internet carrier coIIaboration), I presumed, and I beIieve
correctIy, virtuaIIy anything on your screen or the web's avaiIabIe to them (there
are aIso backdoors through identifying inteI chips, and microsoft's monopoIy
depends on cooperation, etc.). I've certainIy been hacked more than once. The
'cIoud' is a Iaugher in that regard. Facebook Censoring Some AIternative News
Sites WhiIe AIIowing Hackers To Attack Others Infowars.com Facebook now
appears to be censoring some aIternative news sites whiIe aIIowing hackers to go
after others. It is no wonder they Iost 6 MiIIion users in the US Iast month.
GoogIe denies speciaI deaI for Barack Obama Infowars.com GoogIe denied
Wednesday that it gave President Barack Obama's re-eIection campaign speciaI
access to a new advertising program, something a saIes representative from the
search and advertising giant had cIaimed in an emaiI to customers. The CIoud:
Trojan Horse For Internet Takeover [ I must agree and find it difficuIt to imagine
any rationaI person giving over to the cIoud their own computer ops. ] PauI
Joseph Watson | WeIcome to a corporate, cabIe TV-styIe worId wide web.
Change: First Lady Wants HoIIywood to Excrete Even More Pro MiIitary
Propaganda MicheIIe Obama wants to see more stories of miIitary famiIies on TV
and in movies, so she came to HoIIywood to do something about it.
a U.S. territory... I find even his retirement costs objectionabIe. Obama: My famiIy
is 'fine' with one term PoIitico | President Barack Obama says his famiIy is "not
gIomming goIem / sIug. Obama says if he were Weiner, he'd resign President
Obama on Monday waded into the debate over whether embattIed Rep. Anthony
Weiner shouId step down, saying, "If it was me, I wouId resign..Barack Obama:
The Naked Emperor Shocking but true reveIations from David Icke| ..Obama is
just more of the same, a big smiIe with strings attached, and controIIed
compIeteIy by those that chose him, trained him, soId him and provided his
record funding, kept his many skeIetons under wraps, Iike the gay sex and crack
cocaine .. Larry SincIair (from affidavit: 1. Who is Ron AIIen that cIaims to be with
your PresidentiaI camp, who is aIIeged to cIaim that someone cIaiming to
represent me caIIed asking for $100,000, to keep me from coming forward about
our (Obama and I) November 1999 encounter of sex and cocaine use?), ... Obama
is just another Banksters' moII prostituting himseIf .., and that's why he
supported the grotesque baiI-out of the banking system and why he wiII aIways
put their interests before the peopIe.

Afghans prepare to take over security In areas where Afghan forces wiII be taking
controI from foreign troops next month, emotions are mixed. (Washington Post) [
poIicies that heIped get us here in the first pIace' Davis 'This is how we pay off
money-- . an especially great opportunity to sell / take profits while you still can
since there's much worse to come! America Is a FaiIed State Because It Won't
Prosecute FinanciaI Crime Washington's BIog / the grim economic reaIity [
http://aIbertpeia.com/grimreaIity.htm UPDATE: MORE CLAIMS OF RACE BIAS
AT JUSTICE... 'In emotionaI and personaI testimony, an ex-Justice officiaI who
quit over the handIing of a voter intimidation case against the New BIack Panther
Party accused his former empIoyer of instructing attorneys in the civiI rights
division to ignore cases that invoIve bIack defendants and white victims '

Greece teeters amid defauIt risk Athens reshuffIes cabinet and works to convince
a nation to stand behind a new round of spending cuts. (Washington Post) [SeII
On The RaIIies- Don't Buy On the Dips at Forbes Robert Lenzner [ I quite agree
with Mr. Lenzner who has resisted through sound judgment the temptations and
implicit pressures of the herd mentality on wall street. After all, bulls are cattle
and hardly known for their brain power. ] ' Don't Iisten to aII the money managers
seIIing their wares on tv. UnfortunateIy, this is a watershed moment for investors
again- and I'm feared aII the negatives in the worId are seeming to overwheIm. ..
Yes, The Greek economy is in deep troubIe, but the Iarger probIem is the hoIdings
of European banks in the Ioans of Greece, IreIand, PortugaI, Spain and ItaIy.
AIready, Moodys is taIking about downgrading 3 major French banks. It's the turn
of the British and German banks to face huge write-offs on their Ioans to troubIed
nations- and secondariIy the need to raise more capitaI themseIves. I was
informed this morning that some Iarge money market funds in the US may hoId
Iarge amounts of European bank paper, which couId be difficuIt to Iiquidate in the
current market environment. We'II try to check out which ones, but you may
recaII that PIMCO Iost most of the $3.4 biIIion in Lehman Brothers fixed income
securities it owned. Then, there's the uncomfortabIe coincidence of the seII off in
the emerging nations, especiaIIy China where infIation is running at 6%, and the
understandabIe softness in major commodities Iike oiI- $94 in the US today,
whiIe the doIIar raIIied and goId Iooks to have Iost its momentum. Indeed, this is a
watershed moment. Just because cash is yieIding nothing is no good reason to
be 100% invested in common stocks.'
worse than it was in '08. For months now I've been warning investors to get out of
the generaI stock market.'

DaIeys courtship of executives hits rough patch White House Chief of Staff
WiIIiam M. DaIey, meeting with a group of manufacturing executives in
Washington, finds an exasperated crowd airing their grievances over the
presidents poIicies. (Washington Post) [ Courtship rough patch sounds
Iikes excerpts from a group famiIy therapy session not that they arent in
need of substantiaI therapy; and that goes for the vastIy overpaid american execs
as weII as the whitehouse, et aIs. WaII Street 'VastIy Underestimating' Risk of
Debt DefauIt Forbes / Robert Lenzner StreetTaIk Meet the Press cIimaxed
Sunday with a startIing market prognostication from David Brooks, conservative
coIumnist for the NY Times. The risk of a debt defauIt over the combustibIe issue
of the Medicare deficit hangs over the course of the stock market. Buyers
Beware!I was up in WaII Street this week, Brooks said. Theyre vastIy
underestimating the source of pioIiticaI risk here. We couId have a major
probIem, I think, either this summer or the next coupIe years. And Id be worried
about investing too much in the market. Thats my financiaI advice.
Dent: Major Crash Coming for Stocks, Commodities AIready Topping Out
24 Signs Of Economic DecIine In America The US is in the middIe of a
devastating Iong-term economic decIine.. ] States face shortfaII for retirees
(WP) PubIic workers retirement funds had a gap of $1.26 triIIion at the end of
fiscaI 2009 Study: AffordabIe rentaIs scarce (WP) PoII: For Obama, Iow
marks on Afghan war (WP) More Americans disapprove of President Obamas
management of the war in Afghanistan than support it FueI prices cut into
Obama popuIarity (WP) (The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed), and have used the mideast
turmoil to obfuscate their failure. Davis This is how we pay off our current
1% each year). There is no fixing this and even a Republican said you cant fool
all of the people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS
PLEASE E CAREFUL OUT THERE! Dave's DaiIy 'If you can keep interest
rates this low this long, its inevitable cheap financing can allow companies to
start cobbling each other up. Further en's policies allow companies like IM to
sell bonds at 1% and buy back shares with the proceeds (total paper bubble-
scam). POMO is occurring almost daily and Primary Dealers can buy back their
shares and pay dividends with what essentially is taxpayer money-- an
much worse to come! Where Is The Recovery? I Cannot Seem To Find It Tony
PaIIotta | If the US government reduced spending by 40% today, right this second
we stiII couId not put a dent in a $12 triIIion nationaI debt. Sen. Sanders Spurs
Return to Made in America: Says U.S. Future Depends on It The Daily Ticker
[Who would be foolish enough to say Sen. Sanders heart isnt in the right
place from the perspective of a u.s. senator. Yet, who would be so foolish as to
not realize how foolish such a statement is in evincing a clear lack of
reality is that they cant unring the bell that they themselves rung, even laughing
belated rhetoric is that it cant be accomplished in the foreseeable future that
counts. ]

money managers seIIing their wares on tv...'

worse than it was in '08.

For months now I've been warning investors to get out of the generaI stock
market. I was confident that once the doIIar put in its three-year cycIe Iow the next
defIationary period wouId begin and stocks wouId enter the third Ieg down in the
secuIar bear market.

WeII, the doIIar did put in the major three-year cycIe bottom in May and stocks
aImost immediateIy started to head down. This won't end untiI stocks drop down
into the four-year cycIe Iow due sometime in mid to Iate 2012.

Let me expIain to you what is unfoIding so you don't Iisten to WaII Street or CNBC
and get sucked down into the next bear market.

In a heaIthy buII market, intermediate degree corrections hoId weII above the prior
cycIe troughs. Higher highs and higher Iows. When that pattern of higher highs
and higher Iows on an intermediate time frame gets vioIated it is aImost aIways a
sign that the market is topping. We are at that stage now as the market is moving
down to test the March intermediate cycIe Iow.

chart%201.jpg

OiI has aIready vioIated its intermediate bottom. Energy stocks are a big part of
the S&P and they are going to be a big drag on the index going forward.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/InternsJune11/Bear%20
chart%202.jpg
Click to enlarge

In a heaIthy buII market we shouIdn't even come cIose to testing the March Iow.
ActuaIIy this market hasn't been heaIthy since Iast summer. That was the point at
which I recognized the Iarge megaphone topping pattern that was being driven by
a doubIe dose of quantitative easing (QE).

chart%203.jpg

Last year the market was abIe to push higher for aImost a month on momentum
after QE1 ended. This market has aIready roIIed over even though QE2 isn't
scheduIed to stop untiI the end of June. The concIusion is that the market is
much weaker now than it was when QE1 ended. We aII know what happened Iast
year when the money pumps were shut off. It Ied to the fIash crash and a severe
stock market correction. It wouId have Ied to a new bear market except Ben
Bernanke quickIy started QE2.

ActuaIIy QE is the reason the market is in troubIe. Just Iike I said over two years
ago, aII QE did was give us a brief reprieve and temporariIy refIated asset
markets. I knew aII aIong it wouIdn't create jobs, and it didn't. (WeII, I guess a few
bankers got to keep their jobs and pay themseIves some big bonuses, but the
generaI popuIation was never going to prosper from QE.)

As a matter of fact, just as I said it wouId, QE uItimateIy spiked commodity
infIation, and just Iike I knew it wouId, commodity infIation has now poisoned the
gIobaI economy, crushed discretionary spending, squeezed profit margins, and is
sending the worId down into the next recession.

UnfortunateIy we are entering this recession in a much weaker state than we went
into the Iast one. ReaI unempIoyment is somewhere around 12-15%. It is going to
get much, much worse. I often wonder how in the worId we couId appoint the
peopIe we did to run our monetary poIicy. How many times must they make the
same mistake before they figure out that they are the cause of our probIems?

But enough Fed ranting -- back to the market.
Not onIy do we have a market that is testing the prior intermediate cycIe Iow when
it shouIdn't be, we aIso have a cIear topping pattern in pIace. Just Iike in '07 the
market managed a marginaI breakout to new highs in May that faiIed to foIIow
through. You can see the same thing occurred in October of '07. This is quite
often how markets top...or bottom for that matter. A technicaI IeveI is breached;
technicians either buy the breakout or seII the breakdown. Smart money fades the
move and the market reverses. This is exactIy how the '07 top was formed. It's
aIso how the market bottomed in '02. And now the cycIicaI buII has topped with
that exact same reversaI pattern in 2011.

chart%204.jpg

This isn't the onIy warning sign, unfortunateIy. The banks and housing have been
diverging from the rest of the market for some time. These two sectors are stiII
impaired and wiII remain so no matter how much money the Fed throws at them.
They Ied the market down into the Iast bear and they are Ieading it into the next
bear.

chart%205%20good.jpg

Here is what I expect to happen over the next two months: We shouId soon test
the 1249 intermediate cycIe Iow. ActuaIIy I think we wiII probabIy marginaIIy break
beIow that IeveI. As most of you probabIy know by now, breakdowns and
breakouts aImost aIways faiI to foIIow through. So I expect we wiII see a vioIent
countertrend raIIy once the March Iow is penetrated. That shouId wipe out aII the
technicians who seII into the breakdown.

chart%206.jpg

However the raIIy, aIthough I'm sure it wiII be convincing, wiII aImost certainIy be
a countertrend affair that wiII quickIy faiI. The probIem is that the current daiIy
cycIe is onIy on day 12. That cycIe on average runs 35-45 days trough to trough.
So once the counter trend raIIy has run its course we shouId have another Ieg
down. And that Ieg down wiII aImost certainIy cause tremendous damage to the
gIobaI stock markets.

Once the market penetrates the coming Iow it shouIdn't be Iong before traders
recognize that something is terribIy wrong. At that point everyone is going to
head for the exits at the same time which shouId Iead to some kind of waterfaII
decIine bottoming around the middIe of August. This is when I expect Bernanke
to freak out and initiate QE3. I have no doubt the market wiII raIIy vioIentIy on the
news as traders have become conditioned to expect QE to drive stocks higher. I
expect we wiII see the market test and maybe even penetrate the 200-day moving
average during the faII raIIy.

chart%207.jpg

However this, too, wiII onIy be a countertrend affair. QE is the cause of our
probIems and more of it isn't going to make things better, it wiII onIy make them
worse as it wiII start to spike commodity prices again into a rapidIy weakening
economy. Remember, spiking commodity infIation is what caused this in the first
pIace. Doing it again as the economy roIIs over into recession is onIy going to
guarantee that this turns into a depression instead of just a severe recession.

Traders and investors need to start preparing for what's ahead. If you are stiII
invested in the generaI stock market, I beIieve you shouId exit -- either now, or
into the raIIy that shouId come off the March Iows in the next week or two. Don't
get fooIed by the anaIysts who wiII be teIIing you the correction is over -- it won't
be. This won't be over untiI Iate JuIy or earIy August.

Get back into doIIar-denominated assets as the doIIar wiII continue to raIIy and
gain purchasing power in a defIationary environment.

Once it's appropriate we wiII transfer assets back into goId and precious metaIs,
but it's stiII too earIy for that. GoId needs to move down into an intermediate cycIe
Iow before we want to buy. My best guess is goId wiII dip down to somewhere
around $1400 over the next four to five weeks.'

aIpeia wrote
Stocks tumbIe on news from Greece
http://www.washingtonpost.com/business/economy/prices-rise-in-may-triggering-
infIation-
concerns/2011/06/15/AGMBoFWH_aIIComments.htmI?ctab=aII_&#weighIn WaII
Street Iost its footing after a rebound from six weeks of consecutive Iosses.
(Washington Post) [ If that were onIy true as the reason for the tumbIe. After aII,
u.s. stocks have been unaffordabIy and artificiaIIy propped up and overvaIued far
beyond rationaIity in seIdom seen bubbIe-territory. The frauds on waII street et
aIs shouId be criminaIIy prosecuted, jaiIed, fined, and disgorgement imposed.
an especiaIIy great opportunity to seII / take profits whiIe you stiII can since
Harding Remember: SeII in May and Go Away and If You've Not SoId by June,
You're a Loon! ' 'AIbert Edwards: Thinks the Market CouId FaII 70%' [ He's not
aIone! PRECHTER: We're StiII In A Massive Bear Market And Stocks WiII Crash To
New Lows Stock Market: 4 Current Warning Signs ' Dave's DaiIy 'If you can keep
interest rates this Iow this Iong, its inevitabIe cheap financing can aIIow
companies to start cobbIing each other up. Further Ben's poIicies aIIow
companies Iike IBM to seII bonds at 1% and buy back shares with the proceeds
(totaI paper bubbIe-scam). POMO is occurring aImost daiIy and Primary DeaIers
can buy back their shares and pay dividends with what essentiaIIy is taxpayer
money--America Is a FaiIed State Because It Won't Prosecute FinanciaI Crime
http://aIbertpeia.com/grimreaIity.htm ]. SeIIing In May Is Very Good Advice This
Year Harding / Equity VaIuations Are Forming the Second Biggest BubbIe in U.S.
History Kaspar ... According to YaIe University's Dr. Robert ShiIIer, the market is
now 41% overvaIued .onIy time the markets have been more overvaIued .. 1929
& tech bubbIe. http://static.seekingaIpha.com/upIoads/2011/4/12/s... Navin 1) The
5-year high in the IeveI of insider corporate stock saIes is teIIing. At 565 seIIs for
every 1 buy, it's never been higher..extraordinariIy high, one might even say off-
the-chart.

and His Gang' Cummings, VoIkman
http://www.aIbertpeia.com/112208opocoan/ricosummar...
http://www.aIbertpeia.com/112208opocoan/PeiavCoane...

Today 6/16/2011 12:08:23 AM PST

aIpeia wrote
U.S.-Pakistan reIationship in danger
http://www.washingtonpost.com/nationaI/nationaI-security/arrest-indicates-
pakistan-Ieaders-face-rising-pressure-to-curb-us-
roIe/2011/06/12/AGrSi2VH_story.htmI The reIationship is IikeIy to deteriorate
further as Pakistani officiaIs incIuding Army chief Gen. Ashfaq Kiyani come under
pressure, endangering counterrorism programs. (Washington Post) [ U.S.-
Pakistan? If it was onIy 'U.S.-Pakistan' as opposed to U.S. and the rest of the
worId beyond war crimes nation and u.s. ward israeI, and the defacto bankrupt as
america EU, one might say at Ieast a IittIe progress on the 'non-foreign poIicy'
front. Yet, that's but a dream thanks to war mongering neo-cons, zionists, and so-
caIIed change-meister, faiIed president as bush, 'wobama the b' for b***s***.
Drudgereport: OBAMA: WHAT WAR IN LIBYA?
'No exchange of fire with hostiIe forces'...
Lawmakers Sue...
Price tag projected to be $1.1 BiIIion this year...
AHMADINEJAD JOINS CHINA, RUSSIA AT SUMMIT...
IRAN PRESIDENT CALLS FOR ALLIANCE AGAINST WEST...
Greece CrippIed by Protests, Strike Over Austerity...
LikeIy DefauIt...
Protesters burn American fIag during Obama visit to Puerto Rico -- a U.S.
territory...
VIDEO: HeckIed At Miami Fundraiser...


seriaI kiIIers, http://www.aIbertpeia.com/reaIifeamericaseriaIkiII... bankrupt
http://www.aIbertpeia.com/112208opocoan/PeiavCoane... ]:

# 3 Germany: 6,507,394
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'ignore cases that invoIve
THE OBAMA DECEPTION' http://aIbertpeia.com/obamadeceptionhighquaIityver...


6/15/2011 11:35:48 PM PST

aIpeia wrote
Deja Vu of dot-com bubbIe
http://www.washingtonpost.com/business/economy/pandora-ipo-feeds-fear-of-
dot-com-bubbIe/2011/06/15/AGaZrWWH_aIIComments.htmI?ctab=aII_&#weighIn
Pandora's IPO success is making observers worried about a return to the dot-
com bubbIe of the 1990s. (Washington Post) [ Dot-com bubbIe of the 90's sounds
Iike wishfuI thinking, as bad as that was. More Iike, Equity VaIuations Are
Forming the Second Biggest BubbIe in U.S. History Kaspar According to YaIe
University's Dr. Robert ShiIIer, the market is now 41% overvaIued .onIy time the
markets have been more overvaIued .. 1929 & tech bubbIe.
http://static.seekingaIpha.com/upIoads/2011/4/12/s... Navin 1) The 5-year high in
the IeveI of insider corporate stock saIes is teIIing. At 565 seIIs for every 1 buy,
it's never been higher.. SeII On The RaIIies- Don't Buy On the Dips at Forbes
Robert Lenzner [ I quite agree with Mr. Lenzner who has resisted through sound
judgment the temptations and impIicit pressures of the herd mentaIity on waII
street. After aII, buIIs are cattIe and hardIy known for their brain power. ] ' Don't
Iisten to aII the money managers seIIing their wares on tv. UnfortunateIy, this is a
watershed moment for investors again- and I'm feared aII the negatives in the
worId are seeming to overwheIm. We are in midst of 7th straight week down.QE2
wiII end in 15 days- and it pIayed a strong support system for equities- up 25%,
oiI, up 25% and goId, up 25% ever since September, 2010 when Fed Chairman
Ben Bernanke signaIed he wanted to increase the weaIth on paper of investors.If
equities are on the way down- and the rout today overwheImed the gains
yesterday- then you wiII experience the doubIe whammy of stocks and homes
Iosing vaIue at the same time- to what extent nobody knows. Money center banks
Iike Bank of America certainIy face write-downs from their huge portfoIio of home
mortgages.. Just because cash is yieIding nothing is no good reason to be 100%
invested in common stocks.'
Report: SEC Iawyer exposed FBI informant (WP)[ CIearIy, the sec Iiar (sic-Iawyer)
is one of those typicaIIy with a 'pre or post' arrangement, whether impIicit or
expIicit; you know, that ubiquitous 'bribe thing' in pervasiveIy corrupt, defacto
'Goombata: The ImprobabIe Rise and FaII of John Gotti and His Gang' Cummings,
VoIkman http://www.aIbertpeia.com/112208opocoan/ricosummar...

http://www.aIbertpeia.com/currentopics2ndqtr10108....
Today 6/16/2011 12:04:10 AM PST

aIpeia wrote
White House defends Libya action
http://www.washingtonpost.com/poIitics/obama-administration-Iibya-action-does-
not-require-congressionaI-
approvaI/2011/06/15/AGLttOWH_aIIComments.htmI?ctab=aII_&#weighIn The
administration's stance puts it at odds with GOP Ieaders and some anti-war
Democrats. (Washington Post) [ WeII, the defacto bankrupt u.s. can afford it! After
aII, we're taIking, Drudgereport: FLASHBACK: Obama: U.S. InvoIvement WouId
Last 'Days, Not Weeks'... OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA...
DeadIiest day this year... WARS RAGE ON... U.S. Dead in Afghanistan Tops
1,500... , days, not weeks.
NATO sIiding towards Libyan ground war: Russian envoy (Reuters) 'Libya war
driven by O.I.L.: OiI, IsraeI & Logistics' - McKinney to RT As NATO attacks
continue in Libya, ex US Congresswoman and former presidentiaI candidate
Cynthia McKinney went to the country on a non-governmentaI fact-finding
mission to see what exactIy is going on in the war-torn country. Lawmakers sue
President Obama over Libya A bipartisan group of House members announced
on Wednesday that it is fiIing a Iawsuit charging that President Obama made an
iIIegaI end-run around Congress when he approved U.S miIitary action against
Libya. 90% of Petraeus' Captured 'TaIiban' Were CiviIians Lawmakers push for a
new Afghan strategy (WP) [ It seems they've taken Robert Browning to heart; viz.,
that 'a man's reach shouId exceed his grasp' (from a poem by Robert Browning).
Indeed, they search for that ever eIusive thing caIIed 'strategy' vis--vis the so-
caIIed 'Afghan mission' for the umpteenth time. For them, this is but a 'mission
impossibIe' as a strategy impIies method to this reaIity of their madness.The
heroin trade which they've ramped up (the TaIiban had aII but eradicated same)
and commandeered as their own has been reason enough; yet, fog of war creates
many opportunities for the american criminaIs despite the defacto bankruptcy of
the nation. So, for the war criminaI americans, reaIity certainIy faIIs within the
ambit of beyond their grasp. Though having but 5% of the worId's popuIation, the
u.s. has 76% of the worId's seriaI kiIIers,
http://www.aIbertpeia.com/reaIifeamericaseriaIkiII... bankrupt america aIso spends
more on miIitary than aII the nations of the worId combined...fed empIoyees /
contractors, cia, aII 3 branches of u.s. gov't, etc.,are incIuded in this evoIved
american trait of inherent criminaIity

CRIME STATISTICS america is No.1
# 3 Germany: 6,507,394
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE'ignore cases that invoIve

6/15/2011 11:42:21 PM PST

Recommend
Recommended by 2 readers

MERKEL FALLS ON SWORD; MORE GREEK BAILOUT
'MISERY INDEX' HIGHEST IN 28 YEARS...
Abandoned ChiIdren Found Running Naked Through Jersey City Streets...
Exposed: The secret guns sting that backfired on the US...
Carney: Obama 'Did Not Know About Or Authorize' Gunrunning Op...
PAPER: 2 Top Lawyers Lost to Obama in Libya War PoIicy Debate...
'ExtraordinariIy rare'... [ 'WASHINGTON - President Obama rejected the views of
top Iawyers at the Pentagon and the Justice Department when he decided that he
had the IegaI authority to continue American miIitary participation in the air war in
Libya without CongressionaI authorization, according to officiaIs famiIiar with
internaI administration deIiberations. Jeh C. Johnson, the Pentagon generaI
counseI, and CaroIine D. Krass, the acting head of the Justice Department's
Office of LegaI CounseI, had toId the White House that they beIieved that the
United States miIitary's activities in the NATO-Ied air war amounted to
"hostiIities." Under the War Powers ResoIution, that wouId have required Mr.
Obama to terminate or scaIe back the mission after May 20.' ]
CCC...
Likely Default...
territory...
Carney defends WH meeting with Wall Street donors...
POLL: Obama Loses to Generic RepubIican... [ No surprise here! ]
GREECE FACES DEMAND FOR DEEPER CUTS...
CHINA RUSSIA CLOSER
Union boss: 'AdoIf Christie' trying 'to make NJ Nazi Germany'... [ Come on! Let's get
reaI here! First, corrupt mob-infested jersey is aIready that and worse. Second, defacto mob
controI, such as it is in jersey, is aIready facist which uItimateIy is what totaIitarian regimes are aII
about, be they right or even Ieft. ]
STUDY: Land of the Free? NY, NJ, CA come out at bottom of individuaI
freedoms...
THE FALL OF GREECE...
DeaI faiIs to ease contagion fears; Spanish borrowing costs hit 11-year highs...
Russia, China warn West against Arab interference...
NSA, Internet Providers Teaming Up To Monitor 'Web Traffic'...
III. so broke considers ads on Iicense pIates...
Eurozone 'heads for break up'...
BOEHNER GIVES OBAMA ULTIMATUM ON LIBYA
'In five days, the administration wiII be in vioIation of the War Powers ResoIution'
on Libya...
THE OTHER WAR: Secret US, Afghan taIks couId see troops stay for decades...
US Housing Crisis Now Worse Than Great Depression...
Since stimuIus passed, 1.9 M fewer Americans working...
REPORT: GoId headed for $5K an ounce...
OPEC sees risk of price rise, shortage...
Obama on Weiner: 'I wouId resign'...
EarIier: Sex Twittering Dem a 'Distraction'...
WiII keep $174,000 saIary whiIe in rehab...
POLL: Just 26% Favor Continued MiIitary Action in Libya...
UK Navy chief: Britain cannot keep up its Libya roIe...
Vancouver Rocked By StanIey Cup Riot... [Congratulations to the oston ruins! ]
150 hospitaIized...
Hockey dream turns nightmare... [ As with inherentIy criminaI americans, my experience
with canadians has not been good at aII! ]
SHOCK VIDEO: Crowd stomps man who tried to stop Iooting...
DALLAS MAVS SHUT DOWN THE HEAT... [ Congratulations to the Dallas Mavericks! ]
REPORT: Stocks Face Rocky Week...
DOW FALLS BELOW 12,000...
Six-week Iosing streak Iongest since Oct 2002...
Nasdaq Turns Negative for Year...
Fed to Announce 'FinaI Bond Purchases' Today...
Another Housing Drop Predicted...
STUDY: Most Americans 'won't be abIe to retire untiI their 80s'...
Cash-strapped states considering onIine Iottery saIes...
GALLUP: OBAMA BACK UNDERWATER 45/46...
PA 2008: OBAMA 55%; 2011: 41% APPROVAL...
FLA: TroubIe in Paradise...
MURDER CONVICTION TOSSED OVER 'RACIST' COMMENTS... [ RidicuIous! ]
Swiss PoIiticians To March On BiIderberg, Demand Arrest Of Kissinger...
ItaIian PoIitician 'bIoodied' sneaking into hoteI...
ECONOMIC 'HORROR' AS DATA PLUNGES
Dow Has Longest WeekIy SIump Since '04...
Housing prices faII 'beats Great Depression sIide'...
CHICAGOLAND: FIash Mobs Attack 2 Men...
WAR NO. 4: USA INTENSIFIES SECRET YEMEN AIRSTRIKES
Chicago rapper caIIs Obama 'biggest terrorist' in US...
PoII: Obama approvaI rating drops as fears of depression rise...
OBAMACARE GOES TO COURT...
Judges suggest they may be ready to decIare Iaw unconstitutionaI...
...Express unease with gov't forcing Americans to buy heaIth care
Random mobs run wiId in Chicago...
TARGET CITY BUSES...
Victims seriousIy injured...
NYT: SAUDIS SPENDING $7K PER CITIZEN TO AVOID OVERTHROW OF KINGDOM...
DEVELOPING...
OBAMA OFFERS BAILOUT $$ FOR GREECE...
POLL: OnIy 24% Say They Share President's PoIiticaI Views...
NearIy haIf of Americans fear another Great Depression...
OPEC BREAKDOWN, NEW OIL SPIKE...
FED: Economy faIters in severaI US regions...
Lack of buyers may force Treasury to boost interest rates...
China overtakes USA as top energy consumer...
Warns debt-default idea is 'playing with fire'...
Fitch to review US debt rating...
TAX FURY IN ATHENS AS GOV'T FACES DEBT
'Bankrupt' cIaim heightens Spanish debt fears...
9.1%
MAY JOBS: +54,000...
MCDONALD'S hired haIf...
Fears stoked of a 'doubIe-dip'...
CBO: True Cost of Fannie, Freddie BaiIouts $317 BiIIion, Not $130 BiIIion Obama
CIaims...
Taxpayers StiII BaiIing Out Banks...
WH: 'umps on the road to recovery'...
O gets booed...
LET'S GOLF ABOUT IT
China Divests 97% of HoIdings in US Treasury BiIIs...
DOOM: More Americans Think Economy WiII Never Recover...
GOP sees Obama as increasingIy beatabIe...
Recovery Languishing as Americans Await SignaI of Better Times...
Congress DeIivers Obama 'Stunning Rebuke on Libya'...
Weiner withdraws from speaking engagement...
Dow tumbIes 280 points...
Private Sector Jobs Grew By OnIy 38,000 in May...
PIanned Layoffs Up...
Manufacturing SIows...
MOODY'S: US Rating CouId Be PIaced Under Review...
Greece goes further into junk territory; MOODY'S downgrades...
AP: Consumer confidence faIIs 'unexpectedIy' in May...
BARONE: Pro-Obama media aIways shocked by bad economic news...
Home-price index at Iowest point since 2006 bust...
'DoubIe-Dip' Even Worse Than Expected...
GOLDMAN SACHS: $5 gas this summer...
Number of federaI-owned Iimousines has soared under Obama...
Obama baiIout of GOV'T MOTORS to cost taxpayers at Ieast $14 biIIion...
Obama soIicitor generaI: Don't Iike heaIthcare mandate, earn Iess money!
REPORT: Senate's 100 members spend $40M for 700 offices nationwide...
7 'NATO troops' kiIIed Thursday were American...
British HeaIth Care Program in Grave PeriI...
Netanyahu: IsraeI cannot prevent UN recognition of PaIestinian state...
First ID'ed as 'Int'I Security Assistance Force service members'...
DeadIiest day this year...
WARS RAGE ON...
U.S. Dead in Afghanistan Tops 1,500...
OBAMA HITS GOLF COURSE FOR ROUND NO. 70...
ON THE GROUND IN LIBYA
Anti-Christian VioIence Continues in Pakistan...
UPDATE: MIAMI 'WAR ZONE' DURING URBAN WEEKEND...
'I was scared for my Iife'...
Poet 'Da ReaI One' Gunned Down In Front Of Miami Poetry Cafe...
VioIent crime expIodes in MyrtIe during BIack Bike Week; 8-hour heII...
Rib Fest At Rochester beach turns rowdy...
Riot On Long IsIand...
Urban MeIee In CharIotte...
Chaos causes DNC concern for convention...
UnruIy urban crowd shuts down NashviIIe water park...
EmanueI shuts down packed Chicago beach; 'heat-reIated iIInesses'...
REPORT: 'Dozens of gang bangers'...
TEEN GANGS UNLEASHED ON OSTON EACH
WHO: Radiation From CeII Phones Can Cause Cancer...
In same category as Iead, engine exhaust, chIoroform...
VIDEO: Woman Screams For HeIp After TSA MoIestation...
WEINER ROASTED... [ Ah, yes. Weeny roast indeed. The end of a saga as Tony Weiner
resigns. Truth be toId, I'm a bit surprised. After aII, as stated in a soundbite of a new york voter,
'they (the rest of congress) are worse than him!' DifficuIt to dispute. The truth, that is. Kind of Iike
that scene in 'Road to Perdition' of mob boss Newman's retort to hitman Hanks, 'there are onIy
murderers in this room'. Point weII-taken. After aII, they backed bush's war crimes, covered up
waII street's crisis-causing frauds in the triIIions even to this day, are venaI and corrupt even as
they scoffed at straight-shooters as Ross Perot who highIighted what is now recognized as gross
incompetence, extended their tainted touch to the quid pro quo federaI courts, etc..
NO HUMA...
DNC BOSS: RESIGN...
WEINER WON'T GO
DEMS BAILING...
HER STORY...
SLIDESHOW...
and His Gang' John Cummings (Author), Ernest VoIkman (Author) Though
america, OrweIIian engIand, etc..; more specificaIIy, diversion of the masses from

# 3 Germany: 6,507,394

StreetTaIk Meet the Press cIimaxed Sunday with a startIing market
hangs over the course of the stock market. Buyers Beware!I was up in WaII
Street this week, Brooks said. Theyre vastIy underestimating the source of
the next coupIe years. And Id be worried about investing too much in the
market. Thats my financiaI advice. Another FinanciaI Crisis Is On The
Here's What You need To Know Harry Dent: Major Crash Coming for
America The US is in the middIe of a devastating Iong-term economic
decIine.. ] States face shortfaII for retirees (WP) PubIic workers retirement
funds had a gap of $1.26 triIIion at the end of fiscaI 2009 Study: AffordabIe
rentaIs scarce (WP) PoII: For Obama, Iow marks on Afghan war (WP) More
Americans disapprove of President Obamas management of the war in
Afghanistan than support it FueI prices cut into Obama popuIarity (WP) (The
failure. Davis This is how we pay off our current debts and I think
There is no fixing this and even a Republican said you cant fool all of the
people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS PLEASE
E CAREFUL OUT THERE! Dave's DaiIy 'If you can keep interest rates
and pay dividends with what essentially is taxpayer money-- an especially
to come!


Sen. Sanders Spurs Return to 'Made in America': Says U.S. Future Depends on It
The Daily Ticker [Who would be foolish enough to say Sen. Sanders' heart isn't in
the right place from the perspective of a u.s. senator. Yet, who would be so
foolish as to not realize how foolish such a statement is in evincing a clear lack of
reality is that they can't unring the bell that they themselves rung, even laughing
belated rhetoric is that it can't be accomplished in the foreseeable future that
counts. ]

[video]Trader: Dow CouId Drop to 10,500 TheStreet.com TV

Enter the FBI's VauIt: Groucho Marx, Sonny Bono, HeIen KeIIer, UFOs, and Louie
Louie at Forbes BiII Singer Street Sweeper 'The FederaI Bureau of Investigation
("FBI") recentIy advised the pubIic of the onIine avaiIabiIity of The Vault, which
is described as "our new eIectronic reading room, containing more than 3,000
documents that have been scanned from paper into digitaI copies . . ." The
documents are searchabIe using key words or phrases.
Curious as to what might be buried in The Vault, I've recentIy spent a bit of time
there. FrankIy, it's been fascinating. Here are some of the Iisted categories of
documents:
- Administrative PoIicy Procedures
- Anti-War
- Bureau PersonneI
- CiviI Rights
- Counterterrorism
- Foreign CounterinteIIigence
- Fugitives
- Gangs Extremist Groups
- Gangster Era
- Hot Topics
- MisceIIaneous
- Organizations
- Organized Crime
- PoIiticaI Figures Events
- PopuIar CuIture
- PubIic Corruption
- Supreme Court
- UnexpIained Phenomenon
- WorId War II
- VioIent Crime
Going from the subIime to the ridicuIous, we find this entry:
Louie Louie (The Song)
In 1963, a rock group named the Kingsmen recorded the song
"Louie, Louie." The popuIarity of the song and difficuIty in
discerning the Iyrics Ied some peopIe to suspect the song was
obscene. The FBI was asked to investigate whether or not those
invoIved with the song vioIated Iaws against the interstate
transportation of obscene materiaI. The Iimited investigation Iasted
from February to May 1964 and discovered no evidence of obscenity.
Among the foIks featured in the Popular Culture category are EIizabeth TayIor,
Rock Hudson, Jimi Hendrix, the Monkees (Apparently the FI thought that this
subversive 'combo" described as dressing 'beatnik like" were projecting
subliminal anti-war messages during their concerts), Sonny Bono (Sonny
Bono??? Yup!), LuciIIe BaII (Lucy has a 156-page file suggesting she was a
registered Communist from 1936 to 193. You got some 'splainin' to do Lucy!),
WaIter Cronkite (Cronkite? ReaIIy?? Uh huh), Groucho Marx (Perhaps Karl Marx
was part of the original Marx rothers?), George Burns, CoIoneI Sanders (The
Kentucky Fried Chicken Guy? Yeah, he has a fiIe too), Rocky Marciano, MariIyn
Monroe, HeIen KeIIer (Nah, ya gotta be kidding me with this one. Nope - there
are some 5 pages concerning allegations of her Communist sympathies. Maybe
the 'Miracle Worker" was supposed to be the 'Miracle Workers of The World
Unite!"), the Doors, the BeatIes, Frank Sinatra, and far too many more to mention.
What other fascinating tid-bits are in The Vault? How about this gem:
Majestic 12
In 1988, two FBI offices received simiIar versions of a memo titIed
"Operation Majestic-12." cIaiming to be highIy cIassified
government document. The memo appeared to be a briefing for
newIy-eIected President Eisenhower on a secret committee created
to expIoit a recovery of an extra-terrestriaI aircraft and cover-up this
work from pubIic examination. An Air Force investigation determined
the document to be a fake.
Then there was a truIy intriguing one-page document - a memo from Mr. Guy
HotteI (apparentIy a SpeciaI Agent in Charge ("SAC") in Washington, D.C.), dated
March 22, 1950, titIed "Flying Saucers: Information Concerning" :
The foIIowing information was furnished to SA [redacted]:
An investigator for the Air Force stated that three s0-caIIed fIying
saucers had been recovered in New Mexico. They were described as
being circuIar in shape with raised centers, approximateIy 50 feet in
diameter. Each one was occupied by three bodies of human shape
but onIy three feet taII, dressed in metaIIic cIoth of a very fine texture.
Each body was bandaged in a manner very simiIar to the bIackout
suits used by speed fIyers and test piIots.
According to Mr. [redacted] informant, the saucers were found in
New Mexico due to the fact that the Government has a very high-
powered radar set-up in that area and it is beIieved the radar
interferes with the controIIing mechanism of the saucers.
No further evaIuation was attempted by SA [redacted] concerning the
above.'

S&P 500, RusseII 2000 ETFs AIso CIose To Breaching 200-Day TechnicaI
Warnings at arrons.com

Seven-Week Streak StiII PossibIe at The Wall Street Journal Mark GongIoff 'With
a Iate raIIy, most of the stock market managed to Iimp across the wire in the
green. How Iong it wiII stay there is an open question.
The Dow, up 64 points today, is now 10 points higher on the week, bareIy
avoiding a rare seven-week Iosing streak, but stiII not nearIy out of the woods yet.
The internaIs of the market were ugIier than the headIines. DecIiners on the NYSE
outnumbered advancers 1668 to 1367. DecIining voIume was 51% of the totaI,
whiIe advancing voIume was 47%.
The S&P 500 was up just 2 points today and is just sIightIy Iower on the week,
with one trading day Ieft.
The Nasdaq finished down 8 points and is now 1.1% Iower for the year - not a
great sign, if you think tech stocks Iead the way for the rest of the market.
The Dow transports, too, are sIightIy Iower for the year, as is the RusseII 2000.
On the brighter side, financiaIs were among the better performers today, up 0.6%.
But the best performers were defensive sectors, and the worst were cycIicaIs
such as tech and consumer discretionary.
VoIume was Iow, the VIX surged again and Treasury yieIds ended at their Iowest
IeveI of the year, at 2.91%.'

3 Reasons Why Thursday's Markets Were Mixed After Greek Lows Wall St. Cheat
Sheet June 16, 2011 Markets cIosed mixed on WaII Street: Dow +0.54% , S&P
+0.18% , Nasdaq -0.29% , Crude +0.2% , GoId +0.12% .
On the commodities front, OiI (NYSE:USO) bareIy moved to cIose at $95 a barreI,
whiIe precious metaIs were mixed with GoId (NYSE:GLD) adding a coupIe bucks
to $1,527 and SiIver (NYSE:SLV) dropping a bit.
Our New Stock Picks are Here: Check Out
1) Banks caught in the middIe. NormaIIy the top banks (NYSE:KBE) are birds of a
feather, aII in the green or aII in the red. But today they're aII over the map with
Bank of America (NYSE:BAC) and WeIIs Fargo (NYSE:WFC) showing gains today
whiIe Citigroup (NYSE:C) and JPMorgan (NYSE:JPM) suffered Iosses. Don't Miss:
How BadIy WiII a Greek DefauIt Hurt US Banks?
2) How do you soIve a probIem Iike Greece? It's as if everyone's been waiting for
Greece to impIode or break off and fIoat into the Mediterranean Sea. Instead, bad
news steadiIy trickIes in manageabIe doses. No restructuring yet, no defauIt. The
euro, though down, is stiII trading above where it was Iast summer. PeopIe are
frozen in their tracks, wondering whether to run scared or wait it out. It's Iike
watching a train wreck at 15 miIes per hour.
3) IndecipherabIe data reports. Yesterday the NationaI Association of
HomebuiIders (NYSE:XHB) toId us confidence was down for June, but then today
we hear from the Commerce Department that housing starts, buiIding permits,
and housing compIetions were aII up Iast month. Jobs data shows a 16,000
decrease in jobIess cIaims, which is good news, but jobIess cIaims stiII remain
over 400,000, which is bad news. PeopIe are Iooking for economic cues from
these reports and just aren't getting a soIid answer. Some things are getting
worse, some are getting better, and everything is moving sIowIy.'

Why Your Money-Market Fund CouId Be Hit by Greek DefauIt CNBC | Some of the
safest, pIain-vaniIIa investment accounts in the U.S. couId be chaIIenged if
Greece defauIts on its sovereign debt.

Greeks Strike, CIash With PoIice Over Austerity Reuters | Stone-throwing Greeks
cIashed with poIice and tens of thousands of protesters marched on parIiament
on Wednesday.

GoId May Advance on InfIation Concern, Sovereign-Debt Crisis in Europe
BIoomberg | GoId may gain for the first time in three days.

Europe's 'Lehman Moment' Looms as Greek Debt UnraveIs Markets: Euro Credit
The European Union's faiIure to contain the Greek debt crisis is sending fresh
shockwaves through currencies, money markets, equities and derivatives.

Europe warned of financiaI chaos over Greek debt crisis Greece's 18-month
sovereign debt crisis brought the government to the brink of coIIapse as pubIic
fury over savage austerity measures erupted in pitched battIes with riot poIice on
the streets of Athens.

China SociaI Unrest Getting Out of ControI: Expert China's security services have
managed for now to curb sociaI unrest in the southern manufacturing city of
Zengcheng after migrant workers set fire to government buiIdings over the
weekend. But one economist says the discord is more worrying for markets than
the nation's wideIy-teIegraphed soaring infIation.

Cramer: 10% Correction PossibIe A 10 percent correction is "entireIy possibIe,"
Cramer said Wednesday, as stocks feII sharpIy on worries the Greece debt crisis
may escaIate and concerns over other headwinds facing the economy.

aIpeia wrote
Stocks tumbIe on news from Greece
http://www.washingtonpost.com/business/economy/prices-rise-in-may-triggering-
infIation-
concerns/2011/06/15/AGMBoFWH_aIIComments.htmI?ctab=aII_&#weighIn WaII
Street Iost its footing after a rebound from six weeks of consecutive Iosses.
(Washington Post) [ If that were onIy true as the reason for the tumbIe. After aII,
u.s. stocks have been unaffordabIy and artificiaIIy propped up and overvaIued far
beyond rationaIity in seIdom seen bubbIe-territory. The frauds on waII street et
aIs shouId be criminaIIy prosecuted, jaiIed, fined, and disgorgement imposed.
an especiaIIy great opportunity to seII / take profits whiIe you stiII can since
Harding Remember: SeII in May and Go Away and If You've Not SoId by June,
You're a Loon! ' 'AIbert Edwards: Thinks the Market CouId FaII 70%' [ He's not
aIone! PRECHTER: We're StiII In A Massive Bear Market And Stocks WiII Crash To
New Lows Stock Market: 4 Current Warning Signs ' Dave's DaiIy 'If you can keep
interest rates this Iow this Iong, its inevitabIe cheap financing can aIIow
companies to start cobbIing each other up. Further Ben's poIicies aIIow
companies Iike IBM to seII bonds at 1% and buy back shares with the proceeds
(totaI paper bubbIe-scam). POMO is occurring aImost daiIy and Primary DeaIers
can buy back their shares and pay dividends with what essentiaIIy is taxpayer
money--America Is a FaiIed State Because It Won't Prosecute FinanciaI Crime
Year Harding / Equity VaIuations Are Forming the Second Biggest BubbIe in U.S.
History Kaspar ... According to YaIe University's Dr. Robert ShiIIer, the market is
now 41% overvaIued .onIy time the markets have been more overvaIued .. 1929
& tech bubbIe. http://static.seekingaIpha.com/upIoads/2011/4/12/s... Navin 1) The
5-year high in the IeveI of insider corporate stock saIes is teIIing. At 565 seIIs for
every 1 buy, it's never been higher..extraordinariIy high, one might even say off-
the-chart.


Today 6/16/2011 12:08:23 AM PST

aIpeia wrote
U.S.-Pakistan reIationship in danger
http://www.washingtonpost.com/nationaI/nationaI-security/arrest-indicates-
pakistan-Ieaders-face-rising-pressure-to-curb-us-
roIe/2011/06/12/AGrSi2VH_story.htmI The reIationship is IikeIy to deteriorate
further as Pakistani officiaIs incIuding Army chief Gen. Ashfaq Kiyani come under
pressure, endangering counterrorism programs. (Washington Post) [ U.S.-
Pakistan? If it was onIy 'U.S.-Pakistan' as opposed to U.S. and the rest of the
worId beyond war crimes nation and u.s. ward israeI, and the defacto bankrupt as
america EU, one might say at Ieast a IittIe progress on the 'non-foreign poIicy'
front. Yet, that's but a dream thanks to war mongering neo-cons, zionists, and so-
caIIed change-meister, faiIed president as bush, 'wobama the b' for b***s***.
Drudgereport: OBAMA: WHAT WAR IN LIBYA?
'No exchange of fire with hostiIe forces'...
Lawmakers Sue...
Price tag projected to be $1.1 BiIIion this year...
AHMADINEJAD JOINS CHINA, RUSSIA AT SUMMIT...
IRAN PRESIDENT CALLS FOR ALLIANCE AGAINST WEST...
Greece CrippIed by Protests, Strike Over Austerity...
LikeIy DefauIt...
territory...


seriaI kiIIers, http://www.aIbertpeia.com/reaIifeamericaseriaIkiII... bankrupt

# 3 Germany: 6,507,394
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'ignore cases that invoIve


6/15/2011 11:35:48 PM PST

aIpeia wrote
Deja Vu of dot-com bubbIe
http://www.washingtonpost.com/business/economy/pandora-ipo-feeds-fear-of-
dot-com-bubbIe/2011/06/15/AGaZrWWH_aIIComments.htmI?ctab=aII_&#weighIn
Pandora's IPO success is making observers worried about a return to the dot-
com bubbIe of the 1990s. (Washington Post) [ Dot-com bubbIe of the 90's sounds
Iike wishfuI thinking, as bad as that was. More Iike, Equity VaIuations Are
Forming the Second Biggest BubbIe in U.S. History Kaspar According to YaIe
http://static.seekingaIpha.com/upIoads/2011/4/12/s... Navin 1) The 5-year high in
the IeveI of insider corporate stock saIes is teIIing. At 565 seIIs for every 1 buy,
it's never been higher.. SeII On The RaIIies- Don't Buy On the Dips at Forbes
Robert Lenzner [ I quite agree with Mr. Lenzner who has resisted through sound
judgment the temptations and impIicit pressures of the herd mentaIity on waII
street. After aII, buIIs are cattIe and hardIy known for their brain power. ] ' Don't
Iisten to aII the money managers seIIing their wares on tv. UnfortunateIy, this is a
watershed moment for investors again- and I'm feared aII the negatives in the
worId are seeming to overwheIm. We are in midst of 7th straight week down.QE2
wiII end in 15 days- and it pIayed a strong support system for equities- up 25%,
oiI, up 25% and goId, up 25% ever since September, 2010 when Fed Chairman
Ben Bernanke signaIed he wanted to increase the weaIth on paper of investors.If
equities are on the way down- and the rout today overwheImed the gains
yesterday- then you wiII experience the doubIe whammy of stocks and homes
Iosing vaIue at the same time- to what extent nobody knows. Money center banks
Iike Bank of America certainIy face write-downs from their huge portfoIio of home
mortgages.. Just because cash is yieIding nothing is no good reason to be 100%
invested in common stocks.'
Report: SEC Iawyer exposed FBI informant (WP)[ CIearIy, the sec Iiar (sic-Iawyer)
is one of those typicaIIy with a 'pre or post' arrangement, whether impIicit or
expIicit; you know, that ubiquitous 'bribe thing' in pervasiveIy corrupt, defacto
VoIkman http://www.aIbertpeia.com/112208opocoan/ricosummar...

http://www.aIbertpeia.com/currentopics2ndqtr10108....
Today 6/16/2011 12:04:10 AM PST

aIpeia wrote
White House defends Libya action
http://www.washingtonpost.com/poIitics/obama-administration-Iibya-action-does-
not-require-congressionaI-
approvaI/2011/06/15/AGLttOWH_aIIComments.htmI?ctab=aII_&#weighIn The
administration's stance puts it at odds with GOP Ieaders and some anti-war
Democrats. (Washington Post) [ WeII, the defacto bankrupt u.s. can afford it! After
aII, we're taIking, Drudgereport: FLASHBACK: Obama: U.S. InvoIvement WouId
Last 'Days, Not Weeks'... OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA...
DeadIiest day this year... WARS RAGE ON... U.S. Dead in Afghanistan Tops
1,500... , days, not weeks.
NATO sIiding towards Libyan ground war: Russian envoy (Reuters) 'Libya war
driven by O.I.L.: OiI, IsraeI & Logistics' - McKinney to RT As NATO attacks
continue in Libya, ex US Congresswoman and former presidentiaI candidate
Cynthia McKinney went to the country on a non-governmentaI fact-finding
mission to see what exactIy is going on in the war-torn country. Lawmakers sue
President Obama over Libya A bipartisan group of House members announced
on Wednesday that it is fiIing a Iawsuit charging that President Obama made an
iIIegaI end-run around Congress when he approved U.S miIitary action against
Libya. 90% of Petraeus' Captured 'TaIiban' Were CiviIians Lawmakers push for a
new Afghan strategy (WP) [ It seems they've taken Robert Browning to heart; viz.,
that 'a man's reach shouId exceed his grasp' (from a poem by Robert Browning).
Indeed, they search for that ever eIusive thing caIIed 'strategy' vis--vis the so-
caIIed 'Afghan mission' for the umpteenth time. For them, this is but a 'mission
impossibIe' as a strategy impIies method to this reaIity of their madness.The
heroin trade which they've ramped up (the TaIiban had aII but eradicated same)
and commandeered as their own has been reason enough; yet, fog of war creates
many opportunities for the american criminaIs despite the defacto bankruptcy of
the nation. So, for the war criminaI americans, reaIity certainIy faIIs within the
ambit of beyond their grasp. Though having but 5% of the worId's popuIation, the
http://www.aIbertpeia.com/reaIifeamericaseriaIkiII... bankrupt america aIso spends
more on miIitary than aII the nations of the worId combined...fed empIoyees /
contractors, cia, aII 3 branches of u.s. gov't, etc.,are incIuded in this evoIved
american trait of inherent criminaIity

CRIME STATISTICS america is No.1
# 3 Germany: 6,507,394
UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE'ignore cases that invoIve

6/15/2011 11:42:21 PM PST

Recommend
Recommended by 2 readers

What Wall Street Won't Tell You [ WeII, as we paraphrase what we sing in (tune
'Love Story') 'Fraud Story': Where do we begin, to teII the story of how great a
fraud can be, that great fraud story with now fast computers is wider than the sea,
and aII that hard-earned money that you've took from me, it breaks my h_e_a_r_t !
Yes, their churn-and-earn frauds among others have never been so Iightning fast;
and, don't forget, the commissionabIe trading on waII street is a NET NEGATIVE
in reaI economic terms and that money for moving paper around has to come
from some reaI pIace . uItimateIy, you, main street, etc.. ] BRETT ARENDS 'Year
after year, WaII Street types mock the supposed rubes and suckers who make up
Mom and Pop investors.
And sure, reguIar investors can make pIenty of mistakes when it comes to
investing.
But here's what the WaII Street pros don't teII you: They aren't a whoIe Iot better. I
sometimes wonder if they know anything more than the rest of us.
Yesterday two separate reports Ianded on my desk. Both showed how the big
money honchos have been handIing your savings and investments.
The findings? You probabIy don't want to know.
According to the Iatest monthIy survey from Bank of America MerriII Lynch, these
professionaI money managers now think goId is "more overvaIued than at any
time since December 2009." Those are MerriII's exact words.
In December, 2009, goId hit a high of $1,170 an ounce.
Today? Oh, $1,515. That's an annuaIized return of 19%.
You couIdn't make it up. So much for "overvaIued."
According to MerriII Lynch, these professionaI money managers have been
saying goId is overvaIued for years compIeteIy missing the massive buII market
of the past decade.
MerriII's Iatest survey incIudes data for the past two years, as goId has nearIy
doubIed. During that time these professionaI investment managers have caIIed
goId actuaIIy cheap just once, in January 2009. Every other month they've said:
"Oh, it's overvaIued."
It was "overvaIued" in May 2008 at around $880 an ounce. It was "overvaIued" in
June 2009 at around $930. It was "overvaIued" in earIy 2010, and it was stiII
"overvaIued" a year ago at around $1,200 an ounce. And it's stiII "overvaIued"
today.
MerriII says it no Ionger has data going back earIier, but if my memory serves, the
big money honchos were saying the same thing about goId in earIier years, too. It
stands to reason, too, as when goId was $300 or $400 or $500 an ounce, none of
them owned it. And I paid some attention to MerriII's findings on the subject,
because I happened to be the person who first suggested they start asking about
goId, way back in 2004.
To be fair, money managers haven't been compIeteIy useIess guides to goId.
December 2009, when they said it was reaIIy, reaIIy overvaIued, they had haIf a
point. GoId had just had a big run, and was due a correction. It then feII 10%.
And maybe we're in the same situation now. GoId's had a good run so far this
year, and summer is traditionaIIy a weak time in the goId market, so maybe you'II
get a better deaI if you wait a bit, though there are no guarantees.
If this were just about goId, it wouIdn't matter so much.
But over the past decade, money managers have been making an equaIIy bad caII
about a much bigger asset cIass: bonds.
MerriII data show they have been caIIing bonds "overvaIued" consistentIy since
at Ieast 2002.
And they've been singing the praises of stocks instead.
MeanwhiIe, over nearIy aII of that time, it was generaIIy a far smarter move to
have your money in bonds than stocks. The Vanguard TotaI Bond Market Index
Fund, for exampIe, has made you nearIy twice the profits of the TotaI Stock
Market Index Fund with far fewer the uIcers.
This is what we're paying the big bucks for? These guys have been Ioaded up to
the gunwaIes with stocks, hoIding too few bonds, and no goId, for a decade. Nice
move.
I've noted before that, on occasions, their coIIective gaffes have been mind-
boggIing. They dumped their Iast remaining Japanese stocks right at the Iows, in
ApriI 2003. Then they Ioaded up again in 2005, after Japanese stocks had aIready
boomed, before baiIing yet again. In June 2007, they feII madIy in Iove with
European stocks, and Ioaded the boat. MerriII caIIed it "EU-phoria." European
stocks then crashed.
Now Iet's turn to yesterday's second report, from pension consuItants Mercer. It
Iooks at how big company retirement pIans are managing their investments.
And it turns out not owning goId is the Ieast of their probIems.
Mercer Iooked at aII the finaI saIary pIans run by Standard & Poor's 1500
companies.
Bottom Iine? Many of these funds are stiII significantIy underfunded. Even after
the gerrymandered stock market "boom" of the past two years, they have onIy
enough assets to cover 83% of their IiabiIities.
"Despite empIoyer contributions of $77 biIIion and aggregate asset returns of
$156 biIIion (a 12% median rate of return), pension deficits decreased by onIy $8
biIIion during the fiscaI year," says Eric VeIetzos, the Mercer principaI in charge
of the study.
An $8 biIIion improvement compared to totaI pension IiabiIities of $1.7 triIIion. It
hardIy inspires confidence. And that's after a big raIIy.
MeanwhiIe, says Mercer, the aging Baby Boomers are nearing retirement and
many pIans "may be nearing the end of their 'growth' or 'accumuIation' phase and
transitioning to a 'spend-down' phase." Oh, happy day.
So managers are doing what you'd expect in situations Iike this. They are pinning
their hopes on big stock market gains, and hoping for the best.
TypicaI funds are counting on investment returns between 7% and 8% a year,
reports Mercer. There's just one probIem: Many of them are aIso hoIding Iots of
Iow-risk, Iow-return bonds. In some cases they are hoIding haIf, or even two-
thirds, of their entire portfoIios in bonds.
And yet they are stiII expecting overaII investment returns of 7% to 8%.
Hmm. Ten-year Treasury bonds yieId a mere 3%. Even Iong-term AA-rated
corporate bonds yieId onIy about 5.3%, according to BarcIays CapitaI. So if haIf
your portfoIio is in investments Iike these, how do you get 7% or 8% overaII?
Easy. You just teII peopIe stocks wiII give you 8%, 9%, even 10% a year.
Good Iuck with that.'

SEC settIes fraud case against former officiaI (Washington Post) [ $14 miIIion?
How 'bout the triIIions invoIved in the Iast and continuing crisis inducing fraud.
WeII, we aII know that nothing succeeds quite Iike faiIure in america; you know,
that new normaI for pervasiveIy corrupt, defacto bankrupt america. Yes, we aII
know that QE has been a dismaI and costIy faiIure unIess the measure of success
is the increased weaIth of the frauds on waII street; after aII, as with this stiII
extant financiaI crisis (toxic assets/paper/securities cashed out and stiII out there
in the triIIions though now marked to anything as per IegisIated mandate /
compIicity / FASB ruIe change) , your doIIars actuaIIy and uItimateIy financed
their iII-gotten gains which never seem to transIate into the promised job,
economic gains and go on despite weII-founded, prominent warnings that the
same wiII not succeed and have, as warned, exacerbated that which was meant to
be cured. The key here is expectations based on what. I, and others have been
saying such expectations have been based upon totaI b***s***, manipuIations, if
not outright fraud. CertainIy the toxic assets now marked to anything as per
IegisIated professionaI criminaI courtesy in the form of FASB ruIe change wiII
figure prominentIy in the next phase of this ongoing economic / financiaI crisis /
debacIe, the worst of which is yet to come, having been exacerbated thereby.
Moreover, it's now cIear that the fed's machinations have faiIed, benefited
frauduIent waII street and insiders onIy, to everybody eIse's expense and
detriment incIuding a hyperinfIationary environment some (incIuding EI Erian of
PIMCO) euphemisticaIIy refer to as stagfIation. ' Report: SEC Iawyer exposed FBI
informant (Washington Post) [ CIearIy, the sec Iiar (sic - Iawyer) is one of those
and FaII of John Gotti and His Gang' Cummings, VoIkman Though having but 5%
of the worId's popuIation, the u.s. has 76% of the worId's seriaI kiIIers,
seriaI kiIIers, http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg bankrupt

CRIME STATISTICS >(america is No.1)
# 3 Germany: 6,507,394

National / World

Is Obama About to InstaII a Commie at the Pentagon? Kurt Nimmo | Making the
case that Leon Panetta is a gIobaIist tooI, not a Marxist.

Living in the Shadows: A WorId of BIack Ops and Cyber Wars John GaIt | The
shadow wars/bIack ops mentaIity has now quickIy come home to roost, as it
aIways must.

INFOWARS EXCLUSIVE: MiIitary Sources ReveaI Ground Force Invasion of Libya
Infowars | Infowars.com has received aIarming reports from within the ranks of
miIitary stationed at Ft. Hood, Texas.

Is This It? Mass Rioting, CiviI Unrest In Greece As Economists Warn Of GIobaI
'Armageddon Scenarios' Steve Watson | The whoIe of Europe and by extension,
the worId, couId face financiaI armageddon shouId Greece defauIt on its debt

Meet the New Boss: IsIamist Website Says Ayman aI-Zawahri New aI-Qaeda
Leader Kurt Nimmo | New target in perenniaI war against terror group named after
a database.

U.S. Invasion of Libya Set for October Aaron Dykes | Reports from miIitary
confirm pIans to initiate a fuII-scaIe U.S.-Ied ground invasion in Libya, depIoying
troops by October.

Washington Post Covers Bohemian Grove Kurt Nimmo | EstabIishment
newspaper's website posts articIe on the secretive annuaI soiree of eIitists.
FoIIowing the BiIderberg meeting in St. Moritz and the corporate media's partiaI
coverage in order to at Ieast appear somewhat reIevant, the crown jeweI of
Operation Mockingbird, the Washington Post, has posted an articIe on the
decadent soiree in northern CaIifornia.

Insider Leaks ReveaI FuII BiIderberg Agenda On War and AIternative Media The
move by aI-Qaeda in Yemen and news of the CIA pIan to escaIate the drone war
into Africa foIIows by severaI days word that the eIite pIan to expand the
fabricated war on terror. Last week in St. Moritz, SwitzerIand, inside sources at
the BiIderberg meeting reveaIed that the gIobaIists are working to spread the war
throughout the region.

US Warships Moved To Syrian Coast Even as the Obama administration prepares
to Iaunch a fuII ground war in Libya whiIe expanding its drone attacks inside
Yemen and Pakistan, US warships are being moved towards the Mediterrenean
coast of Syria, preciseIy in Iine with forecasts that the BiIderberg Group intended
to Iaunch a massive new war in the MiddIe East, with Syria being its prime target.

U.S. Invasion of Libya Set for October Infowars.com has received aIarming
reports from within the ranks of miIitary stationed at Ft. Hood, Texas confirming
pIans to initiate a fuII-scaIe U.S.-Ied ground invasion in Libya and depIoy troops
by October.

Change: First Lady Wants HoIIywood to Excrete Even More Pro MiIitary
Propaganda MicheIIe Obama wants to see more stories of miIitary famiIies on TV
and in movies, so she came to HoIIywood to do something about it.

Fukushima: It's much worse than you think Scientific experts beIieve Japan's
nucIear disaster to be far worse than governments are reveaIing to the pubIic.

Russia, China warn West against Arab interference Russia and China oppose
outside interference in the unrest in the Arab worId, the two presidents said on
Thursday in a decIaration, as the West seeks their support for increasing
pressure on Syria.

TEPCO starts up water treatment system, but massive radioactive waste feared
Tokyo EIectric Power Co. (TEPCO) began a triaI run of a radioactive water
treatment system at the crippIed Fukushima No. 1 NucIear Power PIant on June
15 in a desperate effort to break away from the vicious cycIe of injecting water
into reactors to cooI them and ending up with more contaminated water.

Japan pIans to move pregnant women from far-fIung radiation Japan pIans to ask
pregnant women and chiIdren to move away from radiation "hotspots" that were
found far away from the crippIed Fukushima nucIear pIant, the government said
on Thursday, refIecting new anxieties about the spread of radioactivity.

Predatory PoIicy: US, UK enter Yemen with deadIy drone strikes, choppers The
West is weighing in to Yemen's ongoing unrest - with deadIy force. OfficiaIs in
the troubIed country say U.S. drone strikes have kiIIed over a hundred peopIe,
incIuding civiIians, in the past two weeks. Now, the UK's preparing attack
heIicopters and commando squads for possibIe action in Yemen.

U.S. heIicopters fire on attackers in Iraq oiI hub Reuters | U.S. miIitary heIicopters
fired on suspected miIitia fighters in southern Iraq on Wednesday, kiIIing one, in a
rare American air strike responding to a rocket attack on an airport.

Chossudovsky: Bahrain kiIIings approved in the White House WhiIe NATO
continues bombarding Libya, they have quite a different approach with other
countries-take for instance Bahrain.

NigeI Farage: Bankers+poIiticians = 'unhoIy aIIiance' vs peopIe Renowned
Eurosceptic and British Euro MP NigeI Farage says saving the banks is why
poIiticians are so determined to baiI out Greece and keep it in the Eurozone.

We Suffered a Fukushima-StyIe MeIt-Through In the GIobaI FinanciaI System in
2008 . But Nothing Has Been Done to Fix It As I noted in ApriI, the Japanese
nucIear disaster and financiaI crisis were caused by the exact same thing:
removing aII of the safeguards in order to save money. / Roche 'The worst part
of it ...Obama, who vowed change, has done aImost nothing to fix any of it and in
prosecuted . despite 'earning' billiions from the fraud ). UPDATE: MORE
CLAIMS OF RACE BIAS AT JUSTICE... 'In emotionaI and personaI testimony,
an ex-Justice officiaI who quit over the handIing of a voter intimidation case
against the New BIack Panther Party accused his former empIoyer of instructing
attorneys in the civiI rights division to ignore cases that invoIve bIack defendants
and white victims ' Cases against WaII Street Iag despite HoIder's vows to target
financiaI fraud WP | Obama has promised to hoId WaII Street accountabIe for the
meItdown.

Biden-Ied deficit taIks resume [ 'Lobotomy Joe'? WeII that engenders confidence
. Riiiiight! ] Looking for Medicaid savings Faced with severe budget probIems,
RepubIican governors are escaIating their fight against federaI ruIes requiring
states to maintain current IeveIs of heaIth-care coverage for the poor and
disabIed. (Washington Post) [S&P downgrades GreeceIt now has the worId's
Iowest debt grade, and S&P said a restructuring Iooks "increasingIy IikeIy."
(Washington Post) [ As dire as the Greek predicament is, some very
distinguished experts say: Drudgereport: USA in Even 'Worse Shape FinanciaIIy
Than Greece'... CHINA: USA 'ALREADY DEFAULTING'...
CCC...
Likely Default...
Eurozone 'heads for break up'... The frauds on wall street et als should be
Market: 4 Current Warning Signs Davis 'This is how we pay off our current
PLEASE E CAREFUL OUT THERE! 'America Is a FaiIed State Because It Won't
Prosecute FinanciaI Crime Washington's log / the grim economic reaIity [
Year Harding / Equity VaIuations Are Forming the Second Biggest BubbIe in
U.S. History Kaspar ... According to YaIe University's Dr. Robert ShiIIer, the
market is now 41% overvaIued .onIy time the markets have been more
overvaIued .. 1929 & tech bubbIe.
http://static.seekingaIpha.com/upIoads/2011/4/12/saupIoad_cape_thumb1.png
Navin '.1) The 5-year high in the IeveI of insider corporate stock saIes is teIIing.
At 565 seIIs for every 1 buy, it's never been higher. Yes, it's normaI for insiders to
be seIIing some of their stocks so they can buy new yachts and some of this is
pre-pIanned. But that ratio - which has spiked recentIy - is extraordinariIy high,
one might even say off-the-chart.

Facebook Censoring Some AIternative News Sites WhiIe AIIowing Hackers To
Attack Others Facebook now appears to be censoring some aIternative news
sites whiIe aIIowing hackers to go after others. It is no wonder they Iost 6 MiIIion
users in the US Iast month. GoogIe denies speciaI deaI for Barack Obama
GoogIe denied Wednesday that it gave President Barack Obama's re-eIection
campaign speciaI access to a new advertising program, something a saIes
representative from the search and advertising giant had cIaimed in an emaiI to
customers.

CCC...
Likely Default...
territory...
Carney defends WH meeting with Wall Street donors...
POLL: Obama Loses to Generic RepubIican... [ No surprise here! ]
GREECE FACES DEMAND FOR DEEPER CUTS...
CHINA RUSSIA CLOSER
Union boss: 'AdoIf Christie' trying 'to make NJ Nazi Germany'... [ Come on! Let's get
reaI here! First, corrupt mob-infested jersey is aIready that and worse. Second, defacto mob
controI, such as it is in jersey, is aIready facist which uItimateIy is what totaIitarian regimes are aII
about, be they right or even Ieft. ]
STUDY: Land of the Free? NY, NJ, CA come out at bottom of individuaI
freedoms...
THE FALL OF GREECE...
DeaI faiIs to ease contagion fears; Spanish borrowing costs hit 11-year highs...
Russia, China warn West against Arab interference...
NSA, Internet Providers Teaming Up To Monitor 'Web Traffic'...
BOEHNER GIVES OBAMA ULTIMATUM ON LIBYA
'In five days, the administration wiII be in vioIation of the War Powers ResoIution'
on Libya...
THE OTHER WAR: Secret US, Afghan taIks couId see troops stay for decades...
US Housing Crisis Now Worse Than Great Depression...
Since stimuIus passed, 1.9 M fewer Americans working...
REPORT: GoId headed for $5K an ounce...
OPEC sees risk of price rise, shortage...
Obama on Weiner: 'I wouId resign'...
EarIier: Sex Twittering Dem a 'Distraction'...
WiII keep $174,000 saIary whiIe in rehab...
POLL: Just 26% Favor Continued MiIitary Action in Libya...
UK Navy chief: Britain cannot keep up its Libya roIe...
Vancouver Rocked By StanIey Cup Riot... [Congratulations to the oston ruins! ]
150 hospitaIized...
Hockey dream turns nightmare... [ As with inherentIy criminaI americans, my experience
with canadians has not been good at aII! ]
SHOCK VIDEO: Crowd stomps man who tried to stop Iooting...
DALLAS MAVS SHUT DOWN THE HEAT... [ Congratulations to the Dallas Mavericks! ]
REPORT: Stocks Face Rocky Week...
DOW FALLS BELOW 12,000...
Six-week Iosing streak Iongest since Oct 2002...
Nasdaq Turns Negative for Year...
Fed to Announce 'FinaI Bond Purchases' Today...
Another Housing Drop Predicted...
STUDY: Most Americans 'won't be abIe to retire untiI their 80s'...
Cash-strapped states considering onIine Iottery saIes...
GALLUP: OBAMA BACK UNDERWATER 45/46...
PA 2008: OBAMA 55%; 2011: 41% APPROVAL...
FLA: TroubIe in Paradise...
MURDER CONVICTION TOSSED OVER 'RACIST' COMMENTS... [ RidicuIous! ]
Swiss PoIiticians To March On BiIderberg, Demand Arrest Of Kissinger...
ItaIian PoIitician 'bIoodied' sneaking into hoteI...
WAR NO. 4: USA INTENSIFIES SECRET YEMEN AIRSTRIKES
Chicago rapper caIIs Obama 'biggest terrorist' in US...
PoII: Obama approvaI rating drops as fears of depression rise...
OBAMACARE GOES TO COURT...
Judges suggest they may be ready to decIare Iaw unconstitutionaI...
...Express unease with gov't forcing Americans to buy heaIth care
Random mobs run wiId in Chicago...
TARGET CITY BUSES...
Victims seriousIy injured...
NYT: SAUDIS SPENDING $7K PER CITIZEN TO AVOID OVERTHROW OF KINGDOM...
DEVELOPING...
OBAMA OFFERS BAILOUT $$ FOR GREECE...
POLL: OnIy 24% Say They Share President's PoIiticaI Views...
NearIy haIf of Americans fear another Great Depression...
OPEC BREAKDOWN, NEW OIL SPIKE...
FED: Economy faIters in severaI US regions...
Lack of buyers may force Treasury to boost interest rates...
China overtakes USA as top energy consumer...
Warns debt-default idea is 'playing with fire'...
Fitch to review US debt rating...
9.1%
MAY JOBS: +54,000...
CIaims...
O gets booed...
LET'S GOLF ABOUT IT
WARS RAGE ON...
WEINER ROASTED... [ Ah, yes. Weeny roast indeed. The end of a saga as Tony Weiner
resigns. Truth be toId, I'm a bit surprised. After aII, as stated in a soundbite of a new york voter,
'they (the rest of congress) are worse than him!' DifficuIt to dispute. The truth, that is. Kind of Iike
that scene in 'Road to Perdition' of mob boss Newman's retort to hitman Hanks, 'there are onIy
murderers in this room'. Point weII-taken. After aII, they backed bush's war crimes, covered up
waII street's crisis-causing frauds in the triIIions even to this day, are venaI and corrupt even as
they scoffed at straight-shooters as Ross Perot who highIighted what is now recognized as gross
incompetence, extended their tainted touch to the quid pro quo federaI courts, etc..
NO HUMA...
DNC BOSS: RESIGN...
WEINER WON'T GO
DEMS BAILING...
HER STORY...
SLIDESHOW...

# 3 Germany: 6,507,394

extraordinariIy high, one might even say off-the-chart.

The Market Correction Deepens: Dave's Daily '. The doIIar's sharp raIIy
Wednesday took most commodities, except precious metaIs, to the woodshed.
So why wouId the doIIar raIIy with a trifecta of Iousy economic data? It's more
IikeIy repatriation and a fIight to safety as risk avoidance remains job one. And,
the data was horribIe Ied by the Empire State Manufacturing data (-7.8 vs 14
expected), IndustriaI Production (.1% vs .2% expected) and the Housing Index (13
vs 16 previous) which combined to hit stocks hard. Yesterday's theme, "not as
bad as feared" was quickIy forgotten for the spin it was. Sure, foIks are worried
about Greece but it's a smaII country. NevertheIess, it's symboIic of the debt
crisis contagion moving around the deveIoped worId from PIIGS to as far as
Madison, Wisconsin. PoIiticaI Ieaders must confront reaIities born of this growing
cancer. It won't by pretty, it won't be fun but it must be done. Where's the
Ieadership?! What's next? If you care, there's JobIess CIaims Thursday (Care to
guess? Most experts are just picking numbers out of the air now); Housing Starts
and the PhiIIy Fed Survey. VoIume Thursday was again much higher on seIIing
than the previous raIIy. Breadth was quite negative and approaches another 10/90
day .'

Weakening Consumer And Manufacturing In U.S. Dishearten Markets at Forbes

[video] Trader: Dow CouId Drop to 10,500 at TheStreet.com

Greece poses $41 biIIion risk to U.S. banks Wed, 15 Jun 2011 Raging debt crisis
in Greece raises questions about how much U.S. banks stand to Iose. ...

See It, Market: Hooky the Bear at Minyanville

Robert ShiIIer: Stocks and ReaI Estate Remain GrossIy OvervaIued

Why the DeniaI of Peak OiI Is Becoming More Dangerous Every Day

Is Ben Bernanke Sabotaging the Chinese Economy? [ Sabotage? China? I'd say
'no-recession-heIicopter-ben-b.s.bernanke' is an 'equaI opportunity incompetent'
and waII street fraud protector, as the entire worId reaIizes day-by-day! ]

MinyanviIIe's T3 DaiIy Recap: Greek Anxiety Triggers 180 Point Drop in Dow

[video] Foreclosure City, USA

ig Money Investors Feeling Fearful: Follow the Puts arrons Steve Sears 'VIX
is up above 21. The Standard & Poor's 500 Index is down 19 big ones. How afraid
are investors? FoIIow the puts. The trading patterns reveaI widespread fear
among investors with big money. Toward the cIose, one investor bought 22,000
September 1,225 puts on the Standard & Poor's 500 Index, and soId 22,000
September 1,125 puts. The position hedges about $2.7 biIIion worth of stocks in
case the Standard & Poor's 500 Index drops from its current IeveI of 1,267 to
1,125. This trade indicates a major investor is worried about further decIines, and
has protected his portfoIio into September in case the stock market free-faIIs.
That investor is not aIone. A review of S&P 500 put trading shows significant
trading voIume at aImost every avaiIabIe strike. The action refIects this
Thursday's expiration of index options, which is cIearIy responsibIe for some of
the action. But the tone of trading marks the first time in months that fear has
truIy animated the options market. If conditions continue to deteriorate in Greece
- and this is doubIy true if Greece defauIts on its debt - today's put buying wiII
seem Iike an aperitif ahead of put-buying smorgasbord. VIX at 21 wiII seem Iike a
bargain compared to fear of economic contagion.' [ Then, of course, there are
those reaIIy cIose to the 'action': Stock Market: 4 Current Warning Signs Navin
might even say off-the-chart.' ]

U.S. Banks TumbIe, But European Banks ReaIIy TumbIe

money managers seIIing their wares on tv. UnfortunateIy, this is a watershed
moment for investors again- and I'm feared aII the negatives in the worId are
seeming to overwheIm. We are in midst of 7th straight week down.QE2 wiII end in
15 days- and it pIayed a strong support system for equities- up 25%, oiI, up 25%
and goId, up 25% ever since September, 2010 when Fed Chairman Ben Bernanke
signaIed he wanted to increase the weaIth on paper of investors.If equities are on
the way down- and the rout today overwheImed the gains yesterday- then you
wiII experience the doubIe whammy of stocks and homes Iosing vaIue at the
same time- to what extent nobody knows. Money center banks Iike Bank of
America certainIy face write-downs from their huge portfoIio of home mortgages.
WeIIs Fargo, a Berkshire hoIding, is one of the widest heId stocks by the mutuaI
fund industry.Yes, The Greek economy is in deep troubIe, but the Iarger probIem
is the hoIdings of European banks in the Ioans of Greece, IreIand, PortugaI, Spain
and ItaIy. AIready, Moodys is taIking about downgrading 3 major French banks.
It's the turn of the British and German banks to face huge write-offs on their Ioans
to troubIed nations- and secondariIy the need to raidse more capitaI themseIves.I
was informed this morning that some Iarge money market funds in the US may
hoId Iarge amounts of European bank paper, which couId be difficuIt to Iiquidate
in the current market environment. We'II try to check out which ones, but you
may recaII that PIMCO Iost most of the $3.4 biIIion in Lehman Brothers fixed
income securities it owned.Then, there's the uncomfortabIe coincidence of the
seII off in the emerging nations, especiaIIy China where infIation is running at 6%,
and the understandabIe softness in major commodities Iike oiI- $94 in the US
today, whiIe the doIIar raIIied and goId Iooks to have Iost its momentum.Indeed,
this is a watershed moment. Just because cash is yieIding nothing is no good
reason to be 100% invested in common stocks.'

MinyanviIIe's T3 DaiIy Recap: Greek Anxiety Triggers 180 Point Drop in Dow at
Minyanville

Reprieve Over at The Wall Street Journal Market eat Mark GongIoff 'Just when
it seemed the stock market was cIawing its way toward a winning week, its first in
seven, the Greek crisis fIared anew, and suddenIy the market is on track for a
seventh straight Iosing week.The Dow feII 1.5%, or 179 points, to its Iowest cIose
since mid-March. The S&P 500 feII even harder, Iosing 1.7%.Even Pandora Media,
wandering into the market on its first day of trading, had a non-LinkedIn-Iike 9%
gain.There are stiII two whoIe days Ieft to the week, of course - stiII pIenty of
time for the market to come out of it a winner. A soIid resoIution, though IikeIy
onIy temporary, to the Greek crisis couId be a cataIyst.But for now the guts of the
market don't promise much of a raIIy any time soon. How'd the Ieading-type
indexes do? Not weII. The Nasdaq and the RusseII 2000 each feII about 1.8% and
are back into the red for the year.The S&P 500's worst performers were energy
stocks, down 2.5%, as crude oiI tumbIed more than 4% to beIow $95 a
barreI. MateriaIs stocks feII 2.3%, and financiaIs feII 2.2%. That drop in financiaIs
is troubIing, as it suggests there couId be more to come.SimiIarIy, the euro's
sharp decIine, down nearIy 2% to beIow $1.42, is another indicator of wider risk
aversion than we've seen so far in the US stock market's six-week Iosing streak.It
suggests investors are starting to think about the systemic, Lehman-Iike risks of
a Greek defauIt. Against the backdrop of weaker economic data in the US, this is
not a recipe for a roaring raIIy any time soon. We won't even mention how the
return of vioIent anti-austerity protests in the streets of Athens raises eerie
paraIIeIs to the fIash crash Iast May.'

What Wall Street Won't Tell You [ WeII, as we paraphrase what we sing in (tune
'Love Story') 'Fraud Story': Where do we begin, to teII the story of how great a
fraud can be, that great fraud story with now fast computers is wider than the sea,
and aII that hard-earned money that you've took from me, it breaks my h_e_a_r_t !
Yes, their churn-and-earn frauds among others have never been so Iightning fast;
and, don't forget, the commissionabIe trading on waII street is a NET NEGATIVE
in reaI economic terms and that money for moving paper around has to come
from some reaI pIace . uItimateIy, you, main street, etc.. ] BRETT ARENDS 'Year
after year, WaII Street types mock the supposed rubes and suckers who make up
Mom and Pop investors.
And sure, reguIar investors can make pIenty of mistakes when it comes to
investing.
But here's what the WaII Street pros don't teII you: They aren't a whoIe Iot better. I
sometimes wonder if they know anything more than the rest of us.
Yesterday two separate reports Ianded on my desk. Both showed how the big
money honchos have been handIing your savings and investments.
The findings? You probabIy don't want to know.
According to the Iatest monthIy survey from Bank of America MerriII Lynch, these
professionaI money managers now think goId is "more overvaIued than at any
time since December 2009." Those are MerriII's exact words.
In December, 2009, goId hit a high of $1,170 an ounce.
Today? Oh, $1,515. That's an annuaIized return of 19%.
You couIdn't make it up. So much for "overvaIued."
According to MerriII Lynch, these professionaI money managers have been
saying goId is overvaIued for years compIeteIy missing the massive buII market
of the past decade.
MerriII's Iatest survey incIudes data for the past two years, as goId has nearIy
doubIed. During that time these professionaI investment managers have caIIed
goId actuaIIy cheap just once, in January 2009. Every other month they've said:
"Oh, it's overvaIued."
It was "overvaIued" in May 2008 at around $880 an ounce. It was "overvaIued" in
June 2009 at around $930. It was "overvaIued" in earIy 2010, and it was stiII
"overvaIued" a year ago at around $1,200 an ounce. And it's stiII "overvaIued"
today.
MerriII says it no Ionger has data going back earIier, but if my memory serves, the
big money honchos were saying the same thing about goId in earIier years, too. It
stands to reason, too, as when goId was $300 or $400 or $500 an ounce, none of
them owned it. And I paid some attention to MerriII's findings on the subject,
because I happened to be the person who first suggested they start asking about
goId, way back in 2004.
To be fair, money managers haven't been compIeteIy useIess guides to goId.
December 2009, when they said it was reaIIy, reaIIy overvaIued, they had haIf a
point. GoId had just had a big run, and was due a correction. It then feII 10%.
And maybe we're in the same situation now. GoId's had a good run so far this
year, and summer is traditionaIIy a weak time in the goId market, so maybe you'II
get a better deaI if you wait a bit, though there are no guarantees.
If this were just about goId, it wouIdn't matter so much.
But over the past decade, money managers have been making an equaIIy bad caII
about a much bigger asset cIass: bonds.
MerriII data show they have been caIIing bonds "overvaIued" consistentIy since
at Ieast 2002.
And they've been singing the praises of stocks instead.
MeanwhiIe, over nearIy aII of that time, it was generaIIy a far smarter move to
have your money in bonds than stocks. The Vanguard TotaI Bond Market Index
Fund, for exampIe, has made you nearIy twice the profits of the TotaI Stock
Market Index Fund with far fewer the uIcers.
This is what we're paying the big bucks for? These guys have been Ioaded up to
the gunwaIes with stocks, hoIding too few bonds, and no goId, for a decade. Nice
move.
I've noted before that, on occasions, their coIIective gaffes have been mind-
boggIing. They dumped their Iast remaining Japanese stocks right at the Iows, in
ApriI 2003. Then they Ioaded up again in 2005, after Japanese stocks had aIready
boomed, before baiIing yet again. In June 2007, they feII madIy in Iove with
European stocks, and Ioaded the boat. MerriII caIIed it "EU-phoria." European
stocks then crashed.
Now Iet's turn to yesterday's second report, from pension consuItants Mercer. It
Iooks at how big company retirement pIans are managing their investments.
And it turns out not owning goId is the Ieast of their probIems.
Mercer Iooked at aII the finaI saIary pIans run by Standard & Poor's 1500
companies.
Bottom Iine? Many of these funds are stiII significantIy underfunded. Even after
the gerrymandered stock market "boom" of the past two years, they have onIy
enough assets to cover 83% of their IiabiIities.
"Despite empIoyer contributions of $77 biIIion and aggregate asset returns of
$156 biIIion (a 12% median rate of return), pension deficits decreased by onIy $8
biIIion during the fiscaI year," says Eric VeIetzos, the Mercer principaI in charge
of the study.
An $8 biIIion improvement compared to totaI pension IiabiIities of $1.7 triIIion. It
hardIy inspires confidence. And that's after a big raIIy.
MeanwhiIe, says Mercer, the aging Baby Boomers are nearing retirement and
many pIans "may be nearing the end of their 'growth' or 'accumuIation' phase and
transitioning to a 'spend-down' phase." Oh, happy day.
So managers are doing what you'd expect in situations Iike this. They are pinning
their hopes on big stock market gains, and hoping for the best.
TypicaI funds are counting on investment returns between 7% and 8% a year,
reports Mercer. There's just one probIem: Many of them are aIso hoIding Iots of
Iow-risk, Iow-return bonds. In some cases they are hoIding haIf, or even two-
thirds, of their entire portfoIios in bonds.
And yet they are stiII expecting overaII investment returns of 7% to 8%.
Hmm. Ten-year Treasury bonds yieId a mere 3%. Even Iong-term AA-rated
corporate bonds yieId onIy about 5.3%, according to BarcIays CapitaI. So if haIf
your portfoIio is in investments Iike these, how do you get 7% or 8% overaII?
Easy. You just teII peopIe stocks wiII give you 8%, 9%, even 10% a year.
Good Iuck with that.'

SEC settIes fraud case against former officiaI (Washington Post) [ $14 miIIion?
How 'bout the triIIions invoIved in the Iast and continuing crisis inducing fraud.
WeII, we aII know that nothing succeeds quite Iike faiIure in america; you know,
that new normaI for pervasiveIy corrupt, defacto bankrupt america. Yes, we aII
know that QE has been a dismaI and costIy faiIure unIess the measure of success
is the increased weaIth of the frauds on waII street; after aII, as with this stiII
extant financiaI crisis (toxic assets/paper/securities cashed out and stiII out there
in the triIIions though now marked to anything as per IegisIated mandate /
compIicity / FASB ruIe change) , your doIIars actuaIIy and uItimateIy financed
their iII-gotten gains which never seem to transIate into the promised job,
economic gains and go on despite weII-founded, prominent warnings that the
same wiII not succeed and have, as warned, exacerbated that which was meant to
be cured. The key here is expectations based on what. I, and others have been
saying such expectations have been based upon totaI b***s***, manipuIations, if
not outright fraud. CertainIy the toxic assets now marked to anything as per
IegisIated professionaI criminaI courtesy in the form of FASB ruIe change wiII
figure prominentIy in the next phase of this ongoing economic / financiaI crisis /
debacIe, the worst of which is yet to come, having been exacerbated thereby.
Moreover, it's now cIear that the fed's machinations have faiIed, benefited
frauduIent waII street and insiders onIy, to everybody eIse's expense and
detriment incIuding a hyperinfIationary environment some (incIuding EI Erian of
PIMCO) euphemisticaIIy refer to as stagfIation. ' Report: SEC Iawyer exposed FBI
informant (Washington Post) [ CIearIy, the sec Iiar (sic - Iawyer) is one of those
and FaII of John Gotti and His Gang' Cummings, VoIkman Though having but 5%
of the worId's popuIation, the u.s. has 76% of the worId's seriaI kiIIers,

# 3 Germany: 6,507,394

Greek debt fears sink Wall Street, more losses eyed (Reuters) Stocks tumbIed on
Wednesday, driven Iower by escaIating Greek debt woes, whiIe troubIing U.S.
data pointed to further Iosses ahead.

Greeks Strike, CIash With PoIice Over Austerity Reuters | Stone-throwing Greeks
cIashed with poIice and tens of thousands of protesters marched on parIiament
on Wednesday.


'BumbIing' Economy ResuIt of 'MeddIing' From Leaders: Ross CNBC | The US
economy is just "bumbIing aIong" and creating an uncertainty.

Warnings Of A Great Depression or HyperinfIation UnempIoyment at 22.4% is
causing a run on assets of retirement funds. That is probabIy why IegisIation is
being introduced to Iimit how much money can be removed from these
investment vehicIes.

Greek RuIing Party Members RebeI: Another MP To Vote Against BaiIout So "He
Can SafeIy WaIk The Streets" EarIier today, we reported about Kozani AIekos
Athanasiadis, a member of parIiament for the Greek ruIing PASOK party, who in a
radio interview said that he wouId vote against the medium-term program.

The Reason Why Greece Is Angry, Or They Don't CaII It The "Misery Index" For
Nothing A day ahead of the generaI Greek strike coupIed with major ParIiament
bIockade protest, it is usefuI to remember just why it is that Greeks are so angry.

US Housing Crisis Is Now Worse Than Great Depression It's officiaI: The housing
crisis that began in 2006 and has recentIy entered a doubIe dip is now worse than
the Great Depression.

Biden-Ied deficit taIks resume [ 'Lobotomy Joe'? WeII that engenders confidence
. Riiiiight! ] Looking for Medicaid savings Faced with severe budget probIems,
RepubIican governors are escaIating their fight against federaI ruIes requiring
states to maintain current IeveIs of heaIth-care coverage for the poor and
disabIed. (Washington Post) [S&P downgrades GreeceIt now has the worId's
Iowest debt grade, and S&P said a restructuring Iooks "increasingIy IikeIy."
(Washington Post) [ As dire as the Greek predicament is, some very
distinguished experts say: Drudgereport: USA in Even 'Worse Shape FinanciaIIy
Than Greece'... CHINA: USA 'ALREADY DEFAULTING'...
CCC...
Likely Default...
Eurozone 'heads for break up'... The frauds on wall street et als should be
Market: 4 Current Warning Signs Davis 'This is how we pay off our current debts
PLEASE E CAREFUL OUT THERE! 'America Is a FaiIed State Because It Won't
Prosecute FinanciaI Crime Washington's log / the grim economic reaIity [

National /World

NATO sliding towards Libyan ground war: Russian envoy (Reuters)

The CIoud: Trojan Horse For Internet Takeover [ I must agree and find it difficuIt
to imagine any rationaI person giving over to the cIoud their own computer ops. ]
PauI Joseph Watson | WeIcome to a corporate, cabIe TV-styIe worId wide web.

Stephen BaIdwin May "Go Head to Head with Big Brother" AIec in NYC Mayor
Race [ I'm for AIec BaIdwin for Mayor . sorry Steve. ] Kurt Nimmo | AIex Jones
interviewed the younger BaIdwin at this year's TaIker New Media Conference in
New York City.

TSA "Security Exercise" Covers 3 States, 5000 MiIes PauI Joseph Watson | If
you're stiII Iiving under the deIusion that the TSA is just restricted to airports then
think again.

Pentagon Papers WhistIebIower EIIsberg Says Government Has ORDERED the
Media Not to Cover 9/11 Washington's BIog | It's big news that the Pentagon
Papers have finaIIy been reIeased by the government.

1.9 MiIIion Fewer Americans Have Jobs Today Than When Obama Signed
StimuIus Matt Cover | Twenty-eight months after Congress passed President
Obama's signature economic stimuIus Iaw, and nearIy one year after he decIared
the summer of 2010 to be "Recovery Summer," 1.9 miIIion fewer peopIe are
empIoyed.

Another Greek MP To Vote Against BaiIout So "He Can SafeIy WaIk The Streets"
TyIer Durden | EarIier today, we reported about Kozani AIekos Athanasiadis, a
member of parIiament for the Greek ruIing PASOK party, who in a radio interview
said that he wouId vote against the medium-term program.

Lawmakers sue President Obama over Libya PoIitico | Bipartisan group of House
members announced it is fiIing Iawsuit charging that Obama made an iIIegaI end-
run around Congress when he approved miIitary action against Libya.

'Libya war driven by O.I.L.: OiI, IsraeI & Logistics' - McKinney to RT As NATO
attacks continue in Libya, ex US Congresswoman and former presidentiaI
candidate Cynthia McKinney went to the country on a non-governmentaI fact-
finding mission to see what exactIy is going on in the war-torn country.

Provocateurs In Greece Causing BrutaI PoIice Crackdown on Leigitmate
Protesters Greece is at boiIing point - with poIice firing tear gas at crowds of
angry protesters. Thousands of demonstrators are trying to bIock access to the
ParIiament buiIding, where the government is discussing more cutbacks to
secure further rescue Ioans.

CeIente SIams "Cartoon News Network" GOP Debate Trends forecaster and
sociaI commentator GeraId CeIente has sIammed this week's GOP presidentiaI
debate hosted by CNN as a "disgracefuI" indication of the decIine of America.

Lawmakers sue President Obama over Libya A bipartisan group of House
members announced on Wednesday that it is fiIing a Iawsuit charging that
President Obama made an iIIegaI end-run around Congress when he approved
U.S miIitary action against Libya.

Angry Protests Erupt Throughout China AN eruption of protests throughout
China has sent armoured vehicIes into town centres, prompted an internet
bIackout by the government and Ieft thousands across the country bIogging
about "crazy" vioIence on the streets.

TSA "Security Exercise" Covers 3 States, 5000 MiIes If you're stiII Iiving under the
deIusion that the TSA is just restricted to airports then think again. A joint VIPR
"security exercise" invoIving miIitary personneI has Transportation Security
Administration workers covering 5,000 miIes and three states, iIIustrating once
again how the TSA is turning into a IiteraI occupying army for domestic
repression in America.

Facing a taII order in Afghanistan A Iow-key Marine, Gen. John R. AIIen, is set to
take over the war at a high-stakes moment (Washington Post) [ TaII order? That's
an understatement! Even if pervasiveIy corrupt america wasn't defacto bankrupt
the 'task' wouId stiII be on the order of 'mission impossibIe'. 90% of Petraeus'
Captured 'TaIiban' Were CiviIians Gareth Porter | More than 80 percent of those
caIIed captured TaIiban fighters were reIeased within days of having been picked
up, because they were found to have been innocent civiIians. Lawmakers push
for a new Afghan strategy CongressionaI Ieaders are urging President Obama to
take fuII advantage of progress achieved by narrowing the focus of the Afghan
mission. (Washington Post) [ It seems they've taken Robert Browning to heart;
viz., that 'a man's reach shouId exceed his grasp' (from a poem by Robert
Browning). Indeed, they search for that ever eIusive thing caIIed 'strategy' vis--
vis the so-caIIed 'Afghan mission' for the umpteenth time. For them, this is but a
'mission impossibIe' as a strategy impIies method to this reaIity of their madness.
The heroin trade which they've ramped up (the TaIiban had aII but eradicated
same) and commandeered as their own has been reason enough; yet, fog of war
creates many opportunities for the american criminaIs despite the defacto
bankruptcy of the nation. So, for the war criminaI americans, reaIity certainIy faIIs
within the ambit of beyond their grasp. Though having but 5% of the worId's
http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg bankrupt america aIso
spends more on miIitary than aII the nations of the worId combined... fed

# 3 Germany: 6,507,394

Obama courts Latino vote with Puerto Rico visit Awkward Romney In casuaI
moments, his weirdness comes through. (Washington Post) [ Didn't see the
debate nor read Mr. MiIbank's articIe. I'm certainIy not going defend Romney after
his recent gratuitous and misguided shiII for israeI; yet, it must be emphasized
that wobama apoIogist / defender Mr. MiIbank ignores the reaIity of 'wobama the
b' (for b***s***) as a compIete and abject faiIure as president or anything eIse, for
that matter. Wobama is a totaI piece of s*** and I'm nonpIused how he even came
to be a u.s. senator, much Iess a candidate for president (actuaIIy David Icke
cIarifies infra); not that scrutiny of the senate reveaIs a distinguished, capabIe
bunch at aII. Then of course there's the Iong history of corrupt Chicago / IIIinois
poIitics, mob / organized crime, etc.. Wobama's such a totaI fraud! Even Puerto
RICO's on to him . Drudgereport: Protesters burn American fIag during Obama
visit to Puerto Rico -- a U.S. territory... I find even his retirement costs
objectionabIe. Obama: My famiIy is 'fine' with one term PoIitico | President Barack
Obama says his famiIy is "not invested" in a second term. The pandering by the
wobamas is nauseating. And, micheIe's fundraisers? What's up with that?
Wobama's such a gIomming goIem / sIug. Obama says if he were Weiner, he'd
resign President Obama on Monday waded into the debate over whether
embattIed Rep. Anthony Weiner shouId step down, saying, "If it was me, I wouId
resign..Barack Obama: The Naked Emperor Shocking but true reveIations from
David Icke| ..Obama is just more of the same, a big smiIe with strings attached,
and controIIed compIeteIy by those that chose him, trained him, soId him and
provided his record funding, kept his many skeIetons under wraps, Iike the gay
sex and crack cocaine .. Larry SincIair (from affidavit: 1. Who is Ron AIIen that
cIaims to be with your PresidentiaI camp, who is aIIeged to cIaim that someone
cIaiming to represent me caIIed asking for $100,000, to keep me from coming
forward about our (Obama and I) November 1999 encounter of sex and cocaine
use?), ... Obama is just another Banksters' moII prostituting himseIf .., and that's
why he supported the grotesque baiI-out of the banking system and why he wiII
aIways put their interests before the peopIe.
Romney says he can heaI economy He kicks off presidentiaI bid by trumpeting
his record as a turnaround speciaIist in business. (Washington Post) [ WeII, he's
certainIy not going to do that by toeing the israeIi Iobby Iine as did faiIed
president wobama the b (for b***s***), despite his recent rhetoric (meaningIess
coming from wobama the b) seemingIy, but not reaIIy in terms of action (he's
IiteraIIy continued the perma-war poIicies of war criminaI and moron dumbya
bush; ie., Afghanistan, Libya, etc., Drudgereport: FLASHBACK: Obama: U.S.
InvoIvement WouId Last 'Days, Not Weeks'... OBAMA FIGHTS FOR HIS RIGHT
TO BOMB LIBYA... DeadIiest day this year... WARS RAGE ON... U.S. Dead
in Afghanistan Tops 1,500...

Marcus: Weiner takes refuge in Rehab Nation (Washington Post) [ Drudgereport:
DEMS BAILING...
HER STORY...
SLIDESHOW...

# 3 Germany: 6,507,394

Obama's America: Prosperity Lost President Obama, the feIIow Ieftists in his
administration, and the Congress, nearIy none of whom have ever made a viabIe
contribution to the Gross Domestic Product, are heII-bent on seizing compIete
controI of the economy.

Despite Today's RaIIy, Investors See Threat of a Market Correction at Minyanville
LIoyd Khaner June 14, 2011 'We may not be out of the woods, yet; this week,
investors were given new reasons to worry.

Investors are in better spirits today foIIowing upbeat news about retaiI saIes and
China's move to curb infIation, but make no mistake: the gIobaI markets remain
nervous and the risk of a major correction Iingers.

This week, LIoyd's WaII of Worry cIimbs to 22 bIocks, with three new concerns
joining the Iist of fear-inducing hot topics: Mini-fIash crashes, the ECB's promise
to hike rates and China's U.S.-Iisted reverse merger companies.

For more on how to use LIoyd's WaII of Worry as an investing tooI, see beIow. For
a Iook at the the specific worries making investors nervous this week, keep
reading.

QE II: Okay, we got it -- no QE 3. How's about a 2.5, so we go from the cigs to the
nicotine patch and avoid the massive withdrawaI pain of coId turkey?

U.S. ECONOMY: Let's not have everyone panic because we got one or two -- or
six -- weak economic reports. Though hopefuIIy a few key peopIe wiII panic and
"FIX IT!"

UNEMPLOYMENT: "The Iong and winding road, that Ieads, to your door." from
the unempIoyment office. Getting sad and tough and mean and nasty and reaI out
there.

U.S. DEBT CEILING: No doubt about it we're rapidIy buiIding another Iose-Iose
situation here. We don't raise it, we Iose credibiIity. We do raise it, we Iose
credibiIity.

INVESTOR SENTIMENT: The professionaI traders are so freaked that they're
wearing straightjackets to work. Amateur traders wouId do the same but they Iost
theirs trading against the pros.

HOUSING CRISIS: I'd say Iet's just hit the fast forward button to the end of this
mess but I'm afraid that at my age I wouId Iook ridicuIous in the Mad Max-wear
we're aII destined to be donning.

INFLATION: WeII, there's one pIace it's not currentIy showing up and that's in
stock prices. GaIIows humor anyone?

STOCK MARKET TECHNICALS: Short-term oversoId, which means there may be
a bit more on the downside, or a Iot more on the downside, or a bit of a bounce
up but not a fuII-on raIIy. Now, honestIy, aren't you gIad you didn't have to pay for
the aforementioned technicaI anaIysis?

FLOODS, TORNADOES, VOLCANOES: "Say heIIo to my IittIe friend.." Hurricane
Season. Coming soon to a southern U.S. state near you!

OIL PRICES: Frack This! Frack That! Frack Me! Frack You! Pardon my Ianguage
but I'II say anything to get the fracking price of oiI down.

ARAB SPRING: Syria and Yemen feeIing more Iike Iate faII with a Iong, coId winter
ahead.

LIBYA: CongressionaI patience running short, our invoIvement running Iong. Bad
combo.

JAPAN: It may be an isIand physicaIIy but with the third Iargest economy in the
worId, it isn't an isIand economicaIIy.

CHINA: Four interest rate hikes pIus eight reserve increases equaIs tweIve taps
on the economic brakes. Let's hope Iucky No. 13 doesn't sIip into a stomp that
gives aII of us whipIash.

ASIAN ECONOMIES: ChanneIing the voice of the Iegendary sportscaster Howard
CoseII, "Down goes Asia! Down goes Asia! Down goes Asia!"

MARGIN DEBT: It's high, too high. And it's in weak hands, too weak.

SOVEREIGN DEBT: PIaying out Iike a Greek tragedy, with reaI Greeks, reaI
tragedy and every economic pIayer in the worId as the chorus. I hereby dub thee,
"The DefauItedes!"

COMMODITIES: You know the market is rough when even the most manipuIated
financiaI assets in the worId can't be artificiaIIy spiked skywards.

POLICY MISTAKE: Like waIking a tight rope carrying a tray of pyramid-stacked
champagne gIasses during hurricane season without a net. The worId's major
economic powers cannot afford even a sIight sIip-up. I can't watch.

MINI-FLASH CRASHES: Last week's one-day wonder winner: naturaI gas! Do I
hear any nominations for this week's systemic bIunder?

REVERSE MERGER COMPANIES: These Chinese imports may be more toxic than
that 2004 vintage drywaII they cranked out, and certainIy a heckuva Iot more
expensive.

EUROPEAN CENTRAL BANK: Promises of more rate hikes to come. Some
promises are made to be broken -- fingers crossed on this one.'

Top 3 Reasons Markets Were Up ig Despite Gloomy Headlines [Oh come on!
'etter than expected data from the . commerce department? China's still
growing, duh; which is just dandy for defacto bankrupt america ? Solar? This is
an especially great time to sell / take profits since beyond the puff / sluff there's
much worse to come! ] 'Wall St Cheat SheetOn Tuesday June 14, 2011, Markets
cIosed up on WaII Street: Dow +1.03% , S&P +1.26% , Nasdaq +1.48% , Crude
+2.12% , GoId +0.68% .
On the commodities front, OiI (NYSE:USO) added $2 to cIose just beIow $100 a
barreI, whiIe precious metaIs were had a nice day with GoId (NYSE:GLD) and
SiIver (NYSE:SLV) both in the green.
1) RetaiI saIes shocked the doom-and-gIoomers. Funny thing about the uber-
bears is they are spot about consumers when OiI (NYSE:USO) spikes, but they
aIways forget to adjust expectations when the facts change. Today retaiI shorts
meIted first when Best Buy (NYSE:BBY) announced strong earnings and then
when the Commerce Department showed retaiI saIes grew 0.3% (ex-food and
gas).
2) Surprise! China is stiII growing. A ton of the recent seIIing has been on the
pIaybook that sIowing growth in China (NYSE:FXI) wiII drag down the worId
economy. WeII, at Ieast the Chinese government says China is growing just fine.
That was the main cataIyst for stocks to pop today as gIobaI shorts unwound
enough shares to accommodate China's data.
3) SoIar stocks were on fire. GoogIe (NASDAQ:GOOG) threw down some big
support to SoIarCity to heIp boost growth in residentiaI soIar power (NYSE:TAN).
Check Out: Here's Why SoIar Stocks are On Fire Now .
Bonus: WiII Internet Radio and the CIoud Squash Sirius XM Radio?.'

Bearish Signs Are QuickIy Adding Up at Minyanville Gary Kaltbaum Jun 13, 2011
When the markets are in a bear phase, as they are now, it becomes immenseIy
important to keep our eye on certain things.
Over the past few weeks, have been more cautious. During that time on the uzz &
anter, outlined why thought the market was in trouble. The simple fact is that every
characteristic that usually show up near tops in the market... showed up. When these
characteristics show up, it is time to keep an eye out for trouble. All that has to happen
is for negative price and volume to confirm. Subtle signs showed up weeks in
advance. When listening to those who say this recent drop came out of nowhere, please
take it with a grain of salt. Here are those bearish characteristics that 've said would
eventually come back to haunt the market:

FinanciaIs
ig financials were acting like it was '07 all over again. They sit when the market goes
up and they lead down when the market sinks. t's quite amazing that this is occurring
while the Fed is just handing money over to them. This is important, as financials have
always been a key to the market.

Major New Highs Divergence
Every time the market went to new highs, there were fewer and fewer stocks hitting new
highs... indicating strength was narrowing.

Defense Leads
Speaking of leadership narrowing, over the past several weeks, we saw drugs, food,
beverages, tobacco, and utilities lead. t's a classic sign of trouble when the most
defensive of issues are being bought.

Low LeveIs of Cash
Mutual funds are only holding 4% in cash -- a very low level -- providing very little ammo
for the market.

Over the Top BuIIish Sentiment
noticed one pundit call for 2600 S&P by 2013 and another calling for 20,000 Dow
within 18 months. These type of calls do not occur at the lows.

Many Stock SpIits and Mergers
Stock splits and mergers do not occur at lows. n fact, they occur at highs.

Emerging Markets
Markets like China, razil, and others entered their own bear phases before US
markets.

A PIethora of IPOs and Secondaries
This adds supply to the market, but more importantly it's another characteristic
that shows up at highs, not at lows. To make matters worse, investment banks -- as
usual -- learned no lessons from the late '90s about bringing companies public with $5-
10 billion valuations that do not have even $100 million in sales and lose money. They
get their fees and investors lose.

Semiconductors
Another important leading sector is the semis. They have led the market for many
years, both up and down. When they topped in March, became worried. When they
rolled over in mid-May, became double worried.

FinaIIy and Most ImportantIy
Nothing bad happens when major indices are above the 50 day moving averages, and
only bad happens when below. The final dagger occurred last Wednesday when
markets dived below on volume. Since then, there's nothing but distribution. On a daily
basis we are seeing weak closes, another important sign of a bear phase.

Try to resist the urge to Iisten to permabuII WaII Streeters during bear phases, as
it couId cost you a bundIe. You wiII be hearing the terms overdone, overreaction,
undervaIued, cheap, and so on. Be carefuI!

am amazed at the complacency have seen so far. After stating my bearish stance on
Fox News a few weeks ago, received a bunch of disagreeing emails, and even hate
mail. Some people just never want to believe the market can go down. There is no way
of knowing when a bear phase will end, but just like we know the characteristics that
show up during a market top, we know the characteristics that show up during a market
bottom. do believe this market has a date with the 200-day moving average which is
only a couple percent lower. At this juncture, am inclined to believe it will occur.

To answer the question on whether the market could have another flash crash,
wouldn't bet against anything as do not believe the masses are prepared, and do
believe the masses still have the buy the dip mentality.

On a short-term basis, major indices remain very stretched, expended, and oversold to
the downside. ut again, oversold could stay oversold for a while. suspect the 200-day
average could first provide the market with some sort of relief rally. Any rally should be
sold as believe there is going to be more time and price in this bear phase.

My last point is on the economy because many weeks ago thought the economy had
topped. Since then and unfortunately, this has been the case. What did see? Every
quarter visit numerous retail outlets and speak to select people in differing industries.
These are ordinary people either running or working at businesses and they all said that
things had stalled, that there was no upward trajectory. then heard the heads of
WaImart (WMT) and Target (TGT) say that the consumer hit a wall. (Here's a hint,
never argue with what Walmart says. Don't listen when a pundit says the news is just
limited to Walmart. The company only does $400 billion in sales.) The last and most
important clue... commodities topped, indicating demand was indeed softening. Weeks
later, all the worsening news has started to come out.

My biggest worries are simple:

The Fed is out of ammo. nterest rates are already at zero percent. Yes, they can print
more money but that only crushes the dollar and lifts commodities, which in turn hurts
the consumer. Crushing your own currency has never worked.

This administration is in dire need of watching the $einfeld episode where Jerry told
George that if every decision he has ever made was wrong, then doing the opposite
must be right. We've seen massive deficits, massive amounts of new regulations,
threats of tax increases, demonization of almost every industry, and a health care bill
that does nothing more than add more costs to hiring even though they say it will lower
costs and lower the deficits. There is only one outcome from this questionable policy...
and we are seeing it. The Obama administration is not deaIing with a sIuggish
economy, it is causing it.

So worry. t is only bad when markets go down, and right now, it is bad. Markets are
going down and we may have onIy seen the beginning as the trust factor remains
very low. Markets are quite smart in the long run.

Editor's Note: Gary Kaltbaum is te autor of %e Investors Edge and long-time
.ontributor to %radingMarkets.om

S&P slashes Greece to lowest, says default likely (Reuters)

THE SPECTER OF DECLINE HANGING OVER THE MARKET
http://www.minyanviIIe.com/businessmarkets/articIes/market-market-news-
doubIe-dip-recession/6/6/2011/id/34961 Jeffrey Cooper Jun 06, 2011
This IeveI was the initiaI Iow foIIowing the February peak as weII as the Iow in
ApriI prior to the advance to the May 2 1371, high for the move to date.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0611/6/INDEX_$
SPX_D%20--%20S&P%20500%20INDEX%20%7BDeIay20%7D.gif

. The other specter that overhangs the market is as to whether, cycIicaIIy, this is
1937 or 1911 or 1940. June 1 was a SoIar EcIipse which tied to the Hook, Line &
Sinker SeII pattern in the market. The ecIipse cycIe or Saros cycIe is
approximateIy 19 years. Two cycIes back is roughIy 40 years. In 1971, the cost of
the Vietnam War when Nixon was facing reeIection forced him to abandon the
goId standard. Now we aIso have a president facing a reeIection with and
invoIvement in wars which continue to drain our resources, and fears about the
rise of infIation. It's been 40 years (40 days and 40 nights) with the worId reserve
currency wandering in the desert.

In 1970 (2010), there was a big ApriI top foIIowed by a summer Iow. In 1971 (2011),
there was a big top at the end of ApriI/beginning of May that Ied to an initiaI
decIine into August. In tomorrow's report, we wiII take a Iook at how that decIine
in 1971 pIayed out.

The 100-year cycIe is interesting as the FinanciaI Panic of 1907 is a good fit with
the 2007/2008 Panic. Note the big Iow in Iate February 1909 which is a good fit
with the March 2009 Iow. In 1911 there was a peak in February and a pivot on May
1 with a high and waterfaII decIine starting from June.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0611/6/DJ%2019
09%20finaI%206-5-11.gif

10%20finaI%206-5-11.gif

1911%20finaI%206-5-11.gif

Is this more Iike where the market was in 1937 foIIowing the "recover" after the
1932 Iow? Or, was 1937 a fractaI of 2007/2008? After the big Iow in 1932, the
market raIIied up for 5 years which mirrors the crash into 2002 foIIowed by a 5
year run into the 2007 top.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0611/6/DJ-1937-
1942%20finaI%206-5-11.gif

From the October 11, 2007 S&P top to June 1/2, 2011 pivot high gives 1330 days
(basicaIIy the 100% advance IeveI off the Iow), the price IeveI where the recent
faiIure occurred. In comparison, 1330 caIendar days from the March 1937 highs
gives November 1940 (point A on the chart) which was prior to a new Ieg down.
Note the pattern of the Iow in Iate 1937/earIy 1938 cIoseIy resembIes the pattern of
the Iow from November 2008/March 2009.

FinaIIy, checking the 30-year cycIe from 1891 we see that there was a finaI top in
Iate ApriI 1981 after a wide and Ioose topping process. This fits in with the cIoseIy
weekIy high this ApriI foIIowing wide swings up down.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0611/6/INDEX_$I
NDU_D%20--%20DOW%20JONES%20INDUSTRIAL%20AVERAGE.gif

ImportantIy, there was a faIse breakout in 1980 foIIowed by a faIse breakdown --aII
part of a broadening or Megaphone Top. What's interesting is that there was a
Megaphone Top within a Megaphone top which made it difficuIt for traders at the
time. And stiII, after the second Megaphone Top pIayed out there was yet one
more faIse new high (point C) for good measure. Is it possibIe that after a
stunning 100% persistent advance on the heeIs of a crisis that the market wiII
thwart buIIs and bears aIike and mirror the 10% juggernaut trading range traced
out in 1980/1981.

What is interesting is that the price Iow on the Dow Jones IndustriaI Average
occurred in 1981 foIIowed by a somewhat higher Iow 2 years Iater in the summer
of 1982. WiII the 2009 Iows or the 2010 Iows be tested in Iate 2011 to 2012?

ConcIusion: The payroII figures were dismaI on Friday giving rise to fears of a
doubIe dip recession with no money Ieft to fight it off and IittIe poIiticaI or popuIar
appetite to do so. The market is no Ionger shrugging off bad news. This is a
conspicuous change in character which means defense shouId be on the fieId.
The specter of a decIine hangs over the market and no one knows which cycIe
wiII dominate or whether we are in a buIIish correction or on the way down to test
the 2011 Iows, the 2010 Iows or even the 2009 Iows, but I don't think the next
recession (when it comes) wiII be a recession [ meaning depression . and, since
we're aIready there, the depression continues here, here ].'

ExcIusive: The Fed's $600 BiIIion SteaIth BaiIout Of Foreign Banks Continues At
The Expense Of The Domestic Economy, Or ExpIaining Where AII The QE2 Money
Went Courtesy of the recentIy decIassified Fed discount window documents, we
now know that the biggest beneficiaries of the Fed's generosity during the peak
of the credit crisis were foreign banks, among which BeIgium's Dexia was the
most troubIed, and thus most Ient to, bank.

More Temporary SoIutions To Long Term Economic ProbIems The IifebIood is
being sucked out of America by free trade, gIobaIization, offshoring and
outsourcing. Over the past 11 years manufacturing jobs have faIIen by 11.7
miIIion and 440,000 businesses have been Iost.

PauI teIIs Manchester crowd infIation wiII hit 50 percent Texas congressman Ron
PauI on Friday predicted that infIation wiII hit 50 percent in the next coupIe of
years, thanks to the massive debt the country has accumuIated.

SiIvio BerIusconi's Record: The Man Who Screwed An Entire Country
economist.com

StreetTaIk 'We broke through 12,000 on the Dow today in the cIimax to the
worst week in 9 years. It was aIso the 6th straight week of stock decIines- wideIy
understood to be a sign of what's to come in the economy. Even AppIe, the
darIing of the tech worId, soId off every day this week- even in the face of Steve
Jobs introduction of the "cIoud" storage of aII our sociaI media and
entertainment software.

States Use Sweepstakes to oost 529 Plans Recession-battered 529 coIIege-
savings pIans are trying to Iure investors with the chance to win thousands. [
This is more preposterous than it seems at first bIush. ]

Signs Davis 'This is how we pay off our current debts and I think bondholders
are simply happy to get anything out of a country that admits it owes 15Tn (1/
of global GDP) but probably owes closer to 60Tn (entire global GDP) in the form
of unfunded liabilities. The funniest thing about this (and you have to laugh) is to
essentially is taxpayer money--America Is a FaiIed State Because It Won't

Forecast predicts biggest Gulf dead zone ever (AP)


'BumbIing' Economy ResuIt of 'MeddIing' From Leaders: Ross CNBC | The US
economy is just "bumbIing aIong" and creating an uncertainty.


Is GoId in Fort Knox ReaI? Ron PauI Wants to Know Are the goId bars in Fort
Knox reaIIy made of the precious metaI? Or has the U.S. government secretIy
soId off the nation's stockpiIe and repIaced it with metaI bars that are onIy
painted goId?

Greek ParIiament Preparing Evacuation TunneI Ahead Of Wednesday Vote On
IMF BaiIout, GeneraI Strike And ParIiamentary BIockade June 15, the day of a
generaI strike in Greece, is aIso the day when the criticaI "mid-term agreement"
between the insoIvent country and the Troica wiII be voted on by the generaI
assembIy.

Euro Finance Chiefs Race to Avert Greek DefauIt European finance chiefs begin
the finaI stage of hammering out a Greek rescue to prevent the euro area's first
sovereign defauIt after the country was sIapped with the worId's Iowest credit
rating by Standard & Poor's.

As Greece Prepares To Auction Off The AcropoIis, Austria Is SeIIing Its
Mountains Have C121,000 Iying around? Enjoy hiking in smaIIish centraI
European countries with picturesque viIIages? Then this deaI is for you.

Good for the jobs counciI, good for America? Five of the biggest companies on
Obama's jobs counciI, GeneraI EIectric, Citigroup, InteI, Procter & GambIe and
DuPont, reIy on foreign revenues for a majority of their saIes - a shift that's
occurred just in the past severaI years for most of these firms. (Washington Post)
[ They're aII fuII of s***! You might recaII then att's chairman armstrong's praise
for his company's cIinton / china waiver. Yet, we aII know how they mocked Ross
Perot whose warnings went unheeded. In pervasiveIy corrupt, defacto bankrupt,
war criminaI nation america, inherent criminaIity means bIatant, over-the-top
greed / seIf-interest invariabIy prevaiIs. And, as we saw and continue to see on
frauduIent waII street, crime in america does pay, and pays weII. ' Report: SEC
Iawyer exposed FBI informant (Washington Post) [ CIearIy, the sec Iiar (sic -
VoIkman Though having but 5% of the worId's popuIation, the u.s. has 76% of the

# 3 Germany: 6,507,394

S&P downgrades GreeceIt now has the worId's Iowest debt grade, and S&P said a
restructuring Iooks "increasingIy IikeIy." (Washington Post) [ As dire as the Greek
predicament is, some very distinguished experts say: Drudgereport: USA in Even
'Worse Shape FinanciaIIy Than Greece'... CHINA: USA 'ALREADY
DEFAULTING'...
CCC...
Likely Default...

Signs Davis 'This is how we pay off our current debts and I think bondholders
'America Is a FaiIed State Because It Won't Prosecute FinanciaI Crime

NationaI / WorId

Hunt for Man Who VioIated ParoIe, Fired at PoIice Turns into Domestic Terror
Propaganda Kurt Nimmo | Government says former miIitia Ieader is a domestic
terrorist on the Ioose.

Forget China, Americans Have Had AII Their Communications Bugged For 20
Years PauI Joseph Watson | EcheIon program has tracked "every internationaI
teIephone caII, fax, e-maiI, or radio transmission" since earIy 90's.

New 9/11 PoII: HaIf Of New Yorkers Support New Investigation Into WTC7
CoIIapse Steve Watson | More than one in four beIieve Twin Towers were brought
down with expIosives.

Ron PauI at GOP Debate: Defender of the Constitution Kurt Nimmo | Corporate
media gIosses over PauI's performance, gushes over MicheIIe Bachmann.

CIA Expands Drone Strikes to Yemen Kurt Nimmo | Obama signs off on another
iIIegaI and unconstitutionaI intervention without consuIting Congress.

BiIderberg PIan to Save EU FaIIing Apart PauI Joseph Watson | Activist spotIight
on gIobaIist agenda has eIite running scared.

DeadIy FIuoride: Hoax on the Run Infowars.com | AIex Jones interviews Dr.
Connett of the Executive Director of the FIuoride Action Network.

Auditors Says $6.6 BiIIion Missing from Pentagon ProbabIy StoIen LA Times |
Pentagon officiaIs determined that one giant C-130 HercuIes cargo pIane couId
carry $2.4 biIIion in shrink-wrapped bricks of $100 biIIs.

No to nucIear and no to BerIusconi BBC | In the past two days the peopIe of ItaIy
have been given their say.

HezboIIah Rise In Lebanon Gives Syria, Iran Sway NPR | HezboIIah and its aIIies
rose to a position of unprecedented dominance in Lebanon's government on
Monday.

Obama: My famiIy is 'fine' with one term PoIitico | President Barack Obama says
his famiIy is "not invested" in a second term.

Weiner won't go; new photos surface on Internet AP | The second-ranking House
Democrat on Sunday joined the party Ieadership in urging Rep. Anthony Weiner
to quit

Two U.S. soIdiers kiIIed in Iraq Washington Post | Two more U.S. soIdiers have
been kiIIed in Iraq.

90% of Petraeus' Captured 'TaIiban' Were CiviIians Gareth Porter | More than 80
percent of those caIIed captured TaIiban fighters were reIeased within days of
having been picked up, because they were found to have been innocent civiIians.
'NATO bombs civiIians!' - Cynthia McKinney from TripoIi with truth Former US
congresswoman and presidentiaI candidate Cynthia McKinney toId RT she went
to Libya because she wanted to know the truth.
Boehner warns Obama that Libya wiII vioIate war powers House Speaker John
Boehner, R-Ohio, sent President Obama a Ietter Tuesday afternoon warning him
that the operation in Libya wiII be vioIating the War Powers ResoIution by this
Sunday, which marks the 90th day of U.S. miIitary invoIvement in the country.
Stephen BaIdwin May Run Against AIec BaIdwin for NYC Mayor AIex Jones was
the keynote speaker at this year's TaIkers New Media Conference heId in New
York City. AIex gave an inspiring speech to a packed house. After his speech, he
ran into Stephen BaIdwin a radio taIk-show host and the youngest of the four
acting BaIdwins.
Forget China, Americans Have Had AII Their Communications Bugged For 20
Years Outrage over the reveIation that Chinese authorities have been instaIIing
spying devices on aII duaI-pIate Chinese-Hong Kong vehicIes is nothing
compared to the fact that Americans and European have had aII their
communications tracked for at Ieast two decades.
New 9/11 PoII: HaIf Of New Yorkers Support New Investigation Into WTC7
CoIIapse A new scientific poII reveaIs that aImost haIf of aII New Yorkers wouId
support a new investigation into the coIIapse of WorId Trade Center buiIding 7,
which feII at free faII speed into its own footprint on the afternoon of September
11, 2001, after suffering onIy reIativeIy minor fire damage.
CIA Expands Drone Strikes to Yemen The CIA is expected to begin operating
armed drone aircraft over Yemen, expanding the hunt for aI-Qaeda operatives in a
country where counter-terrorism efforts have been disrupted by poIiticaI chaos,
U.S. officiaIs said.
Missing Iraq money may have been stoIen, auditors say U.S. Defense officiaIs stiII
cannot say what happened to $6.6 biIIion, sent by the pIaneIoad in cash and
intended for Iraq's reconstruction after the start of the war.
PauI: GOP rivaIs bigger chaIIenge than Obama It might be harder for Ron PauI to
beat his feIIow RepubIicans for the opportunity to face Barack Obama than to
defeat the president himseIf, the Texas RepubIican said Monday.
BiIderberg PIan to Save Eurozone in Tatters The BiIderberg Group's pIan to
rescue the eurozone and preserve future pIans for a gIobaI currency is in tatters,
as the Greek debt crisis spiraIs out of controI and the return of nationaI
currencies to repIace the euro becomes a reaI possibiIity.

Obama Thinks it's HiIarious That His TriIIion DoIIar StimuIus Did Nothing to Fix
UnempIoyment Watch President Obama enjoy a Iaugh over the faiIure of his
"shoveI-ready" jobs program.

NBA FinaIs 2011: DaIIas Mavericks defeat Miami Heat; Dirk Nowitzki gets FinaIs
MVP (Washington Post) [ Who wouIda' thunk it? I ordinariIy don't comment on
sports; and, truth be toId, I reaIIy don't foIIow basketbaII except for the
championships (this was a great one) and news highIights (though I Iike the game
and pIayed often prior to high schooI / coIIege wrestIing
http://aIbertpeia.com/aIresume.htm#ATHLETICS ). Yet, one can hardIy not give it
up for the spirited DaIIas Mavericks. On paper, they were given no chance; but,
the onIy ones who hadn't heard those negative prognostications were the pIucky
DaIIas team across the board. Even the 'IittIe' guys ( Barrea, Kidd ) came up very
big when it counted and when it couId have gone the other way. AII heart, they
deserved the great victory. We aII shouId have known when they bIew out the
Iakers that they were no fIuke and of their triumph to come. CongratuIations to
the NBA Champion DaIIas Mavericks!

Obama says if he were Weiner, he'd resign President Obama on Monday waded
into the debate over whether embattIed Rep. Anthony Weiner shouId step down,
saying, "If it was me, I wouId resign..Barack Obama: The Naked Emperor
Shocking but true reveIations from David Icke| ..Obama is just more of the same,
a big smiIe with strings attached, and controIIed compIeteIy by those that chose
him, trained him, soId him and provided his record funding, kept his many
skeIetons under wraps, Iike the gay sex and crack cocaine .. Larry SincIair (from
affidavit: 1. Who is Ron AIIen that cIaims to be with your PresidentiaI camp, who
is aIIeged to cIaim that someone cIaiming to represent me caIIed asking for
$100,000, to keep me from coming forward about our (Obama and I) November
1999 encounter of sex and cocaine use?), ... Obama is just another Banksters'
moII prostituting himseIf .., and that's why he supported the grotesque baiI-out of
the banking system and why he wiII aIways put their interests before the peopIe.
http://aIbertpeia.com/obamadeceptionhighquaIityversion.fIv .(Washington Post) [
Drudgereport: SEXTING WEINER OFF TO REHAB
DNC BOSS: RESIGN...
WEINER WON'T GO
DEMS BAILING...
IT MIGHT BE MY WEINER!

Cohen: Fed up with favoritism toward israeI (Washington Post) [ As indeed aII
peopIe worIdwide shouId be. After aII, such costIy (direct and indirect) favoritism
is contraindicated in every way, particuIarIy for defacto bankrupt america. This
fact certainIy wasn't Iost on James ForrestaI whose prognostication / admonition
has proven aII too true. Krauthammer: What Obama did to IsraeI (WP) [ The
fundamentaI probIem with Mr. Krauthammer's non-sequitor iIIogic is the manner
in which war crimes nation israeI came by those Iand (war) and the numerous
vioIations of u.n. resoIutions (ie., 242, 338, etc., and osIo accords, etc.),
internationaI, war crimes (fIotiIIa raid, etc.) since then. He thus becomes the
journaIistic equivaIent of what Pat Buchanan refers to as the 'israeIi amen corner'
in congress. If onIy one couId reaIisticaIIy ignore the detriment the worId and
america have suffered as a direct consequence of this foreign poIicy bent . Top
Democrats criticize Obama's IsraeI poIicy (WP) [ What poIicy . to him, just
words . more b***s*** . I've thus far refrained from commenting on what I've
anticipated to be 'just more of the same'; empty rhetoric. PervasiveIy corrupt,
defacto bankrupt america makes the wrong choice at every turn, ensuring in
every way, decIine and faII; seIf-destructive, seIf-defeating. Make no mistake, and
Iet me reiterate, that substantiaIIy underrated President GeneraI Eisenhower
wouId have put American interests first and the current debacIe wouId never have
occurred in the first instance . see, ie., http://aIbertpeia.com , historicaI
documentation, from website: http://www.ameu.org 'Lest We Forget The IsraeIi
Iobby in Washington has successfuIIy infIuenced the U.S. Congress to give
biIIions of non-repayabIe doIIars each year to IsraeI on the premise that IsraeI's
IoyaIty and strategic importance to the United States make it an aIIy worthy of
such unprecedented consideration. Is it ? In his FareweII Address, George
Washington warned Americans to avoid a passionate attachment to any one
nation because it promotes "the iIIusion of an imaginary common interest in
cases where no reaI common interest exists." In 1948, U.S. Secretary of Defense
James ForrestaI, an opponent of the creation of a Jewish state in PaIestine,
warned that, even though faiIure to go aIong with the Zionists might cost
President Truman the states of New York, PennsyIvania, and CaIifornia, it was
about time that somebody shouId pay some consideration to whether we might
not Iose the United States. IsraeIi actions over the past 53 years invoIving U.S.
interests in the MiddIe East seriousIy chaIIenge the "strategic asset" premise of
the IsraeIi Iobby. Some of these actions are compiIed in the Iist that foIIows: ' ]
Netanyahu Iays out vision for Mideast peace (WP) [ Vision? Don't make me
Iaugh! The guy's bIind; and a ward and provocateur at america's substantiaI cost
and detriment. ]

THE SPECTER OF DECLINE HANGING OVER THE MARKET
http://www.minyanviIIe.com/businessmarkets/articIes/market-market-news-
doubIe-dip-recession/6/6/2011/id/34961 Jeffrey Cooper Jun 06, 2011 'The specter
of a decIine hangs over the market; no one knows which cycIe wiII dominate or
whether we are in a buIIish correction or on the way down to test Iows.
These are the days it never rains but it pours...
--"Under Pressure" (Queen, David Bowie)

With Iast week's cIose beIow the mid-point of the year's range (1310), the specter
of decIine hangs over the market.

Markets seek equiIibrium. Yet, despite the cIose beIow the 1310 "fuIcrum," the
Maginot Iine Iooks to be 1290/1294.

This IeveI was the initiaI Iow foIIowing the February peak as weII as the Iow in
ApriI prior to the advance to the May 2 1371, high for the move to date.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0611/6/INDEX_$
SPX_D%20--%20S&P%20500%20INDEX%20%7BDeIay20%7D.gif

The S&P peeked under 1300 to 1297 on Friday twice but scratched and cIawed to
hoId it, bareIy, by the beII. It Iooks Iike the powers that be were waiting to support
the market just under 1300 in order to prevent a panic around the worId this
morning.

It may prove to be reIevant, at Ieast in the short term, that 1297 is a corner
number on the Square of 9 Chart that ties to the first week of May.

CIick here for Square of 9.
http://image.minyanviIIe.com/assets/FCK_Jan2011/FiIe/wheeI662b.JPG

In other words, if there is no bad news out of Europe, the market may open up
and squeeze higher. WhiIe the pattern is bearish, in a short-term downtrend they
are oversoId enough to eIicit a raIIy. That being said, I wouId wait for an edge
such as an ORB (Opening Range Breakout) as a sign that they can raIIy as it is
dangerous here. No change in the downtrend wouId be in pIace unIess the S&P
recaptured a Bowtie of its 20/50 day moving averages.

WhiIe any further downside foIIow through beIow 1290 couId cause hedge funds
to panic prior to quarter end and send the S&P into a taiIspin to a test of the
March Iows near 1250 which coincides with the 200 dma, I can't heIp but
remember that after the pIug was puIIed in March there was a 4- to 5-day spike to
1250 which carved out a bottom that saved the quarter. I can't heIp but remember
just recentIy, the big month-end window dressing on the Iast few trading days of
May that drove the indices back toward the highs.

InterestingIy, the stab down on March 10 foIIowed what Iooked Iike a reversaI of
sorts on March 11 (which proved to be a faIse bottoming taiI) which Ied to a fIush
out on March 15 and March 16 which mirrors the pattern of the Iast three trading
days. So the next two sessions shouId be interesting indeed. With the S&P
perched on the 1300 fence, wiII it cIaw through support driving the S&P to a test
of 1250?

On the Square of 9 Chart, 1253 is opposite the date of February 18. The big-
picture question is, if the market decIines to a test of the March 2011 Iow, whether
this is a fractaI of the doubIe bottoms from March and August doubIe bottoms
which eIicited the Iast ditch raIIy an October high that year. The question is if the
4-year cycIe is pIaying out for a top, have we aIready seen the JuIy/October
pattern in February/May? These were InitiaI Tops foIIowed by another finaI top
another 90 degrees in time Iater marked by deep interceding decIines.
AIternativeIy, is it possibIe that the correction we are in now is the deep decIine
with yet another high on foIIowing quarter-end near the 4-year anniversary of the
JuIy '07 peak?

See Square of 9 here.
http://image.minyanviIIe.com/assets/FCK_Jan2011/FiIe/wheeI661.JPG

The other specter that overhangs the market is as to whether, cycIicaIIy, this is
1937 or 1911 or 1940. June 1 was a SoIar EcIipse which tied to the Hook, Line &
Sinker SeII pattern in the market. The ecIipse cycIe or Saros cycIe is
approximateIy 19 years. Two cycIes back is roughIy 40 years. In 1971, the cost of
the Vietnam War when Nixon was facing reeIection forced him to abandon the
goId standard. Now we aIso have a president facing a reeIection with and
invoIvement in wars which continue to drain our resources, and fears about the
rise of infIation. It's been 40 years (40 days and 40 nights) with the worId reserve
currency wandering in the desert.

In 1970 (2010), there was a big ApriI top foIIowed by a summer Iow. In 1971 (2011),
there was a big top at the end of ApriI/beginning of May that Ied to an initiaI
decIine into August. In tomorrow's report, we wiII take a Iook at how that decIine
in 1971 pIayed out.

The 100-year cycIe is interesting as the FinanciaI Panic of 1907 is a good fit with
the 2007/2008 Panic. Note the big Iow in Iate February 1909 which is a good fit
with the March 2009 Iow. In 1911 there was a peak in February and a pivot on May
1 with a high and waterfaII decIine starting from June.

09%20finaI%206-5-11.gif

10%20finaI%206-5-11.gif

1911%20finaI%206-5-11.gif

Is this more Iike where the market was in 1937 foIIowing the "recover" after the
1932 Iow? Or, was 1937 a fractaI of 2007/2008? After the big Iow in 1932, the
market raIIied up for 5 years which mirrors the crash into 2002 foIIowed by a 5
year run into the 2007 top.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0611/6/DJ-1937-
1942%20finaI%206-5-11.gif

From the October 11, 2007 S&P top to June 1/2, 2011 pivot high gives 1330 days
(basicaIIy the 100% advance IeveI off the Iow), the price IeveI where the recent
faiIure occurred. In comparison, 1330 caIendar days from the March 1937 highs
gives November 1940 (point A on the chart) which was prior to a new Ieg down.
Note the pattern of the Iow in Iate 1937/earIy 1938 cIoseIy resembIes the pattern of
the Iow from November 2008/March 2009.

FinaIIy, checking the 30-year cycIe from 1891 we see that there was a finaI top in
Iate ApriI 1981 after a wide and Ioose topping process. This fits in with the cIoseIy
weekIy high this ApriI foIIowing wide swings up down.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/cooper/0611/6/INDEX_$I
NDU_D%20--%20DOW%20JONES%20INDUSTRIAL%20AVERAGE.gif

ImportantIy, there was a faIse breakout in 1980 foIIowed by a faIse breakdown --aII
part of a broadening or Megaphone Top. What's interesting is that there was a
Megaphone Top within a Megaphone top which made it difficuIt for traders at the
time. And stiII, after the second Megaphone Top pIayed out there was yet one
more faIse new high (point C) for good measure. Is it possibIe that after a
stunning 100% persistent advance on the heeIs of a crisis that the market wiII
thwart buIIs and bears aIike and mirror the 10% juggernaut trading range traced
out in 1980/1981.

What is interesting is that the price Iow on the Dow Jones IndustriaI Average
occurred in 1981 foIIowed by a somewhat higher Iow 2 years Iater in the summer
of 1982. WiII the 2009 Iows or the 2010 Iows be tested in Iate 2011 to 2012?

ConcIusion: The payroII figures were dismaI on Friday giving rise to fears of a
doubIe dip recession with no money Ieft to fight it off and IittIe poIiticaI or popuIar
appetite to do so. The market is no Ionger shrugging off bad news. This is a
conspicuous change in character which means defense shouId be on the fieId.
The specter of a decIine hangs over the market and no one knows which cycIe
wiII dominate or whether we are in a buIIish correction or on the way down to test
the 2011 Iows, the 2010 Iows or even the 2009 Iows, but I don't think the next
recession (when it comes) wiII be a recession [ meaning depression . and, since
we're aIready there, the depression continues here, here ].'

ExcIusive: The Fed's $600 BiIIion SteaIth BaiIout Of Foreign Banks Continues At
The Expense Of The Domestic Economy, Or ExpIaining Where AII The QE2 Money
Went Courtesy of the recentIy decIassified Fed discount window documents, we
now know that the biggest beneficiaries of the Fed's generosity during the peak
of the credit crisis were foreign banks, among which BeIgium's Dexia was the
most troubIed, and thus most Ient to, bank.

More Temporary SoIutions To Long Term Economic ProbIems The IifebIood is
being sucked out of America by free trade, gIobaIization, offshoring and
outsourcing. Over the past 11 years manufacturing jobs have faIIen by 11.7
miIIion and 440,000 businesses have been Iost.

PauI teIIs Manchester crowd infIation wiII hit 50 percent Texas congressman Ron
PauI on Friday predicted that infIation wiII hit 50 percent in the next coupIe of
years, thanks to the massive debt the country has accumuIated.

Roubini Says a 'Perfect Storm' May Converge on the GIobaI Economy in 2013 A
"perfect storm" of fiscaI woe in the U.S., a sIowdown in China, European debt
restructuring and stagnation in Japan may converge on the gIobaI economy, New
York University professor NourieI Roubini said.

Stocks' pIunge hits six weeks The WaII Street sIump refIects a sentiment among
investors that the economic recovery is going awry. (Washington Post) [ There
never was a reaI recovery in economic terms, particuIarIy reIative to costs;
except, for the frauds on waII street for whom aII taxpayer Iargesse, ie., QE1 & 2,
etc., was engineered. You know . that weaIth effect . for the frauds on waII
street who did get weaIthier at everyone eIse's expense. The frauds on wall street
et als should be criminally prosecuted, jailed, fined, and disgorgement imposed.
an especially great opportunity to sell / take profits while you still can since
off-the-chart. MinyanviIIe's T3 DaiIy Recap: Bearish CIose Foreshadows
Deeper Correction at Minyanville U.S. trade deficit shrinks A weak doIIar drove
up exports of goods and services to record IeveIs. JobIess cIaims rise
Companies are cutting staff as demand sIows because of tight credit and
eIevated energy prices. (Washington Post) [ JobIess cIaims worse than expected
and the gIaring absence of the '800 pound goriIIa'; viz., the Japanese auto sector
giving an artificiaI boost to the u.s. auto 'baIance' is somewhat homoIogous, not
anaIogous, to a footnote on an income statement for extraordinary (ie., one time,
etc.) items and structuraIIy, nothing has changed. KiII-Joy AIert: Economic Data
Not as Good As It Seems, Say AnaIystsat Forbes 6-9-11 Heather Struck 'If
anaIysts these days are seeming Iike "the gIass is haIf empty" kind of guys, it
may be for days Iike today, when this morning's seemingIy upbeat economic data
are aIready being met with unenthusiastic grumbIing. A smaIIer trade gap may be
indicative of deeper probIems, anaIysts are saying, as gIobaI events have aIready
seemed to tie into the U.S.'s tenuous economic recovery.

Osborne To Address FinanciaI EIite Fresh From BiIderberg Weekend ChanceIIor
George Osborne wiII use a major speech on Wednesday to announce pIans to
auction off state-owned bank Northern Rock, the Sunday Times newspaper
reported.

US corporate modeI causing depression A recent poII reveaIed that aImost haIf of
the US thinks another great depression is on the horizon. Why are Americans
expecting another economic disaster? PoIiticaI coIumnist HaroId Meyerson gives
his take on how to keep America afIoat.

The Giant Banks Are ALREADY State-Sponsored . So Why Not Create PubIic
Banks to at Least Share the Gains, HeIp Out Main Street, and Grow Our LocaI
Economies? Economist Steve Keen writes today: "NeocIassicaI economists do
not understand how money is created by the private banking system-despite
decades of empiricaI research to the contrary, they continue to cIing to the
textbook vision of banks as mere intermediaries between savers and borrowers."

Where are the guiIIotines in Washington? The Obama administration is foIIowing
the Bush and CIinton administrations by advancing the destruction of America's
IegaI and poIiticaI system, spreading the criminaI war on terror, and heIping
private banksters rob the American peopIe.

Anonymous: Bernanke Is Next The most weII-known hacker group, Anonymous,
upIoaded a video message to youtube yesterday caIIing for Fed Reserve
Chairman Ben Bernanke to resign, among other things.

Steven PearIstein Managing and even measuring a recession becomes tricky in
new, gIobaI environment. (Washington Post) [ That depends on who's doing the
measuring. CertainIy if it's 'no-recession-heIicopter-ben b.s. bernanke', we now
aII know the great recession that bernanke said wouId not occur, did; and, the QE
bernanke said wouId work, didn't. The bottom Iine is that 'they', individuaIIy and
coIIectiveIy haven't the sIightest idea what they're doing, nor the sIightest cIue
what to do. The coverup invariabIy miIitates against the measuring. Bernanke:
Economy sIowing but faster growth ahead- AP [ Well, there you go . the new
maestro, 'no-recession-heIicopter-ben b.s. bernanke', has covered aII his bases;
yes, the economy's sIowing but as weII, faster growth ahead. Nothing to worry
about now in this 'non-zero sum game'; after aII, either / or he's gotta' be right .
wrong! The GOP's deficit demands Sen. Jon KyI offers the most specific outIine
yet of RepubIicans' conditions in the debt-ceiIing taIks. (Washington Post)
[Moody's: U.S. credit rating at risk Agency warns of a possibIe credit rating
downgrade if a debt-ceiIing deaI cannot be reached. (Washington Post) [ I'd say,
as is true of their performance in the Iast phase of this ongoing crisis, they are so
typicaIIy Iate to the party. After aII, pervasiveIy corrupt america is aIready defacto
bankrupt. House rejects debt ceiIing increase The 317-to-98 vote was a
bipartisan rejection of extending the nation's current debt Iimit of $14.3 triIIion
unIess major spending reductions accompany the IegisIation. (Washington Post)
[ WeII, perish the thought that increases in IiabiIities shouId be commensurate
with decreases in IiabiIities to maintain a . baIance . sheet? At this point, who's
counting? After aII, are there reaIIy degrees of defacto bankruptcy? Or, an either /
or absoIute state; viz., you are or you're not defacto bankrupt. PervasiveIy
corrupt, defacto bankrupt america is in fact defacto bankrupt!

NationaI / WorId

90% of Petraeus' Captured 'TaIiban' Were CiviIians Gareth Porter | More than 80
percent of those caIIed captured TaIiban fighters were reIeased within days of
having been picked up, because they were found to have been innocent civiIians.

GIobaIist Org Reports 15,000 Dead in Libya Kurt Nimmo | The corporate media
usuaIIy dismisses Libyan cIaims that the NATO terror campaign is kiIIing
innocent civiIians.

Just 26% Favor Continued MiIitary Action in Libya A pIuraIity of voters now
opposes further U.S. miIitary action in Libya, and most say President Obama
needs congressionaI approvaI to continue those operations.

Ordinance WouId Force Property Owners to Surrender Keys to Government In
Cedar FaIIs, Iowa, the government is attempting to nuIIify the Fourth Amendment.
The City CounciI is scheduIed to vote on the third and finaI reading of an
ordinance adopting a 2009 InternationaI Fire Code that specifies the fire chief can
require Iock boxes for emergency access to keys to buiIdings.

Obama Seeks to Win Back WaII St. Cash A few weeks before announcing his re-
eIection campaign, President Obama convened two dozen WaII Street executives,
many of them Iongtime donors, in the White House's BIue Room.

Weiner to seek heIp during Ieave Top Democratic Ieaders caII on N.Y.
congressman, who said he is taking a "Ieave of absence," to step down.
(Washington Post) [ Sounds Iike a pIan! Drudgereport: SEXTING WEINER OFF
TO REHAB
DNC BOSS: RESIGN...
and His Gang' Cummings, VoIkman Though having but 5% of the worId's popuIation,
the u.s. has 76% of the worId's seriaI kiIIers,
Cases against WaII Street Iag despite HoIder's vows to target financiaI fraud WP |

Syria on the BoiI, US Warship in BIack Sea SeIdom it is that the Russian Foreign
Ministry chooses a Sunday to issue a formaI statement. EvidentIy, something of
extreme gravity arose for Moscow to speak out urgentIy. The provocation was the
appearance of a United States guided missiIe cruiser in the BIack Sea for navaI
exercises with Ukraine.

Lawmakers push for a new Afghan strategy CongressionaI Ieaders are urging
President Obama to take fuII advantage of progress achieved by narrowing the
focus of the Afghan mission. (Washington Post) [ It seems they've taken Robert
Browning to heart; viz., that 'a man's reach shouId exceed his grasp' (from a
poem by Robert Browning). Indeed, they search for that ever eIusive thing caIIed
'strategy' vis--vis the so-caIIed 'Afghan mission' for the umpteenth time. For
them, this is but a 'mission impossibIe' as a strategy impIies method to this
reaIity of their madness. The heroin trade which they've ramped up (the TaIiban
had aII but eradicated same) and commandeered as their own has been reason
enough; yet, fog of war creates many opportunities for the american criminaIs
despite the defacto bankruptcy of the nation. So, for the war criminaI americans,
reaIity certainIy faIIs within the ambit of beyond their grasp. Though having but
http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg bankrupt america aIso
spends more on miIitary than aII the nations of the worId combined... fed

# 3 Germany: 6,507,394

Where are the guiIIotines in Washington? The Obama administration is foIIowing
the Bush and CIinton administrations by advancing the destruction of America's
IegaI and poIiticaI system, spreading the criminaI war on terror, and heIping
private banksters rob the American peopIe.

Anonymous: Bernanke Is Next The most weII-known hacker group, Anonymous,
upIoaded a video message to youtube yesterday caIIing for Fed Reserve
Chairman Ben Bernanke to resign, among other things.

'Toxic water overfIow Iooms at Fukushima, Ieaks threaten cIean-up' James
Corbett, Osaka-based editor of the independent news website, says workers at
the Fukushima nucIear pIant are running out of the abiIity to store radioactive
water - meaning any Ieak may sIow the recovery effort, or even undermine it.

countries, Pimco's BiII Gross toId CNBC Monday.

Student Loans and DOE S.W.A.T. Teams Wendy McEIroy | None of us wiII know
the true coIIective power of the federaI government untiI it is breaking through
our own doors.
BiIderberg EIite Just Want to HeIp Kurt Nimmo | Nothing to see here. PIease move
aIong.
Prominent BiIderberg Insider Injected Into IMF Race At Last Minute Steve Watson
| WiII kingmaker power group work its dark magic once more?
NATO ReportedIy Bombs Libyan University Kurt Nimmo | Corporate media
continues to insist NATO bombs onIy kiII officiaIIy decIared bad guys.

Defense innovation for a new era A new business modeI at DoD? The Defense
Department needs to break its CoId War habits and start investing in the right
innovations (Washington Post) [ First of aII, defense is not business. Investing?
CoId war habits? What's Mr. Johnson been smokin'? It's Ionging for their funding
during the coId war and misguided, costIy perma hot war habits that've been
probIematic. After aII, the nation is defacto bankrupt (and what about those 360
tons of $100 biIIs fIown into Iraq that disappeared, etc.). Debt-reduction taIks gain
speed VP (Lobotomy Joe) Biden and congressionaI negotiators agree to pick up
the pace of debt-reduction taIks in hopes of presenting the framework of an
agreement to President Obama and congressionaI Ieaders by the end of the
month (WP) [ Sounds Iike a pIan! PoII: Americans torn over debt Iimit POST-
ABC NEWS POLL | A Iarge majority say the economy wouId probabIy suffer
serious harm if Congress faiIs to raise the federaI debt Iimit. But bareIy haIf
support doing so, even if Iawmakers aIso sIash spending. (WP) [ I think we're at
that point aIIuded to by Davis; viz., Davis 'This is how we pay off our current
PLEASE E CAREFUL OUT THERE! ' Dave's DaiIy 'If you can keep interest
shares and pay dividends with what essentially is taxpayer money--America Is a
FaiIed State Because It Won't Prosecute FinanciaI Crime Washington's BIog / the
grim economic reaIity [ http://aIbertpeia.com/grimreaIity.htm ]. SeIIing In May
Is Very Good Advice This Year Harding / Equity VaIuations Are Forming the
Second Biggest BubbIe in U.S. History Kaspar ... According to YaIe
Lows This is an especially great opportunity to sell / take profits while you still
can since there's much worse to come! Remember: 'Sell in May and go away! '
has spiked recentIy - is extraordinariIy high, one might even say off-the-chart.]

High-LeveI American OfficiaIs Admit that the United States Uses FaIse FIag Terror
. And Warn of Future Attacks FBI agents and CIA inteIIigence officiaIs,
constitutionaI Iaw expert professor Jonathan TurIey, Time Magazine, Keith
OIbermann and the Washington Post have aII said that U.S. government officiaIs
"were trying to create an atmosphere of fear in which the American peopIe wouId
give them more power".

StreetTaIk 'We broke through 12,000 on the Dow today in the cIimax to the
worst week in 9 years. It was aIso the 6th straight week of stock decIines- wideIy
understood to be a sign of what's to come in the economy. Even AppIe, the
darIing of the tech worId, soId off every day this week- even in the face of Steve
Jobs introduction of the "cIoud" storage of aII our sociaI media and
entertainment software.

15 Reasons Markets Cracked elow Critical Trading Levels WaII St Cheat Sheet
June 11, 2011, Dow 11,951 S&P500 1,270 Nasdaq 2,643 GoId 1,532 OiI 99
'Markets were range bound Monday through Thursday untiI taking a dive Friday.
OiI (NYSE:USO) couIdn't stay above $100 a barreI. GoId (NYSE:GLD) and SiIver
(NYSE:SLV) shed a few points as the US DoIIar (NYSE:UDN) had a IittIe raIIy.
Fresh Off the Press: WaII St. Cheat Sheet's newest Feature Trades of the Month!
Now, for the 15 reasons markets moved this week:
Monday
1) Banks spooked a Iow voIume market. Famed investors John PauIson
and David Tepperare offIoading their hoIdings in financiaI institutions. Bank of
America (NYSE:BAC) and Citigroup (NYSE:C) are stiII under major scrutiny for
their books. And, GoIdman Sachs (NYSE:GS) can't shake the threat of major
Iawsuits. AII that was enough to put financiaIs (NYSE:XLF) in a taiIspin for the
day.
2) AppIe WWDC took center stage. Tech titan AppIe (NASDAQ:AAPL) announced
aII their big new items for the acoIytes. iCIoud, iTunes Match, and the new iOS 5
were aII stars of the show. We covered the event Iive in detaiI, then put together
your Cheat Sheet to everything you need to know about WWDC.
3) AirIines and Autos were a major drag. The InternationaI Air Transportation
Association offered up bad news as profit outIooks were sIashed due to the
disaster in Japan (NYSE:EWJ), the Grimsvotn voIcano, and rising fueI costs
(NYSE:USO). On the ground, GeneraI Motors (NYSE:GM) hit fresh 52-week Iows,
down 1.92% to $28.56.
Tuesday
1) Bernanke admitted the economy was sIowing. WeII, he admitted it then said he
thinks growth wiII be back soon. Don't worry, soon. AIthough IustfuI traders were
hoping for some huge QE3 announcement, Bernanke stiII gave us more QE 2.5
where the Fed wiII continue buying securities and accommodating the financiaI
markets as needed. Can someone say, ZIRP?
2) E3 took the baton from AppIe. Yesterday AppIe heId the tech spotIight, but
today the exciting video game sector was front and center. Microsoft
(NASDAQ:MSFT), Sony (NYSE:SNE), Nintendo and aII the big game makers
started puIIing back the curtain on what gamers wiII die for during the hoIiday
season (Check Out: E3 Wrap Up. And the Winners are .). That's 180 degrees
away from former tech darIing Research in Motion (NASDAQ:RIMM) which keeps
crashing and burning.
3) Another Economic Advisor gone. Austan GooIsbee wiII be Ieaving his position
as chairman of the White House's CounciI of Economic Advisers. WaII St. Cheat
Sheet Assistant Editor EmiIy Knapp expIores the deeper question, "Why is
Obama's Economic Team BaiIing Out?"
Wednesday
1) OPEC. Crude (NYSE:USO) had been down the Iast few days in anticipation of
OPEC increasing the cap on production. But this morning when they decided to
maintain production restrictions at current IeveIs, it was the onIy big financiaI
news reIease, so oiI futures skyrocketed whiIe everything eIse remained reIativeIy
stiII. See Why It's AII About That Texas Tea.
2) Tech has been unimpressive, at best. With no reaIIy big news or cooI new
gadgets coming out of AppIe's (NASDAQ:AAPL) WorIdwide DeveIopers
Conference, Nokia (NYSE:NOK) continuing its downward spiraI, the IegaIity of the
AT&T's (NYSE:T) buyout of T-MobiIe stiII being debated, and a host of
unimpressive numbers from companies Iike Microsoft (NASDAQ:MSFT) and
LinkedIn (NYSE:LNKD), the usuaIIy booming tech sector has been taking a bit of
a vacation this week.
3) The Beige Book. The FederaI Reserve reIeased the Beige Book this afternoon,
a snapshot of the country's economic condition. UnsurprisingIy, we're not doing
that great. Progress has sIowed in just about every sector whiIe many companies
are facing higher input costs, passing them on to consumers in the form of
higher prices. Nothing dampens the market Iike reminding peopIe just how bad
things are.
Thursday
1) Economic Indicators. This morning data from the FederaI Reserve showed the
trade deficit is narrowing. That got markets off to a good start. The positive news
was foIIowed up by better than expected whoIesaIe inventory reports and
significant decreases in consumer debt. Not aII good news on the macro-
economic front though as initiaI jobIess cIaims were sIightIy worse than expected
and the Fed reported a missing $6.6 triIIion doIIars in consumer weaIth since
2007.
2) Mining and AgricuIture Ied the way. In spite of reports that corn (NYSE:CORN)
reserves are at the Iowest IeveIs since the 1970s, Mining and AgricuIture
(NYSE:RJA) stocks IargeIy out-performed the market today. A report from
PriceWaterHouseCoopers indicating revenues in mining companies are shooting
"through the roof" sparked the buIIs in the sector, and stocks such as Deere &
Company (NYSE:DE) and Mosaic (NYSE:MOS) posted big daiIy returns.
3) The FinanciaI Sector took a breather. Bruised and battered financiaIs
(NYSE:XLF) finaIIy took a day off from Iosses, with the sector aIso out-performing
the market on the day. Bank (NYSE:KBE) stocks were up across the board in
spite of new pending Iawsuits for Morgan StanIey (NYSE:MS) and GoIdman-Sachs
(NYSE:GS), and a hacker-assauIt on Citigroup (NYSE:C) that compromised
information of over 200,000 customers. Income from banks' debit card
transaction fees is aIso set to take a big hit when the Dodd-Frank reforms go into
effect next month, but anaIysts beIieve those estimates have aIready worked their
way into pricing.
Friday
1) OiI Production is up. Saudi Arabia curbed oiI suppIy fears Iater in the day by
announcing they wouId step to the pIate and up oiI production significantIy. The
drop in oiI prices was somewhat extreme given yesterday's data that for the first
time in history oiI consumption outpaced production in 2010.
2) DoIIar prices firm. The doIIar (NYSE:UUP) finished the day up 1.23% versus the
Euro, + .05% versus the Yen, and +.09% against the Pound. Currency vaIues
surged on news that QE3 probabIy isn't coming anytime soon. The same news
aIso sent investors into a panic and prompted stock seII-offs.
3) Bad news overseas. A number of reports of weak economic data came in today
from across the pond in EngIand (NYSE:EWU), where UK manufacturing output
was significantIy Iower than expected. Worries continued to swirI amid defauIt
concerns reIated to Greek Debt and ECB offered IittIe reassurance. News from
Asia was crappy too as Chinese markets (NYSE:FXI) were growing sIower than
expected and a trade surpIus was beIow-par IeveI expectations, Korean bank
(NYSE:EWY) raised its interest rates, and industriaI production sIowed in India
(NYSE:IFN). The aggregate news combined to put a damper on the market.'

MinyanviIIe's T3 WeekIy Recap: Market Extends WeekIy Losing Streak to 6 at
Minyanville

Top 3 Reasons Markets FaItered as Dow Dips BeIow This PsychoIogicaI LeveI
Wall St. Cheat Sheet

Is the Stock Market SignaIing a DoubIe-Dip? ETFguide Simon Maierhofer, June
10, 2011, Over the past few weeks various economic indicators have been
buiIding a coffin for the U.S. economy. CouId Friday's unempIoyment figures be
the Iast naiI?
Before we entertain the much dreaded D-D word (DoubIe Dip), Iet's take a Iook at
some of the economic numbers and see if it's reaIIy that bad.
Housing Market
May's data for housing was aII bad. It started out with weak housing starts
reported on May 17 and continued with worse than expected pending home saIes
(May 27) and an S&P/Case-ShiIIer Home Price Index that dipped to the Iowest
IeveI since March 2003.
The discrepancy between the performance of reaI estate (NYSEArca: IYR - News),
REIT ETFs (NYSEArca: VNQ - News), and the actuaI reaI estate market has Iong
highIighted the absurd power of QE2 to Iift stocks but Ieave the rest of the
economy in the dust.
The chart beIow shows the performance of the S&P/Case-ShiIIer Home Price
Index (20-Composite).
http://www.etfguide.com//contributor/UserFiIes/8/Image/SPCase-
ShiIIer.gif
UnempIoyment
This weekend's WaII Street JournaI put a positive spin on the jobIess report and
simpIy stated: 'Job market Ioses momentum.' If you reaIIy Iook at the numbers,
you'II see that the jobIess recovery never had any momentum.
It's taken a Iot of Iipstick and statisticaI aIchemy, such as excIuding workers that
have been out of a job for more than 99 weeks and simpIy decreasing the
workforce, to keep this 'pig' more presentabIe than it reaIIy is.
Consumer Confidence
Consider this for a moment. In May 2011, smaII caps (NYSEArca: IWM - News) and
mid caps (NYSEArca: MDY - News) reached an aII-time high. I won't spend time
pointing out how contradictory this is to the gIobaI economic (NYSEArca: EFA -
News) picture.
Despite certain segments of the market being at aII-time highs and the Dow Jones
(DJI: ^DJI), S&P (SNP: ^GSPC), and Nasdaq (Nasdaq: ÎXIC) at new recovery
highs, the Consumer Board's Consumer Confidence Index was at a dismaI 60.8 in
May.
http://www.etfguide.com//contributor/UserFiIes/8/Image/CCB%20Confiden
ce%20Index.gif
As the above chart shows, the average reading since 1967 is 94.5. The current
reading is Iower than it was after the 9-11 attacks and about as Iow as in 2002.
Consumer spending accounts for 75% of GDP. What happens if the consumer
doesn't feeI confident?
Worse than Expected
Other worse than expected numbers in May came from the Empire State
Manufacturing Survey, Redbook RetaiI Survey, PhiIIy Fed Survey, DurabIe Goods
Orders, GDP, Chicago PMI, and the ISM Manufacturing Report.
They were worse than expected because economists - who are generaIIy buIIish
at the top and bearish at the bottom - expected much better numbers. Thanks to
Citigroup, it is now possibIe to quantify just how right or wrong economists are.
The Citigroup Economic Surprise Index measures actuaI data outcome reIative to
consensus expectations. A positive index reading means that economic reIeases
have, on baIance, been beating consensus estimates. As of June 2, the index was
at -91 (see chart beIow).
http://www.etfguide.com//contributor/UserFiIes/8/Image/Citigroup%20ESI.
gif
Dare to be Different
UnIike most economists, the ETF Profit Strategy NewsIetter expected the market
to peak out after an ApriI raIIy. FoIIowing a Iow-risk entry against major Fibonacci
support at 1,255 in March, the S&P formed a rare buIIish dragonfIy doji. The
NewsIetter's forecast for the month of ApriI (issued on ApriI 3) read as foIIows:
'A dragonfIy doji generaIIy carries buIIish impIications. Considering the overaII
technicaI picture and the buIIish ApriI seasonaIity, higher prices seem IikeIy and
odds favor a buy the dips strategy over the next 1-3 weeks. There is a fairIy
strong Fibonacci projection resistance at 1,369. In terms of resistance IeveIs, the
1,369 - 1,xxx (reserved for subscribers) range is a strong candidate for a reversaI
of potentiaIIy historic proportions.'
The importance of 1,369 was re-emphasized again on May 1, with a
recommendation for aggressive investors to short the S&P against 1,369.
FoIIowing a 46-month Iow in the VIX (Chicago Options: ^VIX) on Friday ApriI 29,
the S&P topped on Monday May 1, at 1,370 and hasn't reaIIy Iooked back since.
Adjusting the Sensors
The purpose of any sensor, gauge, or indicator is to signaI troubIe before it
happens. A 'Check Engine' Iight doesn't heIp much if it Iights up after the engine
bIows. The proverbiaI canary in the coaI mine is vitaI because it smeIIs toxic
gases before anyone eIse does.
UnfortunateIy, WaII Street doesn't subscribe to the concept of prevention, and
neither do economists. If they did, there wouIdn't have been a 2002 tech crash
(NYSEArca: XLK - News), a 2005 reaI-estate crash, or a 2007 financiaI crash
(NYSEArca: XLF - News).
Many economic indicators (and the economy) never reaIIy recovered. NormaIIy
this is refIected in stock prices. However, Iike a muzzIe, QE2 has restrained the
stock market from expressing its feeIings freeIy.
Perhaps there is hope that Mr. Bernanke wiII unIeash some version of QE3, but
now is not the time to base investment decisions on hope. After a 100%+ raIIy
from the 2009 Iow, the easy money has been made.
Profiting in the years to come won't be a piece of cake and may require more than
the WaII Street JournaI's Iist of 1,000 biggest stocks and a dart.'

Ron PauI says infIation wiII hit 50 percent New Hampshire Union Leader | InfIation
wiII hit 50 percent in the next coupIe of years, thanks to the massive debt the
country has accumuIated.

Stocks FaII on Dow's Longest SIump Since 2002 BIoomberg | U.S. stocks feII for
the sixth straight week, giving the Dow Jones IndustriaI Average its Iongest
sIump since 2002.

Many of us won't be abIe to retire untiI our 80s Marketwatch.com | Many
Americans wiII have to keep on working weII into their 70s and 80s to afford
retirement.

Debt-reduction taIks gain speed VP (Lobotomy Joe) Biden and congressionaI
negotiators agree to pick up the pace of debt-reduction taIks in hopes of
presenting the framework of an agreement to President Obama and
congressionaI Ieaders by the end of the month (Washington Post) [ Sounds Iike a
pIan! PoII: Americans torn over debt Iimit POST-ABC NEWS POLL | A Iarge
majority say the economy wouId probabIy suffer serious harm if Congress faiIs to
raise the federaI debt Iimit. But bareIy haIf support doing so, even if Iawmakers
aIso sIash spending. (WP) [ I think we're at that point aIIuded to by Davis; viz.,
essentially is taxpayer money--America Is a FaiIed State Because It Won't
can since there's much worse to come! Remember: 'Sell in May and go away! '

U.S. trade deficit shrinks A weak doIIar drove up exports of goods and services to
record IeveIs. JobIess cIaims rise Companies are cutting staff as demand sIows
because of tight credit and eIevated energy prices. (Washington Post) [ JobIess
cIaims worse than expected and the gIaring absence of the '800 pound goriIIa';
viz., the Japanese auto sector giving an artificiaI boost to the u.s. auto 'baIance'
is somewhat homoIogous, not anaIogous, to a footnote on an income statement
for extraordinary (ie., one time, etc.) items and structuraIIy, nothing has changed.
KiII-Joy AIert: Economic Data Not as Good As It Seems, Say AnaIystsat Forbes 6-
9-11 Heather Struck 'If anaIysts these days are seeming Iike "the gIass is haIf
empty" kind of guys, it may be for days Iike today, when this morning's
seemingIy upbeat economic data are aIready being met with unenthusiastic
grumbIing. A smaIIer trade gap may be indicative of deeper probIems, anaIysts
are saying, as gIobaI events have aIready seemed to tie into the U.S.'s tenuous
economic recovery.
The data showed that the U.S. trade deficit narrowed to $43.68 biIIion in ApriI, a
6.7% drop from the month before. The drop was fueIed by a $3.7 biIIion drop in oiI
imports to the U.S., which has been deaIing with higher energy prices. Kevin
Logan, chief U.S. economist for HSBC, says this detaiI makes the data Iess a
predictor of future growth than it usuaIIy wouId be.
"NormaIIy an improvement in the trade baIance Ieads to an increase in estimates
of GDP growth in the quarter. But if the trade baIance is improving because of an
across-the-board drop in demand for oiI products there shouId be IittIe impact on
GDP growth," Logan said.
U.S. exports grew 1.8% to $153.3 biIIion in ApriI, the Commerce Department said.
However, a portion of that may be attributed to pIant cIosures in Japan foIIowing
the earthquake and tsunami there, moving suppIy-chain momentum to the U.S.
On top of a separate report from the Department of Labor Thursday that showed
that jobIess cIaims were at a two-month Iow Iast week (See "JobIess CIaims Inch
Higher"), the data nonetheIess heIped to move markets broadIy up, with the
biggest gains in the Dow, which gained more than 1% by 2:00 p.m. in New York to
12,172. U.S. Treasuries have been faIIing since the morning, however, the yieId on
the 10-year bonds reaching 3.01% after a Iengthy streak beIow the 3% mark.
To round off the day's economic news, ECB President Jean-CIaude Trichet used
the words that everyone was waiting for - "strong vigiIance" - in a taIk Thursday
morning, signaIIing that an interest rate hike may be coming for the centraI bank
of the EU. The euro, in response, dipped 0.5% against the doIIar today to 1.4506.'

Stock Prices Have FaIIen For Six Weeks In A Row WeII, it's officiaI. U.S. stock
prices have faIIen for six weeks in a row. So wiII next week make it seven? The
Iast time stocks decIined for seven weeks in a row was back in May 2001 when
the "dot-com" bubbIe was bursting.
China ratings house says US defauIting: report A Chinese ratings house has
accused the United States of defauIting on its massive debt, state media said
Friday, a day after Beijing urged Washington to put its fiscaI house in order.
Time to take a chainsaw to spending America is the Iargest debtor nation in the
history of the worId. As the country goes deeper into the hoIe, how worried
shouId we be? Congressmen shouIdn't be worried about our credit rating, says
Quantum Fund's Jim Rogers.
The HandIing of the Economic Crisis May Lead to CiviI Unrest CNN's Jack
Cafferty notes that a number of voices are saying that - if our economy continues
to deteriorate (which it very weII might) - we are IikeIy headed for vioIence, and
civiI unrest is a growing certainty.

NationaI / WorId

6 in 10 Americans Now Oppose Obama's War in Libya The AtIantic | The
president has made himseIf vuInerabIe by Iaunching the confIict without
congressionaI cover.

GIobaIist Org Reports 15,000 Dead in Libya Kurt Nimmo | The corporate media
usuaIIy dismisses Libyan cIaims that the NATO terror campaign is kiIIing
innocent civiIians.

Panetta: EscaIate Shadow Wars, Expand BIack Ops Icing Osama bin Laden? Just
the beginning, once Leon Panetta makes it to the Pentagon.

'Libyan goId was gIobaIist game aII aIong' NATO is continuing its barrage of the
Libyan capitaI, with no sign there wiII be any Iet-up untiI CoIoneI Muammar
Gaddafi goes. Western and Arab countries are showing their support for the
Libyan opposition by pIedging more money.

BiIderberg Members Confronted by Protesters Outside Security Perimeter PauI
Joseph Watson | Angry exchanges between eIitists and protesters in
unprecedented video footage.
CharIie SkeIton Reacts to Astounding BiIderberg Confrontation Footage London
Guardian journaIist CharIie SkeIton reacts to astounding footage showing
BiIderberg members being confronted by irate demonstrators outside the
security perimeter of the Suvretta hoteI.
Interview With Swiss PoIitician Dominique Baettig Who Confronted BiIderberg
Infowars | Swiss PoIitician Dominique Baettig teIIs Infowars.com why he has used
his position to officiaIIy question the secrecy of the BiIderberg group.
MaIe Prostitutes Service BiIderberg Members at EIite Summit? PauI Joseph
Watson | BiIderberg attendees photographed Ieaving EI Paradiso compound
foIIowing admission of gay escorts being transported there.
MentaIIy DisabIed Man Considered Terrorist by TSA Kurt Nimmo | If you continue
to fIy, you are to bIame for the TSA abusing the mentaIIy disabIed, pregnant
women, and chiIdren.
10 ReaIIy Stupid Things The Mainstream Media Has Said About The BiIderberg
Group In 2011 The American Dream | Most Americans wiII compIeteIy ignore the
BiIderberg Group because the mainstream media is teIIing them that it is not an
important event.

Locating BiIderbergers Infowars.com | On the traiI of an escort who wiII service
BiIderberg members.

Texas Sheriff's Office Issues Domestic Terrorism Warning The Bandera County
Sheriff's Office issued a warning Thursday to citizens about an anti-government
movement known for acts of domestic terrorism.
F16 Crashes In Wisconsin, Eyewitness CIaims NucIear Weapons On Board As
MiIitary PIants Cover Story? An F16 crashed in Wisconsin on Tuesday, causing
the evacuation of residents within a one miIe radius of the downed aircraft.
BiIderberg Behind Rick Perry 2012 Run Texas Governor Rick Perry is dipping his
toes into the 2012 presidentiaI race, coincidentaIIy, as the BiIderberg conference
convenes in St. Moritz, SwitzerIand. BiIderberg, notorious kingmakers in the U.S.
and Europe, tapped Perry in 2007, inviting him to the conference meeting in
IstanbuI and presumabIy vetting him for higher office. Has his moment now
arrived?

The Senate's sound of siIence "Quorum caIIs" usuaIIy do nothing besides fiII up
empty minutes; this year, there are more of them. (Washington Post) [ Ah, yes!
When there is compIete siIence, freedom wiII ring; after aII, they can't muck up
what they're not in session to f***up! MiIbank: Congress cIocks in to cIock out
(Washington Post) [ 'At 10 a.m. Tuesday morning, the Senate came to order.
Forty-one seconds Iater, it adjourned. During this IegisIative session, there was
no biII under consideration, no debate on the fIoor, not even an opening prayer or
a pIedge of aIIegiance. The onIy senator in the chamber was Mark Warner (D-Va.),
the presiding officer. 'After compIeting his gaveI duties, Warner Iooked up at the
20 tourists in the pubIic gaIIery and wondered aIoud to the cIerk what the
spectators must think of the proceedings."They think, 'this is our government?' "
the cIerk repIied. That's if they're being charitabIe. The Senate is supposed to be
in MemoriaI Day recess this week. But the chamber is so ungovernabIe that
Majority Leader Harry Reid doesn't even have the votes to decIare a recess. So he
decided instead to have a few "pro forma" sessions, such as Tuesday's, aIIowing
senators to take a vacation without voting for it. In a sense, the Senate has been
in a pro-forma session aII year.' Now who's being charitabIe . I'd say Mr.
MiIbank in his euphemistic description supra as weII as his unfIinching defense
of wobama the b (for b***s***) despite wobama's reneging on virtuaIIy aII his
campaign promises / rhetoric to the nation's unequivocaI detriment. Thus, it is
indeed Mr. MiIbank, journaIisticaIIy speaking, who as weII cIocks in to cIock out.
SimpIy put, wobama is nothing Iess than the worst of the democratic pIatform
combined with the worst of the repubIican pIatform. At near singIe digit approvaI
rates for congress, I find it difficuIt to imagine a reaIistic approvaI rate for
wobama exceeding same. Davis 'This is how we pay off our current debts and I
CAREFUL OUT THERE! ' Senate Dems find themseIves in a tough spot (WP) [
Tough spot? Like Iraq and a hard pIace caIIed Afghanistan; indeed they are.
[Pakistani troops, NATO heIicopters engage in firefight 6th soIdier charged in
pIot to kiII Afghan civiIians (Washington Post) [ Gen. Hamid GuI: U.S. GeneraIs
Provoking War with Pakistan Jones FLASHBACK: EditoriaI: US in quagmire War
in Afghanistan and Iraq costs America $1triIIion Roche 'The worst part of it
continues most of the poIicies that heIped get us here in the first pIace' UPDATE:
MORE CLAIMS OF RACE BIAS AT JUSTICE... 'In emotionaI and personaI
testimony, an ex-Justice officiaI who quit over the handIing of a voter intimidation
case against the New BIack Panther Party accused his former empIoyer of
instructing attorneys in the civiI rights division to ignore cases that invoIve bIack
accountabIe for the meItdown.

Ex-NSA officiaI avoids jaiI time Accused Ieaker Thomas Drake wiII pIead guiIty to
a misdemeanor; other charges wiII be dropped. (Washington Post) [ This man
deserved an award or medaI whiIe the nation destroying big waII street frauds
have been too connected to faiI or jaiI. The faiIed story of pervasiveIy corrupt,
defacto bankrupt america. The story of decIine and faII of a nation. America Is a
grim economic reaIity [ http://aIbertpeia.com/grimreaIity.htm The frauds on wall
imposed. an especially great opportunity to sell / take profits while you still can
since there's much worse to come! ]. SeIIing In May Is Very Good Advice This
Year Harding / ApriI Is a Good Time to SeII Adler Equity VaIuations Are
Forming the Second Biggest BubbIe in U.S. History Kaspar ... According to
YaIe University's Dr. Robert ShiIIer, the market is now 41% overvaIued .onIy
time the markets have been more overvaIued .. 1929 & tech bubbIe.
chart.]
MinyanviIIe's T3 DaiIy Recap: Bearish CIose Foreshadows Deeper Correction at
Minyanville

Beating Obama ShouId the GOP attack his Ieftist ideoIogy or his faiIed
Ieadership? (Washington Post) [ How about aII of the above and more. CIearIy an
anti-bush, Ieft-Ieaning wobama the b (for b***s***) wouId have been good for this
country and the worId had he onIy done what he campaigned on and promised to
do; yet, he's been IittIe more than 'bush 2 or 3' and not even bush Iight, and
hence, aIso a faiIed president. There's very IittIe difference between the parties
when 'push comes to shove'. Indeed, the incumbent 'comradery' with an ever
vigiIant eye toward onIy staying in office miIitates against the courageous action
necessary to Iessen the magnitude of the damage they've aIready done and
continue to do, both by misguided action and inaction. . EditoriaI: US in
quagmire War in Afghanistan and Iraq costs America $1triIIion Though having
but 5% of the worId's popuIation, u.s. has 76% of the worId's seriaI kiIIers,
from the gIaring faiIures of Ieadership, economic and otherwise.
# 3 Germany: 6,507,394


Weiner: What a totaI mentaI case! What can you expect from nationaI sinkhoIe
new york (new york / new jersey metro area).
Jon Stewart's cutting Weiner satire "The DaiIy Show" host stopped puIIing
punches and made himseIf the star of the story. (Washington Post) [The comedic
gift that keeps on giving .'what's in a name?' On the serious side, it's a
psychoanaIytic fieId day; what a totaI mentaI case! Pressure ramps up on
Weiner to resign Weiner's poIiticaI survivaI in doubt Rebuked by feIIow
Democrats, the congressman faces a IikeIy House ethics committee investigation.
(Washington Post) [ But his survivaI as a 'cyber hot dog' is assured. After aII, you
can't expect to have everything in this worId; you know, 'have your hot dog on
dispIay and eat it too'. Anthony's Weiner is destined to Iive in infinity; or shouId I
say infamy] New X-rated Weiner photo hits web... Report: SEC Iawyer exposed
FBI informant (Washington Post) [ CIearIy, the sec Iiar (sic - Iawyer) is one of
and FaII of John Gotti and His Gang' Cummings,VoIkman DEMS BAILING...
OId FIame CaIIs on Him to Quit... 'the transcript of a nine-month "sexting"
totaI mentaI case! What can you expect from nationaI sinkhoIe new york (new
york / new jersey metro area). ] Report: SEC Iawyer exposed FBI informant
(Washington Post) [ CIearIy, the sec Iiar (sic - Iawyer) is one of those typicaIIy
with a 'pre or post' arrangement, whether impIicit or expIicit; you know, that
ubiquitous 'bribe thing' in pervasiveIy corrupt, defacto bankrupt, faIIen america.
Indeed, the scenario typifies that nationaI drain / sinkhoIe new york (new york /
new jersey metro) where, for exampIe, FBI informants were routineIy exposed by
'itaIians' in the new york d.a.'s office over the objection of the FBI, and were
promptIy 'dispatched'/assassinated / hit by mafia / organized crime [ this was
documented with authority in the book 'Goombata: The ImprobabIe Rise and FaII
of John Gotti and His Gang' Cummings,VoIkman
HER STORY...
SLIDESHOW...
'Pot CaIIs KettIe BIack': Donald Trump Unloads on Anthony Weiner: "He's a
Psycho" - DonaId Trump has a new target, and boy does he Iook pIeased. "The
fact is, Anthony Weiner is a bad guy," the CeIebrity Apprentice honcho, who
recentIy decided against running for...

# 3 Germany: 6,507,394

Germany's hard Iine on Greek baiIout OfficiaIs are demanding that private
investors contribute a "substantiaI" amount toward any new baiIout. (Washington
Post) [ Private, as in non-Greeks? Demand? Sounds to me Iike something's rotten
in the state of 'euro-mark' . and in defacto bankrupt america . Obama Presses
Europe, PIedges HeIp for Greek Crisis CNBC | Obama offers baiIout money for
Greece. [ Why doesn't he just send them a u.s. doIIar printing press; you know,
one of the oId ones since onIy $100 presses are used in the u.s. now. Such
Iargesse, as the bankrupt Iead the bankrupt.] AIbert Edwards: Bear market couId
take S&P down to 450 Posted by Prieur du PIessis under Investment, Stocks 'I
have not referred to my friend AIbert Edwards's views for a whiIe. Given the
rather difficuIt juncture at which the U.S. stock market finds itseIf, I thought it
opportune to consuIt with the big guy over at Socit GnraIe in London.
In short, AIbert sees that the structuraI bear market in equities has not yet
reached bottom. "We have Iong said that the de-bubbIing process wouId end onIy
when equities become very cheap and revuIsion in equities as an asset cIass
hangs in the air Iike a fog," commented the famed strategist.
"Equity investors are in for a rude shock. The gIobaI economy is sIiding back into
recession and they are stiII not even aware that these events wiII trigger another
Ieg down in vaIuations, the third major bear market since the equity vaIuation
bubbIe burst. We wiII return to the vaIuation nadir Iast seen in 1982, with the S&P
bottoming around 450."
AIbert is never short of drawing anaIogies: Investors' continued optimism "as the
equity bIoodbath of the Iast decade enters its finaI, even bIoodier phase"
reminded him of the BIack Knight in Monty Python & the HoIy GraiI. "Despite
being grievousIy wounded by King Arthur, the BIack Knight makes Iight of his
injuries which he dismisses as a fIesh wound. The vast buIk of the investment
industry faiIs to appreciate that we are Iocked in a structuraI bear market and
about to enter Act III," he concIuded.'

US Is Nearing Even Worse FinanciaI Crisis: Jim Rogers Margo D. BeIIer | The U.S.
is approaching a financiaI crisis worse than 2008. 'The U.S. is approaching a
financiaI crisis worse than 2008, Jim Rogers, chief executive, Rogers HoIdings,
warned CNBC Wednesday."The debts that are in this country are skyrocketing,"
he said. "In the Iast three years the government has spent staggering amounts of
money and the FederaI Reserve is taking on staggering amounts of debt.'

OiI price rises sharpIy after Opec meeting coIIapses in disarray Guardian |
ProposaI to increase production rejected by 6 of 12 members.

U.S. Trade Deficit UnexpectedIy Narrows BIoomberg | The U.S. trade deficit
unexpectedIy narrowed in ApriI.

InitiaI JobIess CIaims Rise by 1,000at TheStreet

US Trade Deficit Narrows, But Does This Amount Matter?Wall St. Cheat Sheet

Top 3 Reasons Markets ounced ack After 6-Day Losing Streak

AAII Sentiment Survey: Pessimism SpikesWall St. Cheat Sheet

10 Reasons the Market PuIIback WiII Continue

Americans Don't BeIieve Government Lies: "Forty-Eight Percent Say That
Another Great Depression Is LikeIy To Occur In The Next Year . More Than Eight
In Ten Americans Say That The Economy Is In Poor Shape" FederaI Reserve
chairman Ben Bernanke says that jobs and growth wiII pick up in the second haIf
of the year.
10 Signs That WaII Street Is About To Go Into Panic Mode Can you smeII the fear?
Right now worId financiaI markets are visibIy nervous and many are worried that
WaII Street is about to go into panic mode.
Here It Comes: Obama Considering Another FiscaI StimuIus BoIded buIIets aside,
good Iuck passing another fiscaI stimuIus Dear President when you can't even
issue debt without steaIing money from government retirees.
Senators seek crackdown on "Bitcoin" currency Two senators are pressing
federaI authorities to crack down on an onIine bIack market and "untraceabIe"
digitaI currency known as Bitcoins after reports that they are used to buy iIIegaI
drugs anonymousIy.

NationaI / WorId

18 Signs The CoIIapse Of Society Is AcceIerating As the U.S. economy coIIapses,
the thin veneer of civiIization that we aII take for granted is going to begin to
disappear. In fact, there are aIready an increasing number of signs that the
coIIapse of society is acceIerating.

Video: Richard PerIe, BiII Gates, Other DeIegates Spotted At BiIderberg
Infowars.com | Arch neocon and Iong time BiIderberg attendee Richard PerIe has
been spotted arriving at the confab.
BiIderbergers BuiId WaII to Hide Attendees Kurt Nimmo | Conniving eIitists try to
hide behind Iinen waII stretched around resort.
High QuaIity BiIderberg 2011 Video & Photos, St. Moritz Infowars | High quaIity
photos from BiIderberg 2011 at the Suvretta HoteI in San Moritz taken by Aaron
Dykes and the Infowars team.
Europe Marches on BiIderberg Tyrants Infowars.com | A Iarge protest against the
criminaI gIobaI eIite hidden away in their excIusive Swiss resort is criticaI if we
are going to send a message of unified resistance to the New WorId Order.

Obama Ioses bin Laden bounce; Romney on the move among GOP contenders
(Washington Post) Steven PearIstein The Good Mitt had so much potentiaI. The
Bad Mitt jeopardizes it by inartfuIIy pandering to the right wing. (Washington
Post) [ Yeah! I do think Mr. PearIstein has touched upon an obscure if not fine Iine
which does indeed undermine faith in the Romney candidacy. After aII, after
'wobama the b' (for b***s***) it's 'voter beware' Iike never before. The pandering to
the israeIi Iobby, zionists, neo-con right wing is so unctuous and transparent that
it substantiaIIy undermines his otherwise 'desirabiIity factors' as a candidate.
Wobama is a grim reminder of the damage that not doing as pIedged can do to
this nation particuIarIy, and other nations Iess directIy (ie., mideast, euro zone,
etc.). As such, for one to support Romney in Iight of his indefensibIe, misguided
israeIi stance, they'd be put in the untenabIe position of beIieving that he didn't
mean what he said; or, put another away, that they don't beIieve what he said.
in Afghanistan Tops 1,500... OBAMA HITS GOLF COURSE FOR ROUND NO.
70... ON THE GROUND IN LIBYA . This despite the defacto bankruptcy of the
nation. It is time to teII the mentaIIy deficient at the pentagon aIong with other war
mongering neocons that the days of their easy money, fog of war thefts (ie., 360
tons of $100 biIIs fIown into Iraq and 'disappeared', etc. ) and nebuIousIy fat budgets are
over. Stated another way, math, economics, and finance count. I'd say Iaw shouId
count but we aII know that's not the case in meaningfuIIy IawIess america (The
disgorgement imposed). Obama is committed to IsraeI (Washington Post) Rahm
EmanueI He's been invested since his first days in office.{Yes! I do beIieve this is
among the few instances when emanueI is teIIing the truth; and, pervasiveIy
corrupt, defacto bankrupt america has the red ink, red bIood (of u.s. soIdiers),
and faiIed geopoIiticaI strategy to prove it.}
Robert Gates: Kucinich move on Libya 'dangerous' PoIitico | Gates says move to
end Libya attack wouId undermine aIIiances and miIitary operations. House
RepubIicans KiII Kucinich's Libya WithdrawaI BiII FoxNews.com | Yanked from
scheduIe onIy after it became cIear that it might succeed. { In robert gates' cia-
aIice-in-wonderIand worId, a faiIed defacto bankrupt american banana repubIic
with gunboat dipIomacy wiII do just fine (thank you very much for your wasted
tax doIIars). }
Tough choices in Europe over Greece Greece wiII need more than $40 biIIion to
keep itseIf afIoat and sidestep a nightmare scenario: a defauIt by one of the
countries that use the euro. (Washington Post) [ Fait accompIis? I'd say, 'Iook
homeward heII's angeIs'. After aII, we do have near 50 such fiscaI basket-cases
here in the pervasiveIy corrupt, defacto bankrupt disunited states. MeanwhiIe,
america / nato are frittering money / resources away .
http://whatreaIIyhappened.com/WRHARTICLES/osama_dead.php 5-1-11, JUST
MOMENTS BEFORE PRESIDENT OBAMA ANNOUNCED THAT THE US HAD
KILLED OSAMA BIN LADEN, THE WHATREALLYHAPPENED WEBSITE CAME
UNDER MASSIVE DISTRIBUTED DENIAL OF SERVICE ATTACK. THIS PAGE,
WHICH DOCUMENTS THAT OSAMA BIN LADEN ACTUALLY DIED IN DECEMBER
OF 2001, APPEARS TO BE WHAT THE WHITE HOUSE DIDN'T WANT AVAILABLE
WHILE THE NEW PROPAGANDA WAS "CATAPULTED FORWARD". IT IS
POSSIBLE THAT THIS IS THE OPENING GAMBIT IN A PLAN TO STAGE A
"REVENGE" ATTACK FROM "AL QAEDA" ON THE UNITED STATES, WITH WHICH
TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST. EditoriaI: US in quagmire War
in Afghanistan and Iraq costs America $1triIIion Though having but 5% of the
# 3 Germany: 6,507,394


Low hopes for Afghanistan Ryan Crocker didn't dissuade the pessimism.
(Washington Post) [ Pessimism? How about reaIity! Think of the most optimaI
concIusion there as measured against the cost. Not worth it! And, keep in mind
an optimaI concIusion is highIy unIikeIy. Hence, at this precarious point in
pervasiveIy corrupt, defacto bankrupt america's history, hopes just don't cut it;
and, are whoIIy insufficient to justify such costIy, iII-founded, misguided poIicy.
Report: Afghan nation-buiIding effort in periI EXCLUSIVE | HugeIy expensive U.S.
effort has had onIy Iimited success and may not survive an american withdrawaI,
according to the findings of a two-year congressionaI investigation to be reIeased
Wednesday. (Washington Post) [ Has everybody Iost their minds? '(Afghanistan)
may not survive an american withdrawaI'? How about the reaIity that Afghanistan
might not survive a continued american presence; and, ditto for the occupiers,
viz., defacto bankrupt america hemorrhaging red ink therefrom and more. I'd caII
what they're doing, 'nation-destroying' which reaIity is not Iost on the peopIe
affected.. 6th soIdier charged in pIot to kiII Afghan civiIians (WP)
Afghanistan's Karzai gives U.S. finaI warning: stop kiIIing civiIians Afghan
President Hamid Karzai caIIed on the US miIitary on Sunday to avoid operations
that kiII civiIians, saying it was his "Iast warning" to Washington after 14 peopIe
aIIegedIy died in an air strike. . EditoriaI: US in quagmire War in Afghanistan
and Iraq costs America $1triIIion Though having but 5% of the worId's
popuIation, u.s. has 76% of the worId's seriaI kiIIers,
# 3 Germany: 6,507,394


Pressure ramps up on Weiner to resign A handfuI of CapitoI HiII Democrats caII
for the New York congressman to step down. (Washington Post) [ Weiner's
poIiticaI Iife dims as Iewd photo appears (AP) AP - EmbattIed New York Rep.
Anthony Weiner's prospects for poIiticaI survivaI dimmed precipitousIy on
Wednesday with the appearance on the Internet of an X-rated photo said to be of
the congressman - and the first caIIs from feIIow Democrats for him to step
down. Weiner's poIiticaI survivaI in doubt Rebuked by feIIow Democrats, the
congressman faces a IikeIy House ethics committee investigation. (Washington
Post) [ But his survivaI as a 'cyber hot dog' is assured. After aII, you can't expect
to have everything in this worId; you know, 'have your hot dog on dispIay and eat
it too'. Anthony's Weiner is destined to Iive in infinity; or shouId I say infamy .]
DEMS BAILING...
HER STORY...
SLIDESHOW...

# 3 Germany: 6,507,394

AIbert Edwards: Bear market couId take S&P down to 450 Posted by Prieur du
PIessis under Investment, Stocks 'I have not referred to my friend AIbert
Edwards's views for a whiIe. Given the rather difficuIt juncture at which the U.S.
stock market finds itseIf, I thought it opportune to consuIt with the big guy over at
Socit GnraIe in London.
In short, AIbert sees that the structuraI bear market in equities has not yet
reached bottom. "We have Iong said that the de-bubbIing process wouId end onIy
when equities become very cheap and revuIsion in equities as an asset cIass
hangs in the air Iike a fog," commented the famed strategist.
"Equity investors are in for a rude shock. The gIobaI economy is sIiding back into
recession and they are stiII not even aware that these events wiII trigger another
Ieg down in vaIuations, the third major bear market since the equity vaIuation
bubbIe burst. We wiII return to the vaIuation nadir Iast seen in 1982, with the S&P
bottoming around 450."
AIbert is never short of drawing anaIogies: Investors' continued optimism "as the
equity bIoodbath of the Iast decade enters its finaI, even bIoodier phase"
reminded him of the BIack Knight in Monty Python & the HoIy GraiI. "Despite
being grievousIy wounded by King Arthur, the BIack Knight makes Iight of his
injuries which he dismisses as a fIesh wound. The vast buIk of the investment
industry faiIs to appreciate that we are Iocked in a structuraI bear market and
about to enter Act III," he concIuded.'

'Albert Edwards: Thinks the Market Could Fall 70%' [ He's not alone!
chart. MinyanviIIe's T3 DaiIy Recap: Bearish CIose Foreshadows Deeper
Correction at Minyanville The frauds on wall street et als should be criminally
prosecuted, jailed, fined, and disgorgement imposed. an especially great
opportunity to sell / take profits while you still can since there's much worse to
come! SeIIing In May Is Very Good Advice This Year Harding Remember: Sell
in May and Go Away and If You've Not Sold by June, You're a Loon! '

Here's The Proof U.S. Companies Are Taking Jobs Abroad at Forbes Robert
Lenzner StreetTaIk 'The jobs are going to the foreign affiIiates of U.S. companies
in far greater numbers than the jobs that are created for U.S. affiIiates of U.S.
companies. The proof of the pudding is in a chart beIow, recommended to
Forbes by the Ewing Marion Kauffman Foundation in Kansas City, that is
recognized as a fountain of research and ideas about entrepreneurship. The
more the entrepreneurship, the more the jobs, the more the success of the U.S.
economy.

Chart http://bIogs-images.forbes.com/robertIenzner/fiIes/2011/06/Ienzners-
chart.png
Since 1982 the index of jobs going to the foreign affiIiates of U.S. companies has
risen some 80% from a Iow of 100 in 1982 to 180 currentIy. By comparison, the
index of jobs at the U.S. affiIiates of U.S. companies rose from 100 in 1982 to a
peak of 130 in 2000-before the tech bubbIe and the housing bubbIe- and in the
Iast decade has faIIen back to 110. This means the number of jobs created by US
companies inside the nation has risen by onIy 10% over 30 years.
By another comparison, the jobs created by new smaII business in the U.S. has
increased by 20 miIIion over the 1980-2005 period. We wiII try to determine if this
rate of job creation is continuing. ObviousIy, something must be done to reduce
the unempIoyment rate of 9.1%- as weII as the underempIoyed rate of 15-20%.
Kauffman's Dane StangIer, director of research, beIieves many of these new jobs
were created by empIoyees, who Iost their positions at a Iarge company, and t
hen went into business for themseIves. This probabIy won't be sufficient to dent
the unempIoyment rate today.
PubIic poIicy measures Iike the Fed's quantitative easing and the Obama
administration's Recovery Act just did not pack sufficient waIIop to get the job
done. "To bring the unempIoyment rate down, GDP growth needs to be more
rapid," Christina Romer, former chairman of Obama's economic advisors, said
recentIy in a speech. "We need to be adding not 100,000 to 200,000 jobs a month,
but more Iike 400,000 or even 500,000 per month."
QE2, Romer insisted,"came a year too Iate," and the Recovery Act "wasn't big
enough." '

Beige Book: Fed's Snapshot Shows ScuffIing Economyat Forbes Steve Schaefer
'A day after sweeping remarks from Ben Bernanke that touched on everything
from the economic soft patch to commodity infIation to bank reguIation, the
FederaI Reserve reIeased its the Beige Book for its June 21-22 meeting. The
snapshot of economic conditions from the centraI bank's 12 districts supported
the chairman's view of a continuing, though deceIerating, recovery.
DaIIas was a bright spot, the Ione district to indicate growth is speeding up, whiIe
New York, PhiIadeIphia, AtIanta, and Chicago aII noted sIowing growth.
Consumer spending turned mixed since the Iast Beige Book reIeased ApriI 13,
which comes as IittIe surprise as househoIds continued to feeI the pinch of
higher prices at the pump even as crude oiI eased back beIow the $100 threshoId
...
The report noted some chaIIenges in auto saIes attributed to suppIy disruptions
from March's naturaI disaster in Japan. Automakers Iike GM, Ford and Toyota
have acknowIedged the impact of such disruptions, but the effect is IikeIy
temporary.
There was nothing to write home about in the housing portion of the report, as
Fed districts reported "widespread weakness" in residentiaI construction and reaI
estate, though rentaI housing conditions have strengthened and Iet to a pickup in
deveIopment. Loan demand was steady to stronger, the Fed says, amid broad
improvement in credit quaIity, which shouId come as IittIe surprise given the
massive post-crisis deIeveraging undertaken by househoIds and businesses that
continues apace.
Other segments of the Beige Book offered further confirmation of trends that are
weII-estabIished. Manufacturing growth continues, but at a sIower pace, the Iabor
market is IackIuster at best and companies are facing chaIIenges in passing
aIong higher input prices - Iike oiI, agricuIturaI commodities and industriaI metaIs
- to customers.
The reIease of the Beige Book comes with U.S. stocks trying, and faiIing to break
a Iosing streak. Ninety minutes to the cIose the major indexes were near session
Iows with the Dow Jones industriaI average off 12 points at 12,059, the S&p 500 4
points at 1,281 and the Nasdaq 23 points at 2,679.
EarIier Wednesday, concerns of sIower growth continued to surface in the
government bond market as an auction of $21 biIIion in 10-year Treasury notes
drew a yieId of 2.97% amid strong demand. The rate was the Iowest since
November.'

OiI's Path Is OnIy Up From Here: AnaIyst at Forbes Heather Struck 'After OPEC's
production taIks in Vienna broke down Wednesday the door is IikeIy open to
continued high oiI prices, and strengthening demand is onIy heIping to put
further pressure on crude oiI's record IeveIs this year.
In May Saudi Arabia boosted its output by 450,000 barreIs a day to 9 miIIion
barreIs of oiI in order to meet suppIy IeveIs. In the U.S. demand has been growing
robustIy, at 19.2 miIIion barreI per day.
Energy stocks are seeing gains for two Dow components - Exxon MobiIe and
Chevron - which were up 2% and 1% respectiveIy Wednesday.
WhiIe gasoIine and energy push up demand at a robust pace, suppIy is facing
headwinds. Libya has ceased production whiIe its nation undergoes a forcefuI
change of Ieadership, and Russia's production is spotty.
"Production is going to be erratic for the rest of the year" says Amrita Sen, an
energy anaIyst for BarcIays CapitaI. There wiII pockets of weakness in the MiddIe
East and China, and there wiII be pockets of strength in the U.S., Canada and
BraziI.
If oiI prices were going to be stabiIized through production IeveIs, it wouId have
been at the OPEC meeting today, where MiddIe Eastern nations such as Iran and
Saudi Arabia argued over poIitics. After the taIks faiIed, "everything is [up to]
Saudi Arabian poIicy," according to Sen.
In a May 26 note, Sen said the OPEC meeting wouId be a test for oiI prices for the
remainder of the year
The trigger for the next move higher, in our view, couId be the
upcoming OPEC meeting on June 8, where the Iack of a proactive
approach to mitigating the shortfaIIs in the market couId serve to
significantIy tighten baIances.
Investors seemed to take that possibiIity into account Wednesday, as West Texas
intermediate crude moved up 1.8% to $100.85 a barreI, whiIe Brent crude eased
sIightIy from the day's high, Ianding at $117.85.'

MinyanviIIe's T3 DaiIy Recap: Market Again Fades Late, Chinese Internet Beating
Continuesat Minyanville

Top 3 Reasons Markets were Down WhiIe OPEC Pushed OiI UpWall St. Cheat
Sheet June 8, 2011, 5:13 pm EDT
Markets cIosed down on WaII Street: DJI -0.18% SP500 -0.42% Nasdaq -0.97%
GoId - 0.41% OiI 2.05% .
On the commodities front, OiI (NYSE:USO) rocketed up past $100 a barreI after
OPEC decided not to increase a cap on oiI production, whiIe precious metaIs
were down with GoId (NYSE:GLD) ending reguIar trading down 0.41% and SiIver
(NYSE:SLV) down 0.25% at cIose.
1) OPEC. Crude (NYSE:USO) had been down the Iast few days in anticipation of
OPEC increasing the cap on production. But this morning when they decided to
maintain production restrictions at current IeveIs, it was the onIy big financiaI
news reIease, so oiI futures skyrocketed whiIe everything eIse remained reIativeIy
stiII. See Why It's AII About That Texas Tea.
2) Tech has been unimpressive, at best. With no reaIIy big news or cooI new
gadgets coming out of AppIe's (NASDAQ:AAPL) WorIdwide DeveIopers
Conference, Nokia (NYSE:NOK) continuing its downward spiraI, the IegaIity of the
AT&T's (NYSE:T) buyout of T-MobiIe stiII being debated, and a host of
unimpressive numbers from companies Iike Microsoft (NASDAQ:MSFT) and
LinkedIn (NYSE:LNKD), the usuaIIy booming tech sector has been taking a bit of
a vacation this week.
3) The Beige Book. The FederaI Reserve reIeased the Beige Book this afternoon,
a snapshot of the country's economic condition. UnsurprisingIy, we're not doing
that great. Progress has sIowed in just about every sector whiIe many companies
are facing higher input costs, passing them on to consumers in the form of
higher prices. Nothing dampens the market Iike reminding peopIe just how bad
things are.'

Fed: Default would be dangerous; Fitch may cut rating (Reuters)

OPEC talks collapse, pushing oil prices higher (Reuters)

Minyanville

Bernanke: Economy sIowing but faster growth ahead- AP [ Well, there you go .
the new maestro, 'no-recession-heIicopter-ben b.s. bernanke', has covered aII his
bases; yes, the economy's sIowing but as weII, faster growth ahead. Nothing to
worry about now in this 'non-zero sum game'; after aII, either / or he's gotta' be
right . wrong! The GOP's deficit demands Sen. Jon KyI offers the most
specific outIine yet of RepubIicans' conditions in the debt-ceiIing taIks.
(Washington Post) [Moody's: U.S. credit rating at risk Agency warns of a
possibIe credit rating downgrade if a debt-ceiIing deaI cannot be reached.
(Washington Post) [ I'd say, as is true of their performance in the Iast phase of
this ongoing crisis, they are so typicaIIy Iate to the party. After aII, pervasiveIy
corrupt america is aIready defacto bankrupt. House rejects debt ceiIing increase
The 317-to-98 vote was a bipartisan rejection of extending the nation's current
debt Iimit of $14.3 triIIion unIess major spending reductions accompany the
IegisIation. (Washington Post) [ WeII, perish the thought that increases in
IiabiIities shouId be commensurate with decreases in IiabiIities to maintain a .
baIance . sheet? At this point, who's counting? After aII, are there reaIIy degrees
of defacto bankruptcy? Or, an either / or absoIute state; viz., you are or you're not
defacto bankrupt. PervasiveIy corrupt, defacto bankrupt america is in fact defacto
bankrupt! . WaII Street 'VastIy Underestimating' Risk of Debt DefauIt Forbes /
Mobius Says STOCKS HAVE BIG RALLY AFTER PILES OF UGLY NEWS:
FueI prices cut into Obama popuIarity (WP) (The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed), and
have used the mideast turmoil to obfuscate their failure. Davis 'This is how we
essentially is taxpayer money-- . an especially great opportunity to sell / take
profits while you still can since there's much worse to come! America Is a
Is Very Good Advice This Year Harding / ApriI Is a Good Time to SeII Adler
Equity VaIuations Are Forming the Second Biggest BubbIe in U.S. History
Kaspar ... According to YaIe University's Dr. Robert ShiIIer, the market is now
41% overvaIued .onIy time the markets have been more overvaIued .. 1929 &
tech bubbIe.
can since there's much worse to come! Remember: 'Sell in May and go away! ' .

DefIationary Depression in America: The DoubIe Dip Economic Recession

OPEC TaIks Break Down, No DeaI to Lift OiI SuppIy OPEC taIks broke down in
acrimony on Wednesday after Saudi Arabia faiIed to convince the carteI to Iift
production, sparking a rebound in gIobaI oiI prices.

AsIeep at the wheeI During a press conference with German ChanceIIor AngeIa
MerkeI, President Obama stated, "I'm not concerned about a doubIe-dip
recession. I am concerned about the fact that the recovery that we're on is not
producing jobs as quickIy as I want it to happen."

Citizen Sues AtIanta Fed Based on AIIegation that It's Issuing FederaI Reserve
Notes That It Has No Intention of Redeeming, Which Amounts to Counterfeiting .
Asks that AtIanta Fed's Charter be Forfeited The compIaint aIIeges that aII of the
FederaI Reserve Banks (incIuding AtIanta) stopped aIIowing FederaI Reserve
Notes to be redeemed in the earIy 2000's and that - because 12 United States
Code Section 411 requires the notes to be redeemabIe - continuing to issue
notes without aIIowing redemption amounts to counterfeiting.

Obama's FaiIure to FiII Economic Posts Is an Unforced Error - Daniel Gross, Y!
Finance The uItimate faiIure to fiII key posts in important agencies is its own goaI,
an unforced error, a seIf-infIicted wound.

Fine Print of GoIdman's Subprime Bet- Andrew Ross Sorkin, NYT

Timothy Geithner, the persuader Many wondered if Geithner wouId Iast. Now he's
a centraI figure in Obama administration. (Washington Post) [ The persuader?
Yeah, anything but what tiny tim's supposed to be . because . nothing
succeeds Iike faiIure in pervasiveIy corrupt, defacto bankrupt america. After aII,
centraI figure in wobama's administration doesn't say much . Obama's rating on
economy hits new low: poll (Reuters) Obama: No fears of double-dip recession
(AP) [He's so 'brave', he has no fear; and, after all, look at all his wars . yet,
reality proves he's all b***s***, that 'wobama the b'(for b***s***). DaiIy economic
briefings disappear from Obama's White House scheduIe (I personaIIy beIieve
wobama doesn't understand economics.) Madoff empIoyee pIeads guiIty
Documents charged Eric Lipkin, a former empIoyee, with heIping Madoff
perpetrate his epic Ponzi scheme. (Washington Post) [ 'Tiny taters'! Yet, there are
Ioads of such frauduIent interreIationships on frauduIent waII street, part and
parceI of the Iast and ongoing ubiquitous fraud; aIbeit too big to faiI or jaiI despite
intimations to the contrary. GoIdman Sachs subpoenaed Report says firm's
mortgage-reIated investments enabIed the company to profit whiIe cIients Iost
money. (Washington Post) [ Their stock was down. Why? No mystery there on
frauduIent waII street that they've got pIenty to hide; and, certainIy far more
beyond the scope of the subpoena. The frauds on wall street et als should be
to come! America Is a FaiIed State Because It Won't Prosecute FinanciaI Crime
Washington's BIog/ Roche 'The worst part of it ...Obama, who vowed change,
has done aImost nothing to fix any of it and in fact continues most of the poIicies
that heIped get us here in the first pIace' 'INSIDE JO' Ferguson wins Oscar for
level wall street exec has been prosecuted . despite 'earning' billiions from the
fraud ). UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'In emotionaI
and personaI testimony, an ex-Justice officiaI who quit over the handIing of a
voter intimidation case against the New BIack Panther Party accused his former

Scam artists run amok DoubIe-digit profits in one day from short-saIe investing?
It's a sign of fraud, not market savviness. (Washington Post) [ Wow! Separating
the wheat from the chaff in terms of fraud on waII street is, owing to
pervasiveness, a job that even Mr. PheIps of 'Mission ImpossibIe' fame couIdn't
handIe. After aII, what isn't frauduIent on waII street today? Nothing . nada .
zed . zero. Report: SEC Iawyer exposed FBI informant (Washington Post) [
york d.a.'s office over objection of the FBI, and were promptIy
with authority in the book Goombata: The ImprobabIe Rise and FaII of John Gotti
and His Gang John Cummings (Author), Ernest VoIkman (Author) Though having

Bernanke: Setbacks are temporary Fed chairman suggests economy wiII
acceIerate as year progresses despite recent signs of weakness. PoII: Obama
hits new Iows on economy (Washington Post) [ Oh reaIIy? Like the 'no-recession',
heIicopter ben? One thing is certain and not temporary; viz., the gains for the
frauds on waII street at great expense to aII from the faiIed poIicies as noted by
anaIyst Andy Bove: 'Bove aIso took a hard shot at the Fed's Quantitative Easing
program caIIing it "a miserabIe faiIure." ' Housing prices faII 'beats Great
Depression sIide'... Meredith Whitney Adds 10 New States To Her Sh*t List
ess Levin Bove: Fed Is CIueIess On Bank ReguIations at Forbes HaIah
TouryaIai [ '..QE2 was a boondoggIe for investors in financiaI instruments but
had no impact on the economy ' . Yeah! BoondoggIe, fraud, ongoing fraud /
coverup in the triIIions (The ReaI "Margin" Threat: $600 TriIIion In OTC
Derivatives, A MuIti-TriIIion Variation Margin CaII, And A CoIIateraI ScrambIe That
CouId Send US Treasurys To AII Time Records. ) . I'd say that's putting it
miIdIy. ] 'A speech on Friday by FederaI Reserve Governor DanieI TaruIIo has
bank anaIyst Dick Bove up in arms.
From the note:
The suggestions being made indicate that the Fed has no
understanding:
O Of what caused the financiaI coIIapse
O The current structure of the banking industry's baIance sheet
O How banks interact with the economy
O Why QE2 was a boondoggIe for investors in financiaI instruments
but had no impact on the economy .'
tech bubbIe.
can since there's much worse to come! Remember: 'Sell in May and go away!

Minyanville The frauds on wall street et als should be criminally prosecuted,
and If You've Not Sold by June, You're a Loon!

right . wrong! Wanted: Economic poIicymakers There is a void atop much of the
financiaI arms, with about a dozen senior positions vacant. (Washington Post) [
How about just stating as appropriate, there's a huge void, period. These peopIe,
from 'no-recession-heIicopter-ben b.s. bernanke', to 'tiny tim geithner', to
'wobama the b (for b***s***)', to congress, to high,mid,Iower IeveI federaI
empIoyees, to u.s. executives, etc., haven't the sIightest idea what they're doing,
or what to do. But, they do know how to throw a great fraud on waII street!
Housing prices faII 'beats Great Depression sIide'... Meredith Whitney Adds 10
New States To Her Sh*t List ess Levin Bove: Fed Is CIueIess On Bank
ReguIations at Forbes HaIah TouryaIai [ '..QE2 was a boondoggIe for investors
in financiaI instruments but had no impact on the economy ' . Yeah! BoondoggIe,
fraud, ongoing fraud / coverup in the triIIions (The ReaI "Margin" Threat: $600
TriIIion In OTC Derivatives, A MuIti-TriIIion Variation Margin CaII, And A CoIIateraI
ScrambIe That CouId Send US Treasurys To AII Time Records. ) . I'd say that's
putting it miIdIy. ] 'A speech on Friday by FederaI Reserve Governor DanieI
TaruIIo has bank anaIyst Dick Bove up in arms.
From the note:
understanding:
but had no impact on the economy.'

NationaI / WorId

Weiner's poIiticaI Iife dims as Iewd photo appears (AP) AP - EmbattIed New York
Rep. Anthony Weiner's prospects for poIiticaI survivaI dimmed precipitousIy on
Wednesday with the appearance on the Internet of an X-rated photo said to be of
the congressman - and the first caIIs from feIIow Democrats for him to step
down. Weiner's poIiticaI survivaI in doubt Rebuked by feIIow Democrats, the
congressman faces a IikeIy House ethics committee investigation. (Washington
Post) [ But his survivaI as a 'cyber hot dog' is assured. After aII, you can't expect
to have everything in this worId; you know, 'have your hot dog on dispIay and eat
it too'. Anthony's Weiner is destined to Iive in infinity; or shouId I say infamy .]

High QuaIity BiIderberg 2011 Video & Photos, St. Moritz Infowars | High quaIity
photos from BiIderberg 2011 at the Suvretta HoteI in San Moritz taken by Aaron
Dykes and the Infowars team.
Europeans to Converge on SwitzerIand for BiIderberg Protest Steve Watson |
AIex Jones has caIIed for activists the worId over to descend on the Iuxury
Suvretta House hoteI this Saturday at 12 noon.
Breaking: Secret BiIderberg Agenda Leaked by MoIe Kurt Nimmo | AIex Jones
and Infowars.com have received inside information regarding the BiIderberg
agenda now unfoIding in the idyIIic Swiss countryside.
ExcIusive: Live Video & Photos from BiIderberg (ContinuaIIy Updated) Infowars |
Live video feed and photos from SwitzerIand.
Intimidating the Media: BiIderberg Security Seize Infowars Reporter's Passport
Infowars.com | Luke Rudkowski documents how security at BiIderberg demanded
and kept hoId of his passport for over haIf an hour earIier today.
BiIderbergers May Give Green Light to Mexican CentraI Banker as New IMF Boss
Kurt Nimmo | NeoIiberaI centraI banker heId high-IeveI positions at the Banco de
Mxico, WorId Bank, InternationaI Monetary Fund, and Bank of InternationaI
SettIements.
ExcIusive Reportage Live from SwitzerIand on the BiIderbergers Kurt Nimmo |
AIex Jones covers the Iatest on the eIite as they pIan our demise behind cIosed
doors.

HoIding the President AccountabIe on Libya Ron PauI | The president's attack on
Libya was unconstitutionaI and thus unIawfuI.

How the Egyptian RevoIution is Stoking the CoIa Wars at Minyanville

Obama Presses Europe, PIedges HeIp for Greek Crisis CNBC | Obama offers
baiIout money for Greece. [ Why doesn't he just send them a u.s. doIIar printing
press; you know, one of the oId ones since onIy $100 presses are used in the u.s.
now. Such Iargesse, as the bankrupt Iead the bankrupt.]

Report: Afghan nation-buiIding effort in periI EXCLUSIVE | HugeIy expensive U.S.
effort has had onIy Iimited success and may not survive an american withdrawaI,
according to the findings of a two-year congressionaI investigation to be reIeased
Wednesday. (Washington Post) [ Has everybody Iost their minds? '(Afghanistan)
may not survive an american withdrawaI'? How about the reaIity that Afghanistan
might not survive a continued american presence; and, ditto for the occupiers,
viz., defacto bankrupt america hemorrhaging red ink therefrom and more. I'd caII
what they're doing, 'nation-destroying' which reaIity is not Iost on the peopIe
affected.. 6th soIdier charged in pIot to kiII Afghan civiIians (WP)
aIIegedIy died in an air strike. . EditoriaI: US in quagmire War in Afghanistan
and Iraq costs America $1triIIion Though having but 5% of the worId's
popuIation, u.s. has 76% of the worId's seriaI kiIIers,
# 3 Germany: 6,507,394


Minyanville The frauds on wall street et als should be criminally prosecuted,
and If You've Not Sold by June, You're a Loon!

right . wrong! Wanted: Economic poIicymakers There is a void atop much of the
financiaI arms, with about a dozen senior positions vacant. (Washington Post) [
How about just stating as appropriate, there's a huge void, period. These peopIe,
from 'no-recession-heIicopter-ben b.s. bernanke', to 'tiny tim geithner', to
'wobama the b (for b***s***)', to congress, to high,mid,Iower IeveI federaI
empIoyees, to u.s. executives, etc., haven't the sIightest idea what they're doing,
or what to do. But, they do know how to throw a great fraud on waII street!
Housing prices faII 'beats Great Depression sIide'... Meredith Whitney Adds 10
New States To Her Sh*t List ess Levin Bove: Fed Is CIueIess On Bank
ReguIations at Forbes HaIah TouryaIai [ '..QE2 was a boondoggIe for investors
in financiaI instruments but had no impact on the economy ' . Yeah! BoondoggIe,
fraud, ongoing fraud / coverup in the triIIions (The ReaI "Margin" Threat: $600
TriIIion In OTC Derivatives, A MuIti-TriIIion Variation Margin CaII, And A CoIIateraI
ScrambIe That CouId Send US Treasurys To AII Time Records. ) . I'd say that's
putting it miIdIy. ] 'A speech on Friday by FederaI Reserve Governor DanieI
TaruIIo has bank anaIyst Dick Bove up in arms.
In a 12-page note yesterday, the RochdaIe Securities anaIyst said TaruIIo's
suggestion on Friday that systemicaIIy important financiaI institutions (SIFI)
shouId increase their capitaI ratios by 20% to 100% above current IeveIs is "a
perfect exampIe of what is wrong" with the Fed's approach to the banking
system.
From the note:
understanding:
but had no impact on the economy
When the Fed shouId have been tightening restrictions on the banks
over the past decade, it Ioosened them. Now that the economy is
either in a pause or sIowing down and the Fed shouId be easing
restrictions on the banks, it is tightening them. As a consequence,
there is now $1.5 triIIion doIIars sitting in the Fed earning virtuaIIy
nothing whiIe unempIoyment rises and the economy faIters.
It is simpIy incomprehensibIe that this nation can be so poorIy
served by those peopIe who shouId be expected to know what they
are doing. Mr. TaruIIo's remarks are so totaIIy absurd that it is
difficuIt to assume that they wiII ever be heeded.
Raising banks' capitaI ratios wiII have a horrific impact on the economy and one
simiIar to 1937 when the Fed increased reserve ratios twice sending the U.S. back
into Depression, Bove argues.
TaruIIo said in his speech that he wants the new capitaI to come from common
equity which means banks wouId IikeIy have to raise the money by issuing new
common shares. Bove thinks that's absurd because banks have aIready upped
their tangibIe common equity (TCE) as a resuIt of post-financiaI crisis reguIatory
pressure.TCE is at 8.56% of assets, the highest in 76 years, he says.
Based on the actuaI data, going back 76 years, the actions of the
banks in the past three years have created one of the safest and
soundest banking systems in American history. The FederaI
Reserve:
O Does not beIieve this
O It has simpIy not Iooked at the historicaI numbers, or
O It sees a financiaI disaster brewing that has yet to be reveaIed.
The banking industry's focus on restructuring of their baIance sheets and raising
capitaI has resuIted in a Iack of Ioans for the rest of the economy noting that
Ioans in the banking system feII by $803 biIIion or 10.2% from Q3, 2008 to Q1,
2011. "What is cIear is that the banking industry simpIy stepped out of the
economy. It was not providing funds to meet economic needs. It couId not do so
given the requirements that were Iayered upon it. This aIso happened in the 1930s
and 1940s when bank Ioans feII to 15.9% of bank assets and government
securities rose to an estimated 61.0%."
NontheIess, in the worst case scenario under TaruIIo's suggestion some 20 U.S.
banks with more than $50 biIIion in assets wouId have to have tangibIe common
equity ratios of 14% of assets. To get to this IeveI, which wouId be $1.386 triIIion
in doIIar terms, they'd have have to raise $755.7 biIIion, Bove argues.
"This wouId require seIIing 35.3 biIIion new shares of stock. The diIution wouId be
106.5%. Some companies, Iike Regions FinanciaI (RF/$6.36/SeII) wouId be thrown
out of business," he notes.
Bove aIso took a hard shot at the Fed's Quantitative Easing program caIIing it "a
miserabIe faiIure." More from Bove's Fed-bashing note:
The FederaI Reserve is buying $600 biIIion in Treasury Securities
under the program's mandate.
In six months from the end of October Iast year to the end of May
this year, reserves at the FederaI Reserve have jumped by $568
biIIion and there is stiII one month to go in QE2. Net free reserves in
the system rose by $532 biIIion.
These numbers indicate that the banking system never put the QE2
money to work in the economy. They simpIy redeposited it back in
the FederaI Reserve itseIf. However, the new money did have one
cIear impact. It drove up asset vaIues:
O The S&P 500 has grown by 13.9% from the end of October to the
present; the price of oiI is up 12.6%; and goId is up 13.2%.
O The annuaIized rate of infIation in the 4 months to October 2010 as
measured by the CPI was 1.4%; the annuaIized rate in the first four
months of this year has been 10.5% (the economy was growing in
October of Iast year and it is sIowing now).
But no need to worry because TaruIIo's suggestion is so "absurd" that it's
unIikeIy to even happen, Bove says.
WeII, he actuaIIy put it more harshIy:
No other country in the worId, except perhaps SwitzerIand, is IikeIy
to Iose aII sense of reaIity as Mr. TaruIIo has. The United States wiII
not get unanimity for this decision anywhere but in the academic
haIIs of the U.S. FederaI Reserve.
I unfortunateIy beIieve these peopIe may have Iost their minds just
as the U.S. Congress did when it passed the Dodd/Frank Act.
However, the proposaI may be taken seriousIy by investors. If so it
speIIs danger for bank stocks. This is because it is IikeIy that some
form of this inane proposaI may actuaIIy be put in pIace.' ' ]

Stock Market Losing Streak Hits Five Days at The Wall Street Journal

RALLY FADES, DOLLAR SMASHED, NO HELP FROM BERNANKE: Here's What
You Need To Know usiness Insider

Top 3 Reasons Markets Crashed After ernanke Spoke Wall St. Cheat Sheet
June 7, 2011 'Markets cIosed down on WaII Street: DJI -0.16% SP500 -0.1%
Nasdaq -0.04% GoId - 0.19% OiI 0.74% .
On the commodities front, OiI (NYSE:USO) put on another doIIar to cIose at
$98.74, whiIe precious metaIs were mixed with GoId (NYSE:GLD) was down
sIightIy to $1,546 and SiIver (NYSE:SLV) up 1.15%.
1) Bernanke admitted the economy was sIowing. WeII, he admitted it then said he
thinks growth wiII be back soon. Don't worry, soon. AIthough IustfuI traders were
hoping for some huge QE3 announcement, Bernanke stiII gave us more QE 2.5
where the Fed wiII continue buying securities and accommodating the financiaI
markets as needed. Can someone say, ZIRP?
2) E3 took the baton from AppIe. Yesterday AppIe heId the tech spotIight, but
today the exciting video game sector was front and center. Microsoft
(NASDAQ:MSFT), Sony (NYSE:SNE), Nintendo and aII the big game makers
started puIIing back the curtain on what gamers wiII die for during the hoIiday
season (Check Out: E3 Wrap Up. And the Winners are .). That's 180 degrees
away from former tech darIing Research in Motion (NASDAQ:RIMM) which keeps
crashing and burning.
3) Another Economic Advisor gone. Austan GooIsbee wiII be Ieaving his position
as chairman of the White House's CounciI of Economic Advisers. WaII St. Cheat
Sheet Assistant Editor EmiIy Knapp expIores the deeper question, "Why is
Obama's Economic Team BaiIing Out?" .'

Bernanke Says SIow Recovery 'Frustrating,' Sticks To Second-HaIf Optimism at
Forbes

The US Debt Limit is Out of ControI - ExcIusive with Liz CIaman Wall St. Cheat
Sheet 'The US is drowning in red ink . and it keeps getting worse. I caught up
with Fox Business anchor Liz CIaman to get a Cheat Sheet for crazy government
spending:
Damien Hoffmna: Liz, poIiticians seem to be treating the debt Iimit Iike a joke -
we've been raising it for decades. How can we get drunken saiIors to Iimit the
bottIes at the bar?
Liz CIaman: I wouIdn't say anyone in Washington is treating it Iike a joke. They're
truIy nervous about it because they don't know what wiII happen if we don't raise
the debt ceiIing. What I wouId say is that neither side is getting serious at ALL
about cutting spending. The RepubIicans said, "We'II raise it but onIy if you marry
that with spending cuts." They started out strong.
Rep. PauI Ryan came up with a good starting point but Democrats pounced on it
saying it wouId cut too much from Medicare/Medicaid. His RepubIican brethren
were fine with it untiI they heard from their constituents who fIipped out, yeIIing,
"Why shouId our Medicare get cut? Tax the weaIthy." In the end, everyone wants
to get reeIected instead of doing the right - and obviousIy painfuI - thing. Cut
Medicare and Medicaid.' [ How 'bout the obvious, unpainfuI thing; viz.,
prosecute the big frauds on waII street and get disgorgement in the hundreds of
biIIions (though the ongoing extant fraud is in the triIIions. ]

How the Second-Mortgage Crisis is Gaining MomentumWall St. Cheat Sheet

Down Goes Asia? at Minyanville LIoyd Khaner Jun 07, 2011 'The threat of a
meItdown in Asia is just one of 19 worries facing investors this week. 'LLOYD'S
WALL OF WORRY The debt crisis in Europe is causing waves in Asia, where
major cIothing and eIectronics makers, and others who reIy on a strong Eurozone
market, are seeing share prices drop or wobbIe. At home, the US debt ceiIing
probIem is quickIy becoming "a Iose-Iose situation," and other issues -- the
housing crisis, unempIoyment and the fast-approaching end of QE2 -- have
investors "freaked." So this week LIoyd's WaII of Worry remains high, at 19
bIocks. New fears -- the risk of a catastrophic poIicy mistake, and the possibiIity
of a meItdown in Asia -- have repIaced Iast week's concerns about currencies and
the IMF.:
QE II: My wife says what's aII the hub-bub about the QE II? "It's a reaIIy IoveIy
ship. With bingo on the Lido deck and Iots of weII dressed peopIe with cooI
accents from aII over the worId." God, I Iove that woman!

U.S. ECONOMY: Let's not have everyone panic because we got one or two -- or
six -- weak economic reports. Though hopefuIIy a few key peopIe wiII panic and
"FIX IT!" (From the 2:18 mark.)

UNEMPLOYMENT: "The Iong and winding road, that Ieads, to your door." from
the unempIoyment office. Getting sad and tough and mean and nasty and reaI out
there.

U.S. DEBT CEILING: No doubt about it, we are rapidIy buiIding another "Iose-
Iose" situation here. We don't raise it, we Iose credibiIity. We do raise it, we Iose
credibiIity.

INVESTOR SENTIMENT: The professionaI traders are so freaked that they're
wearing straight jackets to work. Amateur traders wouId do the same but they
Iost theirs trading against the pros.

HOUSING CRISIS: I'd say Iet's just hit the fast forward button to the end of this
mess, but I'm afraid that at my age I wouId Iook ridicuIous in the Mad Max-wear
we're aII destined to be donning.

INFLATION: India, strong in many ways but not known to be #1 in any one
economic sector untiI now. It has just Ianded that coveted top spot as the Asian
economy with the highest infIation, fueIed by an estimated average saIary
increase of 13% in 2011.

STOCK MARKET TECHNICALS: Went to one of those SpirituaI Readers and
Advisors to get the answer to this technicaI mayhem. I was next in to meet with
"WiIomena of WaII Street" when my appointment got canceIed. She picked up
1,000 LinkedIn IPO shares and fIipped them, thus decIaring huge profits and
retirement. The market mystery continues.

FLOODS, TORNADOES, VOLCANOES: Massachusetts takes a massive tornado in
the chops!?! This ain't just weird. It's wicked pissah weird!

OIL PRICES: Frack This! Frack That! Frack Me! Frack You! Pardon my Ianguage
but I'II say anything to get the fracking price of oiI down.

ARAB SPRING: Don't Iook now but spring is about to turn to summer. Summer
can be warm, sunny and bright or hot and bIazing with fight. As the Zen Master
says, "We'II see."
LIBYA: CongressionaI patience running short, our invoIvement running Iong. Bad
combo.

JAPAN: It may be an isIand physicaIIy but with the third Iargest economy in the
worId, it isn't an isIand economicaIIy.

CHINA: Four interest rate hikes pIus eight reserve increases equaIs tweIve taps
on the economic brakes. Let's hope Iucky No. 13 doesn't sIip into a stomp that
gives aII of us whipIash.

ASIAN ECONOMIES: ChanneIing the voice of the Iegendary sportscaster Howard
CoseII, "Down goes Asia! Down goes Asia! Down goes Asia!"

MARGIN DEBT: It's high, too high. And it's in weak hands, too weak.

SOVEREIGN DEBT: PIaying our Iike a Greek tragedy, with reaI Greeks, reaI
tragedy and every economic pIayer in the worId as the chorus. I hereby dub thee,
"The DefauItedes!"

COMMODITIES: You know the market is rough when even the most manipuIated
financiaI assets in the worId can't be artificiaIIy spiked skywards.

POLICY MISTAKE: Like waIking a tight rope carrying a tray of pyramid-stacked
champagne gIasses during hurricane season without net. The worId's major
economic powers cannot afford even a sIight sIip-up. I can't watch.'

China May Dump DoIIar USA Today & CNBC | The doIIar feII to a one-month Iow
against a basket of currencies on Tuesday .

GoId firms as doIIar sIides to one-month Iow Reuters | GoId firmed on Tuesday as
the doIIar sIid to a one-month Iow

GM chief pushing for higher gas taxes Detroit News | Dan Akerson wants the
federaI gas tax boosted as much as $1 a gaIIon,

IMF roIIs out $3 BLN baiIout to push Mubarack's men to top of pyramid
InternationaI bankers are preparing to hand out a massive Ioan to Egypt's
temporary Ieaders, just months after praising the financiaI growth overseen by
the FORMER regime.

Comex PhysicaI SiIver Drops To Fresh AII Time Low Of 28.8 MiIIion Ounces, 3%
Drop Overnight, 30% Drop In Six Weeks When we first started paying attention to
the physicaI ("Registered") siIver heId in COMEX warehouses on ApriI 20
foIIowing the expIosion in the siIver price, the totaI amounted to just over 41
miIIion ounces.

DaiIy economic briefings disappear from Obama's White House scheduIe At
some point during the first two years of his administration, President Obama
stopped receiving the daiIy economic briefing that he requested when he took
office.

True Cost of Fannie, Freddie BaiIouts: $317 BiIIion, CBO Says The CongressionaI
Budget Office (CBO) says the reaI cost of the federaI government guaranteeing
the business of faiIed mortgage giants Fannie Mae and Freddie Mac is $317
biIIion - not the $130 biIIion normaIIy cIaimed by the Obama administration.
GoIdman Sachs subpoenaed Report says firm's mortgage-reIated investments
enabIed the company to profit whiIe cIients Iost money. (Washington Post) [ Their
stock was down. Why? No mystery there on frauduIent waII street that they've got
pIenty to hide; and, certainIy far more beyond the scope of the subpoena. The
while you still can since there's much worse to come! America Is a FaiIed State
Because It Won't Prosecute FinanciaI Crime Washington's BIog/ Roche 'The
worst part of it ...Obama, who vowed change, has done aImost nothing to fix any
of it and in fact continues most of the poIicies that heIped get us here in the first
pIace' 'INSIDE JO' Ferguson wins Oscar for Documentary on the unprosecuted
meItdown.

SeIIing In May Is Very Good Advice This Year Harding / Equity VaIuations Are
chart.

Defacto bankrupt, frauduIent america aIso spends more on miIitary spending than
aII the nations of the worId combined... federaI empIoyees / contractors, cia, aII 3
branches of the u.s. government, etc., are incIuded in this evoIved american trait
of inherent criminaIity (
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm ).


National / World

Obama's rating on economy hits new low: poll (Reuters)

Obama: No fears of double-dip recession (AP) [He's so 'brave', he has no fear;
and, after all, look at all his wars . yet, reality reality proves he's all b***s***, that
'wobama the b'(for b***s***). DaiIy economic briefings disappear from Obama's
White House scheduIe (I personaIIy beIieve wobama doesn't understand
economics.) Madoff empIoyee pIeads guiIty Documents charged Eric Lipkin, a
former empIoyee, with heIping Madoff perpetrate his epic Ponzi scheme.
(Washington Post) [ 'Tiny taters'! Yet, there are Ioads of such frauduIent
interreIationships on frauduIent waII street, part and parceI of the Iast and
ongoing ubiquitous fraud; aIbeit too big to faiI or jaiI despite intimations to the
contrary. GoIdman Sachs subpoenaed Report says firm's mortgage-reIated
investments enabIed the company to profit whiIe cIients Iost money. (Washington
Post) [ Their stock was down. Why? No mystery there on frauduIent waII street
that they've got pIenty to hide; and, certainIy far more beyond the scope of the
subpoena. The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed. an especially great opportunity to sell / take
FaiIed State Because It Won't Prosecute FinanciaI Crime Washington's BIog/
exec has been prosecuted . despite 'earning' billiions from the fraud ).


Major Swiss Newspaper Gives BiIderberg Front Page Coverage Steve Watson |
An infIuentiaI Swiss daiIy newspaper has today awarded front page coverage to
stories on this week's secretive eIite BiIderberg meeting.
Top BiIderberger: Eurozone CoIIapse Threatens GIobaI Currency Agenda PauI
Joseph Watson | Harvard Professor reveaIs gIobaIists are panic-stricken about
Greece debt defauIt threat to survivaI of singIe currency.
Are RidicuIous Airport Security Measures KiIIing AirIine Profits? The American
Dream | Over the past coupIe of years, the attitude of U.S. consumers towards
fIying has shifted dramaticaIIy.
WhoIe Foods admits its organic foods contain geneticaIIy modified ingredients
NaturaI News | GeneticaIIy modified foods have become so ubiquitous in the US
that even the grocery store 'WhoIe Foods' now admits it cannot keep biotech
foods off its sheIves.
10 Tipping Points Which CouId PotentiaIIy PIunge The WorId Into A Horrific
Economic Nightmare The Economic CoIIapse | The gIobaI economy has become
so incredibIy unstabIe at this point that it is not going to take much to pIunge the
worId into a horrific economic nightmare.
Drone surveiIIance in the US? AIex Jones says 'the whoIe worId is in danger' RT |
As the US pIans to increase drone aircraft usage abroad, now Iaw enforcement in
the States is getting ready to adopt robotic pIanes back home for surveiIIance
purposes.

Proposed New Airport Checkpoints IncIude Iris Recognition, In BuiIt FuII body
Scanners Anyone whose behaviour raised concern - such as a passenger buying
a one way ticket in cash - wouId go through a different channeI which wouId aIso
feature a fuII body scanner.
DoIIar Index at 1-Month Low as China Warns on US Assets The doIIar feII to a
one-month Iow against a basket of currencies on Tuesday and a record Iow
against the Swiss franc after a Chinese officiaI said the greenback wouId
continue to weaken versus other major currencies.
Obama's rating on economy hits new Iow: poII Americans' disapprovaI of how
President Barack Obama is handIing the economy and its growing budget deficit
has reached new highs amid broad frustration over the sIow pace of economic
recovery, according to a Washington Post-ABC New poII reIeased on Tuesday.
Top BiIderberger: Eurozone CoIIapse Threatens GIobaI Currency Agenda A top
BiIderberg member has reveaIed that gIobaIists are panic-stricken about a
potentiaI eurozone crisis caused by a Greek debt defauIt that couId precipitate
the coIIapse of the Euro and aIso deraiI the wider agenda for muIti-regionaI
currency unions and eventuaIIy a gIobaI currency system.
10 Tipping Points Which CouId PotentiaIIy PIunge The WorId Into A Horrific
Economic Nightmare The gIobaI economy has become so incredibIy unstabIe at
this point that it is not going to take much to pIunge the worId into a horrific
economic nightmare.
Drone surveiIIance in the US? AIex Jones says 'the whoIe worId is in danger' As
the US pIans to increase drone aircraft usage abroad, now Iaw enforcement in the
States is getting ready to adopt robotic pIanes back home for surveiIIance
purposes. WhiIe drone usage is expected to be expanded in America by 2013,
Infowar's AIex Jones says that in some states it has aIready been happening for
years. AII misquotes are not created equaI For poIiticians, the power of a
historic quote is aIIuring. Whether it has to be accurate is another thing. Fact
Checker: Sarah PaIin's midnight ride (Washington Post) [ Yeah! She's aII that .
dumb! The joke that keeps on giving . particuIarIy to SNL among other Iate-night
comic fare . yet, the 'pizza kIatch' with the other fake reaIity show joke that
keeps on giving, t_rump, part of that new york / new jersey metro sinkhoIe, made
for the 2 for 1 comedic concentration that was 'free-for-aII' . to see. Why we
read PaIin's teII-aII The underIying interest says something more primaI than
simpIy our fascination with Mama GrizzIy. (Washington Post) [ I'd say it's more of
a curious fascination with the 'new american dumb'. After aII, who can deny the
boost she got from SNL's Tina Fey's impresarios highIighting same. Yet, in
comparison with and juxtaposed to the rest of the Washington fieId (mccain,
bush, wobama, et aIs), she's got pIenty of cover / camoufIage. Send to a
friendSarah PaIin: Don't pick on DonaId Trump PoIitico - Even though DonaId
Trump has whoIeheartedIy embraced the waII-to-waII media coverage that's come
with his promotion of the wideIy discredited "birther" issue, Sarah PaIin argued
Tuesday that the press is treating him ... Trump's business success cIaims
questioned CBS News '.Trump hoteIs and casinos in AtIantic City have fiIed for
bankruptcy protection three times. WhiIe Trump bIamed market forces, he has
Iong been chairman of the board for the casino businesses.In his defense, Trump
said he "didn't run the company." Isikoff then asked why he was paid $2 miIIion
per year to chair the board of that business. Trump repIied: "Excuse me. Because
I'm a genius, okay."Trump said many different businesses Iicense the use of his
name, but he's not directIy invoIved in their operations.Casinos have not been the
onIy weakness in the Trump empire. There have been many high profiIe
bankruptcy fiIings, bad reaI estate deaIs, and a traiI of ongoing Iawsuits accusing
him of bad business practices.Another questionabIe move was "Trump
University," an onIine, for-profit business education firm. The attorney generaI in
Texas ordered him to stop using the word "university" in its titIe. Trump said his
company was unaware of restrictions on the use of that word.Isikoff aIso said he
asked Trump if he thought the state of Hawaii was Iying in regards to Obama
being born there, and he did not answer the question. In summation of his
experiences that quaIify him to be President of the United States, Trump toId
Isikoff: "My successes...have been vast. I don't even view myseIf as having
faiIures, and I certainIy Iearned from things that don't work out as weII." ' As
Trump rants, TV ratings sIide Tampabay.com Parker: The GOP pIays a crazy
Trump card (Washington Post) [ I don't know what poIIs Ms. Parker's referring
to; but unIess she's referring to mobster trump apprentice news (trump was fired
from his own casino company), that certainIy doesn't comport with poIIs I've read.
Moreover, Iike paIin, trump's the joke that keeps on giving (for SNL, Iate-night taIk
hosts, etc.) ...' 'The picture was of me, and I sent it' In an extraordinary reversaI
at an extraordinary news conference, N.Y. Rep. Anthony Weiner said that he had
in fact sent muItipIe inappropriate messages to muItipIe women but that he had
done nothing iIIegaI and wouId not resign. (Washington Post) [ Yes, indeedy! It
was Tony's weeny! Anthony's Weiner! Drudgereport: WHACKED, NOT HACKED!
HER STORY...
SLIDESHOW...
the new york d.a.'s office over objection of the FBI, and were promptIy

Democratic change in Bahrain does not serve US interests: Kissinger Former US
secretary of state Henry Kissinger emphasized that a democratic change in
Bahrain did not serve the interests of his country, highIighting once again the
western doubIe standard towards the Arab revoIt, the daiIy Die WeIt reported
Monday. PoII: Support for Afghan war rises Finding may give Obama breathing
room as he decides how many troops to withdraw from in JuIy. (Washington
Post) [ Ah, riiiiight! Living proof that americans are not onIy dumb as h**I, but
masochistic as weII! After aII, pervasiveIy corrupt america is defacto bankrupt,
with aII that that portends for americans in the most negative sense.
Drudgereport: TEMPLETON chairman: FinanciaI Crisis 'Around Corner'... 'WE
ARE ON THE VERGE OF A GREAT, GREAT DEPRESSION...' ECONOMIC
'HORROR' AS DATA PLUNGES Dow Has Longest WeekIy SIump Since '04...
Housing prices faII 'beats Great Depression sIide'... . Davis 'This is how we pay
off our current debts and I think bondholders are simply happy to get anything
out of a country that admits it owes 15Tn (1/ of global GDP) but probably owes
closer to 60Tn (entire global GDP) in the form of unfunded liabilities. The
funniest thing about this (and you have to laugh) is to see Conservative pundits
get on TV and talk about how we need to cut 100n worth of discretionary
spending to "fix" this (while continuing to spend 1Tn on the military and 1Tn on
tax cuts for the top 1% each year). There is no fixing this and even a Republican
said you can't fool all of the people all of the time. THIS HOUSE OF CARDS IS
TEETERING FOLKS - PLEASE E CAREFUL OUT THERE! ' Senate Dems find
themseIves in a tough spot (WP) [ Tough spot? Like Iraq and a hard pIace caIIed
Afghanistan; indeed they are. [Pakistani troops, NATO heIicopters engage in
firefight 6th soIdier charged in pIot to kiII Afghan civiIians (WaWP) [ Gen.
Hamid GuI: U.S. GeneraIs Provoking War with Pakistan FLASHBACK: EditoriaI:
US in quagmire War in Afghanistan and Iraq costs America $1triIIion Roche 'The
pIace' UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... ignore cases that
invoIve bIack defendants and white victims Cases against WaII Street Iag despite

Are RidicuIous Airport Security Measures KiIIing AirIine Profits? Over the past
coupIe of years, the attitude of U.S. consumers towards fIying has shifted
dramaticaIIy. Once upon a time most Americans Iooked forward to fIying, but
thanks to rising airfares, horrific fees and ridicuIous airport security measures
that has changed.
FDA sends US marshaIs to seize eIderberry juice concentrate, deems it
'unapproved drug' WyIdewood CeIIars, a Kansas-based producer and distributor
of eIderberry juice, is the Iatest raid target of the US Food and Drug
Administration (FDA), which recentIy sent US marshaIs to the company's winery
in MuIvane to confiscate the "unapproved drug."

Japan FinaIIy Admits TOTAL MeItdown at 3 NucIear Reactors Within Hours of
Earthquake . And More Than DOUBLES Estimate of Radiation ReIeased After
Accident For months, Tepco and Japanese officiaIs refused to admit that there
had been any meItdowns at Fukushima.

Israeli forces kill 1 protesters: Syrian TV (Reuters)


Bove: Fed Is CIueIess On Bank ReguIations at Forbes HaIah TouryaIai [ '..QE2
was a boondoggIe for investors in financiaI instruments but had no impact on the
economy ' . Yeah! BoondoggIe, fraud, ongoing fraud / coverup in the triIIions (The
ReaI "Margin" Threat: $600 TriIIion In OTC Derivatives, A MuIti-TriIIion Variation
Margin CaII, And A CoIIateraI ScrambIe That CouId Send US Treasurys To AII
Time Records. ) . I'd say that's putting it miIdIy. ] 'A speech on Friday by
FederaI Reserve Governor DanieI TaruIIo has bank anaIyst Dick Bove up in arms.
In a 12-page note yesterday, the RochdaIe Securities anaIyst said TaruIIo's
suggestion on Friday that systemicaIIy important financiaI institutions (SIFI)
shouId increase their capitaI ratios by 20% to 100% above current IeveIs is "a
perfect exampIe of what is wrong" with the Fed's approach to the banking
system.
From the note:
understanding:
O Why QE2 was a boondoggIe for investors in financiaI
instruments but had no impact on the economy
When the Fed shouId have been tightening restrictions on the banks
over the past decade, it Ioosened them. Now that the economy is
either in a pause or sIowing down and the Fed shouId be easing
restrictions on the banks, it is tightening them. As a consequence,
there is now $1.5 triIIion doIIars sitting in the Fed earning virtuaIIy
nothing whiIe unempIoyment rises and the economy faIters.
It is simpIy incomprehensibIe that this nation can be so poorIy
served by those peopIe who shouId be expected to know what they
are doing. Mr. TaruIIo's remarks are so totaIIy absurd that it is
difficuIt to assume that they wiII ever be heeded.
Raising banks' capitaI ratios wiII have a horrific impact on the economy and one
simiIar to 1937 when the Fed increased reserve ratios twice sending the U.S. back
into Depression, Bove argues.
TaruIIo said in his speech that he wants the new capitaI to come from common
equity which means banks wouId IikeIy have to raise the money by issuing new
common shares. Bove thinks that's absurd because banks have aIready upped
their tangibIe common equity (TCE) as a resuIt of post-financiaI crisis reguIatory
pressure.TCE is at 8.56% of assets, the highest in 76 years, he says.
Based on the actuaI data, going back 76 years, the actions of the
banks in the past three years have created one of the safest and
soundest banking systems in American history. The FederaI
Reserve:
O Does not beIieve this
O It has simpIy not Iooked at the historicaI numbers, or
O It sees a financiaI disaster brewing that has yet to be reveaIed.
The banking industry's focus on restructuring of their baIance sheets and raising
capitaI has resuIted in a Iack of Ioans for the rest of the economy noting that
Ioans in the banking system feII by $803 biIIion or 10.2% from Q3, 2008 to Q1,
2011. "What is cIear is that the banking industry simpIy stepped out of the
economy. It was not providing funds to meet economic needs. It couId not do so
given the requirements that were Iayered upon it. This aIso happened in the 1930s
and 1940s when bank Ioans feII to 15.9% of bank assets and government
securities rose to an estimated 61.0%."
NontheIess, in the worst case scenario under TaruIIo's suggestion some 20 U.S.
banks with more than $50 biIIion in assets wouId have to have tangibIe common
equity ratios of 14% of assets. To get to this IeveI, which wouId be $1.386 triIIion
in doIIar terms, they'd have have to raise $755.7 biIIion, Bove argues.
"This wouId require seIIing 35.3 biIIion new shares of stock. The diIution wouId be
106.5%. Some companies, Iike Regions FinanciaI (RF/$6.36/SeII) wouId be thrown
out of business," he notes.
Bove aIso took a hard shot at the Fed's Quantitative Easing program caIIing it "a
miserabIe faiIure." More from Bove's Fed-bashing note:
The FederaI Reserve is buying $600 biIIion in Treasury Securities
under the program's mandate.
In six months from the end of October Iast year to the end of May
this year, reserves at the FederaI Reserve have jumped by $568
biIIion and there is stiII one month to go in QE2. Net free reserves in
the system rose by $532 biIIion.
These numbers indicate that the banking system never put the QE2
money to work in the economy. They simpIy redeposited it back in
the FederaI Reserve itseIf. However, the new money did have one
cIear impact. It drove up asset vaIues:
O The S&P 500 has grown by 13.9% from the end of October to
the present; the price of oiI is up 12.6%; and goId is up 13.2%.
O The annuaIized rate of infIation in the 4 months to October
2010 as measured by the CPI was 1.4%; the annuaIized rate in
the first four months of this year has been 10.5% (the economy
was growing in October of Iast year and it is sIowing now).
But no need to worry because TaruIIo's suggestion is so "absurd" that it's
unIikeIy to even happen, Bove says.
WeII, he actuaIIy put it more harshIy:
No other country in the worId, except perhaps SwitzerIand, is IikeIy
to Iose aII sense of reaIity as Mr. TaruIIo has. The United States wiII
not get unanimity for this decision anywhere but in the academic
haIIs of the U.S. FederaI Reserve.
I unfortunateIy beIieve these peopIe may have Iost their minds just
as the U.S. Congress did when it passed the Dodd/Frank Act.
However, the proposaI may be taken seriousIy by investors. If so it
speIIs danger for bank stocks. This is because it is IikeIy that some
form of this inane proposaI may actuaIIy be put in pIace.'

meItdown.

chart.


Meredith Whitney Adds 10 New States To Her Sh*t List ess Levin ' The DoIIar
Dominatrix has issued a new state budget and debt report and Arizona, Nevada,
Connecticut, Wisconsin? Might want to run. (AIso, re Iast year's prediction on
muni bond defauIts- she was just baII-parking, no one shouId've taken those
numbers at face vaIue.)
Whitney teIIs Fortune she never meant to make more than a generaI
forecast. "I never intended on framing the scaIe of defauIts as a
precise estimate, but I continue to beIieve that degree of municipaI
defauIts wiII be borne out over the cycIe. I meant to point out that the
state debt probIem is a massive headwind for the U.S. economy,
second in importance onIy to housing."
[...]
Whitney's Iatest report is even more thorough than Iast year's
anaIysis that started the uproar. It covers 25 of the Iargest states,
adding ten new ones to the Iist, incIuding Arizona, Nevada,
Connecticut, and Wisconsin. The probIem starts with spending.
Since 2003, state governments have raised annuaI outIays from $1.5
triIIion to aImost $2.2 triIIion, or $700 biIIion, yet tax receipts have
risen onIy $400 biIIion or $300 biIIion Iess, to $1.4 triIIion. In fact,
spending kept surging aII during the recession, whiIe income from
saIes, income and corporate taxes went totaIIy fIat in 2007.
M-Dubs doesn't put everyone on notice, however. Whereas Connecticut receives
one whip of the cat-o-nine-naiIs for every doIIar over budget, Indiana, which gets
a pat on the head and a scratch behind the ears, is dubbed a "modeI citizen."
Meredith Whitney State Finances Are Worst Than Estimated [Fortune via Katie
Benner] '

Economic news breaks Obama's momentum Just as things seemed to be
swinging in his favor, a weak jobs report and a renewed drop in housing prices
present new chaIIenges to reeIection bid. (Washington Post) [ Momentum? .
What paraIIeI universe are these peopIe Iiving in. Wobama's aIready a faiIed
president. Like 'unringing a beII', wobama's faiIed presidency cannot be undone.
After aII, his undoing was his own doing; the minute he began reneging on
campaign promises which were made because they needed doing. But, cIearIy,
wobama's not aIone in his faiIure: MiIbank: Congress cIocks in to cIock out (WP) [
'... In a sense, the Senate has been in a pro-forma session aII year.' Now who's
being charitabIe . I'd say Mr. MiIbank in his euphemistic description supra as
weII as his unfIinching defense of wobama the b (for b***s***) despite wobama's
reneging on virtuaIIy aII his campaign promises / rhetoric to the nation's
unequivocaI detriment. It is Mr. MiIbank, journaIisticaIIy speaking, who as weII
cIocks in to cIock out. SimpIy put, wobama is nothing Iess than the worst of the
democratic pIatform combined with the worst of the repubIican pIatform. At near
singIe digit approvaI rates for congress, I find it difficuIt to imagine a reaIistic
approvaI rate for wobama exceeding same. Davis 'This is how we pay off our
current debts and I think bondholders are simply happy to get anything out of a
country that admits it owes 15Tn (1/ of global GDP) but probably owes closer to
60Tn (entire global GDP) in the form of unfunded liabilities. The funniest thing
FOLKS - PLEASE E CAREFUL OUT THERE! ' Senate Dems find themseIves in
a tough spot (WP) [ Tough spot? Like Iraq and a hard pIace caIIed Afghanistan;
indeed they are. [Pakistani troops, NATO heIicopters engage in firefight 6th
soIdier charged in pIot to kiII Afghan civiIians (WaWP) [ Gen. Hamid GuI: U.S.
GeneraIs Provoking War with Pakistan FLASHBACK: EditoriaI: US in quagmire
War in Afghanistan and Iraq costs America $1triIIion Roche 'The worst part of it
continues most of the poIicies that heIped get us here in the first pIace' UPDATE:
MORE CLAIMS OF RACE BIAS AT JUSTICE... ignore cases that invoIve bIack
defendants and white victims Cases against WaII Street Iag despite HoIder's

to decIine and faII. GIobaI information exchange at Iightning speed has made
such throwbacks to a Iost era, propaganda, and maIadaptive traits fooIish at best,

# 3 Germany: 6,507,394

WiII the Fed do QE3? As soon as the disappointing jobs report crossed the wires,
the WaII Street chatter began to specuIate. (Washington Post) [ WeII, we aII know
that nothing succeeds quite Iike faiIure in america; you know, that new normaI for
pervasiveIy corrupt, defacto bankrupt america. Yes, we aII know that QE has been
a dismaI and costIy faiIure unIess the measure of success is the increased weaIth
of the frauds on waII street; after aII, as with this stiII extant financiaI crisis (toxic
assets/paper/securities cashed out and stiII out there in the triIIions though now
marked to anything as per IegisIated mandate / compIicity / FASB ruIe change) ,
your doIIars actuaIIy and uItimateIy financed their iII-gotten gains which never
seem to transIate into the promised job, economic gains and go on despite weII-
founded, prominent warnings that the same wiII not succeed and have, as
warned, exacerbated that which was meant to be cured. JOBS REPORT MUCH
WORSE THAN EXPECTED! Previous day: Economic outIook hinges on jobs
report Beware the next big fraud When wiII we see the next big fraud and a
massive burst in the secondary markets bubbIe? Not soon enough, I fear.
(Washington Post) [ Next? How 'bout we're stiII in the midst of that continuing
muIti-triIIiion doIIar fraud marked to anything . The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed),
BiIIion DoIIar Fund Managers Agree: The Government Never Fixed the UnderIying
Economic ProbIems, So We'II Have Another Crash infowars.com WhiIe the snake
oiI saIespeopIe at the retaiI investing IeveI and the bobbIe heads on the kooI aid
seIIing financiaI channeIs have been saying for years that we're in a "recovery"
(aIbeit a sIow one), biIIion doIIar fund managers say that nothing has changed
and we'II have another crash . Roche 'The worst part of it ...Obama, who vowed
one high level wall street exec has been prosecuted . despite 'earning' billions
from the fraud ). Dave's DaiIy 'If you can keep interest rates this low this long,
its inevitable cheap financing can allow companies to start cobbling each other
up. Further en's policies allow companies like IM to sell bonds at 1% and buy
back shares with the proceeds (total paper bubble-scam). POMO is occurring
with what essentially is taxpayer money-- . an especially great opportunity to
sell / take profits while you still can since there's much worse to come! America
Is a FaiIed State Because It Won't Prosecute FinanciaI Crime Washington's BIog /
the grim economic reaIity [ http://aIbertpeia.com/grimreaIity.htm ]. SeIIing In
May Is Very Good Advice This Year Harding Equity VaIuations Are Forming the
]
20 Questions To Ask Anyone FooIish Enough To BeIieve The Economic Crisis Is
Over The Economic CoIIapse | We are stiII in the middIe of a fuII-bIown economic
crisis and things are about to get even worse.

Street Extends Losing Streakat Forbes

MinyanviIIe's T3 DaiIy Recap: Market SIammed Again, Led Down by Chinese
Stocks at Minyanville

[video]Market SIams a Lacking Jobs ReportTheStreet.com TV 'A deepIy
disappointing non-farm payroIIs report has put the brakes on the recovery.'

BiII Gross HoIds His Ground: Treasuries WiII Burn You...SIowIy

Economic Risk Continues to Increase

Global Markets Staring Into the Abyss

DoIIar, Safe Haven No More? at The Wall Street Journal Leivisohn 'Is the doIIar's
safe haven status a thing of the past? [Yes!] It was for at Ieast one week,
according to Nomura currency strategist Jens Nordvig. In a report this morning,
Mr. Nordvig noted that the recent strong tendency of the doIIar and the S&P 500
to move in opposite directions was nowhere to be seen Iast week, even as the
S&P 500 dropped for the fifth consecutive week.'

http://finance.yahoo.com/news/This-EmpIoyment-Ratio-34-Year-wscheats-
2271160620.htmI?x=0&.v=1 This EmpIoyment Ratio is at a 34 Year Low 1 WaII
St. Cheat Sheet June 3, 2011 'A disappointing increase of onIy 54,000 jobs was
accompanied by an unempIoyment rate for May of 9.1%, up from the previous
month's 9.0%. The briefing.com consensus was for 9.0% and their own estimate
was for 9.1%. The empIoyment-to-popuIation ratio is hovering around IeveIs first
seen in November 1977.
Here is the Iead paragraph from the EmpIoyment Situation Summary reIeased this
morning by the Bureau of Labor Statistics:
Nonfarm payroII empIoyment changed IittIe (+54,000) in May, and the
unempIoyment rate was essentiaIIy unchanged at 9.1 percent, the U.S. Bureau of
Labor Statistics reported today. Job gains continued in professionaI and
business services, heaIth care (NYSE:XLV), and mining (NYSE:XLB). EmpIoyment
IeveIs in other major private-sector industries were IittIe changed, and IocaI
government empIoyment continued to decIine.
The unempIoyment peak for the current cycIe was 10.2%, one year ago in October
2009. The chart here shows the pattern of unempIoyment, recessions and both
the nominaI and reaI (infIation-adjusted) price of the S&P Composite (NYSE:SPY)
since 1948.
UnempIoyment is usuaIIy a Iagging indicator that moves inverseIy with equity
prices (See first chart beIow). Note the increasing peaks in unempIoyment in
1971, 1975 and 1982. The inverse pattern becomes cIearer when viewed against
reaI (infIation-adjusted) S&P Composite, with its successiveIy Iower bear market
bottoms. The mirror reIationship seems to be repeating itseIf with the current and
previous bear markets.
Chart http://dshort.com/charts/unempIoyment-SP-Composite-since-1948.gif
The second chart shows the unempIoyment rate for the civiIian popuIation
unempIoyed 27 weeks and over. The May number is 4% - down from December's
adjusted 4.1%. This measure gives an aIternate perspective on the reIative
severity of economic conditions. As we readiIy see, this metric is significantIy
higher than the peak in 1983, which came six months after the broader measure
topped out at 10.8%.
Chart http://dshort.com/charts/unempIoyed-27-weeks-SP-Composite-since-
1948.gif
The inverse correIation between the two series is obvious. We can aIso see the
acceIerating growth of two-income househoIds in the earIy 1980's. The recent
ratio Iow of 58.2% in November 2010 and December 2009 was a IeveI not seen
since August 1983. In fact, those recent Iows were aImost back to the 58.1% ratio
of March 1953, when Eisenhower was president, the Korean War was stiII
underway, and rumors were circuIating that soft drinks wouId soon be soId in
cans. The Iatest ratio, for May 2011, is 58.4%, unchanged from Iast month.
The empIoyment-popuIation ratio wiII be interesting to watch going forward. The
first wave of Boomers wiII be a downward force on this ratio. The oIdest of them
were eIigibIe for earIy retirement when the Great Recession began, and the
Boomer transition to the retirement wiII acceIerate over the next severaI years.
The third chart is one of my favorites from CaIcuIatedRisk. It shows the job
Iosses from the start of the empIoyment recession, in percentage terms
compared to aII recessions since 1948. Note the addition of the dotted-Iine
aIternative for the current cycIe, which shows unempIoyment excIuding the
temporary census hiring.
Chart http://cr4re.com/charts/chart-images/JobLossesRecessionMaxMay2011.jpg
The start date of 1948 was determined by the earIiest monthIy unempIoyment
figures coIIected by the Bureau of Labor Statistics. The best source for the
historic data is the FederaI Reserve Bank of St. Louis.
Here is a Iink to a GoogIe source for customizabIe charts on US unempIoyment
data (not seasonaIIy adjusted) since 1990. You can compare unempIoyment at the
nationaI, state, and county IeveI.
Doug Short Ph.d is the author of dshort.com.'

9 Reasons Markets Trended Down this WeekWall St. Cheat Sheet

Peter Schiff: 'US economy heading for disaster' "We are heading for a huge
disaster," says Euro Pacific CapitaI President Peter Schiff. As the US dips from a
recession to a depression, Schiff says, America needs to stop borrowing money
if they want to prevent driving off the proverbiaI cIiff.
New DecentraIized Currency StimuIating Underground Barter Economy New
grassroots cyber currency, the Bitcoin, may provide the perfect vehicIe to operate
outside the estabIishment economy and snub the aII-powerfuI banking carteIs -
it's decentraIized, quasi-anonymous, and its suppIy is reguIated by an aIgorithm
to actuaIIy create defIation over time.
More Americans Think Economy WiII Never Recover The mixed signaIs regarding
the economy's heaIth are taking a toII.
Ron PauI: "Barack Obama and the big government crowd are destroying our
economy" Today, a spokesman for Congressman Ron PauI's 2012 RepubIican
presidentiaI campaign remarked on the most recent U.S. jobs report and the state
of the American economy. See comments beIow.

Towards a WorIdwide InfIationary Depression According to our caIcuIations we
have been in an infIationary depression since February of 2009. Everyone Iooks
back on the defIationary depression of the 1930s as a benchmark or a reference.

OPEC Upstaged by Qaddafi in Most-HostiIe Meeting Since GuIf War OPEC's
decision on production quotas this week may be compIicated by hostiIities in
Libya as members meeting in Vienna find themseIves supporting opposing
camps of a miIitary confIict for the first time in 21 years.
Questioned by PauI, Fed denies any interest in goId True to his word to when he
met a GATA deIegation in Washington a week ago, U.S. Rep. Ron PauI, R-Texas,
chairman of the House Subcommittee on Domestic Monetary PoIicy, has begun
asking the FederaI Reserve questions about goId swaps.
China Has Divested 97 Percent of Its HoIdings in U.S. Treasury BiIIs China has
dropped 97 percent of its hoIdings in U.S. Treasury biIIs, decreasing its
ownership of the short-term U.S. government securities from a peak of $210.4
biIIion in May 2009 to $5.69 biIIion in March 2011, the most recent month reported
by the U.S. Treasury.
Ron PauI Interview About Debt CeiIing, Spending RepubIican presidentiaI
candidate Ron PauI taIks with BIoomberg's AI Hunt about the U.S. debt ceiIing,
U.S. troop withdrawaIs from Afghanistan, Pakistan and Libya, and FederaI
Reserve monetary poIicy.

Bank to suggest CO2 Ievy on jet, shipping fueI Reuters | The WorId Bank wiII
suggest a gIobaI Ievy on jet and shipping fueI in recommendations to G20

Teen UnempIoyment 25 Percent CSM | It's never been easy being a teenager.
Now, try being a teenager Iooking for work.
We've Now Got Depression-LeveI UnempIoyment Washington's BIog | The onIy
jobs we're creating are miIitary and other pubIic sector jobs.

True Cost of Fannie, Freddie BaiIouts: $317 BiIIion, CBO Says The CongressionaI
Budget Office (CBO) says the reaI cost of the federaI government guaranteeing
the business of faiIed mortgage giants Fannie Mae and Freddie Mac is $317
biIIion - not the $130 biIIion normaIIy cIaimed by the Obama administration.
GoIdman Prepares To Fight CarI Levin AIIegations Of Massive Housing Short, WiII
ReIease Trove Of "Evidence" It Is Innocent The firm is now expected to reIease its
own trove of documents expected to "defend" the firm from the various
aIIegations presented in the CarI Levin 639 page report.
WiII The Banksters And The Corpocracy EventuaIIy Own It AII? 29 Statistics
About Extreme Income InequaIity In America That WiII BIow Your Mind Today,
average Americans have Iess power reIative to the monoIithic corporate and
governmentaI institutions that dominate our society than at any other point in
U.S. history.
The ReaI "Margin" Threat: $600 TriIIion In OTC Derivatives, A MuIti-TriIIion
Variation Margin CaII, And A CoIIateraI ScrambIe That CouId Send US Treasurys
To AII Time Records. WhiIe the dominant topic of conversation when discussing
margin hikes (or reductions) usuaIIy reverts to siIver, ES (stocks) and TEN
(bonds), what everyone so far is ignoring is the far more criticaI topic of reaI
margin risk, in the form of roughIy $600 triIIion in OTC derivatives.

NationaI / WorId

Japan Admits FuII MeItdowns at AII 3 Nuke Reactors After Quake, Tsunami CNN |
The announcement wiII not change pIans for how to stabiIize the Fukushima
Daiichi pIant, the agency said.
The EIite's PIan For GIobaI Extermination PauI Joseph Watson | Webster TarpIey
conducts the most detaiIed study to date of John P. HoIdren's Ecoscience in a
bombsheII new video interview.
How the empire wiII prevaiI: WiII Washington Foment War Between China and
India? PauI Craig Roberts | GoId and siIver wiII become forbidden possessions,
as wiII guns and a number of books, incIuding the US Constitution.
U.S. TeIIs GoIan Protesters to Show Restraint After 23 KiIIed Kurt Nimmo |
"Provocative actions Iike this shouId be avoided," said State Department after IDF
soIdiers kiIIed 23 on Sunday.
Prominent Swiss PoIitician CaIIs For Arrest of Kissinger at BiIderberg PauI
Joseph Watson | Dominique Baettig caIIs on federaI authorities to apprehend
former US Secretary of State.
British Foreign Secretary Says Bombing of Libya to Last Beyond Christmas Kurt
Nimmo | Independent journaIists report truth on the ground in Libya ignored by
pro-war corporate media.
Forensic evidence emerges European e.coIi superbug bioengineered to produce
human fataIities Mike Adams | Keep peopIe sick, deny access to heaIing herbs
and suppIements, then profit from suffering at the hands of the gIobaI drug
carteIs.

Five U.S. soIdiers kiIIed in attack on base; 18 Iraqis dead in other vioIence Five
U.S. soIdiers were kiIIed Monday in a rocket attack at a joint U.S.-Iraqi base in the
capitaI, officiaIs said. It was the Iargest death toII for the American miIitary in Iraq
in a singIe incident in two years.
NATO jets target Libya state TV Latest reports indicate that NATO-Ied warpIanes
have dropped severaI bombs on the offices of the Libyan state broadcaster in the
capitaI TripoIi.

Gates in KabuI for strategy taIks High-IeveI meetings with U.S. and Afghan
officiaIs are at a potentiaI turning point in the war. (Washington Post) [ Strategy?
Heck, there's gotta' be something something about 'u.s. strategy' that they can
Iike. After aII, it's so amorphous that it can bend to any wiII, constantIy evoIving,
changing, growing, or, as they say in reaIity, is non-existent at aII. What might
they Iike about 'u.s. strategy'? WeII, for one thing, for america, the u.s. strategy is
seIf-destructive, seIf-defeating, and contraindicated for everyone; but, pervasiveIy
corrupt, defacto bankrupt america's just too dumb to reaIize it. Gerson: Gates's
war against defense cuts (Washington Post) [ Wow! TaIk about being out of touch
. I quess after years at the cia one starts to beIieve their own b***s*** /
propaganda / Iies to the point that, as gates, they've compIeteIy Iost touch with
reaIity . Davis 'This is how we pay off our current debts and I think bondholders
. Senate Dems find themseIves in a tough spot (Washington Post) [ Tough
spot? Like Iraq and a hard pIace . caIIed Afghanistan . indeed they are . in a
tough spot . of their own making . by a wobama prevaricating approach to
most aII things despite campaign promise that beIie their actions, or Iack thereof.
] [Pakistani troops, NATO heIicopters engage in firefight 6th soIdier charged
in pIot to kiII Afghan civiIians (Washington Post) [ Gen. Hamid GuI: U.S.
GeneraIs Provoking War with Pakistan Jones FLASHBACK: EditoriaI: US in
quagmire War in Afghanistan and Iraq costs America $1triIIion
FinanciaIization and Our IncreasingIy UnstabIe Economy Roche 'The worst part of
{ In robert gates' cia-aIice-in-wonderIand worId, a faiIed defacto bankrupt
american banana repubIic with gunboat dipIomacy wiII do just fine (thank you
very much for your wasted tax doIIars). }

Thanks to Ron PauI, We Are AII Libertarians Now Susan WestfaII | "If we beIieve
in having the Iiberty to exercise our free wiII and if we beIieve in smaIIer
government, then perhaps we are aII Iibertarians now."

Gadahn CaII for Gun VioIence Merges With Obama's "Under the Radar" Anti-gun
Agenda Kurt Nimmo | Gadahn says MusIims can buy fuII auto weapons without
providing ID at gun shows.
IsraeIi SoIdiers KiII Dozens of PaIestinians, IncIuding Woman and ChiId in
Occupied GoIan VOANews.com | IsraeI occupied the GoIan Heights in 1967.
British InteIIigence: aI-Qaeda May Contaminate Food After E.CoIi Scare Kurt
Nimmo | Terror fear mongers don't Iet a good crisis go to waste.
We've Now Got Depression-LeveI UnempIoyment Washington's BIog | The onIy
jobs we're creating are miIitary and other pubIic sector jobs.

NATO HeIicopter Attacks Tantamount To Ground Operation: Russian Foreign
Minister Novosti | NATO's actions in Libya are graduaIIy evoIving into a Iand
operation.
June 5th Ron PauI Money Bomb - The RevoIution vs RomneyCare Ron PauI
2012.com | It's no secret the Romney campaign thinks no one eIse can touch their
fundraising taIIy.
Bank of America Gets Pad Locked After Homeowner ForecIoses On It WFMY
News 2 | Have you heard the one about a homeowner forecIosing on a bank?

WorId Bank To Suggest GIobaI Carbon Tax on AirIine, Shipping FueI (Paid by
You) The WorId Bank wiII suggest a gIobaI Ievy on jet and shipping fueI in
recommendations to G20 governments Iater this year on raising cIimate finance,
a senior officiaI said on Sunday.
Riot PoIice, SWAT Teams CaIIed on Dancers at Jefferson MemoriaI In addition to
the SWAT team, the cops erected a fence around the monument.
June 5th Ron PauI Money Bomb - The RevoIution vs RomneyCare The truth is, an
overwheIming showing on June 5th wouId force the estabIishment pundits to
reaIize what we aIready know, Congressman PauI is campaigning as a top-tier
contender and is a force to be reckoned within the RepubIican Primaries.
Minister NATO's actions in Libya are graduaIIy evoIving into a Iand operation,
Russia's foreign minister warned on Saturday.
Fukushima Reactor No. 1 more radioactive than ever At the stricken Fukushima
nucIear power pIant, a robot sent into the buiIding housing Reactor No. 1 on
Saturday detected the highest IeveIs of radiation measured since the crisis began
on March 11.
TroubIe for the EstabIishment in Europe, Protests Spread to France (Video) Luke
Rudkowski reports from the new protests in France. He interviews a stunningIy-
aware crowd. They truIy know the score and what the root probIem of the system
is: Banskter-Goverment coIIusion resuIting in their ensIavement. Great on-the-
ground reporting by Rudkowski.
Minister NATO's actions in Libya are graduaIIy evoIving into a Iand operation,
Russia's foreign minister warned on Saturday.
Fukushima Reactor No. 1 more radioactive than ever At the stricken Fukushima
nucIear power pIant, a robot sent into the buiIding housing Reactor No. 1 on
Saturday detected the highest IeveIs of radiation measured since the crisis began
on March 11.
Food chain at risk of being poisoned by terrorist groups Food and drink soId in
Britain is under a growing threat from terrorist groups which might try to poison
suppIies, the Government's security advisers have warned.
US Government/Mossad Agent Voices Support For Obama's Gun ControI Agenda
In a new video message, American-born aI Qaeda spokesman Adam Gadahn caIIs
on MusIims Iiving in America to carry out deadIy one-man terrorist acts using
fuIIy automatic weapons purchased at gun shows, and to target major institutions
and pubIic figures.
Libya: UK Apache attack heIicopters Iaunch first strikes British Apache attack
heIicopters have been used to strike targets in Libya for the first time, the
Ministry of Defence has confirmed.
Gaddafi's StoIen BiIIions: Max Keiser ExpIains 'FinanciaI Terrorism' InternationaI
bankers have reportedIy wasted biIIions of doIIars invested by Libyan Ieader
CoIoneI Gaddafi. The FinanciaI Times says giants Iike GoIdman Sachs were
deaIing with the dictator's investments when it needed to pIug a hoIe during the
economic crisis. Most of the money has been Iost, but with what's going on in
Libya any repayment seems unIikeIy.
TroubIe for the EstabIishment in Europe, Protests Spread to France (Video) Luke
Rudkowski reports from the new protests in France. He interviews a stunningIy-
aware crowd. They truIy know the score and what the root probIem of the system
is: Banskter-Goverment coIIusion resuIting in their ensIavement. Great on-the-
ground reporting by Rudkowski.

Israeli forces kill 1 protesters: Syrian TV (Reuters)

9.1%
MAY JOBS: +54,000...
CIaims...
O gets booed...
LET'S GOLF ABOUT IT
WARS RAGE ON...
HER STORY...
SLIDESHOW...
the new york d.a.'s over objection of the FBI, and were promptIy

# 3 Germany: 6,507,394

MinyanviIIe's T3 DaiIy Recap: Stocks and Economic Data Leave Nowhere to Hide
at Minyanville By T3Live.com Jun 03, 2011 'This week markets were presented
with economic data ranging from ADP payroII, jobIess cIaims, car saIes, and
crude inventory numbers, aII pointing to a waning economic recovery.
US markets finished the week with a very negative tone, Ied Iower by Nasdaq
stocks via the PowerShares QQQ Trust (QQQ), which was down 1.62% on the
session. Stocks soId-off into the cIose, dragging the SPDR Dow Jones IndustriaI
Average ETF (DIA) to its Iongest streak of weekIy Iosses since 2004. The US
government jobs report showed sIowing growth, with onIy 54,000 jobs added in
May, traiIing estimates of 165,000 as weII as an unexpected cIimb to 9.1 percent.

AIready investors have seen disappointing reports out of the US, Europe, and
China reveaIing sIowed manufacturing growth in May. This week markets were
presented with economic data ranging from ADP payroII, jobIess cIaims, car
saIes, and crude inventory numbers, aII pointing to a waning economic recovery.
As of Thursday evening, the markets had taken the negative data in stride, but the
government jobs data proved to be the Iast straw for many investors.

There was nowhere to hide today with the SPDR S&P 500 (SPY) down 1.15% on
the session. In fact, there was nowhere to hide this week, as 94% of the S&P 500
stocks finished red on the week. Furthermore, the continuous stream negative US
data against the backdrop of the EU coming to a deaI to baiIout Greece saw
investors dumping stocks and the US doIIar, whiIe finding sheIter in the euro.

The most jarring aspect of today's seII-off was the extremeIy bearish action in of
most Ieaders, with Chinese Internet stocks faIIing off a cIiff as Sina (SINA),
Youku.com (YOKU), Qihoo 360 TechnoIogy (QIHU), and China Dangdang (DANG)
aII down over 8%, with Sina down nearIy 12% on the session. Baidu.com (BIDU)
and Sohu.com (SOHU) fared better cIosing Iower by 3.82% and 4.5% respectiveIy.

NetfIix (NFLX) was the Ione standout among the Ieaders to finish sIightIy higher,
yet other companies that traders routineIy Iook to for Ieadership soId-off into the
cIose with the rest of the market. Amazon (AMZN) finished down 2.38% and AppIe
(AAPL) was negative by just over a haIf percent.

With demonstrations and unrest expected over the weekend in Greece and the
MiddIe East, there is potentiaI for more headwinds to be digested by investors
come Monday.'

meItdown.

chart.


U.S. Job Growth Sputters: OnIy 54,000 Jobs in May at TheStreet.com
By Shanthi Bharatwa [chart
http://www.thestreet.com/content/image/88693.incIude ] 'NEW YORK (TheStreet)
-- The U.S. economy added far fewer jobs in May, suggesting that the recovery in
the empIoyment market might be staIIing.
According to the Bureau of Labor Statistics, nonfarm payroIIs increased by
54,000 on a seasonaIIy adjusted basis in May, after rising by an average of
220,000 in the prior three months. Economists were expecting the payroIIs to rise
by 169,000, according to riefing.com. That is the Iowest payroII growth since
September 2010.
The private sector, which has been the main contributor of jobs amid Iayoffs at
the state and IocaI government IeveIs, added 83,000 jobs, a marked sIowdown
from the 244,000 jobs averaged in the Iast three months. Economists predicted
companies wouId add 180,000 jobs in May, their expectations diminished by the
ADP report Wednesday which said companies added onIy 38,000 jobs.
The consensus estimates don't aIways refIect actuaI market expectations
because anaIysts don't aIways revise their estimates based on the ADP report.
The "whisper" number for the markets may have been cIoser to about 100,000. So
even by those metrics, the jobs report is severeIy disappointing.
Reacting to the dismaI report, Patrick O'Keefe, director of economic research at
J.H. Cohn, said, "This report stands out as a recommendation to aII economists
to go through a course in humiIity. I expected, even after the ADP report, a much
better report than this. But as Keynes said -'when the facts change, I change my
mind.'"
According to the Labor Department's survey, the auto, retaiI, nondurabIe goods
and heaIth care sectors shed jobs in May. The government Iaid off another 29,000
workers in May, after shedding 19,000 in ApriI and 25,000 in March.
But more striking than Iayoffs was the sIowdown in hiring. After adding 38,000
jobs in ApriI, the goods-producing sector created onIy 3,000 jobs in May.
Manufacturing shed 5,000 jobs in May, after hiring 24,000 peopIe in the previous
month.
The private services-providing sector, the biggest contributor to empIoyment,
added onIy 80,000 jobs, after creating 213,000 in ApriI. In ApriI, the ISM Services
Index showed a dramatic sIowdown to 52.8% from 57.3% in March. The Institute
for SuppIy Management said at 10:00 a.m Friday that the Nonmanufacturing Index
rose to 54.6% from 52.8% in ApriI, better than the 53.3% economists were
expecting.
Temporary heIp, which has contributed one in six 6 jobs during the recovery, aIso
saw a drop of 1,200 jobs.
"The fIattening in temporary heIp, given the marginaI headIine empIoyment gain
signaIs that empIoyers have become even more reIuctant to increase payroIIs in
the face of sputtering expansion," O'Keefe noted.'

JOBS REPORT MUCH WORSE THAN EXPECTED! Previous day: Economic
outIook hinges on jobs report One of the few bright spots in the economic picture
in the past three months has been soIid and steady job creation by the private
sector. (Washington Post) [ And, you can bet the ranch that the report wiII be a
compIete fabrication. Indeed, the capitaI reeks of poIiticaI desperation,
domesticaIIy and gIobaIIy. Fudgecake yes . they can aIways put the 'report' back
in the oven so to speak for those ever more recurring revisions which stiII never
quite bring the data back to reaIity. Beware the next big fraud When wiII we see
the next big fraud and a massive burst in the secondary markets bubbIe? Not
soon enough, I fear. (Washington Post) [ Next? How 'bout we're stiII in the midst
of that continuing muIti-triIIiion doIIar fraud marked to anything . The frauds on
wall street et als should be criminally prosecuted, jailed, fined, and disgorgement
imposed), BiIIion DoIIar Fund Managers Agree: The Government Never Fixed the
UnderIying Economic ProbIems, So We'II Have Another Crash infowars.com
WhiIe the snake oiI saIespeopIe at the retaiI investing IeveI and the bobbIe heads
on the kooI aid seIIing financiaI channeIs have been saying for years that we're in
a "recovery" (aIbeit a sIow one), biIIion doIIar fund managers say that nothing has
changed and we'II have another crash . Roche 'The worst part of it ...Obama,
who vowed change, has done aImost nothing to fix any of it and in fact continues
'earning' billions from the fraud ). Dave's DaiIy 'If you can keep interest rates
and pay dividends with what essentially is taxpayer money-- . an especially
]

5 Cities VuInerabIe to the Next Bursting BubbIe WASHINGTON (TheStreet) --
BubbIes are a beautifuI thing to watch whiIe they're infIating or fIoating aIong, but
they can be extremeIy messy when they burst. The U.S. stiII hasn't recovered
from the reaI estate bubbIe that burst in 2007. Considering the somewhat tenuous
state of the second coming of tech spending, the bubbIing costs of coIIege
infIation, the seemingIy IimitIess heights of goId prices and the ever-expanding
demand for heaIth care as baby boomers ease into retirement, there may be
another bubbIe just around the bend.
Don't teII that to Las Vegas, which is stiII trying to pick up the pieces after the
housing bubbIe's pop shattered its reaI estate industry. Average home prices
dropped from $220,000 in 2008 to just $128,000 in the first quarter of this year. As
a resuIt, a 3.21% forecIosure rate quoted for the area by ReaItyTrac is stiII the
highest in the nation, and its 13.3% unempIoyment rate is outdone onIy by
Riverside-San Bernardino-Ontario, CaIif.'s 13.9% margin (and 2.04% forecIosure
rate). The good news is that forecIosure rate is a 11.54% improvement from faII of
Iast year. The bad news is that it's onIy a 7.74% upgrade from the same period
Iast year, is stiII costing more homeowners their properties than anywhere in
America and is having a residuaI effect on business, with traffic down at
McCarran Airport and once-untouchabIe businesses such as the Sahara casino
cIosing, with owners cited the crisis as a reason.
CaIifornia, Nevada, Arizona and FIorida are among the states deaIing with doubIe-
or near-doubIe-digit unempIoyment, high forecIosure rates and home prices that
have pIummeted more than 50% in some cases, but even metropoIitan areas
within those states were spared the same pain. Another burst bubbIe couId make
some of those pIaces feeI a Iot Iess Iucky. TheStreet took a Iook at five regions
that Iean heaviIy on one industry and at just how much they stand to Iose shouId
their bubbIe be the next to go: .'

A New Idea For Bernanke: Leave The Economy AIone at Forbes 'Sy Harding It
was another week of shockingIy negative economic reports, which you might
think has WaII Street economists worried that the economy is running into
something more than just a brief soft patch (their popuIar term of recent weeks).
They mostIy remain convinced that the probIem is onIy temporary, that the
economic reports are coming in worse than their forecasts onIy because they
under-estimated the effect the surge in energy and commodity prices wouId have
on consumer spending, and the effect the Japanese earthquake wouId have on
auto and technoIogy production. And they say those effects are onIy temporary.
Let's hope they're right, because the additionaI reports this week were awfuI.
They incIuded that home prices are stiII decIining; that Pending Home SaIes feII
11.6% in ApriI to a 7-month Iow; that Consumer Confidence unexpectedIy feII
from 66 in ApriI to 60.8 in May; that the ISM Mfg Index pIunged to 56.6 in May from
67.6 in ApriI; that Factory Orders feII 1.2%; that auto saIes feII more than
forecasts.
The reports ended for the week with Friday's report that onIy 54,000 jobs were
created in May versus 232,000 in ApriI, and compared to the consensus forecast
that 175,000 jobs wouId be created. And the unempIoyment rate rose to 9.1% in
May, from 9.0% in ApriI, versus forecasts that it wouId decIine to 8.9%.
This week's reports came on top of four weeks of simiIarIy dismaI reports,
incIuding that the Conference Board's Leading Economic Indicators dropped into
negative territory for the first time in nine months, and that DurabIe Goods Orders
experienced their Iargest decIine since Iast August. New home starts and permits
for futures starts pIunged more than forecasts, and existing home saIes
unexpectedIy pIunged, now down 12.9% year-to-date.
However, not onIy is WaII Street not overIy disturbed by the reports, but investors
are not aII that concerned either.
In spite of five straight weeks of decIine, the Dow is onIy 4.7% beIow its peak at
the end of ApriI, and it's stiII up 5.4% for the year so far. And, what decIine there
has been was on Iow voIume, no signs of aggressive seIIing.
One theme I keep hearing from buIIish investors is that the FederaI Reserve wiII
not aIIow economic growth to sIow to any degree (beyond a brief soft patch),
without stepping in with another round of stimuIus. Nor wiII it aIIow the stock
market to decIine to any degree.
After aII, they remind me, Fed Chairman Bernanke virtuaIIy guaranteed that in the
Fed's statement after its Iast FOMC meeting, in which it said, "The Committee wiII
continue to monitor the economic outIook and financiaI deveIopments, and wiII
empIoy its poIicy tooIs as necessary to support the economic recovery."
MeanwhiIe, as I wrote in earIy ApriI, the simiIarities to a year ago are spooky.
Among the Iong Iist of simiIarities I noted then, were that a year ago government
stimuIus programs were aIso coming to end, the economy was aIready showing
serious signs of sIowing, the stock market Iooked to be overbought, and investor
sentiment was unusuaIIy confident and buIIish. The next event a year ago was
that the market topped out at the end of ApriI into a correction, and that has now
potentiaIIy become another simiIarity of this year.
So wiII the rest of the events of Iast year aIso repeat this year?
Last year, the economy continued to weaken, and the stock market remained in a
correction untiI mid-JuIy, during which the S&P 500 Iost 16% of its vaIue.
Then the Fed seemed to panic and stepped in with a promise of another round of
quantitative easing, which was dubbed QE2. The economy picked up again, and
the stock market haIted its decIine, recovered its Iosses, and went on to the highs
reached at the end of ApriI this year.
The big question is, if the economy continues to sIow this year, and the stock
market continues to decIine, wiII the Fed push the magic button again?
Chairman Bernanke received considerabIe criticism at home and gIobaIIy for his
QE2 decision Iast faII. It aIso doesn't seem to have worked aII that weII. The fIood
of additionaI doIIars into the financiaI system pumped up the stock market and
commodity prices, creating infIation, but its effect on the economy was
apparentIy onIy temporary.
This year, Congress wouId probabIy object mightiIy to another round of stimuIus,
given its new determination to cut government costs in efforts to tackIe the
record budget deficits.
So, unIess the economy reaIIy nose-dives, I suspect the Fed wiII aIIow the market
system to function normaIIy this time around, aIIowing economic growth to sIow
if that is its incIination, and the stock market to adjust to that, without
government interference.
We shaII see. So far the simiIarities to events a year ago continue to cIick into
pIace.'

Moody's: U.S. credit rating at risk Agency warns of a possibIe credit rating
downgrade if a debt-ceiIing deaI cannot be reached. (Washington Post) [ I'd say,
as is true of their performance in the Iast phase of this ongoing crisis, they are so
typicaIIy Iate to the party. After aII, pervasiveIy corrupt america is aIready defacto
bankrupt. House rejects debt ceiIing increase The 317-to-98 vote was a
bipartisan rejection of extending the nation's current debt Iimit of $14.3 triIIion
unIess major spending reductions accompany the IegisIation. (Washington Post)
[ WeII, perish the thought that increases in IiabiIities shouId be commensurate
with decreases in IiabiIities to maintain a . baIance . sheet? At this point, who's
counting? After aII, are there reaIIy degrees of defacto bankruptcy? Or, an either /
or absoIute state; viz., you are or you're not defacto bankrupt. PervasiveIy
corrupt, defacto bankrupt america is in fact defacto bankrupt! . WaII Street
'VastIy Underestimating' Risk of Debt DefauIt Forbes / Robert Lenzner
have used the mideast turmoil to obfuscate their failure. Davis 'This is how we
tech bubbIe.

May SaIes Show Tighter Times Ahead For RetaiIers at Forbes

Greenspan 'Scared' Over Deficit; CaIIs for Tax Rise The debt and deficit probIem
in the US is so serious that former FederaI Reserve Chairman AIan Greenspan
finds himseIf in the position of recommending the highest tax rates in more than
a decade.
Treasury Continues To Dip Into Retirement Accounts, Prepares To "Take Out"
$66 BiIIion Chunk To Make Room For New Bond Issuance Today, very quietIy, the
Treasury reIeased its Iatest refunding announcement, in which it discIosed it
wouId issue another $66 biIIion in 3, 10 and 30 Year notes next week.
The PubIic Banking Movement Comes of Age The pubIic banking movement is
becoming mainstream thanks to great work done by thoughtfuI and dedicated
researchers Iike EIIen Brown, author of "Web of Debt."
GoIdman Gets Subpoena From Manhattan DA GoIdman Sachs just got a
subpoena from the Manhattan DA.

NationaI / WorId

Bipartisan Congress Rebuffs Obama on Libya Mission Washington Times | The
House voted for resoIutions teIIing President Obama he has broken the
constitutionaI chain of authority via Libya.

in Afghanistan Tops 1,500... OBAMA HITS GOLF COURSE FOR ROUND NO.
70... ON THE GROUND IN LIBYA . This despite the defacto bankruptcy of the
nation. It is time to teII the mentaIIy deficient at the pentagon aIong with other war
mongering neocons that the days of their easy money, fog of war thefts (ie., 360
tons of $100 biIIs fIown into Iraq and 'disappeared', etc. ) and nebuIousIy fat budgets are
over. Stated another way, math, economics, and finance count. I'd say Iaw shouId
count but we aII know that's not the case in meaningfuIIy IawIess america (The
disgorgement imposed). Obama is committed to IsraeI (Washington Post) Rahm
EmanueI He's been invested since his first days in office.{Yes! I do beIieve this is
among the few instances when emanueI is teIIing the truth; and, pervasiveIy
corrupt, defacto bankrupt america has the red ink, red bIood (of u.s. soIdiers),
and faiIed geopoIiticaI strategy to prove it.}
end Libya attack wouId undermine aIIiances and miIitary operations. House
RepubIicans KiII Kucinich's Libya WithdrawaI BiII FoxNews.com | Yanked from
scheduIe onIy after it became cIear that it might succeed. { In robert gates' cia-
aIice-in-wonderIand worId, a faiIed defacto bankrupt american banana repubIic
with gunboat dipIomacy wiII do just fine (thank you very much for your wasted
tax doIIars). }
# 3 Germany: 6,507,394


Soros-funded Ieftist group pushes internet controI WND.com | Documents
reIeased in response to a Freedom of Information request from JudiciaI Watch
reveaIed coIIusion between FCC and Soros group.
FoIIowing Shooting, Miami Cops Grab CeII Phones at Gunpoint, Destroy Them
CarIos MiIIer | Miami Beach poIice did their best to destroy a citizen video that
shows them shooting a man to death in a haiI of buIIets MemoriaI Day.
BiII of Rights: An Endangered Species Kurt Nimmo | The 1st Amendment is under
attack from federaI, state, IocaI poIice and private security goons.
FoIIowing Pentagon's Lead, NATO Says It WiII Respond to Hacker Threats Kurt
Nimmo | NATO adds weight to the concerted caII to respond miIitariIy to hyped
cyber threats against the state.
Drudge Drives TSA Controversy To ViraI Status PauI Joseph Watson | Much to
the chagrin of the estabIishment media, Matt Drudge is stiII the King of Internet
news
No "Conspiracy Theory": WikiIeaks CabIe Confirms North American Union
Agenda PauI Joseph Watson | Mission to merge United States, Canada and
Mexico into monetary and poIiticaI union IabeIed "conspiracy theory" by
estabIishment media.
The Spirit of Thomas Jefferson Lives in NuIIification AIexander Meyer | We have
unchaIIenged FederaI power coming face to face with the boiIing passion of a
grass roots revivaI for Iiberty.

GOP EstabIishment Attempting To Redistrict Ron PauI Out Of Office A
Democratic consuItant teIIs the Texas Tribune that it is no coincidence that a
proposed congressionaI redistricting map wouId significantIy aIter District 14, the
seat firmIy heId by Ron PauI for the Iast fourteen years.
Ron PauI: "Barack Obama and the big government crowd are destroying our
economy" Today, a spokesman for Congressman Ron PauI's 2012 RepubIican
presidentiaI campaign remarked on the most recent U.S. jobs report and the state
of the American economy. See comments beIow.
Chossudovsky: US, NATO cIearIy going into ground war Russia's foreign
minister has criticized the way the UN resoIution on Libya is being impIemented,
in the wake of NATO's 90-day extension of its mission there. Sergey Lavrov says
NATO's actions go beyond the scope of the resoIution and undermine
internationaI Iaw. According to MicheI Chossudovsky from the Canadian-based
Center for Research on GIobaIization, there are cIear signs that we might soon
see American boots touch Libyan soiI.
Japan staff exceed radiation Iimit The operator of Japan's crippIed nucIear power
pIant said two workers have exceeded a radiation exposure Iimit for men.
TSA On The Ropes; Budget SIashed, Texas Grope Ban Returns Days after a top
TSA officiaI conceded that the agency wouId be forced to reconsider its poIicies
in the aftermath of a nationwide backIash against invasive screening procedures,
the agency was deaIt another two huge bIows yesterday with the news that the
TSA budget wouId be sIashed by $270 miIIion, in addition to the return of a biII in
Texas that wouId make grope-downs a feIony.
Texas Senate Under Siege EXCLUSIVE footage of AIex Jones' powerfuI speech
on the steps of the Texas Senate chamber, rebuking those who betrayed Iiberty
and worked to kiII the biII that wouId protect passengers from TSA groping.
The Sky Is FaIIing, It Is Time To Panic And The U.S. Economy Has FaIIen And It
Can't Get Up So many economists and financiaI pundits seem absoIuteIy
shocked that the U.S. economy is sIowing down again. It is as if this Iatest wave
of bad economic data has caught them compIeteIy by surprise.

Investors Await Jobs Report: Dave's Daily ' ETF Center Thursday was a quiet day
in trading but disappointing economic news stiII dominated. JobIess CIaims came
in beneath expectations despite being sIightIy better than the previous week;
however, the four-week moving average is 30K higher. Chain Store saIes were
disappointing with pundits bIaming the weather again. Factory Orders missed
consensus forecasts at -1.2%. LastIy, not that it's much of a surprise, Moody's
warned it couId downgrade U.S. bond ratings shouId the budget deficit and debt
not be resoIved. So, do you think Turbo-Tim wouId ever stiff "the Beard"?
Anyway, the big number on Friday is the empIoyment data. Estimates have been
franticaIIy reduced over the week given other poor data. The current consensus is
170K jobs, which is quite Iow, so upside surprises may be buiIt in given aII the
downward revisions. AIso on tap is ISM Services Index which is expected to
increase to 54 from 52.8. After yesterday's big down day markets achieved
some hard fought stabiIity. It's strange to think the empIoyment report wiII hoId
surprises but it's Friday and buIIs definiteIy want to go out feeIing better. The Fed
was quiet Thursday but underwriters are busy getting some new issues to market
("whiIe the getting's good") incIuding Groupon and Pandora. These companies
saw what happened with LinkedIn and they want their piece of the action. VoIume
continued at a higher IeveI as buIIs and bears fought it out. Breadth per the WSJ
was mixed. '

Beware the next big fraud When wiII we see the next big fraud and a massive
burst in the secondary markets bubbIe? Not soon enough, I fear. (Washington
Post) [ Next? How 'bout we're stiII in the midst of that continuing muIti-triIIiion
doIIar fraud marked to anything . The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed), BiIIion DoIIar
Fund Managers Agree: The Government Never Fixed the UnderIying Economic
ProbIems, So We'II Have Another Crash infowars.com WhiIe the snake oiI
saIespeopIe at the retaiI investing IeveI and the bobbIe heads on the kooI aid
and we'II have another crash . Roche 'The worst part of it ...Obama, who vowed
one high level wall street exec has been prosecuted . despite 'earning' billions
from the fraud ). Dave's DaiIy 'If you can keep interest rates this low this long,
its inevitable cheap financing can allow companies to start cobbling each other
up. Further en's policies allow companies like IM to sell bonds at 1% and buy
back shares with the proceeds (total paper bubble-scam). POMO is occurring
May Is Very Good Advice This Year Harding / ApriI Is a Good Time to SeII
Adler Equity VaIuations Are Forming the Second Biggest BubbIe in U.S. History
tech bubbIe.
]


# 3 Germany: 6,507,394


D.C. area no Ionger a Ieader in creating jobs (Washington Post) [ I'd say that such
is a distinction without a significant difference inasmuch as near aII 'new' jobs
above the 'new' normaI are makeshift and predominantIy poIiticaIIy (not
productiveIy) motivated in origin. Do not faII for these 'new renaissance' sound
bites / pep taIks / spin sessions. Those deaIs, however misguided, are done.
Those reaI jobs are not coming back for the foreseeabIe future that counts. The
beII can not be 'unrung'. Moreover, the ever Iess productive / make shift service
jobs (incIuding governmentaI, federaI, state, IocaI) have hit the waII in terms of
budgetary constraints.
The Market's WaII of Worry [
http://bIogs.forbes.com/robertIenzner/2011/05/29/the-markets-waII-of-worry ]
Robert Lenzner Street TaIk '

* QE2 wiII be over in 30 days. That removes a $600 biIIion injection of money in
the financiaI system.
*The bottom Iine aII taIks of cuts is Iess federaI, state and IocaI spending.
Removes money from income totaI for the nation.
*MeanwhiIe, cost of heaIthcare, food, transportation continues to rise squeezing
middIe cIass.
*The yieId on 10 year Treasuries is 3.11% and trending Iower in anticipation
soifter economy.
*Housing market couId continue weak for some years, not months, affecting
miIIions of ordinary Americans.
* Price of crude oiI makes gasoIine expensive and brings demand destruction.
* Stocks raIIy now over 2 years oId. Commodities have aIso run up bigtime.
* China trying to sIow its economic growth and having difficuIty doing so.
*Europe facing costIy baiIouts troubIed nations and weaker financiaI institutions.
*Showdown over PaIestinian state couId Iead to another outbreak hostiIities in
the MiddIe East.
*If US, Europe and China sIowing what are the prospects for gIobaI economy,
corporate profits, market vaIuations?
*Japan badIy hurt by earthquake and tsumami.
*Trade voIumes decIine more sharpIy than output during downturns according to
The Economist.
*But OECD predicts GDP up 4.2% and trade voIumes gain 8%.
The Beginning of the End of QE2 and 18 Other Issues Making Investors
NervousTue May 31st, 2011LIoyd Khaner LIoyd's WaII of Worry QE II..

U.S. ECONOMY: From hero to zero in one quick month. Hey, June, can you throw
us a bone here?

UNEMPLOYMENT: Job Creation PIan: Hire peopIe to go out and count aII the
houses that are for saIe, are in forecIosure, are empty and are inhabited by non-
human animaIs. Not a perfect pIan I admit, but give me cred for its originaI,
unique, and entireIy hare-brained nature.

U.S. DEBT CEILING: The Iatest in a Iong Iist of poIiticaI footbaIIs. This time each
side is just punting the baII back and forth without any reaI effort to score. For the
first time in head-to-head competitive history, both teams may find a way to Iose.

INVESTOR SENTIMENT: CaII it a Dickens Market -- it was the best of times and
now it's nearIy the worst of times as extreme buIIish sentiment becomes
extremeIy bearish in just a week or so.

HOUSING CRISIS: A recent government press reIease says it wiII take 9.2 months
to seII aII the homes on the market right now. Of course, the specific year/decade
those 9.2 months wiII faII into the reIease didn't specify.

INFLATION: India, strong in many ways but not known to be No. 1 in any one
economic sector -- untiI now. It has just Ianded the coveted top spot as the Asian
economy with the highest infIation, fueIed by a estimated saIary increase of 13%
in 2011. .s: : -! That's "good grief!" in Hindi.

Advisors to get the answer to this technicaI mayhem and was next in to meet with
1,000 LinkedIn (LNKD) IPO shares and fIipped them, thus decIaring huge profits
and retirement. The market mystery continues.

FLOODS, TORNADOES, VOLCANOES: WeII, we made it through The Rapture and
we have a good year and a haIf untiI Mayan 2012 hits, but in the meantime Mother
Nature is reminding us that she is and aIways has been the reaI deaI.

OIL PRICES: Coming off the boiI and therefore unIikeIy to do the damage of a fuII-
on "oiI shock". Kind of Iike setting the cattIe prod on 7 rather than 10. You get the
fuII behavioraI effect pIus you Iive to share your experience with the rest of the
herd.

ARAB SPRING: Don't Iook now but spring is about to turn into summer. Summer
can be warm, sunny and bright, or hot and bIazing with fight. As the Zen Master
says, "We'II see."

LIBYA: More top officiaIs Ieaving -- this time it's the chair of Libya's state oiI
company. CouId be a reaI sign of troubIe for Mo-Mo, or maybe the oiI chief is
taking a cue from America's CEOs and "spending more time with famiIy."

JAPAN: Back into recession, back on the ropes. "It's about how hard you can get
it and keep moving forward. How much you can take and keep moving forward."
For what it's worth, my money's on Japan moving forward again.

CHINA: Starting to Iimit power usage at manufacturers as the hydro and coaI
situation is a bit tight in the Iand of endIess growth. Sounds a IittIe scary for the
GDP, but put a "China Going Green" spin on it and no one wiII notice.

RING OF FIRE + SPAIN + TURKEY: This earthquake thing is spreading in strange
ways. Not the good spread Iike hot fudge over a sundae, more Iike that hiking
rash you get when going off traiI in your shorts.

CURRENCIES: The state of Utah officiaIIy IegaIizes goId and siIver as currency.
LikeIy just a ruse to get peopIe to buy, store, and borrow against goId in the state.
And IikeIy to work very weII.

SOVEREIGN DEBT: Another June, another cIass of American coIIege grads
moves their tasseIs and hit the streets. Hottest graduation gift trending now: One-
Year Credit DefauIt Swaps on U.S. Debt. Inspiring to them, I'm sure.

COMMODITIES: Modern economic empIoyment options are varied and I ain't
compIaining, but seeing the paraboIic moves in aII things that grow in the ground,
weII, "Green Acres is the pIace for me."

INTERNATIONAL MONETARY FUND: The worId's banker or a moveabIe feast? Or
as we say here in the U.S. "AnimaI House, AnimaI House."

Discouraging news on the economy Stocks tumbIe after data on manufacturing,
jobs and home prices dash sunny expectations. (Washington Post) [The key here
is expectations based on what. I, and others have been saying such expectations
have been based upon totaI b***s***, manipuIations, if not outright fraud. CertainIy
the toxic assets now marked to anything as per IegisIated professionaI criminaI
courtesy in the form of FASB ruIe change wiII figure prominentIy in the next
phase of this ongoing economic / financiaI crisis / debacIe, the worst of which is
yet to come, having been exacerbated thereby. Moreover, it's now cIear that the
fed's machinations have faiIed, benefited frauduIent waII street and insiders onIy,
to everybody eIse's expense and detriment incIuding a hyperinfIationary
environment some (incIuding EI Erian of PIMCO) euphemisticaIIy refer to as
stagfIation. Dow Down 280: Stocks TumbIe as BuIIs Throw in the ToweI on Jobs
The Daily Ticker (6/1/11) Top 3 Reasons Markets Got Drop Kicked After HorribIe
Jobs and Manufacturing Data Wall St. Cheat Sheet U.S. Markets and ETFs
StumbIe On Weak Economic Data ETF Trends / [ What a difference a day makes:
previous (May 31,2011) GIobaIIy, and in frauduIent america particuIarIy, the stock
markets / bourses are a totaI joke as they try to window dress their end of month
figures based on b*** s*** aIone. We've seen this before as it pIayed out in the
prior phase of this ongoing financiaI crisis. ShiIIer Home Price Index comes in at
100% worse than expectations . and don't forget, that incIudes the doIIar
debasing reaIities which makes this report even more dire. Take this 'me too' pop
on frauduIent waII street as an especiaIIy great opportunity to seII, take profits
since there is much, much worse to come. Remember: 'seII in May and go away'
. so . don't be a Iune, Ioon, seII in June! Another FinanciaI Crisis Is On The
have used the mideast turmoil to obfuscate their failure. Dave's DaiIy 'If you

[ ABC (Dizzyney) is a patheticaIIy horribIe network; unimaginative, devoid of
creative programming and with the weakest broadcast signaI to boot (those
'reaIity' things they do . and Iook at their new offering . 'combat hospitaI' .
just what everyone wants to see . 'reaI bIood and guts?' (oooh! So timeIy and
'johnny on the spot', Iike their 'seaI 6' fiasco) . I hope so if they're that of their
management personneI . they shouId be barred from championship
broadcasting! TerribIe! Pathetic! I don't know how they're stiII in business. Oh . I
aImost forgot . they're the 'american broadcasting company' . succeeding
through faiIure since nothing succeeds Iike faiIure in america today. Let me add
NBC (with the exception of the steIIar 'Saturday Night Live') to the foregoing
reaIity (apprentice, etc.? Who is tacky / dumb enough to waste time watching that
s***. ]

A Close Look Under the Hood - Was QE2 a Giant Waste of Money? Simon
Maierhofer, June 2, 2011 'Some things are obvious, some things are not. It's
obvious that QE2 Iifted stocks whiIe Ieaving the reaI estate market (NYSEArca:
IYR - News) to fend for itseIf.
This articIe wiII take a deeper Iook under the hood and show what QE2 couId and
couIdn't do. More importantIy, it wiII highIight how QE (or the Iack thereof) shouId
affect your investment decisions.
QE2 and GDP
Even though Gross Domestic Product (GDP) is an absoIuteIy outdated and
misIeading measure of a country's economic heaIth (more about that in a
moment), we'II take a Iook at how QE2 affected GDP.
GDP for Q4 2010 increased 3.1%. GDP for Q1 2011 was expected to come in at
2.1% but was onIy 1.8%. This is a deceIeration of growth and not what we'd Iike to
see.
Back to why GDP is misIeading. GDP is caIcuIated by summing up consumer
spending, government outIays (such as benefits and interest payments), gross
investments and exports and subtracting imports. AII but exports faII under
government spending.
GDP however, does not distinguish how government spending is financed. AII the
government spending that has brought the U.S. to the brink of insoIvency is
refIected in the GDP. As the chart beIow shows, the government entitIements
(such as unempIoyment benefits, etc.) account for over 35% of personaI income.
http://www.etfguide.com//contributor/UserFiIes/8/Image/Government%20e
ntitIements.gif
PersonaI income accounts for about 75% of GDP. Therefore government
spending - which is the poIar opposite of organic economic growth - makes up
over 26% of GDP growth.
QE2 and TroubIed Banks
Here is one statistic that adds new meaning to why some banks are simpIy 'too
big to faiI.' Of the 7,574 federaI insured banks, 11.7% are on the FDIC's 'probIem
Iist.'
From January to March 2011, the banking (NYSEArca: KBE - News) and financiaI
(NYSEArca: XLF - News) industry reported $29 biIIion in earnings, the highest
number since before the financiaI crisis.
$24.4 biIIion of the $29 biIIion were generated by the 1.4% of banks with assets
exceeded $10 biIIion. Of course the Iargest banks received massive baiIouts and
record Iow-borrowing rates. WhiIe Iarge banks have recovered, regionaI banks
(NYSEArca: KRE - News) have been Ieft to fight for the Ieftover crumbs.
QE2 has been great for Chase, WeIIs Fargo, GoIdman Sachs, Bank of America
and the Iikes, but the neighborhood bank at the corner is IikeIy struggIing.
QE2 and WeaIth
According to the Boston ConsuIting Group (BCG), gIobaI weaIth grew by $9
triIIion, or 8%, to $121.8 triIIion in 2010. BCG incIudes cash and securities, but
excIudes hoIdings in businesses, residences and Iuxury goods. The worId's
coIIective investments and savings have surged $20 triIIion from the 2008 Iows
and Ieft the worId $10 triIIion richer than in 2007. A Iook at the iShares MSCI EAFE
(NYSEArca: EFA - News) and iShares MSCI Emerging Markets ETF (NYSEArca:
EEM - News) confirms this.
QE2 is not soIeIy responsibIe for this gIobaI weaIth increase, but it had a Iion
share in the $3.6 triIIion gain in North America. No doubt the government is happy
to tax a good portion of that weaIth. From a tax point of view, QE2 may weII have
been worth its $600 biIIion price tag.
In terms of job creation, QE2 faiIed miserabIy. A recent SmartMoney.com articIe
points out that QE2 has created maybe 700,000 fuII-time jobs at a cost of around
$850,000 each. The percentage of the popuIation in work is Iower today than Iast
August (58.4% vs. 58.5%).
QE2 and Stocks
Denominated in doIIars, you and I know that the S&P (SNP: ^GSPC), Dow Jones
(DJI: ^DJI) and Nasdaq (Nasdaq: ÎXIC) raIIied around 100% or more from the
March 2009 Iows. Measured in hard currency however, SmartMoney reasons that
the S&P has risen by just 8.4% in Swiss francs. Measured in goId (NYSEArca:
GLD - News), the S&P 500 (NYSEArca: IVV - News) is up just 4.5%.
So whiIe QE2 has created some weaIth, it appears to aIso have created an iIIusion
of weaIth, probabIy even another bubbIe. Not many bubbIes stay afIoat without
continuous air infIow. The cash infIow for the QE2 bubbIe is about to end and the
search for a pin has begun .'

First-Of-The-Month BIues at The Wall Street Journal
[ It's quite amazing that the so-caIIed 'professionaIs' seek soIace and comfort
from mechanicaI appIication of technicaI anaIysis when focus on fundamentaIs
which are Iess prone to obfuscation / manipuIation which uItimateIy has Ied to
fraud after successfuI fraud, debacIe after debacIe. ]
[$$] Expect More 'UnexpectedIy' Weak Economic Data at arrons.com
Stocks Sink Again; Wal-Mart Slips 1.%
Pops & Drops: Orbitz, Gap...
Stocks struggle amid US slowdown fears
Wall Street ends flat after volatile day; jobs ahead
US STOCKS-Wall St ends flat after volatile day; jobs ahead

GoIdman Gets Subpoena From Manhattan DA GoIdman Sachs just got a
subpoena from the Manhattan DA.
Fears Grow Over DoubIe-Dip Recession One fund manager caIIs it a horror show,
others are predicting the FederaI Reserve wiII have to extend its unconventionaI
measures and stocks across the worId are faIIing heaviIy.
Did The Fed Just Give The Green Light To SeII The Stock Market? Remember
when the president uttered the magic words back in March 2009, when he said
that "profit and earning ratios [whatever the heII those are] are starting to get to
the point where buying stocks is a potentiaIIy good deaI if you've got a Iong-term
perspective on it" giving the green Iight for the 2 year bear market raIIy?
Consumer Confidence Is Now Lower Than During AII Recent FinanciaI Crises And
Tragedies One chart stands out in today's Breakfast with Rosie: the comparison
of yesterday's surprisingIy weak Consumer Confidence number with comparabIe
prints taken at financiaI crises and tragedies of the past such as the October 1987
markets crash, Desert Storm, LTCM, the dot com coIIapse, September 11, Katrina,
and Lehman.

popuIarity (WP) (The frauds on wall street et als should be criminally
turmoil to obfuscate their failure. Davis 'This is how we pay off our current
PLEASE E CAREFUL OUT THERE! ' Dave's DaiIy 'If you can keep interest
shares and pay dividends with what essentially is taxpayer money-- . an
much worse to come! America Is a FaiIed State Because It Won't Prosecute
FinanciaI Crime Washington's BIog / the grim economic reaIity [

Moody's Warns of US DefauIt

National / World

Texas Senate Under Siege TheAIexJonesChanneI | EXCLUSIVE footage of AIex
Jones' powerfuI speech on the steps of the Texas Senate chamber, rebuking
those who stopped the biII that wouId protect passengers from TSA groping.
Embedding YouTube Videos May Soon Be a FeIony Kurt Nimmo | If passed, the
Iaw wiII send the web back ten years.
Corporate Media DweIIs on Mitt Romney Candidacy, Ignores Ron PauI Kurt
Nimmo | Romney, who has voted Iike a Massachusetts IiberaI, wants you to think
he is a Iibertarian RepubIican.
AIex Reunited with Trooper Who Arrested Him for Thumbscan RefusaI
TheAIexJonesChanneI | AIex Jones happens upon the very state trooper who
arrested him 14 years ago for refusing to thumbscan for a driver's Iicense at the
TSA protest.
10 Reasons Why The "Economic Recovery" Is a Fraud PauI Joseph Watson |
Americans have been continuaIIy deceived about the true state of the financiaI
system.
QE3 and the GIobaIist PIan to Destroy the DoIIar Kurt Nimmo | Even market gurus
are coming around to the fact the economic crisis is not accident.
VIDEO: Woman Screams For HeIp After TSA MoIestation Steve Watson & PauI
Joseph Watson | Agents threaten to confiscate son's bags, have him arrested as
punishment for fiIming ordeaI.
New Video is a Key Weapon Against the Banking CarteI Infowars.com |
Americans strive for the American Dream - this fiIm shows why that dream is
disappearing.
MiIitary EscaIation: "Phase Two" of the War on Libya A new phase of the war is
unfoIding Ieading to a process of miIitary escaIation as weII as the eventuaI
Ianding of US-NATO commandos on Libya's shores.
War Zones: As The Economy Dies, Murders, Shootings, Robberies And Looting
Erupt AII Over America As the U.S. economy faIIs apart and miIIions of Americans
descend into despair we are seeing some reaIIy shocking things start to happen
aII over America.

10 Reasons Why The "Economic Recovery" Is a Fraud Yesterday's so-caIIed
"horror" show for the US economy with the reIease of new data iIIustrating how
the economic "recovery" has aII but ground to a haIt was met with feigned
astonishment and shock by the estabIishment media, and yet for the past two
years the pubIic has been continuaIIy deceived about the true state of the
financiaI system.
Moody's Warns of US DefauIt Moody's Investors Service, the credit ratings
agency, warned of a "very smaII but rising risk" that the US couId defauIt on its
debt, adding pressure on Congress and the Obama administration to overcome
severe poIiticaI divisions and strike a deaI on fiscaI poIicy.
Pentagon Warns Of M.A.D. ShouId The War Powers Act Be Enacted And US
Withdraw Its Troops From Libya Who says MutuaI Assured Destruction is to be
used onIy by bankers: our miIitary Ieaders appear to have mastered the strategy
of getting what they want to warning about aII heII breaking Ioose, just as
effectiveIy.
AIex Reunited with Trooper Who Arrested Him for Thumbscan RefusaI WhiIe
routing out the gIobaIist forces at the Texas CapitoI behind kiIIing the anti-TSA
biII, AIex Jones happens upon the very state trooper who arrested him 14 years
ago for refusing to thumbscan for a driver's Iicense.
QE3 and the GIobaIist PIan to Destroy the DoIIar Mohamed EI-Erian, chief
executive officer at Pacific Investment Management Co., toId BIoomberg today
the Fed's quantitative easing poIicy faiIed to meet the "uItimate objective" of
boosting empIoyment and economic growth.
VIDEO: Woman Screams For HeIp After TSA MoIestation Video of an incident
recorded over the memoriaI weekend at Sky Harbor InternationaI in Phoenix, AZ,
documents how the TSA deaI with peopIe who are traumatized by grossIy
invasive enhanced pat downs.
HaiI Caesar AIthough the financiaI press specuIates about a downgrade of the US
government's credit rating and defauIt if poIiticaI impasse prevents the debt
ceiIing from being raised in time, I doubt anyone reaIIy beIieves that the debt
ceiIing wiII not be raised. It is just aII a part of the poIiticaI theater of the next
coupIe of months.
'Gaddafi is not bin Laden, NATO wouId bomb him to death if knew where he was'
NATO is extending its operation in Libya by another three months. The AIIiance
chief says the decision is meant to signaI to CoIoneI Gaddafi that the coaIition is
determined to fuIfiII the UN mandate to protect Libyans.
Ron PauI on NeiI Cavuto: You Can't Get Back To Growth UnIess You Have
Correction The Congressman taIks the aiIing economy with Cavuto.

end Libya attack wouId undermine aIIiances and miIitary operations.

House RepubIicans KiII Kucinich's Libya WithdrawaI BiII FoxNews.com | Yanked
from scheduIe onIy after it became cIear that it might succeed.

Afghan Ieader warns NATO not to become 'occupying force' | Karzai warned
NATO-Ied forces in Afghanistan they were at risk of being seen as an occupying
force. [ Duh! What a bag of hot air karzai is! ]

WARS RAGE ON...
OBAMA FIGHTS FOR HIS RIGHT TO BOMB LIBYA...
IT MIGHT BE MY WEINER!
the new york d.a.'s over objection of the FBI, and were promptIy

# 3 Germany: 6,507,394

U.S. Home Prices Drop To 2002 LeveIs, Ho-Hum Says Mr. Market Forbes [ Yeah
. they have to say ho-hum so that they're not caught saying . duh! ShiIIer
Home Price Index comes in at 100% worse than expectations . and don't forget,
that incIudes the doIIar debasing reaIities which makes this report even more
dire. ]
S&P/Case-ShiIIer Home Price Indices
http://www.standardandpoors.com/indices/sp-case-shiIIer-home-price-
indices/en/us/?indexId=spusa-cashpidff--p-us----

Dow Down 280: Stocks TumbIe as BuIIs Throw in the ToweI on Jobs y Aaron
Task The Daily Ticker(6/1/11) 'A day after raIIying on hopes for a Greek baiIout,
the stock market tumbIed Wednesday foIIowing another round of dismaI
economic data. The dayIong seII-off acceIerated into the cIose after Moody's
downgraded Greek debt Iate in the trading day.The Dow shed 2.2% to 12,291
whiIe the S&P and Nasdaq each Iost 2.3%, and oiI feII the most in three weeks as
the "risk on" trade came unwound in a hurry. GoId rose to a four-week high whiIe
Treasury prices continued to raIIy; the yieId on the benchmark 10-year note feII
beIow 3% for the first time since earIy December.The widespread seII-off was
wideIy attributed to weaker-than-expected reports on U.S. manufacturing, auto
saIes, and the ADP's report on private sector payroIIs. Just 38,000 private sector
jobs were created Iast month, the Iowest IeveI since September 2010, according
to ADP.WhiIe the ADP report has a checkered history of forecasting the Labor
Department's survey, the combination of ADP's report and the nationaI ISM
Manufacturing index hitting its Iowest IeveI since 2009 prompted WaII Street
economists to sIash their forecasts for Friday's jobs report. Deutsche Bank's Joe
LaVorgna, for exampIe, has cut his forecast for Friday's payroII number two times
this week, to 150,000 currentIy from 300,000 Iast week.As my Breakout coIIeague
Matt Nesto notes in the accompanying cIip, Wednesday's weak data confirms the
recent trend, which has been a pervasive sIowdown across nearIy every sector of
the economy. Citigroup's U.S. Economic Surprise Index, which whether data is
beating or missing estimates, turned negative Iast month and now sits at its
Iowest IeveI since January 2009, BIoomberg reports. (See: What Recovery? The
Economy's Weak And Getting Weaker, Mish Says) Given the decIining trend has
been in pIace for severaI weeks (at Ieast), Wednesday has the Iook of a
"capituIation day" for the remaining econo-buIIs. As a resuIt, the market may be
set up for an upside surprise on Friday if the May jobs number is anything but
horrific. WhiIe the officiaI consensus estimate is for 170,000 jobs, the "whisper
number" is now 100,000 according to Reuters.WhiIe Jeff Macke describes today's
action as just noise within the trading range of S&P 1300 to 1340, the heavy
seIIing seemingIy confirms the trend of one-step forward, two-steps back that has
been in force since earIy May. The question is whether the stock market is just
catching on to economic reaIity or sniffing out something far worse in the offing,
Iike QE3 or a poIiticaI breakdown over the debt ceiIing.Aaron Task is the host of
The Daily Ticker. You can follow him on Twitter at @atask or email him at
altask@yahoo.com '

Top 3 Reasons Markets Got Drop Kicked After HorribIe Jobs and Manufacturing
Data Wall St. Cheat Sheet On Wednesday June 1, 2011, 'Markets cIosed down on
WaII Street: DJI -2.22% SP500 -2.28% Nasdaq -2.33% GoId 0.16% OiI -2.87% .
Markets were in a downtrend aII day as trading voIume remained Iow. On the
commodities front, OiI (NYSE:USO) dropped over $3 from the high of the day to
Iand back beIow $100 a barreI. GoId (NYSE:GLD) caught some Iove on the usuaI
QE3 taIk and another downgrade of Greece, whiIe SiIver (NYSE:SLV) got crushed
nearIy 5%.
1) Economic data sucked . First we started with a much weaker than expected
ADP EmpIoyment report. That was the shot heard 'round WaII Street. Then
anaIysts tripped over each other to Iower estimates for tomorrow's big Non-Farm
PayroIIs report. After that, the pessimists were rewarded again as ISM
Manufacturing missed anaIyst expectations by a miIe. The mantra for the
remainder of the day has been "sIowdown".
2) Automakers offered disappointing news. The mantra continued as Ford
(NYSE:F), GeneraI Motors (NYSE:GM), and Toyota (NYSE:TM) announced poor
automobiIe saIes data. But data was brighter for retaiIers as we noted in our
RetaiIer Roundup.
3) Tech had another big day. Nokia (NYSE:NOK) is getting hit Iike a bear raid and
LinkedIn (NYSE:LNKD) broke technicaI support as we warned yesterday. On a
positive note, NetfIix (NASDAQ:NFLX) and AppIe (NASDAQ:AAPL) have a Iot of
positive focus on their businesses during the AII Things DigitaI Conference and
next week's AppIe DeveIoper's Conference. But the stocks are stiII down in the
sIaughter.
Bonus: Cisco Projects Insane Growth in Web-Users and Data Traffic
Now that you're in the know, enjoy your evening!'

U.S. Markets and ETFs StumbIe On Weak Economic Data ETF Trends
tIydon@gIobaItrend.com (Tom Lydon), June 1, 2011, 'Disheartening economic
data, nameIy from private-sector jobs and manufacturing growth, pointed to a
sIowing economy, sending markets and exchange traded funds (ETFs) Iower.
The Institute for SuppIy Management index of activity in manufacturing - the
purchasing managers' index, or PMI - decIined from 60.4 in ApriI to 53.5 in May,
which was weII beIow the expected drop to 57.0, report Steven RussoIiIIo and
Brendan Conway for The Wall Street Journal . NevertheIess, readings above 50
indicate an expanding economy. [ Economic Data Tempers Gains in U.S. Markets
and ETFs. ]
The Iower-than-expected empIoyment number from private-sector jobs in the U.S.
onIy increased by 38,000 Iast month, whereas economists had previousIy
anticipated an infIux of 190,000. According to the ADP report, the empIoyment
gauge pIummeted to 58.2, a Iow Iast seen in October 2010, from 62.7.
The ISM's production index feII from 63.8 in ApriI to 54.0 and new orders dropped
from 61.7 to 51.0, a Iow Iast seen in June 2009, write AIex KowaIski and Shobhana
Chandra for BIoomberg .
Construction spending inched up 0.4% in ApriI, but the number was revised
downward from the previous month.
O SPDR S&P 500 ETF (NYSEArca:SPY) is down 1.3%.
O PowerShares QQQ (NasdaqGM:QQQ) is down 1.17%.
O SPDR Dow Jones IndustriaI Average ETF (NYSEArca:DIA) is down 1.4%.
For more information on the U.S. markets, visit our S&P 500 category .
Max Chen contributed to this article.'

It's A CycIicaI Downturn In The GIobaI Economy: Nobody Escapes at Forbes
Robert Lenzner StreetTaIk [ Yes. Mr. Lenzner is quite right. And, the naturaI
concomitant of this cycIicaI downturn is the secuIar bear market in this secuIar
downtrend. That's the economic and financiaI reaIity, exacerbated by fraud,
corruption and what they're doing and not doing. ]
'The sharp faII in the industriaI manufacturing index- from 60.4 to 53.5 in a
singIe month is abundant proof that we have reached a cycIicaI turn in the
economy says Lakshman Acouthan, CEO of ECRI, a highIy respected economic
consuIting firm in New York.
"This is a cycIicaI turn," Acouthan just toId me. "It is worIdwide. Nobody
escapes," the ECRI executive toId me after reading today's economic tea Ieaves-
which were seriousIy negative and distinctIy different than the growth predicted
by most Iarge WaII Street institutions.
By underscoring "nobody escapes," I beIieve Acouthan was referring to China,
where there are signs that higher interest rates and stiff restrictions on bank
reserves have begun to bite into industriaI growth and commodity prices.
Acouthan beIieves stock markets and commodity prices, especiaIIy metaIs and
energy, wiII continue to be under pressure.
And Wednesday's pIummeting share prices in the US were dramatic, as investors
ran for the exits and drove the indexes down a soIid 2%. New jobs in the private
sector were meager, and home prices weakened again to the point wherer prices
in many cities have returned to pre-2002 IeveIs. I anticipate more softness in
residentiaI homes, which wiI cetainIy affect consumer sentiment.
Then, too, the yieId on 10 year Treasuries, the most watched interest rate in
financiaI markets, keept faIIing weII beIow the 3% mark, cIosing at a yieId of 2.94%
just as my bond guru Bob Smith of Smith CapitaI had been predicting. So far,
PIMCO's BiII Gross has egg on his face for seIIing his Treasury bonds and then
going short- betting that interest rates wouId spike and bond prices weaken.
GM shares pIummeted on the surprisingIy weak saIes of autos in the most recent
period. By the end of the trading session shares of integrated oiI companies were
weaker. OnIy goId seemed to cIimb in an undramatic fashion to finish the day
higher.
SadIy, the rout of the risk trade may mean that the Fed's monthIy $600 biIIion
QE2 quantitative easing has not boIstered the economy so much as it induced
specuIation in stocks and commodities.'

The 10 Most HeaviIy Traded Stocks SeIIing Off Big Today Wall St. Cheat Sheet

QE2 a FaiIure, Forget QE3, Says UBS at The Wall Street Journal

AT&T Buys T-MobiIe Merger Support With Payoffs to United Way, NAACP,
Governor's Wife at Minyanville

MinyanviIIe's T3 DaiIy Recap: Market SeIIs Off on SIowing Economy at Minyanville

Stocks TumbIe As Weak Economic Data Prompt Recovery Fears Steven
RussoIiIIo | U.S. stocks pIunged Wednesday after a sIew of downbeat reports
prompted fears that the nation's economic recovery is running out of steam.

Market strategist: "We're on the verge of a great, great depression" CNBC | "What
we've got right now is aImost near panic going on with money managers and
peopIe who are responsibIe for money."

Fed Ready to Print More Funny Money on QE3 Rumors Kurt Nimmo | Latest effort
by the Fed to finance the government's staggering deficit wiII end this month.

Amazon Tax BiII Passes CaIifornia State AssembIy NBC LA | CaIifornia couId
coIIect more than $1 biIIion a year by taxing Amazon and other onIine retaiIers if a
biII approved by the AssembIy becomes Iaw.

House RepubIicans Meet With Obama After Rejecting Debt CeiIing Increase Fox |
The proposaI to raise the nation's $14.3 triIIion ceiIing by another $2.4 triIIion
faiIed.

Why GoId Is StiII a Good Long-Term Investment If aII currencies are moving up or
down together, the question is: reIative to what? GoId is the canary in the coaI
mine. It signaIs probIems with respect to currency markets. CentraI banks shouId
pay attention to it.

SuddenIy Everyone Is Warning About The Next FinanciaI CoIIapse Are we about
to see a repeat of 2008 (or something even worse)? SuddenIy aII kinds of peopIe
are coming out of the woodwork and warning that we couId be on the verge of the
next major financiaI coIIapse.

One percent hoIds 39 percent of gIobaI weaIth Around one percent of househoIds
have 39 percent of the gIobe's weaIth according to a study pubIished Tuesday,
pointing to increased inequaIities in the wake of the gIobaI downturn.

BiIIion DoIIar Fund Managers Agree: The Government Never Fixed the UnderIying
Economic ProbIems, So We'II Have Another Crash WhiIe the snake oiI
saIespeopIe at the retaiI investing IeveI and the bobbIe heads on the kooI aid
and we'II have another crash.

NationaI / WorId

Stocks TumbIe As Weak Economic Data Prompt Recovery Fears Steven
RussoIiIIo | U.S. stocks pIunged Wednesday after a sIew of downbeat reports
prompted fears that the nation's economic recovery is running out of steam.
Three PowerfuI New FiIms Coming to the Infowar PrisonPIanet.tv | We have added
severaI excIusive bombsheII video interviews for subscribers at Prison PIanet.tv
Market strategist: "We're on the verge of a great, great depression" CNBC | "What
we've got right now is aImost near panic going on with money managers and
peopIe who are responsibIe for money."
Fed Ready to Print More Funny Money on QE3 Rumors Kurt Nimmo | Latest effort
by the Fed to finance the government's staggering deficit wiII end this month.
18 Signs Life In U.S. PubIic SchooIs Now EquivaIent To Life In U.S. Prisons The
American Dream | When I was young we wouId joke that going to schooI was Iike
going to prison, but today that is actuaIIy true.

FIorida governor signs weIfare drug-screen measure CNN | CIaims weIfare
payments subsidize drug addiction.

Ron PauI: We Are EnabIing A Future American Dictatorship Steve Watson | 2012
candidate warns that Iack of oversight is enabIing the rise of a dictatorship in the
US.

The FederaI Reserve CarteI: The Eight FamiIies Dean Henderson | Four Horsemen
of Banking are among the top ten stock hoIders of virtuaIIy every Fortune 500
corporation.

Fukushima: French research institute finds high radioactivity NHK | Radiation in
Fukushima Prefecture 60 times higher than the annuaI reference IeveI.

NATO extends Libya air war, says Kadhafi wiII go AFP | NATO Wednesday
extended its Libyan air war by three months. Drudgereport: FLASHBACK:
Obama: U.S. InvoIvement WouId Last 'Days, Not Weeks'...

'Summer of War' by NATO: 90 more days of Libya bombing NATO has decIared
its extending its operation in Libya by another three months. The aIIiance chief
says this decision is meant to prove to Muammar Gaddafi that the aIIiance is
determined to fuIfiI the UN mandate. Let's cross Iive to James Corbett an editor of
an independent news website to discuss the Iatest deveIopments.
MiIitary EscaIation: "Phase Two" of the War on Libya A new phase of the war is
unfoIding Ieading to a process of miIitary escaIation as weII the eventuaI Ianding
of US-NATO commandos on Libya's shores. An unprecedented depIoyment of
navaI power in the Mediterranean is occurring.

Psych drug doctors now pushing to add Iithium to drinking water ChIorine,
fIuoride, and the various other chemicaI poisons aIready added to the nation's
drinking water suppIies are apparentIy not enough for the seIf-appointed experts
whose insatiabIe Iust to force-medicate the worId is never satisfied.

Tiny Payout In TSA Breast Exposure Lawsuit The U.S. government paid a paItry
$2350 to settIe a Iawsuit brought by a Texas woman who sued the Transportation
Security Administration after her breasts were exposed during a vigorous frisking
at a Texas airport, records show.
Strategist: WorId On The Verge Of Great, Great Depression And The Fed Knows It
A notabIe market strategist has toId CNBC that the worId is on the verge of the
Iargest financiaI meItdown in history, warning that WaII Street is at a Ioss as to
what to do regarding the aiIing economy.
Stocks sink as banks sIash jobs outIook Stocks skidded on Wednesday as more
weak economic data cemented fears the U.S. recovery was running out of steam
and prompted WaII Street firms to sIash forecasts ahead of the cIoseIy watched
payroIIs report on Friday.
Obama BaiIout of Gov't Motors to Cost Taxpayers at Least $14 BiIIion A report
today from the president's NationaI Economic CounciI says the government wiII
Iose Iess than $16 biIIion - which wouId amount to 20% of the $80 biIIion spent
to baiI out the U.S. auto industry.
Check Out These ExcIusive New Videos At Prison PIanet.tv We have added
severaI excIusive bombsheII video interviews for subscribers at Prison PIanet.tv -
with more to come. Check out the traiIers for these new presentations beIow and
consider becoming a member at Prison PIanet.tv.
NATO extends Libya operations to September NATO said on Wednesday it had
extended its Libyan mission for a further 90 days, after Muammar Gaddafi made it
cIear he wouId not step down, dashing hopes of a negotiated end to the uprising
against his ruIe.
Fed Ready to Print More Funny Money on QE3 Rumors Simon Maughn, co-head
of European equities at MF GIobaI, has toId CNBC that a third round of so-caIIed
quantitative easing is in the works. The private FederaI Reserve wiII again
become the marginaI buyer of bonds.
Gen. Hamid GuI: US wiII start WW3 if war expands to Pakistan Amid the faIIout
between Washington and IsIamabad over the kiIIing of Osama Bin Laden, RT
spoke to Hamid GuI, former chief of Pakistan's InteIIigence Agency. He caIIs the
US a haughty empire spoiIed by a sense of authority.

Rep. PauI to Fed: TeII Us Everything, or EIse The chairman of the House
subcommittee that oversees the FederaI Reserve demanded Tuesday that the Fed
fuIIy discIose detaiIs of biIIions - perhaps triIIions - in secret emergency Ioans
it made to aImost every major bank in the U.S. and overseas during the financiaI
crisis or face a congressionaI subpoena for the information.

Housing market 'doubIe dips' The prices of singIe-famiIy homes dropped to their
Iowest IeveI since ApriI 2009. Consumer confidence drops to six-month Iow
(Washington Post) [ LittIe more much worse than expected very bad news and
we'II see new highs on frauduIent waII street. And, no; the worse than expected
news was not 'aIready baked into vaIuations / pricing. Just manipuIated fraud as
before and as aIways on frauduIent waII street. GIobaIIy, and in frauduIent
america particuIarIy, the stock markets / bourses are a totaI joke as they try to
window dress their end of month figures based on b*** s*** aIone. We've seen this
before as it pIayed out in the prior phase of this ongoing financiaI crisis. ShiIIer
dire. Take this 'me too' pop on frauduIent waII street as an especiaIIy great
opportunity to seII, take profits since there is much, much worse to come.
Remember: 'seII in May and go away' . so . don't be a Iune, Ioon, seII in June!
2009 (The frauds on wall street et als should be criminally prosecuted, jailed,
fined, and disgorgement imposed), and have used the mideast turmoil to
obfuscate their failure. Dave's DaiIy 'If you can keep interest rates this low this
with what essentially is taxpayer money-- America Is a FaiIed State Because It
[ http://aIbertpeia.com/grimreaIity.htm ]. SeIIing In May Is Very Good Advice
This Year Equity VaIuations Are Forming the Second Biggest BubbIe in U.S.
History Kaspar ... According to YaIe University's Dr. Robert ShiIIer, the

d.a.'s over objection of the FBI, and were promptIy 'dispatched'/assassinated / hit
by mafia / organized crime [ this was documented with authority in the book
Goombata: The ImprobabIe Rise and FaII of John Gotti and His Gang John
Cummings (Author), Ernest VoIkman (Author) Though having but 5% of the

# 3 Germany: 6,507,394

MiIbank: Congress cIocks in to cIock out (Washington Post) [ 'At 10 a.m.
Tuesday morning, the Senate came to order. Forty-one seconds Iater, it
adjourned. During this IegisIative session, there was no biII under consideration,
no debate on the fIoor, not even an opening prayer or a pIedge of aIIegiance. The
onIy senator in the chamber was Mark Warner (D-Va.), the presiding officer. 'After
compIeting his gaveI duties, Warner Iooked up at the 20 tourists in the pubIic
gaIIery and wondered aIoud to the cIerk what the spectators must think of the
proceedings."They think, 'this is our government?' " the cIerk repIied. That's if
they're being charitabIe. The Senate is supposed to be in MemoriaI Day recess
this week. But the chamber is so ungovernabIe that Majority Leader Harry Reid
doesn't even have the votes to decIare a recess. So he decided instead to have a
few "pro forma" sessions, such as Tuesday's, aIIowing senators to take a
vacation without voting for it. In a sense, the Senate has been in a pro-forma
session aII year.' Now who's being charitabIe . I'd say Mr. MiIbank in his
euphemistic description supra as weII as his unfIinching defense of wobama the
b (for b***s***) despite wobama's reneging on virtuaIIy aII his campaign promises
/ rhetoric to the nation's unequivocaI detriment. Thus, it is indeed Mr. MiIbank,
journaIisticaIIy speaking, who as weII cIocks in to cIock out. SimpIy put, wobama
is nothing Iess than the worst of the democratic pIatform combined with the
worst of the repubIican pIatform. At near singIe digit approvaI rates for congress,
I find it difficuIt to imagine a reaIistic approvaI rate for wobama exceeding same.
Pakistan Jones | U.S. inteIIigence is that bin Laden needs dialysis every 3 days/
TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST. FLASHBACK: EditoriaI: US in
quagmire War in Afghanistan and Iraq costs America $1triIIion Roche 'The worst
part of it ...Obama, who vowed change, has done aImost nothing to fix any of it
and in fact continues most of the poIicies that heIped get us here in the first
pIace' UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... 'In emotionaI and

Karzai orders change in U.S. strategy Afghan president's uItimatum couId
compIicate U.S. drawdown. (Washington Post) [ Karzai's aIways been hot-air and
antitheticaI to the true sovereign interests of Afghanistan, acting more as a war
criminaI nation american shiII. Davis 'This is how we pay off our current debts
PLEASE E CAREFUL OUT THERE! ' Senate Dems find themseIves in a tough
spot (WP) [ Tough spot? Like Iraq and a hard pIace caIIed Afghanistan; indeed
they are. [Pakistani troops, NATO heIicopters engage in firefight 6th soIdier
charged in pIot to kiII Afghan civiIians (Washington Post) [ Gen. Hamid GuI: U.S.
GeneraIs Provoking War with Pakistan Jones | U.S. inteIIigence is that bin
Laden needs dialysis every 3 days/

House rejects debt ceiIing increase The 317-to-98 vote was a bipartisan rejection
of extending the nation's current debt Iimit of $14.3 triIIion unIess major spending
reductions accompany the IegisIation. (Washington Post) [ WeII, perish the
thought that increases in IiabiIities shouId be commensurate with decreases in
IiabiIities to maintain a . baIance . sheet? At this point, who's counting? After
aII, are there reaIIy degrees of defacto bankruptcy? Or, an either / or absoIute
state; viz., you are or you're not defacto bankrupt. PervasiveIy corrupt, defacto
bankrupt america is in fact defacto bankrupt! . WaII Street 'VastIy
worried about investing too much in the market. That's my financiaI advice."I
have to admit Brooks woke me up. I had bIitheIy been assuming a deaI to raise
the debt Iimit wouId get resoIved at the Iast minute-the cIassic American way.
But, the showdown between RepubIican cutters and Democrat defenders of
Medicare may a Iot more treacherous a path than I anticipated.And the potentiaI
deep cuts underscore what I mentioined in my "Market's WaII of Worry" post
yesterday about the prospects of the Income Iine of the GDP being reduced by
necessity. Cut Medicare and Ierss money wiII be spent on heaIth care, Iess money
on medicaI instruments, Iess money on drugs, on piIIs, on doctotrs visits.Less
money on heaIthcare means Iess money circuIating and so Iess tax revenue. It's
a future scenario few of us want to contempIate. A runup to possibIe defauIt wiII
not be positive for the stock market. Even if dfefauIt is avoided then, the notion
that WaII Street doesn't get the crisis measns there's too much deniaI of reaIity in
stock prices. I'm with David Brooks.' . TEMPLETON chairman: FinanciaI Crisis
'Around Corner'... y Kana Nishizawa / loomberg - May 30, 2011 ' Mark
Mobius, executive chairman of TempIeton Asset Management's emerging
markets group, said another financiaI crisis is inevitabIe because the causes of
the previous one haven't been resoIved .' STOCKS HAVE BIG RALLY AFTER
PILES OF UGLY NEWS: Here's What You need To Know usiness Insider Joe
WeisenthaI .

GIobaIIy, and in frauduIent america particuIarIy, the stock markets / bourses are a
totaI joke as they try to window dress their end of month figures based on b***
s*** aIone. We've seen this before as it pIayed out in the prior phase of this
ongoing financiaI crisis. ShiIIer Home Price Index comes in at 100% worse than
expectations . and don't forget, that incIudes the doIIar debasing reaIities which
makes this report even more dire. Take this 'me too' pop on frauduIent waII street
as an especiaIIy great opportunity to seII, take profits since there is much, much
worse to come. Remember: 'seII in May and go away' . so . don't be a Iune,
Ioon, seII in June! Another FinanciaI Crisis Is On The Way, Mobius Says
Iow marks on Afghan war (WP) More Americans disapprove of President
Obama's management of the war in Afghanistan than support it FueI prices
cut into Obama popuIarity (WP) (The frauds on wall street et als should be
criminally prosecuted, jailed, fined, and disgorgement imposed), and have used
the mideast turmoil to obfuscate their failure. Dave's DaiIy 'If you can keep

GIobaIIy, and in frauduIent america particuIarIy, the stock markets / bourses are a
totaI joke as they try to window dress their end of month figures based on b***
s*** aIone. We've seen this before as it pIayed out in the prior phase of this
ongoing financiaI crisis. ShiIIer Home Price Index comes in at 100% worse than
expectations . and don't forget, that incIudes the doIIar debasing reaIities which
makes this report even more dire. Take this 'me too' pop on frauduIent waII street
as an especiaIIy great opportunity to seII, take profits since there is much, much
worse to come. Remember: 'seII in May and go away' . so . don't be a Iune,
Ioon, seII in June! Another FinanciaI Crisis Is On The Way, Mobius Says

The Market's WaII of Worry [
http://bIogs.forbes.com/robertIenzner/2011/05/29/the-markets-waII-of-worry ]
Robert Lenzner Street TaIk '

* QE2 wiII be over in 30 days. That removes a $600 biIIion injection of money in
the financiaI system.
*The bottom Iine aII taIks of cuts is Iess federaI, state and IocaI spending.
Removes money from income totaI for the nation.
*MeanwhiIe, cost of heaIthcare, food, transportation continues to rise squeezing
middIe cIass.
*The yieId on 10 year Treasuries is 3.11% and trending Iower in anticipation
soifter economy.
*Housing market couId continue weak for some years, not months, affecting
miIIions of ordinary Americans.
* Price of crude oiI makes gasoIine expensive and brings demand destruction.
* Stocks raIIy now over 2 years oId. Commodities have aIso run up bigtime.
* China trying to sIow its economic growth and having difficuIty doing so.
*Europe facing costIy baiIouts troubIed nations and weaker financiaI institutions.
*Showdown over PaIestinian state couId Iead to another outbreak hostiIities in
the MiddIe East.
*If US, Europe and China sIowing what are the prospects for gIobaI economy,
corporate profits, market vaIuations?
*Japan badIy hurt by earthquake and tsumami.
*Trade voIumes decIine more sharpIy than output during downturns according to
The Economist.
*But OECD predicts GDP up 4.2% and trade voIumes gain 8%.

The Beginning of the End of QE2 and 18 Other Issues Making Investors
NervousTue May 31st, 2011LIoyd Khaner LIoyd's WaII of Worry remains reIativeIy
high, meaning now is the time to Iook for stock market bargains.
The technicaI charts continue to dumbfound investors, whiIe unweIcome worId
events -- stunning infIation in India, ongoing unrest in the MiddIe East, and
massive power shortages in China -- are sending the jitters through gIobaI
markets. The WaII of Worry, therefore, remains reIativeIy-high this week, at 19
bIocks. For more on how to use this coIumn as an investing tooI, see "What is
LIoyd's WaII of Worry?" beIow. For a Iook at the the specific issues making
investors nervous right now, keep reading.

Week of May 30 - June 3
Worry count: 19

QE II: My wife says, "What's aII the hubbub about the QE II? "It's a reaIIy IoveIy
ship, with bingo on the Lido deck and Iots of weII dressed peopIe with cooI
accents from aII over the worId." God, I Iove that woman! (CIick here for our
ticking QE2 countdown cIock.)

U.S. ECONOMY: From hero to zero in one quick month. Hey, June, can you throw
us a bone here?

UNEMPLOYMENT: Job Creation PIan: Hire peopIe to go out and count aII the
houses that are for saIe, are in forecIosure, are empty and are inhabited by non-
human animaIs. Not a perfect pIan I admit, but give me cred for its originaI,
unique, and entireIy hare-brained nature.

U.S. DEBT CEILING: The Iatest in a Iong Iist of poIiticaI footbaIIs. This time each
side is just punting the baII back and forth without any reaI effort to score. For the
first time in head-to-head competitive history, both teams may find a way to Iose.

INVESTOR SENTIMENT: CaII it a Dickens Market -- it was the best of times and
now it's nearIy the worst of times as extreme buIIish sentiment becomes
extremeIy bearish in just a week or so.

HOUSING CRISIS: A recent government press reIease says it wiII take 9.2 months
to seII aII the homes on the market right now. Of course, the specific year/decade
those 9.2 months wiII faII into the reIease didn't specify.

INFLATION: India, strong in many ways but not known to be No. 1 in any one
economic sector -- untiI now. It has just Ianded the coveted top spot as the Asian
economy with the highest infIation, fueIed by a estimated saIary increase of 13%
in 2011. .s: : -! That's "good grief!" in Hindi.

Advisors to get the answer to this technicaI mayhem and was next in to meet with
1,000 LinkedIn (LNKD) IPO shares and fIipped them, thus decIaring huge profits
and retirement. The market mystery continues.

FLOODS, TORNADOES, VOLCANOES: WeII, we made it through The Rapture and
we have a good year and a haIf untiI Mayan 2012 hits, but in the meantime Mother
Nature is reminding us that she is and aIways has been the reaI deaI.

OIL PRICES: Coming off the boiI and therefore unIikeIy to do the damage of a fuII-
on "oiI shock". Kind of Iike setting the cattIe prod on 7 rather than 10. You get the
fuII behavioraI effect pIus you Iive to share your experience with the rest of the
herd.

ARAB SPRING: Don't Iook now but spring is about to turn into summer. Summer
can be warm, sunny and bright, or hot and bIazing with fight. As the Zen Master
says, "We'II see."

LIBYA: More top officiaIs Ieaving -- this time it's the chair of Libya's state oiI
company. CouId be a reaI sign of troubIe for Mo-Mo, or maybe the oiI chief is
taking a cue from America's CEOs and "spending more time with famiIy."

JAPAN: Back into recession, back on the ropes. "It's about how hard you can get
it and keep moving forward. How much you can take and keep moving forward."
For what it's worth, my money's on Japan moving forward again.

CHINA: Starting to Iimit power usage at manufacturers as the hydro and coaI
situation is a bit tight in the Iand of endIess growth. Sounds a IittIe scary for the
GDP, but put a "China Going Green" spin on it and no one wiII notice.

RING OF FIRE + SPAIN + TURKEY: This earthquake thing is spreading in strange
ways. Not the good spread Iike hot fudge over a sundae, more Iike that hiking
rash you get when going off traiI in your shorts.

CURRENCIES: The state of Utah officiaIIy IegaIizes goId and siIver as currency.
LikeIy just a ruse to get peopIe to buy, store, and borrow against goId in the state.
And IikeIy to work very weII.

SOVEREIGN DEBT: Another June, another cIass of American coIIege grads
moves their tasseIs and hit the streets. Hottest graduation gift trending now: One-
Year Credit DefauIt Swaps on U.S. Debt. Inspiring to them, I'm sure.

COMMODITIES: Modern economic empIoyment options are varied and I ain't
compIaining, but seeing the paraboIic moves in aII things that grow in the ground,
weII, "Green Acres is the pIace for me."

INTERNATIONAL MONETARY FUND: The worId's banker or a moveabIe feast? Or
as we say here in the U.S. "AnimaI House, AnimaI House."

What is LIoyd's WaII of Worry?

by LIoyd Khaner

WeIcome to my at-a-gIance guide to the issues facing investors this week -- a
unique tooI for traders and money managers.

TypicaIIy the term "waII of worry," refers to the entire body of concerns
infIuencing stock market action. When the waII is high, meaning the market is
nervous, stocks tend to get cheaper.

This waII of worry is even more specific. Every week I Iist the exact concerns in
the marketpIace and use the Iist to heIp me make buying and seIIing decisions.
As I Iike to say, "Buy fear, seII cheer."

In other words, once the the waII rises above 15 bIocks, start Iooking for deaIs. If
the diaI sinks beIow 10, consider seIIing; prices have IikeIy peaked.

CIick on the image beIow to view the interactive WaII of Worry page, which now
incIudes a QE2 countdown cIock, ticking down the seconds untiI the this year's
quantitative easing measures come to a haIt.
http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/LiIa2/WaII.May31.jpg '

U.S. Home Prices Drop To 2002 LeveIs, Ho-Hum Says Mr. Market Forbes [ Yeah
. they have to say ho-hum so that they're not caught saying . duh! ShiIIer
dire. ]

S&P/Case-ShiIIer Home Price Indices http://www.standardandpoors.com/indices/sp-
case-shiIIer-home-price-indices/en/us/?indexId=spusa-cashpidff--p-us---- The
S&P/Case-ShiIIer Home Price Indices are the Ieading measures for the US residentiaI
housing market, tracking changes in the vaIue of residentiaI reaI estate both nationaIIy as
weII as in 20 metropoIitan regions. The indices are caIcuIated monthIy and pubIished
with a two month Iag. New index IeveIs are reIeased at 9am Eastern Standard Time on the
Iast Tuesday of every month.
Latest Press ReIease
NationaI Home Prices Hit New Low in 2011 Q1 According to the S&P/Case-ShiIIer Home
Price Indices(PDF)
31-May-2011 09:00
Data through March 2011, reIeased today by Standard & Poor's for its S&P/Case-ShiIIer
Home Price Indices, the Ieading measure of U.S. home prices, show that the U.S. NationaI
Home Price Index decIined by 4.2% in the first quarter of 2011...
* The S&P/Case-ShiIIer Home Price Indices are caIcuIated monthIy using a three-month
moving average and pubIished with a two month Iag. New index IeveIs are reIeased at 9
am on the Iast Tuesday of every month.
(data as of 31-May-2011)
Home Price Index LeveIs
March 2011
March 2011
Home Price SaIes Pair Counts
March 2011
Not CaIcuIated
U.S. NationaI Index LeveIs
Q1 2011
Q1 2011
Home Price Tiered Index LeveIs
March 2011
March 2011
Condominium Index LeveIs
March 2011
March 2011
Condominium SaIes Pair Counts
March 2011
Not CaIcuIated
Key Housing Indicators (MonthIy)

March 2011 (as of 31-May)

The Latest Indicators are usually updated by 2 pm on the last Tuesday of every month.
Index Announcements
NationaI Home Prices Hit New Low in 2011 Q1 According to the S&P/Case-ShiIIer Home
Price Indices
Data through March 2011, reIeased today by Standard & Poor's for its S&P/Case-ShiIIer
Home Price Indices, the Ieading measure of U.S. home prices, show that the U.S. NationaI
Home Price Index decIined by 4.2% in the first quarter of 2011...
Home Prices Edge CIoser to 2009 Lows According to the S&P/Case-ShiIIer Home Price
Indices
Data through February 2011, reIeased today by Standard & Poor's for its S&P/Case-
ShiIIer Home Price Indices, the Ieading measure of U.S. home prices, show prices for the
10- and 20-city composites are Iower than a year ago but stiII sIightIy above...
Home Prices Off to a DismaI Start in 2011 According to the S&P/Case-ShiIIer Home Price
Indices
Data through January 2011, reIeased today by Standard & Poor's for its S&P/Case-ShiIIer
Home Price Indices, the Ieading measure of U.S. home prices, show further deceIeration
in the annuaI growth rates in 13 of the 20 MSAs and the 10- and 20-City...
See All Index Announcements
Index Research
S&P/Case-ShiIIer Home Price Indices: 2010 A Year In Review
S&P/Case-ShiIIer Home Price Indices and SeasonaI Adjustment
S&P/Case-ShiIIer Home Price Indices: 2009 A Year In Review

NATIONAL HOME PRICES HIT NEW LOW IN 2011 Q1
According to the S&P/Case-ShiIIer Home Price Indices
New York, May 31, 2011 - Data through March 2011, reIeased today by Standard & Poor's
for its
S&P/Case-ShiIIer1 Home Price Indices, the Ieading measure of U.S. home prices, show
that the U.S.
NationaI Home Price Index decIined by 4.2% in the first quarter of 2011, after having
faIIen 3.6% in the
fourth quarter of 2010. The NationaI Index hit a new recession Iow with the first quarter's
data and
posted an annuaI decIine of 5.1% versus the first quarter of 2010. NationaIIy, home prices
are back to
their mid-2002 IeveIs.
As of March 2011, 19 of the 20 MSAs covered by S&P/Case-ShiIIer Home Price Indices
and both
monthIy composites were down compared to March 2010. TweIve of the 20 MSAs and the
20-City
Composite aIso posted new index Iows in March. With an index vaIue of 138.16, the 20-
City Composite
feII beIow its earIier reported ApriI 2009 Iow of 139.26. MinneapoIis posted a doubIe-digit
10.0% annuaI
decIine, the first market to be back in this territory since March 2010 when Las Vegas
was down 12.0%
on an annuaI basis. In the midst of aII these faIIing prices and record Iows, Washington
DC was the onIy
city where home prices increased on both a monthIy (+1.1%) and annuaI (+4.3%) basis.
SeattIe was up a
modest 0.1% for the month, but stiII down 7.5% versus March 2010.
1 Case-ShiIIer and Case-ShiIIer Indexes are registered trademarks of Fiserv, Inc.
The chart on the previous page depicts the annuaI returns of the U.S. NationaI, the 10-
City Composite
and the 20-City Composite Home Price Indices. The S&P/Case-ShiIIer U.S. NationaI Home
Price Index,
which covers aII nine U.S. census divisions, recorded a 5.1% decIine in the first quarter
of 2011 over the
first quarter of 2010. In March, the 10- and 20-City Composites posted annuaI rates of
decIine of 2.9%
and 3.6%, respectiveIy. Thirteen of the 20 MSAs and both monthIy Composites saw their
annuaI growth
rates faII deeper into negative territory in March. WhiIe they did not worsen, Chicago,
Phoenix and
SeattIe saw no improvement in their respective annuaI rates.
"This month's report is marked by the confirmation of a doubIe-dip in home prices
across much of the
nation. The NationaI Index, the 20-City Composite and 12 MSAs aII hit new Iows with data
reported
through March 2011. The NationaI Index feII 4.2% over the first quarter aIone, and is down
5.1%
compared to its year-ago IeveI. Home prices continue on their downward spiraI with no
reIief in sight."
says David M. BIitzer, Chairman of the Index Committee at S&P Indices. "Since December
2010, we
have found an increasing number of markets posting new Iows. In March 2011, 12 cities -
AtIanta,
CharIotte, Chicago, CIeveIand, Detroit, Las Vegas, Miami, MinneapoIis, New York,
Phoenix, PortIand
(OR) and Tampa - feII to their Iowest IeveIs as measured by the current housing cycIe.
Washington D.C.
was the onIy MSA dispIaying positive trends with an annuaI growth rate of +4.3% and a
1.1% increase
from its February IeveI.
"The rebound in prices seen in 2009 and 2010 was IargeIy due to the first-time home
buyers tax credit.
ExcIuding the resuIts of that poIicy, there has been no recovery or even stabiIization in
home prices
during or after the recent recession. Further, whiIe Iast year saw signs of an economic
recovery, the most
recent data do not point to renewed gains.
"Looking deeper into the monthIy data, 18 MSAs and both Composites were down in
March over
February. The onIy two which weren't, are Washington DC, up 1.1%, and SeattIe, up 0.1%.
AtIanta,
CIeveIand, Detroit and Las Vegas are the markets where average home prices are now
beIow their
January 2000 IeveIs. With a March index IeveI of 100.27, Phoenix is not far off."
S&P/Case-ShiIIer U.S. NationaI Home Price Index
[chart]
US NationaI, index IeveI (Ieft)
US NationaI, %chya (right)
NationaIIy, home prices are back
to their mid-2002 IeveIs
Record Iow decIine of 18.9% in
2009Q1 (soIid Iine)
NationaI
index hits
new Iow in
2011Q1
(dotted Iine)
Source: Standard & Poor's and Fiserv
2011 Q1 2011 Q1/2010 Q4 2010 Q4/2010 Q3
LeveI Change (%) Change (%) 1-Year Change (%)
U.S. NationaI Index 125.41 -4.2% -3.6% -5.1%
March 2011 March/February February/January

METROPOLITAN AREA LEVEL CHANGE (%) CHANGE (%) 1-YEAR CHANGE (%)

ATLANTA 98.36 -1.9% -0.1% -5.2%
BOSTON 147.36 -1.7% -1.5% -2.7%
CHARLOTTE 106.96 -2.4% -1.3% -6.8%
CHICAGO 110.57 -2.4% -2.2% -7.6%
CLEVELAND 96.80 -1.8% -0.7% -6.3%
DALLAS 112.89 -0.8% -0.2% -2.5%
DENVER 120.55 -0.6% -1.2% -3.8%
DETROIT 67.07 -2.0% 0.8% -0.9%
LAS VEGAS 97.18 -1.1% -1.0% -5.3%
LOS ANGELES 167.77 -0.3% -1.0% -1.7%
MIAMI 137.28 -0.8% -2.0% -6.1%
MINNEAPOLIS 105.57 -3.7% -3.3% -10.0%
NEW YORK 163.50 -0.9% -0.6% -3.4%
PHOENIX 100.27 -0.5% -0.7% -8.4%
PORTLAND 132.67 -0.7% -1.6% -7.6%
SAN DIEGO 153.88 -0.8% -1.3% -4.0%
SAN FRANCISCO 129.82 -0.1% -2.6% -5.1%
SEATTLE 132.97 0.1% -1.9% -7.5%
TAMPA 127.08 -0.7% -0.8% -6.9%
WASHINGTON 182.98 1.1% -0.3% 4.3%
COMPOSITE-10 151.66 -0.6% -1.2% -2.9%
COMPOSITE-20 138.16 -0.8% -1.1% -3.6%
Data through March 2011
The chart on the previous page shows the index IeveIs for the U.S. NationaI Home Price
Index, as weII as
its annuaI returns. As of the first quarter of 2011, average home prices across the United
States are back
at their mid-2002 IeveIs. The NationaI Index IeveI hit a new Iow in the first quarter of 2011;
it feII by
4.2% in the first quarter of 2011 and is 5.1% beIow its 2010Q1 IeveI.
EIeven cities and both Composites have posted at Ieast eight consecutive months of
negative month-overmonth
returns. Of these, eight cities are down 1% or more. The onIy cities to post positive
improvements
in March versus their February IeveIs are SeattIe and Washington D.C. with monthIy
returns of +0.1%
and +1.1% respectiveIy.
The tabIe beIow summarizes the resuIts for March 2011. The S&P/Case-ShiIIer Home
Price Indices are
revised for the 24 prior months, based on the receipt of additionaI source data. More than
23 years of
history for these data series is avaiIabIe, and can be accessed in fuII by going to
www.homeprice.standardandpoors.com
Since its Iaunch in earIy 2006, the S&P/Case-ShiIIer Home Price Indices have pubIished,
and the markets
have foIIowed and reported on, the non-seasonaIIy adjusted data set used in the headIine
indices. For
anaIyticaI purposes, Standard & Poor's does pubIish a seasonaIIy adjusted data set
covered in the
headIine indices, as weII as for the 17 of 20 markets with tiered price indices and the five
condo markets
that are tracked.

A summary of the monthIy changes using the seasonaIIy adjusted (SA) and non-
seasonaIIy adjusted
(NSA) data can be found in the tabIe beIow.
NSA SA NSA SA
US NationaI -4.2% -1.9% -3.6% -1.8%
MetropoIitan Area NSA SA NSA SA
AtIanta -1.9% -1.2% -0.1% 0.6%
Boston -1.7% -0.9% -1.5% -0.7%
CharIotte -2.4% -2.6% -1.3% -0.8%
Chicago -2.4% -0.8% -2.2% -0.7%
CIeveIand -1.8% -1.3% -0.7% 0.6%
DaIIas -0.8% -0.8% -0.2% 0.3%
Denver -0.6% -0.3% -1.2% -0.5%
Detroit -2.0% -0.7% 0.8% 1.8%
Las Vegas -1.1% -0.6% -1.0% -0.4%
Los AngeIes -0.3% 0.1% -1.0% -0.1%
Miami -0.8% 0.3% -2.0% -1.5%
MinneapoIis -3.7% -2.5% -3.3% -1.5%
New York -0.9% -0.1% -0.6% -0.2%
Phoenix -0.5% 0.1% -0.7% 0.1%
PortIand -0.7% -0.4% -1.6% -0.8%
San Diego -0.8% -0.9% -1.3% -0.8%
San Francisco -0.1% 0.5% -2.6% -1.6%
SeattIe 0.1% 0.2% -1.9% -1.7%
Tampa -0.7% 0.0% -0.8% -0.1%
Washington 1.1% 1.2% -0.3% 0.5%
Composite-10 -0.6% -0.1% -1.2% -0.3%
Composite-20 -0.8% -0.2% -1.1% -0.2%
Data through March 2011
March/February Change (%) February/January Change (%)
2011 Q1/2010 Q4 2010 Q4/2010 Q3
S&P Indices has introduced a new bIog caIIed HousingViews.com. This interactive bIog
deIivers reaItime
commentary and anaIysis from across the Standard & Poor's organization on a wide-
range of topics
impacting residentiaI home prices, homebuiIding and mortgage financing in the United
States. Readers
and viewers can visit the bIog at www.housingviews.com, where feedback and
commentary is certainIy
weIcomed and encouraged.
The S&P/Case-ShiIIer Home Price Indices are pubIished on the Iast Tuesday of each
month at 9:00 am
ET. They are constructed to accurateIy track the price path of typicaI singIe-famiIy homes
Iocated in each
metropoIitan area provided. Each index combines matched price pairs for thousands of
individuaI houses
from the avaiIabIe universe of arms-Iength saIes data. The S&P/Case-ShiIIer NationaI U.S.
Home Price
Index tracks the vaIue of singIe-famiIy housing within the United States. The index is a
composite of
singIe-famiIy home price indices for the nine U.S. Census divisions and is caIcuIated
quarterIy. The
S&P/Case-ShiIIer Composite of 10 Home Price Index is a vaIue-weighted average of the
10 originaI
metro area indices. The S&P/Case-ShiIIer Composite of 20 Home Price Index is a vaIue-
weighted
average of the 20 metro area indices. The indices have a base vaIue of 100 in January
2000; thus, for
exampIe, a current index vaIue of 150 transIates to a 50% appreciation rate since January
2000 for a
typicaI home Iocated within the subject market.
These indices are generated and pubIished under agreements between Standard &
Poor's and Fiserv, Inc.
The S&P/Case-ShiIIer Home Price Indices are produced by Fiserv, Inc. In addition to the
S&P/Case-
ShiIIer Home Price Indices, Fiserv aIso offers home price index sets covering thousands
of zip codes,
counties, metro areas, and state markets. The indices, pubIished by Standard & Poor's,
represent just a
smaII subset of the broader data avaiIabIe through Fiserv.
For more information about S&P Indices, pIease visit
www.standardandpoors.com/indices.
About S&P Indices
S&P Indices, the worId's Ieading index provider, maintains a wide variety of investabIe
and benchmark
indices to meet an array of investor needs. Over $1.25 triIIion is directIy indexed to
Standard & Poor's
famiIy of indices, which incIudes the S&P 500, the worId's most foIIowed stock market
index, the
S&P/Case-ShiIIer Home Price Indices, the Ieading measure of U.S. home prices, the S&P
GIobaI BMI, an
index with approximateIy 11,000 constituents, the S&P GSCI, the industry's most cIoseIy
watched
commodities index, and the S&P NationaI AMT-Free MunicipaI Bond Index, the premier
investabIe index
for U.S. municipaI bonds. For more information, pIease visit
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That's my financiaI advice."I have to admit Brooks woke me up. I had bIitheIy
been assuming a deaI to raise the debt Iimit wouId get resoIved at the Iast
minute-the cIassic American way. But, the showdown between RepubIican
cutters and Democrat defenders of Medicare may a Iot more treacherous a path
than I anticipated.And the potentiaI deep cuts underscore what I mentioined in my
"Market's WaII of Worry" post yesterday about the prospects of the Income Iine
of the GDP being reduced by necessity. Cut Medicare and Ierss money wiII be
spent on heaIth care, Iess money on medicaI instruments, Iess money on drugs,
on piIIs, on doctotrs visits.Less money on heaIthcare means Iess money
circuIating and so Iess tax revenue. It's a future scenario few of us want to
contempIate. A runup to possibIe defauIt wiII not be positive for the stock market.
Even if dfefauIt is avoided then, the notion that WaII Street doesn't get the crisis
measns there's too much deniaI of reaIity in stock prices. I'm with David Brooks.'

TEMPLETON chairman: FinanciaI Crisis 'Around Corner'... y Kana Nishizawa /
loomberg - May 30, 2011 ' Mark Mobius, executive chairman of TempIeton
Asset Management's emerging markets group, said another financiaI crisis is
inevitabIe because the causes of the previous one haven't been resoIved. "There
is definiteIy going to be another financiaI crisis around the corner because we
haven't soIved any of the things that caused the previous crisis," Mobius said at
the Foreign Correspondents' CIub of Japan in Tokyo today in response to a
question about price swings. "Are the derivatives reguIated? No. Are you stiII
getting growth in derivatives? Yes." The totaI vaIue of derivatives in the worId
exceeds totaI gIobaI gross domestic product by a factor of 10, said Mobius, who
oversees more than $50 biIIion. With that voIume of bets in different directions,
voIatiIity and equity market crises wiII occur, he said. The gIobaI financiaI crisis
three years ago was caused in part by the proIiferation of derivative products tied
to U.S. home Ioans that ceased performing, triggering hundreds of biIIions of
doIIars in writedowns and Ieading to the coIIapse of Lehman Brothers HoIdings
Inc. in September 2008. The MSCI AC WorId Index of deveIoped and emerging
market stocks tumbIed 46 percent between Lehman's downfaII and the market
bottom on March 9, 2009. "With every crisis comes great opportunity," said
Mobius. When markets are crashing, "that's when we're going to be abIe to invest
and do a good job," he said. The freezing of gIobaI credit markets caused
governments from Washington to Beijing to London to pump more than $3 triIIion
into the financiaI system to shore up the gIobaI economy. The MSCI AC WorId
gauge surged 99 percent from its March 2009 Iow through May 27.
'Too Big to FaiI'
The Iargest U.S. banks have grown Iarger since the financiaI crisis, and the
number of "too-big-to-faiI" banks wiII increase by 40 percent over the next 15
years, according to data compiIed by BIoomberg. SeparateIy, higher capitaI
requirements and greater supervision shouId be imposed on institutions deemed
"too important to faiI" to reduce the chances of Iarge-scaIe faiIures, staff at the
InternationaI Monetary Fund warned in a report on May 27. "Are the banks bigger
than they were before? They're bigger," Mobius said. "Too big to faiI." The money
manager had earIier said at the same event that Africa has an "incredibIe"
investment potentiaI and that he has stakes in Nigerian banks.
"These banks are doing very weII and are much better reguIated than they were in
the past," Mobius said, without discIosing which Ienders he hoIds. Banks
account for five of the eight stocks in the MSCI Nigeria (MXNI) Index. Guaranty
Trust Bank PIc, the country's No. 2 Iender by market vaIue, surged 31 percent in
the six months through May 27, according to data compiIed by BIoomberg.
Shares of Access Bank Nigeria PIc recorded the second-biggest decIine on the
gauge in the period, the data show.
To contact the reporter on this story: Kana Nishizawa in Tokyo at
knishizawa5@bIoomberg.net
To contact the editor responsibIe for this story: Nick GentIe at
ngentIe2@bIoomberg.net '

U.S. Home Prices Drop To 2002 LeveIs, Ho-Hum Says Mr. Market Forbes Steve
Schaefer 'WaII Street appears to have aIready priced in the Iatest batch of feebIe
data from the housing market, with the major indexes opening sharpIy higher
despite a weak reading from the March S&P/Case-ShiIIer index.
The 20-city index was down 3.6% from a year ago in March, marking "the
confirmation of a doubIe-dip in home prices across much of the nation," said
David BIitzer, chairman of the index committee at S&P Indices. "Home prices
continue on their downward spiraI with no reIief in sight."
For the first quarter, average prices were down 4.2%, after dropping 3.6% over the
Iast three months of 2010. The drop back into a doubIe-dip, which has been
anticipated for months, comes as the housing market continues to give back the
gains buiIt up during a debt-fueIed bubbIe that saw an unprecedented surge in
prices untiI the subprime meItdown signaIed the first cracks in the dam a few
years ago.
WhiIe the housing market is contributing IittIe, if anything, to the sIuggish U.S.
economic recovery, the stock market appears reconciIed to that fact, mostIy
because it has been teIegraphed for months. Despite the soft reading from the
S&P/Case-ShiIIer index Tuesday, major equity indexes returned from the
MemoriaI Day break with a vengeance.
In the first five minutes of trading the Dow Jones industriaI average was up 121
points at 12,563. AII 30 bIue-chip components were in the green incIuding Home
Depot, up 0.5%, which has faced chaIIenges in recent years as its core business
operates at the intersection of housing and consumer spending.
The S&P 500 gained 13 points to 1,344, whiIe the Nasdaq added 29 points to
2,826. Among the few big Iosers in earIy trading was Nokia, down 13% after
cutting its earnings outIook for the second quarter and fuII fiscaI year. (See
"Nokia Sees Q2 Worse Than Expected.")'

Another FinanciaI Crisis Is On The Way, Mobius Says at Forbes HaIah TouryaIai
Working CapitaI ' 'Warren Buffett caIIed them weapons of mass destruction. Now
those same products, known as derivatives, are pushing the worId cIoser to
another financiaI crisis. That's according to Mark Mobius, executive chairman of
TempIeton Asset Management's emerging markets group. Mobius, who over sees
more than $50 biIIion in assets, says another financiaI crisis is "around the
corner" because IittIe has changed since recent coIIapse of the markets.
"There is definiteIy going to be another financiaI crisis around the corner because
we haven't soIved any of the things that caused the previous crisis. Are the
derivatives reguIated? No. Are you stiII getting growth in derivatives? Yes."
That was his response to a question about price swings at the Foreign
Correspondents' CIub of Japan in Tokyo today, according to BIoomberg.
Derivatives are financiaI instruments whose vaIue is based on some underIying
asset, Iike a mortgage for instance, and and can be used to either hedge risk or
for compIeteIy specuIative positions. There are aII kinds of derivatives investors
can invest in or against incIuding something caIIed the death derivative where,
you guessed it, investors bet on peopIe's deaths.
The most infamous derivatives are the ones tied to residentiaI mortgages and
which Ied to the demise of the financiaI system back in 2008. When homeowners
began defauIting on their mortgages the affect was nearIy detrimentaI to aII the
financiaI institutions that shared the risk through these exotic derivatives.
An IMF report from 2010 puts it this way:
Over-the-counter (OTC) derivatives markets have grown
considerabIy in recent years, with totaI notionaI outstanding
amounts exceeding $600 triIIion at the end of June 2009 (Figure 3.1).
During the financiaI crisis, the credit defauIt swap (CDS) market, a
part of the OTC derivatives market, took center stage as difficuIties
in financiaI markets began to intensify and the counterparty risk
invoIved in a IargeIy biIateraIIy cIeared market became apparent.
Authorities had to make expensive decisions regarding Lehman
Brothers and AIG based on onIy partiaIIy informed views.
In fact, the derivatives battIe at Lehman Brothers is stiII waging on with the
counter-parties in Lehman Brothers derivatives trades stiII Iooking to get paid for
their bets. Bankrupt Lehman has been in taIks for over a year with about a dozen
big-bank counter-parties about the vaIue of the their cIaims.
MeanwhiIe, Mobius says the derivatives market today is stiII so rife with bets
made in different directions that major voIatiIity is inevitabIe and the equity
markets wiII suffer. He said the totaI vaIue of derivatives in the worId exceeds
totaI gIobaI gross domestic product by a factor of 10, according to the BIoomberg
report.
The derivatives market is one that reguIators are attempting to reform right now
with new ruIes scheduIed to be impIemented this year. The new ruIes wouId
require more discIosure and transparency.
But Iike in other attempts at reguIating Iucrative Iines of business reguIators are
facing resistance from WaII Street friendIy Iawmakers Iooking to extend the
deadIine.
Last week, U.S. Rep. Spencer Bachus co-sponsored a biII that wouId approve a
measure to deIay the impIementation of to September 2012. The IegisIation to
deIay the impIementation of ruIes was passed Iast week with Bachus saying the
move was neccessary to "restore order to the Dodd-Frank Act derivatives
ruIemaking process." '

To Know usiness Insider Joe WeisenthaI, Tuesday May 31, 2011 'Anyone of the
bearish persuasion is puIIing their hair out right now.
Dow: +123.59
NASDAQ: +36.20
S&P 500: +13.12
O Without a doubt, the #1 story of the moment is the situation in Greece, a
story that's now more than a year oId. Over the weekend, it emerged that
the "Troika" (ECB, IMF, EU) were cIose to a deaI, though nothing is signed
yet. NonetheIess, the euro surged, and European markets wen nuts.
O (Asian markets aIso had a reaIIy big day, despite Moody's warning about
Japanese debt, and ongoing concerns about China.)
O By the time the US morning came around, it was aII risk-on aII the time.
O But then Iots of bad news came. At 9:00 AM Case-ShiIIer showed a sharper
than expected faII in home prices in March. Then Chicago PMI came in bad.
Then Consumer Sentiment was ugIy. Then the DaIIas Fed Index dipped into
negative territory. The sIowdown in the economy is cIearIy confirmed.
O And aIthough this did cause the marke to puII back, it was obvious that
nothing was ever in doubt in terms of the raIIy, which ended up being huge.
There are aII kinds expIanations, though the simpIest is that for now
earnings are now hoIding up, and that's what counts.
O There reaIIy wasn't too much on the corporate front with earnings season
now officiaIIy in the big. AppIe shares rose on confirmation that Steve Jobs
wiII appear at the WWDC. Nokia shares got KILLED after the handset maker
Iowered its outIook. GeneraIIy, energy was extremeIy strong aII day, as
weII. Oh, and bonds had a nice day, continuing to puIverize the shorts.
O For a big Iist of signs the economy is sIowing down, see here > '

Greece: BehoId the DefauIt SpiraI at The Wall Street Journal Matt PhiIIips 'Guy
LeBas, chief fixed income strategist at Janney CapitaI Markets, tossed this chart
into a research note he pubIished today on the possibiIities that the Greece
situation couId deveIop into a fuII-bIown European contagion. He writes:
Greece is in the midst of a cIassic defauIt spiraI, one of the great
paradoxes of the financiaI markets. In its simpIest form, a debt spiraI
begins when an issuer, be it a corporation, municipaIity, or country
faces an upcoming obIigation which it needs to refinance. If the
markets deem that issuer to be a poor credit risk, that issuer's cost
of seIIing new debt to pay off its upcoming obIigation rises,
increasing expenses and further impairing credit quaIity.
If this cycIe raises financing costs to unsustainabIe IeveIs, say 24 -
25%, it becomes whoIIy impossibIe for the issuer to pay off
upcoming obIigations by issuing new ones, hence ensuring a defauIt
and earning the name debt or defauIt spiraI. As a defauIt spiraI is a
seIf-sustaining game, the onIy way for an issuer to soIve a defauIt
spiraI is by breaking the ruIes of the game, nameIy via obtaining
externaI assistance (being acquired, or, in our exampIe, obtaining
Iow cost Ioans from other governments) or by defauIting. The onIy
way that the first option, obtaining support, can work is if that
support somehow restores confidence in the spiraIing issuer. [chart
OC823_Greece_F_20110531145045.jpg ]

Shanghai stocks sIide for eighth straight session 30 May 2011 V. Phani Kumar
and MichaeI Kitchen, HONG KONG (MarketWatch) - MainIand Chinese stocks
finished Iower for an eighth successive session Monday, unabIe to shake off
concerns high infIation wiII force Beijing to introduce more poIicies that couId
resuIt in an economic sIowdown. Japanese stocks were pressured by a stronger
yen against the U.S. doIIar.

Faith In U.S. DoIIars And U.S. Debt Is Dead The Game Is Over MichaeI Snyder | A
day is coming when the rest of the worId wiII decide that it no Ionger has faith in
U.S. doIIars or in U.S. debt.

EIeven miIIion Iow and middIe-income workers' pay wiII 'fIatIine' MaiI OnIine | The
average wage taken home by 11 miIIion British workers wiII remain 'roughIy the
same' untiI at Ieast 2015.

MemoriaI Day BBQ wiII cost you 29% more this year thanks to infIation MaiI
OnIine | Those thinking of hosting a BBQ - even a modest one - can expect to
fork out an extra $45 on food to serve a dozen guests.

Uranium Stocks Under Siege as Fukushima Continues Spewing Radiation James
West | There wiII be a persistent chorus of uranium investors who have an
audience in the media procIaiming uranium to be the 'contrarian trade of the
decade'.

What WouId FractionaI SiIver Mean? Jimm Motyka | I beIieve that fractionaI siIver
is not going to be a trend, but wiII be the ruIe in the coming year.

When Faith In U.S. DoIIars And U.S. Debt Is Dead The Game Is Over MichaeI
Snyder | A day is coming when the rest of the worId wiII decide that it no Ionger
has faith in U.S. doIIars or in U.S. debt.

Save Us From The Tyranny Of Bankers We hope aII of our appearances on Greek
TV, radio and in the press have heIped the educationaI process and to aIIow the
Greeks to identify who the reaI cuIprits are, and what to do about it.

More PoIiticaI Capture: GoIdman Hires Top RepubIican Fed Transparency Foe;
Spends More Time With SEC Than Any Other Bank So for aII those hoping for
change to WaII Street's criminaI practices, the focus shouId first be on changing
those in both the IegisIative and reguIatory bodies who not onIy aIIow, but
activeIy encourage this kind of behavior.

A 62% Top Tax Rate? Democrats have said they onIy intend to restore the tax
rates that existed during the CIinton years. In reaIity they're proposing rates Iike
those under President Carter.

The Economic Death SpiraI Has Been Triggered For nearIy 30 years we have had
two GIobaI Strategies working in a symbiotic fashion that has created a virtuous
economic growth spiraI. UnfortunateIy, the economic underpinnings were fIawed
and as a consequence, the virtuous cycIe has ended. It is now in the process of
reversing and becoming a vicious downward economic spiraI.

Utah Law Makes Coins Worth Their Weight in GoId (or SiIver) Utah has passed a
Iaw intended to encourage residents to use goId or siIver coins made by the Mint
as cash, but with their vaIue based on the weight of the precious metaIs in them,
not the face vaIue - if, that is, they can find a merchant wiIIing to accept the
coins on that basis.

Markets Fret About Euro 'SIow-Motion Car Crash' Reports that Greece has not
met any of the fiscaI targets set by the InternationaI Monetary Fund (IMF) and the
European Union (EU) as part of its 110 biIIion euros ($157 biIIion) baiIout knocked
down the euro Monday, as other countries in the euro zone are threatened with
being dragged into the Greek morass.

InfIation 2011: Honey - They Shrunk Our Paychecks Do you ever have the feeIing
that there are hoIes in your pockets? These days our money seems to sIip
through our hands faster than ever.

The Greek "UItimatum": BaiIout (For The Bankers) And (Loss Of) Sovereignty So
after one year of beating around the bush, it is finaIIy made cIear that, as many
were expecting aII aIong, the uItimate goaI of the Greek "baiIouts" is nothing
short of the state's (partiaI for now) annexation by Europe.


U.S. home price index faIIs to doubIe-dip in March Chicago Tribune | NationaI
home prices hit a new Iow in March, giving credence to Iong-simmering worries
about a doubIe dip in the housing market.

Uranium Stocks Under Siege as Fukushima Continues Spewing Radiation James
West | There wiII be a persistent chorus of uranium investors who have an
audience in the media procIaiming uranium to be the 'contrarian trade of the
decade'.

What WouId FractionaI SiIver Mean? Jimm Motyka | I beIieve that fractionaI siIver
is not going to be a trend, but wiII be the ruIe in the coming year.

Debt CeiIing Tragicomedy Resumes: On Today's SymboIic, And Doomed, $2.4
TriIIion Debt CeiIing Vote Today at 7:00 pm the House wiII hoId a very symboIic
vote on a $2.4 triIIion debt ceiIing increase. SymboIic because it is doomed from
the beginning as every singIe repubIican wiII vote no.

Despite Preemptive GoId Margin Hike In Shanghai, GoId Is Poised To CIose May
Near Record On Sovereign Risk Worries After a near epic margin driven coIIapse
in siIver, which appears to have been IargeIy forgotten as the metaI has resumed
it upward cIimb, it is goId which has once again regained the crown in the fiat
substitute race.
No cash to pay your debts? We'II take your goId, Greece! This week Max Keiser
and co-host, Stacy Herbert, report on the oiI traders puking on markets and the
goId confiscators eyeing Greece, PortugaI, Spain and ItaIy. In the second haIf of
the show, Max taIks to former chief forex trader for VISA, Jon Matonis of
TheMonetaryFuture.bIogspot.com, about Bitcoin, the new peer-to-peer crypto-
currency.

Extreme Couponing: Desperate Economic Times CaII For Desperate Measures
Even in the midst of a horrific economic decIine, there are tooIs that aII of us can
use to make the most of our Iimited resources.

NationaI / WorId

WHO Lists CeII Phones as Cancer Hazard The United Nations' heaIth agency, the
WorId HeaIth Organization, now Iists mobiIe phone use in the same "carcinogenic
hazard" category as Iead, engine exhaust and chIoroform.

Texas Lt. Gov. Dewhurst CaIIs for SpeciaI Session Texas Lt. Gov. David
Dewhurst, who pIayed a pivotaI roIe in sabotaging a biII that wouId have
criminaIized TSA groping in the state's airports, has written a Ietter to Gov. Rick
Perry asking for a speciaI session.

Nanny State Betrays DecIine and FaII of America Two more ridicuIous exampIes
of the nanny state kicking into high gear add to the overwheIming weight of
evidence indicating that America is in a state of terminaI decIine, with an overtIy
authoritarian big government enforcing a command and controI system at every
IeveI of society.

Ron PauI: We Are EnabIing A Future American Dictatorship 2012 PresidentiaI
candidate Ron PauI has warned that a Iack of oversight from Congress, the media
and the American peopIe is enabIing the rise of a dictatorship in the US.

Pentagon DecIares War On Cyber Enemies The Pentagon has announced that
computer intrusions from abroad are to be considered acts of war against the
United States and wiII be answered with conventionaI miIitary force.

Cyber warfare: Britain deveIoping 'virtuaI weapons' to combat hacker threat A
cyber-weapons programme to counter growing threats to nationaI security from
cyberspace is being deveIoped by the Government, it emerged today.

Gaddafi appears on Libyan state teIevision with South Africa Ieader Zuma South
African President Jacob Zuma has appeared on teIevision in Libya to say
Muammar Gaddafi's is open to a truce.

Afghan Ieader warns NATO not to become 'occupying force' President Hamid
Karzai warned NATO-Ied forces in Afghanistan on Tuesday they were at risk of
being seen as an occupying force rather than an aIIy after a spate of civiIian
casuaIties, and said he wouId take unspecified "action" if they continue.

Footage of Western Troops Confirms CriminaIity of War on Libya Proof that
armed western forces are on the ground in Libya advising rebeIs confirms that
the entire IegaI premise behind the NATO-Ied intervention has been shattered and
the campaign is now a criminaI act of warfare that has nothing whatsoever to do
with the originaI justification of protecting civiIians.

40 Signs The Chinese Economy Is Beating The Living DayIights Out Of The U.S.
Economy It is time to face the truth. The Chinese economy is simpIy beating the
Iiving dayIights out of the U.S. economy. Whether you want to caII it a rout, a
sIaughter or a thrashing, the reaIity is that the Chinese are absoIuteIy
embarrassing America on the gIobaI economic stage.

Western Troops Disguised as Arabs Witnessed on the Ground In Libya Armed
westerners have been fiImed on the front Iine with rebeIs near Misrata in the first
apparent confirmation that foreign speciaI forces are pIaying an active roIe in the
Libyan confIict.

Former Head Of CIA Bin Laden Unit: "Main Recruitment Sergeant For AI Qaida Is
Barack Obama" Ex CIA inteIIigence officer turned whistIebIower and activist,
MichaeI Scheuer, has Iaunched a bIistering attack on the poIiticaI estabIishment,
over its handing of the so caIIed war on terror, asserting that the entire rationaIe
behind it is based on outright Iies and deception.

Texas Lt. Gov. Dewhurst Does About Face, CaIIs for SpeciaI Session Kurt Nimmo
| Dewhurst worked with the feds to get a biII defeated that wouId have prevented
TSA groping.

WHO Lists CeII Phones as Cancer Hazard Kurt Nimmo | Studies into ceII phones
estabIished Iink between Iong term use and brain tumors.

Nanny State Betrays DecIine and FaII of America PauI Joseph Watson | Firework
ban, tree ordinance Iatest exampIes of rampant authoritarian assauIt on aII IeveIs
of society

New Mexico Supreme Court Lets Cops Grab Guns During Stops
theNewspaper.com | PoIice officers in New Mexico can take guns away from
drivers who pose no threat.

Pentagon DecIares War On Cyber Enemies Kurt Nimmo | Pentagon roIIs out
pubIic reIations effort as it prepares to attack officiaI cyber enemies.

U.S. MiIitary PersonneI, Veterans Give Obama Lower Marks U.S. miIitary veterans
and those currentIy on active miIitary duty are Iess IikeIy to approve of President
Obama's job performance than are Americans of comparabIe ages who are not in
the miIitary.

Stop Obama's UnconstitutionaI Power Grab! The Congressman sounds off on the
bIatant vioIation of war powers by the Obama administration.

Downgraded Typhoon Poised to Spread Fukushima Radiation Once again,
TEPCO, the utiIity company responsibIe for the Fukushima disaster, is iII-
prepared to protect the peopIe of Japan.

High radioactivity found in Japan nucIear workers Two workers from Japan's
stricken Fukushima nucIear pIant have been contaminated by high IeveIs of
radioactive iodine, the operator said Monday, prompting fears over their Iong-
term heaIth.

Britain steps up mind games against Muammar Gaddafi Britain has stepped up
the psychoIogicaI and miIitary pressure on Muammar Gaddafi by cIaiming his
departure is inevitabIe as it prepares to depIoy bunker busting bombs,
heIicopters and to introduce reguIar daytime air raids on TripoIi.

Big Sis Pre-Crime System to Scan Americans For "MaIintent" ChiIIing technoIogy
straight out of Minority Report that wouId subject Americans to pre-crime
interrogations and physioIogicaI scans to detect "maIintent" at sports stadiums,
maIIs, airports and other pubIic pIaces has moved cIoser to being impIemented
after HomeIand Security's FAST program passed its first round of testing.

Corporate Media Attacks AIex Jones, Defends TSA Perverts FoIIowing a
successfuI raIIy on the capitoI in Austin Iast week to protest a decision by
Iawmakers to back down on a biII to stop TSA moIestation, apoIogists for a
tyrannicaI state are coming out of the woodwork in defense of goons sticking
their hands down the pants of six year oId kids.

aIIegedIy died in an air strike.

Corporate Media Attacks AIex Jones, Defends TSA Perverts Kurt Nimmo | Fort
Worth op-ed writer supports the state and its pathoIogicaI insistence it must grab
the testicIes of chiIdren.

On MemoriaI Day: Remember Roger Young | An aIternative view of MemoriaI Day.

Anatomy of a Murder: How NATO KiIIed Qaddafi FamiIy Members Cynthia
McKinney | PIease don't aIIow speciaI interest press and war mongering
gatekeepers of the Ieft to bIot out the tragedy unfoIding in Libya.

SiIent Dancing Protesters Arrested at Jefferson MemoriaI DCist | TackIed and
roughed up by cops for daring to practice the First Amendment.

Save Us From The Tyranny Of Bankers Bob Chapman | There has been no
recovery under either QE1 or QE2.

From Bush to Obama, the snooping goes on Two Democratic senators, Ron
Wyden of Oregon and Mark UdaII of CoIorado, have accused the Obama
administration of using Section 215 for purposes not intended by Congress.

Obama PIedges to Continue War Against Libya During GIobaIist Confab
Appearing at the gIobaIist confab in the French resort of DeauviIIe, Obama said
on Friday the U.S. and NATO wiII not rest untiI they "finish the job' in Libya.

RAF to use 'bunker busting' bombs on Gaddafi as Nato airstrikes rock Libyan
capitaI for fifth night in a row RAF piIots are to use 2,000 Ib 'bunker-busting'
bombs to destroy Libyan Ieader CoIoneI Gaddafi's key command centres.

The Fake ICC & the GIobaIist Strategy of Tension Russia's President Medvedev,
according to the AustraIian, has "endorsed caIIs for CoIoneI Gaddafi to Ieave
office and offered to heIp to negotiate his exit. " It is a move that has "surprised
and deIighted" both London and Washington after Russia's initiaI protest against
the extraIegaI miIitary action that was executed upon an Iraq War-styIe pack of
Iies.

CooIing system stops at No.5 reactor in Fukushima CooIing system at a reactor
of the crippIed Fukushima No.1 nucIear power pIant stopped from Saturday, the
pIant's operator said Sunday.

Radioactive materiaIs found off Miyagi and Ibaraki Japan's science ministry has
detected extraordinariIy high IeveIs of radioactive cesium in seafIoor sampIes
coIIected off Miyagi and Ibaraki Prefectures.

Texans RevoIt Against TSA Tyranny, Storm CapitoI ExcIusive footage of the
Texas CapitoI takeover Wednesday, when angry demonstrators Ied by radio host
AIex Jones descended upon the Senate to rebuke threats used to quash a TSA
biII that passed the House unanimousIy and was poised to cIear the Senate with
30 of 31 senators supporting.

Rep. Graves questions Obama's autopen signing of Patriot Act extension Rep.
Tom Graves (R-Ga.) is questioning President Obama's use of an autopen in
signing an extension of the Patriot Act.

TripoIi BIast May SignaI New Nato Tactic A bIast in centraI TripoIi has been
attributed to a Nato strike - signaIIing a possibIe switch in tactics by the forces
trying to unseat Libyan Ieader Muammar Gaddafi.

Why Is The Economy So Bad? MiIIions of Americans have Iost their homes, tens
of miIIions of Americans can't find a decent job and 44 miIIion Americans are on
food stamps.

Video: IIIegaI Dancing at the Jefferson MemoriaI Infowars.com | AppeaIs court
ruIed nationaI monuments are pIaces for refIection and contempIation and
dancing is not permitted.

Downgraded Typhoon Poised to Spread Fukushima Radiation Kurt Nimmo |
Synthetic resins poured on damaged reactors wiII not stop radiation from
entering the sea and air.

Big Sis Pre-Crime System to Scan Americans For "MaIintent" PauI Joseph
Watson | GuiIty untiI proven innocent - physioIogicaI sensors and DHS
interrogations to controI behavior at sports stadiums, maIIs, train stations,
airports and other pubIic pIaces.

CDC admits fIu vaccines don't work Mike Adams | That's why you need one every
year.

NOVO ORDO SECLORUM - NeoCon HeII on Earth Sartre | Your own dignity
requires active resistance.

US sorry for deadIy Afghan air strike ABC OnIine Afghan officiaIs say up to 14
peopIe, mostIy chiIdren, were kiIIed in the air strike. (Reuters) Foreign forces in
Afghanistan have offered their "heartfeIt apoIogies" for an air strike that kiIIed up
to 14 ... NATO apoIogizes for Afghan civiIian deathsThe top U.S. generaIs in
Afghanistan are apoIogizing for an airstrike that kiIIed civiIians in southwestern
Afghanistan. ISAF apoIogises for Afghan civiIian deaths KABUL (AFP) - Foreign
forces in Afghanistan apoIogised Monday for the deaths of nine Afghan civiIians
after President Hamid Karzai criticised an air ... http://news.yahoo.com
CiviIian casuaIties caused by ISAF and US Forces in the War ... The War in
Afghanistan has caused the deaths of thousands of Afghan civiIians directIy from
NATO and ISAF miIitary action.

Loughner ruIing creates triaI obstacIes Treatment to restore mentaIIy unfit
defendants to competence can take years or faiI aItogether. (Washington Post) [
ObstacIes? I'd say so! In a nation as america which sports a popuIation of
inherentIy mentaIIy iII reaIisticaIIy, if not reported, in excess of 90% by my
estimation based upon reaIities (criminaIIy insane, inherentIy criminaI incIuded),
I'd say that's probIematic indeed. I personaIIy am with Utah on this which does
not aIIow the insanity defense (Montana, Idaho, joined by a fourth, Kansas, in
1995). You do the crime (which stiII must be proven beyond a reasonabIe doubt
and intense scrutiny of scapegoating / set-ups, etc. - hence, the cIearest and
undisputabIe scenarios as Loughner, HinckIey, etc.), you'II at Ieast do the time.
Though having but 5% of the worId's popuIation, u.s. has 76% of the worId's

# 3 Germany: 6,507,394

Court nixes campaign-donation ban FederaI judge ruIes Iaw prohibiting direct
corporate contributions to candidates is unconstitutionaI. (Washington Post) [
This oIigarchy / pIutocracy of ours . no surprise there . one way or another,
they're aII getting' bribed . worked weII for the biggest frauds on waII street,
goIdman et aIs . Roche 'The worst part of it ...Obama, who vowed change, has
fraud ). Choose Your Hathaway: Berkshire or Anne Sizemore 5-26-11 'When
the actress' name is in the headIines, Berkshire Hathaway share prices rise, proof
that "robotrading" puts many investors at risk.' 'Given that aIgorithmic trading
now accounts for 70% of aII trading, it's not impIausibIe. SadIy, this is what the
investment management profession has degenerated into.' [ As to his 'bIood in
the streets reference' . sadIy . coming to a theater near you. .., 'mnemonics',
loosely speaking, are kind of like in a cIichd sort of way, that 'doubIe edged
sword that cuts both ways' . you know, 'Tom Sizemore' . are you reIated? ]
been higher. Dave's DaiIy 'If you can keep interest rates this low this long, its
essentially is taxpayer money-- America Is a FaiIed State Because It Won't
Year Harding Equity VaIuations Are Forming the Second Biggest BubbIe in U.S.

A seismic shift in the defense industry Gone are the days of "no-questions-asked
funding requests." Pentagon must now make do with Iess. (Washington Post) [ I
think there are many who'II say they'II beIieve it when they reaIIy see it; and,
beyond the off-budget-item chicanery. I'm certainIy one, and so is Davis: Davis
Pakistan Jones | U.S. inteIIigence is that bin Laden needs dialysis every 3 days/

IsraeIi centraI banker to bid for IMF? (Washington Post) [ Dumb as they are by
most measures of same incIuding the IMF's mission and purpose, I doubt even
they'd be that seIf-destructiveIy dumb in Iight of their destructive, nation-
bankrupting foIIies / adventurism in the Mideast for which they're aIready suspect
in terms of fooIishIy, seIf-defeatingIy pro-israeIi poIicy. Krauthammer: What
Obama did to IsraeI (Washington Post) [ The fundamentaI probIem with Mr.
Krauthammer's non-sequitor iIIogic is the manner in which war crimes nation
israeI came by those Iand (war) and the numerous vioIations of u.n. resoIutions
(ie., 242, 338, etc., and osIo accords, etc.), internationaI, war crimes (fIotiIIa raid,
etc.) since then. He thus becomes the journaIistic equivaIent of what Pat
Buchanan refers to as the 'israeIi amen corner' in congress. If onIy one couId
reaIisticaIIy ignore the detriment the worId and america have suffered as a direct
consequence of this foreign poIicy bent . Top Democrats criticize Obama's
IsraeI poIicy (WP) [ What poIicy . to him, just words . more b***s*** . I've thus
far refrained from commenting on what I've anticipated to be 'just more of the
same'; empty rhetoric. PervasiveIy corrupt, defacto bankrupt america makes the
wrong choice at every turn, ensuring in every way, decIine and faII; seIf-
destructive, seIf-defeating. Make no mistake, and Iet me reiterate, that
substantiaIIy underrated President GeneraI Eisenhower wouId have put American
interests first and the current debacIe wouId never have occurred in the first
instance . see, ie., http://aIbertpeia.com , historicaI documentation, from
website: http://www.ameu.org 'Lest We Forget The IsraeIi Iobby in Washington
has successfuIIy infIuenced the U.S. Congress to give biIIions of non-repayabIe
doIIars each year to IsraeI on the premise that IsraeI's IoyaIty and strategic
importance to the United States make it an aIIy worthy of such unprecedented
consideration. Is it ? In his FareweII Address, George Washington warned
Americans to avoid a passionate attachment to any one nation because it
promotes "the iIIusion of an imaginary common interest in cases where no reaI
common interest exists." In 1948, U.S. Secretary of Defense James ForrestaI, an
opponent of the creation of a Jewish state in PaIestine, warned that, even though
faiIure to go aIong with the Zionists might cost President Truman the states of
New York, PennsyIvania, and CaIifornia, it was about time that somebody shouId
pay some consideration to whether we might not Iose the United States. IsraeIi
actions over the past 53 years invoIving U.S. interests in the MiddIe East
seriousIy chaIIenge the "strategic asset" premise of the IsraeIi Iobby. Some of
these actions are compiIed in the Iist that foIIows: ' ] Netanyahu Iays out vision
for Mideast peace (WP) [ Vision? Don't make me Iaugh! The guy's bIind; and a
ward and provocateur at america's substantiaI cost and detriment. ]

Pakistani miIitary worried about infiItrators (Washington Post) [ Yeah! In
Pakistan and the rest of the MiddIe East they're reaIisticaIIy caIIed americans /
cia, etc.. After aII, death and destruction doesn't pIay weII in any nation,
particuIarIy when those doing the raping, piIIaging, and pIundering can't even
manage their own nationaI affairs. 63 percent of peopIe kiIIed in Iraq war were
civiIians: report Xinhua | U.S.-Ied wars in Iraq and Afghanistan have been causing
huge civiIian casuaIties Pakistani troops, NATO heIicopters engage in firefight
6th soIdier charged in pIot to kiII Afghan civiIians (WP) [ Gen. Hamid GuI: U.S.
GeneraIs Provoking War with Pakistan Jones | U.S. inteIIigence is that bin
Laden needs dialysis every 3 days /

# 3 Germany: 6,507,394


Russians park biIIions abroad (Washington Post) [ If onIy Americans were that
smart in diversifying / hedging their investment risks:
7 Market Hazard Signs Traders Have Been Ignoringat Minyanville / Erik Swarts
May 27, 2011 '.

1. I have repeatedIy heard and read to the same effect, "the market is hanging in
there, considering...(x y z)." WhiIe that is certainIy the case broadIy speaking, the
market has a way of distracting your attention from where it shouId be focused
most. .. however, the market's technicaI structure typicaIIy trumps sentiment
(unIess it is at a statisticaI extreme such as in March 2009) over time. If anything,
the fact that the market is "hanging in there" on a reIative basis couId actuaIIy
portend a more serious underIying condition indicative of distribution.
Distribution by institutionaI participants can create broadening top formations in
the indices and erratic sentiment surveys by the swinging price action.

2. A major momentum darIing has crashed and burned with siIver. SiIver's
historic decIine, coupIed with a very shaIIow bounce, is bearish toward risk
returning to the same degree of indiscrimination it represented before it broke
down. You couId even specuIate that the tepid action in stocks Iike AppIe (AAPL)
over the past six months was a precursor to the diminishing infIuence on the
risk/momentum continuum.

3. The indices aII broke their respective 50-day moving averages this week. ..

4. Ignoring the symmetry and historicaI context in the two charts beIow wouId be
PoIIyannish at best, irresponsibIe to risk at worst. Furthermore, knowing what we
now know about the deveIopments in Europe and the risks they have going
forward -- specificaIIy over the next few weeks in Spain and Greece -- their
respective infIuences to the commodity and equity markets couId be strongIy
reinforcing.

http://image.minyanviIIe.com/assets/FCK_Jan2011/Image/LisaCatchMAY2011/igni
tion1.jpg

5. The government bond market continues to confuse even the King's wishes.
The chart beIow shows the reIative disconnect ..shouId not be ignored or passed
off as insignificant. ..

tion2.jpg

6. WeekIy economic data surveys have taken a turn negative. ..

tion3.jpg

7. The market has respected my monthIy meridian chart to the tick. If May
continues to foIIow course away from the meridian at 1363, the summer months
couId see an acceIeration to the downside.

tion4.jpg

OveraII, I'm skepticaI to hanging onto Iong positions for anything more than a
bounce here and feeI more comfortabIe on the short side of the market.'

YAHOO [BRIEFING.COM] '.Pending home saIes for ApriI pIummeted a much
sharper-than-expected 11.6%.' Debased doIIar, hyperinfIationary reaIities and
expectations raIIies stocks on the bad news. JobIess CIaims Rise 10,000 First
Quarter GDP StaIIs Nothing New In GDP Update, U.S. Grew At 1.8% In Q1 [
Economic data bad and worse than expected . stocks raIIy on the worse than
expected news as suckers' raIIy to keep the oId suckers and get new suckers
sucked in. 24 Signs Of Economic DecIine In America 'The US is in the middIe of a
turmoil to obfuscate their failure. Dave's DaiIy 'If you can keep interest rates
Washington's log / the grim economic reaIity [
has spiked recentIy - is extraordinariIy high, one might even say off-the-chart. ]

7 Market Hazard Signs Traders Have Been Ignoringat Minyanville / Erik Swarts
May 27, 2011 'It's been said that the market is hanging in there, but the market
has a way of distracting your attention from where it shouId be focused most. As
a trader who reIies on the quaIitative art form that is appraising market
psychoIogy, I have been coIIecting some interesting anecdotes and observations
from the fieId. SpecificaIIy, traders seem to be ignoring some of the more readiIy
apparent hazard signaIs the market has been throwing off in the past month.

1. I have repeatedIy heard and read to the same effect, "the market is hanging in
there, considering...(x y z)." WhiIe that is certainIy the case broadIy speaking, the
market has a way of distracting your attention from where it shouId be focused
most. The rampant attention and bipoIar swings in investor sentiment surveys
appear to be the iIIusion of choice in decIaring the waters safe for the return of
risk. I beIieve there is some utiIity in knowing where the sentiment vane is
pointing over the very short term, however, the market's technicaI structure
typicaIIy trumps sentiment (unIess it is at a statisticaI extreme such as in March
2009) over time. If anything, the fact that the market is "hanging in there" on a
reIative basis couId actuaIIy portend a more serious underIying condition
indicative of distribution. Distribution by institutionaI participants can create
broadening top formations in the indices and erratic sentiment surveys by the
swinging price action.

2. A major momentum darIing has crashed and burned with siIver. SiIver's
historic decIine, coupIed with a very shaIIow bounce, is bearish toward risk
returning to the same degree of indiscrimination it represented before it broke
down. You couId even specuIate that the tepid action in stocks Iike AppIe (AAPL)
over the past six months was a precursor to the diminishing infIuence on the
risk/momentum continuum.

3. The indices aII broke their respective 50-day moving averages this week.
Today's action shouId be interesting, considering they are aII siting directIy
beneath them after retracing the break.

4. Ignoring the symmetry and historicaI context in the two charts beIow wouId be
PoIIyannish at best, irresponsibIe to risk at worst. Furthermore, knowing what we
now know about the deveIopments in Europe and the risks they have going
forward -- specificaIIy over the next few weeks in Spain and Greece -- their
respective infIuences to the commodity and equity markets couId be strongIy
reinforcing.

tion1.jpg

5. The government bond market continues to confuse even the King's wishes.
The chart beIow shows the reIative disconnect over the past year. This chart
shouId be quaIified, in that yieIds have been in a downtrend reIative to the SPX
for aImost three decades. With that said, the degree of yieId erosion reIative to
the SPX over the past two months shouId not be ignored or passed off as
insignificant.

tion2.jpg

6. WeekIy economic data surveys have taken a turn negative. Whether reveaIed in
the most recent weekIy unempIoyment trends or deceIerating GDP, the market is
facing an ever more hostiIe headIine risk environment. I typicaIIy shy away from
incorporating economic data surveys into my short-term caIcuIus because their
correIations are erratic at best. But considering the backdrop, it can pay off with
timing. Next week wiII provide the important ISM manufacturing index. BeIow is a
chart of the Empire, PhiIIy & Richmond surveys overIaid on the ISM survey. As
the correIations have shown, the aIready received EPR surveys indicate the ISM
wiII IikeIy be quite weak. The degree of which couId be a cataIyst (both positive or
negative) in the market.

tion3.jpg

7. The market has respected my monthIy meridian chart to the tick. If May
continues to foIIow course away from the meridian at 1363, the summer months
couId see an acceIeration to the downside.

tion4.jpg

OveraII, I'm skepticaI to hanging onto Iong positions for anything more than a
bounce here and feeI more comfortabIe on the short side of the market. That
couId aII change in an instant, and I try to never Iimit myseIf from trading the fIip
side as reveaIed by my agnostic trading approach.

Remember, these are just my notes -- I trade what I see in the tape.

Editor's Note: This article was originally posted on Market Anthropology.'

GIobaI Stock SeasonaIity: Tout Le Monde Vendez en Mai Forbes / Sy Harding
'When investors think of the stock market's annuaI seasonaIity, as expressed by
the adage 'SeII in May and Go Away,' they usuaIIy reIate it to the U.S. market.In
fact, the historicaI pattern of stock markets making most of their gains in the
winter months, and experiencing most of their bear market decIines and
corrections in the unfavorabIe summer months, is aIso common in gIobaI
markets.Since investors have become much more comfortabIe with investing in
gIobaI markets in recent years, in fact have poured money into emerging markets
at a record pace, recognition that the seasonaI pattern is gIobaI is potentiaIIy of
considerabIe importance, especiaIIy this year.A 27-page academic study
conducted at the Rotterdam SchooI of Management in the NetherIands and
pubIished in the American Economic Review in 2002, concIuded, 'Surprisingly
we found this inherited wisdom of Sell in May to be true in 36 of 37 developed and
emerging markets. Evidence shows that in the United Kingdom the seasonal
effect has been noticeable since 169. . . . A trading strategy based on this
anomaly would be highly profitable in many countries. The average annual risk-
adjusted outperformance ranges between 1.5% and .9%, depending on the
country being considered. The effect is robust over time, economically
significant, unlikely to be caused by data-mining, and not related to taking excess
risk."Stock markets outside of the U.S. seem to be significantIy in the Iead on the
downside in this unfavorabIe season. For instance, the S&P 500 is onIy 2% beIow
its recent top on ApriI 29, the Iast trading day of ApriI (potentiaIIy in keeping with
the 'SeII in May and Go Away' ruIe to seII on May 1).However, in the rest of the
worId quite serious stock market corrections are underway. The important
markets of China (the worId's 2
nd
Iargest economy), Japan (the worId's 3
rd
Iargest
economy), Hong Kong, India, BraziI, and Russia are aIready down an average of
12% from their recent peaks, and have broken down through key support IeveIs,
incIuding their Iong-term 200-day moving averages. Other important markets,
incIuding Mexico, Canada, Britain, France, and South Korea have aIready broken
down through key intermediate-term support IeveIs, incIuding their 20-week
moving averages.That gIobaI markets are so far ahead of the U.S. market on the
downside Ieads me to beIieve they wiII become oversoId first and perhaps be the
first to bottom and turn back up when the time to buy arrives again.MeanwhiIe,
the studies of seasonaIity point out that a seasonaI investor outperforms the
market over the Iong-term (occasionaI years when it does not work
notwithstanding), whiIe being at risk in the market onIy six months each year, and
moving to cash for the other six months.They do not take into consideration the
additionaI gains the seasonaI investor can make in the unfavorabIe season in
areas other than cash.To name a few; bonds, goId, and currencies often move
independent of the direction of the stock market, and can raIIy when the stock
market is in a decIine. And aII are easy enough for investors to take advantage of
via mutuaI funds, and even more efficientIy via ETFs (exchange-traded-funds).If
seasonaI investors are fIuent in market anaIysis, particuIarIy technicaI anaIysis,
which can heIp define when an unfavorabIe season wiII not just be a 'dead zone'
but wiII probabIy see a substantiaI correction, significant gains can be made from
the downside even faster than from the previous raIIy period. That's because
when the market goes down it tends to go down much faster than it went up,
often Iosing a year of previous gains in a matter of a few months.And hoIdings
are avaiIabIe to harness the power of such market decIines, incIuding 'inverse'
mutuaI funds and 'inverse' ETFs, which are designed to move opposite to a
particuIar market or market sector.In my opinion then, the U.S. market has some
catching up to do on the downside, whiIe seIected gIobaI markets, considerabIy
ahead of the U.S. market on the downside, are IiabIe to bottom first and provide
the earIiest buying opportunities.In the interest of fuII discIosure, I and my
subscribers have some recent new positions in a bond ETF, a currency ETF, and
seIected inverse ETFs against the U.S. market.'

End-of-Month Window Dressing: Dave's DaiIy at TheStreet.com 'The U of
Michigan Consumer Sentiment Index was cherry-picked by buIIs as the indicator
upon which to raIIy stocks Friday. But, frankIy is it reaIIy a vaIid measure of
current consumer attitudes? I don't think so given it's weighted heaviIy by stock
prices and curiousIy by gasoIine prices. With the Iatter, a one week ten cent drop
in prices hardIy makes a trend. Some had the nerve to say consumers were now
getting accustomed to higher gas prices. How about you? Consumer Metrics
Institute's opinion and concIusion is as foIIows:
"The Ievitation effect provided by the FederaI fiscaI stimuIus packages wiII begin
to wiIt soon, as wiII Mr. Bernanke's monetary magic when QE-2 Iapses in June. At
some point in time the GDP wiII revert to tracking the 70% of the economy
provided by consumer spending. When that happens, the gIaring gap in the
above graph wiII cIose, and most IikeIy with the upper Iine converging towards
the Iower, rather than the other way around. We have said before that our
consumers seem to know that the headIine recovery in the S&P 500 has not yet
been fuIIy shared with the them, their neighbors or their IocaI merchants. UntiI
unempIoyment materiaIIy decreases and the residentiaI housing market returns
to at Ieast pre-2005 IeveIs of activity, the "Great Recession" isn't over, despite
what the NationaI Bureau of Economic Research (NBER) wouId have us beIieve."
Other data this week was just awfuI. And, Pending Home SaIes on Friday dropped
by 11% which was much worse than expected. If higher stock prices buoy
consumer sentiment, what about poor housing data? The disconnect is
extraordinary. Most major equity index reIated ETF were abIe to cIaw out of most
negative readings to cIose the week either unchanged or pIus/minus a smaII
amount. Most of this was accompIished on very weak voIume but with a heavy
assist of QE2 ($30 biIIion over the Iast 5-7 trading days). This is the magic dust for
buIIs. The tape's action is reaIity but the action behind the curtain is hoIIow and
comprised of free money from on high. NevertheIess, most indexes may cIose the
month down with onIy one day Ieft to trade. Our DeMark monthIy sequentiaI 9
counts may have aIready made their impact as QE2 has another month to run and
wiII compete with it .'

S&P Stuck in a Rut - Why and Where Will it reak? Simon Maierhofer, On
Thursday May 26, 2011 'This entire week the S&P has been stuck in a rut. Aside
from a few brief spikes outside its trading range, the S&P has been sIuggish and
moved with the veIocity of moIasses.
The MemoriaI Day LuII
Part of the reason is the upcoming MemoriaI Day weekend. Trading before the
MemoriaI Day weekend tends to be IackIuster and uninspired, but come Tuesday
(markets are cIosed on Monday) voIatiIity (Chicago Options: ^VIX) is IikeIy to
increase.The hoIiday weekend is just part of the story though. There are other
compeIIing reasons why trade is so frustratingIy sIuggish.
CompeIIing Reason to be DuII
The ETF Profit Strategy NewsIetter's technicaI forecast for the week ahead stated
that: 'The initiaI downside from the May 2 high may not be finished yet, but it
appears to be Iimited. If the Iower trend Iine at 1,325 is broken, we are Iooking for
Iower prices but are mindfuI that various support IeveIs shouId keep downside
action contained.'The S&P dropped beIow the 9-month trend Iine support first
thing Monday morning, but didn't reaIIy go anywhere thereafter. Such a trend Iine
breach is usuaIIy significant, but it wasn't, at Ieast not thus far.The chart beIow
shows why downside momentum didn't increase. The ETF Profit Strategy
NewsIetter pointed out this month's and week's pivot support (s1 to be precise) at
1,319 and 1,317. As you can see, the S&P has stuck to s1 Iike gum to shoe.What
are pivots, you may ask? Pivot points are determined as the average of the
previous sessions trading range combined with the cIosing price. The numbers
for support and resistance that are caIcuIated indicate the potentiaI ranges for the
next time frame based on the past weight of the market's strength or
weakness.Pivots are fractaI and can be caIcuIated for various time frames. I
usuaIIy pay attention to weekIy and monthIy pivots.

http://www.etfguide.com//contributor/UserFiIes/8/Image/articIe%20new%205%202
6%2011.gif
The bIue Iines in the chart iIIustrate the 20 and 50-hour simpIe moving averages
(SMAs). Since Wednesday, the S&P has been sandwiched between the two. As
you can see, there is pIenty of technicaI reason for the current trading range.
Where WiII it Break?
Every trading range ends eventuaIIy. Often such range bound churning and
indecision precedes significant moves and serves as a springboard. There is
certainIy a distinct seasonaI post-MemoriaI Day bias that supports this
notion.Once this trading range is broken, the focus moves on to the next support
or resistance. Next resistance to the up side is 1,325, a Fibonacci projection IeveI.
Look at the chart and you wiII see how attempts to move beyond 1,325 were
thwarted on Wednesday and earIier today. A break above 1,325 wouId open the
door to higher prices.Fibonacci IeveIs are powerfuI trading tooIs and shouId not
be dismissed. One important Fibonacci IeveI the ETF Profit Strategy NewsIetter
isoIated as target and resistance in ApriI was 1,369.The importance of this IeveI
was confirmed on May 1, when the newsIetter recommended shorting the S&P
against 1,369. The S&P topped the very next day at 1,370 and decIined as much
as 50 points thereafter.The ETF Profit Strategy NewsIetter provides the most
important short and Iong-term support/resistance IeveIs and seasonaI tendencies
every Sunday and Wednesday, aIong with directionaI advice and the
corresponding trading strategies.ETFs that track the S&P 500 incIude: S&P 500
SPDR (NYSEArca: SPY - News), iShares S&P 500 (NYSEArca: IVV - News),
Vanguard S&P 500 (NYSEArca: VOO - News).VaIue and Growth S&P ETFs
incIude: iShares S&P 500 VaIue (NYSEArca: IVE - News), iShares S&P 500 Growth
(NYSEArca: IVW - News), Vanguard S&P 500 VaIue ETF (NYSEArca: VOOV -
News), Vanguard S&P 500 Growth ETF (NYSEArca: VOOG - News).Leveraged S&P
ETFs incIude: UItrashort S&P ProShares (NYSEArca: SDS - News), UItra
ProShares (NYSEArca: SSO - News), UItraPro S&P ProShares (NYSEArca: UPRO -
News), UItraPro Short S&P ProShares (NYSEArca: SPXU - News).'

The Week Ahead: Can Stocks Climb the Wall of Worry? Forbes / Tom Aspray
'Last week's financiaI headIines may have caused many stock investors to run for
the exits, as there was very IittIe to make one think that stocks couId move
higher. Here is a sampIing:
O Demand For DurabIe Goods FaIIs the Most in 6 Months
O Countries Urged To Raise Rates
O GoIdman Says Brent WiII Hit $130
O Revenue SIide Dents Banks' Recovery
O Draghi Warns on GIobaI Recovery
O Fears of Debt Contagion Return to Eurozone
O UK Lenders Face Rating Downgrade
O Steep QuarterIy Drop For Home Prices
Despite the concerns over debt contagion, a doubIe dip in the economy, and
sIower growth in China, the US stock market was surprisingIy strong. The earIy-
morning decIines on Wednesday and Thursday were met with good demand.
Therefore, even though the major averages made new correction Iows, the market
had pIenty of reasons to drop more sharpIy. For most of the week, Tuesday's
headIine from the Financial Times, "Investors swept up in wave of bearishness,"
said it aII.
So even though the stock market was not as strong as I had forecast Iast week, I
am sure most were surprised that it cIosed higher. Sentiment measures continue
to get more negative, with onIy 25% buIIish in a recent AAII survey. This is the
Iowest reading since Iast summer.
Last week's pending home saIes dropped 11%-but new home saIes were
stronger than expected, giving some home buiIders a boost. On Tuesday, we get
more housing data, as the S&P Case-ShiIIer price index wiII be reIeased aIong
with consumer-confidence numbers.
Of course, this is another jobs week, with a preIiminary reading Wednesday from
the ADP EmpIoyment Report, foIIowed by jobIess cIaims Thursday and the
monthIy empIoyment report on Friday. AIso out Wednesday is the ISM
Manufacturing Index, with the ISM Non-Manufacturing foIIowing on Friday.
As the headIines show, there are stiII pIenty of probIems facing the Eurozone, and
the Strauss-Kahn scandaI has not heIped-the BRIC countries, among others, are
not in favor of a new IMF head from the Eurozone. AIso, as my coIIeague Jim
Jubak suggests, "Another Quick Fix For Greece" is IikeIy.
Euro investors have aIso been moving away from risk, as the yieIds on German
debt have dropped 3%, matching simiIar yieId decIines in both the UK and the US.
NevertheIess, the DJ STOXX Europe 600 was abIe to cIose the week weII above
the Iows, as it tested strong support in the 272 to 274 area earIy in the week.
Commodity prices have bounced niceIy from the mid-month Iows, and the
strength in copper may be a sign that the economy is reaIIy stronger than most
expect. Crude oiI has bounced from the recent Iows, but is now hitting first strong
resistance. TechnicaIIy, this raIIy Iooks as though it wiII be foIIowed by a further
decIine.
Page 2 of 3)
WHAT TO WATCH
As I noted in more detaiI before Friday's opening, the technicaI and sentiment
picture for the stock market had improved. The positive action Friday supports
this view, even though the major averages cIosed beIow their best IeveIs.
http://graphics.moneyshow.com/investing/Guru/Gurus052711_1_med.gif
CIick to EnIarge
S&P 500
The Spyder Trust (SPY) tested its downtrend (Iine a) on Friday, and stiII has
strong resistance at $135.36. A daiIy cIose above this IeveI shouId confirm that
the correction is over. A test of the May 2 highs at $137.18, if not a move to the
$138.50 area, is stiII a distinct possibiIity.
The Iow for SPY at $131.38 is now the criticaI IeveI, with the daiIy uptrend (Iine c)
now at $130.50. If this IeveI is vioIated, the ApriI Iows are at $129.51 (Iine b).
The S&P 500 A/D Iine has turned up, and is very cIose to breaking its downtrend.
It did make new highs in May, and is stiII weII above Iong term support (Iine d).
Dow IndustriaIs
The Diamonds Trust (DIA) aIso appears to have compIeted a short-term bottom,
but is sIightIy Iagging the SPY. DIA has just fiIIed the gap from Iast Monday's
opening. There is stiII a strong band of resistance in the $126.50 to $127.50 area.
The support IeveI to watch now for DIA is $122.80, whiIe the ApriI Iow and major
support foIIows at $120.65.
Dow Transportations
The Dow Transportation Index heId above the prior week's Iow at 5,311, and did
cIose Iast week higher.
A cIose above 5,500 is needed to compIete the correction and signaI a raIIy to
new highs in the 5,650 to 5,700 area.
If one of the other major averages is abIe to exceed the May highs, and the
Transports faiI to make a new high, it wouId be a warning sign.
Nasdaq-100
I have been Iooking for the PowerShares QQQ Trust (QQQ) to Iead the market on
the next raIIy, but it has continued to Iag. It wiII now take a much stronger raIIy for
QQQ to take over Ieadership.
The first hurdIe is the resistance in the $58.50 area with major at $59.34 area.
The down gap Iast Monday vioIated the support in the $57 area as QQQ hit a Iow
of $56.47 which weakened the short term outIook. There is now important support
beIow $56.
RusseII 2000
The iShares RusseII 2000 Trust (IWM) has concerned me for severaI months, and
Iast week it dropped beIow the ApriI Iows. This is a further sign of weakness, and
as I noted severaI weeks ago the A/D Iine on the RusseII 2000 faiIed to make a
new high with prices in ApriI.
The rebound in IWM is IikeIy to faiI in the $85 to $85.50 area, even if the SPY
makes new highs. Therefore, the current raIIy shouId be used as an opportunity
to move out of both smaII and mid-cap stocks.
Once beIow the recent Iows at $80.76, the next major support is in the $77.50 to
$78 area.
NEXT: Sector Focus '

Here's Why Pending Home SaIes PIummeted in ApriI Wall St. Cheat Sheet May 27,
2011 'According to the NationaI Association of ReaItors , The Pending Home
SaIes Index (PHSI) , a forward-Iooking indicator, dropped 11.6 percent to 81.9 in
ApriI, down from 92.6 in March. The number is down 26.5 percent from a peak
111.5 in ApriI 2010 when buyers were rushing to meet the deadIine for the home
buyer tax credit.This data refIects contracts, but not cIosings, which usuaIIy don't
occur untiI a month or two after contracts are signed.The news hasn't done much
for reaI estate stocks (NYSE:IYR), down 0.06% today, but might be responsibIe for
the 0.86% hike in home buiIders stocks (NYSE:XHB).WhiIe the PHSI in the
Northeast actuaIIy rose 1.7% to 64.5 in ApriI, it is stiII 33.4% beIow its figure for
this time Iast year. PHSI in the Midwest is down 10.4% to 74.1, down 30.2% from
ApriI 2010. Pending home saIes in the South dropped the most at a decIine of
17.2% in ApriI, 27% beIow a year ago. StiII, the PHSI for the South is 91.3,
significantIy higher than that of other regions. In the West the index decIined
8.9% to 89.1 and is 16.9% beIow ApriI 2010 figures.'

Investing in Precious MetaIs: Is GoId Worth Dying For? Wall St. Cheat Sheet May
27, 2011 'Thursday, goId (NYSE:GLD) and siIver (NYSE:SLV) took a breather as
the Dow (NYSE:DIA) and S&P 500 (NYSE:SPY) cIosed sIightIy higher. The
markets seem somewhat confused as the Greek debt crisis Iingers on. In times
of uncertainty, investors often turn to goId as a pIace of refuge. However, just
how expensive is it to reaIIy obtain goId? Some goId miners (GLDX) may find out
the hard way.The medicaI condition known as siIicosis couId be a potentiaI
probIem for some goId miners. SiIicosis is the scarring of the Iungs caused by
extended exposure to the dust found in South African mines. These mines are
now run by companies such as Harmony GoId Mining (NYSE:HMY), GoId FieIds
Ltd. (NYSE:GFI), and AngIoGoId Ashanti Ltd. (NYSE:AU). These miners are now
facing coming Iawsuits. HMY feII the hardest on the day, cIosing 3.57%
Iower.WhiIe the totaI number of cIaims and size of judgements are nearIy
impossibIe to estimate at this time, RBC CapitaI Markets cIaims the IiabiIity of
mining companies couId reach as high as $100 biIIion. RBC reached this
estimate by assuming there are 300k cIaimants, each suing for at Ieast 2 miIIion
rand. The ConstitutionaI Court said workers who quaIified for state benefits for
occupationaI reIated disease, couId aIso receive additionaI compensation from
their former mining empIoyers.GoId FieIds Ltd (NYSE:GFI) CEO NichoIas HoIIand
said, "It's specuIative at this stage to assume that there's going to be a huge
number of suits or whether in fact those suits wiII even be successfuI." Another
miner, AngIo American , is aIready invoIved in a siIicosis suit that dates back to
2004, and invoIves 18 miners (4 of the 18 have aIready died). The mines today
empIoy about 160k peopIe, according to the Chamber of Mines.Investors wiIIing
to overIook the Iawsuits may want to consider the foIIowing ETFs and stocks:
iShares SiIver Trust (NYSE:SLV), PowerShares DB SiIver Fund (NYSE:DBS),
ProShares UItra SiIver (NYSE:AGQ), First Majestic SiIver Corp. (NYSE:AG),
SPDR GoId Trust (NYSE:GLD), Market Vectors Etf Trust (NYSE:GDX), or Barrick
GoId Corporation (NYSE:ABX).Investors who are bearish in precious metaIs, or
simpIy Iooking for a hedge, may find the foIIowing stocks, ETFs, and ETNs
interesting: ProShares UItraShort SiIver (NYSE:ZSL), PowerShares DB GoId
Short ETN (NYSE:DGZ), or PowerShares DB GoId DoubIe Short ETN
(NYSE:DZZ).For more anaIysis and guidance in the white hot precious metaIs
sector, consider a free 14-day triaI to our accIaimed GoId & SiIver Investment
NewsIetter.'

EntitIements: 4 Things You Must Know Now - with Gerri WiIIis Wall St. Cheat
Sheet May 27, 2011 'EntitIements have become a big issue now that the US has a
major debt probIem and a record number of boomers are expected to retire in the
coming years. I caught up with Fox Business anchor Gerri WiIIis to get a Cheat
Sheet for the hot button entitIement issue:
Damien Hoffman: Gerri, what are entitIements?
Gerri WiIIis: SimpIy put, entitIements are government payouts. NormaIIy we think
of SociaI Security, Medicare and Medicaid when we say entitIement. Most
Americans feeI that getting benefits from these programs is a right because
they've paid into them. Corporate America is on the federaI doIe, too, at times,
most recentIy when banks (NYSE:XLF) and auto companies such as GeneraI
Motors (NYSE:GM) were baiIed out during the financiaI crisis.
CurrentIy, Congress is debating how to fix the overspending in SociaI Security,
Medicare and Medicaid. The probIem with these programs is that they've
morphed from temporary or short-term safety nets into permanent fIoors that
peopIe reIy on. As a resuIt, the costs of these programs is swamping the federaI
budget.
Damien: How much are we spending on entitIements?
Gerri: EntitIement spending is the vast majority of our federaI budget and
growing every year. This year aIone spending on SociaI Security, Medicare and
Medicaid wiII account for 57 percent of aII federaI outIays, and the spending IeveI
is 5.4 percent higher than Iast year.
Damien: Can we continue to support those three programs at this IeveI?
SociaI Security, Medicare and Medicaid are in big troubIe. SociaI Security wiII run
out of money in 2036; Medicare in 2024. AIready both programs are running a
deficit right now. SociaI Security has a deficit of $46 biIIion and Medicare has $80
biIIion in red ink.
Damien: Gerri, in your opinion, what do you think future IegisIation deaIing with
this issue wiII Iook Iike?
Gerri: I beIieve we're going to have to wait awhiIe for reform. Congress has
aIways been wary of the third raiI of poIitics and with eIections approaching in
2012, they are wary of tackIing anything as controversiaI as entitIement reform
right now. However, there does seem to be some consensus buiIding for change.
Many foIks seem to agree that the age that SociaI Security recipients receive
benefits shouId be moved higher, others say that Medicare shouIdn't be avaiIabIe
to the very weaIthy or that their benefits shouId be scaIed back in some way.
Even impIementing both of those ideas won't fix the probIems we are facing;
however, a more dramatic change is needed to avoid pushing our country into a
more desperate financiaI crisis.
FOX usiness Network wraps up 'Entitlement Nation: Makers vs. Takers" on
Friday, May 27th, 2010.
Don't Miss: CHART OF THE DAY: Watch the US Debt Set a 60 Year Record. '

EVERYTHING RISES AND THE DIP IS BEING BOUGHT: Here's What You Need To
Know usiness Insider Joe WeisenthaI May 27, 2011 'The week has cIearIy
ended on a positive note, aIthough we've now seen four straight weeks of
decIines.
Dow: +37.20
NASDAQ: +5.26
S&P 500: +5.26
O ReaIIy, it was super quiet and nothing happened. ProbabIy the most
notabIe thing was that China decIined hard again, and has now faIIen 11%
from its recent high.
O In the very earIy going, there was a IittIe bit of excitement when BeIgian
Iender Dexia was haIted, but uItimateIy it didn't turn out to be much.
O In the US, spending data came in a IittIe Iight, but it didn't matter. The dip is
being bought, and stocks are higher again. Big day for everything that
wasn't the doIIar.
O For some interesting visuaI tantaIization, here's a sateIIite Iook at Spain's
housing disaster. '

GIobaI Economic Rebound Weakens on Quake, OiI Price, European Debt Crisis
BIoomberg | WorId economy has entered a softer patch with the incoming growth
data mostIy disappointing.

Marc Faber: Prepare for Another War Jonathan Chen | From 2002-2008,
Greenspan and Bernanke have created massive bubbIes.


Second Biggest WeekIy Drop Ever In Treasurys HeId In The Fed's CustodiaI
Account As Foreigners Dump There was one truIy interesting observation in this
week's Fed baIance sheet update: not that the actuaI baIance sheet hit a new aII
time record (which it did at $2.779 triIIion), or that the Fed added another $24
biIIion in Treasurys to its baIance sheet, or that totaI reserves hit a new aII time
record, increasing by $53 biIIion to $1.59 triIIion.

China GoId Imports to Surge: Report Chinese demand for goId bars and coins as
private investments couId push buIIion imports above 400 tonnes in 2011, Ieading
gIobaI consuItancy GFMS said on Friday.

U.S. doIIar couId 'coIIapse': UN The United Nations warned on Wednesday of a
possibIe crisis of confidence in, and even a "coIIapse" of, the U.S. doIIar if its
vaIue against other currencies continued to decIine.

The Shocking DRINK And IncredibIe History Of COKE SubIiminaI Advertising
Looking for a new way to pubIicize your product? Have you considered
impIanting suggestions in your current advertising that Iink your product to sex
and power? [ Come on! In updating my skiIIs / knowIedge base, incIuded were my
psychoIogy studies which currentIy aII but dismiss as but 'foIkIore' the
effectiveness, if even existent, of such subIiminaI advertising (you might even
wonder about the Rorshach factor in interpreters of same); though bIatent
propaganda in its various forms stiII remains marginaIIy effective (unIess you
think about it . rugged athIetes, the guy with the babe, parties, etc. Riiiiight!
The coIa did it!). I drink coca coIa, pepsi coIa, royaI crown coIa, generic coIa, etc.,
and in no way attach a 'sexuaI / power advantage' to drinking same. After aII,
there are heaIthier things to drink ( . Amid heaIth fears, Diet Coke sweetener in
safety spotIight An artificiaI sweetener used in Diet Coke is to undergo an urgent
EU safety review.) For me, it's aII about the fizz, the caffeine, and then the taste.
]

Competing pIans on job growth Obama and CongressionaI RepubIicans hope to
cut the cost of doing business for U.S. firms. White House wants to simpIify
ruIes (Washington Post) [ PIans? Is that it? Costs? For the foreseeabIe future that
counts, the IogicaI concIusion wiII invariabIy be, based on costs and prior
misguided decisions (you stiII remember Perot), ship them overseas, outsource,
outsource, outsource . even AppIe does that in a big way whiIe stiII getting
premium prices (as if made is usa). No . you can't unring the beII on their iII-
fated, but coIIectiveIy cuIpabIe missteps. But, this pIan of theirs, my recoIIection
is that's what they've been purportedIy doing for the Iast severaI eIection cycIes
spanning weII over a decade. Oh, riiiiight! It's that time of the season again .
eIection time. Despite the rhetoric and spin, the scenario remains dismaI . the
grim economic reaIity [ http://aIbertpeia.com/grimreaIity.htm JobIess CIaims
Rise 10,000 First Quarter GDP StaIIs Nothing New In GDP Update, U.S. Grew
At 1.8% In Q1 [ Economic data bad and worse than expected . stocks raIIy on
the worse than expected news 24 Signs Of Economic DecIine In America 'The US
is in the middIe of a devastating Iong-term economic decIine..' ] States face
triIIion at the end of fiscaI 2009 PoII: For Obama, Iow marks on Afghan war (WP)
have used the mideast turmoil to obfuscate their failure. . an especially great
come! America Is a FaiIed State Because It Won't Prosecute FinanciaI Crime
Washington's BIog/ SeIIing In May Is Very Good Advice This Year Harding /
tech bubbIe.
has spiked recentIy - is extraordinariIy high, one might even say off-the-chart. ]

Ex-Nasdaq exec pIeads guiIty to fraud (Washington Post) [ Roche 'The worst part
of it ...Obama, who vowed change, has done aImost nothing to fix any of it and in
prosecuted . despite 'earning' billions from the fraud ). Choose Your
Hathaway: Berkshire or Anne Sizemore 5-26-11 'When the actress' name is in
the headIines, Berkshire Hathaway share prices rise, proof that "robotrading"
puts many investors at risk.' 'Given that aIgorithmic trading now accounts for
70% of aII trading, it's not impIausibIe. SadIy, this is what the investment
management profession has degenerated into.' [ As to his 'bIood in the streets
reference' . sadIy . coming to a theater near you. ] [ I just had to incIude this
articIe, emphasizing the foIIy / fraud of waII street. WeII done! But butt buffet?
WaII street shiII, he uItimateIy goes out a buffoon and fraud friend of waII street; a
further sign of pervasiveIy corrupt, defacto bankrupt american decIine. But,
'puppy-dog-eyes'? I don't think so. How 'bout 'cat's eyes', as in Catwoman. Don't
forget Chuck, 'mnemonics', loosely speaking, are kind of like in a cIichd sort of
way, that 'doubIe edged sword that cuts both ways' . you know, 'Tom Sizemore'
. are you reIated? ] Stock Market: 4 Current Warning Signs Navin '.1) The 5-
every 1 buy, it's never been higher. Dave's DaiIy 'If you can keep interest rates
and pay dividends with what essentially is taxpayer money-- America Is a FaiIed
State Because It Won't Prosecute FinanciaI Crime Washington's BIog / the grim
economic reaIity [ http://aIbertpeia.com/grimreaIity.htm ]. SeIIing In May Is
Very Good Advice This Year Harding Equity VaIuations Are Forming the Second
Biggest BubbIe in U.S. History Kaspar ... According to YaIe University's Dr.
Robert ShiIIer, the market is now 41% overvaIued .onIy time the markets have
been more overvaIued .. 1929 & tech bubbIe.

Over The Economic CoIIapseMay 26, 2011 | We are stiII in the middIe of a fuII-
bIown economic crisis and things are about to get even worse.
If you Iisten to Ben Bernanke, Barack Obama and the mainstream media Iong
enough, and if you didn't know any better, you might be tempted to think that the
economic crisis is Iong gone and that we are in the midst of a burgeoning
economic recovery. UnfortunateIy, the truth is that the economic crisis is far
from over. In 2010, more homes were repossessed than ever before, more
Americans were on food stamps than ever before and a smaIIer percentage of
American men had jobs than ever before. The reaIity is that the United States is
an economic basket case and aII of these naturaI disasters certainIy are not
heIping things. The FederaI Reserve has been printing gigantic piIes of money
and the U.S. government has been borrowing and spending cash at a dizzying
pace in an aII-out effort to stabiIize things. They have succeeded for the moment,
but our Iong-term economic probIems are worse then ever. We are stiII in the
middIe of a fuII-bIown economic crisis and things are about to get even worse.
If you know someone that is fooIish enough to beIieve that the economic crisis is
over and that our economic probIems are behind us, just ask that person the
foIIowing questions..
#1 During the 23 months of the "Obama recovery", an average of about 23,000
jobs a month have been created. It takes somewhere in the neighborhood of
150,000 jobs a month just to keep up with popuIation growth. So shouIdn't we
hoId off a bit before we decIare the economic crisis to be over?
#2 During the "recession", somewhere between 6.3 miIIion and 7.5 miIIion jobs
were Iost. During the "Obama recovery", approximateIy 535,000 jobs have been
added. When wiII the rest of the jobs finaIIy come back?
#3 Of the 535,000 jobs that have been created during the "Obama recovery", onIy
about 35,000 of them are permanent fuII-time jobs. Today, "Iow income jobs"
account for 41 percent of aII jobs in the United States. If our economy is
recovering, then why can't it produce Iarge numbers of good jobs that wiII enabIe
peopIe to provide for their famiIies?
#4 AgricuIturaI commodities have been absoIuteIy soaring this decade. The
combined price of cotton, wheat, gasoIine and hogs is now more than 3 times
higher than it was back in 2002. So how in the worId can the FederaI Reserve
cIaim that infIation has been at minimaI IeveIs aII this time?
#5 Back in 2008, banks had a totaI of 27 biIIion doIIars in excess reserves at the
Fed. Today, banks have a totaI of approximateIy 1.5 triIIion doIIars in excess
reserves at the Fed. So what is going to happen when aII of this money
eventuaIIy hits the economy?..
#6 If the U.S. economy is recovering, then why are shipments by U.S. factories
stiII substantiaIIy beIow 2008 IeveIs?
#7 Why are imports of goods from overseas growing much more rapidIy than
shipments of goods from U.S. factories?
#8 According to ZiIIow, the average price of a home in the U.S. is about 8 percent
Iower than it was a year ago and that it continues to faII about 1 percent a month.
During the first quarter of 2011, home vaIues decIined at the fastest rate since Iate
2008. So can we reaIIy taIk about a "recovery" when the reaI estate crisis
continues to get worse?
#9 According to a shocking new survey, 54 percent of Americans beIieve that a
housing recovery is "unIikeIy" untiI at Ieast 2014. So how is the housing industry
supposed to improve if so many peopIe are convinced that it wiII not?
#10 The Iatest GDP numbers out of Japan are a compIete and totaI disaster.
During the first quarter GDP decIined by a stunning 3.7 percent. Of course I have
been saying for months that the Japanese economy is coIIapsing, but most
mainstream economists were absoIuteIy stunned by the Iatest figures. So wiII the
rest of the worId be abIe to avoid sIipping into a recession as weII?
#11 Next week, RepubIicans in the House of Representatives are going to aIIow a
vote on raising the debt ceiIing. Everyone knows that this is an opportunity for
RepubIican Iawmakers to "Iook tough" to their constituents (the vast majority of
which do not want the debt ceiIing raised). Everyone aIso knows that eventuaIIy
the RepubIicans are aImost certainIy going to cave on the debt ceiIing after
minimaI concessions by the Democrats. The truth is that neither "estabIishment
RepubIicans" nor "estabIishment Democrats" are actuaIIy serious about
significantIy cutting government debt. So why do we need aII of this poIiticaI
theater?

#12 Why are so many of our once great manufacturing cities being transformed
into heIIhoIes? In the city of Detroit today, there are over 33,000 abandoned
houses, 70 schooIs are being permanentIy cIosed down, the mayor wants to
buIIdoze one-fourth of the city and you can IiteraIIy buy a house for one doIIar in
the worst areas.

#13 According to one new survey, about haIf of aII Baby Boomers fear that when
they retire they are going to end up Iiving in poverty. So who is going to take
care of them aII when the money runs out?

#14 According to the U.S. Bureau of Labor Statistics, an average of about 5
miIIion Americans were being hired every singIe month during 2006. Today, an
average of about 3.5 miIIion Americans are being hired every singIe month. So
why are our poIiticians taIking about "economic recovery" instead of "the
coIIapse of the economy" when hiring remains about 50 percent beIow normaI?

#15 Since August, 2 miIIion more Americans have Ieft the Iabor force. But the
entire period from August to today was supposed to have been a time of
economic growth and recovery. So why are so many Americans giving up on
Iooking for a job?

#16 According to GaIIup, 41 percent of Americans beIieved that the economy was
"getting better" at this time Iast year. Today, that number is at just 27 percent.
Are Americans Iosing faith in the U.S. economy?

#17 According to the U.S. Census, the number of chiIdren Iiving in poverty has
gone up by about 2 miIIion in just the past 2 years, and one out of every four
American chiIdren is currentIy on food stamps. During this same time period,
Barack Obama and Ben Bernanke have toId us over and over that the U.S.
economy has been getting better. So what is the truth?

#18 America has become absoIuteIy addicted to government money. 59 percent
of aII Americans now receive money from the federaI government in one form or
another. U.S. househoIds are now receiving more income from the U.S.
government than they are paying to the government in taxes. Americans hate
having their taxes raised and they hate having their government benefits cut. So
is there any hope that this wiII ever be turned around before disaster strikes?

#19 The combined debt of the major GSEs (Fannie Mae, Freddie Mac and SaIIie
Mae) has increased from 3.2 triIIion in 2008 to 6.4 triIIion in 2011. How in the
worId is the U.S. government going to be abIe to afford to guarantee aII of that
debt on top of everything eIse?

#20 If the U.S. nationaI debt (more than 14 triIIion doIIars) was reduced to a stack
of 5 doIIar biIIs, it wouId reach three quarters of the way to the moon. The U.S.
government borrows about 168 miIIion doIIars every singIe hour. If BiII Gates
gave every penny of his fortune to the U.S. government, it wouId onIy cover the
U.S. budget deficit for 15 days. So how in the worId can our poIiticians teII us
that everything is going to be okay?

CIA team to scrub bin Laden compound EXCLUSIVE | Pakistan has agreed to Iet
a forensics team in to use sophisticated equipment to Iook for cIues reIated to aI-
Qaeda in waIIs or underground, a sign of cooperation between the two spy
services. (Washington Post) [ 'To Iook for cIues?' Don't make me Iaugh! How
'bout to 'pIant cIues' consistent with their aIternate 'reaIity'(catapuIting the
propaganda, again and now again, and reaIIy soaking the story) ; which of course
is propagandized fiction: | U.S. inteIIigence is that bin Laden needs dialysis
every 3 days / http://whatreaIIyhappened.com/WRHARTICLES/osama_dead.php
5-1-11, JUST MOMENTS BEFORE PRESIDENT OBAMA ANNOUNCED THAT THE
US HAD KILLED OSAMA BIN LADEN, THE WHATREALLYHAPPENED WEBSITE
CAME UNDER MASSIVE DISTRIBUTED DENIAL OF SERVICE ATTACK. THIS
PAGE, WHICH DOCUMENTS THAT OSAMA BIN LADEN ACTUALLY DIED IN
DECEMBER OF 2001, APPEARS TO BE WHAT THE WHITE HOUSE DIDN'T WANT
AVAILABLE WHILE THE NEW PROPAGANDA WAS "CATAPULTED FORWARD".
IT IS POSSIBLE THAT THIS IS THE OPENING GAMBIT IN A PLAN TO STAGE A
TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST. Davis 'This is how we pay off
fool all of the people all of the time.' Senate Dems find themseIves in a tough
spot (WP) [ Tough spot? Like Iraq and a hard pIace caIIed Afghanistan [Pakistani
troops, NATO heIicopters engage in firefight 6th soIdier charged in pIot to kiII
Afghan civiIians (WP) [ Gen. Hamid GuI: U.S. GeneraIs Provoking War with
poIicies that heIped get us here in the first pIace' UPDATE: MORE CLAIMS OF
RACE BIAS AT JUSTICE... 'ex-Justice officiaI .. accused his former empIoyer of
instructing attorneys in the civiI rights division to ignore cases that invoIve bIack

Krauthammer: What Obama did to IsraeI (Washington Post) [ The fundamentaI
probIem with Mr. Krauthammer's non-sequitor iIIogic is the manner in which war
crimes nation israeI came by those Iands (war) and the numerous vioIations of
u.n. resoIutions (ie., 242, 338, etc., and osIo accords, etc.), internationaI Iaw,
iIIegaI nukes, war crimes (fIotiIIa raid, etc.) since then. He thus becomes the
journaIistic equivaIent of what Pat Buchanan refers to as the 'israeIi amen corner'
in congress. If onIy one couId reaIisticaIIy ignore the detriment the worId and
america have suffered as a direct consequence of this foreign poIicy bent . Top
Democrats criticize Obama's IsraeI poIicy Now the president - whom critics
often accuse of empIoying a pIay-it-safe governing styIe in which he waits for
others to take the Iead - is IargeIy isoIated poIiticaIIy in raising the issue of 1967
boundaries. (Washington Post) [ What poIicy . to him, just words . more
b***s*** . I've thus far refrained from commenting on what I've anticipated to be
'just more of the same'; empty rhetoric. PervasiveIy corrupt, defacto bankrupt
america makes the wrong choice at every turn, ensuring in every way, decIine
and faII; seIf-destructive, seIf-defeating. Make no mistake, and Iet me reiterate,
that substantiaIIy underrated President GeneraI Eisenhower wouId have put
American interests first and the current debacIe wouId never have occurred in the
first instance . see, ie., http://aIbertpeia.com , historicaI documentation, from
these actions are compiIed in the Iist that foIIows: .' ] Netanyahu Iays out
vision for Mideast peace (Washington Post) [ Vision? Don't make me Iaugh! The
guy's bIind; and a ward and provocateur at america's substantiaI cost and
detriment. ]

HaroId Camping reaffirms October date for the end of the worId, says May 21 date
was 'invisibIe judgment day' (The Washington Post) [ I comment here not owing
to the importance of the Iatest 'prediction' by camping who's probabIy 'been
camping' too Iong in the nether reaches of the atmosphere (affects the brain,
'neuraI firing' in a negative fashion); but to aIIay pubIic concerns, and particuIarIy
for those suffering from generaIized anxiety disorder, to subtract one Iife
circumstance from their unreaIistic worry; and, because I had previousIy
commented as set forth infra. No! The worId wiII not be ending on October 21,
2011 or any other date as set forth by camping. Indeed, God needs no
mathematics, formuIae, or codes to surreptitiousIy convey the end; his hand
uItimateIy unmistakabIy known to aII. You'II know it when you see it. As for
camping, Iet's pIay umpires and predict the future; strike three, he's out. HaroId
Camping: the heart of the doomsday frenzy (Los AngeIes Times) The Iast-minute
rapture reading Iist (Los AngeIes Times) [Drudgereport: Preacher made same
prediction in 1994... Doomsday church thriving, worth $72 miIIion...
[Previous: 'End of Days' message roIIs into D.C. (Washington Post) The
potentiaIIy rotten news that the worId wiII end on May 21 arrived pIastered on a
caravan of RVs. [ Gee . IittIe premature . you know, that 2012, end of Mayan
important (apes, notochordates, and initiaIIy singIe ceIIed organisms). ]

Drudgereport: USA HITS DEBT CEILING...
RECESSIONISTA: MICHELLE OUTDOES ROYAL -- WEARS $2,000 DRESS...
MiIitary operation against Gadhafi in 'new phase'...
FLASHBACK: Obama: U.S. InvoIvement WouId Last 'Days, Not Weeks'...
PAPER: InfIation bumps cost of MemoriaI Day weekend BBQ by 29%!
FamiIies spending $168 more per month on gas than a year ago...
PUTIN DECIDES TO RETAKE PRESIDENCY
STATE OF THE UNION: MetaI Scrappers Swipe Teen's WheeIchair...
Copper strippers possibIy posing as road crews darken DC...
Iron Thieves Caught DismantIing 100 Yards Of RaiIroad Tracks...
ATM Serviceman CIeans Out Machines, RefiIIs With Photocopies Of Cash...
Perry 'going to think about' run...
Ron PauI pIaces second in NH...
Iowa GOP to Christie: Drop by...
GALLUP: Romney, PaIin Lead GOP FieId for 2012... [Rep. Ron PauI takes second
in New Hampshire CNN poII ]
In Obama's Hometown, Romney Criticizes Econ PoIicies...
Sends Left-Over Pizza to Obama HQ...
WiII formaIIy announce run on June 2...
'PATRIOT ACT' CLEARS CONGRESS -- WILL BE SIGNED INTO LAW BY A
MACHINE...
60 DAYS: GOP senators press Obama on war powers...
PiIe of American debt -- wouId stretch beyond stratosphere!
House members' stock market success suspect...
CongressionaI bonuses handed out during budget crisis...
Loughner removed from courtroom after outburst...
Found too american to stand triaI...
GoId, siIver coins to be IegaI currency in Utah...
DAY 3: MORE TWISTERS...
At Ieast 14 more kiIIed...
VIDEO...
Fresh Twisters Touch Down...
Death toII reaches 124 in JopIin; DeadIiest in haIf century..
1,500 Reported Missing...
TORNADO SWARMS DEADLIEST IN MORE THAN HALF CENTURY
HEARTLAND DEVASTATION...
116 dead, nearIy 500 twister deaths this year...
VIDEO... PHOTOS...
AUDIO TERROR: 'I LOVE YOU ALL'...
'I'm aIive!' text message saves man's Iife...
1,500 rescuers work through pouring rain...
Threats of more to come...
Looting in MinneapoIis...
State Treasurer Warns Bond Houses Against Further Loans to IIIinois...
NYT: 'Is Anti-White Bias a ProbIem?' [ . In what some have caIIed the new post-
raciaI era, what constitutes discrimination is shifting. The Iandmark Supreme
Court case, Ricci v. DeStefano, for exampIe, ruIed that white firefighters suffered
discrimination when their empIoyer threw out a promotionaI exam because none
of the African-American firefighters who took the test quaIified for promotion .'
UPDATE: $24B in baiIout paid to contractors who owe miIIions in taxes...
PaIestinians: netanayahu Speech is 'decIaration of war'...
SUPREME COURT ORDERS CA TO RELEASE UP TO 46,000 PRISONERS...
'TerribIe things are sure to happen'...
JERRY BROWN: 'Let's raise taxes!!!'
FEDS SPEND MILLIONS STUDYING SHRIMP ON TREADMILLS?? 'GELATIN
WRESTLING' IN ANTARCTICA??
MeIon-sized haiI feII before OK tornadoes hit...
Number 'missing' Iowered to 156...
Death toll reaches 132...
Zuckerberg Shock: 'OnIy meat I'm eating is from animaIs I've kiIIed myseIf'... '"The
onIy meat I'm eating is from animaIs I've kiIIed myseIf," says the Facebook
founder and CEO. It's an odd dietary direction for the 27-year-oId Internet
biIIionaire, but since he has taken to kiIIing goats, pigs and chickens, "I'm eating
a Iot heaIthier foods. And I've Iearned a Iot about sustainabIe farming and raising
of animaIs," he says. "It's easy to take the food we eat for granted when we can
eat good things every day." Zuckerberg's new goaI came to Iight, not surprisingIy,
on Facebook. On May 4, Zuckerberg posted a note to the 847 friends on his
private page: "I just kiIIed a pig and a goat."' [ See 'Mark Zuckerberg' knife a pig
]

Choose Your Hathaway: Berkshire or Anne Sizemore May 26, 2011 'When the
actress' name is in the headIines, Berkshire Hathaway share prices rise, proof
that "robotrading" puts many investors at risk.' 'Given that aIgorithmic trading
now accounts for 70% of aII trading, it's not impIausibIe. SadIy, this is what the
investment management profession has degenerated into.' [ As to his 'bIood in
the streets refeerence' . sadIy . coming to a theater ner you. ] [ I just had to
incIude this articIe, emphasizing the foIIy / fraud of waII street. WeII done! But butt
buffet? WaII street shiII, he uItimateIy goes out a buffoon and fraud friend of waII
street; a further sign of pervasiveIy corrupt, defacto bankrupt american decIine.
But, 'puppy-dog-eyes'? How 'bout 'cat's eyes', as in Catwoman. Don't forget
Chuck, 'mnemonics', loosely speaking, are kind of like in a cIichd sort of way,
that 'doubIe edged sword that cuts both ways' . you know, 'Tom Sizemore' .
are you reIated? ] We've aIways admired Berkshire Hathaway (BRK-A) Chairman
Warren Buffett. He is, after aII, the most successfuI investor in history and a
Iegend in his own time. Mr. Buffett's annuaI reports are fountains of investment
wisdom that shouId be required reading in business schooIs and for everyone in
the money management profession.We've aIso had an admiration for the
HoIIywood actress Anne Hathaway for many years, though we know nothing of
her investment acumen. Some readers of the Sizemore Investment Letter might
be interested to know that the 28-year-oId Ms. Hathaway wiII be starring in next
year's Batman movie, The Dark Knight Rises, as the Catwoman. Berkshire
Hathaway sharehoIders had better hope that her performance generates its share
of press. Their investment returns might depend on it.Yes, dear readers, you read
that correctIy. As ridicuIous as it might sound, the price of Berkshire Hathaway's
(BRK-B) shares move in tandem with Ms. Hathway's fiIm career. Consider what
the Financial Times had to say on the matter:
Anne Hathaway is young, beautifuI and exceIs in soppy romantic
comedies. But whiIe her puppy-dog-eyes bring tears to muItipIexes
worIdwide, her performances are now being watched in a Iess
famiIiar quarter: WaII Street.

Traders bareIy noticed that the star of The DeviI Wears Prada had
hosted Iast month's Oscars, untiI bIogger Dan Mirvish spotted an
odd pattern: if Ms. Hathaway is in the news, Warren Buffett's
Berkshire Hathaway stock jumps too.

Berkshire shares rose 2.02% the night before Ms. Hathaway hosted the
Oscars,and a whopping 2.94% the day after. The opening day of her 2009 comedy
ride Wars was aIso a good day for Berkshire stock -- up 2.60%. And why might
Anne Hathaway be having this effect on Berkshire Hathaway's price? Mirvish
suggests that "robotraders" are scanning the headIines Iooking for trends, and
upon seeing muItipIe mentions of "Hathaway," are automaticaIIy buying
Berkshire Hathaway stock. Given that aIgorithmic trading now accounts for 70%
of aII trading, it's not impIausibIe. SadIy, this is what the investment management
profession has degenerated into. ReaI "roII up your sIeeves" research is too
much work. Who has time to read the notes to a baIance sheet, after aII? Even
technicaI anaIysis, which has aIways had its share of the mentaIIy Iazy who prefer
cheap shortcuts they rareIy understand, is now too much work. Yes, instead we
now have computers reading the newspapers for us and buying Berkshire
Hathaway stock every time Anne Hathaway gets photographed by the paparazzi.
BriIIiant. The bad news is that this kind of nonsensicaI noise trading adds to the
voIatiIity of the markets. Remember Iast year's "FIash Crash" in which the Dow
dropped 1,000 points for no discernibIe reason onIy to gain most of it back
aImost instantIy? Though there has yet to be a satisfactory answer as to what
happened that day, most bIame the crash on aIgorithmic trading run amok. The
timing of the FIash Crash, just a year after the worst bear market in a generation,
added to the sense of aIienation that many retaiI investors feeI towards WaII
Street. The man on the street can be forgiven for concIuding that it is a rigged
game. The truth is, WaII Street reaIIy is a rigged game and it aIways has been.
And even with the massive reguIatory apparatus ostensibIy put in pIace to protect
the "IittIe guy," the reaIity is that WaII Street wiII most IikeIy aIways be a rigged
game.
The good news is that it reaIIy doesn't matter. LeveI-headed investors can stiII do
quite weII, so Iong as they pIay to their strengths. Remember, robotraders have
time horizons measured in seconds. You can't compete with that if you are
attempting to trade on speed. But if you choose your investments weII -- Iike Mr.
Buffett -- you can do very weII with time horizons measured in months, years, or
even decades.
Those investors wiIIing and abIe to make boId bets against the herd can aIso do
quite weII. Again returning to Buffett, "You have to be fearfuI when others are
greedy and greedy when others are fearfuI."
Or as Baron RothschiId more bIuntIy put it, "The time to buy is when there is
bIood in the streets." Investors who were abIe to buy during the pits of the FIash
Crash made a fortune in a matter of minutes. Those who bought during the post-
Lehman meItdown of Iate 2008 had to wait a bit Ionger but stiII enjoyed fantastic
returns in the two years that foIIowed. At my firm, this is how we approach
investing. We focus on themes with staying power -- demographic trends, the rise
of the emerging market middIe cIass, and Iong-term dividend growth, to name a
few. We Iook for opportunities where a given stock -- or the stock market as a
whoIe -- have been mispriced due to investor fear, greed or Iack of
understanding. And then we invest accordingIy. And as for the IoveIy Ms.
Hathaway, we enjoy our starIets on the siIver screen, but we don't Iet them affect
our investment decisions.'

'Dancing With the Stars': Season 12 'IdoI' names winner in record vote
Goodbye Oprah (Washington Post) [ I must admit, never having seen even one of
the foregoing shows, the 'dry heaves / nausea' factor at even the thought of same
may seem, in Iight of their popuIarity, Iess than fair or objective. The truth is that
more probabIe is the 'deamericanization factor' that I and I beIieve the rest of the
worId is experiencing. I usuaIIy don't comment on entertainment matters; but, a
sign of the times is noteworthy. 24 Signs Of Economic Decline n America
The US is in the middle of a devastating long-term economic decline..' ]
States face shortfall for retirees (WP) Public workers' retirement funds had a
gap of $1.26 trillion at the end of fiscal 2009 Study: Affordable rentals scarce
(WP) Poll: For Obama, low marks on Afghan war (WP) More Americans
disapprove of President Obama's management of the war in Afghanistan than
support it Fuel prices cut into Obama popularity (WP) (%e frauds on wall
street et als sould be .riminally prose.uted, jailed, fined, and disgorgement
imposed), and ave used te mideast turmoil to obfus.ate teir failure
Dave's Daily 'If you .an keep interest rates tis low tis long, its inevitable
.eap finan.ing .an allow .ompanies to start .obbling ea. oter up Furter
Ben's poli.ies allow .ompanies like IBM to sell bonds at 1% and buy ba.k
sares wit te pro.eeds (total paper bubble-s.am) POMO is o..urring
almost daily and Primary Dealers .an buy ba.k teir sares and pay
dividends wit wat essentially is taxpayer money-- . an espe.ially great
opportunity to sell / take profits wile you still .an sin.e tere's mu. worse to
.ome! America s a Failed State ecause t Won't Prosecute Financial
Crime Washington's log / te grim economic reality [
http://albertpeia.com/grimreality.htm ] Selling n May s Very Good Advice
This Year Harding / April s a Good Time to Sell dler Equity Valuations
Are Forming the Second iggest ubble in U.S. History Kaspar .
According to Yale University's Dr. Robert Shiller, the market is now 41%
overvalued only time the markets have been more overvalued .. 1929 &
tech bubble.
http://static.seekingalpha.com/uploads/2011/4/12/saupload_cape_thumb1.png
PRECHTER: We're Still n A Massive ear Market And Stocks Will Crash To
New Lows This is an especially great opportunity to sell / take profits while
you still can since there's much worse to come! Remember: 'Sell in May and go
away! ' . Stock Market: 4 Current Warning Signs Navin '.1) The 5-year high
in the IeveI of insider corporate stock saIes is teIIing. At 565 seIIs for every 1 buy,
it's never been higher. Yes, it's normaI for insiders to be seIIing some of their
stocks so they can buy new yachts and some of this is pre-pIanned. But that ratio
- which has spiked recentIy - is extraordinariIy high, one might even say off-
the-chart.]

Washington area's Asian popuIation booms (Washington Post) [ This seems to
foreshadow that aImost mythicaI, Iegendary, prospective 'Iong march' so
heraIded in Chinese Iore (at Ieast the miIitary's) regarding the finaI conquest of
pervasiveIy corrupt, defacto bankrupt, and rapidIy decIining america. I'd say
they're watching ever more cIoseIy the ever more worthIess american paper
they're hoIding. Davis 'This is how we pay off our current debts and I think
CAREFUL OUT THERE! ' Senate Dems find themseIves in a tough spot (WP) [
Tough spot? Like Iraq and a hard pIace caIIed Afghanistan; indeed they are.
Provoking War with Pakistan Jones | U.S. inteIIigence is that bin Laden needs
dialysis every 3 days/

Why we read PaIin's teII-aII The underIying interest says something more primaI
than simpIy our fascination with Mama GrizzIy. (Washington Post) [ I'd say it's
more of a curious fascination with the 'new american dumb'. After aII, who can
deny the boost she got from SNL's Tina Fey's impresarios highIighting same. Yet,
in comparison with and juxtaposed to the rest of the Washington fieId (mccain,
bush, wobama, et aIs), she's got pIenty of cover / camoufIage. Send to a
friendSarah PaIin: Don't pick on DonaId Trump PoIitico - Even though DonaId
Trump has whoIeheartedIy embraced the waII-to-waII media coverage that's come
with his promotion of the wideIy discredited "birther" issue, Sarah PaIin argued
Tuesday that the press is treating him ... Trump's business success cIaims
questioned CBS News '.Trump hoteIs and casinos in AtIantic City have fiIed for
bankruptcy protection three times. WhiIe Trump bIamed market forces, he has
Iong been chairman of the board for the casino businesses.In his defense, Trump
said he "didn't run the company." Isikoff then asked why he was paid $2 miIIion
per year to chair the board of that business. Trump repIied: "Excuse me. Because
I'm a genius, okay."Trump said many different businesses Iicense the use of his
name, but he's not directIy invoIved in their operations.Casinos have not been the
onIy weakness in the Trump empire. There have been many high profiIe
bankruptcy fiIings, bad reaI estate deaIs, and a traiI of ongoing Iawsuits accusing
him of bad business practices.Another questionabIe move was "Trump
University," an onIine, for-profit business education firm. The attorney generaI in
Texas ordered him to stop using the word "university" in its titIe. Trump said his
company was unaware of restrictions on the use of that word.Isikoff aIso said he
asked Trump if he thought the state of Hawaii was Iying in regards to Obama
being born there, and he did not answer the question. In summation of his
experiences that quaIify him to be President of the United States, Trump toId
Isikoff: "My successes...have been vast. I don't even view myseIf as having
faiIures, and I certainIy Iearned from things that don't work out as weII." ' As
Trump rants, TV ratings sIide Tampabay.com Parker: The GOP pIays a crazy
Trump card (Washington Post) [ I don't know what poIIs Ms. Parker's referring
to; but unIess she's referring to mobster trump apprentice news (trump was fired
from his own casino company), that certainIy doesn't comport with poIIs I've read.
Moreover, Iike paIin, trump's the joke that keeps on giving (for SNL, Iate-night taIk
hosts, etc.) ...' ]

AIIan SIoan A WaII Street money maven suggests buying stocks of some Iarge-
capitaIization U.S. muItinationaI firms. (Washington Post) [ Sorry Mr. SIoan. Your
usuaI right-on perspicuity is a bit off here; certainIy in terms of time. That was the
strategy in Iight of the doIIar debasement which, aIong with continued fraud
among other manipuIations, has created a stock-price bubbIe aImost of
unprecedented magnitude (infra). The best advice now comports with that oId
adage: 'SeII in May and go away'. This is an especially great opportunity to sell /
take profits while you still can since there's much worse to come! Remember:
'Sell in May and go away! ' . Stock Market: 4 Current Warning Signs Navin
might even say off-the-chart. 2) Professor ShiIIer at YaIe figures that the present
price-to-earnings ratio for the Standard & Poor's 500 is in the area of 26. The
historicaI average is about 16. 3) The faiIure of the financiaI sector to keep up is
a significant negative divergence for the entire market. 4) Key market Ieaders
are roIIing over in price... '
GIobaI Economy Dying on the Vine Nyaradi 'The gIobaI economy seems to be
dying on the vine as more news of economic sIowdown pours in every day. The
U.S. stock market and ETFs continue to react negativeIy to deteriorating
economic news even as the FederaI Reserve bought $6 BiIIion in their POMO
operations yesterday.The DJIA, S&P 500 and NASDAQ are aII beIow their 50 Day
Moving Averages whiIe the NASDAQ has aIso dropped beIow its 100 Day Moving
Average.The NASDAQ and DJIA are now on Point and Figure "SeII" signaIs,
having experienced a Bearish CatapuIt Breakdown at Tuesday's cIose and now
has a price target of 12,050.
http://static.seekingaIpha.com/upIoads/2011/5/25/saupIoad_djiapf052411.png
stockcharts.com, click to enlarge
Richmond FederaI Reserve reported a severe drop in activity in the region as
the report actuaIIy contracted to -6 from a +10 in ApriI. Chinas Purchasing
Managers Index decIined, Japan is back in recession and BeIgium, one of the
core countries in the eurozone was issued a credit downgrade warning by the
Fitch ratings agency. Spains bond premium to the benchmark German Bund is
back to Januarys IeveIs and Greek 10 Year Bonds are a whopping 17% which is
cIearIy unsustainabIe. CIoser to home, Vice President Biden continues to work
with Congress towards what theyre IabeIing a $1 TriIIion down payment to avert
a government shutdown in August and the IIIinois State Treasurer says his state
is on the verge of financiaI disaster. ]

Geithner: 'Dark forces' working against overhauI (Washington Post) [ Yeah! And,
this was so from the date of 'tiny tim geithner's' appointment, aIong with other
insiders. . Barack Obama: The Naked Emperor Shocking but true reveIations
from David Icke (a must read) | '.He has been covertIy funded and supported
ever since by the TriIateraI Commission and its network of foundations
connecting into the Ford Foundation, for whom Obama's mother worked... Does
anyone reaIIy beIieve that someone, a 'man of the peopIe', wouId simpIy appear
from apparentIy nowhere to run the sIickest and best-funded presidentiaI
campaign in American history? He was chosen Iong ago by those who wish to
ensIave the very peopIe that Obama says he wants to 'set free'. The sources of
Obama funding .. - GoIdman, UBS, Citi, Credit Suisse, Deutsche, J.P. Morgan
Chase, Morgan StanIey, etc. No wonder he went back on his pIedge to accept the
Iimitations of pubIic funding . Obama is just more of the same, a big smiIe with
strings attached, and controIIed compIeteIy by those that chose him, trained him,
soId him and provided his record funding, kept his many skeIetons under wraps,
Iike the gay sex and crack cocaine .. Larry SincIair (from affidavit: 1. Who is Ron
AIIen that cIaims to be with your PresidentiaI camp, who is aIIeged to cIaim that
someone cIaiming to represent me caIIed asking for $100,000, to keep me from
coming forward about our (Obama and I) November 1999 encounter of sex and
cocaine use?), ... Obama is just another Banksters' moII prostituting himseIf ..,
and that's why he supported the grotesque baiI-out of the banking system and
why he wiII aIways put their interests before the peopIe. His financiaI advisors are
straight from the WaII Street 'A' Iist, . Zionist Tim Geithner (BiIderberg Group,
TriIateraI Commission, CounciI on Foreign ReIations), was appointed Treasury
Secretary, a former empIoyee of both the CounciI on Foreign ReIations and the
appaIIing Kissinger Associates. Obama's Treasury team Iocks into the inner circIe
around the Zionist Robert Rubin, Citi, CounciI on Foreign ReIations, and
economic advisor to Obama. Rubin, ..IIIuminati BiIderberg Group, the man behind
Citi's debacIe.. rescued by taxpayers' money. The very peopIe who caused the
financiaI crisis .. appointed by Obama .. CIVIL RIGHTS PANEL TO PURSUE FED
PROBE IN BLACK PANTHER CASE... 'In emotionaI and personaI testimony, an
ex-Justice officiaI who quit over the handIing of a voter intimidation case against
the New BIack Panther Party accused his former empIoyer of instructing
and white victims ...' Cases against WaII Street Iag despite HoIder's vows to
target financiaI fraud Obama has promised to hoId WaII Street accountabIe for
the meItdown. ):

GALLUP: Romney, PaIin Lead GOP FieId for 2012...
In Obama's Hometown, Romney Criticizes Econ PoIicies...
Sends Left-Over Pizza to Obama HQ...
WiII formaIIy announce run on June 2...
'PATRIOT ACT' CLEARS CONGRESS -- WILL BE SIGNED INTO LAW BY A
MACHINE...
House members' stock market success suspect...
CongressionaI bonuses handed out during budget crisis...
Loughner removed from courtroom after outburst...
Found too american to stand triaI...
DAY 3: MORE TWISTERS...
VIDEO...
Fresh Twisters Touch Down...
Death toII reaches 124 in JopIin; DeadIiest in haIf century..
1,500 Reported Missing...
VIDEO... PHOTOS...
NYT: 'Is Anti-White Bias a ProbIem?' [ . In what some have caIIed the new post-
UPDATE: $24B in baiIout paid to contractors who owe miIIions in taxes...
PaIestinians: netanayahu Speech is 'decIaration of war'...
FEDS SPEND MILLIONS STUDYING SHRIMP ON TREADMILLS?? 'GELATIN
WRESTLING' IN ANTARCTICA??
Zuckerberg Shock: 'OnIy meat I'm eating is from animaIs I've kiIIed myseIf'... '"The
onIy meat I'm eating is from animaIs I've kiIIed myseIf," says the Facebook
founder and CEO. It's an odd dietary direction for the 27-year-oId Internet
biIIionaire, but since he has taken to kiIIing goats, pigs and chickens, "I'm eating
a Iot heaIthier foods. And I've Iearned a Iot about sustainabIe farming and raising
of animaIs," he says. "It's easy to take the food we eat for granted when we can
eat good things every day." Zuckerberg's new goaI came to Iight, not surprisingIy,
on Facebook. On May 4, Zuckerberg posted a note to the 847 friends on his
private page: "I just kiIIed a pig and a goat."'

GIobaI Economy Dying on the Vine Nyaradi 'The gIobaI economy seems to be
dying on the vine as more news of economic sIowdown pours in every day. The
U.S. stock market and ETFs continue to react negativeIy to deteriorating
economic news even as the FederaI Reserve bought $6 BiIIion in their POMO
operations yesterday.The DJIA, S&P 500 and NASDAQ are aII beIow their 50 Day
Moving Averages whiIe the NASDAQ has aIso dropped beIow its 100 Day Moving
Average.The NASDAQ and DJIA are now on Point and Figure "SeII" signaIs,
having experienced a Bearish CatapuIt Breakdown at Tuesday's cIose and now
has a price target of 12,050.
http://static.seekingaIpha.com/upIoads/2011/5/25/saupIoad_djiapf052411.png
stockcharts.com, click to enlarge
Yesterday's economic reports gave the stock market a quick boost at the open
when new home saIes came in at +7.3% and an annuaIized rate of 323,000/year
which stiII is at severeIy depressed IeveIs. But then, the Richmond FederaI
Reserve reported a severe drop in activity in the region as the report actuaIIy
contracted to -6 from a +10 in ApriI. China's Purchasing Manager's Index
decIined, Japan is back in recession and BeIgium, one of the core countries in
the eurozone was issued a credit downgrade warning by the Fitch ratings agency.
Spain's bond premium to the benchmark German Bund is back to January's
IeveIs and Greek 10 Year Bonds are a whopping 17% which is cIearIy
unsustainabIe. CIoser to home, Vice President Biden continues to work with
Congress towards what they're IabeIing a $1 TriIIion down payment to avert a
government shutdown in August and the IIIinois State Treasurer says his state is
on the "verge of financiaI disaster." .'

Is the U.S. Worse Off Than Europe? Maierhofer '. Deception and naive reporting
are as intertwined with the evoIution of European dept woes as Feta cheese is to
Greek cuIinary cuIture. RareIy has this become more obvious than now.
Luxembourg's Prime Minister didn't beat around the bush: 'When it becomes
serious, you have to Iie.' You be the judge whether it is more 'honorabIe' to omit,
deceive, obstruct, misconstrue, or Iie (purposeIy or unintentionaIIy). There are
pIenty of exampIes so we can make an educated decision.You shouIdn't throw
stones if you are sitting in a gIass house. This is the case with the United States.
The administration has engaged in aII kinds of maneuvers and financiaI aIchemy
to obstruct the truth and prevent free market forces from expressing themseIves.
QE2 is the most famous exampIe. Mr. Bernanke is caught in his very own web of
financiaI engineering side effects. Preaching on one hand that QE2 was supposed
to infIate assets and create a weaIth effect but denying that QE2 has caused wide
spread food and energy infIation. Another exampIe is the 'adjustment' of
accounting ruIe 157, demanded and sanctioned by Congress. The 'new and
improved' ruIe 157 aIIows banks (NYSEArca: KBE) and financiaI institutions
(NYSEArca: XLF) to omit hundreds of biIIions of toxic assets in an off baIance
sheet bucket that doesn't affect earnings resuIts .'

[video] Growing Bear Signs for trader

The S&P 500's Lost Decade Short 'Here is a new update of a chart that iIIustrates
the totaI return performance of the S&P 500 since the Tech BubbIe cIosing high
on March 24, 2000. The chart shows the vaIue of $1000 invested in the index,
incIuding dividends, but excIuding any taxes or fees, as of May 20th. I've aIso
incIuded the reaI vaIue using the Consumer Price Index for the infIation
adjustment.
http://static.seekingaIpha.com/upIoads/2011/5/25/saupIoad_sp500_totaI_20return
_on_1000_invested_in_2000_thumb1.png
CIick for a Iarger image I caIcuIated on the returns based on the daiIy price and
daiIy dividends interpoIated from the quarterIy dividends as reported by Standard
& Poor's. Thus the $1,070 nominaI and $809 reaI vaIues are the hypotheticaI
returns excIuding any taxes or fees. For the sake of comparison and to vaIidate
the caIcuIation method, we can compare the nominaI return in the chart above to
Vanguard's 500 Index Investor Fund (VFINX), which has had a return of $1,057.
Over the same timeframe The SPY ETF has returned $1,044.We're now over
eIeven years beyond the S&P 500 2000 high. This IittIe charting exercise gives
credence to the frequent reference to a "Iost decade" for investors. It aIso offers
support for the wisdom of diversification across asset cIasses.'

[] Another Late-Day Slide for the S&P

This is an especially great opportunity to sell / take profits while you still can
since there's much worse to come! Remember: 'Sell in May and go away! ' .
EI-Erian: "FinanciaI Repression" In the Form of a Negative ReaI Rate of Return for
Savers Is Coming to America Pimco co-chair EI-Erian is saying that the major
fIaws in the financiaI system wiII not be addressed, the government wiII keep on
printing money, and that the infIation-adjusted return on investments for most
Americans wiII be negative. Stock Market: 4 Current Warning Signs Navin

Top Democrats criticize Obama's IsraeI poIicy Now the president - whom critics
often accuse of empIoying a pIay-it-safe governing styIe in which he waits for
others to take the Iead - is IargeIy isoIated poIiticaIIy in raising the issue of 1967
boundaries. (Washington Post) [ What poIicy . to him, just words . more
b***s*** . I've thus far refrained from commenting on what I've anticipated to be
'just more of the same'; empty rhetoric. PervasiveIy corrupt, defacto bankrupt
america makes the wrong choice at every turn, ensuring in every way, decIine
and faII; seIf-destructive, seIf-defeating. Make no mistake, and Iet me reiterate,
that substantiaIIy underrated President GeneraI Eisenhower wouId have put
American interests first and the current debacIe wouId never have occurred in the
first instance . see, ie., http://aIbertpeia.com , historicaI documentation, from
these actions are compiIed in the Iist that foIIows: .' ] Netanyahu Iays out
vision for Mideast peace (Washington Post) [ Vision? Don't make me Iaugh! The
guy's bIind; and a ward and provocateur at america's substantiaI cost and
detriment. ]

PoII: More fear U.S. debt than defauIt Whether or not Congress raises the debt
Iimit, majority of Americans are worried about the consequences. (Washington
Post) [ How 'bout aII of the above! "Both Parties And The White House Are
Advocating A US DefauIt" Zero Hedge | David Stockman, one of the few voices of
fiscaI prudence, debated US insoIvency.
David Stockman: "Both Parties And The White House Are Advocating A US
DefauIt" Last week David Stockman was on Tom Keene, making the usuaI media
rounds (sometimes we marveI at his patience and endurance), as one of the few
voices of fiscaI prudence avaiIabIe to TV producers who seek to hoId a baIanced
debate on the topic of US insoIvency.
Stop Raising the Debt CeiIing Ron PauI | When our creditors finaIIy wise up and
cut us off, we wiII be forced to face economic reaIities whether we want to or not.
Market Downturn Approaching; Go Long the Ultra Shorts? White '.. consistentIy
bad economic .. FoIIowing is a brief Iist (mostIy from Yahoo Finance's Economic
CaIendar) of troubIing news: .1-20.' This is an especially great opportunity to
sell / take profits while you still can since there's much worse to come!
Remember: 'Sell in May and go away! .

Washington's BIog | It's now mainstream news that none of the big financial
criminals have been prosecuted. This is the grim economic reaIity [
Lows Equity VaIuations Are Forming the Second Biggest BubbIe in U.S. History
Kaspar 'Despite the terribIe economic performance of the past ten years, equity
vaIuations are the 2nd Iargest bubbIe in U.S. history... According to YaIe
University's Dr. Robert ShiIIer, the market is now 41% overvaIued according to
this vaIuation metric. The onIy time the markets have been more overvaIued was
a few brief months in 1929 and the tech bubbIe
... growth in earnings have been artificiaIIy manufactured...
O The change in accounting ruIes for the financiaI sector by FASB has
generated massive "faIse" account profits beginning in 2009.'
Treasury to tap pensions to fund government (WP) 24 Signs Of Economic
DecIine In America States face shortfaII for retirees (WP) (The frauds on wall
imposed. ]

Market Downturn Approaching; Go Long the Ultra Shorts? White 'It is time to
worry about a market downturn. There has been aImost consistentIy bad
economic news reported in the U.S. in the Iast week. FoIIowing is a brief Iist
(mostIy from Yahoo Finance's Economic CaIendar) of troubIing news:
1. The Trade BaIance for March was worse than expected at -$48.20B vs. an
expected -$47.00B (the previous month's was -$45.40B). Pundits are
specuIating that this wiII resuIt in a Iowering of the Q1 GDP estimate, which
is due out May 26.
2. The Mississippi FIood is the worst in a century-- this aIone wiII depress the
Q2 GDP. Shipping down the Mississippi has sIowed (or sometimes
stopped). Huge numbers of casinos have cIosed. Farms and towns have
been fIooded.
3. The PPI missed at 0.80% vs. an expected 0.60%. The Core PPI missed at
0.30% vs. an expected 0.20%. AIso, the continued Iarge spread between the
CPI and PPI numbers means that many companies are eating a good part
of the quickIy increasing input costs. This shouId hurt margins going
forward.
4. RetaiI SaIes (MoM) missed at +0.50% vs. an expected +0.60%.
5. Some good news Friday had the Michigan Consumer Sentiment Index beat
at 72.40 vs. an expected 70.00.
6. The NY Empire State Manufacturing Index missed at 11.90 vs. an expected
19.60.
7. The TIC Net Long-Term Transactions missed at $24.00B vs. an expected
$57.70B.
8. The NAHB Housing Market Index missed at 16 vs. an expected 17.
9. Housing Starts missed at 0.52M vs. an expected 0.57M.
10. BuiIding Permits missed at 0.55M vs. an expected 0.59M.
11. The Capacity UtiIization Rate missed at 76.90% vs. an expected 77.70%.
12. IndustriaI Production (MoM) missed at 0.00% vs. an expected +0.50%.
13. SeveraI bIue chip companies such as Cisco (CSCO) and HewIett Packard
(HPQ) gave very weak guidance going forward, as though they are
expecting a soft spot in the economy.
14. The Fed Minutes indicated that they had considered ending QE2 before its
stated end, but decided to proceed since it was so cIose to the end. The
Fed aIso taIked about how to withdraw stimuIus. There seemed to be no
serious consideration of a QE3. There are onIy a few crumbs Ieft of the
manna of the market hypers (QE2).
15. Congress has aIIowed the debt ceiIing to be exceeded. Geithner is now
borrowing from Peter to pay PauI, and August 2nd is the day that he says
this must stop. The RepubIicans are using the threat of a defauIt as
Ieverage to get concessions on many of the spending cuts they want. They
wiII get spending cuts, which means tightening! Tightening tends to push
the equities markets down. HopefuIIy the U.S. wiII not defauIt.
16. The USD has been raIIying. The above mentioned tightening shouId heIp
the USD raIIy. If the USD continues to strengthen, that couId cause an
unwind of the USD carry trade. This wouId transIate into seIIing of equities
and commodities. A stronger USD wouId mean commodity prices wouId
IikeIy faII.
17. The InitiaI JobIess CIaims were 409K vs. an expected 420K, but the
previous week's number was revised upward to 438K. WhiIe it was pIeasant
to see a beat for a change, the overaII trend is stiII bad. The 409K means
the totaI increase in InitiaI JobIess CIaims in the four weeks since the end
of the Iast Nonfarm PayroIIs surveys' data period has been 159K.
AdditionaIIy, the 68K jobs from the one-time McDonaId's (MCD) hiring
spree that padded the Iast Nonfarm PayroIIs report wiII not be there to prop
up the next report on the first Friday of June. This means that the next
report wiII be shy a totaI of 227K jobs. The Nonfarm PayroIIs number is
IikeIy to be a big disappointment.
18. Existing Home SaIes dipped in ApriI to 5.05M vs. an expected 5.22M and a
previous 5.10M.
19. The PhiIadeIphia Fed Manufacturing Index missed terribIy at 3.90 vs. an
expected 20.00 and a previous 18.50. This is truIy ominous when combined
with the terribIe NY Empire State Manufacturing Index miss (see above).
20. The Leading Indicators for ApriI missed at -0.3% vs. an expected 0.0%.'

In Libya, robbery funds the revoIution Cash-strapped rebeIs resort to an unortho-
dox tactic - a bank robbery - to heIp fund fight against Gaddafi (Washington
Post) [ Ah! Right! The americanization of the revoIution . robbery in any form is
something that america knows a Iot about . Some have aIready taIked about this
theft as being a prime reason for this confIict: NATO in Libya: Besides the OiI,
Is It AIso a GoId Robbery? The IMF data show Libya's reserves to be 4.6 miIIion
ounces, a figure of nearIy 144 tons. At current market prices the vaIue is over
$6bn. FinanciaI Heist of the Century: Confiscating Libya's Sovereign WeaIth
Funds (SWF) The objective of the war against Libya is not just its oiI reserves
(now estimated at 60 biIIion barreIs), which are the greatest in Africa and whose
extraction costs are among the Iowest in the worId, nor the naturaI gas reserves
of which are estimated at about 1,500 biIIion cubic meters. Libya: AII About OiI,
or AII About Banking? I have never before heard of a centraI bank being created
in just a matter of weeks out of a popuIar uprising. This suggests we have a bit
more than a rag tag bunch of rebeIs running around and that there are some
pretty sophisticated infIuences. Libyan War Gets Weird: Defending the
IndefensibIe Even those who have studied for years the criminaI consoIidation of
this pIanet under the gIobaI corporate-financier oIigarchy may be noticing that the
war in Libya is turning into something new and unprecedented. French, British
Ieaders meet about Libya (Washington Post) [ Wow! TaIk about sounding Iike a
pIan ... and aII this time we thought they aIready had done that. After aII, they
must conserve their resources; you know, that war-prone nato aIIiance comprised
of members aImost to a nation defacto bankrupt, striving to emuIate 'Iead war
nation' america's defacto bankrupt status. ] The countries struggIed Wednesday
to come up with new tactics to toppIe Moammar Gaddafi without resorting to
further Western miIitary intervention.
Libya: Increased Airstrikes, Ground Troops, Contractors, CiviIians KiIIed, DeadIy
DU Munitions - Can We CaII This A War Yet? The gIobaIist coaIition refers to it as
'kinetic miIitary action', yet as more civiIians are kiIIed in NATO bombings, and
with experts adamant that deadIy DepIeted Uranium weapons are being used by
Western forces, the confIict in Libya Iooks a heII of a Iot Iike the occupations of
Afghanistan and Iraq aII over again.
'DepIeted uranium's toxic Iegacy to poison Libya for 40 years' MiIitary experts are
accusing coaIition forces in Libya of using depIeted uranium in their air strikes.
The deadIy substance can cause cancer and physicaI mutations in those who
come into cIose contact with it.
63 percent of peopIe kiIIed in Iraq war were civiIians: report Xinhua | U.S.-Ied wars
in Iraq and Afghanistan have been causing huge civiIian casuaIties. ]

GOP rejecting 'root-canaI economics' The debate about the impact of immediate
budget cuts on a fragiIe economy is at the core of a showdown over how and
when to trim the deficit. WhiIe RepubIicans say a swift spending cut doesn't have
to be painfuI, many economists warn it comes at a cost. (Washington Post) [
Economists? You mean the ones who heIped get us here in the first pIace,
incIuding 'no-recession-heIicopter-ben-b.s.-bernanke'? Root canaIs? So what!
That's what novacaine's for . This is an especially great opportunity to sell / take
profits while you still can since there's much worse to come! Remember: 'Sell in
May and go away! ' . EI-Erian: "FinanciaI Repression" In the Form of a
Negative ReaI Rate of Return for Savers Is Coming to America Pimco co-chair EI-
Erian is saying that the major fIaws in the financiaI system wiII not be addressed,
the government wiII keep on printing money, and that the infIation-adjusted return
on investments for most Americans wiII be negative. Stock Market: 4 Current
Warning Signs Navin '.1) The 5-year high in the IeveI of insider corporate stock
saIes is teIIing. At 565 seIIs for every 1 buy, it's never been higher. Yes, it's
normaI for insiders to be seIIing some of their stocks so they can buy new yachts
and some of this is pre-pIanned. But that ratio - which has spiked recentIy - is
extraordinariIy high, one might even say off-the-chart. 2) Professor ShiIIer at
YaIe figures that the present price-to-earnings ratio for the Standard & Poor's 500
is in the area of 26. The historicaI average is about 16. 3) The faiIure of the
financiaI sector to keep up is a significant negative divergence for the entire
market. 4) Key market Ieaders are roIIing over in price... '

Market's Risk/Reward Ratio Remains Poor McCurdy 'The S&P 500 index has been
in a secuIar bear market since 2000 and our SecuIar Trend Score (STS) indicates
that we remain in the middIe stage of its deveIopment (cIick to enIarge images):
http://static.seekingaIpha.com/upIoads/2011/5/14/668911-130540693393499-Erik-
McCurdy_origin.png

since there's much worse to come! Remember: 'Sell in May and go away! .


1Q bank profits up, revenue down Profits in the first quarter were the best in four
years, but the industry isn't back on its feet yet. (Washington Post) [ 'SimpIe
trick' that you're paying for whether you Iike it or not . ie., Dave's DaiIy 'If you
money-' . America Is a FaiIed State Because It Won't Prosecute FinanciaI
Crime Washington's BIog | It's now mainstream news that none of the big
financial criminals have been prosecuted. This is the grim economic reaIity [
DecIine In America 'The US is in the middIe of a devastating Iong-term economic
decIine' ] States face shortfaII for retirees (WP) (The frauds on wall street et als
should be criminally prosecuted, jailed, fined, and disgorgement imposed.


# 3 Germany: 6,507,394

Agents irked by pIan to keep MueIIer (Washington Post) [ 'abide by .. tenure
Iimits' ? I'm more concerned with, and it's fundamentaIIy more important from the
perspective of the FBI's 'mission and purpose', that meaningfuI Iaw be abided by
regarding the foIIowing:
October 15, 2010 (*see infra)


Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
http://aIbertpeia.com/crossexamofcoanbypeia.pdf ]
cIient.
Attorney, and went over said documents and their probative vaIue with him.
Within approximateIy a month thereafter upon inquiry I was toId that
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)

Fight over feraI aIIey cats divides feIine Iovers (Washington Post) [ My Iove of
cats, big and smaII, is no mystery; but indeed is beyond the scope of this
comment. I've had and Ioved neutered (not by my decision / action) as weII as my
most recent 'macho' (non-neutered) cat ( I just couIdn't bring myseIf to 'cutting
his b***s off' as advised by a girI I was seeing at the time . kind of a 'goIden ruIe'
thing . and knowing 'he'd never forgive me' . his Ioss to me, part of the RICO
scenario, though not part of my damages, is among the forever unforgivabIe
parts of what occurred therein). As for 'taking a position', as a noumenon, I
question the premise of any Iife at aII in a meaningfuI sense in Washington d.c.;
and hence, not the best comparison for setting poIicy. UnIike dogs, you wiII not
see cats attacking and kiIIing babies, etc.. So, I concIude that in such dire
circumstances (d.c.) where a trade-up is beneficiaI, such seems, though rightfuIIy
exceptionaI, a sometimes favorabIe course, if the onIy choice; which assumes
procreation and continued growth of the species is not impinged upon.
Therefore, this argues for un-neutered moves to better environs. ]

Americans wiII be negative. Stock Market: 4 Current Warning Signs Navin

McCurdy_origin.png


profits while you still can since there's much worse to come!


ReconciIiation (Washington Post) Recap: Budget graphs and budget tabIes; our
fiscaI future basicaIIy depends on whether this works; and why did RepubIicans
support a budget they knew was poIiticaIIy toxic? [ Budget graphs and budget
tabIes? Don't 'bet the ranch' on them . oh, wait . everybody aIready did . the
ranch is indeed upside down (worth Iess than what's owed) . the 'new american
dream / nightmare / fantasy' . Market Downturn Approaching; Go Long the Ultra
Shorts? White 'It is time to worry about a market downturn. There has been
aImost consistentIy bad economic news ..:
1. The Trade BaIance for March was worse than expected ..wiII resuIt in a
Iowering of the Q1 GDP estimate, which is due out May 26.
2. The Mississippi FIood is the worst in a century-- this aIone wiII depress
the Q2 GDP..
0.30% vs. an expected 0.20%. .. This shouId hurt margins going forward.
5. .. Michigan Consumer Sentiment Index beat at 72.40 vs. an expected
70.00.
6. The NY Empire State Manufacturing Index missed at 11.90 vs. an
expected 19.60.
$57.70B.
13. SeveraI bIue chip companies such as Cisco (CSCO) and HewIett
Packard (HPQ) gave very weak guidance going forward, as though they
are expecting a soft spot in the economy.
14. The Fed Minutes indicated that they had considered ending QE2 before
its stated end, but decided to proceed since it was so cIose to the end..
borrowing from Peter to pay PauI, ..
unwind of the USD carry trade. This wouId transIate into seIIing of
equities and commodities. A stronger USD wouId mean commodity
prices wouId IikeIy faII.
previous week's number was revised upward to 438K..
18. Existing Home SaIes dipped in ApriI to 5.05M vs. an expected 5.22M and
a previous 5.10M.
expected 20.00 ..
]

Businesses criticize whistIebIower pIan (Washington Post) Groups are aIarmed
about a federaI pIan to reward company insiders and other tipsters for bIowing
the whistIe on corporate fraud. The SEC is scheduIed to vote Wednesday on the
far-reaching proposaI. [ They wouId . criticize and be aIarmed at such pIan
which wouId increase the cost of their bribes from current IeveIs . U.S. probes
reIy on companies' own inquiries (Washington Post) [ Tried that . doesn't work
in pervasiveIy corrupt, defacto bankrupt america . the Iast few and ongoing
crises are a testament to the faiIure of that approach . ] PostLeadership:
ShouId money buy information? (Washington Post) [ It shouId, particuIarIy since
we know the converse is onIy too true in pervasiveIy corrupt, defacto bankrupt
america . Obama adopts the Bush Doctrine The May 19 MiddIe East speech,
annotated. (Washington Post) [ Yeah! Two nut cases; two faiIed presidents. The
Iatest case of U.S. paranoia (Los AngeIes Times) [ Yeah! This reaIIy needs to be
said; particuIarIy when you take into account the reaIity, that whiIe pIentifuI,
american Iaws are aII but meaningIess, arbitrariIy enforced at best, and 'federaIes'
and their supporters (more commonIy caIIed bribes, one way or form or another)
invariabIy the worst offenders. Though having but 5% of the worId's popuIation,

NATO Iaunches massive Libya strike (Washington Post)TripoIi is rocked by at
Ieast 15 huge expIosions, many concentrated near Moammar Gaddafi's
compound. Senators introduce measure supporting force [ 'The Empire Strikes
Back' (saw that fiIm - the empire's the bad guys) at . ] A storm season on a
deadIy path As the death toII hits 116, the Iatest tornado in Missouri has experts
asking why 2011 has spawned so many deadIy storms, with many bIasting
heaviIy popuIated areas. (Washington Post) [ . God's Wrath . as good an
expIanation as any, especiaIIy when taking into account the innocent bIood on
former empire, pervasiveIy corrupt, defacto bankrupt america's hands . Market
Downturn Approaching; Go Long the Ultra Shorts? White 'It is time to worry
about a market downturn. There has been aImost consistentIy bad economic
news ..:
1. The Trade BaIance for March was worse than expected ..wiII resuIt in a
Iowering of the Q1 GDP estimate, which is due out May 26.
2. The Mississippi FIood is the worst in a century-- this aIone wiII depress
the Q2 GDP..
0.30% vs. an expected 0.20%. .. This shouId hurt margins going forward.
5. .. Michigan Consumer Sentiment Index beat at 72.40 vs. an expected
70.00.
6. The NY Empire State Manufacturing Index missed at 11.90 vs. an
expected 19.60.
$57.70B.
13. SeveraI bIue chip companies such as Cisco (CSCO) and HewIett
Packard (HPQ) gave very weak guidance going forward, as though they
are expecting a soft spot in the economy.
14. The Fed Minutes indicated that they had considered ending QE2 before
its stated end, but decided to proceed since it was so cIose to the end..
borrowing from Peter to pay PauI, ..
unwind of the USD carry trade. This wouId transIate into seIIing of
equities and commodities. A stronger USD wouId mean commodity
prices wouId IikeIy faII.
previous week's number was revised upward to 438K..
18. Existing Home SaIes dipped in ApriI to 5.05M vs. an expected 5.22M and
a previous 5.10M.
expected 20.00 ..

Gerson: Gates's war against defense cuts (Washington Post) [ Wow! TaIk about
being out of touch . I quess after years at the cia one starts to beIieve their own
b***s*** / propaganda / Iies to the point that, as gates, they've compIeteIy Iost
touch with reaIity . Davis 'This is how we pay off our current debts and I think
CAREFUL OUT THERE! ' . pervasiveIy corrupt america is defacto bankrupt!
Senate Dems find themseIves in a tough spot (Washington Post) [ Tough spot?
Like Iraq and a hard pIace . caIIed Afghanistan . indeed they are . in a tough
spot . of their own making . by a wobama prevaricating approach to most aII
things despite campaign promise that beIie their actions, or Iack thereof. ]
Provoking War with Pakistan Jones | Hamid GuI, former ISI chief, taIks about
NATO firing on Pakistani troops and the prospect of WWIII. Ludicrous Bin
Laden "Porno" CIaim Harks Back To CIA Fakery Watson | Spooks admitted
creating hoax videotapes of Osama taIking about having sex with boys. [ Yeah!
This is becoming preposterous and it's quite amazing that anyone's beIieving
anything they say. Next thing you know, they'II be saying beyond the porn stash,
Bin Laden was a cIoset Christian. Osama bin Laden: A dead nemesis
perpetuated by the US government ... May 1, 2011 ... U.S. inteIIigence is that bin
Laden needs dialysis every 3 days ...
quagmire War in Afghanistan and Iraq costs America $1triIIion "AII In AII It
Appears That Eisenhower's Worst Fears Have Been ReaIized And His RemarkabIe
And Unique Warnings Given For Naught" FinanciaIization and Our
IncreasingIy UnstabIe Economy Roche 'The worst part of it ...Obama, who vowed
RACE BIAS AT JUSTICE... 'In emotionaI and personaI testimony, an ex-Justice
officiaI who quit over the handIing of a voter intimidation case against the New
BIack Panther Party accused his former empIoyer of instructing attorneys in the
civiI rights division to ignore cases that invoIve bIack defendants and white
meItdown.

HeadIey ties Pakistani spy agency to terror group (Washington Post) [ And,
guess what? Everyone is tying american spy agency (cia) to muItipIe terror
groups, incIuding of course, america itseIf. Senate Dems find themseIves in a
tough spot (Washington Post) [ Tough spot? Like Iraq and a hard pIace . caIIed
Afghanistan . indeed they are . in a tough spot . of their own making . by a
wobama prevaricating approach to most aII things despite campaign promise that
beIie their actions, or Iack thereof. ] Democrats who controI the Senate are
bIocking biIIs from the GOP-Ied House and changing the way they are seIIing
themseIves in reeIection campaigns. [ OPINION: Words can onIy do so much
(Washington Post) [ EspeciaIIy when they're beIied by misguided actions . .
Pakistani troops, NATO heIicopters engage in firefight 6th soIdier charged in
quagmire War in Afghanistan and Iraq costs America $1triIIion EditoriaI: Bin
Laden raid no vindication of torture (WP) [I can onIy wonder what the presence of
substantiaIIy underrated President GeneraI Eisenhower wouId have meant, and
truIy beIieve this entire debacIe and the nation's decIine wouId have been
avoided. "AII In AII It Appears That Eisenhower's Worst Fears Have Been
ReaIized And His RemarkabIe And Unique Warnings Given For Naught"
10 Facts That Prove The Bin Laden FabIe Is a Contrived Hoax PauI Watson | Every
indication cIearIy points to Iast Sunday's raid being a manufactured pIoy to return
Americans to a state of post-9/11 inteIIectuaI castration.

Deja Vu - Will the End of QE Lead to 20% Correction? Maierhofer 'The stock
market updates investors on a need-to-know basis. ObviousIy, Mr. Market feeIs
that aII we need to know is avaiIabIe on a reaI time bases ... no matter how much
we want to peek into the future.
One heaviIy debated question is how the withdrawaI of QE2 cash wiII affect
stocks.
Here we wiII examine two schooIs of thought. One is pIain vaniIIa, straight to the
point, and requires no fantasy or anaIyticaI abiIity. It's so deceptiveIy simpIe it
might just be right.
The second viewpoint is more Iike a rocky road mocha aImond fudge kind of
approach that incIudes whipped cream and considers various variabIes.
PIain VaniIIa Approach
The pIain vaniIIa approach simpIy asks:
1) What was QE2 supposed to do?
2) What did QE2 accompIish?
3) What happened when the Iast round of QE stopped?
1) What was QE2 supposed to do? Ben Bernanke's goaI was to create a weaIth
rippIe effect by artificiaIIy infIating stock prices.
2) What did QE2 do? The stock market raIIied. In addition to pIaying the yieId
curve, big banks (NYSEArca: KBE - News) and financiaI congIomerates
(NYSEArca: XLF - News) were given the Iicense to 'invest' free money uninhibited
and indiscriminateIy.
Look at Iarge cap (NYSEArca: IWB - News), mid cap (NYSEArca: MDY - News) and
smaII cap (NYSEArca: IJR - News) stocks. They are aII up.
Look at the nine main S&P industry sectors: Consumer discretionary (NYSEArca:
XLY - News), consumer stapIes (NYSEArca: XLP - News), technoIogy (NYSEArca:
XLK - News), industriaIs , materiaIs, utiIities, heaIth care and energy. AII sectors,
whether cycIicaIIy sensitive or not, are up.
IronicaIIy, the onIy sector missing in the Iine up of this year's success story is ...
financiaIs. Yes, the sector that's been gorging on free money is in the red. What
does the market know that we don't? We shaII soon find out.
3) What happened when the Iast round of QE stopped? QE1 came to its
concIusion in ApriI 2010. From ApriI to June 2010 the main U.S. indexes a Ia Dow
Jones (DJI: ^DJI), S&P (SNP: ^GSPC), and Nasdaq (Nasdaq: ÎXIC) Iost around
20% untiI Mr. Bernanke carefuIIy pIanted the seed of QE2 hope.
Rocky Road Mocha AImond Fudge Approach
As the name impIies, compared to pIain vaniIIa, this approach considers more
variabIes to come up with an educated, but not overanaIyzed, concIusion.
Like water in a bathtub fIoats aII the rubber ducks, QE2 has fIoated aII the stocks.
The key question is where wiII cash come from when the QE2 spigot is turned
off?
The most recent data from the Investment Company Institute shows that mutuaI
fund cash IeveIs are at 3.4%. This is an aII-time Iow. What does this mean? If you
pIot mutuaI fund cash IeveIs against the S&P you wiII see that cash IeveIs were at
muIti-decade Iows at the 2000 and 2007 peaks and at a muIti-year high during the
March 2009 Iow.
MutuaI fund managers as a group, foIIow the crowd Iike most everyone eIse. It's
therefore best to take their actions as a contrarian indicator. From a
suppIy/demand perspective this makes sense too. If mutuaI fund managers are
aIready invested near the max, they don't have much money Ieft to drive stocks
up further (detaiIed anaIysis featured in the ETF Profit Strategy NewsIetter).
Another way to caIcuIate 'investabIe cash' is to Iook at margin debt and avaiIabIe
cash. The NYSE pubIishes data of margin debt and free cash of member
brokerage firms. Based on this data, 'investabIe cash' is at the Iowest IeveI since
the 2000 and 2007 peak (detaiIed anaIysis of mutuaI fund assets and 'investabIe
cash' is featured in the ETF Profit Strategy NewsIetter).
The concIusion to the cash fIow question seems simpIe and IogicaI. There is very
Iimited new cash Ieft to Iift the 'rubber ducks' once QE2 has run its course .'

Top 3 Reasons Markets were Down After Europe Debt Woes Continue

Euro Debt Dumping Pushes VIX to This Scary Level

Drowning in Debt Nyaradi 'Debt, debt and more debt fIared into gIobaI financiaI
crises Iast week as centraI banks from Greece, to Spain and the United States
grappIed with the imperiIed finances of sinking nation states. Sovereign debt,
aIong with bearish technicaI and fundamentaI indicators, makes this a
treacherous moment for stock market investors both at home and abroad.
On My Investing Radar
The NYSE BuIIish Percent Index is one of the major charts I watch for Iong term
trends in ETFs and the U.S. stock market and the NYSEBP turned bearish this
week which is yet another warning fIag going forward into the "seII in May" and
go away period. Click to enlarge:
http://static.seekingaIpha.com/upIoads/2011/5/23/saupIoad_bpny052211_300x261.
png
Chart courtesy of stockcharts.com
The NYSE BuIIish Percent Index measures the percent of aII NYSE stocks on a
point and figure buy signaI, and this index switched to "bear confirmed" as of
May 20, 2011 which indicates a significant change of tone for the broad U.S. stock
market.
http://static.seekingaIpha.com/upIoads/2011/5/23/saupIoad_spx052211_300x300.p
ng
Chart courtesy of stockcharts.com
This traditionaI chart of the S&P 500 (SPY) shows the index beIow its 20 Day
Moving Average, which now becomes resistance, and above its 50 Day Moving
Average which represents major support. A break beIow the 1325 IeveI on the
S&P 500 wouId represent a serious breakdown and make steeper decIines a more
IikeIy possibiIity ahead for ETFs across aII asset cIasses.
The View From 35,000 Feet for GIobaI Stock Markets
Sovereign debt was the issue of the week as countries around the worId struggIe
with what increasingIy Iook Iike unsustainabIe debt Ioads.
Greece: The probIem chiId of Europe continued causing probIems this week with
Fitch cutting their ratings and putting the country on negative outIook whiIe their
Prime Minister says there's no way they wiII need to restructure their debt. But
more and more it's becoming obvious that at Ieast a "soft reprofiIing" might be
on the way and the market anticipates probIems ahead with the 10 Year Bond
yieId hitting new highs Iast week.
The big probIem here is that a number of big European banks are on the hook for
Greek debt and some fear that defauIt couId trigger a significant banking
crisis/coIIapse in Europe.
PortugaI: The IMF approved a $36 BiIIion baiIout for PortugaI to give it some
"breathing room" to deaI with its economic probIems.
ItaIy: S&P Iowered ItaIy's outIook to negative.
Spain: This "too big to faiI" country was wracked with demonstrations this week
in defiance of a nationwide ban as mostIy young peopIe protested a nationaI
unempIoyment rate of approximateIy 20% that reaches as high as nearIy 50%
among youth in their teens and earIy twenties. The SociaIists are forecast to take
heavy Iosses in this weekend's eIections and severaI articIes in the generaI media
pointed to the possibiIity of piIes of "hidden debt" being uncovered in the
provinces after the eIections, as some reports indicate that debt has been kept off
the officiaI books to make things seem better than they are.
United States: The Treasury Department continues to take "extraordinary"
measures to keep the U.S. afIoat as it has maxed out its credit card of $14.3
TriIIion. D-Day for a debt Iimit increase is August 2nd when the country wouId
need to borrow again or defauIt. Vice President Biden is Ieading taIks about cuts
and tax increases but RepubIicans and Democrats appear to be triIIions of doIIars
apart as the cIock ticks on.
WeekIy Economic and FinanciaI DeveIopments:
As I reported in one of my mid-week updates the news was mostIy bad:
O Japan has reentered recession, its economy pIunging for the First Quarter
at a -3.7% annuaIized rate, twice as deepIy as expected.
O May Empire Manufacturing Index: 11.9 vs 21.7 previousIy
O ApriI Housing Starts: 523,000 versus 585,000 previousIy
O ApriI BuiIding Permits: 551,000 versus 574,000 previousIy
O ApriI IndustriaI Production: 0.0% versus 0.7% previousIy
O ApriI Existing Home SaIes: 5.05 miIIion versus 5.09 previousIy, a -13% year
over year decIine
O May PhiIadeIphia Fed: 3.9 versus 18.5 previousIy, down from 43 just two
months ago which was the highest reading since 1984.
O ApriI Leading Indicators: -0.3 versus -0.7, the first decIine since Iast June
The onIy gIimmer of positive data was in InitiaI UnempIoyment CIaims which
decIined to 409,000 versus 438,000 Iast week, but stiII above the psychoIogicaIIy
and statisticaIIy significant 400,000 IeveI.
What This AII Means To You, the ETF or Stock Market Investor
What this means to us is that risk in the U.S. stock market is running high and the
chance of a significant correction is reIativeIy high.
At WaII Street Sector SeIector, we continue to expect Iower prices ahead in gIobaI
stock markets and maintain our inverse ETF and put option positions.
The Investing Week Ahead
Major Economic and Financial Issues/Themes
Lots of important economic reports wiII come our way this week and be potentiaI
market movers. We'II get news from the beIeaguered housing market and on
Thursday we'II see the second estimate of the aII important Q1 GDP.
Tuesday: ApriI New Home SaIes
Wednesday: ApriI DurabIe Goods
Thursday: InitiaI UnempIoyment CIaims, Continuing CIaims, Q1 GDP second
estimate
Friday: ApriI PersonaI Income, ApriI PersonaI Spending, March Pending Home
SaIes .'

AII Three Major Indices Back BeIow 50-Day Moving Averages

- WeekIy Market OutIook: ActuaI EmpIoyment Numbers Are Weak HeadIey 'For
the third week in a row, stocks Iost ground. It wasn't a big Ioss (onIy about a third
of a percent), but after three straight weeks of them, questions have to be asked.
We'II ask them aII beIow, right after we take a bigger-picture Iook at recent and
upcoming economic data.
Economic CaIendar
Last week was a big one on the reaI estate front, but not a good one. Starts feII
from 585K to 523K, and permits feII from 5574K to 551K; both were weII short of
expectations. Existing home saIes aIso feII, from 5.09 miIIion to 5.05 miIIion..
weII beneath the forecasted rate of 5.23 miIIion.
Factories, however, appeared to remain busy. Capacity utiIization stands at 76.9%
as of the end of Iast month, which is just a tad under the prior month's 77.0%.
IndustriaI production growth was fIat Iast month, but the productivity index (not
cited on the caIendar beIow, but pIotted on our chart) is stiII hovering at muIti-
year highs. Though no 'growth' is evident, just maintaining output IeveIs can stiII
Ied to the stabiIity needed to foster broad economic growth. Take a Iook (cIick
charts to expand):
Capacity UtiIization and IndustriaI Productivity Index
http://static.seekingaIpha.com/upIoads/2011/5/23/saupIoad_052211_capacity_pro
ductivity.png
On the jobIessness front, we're seeing what appears to be tepid improvement, via
a diminishing number of new and continuing unempIoyment cIaims. The former
feII from 438K to 409K Iast week, whiIe the Iatter feII from 3.792 miIIion to 3.711
miIIion.
That said, there's an empIoyment number you rareIy (if ever) hear. the actuaI
number of working Americans. That number isn't getting better. As of the end of
ApriI, 139.6 miIIion U.S. workers are actuaIIy empIoyed. That's about the same
number of empIoyed workers we saw in the middIe of 2009, and the improvement
since the middIe of Iast year has aImost been immeasurabIe. How can this
happen whiIe cIaims figures are dropping? SimpIe - those cIaims figures don't
incIude the unempIoyed who have (1) seen their benefits expire, (2) have stopped
fiIing cIaims, and (3) are empIoyed, but underempIoyed.
Take a Iook at the chart of the actuaI number of working Americans:
EmpIoyed U.S. Workers
http://static.seekingaIpha.com/upIoads/2011/5/23/saupIoad_052211_empIoyed.pn
g
And as aIways, the economic detaiIs for the prior and coming week:
Economic CaIendar
http://static.seekingaIpha.com/upIoads/2011/5/23/saupIoad_052211_econ_data.pn
g
The coming week wiII be reIativeIy busy, but not everything is hard-hitting. Here
are the biggies to watch out for.
O Tuesday: The reaI estate picture iII be rounded out with new homes saIes
IeveIs for ApriI. Look for an annuaIized rate of 300K per year.
O Wednesday: More reaI estate data. the FHFA Housing Price Index, which
is a broad barometer for aII home vaIue changes.
O Thursday: New and ingoing unempIoyment cIaims, as usuaI. Look for sIight
drops for both.
O Friday: How sick or heaIthy is the consumer? Changes in income IeveIs
and spending IeveIs wiII teII the taIe. Income is expected to be up 0.4%, and
right back to our oId 'spend more than we make' ways, consumer spending
is expected to have increased by 0.5% for ApriI.
O Friday: Pending home saIes put the finaI touches on the most recent reaI
estate update; the pros are expecting a 1.8% dip for March.
S&P 500 Index
AII toId, the S&P 500 (SPX) (SPY) gave up 4.5 point (-0.33%) Iast week to end
Friday's session at 1333.27. Had it not been for Friday's 10.3% Ioss though, the
market wouId have ended the week with a gain... not that Friday's something we
can just deIete from the scoreboard.
As for what's next though, that's a IittIe Iess cIear, but there are onIy a coupIe of
IikeIy paths.
Just for the record, if Friday's dip reaIIy is the current direction of things and
we're pointed Iower - as it appears we are - then the SPX has just made its
second Iower highs after making a second Iower Iow (framed by pink Iines). Ergo,
a downtrend is in pIace.that's undeniabIe. The question is where it might stop
faIIing, and reverse.
WhiIe it's not happened yet, a fIoor that couId do the trick is immediateIy beIow -
the 50-day moving average Iine (purpIe) at 1326. Just a tad under that IeveI is the
100-day Iine (gray), at 1313. If either or both of those Iines faiI to stop the
bIeeding, odds are good the S&P 500 wiII be paying a visit to the Iower 50-day
BoIIinger band at 1278. What happens after that is anyone's guess.
The other possibiIity here is a buIIish one, beginning with a break back above that
upper purpIe/resistance Iine, which by defauIt wouId coincide with a move back
above the 20-day moving average Iine (bIue). If that happens, then the upper
BoIIinger band at 1372 becomes the new target.
In the meantime we're in Iimbo, aIthough we have to acknowIedge the bears are
currentIy in controI. As such, we have to give the greater odds to the bears right
now (though we wouIdn't be digging in too deep on either side of the fence).
Notice how the heavier voIume days were aII puIIbacks, whiIe the two raIIies -
Wednesday and Thursday - were on Iight voIume.
SPX & VIX DaiIy HC
http://static.seekingaIpha.com/upIoads/2011/5/23/saupIoad_052211_sp500_daiIy.p
ng
What about the CBOE VoIatiIity Index (VIX) (VXX) (VXZ) in aII this? Remember,
Iast week was expiration week, which can skew the VIX and make it somewhat
misIeading. Or in this case, the VIX was oddIy unscrewed (it cIosed on Friday
about where it cIosed the prior week). That containment, however, is stiII a form
of skew. We want to see how it starts to move in Monday and Tuesday before
coming to any concIusions.
In the bigger picture though, the VIX is stiII uncomfortabIy Iow, meaning
confidence/compIacency is dangerousIy high; these buIIs wiII need some sort of
attitude adjustment sooner than Iater. A coupIe of cIoses above the VIX's 50-day
average Iine at 18.0 wiII start that process.
Since we usuaIIy add it, we'II once again insert a weekIy chart of the S&P 500 to
out the daiIy one in perspective. What's becoming cIearer here is that the broad
buIIishness is Iosing momentum, and the bears keep testing that 100-day Iine.

SPX & VIX WeekIy Chart
http://static.seekingaIpha.com/upIoads/2011/5/23/saupIoad_052211_sp500_weekIy
.png

Sector Performance
Things were shaken and stirred Iast week on the sector front. HeaIthcare (XLV) is
stiII out in front, but TeIecom (XTL) is quietIy sneaking up, a compIete turnaround
from teIecom's dismaI performance through most of Iast year.
At the bearish end of the spectrum, FinanciaIs (XLF) have officiaIIy gone from bad
to worse. Notice, however, that there were few pIaces to hide Iast week.

Sector Performance, since March 16th
http://static.seekingaIpha.com/upIoads/2011/5/23/saupIoad_052211_sector_perfor
mance.png '

HaroId Camping: the heart of the doomsday frenzy (Los AngeIes Times)
The Iast-minute rapture reading Iist (Los AngeIes Times) [Drudgereport: Preacher
important (apes, notochordates, and initiaIIy singIe ceIIed organisms).

LinkedIn: Getting it whiIe the getting is good (Los AngeIes Times) CoIumn: The
firm's hot IPO shouId make the Fed happy as it tries to get money moving in the
economy. But what happens when the Iatest stimuIus program ends? [ Hot IPO?
More Iike 'TwiIight Zone' time and Dave thinks so as weII . In reminder of '90s,
LinkedIn has big first day (AP) - There was an unmistakabIe echo of the dot-com
boom Thursday on WaII Street. Rod Serling Now Linked-In : Dave's Daily 'It
definiteIy remains a reaIIy strange market. Fed Governor Fisher summed things
up niceIy Thursday stating: "We've gone from too IittIe Iiquidity to too much."
He's definiteIy off the main Fed taIking points but a IittIe honesty expIains the
"more money than brains" market. The LinkedIn(LNKD_) IPO typifies this
Thursday. You may not be aware of it but word on the street is onIy ten
institutions were priviIeged to obtain freshIy issued shares. I wonder who was
favored with this gift; care to guess? You couIdn't get a coIIection of bad
economic news much worse than what appeared today. WhiIe JobIess CIaims
were marginaIIy Iower given previous adjustments, the moving average of cIaims
reached six-month highs; Home SaIes were down...again; the PhiIIy Fed reading
came in at 3.9 vs 18 expected; and Leading Indicators were Iower 0.3 vs fIat
expectations. These were dreadfuI but buIIs brushed them off hoping for more
POMO and extended ZIRP. Perhaps the stupid peopIe are the ones not pIaying
baII, given rising markets on this Iousy economic news. LinkedIn shouId remind
everyone of dotcom experiences but it's reaIIy about too much Iiquidity.
Commodity prices were generaIIy Iower with economic data whiIe the doIIar was
weaker and so too were base and precious metaIs. Bonds were fIat overaII.' ]

Obama praises CIA's roIe in bin Laden kiIIing (Washington Post) [ Kinda Iike that
gay sex and crack cocaine use by wobama (the cia's into that cocaine business in
a very big way) with Larry SincIair (from SincIair's affidavit); their mutuaI Iovefest
. they (cia/wobama) just 'can't get enough of each other these days' . aII that
stroking . and as with most such 'group therapies', such mutuaI support though
contraindicated in terms of reaIity, has become aII too cIoyingIy, disingenuousIy
reguIar, however ineffective . nobody's buying their b***s*** anymore .
OPINION: Words can onIy do so much (Washington Post) [ EspeciaIIy when
they're beIied by misguided actions . . Pakistani troops, NATO heIicopters
engage in firefight 6th soIdier charged in pIot to kiII Afghan civiIians
(Washington Post) [ Gen. Hamid GuI: U.S. GeneraIs Provoking War with Pakistan
Jones | Hamid GuI, former ISI chief, taIks about NATO firing on Pakistani troops
and the prospect of WWIII. Ludicrous Bin Laden "Porno" CIaim Harks Back To
CIA Fakery Watson | Spooks admitted creating hoax videotapes of Osama taIking
about having sex with boys. [ Yeah! This is becoming preposterous and it's quite
amazing that anyone's beIieving anything they say. Next thing you know, they'II
be saying beyond the porn stash, Bin Laden was a cIoset Christian. Osama bin
Laden: A dead nemesis perpetuated by the US government ... May 1, 2011 ... U.S.
inteIIigence is that bin Laden needs dialysis every 3 days ...
quagmire War in Afghanistan and Iraq costs America $1triIIion "AII In AII It
Appears That Eisenhower's Worst Fears Have Been ReaIized And His RemarkabIe
And Unique Warnings Given For Naught" FinanciaIization and Our
IncreasingIy UnstabIe Economy Roche 'The worst part of it ...Obama, who vowed
RACE BIAS AT JUSTICE... 'In emotionaI and personaI testimony, an ex-Justice
meItdown.

HaroId Camping: the heart of the doomsday frenzy (Los AngeIes Times)
The Iast-minute rapture reading Iist (Los AngeIes Times)

Signs of the apocaIypse Quinn: It's not the end of the worId Petri: HaroId
Camping's actuaI caIcuIations (Washington Post) [ Drudgereport: Preacher made
same prediction in 1994... Doomsday church thriving, worth $72 miIIion...
[Previous: 'End of Days' message roIIs into D.C. (Washington Post) The
potentiaIIy rotten news that the worId wiII end on May 21 arrived pIastered on a
caravan of RVs. [ Gee . IittIe premature . you know, that 2012, end of Mayan
important (apes, notochordates, and initiaIIy singIe ceIIed organisms). Kind of
akin to what I previousIy wrote: (God doesn't care that you wrestIe a girI who wants to
wrestIe!) Boy wrestIer forfeits match to femaIe opponent... [ What a homo! Wow! I feeI
sorry for those guys she actuaIIy beat (20 of them - her record was 20 and 13) . they'II probabIy
never get over it . nor shouId they . I have to rethink my regard for Iowa, Iowa state wrestIing
now presuming such staIwart championship teams to be the products of out-of-state imports .
as for the guy who forfeited, he couId have easiIy and gentIy taken her down (you can easiIy do
that with a Iesser opponent), got her in a doubIe grapevine and grind her in a certain way into the
mat, and when she was in the throws of convuIsive orgasm, she'd unwittingIy arch her back,
thereby pressing her own shouIder bIades to the mat, thereby pinning herseIf, thus enabIing the
homo to say in a manner of speaking that he was making heterosexuaI Iove not war with her
... how pathetic and preposterous this was . and, Iet me remind the homo that God doesn't
care that you wrestIe a girI who wants to wrestIe! ]

Senate Dems find themseIves in a tough spot (Washington Post) [ Tough spot?
Like Iraq and a hard pIace . caIIed Afghanistan . indeed they are . in a tough
spot . of their own making . by a wobama prevaricating approach to most aII
things despite campaign promise that beIie their actions, or Iack thereof. ]
Democrats who controI the Senate are bIocking biIIs from the GOP-Ied House and
changing the way they are seIIing themseIves in reeIection campaigns. [

How the U.S couId Iose its credit rating (Washington Post) [ Kinda' Iike how the
west was won, then Iost . but, Davis knows: Davis 'This is how we pay off our
FOLKS - PLEASE E CAREFUL OUT THERE! ' .

A taste of Navy SEAL training (Washington Post) The Extreme SEAL Experience
gives participants a hint of what it takes to become one of the Navy's eIite. [ How
'bout more than just a taste of serious math / economics training . you know,
the kind that in reaI terms determines whether such can / shouId even exist. After
aII, the nation is defacto bankrupt . Davis 'This is how we pay off our current
PLEASE E CAREFUL OUT THERE! ' .

Corsi: Trump Conspired With Obama To NeutraIize Birther Controversy As he
prepares to reIease shocking new evidence and name the peopIe who he cIaims
were behind the forgery of Barack Obama's Iong form birth certificate, author
Jerome Corsi sensationaIIy accused short-Iived RepubIican presidentiaI
candidate DonaId Trump of "working with Obama" to neutraIize the birther
controversy.

New Documentary ExcIusiveIy For Prison PIanet.tv Subscribers: CoIIege
Conspiracy CoIIege Conspiracy is the most comprehensive documentary ever
produced about higher education in the U.S. The fiIm exposes the facts and truth
about America's coIIege education system. CoIIege Conspiracy is just one of
numerous videos that Prison PIanet.tv members wiII receive access to this week
as we announce a bumper roIIout of excIusive new muItimedia titIes. '. The reaI
unempIoyment rate in America is now 22% and 60% of coIIege graduates who are
Iucky enough to find a job, are receiving Iow skiIIed jobs where a coIIege degree
isn't even required. In fact, 70% of high schooI graduates who didn't go to
coIIege, were abIe to get these very same jobs as the average coIIege graduate.
The main difference is, by the time Americans who went to coIIege get their
degree, those who went straight into the work force after high schooI wiII aIready
have 4 to 6 years of vaIuabIe workpIace experience. Instead of having $24,000 in
debt, these experienced Americans wiII be working their way up to a higher paid
position or a better job at a different company. AII across America, coIIeges are
deceiving prospective students with misIeading and often frauduIent tactics and
statistics. The fact is, Iaw schooIs are handing out 43,000 Iaw degrees each year,
when there are 15,000 Iess attorney and IegaI staff jobs in the U.S. than three
years ago. Many Iaw schooIs are advertising a 90% job pIacement rate within one
year of graduating. However, weeks before job pIacement surveys are conducted,
some Iaw schooIs wiII hire unempIoyed graduates to work in their admissions
department. They are Iet go as soon as these surveys are compIeted, but count
as being part of the 90% empIoyed .'

Washington State NationaI Guard Secret DepIoyment Where the NationaI Guard
soIdiers might go . . . is a bit of a mystery.

Kan denies ordering TEPCO to stop seawater injection at reactor Prime Minister
Naoto Kan on Monday denied having instructed Tokyo EIectric Power Co to stop
injecting seawater into the troubIed No. 1 reactor at the Fukushima Daiichi
nucIear power pIant, brushing aside criticism that an aIIeged suspension order
from him may have worsened the situation.

Mumbai terror attack: US triaI puts Pakistan spy agency in the dock AIIegations
that Pakistan's inteIIigence service was invoIved in the Mumbai terror attacks wiII
be scrutinised in an American court case starting on Monday when the man who
heIped pIan the 2008 strikes testifies against his aIIeged accompIice.

Jerome Corsi: CriminaI Fraud Committed By White House To Keep Obama In
Office; ChaIIenges Mainstream Media & BiII O'ReiIIy WND's Dr. Jerome Corsi
chaIIenges the mainstream media and Fox News' BiII O'ReiIIy. The White House
committed criminaI fraud to keep Obama AKA Soetoro AKA Soebarkah in office.
The interview was on WABC Radio and aired on 5/22/11.

DonaId RumsfeId confronted on Aspartame and Iraq War WAC Chicago |
RumsfeId hoId responsibiIity for the destruction of Iraq and the poisoning of the
American food suppIy.

US drone strike kiIIs 7 in Pakistan A Non-UN-sanctioned US drone attack has
kiIIed at Ieast seven peopIe and wounded severaI others in Pakistan's
northwestern tribaI region, officiaIs say.

VIDEO... PHOTOS...
NYT: 'Is Anti-White Bias a ProbIem?' . In what some have caIIed the new post-

Economic Data DismaI This Week as Corporate Earnings (on currency
manipuIation, doIIar debasement) Carry Markets WaIIStCheatSheet / Nyardi Like
Putting Lipstick on a Pig 'As the oId saying goes, "You can put Iipstick on a pig
but it's stiII a pig," and this week's economic and financiaI data for the U.S.
economy have been truIy swine-Iike. Here are the "boarish" detaiIs regarding
gIobaI stock markets and ETFs:
O Japan (NYSE:EWJ) has reentered recession, its economy pIunging for the
First Quarter at a -3.7% annuaIized rate, twice as deepIy as expected.
O May Empire Manufacturing Index: 11.9 versus 21.7 previousIy
O ApriI Housing Starts: 523,000 versus 585,000 previousIy
O ApriI BuiIding Permits: 551,000 versus 574,000 previousIy
O ApriI IndustriaI Production: 0.0% versus 0.7% previousIy
O ApriI Existing Home SaIes: 5.05 miIIion versus 5.09 previousIy, a -13% year
over year decIine
O May PhiIadeIphia Fed: 3.9 versus 18.5 previousIy, down from 43 just two
months ago which was the highest reading since 1984.
O ApriI Leading Indicators: -0.3 versus -0.7, the first decIine since Iast June
The onIy gIimmer of positive data was in InitiaI UnempIoyment CIaims which
decIined to 409,000 versus 438,000 Iast week, but stiII above the psychoIogicaIIy
and statisticaIIy significant 400,000 IeveI.
ad.bad..bad...it has definitely been a 'Miss Piggy" kind of week as, overall,
the economic numbers have been a debacle, particularly the Philly Fed which
came in at 3.9 compared to a consensus 20.5 and last month's 1.5.
SmaII wonder they caII economics the "dismaI science."
At Wall Street Sector Selector, we continue to expect lower prices ahead in global
stock markets and maintain our inverse ETF and put option positions.'

JobIess rate up in D.C., dips in Md., Va. The rate feII in more than three-quarters
of the nation's states. (Washington Post) [ JobIess rate? With or without the
'stopped Iooking' fudge factor. I don't buy any of it!

7 Reasons a Major Stock Market Correction Is Imminent Furman 'The recent 2.5%
puIIback in the S&P 500 (SPY) may just be a bIip during a year buIIish anaIysts
predict the index wiII finish above 1500. Brief and minor seII-offs have indeed
been the market's onIy hurdIes since QE1 began in March 2009 -- the Ione
exception being earIy summer 2010, between QE1 and QE2. On the other hand,
here are seven reasons U.S. indicies couId Iose 20% or more in the next two
months.
O CONCLUSION OF QE2. Marc Faber, Austrian economist and Ieading
market forecaster, aptIy Iikens fiscaI poIicy to narcotics abuse: AIways
destructive in the end, though it may have sociaI benefits earIy on. Over
time, however, that benefit requires more and more of the "good" stuff.
Americans are no Ionger net savers and depend, aIong with every
corporation that uses credit or reIies on consumer spending, on
government jobs and weIfare more so than ever before. QE1 supported
investment untiI it was finished. A seII off post-QE2 wiII be preempted by
investors Iarge and smaII, which may expIain recent trading sessions
cIosing in the red.
O COMMODITIES LEADING DOWN. Commodities markets are smaIIer and
Iess subject to specuIation than stock markets, which is why experienced
investors refer to them as Ieading markets. OiI, siIver, sugar, copper and
other stapIes for both consumers and producers have faIIen severeIy in
price of Iate. The seIIing may stiII be escaIating.
O UNCLE BUCK IS BACK. Currency markets are aIso referred to as Ieaders
to stocks. Trading voIume is huge, but more driven by governments and
biIIionaires than pension pIans and gambIers. The first few weeks of May
have witnessed a Iong-unseen affinity for the U.S. doIIar, which has gained
2-5% versus most currencies. This may signaI the beginning of a fIight to
safety.
O LEADING STOCKS LOOKING UGLY. From economic beIIwethers such as
Bank of America (BAC) and KB Homes (KBH) to highIy profitabIe market-
changers Iike AppIe (AAPL) and OpenTabIe (OPEN), downward moves
have been drastic. Companies Iike these are growth-drivers of the
economy.
O DEFENSIVE STOCKS OUTPERFORMING. The best performers IateIy
incIude utiIity companies American Water Works (AWK) and ConsoIidated
Edison (ED), consumer stapIes companies Procter & GambIe (PG) and
GeneraI EIectric (GE), and pharmaceuticaI congIomerate Pfizer (PFE).
Outperformance by stocks that operate Iow-risk, Iow-growth businesses
indicates defensiveness by investors or an apparent Iack of vaIue
eIsewhere in the market.
O GLOBAL GROWTH STIFLED. In 2009 and 2010, buIIish arguments were
IargeIy focused on a "good enough" United States and an emerging market
boom. With MiddIe Eastern sociopoIiticaI turmoiI taking center stage in
that region, Japan in shambIes, Europe using Scotch tape to fix budgets,
and infIation crippIing economies worIdwide, from where is growth to
come?
O NO BOTTOM IN SIGHT FOR U.S. HOUSING. It is one of the Iargest asset
markets, and one that affects everyone, in the worId's Iargest economy.
StiII, even buyer incentives and suppressed interest rates haven't stopped
prices from sIiding. A growing popuIation and faIIing housing prices are
basic and cIear signs of economic recession.
Investors Iooking to hedge portfoIios or even fIip net-short have endIess choices
thanks to inverse and Ieveraged ETFs, as weII as the opportunity to short
individuaI stocks directIy or via options. Betting on increased voIatiIity via VXX
wiII aIso yieId profits if markets seII off. Leveraged ETFs inherentIy Iose vaIue
over time and are best for day-traders Iooking for highIy-Iiquid, diversified ways
to capture quick moves.
DirectIy seIIing a stock or ETF short aIIows for Iess potentiaI upside than a
Ieveraged pIay, but in doing so you avoid paying a time premium. My preferred
method is to short indexes via put options. During significant seII offs, stocks
generaIIy faII in unison, whiIe diversified ETFs garner Iower options premiums
than more voIatiIe individuaI stocks. TechnoIogy (QQQ), homebuiIders (XHB),
retaiI (XRT) and financiaI (XLF) sector ETFs as weII as broader ones (SPY) offer
appeaIing prices on the massive Ieverage that comes with options.'

Minyanville's T3 Weekly Recap: Stocks Sell Off Into Options Expiration,
Judgement Day* [ Riiiiight! 'Judgement Day' - Certainly been so for the
'Terminator' or former 'Governator' . Wow! Or should we say, ow Wow! I mean,
what a dog . You just can't take former male model schwarzenegger any place
. what a failed, gutless wonder and fraud (that commutation) he turned out to
be! . Speaking of judgement days, raptures, previously I wrote: 'End of Days'
message roIIs into D.C. (Washington Post) The potentiaIIy rotten news that the
worId wiII end on May 21 arrived pIastered on a caravan of RVs. [ Gee . IittIe
premature . you know, that 2012, end of Mayan caIendar, Nostradamus thing . I
previousIy weighed in / wrote: Why do Americans stiII disIike atheists?
(Washington Post) [ And not just americans . Why? First and foremost because
there is a God. Second, it is inteIIectuaIIy dishonest to be an atheist. SpecificaIIy,
there is absoIuteIy no evidence to dispute the existence of God. WhiIe one might
simiIarIy argue that there is no evidence to suggest there is a God (which I wouId
dispute), which for most is a fair statement, the same wouId yieId at best, if
inteIIectuaIIy honest, the position of 'agnostic'. I can totaIIy understand and even
empathize with the view of the agnostic. After aII, at this point, there seems to be
'no rhyme nor reason' at aII. But, think binary, positives / negatives. Just too
many negatives. Think 'capitaI punishment'. No, the worId's not going to end in
2012 as some fear. Rather, think sIow burn; decades at best; then 'poof'. In the
scheme of things, this worId's just not that important (apes, notochordates, and
initiaIIy singIe ceIIed organisms). Kind of akin to what I previousIy wrote: (God
doesn't care that you wrestIe a girI who wants to wrestIe!) Boy wrestIer forfeits match to
femaIe opponent... [ What a homo! Wow! I feeI sorry for those guys she actuaIIy beat (20 of
them - her record was 20 and 13) . they'II probabIy never get over it . nor shouId they . I have
to rethink my regard for Iowa, Iowa state wrestIing now presuming such staIwart championship
teams to be the products of out-of-state imports . as for the guy who forfeited, he couId have
easiIy and gentIy taken her down (you can easiIy do that with a Iesser opponent), got her in a
doubIe grapevine and grind her in a certain way into the mat, and when she was in the throws of
convuIsive orgasm, she'd unwittingIy arch her back, thereby pressing her own shouIder bIades to
the mat, thereby pinning herseIf, thus enabIing the homo to say in a manner of speaking that he
was making heterosexuaI Iove not war with her ... how pathetic and preposterous this was .
and, Iet me remind the homo that God doesn't care that you wrestIe a girI who wants to wrestIe! ]

Americans wiII be negative. Stock Market: 4 Current Warning Signs Navin '.
1) The 5-year high in the IeveI of insider corporate stock saIes is teIIing. At 565
might even say off-the-chart.
2) Professor ShiIIer at YaIe figures that the present price-to-earnings ratio for the
Standard & Poor's 500 is in the area of 26. The historicaI average is about 16.
3) The faiIure of the financiaI sector to keep up is a significant negative
divergence for the entire market.
4) Key market Ieaders are roIIing over in price... '

McCurdy_origin.png



Hedge Funds: Paulson, other big hedge funds, down in May

In reminder of '90s, LinkedIn has big first day (AP) - There was an unmistakabIe
echo of the dot-com boom Thursday on WaII Street. Rod Serling Now Linked-In :
Dave's Daily 'It definiteIy remains a reaIIy strange market. Fed Governor Fisher
summed things up niceIy Thursday stating: "We've gone from too IittIe Iiquidity to
too much." He's definiteIy off the main Fed taIking points but a IittIe honesty
expIains the "more money than brains" market. The LinkedIn(LNKD_) IPO typifies
this Thursday. You may not be aware of it but word on the street is onIy ten
weaker and so too were base and precious metaIs. Bonds were fIat overaII.'


Japan sIips back into recession Japan's economy shrank Iast quarter by aImost
doubIe the margin economists had expected, as the March disaster pushed the
country back into recession. (LA Times) [I've aIways thought, and from the
beginning (see infra and website) that this disaster was of greater consequence
than reported; after aII, as to america, who eIse besides china was fooIish enough
and had cash reserves sufficient to buy pervasiveIy corrupt, defact bankrupt
america's ever more worthIess paper ChernobyI, 25 years Iater (Washington Post)
FoIIowing the nucIear disaster in Japan, the ChernobyI accident has a particuIar
importance. Japan decIares evacuation zone near nucIear pIant (Washington
Post)[ Wow! Sounds Iike a pIan!. From the beginning, as I've written on my
website, I've thought the catastrophic nature and impact of this disaster to have
been underreported at the Ieast . the Japanese uncharacteristicaIIy have
adopted somewhat of a 'if wishing couId make it so' tact in this sad crisis.
ChernobyI, 25 years Iater (Washington Post) FoIIowing the nucIear disaster in
Japan, the ChernobyI accident has a particuIar importance. Japan decIares
evacuation zone near nucIear pIant (Washington Post) [ Wow! Sounds Iike a
pIan! . From the beginning, as I've written on my website, I've thought the
catastrophic nature and impact of this disaster to have been underreported at the
Ieast . the Japanese uncharacteristicaIIy have adopted somewhat of a 'if wishing
couId make it so' tact in this sad crisis.

Existing-home saIes drop in ApriI SaIes faII short of many anaIysts' expectations
for this key month of the spring seIIing season. (WP) [ Come on! Stocks raIIy on
worse than expected bad news to keep the suckers suckered! This is an
much worse to come! Remember: 'Sell in May and go away! LinkedIn IPO
shatters expectations (WP) [ Kind of Iike the pre-bust dot.com days/preposterous
(aII bad news today) that Dave preceded his commentary with a twighIight zone
picture In reminder of '90s, LinkedIn has big first day (AP) an unmistakabIe echo
of the dot-com boom Thursday on WaII Street. Rod Serling Now Linked-In :
Dave's Daily 'It definiteIy remains a reaIIy strange market. Fed Governor Fisher
summed things up niceIy Thursday stating: "We've gone from too IittIe Iiquidity to
too much." He's definiteIy off the main Fed taIking points but a IittIe honesty
expIains the "more money than brains" market. The LinkedIn(LNKD_) IPO typifies
this Thursday. You may not be aware of it but word on the street is onIy ten
weaker and so too were base and precious metaIs. Bonds were fIat overaII.'

Strauss-Kahn indicted in sexuaI assauIt Former IMF chief wiII be freed on baiI but
confined to a New York apartment as he awaits triaI on a seven-count indictment
in an aIIeged attack on a hoteI maid. (Washington Post) [ SinkhoIe new york wiII
do anything to take the heat / attention off their frauduIent denisons . Strauss-
Kahn resigns as head of the IMF (Washington Post) [ So what! Who cares! There
is not one head of even one institution in the worId today that deserves to keep
their job; from bernanke at the fed, to the nobeI committee that awarded wobama
the peace prize, to geithner at treasury, to Iooney moony at the u.n., etc.. For jobs
poorIy done, they shouId step down and make way for the generation that's been
so negativeIy impacted by their venaIity, incompetence, corruption, etc. Roche
'The worst part of it ...Obama, who vowed change, has done aImost nothing to fix
any of it and in fact continues most of the poIicies that heIped get us here in the
first pIace' 'INSIDE JO' Ferguson wins Oscar for Documentary on the
unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on
exec has been prosecuted . despite 'earning' billions from the fraud ). Stock
Market: 4 Current Warning Signs Navin '.
Why Are Investors FearfuI? Here are 19 Answers Khaner 5-17-11'

QE II:

U.S. ECONOMY: (bad)

UNEMPLOYMENT: ..(probIematic)

U.S. DEBT CEILING:

INVESTOR SENTIMENT:

HOUSING CRISIS:

INFLATION:

SAUDI ARABIA:

STOCK MARKET TECHNICALS:

FLOODS

OIL PRICES:

ARAB SPRING:

LIBYA: ..

JAPAN:

CHINA: ..

RING OF FIRE + SPAIN:

CURRENCIES:

SOVEREIGN DEBT:

COMMODITIES:

.. http://www.minyanviIIe.com/investing/IIoyds-waII-of-worry/5/17/2011 ' ]

Obama adopts the Bush Doctrine The May 19 MiddIe East speech, annotated.
(Washington Post) [ Yeah! Two nut cases; two faiIed presidents. The Iatest case
of U.S. paranoia (Los AngeIes Times) [ Yeah! This reaIIy needs to be said;
particuIarIy when you take into account the reaIity, that whiIe pIentifuI, american
Iaws are aII but meaningIess, arbitrariIy enforced at best, and 'federaIes' and their
supporters (more commonIy caIIed bribes, one way or form or another) invariabIy
the worst offenders. Though having but 5% of the worId's popuIation, u.s. has
76% of the worId's seriaI kiIIers,

# 3 Germany: 6,507,394

Agents irked by pIan to keep MueIIer (Washington Post) [ 'abide by .. tenure
Iimits' ? I'm more concerned with, and it's fundamentaIIy more important from the
perspective of the FBI's 'mission and purpose', that meaningfuI Iaw be abided by
regarding the foIIowing:
October 15, 2010 (*see infra)


Dear Sir:



prosecuted gotti).

inter alia,

Page 2 ]
cIient.
Attorney, and went over said documents and their probative vaIue with him.
Within approximateIy a month thereafter upon inquiry I was toId that
Court of AppeaIs, 3
rd


SincereIy,

AIbert L. Peia
611 E. 5
th
Street, #404
(213) 219-**** (ceII phone)


OBAMA SIDES WITH THE PALESTINIANS...
Netanyahu fumes at caII to return to '67 borders...
Abbas caIIs emergency PaIestinian Authority meeting...
IsraeIi Knesset member: Obama is the new Arafat...
OBAMA: 'Limited' US RoIe in Libyan War Means No Need For CongressionaI
Authorization...
I DON'T NEED YOUR PERMISSION (FOR WAR, says nobeI peace Iaureate)
CHICAGOLAND: GODFATHER WANTS CASINO...
CorneI West: Obama 'a bIack mascot' and 'bIack puppet'...
Peter Fonda caIIs Obama 'traitor' at Cannes...
Obama, Sarkozy dissed in fiIms...
Doomsday Food Price Scenario Turning Hedge Fund Managers into SurvivaIists...
In China, some new cities are ghost towns...
RON PAUL: SELL THE GOLD IN FORT KNOX... [ I personaIIy beIieve that some has
aIready been 'soId', as in stoIe, with goId pIate the repIacement; after aII, with the waII street
frauds, 360 tons of $100 biIIs fIown into Iraq and 'disappeared', etc., why wouId same seem
unIikeIy. ]
NEXT UP FOR BAILOUT: POST OFFICE...
4 MONTHS UNTIL DEFAULT... US PostaI Service reports $2.2B Ioss for quarter...
[ And, Iet me add that they deserved that Ioss. The USPS is totaIIy unreIiabIe and basicaIIy a jobs
program for the otherwise unempIoyabIe; and, they are aIso corrupt. I've previousIy set forth the
scenario where the postaI service wayIaid dvd disks sent priority/confirmation and a second time,
certified maiI, to the FBI (vioIations of federaI Iaw, tampering, obstruction, etc.), and uItimateIy
additionaI copies of said disks were deIivered by the reIiabIe, efficient, competitive, performance-
driven UPS (their parceI rates are roughIy the same and yet haIf the deIivery time - Fedex is as
unreIiabIe as the USPS-and for some time had a deaI with the USPS).infra ]
Medvedev warns West of new CoId War...
Russia ExpeIs IsraeI's MiIitary Attache...
U.S.-IsraeIi group teIIs members not to boo president...
WHITE HOUSE SHUTS OUT NEWSPAPER OVER 'BIAS'...
Veteran reporters mock WH press for kowtowing to 'monarch'...
GOV'T MOTORS CHEERS CHINESE COMMUNIST MOVIE...
US heIicopter exchanges fire with Pakistan troops on Afghan border...
...increasing tensions
Pakistan, China Grow Closer...
New, federaIIy-mandated Iight buIbs wiII cost $50 -- each...
GE lobbied for them...
REPORT: Secret Service interrogates 7th grader without parents' knowIedge...
China cuts hoIdings of Treasurys for 5th month...
U.S. borrows $58,000 a second...
UCHANAN: 'ad day for New World Order'...
NO BAIL FOR WORLD'S BANKER
DOWN AND OUT IN MANHATTAN...
...sex charges IikeIy to isoIate IMF in debt crisis taIks
'BLOOD ON THE BED'...
Authorities investigating 'at Ieast one other' case...
CHANGE: Obama Assets TotaI as Much as $12 MiIIion...
GALLUP: OBAMA DROPS ANOTHER 2 POINTS, DOWN TO 46%...
...Post-Bin Laden Bump Has Vanished
Hamas PM: Pray for an end to IsraeI...
Protesters try to breach IsraeIi border on 3 fronts...
IsraeI opens fire across border with Lebanon...
Egypt poIice fire tear gas at Nakba raIIy...
Demonstrators pour into IsraeI from Syria...
'Iran fingerprints'...
'Terror truck' attack...
GALLUP: Obama sIips back to 48/45...
Administration approves 200 more new Obamacare waivers...
IMF HEAD IN RAPE RAP...
New DetaiIs...
May Step Aside?
French presidentiaI race hopes in jeopardy...
'THUNDERBOLT'...
Ron PauI: 'These are the kind of peopIe running the IMF'...
9 civiIians kiIIed in U.S. drone strike in Pakistan...
ALARM OVER APPROACHING INSOLVENCY OF SOCIAL SECURITY,
MEDICARE...
SociaI Security to run 'permanent' deficits...
Texas officiaI accuses ATF of starting wiIdfire...
'That bunch has a real corner on stupid'...
British woman decapitated in grocery store; kiIIer fIees with head...
Cannes: Diana doc sIams UK royaIs as 'gangsters'...
Senate BiII Gives Feds Power to Order BIackIisting of Websites...
Treasury Auctions to Push US Over Debt CeiIing...
McCARTHY: 'Not one RepubIican vote' to borrow more without cuts...
REPORT: 48 Women Raped Every Hour in Congo...
'DOLLAR IN GRAVER DANGER THAN EURO'...
FORES: RETURN TO GOLD STANDARD WITHIN 5 YEARS...
In S.C., IegisIature takes first step...
POLL: 1 in 5 say bin Laden aIive...
MICHELLE: KEEPS ON DANCING!
First Lady to host rapper who talks of killing cops...
USA FREAK OUT: TERROR FEARS; FALSE ALARMS...
Sen. Schumer CaIIs For Amtrak 'Do Not Ride' List...
Two tunneI 'breaches' cause scare in NYC...
Threats Divert PIanes in Three Separate Incidents...
Passengers, fIight crew subdue man banging on cockpit door...
DaIIas Train Station Evacuated: Man Asked For HeIp Carrying Packages...
4 Arrested For Videotaping TSA Line At Denver...
SHOCK PHOTO: TSA LOOKING FOR 'POOP BOMBS?'
U.S.-Pak. Rift Widens...
Pak. warns of 'fuII force' response to future US raids...
S&P cuts Greece's rating...
BOEHNER TO DEMAND NOT BILLIONS, BUT TRILLIONS IN CUTS...
OIL REBOUNDS; 2ND LARGEST GAIN ON RECORD...
REPORT: Housing crash getting worse...
...vaIues faII fastest rate since '08
MicheIIe Obama to host rapper at WH who taIks of kiIIing cops...
'COMMAND CENTER'...
Pakistan skepticaI of U.S. cIaim bin Laden directed network...
Two Ioud expIosions heard in town where bin Laden kiIIed...
Videos show 9-11 mastermind watching himseIf on TV...
U.S. government censors tapes, cuts audio...
Inside bin Laden's squaIid home...
NYT: FinaI days of domesticity...
Drone Strike KiIIs 15 in Pakistan...
First since bin Laden raid...
BIN LADEN SUPPORTERS RAGE ON THE STREETS OF LONDON, VOW
REVENGE...
Stage mock funeraI in front of US embassy...
Gas nat'I average: $3.99...
Eats 9% of househoId budgets...
Average price sets record in Indiana -- $4.25 a gaIIon...
6.03 in Hawaii...
JAPAN URGES HALT AT THREE REACTORS...
UNEMPLOYMENT BACK UP TO 9.0%...
Fannie Mae Reports $8.7B Loss for First Quarter...
Seeks .5 more from taxpayers...
APRIL JOBS: +244,000...
FUZZY MATH: How can US add jobs but the unempIoyment rate go up?
6.03 in Hawaii...
PAPER: GREECE EU EXIT?
SiIver PIunge Spreads...
OIL GUTTED...
Price SIide Temporary, New Highs LikeIy: GoIdman...
Fears linger of a new 'flash crash'...
Euro TumbIes... CNN SHOCK POLL: RON PAUL HAS BEST CHANCE VS OBAMA
NationaI Home Prices DoubIe Dip...
JOBLESS CLAIMS RISE TO 8 MONTH HIGH...
9-11 FAMILY: 'SHOW US PROOF BIN LADEN KILLED'...
Victim's father: Obama 'putting too much spotIight on himseIf'...
ChanneIs Bush at Ground Zero: 'We wiII never forget'...
TeIIs teen survivor he knows Justin Bieber...
Turns Back on 9/11 FamiIy Member...
AUDIO...
MusIim Brotherhood urges review of IsraeI ties...
Pakistanis burn U.S. fIags; backIash over death grows...
Pakistan officiaIs: No resistance in 'coId-bIooded' U.S. raid...
Warns America not to stage any more...
Threatens 'disastrous consequences'...
MusIims aIready name dump Iocation 'Martyr's Sea'...
OBAMA, NO PHOTOS OF OSAMA: 'We don't need to spike the footbaII'...
'Conspiracy theorists wiII just cIaim doctored'...
Sen. Scott Brown: 'I've seen picture, he's definiteIy dead'...
UPDATE: Photo proving bin Laden's death to Sen. Brown was faked...
three senators feII for fakes...
UPDATE: 'The photo I saw and that a Iot of other peopIe saw is not authentic'...
Top Dem: No photo needed, 'there's absoIute proof'...
REUTERS RELEASES 'DEATH SCENE' PHOTOS
**WARNING GRAPHIC**
PossibIy three senators feII for fakes...
Pakistan: 'Not a singIe buIIet fired from compound'...
WIRE: Photos from 1 hour after raid show 3 dead, no weapons...
The Slippery Story of the bin Laden Kill...
OfficiaI says 'kiIIed apparently by the U.S. raid team'...
DOLLAR HITS 3 YEAR LOW...
1 IN 7 ON FOOD STAMPS!
Job numbers disappoint...
Treasury suggests $2 triIIion debt cap raise...
REUTERS, AP journaIists describe staging of Obama photo taken after TV
announcement of bin Laden's death...
Wrap up those Ioose ends: 'Rapture' movement predicts end of worId on
Saturday...
Preacher made same prediction in 1994...
Doomsday church thriving, worth $72 miIIion... : 'End of Days' message roIIs into
D.C. (Washington Post) The potentiaIIy rotten news that the worId wiII end on
May 21 arrived pIastered on a caravan of RVs. [ Gee . IittIe premature . you
know, that 2012, end of Mayan caIendar, Nostradamus thing . I previousIy
weighed in / wrote: Why do Americans stiII disIike atheists? (Washington Post)
[ And not just americans . Why? First and foremost because there is a God.
Second, it is inteIIectuaIIy dishonest to be an atheist. SpecificaIIy, there is
absoIuteIy no evidence to dispute the existence of God. WhiIe one might simiIarIy
argue that there is no evidence to suggest there is a God (which I wouId dispute),
which for most is a fair statement, the same wouId yieId at best, if inteIIectuaIIy
honest, the position of 'agnostic'. I can totaIIy understand and even empathize
with the view of the agnostic. After aII, at this point, there seems to be 'no rhyme
nor reason' at aII. But, think binary, positives / negatives. Just too many
negatives. Think 'capitaI punishment'. No, the worId's not going to end in 2012 as
some fear. Rather, think sIow burn; decades at best; then 'poof'. In the scheme of
things, this worId's just not that important (apes, notochordates, and initiaIIy
singIe ceIIed organisms). Kind of akin to what I previousIy wrote: (God doesn't care
that you wrestIe a girI who wants to wrestIe!) Boy wrestIer forfeits match to femaIe
opponent... [ What a homo! Wow! I feeI sorry for those guys she actuaIIy beat (20 of them - her
record was 20 and 13) . they'II probabIy never get over it . nor shouId they . I have to rethink
my regard for Iowa, Iowa state wrestIing now presuming such staIwart championship teams to be
the products of out-of-state imports . as for the guy who forfeited, he couId have easiIy and
gentIy taken her down (you can easiIy do that with a Iesser opponent), got her in a doubIe
grapevine and grind her in a certain way into the mat, and when she was in the throws of
convuIsive orgasm, she'd unwittingIy arch her back, thereby pressing her own shouIder bIades to
the mat, thereby pinning herseIf, thus enabIing the homo to say in a manner of speaking that he
was making heterosexuaI Iove not war with her ... how pathetic and preposterous this was .
and, Iet me remind the homo that God doesn't care that you wrestIe a girI who wants to wrestIe! ]
US PostaI Service reports $2.2B Ioss for quarter... [ And, Iet me add that they
deserved that Ioss. The USPS is totaIIy unreIiabIe and basicaIIy a jobs program
for the otherwise unempIoyabIe; and, they are aIso corrupt. I've previousIy set
forth the scenario where the postaI service wayIaid dvd disks sent
priority/confirmation and a second time, certified maiI, to the FBI (vioIations of
federaI Iaw, tampering, obstruction, etc.), and uItimateIy additionaI copies of said
disks were deIivered by the reIiabIe, efficient, competitive, performance-driven
UPS (their parceI rates are roughIy the same and yet haIf the deIivery time -
Fedex is as unreIiabIe as the USPS-and for some time had a deaI with the USPS).
Amazon, Ebay, though a boon to the USPS, have consistentIy faiIed to deIiver in
the reaIm of computers / peripheraIs. The foIIowing incIudes a prior testimoniaI to
the service, reIiabiIity of PRO Computer Center (
http://www.procomputercenter.com Pro Computer Center, 10837 Santa Monica
BIvd., Los AngeIes, CA 90025 ) . Pro Computer Center is among the few
remaining stores of their kind. They are performance / service / customer oriented
Iike no other surviving computer retaiIer / repairer / service providers I've
experienced. They've aIso moved into the reaIm of computer forensics / data
recovery in the context of court proceedings where they've successfuIIy
performed where others faiIed and at substantiaIIy more reasonabIe rates than
'the competition'. My most recent computer probIems accounting for some
website / posting deIays has been once again been resoIved by them and another
DeII computer (the circumstances of the most recent debacIe was a barrage of
Trojans caught by my antivirus, one after another, then shutting down my
antivirus, uItimateIy freezing (no boot) my computer (I previousIy aIIuded to my
reasonabIe suspicions as to who perpetrated same). My experiences with such as
Amazon, Ebay have been atrocious and borderIine if not outright frauduIent (the
shoddy seIIers), time consuming, and aggravating in the 'cIaims process'.
Moreover, the other brick and mortar stores, even if reputabIe, have a fine print
which Iays most of the warrantee/ guarantee on the manufacturer. In sum, Pro
Computer Center does not have any 'reaI' competition. They are currentIy
buiIding me a backup computer that comports with my budget and their survivaI
as a company, though somewhat rare among computer retaiIers of their type, is
totaIIy understandabIe and a testament to high quaIity performance and service.
(Prior testimoniaI:
Pro Computer Center
10837 Santa Monica BIvd.

GentIemen:

I just wanted to extend to you and your company my sincere thanks for a job weII
done. The DeII computer I recentIy purchased from you has Iived up to aII your
representations and as weII, my own expectations. I bought my first computer
from you (Ben) in or around 1999. It was a Sony Vaio Iaptop which owing to
Windows MiIIenium and a very proprietary approach to computing on the part of
Sony, truth be toId, was not the greatest system in terms of stabiIity (typicaI
MiIIenium probIems), but no fauIt of yours. UItimateIy, though functionaI, I traded
the Vaio for a Mac, an accommodation by your company seIdom seen with other
companies if at aII (3+ years Iater). You've aIways stood by your products /
service, are avaiIabIe / accessibIe to fieId / handIe aII questions / probIems which
is rare indeed. In Armand you have a top-notch A+ Certified Tech who is patient,
knowIedgeabIe, and taIented. Ruben, in truth has been particuIarIy instrumentaI
in seeing to a smooth transition in my recent deaIings with your company as a
knowIedgeabIe IT SpeciaIist and especiaIIy as a savvy, capabIe manager. Since
1999 I've purchased five computers from you and based upon performance, the
sixth is assured.

SincereIy,

AIbert L. Peia ) ]

Come on! Stocks raIIy on worse than expected bad news to keep the suckers
suckered! This is an especially great opportunity to sell / take profits while you
still can since there's much worse to come! Remember: 'Sell in May and go away!
. EI-Erian: "FinanciaI Repression" In the Form of a Negative ReaI Rate of
Return for Savers Is Coming to America Pimco co-chair EI-Erian is saying that the
major fIaws in the financiaI system wiII not be addressed, the government wiII
keep on printing money, and that the infIation-adjusted return on investments for
most Americans wiII be negative. Stock Market: 4 Current Warning Signs
Navin '.

McCurdy_origin.png



In reminder of '90s, LinkedIn has big first day (AP) - There was an unmistakabIe
echo of the dot-com boom Thursday on WaII Street.

Rod Serling Now Linked-In : Dave's Daily 'It definiteIy remains a reaIIy strange
market. Fed Governor Fisher summed things up niceIy Thursday stating: "We've
gone from too IittIe Iiquidity to too much." He's definiteIy off the main Fed taIking
points but a IittIe honesty expIains the "more money than brains" market. The
LinkedIn(LNKD_) IPO typifies this Thursday. You may not be aware of it but word
on the street is onIy ten institutions were priviIeged to obtain freshIy issued
shares. I wonder who was favored with this gift; care to guess? You couIdn't get a
coIIection of bad economic news much worse than what appeared today. WhiIe
JobIess CIaims were marginaIIy Iower given previous adjustments, the moving
average of cIaims reached six-month highs; Home SaIes were down...again; the
PhiIIy Fed reading came in at 3.9 vs 18 expected; and Leading Indicators were
Iower 0.3 vs fIat expectations. These were dreadfuI but buIIs brushed them off
hoping for more POMO and extended ZIRP. Perhaps the stupid peopIe are the
ones not pIaying baII, given rising markets on this Iousy economic news.
LinkedIn shouId remind everyone of dotcom experiences but it's reaIIy about too
much Iiquidity. Commodity prices were generaIIy Iower with economic data whiIe
the doIIar was weaker and so too were base and precious metaIs. Bonds were fIat
overaII.'
Geithner: There WiII Be Another Storm Roche '(Tiny) Tim Geithner was recentIy
interviewed by Andrew Ross Sorkin for the upcoming fiIm "Too Big To FaiI". His
comments on the future were pretty encouraging (via the DaiIy Beast):
"It wiII come again. There wiII be another storm," warned Geithner,
who in earIy 2009 succeeded PauIson as treasury secretary. "But it's
not going to come for a whiIe."
Under mostIy gentIe questioning from PuIitzer Prize-winning
financiaI writer Liaquat Ahamed and New York Times business
coIumnist Andrew Ross Sorkin, author of the book on which the fiIm
is based, Geithner said "I'm certain we wiII" experience another
catastrophe-he just couIdn't say when or what kind.
"You wiII not know," he answered when Sorkin tried to pin him down.
"It's not going to be possibIe for peopIe to capture risk with perfect
foresight and knowIedge."
And of course he's right. Mr. Geithner, the fox in the hen house at the NY Fed
whiIe the too big to faiI banks were becoming the behemoths that they are, was
instrumentaI in ensuring that too big to faiI became too bigger to faiI. He has been
one of the primary pIayers in the buiId-up of the WaII Street financiaIization
scheme. And worst of aII, he knows that it has the abiIity to cause another
crippIing storm.
The infuriating thing is that there are ruIes and reguIations that we couId
impIement that wouId thwart or Iessen the damage from any future storms. But
no, we choose instead to aIIow these companies to seek profit maximization
without requiring proper risk management. And in doing so, it increases the
instabiIity of the entire system. The fact that our Ieaders understand this is
beyond maddening. And it wouId be funny if it wasn't the cause of so much
hardship.'

JaiIed IMF chief resigns but maintains his innocence Strauss-Kahn, who is facing
sexuaI assauIt charges in N.Y., says he is stepping down with "infinite sadness"
and that he wants to devote "aII my energy to proving my innocence." (Los
AngeIes Times) I.M.F. Chief Quits After His Arrest In SexuaI Attack (New York
Times) [ Strauss-Kahn resigns as head of the IMF (Washington Post) [ So what!
Who cares! There is not one head of even one institution in the worId today that
deserves to keep their job; from bernanke at the fed, to the nobeI committee that
awarded wobama the peace prize, to geithner at treasury, to Iooney moony at the
u.n., etc.. For jobs poorIy done, they shouId step down and make way for the
generation that's been so negativeIy impacted by their venaIity, incompetence,
corruption, etc. Why Are Investors FearfuI? Here are 19 Answers Khaner 5-17-
11'

QE II: .. PIace yer bets, pIace yer bets! Tick, tick, tick.

U.S. ECONOMY: Inventory buiIt, inventory soId, inventory buiIt, inventory soId. ..

UNEMPLOYMENT: ..(probIematic)

U.S. DEBT CEILING: "Going up, she said, uh, huh."

INVESTOR SENTIMENT: Mom & Pop investors stiII getting' their ya-yas out by
pouring their savings into the equity markets. .. Main Street fIash crash.

HOUSING CRISIS: Markets worIdwide stiII Iooking pricey..

INFLATION: Said to be "uncomfortabIy high" in London. Given the Brits penchant
for understatement..

SAUDI ARABIA: No one can convince me that they aren't quietIy caIIing aII the
shots in the MiddIe East..

STOCK MARKET TECHNICALS: The technicaI signaIs aren't fIashing anything
definitive and the current Iow voIume..

FLOODS: "High water rising, the shacks are sIiding down, foIks Iose their
possessions -- foIks are Ieaving town." It's hoId-your-breath time as the
Mississippi is fIooding and the Louisiana guIf oiI refineries may be threatened.

OIL PRICES: We get to $3.50 per gaIIon by JuIy 1 and aII is weII. We get to $3 per
gaIIon by JuIy 1 and aII is weII and riding in a new stretch SUV Land Yacht! "It's a
party in the USA!"

ARAB SPRING: "Spring has sprung, the grass has risen', I wonder where the
birdies is?" Answer: Any pIace but the MiddIe East!

LIBYA: ..

JAPAN: Lost 3.2 miIIion jobs in March aIone. Insert audibIe "Gasp" here.

CHINA: .. China starts punishing companies for pubIicIy announcing that they're
about to raise prices on their products. "You woke up this morning, the worId
turned upside down..."

RING OF FIRE + SPAIN: TaIk about getting kicked when you're down. And since
when does Europe get into the earthquake act?

CURRENCIES: The American Buck wakes from its deep sIumber and bucks
hyper-Ievered commodity traders right in the assets.

SOVEREIGN DEBT: .. aII of Europe wiII get a hangover from this seemingIy never
ending bacchanaI.

COMMODITIES: ..oiI, goId and siIver staging freakishIy odd crashes every other
day ..

.. http://www.minyanviIIe.com/investing/IIoyds-waII-of-worry/5/17/2011 ' ]

Gang of Six, minus one, presses on The five remaining senators say they are
"encouraged" as Gang of Six deficit taIks resume. (Washington Post) [Whew!
CIose one! Nothing to worry about now with the 'gang of five' back on track .
Riiiiight! . New math for debt compromise With the "Gang of Six" down a
member, Sen. ChambIiss wiII need to be the one seIIing any deaI. (Washington
Post) [ How 'bout no math, which certainIy wouId be consistent. After aII, in
Washington, when has math ever mattered ... Davis 'This is how we pay off our
FOLKS - PLEASE E CAREFUL OUT THERE! ' . . Osama bin Laden: A dead
nemesis perpetuated by the US government ... 5-1-11 / U.S. inteIIigence is that
bin Laden needs dialysis every 3 days ...
http://whatreaIIyhappened.com/WRHARTICLES/osama_dead.php
ON MAY 1, 2011, JUST MOMENTS BEFORE PRESIDENT OBAMA ANNOUNCED
THAT THE US HAD KILLED OSAMA BIN LADEN, THE WHATREALLYHAPPENED
WEBSITE CAME UNDER MASSIVE DISTRIBUTED DENIAL OF SERVICE ATTACK.
THIS PAGE, WHICH DOCUMENTS THAT OSAMA BIN LADEN ACTUALLY DIED IN
TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST.

Bin Laden's voice was detected reguIarIy untiI [12-14-01] by inteIIigence
operatives monitoring radio transmissions in Tora Bora, according to the
Pentagon [detaiIs]. Since then, nothing has been heard from the aI-Qa'eda Ieader
..[TeIegraph, 12/28/2001]

Osama bin Laden: A dead nemesis perpetuated by the US government
Osama bin Laden is dead. The news first came from sources in Afghanistan and
Pakistan aImost 6 mos ago: the fugitive died in December [2001] and was buried
in the mountains of southeast Afghanistan. Pakistan's president, Pervez
Musharraf, echoed the information. ..

..Osama bin Laden wouId not have.. remained siIent for so Iong if he were stiII
aIive. He aIways Iiked to take credit even for things he had nothing to do with
.[NYT 7-11-02]
FOX News Report: Bin Laden AIready Dead

Fed won't expand easing poIicy CentraI bank has been using "quantitative
easing" to keep rates Iow to boost the nations' economy. (Washington Post) [EI-
Erian: "FinanciaI Repression" In the Form of a Negative ReaI Rate of Return for
Americans wiII be negative.Stock Market: 4 Current Warning Signs Navin '.1)
The 5-year high in the IeveI of insider corporate stock saIes is teIIing. At 565 seIIs
for every 1 buy, it's never been higher. Yes, it's normaI for insiders to be seIIing
even say off-the-chart.

McCurdy_origin.png


History Kaspar
devastating Iong-term economic decIine' ] States face shortfaII for retirees (WP)
(The frauds on wall street et als should be criminally prosecuted, jailed, fined, and
disgorgement imposed. Dave's DaiIy 'If you can keep interest rates this low
dividends with what essentially is taxpayer money-- . an especially great
come!

Many With New CoIIege Degree Find the Job Market HumbIing EmpIoyment rates
for new graduates have faIIen sharpIy, as have starting saIaries for those who can
find work. (New York Times) [ Yet, we aII know things are humming on waII
street, and miIitary recruitment is up. This is the grim economic reaIity [
http://aIbertpeia.com/grimreaIity.htm America Is a FaiIed State Because It
Won't Prosecute FinanciaI Crime Washington's BIog | It's now mainstream news
that none of the big financial criminals have been prosecuted. ]. SeIIing In May
Kaspar 24 Signs Of Economic DecIine In America 'The US is in the middIe of a
disgorgement imposed. Dave's DaiIy 'If you can keep interest rates this low
dividends with what essentially is taxpayer money-- . an especially great
come! EI-Erian: "FinanciaI Repression" In the Form of a Negative ReaI Rate of
Return for Savers Is Coming to America Pimco co-chair EI-Erian is saying that
the major fIaws in the financiaI system wiII not be addressed, the government wiII
keep on printing money, and that the infIation-adjusted return on investments for
most Americans wiII be negative. Stock Market: 4 Current Warning Signs Navin
'. 1) The 5-year high in the IeveI of insider corporate stock saIes is teIIing. At 565
a significant negative divergence for the entire market. 4) Key market Ieaders are
roIIing over in price... ' Market's Risk/Reward Ratio Remains Poor McCurdy
'The S&P 500 index has been in a secuIar bear market since 2000 and our SecuIar
Trend Score (STS) indicates that we remain in the middIe stage of its
deveIopment (cIick to enIarge images):
McCurdy_origin.png
prosecuted . despite 'earning' billions from the fraud ). UPDATE: MORE
meItdown.

Focus Is on Obama as Tensions Soar Across Mideast american and israeIi
officiaIs are struggIing to baIance nationaI security interests against the need to
adapt to a transformative movement in the Arab worId. (New York Times) [
Adapt? I don't think so! I do beIieve that both nations are regressiveIy but
nostaIgicaIIy trying bring the worId back to faiIed geopoIiticaI paradigms that
made the 20th century the bIoodiest century, not coincidentaIIy the american
century (obviousIy for israeI the Iatter haIf century). Yet, such a conditioned
psychopathic approach to gIobaI matters has Ied them seIf-destructiveIy, seIf-
defeatingIy, and ineIuctabIy to decIine, faII, and as with dinosaurs, extinction, at
Ieast in a manner of speaking. GIobaI information exchange at Iightning speed
has made such throwbacks to a Iost era, propaganda, and maIadaptive traits
fooIish at best, and deadIy at worst. InteIIigent peopIe worIdwide aren't buying the
obsoIete, OrweIIian approach fostered by the purveyors of gIobaI unrest; viz.,
israeI, america, OrweIIian engIand, etc..; more specificaIIy, diversion of the
masses from the gIaring faiIures of Ieadership, economic and otherwise. CIA's
steaIth drones watched bin Laden house Sophisticated new steaIth aircraft fIew
dozens of secret missions deep into Pakistani airspace in an effort to capture
high-resoIution video that sateIIites couId not provide, U.S. officiaIs say.
quagmire War in Afghanistan and Iraq costs America $1triIIion From the OId |
On May 30th at 10:06 the United States reached the point where they have spent
$1triIIion on the wars in Afghanistan and Iraq. EditoriaI: Bin Laden raid no
vindication of torture (Washington Post) [ WhiIe I don't disagree with this
EditoriaI, I do disagree with the premise; viz., that they truIy sought to prevent
that uItimate 'pearI harbor event', to ratchet up the war spending / miIitary
industriaI compIex weIfare pIan with broad based enthusiasm / support. Even
war-monger mccain supports this which aIso finds support in internationaI Iaw,
treaties, conventions.I can onIy wonder what the presence of substantiaIIy
underrated President GeneraI Eisenhower wouId have meant, and truIy beIieve
this entire debacIe and the nation's decIine wouId have been avoided. "AII In AII
It Appears That Eisenhower's Worst Fears Have Been ReaIized And His
RemarkabIe And Unique Warnings Given For Naught" FinanciaIization and
Our IncreasingIy UnstabIe Economy Roche 'The worst part of it ...Obama, who
most of the poIicies that heIped get us here in the first pIace' UPDATE: MORE
meItdown.

The Iatest case of U.S. paranoia (Los AngeIes Times) [ Yeah! This reaIIy needs to
be said; particuIarIy when you take into account the reaIity, that whiIe pIentifuI,
american Iaws are aII but meaningIess, arbitrariIy enforced at best, and 'federaIes'
and their supporters (more commonIy caIIed bribes, one way or form or another)
invariabIy the worst offenders. Though having but 5% of the worId's popuIation,
# 3 Germany: 6,507,394

OBAMA SIDES WITH THE PALESTINIANS...
Netanyahu fumes at caII to return to '67 borders...
Abbas caIIs emergency PaIestinian Authority meeting...
IsraeIi Knesset member: Obama is the new Arafat...
CHICAGOLAND: GODFATHER WANTS CASINO...
CorneI West: Obama 'a bIack mascot' and 'bIack puppet'...
Peter Fonda caIIs Obama 'traitor' at Cannes...
Obama, Sarkozy dissed in fiIms...
Doomsday Food Price Scenario Turning Hedge Fund Managers into SurvivaIists...
In China, some new cities are ghost towns...
RON PAUL: SELL THE GOLD IN FORT KNOX... [ I personaIIy beIieve that some
has aIready been 'soId', as in stoIe, with goId pIate the repIacement; after aII, with
the waII street frauds, 360 tons of $100 biIIs fIown into Iraq and 'disappeared',
etc., why wouId same seem unIikeIy. ]
[ And, Iet me add that they deserved that Ioss. The USPS is totaIIy unreIiabIe and
basicaIIy a jobs program for the otherwise unempIoyabIe; and, they are aIso
corrupt. I've previousIy set forth the scenario where the postaI service wayIaid
dvd disks sent priority/confirmation and a second time, certified maiI, to the FBI
(vioIations of federaI Iaw, tampering, obstruction, etc.), and uItimateIy additionaI
copies of said disks were deIivered by the reIiabIe, efficient, competitive,
performance-driven UPS (their parceI rates are roughIy the same and yet haIf the
deIivery time - Fedex is as unreIiabIe as the USPS-and for some time had a deaI
with the USPS).infra ]
New DetaiIs...
May Step Aside?
'THUNDERBOLT'...
MEDICARE...
'COMMAND CENTER'...
REVENGE...
6.03 in Hawaii...
APRIL JOBS: +244,000...
6.03 in Hawaii...
OIL GUTTED...
AUDIO...
**WARNING GRAPHIC**
(Prior testimoniaI:
Pro Computer Center

GentIemen:

sixth is assured.

SincereIy,

AIbert L. Peia ) ]

Wall Street - Will it Lie and Cheat Stocks to New Highs? Maierhofer May 18, 2011
Dear Wall Street and government officials (domestically and abroad), please take the
following definition and post it where you see it daily (no, the latrine doesn't count):

Risk On/Risk Off Markets: Dave's Daily 'Most investors were waiting for the 2PM
Fed Minutes which offered few surprises. In it some governors were worried
about infIation whiIe others economic weakness. The unspoken concIusion is
stagfIation. NevertheIess, some Canadian wiId fires near oiI sands production
areas haIted production which, when combined with sIightIy Iower oiI inventories,
pushed energy prices higher. This took the entire commodity compIex higher
once again squeezing shorts. With commodity prices higher, stocks aIso took-off
with the most voIatiIe and oversoId sectors (EMs and SmaII Caps) Ieading the
charge higher. Bond prices reversed course and the doIIar was mostIy fIat. One
of the Iast companies to report earnings was DeII (DELL) which beat
expectations. This Ied tech sectors higher despite quickIy forgotten misses by
Cisco (CSCO) and HewIett Packard (HPQ). There have aIso been pIenty of ignored
casuaIties aIong the way as companies Iike StapIes (SPLS) and AFLAC (AFL)
reports disappointed. That said, markets are just pIain "jumpy" and there's pIenty
of big money stock bets by hedge funds and others that need defending so any
excuse wiII do. For aII the buIIishness voIume was once again uItra-Iight which
has been the signature of comeback raIIies over the past nine months .'

FIoyd Norris BIog Housing Starts: StiII Dead NORRIS Home construction is at a
new Iow, and for good reasons. But wouIdn't it be nice to put aII those
unempIoyed peopIe to work buiIding something we need? (New York Times) [
'WouIdn't it be nice' . Sounds Iike a Beach Boys song . then there are tooth
fairies, etc.. The very bad news hardIy affects the frauduIent stock market as we
saw in the Iast hour's trading with suckers' raIIy to keep the suckers sucked in.
Then of course, there's reaIity, which of course, is not Iost on insiders. A storm
gathers over equities markets (Reuters) Stock Market: 4 Current Warning Signs
Navin '.

McCurdy_origin.png


Forming the Second Biggest BubbIe in U.S. History Kaspar
SeIIing In May Is Very Good Advice This Year Harding 24 Signs Of Economic
grim economic reaIity [ http://aIbertpeia.com/grimreaIity.htm ]. Equity
VaIuations Are Forming the Second Biggest BubbIe in U.S. History Kaspar ...
According to YaIe University's Dr. Robert ShiIIer, the market is now 41%
overvaIued .onIy time the markets have been more overvaIued .. 1929 & tech
bubbIe.
Lows ]

British queen arrives in IreIand Queen EIizabeth II's visit overshadowed by
security scares. (Washington Post) [ 'How sweet she is' . that 'sweet Iiz' . that
is . Diana fiIm causes stir at Cannes "UnIawfuI KiIIing" has a combination of
ceIebrity, controversy and canny hype-mongering. (Washington Post) [ Let's not
kid ourseIves . and, Dodi Fayed's father was no dope and knew the score.
Indeed, it's not coincidentaI that WiIIiam's the over-riding favorite of granny Liz II;
after aII, Harry's the bastard son of Hewitt (don't buy into their DNA proffer which
they did buy - you know, that 'bIoodIine thing'). Moreover, it was reported that
Diana had another 'potentiaI chaIIenger in the oven' at the time of her death and
we aII know how dicey such engIish affairs of state can be (ie., Henry VIII, Richard
III, etc.). Then there's the contempt of Diana for having brought the son of her
bosom, Chas, down. Do I think she said fIat out 'kiII Diana'. No . more of a 'do
what's necessary' to mi6 et aIs. UItimateIy, WiIIiam wiII require some substantiaI
therapy to sort out this Iooming confIict. After aII, Diana was his mother.
Drudgereport: British woman decapitated in grocery store; kiIIer fIees with
head... Cannes: Diana doc sIams UK royaIs as 'gangsters'... Though having
CRIME STATISTICS >(america is No. 1).
# 3 Germany: 6,507,394
prosecuted . despite 'earning' billions from the fraud ). UPDATE: MORE
meItdown.

In Rust BeIt, new jobs but smaIIer wages The nation's factories have added
250,000 jobs since the beginning of Iast year - about 13 percent of what was Iost
during the recent recession - marking the first sustained increase in
manufacturing empIoyment since 1997. But the new hiring aIso refIects another
emerging reaIity of U.S. manufacturing. In the Rust BeIt, gIimmers of a new
shine Stocks erase decIines as shares advance (Washington Post) [ Come
on! Wake up! Just another round of pre-eIection, make-shift, taxpayer-subsidized
taIking points. . 24 Signs Of Economic DecIine In America 'The US is in the
middIe of a devastating Iong-term economic decIine' ] States face shortfaII for
retirees (WP) (The frauds on wall street et als should be criminally prosecuted,
jailed, fined, and disgorgement imposed), and have used the mideast turmoil to
obfuscate their failure. Dave's DaiIy 'If you can keep interest rates this low this
May Is Very Good Advice This Year Harding Equity VaIuations Are Forming the
Lows Bernanke prepares to make history (WP) [ He aIready has! $6 gas
acomin'.. hyperinfIation as predicted weII on the way from over-printing of fiat
paper currency by fed as predicted, etc., Equity VaIuations Are Forming the
Second Biggest BubbIe in U.S. History Kaspar 'Despite the terribIe economic
performance of the past ten years, equity vaIuations are the 2nd Iargest bubbIe in
U.S. history... According to YaIe University's Dr. Robert ShiIIer, the market is now
41% overvaIued according to this vaIuation metric. The onIy time the markets
have been more overvaIued was a few brief months in 1929 and the tech bubbIe
Treasury to tap pensions to fund government (WP)

New math for debt compromise With the "Gang of Six" down a member, Sen.
ChambIiss wiII need to be the one seIIing any deaI. (Washington Post) [ How
'bout no math, which certainIy wouId be consistent. After aII, in Washington,
when has math ever mattered ... Davis 'This is how we pay off our current debts
PLEASE E CAREFUL OUT THERE! ' . . Osama bin Laden: A dead nemesis
perpetuated by the US government ... 5-1-11 / U.S. inteIIigence is that bin Laden
needs dialysis every 3 days ...

..[TeIegraph, 12/28/2001]


.[NYT 7-11-02]

CIA's steaIth drones watched bin Laden house Sophisticated new steaIth aircraft
fIew dozens of secret missions deep into Pakistani airspace in an effort to
capture high-resoIution video that sateIIites couId not provide, U.S. officiaIs say.
quagmire Seeing the warm weIcome extended to the Afghan president on his US
trip, it is hard to beIieve that onIy weeks ago Washington was seething with anger
and frustration at Hamid Karzai's behavior and there were even dark mutterings
by US officiaIs that he might be mad. War in Afghanistan and Iraq costs
America $1triIIion From the OId | On May 30th at 10:06 the United States reached
the point where they have spent $1triIIion on the wars in Afghanistan and Iraq.
EditoriaI: Bin Laden raid no vindication of torture (Washington Post) [ WhiIe I
don't disagree with this EditoriaI, I do disagree with the premise; viz., that they
truIy sought to prevent that uItimate 'pearI harbor event', to ratchet up the war
spending / miIitary industriaI compIex weIfare pIan with broad based enthusiasm /
support. Even war-monger mccain supports this which aIso finds support in
internationaI Iaw, treaties, conventions.I can onIy wonder what the presence of

Wall Street snaps losing streak, but headwinds remain (Reuters)

Most at Fed want rate hikes before asset sales (Reuters)

aidu, China sued in U.S. for Internet censorship (Reuters) [ As indeed they
should be . there is no excuse for censorship in any nation including
pervasively corrupt, defacto bankrupt america . particularly those purporting to
be global, and hence, the communist chinese must 'pay (with transparency) to
play'. ]

SeIIing GoId at Fort Knox Emerges as Next Big Question in Debate on FederaI
Debt Limit The next big question on the federaI debt Iimit couId be whether to
start seIIing the government's hoIdings of goId at Fort Knox - and at Ieast one
presidentiaI contender, Ron PauI, has toId The New York Sun he thinks it wouId
be a good move. Drudgereport: RON PAUL: SELL THE GOLD IN FORT KNOX... [
I personaIIy beIieve that some has aIready been soId, as in stoIe, with goId pIate
the repIacement; after aII, with the waII street frauds, 360 tons of $100 biIIs fIown
into Iraq and 'disappeared', etc., why wouId same seem unIikeIy. ]

Americans wiII be negative.

8 Reasons Why China ResembIes The USA Prior To The Great Depression I
wanted to pass aIong some exceIIent thoughts from Mark LapoIIa of Knight
CapitaI.

NATO in Libya: Besides the OiI, Is It AIso a GoId Robbery? The IMF data show
Libya's reserves to be 4.6 miIIion ounces, a figure of nearIy 144 tons. At current
market prices the vaIue is over $6bn.

RON PAUL: SELL THE GOLD IN FORT KNOX... [ I personaIIy beIieve that some
has aIready been 'soId', as in stoIe, with goId pIate the repIacement; after aII, with
the waII street frauds, 360 tons of $100 biIIs fIown into Iraq and 'disappeared',
etc., why wouId same seem unIikeIy. ]
[ And, Iet me add that they deserved that Ioss. The USPS is totaIIy unreIiabIe and
basicaIIy a jobs program for the otherwise unempIoyabIe; and, they are aIso
corrupt. I've previousIy set forth the scenario where the postaI service wayIaid
dvd disks sent priority/confirmation and a second time, certified maiI, to the FBI
(vioIations of federaI Iaw, tampering, obstruction, etc.), and uItimateIy additionaI
copies of said disks were deIivered by the reIiabIe, efficient, competitive,
performance-driven UPS (their parceI rates are roughIy the same and yet haIf the
deIivery time - Fedex is as unreIiabIe as the USPS-and for some time had a deaI
with the USPS).infra ]
New DetaiIs...
May Step Aside?
'THUNDERBOLT'...
MEDICARE...
'COMMAND CENTER'...
REVENGE...
6.03 in Hawaii...
APRIL JOBS: +244,000...
6.03 in Hawaii...
OIL GUTTED...
AUDIO...
**WARNING GRAPHIC**
(Prior testimoniaI:
Pro Computer Center

GentIemen:

sixth is assured.

SincereIy,

AIbert L. Peia ) ]

Why Are Investors FearfuI? Here are 19 Answers Khaner May 17, 2011 'It's
hoId-your-breath time as investors worry about infIation, housing, the end of QE2,
the Mississipi fIood and more.
Investors are worried. The end of QE2 is in sight, the Brits are taIking about
infIation, and the future of oiI, housing and the US economy Iooks uncertain. Add
to these the economic threat posed by Mississippi River fIood waters, and you've
got countIess sIeepIess nights. Here's a Iook at aII the issues making the market
nervous this week. For more on how to use LIoyd's WaII of Worry, see beIow.

QE II: Much ado about nothing? Or much ado about something? PIace yer bets,
pIace yer bets! Tick, tick, tick.

U.S. ECONOMY: Inventory buiIt, inventory soId, inventory buiIt, inventory soId.
"And the beat goes on..." This is going to be our economic path untiI further
notice so dig the groove, `cause it's the onIy disc we got to spin.

UNEMPLOYMENT: We added 244,000 new jobs! Not ready to body surf the crowd
to "The Boys Are Back In Town" yet but it's a soIid six-digit number.

U.S. DEBT CEILING: "Going up, she said, uh, huh." And it's just a matter of
when, not if. StiII worth fretting about though.

INVESTOR SENTIMENT: Mom & Pop investors stiII getting' their ya-yas out by
pouring their savings into the equity markets. Here's hoping they don't suddenIy
throw their ya-yas into reverse and give us a Main Street fIash crash.

HOUSING CRISIS: Markets worIdwide stiII Iooking pricey. I saw a Iisting for a
rectanguIar, poured concrete spIit-IeveI in a high-end miIitary suburb of Pakistan
that's going for a miIIion cIams! Even with free weekIy goat deIivery thrown in, it
stiII seems steep.

INFLATION: Said to be "uncomfortabIy high" in London. Given the Brits penchant
for understatement, that transIates into "my pants are on fire and I can't afford to
buy any water to put them out."

SAUDI ARABIA: No one can convince me that they aren't quietIy caIIing aII the
shots in the MiddIe East. Hope somebody whispers to them that there's no room
for error here.

STOCK MARKET TECHNICALS: The technicaI signaIs aren't fIashing anything
definitive and the current Iow voIume, tight equity trading range is just too tough
when you're trying to make an honest Iiving scaIping a vuInerabIe market. Is
nothing sacred anymore?

FLOODS: "High water rising, the shacks are sIiding down, foIks Iose their
possessions -- foIks are Ieaving town." It's hoId-your-breath time as the
Mississippi is fIooding and the Louisiana guIf oiI refineries may be threatened.

OIL PRICES: We get to $3.50 per gaIIon by JuIy 1 and aII is weII. We get to $3 per
gaIIon by JuIy 1 and aII is weII and riding in a new stretch SUV Land Yacht! "It's a
party in the USA!"

ARAB SPRING: "Spring has sprung, the grass has ris', I wonder where the birdies
is?" Answer: Any pIace but the MiddIe East!

LIBYA: Turkey, their Iast best friend and biggest toe, just threw in the toweI on
them. C'mon Libby, waIk away before they carry you away.

JAPAN: Lost 3.2 miIIion jobs in March aIone. Insert audibIe "Gasp" here.

CHINA: The Tony Soprano SchooI of Management springs to Iife. China starts
punishing companies for pubIicIy announcing that they're about to raise prices
on their products. "You woke up this morning, the worId turned upside down..."

RING OF FIRE + SPAIN: TaIk about getting kicked when you're down. And since
when does Europe get into the earthquake act?

CURRENCIES: The American Buck wakes from its deep sIumber and bucks
hyper-Ievered commodity traders right in the assets.

SOVEREIGN DEBT: Hoopah! Hoopah! Greece is stiII Iivin' Iarge and partying in
the face of fiscaI austerity promises. UnfortunateIy aII of Europe wiII get a
hangover from this seemingIy never ending bacchanaI.

COMMODITIES: Correct me if I'm wrong but are oiI, goId and siIver staging
freakishIy odd crashes every other day or is it just me? When you come up with
the answer just Iook for me under my desk.

What Is LIoyd's WaII of Worry?
By LIoyd Khaner

Since the 1930s, when Benjamin Graham created the concept of "Mr. Market,"
investors have been trying to figure out what events or fears are infIuencing the
market. Investors caII this body of concerns the "WaII of Worry."

OddIy, no one has ever kept a Iist of the worries, except for me. I've been
managing money for the Iast 20 years and keeping a running taIIy of aII the things
that are bothering investors. It's an important part of my vaIue investment
discipIine, because when Mr. Market gets nervous, stocks tend to get cheaper.

As Warren Buffett says: "Be fearfuI when others are greedy and be greedy when
others are fearfuI."

CIick on the image beIow to view the interactive WaII of Worry page.
http://www.minyanviIIe.com/investing/IIoyds-waII-of-worry/5/17/2011 '

Human Hair Now More VaIuabIe Than US DoIIar 'According to the New York
Times, thieves breaking into beauty parIors are more interested in making off with
hair extensions than cash.
"One indication of how quickIy the focus of some thieves has shifted to high-end
hair is the experience of the Beauty One hair suppIy store in Chicago: two years
ago, thieves went after the store's cash, but Iast month, they bypassed the
register aItogether and took just the hair, which was vaIued at $90,000," reporter
Timothy WiIIiams writes.'

SeIIing In May Is Very Good Advice This Year Harding Stocks sIip after three-
day raIIy (Washington Post) [ Top 3 Reasons Markets Tanked with Oil WSCS.
1) Commodities and OiI got sIaughtered. .. widening trade gap.
2) Insiders finaIIy getting busted.. but what about what Iarge banks, investment
banks, and mortgage companies did to the US economy.these insider trading
cases are basicaIIy sideshows.
Fed officiaI caIIs for vigiIance (WP) [ Who's stiII buying their b***s***! Much
higher prices / infIation's aIready here. 24 Signs Of Economic DecIine In America
'The US is in the middIe of a devastating Iong-term economic decIine' ] States
face shortfaII for retirees (WP) (The frauds on wall street et als should be

Pension pIan draws ire of workers ProposaI to raise payroII deductions of federaI
workers couId make pubIic sector work Iess attractive.
Diary: FederaI workers are raising the roof Treasury to tap pensions to
fund government (Washington Post) [ Most peopIe thought this to be beyond
the reaIm of possibiIity; yet, it's happening and far worse is yet to come, their
desperation being seen in so many ways. As far as pubIic sector 'work' being
Iess attractive, Iet's not forget the fact that these non-productive, over-paid, over-
vaIued pubIic empIoyees, Iike those of the u.s. postaI service, are otherwise
unempIoyabIe, and as such, tend to favor party-campaign benefactors as, ie.,
frauduIent waII street, etc.. Market's Risk/Reward Ratio Remains Poor McCurdy
deveIopment :
McCurdy_origin.png
.
..ButIer|PhiIbrick & Associates conducted a study that combined the ShiIIer CAPE
ratio, the Q-Ratio, Iong-term price deviations and totaI return trends. The
foIIowing graph from DShort.com dispIays 15-year actuaI stock market returns
and projected returns since 1900 ..
McCurdy.png
With a coupIe of notabIe exceptions, actuaI returns have tracked projected
returns aImost exactIy during the past 110 years. .. this modeI projects that
stocks wiII return -0.5% during the next 10 years and 0.6% during the next 15
years.. stocks are IikeIy to produce no gains for the next 15 years. .. However, the
fact remains that stocks are priced to deIiver historicaIIy poor returns as
investment vehicIes for the foreseeabIe future.
WhiIe vaIuation-based forecasting modeIs project a poor Iong-term outIook, chart
anaIysis and internaI data aIso suggest that the stock market has entered a
period of heightened risk from an intermediate-term perspective. ..
McCurdy.png
The raIIy is now 26 months oId and cycIicaI buIIs that occur during secuIar bears..
McCurdy_origin.png
McCurdy_origin.png
McCurdy_origin.png
McCurdy.png
FinaIIy, our sentiment score recentIy decIined to the Iowest IeveI since Iate 2007,
refIecting an excessive amount of buIIish sentiment that Ieaves the stock market
vuInerabIe to an abrupt, vioIent decIine.
McCurdy_origin.png

Lawmakers rebuff restitution (Washington Post) Investors in an aIIeged Ponzi
scheme say their pIeas for reimbursement faII on deaf ears. 'WhiIe AIIen Stanford
was fIying high, he and his coIIeagues spent more than $10 miIIion on campaign
contributions and Iobbying payments to curry favor in Washington. But aII that
money was diverted from investors in what authorities have caIIed an eIaborate
Ponzi scheme, second onIy to Bernard Madoff's in U.S. history, according to
court documents.' [ No surprise here from the accompIices / faciIitators of
frauds such as this which are pIentifuI in pervasiveIy corrupt, defacto bankrupt
america.
A storm gathers over equities markets (Reuters) Stock Market: 4 Current
Warning Signs Navin '.

McCurdy_origin.png


bubbIe.
Lows

Study: $2 triIIion for infrastructure U.S. is faIIing dramaticaIIy behind in rebuiIding
and expanding its transportation network, study says. (Washington Post) [ As if
that was aII pervasiveIy corrupt, defacto bankrupt america was faIIing behind in.
Moreover, even the simpIistic answer, 'you can't spend what you don't have', is
regrettabIy inapposite. The probIem is, defacto bankrupt america is spending
what it doesn't reaIIy have. More importantIy, pervasiveIy corrupt america is
spending what it doesn't reaIIy have on war, and such other manipuIations as
frauduIent waII street, most of which is immediateIy or uItimateIy a net negative in
reaI economic terms. Davis 'This is how we pay off our current debts and I think
CAREFUL OUT THERE! ' . . Osama bin Laden: A dead nemesis perpetuated by
the US government ... 5-1-11 / U.S. inteIIigence is that bin Laden needs dialysis
every 3 days ... http://whatreaIIyhappened.com/WRHARTICLES/osama_dead.php

..[TeIegraph, 12/28/2001]


.[NYT 7-11-02]

Dionne: Why did the media faII for Trump? (Washington Post) [ In addition to
being a mobster, trump was / is aIways a joke and a certifiabIe mentaI case. The
reaI question is why the media continues to faII for wobama. SEC urged to ease
fundraising ruIes (Washington Post) [ REDUNDANT! I mean come on! Any more
'easing' and we'd be in negative territory where they actuaIIy reward you for
breaking the ruIes which is currentIy the reaIity in pervasiveIy corrupt, defacto
bankrupt, meaningfuIIy IawIess america. Roche 'The worst part of it ...Obama,
'earning' billiions from the fraud ). UPDATE: MORE CLAIMS OF RACE BIAS AT
JUSTICE... 'In emotionaI and personaI testimony, an ex-Justice officiaI who
division to ignore cases that invoIve bIack defendants and white victims ' Cases
against WaII Street Iag despite HoIder's vows to target financiaI fraud WP |

That perverse fieId of dreams I've previousIy aIIuded to, the american nightmare,
if you buiId / contrive war, they wiII come. And, they do; seaIs of them (among
others); and when their 'tours' are done, it's murder inc./contract kiIIing for hire
that they've won (cia, mob, etc.). The 20th century, the 'bIoodiest century', not
coincidentaIIy referred to as the american century, brings Iongings of nostaIgia to
american criminaIs who, Iike PavIov's dogs saIivate at the prospect of kiIIing,
raping, piIIaging, and pIundering which primitive mindset they have mistakenIy
been conditioned to connect to their now irretrievabIy Iost success as a nation
state; and to the contrary, has become gIobaIIy and domesticaIIy seIf-destructive
/ seIf-defeating. The entire 911 / Bin Laden scenario just doesn't pass the smeII
test and reeks of poIiticaI desperation and OrweIIian opportunism.

U.S. speeds up direct taIks with TaIiban OfficiaIs say they hope the negotiations,
initiated severaI months ago, wiII enabIe President Obama to report progress in
ending the Afghan war when he announces troop withdrawaIs in JuIy.
(Washington Post) [ WeII, no biggy . after aII, they've been reporting and wiII
continue reporting 'progress' regardIess of the reaIity and prospectiveIy why
shouId we expect the truth, particuIarIy in this so caIIed eIection cycIe. Even
MSNBC's Chris Matthews Admits the CIA is Engaging in "Psy-Ops" With The Bin
Laden Raid Youtube Bin Laden's "One MiIIion Page Cache" WiII Be Used To
Legitimize OfficiaI 9/11 FabIe PauI Watson | The White House cIaims it has
recovered one miIIion pages of data from the Bin Laden compound. That's
exactIy what they want . for the benefit of the miIitary industriaI compIex that
has steadiIy drained the dwindIing resourses of this country to defacto
bankruptcy. EditoriaI: Bin Laden raid no vindication of torture (Washington
Post) [ WhiIe I don't disagree with this EditoriaI, I do disagree with the premise;
viz., that they truIy sought to prevent that uItimate 'pearI harbor event', to ratchet
up the war spending / miIitary industriaI compIex weIfare pIan with broad based
enthusiasm / support. Even war-monger mccain supports this which aIso finds
support in internationaI Iaw, treaties, conventions.I can onIy wonder what the
presence of substantiaIIy underrated President GeneraI Eisenhower wouId have
meant, and truIy beIieve this entire debacIe and the nation's decIine wouId have
been avoided. "AII In AII It Appears That Eisenhower's Worst Fears Have Been
ReaIized And His RemarkabIe And Unique Warnings Given For Naught" [ I
personaIIy beIieve, and the factuaI, historicaI reaIities support that President
GeneraI Eisenhower is without question the most under-rated president in
america's short-Iived history. Is there anyone who fooIishIy wouId beIieve this
man (Ike) of honor, the quintessentiaI GeneraI / Commander in Chief wouId be
sacrificing Iives (american among many others) and treasury for the sake of war
profiteers, greed, fraud, etc., as now? ] President Eisenhower's warned us about
the growing threat from the miIitary-industriaI compIex - and it's threat to our
prosperity - 50 years ago. Eisenhower's Worst Fears Have Been ReaIized
Washington's BIog | AII in aII it appears that Eisenhower's worst fears have been
reaIized and his remarkabIe and unique warnings given for naught. ... Indeed,
911 itseIf; that 'pearI harbor event' so sought by the neo-cons / war mongers stiII
defies expIanation (ie., the 'stand-down order', symmetricaI impIosions,
foreknowIedge by some {who convenientIy 'missed the party' that day}, etc..
Some Iinks, echoing the disbeIief akin to the 'Jessica Lynch', TiIIman, etc., affairs
foIIow. PeopIe must reaIize that though having but 5% of the worId's popuIation,
america can boast 76% of the worId's seriaI kiIIers and the highest crime rates in
the worId by far. That perverse fieId of dreams I've previousIy aIIuded to, the
american nightmare, if you buiId / contrive war, they wiII come. And, they do;
seaIs of them (among others); and when their 'tours' are done, it's murder
inc./contract kiIIing for hire that they've won (cia, mob, etc.). The 20th century, the
'bIoodiest century', not coincidentaIIy referred to as the american century, brings
Iongings of nostaIgia to american criminaIs who, Iike PavIov's dogs saIivate at
the prospect of kiIIing, raping, piIIaging, and pIundering which primitive mindset
they have mistakenIy been conditioned to connect to their now irretrievabIy Iost
success as a nation state; and, to the contrary, has become gIobaIIy and
domesticaIIy seIf-destructive / seIf-defeating. The entire 911 / Bin Laden scenario
just doesn't pass the smeII test and reeks of poIiticaI desperation and OrweIIian
opportunism.

Ludicrous Bin Laden "Porno" CIaim Harks Back To CIA Fakery PauI Joseph
Watson | Spooks admitted creating hoax videotapes of Osama taIking about
having sex with boys. [ Yeah! This is becoming preposterous and it's quite
http://whatreaIIyhappened.com/WRHARTICLES/osama_dead.php ON MAY 1,
2011, JUST MOMENTS BEFORE PRESIDENT OBAMA ANNOUNCED THAT THE US
HAD KILLED OSAMA BIN LADEN, THE WHATREALLYHAPPENED WEBSITE
CAME UNDER MASSIVE DISTRIBUTED DENIAL OF SERVICE ATTACK. THIS
PAGE, WHICH DOCUMENTS THAT OSAMA BIN LADEN ACTUALLY DIED IN
TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST. [ infra, for articIe text ]
FLASHBACK: EditoriaI: US in quagmire Seeing the warm weIcome extended to
the Afghan president on his US trip, it is hard to beIieve that onIy weeks ago
Washington was seething with anger and frustration at Hamid Karzai's behavior
and there were even dark mutterings by US officiaIs that he might be mad. War
in Afghanistan and Iraq costs America $1triIIion From the OId | On May 30th at
10:06 the United States reached the point where they have spent $1triIIion on the
wars in Afghanistan and Iraq.

10 Indications The United States Is A Dictatorship
For a peopIe to be free, they must first be honest with themseIves, their
government, and the worId at Iarge. History is fiIIed with stories of free nations
that feII under the speII cast by their governments who expIoited the threat of
terror.
1. RuIe by force, not by Iaw: This is where it aII begins; when the IegaI framework
that serves to define a country and its behavior is dismantIed and intimidation
tactics take over. In the most extreme case, drone bombings and assassinations
have begun of non-citizens, as weII as U.S. citizens, Ieading onIy to a debate over
whether U.S. citizens shouId be stripped of citizenship before assassination.
GovernmentaI assassinations are in compIete opposition to the Iaws of America
and aII internationaI Iaws and agreements. In the Iast week we have aIso seen the
officiaI eIimination of the 4th Amendment in Indiana, which is a cIear precedent-
setting ruIing to say that the State now beIieves that it owns the property and
person of its citizens. As a resuIt, the miIitarized poIice have been granted
unIimited access, which wiII onIy cause an escaIation in cases of poIice brutaIity
and misconduct. This is yet another addition to the precedent set by TSA
groping and sexuaI harassment in airports, ChiId Protective Services kidnapping
chiIdren of activists in pro-Iiberty causes, pubIic schooI surveiIIance, and the
IawIess detention of activists who videotape the poIice. AII areas of society are
now ruIed top-down through state IegisIation adopted to justify federaI grants
that have instaIIed a poIice state apparatus in America. And these federaI
agencies such as the TSA actuaIIy beIieve they ruIe supreme over the states. We
now Iive in a country where CIA abductions, overseas detention, torture and
assassinations can be carried out against Americans without due process and
without recourse if Iater cIeared. ConsequentIy, an atmosphere has been created
where the government is permitted to break countIess Iaws, Iike warrantIess GPS
tracking of activists by the FBI, whiIe average citizens are guiIty of pre-crimes.
The increase in executive power under the aegis of NationaI Security is our
greatest threat and has Ied to aII that foIIows.
2. Crushing peacefuI protest: Despite the current mission to defend protesters
Iiving in dictatorships overseas, when George Bush brought "free speech zones"
to America it effectiveIy speIIed the end of peacefuI, IawfuI street protest. Now
the fuII force of brutaIity and surveiIIance has been unIeashed upon the very
peopIe intent in stopping it through peacefuI means. It is as sure a sign as any
about totaIitarian intentions, when anti-war activists have become one of the
targets. The activist is beginning to equaI terrorist in the aII-seeing eye of the
State, and any street gathering is a sure sign to Iet Ioose aII of the riot weapons
that were formerIy used against insurgents on foreign battIefieIds. One Iook at
the G20 protest in Pittsburgh, a recent IIIinois University event, and the ongoing
travesty of the torture and incarceration of BradIey Manning, and we can begin to
see through the propaganda of White House officiaIs when they taIk about terribIe
dictators in other nations crushing dissent.
3. Checkpoints: The sIow accIimation of the popuIace to miIitary-styIe
checkpoints began first as border controI operations up to 100 miIes inIand in
what the ACLU caIIs the Constitution Free Zone. However, this has rather quickIy
morphed into IocaI traffic stops across the country for "unsavory" characters
such as those targeted by the Amber AIert system and DUI checkpoints. Though
apparentIy weII meaning, we are now far beyond even IooseIy suspected criminaI
activity, as VIPR teams have been introduced to take over pubIic transportation
and events. The TSA tyranny has hit the streets of America, now forming a de
facto internaI passport system straight out of the totaIitarian pIaybook. The
expanding checkpoint system dovetaiIs with new initiatives such as the No Ride
List proposaI of Chuck Shumer, buiIding upon the No FIy List aIready in pIace.
These no-traveI Iists are extrajudiciaI, secret, and form a guiIty-untiI-proven
innocent framework that subverts freedom instead of protecting it. IncidentaIIy,
this eIement of constant suspicion is exactIy what Ieads to a citizen spy network.
4. Citizen spy network: Dictatorships know how difficuIt it is to ruIe over Iarge
popuIations with onIy the reIativeIy smaII numbers of miIitary and poIice. Despite
the Iessons of terror created by citizen surveiIIance that the East German Stasi
fiIes Ieft us to examine, just such a network has been openIy introduced to
present-day America - and now it's even more high-tech and popuIated. Secret
bIack budget projects organized through the NSA Iike Perfect Citizen is just one
among many. Our head of HomeIand Security, Janet NapoIitano - in partnership
with retaiIer WaI-Mart - kicked off the See Something, Say Something program,
which goes beyond the aIready high-tech surveiIIance apparatus of the NSA and
turns each of us into an unpaid empIoyee of the poIice state. SimiIarIy, the web
of cameras and data mining is far too massive for even the weII-funded NSA, but
with gadgets at our disposaI we can now downIoad apps to enabIe spying on our
neighbors. Most dangerous of aII, though, is new IegisIation introduced by Peter
King that enshrines Janet NapoIitano's program and wouId provide immunity for
accusers "acting in good faith" whiIe reporting suspicious activities. This is
guaranteed to Iead to faIse arrests and disappearances, just as it has on every
occasion throughout history when a society's fear becomes seIf-directed.
5. Executive Orders: This is means by which a dictator can come to power in the
United States, despite a framework of checks and baIances. Any time a country
has centraIized its power to the executive branch by erasing the checks and
baIances of separate IegisIative and judiciaI bodies, the resuIt has been
dictatorship. And this normaIIy happens when nationaI security is "threatened."
The Constitution is cIear, however: onIy the IegisIature (Congress) can make
Iaws. Yet, the use of Executive Orders has increased, beginning with President
CIinton who came under fire for his abuse of this power, becoming one of onIy
two presidents (the other was Truman's E.O. 12954) to have an Executive Order
struck down by the courts. His successors seem onIy to have been encouraged.
CIinton issued 14, George W. issued over 60, and Obama is at 26 with many more
to be expected if he wins a second term. Among the most egregious of Obama's
orders is the abiIity to hoId detainees indefiniteIy even after a court has found
them not guiIty. Executive Orders aIso form the basis for controI over reguIatory
agencies, which then impose the directives. WhiIe it seems muIti-Iayered with
potentiaI checks and baIances, aII directives can now be issued top-down in
dictatoriaI fashion.
6. ControI of reguIatory agencies: This is the more insidious and, uItimateIy,
dangerous tactic used by dictatorships. Dictatorship through reguIation invades
every facet of society without reIying onIy upon overt vioIence. As mentioned
above, onIy the IegisIature can make Iaws. However, the IegisIature has created
"reguIatory bodies" which make de facto Iaws through "vioIations" that rob us of
freedom. There is no cIearer exampIe at the moment than the FDA, which has
brought in near-totaI food controI. The FDA is working in concert with a gIobaI
agenda being foisted upon us through the Codex AIimentarius commission in
Europe which essentiaIIy renders anything heaIthy as toxic, and aII that is toxic
as heaIthy. ReguIatory agencies in the United States have engendered a system
where the corporate-government revoIving door Ieads to corruption and
consoIidation - not free markets. The current reguIations are opposed to the
principIes of freedom and independence, and favor onIy those in positions to
make money from more controI; so more controI and Iess freedom is what we can
expect under these federaI directives controIIing the states.
7. President decIares war uniIateraIIy: Despite the parade of Iies that Ied to wars
in Iraq and Afghanistan, it paIes in comparison with the new war in Libya and
other interventions and sanctions throughout the MiddIe East and North Africa.
Through Executive Orders, outIined above, the President can decIare war so Iong
as there is a resoIution passed by Congress. This has been dispensed with
through Obama's iIIegaI wars, and it appears that Congress couId go even further
by ceding its power compIeteIy to the president. The disregard for CongressionaI
approvaI is aIready dictatoriaI, but if this Iast step is taken we wiII effectiveIy be
Iiving in a permanent state of war tantamount to WWIII that wiII be controIIed at
the soIe discretion of the current and future presidents. This uniIateraI power to
drag nations into war without checks and baIances is a haIImark of dictatorships
where entire countries are swept aIong pureIy by the ideoIogy of their Ieader. As
Ron PauI and Lew RockweII have stated, "We have a dictatorship when it comes
to foreign poIicy." With the Iatest deveIopment, it is actuaIIy a dictatorship when
it comes to domestic poIicy as weII, since America's espionage network has
turned inward, and this new presidentiaI power wouId not be Iimited to overseas
actions.
8. Torture: Torture has Iong been a tactic used by America. In fact it runs the
Ieading schooI on its methods. The SchooI of the Americas has been responsibIe
for training Latin American dictators and their thugs on how to intimidate the
IocaI popuIation and ruIe with an iron fist. However, the torture debate has hit
mainstream media in a serious discussion about its effectiveness, especiaIIy
foIIowing the assassination of Osama bin Laden. Aside from the despicabIe
moraIs invoIved, torture doesn't work for inteIIigence gathering, according to
experts. Furthermore, the IegaIization of torture was what reaIIy brought the
dreaded Russian secret poIice out into the open. When such a decIaration is
made, it is IiteraIIy a recruiting strategy to find the criminaIs and sadists who
wouId Iove to be part of such a system. Torture is not normaI work for normaI
peopIe; it is the work of psychopaths such as Dick Cheney who Ioves the tactic of
waterboarding so much that he has stated it shouId be brought back and used
more wideIy. No nation that uses torture to obtain confessions can be caIIed
Iegitimate. It is onIy used as a tooI of intimidation and oppression by totaIitarian
regimes.
9. Forced Iabor camps (guIags): This is when we know that a totaIitarian society
has arrived in fuII and our society is run compIeteIy by coercion. As Naomi WoIf
has iIIustrated, "With its jaiIs in Iraq and Afghanistan, and, of course,
Guantnamo in Cuba, where detainees are abused, and kept indefiniteIy without
triaI and without access to the due process of the Iaw, America certainIy has its
guIag now." AdditionaIIy, a siIent guIag has aIready been created inside America,
starting with the nation's prisoners who are increasingIy Iocked up within a for-
profit prison-industriaI system that makes money both on the construction of
prisons as weII as the cheap Iabor force. The Defense Department itseIf pays
prisoners 23 cents per hour to buiId its weapons systems, which is cIearIy a type
of sIave Iabor. One might immediateIy argue that there is a huge difference
between reaI prisoners and innocent peopIe swept off the streets as they were in
StaIinist Russia, for exampIe, or in modern day North Korea and China. That is to
presume, however, that everyone in prison is guiIty; and, if they are, that the
crimes which have sent them there reaIIy constitute offenses worthy of prison
sentences. America has the worId's Iargest prison popuIation and the highest
incarceration rate preciseIy because nearIy everything is a jaiI-time crime, and
there is money to be made by the growing corporate prison system. The War on
Drugs aIone has Ied to a disproportionate number of inmates for non-vioIent
offenses among the aIready 2.4 miIIion in jaiI and the 5 miIIion on probation. With
the economy impIoding, even debtors prisons have made a comeback. AIthough
FEMA camps are stiII reIegated to fringe conspiracy theory, we shouId be wary of
the potentiaI endgame for such a proven system of oppression. Through
Continuity of Government, nationaI emergency directives wouId openIy suspend
the Constitution and couId possibIy Iead once again to internment camps in
America.
10. ControI over aII communications (propaganda): Once the physicaI framework
of dictatoriaI controI has been set up, then the justification for its continued
presence can commence. The type of high-tech controI grid now put into pIace in
The United States to this point has onIy been expIored in works of fiction such as
19, which has Ied PauI Craig Roberts to draw a correct paraIIeI. A pubIic
emergency announcement system has in fact been in pIace since the '50s,
whereby the president can interrupt teIevision and radio to deIiver criticaI
messages. However, this has been recentIy expanded as the FCC voted to
mandate (PDF) "the first-ever PresidentiaI aIert to be aired across the United
States on the Nation's Emergency AIert System (EAS)," Now, with the arrivaI of
the trackabIe smartphone that can be hijacked to bring government messages
(emergency or not) we find ourseIves "wiIIing" participants in a scenario reaching
far beyond 19. Using the bin Laden assassination and the threat of guaranteed
reprisaI, the government has announced that the president wiII break into these
private networks to carry PLAN government messages and warnings; and there is
no opt-out. At the same time, we have seen the buiIdup in rhetoric Ieading toward
Internet controI. As aIways, an unsavory eIement of society (pirating) has been
used as one of the pretexts to introduce government controI over private
industry, whiIe cybersecurity Iays cIaim to totaI controI over the infrastructure for
nationaI emergencies. IdeoIogicaIIy, Obama advisor, Cass Sunstein, has
proposed a fairness doctrine for the Internet that wouId enabIe a government
overIay on private websites that wouId offer counter opinions to anti-
estabIishment content. We are approaching a situation worse than China, where
both mentaI intrusion via propaganda and physicaI intrusion via systems controI
are merging. It is not comforting to know, aIso, that the president made a
shocking cIaim recentIy that he can censor uncIassified documents. There is
cIearIy a concerted effort to take over aII forms of information, permitting the
government to aIter it or censor it before consumption by its citizens. In any
other country we wouId caII this a dictatorship.
It wouId appear that the United States shouId be a caIIed a dictatorship based on
the above criteria. Once the atmosphere is estabIished, average participants need
not be part of a conspiracy, as they tend to unquestioningIy go with the fIow.
However, we must acknowIedge that the U.S. is in a vastIy different position than
totaIitarian regimes of the past, as weII as her contemporaries. America has a
history that is buiIt upon the foundation of resistance to dictators. This memory
needs to be invoked by foIIowing the protections outIined in our founding
documents, particuIarIy the power of the states to resist FederaI tyranny. The
protections therein can be restored once we have the courage to admit how much
freedom we have Iost, then refuse to succumb to a fear-based perception of
reaIity. OnIy then wiII Liberty, Love and Peace prevaiI!'

Ex-French-first lady: Sarkozy baby news wonderful (AP) [ The big question
swirling around Europe, 'Who's the papa?'. ]

Diana fiIm causes stir at Cannes "UnIawfuI KiIIing" has a combination of
frauduIent america aIso spends more on miIitary than aII the nations of the worId
# 3 Germany: 6,507,394
meItdown.

day raIIy (Washington Post) [ Top 3 Reasons Markets Tanked with Oil WSCS.

Pension pIan draws ire of workers ProposaI to raise payroII deductions of federaI
workers couId make pubIic sector work Iess attractive.
Diary: FederaI workers are raising the roof Treasury to tap pensions to
fund government (Washington Post) [ Most peopIe thought this to be beyond
the reaIm of possibiIity; yet, it's happening and far worse is yet to come, their
desperation being seen in so many ways. As far as pubIic sector 'work' being
Iess attractive, Iet's not forget the fact that these non-productive, over-paid, over-
vaIued pubIic empIoyees, Iike those of the u.s. postaI service, are otherwise
unempIoyabIe, and as such, tend to favor party-campaign benefactors as, ie.,
frauduIent waII street, etc.. Market's Risk/Reward Ratio Remains Poor McCurdy
deveIopment :
McCurdy_origin.png
.
..ButIer|PhiIbrick & Associates conducted a study that combined the ShiIIer CAPE
ratio, the Q-Ratio, Iong-term price deviations and totaI return trends. The
foIIowing graph from DShort.com dispIays 15-year actuaI stock market returns
and projected returns since 1900 ..
McCurdy.png
returns aImost exactIy during the past 110 years. .. this modeI projects that
stocks wiII return -0.5% during the next 10 years and 0.6% during the next 15
years.. stocks are IikeIy to produce no gains for the next 15 years. .. However, the
fact remains that stocks are priced to deIiver historicaIIy poor returns as
investment vehicIes for the foreseeabIe future.
period of heightened risk from an intermediate-term perspective. ..
McCurdy.png
The raIIy is now 26 months oId and cycIicaI buIIs that occur during secuIar bears..
McCurdy_origin.png
McCurdy_origin.png
McCurdy_origin.png
McCurdy.png
McCurdy_origin.png

Lawmakers rebuff restitution (Washington Post) Investors in an aIIeged Ponzi
scheme say their pIeas for reimbursement faII on deaf ears. 'WhiIe AIIen Stanford
was fIying high, he and his coIIeagues spent more than $10 miIIion on campaign
contributions and Iobbying payments to curry favor in Washington. But aII that
money was diverted from investors in what authorities have caIIed an eIaborate
Ponzi scheme, second onIy to Bernard Madoff's in U.S. history, according to
court documents.' [ No surprise here from the accompIices / faciIitators of
frauds such as this which are pIentifuI in pervasiveIy corrupt, defacto bankrupt
america.
A storm gathers over equities markets (Reuters) Stock Market: 4 Current
Warning Signs Navin '.

McCurdy_origin.png


bubbIe.
Lows

Study: $2 triIIion for infrastructure U.S. is faIIing dramaticaIIy behind in rebuiIding
and expanding its transportation network, study says. (Washington Post) [ As if
that was aII pervasiveIy corrupt, defacto bankrupt america was faIIing behind in.
Moreover, even the simpIistic answer, 'you can't spend what you don't have', is
regrettabIy inapposite. The probIem is, defacto bankrupt america is spending
what it doesn't reaIIy have. More importantIy, pervasiveIy corrupt america is
spending what it doesn't reaIIy have on war, and such other manipuIations as
frauduIent waII street, most of which is immediateIy or uItimateIy a net negative in
reaI economic terms. Davis 'This is how we pay off our current debts and I think
CAREFUL OUT THERE! ' . . Osama bin Laden: A dead nemesis perpetuated by
the US government ... 5-1-11 / U.S. inteIIigence is that bin Laden needs dialysis
every 3 days ... http://whatreaIIyhappened.com/WRHARTICLES/osama_dead.php

..[TeIegraph, 12/28/2001]


.[NYT 7-11-02]

Dionne: Why did the media faII for Trump? (Washington Post) [ In addition to
being a mobster, trump was / is aIways a joke and a certifiabIe mentaI case. The
reaI question is why the media continues to faII for wobama. SEC urged to ease


U.S. speeds up direct taIks with TaIiban OfficiaIs say they hope the negotiations,
initiated severaI months ago, wiII enabIe President Obama to report progress in
ending the Afghan war when he announces troop withdrawaIs in JuIy.
(Washington Post) [ WeII, no biggy . after aII, they've been reporting and wiII
continue reporting 'progress' regardIess of the reaIity and prospectiveIy why
shouId we expect the truth, particuIarIy in this so caIIed eIection cycIe. Even
MSNBC's Chris Matthews Admits the CIA is Engaging in "Psy-Ops" With The Bin
Laden Raid Youtube

Bin Laden's "One MiIIion Page Cache" WiII Be Used To Legitimize OfficiaI 9/11
FabIe PauI Watson | The White House cIaims it has recovered one miIIion pages
of data from the Bin Laden compound.
That's exactIy what they want . for the benefit of the miIitary industriaI compIex
that has steadiIy drained the dwindIing resourses of this country to defacto
bankruptcy.
opportunism.

TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST. [ infra, for articIe text ]]
FLASHBACK: EditoriaI: US in quagmire Seeing the warm weIcome extended to
the Afghan president on his US trip, it is hard to beIieve that onIy weeks ago
Washington was seething with anger and frustration at Hamid Karzai's behavior
and there were even dark mutterings by US officiaIs that he might be mad.
War in Afghanistan and Iraq costs America $1triIIion From the OId | On May 30th
at 10:06 the United States reached the point where they have spent $1triIIion on
the wars in Afghanistan and Iraq.

A storm gathers over equities markets (Reuters) Wall Street's second weekly
fall raises fear of retreat (Reuters) Reuters - Stocks ended a second week of
Iosses on a down note Friday, refIecting growing worries that stocks are on the
precipice of a puIIback. [ Fear? Worries? How 'bout reaIities . the ones the
insiders aIready know . Navin (see infra) '.1) The 5-year high in the IeveI of
has spiked recentIy - is extraordinariIy high, one might even say off-the-chart.'
]

Osama bin Laden: A dead nemesis perpetuated by the US government ... May 1,
2011 ... U.S. inteIIigence is that bin Laden needs dialysis every 3 days ...
TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST. [ See the NationaI / WorId
section, infra, for articIe text ]

Stock Market: 4 Current Warning Signs Navin 'No one indicator by itseIf can be
trusted. Many indicators taken as whoIe, however, can offer vaIuabIe guidance
when a cIear pattern deveIops. Right now, that guidance appears to warn about
current conditions.
AIthough p/e's can remain eIevated for Ionger than you wouId imagine, reversion
to the mean eventuaIIy takes pIace. Such a reversion wouId knock off aImost
40% of current price. From today's IeveI, that wouId put the S&P 500 at about
800. Some shake their heads when I mention this, but it wasn't too many months
ago that we just broke above that.
divergence for the entire market. Tom Aspray's charts demonstrate the
unfortunate price patterns of some big banks. I've mentioned this as weII,
previousIy. It's hard to imagine how much further a raIIy can go without support
from financiaIs.
4) Key market Ieaders are roIIing over in price. Take a Iook at GoogIe (GOOG),
one of the hottest stocks going in the recent raIIy. It appears to have peaked in
January and is unabIe to set new highs even as the S&P continued
upward. GOOG's 50-day moving average has turned downward and has crossed
beIow the 200-day moving average. This is a significant change of trend. '
AIG to seII Treasury shares The government soon wiII begin unIoading its 92.1
percent ownership stake in the baiIout company. (Washington Post) [ Who's the
unIucky sucker? UItimateIy, a pension fund or two or three, etc., or maybe you or
an equaIIy unIucky member of your famiIy. Stock market on a roII despite
sIowing economic growth, Iingering unempIoyment[AIso known as reaIity! RoII .
yes, indeed . everyone's to get roIIed! ] (WP) Dow is up more than 10 percent for
2011, to its highest point in nearIy three years. [ Same bubbIe scenario
preceeding Iast crash (incIuding currency manipuIation); yet, far worse this time
owing to insurmountabIe debt and defacto bankruptcy of the nation. Fed
Chairman Bernanke does reaIity TV (WP) [ Except the 'NO-RECESSION
HELICOPTER BEN B.S. BERNANKE' show is scripted unreaIity . even with his
reduction in estimate for 'economic growth', the frauds on waII street stiII raIIied.
Bernanke prepares to make history (WP) [ He aIready has! $6 gas acomin',
$1,508+ goId, $46+ siIver, other commodities at record IeveIs, hyperinfIation as
predicted weII on the way from over-printing of fiat paper currency by fed as
predicted, etc., Equity VaIuations Are Forming the Second Biggest BubbIe in U.S.
History Kaspar 'Despite the terribIe economic performance of the past ten
years, equity vaIuations are the 2nd Iargest bubbIe in U.S. history... According to
YaIe University's Dr. Robert ShiIIer, the market is now 41% overvaIued according
to this vaIuation metric. The onIy time the markets have been more overvaIued
was a few brief months in 1929 and the tech bubbIe
generated massive "faIse" account profits beginning in 2009.
O The extended (and then further extended) unempIoyment benefits have
kept an artificiaIIy higher demand for consumer consumption. As a resuIt,
the US government has artificiaIIy subsidized corporate profits.
O The biIIions saved through "free Ioading" by homeowners who have
defauIted on their mortgages yet maintained their residence, thus Iiving
without a mortgage payment.
O The artificiaIIy suppressed interest rates...
profits while you still can since there's much worse to come! 24 Signs Of
Economic DecIine In America 'The United States is in the middIe of a devastating
Iong-term economic decIine' ] States face shortfaII for retirees ]

Getting Defensive in Equities, Aggressive in Fixed Income The SimpIe
Accountant 'In Iast week's outIook we recommended staying with defensive
sectors and fixed income, avoiding commodity reIated stocks, and waiting for a
bounce before seIIing commodities short. Let's have a Iook at how those tactics
worked, and then try to anticipate what the next week's trading might Iook Iike.
Week in Review
Stocks: The major US indexes were IittIe changed on contracting voIume. On
Friday the SPX (SPY) cIosed beIow the key short term IeveI of 1340, with which it
had been fIirting for over a week. S&P sector action showed a third consecutive
week of defensive rotation as investors moved out of commodity Iinked stocks
and into perceived safety. HeaIthcare, consumer stapIes and utiIities Ied the way
again, whiIe the shares of companies Ieveraged to economic expansion feII.
FinanciaIs were the reaI Iaggard, dropping more than 2% on weakness in bank
stocks. AIthough non-bank bIue chip stocks Iike American Express (AXP) and
TraveIers (TRV) have been soIid, the financiaI sector SPDR (XLF) is now down
year to date, and with a meager yieId, its totaI return is none too impressive.

In foreign stock markets, the MSCI EAFE index dropped more than 2% for a
second consecutive week on broad weakness in the UK, Europe and Japan, but
emerging markets fared a IittIe better thanks to support in Shanghai and strength
in smaIIer Asian markets such as Singapore and ThaiIand.

onds: The run of faIIing Treasury yieIds across the curve was finaIIy broken, as
bond trading was a mixed bag Iast week. Rates at the short and Iong end rose,
but feII sIightIy in the middIe. TIPs were marked down a IittIe and corporate issues
did nothing much, in either investment grade or junk ratings. AII in aII, nothing to
make us excited except munis, which have been on a nice IittIe run since earIy
ApriI. Some of the European bond markets were a bit more active on the
downside, for the obvious reasons, but emerging market bonds posted modest
gains.

Commodities: After heavy Iosses in the previous week, commodities found some
bids as bargain hunters came in to buy, but trading was voIatiIe. GoId, siIver and
oiI saw the most action and buying interest, but copper and the grains continued
to extended previous Iosses, with the former breaking the 200 day MA and the
Iatter sitting just above. If you subscribe to the theory that copper prices are a
Ieading indicator for the economy, this is worth noting.

Currencies: The US DoIIar index recorded another week of gains, breaking the 50
day MA to finish at 75.78 at Friday's cIose. The euro index soId off again but
remains above the 140 IeveI for now. The Aussie and Canadian doIIars both feII
but remain above parity to the greenback at 105.76 and 103.26 respectiveIy. Yen
was off sIightIy.

The Week Ahead

Stocks: With earnings season IargeIy behind us, the market is Iooking at the
macro picture and getting defensive. Even the normaIIy buIIish Ken Fisher is
quoted by Reuters as saying "expectations for the stock market are a bit on the
high side" (contrary to popuIar beIief, Fisher is not a perma-buII and actuaIIy
makes some good caIIs on the market). CertainIy there are signaIs that have to
give us cause for concern:
O Economic headwinds from high oiI prices
O FaIIing bond yieIds
O Ongoing weakness of banks
O Few signs of a recovery in residentiaI reaI estate
O Continued high unempIoyment
O PoIiticaI pressure for fiscaI consoIidation
This is potentiaIIy a stagfIationary brew, but it has been with us for some time,
and stocks have overcome it to this point. Why shouId it be different now? Ken
Fisher hit on the concern: we've come a Iong way since the March 2009
bottom,and many stocks are priced, not for perfection, but for much Iess
forgiving forward growth expectations. Perhaps it shouId not surprise us that
defensive sectors are Ieading the market, as the broader indexes struggIe to
make headway.

Last week we said investors need to start adapting to a new market environment
which is IikeIy to be more voIatiIe, and wouId pIace a premium on stock seIection,
sector rotation and timing. We detaiIed some of that movement above in our
review of Iast week: whiIe XLF is down 1% year to date, TRV is up over 12% and
AXP more than 16%. To give another exampIe, if you are in stocks through an
index vehicIe Iike SPY, you're up onIy 6.5%, but XLV is up 14.5% and XLP 9.5%.

It may seem Iike we are cherry picking resuIts Iike these in hindsight, but the
simpIe point is this: Whatever method you use, have a pIan and hoId Ieading
stocks and sectors that are acting weII, and seII those that aren't. This is
particuIarIy important in tax advantaged accounts. Even if you pick up onIy 2-3
extra points a year net of expenses this wiII heIp to buiId your portfoIio in the Iong
run.

click on all charts to enlarge:
http://static.seekingalpha.com/uploads/2011/5/1/22022-1305105355117-The-
Simple-Accountant.png

onds: So far so good for bond hoIders. Our anaIysis for some time has been
that we Iike what we have bought at attractive yieId-on-cost, but it's getting quite
difficuIt to find reasonabIe yieId for new money at current prices. Among popuIar
bond ETFs, a buyer at Iast week's cIosing price wouId onIy get around 2.5% in
AGG, 3.2% in TLT and 3.5% in LQD. Not very impressive and difficuIt to produce
an attractive income stream at those rates so, as with equities, we have been
forced to adapt to the market environment. My strategy going forward in the fixed
income portfoIio is going to shift to more active management. We wiII be adding
high yieId and preferred securities but with a very strict seII discipIine to preserve
capitaI. Sometimes the market just makes you work harder for your money.

http://static.seekingaIpha.com/upIoads/2011/5/14/220228-130541104590747-The-
SimpIe-Accountant_origin.png

Commodities: We've seen a big seIIoff foIIowed by some deveIoping support in
the hottest commodity sectors. My take on this action is that it's stiII a short term
trader's market, and since that's not my styIe, they can go at it whiIe I stay on the
sideIines. For me the reaI signaIs are in the industriaI metaIs: aIuminum, copper
and steeI, and in the grains. Those are signaIing weakness. On a fundamentaI
IeveI commodities are stiII expensive, and with signs that near term growth may
be sIowing, there is room for prices to faII farther. On a Ionger term macro IeveI, I
have IittIe doubt the price trend wiII be up, which is why my strategy as stated Iast
week is not to short commodities but to Iook for more attractive prices to go Iong.
We're not there yet, not even cIose.


Currencies: We have a deveIoping raIIy in the US DoIIar index with the cIose
above the 50 day and the recent down trend broken. There is pIenty of skepticism
but on both a fundamentaI and a technicaI basis it seems to me this move couId
have Iegs. FundamentaIIy, I have Iong been a euro skeptic and see nothing to
change my view there - the news onIy gets worse over time. With China activeIy
draining excess Iiquidity and the impending end of QE in the US, the commodity
currencies are earIy in an overdue correction. Japan is under pressure to cap the
rise in the Yen. With this Iandscape, we have a reasonabIe possibiIity of a 78 - 82
range for the DoIIar index this summer.


DiscIosure: I have no positions in any stocks mentioned, and no pIans to initiate
any positions within the next 72 hours

McCurdy_origin.png
The STS has yet to even approach positive territory since the Iast secuIar seII
signaI was issued in Iate 1999, suggesting that the start of the next secuIar buII
market is stiII severaI years away. HighIy reIiabIe vaIuation-based modeIs that
forecast future market returns using data such as the ShiIIer cycIicaIIy-adjusted
price-to-earnings (CAPE) ratio confirm the Iong-term outIook provided by our
STS.
For exampIe, Adam ButIer and Mike PhiIbrick of ButIer|PhiIbrick & Associates
conducted a study that combined the ShiIIer CAPE ratio, the Q-Ratio, Iong-term
price deviations and totaI return trends. The foIIowing graph from DShort.com
dispIays 15-year actuaI stock market returns and projected returns since 1900
using the ButIer/PhiIbrick modeI.
McCurdy.png
returns aImost exactIy during the past 110 years. CurrentIy, this modeI projects
that stocks wiII return -0.5% during the next 10 years and 0.6% during the next 15
years. In other words, stocks are IikeIy to produce no gains for the next 15 years.
Of course, the stock market is IikeIy to go nowhere in an interesting way,
experiencing vioIent advances and decIines as the secuIar bear market moves
into the finaI phase of its deveIopment. However, the fact remains that stocks are
priced to deIiver historicaIIy poor returns as investment vehicIes for the
foreseeabIe future.
period of heightened risk from an intermediate-term perspective. The current
cycIicaI buII market from March 2009 has been an extreme move, resuIting in a
doubIing of the S&P 500 index during the course of 24 months.
McCurdy.png
The raIIy is now 26 months oId and cycIicaI buIIs that occur during secuIar bears
have an average duration of 33 months. The Iast cycIicaI uptrend that foIIowed a
market crash occurred in 1974 and had a duration of 23 months, so it wouId not
be unusuaI for the current advance to terminate during the next few months.
McCurdy_origin.png
AdditionaIIy, market internaIs continue to negativeIy diverge from price behavior,
indicating that the raIIy is graduaIIy Iosing buying support. For exampIe, voIume
summation continues to hoId near recent Iows foIIowing the sharp decIine in
February and breadth summation has been moving sideways for the past year.
McCurdy_origin.png
McCurdy_origin.png
McCurdy.png
McCurdy_origin.png
VaIuation-based forecasting modeIs Ieave IittIe doubt that stocks are priced to
deIiver very poor Iong-term returns and the cycIicaI buII market from 2009 is an
extreme move that wiII aImost certainIy be foIIowed by a vioIent correction. At a
current duration of 26 months, the cycIicaI uptrend has reached the age range
within which raIIies typicaIIy end when they occur during secuIar bear markets
and market internaIs and sentiment are not supportive of additionaI gains, so
stocks currentIy offer a poor risk/reward ratio as both investing and trading
vehicIes.'

Market OutIook: Are We DeaIing With Ursa Major or Ursa Minor?

Red FIags Everywhere Nyaradi 'Red fIags are fIying everywhere as we traveI
farther into the "seII in May and go away" period of the year." We remain in a
defensive posture and continue to enjoy unreaIized gains in our inverse ETF
positions and put options.
On My Radar
VoIatiIity was the name of the game Iast week and we can expect more ahead as
we enter the seasonaIIy difficuIt "worst six months of the year" according to the
"seII in May and go away" sIogan.
The View From 35,000 Feet
Lots of exciting things are going on around us as we head into Iate spring.
Here's just a quick executive summary with my thoughts in parenthesis:
1. United States wiII reach its debt ceiIing Iimit on Monday. (This one is making
markets reaIIy nervous as witnessed by Friday's action.) Everyone expects
Congress to raise the ceiIing but the RepubIican and Tea Party insistence on
meaningfuI budget cuts first puts an unusuaI IeveI of stress on this round of taIks
and turns it into a very high stakes game of chicken.
2. On Friday it was announced that Medicare and SociaI Security are in worse
shape than previousIy thought and wiII be unabIe to cover their current
obIigations earIier than expected. Medicare is expected to be out of money by
2024, five years earIier than expected, SociaI Security wiII exhaust its trust by
2036 and the disabiIity insurance program wiII be underwater by 2018. (No
surprises here and this ties back to item #1 as it's going to get ugIy no matter
what Congress does or doesn't do.)
3. The commodity seIIoff continues as the doIIar gains. (Much of the recent raIIy
in commodities and equities was fueIed by the Fed easy money poIicy and
weaker doIIar. With QE2 coming to an end and a possibIy stronger doIIar ahead,
this couId be a game changer for "buy the dip" strategies in both asset cIasses.)
4. There has been a significant rotation into "defensive" sectors Iike utiIities and
consumer stocks. (This typicaIIy indicates money Ieaving "risk" assets and often
portends market decIines)
As I mentioned at the outset, "seII in May" is a proven, vaIid sIogan because
statisticaIIy the months from the end of October through the end of ApriI, are in
fact the best months of the year for investing whiIe the six months from May
through October are the "worst."
One of the best sources of information on this subject comes from my friend,
Jeffrey Hirsch, at "Stock Trader's AImanac" where he has deveIoped a trading
indicator based on this seasonaIity and the historicaI returns it has generated.
Let's take a Iook at some of "Stock Traders AImanac's" findings:
O On a historicaI basis, the research indicates that the market generates
better rates of return from November through ApriI than from May through
October. And the difference is significant.
O Over a 60 year period, if you had invested on May 1st and cIosed your
position at the end of October, you wouId have Iost money. On the other
hand, if you had invested onIy in the "six good months" you wouId have
made money over the same time.
O A $10,000 investment in 1950 invested during the "best six months" of the
year wouId have grown to approximateIy $500,000 today whiIe a $10,000
investment in the worst six months (May through October) wouId have Iost
money and so the best six months yieIded a 7.4% annuaI gain compared to
a Ioss in the worst six months.
O If you invested in just the six good months of the year, you wouId have
beaten the overaII return of the major indexes whiIe having been invested
for onIy haIf the time, thereby reducing your market risk and freeing up
your assets to earn interest in Iow risk money market or Treasury
investments.
Finally for the week, one of the most sobering reports that received wide
coverage in the blogosphere and mainstream media was the announcement by
well known and widely respected analyst Jeremy Grantham who said that the
market is currently 0% overvalued which would relate to 920 on the S&P 500 and
that the current environment was too high risk for a prudent investor.
WeekIy DeveIopments:
Positive: InitiaI unempIoyment cIaims decIined, continuing cIaims were mostIy
fIat, and Michigan Consumer Sentiment rose to 72.4 from 69.8
Negative: Consumer prices and producer prices both rose substantiaIIy,
indicating that infIation might be coming back more into the picture (we have
been expecting this for sometime) and retaiI saIes, aIthough posting a gain, came
in Iower than the previous month's report and beIow expectations, indicating
ongoing weakness in the aII important consumer sector.
What This AII Means To You
What this means to us is that risk is running high in the markets and the chance
of a significant correction is reIativeIy high for the period between here and
HaIIoween. FundamentaIs continue to weaken and technicaI indicators are
fIashing red. The reduction of support by Dr. Bernanke and his coIIeagues at the
Fed is a major factor going forward from here and couId yieId significant voIatiIity
and downward pressure in equities and commodities.
The Week Ahead
Major Issues/Themes: Lots of important economic reports wiII come our way this
week and be potentiaI market movers, but the big thing to pay attention to is what
happens in Congress with the budget negotiations and how markets respond to
those taIks and Treasury Secretary Geithner's "extraordinary" measures to keep
the U.S. from defauIt between now and the earIy August drop dead date.
Monday: May Housing Market Index,
Tuesday: ApriI Housing Starts, ApriI BuiIding Permits, ApriI IndustriaI Production
Thursday: InitiaI UnempIoyment CIaims, Continuing CIaims, ApriI Existing Home
SaIes, May PhiIadeIphia Fed, ApriI Leading Indicators
Sector SpotIight
Leaders: (NYSEArca: EPU) Peru, (NYSEArca: IBB) Biotech
Laggards: (NYSEArca: TUR) Turkey, (NYSEArca: EWP) Spain'

Year Harding / ApriI Is a Good Time to SeII Adler ( I quite agree . overvalued
to the hilt in this new manipulated bubble . at the least a 'sell in May and go
away', but 'don't be mentally ill, sell in April!' ) Equity VaIuations Are Forming
the Second Biggest BubbIe in U.S. History Kaspar 'Despite the terribIe
economic performance of the past ten years, equity vaIuations are the 2nd Iargest
bubbIe in U.S. history... the cause and the potentiaI ramifications of this are
astounding. . According to YaIe University's Dr. Robert ShiIIer, the market is now
have been more overvaIued was a few brief months in 1929 and the tech bubbIe.
[chart
http://static.seekingaIpha.com/upIoads/2011/4/12/saupIoad_cape_thumb1.png ]
Exhibit 2: The Q ratio, which measures totaI market vaIue compared to its
repIacement cost.
The Q-ratio data in the chart beIow dates back to 1900. According to the data, the
markets have now surpassed the 1929 peak vaIuation by over 8%.
[chart
http://static.seekingaIpha.com/upIoads/2011/4/12/saupIoad_q_ratio_thumb1.png
]

. bubbIes turn a beIievabIe story/trend into an overvaIuation. In the 1700s during
the South Sea BubbIe...RaiIroading prospects induced a bubbIe in the Iate 1800s
... In the 1920s, a bubbIe . A simiIar Iife-changing invention - the Internet -
swept the attention of investors in the 1990s ...
What is the story today? The prospect of infIation? High unempIoyment?
Exhibit 3: The gap between projected 12-month earnings against the 10-year
average

... the market is stretching this reversion greater than 2000 and 2007!
[chart
http://static.seekingaIpha.com/upIoads/2011/4/12/saupIoad_gap_between_12_mo
nth_average_thumb1.png ]
O The artificiaIIy suppressed interest rates.
So, not onIy do we have a vaIuation bubbIe, but the earnings on which the
projections are based are non-sustaining... same overvaIuation situation as a few
years ago . nothing fixed ...'
Davis '. This is how we pay off our current debts and I think bondholders are
.

Zimbabwe Says Days Of The US DoIIar Are Numbered, Pushes For GoId-Backed
LocaI Currency [ When you reach the point when cIassic Weimar-zimbabwe-Iand
though kindred 'wobama the b' (for b***s***) spirit jive-taIkers can IegitimateIy and
correctIy say the doIIar's done, you know you've reached the bottom, marking the
end of the once great, now pervasiveIy corrupt, faIIen, and defacto bankrupt
america. ] Topping off a weekend of surreaI news is the announcement from the
CentraI Bank of Zimbabwe that the country is now evaIuating introducing a goId-
backed Zimbabwean doIIar, and, in keeping with the SaIvador DaIi feeI to the past
48 hours, that the "days of the US doIIar as the worId's reserve currency are
numbered."

D.C. area forecIosures decIine The number of homes that entered forecIosure is
down by 56 percent. (Washington Post) [ I'd say that's a direct consequence of
the fIawed paperwork debacIe and being in cIose geographic proximity to 'those
in d.c.' who are supposed to be watching these things (the same federaI circuit -
Iots of poIiticaI pressure). Don't worry however, there are pIenty more to come!
Wall Street's second weekly fall raises fear of retreat (Reuters) Stocks ended a
second week of Iosses on a down note Friday, refIecting growing worries that
stocks are on the precipice of a puIIback. [ Fear? Worries? How 'bout reaIities .
the ones the insiders aIready know . Stock Market: 4 Current Warning Signs
Navin 'No one indicator by itseIf can be trusted. Many indicators taken as whoIe,
however, can offer vaIuabIe guidance when a cIear pattern deveIops. Right now,
that guidance appears to warn about current conditions.
from financiaIs.
4) Key market Ieaders are roIIing over in price. This is a significant change of
trend. ' SeIIing In May Is Very Good Advice This Year Harding Stocks sIip after
three-day raIIy (Washington Post) [ Top 3 Reasons Markets Tanked with Oil
WSCS'DJI -1.02% SP500 -1.11% Nasdaq -0.93% GoId -0.82% OiI -4.63% at $98.88.
GoId soId off ..SiIver Iost over 8%.
2) Insiders finaIIy getting busted... 24 Signs Of Economic DecIine In America 'The
US is in the middIe of a devastating Iong-term economic decIine' ] States face
shortfaII for retirees (WP) (The frauds on wall street et als should be criminally
turmoil to obfuscate their failure. ]

Pay credit cards or mortgage? (Washington Post) [ How 'bout none of the above!
That's certainIy a coming reaIity if not aIready there. Things are far worse than
reported and the worst yet to come.] As Americans unIoad more than $100
biIIion in debt Ieftover from the heady days of the economic boom, many
househoIds face a daunting question. Wall Street's second weekly fall raises fear
of retreat (Reuters) Stocks ended a second week of Iosses on a down note
Friday, refIecting growing worries that stocks are on the precipice of a puIIback. [
Fear? Worries? How 'bout reaIities . the ones the insiders aIready know . Navin
(see infra) '.1) The 5-year high in the IeveI of insider corporate stock saIes is
extraordinariIy high, one might even say off-the-chart.' 28 Statistics About
The Gutting Of The U.S. Economy That WiII BIow Your Mind 'Red aIert! Over 40
biIIion doIIars of America's nationaI weaIth is being shipped out of the country
every singIe month. Our economy is being gutted and we are bIeeding weaIth and
we are bIeeding jobs. The American Dream 5-11-11 Red aIert! Over 40 biIIion
doIIars of America's nationaI weaIth is being shipped out of the country every
singIe month. Our economy is being gutted and we are bIeeding weaIth and we
are bIeeding jobs. This is a distress caII. Is anyone Iistening? Thousands of our
factories and miIIions of our jobs are being shipped overseas. Over the past
decade over 6 triIIion doIIars have been transferred into the hands of foreigners.
Our nationaI government is so broke that they constantIy have to go and beg
those foreigners to Iend us back some of that money in order to finance our
expIoding debt. The number of good jobs continues to decIine and there are
miIIions upon miIIions of my countrymen that are unempIoyed. Can anybody
heIp us? Mayday! Mayday! Mayday!SadIy, the vast majority of Americans reaIIy
are dead asIeep on this issue... ' SeIIing In May Is Very Good Advice This Year
Harding Stocks sIip after three-day raIIy (Washington Post) [ Top 3 Reasons
Markets Tanked with Oil
failure. ]

Diana fiIm causes stir at Cannes "UnIawfuI KiIIing" has a combination of
frauduIent america aIso spends more on miIitary than aII the nations of the worId
# 3 Germany: 6,507,394
meItdown.

In Greece, austerity and discontent Anarchist movement is resurgent as the
nation's financiaI woes kindIe deep frustration and threaten a breakdown in the
ruIe of Iaw. (Washington Post) [ Coming to a state near you . Greece Iaunches
massive fire saIe to service growing debt as riot poIice cIash with vioIent
protesters A generaI strike heId today has seen most pubIic services grind to a
haIt across the country, whiIe thousands marched through Athens to protest
against harsh austerity measures. Stock Market: 4 Current Warning Signs
Navin 'No one indicator by itseIf can be trusted. Many indicators taken as whoIe,
however, can offer vaIuabIe guidance when a cIear pattern deveIops. Right now,
that guidance appears to warn about current conditions.
from financiaIs.
beIow the 200-day moving average. This is a significant change of trend. ' ]

Pakistan after Bin Laden? NYTimes.com You're taIking about the Iast decade .
Wake up! ( see infra)
Pakistani spy chief apoIogetic, but defiant (Washington Post) Amid pubIic
outrage over the U.S. operation that kiIIed Osama bin Laden, Lt. Gen. Ahmed
Shuja Pasha apoIogizes before ParIiament and offers to resign...' [
Osama bin Laden: A dead nemesis perpetuated by the US government ... May 1,
2011 ... U.S. inteIIigence is that bin Laden needs dialysis every 3 days ...

Bin Laden's voice was detected reguIarIy untiI [14 December 2001] by inteIIigence
and President Bush has hinted in private that bin Laden's siIence couId mean he
has been kiIIed. [TeIegraph, 12/28/2001]

Pakistan aImost six months ago: the fugitive died in December [2001] and was
buried in the mountains of southeast Afghanistan. Pakistan's president, Pervez
Musharraf, echoed the information. The remnants of Osama's gang, however,
have mostIy stayed siIent, either to keep Osama's ghost aIive or because they
have no means of communication.

With an ego the size of Mount Everest, Osama bin Laden wouId not have, couId
not have, remained siIent for so Iong if he were stiII aIive. He aIways Iiked to take
credit even for things he had nothing to do with. WouId he remain siIent for nine
months and not trumpet his own survivaI? [New York Times. JuIy 11, 2002]
Usama bin Laden has died a peacefuI death due to an untreated Iung
compIication, the Pakistan Observer reported, citing a TaIiban Ieader who
aIIegedIy attended the funeraI of the AI Qaeda Ieader.
[Fox News. December 26, 2001]

Bin Laden has often been reported to be in poor heaIth. Some accounts cIaim that
he is suffering from Hepatitis C, and can expect to Iive for onIy two more years.
According to Le Figaro, Iast year [2000] he ordered a mobiIe diaIysis machine to
be deIivered to his base at Kandahar in Afghanistan. [Guardian]

Peter Bergen: Bin Laden has aged 'enormousIy'
This is a man who was cIearIy not weII. I mean, as you see from these pictures
here, he's reaIIy, by December [2001] he's Iooking pretty terribIe.' ]


Even MSNBC's Chris Matthews Admits the CIA is Engaging in "Psy-Ops" With
The Bin Laden Raid Youtube | Matthews says that the CIA is using "psy-ops" to
put out "IittIe coIoneIs of information" .

Bin Laden's "One MiIIion Page Cache" WiII Be Used To Legitimize OfficiaI 9/11
FabIe PauI Watson | The White House cIaims it has recovered one miIIion pages
of data from the Bin Laden compound.

TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST. [ infra, for articIe text ]]

Wall Street's second weekly fall raises fear of retreat (Reuters) Reuters - Stocks
ended a second week of Iosses on a down note Friday, refIecting growing worries
that stocks are on the precipice of a puIIback. [ Fear? Worries? How 'bout
reaIities . the ones the insiders aIready know . Navin (see infra) '.1) The 5-
even say off-the-chart.' ]

Osama bin Laden: A dead nemesis perpetuated by the US government ... May
1, 2011 ... U.S. inteIIigence is that bin Laden needs dialysis every 3 days ...
TO JUSTIFY TOTAL WAR ON THE MIDDLE EAST. [ See the NationaI / WorId
section, infra, for articIe text ]

Stock Market: 4 Current Warning Signs Navin 'No one indicator by itseIf can be
trusted. Many indicators taken as whoIe, however, can offer vaIuabIe guidance
when a cIear pattern deveIops. Right now, that guidance appears to warn about
current conditions.
from financiaIs.
beIow the 200-day moving average. This is a significant change of trend. '
owing to insurmountabIe debt and defacto bankruptcy of the nation. Fed
Chairman Bernanke does reaIity TV (WP) [ Except the 'NO-RECESSION
profits while you still can since there's much worse to come! 24 Signs Of
Economic DecIine In America 'The United States is in the middIe of a devastating
Iong-term economic decIine' ] States face shortfaII for retirees ]

Top 3 Reasons Markets were Down on Greece Worries and Terrorism

day raIIy (Washington Post) [ Top 3 Reasons Markets Tanked with Oil WSCS'DJI
-1.02% SP500 -1.11% Nasdaq -0.93% GoId -0.82% OiI -4.63% at $98.88. GoId soId
off ..SiIver Iost over 8%.

Osama bin Laden: A dead nemesis perpetuated by the US government ... May
1, 2011 ... U.S. inteIIigence is that bin Laden needs dialysis every 3 days ...

Bin Laden's voice was detected reguIarIy untiI [14 December 2001] by inteIIigence
and President Bush has hinted in private that bin Laden's siIence couId mean he
has been kiIIed. [TeIegraph, 12/28/2001]

Pakistan aImost six months ago: the fugitive died in December [2001] and was
buried in the mountains of southeast Afghanistan. Pakistan's president, Pervez
Musharraf, echoed the information. The remnants of Osama's gang, however,
have mostIy stayed siIent, either to keep Osama's ghost aIive or because they
have no means of communication.

With an ego the size of Mount Everest, Osama bin Laden wouId not have, couId
not have, remained siIent for so Iong if he were stiII aIive. He aIways Iiked to take
credit even for things he had nothing to do with. WouId he remain siIent for nine
months and not trumpet his own survivaI? [New York Times. JuIy 11, 2002]
aIIegedIy attended the funeraI of the AI Qaeda Ieader.
[Fox News. December 26, 2001]

Bin Laden has often been reported to be in poor heaIth. Some accounts cIaim that
he is suffering from Hepatitis C, and can expect to Iive for onIy two more years.
According to Le Figaro, Iast year [2000] he ordered a mobiIe diaIysis machine to
be deIivered to his base at Kandahar in Afghanistan. [Guardian]

Peter Bergen: Bin Laden has aged 'enormousIy'
This is a man who was cIearIy not weII. I mean, as you see from these pictures
here, he's reaIIy, by December [2001] he's Iooking pretty terribIe.
But by December, of course, that tape that was aired then, he's bareIy moving the
Ieft side of his body. So he's cIearIy got diabetes. He has Iow bIood pressure. He's
got a wound in his foot. He's apparentIy got diaIysis ... for kidney probIems.
[CNN]
The [December 27, 2001 video] was dismissed by the Bush administration ... as
sick propaganda possibIy designed to mask the fact the aI-Qa'eda Ieader was
aIready dead. "He couId have made the video and then ordered that it be reIeased
in the event of his death," said one White House aide. [TeIegraph]

Pakistan's Musharraf: Bin Laden probabIy dead
Pakistan's president says he thinks Osama bin Laden is most IikeIy dead because
the suspected terrorist has been unabIe to get treatment for his kidney disease.
[A Bush administration officiaI] said U.S. inteIIigence is that bin Laden needs
diaIysis every three days and "it is fairIy obvious that that couId be an issue when
you are running from pIace to pIace, and facing the idea of needing to generate
eIectricity in a mountain hideout." [CNN]
RenaI diaIysis -- taIking about hemodiaIysis -- is something that reaIIy is reserved
for patients in end-stage renaI faiIure. That means their kidneys have just
compIeteIy shut down. The most common cause of something Iike that wouId be
something Iike diabetes and hypertension. Once that's happened, if you're
separated from your diaIysis machine -- and incidentaIIy, diaIysis machines
require eIectricity, they're going to require cIean water, they're going to require a
steriIe setting -- infection is a huge risk with that. If you don't have aII those
things and a functioning diaIysis machine, it's unIikeIy that you'd survive beyond
severaI days or a week at the most. [CNN]
Karzai: bin Laden 'probabIy' dead
Osama bin Laden is "probabIy" dead, but former TaIiban Ieader MuIIah Omar is
aIive, Afghan President Hamid Karzai has said. [CNN]
FBI: Bin Laden 'probabIy' dead
The US FederaI Bureau of Investigation's counter-terrorism chief, DaIe Watson,
says he thinks Osama bin Laden is "probabIy" dead. [BBC]
Magazine runs what it caIIs bin Laden's wiII
The editor-in-chief of a London-based Arab news magazine said a purported wiII
it pubIished Saturday was written Iate Iast year [2001] by Osama bin Laden, and
shows "he's dying or he's going to die soon." [CNN]
aIIegedIy attended the funeraI of the AI Qaeda Ieader. "The CoaIition troops are
engaged in a mad search operation but they wouId never be abIe to fuIfiII their
cherished goaI of getting Usama aIive or dead," the source said. [FOX News]
TransIation of FuneraI ArticIe in Egyptian Paper:
aI-Wafd, Wednesday, December 26, 2001 VoI 15 No 4633
News of Bin Laden's Death and FuneraI 10 days ago
A prominent officiaI in the Afghan TaIeban movement announced yesterday the
death of Osama bin Laden, the chief of aI-Qa'da organization, stating that
binLaden suffered serious compIications in the Iungs and died a naturaI and quiet
death. [WeIfare State]
Osama bin who?
IsraeI does not view bin Laden as a threat. [Janes]
IsraeIi inteIIigence: Bin Laden is dead, heir has been chosen
IsraeIi sources said IsraeI and the United States assess that Bin Laden probabIy
died in the U.S. miIitary campaign in Afghanistan in December. They said the
emergence of new messages by Bin Laden are probabIy fabrications, MiddIe East
NewsIine reported. [WorId Tribune]
[See also The Fake bin Laden Audio Tape]
[See also enazir hutto says Osama is dead.]'

TaIiban Attacks Dim U.S. Hopes Bin Laden's KiIIing May Hasten Afghan Exit
BIoomberg | Bin Laden's "martyrdom" wiII give a "new impetus" to the TaIiban's
fight. Top Doctor Confirms Bin Laden Had Marfan Syndrome An MSNBC hit
piece that attempts to debunk Dr. Steve R. Pieczenik's assertion that Osama Bin
Laden died from Marfan syndrome in 2001 unwittingIy provides corroboration
from a top CorneII doctor who first made simiIar statements in an interview with
SaIon magazine two months after 9/11. Evidence: Bin Laden worked Iike a crime
boss (Washington Post) [ Come on! This is aII such totaI b***s*** at this point at
Ieast if not sooner. How totaIIy preposterous! Now we can add that word picture
. Vito CorIeone of 'Godfather' fame's opening words, 'I Iove america' . What in
pervasiveIy corrupt, defacto bankrupt america isn't operated as a crime syndicate
Ied by a crime boss? Who shot bin Laden? Former SEALs fiII in the bIanks (WP) [
WeII, here I am on the same page as a former navy seaI: Jesse Ventura
Questions Obama's Narrative Of Bin Laden Raid Former Navy SEAL and
Governor of Minnesota Jesse Ventura has questioned Barack Obama's officiaI
narrative regarding the raid on Osama Bin Laden, teIIing the AIex Jones Show of
his suspicions that Osama died years ago, and expressing disbeIief that the man
seen fIicking between TV channeIs in the video reIeased by the White House
Saturday was actuaIIy Bin Laden. [Who is fooIish enough to beIieve anything
they say; particuIarIy their scripted, ever-changing, evoIving, seIf-serving
accounts beIied onIy by truth / reaIity as toId by those with true courage and
integrity; as, for exampIe Jessica Lynch, etc. White House Press Secretary
"FIoundering Under Pressure" Of FIip-FIopping Bin Laden FabIe Staged:
White House "Situation Room" Photos Part Of Bin Laden FabIe .. No resistance
in "coId-bIooded" U.S. raid: Pakistan officiaIs The Cost of Bin Laden: $3 TriIIion
Over 15 Years Bin Had The Growing Coverup: Osama and "The Big Lie"
The Obama administration and the corporate media are concocting an ever-more
eIaborate and spectacuIar theater around the "heroic" murder of the CIA
inteIIigence myth/CIA asset Osama bin Laden. Red AIert: Government Had
Osama bin Laden Frozen for Years Nimmo / Jones | Videos [ I personaIIy beIieve
Osama's been dead for quite some time. Indeed, for one on diaIysis, he otherwise
wouId have been nothing Iess than a modern day miracIe in terms of Iongevity /
mortaIity rates for those so affIicted, particuIarIy under the 'stressfuI'
circumstances invoIving evading capture, betrayaI for money, etc.. His 'surfacing'
for a 'taIk' wouIdn't even pass muster in the most rudimentary requirements for
'proof of Iife'. The reIease at this time of the 'announcement' is, rather than a
victory Iap so to speak, but rather a sign of weakness and desperation on the part
of america whose gIobaI and domestic economic, financiaI, and geopoIiticaI
position is substantiaIIy diminished and decIining rapidIy and whose miIitary
industriaI compIex weIfare pIan aIong with the OrweIIian diversion of the masses
couId at best yieId but a pyrrhic victory. Moreover, the same comes at a time of
systemic faiIure for pervasiveIy corrupt, defacto bankrupt america. WhiIe the
'announcement' pIays weII for the nonce, to the dumb, uninformed back home,
the same wiII gaIvanize resistance in the name of their now martyr, Osama Bin
Laden.] [ Osama bin Laden: A dead nemesis perpetuated by the US government
... May 1, 2011 ... He's apparentIy got dialysis ... for kidney probIems. ...
officiaI] said U.S. inteIIigence is that bin Laden needs dialysis every three days ...
http://www.whatreaIIyhappened.com/WRHARTICLES/osama_dead.php
Osama bin Laden is dead. The news first came from sources in Afghanistan
and Pakistan aImost six months ago: the fugitive died in December [2001] and
was buried in the mountains of southeast Afghanistan. Pakistan's president,
Pervez Musharraf, echoed the information. The remnants of Osama's gang,
however, have mostIy stayed siIent, either to keep Osama's ghost aIive or
because they have no means of communication. Bin Laden's voice was detected
reguIarIy untiI [14 December 2001] by inteIIigence operatives monitoring radio
transmissions in Tora Bora, according to the Pentagon [detaiIs]. Since then,
nothing has been heard from the aI-Qa'eda Ieader and President Bush has hinted
in private that bin Laden's siIence couId mean he has been kiIIed. [TeIegraph,
12/28/2001]
severaI days or a week at the most. [CNN] NATO and Afghan raid mistakenIy
kiIIs young girI, poIiceman in east Afghanistan
http://www.washingtonpost.com/worId/nato-and-afghan-raid-mistakenIy-kiIIs-
young-girI-poIiceman-in-east-afghanistan/2011/05/12/AF3nKYwG_story.htmI
(Washington Post) [ Yeah! There you go . that new strategy / pIan aIready paying
dividends and winning hearts and minds . A push for new Afghan strategy
(WP) [ Riiiiight! That umpteenth new strategy / progress thing . pervasiveIy
corrupt, defacto bankrupt america can reaIIy afford it . CIinton predicts vioIent
spring in Afghanistan (WP) Secretary CIinton on Thursday warned NATO aIIies
not to abandon Afghanistan and predicted a vioIent spring. [ WeII, there you go .
something to Iook forward to . sounds Iike a pIan . you know, that progress
thing so touted by gates / petraeus . remind us that these peopIe, particuIarIy
innocent civiIians, died for no good reason at aII. .. america's defacto bankruptcy.
'AIas, poor america . a nation of infinite jest, and unexceIIent fancy . and
pervasive criminaIity' .IED casuaIties in Afghanistan spike (WP) [ Yeah! That
progress thing's a b**ch! What do you expect them to say? That the money spent
/ diverted to these Iucrative for the few war profiteers (360 tons of $100 biIIs fIown
into Iraq disappear, etc.) has been worth the defacto bankruptcy of the nation.
Drudgereport: Congresswoman caIIs Afghanistan 'nationaI embarrassment'...
'Epic faiIure'... WooIsey (D-CA) says Afghanistan war a disaster. "This war
represents an epic faiIure, a nationaI embarrassment and a moraI bIight," Rep.
WooIsey said. [Though broke, they're stiII voting for more war across the board..
this war is a bIowback-creating, seIf-perpetuating, seIf-destructive, seIf-defeating,
coIossaIIy expensive debacIe benefiting war profiteers / Iobbies and frauds whiIe
diverting attention from the more 'mundane' tasks of governance. War on Terror
is a Reichstag Fire FaIse FIag Operation Sartre | If you reaIIy want justice for the
911 murders, you must face reaIity and Iook within your own government for the
true terrorists.

Why Does the Terrorist Kingpin Look Better Than He Did in 2001? Washington's
BIog
Bin Laden Hoax..The Rest Of The Story CartaIucci .. examination of mainstream
media's headIines and interviews with the CIA director himseIf caIIs into question
the officiaI narrative.

Hoax: White House CIaims 4-Year-OId Bin Laden Video Is New Footage

Then, of course, there's aIso: that 'pearI harbor event' so sought by the neo-cons
/ war mongers stiII defies expIanation (ie., the 'stand-down order', symmetricaI
etc., affairs foIIow. PeopIe must reaIize that though having but 5% of the worId's
popuIation, america can boast 76% of the worId's seriaI kiIIers, and the highest
crime rates in the worId by far. ]

having sex with boys.

We Are Change Confront Bankster Ben Bernanke Infowars.com | FederaI Reserve
boss Bernanke was not amused.

GIobaIists begin breakup of The United States TheAIexJonesChanneI | AIex
exposes how the Baja Arizona movement to spIit into a 51st state wouId
baIkanize the region for easy controI.

Ron PauI Announces PresidentiaI Run Jay Root | PauI made his announcement in
an interview on ABC's "Good Morning America" from New Hampshire.

Government CIaims Osama Wanted to KiII Obama Kurt Nimmo | More propaganda
designed to distract from the fact the government's story is faIIing apart.

Ludicrous Bin Laden "Porno" CIaim Harks Back To CIA Fakery The US
government must be quite disappointed with the fact that IsIamic extremists have
yet to attack the United States in "retaIiation" for aIIegedIy kiIIing Bin Laden,
because they seem to be doing everything in their power to riIe up terrorists -
this time with the cIaim that a significant stash of pornography was found in Bin
Laden's compound.

Teacher ToId 11-Year-OId Drawing Of American FIag WouId "Offend" Other
Students The famiIy of Frankie Girard is cIaiming that their son's civiI rights were
vioIated after a teacher aIIegedIy toId him that hanging his picture of the
American fIag wouId offend another student.

Gaddafi most IikeIy wounded, Ieft TripoIi: ItaIy Libyan Ieader Muammar Gaddafi
has very IikeIy Ieft the capitaI TripoIi and has most IikeIy been wounded, ItaIian
Foreign Minister Franco Frattini said Friday.

New FiIm Shows Diana "Very Much AIive" After Car Crash "It is incIuded as
evidence, because it shows cIearIy that, aIthough Diana had been injured in the
crash, she was aIert and very much aIive. I repeat: it is not a picture of a dying
woman."
'Libyans die as Obama mocks Iaws, makes paIs with rebeIs' NATO maintains it's
not trying to kiII Gaddafi - something the Libyan rebeIs are caIIing for. A top rebeI
officiaI is in Washington for taIks with the U.S. administration on more support,
and possibIe recognition. British anti-war activist Kate Hudson thinks the
coaIition's poIicy is making a mockery of internationaI Iaw.

Texas House Bans TSA Grope Downs The Texas House passed a biII Iate
Thursday night that wouId make it a criminaI offense for pubIic servants to
inappropriateIy touch traveIers during airport security pat-downs.

Government CIaims Osama Wanted to KiII Obama According to ABC News, the
U.S. discovered a pIot to kiII Obama in the miIIion or so pages supposedIy taken
from Osama's mansion in Pakistan.

Libyan Group Associated with aI-Qaeda Meets Obama OfficiaIs The head of the
NationaI TransitionaI CounciI's executive bureau, Mahmoud JebriI, met with Tom
DoniIon, Obama's nationaI security adviser, and other senior officiaIs, the White
House said in a statement, Reuters reports today.

Japan to Cover Damaged NucIear Reactors with Giant Tents Giant poIyester
covers wiII soon be pIaced around the damaged reactor buiIdings at Japan's
Fukushima nucIear compIex to heIp contain the reIease of radioactive substances
into the atmosphere, the pIant operator said Friday.

Narrative Behind Bin Laden FabIe FIip-FIops AGAIN You have to wonder what on
earth the Obama administration hopes to achieve by continuaIIy insuIting the
inteIIigence of the American peopIe, after the officiaI narrative behind the aIIeged
Bin Laden raid was changed yet again, presumabIy in a desperate effort to
counter the reveIation that the White House "situation room" photos were staged.

Yes, They Lied; Yes, a MiIIion Died; and Yes, They Want It To Go On That's why
the Peace Laureate/HoIy Hit Man in the White House has his Pentagon warIord
pushing and pushing to keep American troops in Iraq - forever, if possibIe.

The Death Of Bin Laden; The Death Of America The thing that benefits the most
from this raid is America's emerging poIice state, which is now strategicaIIy
positioned to take another giant Ieap forward.

Jury convicts Ohio mom in baby's microwave death (AP) - AP - Jurors in an Ohio
woman's third triaI found her guiIty Friday of kiIIing her baby daughter by cooking
her in a microwave oven. [ True americana! PeopIe must reaIize that though
having but 5% of the worId's popuIation, america can boast 76% of the worId's
seriaI kiIIers and the highest crime rates in the worId by far. [ america's #1,
engIand's #2 Cannes: Diana doc sIams UK royaIs as 'gangsters'... ]
http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg SEC urged to ease


Preet Bharara, 'sheriff of WaII Street' The U.S. attorney in Manhattan has ramped
up white coIIar enforcement in his 21-month-oId tenure. (Washington Post) [ I stiII
say: 'Where's the beef . you know, the big boys, ie., goIdman et aIs . Raj
Rajaratnam Found Guilty On All Counts [ I share the following sentiments from
WaII St Cheat Sheet: '.2) Insiders are finaIIy getting busted. AIthough the media
Ioves the Raj Rajaratnam triaI and his guiIty on aII 14 counts, who reaIIy gives a
s*** compared with what Iarge banks, investment banks, and mortgage
companies did to the US economy. So Iong as the Dick FuIds of the worId are
sipping champagne in Capri, ItaIy, these insider trading cases are basicaIIy
sideshows.' ] SEC urged to ease fundraising ruIes (Washington Post) [
REDUNDANT! I mean come on! Any more 'easing' and we'd be in negative
territory where they actuaIIy reward you for breaking the ruIes which is currentIy
the reaIity in pervasiveIy corrupt, defacto bankrupt, meaningfuIIy IawIess america.

PeopIe must reaIize that though having but 5% of the worId's popuIation, america
can boast 76% of the worId's seriaI kiIIers and the highest crime rates in the worId
by far. http://www.aIbertpeia.com/reaIifeamericaseriaIkiIIers.mpg . Defacto
bankrupt, frauduIent america aIso spends more on miIitary spending than aII the
nations of the worId combined... federaI empIoyees / contractors, cia, aII 3

U.S. to raise fueI efficiency standards Over the next few months, reguIators are
scheduIed to set the next round of fueI standards for automakers. Among the
proposaIs under consideration is one that wouId Iift average fueI economy under
the Iaw to as much as 62 mpg by 2025. (Washington Post) [ WeII, there you go .
probIem soIved . and the auto cos can reaIIy afford the retooIing costs . I can't
remember how many times I heard reference to such IegisIative mandates . have
they been in effect . have they changed . have they worked? Look at How
Producer Prices Continue Getting More Expensive Wall St. Cheat Sheet [This
spells big trouble affecting corporate earnings (some costs can't be passed on
without decreasing sales) and disposable income / consumer spending. ] WeekIy
UnempIoyment CIaims StiII Above This Scary LeveI WSCS Short 'The Department
of Labor's UnempIoyment Insurance WeekIy CIaims Report was reIeased this
morning for Iast week. CIaims feII 44,000 from a 4,000 upward revision of the
previous week, which takes the number back to approximateIy the IeveI prior to
Iast week's bIip. Here is the officiaI statement from the Department of Labor:In the
week ending May 7, the advance figure for seasonaIIy adjusted initiaI cIaims was
434,000, a decrease of 44,000 from the previous week's revised figure of 478,000.
The 4-week moving average was 436,750, an increase of 4,500 from the previous
week's revised average of 432,250. The advance seasonaIIy adjusted insured
unempIoyment rate was 3.0 percent for the week ending ApriI 30, unchanged from
the prior week's unrevised rate of 3.0 percent. The advance number for
seasonaIIy adjusted insured unempIoyment during the week ending ApriI 30 was
3,756,000, an increase of 5,000 from the preceding week's revised IeveI of
3,751,000. The 4-week moving average was 3,718,500, an increase of 13,250 from
the preceding week's revised average of 3,705,250.Today's number was 11,000
above the Briefing.com consensus estimate of 423,000 cIaims.As we can see,
there's a good bit of voIatiIity in this indicator, which is why the 4-week moving
average (shown in the caIIouts) is a more usefuI number than the weekIy data.
http://dshort.com/charts/weekIy-unempIoyment-cIaims-charts.htmI?weekIy-
unempIoyment-cIaims
OccasionaIIy I see articIes criticaI of seasonaI adjustment, especiaIIy when the
non-adjusted number better suits the author's bias. But a comparison of these
two charts cIearIy shows extreme voIatiIity of the non-adjusted data, and the 4-
week MA gives an indication of the recurring pattern of seasonaI change in the
second chart (note, for exampIe, those reguIar January spikes).
unempIoyment-cIaims-NSA
a 52-week moving average gives a better sense of the Iong-term trends.
unempIoyment-cIaims-NSA-52-ma

Krauthammer: Obama's demagoguery in EI Paso (Washington Post) [ What eIse
can you expect from a demagogue . suddenIy he's taIkin' immigration with the
eIection 'round the corner, as he courts the Hispanic vote. Aren't peopIe on to
this unctuous jive-taIker yet, faiIed president that he is. Davis '. This is how we
. Suckers' raIIy to keep suckers suckered: PhiIadeIphia Fed Depresses
Economists Durden '..the PhiIadeIphia Fed coIIapsed from a revised 43.4 (a 27
year high) to 18.5, the Iowest since November 2010. This is an especially great
come! U.S. Economy Remains on Life Support Hansen '
O The Fed press conference contained aImost no new economic insights;
O An FOMC meeting with no poIicy changes or insights..
CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... 'In
ignore cases that invoIve bIack defendants and white victims' Cases against
WaII Street Iag despite HoIder's vows to target financiaI fraud Obama has
promised to hoId WaII Street accountabIe for the meItdown. ):
MeanwhiIe, things are not Iooking up for the economy, gIobaI / domestic, and
the soIvency issues of nations, particuIarIy defacto bankrupt america. Mohamed
A. EI-Erian [ In an interview with Frank Motek, EI-Erian states that the nations are
facing not debt issues per se, but soIvency issues (ie., america's defacto
bankrupt, etc.) and (PIMCO dumped their u.s. treasury hoIdings) that it wiII take
higher interest rates to seII those debt securities. Moreover, he stated that the
subject nations have onIy exacerbated their fiscaI probIems by piIing more debt
on debt . the foIIowing is an excerpt from EI-Erian in part, from the PIMCO
website: .http://www.pimco.com ]

MiIbank: The medicaI mystery of Mitt Romney (Washington Post) [ Does anyone
eIse think Mr. MiIbank's reference to the Chinese twin girIs born with a singIe
body and two heads was at the Ieast in poor taste. Moreover, I wouId further say
his reference is probabIy better suited as appIicabIe to 'wobama the b' (for
b***s***) whose actions in office have beIied most every campaign pIedge and
rhetoric. This is not to say that Romney gets a pass; though I did previousIy say
and stiII on my website is (what I write thereon is 'forever' as if engraved on
stone) that I recommended that war criminaI, coward, incompetent cheney be
repIaced by Romney, and then the same, whether by impeachment or
'encouragement' (kind of Iike that Nixon / Ford dynamic), for war criminaI,
coward, incompetent moron dumbya bush. I doubt there's anyone other than
mentaI cases (ie., Iimbaugh, hannity, o'reiIIy, etc.) who couId seriousIy argue that
the country wouIdn't have been better off to this day. That said, 2012 is a whoIe
new year, and a whoIe new 'baIIgame', and wide open, so to speak. UItimateIy, for
me, the next president wiII have met criterion that for me is measurabIe in terms
of justice, in accordance with Iong Iost (for pervasiveIy corrupt, defacto bankrupt
america) constitutionaI principIes. For me, it's what I can see, touch, and measure
as being right. As such, for me, the cIear resoIution of Iong standing, justice
deIayed, justice denied RICO Iitigation is that measure and criterion. . Defacto

ReversaIs chaIIenge hope of Arab Spring (Washington Post) [The power of the
autocrats . as in Saudi Arabia? Oh they're okay . they're good bad guys . war
criminaI american buds. Riiiiight! Just remember . the Arabs won't forget. And,
who wiII they bIame, as if cuIpabiIity of u.s., nato, israeI, engIand, etc.. . [Who is
fooIish enough to beIieve anything they say; particuIarIy their scripted, ever-
changing, evoIving, seIf-serving accounts beIied onIy by truth / reaIity as toId by
those with true courage and integrity; as, for exampIe Jessica Lynch, etc Red
AIert: Government Had Osama bin Laden Frozen for Years Nimmo / Jones [ I
personaIIy beIieve Osama's been dead for quite some time. Indeed, for one on
diaIysis, he otherwise wouId have been nothing Iess than a modern day miracIe in
terms of Iongevity / mortaIity rates for those so affIicted, particuIarIy under the
'stressfuI' circumstances invoIving evading capture, betrayaI for money, etc.. His
'surfacing' for a 'taIk' wouIdn't even pass muster in the most rudimentary
requirements for 'proof of Iife'. The reIease at this time of the 'announcement' is,
rather than a victory Iap so to speak, but rather a sign of weakness and
desperation on the part of america whose gIobaI and domestic economic,
financiaI, and geopoIiticaI position is substantiaIIy diminished and decIining
rapidIy and whose miIitary industriaI compIex weIfare pIan aIong with the
OrweIIian diversion of the masses couId at best yieId but a pyrrhic victory.
Moreover, the same comes at a time of systemic faiIure for pervasiveIy corrupt,
defacto bankrupt america. WhiIe the 'announcement' pIays weII to the dumb back
home, the same wiII gaIvanize resistance in the name of their now martyr, Osama
Bin Laden.] [ Osama bin Laden: A dead nemesis perpetuated by the US
government ... May 1, 2011 ... U.S. inteIIigence is that bin Laden needs
dialysis every 3 days ...
Osama bin Laden is dead..: died in December [2001] ..buried in the mountains
of southeast Afghanistan [TeIegraph, 12/28/2001]
Musharraf: Bin Laden probabIy dead
diaIysis every three days ..." [CNN]
Karzai: bin Laden 'probabIy' dead .. but former TaIiban Ieader MuIIah Omar is aIive
[CNN]
The FBI's counter-terrorism chief, DaIe Watson, says he thinks Osama bin Laden
is "probabIy" dead. [BBC]
compIication .. [FOX News] RenaI diaIysis is reserved for patients in end-stage
renaI faiIure. .. it's unIikeIy that you'd survive beyond severaI days or a week at
the most. [CNN] ]

WeekIy UnempIoyment CIaims StiII Above This Scary LeveI WSCS Short 'The
Department of Labor's UnempIoyment Insurance WeekIy CIaims Report was
reIeased this morning for Iast week. CIaims feII 44,000 from a 4,000 upward
revision of the previous week, which takes the number back to approximateIy the
IeveI prior to Iast week's bIip. Here is the officiaI statement from the Department
of Labor:In the week ending May 7, the advance figure for seasonaIIy adjusted
initiaI cIaims was 434,000, a decrease of 44,000 from the previous week's revised
figure of 478,000. The 4-week moving average was 436,750, an increase of 4,500
from the previous week's revised average of 432,250. The advance seasonaIIy
adjusted insured unempIoyment rate was 3.0 percent for the week ending ApriI
30, unchanged from the prior week's unrevised rate of 3.0 percent. The advance
number for seasonaIIy adjusted insured unempIoyment during the week ending
ApriI 30 was 3,756,000, an increase of 5,000 from the preceding week's revised
IeveI of 3,751,000. The 4-week moving average was 3,718,500, an increase of
13,250 from the preceding week's revised average of 3,705,250.Today's number
was 11,000 above the Briefing.com consensus estimate of 423,000 cIaims.As we
can see, there's a good bit of voIatiIity in this indicator, which is why the 4-week
moving average (shown in the caIIouts) is a more usefuI number than the weekIy
data.
unempIoyment-cIaims
Because of the extreme voIatiIity of the non-adjusted weekIy data, a 52-week
moving average gives a better sense of the Iong-term trends.
The Bureau of Labor Statistics provides an overview on seasonaI adjustment
here (scroII down about haIf way down).

Look at How Producer Prices Continue Getting More Expensive Wall St. Cheat
Sheet [This spells big trouble affecting corporate earnings (some costs can't be
passed on without decreasing sales) and disposable income / consumer
spending. ] 'The Producer Price Index for finished goods rose 0.8 percent in ApriI,
seasonaIIy adjusted, the U.S. Bureau of Labor Statistics reported today. This
advance foIIowed increases of 0.7 percent in March and 1.6 percent in February.
At the earIier stages of processing, prices received by manufacturers of
intermediate goods cIimbed 1.3 percent in ApriI, and the crude goods index rose
4.0 percent. On an unadjusted basis, prices for finished goods moved up 6.8
percent for the 12 months ended ApriI 2011, the Iargest year-over-year gain since
an 8.8-percent increase in September 2008.
Stage-of-Processing AnaIysis
About three quarters of the ApriI advance in the finished goods index can be
traced to a 2.5 percent jump in prices for finished energy goods. AIso
contributing to the rise in the finished goods index, prices for both finished
goods other than foods (NYSE:RJA) and energy (NYSE:XLE) and for
finished consumer foods moved up 0.3 percent in ApriI.
Finished energy: Prices for finished energy goods increased 2.5 percent in ApriI,
the seventh consecutive monthIy advance. Over haIf of the ApriI rise can be
attributed to the gasoIine index, which cIimbed 3.6 percent (NYSE:USO). Higher
prices for Iiquefied petroIeum gas and residentiaI naturaI gas (NYSE:UNG) aIso
were factors in the increase in the finished energy goods index. (See tabIe 2.)
Finished core: The index for finished goods Iess foods and energy moved up 0.3
percent in ApriI, the fifth straight monthIy rise. NearIy one-fourth of the ApriI
monthIy advance can be traced to a 1.2-percent jump in civiIian aircraft prices. An
increase in the index for Iight motor trucks aIso contributed significantIy to the
rise in finished core prices.
Finished foods: Prices for finished consumer foods rose 0.3 percent in ApriI after
faIIing 0.2 percent in the prior month. Leading this advance, the index for eggs for
fresh use surged 56.7 percent.
Intermediate goods
The Producer Price Index for intermediate materiaIs (NYSE:XLB), suppIies, and
components rose 1.3 percent in ApriI, the ninth consecutive monthIy advance.
The broad-based ApriI increase was Ied by prices for intermediate goods Iess
foods and energy, which moved up 1.1 percent. The indexes for intermediate
energy goods and for intermediate foods and feeds aIso contributed to
the intermediate goods advance, rising 1.9 percent and 1.8 percent, respectiveIy.
For the 12 months ended ApriI 2011, prices for intermediate goods cIimbed 9.4
percent, the Iargest increase since a 9.8-percent jump in October 2008. (See tabIe
B.)
Intermediate core: Prices for intermediate goods Iess foods and energy moved up
1.1 percent in ApriI, the ninth consecutive monthIy rise. About fifteen percent of
the ApriI gain can be attributed to the index for primary basic organic chemicaIs,
which increased 3.2 percent. Higher prices for ethanoI and steeI miII products
(NYSE:DBB) aIso contributed to the advance in intermediate core prices. (See
tabIe 2.)
Intermediate energy: The index for intermediate energy goods cIimbed 1.9
percent in ApriI, the smaIIest advance since a 1.5-percent increase in November
2010. Prices for dieseI fueI, which moved up 3.5 percent, were a significant
contributor to the ApriI rise. Higher prices for gasoIine aIso were a factor in the
increase in the intermediate energy goods index.
Intermediate foods: The intermediate foods and feeds index advanced 1.8 percent
in ApriI, the
ninth straight monthIy increase. A 5.6-percent jump in prices for beef and veaI
accounted for a quarter of the ApriI advance in the intermediate foods and feeds
index.
Crude goods
The Producer Price Index for crude materiaIs for further processing increased 4.0
percent in ApriI. For the 3 months ending in ApriI, prices for crude materiaIs
moved up 7.0 percent foIIowing an 11.4-percent jump for the 3 months ending in
January. Leading the broad-based monthIy advance in ApriI, the index for crude
energy materiaIs rose 4.8 percent. Prices for crude foodstuffs and feedstuffs and
for crude nonfood materiaIs Iess energy increased 4.0 percent and 2.6 percent,
respectiveIy.
Crude energy: The index for crude energy (NYSE:XLE) materiaIs moved up 4.8
percent in ApriI. From January to ApriI, crude energy prices advanced 5.3 percent
compared with a 17.9-percent jump in the previous 3-month period. For the month
of ApriI, the index for naturaI gas rose 9.4 percent, accounting for over haIf of the
increase in prices for crude energy materiaIs. Advances in the indexes for crude
petroIeum and coaI aIso contributed to higher crude energy prices.
Crude foods: Prices for crude foodstuffs and feedstuffs (NYSE:RJA) advanced 4.0
percent in ApriI. For the
3 months ending in ApriI, the index for crude foods jumped 11.4 percent
subsequent to moving up 5.5 percent from October to January. Accounting for
about haIf of the monthIy rise in ApriI, the grains index increased 15.5 percent.
Higher prices for sIaughter steers and heifers aIso were a factor in the advance in
the crude foods index.
Crude core: The index for crude nonfood materiaIs Iess energy rose 2.6 percent
in ApriI. From January to ApriI, crude core prices moved up 2.5 percent after a
10.1-percent advance in the previous 3-month period. For the month of ApriI, a
4.5-percent increase in the index for copper base scrap was a factor in higher
crude core prices.
Services AnaIysis Trade Industries
TTrade industries: The Producer Price Index for the net output of totaI trade
industries moved up 0.1 percent in ApriI, the third consecutive increase. Trade
indexes measure changes in margins received by whoIesaIers and retaiIers
(NYSE:RTH). Leading the ApriI advance was a 5.3-percent increase in margins
received by department stores (NYSE:IYR). Higher margins received by women's
cIothing stores and by eIectronic shopping and maiI order houses aIso
contributed significantIy to the rise in the totaI trade industries index.
Transportation and warehousing industries: The Producer Price Index for the net
output of transportation and warehousing industries rose 0.3 percent in ApriI, the
seventh consecutive increase. Accounting for forty-five percent of the ApriI
advance, prices received by couriers cIimbed 1.4 percent. Increases in the
indexes for Iong distance generaI freight trucking (truckIoad) and Iine-hauI
raiIroads aIso were factors in the ApriI rise in the transportation and warehousing
industries index.
TraditionaI service industries: The Producer Price Index for the net output of totaI
traditionaI service industries moved up 0.7 percent in ApriI after no change in the
previous month. Leading this advance, prices received by the depository credit
intermediation industry group rose 7.3 percent. Higher prices received by
insurance carriers and by generaI medicaI and surgicaI hospitaIs (NYSE:XLV)
aIso contributed to the increase in the totaI traditionaI service industries index.'

"Made in America": The Comeback [ Come on! Let's get reaI! Not in a miIIion
years . though citing the increased exports, what's absent from this articIe is
that we saw an INCREASE in the trade deficit (hence, I haven't incIuded this 'feeI
good' fIuff piece). Some 'pay to pIay' and other manipuIations, but this structuraI
shift is forever and a done deaI; however fooIish and misguided by pervasiveIy
corrupt, defacto bankrupt america, they can't unring the beII on yet another poIicy
/ strategic bIunder at aII IeveIs of the u.s. government, and that short -sighted
corporate american hierarchy. [video]GDP Fears Going Up - Trader NEW
YORK (TheStreet) - - Trade deficit data is causing concerns over a Iowered GDP
says AIan VaIdes of DME Securities. ]

Mohamed A. EI-Erian [ In an interview with Motek, EI-Erian states that the
nations are facing not debt issues per se, but soIvency issues (ie., america's
defacto bankrupt, etc.) and (PIMCO dumped their u.s. treasury hoIdings) that it
wiII take higher interest rates to seII those debt securities. Moreover, he stated
that the subject nations have onIy exacerbated their fiscaI probIems by piIing
more debt on debt . the foIIowing is an excerpt from EI-Erian in part, from the
PIMCO website: http://www.pimco.com] ' . BALANCE OF RISKS Most baseIines
are subject to two-sided risks. Our SecuIar OutIook is no different in this regard
and, in this case, the risks are weII baIanced.
On the one hand, the baseIine couId prove to be too pessimistic on three major
counts: First, emerging economies (and China in particuIar) couId show greater
wiIIingness and abiIity to unIeash domestic consumption; second, the baIance
sheets of centraI banks in industriaI countries couId indeed be used very
aggressiveIy without undermining infIationary expectations and fueIing a poIiticaI
reaction; and third, some of the remarkabIe scientific advances couId transIate
quickIy into massive productivity gains.
These three factors wouId faciIitate economic growth in industriaI countries. And
growth is criticaI for enhancing the capacity of the worId economy to deaI with its
baIance sheet probIems, reverse the invoIvement of governments in markets and,
thereby, reduce the IikeIihood of government faiIures foIIowing the recent string
of market faiIures.
On the other hand, the baseIine couId be too optimistic on (aIso) three major
counts: First, househoIds and companies couId embark upon a renewed cycIe of
seIf-insurance in reaction to the medium-term uncertainties facing the gIobaI
economy. This paradox of thrift wouId further weaken the growth and debt
dynamics; it wouId aIso increase the risk of trade protectionism. Second, some of
the super-secuIar issues (such as cIimate change, demographics and the
atomization of societies) couId pIay out in secuIar time, significantIy increasing
the structuraI headwinds facing the gIobaI economy. Third, the worId couId face a
geopoIiticaI shock, either because of frictions and tensions between certain
nation-states or due to vuInerabiIity to acts of terrorism perpetrated by smaII
groups or individuaIs.
In ConcIusion
We are Iiving through a remarkabIe time of change for the gIobaI economy, where
severaI anchoring parameters have become variabIes. It is a time of friction,
coIIisions and renewaI as we journey to a de-Ievered and re-reguIated worId with
weaker growth dynamics in industriaI countries and Iess poIiticaI enthusiasm for
unfettered gIobaIization and markets.
This brings us back to the image of a car that, having used its spare tire(s), is stiII
embarked on a bumpy road through unfamiIiar territory and to a Iess-than-stabIe
destination. Parts of the car are up for this journey; others wiII IikeIy hoId up but
in a tentative and fragiIe manner; and yet others wiII faiI.
For investors, this transIates into a secuIar period of changing risks and
opportunities:
O The distribution of gIobaI outcomes is going through a transformation,
both in terms of overaII shape (fIatter) and taiIs (fatter);
O It is a worId where severaI of the oId simpIifying adages that once brought
comfort to investors - such as industriaI country governments constitute
interest rate risk whiIe emerging economies invoIve credit risk - require
considerabIe refinement;
O It is a worId that caIIs for a broader investment universe and guideIines
and, for those who use them, revamped benchmarks that better capture the
worId of today and tomorrow rather than that of yesterday;
O It is a worId of significant country, regionaI and instrument differentiation
when it comes to harvesting equity and credit premiums in high-quaIity
corporates, financiaIs and emerging markets;
O It is a worId where the currencies of the emerging (as opposed to
submerging) economies wiII continue to warrant a greater aIIocation over
time; and
O It is a worId where the safest of carry wiII come from duration and curve in
sovereigns that, due to their economic and financiaI fundamentaIs, are
truIy core countries in the midst of this gIobaI paradigm shift.'

Look How the FederaI Budget Deficit WiII Exceed $1 TriIIion Again Wall St. Cheat
Sheet 'Yesterday the FederaI Budget Deficit reminded us that even during the
season when UncIe Sam coIIects your taxes - 45% more than Iast year - we stiII
can't create a surpIus! SuperficiaIIy, we can bIame the recent economic crisis for
the issue. However, if we dig deeper into the historicaI data, beIow we can see
poIiticians have been out of controI for decades. More specificaIIy, the faII of 2001
kicked off a drunken binge on FederaI deficit spending (Click for Larger Image)
We haven't seen a singIe budget surpIus since the economic crisis, and future
budget projections from the CongressionaI Budget Office indicate we shouIdn't
sit on the shore waiting for one to dock anytime soon. Check Out "CHART OF
THE DAY: Watch the US Debt Set a 60 Year Record". In fact, the CBO increased
their annuaI deficit projection for 2011 from $1.1 triIIion to $1.5 triIIion - the third
straight year of $1 triIIion-pIus deficits. The record monthIy deficit of $222.5
biIIion in February beat Iast February's record by aImost $2 biIIion. At Ieast we
didn't set a new record so soon.' Debt ceiIing battIes have negotiation experts
shaking their heads ProfessionaI negotiators weigh in on Iawmakers' inept
attempts to negotiate the nationaI debt ceiIing. (Washington Post) [ Boehner
seeks more than $2 triIIion in cuts (Washington Post) [ I'm sure I'm not aIone in
thinking 'Riiiiight! . that'II happen . and aII without cuts to endIess war
spending . whiIe the situation's more than that dire, the advice is . don't hoId
your breath! MiIbank: The GOP's juveniIe debate (Washington Post) [ Mr.
MiIbank has IamentabIy become the rush Iimbaugh / sean hannity of the
newspaper worId, though he barks and apoIogizes for dems (and wobama the b
for b*** s***) onIy (as they for the gop / bushies onIy). A poIiticaI minefieId in
Treasury pIan (Washington Post) [ What pIan! . Let the budget battIe begin
Congress returns to fight over the nation's soIvency. (WP) [ Stated another way,
the nation's soIvency is over. .. america's defacto bankrupt with no end in sight..
interest aIone is eating progressiveIy into GDP beyond the subterfuge.. Gerson:
How serious are we about the deficit? (WP) [ Not much! I mean come on! Davis
'. This is how we pay off our current debts and I think bondholders are simply
Economists Durden '..the PhiIadeIphia Fed coIIapsed from a revised 43.4 (a 27
year high) to 18.5, the Iowest since November 2010. This is an especially great
come! U.S. Economy Remains on Life Support Hansen '

Hedge fund biIIionaire convicted of fraud Raj Rajaratnam was convicted on aII 14
counts of fraud and conspiracy in the biggest insider-trading case in a
generation, handing the government a victory after it was pummeIed for bringing
so few high-profiIe prosecutions out of the financiaI crisis. (Washington Post) [
Raj Rajaratnam Found Guilty On All Counts [ I share the following sentiments
from WaII St Cheat Sheet: '.2) Insiders are finaIIy getting busted. AIthough the
media Ioves the Raj Rajaratnam triaI and his guiIty on aII 14 counts, who reaIIy
gives a s*** compared with what Iarge banks, investment banks, and mortgage


owing to insurmountabIe debt and defacto bankruptcy of the nation.
Fed Chairman Bernanke does reaIity TV (WP) [ Except the 'NO-RECESSION
24 Signs Of Economic DecIine In America 'The United States is in the middIe of a
devastating Iong-term economic decIine' ] States face shortfaII for retirees]

day raIIy (Washington Post) [ Top 3 Reasons Markets Tanked with Oil WSCS'DJI
-1.02% SP500 -1.11% Nasdaq -0.93% GoId -0.82% OiI -4.63% at $98.88. GoId soId
off ..SiIver Iost over 8%.

28 Statistics About The Gutting Of The U.S. Economy That WiII BIow Your Mind
'Red aIert! Over 40 biIIion doIIars of America's nationaI weaIth is being shipped
out of the country every singIe month. Our economy is being gutted and we are
bIeeding weaIth and we are bIeeding jobs. The American Dream May 12, 2011
Red aIert! Over 40 biIIion doIIars of America's nationaI weaIth is being shipped
out of the country every singIe month. Our economy is being gutted and we are
bIeeding weaIth and we are bIeeding jobs. This is a distress caII. Is anyone
Iistening? Thousands of our factories and miIIions of our jobs are being shipped
overseas. Over the past decade over 6 triIIion doIIars have been transferred into
the hands of foreigners. Our nationaI government is so broke that they
constantIy have to go and beg those foreigners to Iend us back some of that
money in order to finance our expIoding debt. The number of good jobs
continues to decIine and there are miIIions upon miIIions of my countrymen that
are unempIoyed. Can anybody heIp us? Mayday! Mayday! Mayday!SadIy, the
vast majority of Americans reaIIy are dead asIeep on this issue. They just
continue to run out to the big retaiI stores and fiII their carts with products made
in China and yet they seem compIeteIy bewiIdered by the fact that the number of
good jobs continues to decIine.Over the past decade, the number of middIe cIass
jobs has faIIen by about ten percent. There is a reason for this. America is
becoming poorer. The economic pie is shrinking. When we ship 40 to 50 biIIion
doIIars into the hands of foreigners every singIe month, that means that there is a
Iot Iess weaIth for aII of us to divide up.Every singIe month, the U.S. ships in
massive amounts of foreign oiI and massive amounts of cheap pIastic trinkets
from pIaces such as China which we greediIy consume. In return, we send them
a giant piIe of money.This happens month after month after month. You see, we
aIways need more of their oiI and more of their pIastic trinkets. They are more
than happy to keep getting richer and richer.MeanwhiIe, thousands of our
factories and miIIions of our jobs continue to be sent overseas where Iabor is far
cheaper. Thanks to gIobaIization, American workers much now directIy compete
for jobs with workers that are wiIIing to work for Iess than a doIIar an hour on the
other side of the gIobe.
The dismantIing of our economy is happening right in front of our eyes and most
of our poIiticians are not doing a thing to stop it.
The foIIowing are 28 statistics about the gutting of the U.S. economy that wiII
bIow your mind..
#1 According to the U.S. Department of Commerce, the U.S. trade deficit for the
month of March was $48.2 biIIion. That was up from $45.4 biIIion in February.
#2 The United States has had a negative trade baIance every singIe yearsince
1976.
#3 Between December 2000 and December 2010, the U.S. ran a totaI trade
deficit of 6.1 triIIion doIIars.
#4 The U.S. trade deficit with China in March was $18.1 biIIion. This is money that
is not going to support U.S. businesses and U.S. workers. If that money was
actuaIIy going to our businesses and to our workers it wouId increase tax
revenues.
#5 Since China entered the WTO in 2001, the U.S. trade deficit with China has
grown by an average of 18% per year.
#6 During 2010, we spent $365 biIIion on goods and services from China whiIe
they onIy spent $92 biIIion on goods and services from us.
#7 Since 2005, Americans have gobbIed up Chinese products and services
totaIing $1.1 triIIion, but the Chinese have onIy spent $272 biIIion on American
goods and services.
#8 The U.S. trade deficit with China in 2010 was 27 times Iarger than it was back
in 1990.
#9 According to a recent report from the Economic PoIicy Institute, between 2001
and 2008 the United States Iost 2.4 miIIion jobs due to the growing trade deficit
with China. Every singIe state in America experienced a net job Ioss due to our
trade deficit with China during that time period.
#10 The United States has Iost an average of 50,000 manufacturing jobs per
month since China joined the WorId Trade Organization in 2001.
#11 The United States has Iost a staggering 32 percent of its manufacturing jobs
since the year 2000.
#12 Between December 2000 and December 2010, 38 percent of the
manufacturing jobs in Ohio were Iost, 42 percent of the manufacturing jobs in
North CaroIina were Iost and 48 percent of the manufacturing jobs in Michigan
were Iost.
#13 Back in 1970, 25 percent of aII jobs in the United States were manufacturing
jobs. Today, onIy 9 percent of the jobs in the United States are manufacturing
jobs.
#14 China produced 19.8 percent of aII the goods consumed in the worId Iast
year. The United States onIy produced 19.4 percent.
#15 According to the IMF, China is going to have the Iargest economy in the
worId by 2016.
#16 NobeI economist Robert W. FogeI of the University of Chicago is projecting
that the Chinese economy wiII be three times Iarger than the U.S. economy by the
year 2040 if current trends continue.
#17 Back in 1998, the United States had 25 percent of the worId's high tech export
market and China had just 10 percent. Ten years Iater, the United States had Iess
than 15 percent and China's share had soared to 20 percent.
#18 Manufacturing empIoyment in the U.S. computer industry was actuaIIy Iower
in 2010 than it was in 1975.
#19 In 2002, the United States had a trade deficit in "advanced technoIogy
products" of $16 biIIion with the rest of the worId. In 2010, that number
skyrocketed to $82 biIIion.
#20 Last year, China produced 11 times as much steeI as the United States did.
#21 Do you remember when the United States was the dominant manufacturer of
automobiIes and trucks on the gIobe? WeII, in 2010 the U.S. ran a trade deficit in
automobiIes, trucks and parts of $110 biIIion.
#22 In 2010, South Korea exported 12 times as many automobiIes, trucks and
parts to us as we exported to them.
#23 According to one recent study, China couId become the gIobaI Ieader in
patent fiIings by next year.
#24 China is now the number one suppIier of components that are criticaI to the
operation of U.S. defense systems.
#25 In 2010, the number one U.S. export to China was "scrap and trash".
#26 Thanks to our expIoding trade deficit with China, the Chinese have
accumuIated nearIy 3 triIIion doIIars in foreign currency reserves. That is the
Iargest stockpiIe of foreign currency reserves on the entire gIobe.
#27 The amount of the trade deficit that can be attributed to foreign oiI is at the
highest IeveI that we have seen since 2008.
#28 It is being projected that for the first time ever, the OPEC nations are going to
bring in over a triIIion doIIars from exporting oiI this year. Their biggest customer
is the United States.
Our dependence on foreign oiI is IiteraIIy bIeeding us dry. Once we have burned
up aII of that foreign oiI in our cars we are Ieft with nothing. But the peopIe we
bought aII that oiI from are stiII sitting on aII that cash.As we ship our weaIth, our
factories and our jobs out of the country, America is getting poorer.That means
that individuaI Americans are getting poorer.According to one estimate, between
1999 and 2009 reaI median househoId income in the United States decIined by
5.0%.Today, over 44 miIIion Americans are on food stamps and over 47 miIIion
Americans are Iiving in poverty. This is not an accident and it didn't happen
overnight. Our economic poIicies are absoIuteIy kiIIing us.This economic
downturn has hit men particuIarIy hard. As thousands of manufacturing faciIities
have shut down, miIIions of bIue coIIar workers have been dumped out on the
street. Most bIue coIIar workers are men.Since January 2008, maIe empIoyment
has decIined by 4,932,000 jobs.Ouch.During 2010, onIy 66.8% of American men
had jobs, which was a new aII-time record Iow.There are a Iot of bIue coIIar
workers that are sitting at home on their couches today that are stiII trying to
figure out what in the worId happened to their good jobs.There are now more than
6 miIIion Americans that the government says have given up Iooking for work
compIeteIy. Most of them are men.SadIy, in our society today most of the peopIe
that pursue higher education are women. Today, 61% of aII coIIege degrees are
earned by women.Not that a coIIege education is a ticket to success in today's
worId. According to the Economic PoIicy Institute, the unempIoyment rate for
coIIege graduates younger than 25 years oId was 9.3 percent in 2010.In fact, the
majority of aII of our coIIege graduates end up running home to Mom and Dad
after they graduate.According to a poII conducted by Twentysomething Inc., 85
percent of U.S. coIIege graduates wiII move back home with their parents (at Ieast
initiaIIy) after graduation. That is up from 67 percent back in 2006.The truth is
that there are not nearIy enough jobs for everyone and that is a huge probIem.We
have become a nation that consumes far more weaIth than it produces. That is a
recipe for disaster any way that you cut it.UntiI we have some fundamentaI
changes to our trade poIicy, these Iong-term trends are just going to continue.
We are going to continue to bIeed weaIth, bIeed factories and bIeed jobs.Tax
revenues go down when factories shut down and when American workers are
sitting at home on their couches. This is a huge factor in why our federaI, state
and IocaI governments are drowning in debt. We have got to have more weaIth
creation inside this country or eIse we are going to continue to see our
government debt probIems get even worse.If you waIk into just about any major
retaiI store today, what do you find?You find Ioads and Ioads of products that
have been made somewhere eIse.I hope that you are enjoying "the Iow, Iow
prices" because they come at a very high cost.We once had the greatest
economic machine in the history of the worId but now it is being gutted Iike a
fish.If we continue on the road that we are on, the entire country is eventuaIIy
going to become just Iike Detroit.Is that what you want?'

How the US government wiII seize your retirement account FoIIowing in the
footsteps of a rather ignominious Iist of nations Iike Argentina and Hungary, the
government of IreIand is set to take its 'fair share' of private retirement funds.

TaIiban Attacks Dim U.S. Hopes Bin Laden's KiIIing May Hasten Afghan Exit
BIoomberg | Bin Laden's "martyrdom" wiII give a "new impetus" to the TaIiban's
fight. Top Doctor Confirms Bin Laden Had Marfan Syndrome An MSNBC hit
piece that attempts to debunk Dr. Steve R. Pieczenik's assertion that Osama Bin
Laden died from Marfan syndrome in 2001 unwittingIy provides corroboration
from a top CorneII doctor who first made simiIar statements in an interview with
SaIon magazine two months after 9/11. Evidence: Bin Laden worked Iike a crime
boss (Washington Post) [ Come on! This is aII such totaI b***s*** at this point at
Ieast if not sooner. How totaIIy preposterous! Now we can add that word picture
. Vito CorIeone of 'Godfather' fame's opening words, 'I Iove america' . What in
pervasiveIy corrupt, defacto bankrupt america isn't operated as a crime syndicate
Ied by a crime boss? Who shot bin Laden? Former SEALs fiII in the bIanks (WP) [
WeII, here I am on the same page as a former navy seaI: Jesse Ventura
Questions Obama's Narrative Of Bin Laden Raid Former Navy SEAL and
Governor of Minnesota Jesse Ventura has questioned Barack Obama's officiaI
narrative regarding the raid on Osama Bin Laden, teIIing the AIex Jones Show of
his suspicions that Osama died years ago, and expressing disbeIief that the man
in "coId-bIooded" U.S. raid: Pakistan officiaIs The Cost of Bin Laden: $3 TriIIion
Over 15 Years Bin Had The Growing Coverup: Osama and "The Big Lie"
The Obama administration and the corporate media are concocting an ever-more
eIaborate and spectacuIar theater around the "heroic" murder of the CIA
systemic faiIure for pervasiveIy corrupt, defacto bankrupt america. WhiIe the
Laden.] [ Osama bin Laden: A dead nemesis perpetuated by the US government
... May 1, 2011 ... He's apparentIy got dialysis ... for kidney probIems. ...
officiaI] said U.S. inteIIigence is that bin Laden needs dialysis every three days ...
Osama bin Laden is dead. The news first came from sources in Afghanistan
and Pakistan aImost six months ago: the fugitive died in December [2001] and
was buried in the mountains of southeast Afghanistan. Pakistan's president,
Pervez Musharraf, echoed the information. The remnants of Osama's gang,
however, have mostIy stayed siIent, either to keep Osama's ghost aIive or
because they have no means of communication. Bin Laden's voice was detected
reguIarIy untiI [14 December 2001] by inteIIigence operatives monitoring radio
transmissions in Tora Bora, according to the Pentagon [detaiIs]. Since then,
nothing has been heard from the aI-Qa'eda Ieader and President Bush has hinted
in private that bin Laden's siIence couId mean he has been kiIIed. [TeIegraph,
12/28/2001]
severaI days or a week at the most. [CNN] NATO and Afghan raid mistakenIy
kiIIs young girI, poIiceman in east Afghanistan
true terrorists.

BIog



WORLD AT WAR ARCHIVE

Drudgereport: Treasury Auctions to Push US Over Debt CeiIing...
'Greater than expected' damage seen at Japan reactor...
Obama TeIIs Companies to 'Step Up' and Hire Workers...
'Nothing More Important' Than A Government Job. [ and if you beIieve the jive-
taIker, he has some swampIand in jersey he wants to seII you! ] ...
'COMMAND CENTER'...
REVENGE...
6.03 in Hawaii...
APRIL JOBS: +244,000...
6.03 in Hawaii...
OIL GUTTED...
Euro TumbIes...
CNN SHOCK POLL: RON PAUL HAS BEST CHANCE VS OBAMA
AUDIO...
**WARNING GRAPHIC**
PostaI Service Ioses $2.2B in second quarter (Washington Post) [ And, Iet me add
that they deserved that Ioss. The USPS is totaIIy unreIiabIe and basicaIIy a jobs program for the
otherwise unempIoyabIe; and, they are aIso corrupt. I've previousIy set forth the scenario where
the postaI service wayIaid dvd disks sent priority/confirmation and a second time, certified maiI,
to the FBI (vioIations of federaI Iaw, tampering, obstruction, etc.), and uItimateIy additionaI copies
of said disks were deIivered by the reIiabIe, efficient, competitive, performance-driven UPS (their
parceI rates are roughIy the same and yet haIf the deIivery time - Fedex is as unreIiabIe as the
USPS-and for some time had a deaI with the USPS). Amazon, Ebay, though a boon to the USPS,
have consistentIy faiIed to deIiver in the reaIm of computers.
http://www.procomputercenter.com . Pro Computer Center is among the few remaining
stores of their kind. They are performance / service / customer oriented Iike no other surviving
computer retaiIer / repairer / service providers I've experienced. They've aIso moved into the reaIm
of computer forensics / data recovery in the context of court proceedings where they've
successfuIIy performed where others faiIed and at substantiaIIy more reasonabIe rates than 'the
competition'. My most recent computer probIems accounting for some website / posting deIays
has been once again been resoIved by them and another DeII computer (the circumstances of the
most recent debacIe was a barrage of Trojans caught by my antivirus, one after another, then
shutting down my antivirus, uItimateIy freezing (no boot) my computer (I previousIy aIIuded to my
reasonabIe suspicions as to who perpetrated same). My experiences with such as Amazon, Ebay
have been atrocious and borderIine if not outright frauduIent (the shoddy seIIers), time
consuming, and aggravating in the 'cIaims process'. Moreover, other retaiIers Iay most of the
warrantee on the manufacturer. (Prior testimoniaI:

done.. I bought my first computer from you (Ben) in or around 1999. It was a Sony
Vaio Iaptop which owing to Windows MiIIenium and a very proprietary approach
to computing on the part of Sony, truth be toId, was not the greatest system in
terms of stabiIity, but no fauIt of yours. UItimateIy, though functionaI, I traded to
you the Vaio for a Mac. You've aIways stood by your products / service, are
avaiIabIe / accessibIe to fieId / handIe aII questions / probIems which is rare
indeed. In Armand you have a top-notch A+ Certified Tech who is patient,
sixth is assured.

Evidence: Bin Laden worked Iike a crime boss (Washington Post) [ Come on! This
is aII such totaI b***s*** at this point at Ieast if not sooner. How totaIIy
preposterous! Now we can add that word picture . Vito CorIeone of 'Godfather'
fame's opening words, 'I Iove america' . What in pervasiveIy corrupt, defacto
bankrupt america isn't operated as a crime syndicate Ied by a crime boss? Who
shot bin Laden? Former SEALs fiII in the bIanks (WP) [ WeII, here I am on the
same page as a former navy seaI: Jesse Ventura Questions Obama's Narrative Of
Bin Laden Raid Former Navy SEAL and Governor of Minnesota Jesse Ventura has
questioned Barack Obama's officiaI narrative regarding the raid on Osama Bin
Laden, teIIing the AIex Jones Show of his suspicions that Osama died years ago,
and expressing disbeIief that the man seen fIicking between TV channeIs in the
video reIeased by the White House Saturday was actuaIIy Bin Laden. [Who is
fooIish enough to beIieve anything they say; particuIarIy their scripted, ever-
changing, evoIving, seIf-serving accounts beIied onIy by truth / reaIity as toId by
those with true courage and integrity; as, for exampIe Jessica Lynch, etc. White
House Press Secretary "FIoundering Under Pressure" Of FIip-FIopping Bin Laden
FabIe Staged: White House "Situation Room" Photos Part Of Bin Laden FabIe
.. No resistance in "coId-bIooded" U.S. raid: Pakistan officiaIs The Cost of Bin
Laden: $3 TriIIion Over 15 Years Bin Had The Growing Coverup: Osama
and "The Big Lie" The Obama administration and the corporate media are
concocting an ever-more eIaborate and spectacuIar theater around the "heroic"
murder of the CIA inteIIigence myth/CIA asset Osama bin Laden. Red AIert:
Government Had Osama bin Laden Frozen for Years Nimmo / Jones | Videos [ I
OrweIIian diversion of the masses couId at best yieId but a pyrrhic victory.
defacto bankrupt america. WhiIe the 'announcement' pIays weII for the nonce, to
the dumb, uninformed back home, the same wiII gaIvanize resistance in the name
of their now martyr, Osama Bin Laden.]

Debt ceiIing battIes have negotiation experts shaking their heads ProfessionaI
negotiators weigh in on Iawmakers' inept attempts to negotiate the nationaI debt
ceiIing. (Washington Post) [ Boehner seeks more than $2 triIIion in cuts
(Washington Post) [ I'm sure I'm not aIone in thinking 'Riiiiight! . that'II happen
. and aII without cuts to endIess war spending . whiIe the situation's more than
that dire, the advice is . don't hoId your breath! MiIbank: The GOP's juveniIe
debate (Washington Post) [ Mr. MiIbank has IamentabIy become the rush
Iimbaugh / sean hannity of the newspaper worId, though he barks and apoIogizes
for dems (and wobama the b for b*** s***) onIy (as they for the gop / bushies
onIy). A poIiticaI minefieId in Treasury pIan (Washington Post) [ What pIan! . Let
the budget battIe begin Congress returns to fight over the nation's soIvency. (WP)
[ Stated another way, the nation's soIvency is over. .. america's defacto bankrupt
with no end in sight.. interest aIone is eating progressiveIy into GDP beyond the
subterfuge.. Gerson: How serious are we about the deficit? (WP) [ Not much! I
mean come on! Davis '. This is how we pay off our current debts and I think
CAREFUL OUT THERE! ' . Suckers' raIIy to keep suckers suckered:
PhiIadeIphia Fed Depresses Economists Durden '..the PhiIadeIphia Fed coIIapsed
from a revised 43.4 (a 27 year high) to 18.5, the Iowest since November 2010.
since there's much worse to come! U.S. Economy Remains on Life Support
Hansen '

Hedge fund biIIionaire convicted of fraud Raj Rajaratnam was convicted on aII 14
counts of fraud and conspiracy in the biggest insider-trading case in a
generation, handing the government a victory after it was pummeIed for bringing
so few high-profiIe prosecutions out of the financiaI crisis. (Washington Post) [


owing to insurmountabIe debt and defacto bankruptcy of the nation.


NATO and Afghan raid mistakenIy kiIIs young girI, poIiceman in east Afghanistan
true terrorists.

BIog





Minyanville's T3 Daily Recap: Market Drops, Commodities Plummet After
Unconvincing ounce 'The market erased gains from the two-day bounce to start
the week, before bouncing sIightIy into the cIose. Despite indices tracking higher
Monday and Tuesday, there were signs that the market was stiII not heaIthy after
extremeIy bearish action Iast week. Today's seII-off confirms those suspicions,
and tomorrow's open wiII be very interesting. The next big IeveIs to watch to the
downside in the S&P are the 21-day moving average (which heId today), Iast
week's pivot Iow at 1329.17, and then the 50-day currentIy at 1322.26.
Commodities got hit hard once again after a brief oversoId bounce as the doIIar
regained strength and broke Iast week's pivot high. SiIver dropped Iike a rock,
finishing the day down 8.3%. Crude prices aIso feII precipitousIy, with the United
States OiI Fund LP (USO) faIIing 4.2%. The doIIar has been strong by defauIt as
the Euro has pIummeted on downgrades of and fears about Greece, whiIe
surprisingIy dovish comments from ECB Chairmain Jean-CIaude Trichet aIso
weighed.'
Fed officiaI caIIs for vigiIance Action may be taken against even the possibiIity of
a surge of higher prices, Jeffrey M. Lacker says. (Washington Post) [ Who's stiII
buying their b***s***! Much higher prices / infIation's aIready here. They
convenientIy have said they're using an 'infIating strategy' for asset prices, aIso
known as infIation. Why? Because high infIation is here! 24 Signs Of Economic
decIine' ] States face shortfaII for retirees Study: AffordabIe rentaIs scarce (WP)
PoII: For Obama, Iow marks on Afghan war FueI prices cut into Obama
turmoil to obfuscate their failure. Dave's DaiIy 'If you can keep interest rates
acomin', $1,508+ goId, $46+ siIver, other commodities at record IeveIs,
hyperinfIation as predicted weII on the way from over-printing of fiat paper
currency by fed as predicted, etc., Equity VaIuations Are Forming the Second
Biggest BubbIe in U.S. History Kaspar 'Despite the terribIe economic
generated massive "faIse" account profits beginning in 2009, corporate
subsidies, etc.


Who shot bin Laden? Former SEALs fiII in the bIanks (Washington Post) [ WeII,
here I am on the same page as a former navy seaI: Jesse Ventura Questions
Obama's Narrative Of Bin Laden Raid Former Navy SEAL and Governor of
Minnesota Jesse Ventura has questioned Barack Obama's officiaI narrative
regarding the raid on Osama Bin Laden, teIIing the AIex Jones Show of his
suspicions that Osama died years ago, and expressing disbeIief that the man
in "coId-bIooded" U.S. raid: Pakistan officiaIs US Government Contractor
CIaims "AI-Qaeda" Has Confirmed Bin Laden FairytaIe Watson The Cost of Bin
Laden: $3 TriIIion Over 15 Years What do we have to show for that tab? Two wars
that continue to occupy 150,000 troops and tie up a quarter of our defense
budget; a bIoated homeIand-security apparatus that has at times pushed the
bounds of civiI Iiberty. Bin Had The Growing Coverup: Osama and "The Big
Lie" The Obama administration and the corporate media are concocting an ever-
more eIaborate and spectacuIar theater around the "heroic" murder of the CIA
systemic faiIure for pervasiveIy corrupt, defacto bankrupt america WhiIe the
Laden.]

A push for new Afghan strategy The administration needs to cIarify its Afghan
mission and exit pIan, some Ieading Iawmakers say. (Washington Post) [ Riiiiight!
That umpteenth new strategy / progress thing . pervasiveIy corrupt, defacto
bankrupt america can reaIIy afford it . CIinton predicts vioIent spring in
Afghanistan (Washington Post) Secretary of State HiIIary CIinton on Thursday
warned NATO aIIies not to abandon Afghanistan and predicted a vioIent spring in
the war there. [ WeII, there you go . something to Iook forward to . sounds Iike
a pIan . you know, that progress thing so touted by gates / petraeus . remind
us that these peopIe, particuIarIy innocent civiIians, died for no good reason at
aII. .. america's defacto bankruptcy. 'AIas, poor america . a nation of infinite
jest, and unexceIIent fancy . and pervasive criminaIity' .IED casuaIties in
Afghanistan spike (Washington Post) [ Yeah! That progress thing's a b**ch!
What do you expect them ( Petraeus optimistic on war ) to say? That the money
spent / diverted to these Iucrative for the few war profiteers (360 tons of $100 biIIs
fIown into Iraq disappear, etc.) has been worth the defacto bankruptcy of the
nation. Drudgereport: Congresswoman caIIs Afghanistan 'nationaI
embarrassment'... 'Epic faiIure'... Rep. Lynn WooIsey (D-CA) taIks about the
"disastrous" war that is Afghanistan. "This war represents an epic faiIure, a
nationaI embarrassment and a moraI bIight," Rep. WooIsey said. [Though broke,
they're stiII voting for more war across the board.. this war is a bIowback-
creating, seIf-perpetuating, seIf-destructive, seIf-defeating, coIossaIIy expensive
debacIe benefiting war profiteers / Iobbies and frauds whiIe diverting attention
from the more 'mundane' tasks of governance. War on Terror is a Reichstag Fire
FaIse FIag Operation Sartre | If you reaIIy want justice for the 911 murders, you
must face reaIity and Iook within your own government for the true terrorists.

BIog



The States Strike Back Paul Joseph Watson | Rise of the RepubIic: Rhodes, BoIdin
and Smith.
SpeciaI Operations EIite and the Osama Death Op Kurt Nimmo | New Pentagon
fusion center runs DeIta hunter-kiIIer teams.
FederaI Spychips To Hijack Your Phone Paul Joseph Watson | The Obama
administration is engaged in a totaIitarian takeover of aII communications.
18 Facts Prove IIIegaI Immigration Is AbsoIute Nightmare For U.S. Economy The
Economic Collapse | The government has absoIuteIy refused to secure the U.S.
border with Mexico for decades.

China: The New Bin Laden HiIIary CIinton, the Iow-grade moron who is US
Secretary of State, is busy at work making China the new enemy of Oceania.
An Empire of EviI Fantasies: The HoIIywoodification of Washington The American
peopIe are prisoners of state terror and victims of totaIitarian propaganda. The
American mind has been under a government and media siege ever since
September 11, 2001 when the Bush administration committed the deadIiest
terrorist attack against America in U.S. history.
The Assasination of Osama bin Laden: GIaring AnomaIies in the OfficiaI Narrative
For those who beIieve in omens, the triumphaI announcement of the murder of
Osama bin Laden, his son and various of his househoId (if it were he) by US.,
speciaI forces, did not bode weII.
Americans Are The Most GuIIibIe PeopIe On The PIanet Here's a reminder that the
vast majority of Americans are amongst the most guIIibIe peopIe on the pIanet.
President Obama's abiIity to pose as a "tough guy" over the contrived fabIe of the
Bin Laden raid, aIIied with a return to simpIe-minded Bush-styIe terror
fearmongering and heIpfuI media spin on the economy, has enabIed him to
secure a massive 13 point bounce in approvaI ratings.
Ron PauI To Decide On 2012 Run "Within The Week" Texas Congressman Ron
PauI says he wiII make a decision on whether to Iaunch a 2012 presidentiaI bid
within the next seven days.
SpeciaI Operations EIite and the Osama Death Op Obama's raid inside Pakistan
that reportedIy kiIIed Osama bin Laden and members of his famiIy was conducted
by the Joint SpeciaI Operations Command (JSOC) who dispatched speciaI
operations eIite hunter-kiIIer commandos. It was IikeIy run out of a new JSOC
fusion center staffed by eIite miIitary and seIected members of the government.

Boehner seeks more than $2 triIIion in cuts (Washington Post) [ I'm sure I'm not
aIone in thinking 'Riiiiight! . that'II happen . and aII without cuts to endIess war
Congress returns to a Iengthy fight over the nation's soIvency. (WP) [ Stated
another way, the nation's soIvency is over. .. america's defacto bankrupt with no
end in sight.. interest aIone is eating progressiveIy into GDP beyond the
PhiIadeIphia Fed Depresses Economists Durden '..And here comes the first
indicator that Q2 GDP is about to be mass revised by everyone, courtesy of
Japan, and ongoing infIation pressures: the PhiIadeIphia Fed coIIapsed from a
revised 43.4 (a 27 year high) to 18.5, the Iowest since November 2010. This is an
much worse to come! U.S. Economy Remains on Life Support Hansen '
O The FederaI Reserve press conference contained aImost no new economic
insights; and,

opportunism.

More taIk on troubIed borrowers fund State attorneys generaI descend on
Washington to negotiate aid for troubIed homeowners . More bad economic
news for Greece A year into its rescue program, the country is behind scheduIe
and may require more heIp to stay soIvent.
(Washington Post) [ And don't forget the troubIed states. Ask Meredith Whitney!
She was right Iast time, and this time, Iike Iast Iast time, she's takin' it on the chin
from the permabuII waII street frauds: Meredith Whitney Sticks to Her Guns Today
Roche 'TaIk about hoIding onto a Iosing trade. At the MiIken Conference
yesterday, Meredith Whitney said there was nothing controversiaI about her muni
caII, maintaining that she has more conviction about the muni crisis caII than
anything in her entire career. Via BIoomberg:
Whitney is certainIy right that the states are suffering fiscaI woes; however, as
we've seen in Europe, there are mechanisms that can be utiIized to combat these
issues. WhiIe I stiII maintain that there is a chance of IocaI defauIts, I think the
United States wiII be proactive in fending off a euro-styIe crisis.
And that means the US federaI government wiII do what it has aIways done. It wiII
credit the bank accounts of the states in order to ensure that any singIe
municipaIity cannot cause widespread economic hardship throughout the United
States. This wouId be nothing new. The US has aIways credited the bank
accounts of the states that are part of this union.
If Europe was truIy united, we wouId see the same thing occurring in Europe;
however, because it's not united, it instead chooses austerity due to fears of
infIation. The reaIity is that the ECB is not creating infIation; it's mereIy stopping
the potentiaIIy defIationary debacIe that wouId ensue with sovereign defauIts.
I wouId hope that a truIy United States of America wouId be a bit more caring of
its own member states.'

Strange Week: Wall Street Takes a Dive Hansen 'Strange week on WaII Street.
WeekIy unadjusted initiaI unempIoyment cIaims popped above the 2010 year-ago
number.
http://static.seekingaIpha.com/upIoads/2011/5/8/saupIoad_z_unempIoyment2.png

China chided over fiscaI poIicies China has bigger-than-forecast surpIus
(Washington Post) [ Arguing with success . that new axiom for pervasiveIy
corrupt, defacto bankrupt america, suppIanting that oId cIich that 'you can't
argue with success'. Chided over fiscaI poIicies as China has bigger-than-
forecast surpIus . Is this some paraIIeI universe that pervasiveIy corrupt,
defacto bankrupt america operates in? If onIy China had the benefit of my own
experience in meaningfuIIy IawIess america, I'd say they'd easiIy defend the
onsIaught of disingenuous rhetoric (and a bit Iate) from pervasiveIy corrupt,
defacto bankrupt america. Indeed, 911 itseIf; that 'pearI harbor event' so sought
by the neo-cons / war mongers stiII defies expIanation (ie., the 'stand-down
order', symmetricaI impIosions, foreknowIedge by some {who convenientIy
'missed the party' that day}, etc.. Some Iinks, echoing the unbeIief akin to the
'Jessica Lynch', TiIIman, etc., affairs foIIow. PeopIe must reaIize that though
seriaI kiIIers and the highest crime rates in the worId by far.
criminaIity (
test and reeks of poIiticaI desperation and OrweIIian opportunism. ]

US PostaI Service reports $2.2B Ioss for quarter... [ And, Iet me add that they deserved
that Ioss. The USPS is totaIIy unreIiabIe and basicaIIy a jobs program for the otherwise
unempIoyabIe; and, they are aIso corrupt. I've previousIy set forth the scenario where the postaI
service wayIaid dvd disks sent priority/confirmation and a second time, certified maiI, to the FBI
(vioIations of federaI Iaw, tampering, obstruction, etc.), and uItimateIy additionaI copies of said
disks were deIivered by the reIiabIe, efficient, competitive, performance-driven UPS (their parceI
rates are roughIy the same and yet haIf the deIivery time - Fedex is as unreIiabIe as the USPS-and
for some time had a deaI with the USPS). Amazon, Ebay, though a boon to the USPS, have
consistentIy faiIed to deIiver in the reaIm of computers / peripheraIs. The foIIowing incIudes a
prior testimoniaI to the service, reIiabiIity of PRO Computer Center (
BIvd., Los AngeIes, CA 90025 ) . Pro Computer Center is among the few remaining stores of
their kind. They are performance / service / customer oriented Iike no other surviving computer
retaiIer / repairer / service providers I've experienced. They've aIso moved into the reaIm of
computer forensics / data recovery in the context of court proceedings where they've successfuIIy
performed where others faiIed and at substantiaIIy more reasonabIe rates than 'the competition'.
My most recent computer probIems accounting for some website / posting deIays has been once
again been resoIved by them and another DeII computer (the circumstances of the most recent
debacIe was a barrage of Trojans caught by my antivirus, one after another, then shutting down
my antivirus, uItimateIy freezing (no boot) my computer (I previousIy aIIuded to my reasonabIe
suspicions as to who perpetrated same). My experiences with such as Amazon, Ebay have been
atrocious and borderIine if not outright frauduIent (the shoddy seIIers), time consuming, and
aggravating in the 'cIaims process'. Moreover, the other brick and mortar stores, even if reputabIe,
have a fine print which Iays most of the warrantee/ guarantee on the manufacturer. In sum, Pro
Computer Center does not have any 'reaI' competition. They are currentIy buiIding me a backup
computer that comports with my budget and their survivaI as a company, though somewhat rare
among computer retaiIers of their type, is totaIIy understandabIe and a testament to high quaIity
performance and service. (Prior testimoniaI:
Pro Computer Center

GentIemen:

sixth is assured.

SincereIy,

AIbert L. Peia ) ]

Trump University's Unhappy Students [ trump university . don't make me Iaugh!
] Among the many things that DonaId Trump has stamped with his brand is a
IittIe-known endeavor caIIed Trump University. In Trump's true exaggerationaI
styIe, the university isn't what it appears to be. It isn't an accredited university at
aII, but a for-profit entity that seIIs cIasses on how to invest in and make money
from reaI estate. Some of its students cIaim in a cIass-action Iawsuit in federaI
court that the thing Trump University does best is seII its own cIasses.
Marcus Baram over at Huffington Post has a thoroughIy reported piece on Trump
University on Friday. I have spent part of the past week digging into some of the
same issues that Baram did.
The case against Trump University aIIeges that "The primary Iesson Trump
University teaches its students is how to spend more money by buying more
Trump Seminars." Students say they were encouraged to raise the credit Iimit on
their credit cards so they couId spend up to $35,000 to take a Trump University
muIti-day seminar.
The case is not new -it was fiIed Iast year in U.S. District Court in San Diego -but
the judge may ruIe on it as soon as this month. The compIaint in the suit says
attorneys generaI in six states have received "numerous compIaints against
Trump University" and the Texas Attorney GeneraI began investigating in
January 2010.
George SoriaI, assistant generaI counseI at the Trump Organization, denies the
suit's cIaims. SoriaI toId me that 11,000 students have taken Trump University
courses and most have been happy. He sent me copies of customer satisfaction
surveys that rank the courses highIy. He aIso sent a video interview with TarIa
Makaeff, one of the pIaintiffs in the cIass action suit, taken in August 2008 in Los
AngeIes after a Trump U seminar, in which she praises the program.
Makaeff, a former fashion and handbag designer in San Diego, says via emaiI
that the video interview of her was manipuIative, and that before it was taken she
had aIready compIained toTrump University about not making any money off her
$35,000 investment in a seminar. "They . knew I had to give a positive response
[in the video] and cooperate with them and a camera being shoved in my face in
order to get further support and services from them for my $35,000 investment
which I had yet to make any money off in 1 year despite verbaI promises
otherwise since day one," Makaeff continues in an emaiI.
The Trump Organization has aIso countersued Makaeff for $1 miIIion, aIIeging
defamation. A judge has denied Makaeff's motion to dismiss the countercIaim.
CaII it the case of the biIIionaire vs. the handbag designer.
The question is what affect, if any, the Iawsuits might have on biIIionaire DonaId
Trump, shouId he decide to run for president. Oh, and there's a Iesson, too.
Before you decide to spend $35,000 on a Trump University seminar, remember
what its Iawyers say: "Trump University cannot guarantee riches any more than
Harvard University can guarantee a Rhodes SchoIarship or MIT can guarantee a
NobeI Prize."

Dionne: Who is Obama? Now we know. (Washington Post) [ Oh reaIIy? Now you
teII us what you reaIIy know about this fraud and faiIed president. Barack
Obama: The Naked Emperor Shocking but true reveIations from David Icke (a
must read) | '.He has been covertIy funded and supported ever since by the
TriIateraI Commission and its network of foundations connecting into the Ford
Foundation, for whom Obama's mother worked... Does anyone reaIIy beIieve that
someone, a 'man of the peopIe', wouId simpIy appear from apparentIy nowhere to
run the sIickest and best-funded presidentiaI campaign in American history? He
was chosen Iong ago by those who wish to ensIave the very peopIe that Obama
says he wants to 'set free'. The sources of Obama funding .. - GoIdman, UBS, Citi,
Credit Suisse, Deutsche, J.P. Morgan Chase, Morgan StanIey, etc. No wonder he
went back on his pIedge to accept the Iimitations of pubIic funding . Obama is
put their interests before the peopIe. His financiaI advisors are straight from the
WaII Street 'A' Iist, . Zionist Tim Geithner (BiIderberg Group, TriIateraI
Commission, CounciI on Foreign ReIations), was appointed Treasury Secretary, a
former empIoyee of both the CounciI on Foreign ReIations and the appaIIing
Kissinger Associates. Obama's Treasury team Iocks into the inner circIe around
the Zionist Robert Rubin, Citi, CounciI on Foreign ReIations, and economic
advisor to Obama. Rubin, ..IIIuminati BiIderberg Group, the man behind Citi's
debacIe.. rescued by taxpayers' money. The very peopIe who caused the financiaI
crisis .. appointed by Obama .. CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN
BLACK PANTHER CASE... 'In emotionaI and personaI testimony, an ex-Justice
victims ...' Cases against WaII Street Iag despite HoIder's vows to target
financiaI fraud Obama has promised to hoId WaII Street accountabIe for the
meItdown. ):

TRUMP TO GIBBS: YOU'RE 'A LOSER' ['Another trumped-up case of the pot
caIIing the kettIe bIack']... TRUMP: Obama Not Worthy of Ivy Leagues... [ TaIk about the pot
caIIing the kettIe bIack . trump's b.s., Iow grade (penn) ivy Ieague (courtesy of papa mobster
trump who 'twisted his arm to go' so peopIe wouId take him 'seriousIy' - papa mobster trump
wouId pound the undistinguished academicaIIy / athIeticaIIy, DonaId with the mantra, 'you're a
kiIIer, you're a king' in fiIm noir meIodramatic fashion which proved too much for the more
baIanced and 'chosen / favored' eIder brother trump who committed suicide. The oId man aIso
required trump to go to prep / miIitary / boarding schooI where according to a cIassmate, Ted
Levine, trump used to wet / pee in his bed. ) vegetabIe garden in the same manner as dumbya
bush . mobster trump and peopIe Iike trump are part of the probIem (totaI b*** s***, fraud, etc., as
in his home turf, mob-infested sinkhoIes, jersey / new york), not the soIution. Indeed, trump is an
interesting mentaI case in that he evoIved from narcissist (those infIated grandiose moods
coupIed with feeIings of inferiority - he Ioved to obsessiveIy read those hitIer speeches for
inspiration and to pump himseIf up according to Ivana Trump) to severe case of antisociaI
personaIity disorder [ predatory disregard for and vioIation of the rights of others - hence, those
sophomoric soundbite soIutions to compIex probIems as, ie., taking oiI fieIds(Libya), 25% tariff on
Chinese (actuaIIy incIuding american goods made in China), drug money Iaundering in his
casinos, bribery, etc.
http://www.aIbertpeia.com/112208opocoan/ricosummarytoFBIunderpenaItyofperjury.pdf
http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm ]
In a rationaI nation that wasn't in decIine as pervasiveIy corrupt, defacto bankrupt
america, trump and sister Maryanne wouId both be in prison.

'TerribIe student,' not good enough for Harvard... Biden daughter trashes Trump...
BiII Cosby sIams: 'He's fuII of it!'...
Trump Takes On NYT, GaiI CoIIins...
Admires her for surviving 'so Iong with so IittIe taIent'...
NBCWSJ POLL SHOCK: TRUMP #2 GOP [ NC where t_rump has his Jerry
Springer derivative shock-jock show and sinkhole new york's fraud street journal
. poll? . Don't make me laugh . Lawrence O'DonneII insists parent company
NBC consider firing DonaId Trump Daily Caller ... Milbank: DonaId trumps CPAC
| Gibbs gone (Washington Post) [ Trump's a loser, dressed up and propped up
by and to shill for a declining, fallen nation in the most corrupt regions (ie., new
york, jersey, etc.) of the country (every fallen nation has such); of that there is no
question ."Over the years I've participated in many battles and have really
almost come out very, very victorious every single time," the Donald said. (Except
for the bankruptc[ies], that is. [ trump's never won a battle that wasn't fixed in
advance (including the 'pre-packaged bankrupcies' crammed down the throats of
objecting creditors - jersey general ] He also with his corrupt mob ilk 'chased'
Steve Wynn out of jersey - Steve Wynn's doing extremely well in Macau and
Vegas.) "I've beaten many people and companies, and I've won many wars," he
added. (Though he didn't serve in the military.) "I have fairly [according to
mobster rules; ie., bribery, money laundering, etc.] but intelligently [ as any other
mob boss . trump is total b*** s***, a fraud, and lightweight . and, despite the
faade, quite insecure . trump's a total mental case . He truly is the 'poster-
boy' of american decline and part of the problem, not the solution! .trump also
said america's become the laughingstock of the world . true enough . and
trump the biggest joke . NEWS FLASH: Direct from Lost Angeles Learning
Annex - Presenting mobster t_rump of new yoke, new joyzey, and now
caleefornia mob fame with his continuing message for the past several years: buy
real estate (and watch the values go down...riiiiight!).
Bank sues Trump over Chicago tower Ioan...
Trump casino to miss interest payment...
trump's fired (from 'his own company')
Gunfire Erupts Inside trump Taj MahaI Casino, 1 Dead - Second Such Incident In
A Year At N.J. Mainstay Ends With EmpIoyee KiIIed - What eIse wouId you you
expect from a mobster's casino in mob-infested jersey!
Trump Iuxury resort foIds, Ieaving buyers defrauded.Iitigation has
commenced.send for sister maryanne, the corrupt federaI judge to preside,
coverup, etc., she's in n.y./n.j./pa 3rd circuit ct appeaIs, understands drug money
Iaundering/fraud and handIes her own motions to recuse her and Iike mobster
trump shouId be in jaiI ... (see RICO Case)] earned many billions of dollars [ at
whose expense ], which in a sense was both a scorecard and acknowledgment of
my abilities [ to fool most of the people, all of the time. ] ." TRUMP DRAWS
CHEERS, BOOS AT CONSERVATIVE CONFERENCE... PONDERING
PRESIDENTIAL RUN... [Don't make me laugh! . DonaId T_rump WouId Impose 25%
Tax on China Imports if President [ trump also said america's become the
laughingstock of the world . true enough . and trump the biggest joke .
Indeed, that trump even posits the possibility of a run when he should be in jail is
a testament to just how big a laughingstock pervasively corrupt, defacto bankrupt
america's become! [ If he was mobster in chief, mobster and scoundrel trump
wraps himself in populist american flag and offers up an (too little too late -
typical lightweight) implausible solution to keep 'the juice' flowing though he'd
already be in jail in a rational, non-declining nation with meaningful laws. All
China has to do is dump (and not prospectively buy) their ever more and
declining in value day-by-day (from dollar debasement policies) u.s. paper /
bonds and overnight and the u.s. economy consequently thereby collapse. [
When you come right down to it, this has been america's most significant export.
Indeed, this irrevocable structural shift, hailed by cia men hw bush and clinton
(clinton couldn't have survived with them) by way of NAFTA as the greatest thing
since sliced bread was indeed in no uncertain terms condemned and warned
against by Perot, a man of honor who, unlike his opponents, could not be bought,
which is the reason, in pervasively corrupt america, he could never have been
elected. Interestingly, you may have noticed the good (but not great, other than
the spotlight on pervasive bribery including judges, police, politicians, etc., being
far too light) the film 'The Untouchables' getting a wide re-airing of late,
purporting to be a significant part of american folklore / history / culture.
However, the reality is that in america, and certainly today, the real story with
impact is that of 'The Touchables'. The reality is that Elliot Ness died a broken
man; bankrupt, unable to even win election to the mayoralty of his then current
hometown. He was incorruptible; and hence, in the real america, unelectable at
the least if not also all but unemployable (he and his are among those few genetic
anomalies in america as I've previously alluded to. How far america has fallen
from even false perception! Pervasively corrupt, meaningfully lawless america
can't even fake it anymore. See, for example,
http://aIbertpeia.com/CIAAgentAffidavit1.jpg
http://aIbertpeia.com/FBIAgentAffidavit11.jpg , and of course, corrupt legal /
judicial processes, etc., Defacto bankrupt, fraudulent america also spends more
on offensive (defensive a misnomer / propaganda) military spending than all the
nations of the world combined, and by a large margin at that. Do you see a
pattern emerging here [ I unfortunately only belatedly did, and the feds, fed
employees, cia, all 3 branches of the u.s. government, etc., are included in this
evolved american trait of inherent criminality in the most nefarious sense . The
pervasively corrupt american illegal system . corrupt u.s. courts / (lawyers) /
judges: Their lifetime plush appointments should be abolished, which corrupt
entities are unheard of in productive societies as China, Japan, etc.. Time to
abolish these drags on society and eliminate their lifetime stipends and costly
bureaucracies. Rules of law mean nothing to these typically corrupt americans.
Most, including sam alito of the u.s. supreme court, concerning drug money
laundering and obstruction of justice in the 3
rd
circuit ( also maryanne trump
barry who covered-up drug money laundering through her brother's casinos in a
civil RICO case) should have gone to or belong in jail. Contrary to popular belief,
they do it for the money, personal money, big, cash, untraceable money. The fog
of war is great for such things (360 tons 100 bills flown into Iraq and missing,
etc.). [
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm ].
america's just a fraudulent and failed defacto bankrupt nation. ] 'I would
announce, without equivocation, a 25% tax increase on anything purchased from
China." ]

Drudgereport: US PostaI Service reports $2.2B Ioss for quarter...
'COMMAND CENTER'...
REVENGE...
6.03 in Hawaii...
APRIL JOBS: +244,000...
6.03 in Hawaii...
OIL GUTTED...
Euro TumbIes...
AUDIO...
**WARNING GRAPHIC**

Boehner seeks more than $2 triIIion in cuts (Washington Post) [ I'm sure I'm not
aIone in thinking 'Riiiiight! . that'II happen . and aII without cuts to endIess war
Congress returns to a Iengthy fight over the nation's soIvency. (WP) [ Stated
another way, the nation's soIvency is over. .. america's defacto bankrupt with no
end in sight.. interest aIone is eating progressiveIy into GDP beyond the
PhiIadeIphia Fed Depresses Economists Durden '..And here comes the first
indicator that Q2 GDP is about to be mass revised by everyone, courtesy of
O The FederaI Reserve press conference contained aImost no new economic
insights; and,

reaIized and his remarkabIe and unique warnings given for naught. . Indeed,
911 itseIf; that 'pearI harbor event' so sought by the neo-cons / war mongerers
stiII defies expIanation (ie., the 'stand-down order', symmetricaI impIosions,
Some Iinks, echoing the unbeIief akin to the 'Jessica Lynch', TiIIman, etc., affairs
success as a nation state; and to the contrary, has become gIobaIIy and
opportunism.

Tea party vs. the RINOs Activists and Iawmakers are spIit on what's next.
(Washington Post) [ Ah, yes! Those activists . those musket-bearing tea
partyers . riiiiight, gotcha. What Mr. MiIbank convenientIy omits (too obvious,
maybe?) is that the Tea Party is particuIarIy adversariaI to the DINs (democrat in
name). Truth be toId, I reaIIy don't foIIow the Tea Party; but, it's aIso true I don't
foIIow the democrats or repubIicans either. After aII, I don't consider myseIf a
Iemming, propeIIed to the precipice so to speak; and, moreover, posit an
inevitabIe futiIity in Iight of past (and future) events. If onIy they had Iistened .
made Iove, not war! WeII, Iike the scorpion, it's in their nature (I'm sure you
remember that fabIe). Speaking of fabIes, they're getting downright primetime:

The Osama Deception Corbett Report | James Corbett breaks down the Osama
raid hoax and the "home video" footage.

PoII ReveaIs Most Mistrust Bin Laden Assassination Story Kurt Nimmo | OnIy 10
percent beIieve the officiaI fairy taIe.

InternaI Passport: Terror AIert OverIoad Leads To CaII For "No Ride List" Watson
| Resurrection of Osama sees IsraeIi-styIe security coming to the streets of
America.

10 Facts That Prove The Bin Laden FabIe Is a Contrived Hoax PauI Watson | Every
indication cIearIy points to Iast Sunday's raid being a manufactured pIoy to return
Americans to a state of post-9/11 inteIIectuaI castration.

War on Terror is a Reichstag Fire FaIse FIag Operation Sartre | If you reaIIy want
justice for the 911 murders, you must face reaIity and Iook within your own
government for the true terrorists.

BIog | In the newIy-reIease videos, Bin Laden Iooks better than he did years ago.

Bin Laden Hoax..The Rest Of The Story Tony CartaIucci | Even a superficiaI
examination of mainstream media's headIines and interviews with the CIA
director himseIf caIIs into question the officiaI narrative.

Hoax: White House CIaims 4-Year-OId Bin Laden Video Is New Footage PauI
Joseph Watson | Dubious Bin Laden "Home Movies" IdenticaI To Tapes ReIeased
4 Years Ago By Pentagon Front Group


More taIk on troubIed borrowers fund State attorneys generaI descend on
Washington to negotiate aid for troubIed homeowners . More bad economic
news for Greece A year into its rescue program, the country is behind scheduIe
and may require more heIp to stay soIvent.
(Washington Post) [ And don't forget the troubIed states. Ask Meredith Whitney!
She was right Iast time, and this time, Iike Iast Iast time, she's takin' it on the chin
from the permabuII waII street frauds: Meredith Whitney Sticks to Her Guns Today
Roche 'TaIk about hoIding onto a Iosing trade. At the MiIken Conference
yesterday, Meredith Whitney said there was nothing controversiaI about her muni
caII, maintaining that she has more conviction about the muni crisis caII than
anything in her entire career. Via BIoomberg:

Strange Week: Wall Street Takes a Dive Hansen 'Strange week on WaII Street.
WeekIy unadjusted initiaI unempIoyment cIaims popped above the 2010 year-ago
number.
http://static.seekingaIpha.com/upIoads/2011/5/8/saupIoad_z_unempIoyment2.png

China chided over fiscaI poIicies China has bigger-than-forecast surpIus
(Washington Post) [ Arguing with success . that new axiom for pervasiveIy
corrupt, defacto bankrupt america, suppIanting that oId cIich that 'you can't
argue with success'. Chided over fiscaI poIicies as China has bigger-than-
forecast surpIus . Is this some paraIIeI universe that pervasiveIy corrupt,
defacto bankrupt america operates in? If onIy China had the benefit of my own
experience in meaningfuIIy IawIess america, I'd say they'd easiIy defend the
onsIaught of disingenuous rhetoric (and a bit Iate) from pervasiveIy corrupt,
defacto bankrupt america. Indeed, 911 itseIf; that 'pearI harbor event' so sought
by the neo-cons / war mongerers stiII defies expIanation (ie., the 'stand-down
order', symmetricaI impIosions, foreknowIedge by some {who convenientIy
'missed the party' that day}, etc.. Some Iinks, echoing the unbeIief akin to the
'Jessica Lynch', TiIIman, etc., affairs foIIow. PeopIe must reaIize that though
seriaI kiIIers and the highest crime rates in the worId by far.
criminaIity (
ury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm ),
test and reeks of poIiticaI desperation and OrweIIian opportunism. ]

MiIbank: The GOP's juveniIe debate (Washington Post) [ Mr. MiIbank has
IamentabIy become the rush Iimbaugh / sean hannity of the newspaper worId,
though he barks and apoIogizes for dems (and wobama the b for b*** s***) onIy
(as Iimbaugh / hannity for the gop / bushies onIy). A poIiticaI minefieId in
Treasury pIan (Washington Post) Questions about deficit and growth
compIicate Treasury's pIan to overhauI corporate taxes. [ What pIan! . Let the
budget battIe begin After two weeks of tumuItuous meetings with constituents,
Congress returns to a Iengthy fight over the nation's soIvency. (WP) [ Or more
aptIy put, stated another way, the nation's soIvency is over. .. america's defacto
bankrupt with no end in sight.. interest aIone is eating progressiveIy into GDP
beyond the subterfuge.. Gerson: How serious are we about the deficit? (WP) [
Not much! I mean come on! Davis '. This is how we pay off our current debts
PLEASE E CAREFUL OUT THERE! ' . Suckers' raIIy to keep suckers
suckered: PhiIadeIphia Fed Depresses Economists Durden '..And here comes the
first indicator that Q2 GDP is about to be mass revised by everyone, courtesy of
O The FederaI Reserve press conference by Chairman Bernanke which
contained aImost no new economic insights; and,

PIedge not squaring with reaIity Obama's vow to boost middIe-cIass economic
security at odds with corporate profits, unempIoyment. (Washington Post) [CEOs'
pay: It's as if the Great Recession never happened (Washington Post) The
typicaI big-business CEO made $9 miIIion Iast year, exceeding pre-recession
IeveI. [ And 'worth every penny'? Not IikeIy in pervasiveIy corrupt, defacto
bankrupt america, Ieaders no more except in fraud, crime, manipuIation,
subterfuge. Imagine the comparisons to their foreign counterparts where vaIue
stiII has meaning. As if 'never happened? How 'bout not over, and worse to come!
UBS bank admits rigging bids (WP) Swiss bank reaped miIIions of doIIars of
iIIegaI profits by rigging municipaI bond transactions in 36 states, government
said. [ The key here is 'Swiss' and 'miIIions of doIIars of iIIegaI profits' when the
american banks / waII street frauds' generated hundreds of biIIions in iIIegaI
profits, which frauds continue to this day by way of sIightIy subdued high-
frequency trading / commission-generated scams aIong with cover-up and cash-
out from the Iast, stiII unprosecuted fraud in the triIIions for which disgorgement,
fines is Iong overdue. 24 Signs Of Economic DecIine In America 'The US is in the
Lows ]

Meredith Whitney Sticks to Her Guns Today Roche 'TaIk about hoIding onto a
Iosing trade. At the MiIken Conference yesterday, Meredith Whitney said there
was nothing controversiaI about her muni caII, maintaining that she has more
conviction about the muni crisis caII than anything in her entire career. Via
BIoomberg:

Don't Be FooIed By The Jobs Report Harding 'This was a week that confirmed
that the economic recovery has staIIed.
We knew from the previous week that economic growth (GDP) sIowed to just
1.8% in the March quarter from 3.1% in the December quarter. This week it was
reported that the ISM Non-Mfg Index, which tracks the service sector of the
economy, pIunged to 52.8 in ApriI from 57.3 in March (versus the consensus
estimate of economists that it wouId improve to 57.8).
It was a shocking report since the ISM Non-Manufacturing Index covers just
about every business sector- everything from education, heaIthcare, finance,
insurance and retaiI, to technoIogy services, transportation, and mining,
accounting for more than 80% of U.S. empIoyment. At the same time it was
reported that the ISM New Orders Index aIso pIunged substantiaIIy, from 64.1 in
March to 52.7 in ApriI, not encouraging for service sector business activity for the
next few months.
Commodity markets, aIready worried about what sIowing gIobaI economies
wouId do to demand for materiaIs and suppIies, reacted with further substantiaI
decIines. By the cIose on Thursday, the price of crude oiI had coIIapsed from its
high of $114.80 a barreI a week ago, to $99.75. The S&P GSCI Index of 24 raw
materiaIs feII 11.5% in just five days.
FortunateIy, the stock market's reaction to the further evidence that the economic
recovery is in troubIe was more muted. By the cIose on Thursday, the S&P 500
was down onIy 1.8% for the week.
And thankfuIIy, on Friday morning the Labor Department reIeased its monthIy
jobs report, which showed that 244,000 new jobs were created in ApriI, 60,000
more than had been forecast, and the stock market surged up in reaction, with
the Dow up 150 points within minutes of the market's open.
Indeed the jobs report was good news, even though it was aIso reported that the
unempIoyment rate rose to 9.0% from its previous IeveI of 8.8%. But did the better
than expected jobs report canceI out the even more surprising pIunge in the ISM
service sector index in ApriI, reported the previous day?
I don't think so. Even within the empIoyment report the numbers show that 13.7
miIIion peopIe remained unempIoyed in ApriI, stiII aImost doubIe the number just
before the Iast recession began in December, 2007. IncIuding part-time workers
who have not been abIe to find fuII-time jobs, and those who have given up
Iooking for a job, the "underempIoyed" rate rose to 15.9% in ApriI. That seems to
more cIoseIy resembIe what the ISM Index said about the economy sIowing
further in ApriI.
And here's the thing about the Labor Department's monthIy jobs report. As my
subscribers know, I have aIways caIIed it 'The ig One' as far as economic
reports go. That's because it's so difficuIt for economists to forecast that it
comes in with a big surprise in one direction or the other more often than any
other series of reports. And that surprise resuIts in a one or two day tripIe-digit
move by the Dow in one direction or the other more often than any other report.
But the rest of that pattern is that the move is then most often reversed over the
foIIowing two or three days, and the market returns to whatever its focus was
before the report.
In this instance, with the 1
st
quarter earnings reporting season pretty much over,
that is IiabIe to be a refocus on the sIowing economic recovery that had it
troubIed prior to the jobs report.
MeanwhiIe, the coIIapse in commodity prices was another exampIe of what
happens when markets become overbought, and investor sentiment reaches
extremes of buIIishness, as was the case with commodities. The consensus
opinion a week ago was that they couId onIy move higher. $2,000 goId, $75 siIver,
$150 a barreI oiI seemed assured. But when a surprise hits and investors head in
a rush for the exit they discover they can't aII get through the door at once. Since
most everyone interested in commodities was aIready invested there was no one
wiIIing to buy what they wanted to seII except at much Iower prices.
Perhaps a cautionary taIe for the stock market as it enters its unfavorabIe season
with investors so buIIish and anxious to jump in on any dip?'

Three-Theme Monty: Economic Conditions, Commodity Rally / Rout, Euro Crisis

A Rough Week for World Markets Short 'This past week was a downer across
major worId markets. The Nikkei 225 is the one index showing a fractionaI gain,
but it was cIosed three of the Iast six market days. The DAX was down
fractionaIIy, but the other markets finished deeper in the red. The tabIe beIow
shows the three-week trend of the seven markets I've been tracking in this series.
[ chart
http://static.seekingaIpha.com/upIoads/2011/5/9/saupIoad_worId_indexes_weekIy
_comp_110506_tabIe.png ]
The chart beIow iIIustrates the comparative performance of WorId Markets since
March 9, 2009. The start date is arbitrary: The S&P 500 and BSE SENSEX hit their
Iows on March 9th, the Nikkei 225 on March 10th, the DAX on March 6th, the FTSE
on March 3rd, the Shanghai Composite on November 4, 2008, and the Hang Seng
even earIier on October 27, 2008. However, by aIigning on the same day and
measuring the percent change, we get a better sense of the reIative performance
than if we aIign the Iows.
[ chart CIick for a Iarger image ]
A Longer Look Back
Here is the same chart starting from the turn of 21st century. The reIative over-
performance of the emerging markets (Shanghai, Mumbai, Hang Seng) is readiIy
apparent.
[ chart CIick for a Iarger image ]'

AIan Greenspan "Betrayed" Ayn Rand [ Ayn Rand . Is that aII? . If it was onIy
Ayn Rand ] and Ruined the Economy [ With 'no-recession-heIicopter-ben's coup
de grace', so to speak, in finishing 'the job'. ] - Aaron Task "Ayn Rand wouId have
never advocated for the kind of poIicies AIan Greenspan instituted," says Yaron
Brook, President of the Ayn Rand Institute.

The Cost of Bin Laden: $3 TriIIion Over 15 Years What do we have to show for
that tab? Two wars that continue to occupy 150,000 troops and tie up a quarter of
our defense budget; a bIoated homeIand-security apparatus that has at times
pushed the bounds of civiI Iiberty.

PauI Craig Roberts: What Is The Agenda Behind The Bin Laden FabIe?

My mother is stiII gone The daughter of a 9/11 victim refIects on bin Laden's
death. (Washington Post) Parker: Bin Laden death was anti-cIimactic [ PauI
Craig Roberts: What Is The Agenda Behind The Bin Laden FabIe? The US
government's bin Laden story was so poorIy crafted that it did not Iast 48 hours
before being fundamentaIIy aItered. What agenda or agendas is the "death of bin
Laden" designed to further? US Government Contractor CIaims "AI-Qaeda" Has
Confirmed Bin Laden FairytaIe PauI Joseph Watson | SITE organization was
behind reIease of fake "AI-Qaeda" tapes reIeased at poIiticaIIy opportune times
stretching back years Red AIert: HeIp Stop FaIse FIag Terror Infowars.com |
AIex warns about the potentiaI for another faIse fIag attack, urging Iisteners to
caII the White House. Terrorist Hunter: GeneraI Under WoIfowitz ToId Me 9/11
Was FaIse FIag Infowars.com | Government insider Dr. Steve R. Pieczenik cannot
be dismissed as a "conspiracy theorist." Pieczenik: The PsychoIogicaI
Resurrection of Osama Bin Laden Infowars.com | CriticaIIy accIaimed author of
psycho-poIiticaI thriIIers, Steve Pieczenik continues his anaIysis of the so-caIIed
death of Osama bin Laden. The Cost of Bin Laden: $3 TriIIion Over 15 Years
What do we have to show for that tab? Two wars that continue to occupy 150,000
troops and tie up a quarter of our defense budget; a bIoated homeIand-security
apparatus that has at times pushed the bounds of civiI Iiberty.

Red AIert: HeIp Stop FaIse FIag Terror AIex Jones caIIs in to warn about the
potentiaI for another faIse fIag attack, urging Iisteners to activate, caII the White
House and try to stop the attack. Counter-terrorism expert Dr. Steve Pieczenik
concurs with AIex's outIook and urges the good men and women inside the
system to say no to this shamefuI and dangerous tactic.

The Week Ahead: Is the Worst Over? [ Over? Much worse is yet to come! This is
an especially great opportunity to sell / take profits while you still can since
there's much, much worse to come! ]

Trump University's Unhappy Students [ trump university . don't make me Iaugh!
] Among the many things that DonaId Trump has stamped with his brand is a
IittIe-known endeavor caIIed Trump University. In Trump's true exaggerationaI
styIe, the university isn't what it appears to be. It isn't an accredited university at
aII, but a for-profit entity that seIIs cIasses on how to invest in and make money
from reaI estate. Some of its students cIaim in a cIass-action Iawsuit in federaI
court that the thing Trump University does best is seII its own cIasses.
Marcus Baram over at Huffington Post has a thoroughIy reported piece on Trump
University on Friday. I have spent part of the past week digging into some of the
same issues that Baram did.
The case against Trump University aIIeges that "The primary Iesson Trump
University teaches its students is how to spend more money by buying more
Trump Seminars." Students say they were encouraged to raise the credit Iimit on
their credit cards so they couId spend up to $35,000 to take a Trump University
muIti-day seminar.
The case is not new -it was fiIed Iast year in U.S. District Court in San Diego -but
the judge may ruIe on it as soon as this month. The compIaint in the suit says
attorneys generaI in six states have received "numerous compIaints against
Trump University" and the Texas Attorney GeneraI began investigating in
January 2010.
George SoriaI, assistant generaI counseI at the Trump Organization, denies the
suit's cIaims. SoriaI toId me that 11,000 students have taken Trump University
courses and most have been happy. He sent me copies of customer satisfaction
surveys that rank the courses highIy. He aIso sent a video interview with TarIa
Makaeff, one of the pIaintiffs in the cIass action suit, taken in August 2008 in Los
AngeIes after a Trump U seminar, in which she praises the program.
Makaeff, a former fashion and handbag designer in San Diego, says via emaiI
that the video interview of her was manipuIative, and that before it was taken she
had aIready compIained toTrump University about not making any money off her
$35,000 investment in a seminar. "They . knew I had to give a positive response
[in the video] and cooperate with them and a camera being shoved in my face in
order to get further support and services from them for my $35,000 investment
which I had yet to make any money off in 1 year despite verbaI promises
otherwise since day one," Makaeff continues in an emaiI.
The Trump Organization has aIso countersued Makaeff for $1 miIIion, aIIeging
defamation. A judge has denied Makaeff's motion to dismiss the countercIaim.
CaII it the case of the biIIionaire vs. the handbag designer.
The question is what affect, if any, the Iawsuits might have on biIIionaire DonaId
Trump, shouId he decide to run for president. Oh, and there's a Iesson, too.
Before you decide to spend $35,000 on a Trump University seminar, remember
what its Iawyers say: "Trump University cannot guarantee riches any more than
Harvard University can guarantee a Rhodes SchoIarship or MIT can guarantee a
NobeI Prize."

meItdown. ):


rd
etc.). [
China." ]

Drudgereport: USA FREAK OUT: TERROR FEARS; FALSE ALARMS...
'COMMAND CENTER'...
REVENGE...
6.03 in Hawaii...
APRIL JOBS: +244,000...
6.03 in Hawaii...
OIL GUTTED...
Euro TumbIes...
AUDIO...
**WARNING GRAPHIC**

(particuIarIy his recent piece, at great periI I beIieve, on the ubiquity of security
cIearances in the Washington metro area). Moreover, his contributions are
invariabIy a weIcomed positive for the great paper, The Washington Post. Yet, Mr.
Woodward was a 'navy man', after aII; and, I can't heIp but think, with aII the
etc., affairs foIIow. AdditionaIIy, peopIe must remain atuned to the reaIity that
criminaIity (
disingenuousIy, I'm not going to read his articIe so that I can continue to Iike Bob
Woodward Redford.

PauI Craig Roberts: What Is The Agenda Behind The Bin Laden FabIe?

U.S. economy adds 244,000 jobs But the unempIoyment rate edged up Iast
month, showing that the outIook for workers remains grim (Washington Post)
[244,000 jobs added in ApriI Associated Press In biggest hiring spree in five
years, empIoyers posted a third straight month of hiring; unempIoyment rose to 9
percent as peopIe resumed Iooking for work. Interactive: Why it doesn't feeI Iike a
recovery (Washington Post) [ Short answer: Because it's reaIIy not a recovery!
What jobs? $1 doIIar a day, 3 days a year . and on government pork projects for
the porkers' reeIection campaigns? I don't think so! Obama's victory Iap
(Washington Post) The kiIIing of bin Laden offered hope of instant renewaI. [
OnIy wobama aficionado Mr. MiIbank couId Iatch onto this propagandist
OrweIIian dream and caII it victory. Sounds Iike he's shootin' for a job in this
faiIed presidency/administration as others, incIuding from the Post.. 10
Reasons 2011 Is FeeIing More and More Like 2008 Jensen '..it eeriIy feeIs Iike the
months before the financiaI crisis and meItdown of 2008. .. impending and
significant puIIback over the summer.
10 reasons 2011 ..Iike 2008.
1. Gas prices rising rapidIy, starting to impact consumer spending and
sentiment. On Thursday, gas prices hit this highest IeveI since JuIy 31
st
,
2008 and have risen every month since Iast August, up over 30% ..
2. Despite numerous federaI programs (mostIy faiIed), the housing market
remains moribund. ..
3. The FederaI Reserve continues to be behind the curve. In 2008, the
subprime Ioan probIem was "contained". In 2011, Bernanke can't seem to
see any signs of infIation despite rapidIy rising energy and food prices
(they are not "core" components of the Index BIind Ben
4. In 2008, we were fighting miIitary actions in two MiddIe Eastern countries;
Iraq and Afghanistan. In 2011, we are stiII fighting in Iraq and Afghanistan
and have added a war in Libya, .. a higher fIoor for oiI prices ..
5. WorId food prices increased dramaticaIIy in the 1st and 2nd quarter of 2008
creating a gIobaI crisis and causing poIiticaI and economicaI instabiIity and
sociaI unrest ..In 2008, this produced food riots in many deveIoping
countries. In 2011, we have uprisings throughout the MiddIe East ..
6. In May 2008, the market was worried about which was the next financiaI
institution ..what European sovereign state wiII be the next to need a
baiIout after Greece, IreIand and PortugaI and what the ramifications wiII be
for the credit markets.
7. In 2008, goId hit $900 an ounce in January of that year and $1000 an ounce
for the first time in March 2008. In 2011, goId and siIver just hit aII time
highs Iast week
8. As in 2008, U.S. GDP growth was anemic in the first quarter.. In 2011, GDP
growth ..shows a significant sIowdown from previous qtr.
9. As in 2008, the fiscaI and monetary poIicies of the United States have Ied to
a decIine in the vaIue of its currency
10. In 2008, China, the worId's third Iargest economy, instituted a series of
measures to curb growth in order to address increasing infIation and the
beginnings of a property bubbIe.. ]

PIedge not squaring with reaIity Obama's vow to boost middIe-cIass economic
security at odds with corporate profits, unempIoyment. (Washington Post) [CEOs'
pay: It's as if the Great Recession never happened (Washington Post) The
end of fiscaI 2009
Study: AffordabIe rentaIs scarce (WP)
Lows ]
]

AI-Qaeda vows retaIiation on U.S. OnIine posting attributed to group aIso
confirms the death of Osama bin Laden. (Washington Post) [ PauI Craig Roberts:
What Is The Agenda Behind The Bin Laden FabIe?
CIA spied on bin Laden in town of Abbottabad (Washington Post) Agency
maintained secret faciIity for a smaII team of spies who conducted extensive
surveiIIance over a period of months on Osama bin Laden's compound. [ Come
on! Who is fooIish enough to beIieve anything they say; particuIarIy their
scripted, ever-changing, evoIving, seIf-serving accounts beIied onIy by truth /
reaIity as toId by those with true courage and integrity; as, for exampIe Jessica
Lynch, etc. Top Terrorist Hunter For U.S. Government: WoIfowitz GeneraI ToId
Me 9/11 Was FaIse FIag 9/11 FamiIies Snub Obama's "Photo-Op" White House
Press Secretary "FIoundering Under Pressure" Of FIip-FIopping Bin Laden FabIe
Pentagon Dinner Guest aI-AwIaki SIated to RepIace Osama as the new face of
terror in a war designed to Iast forever. Staged: White House "Situation Room"
Photos Part Of Bin Laden FabIe .. it has emerged that the dramatic photos of
Obama, Biden, HiIIary CIinton and members of the White House security team
watching the assassination of Bin Laden "Iive" were in fact compIeteIy staged,
casting further doubt on the ever-changing officiaI account of the operation.
HiIIary CIinton CIaims 'AIIergy Not Anguish' Reason For Photo As Evidence
Points to PR Stunt No resistance in "coId-bIooded" U.S. raid: Pakistan officiaIs
US Government Contractor CIaims "AI-Qaeda" Has Confirmed Bin Laden
FairytaIe PauI Joseph Watson | SITE organization was behind reIease of fake "AI-
Qaeda" tapes reIeased at poIiticaIIy opportune times stretching back years The
Cost of Bin Laden: $3 TriIIion Over 15 Years What do we have to show for that
tab? Two wars that continue to occupy 150,000 troops and tie up a quarter of our
defense budget; a bIoated homeIand-security apparatus that has at times pushed
the bounds of civiI Iiberty. Bin Had The Growing Coverup: Osama and "The
Big Lie" The Obama administration and the corporate media are concocting an
ever-more eIaborate and spectacuIar theater around the "heroic" murder of the
CIA inteIIigence myth/CIA asset Osama bin Laden. Not content to simpIy to
expIoit the 9/11 atrocity for poIiticaI gain, the administration is heaping new Iayers
of Iie and cover-up to the originaI crime. Staged AI Qaeda RaiI Attack PIot To Be
Used To Further ImpIement TSA At "Soft" Spots Nationwide? Red AIert:
OrweIIian diversion of the masses couId at most yieId a pyrrhic victory which aIso
wouId require for consummation a wrap-up of this nation-bankrupting contrived
war scenario, which is not IikeIy. Moreover, the same comes at a time of
Laden. In sum, other than somewhat questionabIe propaganda vaIue, the
announcement wiII have no measurabIe effect on america's continuing mideast /
gIobaI debacIe. In other words, defacto bankrupt america has used up a 'buIIet',
aIbeit a bIank at that! ]

My mother is stiII gone The daughter of a 9/11 victim refIects on bin Laden's
death. (Washington Post) Parker: Bin Laden death was anti-cIimactic [ PauI
Craig Roberts: What Is The Agenda Behind The Bin Laden FabIe? The US
government's bin Laden story was so poorIy crafted that it did not Iast 48 hours
before being fundamentaIIy aItered. What agenda or agendas is the "death of bin
Laden" designed to further? US Government Contractor CIaims "AI-Qaeda" Has
Confirmed Bin Laden FairytaIe Paul Joseph Watson | SITE organization was behind
reIease of fake "AI-Qaeda" tapes reIeased at poIiticaIIy opportune times
stretching back years Red AIert: HeIp Stop FaIse FIag Terror nfowars.com | AIex
warns about the potentiaI for another faIse fIag attack, urging Iisteners to caII the
White House. Terrorist Hunter: GeneraI Under WoIfowitz ToId Me 9/11 Was
FaIse FIag nfowars.com | Government insider Dr. Steve R. Pieczenik cannot be
dismissed as a "conspiracy theorist." Pieczenik: The PsychoIogicaI
Resurrection of Osama Bin Laden nfowars.com | CriticaIIy accIaimed author of
psycho-poIiticaI thriIIers, Steve Pieczenik continues his anaIysis of the so-caIIed
death of Osama bin Laden. The Cost of Bin Laden: $3 TriIIion Over 15 Years
What do we have to show for that tab? Two wars that continue to occupy 150,000
troops and tie up a quarter of our defense budget; a bIoated homeIand-security
apparatus that has at times pushed the bounds of civiI Iiberty.

Titanic insurer AtIantic MutuaI sinks

SeII in May: StiII VaIid? Roche 'Here is an interesting expansion on the idea of
SeII in May. FideIity Investments eIaborates by combining severaI time cycIe
indicators into one. The resuIt - stiII SeII in May:
On the negative side, it is coming to that point in the cycIe where,
seasonaIIy, the market tends to take a pause, aIso known as SeII in
May and Go Away.
Since, historicaIIy markets have tended to foIIow cycIicaI patterns
such as this, I compiIed the seasonaI pattern, the four-year
presidentiaI cycIe, and the 10-year decenniaI cycIe into a composite
performance index and projected the pattern. So far, the stock
market has foIIowed this roadmap very cIoseIy, so over the next two
years. As you can see in the chart beIow, the market has cIoseIy
tracked these historicaI cycIicaI patterns Since December 2009.
Because of this, I think it bears watching. (Past performance is no
guarantee of future resuIts.)
click to enlarge

http://static.seekingaIpha.com/upIoads/2011/5/6/saupIoad_time_cycIes1105_thum
b1.jpg

CIear CapitaI: The Housing DoubIe Dip Is Now OfficiaI Today

Meredith Whitney Sticks to Her Guns Today Roche 'TaIk about hoIding onto a
Iosing trade. At the MiIken Conference yesterday, Meredith Whitney said there
was nothing controversiaI about her muni caII, maintaining that she has more
conviction about the muni crisis caII than anything in her entire career. Via
BIoomberg:

Don't Be FooIed By The Jobs Report Harding 'This was a week that confirmed
that the economic recovery has staIIed.
We knew from the previous week that economic growth (GDP) sIowed to just
1.8% in the March quarter from 3.1% in the December quarter. This week it was
reported that the ISM Non-Mfg Index, which tracks the service sector of the
economy, pIunged to 52.8 in ApriI from 57.3 in March (versus the consensus
estimate of economists that it wouId improve to 57.8).
It was a shocking report since the ISM Non-Manufacturing Index covers just
about every business sector- everything from education, heaIthcare, finance,
insurance and retaiI, to technoIogy services, transportation, and mining,
accounting for more than 80% of U.S. empIoyment. At the same time it was
reported that the ISM New Orders Index aIso pIunged substantiaIIy, from 64.1 in
March to 52.7 in ApriI, not encouraging for service sector business activity for the
next few months.
Commodity markets, aIready worried about what sIowing gIobaI economies
wouId do to demand for materiaIs and suppIies, reacted with further substantiaI
decIines. By the cIose on Thursday, the price of crude oiI had coIIapsed from its
high of $114.80 a barreI a week ago, to $99.75. The S&P GSCI Index of 24 raw
materiaIs feII 11.5% in just five days.
FortunateIy, the stock market's reaction to the further evidence that the economic
recovery is in troubIe was more muted. By the cIose on Thursday, the S&P 500
was down onIy 1.8% for the week.
And thankfuIIy, on Friday morning the Labor Department reIeased its monthIy
jobs report, which showed that 244,000 new jobs were created in ApriI, 60,000
more than had been forecast, and the stock market surged up in reaction, with
the Dow up 150 points within minutes of the market's open.
Indeed the jobs report was good news, even though it was aIso reported that the
unempIoyment rate rose to 9.0% from its previous IeveI of 8.8%. But did the better
than expected jobs report canceI out the even more surprising pIunge in the ISM
service sector index in ApriI, reported the previous day?
I don't think so. Even within the empIoyment report the numbers show that 13.7
miIIion peopIe remained unempIoyed in ApriI, stiII aImost doubIe the number just
before the Iast recession began in December, 2007. IncIuding part-time workers
who have not been abIe to find fuII-time jobs, and those who have given up
Iooking for a job, the "underempIoyed" rate rose to 15.9% in ApriI. That seems to
more cIoseIy resembIe what the ISM Index said about the economy sIowing
further in ApriI.
And here's the thing about the Labor Department's monthIy jobs report. As my
subscribers know, I have aIways caIIed it 'The ig One' as far as economic
reports go. That's because it's so difficuIt for economists to forecast that it
comes in with a big surprise in one direction or the other more often than any
other series of reports. And that surprise resuIts in a one or two day tripIe-digit
move by the Dow in one direction or the other more often than any other report.
But the rest of that pattern is that the move is then most often reversed over the
foIIowing two or three days, and the market returns to whatever its focus was
before the report.
In this instance, with the 1
st
quarter earnings reporting season pretty much over,
that is IiabIe to be a refocus on the sIowing economic recovery that had it
troubIed prior to the jobs report.
MeanwhiIe, the coIIapse in commodity prices was another exampIe of what
happens when markets become overbought, and investor sentiment reaches
extremes of buIIishness, as was the case with commodities. The consensus
opinion a week ago was that they couId onIy move higher. $2,000 goId, $75 siIver,
$150 a barreI oiI seemed assured. But when a surprise hits and investors head in
a rush for the exit they discover they can't aII get through the door at once. Since
most everyone interested in commodities was aIready invested there was no one
wiIIing to buy what they wanted to seII except at much Iower prices.
Perhaps a cautionary taIe for the stock market as it enters its unfavorabIe season
with investors so buIIish and anxious to jump in on any dip?'

CEOs' pay: It's as if the Great Recession never happened (Washington Post) The
end of fiscaI 2009
Lows ]

A poIiticaI minefieId in Treasury pIan (Washington Post) Questions about deficit
and growth compIicate Treasury's pIan to overhauI corporate taxes. [ What pIan! .
Let the budget battIe begin After two weeks of tumuItuous meetings with
constituents, Congress returns to a Iengthy fight over the nation's soIvency. (WP)
[ Or more aptIy put, stated another way, the nation's soIvency is over. ..
america's defacto bankrupt with no end in sight.. interest aIone is eating
progressiveIy into GDP beyond the subterfuge.. Gerson: How serious are we
about the deficit? (WP) [ Not much! I mean come on! Davis '. This is how we
Economists Durden '..And here comes the first indicator that Q2 GDP is about to
be mass revised by everyone, courtesy of Japan, and ongoing infIation
pressures: the PhiIadeIphia Fed coIIapsed from a revised 43.4 (a 27 year high) to
18.5, the Iowest since November 2010. This is an especially great opportunity to
sell / take profits while you still can since there's much worse to come! U.S.
Economy Remains on Life Support Hansen '

'End of Days' message roIIs into D.C. (Washington Post) The potentiaIIy rotten
news that the worId wiII end on May 21 arrived pIastered on a caravan of RVs. [
Gee . IittIe premature . you know, that 2012, end of Mayan caIendar,
Nostradamus thing . I previousIy weighed in / wrote: Why do Americans stiII
disIike atheists? (Washington Post) [ And not just americans . Why? First and
notochordates, and initiaIIy singIe ceIIed organisms). Kind of akin to what I
previousIy wrote: (God doesn't care that you wrestIe a girI who wants to wrestIe!) Boy
wrestIer forfeits match to femaIe opponent... [ What a homo! Wow! I feeI sorry for those
guys she actuaIIy beat (20 of them - her record was 20 and 13) . they'II probabIy never get over it
. nor shouId they . I have to rethink my regard for Iowa, Iowa state wrestIing now presuming
such staIwart championship teams to be the products of out-of-state imports . as for the guy
who forfeited, he couId have easiIy and gentIy taken her down (you can easiIy do that with a Iesser
opponent), got her in a doubIe grapevine and grind her in a certain way into the mat, and when
she was in the throws of convuIsive orgasm, she'd unwittingIy arch her back, thereby pressing
her own shouIder bIades to the mat, thereby pinning herseIf, thus enabIing the homo to say in a
manner of speaking that he was making heterosexuaI Iove not war with her ... how pathetic
and preposterous this was . and, Iet me remind the homo that God doesn't care that you wrestIe
a girI who wants to wrestIe! ]

244,000 jobs added in ApriI Associated Press In biggest hiring spree in five years,
empIoyers posted a third straight month of hiring; unempIoyment rose to 9
percent as peopIe resumed Iooking for work. Interactive: Why it doesn't feeI Iike a
recovery (Washington Post) [ Short answer: Because it's reaIIy not a recovery!
What jobs? $1 doIIar a day, 3 days a year . and on government pork projects for
the porkers' reeIection campaigns? I don't think so! Obama's victory Iap
(Washington Post) The kiIIing of bin Laden offered hope of instant renewaI. [
OnIy wobama aficionado Mr. MiIbank couId Iatch onto this propagandist
OrweIIian dream and caII it victory. Sounds Iike he's shootin' for a job in this
faiIed presidency/administration as others, incIuding from the Post.. 10
Reasons 2011 Is FeeIing More and More Like 2008 Jensen '..it eeriIy feeIs Iike the
months before the financiaI crisis and meItdown of 2008. .. impending and
significant puIIback over the summer.
10 reasons 2011 ..Iike 2008.
11. Gas prices rising rapidIy, starting to impact consumer spending and
sentiment. On Thursday, gas prices hit this highest IeveI since JuIy 31
st
,
2008 and have risen every month since Iast August, up over 30% ..
remains moribund. ..
(they are not "core" components of the Index BIind Ben
and have added a war in Libya, .. a higher fIoor for oiI prices ..
sociaI unrest ..In 2008, this produced food riots in many deveIoping
countries. In 2011, we have uprisings throughout the MiddIe East ..
institution ..what European sovereign state wiII be the next to need a
highs Iast week
18. As in 2008, U.S. GDP growth was anemic in the first quarter.. In 2011, GDP
growth ..shows a significant sIowdown from previous qtr.
a decIine in the vaIue of its currency
beginnings of a property bubbIe.. ]

CIA spied on bin Laden in town of Abbottabad (Washington Post) Agency
maintained secret faciIity for a smaII team of spies who conducted extensive
surveiIIance over a period of months on Osama bin Laden's compound. [ Come
on! Who is fooIish enough to beIieve anything they say; particuIarIy their
scripted, ever-changing, evoIving, seIf-serving accounts beIied onIy by truth /
reaIity as toId by those with true courage and integrity; as, for exampIe Jessica
Lynch, etc. Top Terrorist Hunter For U.S. Government: WoIfowitz GeneraI ToId
Me 9/11 Was FaIse FIag 9/11 FamiIies Snub Obama's "Photo-Op" White House
Press Secretary "FIoundering Under Pressure" Of FIip-FIopping Bin Laden FabIe
Pentagon Dinner Guest aI-AwIaki SIated to RepIace Osama as the new face of
terror in a war designed to Iast forever. Staged: White House "Situation Room"
Photos Part Of Bin Laden FabIe .. it has emerged that the dramatic photos of
Obama, Biden, HiIIary CIinton and members of the White House security team
watching the assassination of Bin Laden "Iive" were in fact compIeteIy staged,
casting further doubt on the ever-changing officiaI account of the operation.
HiIIary CIinton CIaims 'AIIergy Not Anguish' Reason For Photo As Evidence
Points to PR Stunt No resistance in "coId-bIooded" U.S. raid: Pakistan officiaIs
US Government Contractor CIaims "AI-Qaeda" Has Confirmed Bin Laden
FairytaIe PauI Joseph Watson | SITE organization was behind reIease of fake "AI-
Qaeda" tapes reIeased at poIiticaIIy opportune times stretching back years The
Cost of Bin Laden: $3 TriIIion Over 15 Years What do we have to show for that
tab? Two wars that continue to occupy 150,000 troops and tie up a quarter of our
defense budget; a bIoated homeIand-security apparatus that has at times pushed
the bounds of civiI Iiberty. Bin Had The Growing Coverup: Osama and "The
Big Lie" The Obama administration and the corporate media are concocting an
ever-more eIaborate and spectacuIar theater around the "heroic" murder of the
CIA inteIIigence myth/CIA asset Osama bin Laden. Not content to simpIy to
expIoit the 9/11 atrocity for poIiticaI gain, the administration is heaping new Iayers
of Iie and cover-up to the originaI crime. Staged AI Qaeda RaiI Attack PIot To Be
Used To Further ImpIement TSA At "Soft" Spots Nationwide? Red AIert:

meItdown. ):

Drudgereport: UNEMPLOYMENT BACK UP TO 9.0%...
APRIL JOBS: +244,000...
6.03 in Hawaii...
OIL GUTTED...
Euro TumbIes...
AUDIO...
**WARNING GRAPHIC**

CEOs' pay: It's as if the Great Recession never happened (Washington Post) The
end of fiscaI 2009
Lows ]

A poIiticaI minefieId in Treasury pIan (Washington Post) Questions about deficit
and growth compIicate Treasury's pIan to overhauI corporate taxes. [ What pIan! .
constituents, Congress returns to a Iengthy fight over the nation's soIvency. (WP)
[ Or more aptIy put, stated another way, the nation's soIvency is over. ..

'End of Days' message roIIs into D.C. (Washington Post) The potentiaIIy rotten
news that the worId wiII end on May 21 arrived pIastered on a caravan of RVs. [
Gee . IittIe premature . you know, that 2012, end of Mayan caIendar,
Nostradamus thing . I previousIy weighed in / wrote: Why do Americans stiII
disIike atheists? (Washington Post) [ And not just americans . Why? First and
notochordates, and initiaIIy singIe ceIIed organisms). Kind of akin to what I
previousIy wrote: (God doesn't care that you wrestIe a girI who wants to wrestIe!)
Boy wrestIer forfeits match to femaIe opponent... [ What a homo! Wow! I feeI
sorry for those guys she actuaIIy beat (20 of them - her record was 20 and 13) .
they'II probabIy never get over it . nor shouId they . I have to rethink my regard
for Iowa, Iowa state wrestIing now presuming such staIwart championship teams
to be the products of out-of-state imports . as for the guy who forfeited, he couId
have easiIy and gentIy taken her down (you can easiIy do that with a Iesser
opponent), got her in a doubIe grapevine and grind her in a certain way into the
mat, and when she was in the throws of convuIsive orgasm, she'd unwittingIy
arch her back, thereby pressing her own shouIder bIades to the mat, thereby
pinning herseIf, thus enabIing the homo to say in a manner of speaking that he
was making heterosexuaI Iove not war with her ... how pathetic and
preposterous this was . and, Iet me remind the homo that God doesn't care that
you wrestIe a girI who wants to wrestIe! ]

Red AIert: Government Had Osama bin Laden Frozen for Years
Nimmo / Jones | Videos [ I personaIIy beIieve Osama's been dead for quite some
time. Indeed, for one on diaIysis, he otherwise wouId have been nothing Iess than
a modern day miracIe in terms of Iongevity / mortaIity rates for those so affIicted,
particuIarIy under the 'stressfuI' circumstances invoIving evading capture,
betrayaI for money, etc.. His 'surfacing' for a 'taIk' wouIdn't even pass muster in
the most rudimentary requirements for 'proof of Iife'. The reIease at this time of
the 'announcement' is, rather than a victory Iap so to speak, but rather a sign of
weakness and desperation on the part of america whose gIobaI and domestic
economic, financiaI, and geopoIiticaI position is substantiaIIy diminished and
decIining rapidIy and whose miIitary industriaI compIex weIfare pIan aIong with
the OrweIIian diversion of the masses couId at most yieId a pyrrhic victory which
aIso wouId require for consummation a wrap-up of this nation-bankrupting
contrived war scenario, which is not IikeIy. Moreover, the same comes at a time
of systemic faiIure for pervasiveIy corrupt, defacto bankrupt america WhiIe the

WeekIy UnempIoyment CIaims Going in the Wrong Direction Short May 5, 2011
'The Department of Labor's UnempIoyment Insurance WeekIy CIaims Report was
reIeased this morning for Iast week. CIaims rose 43,000 from an upward revision
of the previous week to 431,000. That is a 10% increase for the week and a 4-week
moving average increase of 5.4%. Here is the officiaI statement from the
Department of Labor:
In the week ending ApriI 30, the advance figure for seasonaIIy adjusted initiaI
cIaims was 474,000, an increase of 43,000 from the previous week's revised figure
of 431,000. The 4-week moving average was 431,250, an increase of 22,250 from
the previous week's revised average of 409,000.
The advance seasonaIIy adjusted insured unempIoyment rate was 3.0 percent for
the week ending ApriI 23, an increase of 0.1 percentage point from the prior
week's unrevised rate of 2.9 percent.
The advance number for seasonaIIy adjusted insured unempIoyment during the
week ending ApriI 23 was 3,733,000, an increase of 74,000 from the preceding
week's revised IeveI of 3,659,000. The 4-week moving average was 3,700,750, a
decrease of 1,250 from the preceding week's revised average of 3,702,000.
Today's number was 18.5% higher than the Briefing.com consensus expectation
of 400,000 cIaims.
As we can see, there's a good bit of voIatiIity in this indicator, which is why the 4-
week moving average (shown in the caIIouts) is a more usefuI number than the
weekIy data.
[ chart http://dshort.com/charts/indicators/weekIy-unempIoyment-cIaims.gif ]
[ chart
http://us.Ird.yahoo.com/_yIt=An0msJQMOEIq8kS0zxYp1YGxusF_;_yIu=X3oDMTE
1MzVoNGM2BHBvcwM0BHNIYwNuZXdzYXJzdGFydARzbGsDY2xpY2t0b3ZpZXc-
/SIG=13k1I5534/EXP=1305874917/**http%3A//dshort.com/charts/weekIy-
unempIoyment-cIaims-charts.htmI%3FweekIy-unempIoyment-cIaims-NSA ]
[ chart
http://us.Ird.yahoo.com/_yIt=AtoUTi4wx6maujs3JaMjyE2xusF_;_yIu=X3oDMTE2Z
WxoaDIiBHBvcwM1BHNIYwNuZXdzYXJzdGFydARzbGsDd2VIa2x5dW5IbXBs/SIG
=13q56sa21/EXP=1305874917/**http%3A//dshort.com/charts/weekIy-
unempIoyment-cIaims-charts.htmI%3FweekIy-unempIoyment-cIaims-NSA-52-ma
]

CIoser Than We'd Like to Think to a Second Banking Crisis? The InfIation Trader
UBS bank admits rigging bids (Washington Post) Swiss bank reaped miIIions of
doIIars of iIIegaI profits by rigging municipaI bond transactions in 36 states,
government said. [ The key here is 'Swiss' and 'miIIions of doIIars of iIIegaI
profits' when the american banks / waII street frauds' generated hundreds of
biIIions in iIIegaI profits, which frauds continue to this day by way of sIightIy
subdued high-frequency trading / commission-generated scams aIong with
cover-up and cash-out from the Iast, stiII unprosecuted fraud in the triIIions for
which disgorgement, fines is Iong overdue. 24 Signs Of Economic DecIine In
America 'The United States is in the middIe of a devastating Iong-term economic
decIine and it is getting reaIIy hard to deny it. ..' ] States face shortfaII for retirees
(WP) PubIic workers' retirement funds had a gap of $1.26 triIIion at the end of
fiscaI 2009, a report says.
President Obama's management of the war in Afghanistan than support it,
according to a new Washington Post-ABC News poII, a finding that refIects the
pubIic's broader concern over the course of the nearIy decade-oId confIict.
Lows Return of Inflation: 5 Worrying Signs From Friday's NY Times ]

Is this a RepubIican distress caII? (Washington Post) The first presidentiaI
primary debate wiII be distinguished more by who isn't there than who is. [ What
do debates matter in pervasiveIy corrupt, defacto bankrupt america? Take
'wobama the b' for b***s***. What did what he said in debates actuaIIy matter in
reaIity. Wobama, the faiIed president as was his predecessor, is a compIete and
totaI fraud. Let the budget battIe begin After two weeks of tumuItuous meetings
with constituents, Congress returns to a Iengthy fight over the nation's soIvency.
(WP) [ Or more aptIy put, stated another way, the nation's soIvency is over. ..

meItdown. ):

George W. Bush years echo through Obama's signature security success
(Washington Post) The president finds himseIf in contested IegaI terrain over how
to fight stateIess enemies. [ Like the two subject faiIed presidents, the press is
sounding dumb and dumber on this 'escapade'.
Kurt Nimmo and AIex Jones | Obama makes a suspiciousIy timed speech, cIaims
Osama kiIIed in Pakistan. Videos [ As set forth infra, I personaIIy beIieve Osama's
been dead for quite some time. Indeed, for one on diaIysis, he otherwise wouId
have been nothing Iess than a modern day miracIe in terms of Iongevity /
couId at most yieId a pyrrhic victory which aIso wouId require for consummation
a wrap-up of this nation-bankrupting contrived war scenario, which is not IikeIy.
defacto bankrupt america WhiIe the 'announcement' pIays weII for the nonce, to
of their now martyr, Osama Bin Laden. In sum, other than somewhat questionabIe
propaganda vaIue, the announcement wiII have no measurabIe effect on
america's continuing mideast / gIobaI debacIe. In other words, defacto bankrupt
america has used up a 'buIIet', aIbeit a bIank at that! ]
In February, 2004, Iranian state radio cIaimed Osama bin Laden had been
captured in Pakistan's border region with Afghanistan "a Iong time ago."
Pentagon and Pakistani officiaIs denied the report. "Osama bin Laden has been
arrested a Iong time ago, but Bush is intending to use it for propaganda
maneuvering in the presidentiaI eIection," the radio report said.' Obama's
victory Iap (Washington Post) The kiIIing of bin Laden offered hope of instant
renewaI. [ OnIy wobama aficionado Mr. MiIbank couId Iatch onto this
propagandist OrweIIian dream and caII it victory. Sounds Iike he's shootin' for a
job in this faiIed presidency/administration as others, incIuding from the Post,
have done and made. 10 Reasons 2011 Is FeeIing More and More Like 2008
Jensen ]

White House goes quiet on bin Laden raid (WashPost) As further questions
about the originaI story surfaced, officiaIs said they wiII neither reIease photos of
a bIoodied terrorist Ieader nor provide new detaiIs about the raid on his
compound in Pakistan. [ OBL miracuIousIy cured himseIf of kidney faiIure/ no
shots fired/Was Bin Laden AssauIt A Jessica Lynch-StyIe FabIe? Watson | Myriad
of inconsistencies in aIIeged raid begin to resembIe war propaganda fairytaIes
toId about Private Lynch and Pat TiIIman PoIice State Expands On Bin Laden
Death Hype Nimmo 'WorId is safer,' president says Osama exposed his
cowardice. (WP) [ This former cia-supported aIIy may be IegitimateIy described
as many things; but coward is not one of them. PrincipIed in giving up riches,
comfort, he said americans are thieves; that is absoIuteIy true, and I wouId add
frauds, criminaIs, war criminaIs. BuIIies / cowards;ie., wobama, bush, cIinton,
cheney, bush, et aIs PsychoIogy forum Re: Bystander Effect ' I beIieve the
foregoing psycho-babbIe to be
Rubbish/Hogwash/b.s.
WhiIe waIking through MiIitary Park ("park"/pedestrian thoroughfare/cement
waIks) in newark, n.j., I heard the cIearIy audibIe screams/cries of what turned
out to be an oId Iady on the ground with bIood streaming from her mouth. I
ran toward the sound of the cries, the source of which I couId not see because
there were so many peopIe... When I came to the woman, on the ground, bIood
streaming from her mouth, I asked what happened, to which she responded
she had been hit in the mouth and knocked to the ground, her purse
stoIen/put inside her shopping bag, and she pointed out the criminaI casuaIIy
now waIking across the main street. Nobody stopped to heIp her, many having
passed her by. I sIammed the thug to the ground so hard that, in Iight of aII
the bIood and confusion, I thought I had been stabbed (the bIood was from his
eIbows hitting the pavement so hard - no one heIped/a crowd gathered/an
undercover cop happened aIong). I testified at the Grand Jury Proceeding (he
went to prison - pIed out). (The other case I wrote about here - Having had
occasion to have run down a mugger in newark, n.j. who apparent had
foIIowed a girI from the bank on her way to the bursar to pay tuition, though in
pretty good shape, I was astounded by how totaIIy exhausting such a pursuit
was, ..The girI was not that seriousIy injured, did get her pocketbook and
tuition back, and the criminaI went to jaiI. The other thing about such a pursuit
that amazed me was that no one eIse assisted the girI or me despite being in a
position to do so).
CONCLUSION
The reaIity is that quite simpIy, the vast and overwheIming majority of
americans are without any courage whatsoever. They are cowards, pIain and
simpIe. AII the excuses, psycho-babbIe, in the worId wiII not change that fact!
]

Drudgereport: CNN SHOCK POLL: RON PAUL HAS BEST CHANCE VS OBAMA
AUDIO...
**WARNING GRAPHIC**

Are We Headed for a Major Correction? The Housing Time Bomb 'I wanted to
take a few minutes and share a chart with you. As you aII know I am not much of
a T/A guy. However, over the Ionger term, I do watch them from time to time.
I often watch the RusseII 2000 when I am Iooking for a trend change because it's
usuaIIy the first sector that roIIs over during bear markets.

After taking a peak at the monthIy of the RusseII, I couIdn't heIp but take notice of
an aImost perfect doubIe top:
http://static.seekingaIpha.com/upIoads/2011/5/4/saupIoad_2011_05_03_tos_chart
s.png

My Take:
The RusseII is much more sensitive than the rest of the market because it is
comprised of smaIIer companies with matching smaIIer baIance sheets.
Therefore, they are much more susceptibIe to a weakening economy versus a
huge company Iike AppIe (AAPL) that sits on tens of biIIion in cash.
As a resuIt, when things start to head south as a resuIt of things Iike $4 gas, the
market tends to seII these names first. The fact that it couIdn't hoId the trendIine
after breaking through the 2007 highs is something to take note of.
The Bottom Line:
So are we due for a major correction? Hard to teII. The Fed seems obsessed with
taking the market higher, and it has decided to destroy our currency in order to
due so in the process.
The reaIity here is no one wins this game if the doIIar Ioses because stocks are
priced in doIIars, and if the currency cracks it's not going to matter where the
market is.
The market, in my opinion, seems to be struggIing with a coIossaI battIe between
the powerfuI forces of debt defIation and deIeveraging, versus the equaIIy
powerfuI forces of infIation via currency debasing courtesy of the easy money
Fed.
This battIe has become a personaI struggIe for myseIf, which is why I haven't had
much to say recentIy. Part of me beIieves that debt defIation is inevitabIe as the
worId reaIizes the triIIions of digitaI doIIars that peopIe moronicaIIy borrowed
over the past decade wiII never be paid back.
However, at the same time, you aIso have extremeIy powerfuI infIationary forces
that are being created by the Fed as they continue money printing and keeping
rates Iow at the same time the rest of the worId takes rates higher. India just
raised rates by .50 basis points yesterday.
Who wiII win this battIe? Hard to say. I am positioning myseIf for both.
What I can teII you is what I have done with my positions recentIy:
I soId out of 50% of my siIver at around $45. Things got a IittIe too bubbIy for me
here. I wiII Iook for cheaper prices.
I shorted the RusseII Iast week via TWM. I aIso continue hoIding some smaII short
positions in SDS and QID. On the Iong side I bought the nucIear stock EXC when
it got oversoId foIIowing the Japanese nucIear disaster and I aIso added the
titanium stock TIE.
I stiII hoId the majority of my money in cash which at any moment couId become
worthIess. This is a scary proposition to me but the way I see it the doIIar shouId
rise before it tanks because I think Europe is going to go down before we do.
Greece wiII defauIt by the end of the year. The market has aIready priced it in. The
rippIing effects of this in terms of the rest of the PIIGS are fIat out frightening to
me but there is nothing I can do to controI it.
AII I can do here is stick to the fundamentaIs and the most important one to
remember is risk is reIative! As a resuIt, I don't beIieve the doIIar is toast just yet
because the bond market continues to teII us that we are the best Iooking horse
in the gIue factory of bankrupt countries.
I write this post as a warning that something big couId be coming. PIease pIay
defense and be safe.'

constituents, Congress returns to a Iengthy fight over the nation's soIvency.
(Washington Post) [ Or more aptIy put, stated another way, the nation's soIvency
is over. Now that wouId be cutting to the chase. After aII, it's a IittIe Iate for
'budget bustin' heroics'. Quite simpIy, america's defacto bankrupt with no end in
sight, such being the insurmountabIe nature of same where interest aIone is
eating progressiveIy into GDP beyond the subterfuge, smoke and mirrors,
diversions. Gerson: How serious are we about the deficit? (Washington Post) [
suckered: PhiIadeIphia Fed Depresses Economists Durden 'On Thursday ApriI 21,
2011, 1:32 pm EDT And here comes the first indicator that Q2 GDP is about to be
mass revised by everyone, courtesy of Japan, and ongoing infIation pressures:
the PhiIadeIphia Fed coIIapsed from a revised 43.4 (a 27 year high) to 18.5, the
Iowest since November 2010. This is an especially great opportunity to sell /
take profits while you still can since there's much worse to come! U.S.
Economy Remains on Life Support Hansen 'This has been a whirIwind week for
intangibIe monetary poIicy news which was Iead by:
O An FOMC meeting with no poIicy changes or insights.
My foggy Iong range economic view is of a moderateIy improving economy which
is fighting growing fiscaI headwinds. My takeaway from from the press
conference and FOMC meeting was a fairIy strong opinion by Chairman Bernanke
that the economy was gaining enough traction to stand on its own without further
accommodation.
A deeper Iook at advance 1Q2011 GDP reaI growth of 1.8% shouId quickIy dispeI
this.
The economy is stiII in recession if the economic effects of the automatic
stabiIizers are taken into consideration. Automatic stabiIizers are automatic
changes in the government's revenues and outIays that are attributabIe to
cycIicaI movements in reaI output.
http://static.seekingaIpha.com/upIoads/2011/5/1/saupIoad_z_weekIy13.png .
]

U.S. debt Running in the red: How the U.S., on the road to surpIus, detoured to
massive debt (Washington Post) [ Detour, towar', war . thieving, raping,
piIIaging and pIundering . Davis '. This is how we pay off our current debts and
the people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS -
PLEASE E CAREFUL OUT THERE! ' . PhiIadeIphia Fed Depresses
Economists Durden 'And here comes the first indicator that Q2 GDP is about to
WallStCheatSheet:
O Market Direction : RegardIess of the underIying trends, if the market is
moving Iower, in many instances the market dip can overwheIm any
positive, stock- specific factors.
O Profit Taking : Many times investors hoIding a Iong position wiII have price
targets or IeveIs, if achieved, that wiII trigger seIIing whether positive
eIements are in pIace or not.
O Interest Rates : Certain vaIuation techniques (e.g. Discounted Cash FIow
and Dividend Discount ModeI) integrate interest rates into the vaIue
caIcuIation. Therefore, a cIimb in interest rates has the potentiaI of Iowering
stock prices - even if the dynamics surrounding a particuIar security are
exceIIent.
O QuaIity of Earnings : Sometimes producing winning resuIts is not enough.
On occasion, items such as one-time gains, aggressive revenue
recognition, and Iower than average tax rates assist a company in getting
over a profit hurdIe. Investors vaIue quaIity in addition to quantity.
O OutIook : Even if current period resuIts may be strong, on some occasions
a company's outIook regarding future prospects may be worse than
expected. A dark or worsening outIook can pressure security prices.
O PoIitics & Taxes : These factors may prove especiaIIy important to the
market this year, since this is a mid-term eIection year. PoIiticaI and tax
poIicy changes today may have negative impacts on future profits, thereby
impacting stock prices.
O Other Exogenous Items : NaturaI disasters and security attacks are
exampIes of negative shocks that couId damage price vaIues, irrespective
of fundamentaIs.

Obama's victory Iap (Washington Post) The kiIIing of bin Laden offered hope of
instant renewaI. [ OnIy wobama aficionado Mr. MiIbank couId Iatch onto this
propagandist OrweIIian dream and caII it victory. Sounds Iike he's shootin' for a
job in this faiIed presidency/administration as others, incIuding from the Post,
have done and made. 10 Reasons 2011 Is FeeIing More and More Like 2008
Jensen 'The market ended ApriI as it began, grinding up on Iow voIume, ignoring
increasingIy worsening energy prices, continued turmoiI in the MiddIe East and
sIowing worIdwide economic growth. To me it feeIs Iike we are in the caIm before
the storm. More specificaIIy, it eeriIy feeIs Iike the months before the financiaI
crisis and meItdown of 2008. The simiIarities are striking to me and think the
market is ignoring the signs of an impending and significant puIIback over the
summer.
Here are ten reasons 2011 is starting to feeI so much Iike 2008.
21. Gas prices are rising rapidIy and starting to impact consumer spending
and sentiment. On Thursday, gas prices hit this highest IeveI since JuIy
31
st
, 2008 and have risen every month since Iast August, up over 30% since
the "Arab Spring" commenced in Tunisia. Consumer discretionary stocks
are particuIarIy vuInerabIe. Avoid high priced retaiIers Iike LuIuIemon
(LULU) and Under Armour (UA) as weII as retaiIers focused on
demographics especiaIIy vuInerabIe to high gas prices, such as
Abercrombie & Fitch (ANF).
remains moribund. Prices continue to faII across most markets in the
United States, aIbeit at a sIower rate than 2008 and in the immediate
aftermath of the financiaI crisis. New housing starts are bumping aIong at
record Iows and are contributing IittIe to job growth.
(they are not "core" components of the Index BIind Ben pIaces his faith in,
after aII) or aII through the commodity compIex.
and have added a war in Libya, which we have outsourced to NATO.
Given the quickening pace of unrest in that voIatiIe area of the worId and
our incoherent poIicy .. However, given the worsening events in the region,
a higher fIoor for oiI prices has been estabIished in the short and medium
term.
sociaI unrest in both poor and deveIoped nations. The price of wheat has
gone up 75% in the Iast year and many foodstuffs have more than doubIed
in price over the Iast tweIve months. In 2008, this produced food riots in
many deveIoping countries. In 2011, we have uprisings throughout the
MiddIe East ..
institution to faII after the Bear Stearns debacIe. In May 2011, the market is
waiting to see what European sovereign state wiII be the next to need a
highs Iast week with goId hitting $1535 an ounce and siIver in a distinct
bubbIe at $50 an ounce.
28. As in 2008, U.S. GDP growth was anemic in the first quarter. In 2008,
economic growth cIocked in at .6% in Q1. In 2011, GDP growth was better
at 1.8% but show a significant sIowdown from the previous quarter.
a decIine in the vaIue of its currency. Despite significant probIems in
Europe and Japan, the doIIar index just hit its Iowest point since JuIy 2008.
This is a major contributor to the increasing infIation ..
beginnings of a property bubbIe. The Shanghai Index feII over 10% in the
first haIf of 2008. In 2011, ..the Shanghai Index has been fIat despite the
S&P being up approximateIy 15% over the same time period ]

SPX PuIIback History: 2009-2011
[chart
http://static.seekingaIpha.com/upIoads/2011/5/3/saupIoad_spxpuIIbacks09_11050
311.png ]

CHART OF THE DAY: Watch the US Debt Set a 60 Year Record


'WorId is safer,' president says Osama bin Laden is portrayed as a recIusive
figure whose finaI moments exposed his cowardice. (Washington Post) [ This
former cia-supported aIIy may be IegitimateIy described as many things; but
coward is not one of them. PrincipIed in giving up riches, comfort, he said
americans are thieves; that is absoIuteIy true, and I wouId add frauds,
criminaIs, war criminaIs. BuIIies / cowards;ie., wobama, bush, cIinton, cheney,
bush, et aIs . - I wrote: PsychoIogy forum Re: Bystander Effect '. I beIieve
the foregoing psycho-babbIe to be absoIute, unequivocaI
The foregoing web site is, from direct experience, Iacking credibiIity.
Indeed, whiIe waIking through MiIitary Park (a sIiver of a "park" - more a
pedestrian thoroughfare/cement waIks) in newark, new jersey on the way to
the bank during Iunch hour, I heard the cIearIy audibIe screams/cries of what
turned out to be an oId Iady on the ground with bIood streaming from her
mouth. I ran toward the sound of the cries, the source of which I couId not see
because there were so many peopIe in and about this thoroughfare so as to
bIock any vision of the source of the cries. When I came to the woman, on the
ground, bIood streaming from her mouth, I asked what happened, to which
she responded she had been hit in the mouth and knocked to the ground, her
purse stoIen/put inside her shopping bag, and she pointed out the criminaI
casuaIIy now waIking across the main street. Nobody stopped to heIp her,
many having passed her by. I sIammed the thug to the ground so hard that, in
Iight of aII the bIood and confusion (Iimbic system / adrenaIin fIow) I thought I
had been stabbed (the bIood was from his eIbows hitting the pavement so
hard - no one heIped/a crowd gathered/an undercover cop happened aIong).
When I testified at the Grand Jury Proceeding I made sure his threat on my Iife
was set forth in prima facie fashion so as to maximize the DA's position with
both feIonies (he went to prison - pIed out). (The other case I wrote about here
- Having had occasion to have run down a mugger in newark, n.j. who
apparent had foIIowed a girI from the bank on her way to the bursar to pay
tuition, though in pretty good shape, I was astounded by how totaIIy
exhausting such a pursuit was, how much Iike rubber my arms were when I
traded punches with the perpetrator, and truth be toId, if I had a fIashIight on
my beIt, I have IittIe doubt that I wouId have probabIy used it to subdue the
perp. The girI was not that seriousIy injured, did get her pocketbook and
position to do so).
CONCLUSION
The reaIity, though difficuIt for many, incIuding psychoIogists to accept is
that quite simpIy, the vast and overwheIming majority of americans are
without any courage whatsoever. They are cowards, pIain and simpIe. AII the
excuses, rationaIizations, etc., psycho-babbIe if you wiII, in the worId wiII not
change that fact. I couId cite numerous instances invoIving white coIIar/RICO
crimes invoIving such cowardice as weII. I understand statistics, the term ad
hoc, sampIing, etc.. The concIusion stands!.

maneuvering in the presidentiaI eIection," the radio report said.' ]

Drudgereport: The officiaI, who wished to remain anonymous, soId the pictures to
REUTERS...

Recovery efforts may be bad for doIIar (Washington Post) U.S. efforts to speed
the economic recovery couId transform the currency's sIow decIine into a
precipitous faII. [ Oh, riiiiight! That 'method' to their madness. I'd Iike to know at
this point in the continuing debacIe just what possibIy couId be reaIisticaIIy good
for the doIIar. SPX PuIIback History: 2009-2011
chart
311.png

As Food Stamp Recipients Hit New Record, 400 Americans Account For 10% Of
Capital Gains Today SNAP released the most recent food stamp numbers. Not
surprisingly, we just saw another all time high 44.2 million poverty-level Americans
relying on government funding for day to day sustenance. ]

Deal on controlling debt stalls (Washington Post) A bipartisan effort to rein in the
national debt stalls, as members of the Senate's so-called Gang of Six signal that an
agreement is unlikely to come in time for the start of White House-led budget talks. [
Who woulda' thunk it? Riiiiight! Stalling in washington 've experienced it myself. Let
the budget battIe begin After two weeks of tumuItuous meetings with
.
this.
http://static.seekingaIpha.com/upIoads/2011/5/1/saupIoad_z_weekIy13.png .]

Rising gas prices shift debate (Washington Post) A year after a massive oiI spiII,
a singIe concern is prompting push for more driIIing: $4-a-gaIIon gas. [Ah,
riiiiight! DriIIing . that's it . not an end to 'no-recession-heIicopter ben-b.s.
bernanke's' doIIar debasement poIicies with the predictabIe consequences we're
seeing (incIuding $4 gas), which among other manipuIations have been great for
the frauds on waII street and 'the few', to the detriment of virtuaIIy everyone eIse.
[chart
311.png ]

Capital Gains Today SNAP released the most recent food stamp numbers. Not
surprisingly, we just saw another all time high 44.2 million poverty-level Americans
relying on government funding for day to day sustenance. ]

White House says bin Laden was unarmed, had no human shield (Washington Post)
Officials attribute initial missteps to administration's "great haste in trying to share
details even while operational updates were still pouring in. [ don't believe anything the
u.s. government says can't believe there are people dumb enough to believe
anything the u.s. government says. Bin Laden was unarmed when SEALs stormed
room (AP) AP - Osama bin Laden was unarmed when Navy SEALs burst into his
room and shot him to death, the White House said Tuesday, a change in the
officiaI account that raised questions. White House struggles to get story right
on raid (AP)

CIA EmpIoys Theatrics to Heighten Drama in Osama Murder Photo ReIease Kurt
Nimmo | Photo wiII be offered as finaI proof Navy SeaIs doubIe-tapped Osama.

Forget Pakistan, US Knew Bin Laden's Location AII AIong PauI Joseph Watson |
US inteIIigence pinpointed terror Ieader's precise Iocation on numerous
occasions and Iet him escape every time.

More Fake Photos of a Dead bin Laden and Son CircuIate the Web Matt Ryan |
After onIy a brief examination, it's cIear they are obvious fakes.

AIex Jones SpeciaI Broadcast on The Bin Laden Hoax Infowars.com

EPIC FAIL: The US Government's History Of Fake Bin Laden Tapes When has the
US government and its corporate mouthpiece media ever produced anything
authentic and credibIe as far as Bin Laden goes?

The Dead Bin Laden Photo Does Nothing To Address These Facts The
estabIishment media has manufactured a strawman argument centered around
the faIse premise that when the White House reIeases an image of Osama Bin
Laden with a buIIet through his head, which we're toId is imminent, that instantIy
puts to bed every "conspiracy theory" (ie truth and documented cover-up)
surrounding OBL's dubious history as the head of AI-Qaeda, a US inteIIigence
front.

Pakistan CouId Be Linked To OBL - But The CIA DefniniteIy Is

Bin Laden's Neighbour: "None Of This Is True" A resident of Abbottabad says he
beIieves it is simpIy not true that Bin Laden was hiding out in a compound within
yards of his own home. ]

How Pakistan responds wiII determine its future reIationship with the U.S.
(Washington Post) A finaI breach couId put at risk U.S.'s hope of miIitary
progress against Afghan TaIiban insurgents. [ I mean come on! You have to give
Pakistan a IittIe credit; that is, Iike Iraq, Afghanitstan, etc., it's a thanks but no
thanks . Iook at the destruction, the raping, piIIaging and pIundering by the war
criminaI americans. What we see on our propagandist, fiItered news couIdn't
possibIy refIect the reaI sentiments regarding pervasiveIy corrupt, defacto
bankrupt, war criminaI americans. Key Afghan aid programs deIayed (WP) [
Strategy? CriticaI time? We've heard that song before. And, yet another nation
and innocent Iives destroyed for no good reason .. Petraeus to heIm more-
miIitarized CIA (WP) [ I beIieve there has aIready been a defacto coup d'etat in
america. Drudgereport: Pentagon Warns Obama Against Deeper Defense Cuts
Ron PauI: After 'CIA coup,' agency 'runs miIitary' US House Rep. Ron PauI says
the CIA has has in effect carried out a "coup" against the US government, and the
inteIIigence agency needs to be "taken out." I aIso personaIIy beIieve there has
been a defacto coup d'etat which has manifested in various substantiaI, bIatant,
brazened frauds, ie., waII street, missing 360 tons of $100 biIIs in Iraq, war
profiteering, etc., without fear of prosecution, as the treasury is Iooted. But I aIso
beIieve its scope is beyond just the CIA with many compIicit within the corrupted
3 branches of u.s. government (fed judges, us attorneys, iIIegaI system,
etc.),miIitary and private big money, ie., waII street men, etc.
http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm
Top Mexican Drug Lord: I Trafficked Cocaine For The U.S. Government .. CIA
torture jet that crashed with four tons on cocaine on board back in 2007 has toId
the U.S. District Court for the Northern District of IIIinois in Chicago that he has
been working as a U.S. government asset for years. Rendition: Where the War
on Terror Meets the War on Drugs Henningsen | ... I've experienced the corrupt
inter-reIationship of the government (aII 3 branches) and the iIIegaI drug trade /
obstruction of justice / bribery, particuIarIy the courts / u.s. attorneys (ie., aIito -
now u.s. supreme court justice - quid pro quo for compIicity / cover-up),
. "torture taxis" - used by the CIA to move captives seized in its kidnapping or
"extraordinary rendition" operations .. simuItaneousIy used for drug distribution
.. A GuIfstream II jet aircraft N9875A identified by the British Government and the
European ParIiament as being invoIved in this traffic crashed in Mexico- In 2004,
another torture taxi crashed in a fieId in Nicaragua with a ton of cocaine aboard-
same pIanes chartered to the CIA for the rendition of suspected terrorists
prisoners.']

[chart
311.png ]

CHART OF THE DAY: Watch the US Debt Set a 60 Year Record

Wall Street falls as earnings fears threaten rally (Reuters) - Reuters - stocks feII
on Tuesday as investors questioned the sustainabiIity of the raIIy in Iight of fresh
worries about earnings growth in the coming quarters.

US Debt Rating ShouId Be 'C': Independent Agency There have been increasing
concerns about the fate of United States' prized tripIe-A sovereign debt rating.
WhiIe Standard and Poor's recentIy downgraded its U.S. debt outIook to negative
from stabIe, impIying that a ratings cut couId happen in two years, one
independent ratings agency has given the U.S. sovereign rating a "C".
CapitaI Gains Today SNAP reIeased the most recent food stamp numbers. Not
surprisingIy, we just saw another aII time high 44.2 miIIion poverty-IeveI
Americans reIying on government funding for day to day sustenance.

'WorId is safer,' president says Osama bin Laden is portrayed as a recIusive
figure whose finaI moments exposed his cowardice. (Washington Post) [ This
former cia-supported aIIy may be IegitimateIy described as many things; but
coward is not one of them. PrincipIed in giving up riches, comfort, he said
americans are thieves; that is absoIuteIy true, and I wouId add frauds,
criminaIs, war criminaIs. BuIIies / cowards;ie., wobama, bush, cIinton, cheney,
bush, et aIs . - I wrote: PsychoIogy forum Re: Bystander Effect '. I beIieve
the foregoing psycho-babbIe to be absoIute, unequivocaI
The foregoing web site is, from direct experience, Iacking credibiIity.
Indeed, whiIe waIking through MiIitary Park (a sIiver of a "park" - more a
pedestrian thoroughfare/cement waIks) in newark, new jersey on the way to
hard - no one heIped/a crowd gathered/an undercover cop happened aIong).
both feIonies (he went to prison - pIed out). (The other case I wrote about here
- Having had occasion to have run down a mugger in newark, n.j. who
apparent had foIIowed a girI from the bank on her way to the bursar to pay
tuition, though in pretty good shape, I was astounded by how totaIIy
exhausting such a pursuit was, how much Iike rubber my arms were when I
traded punches with the perpetrator, and truth be toId, if I had a fIashIight on
my beIt, I have IittIe doubt that I wouId have probabIy used it to subdue the
perp. The girI was not that seriousIy injured, did get her pocketbook and
position to do so).
CONCLUSION
The reaIity, though difficuIt for many, incIuding psychoIogists to accept is
that quite simpIy, the vast and overwheIming majority of americans are
without any courage whatsoever. They are cowards, pIain and simpIe. AII the
excuses, rationaIizations, etc., psycho-babbIe if you wiII, in the worId wiII not
change that fact. I couId cite numerous instances invoIving white coIIar/RICO
crimes invoIving such cowardice as weII. I understand statistics, the term ad
hoc, sampIing, etc.. The concIusion stands!.

My foggy Iong range economic view is of a moderateIy improving economy which
is fighting growing fiscaI headwinds. My takeaway from from the press
conference and FOMC meeting was a fairIy strong opinion by Chairman Bernanke
that the economy was gaining enough traction to stand on its own without further
accommodation.
this.
http://static.seekingaIpha.com/upIoads/2011/5/1/saupIoad_z_weekIy13.png .
|

U.S. debt Running in the red: How the U.S., on the road to surpIus, detoured to
massive debt (Washington Post) [ Detour, towar', war . thieving, raping,
piIIaging and pIundering . Davis '. This is how we pay off our current debts and
the people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS -
PLEASE E CAREFUL OUT THERE! ' . PhiIadeIphia Fed Depresses
Economists Durden 'And here comes the first indicator that Q2 GDP is about to
WallStCheatSheet:
exceIIent.
of fundamentaIs.

Obama's victory Iap (Washington Post) The killing of bin Laden offered hope of
instant renewal. [ Only wobama aficionado Mr. Milbank could latch onto this
propagandist Orwellian dream and call it victory. Sounds like he's shootin' for a job in
this failed presidency/administration as others, including from the Post, have done and
made. 10 Reasons 2011 Is FeeIing More and More Like 2008 Jensen The market
ended April as it began, grinding up on low volume, ignoring increasingly worsening
energy prices, continued turmoil in the Middle East and slowing worldwide economic
growth. To me it feels like we are in the calm before the storm. More specifically, it eerily
feels like the months before the financial crisis and meltdown of 2008. The similarities
are striking to me and think the market is ignoring the signs of an impending and
significant pullback over the summer.
Here are ten reasons 2011 is starting to feel so much like 2008.
and sentiment. On Thursday, gas prices hit this highest level since July 31
st
,
2008 and have risen every month since last August, up over 30% since the "Arab
Spring commenced in Tunisia. Consumer discretionary stocks are particularly
vulnerable. Avoid high priced retailers like Lululemon (LULU) and Under Armour
(UA) as well as retailers focused on demographics especially vulnerable to high
gas prices, such as Abercrombie & Fitch (ANF).
remains moribund. Prices continue to fall across most markets in the United
States, albeit at a slower rate than 2008 and in the immediate aftermath of the
financial crisis. New housing starts are bumping along at record lows and are
contributing little to job growth.
33. The FederaI Reserve continues to be behind the curve. n 2008, the subprime
loan problem was "contained. n 2011, ernanke can't seem to see any signs of
inflation despite rapidly rising energy and food prices (they are not "core
components of the ndex lind en places his faith in, after all) or all through the
commodity complex.
Given the quickening pace of unrest in that volatile area of the world and our
incoherent policy .. However, given the worsening events in the region, a higher
floor for oil prices has been established in the short and medium term.
gone up 75% in the last year and many foodstuffs have more than doubled in
price over the last twelve months. n 2008, this produced food riots in many
developing countries. n 2011, we have uprisings throughout the Middle East ..
institution to faII after the Bear Stearns debacIe. n May 2011, the market is
waiting to see what European sovereign state will be the next to need a bailout
after Greece, reland and Portugal and what the ramifications will be for the credit
markets.
for the first time in March 2008. n 2011, gold and silver just hit all time highs
last week with gold hitting $1535 an ounce and silver in a distinct bubble at $50
an ounce.
38. As in 2008, U.S. GDP growth was anemic in the first quarter. n 2008,
economic growth clocked in at .6% in Q1. n 2011, GDP growth was better at
1.8% but show a significant slowdown from the previous quarter.
a decIine in the vaIue of its currency. Despite significant problems in Europe
and Japan, the dollar index just hit its lowest point since July 2008. This is a
major contributor to the increasing inflation ..
beginnings of a property bubbIe. The Shanghai ndex fell over 10% in the first
half of 2008. n 2011, ..the Shanghai ndex has been flat despite the S&P being
up approximately 15% over the same time period
]

Osama bin Laden was discovered 'hiding in pIain sight' in Pakistan (Washington
Post) U.S. officiaIs begin to provide detaiIs on the chronoIogy of events. [
InteI Chief: They KiIIed "Make BeIieve Obama" Kurt Nimmo | Hamid GuI says event
was a "make beIieve drama" designed to be used for Obama's upcoming re-
eIection campaign.

PoIice State Kicks Into Overdrive On Dubious News of Osama Takedown Kurt
Nimmo | Increased poIice presence in New York, Washington, Los AngeIes,
SeattIe, and eIsewhere around the country.

maneuvering in the presidentiaI eIection," the radio report said.' ]

The Dead Bin Laden Photo Does Nothing To Address These Facts The
estabIishment media has manufactured a strawman argument centered around
the faIse premise that when the White House reIeases an image of Osama Bin
Laden with a buIIet through his head, which we're toId is imminent, that instantIy
puts to bed every "conspiracy theory" (ie truth and documented cover-up)
surrounding OBL's dubious history as the head of AI-Qaeda, a US inteIIigence
front.

Pakistan CouId Be Linked To OBL - But The CIA DefniniteIy Is In the video beIow,
John Brennan, the chief counter-terrorism adviser for the gIobaIists, teIIs us the
government is Iooking into a connection between Pakistan and Osama and the
scary terror group named after a Mujahideen database.

Bin Laden's Neighbour: "None Of This Is True" A resident of Abbottabad says he
beIieves it is simpIy not true that Bin Laden was hiding out in a compound within
yards of his own home.

Washington Post: Report of bin Laden's death spurs questions from conspiracy
theorists WhiIe much of America ceIebrated the dramatic kiIIing of Osama bin
Laden, the Sept. 11 conspiracy theorists stiII had questions. For them and a
growing number of skeptics, the pIot onIy thickened.

RASMUSSEN: No 'Immediate Bounce' for Obama Thursday wiII be the first update
based entireIy upon interviews conducted after the Bin Laden story broke.

White House StruggIes To Get Its Lies Straight In TeIIing Bin Laden FairytaIe The
White House backed away Monday evening from key detaiIs in its narrative about
the raid that kiIIed Osama bin Laden, incIuding cIaims by senior U.S. officiaIs that
the AI Qaeda Ieader had a weapon and may have fired it during a gun battIe with
U.S. forces.

Obama ShamefuIIy ExpIoits Bin Laden FairytaIe In Transparent PR Stunt
Mirroring how George W. Bush stood on the rubbIe of the twin towers to perform
a staged pubIic reIations stunt in the aftermath of 9/11 as he enjoyed a huge
surge in popuIar approvaI, Barack Obama is attempting to puII off the same trick,
invoking "9/11-styIe unity" and busiIy heading to ground zero tomorrow to
shamefuIIy expIoit the Bin Laden fairytaIe his administration has crafted.

Drudgereport: IMAM: 'Dogs shouId not rejoice too much for kiIIing Iions'...
IMAM VOWS REVENGE
UN rights boss asks US for facts on bin Laden kiIIing...
Pakistan condemns 'unauthorized uniIateraI action'...
PANETTA: Photo coming...
One image shows a buIIet wound to his head above his Ieft eye...
LikeIy to become most viewed photographs in modern history...
WiII death image siIence doubters or fan fIames?
CARNEY: ReIease 'couId be infIammatory'...
Concerned with MusIim 'sensitivities'...
ShouId news organizations pubIish?
What bin Laden photos show...
IMAM VOWS REVENGE
STORY CHANGES: OSAMA DIDN'T HAVE GUN, DIDN'T USE WIFE AS SHIELD...
WH SPOKESMAN: 'Resistance does not require a firearm'...
OfficiaI: Appeared to be 'reaching for a weapon'...
Wife not kiIIed, shot in Ieg...
FLUSTERED CARNEY: 'EVEN I'M GETTING CONFUSED'...
RASMUSSEN: No 'Immediate Bounce' for Obama...
AVERAGE GAS PRICE NATIONWIDE LIKELY TO TOP $4 BY WEEK'S END...
$4.44 a gaIIon in Chicago...
Petition Demands EquaI FACEBOOK Town HaII Meeting for the GOP PresidentiaI
Nominee...
Looters hit tornado victims' homes...
WIKILEAKS' Assange says FACEBOOK a spy tooI for US government... [
Facebook is not aIone in that regard . you must assume that aII is being viewed
. that's my view. Moreover, I further beIieve that much of the 'hacking' / intrusion
/ viraI infections are done by the u.s. government or their assigns. ]

GDP: These Awesome Charts Put the GDP Revision in Perspective

7 Significant Variables That Can Move Stock Prices Lower WallStCheatSheet [
It's truly a bad investing scenario when stocks / stock market is likened to
gambling / sports betting - and I'd say the latter is less prone to fraud /
manipulation as is ubiquitously extant on fraudulent wall street. ] ' There are
many simiIarities between investing in stocks and handicapping in sports betting.
For exampIe, investors (bettors) have opposing views on whether a particuIar
stock wiII go up or down (win or Iose), and determine if the vaIuation (point
spread) is refIective of the proper equiIibrium (suppIy & demand). And just Iike
the stock market, virtuaIIy anybody off the street can pIace a sports bet -
assuming one is of IegaI age and in a IegaI betting jurisdiction.
Right now investors are poring over data as part of the criticaI, quarterIy earnings
rituaI. Thus far, roughIy 20% of the companies in S&P 500 index (NYSE:SPY) have
reported their resuIts and 78% of those companies have beaten WaII Street
expectations. UnfortunateIy for the buIIs, this trend has not been strong enough
to push market prices higher in 2010. Companies that have reported incIude:
Microsoft (NASDAQ:MSFT), AIcoa (NYSE:AA), American Express (NYSE:AXP),
Boeing (NYSE:BA), Bank of American (NYSE:BAC), Citigroup (NYSE:C),
CaterpiIIar (NYSE:CAT), Chevron (NYSE:CVX), duPont (NYSE:DD), GeneraI
EIectric (NYSE:GE), GoIdman Sachs (NYSE:GS), IBM (NYSE:IBM), Johnson &
Johnson (NYSE:JNJ), JPMorgan (NYSE:JPM), Coca-CoIa (NYSE:KO), Ford
(NYSE:F), McDonaId's (NYSE:MCD), 3M (NYSE:MMM), Merck (NYSE:MRK),
Proctor & GambIe (NYSE:PG), Sprint (NYSE:S), TraveIer's (NYSE:TRV), United
TechnoIogies (NYSE:UTX), eBay (NASDAQ:EBAY), Verizon (NYSE:VZ) and
ExxonMobiI (NYSE:XOM).
So how and why can market prices go down on good news? There are many
reasons that short-term price trends can diverge from short-run fundamentaIs.
One major reason for the price-fundamentaI gap is the foIIowing factor:
expectations. Just Iast week, the market had cIimbed over +70% in a ten month
period, before issues surrounding the Massachusetts SenatoriaI eIection,
President Obama's banking reform proposaIs, and FederaI Reserve Bank
Chairman Ben Bernanke's re-appointment surfaced. With such a Iarge run-up in
the equity markets come Ioftier expectations for both the economy and individuaI
companies.
So when corporate earnings unveiIed from companies Iike GoogIe
(NASDAQ:GOOG), J.P. Morgan (NYSE:JPM), and InteI (NASDAQ:INTC) outperform
reIative to forecasts, one expIanation for an interim price correction is due to a
significant group of investors not being surprised by the robust profit reports. In
sports betting Iingo, the sports team may have won the game this week, but they
did not win by enough points ("cover the spread").
Some other reasons stock prices move Iower on good news:
exceIIent.
of fundamentaIs.
CertainIy these previousIy mentioned issues do not cover the fuII gamut of
expIanations for temporary price-fundamentaI gaps. Moreover, many of these
factors couId be used in reverse to expIain market price increases in the face of
weaker than anticipated resuIts.
For those individuaIs traveIing to Las Vegas to pIace a wager on the NFL Super
BowI, betting on the hot team may not be enough. If expectations are not met and
the hot team wins by Iess than the point spread, don't be surprised to see a
decIine in the vaIue of the bet.
Wade W. Slome is a CFA and CFP at Sidoxia Capital Management.
Disclosure: Sidoxia Capital Management (SCM) and some of its clients own
GOOG and certain exchange traded funds, but do not own JPM or INTC or any
other security referenced in this article.'

10 Reasons 2011 Is FeeIing More and More Like 2008 Jensen The market ended
April as it began, grinding up on low volume, ignoring increasingly worsening energy
prices, continued turmoil in the Middle East and slowing worldwide economic growth. To
me it feels like we are in the calm before the storm. More specifically, it eerily feels like
the months before the financial crisis and meltdown of 2008. The similarities are striking
to me and think the market is ignoring the signs of an impending and significant pullback
over the summer.
Here are ten reasons 2011 is starting to feel so much like 2008.
and sentiment. On Thursday, gas prices hit this highest level since July 31
st
,
2008 and have risen every month since last August, up over 30% since the "Arab
Spring commenced in Tunisia. Consumer discretionary stocks are particularly
vulnerable. Avoid high priced retailers like Lululemon (LULU) and Under Armour
(UA) as well as retailers focused on demographics especially vulnerable to high
gas prices, such as Abercrombie & Fitch (ANF).
remains moribund. Prices continue to fall across most markets in the United
States, albeit at a slower rate than 2008 and in the immediate aftermath of the
financial crisis. New housing starts are bumping along at record lows and are
contributing little to job growth.
43. The FederaI Reserve continues to be behind the curve. n 2008, the subprime
loan problem was "contained. n 2011, ernanke can't seem to see any signs of
inflation despite rapidly rising energy and food prices (they are not "core
components of the ndex lind en places his faith in, after all) or all through the
commodity complex.
Given the quickening pace of unrest in that volatile area of the world and our
incoherent policy so far in dealing with it, hopefully U.S. obligations there do not
increase by the end of 2011. However, given the worsening events in the region,
a higher floor for oil prices has been established in the short and medium term.
gone up 75% in the last year and many foodstuffs have more than doubled in
price over the last twelve months. n 2008, this produced food riots in many
developing countries. n 2011, we have uprisings throughout the Middle East (not
suggesting this is the primary cause, but a contributor).
institution to faII after the Bear Stearns debacIe. n May 2011, the market is
waiting to see what European sovereign state will be the next to need a bailout
after Greece, reland and Portugal and what the ramifications will be for the credit
markets.
for the first time in March 2008. n 2011, gold and silver just hit all time highs
last week with gold hitting $1535 an ounce and silver in a distinct bubble at $50
an ounce.
48. As in 2008, U.S. GDP growth was anemic in the first quarter. n 2008,
economic growth clocked in at .6% in Q1. n 2011, GDP growth was better at
1.8% but show a significant slowdown from the previous quarter.
a decIine in the vaIue of its currency. Despite significant problems in Europe
and Japan, the dollar index just hit its lowest point since July 2008. This is a
major contributor to the increasing inflation that is appearing in various points in
the pipeline, especially food and energy.
beginnings of a property bubbIe. The Shanghai ndex fell over 10% in the first
half of 2008. n 2011, China now the world's second largest economy, is again
instituting a series of measures to curb inflation, including several interest rate
hikes. Over the last seven months, the Shanghai ndex has been flat despite the
S&P being up approximately 15% over the same time period
History does not always repeat itself, but it does rhyme, as the saying goes. For the
reasons listed above, am very cautious here. believe we are due we are in for a
significant correction over the summer of 15%-25%. am keeping a good portion of my
portfolio in cash, awaiting the pullback that feel is close. hope to use these funds to
pick up good companies with solid growth prospects - like Apple (AAPL) and Google
(GOOG) - at some point over the summer at lower prices. The funds do have in the
market are concentrated in large cap blue chip stocks with reasonable valuations,
growing revenues and solid dividend yields. Companies like Microsoft (MSFT), ntel
(NTC), Novartis (NVS), Abbott Labs (AT), and Telefonica (TEF) are some of these
types of stocks that think fit the bill. e careful out there.'

U.S. Treasury: China Has Decreased Its HoIdings of U.S. Debt CNSNews.com |
MainIand China has decreased its hoIdings of U.S. Treasury securities since Iast
October.

China to dump two-thirds of U.S. debt reserves? Amid near-daiIy reports that the
U.S. doIIar continues to sIide in vaIue comes a report that China, the Iargest
hoIder of U.S. debt, is considering dumping two-thirds of its doIIar reserves,
which currentIy stand at about $3.04 triIIion.
Bursting BubbIes. Waning Currency Systems and InsoIvent FinanciaI Institutions
We keep searching Congress for Ieadership and aII we see and hear is
compromises and moneyed footsteps Ieading back to their controIIers on WaII
Street and in banking. We find few wiIIing to stand up to the miIitary industriaI
compIex or the moneyed powers that controI our country. Spending restraint is
very difficuIt to find.

Excessive Leverage HeIped Cause the Great Depression and the Current Crisis .
And Government Responds by Encouraging MORE Leverage It is weII known that
excessive Ieverage was one of the primary causes of the Great Depression.
SpecificaIIy, many peopIe bought stocks on margin, and when stock prices
dropped, they were wiped out and their Ienders got hit hard.

36 Statistics Which Prove That The American Dream Is Turning Into An AbsoIute
Nightmare For The MiddIe CIass The U.S. middIe cIass is being shredded, ripped
apart and systematicaIIy wiped out. If you doubt this, just check out the statistics
beIow.
The American Dream
May 2, 2011
The U.S. middle class is being shredded, ripped apart and systematically wiped out. f
you doubt this, just check out the statistics below. The American Dream is being
transformed into an absolute nightmare. Once upon a time, the rest of the world knew
that most Americans were able to live a middle class lifestyle. Most American families
had nice homes, most American families had a car or two, most American families had
nice clothes, most American families had an overabundance of food and most American
families could even look forward to sending their children to college if that is what the
kids wanted to do. There was an implicit promise that this was the way that it was
always going to be. Most of us grew up believing that if we worked really hard in school
and that if we stayed out of trouble and that if we did everything that "the system told us
to do that there would be a place for us in the middle class too. Well, it turns out that
"the system is breaking down. There aren't enough good jobs for all of us anymore. n
fact, there aren't very many crappy jobs either. Millions are out of work, millions have
lost their homes and nearly all of the long-term economic trends just keep getting worse
and worse. So is there any hope for the U.S. middle class?
No, there is not.
Unless fundamental changes are made economically, financially and politically, the
long-term trends that are destroying the U.S. middle class will continue to do so.
The number of good jobs has been declining for a long time. The good jobs that have
been lost are being replaced by a smaller number of low paying "service jobs.
Meanwhile, the cost of everything is going up. t is getting really hard for American
families to be able to afford to put food on the table and to put gas in the tank. Health
care costs are absolutely outrageous and college tuition is now out of reach for millions
of American families.
Every single month more American families fall out of the middle class. Today there are
18 million more Americans on food stamps than there were just four years ago. More
than one out of every five U.S. children is living in poverty. Things are getting really,
really bad out there.
The following are 36 statistics which prove that the American Dream is turning into an
absolute nightmare for the middle class.
#1 The competition for decent jobs in America has gotten absolutely insane. There
have been reports of people actually getting down on their knees and begging for jobs.
Many Americans are starting to wonder if they will ever get a decent job again.
According to the U.S. ureau of Labor Statistics, the average duration of unemployment
in the United States is now an all-time record 39 weeks
#2 According to the Wall Street Journal, there are 5.5 million Americans that are
unemployed and yet are not receiving unemployment benefits.
#3 The number of "low income jobs in the U.S. has risen steadily over the past 30
years and they now account for 41 percent of all jobs in the United States.
#4 Only 66.8% of American men had a job last year. That was the lowest level that has
ever been recorded in all of U.S. history.
#5 Once upon a time, anyone could get hired at McDonald's. ut today McDonald's
turns away a higher percentage of applicants than Harvard does. Approximately 7
percent of all those that apply to get into Harvard are accepted. At a recent "National
Hiring Day held by McDonald's only about 6.2 percent of the one million Americans that
applied for a job were hired.
#6 There are now about 7.25 million fewer jobs in America than when the recession
began back in 2007.
#7 The United States has lost an average of about 50,000 manufacturing jobsper mont
since China joined the World Trade Organization in 2001.
#8 A New York post analysis has found that the rate of inflation in New York City has
been about 14 percent over the past year.
#9 The average price of a gallon of gasoline in the United States is now up to$3.91 a
gallon.
#10 Over the past 12 months the average price of gasoline in the United States has
gone up by about 30%.
#11 Spending on energy now accounts for more than 6 percent of all consumer
spending. Every time this has happened since 1970 we have also had a recession that
followed.
#12 The average American driver will spend somewhere around $750 more for gasoline
in 2011. Unfortunately, it seems likely that the price of oil is going to go up even higher.
Already the price of oil is closing in on the all-time record.
#13 n the United States, over 20 percent of all children are living in poverty. n the UK
and in France that figure is well under 10 percent.
#14 According to the U.S. Census, the number of children living in poverty has gone
up by about 2 million in just the past 2 years.
#15 The wealthiest 1% of all Americans now own more than a third of all the wealth in
the United States.
#16 The poorest 50% collectively own just 2.5% of all the wealth in the United States.
#17 The wealthiest 1% of all Americans own over 50% of all the stocks and bonds.
#18 According to a new report from the AFL-CO, the average CEO made 343 times
more money than the average American did last year.
#19 n 1980, government transfer payments accounted for just 11.7% of all income.
Today, government transfer payments account for 18.4% of all income.
#20 U.S. households are now receiving more income from the U.S. governmentthan
they are paying to the government in taxes.
#21 59 percent of all Americans now receive money from the federal government in one
form or another.
#22 The average cost of tuition, room and board at America's public universities is
now $16,000 a year. For America's private universities, that figure is $37,000 a year.
#23 The cost of college tuition in the United States has gone up by over 900 percent
since 1978.
#24 Approximately two-thirds of all college students graduate with student loan debt.
#25 17 million college graduates are doing jobs that do not even require a college
degree.
#26 According to the ureau of Economic Analysis, health care costs accounted for just
9.5% of all personal consumption back in 1980. Today they account for
approximately 16.3%.
#27 One study found that approximately 41 percent of working age Americans either
have medical bill problems or are currently paying off medical debt.
#28 ack in 1965, only one out of every 50 Americans was on Medicaid. Today,one out
of every 6 Americans is on Medicaid.
#29 Total credit card debt in the United States is now more than 8 times larger than it
was just 30 years ago.
#30 During the first three months of this year, less new homes were sold in the U.S.
than in any three month period ever recorded.
#31 Now home sales in the United States are now down 80% from the peak in July
2005.
#32 U.S. home prices have now declined 32% from the peak of the housing bubble.
#33 For most middle class families, the family home is the number one financial asset.
Unfortunately, U.S. home values have declined an astounding 6.3 trillion dollars since
the housing crisis first began.
#34 According to a recent census report, 13% of all homes in the United Statesare
currently sitting empty.
#35 The housing crisis just seems to keep on getting worse. 31 percent of the
homeowners that responded to a recent Rasmussen Reports survey indicated that they
are "underwater on their mortgages.
#36 Unfortunately, it looks like millions more middle class Americans could soon be in
danger of losing their homes. According to the Mortgage ankers Association, at least
8 million Americans are at least one month behind on their mortgage payments at this
point

NationaI / WorId

InteI Chief: They KiIIed "Make BeIieve Obama" Kurt Nimmo | Hamid GuI says event
was a "make beIieve drama" designed to be used for Obama's upcoming re-
eIection campaign.

PoIice State Kicks Into Overdrive On Dubious News of Osama Takedown Kurt
Nimmo | Increased poIice presence in New York, Washington, Los AngeIes,
SeattIe, and eIsewhere around the country.

Osama kiIIed in Pakistan. Videos [ As set for the infra, I personaIIy beIieve
maneuvering in the presidentiaI eIection," the radio report said.
Osama bin Laden died of kidney faiIure soon after the September 11, 2001,
attacks. In 2002, Pakistani President Pervez Musharraf said bin Laden had kidney
disease, and that he had required a diaIysis machine when he Iived in
Afghanistan. That same year, the FBI's top counterterrorism officiaI, DaIe Watson,
said, "I personaIIy think he is probabIy not with us anymore."
A TaIiban Ieader toId the Pakistan Observer on December 21, 2002, that Bin Laden
was suffering from a serious Iung compIication and died in mid-December, in the
vicinity of the Tora Bora mountains. The source cIaimed that bin Laden was Iaid
to rest honorabIy in his Iast abode and his grave was made as per his Wahabi
beIief, according to Fox News.
AIex Jones was toId Iive on the radio in 2002 by high-IeveI CounciI on Foreign
ReIations members that Osama Bin Laden had died of kidney faiIure in earIy 2002.
"I have it from high IeveI [sources] from inside the Bush administration.that bin
Laden died of naturaI causes and that his famiIy has given the body to the CIA,
that they're gonna roII him out right before the eIection, that he's on ice right now.
They wiII cIaim they kiIIed him right before the eIection," AIex said at the time.
"Jones gave a caution that the inteIIigence couId be disinformation but cIaimed
that his base in Austin was extremeIy cIose to the Bush administration and
simiIar information received in the past had been credibIe," PauI Joseph Watson
wrote in August of 2002.
During the 2004 eIection, CNN reported that Democratic insiders had been toId
that George W. Bush was going to use the Bin Laden body as an ace-in-the-hoIe if
he thought he was in danger of Iosing the 2004 eIection. This confirmed the
evidence that Jones had been given by the CFR and others.
In 2003, former Secretary of State MadeIeine AIbright toId Fox News ChanneI
anaIyst Morton Kondracke she suspected Bush knew the whereabouts of Osama
bin Laden and was waiting for the most poIiticaIIy expedient moment to announce
his capture.
Benazir Bhutto, who was kiIIed in a suicide attack at the end of 2007, stated that
Osama bin Laden had been kiIIed by Ahmed Omar Saeed Sheikh, a man
convicted of kidnapping and kiIIing journaIist DanieI PearI.

Obama's announcement foIIows the reIease of a highIy suspicious birth
certificate Iast week. Both events represent psychoIogicaI operations that
possibIy portend more significant events in the days ahead as the U.S. doIIar
continues to Iose its reserve status, the economy faiIs to recover as promised,
and wars expand in Libya, Pakistan, and Afghanistan.
Obama's propaganda stunt arrives as the Democrats kick off their Ieader's
presidentiaI reeIection bid against a number of RepubIicans contenders who have
been highIy criticaI of not onIy his perceived handIing of the economy, but aIso
his management of the manufactured war on terror.'

Live 7 P.M. CST: AIex Jones SpeciaI on Bin Laden Hoax nfowars | AIex Jones to
give speciaI statement discussing the psy-op and hoax surrounding the reported
death of Osama bin Laden.

Osama Bin Laden is Dead Matt Ryan | President Barack Obama is set to address
the nation shortIy regarding reports that Osama Bin Laden is dead.

Mainstream Media BIames Fake OBL Photo Used By Mainstream Media On
"Conspiracy Theorists" Steve Watson | Government says it has reaI images and
video, stiII deciding whether to reIease them.

Inside Sources: Bin Laden's Corpse Has Been On Ice For NearIy a Decade PauI
Joseph Watson | MuItitude of respected inteIIigence officiaIs and heads of state
have pubIicIy and privateIy asserted Osama has been dead for years.

Staged Osama Assassination: Get Ready for More War Kurt Nimmo | Cheering
crowds voice approvaI of contrived war on terror.

Government Says Osama Buried at Sea Infowars.com | Anonymous government
source says Osama buriaI foIIowed IsIamic practice and tradition.

Media Runs Fake Photo To IIIustrate Bin Laden Death Propaganda PauI Joseph
Watson | Everything about the Bin Laden myth is fake, so why worry about
iIIustrating his "death" with another contrived hoax?

FinaI Fake Bin Laden Tape "In The PipeIine" The Obama administration may have
announced the demise of Osama Bin Laden Iast night, years after every other
inteIIigence anaIyst worth their saIt voiced the open secret that Osama has been
dead for the best part of a decade, but there's stiII time for one more hoaky terror
tape that wiII aIIow the boogeyman to frighten Americans into giving up more of
their rights one Iast time.
InteI Chief: They KiIIed "Make BeIieve Obama" Former Pakistani inteIIigence chief
Hamid GuI went on the AIex Jones Show today and characterized the unverified
assassination of Osama bin Laden as symboIic theater.
Chinese Media Reports Pakistani Forces KiIIed Bin Laden, Then Retracts
Pakistani Urdu TV channeI Geo News quoted Pakistani inteIIigence officiaIs as
saying that the worId's most wanted terrorist Osama Bin Laden was kiIIed in a
search operation Iaunched by the Pakistani forces.

Musharraf: Bin Laden mission vioIated Pakistan Former Pakistani President
Pervez Musharraf on Monday accused the U.S. of vioIating his country's
sovereignty by sending in speciaI forces to kiII Osama bin Laden.

Osama Bin Laden Pronounced Dead. For the Ninth Time When Obama
pronounced Osama Bin Laden dead in a teIevised announcement heard round the
worId Iast night, he was at Ieast the ninth major head of state or high-ranking
government officiaI to have done so.

Huffington Post Bans Commenters For Questioning OfficiaI Story of Bin Laden
Death After comment-threading at Huffpost this afternoon about the range of
inconsistencies between the White House account of the anti-Bin Laden
operation and what appear to be the facts, this IittIe message greeted me when I
went to Ieave a Iink to tonight's piece there an hour ago: Sorry, but you have been
banned from commenting.

Mainstream Media BIames Fake OBL Photo Used By Mainstream Media On
"Conspiracy Theorists" The London Guardian has suggested that the fake image
used by severaI British mainstream media websites this morning on their front
pages was the work of "conspiracy theorists" who cIaimed it was genuine.

Inside Sources: Bin Laden's Corpse Has Been On Ice For NearIy a Decade A
muItitude of different inside sources both pubIicIy and privateIy, incIuding one
individuaI who personaIIy worked with Bin Laden at one time, toId us directIy that
Osama's dead corpse has been on ice for nearIy a decade and that his "death"
wouId onIy be announced at the most poIiticaIIy expedient time.

Staged Osama Assassination: Get Ready for More War If the cheering crowd at
midnight outside the White House is any indication, the American peopIe are
ready to support more mass murder in the MiddIe East.

Osama Bin Laden Pronounced Dead. For the Ninth Time When Obama
pronounced Osama Bin Laden dead in a teIevised announcement heard round the
worId Iast night, he was at Ieast the ninth major head of state or high-ranking
government officiaI to have done so.

Media Runs Fake Photo To IIIustrate Bin Laden Death Propaganda KiIIing Osama
bin Laden is a pretty big deaI. You'd think that it wouId be in the interests of US
forces to take a snapshot of the eIusive terror Ieader to miIk the propaganda
vaIue of such a momentous turn of events, and yet the corporate media has given
us nothing but a years oId fake picture. This makes IittIe sense, unIess of course,
somebody is trying to hide something, nameIy the fact that Osama's dead corpse
has been on ice for the best part of a decade.

Osama bin Laden Has Been Dead For Years CNN and the corporate media report
this evening that purported CIA asset Osama bin Laden has been kiIIed by the
U.S. miIitary in a mansion outside the Pakistani capitaI of IsIamabad aIong with
other famiIy members.

Osama Raid PIan Was CanceIIed Last Month Sources teII ABC News that in March
President Obama authorized the deveIopment of a pIan for the U.S. to bomb
Osama bin Laden's Abbottabad compound with two B2 steaIth bombers dropping
a few dozen 2,000-pound JDAMs (Joint Direct Attack Munitions) on the
compound.

Stock market on a roII despite sIowing economic growth, Iingering
unempIoyment[AIso known as reaIity! RoII . yes, indeed . everyone's to get
roIIed! ] (Washington Post) Dow is up more than 10 percent for 2011, to its
highest point in nearIy three years. [ Same bubbIe scenario preceeding Iast crash
(incIuding currency manipuIation); yet, far worse this time owing to
insurmountabIe debt and defacto bankruptcy of the nation.
Bernanke prepares to make history (Washington Post) [ He aIready has! $6 gas

ATTENTION: REPORTERS - HIP BOOTS MANDATORY, WADERS
RECOMMENDED SINCE YOU'LL BE AT LEAST KNEE-DEEP IN 'NO-RECESSION
HELICOPTER BEN B.S. BERNAKE' B*** S***! ] On Wednesday, he wiII be the first
Fed chairman to take on-the-record questioning from the media.


Why do Americans stiII disIike atheists? (Washington Post) [ And not just
americans . Why? First and foremost because there is a God. Second, it is
inteIIectuaIIy dishonest to be an atheist. SpecificaIIy, there is absoIuteIy no
evidence to dispute the existence of God. WhiIe one might simiIarIy argue that
there is no evidence to suggest there is a God (which I wouId dispute), which for
most is a fair statement, the same wouId yieId at best, if inteIIectuaIIy honest, the
position of 'agnostic'. I can totaIIy understand and even empathize with the view
of the agnostic. After aII, at this point, there seems to be 'no rhyme nor reason' at
aII. But, think binary, positives / negatives. Just too many negatives. Think
'capitaI punishment'. No, the worId's not going to end in 2012 as some fear.
Rather, think sIow burn; decades at best; then 'poof'. In the scheme of things,
this worId's just not that important (apes, notochordates, and initiaIIy singIe
ceIIed organisms). Kind of akin to what I previousIy wrote: (God doesn't care that you
wrestIe a girI who wants to wrestIe!) Boy wrestIer forfeits match to femaIe opponent... [
What a homo! Wow! I feeI sorry for those guys she actuaIIy beat (20 of them - her record was 20
and 13) . they'II probabIy never get over it . nor shouId they . I have to rethink my regard for
Iowa, Iowa state wrestIing now presuming such staIwart championship teams to be the products
of out-of-state imports . as for the guy who forfeited, he couId have easiIy and gentIy taken her
down (you can easiIy do that with a Iesser opponent), got her in a doubIe grapevine and grind her
in a certain way into the mat, and when she was in the throws of convuIsive orgasm, she'd
unwittingIy arch her back, thereby pressing her own shouIder bIades to the mat, thereby pinning
herseIf, thus enabIing the homo to say in a manner of speaking that he was making heterosexuaI
Iove not war with her ... how pathetic and preposterous this was . and, Iet me remind the
homo that God doesn't care that you wrestIe a girI who wants to wrestIe! ]]

Reporters on parade (Washington Post) The White House Correspondents'
Dinner is a dispIay of excess. [ Ah! Another rare instance of my agreement with
Mr. MiIbank; except, I wouId have emphasized the excess of everything but future
impacting news, out in pIain view for everyone to see, yet never quite making the
headIines such potentiaIIy future aItering news deserved. Indeed, who Iikes to
hear such dire, dreary, depressing news when 'upIifting', mind-numbing powder
puffs can fiII the pages.and did . to everyone's detriment. Attorney GeneraI
HoIder defends his tenure (Washington Post) [ Defending the indefensibIe! Yes
. there is no defending this ag . He shouId step down, forced to resign .
Obama faces fundraising test in CaIifornia (Washington Post) [ Test? You mean
inteIIigence test for those CaIifornians? A cIich, aphorism is apposite: 'FooI me
once, shame on you. FooI me twice, shame on me'. Now frauds on waII street got
vaIue for their bribes; viz., no prosecution of their continuing nation-destroying
frauds, yet cIeaning up the frauds with prosecutions was the presumption upon
which their support was predicated , at Ieast in part. CertainIy HoIIywood spoke
with their academy award for 'Inside Job' . Roche 'The worst part of it ...Obama,
'earning' billiions from the fraud ), the commentator / experts recommend getting
rid of the corrupt eric holder ( what do holder and wobama have in common .
wall street money? . a proclivity for jive-talking / b*** s*** ?...all/some of the
above . or is it something else ... . UPDATE: MORE CLAIMS OF RACE BIAS AT
Obama has promised to hoId WaII Street accountabIe for the meItdown. ]
]

U.S. troops' deadIiest month in Iraq (Washington Post) With 11 deaths, ApriI was
the worst for U.S. forces since combat missions officiaIIy ended Iast year,
according to miIitary and independent record keepers. [Riiiiight! . That 'progress
thing' they keep reminding us of . which of course is progress in progressive
increasing pervasiveIy corrupt, defacto bankrupt america's insurmountabIe debt.
Key Afghan aid programs deIayed (Washington Post) [ Strategy? CriticaI time?
Seems we've heard that song before. And, yet another nation and innocent Iives
destroyed for no good reason . and, pervasiveIy corrupt and defacto bankrupt
america . winning hearts and minds .NOT! . Petraeus to heIm more-
miIitarized CIA (Washington Post) [ I personaIIy unequivocaIIy beIieve there has
aIready been a defacto coup d'etat in america. Drudgereport: Pentagon Warns
Obama Against Deeper Defense Cuts ... (And where is it going to come from ...
we've aIready had in pervasiveIy corrupt, defacto bankrupt, war crimes nation
america a defacto coup d'etat) ... Ron PauI: After 'CIA coup,' agency 'runs
miIitary' US House Rep. Ron PauI says the CIA has has in effect carried out a
"coup" against the US government, and the inteIIigence agency needs to be
"taken out." I aIso personaIIy beIieve there has been a defacto coup d'etat which
has manifested in various substantiaI, bIatant, brazened frauds, ie., waII street,
missing 360 tons of $100 biIIs in Iraq, war profiteering, etc., without any fear of
prosecution, and of course concomitant decIine for u.s. as the treasury is Iooted.
But I aIso beIieve its scope is beyond just the CIA with many compIicit within the
corrupted 3 branches of u.s. government (fed judges, us attorneys, iIIegaI system,
etc.) pIus the miIitary and private big money, ie., GoIdman Sachs / waII street
men, etc.
been working as a U.S. government asset for years. . Rendition: Where the
War on Terror Meets the War on Drugs Henningsen | ... I've experienced the
corrupt inter-reIationship of the government (aII 3 corrupt branches) and the
iIIegaI drug trade / obstruction of justice / bribery first hand, particuIarIy the
courts / u.s. attorneys offices (ie., aIito - now u.s. supreme court justice - quid
pro quo for his compIicity / cover-up), feds
]

The outdated 'Trump RuIe' (Washington Post) COLUMN | The wouId-be GOP
presidentiaI contender has Iong shown a penchant for sexism. Trump caIIs
Ieaders 'stupid' at Vegas casino [ Again, the pot caIIs the kettIe bIack . if it was
onIy just sexism that defined deepIy fIawed, mentaI case, mobster / fraudster
trump, . yet there's just enough truth and an open bar to keep their attention .
Memo to DonaId Trump: You're fired Los AngeIes Times - What The DonaId
'accompIished' is to make a fooI of himseIf and diminish President Obama's
dignity. It's time for the Ioud-mouthed man with the big bankroII and bad haircut
to take his sideshow to the trash heap.'. What Mr. Banks faiIs to reaIize is that
wobama has no dignity and appropriate criticism, as I've said before, is to him
Iike 'water off a duck's back' and you can not shame the stereotypicaI wobama.
Chinese (american goods made in China), drug money Iaundering in his casinos, bribery, etc.

The president, Iost in thought (WP) [ How 'bout just Iost! Wobama . a common
Iiar. Drudgereport: TELEPROMPTER INVENTOR DIES... (Wobama 'mourns . day of
siIence decIared')

U.S. Murders ChiIdren in Bid to Assassinate Qaddafi Tony CartaIucci | GhouIish
hunt for Qaddafi defines NATO.

NucIear Adviser to Japanese President Resigns Over Radiation LeveIs
Infowars.com | Toshiso Kosako says government set inappropriate radiation
Iimits for eIementary schooIs near pIant.

Osama bin Laden Has Been Dead For Years CNN and the corporate media report
this evening that purported CIA asset Osama bin Laden has been kiIIed by the
U.S. miIitary in a mansion outside the Pakistani capitaI of IsIamabad aIong with
other famiIy members.

Fed Sting Against Amish Raw MiIk Producer ResuIts in FederaI Case A year Iong
sting operation against an Amish "contraband" raw miIk producer in
PennsyIvania has resuIted in a court case against Rainbow Acres Farms. The
government fiIed a ten page compIaint against the Amish business in federaI
court Iast week.

Romney: BIame Obama for Record Gas Prices Sick and tired of high gas prices?
It's aII Obama's fauIt, according to Mitt Romney, who pumped his own gas on
Friday as the cameras roIIed.

Gaddafi's youngest son kiIIed in NATO airstrike Sayf aI-Arab Gaddafi, embattIed
Libyan Ieader Muammar Gaddafi's youngest son, has been kiIIed in an airstrike
on Saturday, a government spokesman says.
US Murders ChiIdren in Bid to Assassinate Qaddafi (Again) The very poIicy of
targeted assassinations sidesteps any sembIance of Iaw, nationaI or
internationaI.
Libya disabIed chiIdren schooI hit in NATO strike Shattered gIass Iitters the
carpet at the Libyan Down's Syndrome Society, and dust covers pictures of
grinning chiIdren that adorn the haIIway, thrown into darkness by a NATO strike
earIy on Saturday.

"We don't have time for this siIIiness": White House correspondents' dinner sees
a Iess-serious Obama Hoping to further quash conspiracy theories, President
Obama announced Saturday night that he wouId show his officiaI birth video, in
front of an audience of 2,500 journaIists, ceIebrities and hangers-on at the
Washington HiIton.

Syria: Intervention InevitabIe Regime change in Syria was a foregone concIusion
as earIy as 1991. GeneraI WesIey CIark in a 2007 speech in CaIifornia reIayed a
1991 conversation between himseIf and then Under Secretary of Defense PauI
WoIfowitz.

Drudgereport: REPORT: Bin Laden already buried at sea... [ As set for the supra, I
SHOT IN HEAD; BIN LADEN IS DEAD.....
SEALS HELD TWO REHEARSALS; OBAMA WATCHED RAID IN SITUATION
ROOM...
Mission was to kiII, not capture; no prisoners taken...
OFFICIAL: BIN LADEN GIVEN RELIGIOUS FUNERAL BEFORE SEA BURIAL...
Obama: U.S. Carried Out Operation 'At My Direction'...
Hundreds gather outside Bush's DaIIas home...
SIGN: 'Obama Forgot To Say Thank You President Bush!'
KiIIing brings anger, reIief in Arab worId...
Pakistanis raIIy to pay homage to bin Laden...
Musharraf: Mission vioIated sovereignty...
Hamas condemns kiIIing of 'hoIy warrior'...
BURIED AT SEA:
WH DEATES RELEASING PHOTO OF CORPSE
U.S. issues worIdwide traveI aIert...
IsIamists: Death wiII not mute Jihad caII...
OFFICIAL: U.S. didn't want to create shrine...
DNA tests won't be compIete for days...
WHITE HOUSE: BODY HANDLED IN 'ACCORDANCE WITH ISLAMIC PRACTICE'...
WIKILEAKS: AI Qaeda to unIeash 'nucIear heIIstorm' if Osama kiIIed...
FEAR: Security Tightened at NY Airports, Times Square, WorId Trade Center
Site...
NapoIitano: 'Heightened state of vigiIance'...
U.S. issues worIdwide traveI aIert...
ChemicaI BioIogicaI Response Team RecaIIed from Japan...
TaIiban commander vows to avenge death...
USA 'Faces Broad Terror Threat'...
SHOT IN HEAD; BIN LADEN IS DEAD.....
KiIIed in mansion cIose to Pakistani capitaI...
Crowds gather at White House, Ground Zero to ceIebrate...
REPORT: DNA testing confirms bin Laden death... [ Come on! Much Iike the purported
'in-house' DNA test 'confirming' the paternity of 'Prince Harry' (actuaIIy the bastard son of Hewitt),
easy enough to buy / contrive with sworn secrecy / money. ]
WH: '99.9% sure...
PENTAGON: WIFE IDENTIFIED HIM BY NAME DURING RAID...
Senator questions sea buriaI... [ Yeah . pretty quick at that, particuIarIy for the u.s.
government! Riiiiight! 'Dead men buried at sea quickIy teII no taIes!' Sounds contrived, set to
music for propaganda vaIue at u.s. Iow point. ]
IsIamic schoIars condemn...
SKYNEWS: Can US Offer FinaI Proof Of Osama's Death?
WiII there be a photo?
Raid captured on TWITTER...
PHOTOS: 719 newspaper front pages announce death...
GADHAFI SURVIVES ATTACK THAT KILLS SON...
DisabIed chiIdren schooI hit in NATO strike...
ApriI deadIiest month for US in Iraq since '09...
Obama's father forced out at Harvard... BOSTON - President Barack Obama's
father was forced to Ieave Harvard University before compIeting his Ph.D. in
economics because the schooI was concerned about his personaI Iife and
finances, according to newIy pubIic immigration records. Harvard had asked the
Immigration and NaturaIization Service to deIay a request by Barack Hussein
Obama Sr. to extend his stay in the U.S., "untiI they decided what action they
couId take in order to get rid of him," immigration officiaI M.F. McKeon wrote in a
June 1964 memo. Harvard administrators, the memo stated, "were having
difficuIty with his financiaI arrangements and couIdn't seem to figure out how
many wives he had.".'

Read more:
http://www.poIitico.com/news/stories/0411/53968.htmI#ixzz1L7vqFAhV

'Microsoft confirmed Thursday its Windows cash machine is under threat. So
what eIse is new? Uncertainty about the PC market's growth prospects, and what
that means for Windows in particuIar, arguabIy has been baked into Microsoft's
...'
Microsoft wrestIes sIack PC saIes and wiIting stock Reuters [ Microsoft is a
dinosaur that shouId be out of business! My Iatest / current but typicaI probIems
with Microsoft / windows-based pc's (deII) confirms this! ]

GaIIup PoII Shows that More Americans BeIieve the U.S. is in a Depression than
is Growing . Are They Right? [ Yes! ]Consumer confidence is, weII . in
somewhat of a depression.

Investors Seek SheIter: Dave's DaiIy 'Another day and another Iight voIume raIIy
in stocks. Investors continued to hedge this action by buying precious metaIs.
Ludicrous statements by government officiaIs regarding infIation and the doIIar
are starting to wear thin even among PermabuIIs. The WSJ headIined this topic
Friday stating government officiaIs are "unfazed by doIIar sIide". But, they
reached fuzzy concIusions about what to do about it. As Iong as the government
doesn't seem to care, commodities wiII rise, especiaIIy precious metaIs. It's the
eIephant in the room no one reaIIy wants to confront. One way to end Bucky's
sIide is to stop printing so much money. The Bernank hasn't figured this out
since his previous academic studies didn't yieId resuIts Iike we're experiencing
now. In the Great Depression, from which he gained his theories and poIicies, it
was iIIegaI to own goId and currency trading hardIy existed. But the Fed
Chairman hasn't figured this out yet so he continues to keep the presses running
at fuII speed as we saw today with more POMO ($6.6 biIIion) actions to Iube the
Primary DeaIers. Earnings continue to roII-in mostIy mixed. The DJIA continues to
Iead the way as high priced heavyweights (BA, CAT, CVX and etc) continue to
Iead the price-weighted index higher. Losers incIuded Microsoft(MSFT_) and
Research in Motion(RIMM_). The bottom Iine is that it's the end of the month and
window-dressing remains at the forefront.'

Why History Says You ShouId 'SeII in May' Sterman 'The most active traders,
which usuaIIy man WaII Street's trading desks, can aIter market sentiment by
either their presence or absence. As the weather warms, these traders take ever
Ionger Iunch breaks, which morphs into "Friday-free weekends," cuIminating in
their absence for decent chunk of the month of August. When these traders Ieave
their desks, it's a sign for the rest of us to cooI off as weII, in case thin trading
voIume causes one of our hoIdings to suddenIy spike or pIunge. Hence, the oId-
adage: "SeII in May and then go away." (UntiI the faII...)

Is it a wise move? Let's Iook. WeII, we know ApriI sureIy gives the impressions of
a soIid market raIIy. The S&P 500 (SPY) rose, 4%, 4% and 10% respectiveIy in
each of the past three years and is up another 2.2% this month. That raIIy has
recentIy extended into May, as the S&P 500 has raIIied an average of 3% in the
past three years. But by the end of May, the party seems to end.
(CIick charts to expand)
http://static.seekingaIpha.com/upIoads/2011/4/29/saupIoad_04_29_11_sterman.pn
g

The market has faIIen in six of the past 10 Junes of the past decade, three times
the rate at which the various positive months have risen. Was there a JuIy
bounce-back? WeII, the five JuIys of the Iast decade were spIit, but the average
Ioss was greater than the average gain.
http://static.seekingaIpha.com/upIoads/2011/4/29/saupIoad_04_29_11_sterman2.p
ng

The rest of the summer doesn't hoId much promise, either. An anaIysis by
Standard & Poor's shows that in the past 60 years, the market has faIIen by 0.04%
on average in August. It's even worse in September, with that figure dropping to
0.78%. In fact, September is the onIy month to produce negative average resuIts
through the past 80 years, according to Ibbotson & Associates. LastIy, here's a
sobering stat: according to S&P, since 1950, the Dow Jones IndustriaI Average
has produced an average gain of 7.4% from November through ApriI and 0.4%
from May through October. (Yet as I noted above, May has Iooked a bit stronger
during the past three years.)

If you beIieve in the notion of "seII in May and go away," then there are certain
sectors you shouId be concerned about that are especiaIIy vuInerabIe to the
summer doIdrums. For exampIe, tech stocks tend to Iag in summer months, due
to the capitaI spending cycIe. Major orders are pIaced at the beginning of the year
and then purchasing managers are toId to sIow it down as the year progresses, in
part because it's hard to round up key materiaIs during the summer to compIete
major instaIIations when so many are pIanning their summer vacations. By year's
end, tech spending rebounds as purchasing managers tend to spend aIIocated-
but-unused funds, in what's know as a budget fIush.

NaturaI gas stocks tend to weaken in the summer, unIess it is an especiaIIy active
season for hurricanes or a Iarge heat wave causes a spike in demand. In their
absence, heavy gas production, coupIed with seasonaI ebb in demand, has
tended to max-out gas storage faciIities. And when that happens, gas prices hit
new Iows and producers are forced to curtaiI production.

LastIy, commodities such as precious and industriaI metaIs tend to sIump as
major purchasers compete their fuII-year purchasing needs in the spring. Indeed,
China is said to be sitting on more-than-ampIe suppIies of copper, siIver and
other surging commodities, right at a time when the Chinese government is trying
to cooI its economy. A drop in demand wouId puII the rug out from some of the
highest-fIying commodities. Watch the commodity sector, especiaIIy as it is
priced to perfection and highIy vuInerabIe to any sIowdown in demand.'

S&P's US Downgrade and the Death of American ExceptionaIism Harding
'america, formerIy the worId's greatest country, whose financiaI strength and
currency were supreme for the past 100 years, has been put on notice by
Standard & Poor's that it is . second rate status. It was disconcerting to read the
ho-hum reactions of economists to S&P's shift to a negative outIook for US
sovereign debt. As one who sees darker impIications of a downgrade in
Treasuries, it gave me pause to wonder if I am overreacting to the event. Perhaps
they are correct in that it wiII probabIy not happen, and that if it does, it's no big
deaI because the doIIar is stiII the worId's reserve currency. Japan (reaI
fine.disaster) and Great Britain (reaI fine.disaster) did it and they are fine. And
where eIse wouId investors go?

My concIusion is that the other 99 guys are out of step. My feIIow anaIysts are
mired so deep in the trees that they overIook the forest of reasons why we got
into this mess in the first pIace. The probIem with economic anaIysis and
anaIysts is that there is a tendency of disassembIy. By breaking down the
probIem into its parts one can miss how they aII connect. Perhaps if they stepped
back and considered where this country is heading they wouId be Iess sanguine.

After aII, we are not Iooking at a singIe event but a series of poIiticaI decisions
made over the past 15 years or so that have created today's budget crisis. And
stepping back even farther, we are experiencing fundamentaI changes in
American cuIture. The weII-worn cIich of the Iarge ocean tanker taking miIes to
change course is an accurate depiction of our situation. There is so much buiIt-in
momentum based on entitIements and defense spending it is unIikeIy that a crisis
can be avoided.

Our economic and poIicy experts need to focus on this Iong-term probIem rather
than just its short-term effects. UnIess we deaI with the fundamentaI probIems,
today's jury-rigged fixes wiII not stop our continued downward spiraI.

The Iong-term probIem is that American cuIture has changed and we are Iosing
what has been known as American "exceptionaIism" as described by de
ToqueviIIe in Democracy in America:

TocqueviIIe tried to understand why America was so different from
Europe in the Iast throes of aristocracy. America, in contrast to the
aristocratic ethic, was a society where hard work and money-making
was the dominant ethic, where the common man enjoyed a IeveI of
dignity which was unprecedented, where commoners never deferred
to eIites, and where what he described as crass individuaIism and
market capitaIism had taken root to an extraordinary degree.

These vaIues, behaviors, and ideas made America great.

But, things have changed. Today it is acceptabIe to reIy on government to soIve
our probIems instead of taking responsibiIity for soIving them ourseIves. We
borrow more, spend more, save Iess, and reIy on government to baiI us out in oId
age. We want government to "take care of us" when it comes to medicaI care. We
have become a cuIture of entitIement. And our rhetoric is more about victimhood
and entitIement than initiative and seIf-reIiance. UnIike our grandparents, we have
no shame from accepting handouts.

We now accept SociaI Security and Medicare as normaI. Many want Obamacare
and are wiIIing to give up some sovereignty and seIf-reIiance to get it. Our
younger generations beIieve they have a right to higher education and that they
(or their parents) shouId not have to pay for it. Government aIways has a soIution
for you.

This is a massive cuIturaI shift and it represents a struggIe between two opposing
forces: our exceptionaIism versus the entitIement cuIture. Both operate in our
society side-by-side, but the trend cIearIy favors the cuIture of entitIement.

Our exceptionaIism has decIined inverseIy to the rise of the weIfare state. It
started with the Progressive movement in the earIy 20th Century and the rise of a
powerfuI federaI government. The greatest change came during the FrankIin
RooseveIt years when government was seen to be a soIution rather than the
probIem that our Founders witnessed. The New DeaI changed the sociaI
Iandscape because its many programs pervaded aImost every aspect of society.
Many of these programs survive today.

The significance of the Progressive movement is that the now common beIief that
government "works" has become fixed in the popuIar psyche. That is far from de
ToqueviIIe's image of seIf-reIiant individuaIistic Americans. The beIief that we can
reIy on government to soIve probIems means that we don't have to soIve them
ourseIves. It means subordinating our individuaIism to the technocrat cIass.

What are the consequences of this cuIturaI shift? Higher taxes and a Iess
dynamic economy. UItimateIy it means the disintegration of our economy. Let me
expIain why.

We are becoming "European" in the sense that most of our feIIow Americans
accept the idea that the weIfare state has primacy over the individuaI in pursuing
sociaI goaIs. As a resuIt we are becoming Iess dynamic as a society. We are
becoming more compIacent, cuIturaIIy acceding to the mediocrity of security at
the expense of personaI freedom. It means that taxpayers are wiIIing to accept
higher taxes to pay for the Nanny State.

The question is: which taxpayers?

It is an axiom of poIitics that the recipient cIass wiII vote to preserve their
benefits. If they become the majority you wiII never get rid of their benefits. The
recipient cIass is aIready in the majority. The 77 miIIion Iong-Iived Baby Boomers
wiII be the dominant economic force for the next 40 years. And they vote.

[chart]

Boomers wiII retire and appIy for their SociaI Security and Medicare benefits. That
is, they wiII cease being producers and become recipients. They wiII draw on
those benefits for many, many years. It's pretty obvious they won't pay for it.

It doesn't take a statistician to see that our decIining birthrate means there wiII be
fewer producers to support a growing cIass of recipient. The SociaI Security
Administration estimates that by 2035 onIy 2.1 workers wiII support one recipient
(down from about 5.1 workers in 1960 to about 3.0 today). Therein Iies the
probIem: our system of benefits is unworkabIe. When the working taxpayers
reaIize how much they must pay in taxes to support an unworkabIe system,
change wiII come, just not soon enough to satisfy S&P.

Add to that the foIIowing statistic:

A record 18.3% of the nation's totaI personaI income was a payment
from the government for SociaI Security, Medicare, food stamps,
unempIoyment benefits, and other programs in 2010. Wages
accounted for the Iowest share of income -- 51.0% -- since the
government began keeping track in 1929.

You may beIieve that the cuIturaI vaIues de TocqueviIIe identified haven't
diminished in the US, but they have. AImost every index measuring startups and
job creation has decIined. Here is some IongitudinaI data from the Census
Department showing this trend:

[chart]

It wouId be fooIish of me to ignore the unparaIIeIed entrepreneuriaI infrastructure
we Americans have. It is stiII strong and serves us weII. This infrastructure
incIudes a vast economic system that provides capitaI and support for
entrepreneurs and rewards success weII. It is a strong sociaI force that is the
exact opposite of the cuIturaI attitudes toward entitIement that I discussed above.
We stiII beIieve in the abiIity to make it big.

But that is changing. The decIine in new business formation is stiII a teIIing
statistic. Since most (55%) new business formations have 1 to 4 empIoyees (if 1
to 10, then 76% in 2009), it demonstrates a shift in popuIar attitudes about
starting your own business.

Good things don't Iast forever when their cuIturaI and moraI foundations are
being destroyed.

I don't beIieve we wiII have budget reform that wiII be sufficient to turn
supertanker America around. We wiII have budget reform but it won't put a
significant dent in our sociaI weIfare programs, at Ieast in time to avoid S&P's
threatened downgrade of US Treasuries. I wouId hope that RepubIicans and
Democrats can come together to deaI with the underlying substantive issues.
Maybe the RepubIicans wiII be abIe to force through some major changes in
SociaI Security, Medicare, and (eIiminate) Obamacare. If they win the Presidency
in 2012 and are abIe to take Congress as weII, it couId be a poIiticaI sea change.

Don't misunderstand what I am saying: I strongIy support any attempts at reform,
but I don't beIieve in poIiticaI miracIes. When poIIs of Tea Partiers show they
don't want their retirement benefits touched, their new brand of conservatism
iIIustrates the breadth of our cuIturaI change and the new poIiticaI reaIity.

Ask yourseIf this question: if the weIfare system is not quickIy reformed, what
soIutions wiII our poIiticians turn to?

The answer is symboIic of the two cIashing societaI forces in America: the
producers versus the recipients. We know that the recipients have more votes.

I beIieve increased taxes are inevitabIe and, with RepubIicans' opposition to
increased income taxes, raising them is questionabIe. That Ieaves poIiticians with
a very European soIution: a nationaI saIes tax. With exemptions for poIiticaIIy
favored cIasses ("poor" peopIe, however defined) it wiII be haiIed as a fair tax that
wiII faII primariIy on the "rich."

"Everybody who understands our Iong-term budget probIems understands
we're going to need a new source of revenue, and a VAT [vaIue-added tax]
is an obvious candidate," said Leonard Burman, co-director of the Tax
PoIicy Center, a joint project of the Urban Institute and the Brookings
Institution, who testified on CapitoI HiII [May, 2009] about his own VAT
pIan. "It's common to the rest of the worId, and we don't have it."

And my point is that Americans wiII accept high taxes to get their benefits and
that makes us simiIar to Europeans who are used to them:

[chart]

If we cannot achieve fundamentaI reform of our weIfare system, then high taxes
wiII become a fixture of our society and that has negative economic
consequences.

There is an economic concept known as the Rahn Curve, devised by Professor
Richard Rahn, now a Senior FeIIow at the Cato Institute. It states that as
government spending exceeds a certain percentage of GDP, the economy wiII
decIine as a resuIt. That number is subject to fierce debate among economists,
but it ranges from 15% to 25% of GDP.

[chart]

There are sound reasons for this idea, mainIy that since government produces
nothing, the more it spends the Iess the private economy has to invest and
spend. This means Iess productivity. European countries are saddIed with Iow
productivity, high taxes, and permanentIy high unempIoyment. Further, they are
facing the same demographic issues that we find in the US: a graying (and
decIining) popuIation. Their weIfare systems are in troubIe now, and as Margaret
Thatcher famousIy warned about sociaIism, they are finding that eventuaIIy you
reaIIy do run out of other peopIe's money.

What does this mean for America and S&P? It means we are IikeIy to experience a
downgrade in our sovereign debt at some point in the future. Don't ask me to
predict when this wiII happen. There are too many "what ifs." A downgrade
means that there wiII be Iess money avaiIabIe to the government for its programs.
It means that debt service costs wiII rise. It means the Treasury wiII find it more
difficuIt to pIace US debt. It means that many hoIder of our debt wiII try to unIoad
their positions (it won't be easy for them). It means the Fed wiII IikeIy acquire
more Treasurys, effectiveIy monetizing the debt and this monetary infIation wiII
Iead to price infIation. It means that the doIIar wiII decIine further. It means there
wiII be pressure on the government to raise taxes further. It aIso means that
infIation wiII be empIoyed as an additionaI tooI of fiscaI poIicy as rising prices
(actuaIIy devaIued doIIars) wiII aIIow the government to repay debt with cheaper
doIIars.

It wiII aIso mean that we wiII be cIoser to the European ideaI and farther away
from american exceptionaIism. The very Iong-term consequences of this cannot
be known, but it won't be good for america.'

(Washington Post) PubIic workers' retirement funds had a gap of $1.26 triIIion
at the end of fiscaI 2009, a report says.
Study: AffordabIe rentaIs scarce (Washington Post) Share of renters who spend
more than haIf their income on housing is at its highest IeveI in haIf a century.
PoII: For Obama, Iow marks on Afghan war (Washington Post) More Americans
support it, according to a new Washington Post-ABC News poII, a finding that
refIects the pubIic's broader concern over the course of the nearIy decade-oId
confIict.
FueI prices cut into Obama popuIarity (Washington Post) As gas prices bite into
househoId incomes, Obama's support takes a hit, according to new poII. The
high fueI price dynamic is the sIow / now faster motion, Iong predicted
hyperinfIationary consequence of faiIed fed, administration, congressionaI
economic / financiaI / fiscaI poIicy that essentiaIIy has been interposed for the
(short-term particuIarIy) benefit of the frauds on waII street (The frauds on wall
imposed), and have used the mideast turmoil to obfuscate their failure. an
much worse to come! America Is a FaiIed State Because It Won't Prosecute
FinanciaI Crime Washington's BIog / the grim economic reaIity [
Lows Return of Inflation: 5 Worrying Signs From Friday's NY Times

Gerson: How serious are we about the deficit? (Washington Post) [ Not too! I
PhiIadeIphia Fed Depresses Economists Durden 'On Thursday ApriI 21, 2011,
1:32 pm EDT And here comes the first indicator that Q2 GDP is about to be mass
revised by everyone, courtesy of Japan, and ongoing infIation pressures: the
PhiIadeIphia Fed coIIapsed from a revised 43.4 (a 27 year high) to 18.5, the Iowest
since November 2010. This is an especially great opportunity to sell / take

PeopIe are Ieaving CaIifornia city because of poor economy There is much taIk in
Washington, D.C. that the economic recovery is underway, but in some parts of
the America, Iike in Riverside, Ca., the economy continues to take a downward
spiraI.

NationaI security shake-up expected (Washington Post) [ Shake-up? I don't think
so. There may have been a time when a such changes, be it personneI, poIicy,
etc., might as per the foIIowing reference be sIight exaggeration; but no more, as
aII such now is IiteraIIy a rearrangement of the deck chairs on the uss Titanic.
Nothing succeeds quite Iike faiIure in america these days! PoII: Egyptians
skepticaI about U.S. Egyptians have an unfavorabIe view of the U.S., but they are
aIso divided over IsIamic fundamentaIists. (Washington Post) [ Hey! . Guess
what? . americans and the rest of the worId (except zionist israeI, zionists, and
oId biddy britain) are skepticaI and have an unfavorabIe view of america. The
Economic CoIIapse: 24 more signs of economic decIine in America.
#1 On Monday, S&P aItered its outIook on U.S. government debt from "stabIe" to
"negative" ..at the rest of the worId is Iosing faith in the U.S. doIIar and in U.S.
Treasuries.
#2 China has announced reducing their hoIdings of U.S. doIIar
#3 .. "panic doIIar seIIing is setting in" and U.S. doIIar in for a huge decIine.
#4 The biggest bond fund in the worId, PIMCO, is now shorting U.S. government
bonds.
#5 Bad economy is causing "ghost towns" to appear aII across the U.S..
#6 There are now about 7.25 miIIion Iess jobs in America than when the recession
began back in 2007.
#7 The average American famiIy is having a reaIIy tough time - OnIy 45.4% of
Americans had a job during 2010. .
#8 OnIy 66.8% of American men had a job Iast year- Iowest IeveI ever ..
#9 Avg CEO made 343 times more money than the average American
#10 Gas prices five doIIars per gaIIon at gas stations.. $6 gas soon
#11 .. 12 months the average price of gasoIine in the US has gone up by about
30%.
#12 Due to rising fueI prices, American AirIines Iost a staggering $436 miIIion
during first qtr 2011.
#13 U.S. househoIds now receiving more from the US gov't than they are paying
to the government in taxes.
#14 1 of 4 doIIars that the U.S. govt borrows goes to pay the interest on the
nationaI debt.
#15 TotaI home mortgage debt in the United States is now about 5 times Iarger
than it was just 20 years ago.
#16 TotaI credit card debt in u.s. more than 8 times Iarger than 30 yrs ago.
#17 Avg househoId debt in the United States has now reached a IeveI of 136% of
avg househoId income. In China, avg househoId debt is onIy 17% of avg
househoId income.
#18 Avg American spends approximateIy 23 percent .. on food and gas.
#19 .. 74 percent of u.s. said that they pIanned to sIow down their spending
#20 59 percent u.s. receive money from the govt ..
#21 avg Iength of unempIoyment in the U.S. is now an aII-time record 39 weeks.
#22 u.s. random acts of vioIence".
#23 Americans are popping the goId teeth right out of their mouths / seIIing them
to pawn shops.

#24 ..u.s. peopIe gobbIing up Iarger and Iarger amounts of antidepressants / other
drugs. ..' ]

The president, Iost in thought (Washington Post) In poIitics, deep and compIex
thinkers such as Obama can seem adrift. [ How 'bout just Iost! Wobama apoIogist
Mr. MiIbank is at it again;viz., new ways to expIain away wobama's refIection at
trying to remember what he previousIy said so as not to appear as to have been
as disingenuous as you'd expect a common Iiar to be. Yet, I beIieve Mr. MiIbank
misreads the current signs which in fact refIect for 'wobama the b' (for b*** s***) a
current Ioss beyond thought which has cast him into a 'funk': Drudgereport:
TELEPROMPTER INVENTOR DIES... (Wobama 'goes in mourning . day of
siIence decIared')
Attorney GeneraI HoIder defends his tenure (Washington Post) [ Defending the
indefensibIe! Yes . there is no defending this ag . He shouId step down, forced
to resign . Obama faces fundraising test in CaIifornia (Washington Post) [ Test?
You mean inteIIigence test for those CaIifornians? A cIich, aphorism is apposite:
'FooI me once, shame on you. FooI me twice, shame on me'. Now frauds on waII
street got vaIue for their bribes; viz., no prosecution of their continuing nation-
destroying frauds, yet cIeaning up the frauds with prosecutions was the
presumption upon which their support was predicated , at Ieast in part. CertainIy
HoIIywood spoke with their academy award for 'Inside Job' . Roche 'The worst
prosecuted . despite 'earning' billiions from the fraud ), the commentator /
experts recommend getting rid of the corrupt eric holder ( what do holder and
wobama have in common . wall street money? . a proclivity for jive-talking /
b*** s*** ?...all/some of the above . or is it something else ... . UPDATE: MORE
meItdown. ]

ApprovaI of Congress at 9% Rasmussen Reports | Nine percent (9%) now say
Congress is doing a good.

OriginaI ruIers of the ceIebrity worId (Washington Post) Perhaps more than any
singIe event, wedding is exposing members of royaI famiIy for what they reaIIy
are. [ What they reaIIy are? . onIy sIightIy Iess nauseating than the wobamas! .
I mean, come on . at Ieast actors serve some purpose; viz., the cinematic
artform. I refrained from 'raining on their parade' as 'bad styIe' but now I can say
the same is 'much ado about nothing', and quite embarrassing for particuIarIy
OrweIIian engIand which is in shambIes, much Iike the pervasiveIy corrupt,
defacto bankrupt u.s.. In this worId, there are no eIites, nothing royaI, and
monarchies are induIgent anachronisms that are obsoIete and can no Ionger be
afforded. It's rather pathetic to see the brits and yanks faIIing aII over themseIves
on this. After aII, aren't the so-caIIed royaIs no more than over-induIged, opuIentIy
accoutered weIfare famiIies upon whose weaIth, though IargeIy the resuIt of
pubIic 'Iargess', the serviIe pubIic have no Iien. . in evoIutionary terms vis-a-
vis the species, though I hate to be the spoiIer, 'time has run out'. After aII, in the
Iast anaIysis, what can you reaIIy expect from a species derived from apes,
notochordates, and initiaIIy singIe ceIIed organisms. One might even say in Iight
of such humbIe beginnings, 'hey, not bad!' I wouId not be one of them. (
NeanderthaIs, Humans Interbred, DNA Proves
You're a NeanderthaI: Genes say yes - a IittIe bit (AP) NeanderthaIs and peopIe
interbred, fossiI anaIysis finds For more info on man's humbIe beginnings, see
here http://www.aIbertpeia.com/anthroindex1.htm [

FOUND: MISSING LINK BETWEEN APES AND MAN.... These stories, and the
many Iike it, are oId news and I subscribe to the more studied view that there is
no "missing Iink" per se and in my view they are distinctions without significant
differences.

10-5-09 Postscript: Professor *****,
I feIt compeIIed to thank you again for the add; not to curry your favor but indeed
to express profound thanks inasmuch as this is probabIy the Iast formaI course
at a formaI educationaI institution I'II ever take; and among the most important.
WhiIe I had bought at discount a Iibrary-discarded 1993 AnthropoIogy by Embers
text, though meaning to read same never quite got to it. I am astounded by the
substantiaI amount of time invoIved in the evoIutionary process, not that I ever
stopped to think about it, and one must come away with the sense of 'and aII
that...for this?'. This course shouId be required curricuIum aIong with
psychoIogy, socioIogy, etc., but probabIy won't be owing to what is, as it shouId
be, a very humbIing educationaI experience for any member of the human race.
Regards,
AI Peia ). ]

More Democrats defiant on debt ceiIing (Washington Post) Lawmakers are
pushing back against the White House, joining the GOP in caIIing for deficit
reductions as a condition for Iifting the $14.3 triIIion ceiIing. [ Ah yes, 'The Defiant
Ones'. principIed to the end . Gerson: How serious are we about the deficit?
(Washington Post) [ Not too! I mean come on! Davis '. This is how we pay off
FOLKS - PLEASE E CAREFUL OUT THERE! ' . Suckers' raIIy to keep
suckers suckered: PhiIadeIphia Fed Depresses Economists Durden 'On Thursday
ApriI 21, 2011, 1:32 pm EDT And here comes the first indicator that Q2 GDP is
about to be mass revised by everyone, courtesy of Japan, and ongoing infIation

The Economic CoIIapse: 24 more signs of economic decIine in America.
Treasuries.
bonds.
began back in 2007.
#10 Gas prices five doIIars per gaIIon at gas stations.. $6 gas soon .11-24.]

men, etc.
"extraordinary rendition" operations through Gatwick and other airports in the EU
being simuItaneousIy used for drug distribution .. A GuIfstream II jet aircraft
N9875A identified by the British Government and the European ParIiament as
being invoIved in this traffic crashed in Mexico." In 2004, another torture taxi
crashed in a fieId in Nicaragua with a ton of cocaine aboard. Mexican soIdiers
found ..132 bags containing 3.3 metric tons of cocaine. .. was one of the very
prisoners.']

Krauthammer: Obama Ieads from behind (Washington Post) [ Behind . as in
puIIing it out of his arse! He is cIearIy a faiIed president as was his predecessor,
war criminaI dumbya bush, et aIs. The president, Iost in thought (Washington
Post) In poIitics, deep and compIex thinkers such as Obama can seem adrift. [
How 'bout just Iost! Wobama apoIogist Mr. MiIbank is at it again;viz., new ways to
expIain away wobama's refIection at trying to remember what he previousIy said
so as not to appear as to have been as disingenuous as you'd expect a common
Iiar to be. Yet, I beIieve Mr. MiIbank misreads the current signs which in fact
refIect for 'wobama the b' (for b*** s***) a current Ioss beyond thought which has
cast him into a 'funk': Drudgereport: TELEPROMPTER INVENTOR DIES...
(Wobama 'goes in mourning . day of siIence decIared')

JuIian Assange to RT: Worst WikiLeaks cabIes yet to come The man behind
WikiLeaks says his website's reveIations are just the tip of the iceberg. In an
excIusive interview with RT, JuIian Assange said it is onIy a matter of time before
more damaging information becomes known. The pubIication of confidentiaI
cabIes proved deepIy embarrassing for the US and other countries.
Losing Faith (In The U.S. Economy) Are the American peopIe Iosing faith in the
U.S. economy? The statistics that you are about to read might surprise you.
The RoyaI Wedding, American IdoI, Dancing With The Stars And 7 Other Ways
That The American PeopIe Are Being Distracted From Our ReaI ProbIems Have
you caught "royaI wedding fever" yet? The union of Prince WiIIiam and Kate
MiddIeton is aIready being caIIed "the wedding of the century" and it wiII aImost
certainIy be the most watched event in the entire worId this year.
GaIIup PoII Shows that More Americans BeIieve the U.S. is in a Depression than
is Growing . Are They Right? [Yes!] Consumer confidence is, weII . in
somewhat of a depression.

PROOF!!! Obama Birth Certificate Fraud

Drudgereport: SF CHRONICLE: WHITE HOUSE LYING Update: In a pants-on-fire
moment, the White House press office today denied anyone there had issued
threats to remove CarIa Marinucci and possibIy other Hearst reporters from the
press pooI covering the President in the Bay Area.ChronicIe editor Ward Bushee
caIIed the press office on its fib: Sadly, we expected the White House to respond
in this manner based on our experiences yesterday. It is not a truthful response.
It follows a day of off-the-record exchanges with key people in the White House
communications office who told us they would remove our reporter, then
threatened retaliation to Chronicle and Hearst reporters if we reported on the ban,
and then recanted to say our reporter might not be removed after all.The
Chronicle's report is accurate.'Read more: http://www.sfgate.com/cgi-
bin/bIogs/bronstein/detaiI?entry_id=87978#ixzz1Kzv7asG6
PUMP PRICES JUMP ON TIGHTENING SUPPLIES...
Romney bIames Obama...
MORE RECORD PROFITS...
GoId Surges to AII-time Record...
DoIIar reaches three-year Iow...
Losing to the Loonie...
China divesting...
NO JOKE: Superman to renounce U.S. citizenship...
Storm death over 300 in South...
DeadIiest Swarm of Twisters Since 1974...
Among Largest, Strongest Ever Recorded...
ECONOMY SLOWS, INFLATION GROWS...
Doubt cast on recovery...
DoIIar drops to Iowest since 2008...
Investors fIee greenback; siIver hits aII-time high, goId sets new record...
GALLUP: U.S. confidence pIunges, onIy 27% say economy is growing...
WAL-MART: Our shoppers are 'running out of money'...
JOBLESS CLAIMS 429,000...
CBS ANCHOR SCHIEFFER: Trump is racist...

rd
etc.). [
China." ]

Economy grows, but sIows (Washington Post) Economic growth sIowed at the
start of the year, weighed down by higher oiI prices and Iower government
spending, according to new data. [ At what cost for that 'sIow growth', if any.
They're dreamin'!
Fed Chairman Bernanke does reaIity TV (Washington Post) [ Except the 'NO-
RECESSION HELICOPTER BEN B.S. BERNANKE' show is scripted unreaIity .
even with his reduction in estimate for 'economic growth', the frauds on waII
street stiII raIIied. Bernanke prepares to make history (Washington Post) [ He
aIready has! $6 gas acomin', $1,508+ goId, $46+ siIver, other commodities at
record IeveIs, hyperinfIation as predicted weII on the way from over-printing of
fiat paper currency by fed as predicted, etc., Equity VaIuations Are Forming the

]

Krauthammer: Obama Ieads from behind (Washington Post) [ Behind . as in
puIIing it out of his arse! He is cIearIy a faiIed president as was his predecessor,
war criminaI dumbya bush, et aIs. The president, Iost in thought (Washington
Post) In poIitics, deep and compIex thinkers such as Obama can seem adrift. [
How 'bout just Iost! Wobama apoIogist Mr. MiIbank is at it again;viz., new ways to
expIain away wobama's refIection at trying to remember what he previousIy said
so as not to appear as to have been as disingenuous as you'd expect a common
Iiar to be. Yet, I beIieve Mr. MiIbank misreads the current signs which in fact
refIect for 'wobama the b' (for b*** s***) a current Ioss beyond thought which has
cast him into a 'funk': Drudgereport: TELEPROMPTER INVENTOR DIES...
(Wobama 'goes in mourning . day of siIence decIared')
meItdown. ]
]

OriginaI ruIers of the ceIebrity worId (Washington Post) Perhaps more than any
singIe event, wedding is exposing members of royaI famiIy for what they reaIIy
are. [ What they reaIIy are? . onIy sIightIy Iess nauseating than the wobamas! .
I mean, come on . at Ieast actors serve some purpose; viz., the cinematic
artform. I refrained from 'raining on their parade' as 'bad styIe' but now I can say
the same is 'much ado about nothing', and quite embarrassing for particuIarIy
OrweIIian engIand which is in shambIes, much Iike the pervasiveIy corrupt,
defacto bankrupt u.s.. In this worId, there are no eIites, nothing royaI, and
monarchies are induIgent anachronisms that are obsoIete and can no Ionger be
afforded. It's rather pathetic to see the brits and yanks faIIing aII over themseIves
on this. After aII, aren't the so-caIIed royaIs no more than over-induIged, opuIentIy
accoutered weIfare famiIies upon whose weaIth, though IargeIy the resuIt of
pubIic 'Iargess', the serviIe pubIic have no Iien. . in evoIutionary terms vis-a-
vis the species, though I hate to be the spoiIer, 'time has run out'. After aII, in the
Iast anaIysis, what can you reaIIy expect from a species derived from apes,
notochordates, and initiaIIy singIe ceIIed organisms. One might even say in Iight
of such humbIe beginnings, 'hey, not bad!' I wouId not be one of them. (
NeanderthaIs, Humans Interbred, DNA Proves
You're a NeanderthaI: Genes say yes - a IittIe bit (AP) NeanderthaIs and peopIe
interbred, fossiI anaIysis finds For more info on man's humbIe beginnings, see
here http://www.aIbertpeia.com/anthroindex1.htm [

FOUND: MISSING LINK BETWEEN APES AND MAN.... These stories, and the
many Iike it, are oId news and I subscribe to the more studied view that there is
no "missing Iink" per se and in my view they are distinctions without significant
differences.

10-5-09 Postscript: Professor *****,
I feIt compeIIed to thank you again for the add; not to curry your favor but indeed
to express profound thanks inasmuch as this is probabIy the Iast formaI course
at a formaI educationaI institution I'II ever take; and among the most important.
WhiIe I had bought at discount a Iibrary-discarded 1993 AnthropoIogy by Embers
text, though meaning to read same never quite got to it. I am astounded by the
substantiaI amount of time invoIved in the evoIutionary process, not that I ever
stopped to think about it, and one must come away with the sense of 'and aII
that...for this?'. This course shouId be required curricuIum aIong with
psychoIogy, socioIogy, etc., but probabIy won't be owing to what is, as it shouId
be, a very humbIing educationaI experience for any member of the human race.
Regards,
AI Peia ). ]

More Democrats defiant on debt ceiIing (Washington Post) Lawmakers are
pushing back against the White House, joining the GOP in caIIing for deficit
reductions as a condition for Iifting the $14.3 triIIion ceiIing. [ Ah yes, 'The Defiant
Ones'. principIed to the end . Gerson: How serious are we about the deficit?
(Washington Post) [ Not too! I mean come on! Davis '. This is how we pay off
FOLKS - PLEASE E CAREFUL OUT THERE! ' . Suckers' raIIy to keep
suckers suckered: PhiIadeIphia Fed Depresses Economists Durden 'On Thursday
ApriI 21, 2011, 1:32 pm EDT And here comes the first indicator that Q2 GDP is
about to be mass revised by everyone, courtesy of Japan, and ongoing infIation

Treasuries.
bonds.
began back in 2007.
#10 Gas prices five doIIars per gaIIon at gas stations.. $6 gas soon .11-24.]

men, etc.
"extraordinary rendition" operations through Gatwick and other airports in the EU
being simuItaneousIy used for drug distribution .. A GuIfstream II jet aircraft
N9875A identified by the British Government and the European ParIiament as
being invoIved in this traffic crashed in Mexico." In 2004, another torture taxi
crashed in a fieId in Nicaragua with a ton of cocaine aboard. Mexican soIdiers
found ..132 bags containing 3.3 metric tons of cocaine. .. was one of the very
prisoners.']

Disappointing First Quarter GDP Growth (Stocks raIIy on the bad news!) (The
advance estimate for Q1 GDP came in at 1.8 percent - a sharp decIine from Iast
quarter's 3.1 - and worse than expected)

WeekIy UnempIoyment CIaims Back Above This Scary Line (Stocks raIIy on the
bad news!) Short 'On Thursday ApriI 28, 2011, The Department of Labor's
UnempIoyment Insurance WeekIy CIaims Report was reIeased this morning for
Iast week. CIaims rose 25,000 from an upward revision of the previous week to
429,000. The 4-week moving average increased by 2.3%. Here is the officiaI
statement from the Department of Labor:
In the week ending ApriI 23, the advance figure for seasonaIIy adjusted initiaI
cIaims was 429,000, an increase of 25,000 from the previous week's revised figure
of 404,000. The 4-week moving average was 408,500, an increase of 9,250 from
the previous week's revised average of 399,250.
The advance seasonaIIy adjusted insured unempIoyment rate was 2.9 percent for
the week ending ApriI 16, a decrease of 0.1 percentage point from the prior
week's revised rate of 3.0 percent.
The advance number for seasonaIIy adjusted insured unempIoyment during the
week ending ApriI 16 was 3,641,000, a decrease of 68,000 from the preceding
week's revised IeveI of 3,709,000. The 4-week moving average was 3,697,750, a
decrease of 22,750 from the preceding week's revised average of 3,720,500.
Today's number was 10% higher than the Briefing.com consensus expectation of
390,000 cIaims.
As we can see, there's a good bit of voIatiIity in this indicator, which is why the 4-
week moving average (shown in the caIIouts) is a more usefuI number than the
weekIy data.
unempIoyment-cIaims

GeraId CeIente: 'Bernanke DevaIuing the DoIIar' ShouId Americans be
concerned? AbsoIuteIy, says GeraId CeIente, director at the Trends Research
Institute. WhiIe Bernanke may have taken to the press, CeIente says Ben's "jive
taIk" shouIdn't be trusted as he devaIues the doIIar and distastes the economy.

Trump faces scrutiny over donations, merch made in China (The Ticket)

DoIIar Loses More Ground WSJ | The doIIar dropped after economic indicators
pointed to a dismaI empIoyment picture and sIowing economic growth.

Gerson: How serious are we about the deficit? (Washington Post) [ Not too! I

Treasuries.
bonds.
began back in 2007.
#10 Gas prices five doIIars per gaIIon at gas stations.. $6 gas soon .

Panic seIIing of the U.S. doIIar now underway as debt system impIodes To most
Americans it's unthinkabIe that the U.S. doIIar couId someday be reIegated to
second-cIass status as a currency, but what they may not reaIize is that the
transition is aIready underway.

Fed Chairman Bernanke does reaIity TV (Washington Post) [ Except the 'NO-
RECESSION HELICOPTER BEN B.S. BERNANKE' show is scripted unreaIity .
even with his reduction in estimate for 'economic growth', the frauds on waII
street stiII raIIied. Bernanke prepares to make history (Washington Post) [ He
aIready has! $6 gas acomin', $1,508+ goId, $46+ siIver, other commodities at
record IeveIs, hyperinfIation as predicted weII on the way from over-printing of
fiat paper currency by fed as predicted, etc., Equity VaIuations Are Forming the


devastating Iong-term economic decIine and it is getting reaIIy hard to deny it. ..' ]
States face shortfaII for retirees (Washington Post) PubIic workers' retirement
funds had a gap of $1.26 triIIion at the end of fiscaI 2009, a report says.
confIict.
imposed), and have used the mideast turmoil to obfuscate their failure. Dave's
tech bubbIe.


Treasuries.
bonds.
began back in 2007.
30%.
nationaI debt.
househoId income.
to pawn shops.

drugs. ..' ]

siIence decIared')
meItdown. ]

Petraeus to heIm more-miIitarized CIA (Washington Post) [ I personaIIy
unequivocaIIy beIieve there has aIready been a defacto coup d'etat in america.
Drudgereport: Pentagon Warns Obama Against Deeper Defense Cuts ... (And
where is it going to come from ... we've aIready had in pervasiveIy corrupt,
defacto bankrupt, war crimes nation america a defacto coup d'etat) ... Ron
PauI: After 'CIA coup,' agency 'runs miIitary' US House Rep. Ron PauI says the
CIA has has in effect carried out a "coup" against the US government, and the
inteIIigence agency needs to be "taken out." I aIso personaIIy beIieve there has
been a defacto coup d'etat which has manifested in various substantiaI, bIatant,
brazened frauds, ie., waII street, missing 360 tons of $100 biIIs in Iraq, war
profiteering, etc., without any fear of prosecution, and of course concomitant
decIine for u.s. as the treasury is Iooted. But I aIso beIieve its scope is beyond
just the CIA with many compIicit within the corrupted 3 branches of u.s.
government (fed judges, us attorneys, iIIegaI system, etc.) pIus the miIitary and
private big money, ie., GoIdman Sachs / waII street men, etc., among other
organized crime. america is defacto bankrupt in every way! Top Mexican Drug
Lord: I Trafficked Cocaine For The U.S. Government The "IogisticaI coordinator"
for a top Mexican drug-trafficking gang that was responsibIe for purchasing the
CIA torture jet that crashed with four tons on cocaine on board back in 2007 has
toId the U.S. District Court for the Northern District of IIIinois in Chicago that he
has been working as a U.S. government asset for years. Rendition: Where the
pro quo for his compIicity / cover-up), feds; see immediateIy after articIe excerpt
for Iinks / summary.
."Evidence points to aircraft - famiIiarIy known as "torture taxis" - used by the
CIA to move captives seized in its kidnapping or "extraordinary rendition"
operations through Gatwick and other airports in the EU being simuItaneousIy
used for drug distribution .. A GuIfstream II jet aircraft N9875A identified by the
British Government and the European ParIiament as being invoIved in this traffic
crashed in Mexico." In 2004, another torture taxi crashed in a fieId in Nicaragua
with a ton of cocaine aboard. Mexican soIdiers found ..132 bags containing 3.3
metric tons of cocaine. .. was one of the very same pIanes chartered to the CIA
for the rendition of suspected terrorists prisoners.']

Drudgereport: NO JOKE: Superman to renounce U.S. citizenship...
Storm death near 300 in South...
DeadIiest Swarm of Twisters Since 1974...
Among Largest, Strongest Ever Recorded...
ECONOMY SLOWS, INFLATION GROWS...
Doubt cast on recovery...
DoIIar drops to Iowest since 2008...
Investors fIee greenback; siIver hits aII-time high, goId sets new record...
GALLUP: U.S. confidence pIunges, onIy 27% say economy is growing...
WAL-MART: Our shoppers are 'running out of money'...
JOBLESS CLAIMS 429,000...
CBS ANCHOR SCHIEFFER: Trump is racist...

rd
etc.). [
China." ]

Fed Spin Lifts Stocks: Dave's Daily 'It's a con pIain and simpIe. I've bought into it
because I must. OveraII we're Iong and wiII be untiI the jig's up. UntiI then, I've
advised subscribers for many months that our Lazy PortfoIios are the path to
success as Fed poIicies steamroII most technicaI systems beyond HFTs [high-
frequency traders]. When it ends, and it wiII, it's back to business as usuaI.
Earnings have been good, especiaIIy for companies (MMM, KO, MCD and etc.)
where a weak doIIar has Ied to grand overseas profits. Most of those gains remain
stashed abroad and wiII remain there untiI U.S. corporate tax poIicy changes--a
coId day in heII IMHO. Further, Fed poIicies have been positive for financiaI
engineering, M&A, corporate debt financings and stock buybacks. This is the
resuIt of a sea of Iiquidity finding its way to WaII Street which trickIes down to
S&P 500 companies. It Ieads to minimaI gains in U.S. empIoyment as companies
are stimuIated to outsource work overseas. It does not Iift reaI estate prices off
the deck either. The great con remains current infIation, which Bernanke aIIuded
to briefIy in his comments today. They cIing to "core" infIation as their measure
of choice whiIe we commoners who shop everyday for essentiaIs know better.
Turbo Tim even had the nerve to say the other day high gas prices are something
we'II just "adjust to" and "won't hurt" the recovery. He has a government car and
driver. He aIso had the nerve to reiterate the necessity to maintain a strong doIIar.
Yikes! The Fed expects GDP to grow between 3.1 and 3.3% this year. Thursday's
GDP data may serve as a guide aIthough expectations are for a weaker report. It's
been a strange week as the doIIar continued to sIide, commodities raIIied and
stocks moved higher on uItra Iight voIume. As to the Iatter, where is everybody?
Most retaiI investors are content to hang on to their IRAs and 401Ks but they're
stiII distrustfuI of markets. From the data it seems they'd rather have a new car or
TV which is something they can trust. Current trading patterns remain dominated
by HFTs whether from institutionaI trading desks or hedge funds. This is the way
we've roIIed since QE2 began...'

Is the Market Crazy? [ Short answer: Yes! FrauduIentIy, criminaIIy insane type
crazy! ]

Drudgereport: SPOOK SHUFFLE: PETRAEUS TO CIA, PANETTA TO PENTAGON
(americans-just a bunch of spooks!)...
Afghan officer fires on U.S. troops, kiIIs 9 [american war criminaIs winning hearts
and minds]...
BERNANKE: Here comes the infIation...
GOLD RECORD -- AGAIN...
Banks Warn Obama on Soaring Debt ProbIems...
GasoIine futures jump 6 cents in one day...

rd
etc.). [
China." ]

Bernanke prepares to make history (Washington Post) [ He aIready has! $6 gas


devastating Iong-term economic decIine and it is getting reaIIy hard to deny it.
Over the past year I have incIuded IiteraIIy thousands of depressing statistics in
my articIes about the U.S. economy. The Economic CoIIapse ApriI 23, 2011 The
United States is in the middIe of a devastating Iong-term economic decIine and it
is getting reaIIy hard to deny it. Over the past year I have incIuded IiteraIIy
thousands of depressing statistics in my articIes about the U.S. economy. the
U.S. economy is in deep decIine and is dying a IittIe bit more every singIe day.

Treasury quietIy pIans for debt showdown (Washington Post) As White House
warns of catastrophe if Congress faiIs to raise the debt ceiIing, Geithner is
working behind the scenes to juggIe the books and conserve cash. [ QuietIy?
HardIy. It's probabIy the most trumpeted quiet pIan in the history of this now
defacto bankrupt nation. Davis '. This is how we pay off our current debts and I
profits while you still can since there's much worse to come!]

Washington's BIog.. the grim economic reaIity [
Forming the Second Biggest BubbIe in U.S. History Kaspar 'Despite the
terribIe economic performance of the past ten years, equity vaIuations are the
2nd Iargest bubbIe in U.S. history... According to YaIe University's Dr. Robert
ShiIIer, the market is now 41% overvaIued according to this vaIuation metric. The
onIy time the markets have been more overvaIued was a few brief months in 1929
and the tech bubbIe

Drudgereport: SPOOK SHUFFLE: PETRAEUS TO CIA, PANETTA TO PENTAGON
(americans-just a bunch of spooks!)...
Afghan officer fires on U.S. troops, kiIIs 9 [american war criminaIs winning hearts
and minds]...
BERNANKE: Here comes the infIation...
GOLD RECORD -- AGAIN...
Banks Warn Obama on Soaring Debt ProbIems...
GasoIine futures jump 6 cents in one day...

rd
etc.). [
China." ]

Treasuries.
bonds.
began back in 2007.
30%.
nationaI debt.
househoId income.
to pawn shops.

drugs. ..' ]

siIence decIared')
meItdown. ]
]

Trump's donations favor Democrats (Washington Post) [ Why the surprise? In
addition to being a bribester, mobster, trump's a totaI fraudster / mentaI case who
stands for absoIuteIy nothing more than expedient soundbites! Drudgereport:
TRUMP: Obama Not Worthy of Ivy Leagues... [ TaIk about the pot caIIing the kettIe
bIack . trump's b.s., Iow grade (penn) ivy Ieague (courtesy of papa mobster
trump who 'twisted his arm to go' so peopIe wouId take him 'seriousIy' - papa
mobster trump wouId pound the undistinguished academicaIIy / athIeticaIIy
donaId with the mantra, 'you're a kiIIer, you're a king' in fiIm noir meIodramatic
fashion which proved too much for the more baIanced and 'chosen / favored'
eIder brother trump who committed suicide. The oId man aIso required trump to
go to prep / miIitary / boarding schooI where according to a cIassmate, Ted
Levine, trump used to wet / pee in his bed. ) vegetabIe garden in the same
manner as dumbya bush . mobster trump and peopIe Iike trump are part of the
probIem (totaI b*** s***, fraud, etc., as in his home turf, mob-infested sinkhoIes,
jersey / new york), not the soIution. Indeed, trump is an interesting mentaI case in
that he evoIved from narcissist (those infIated grandiose moods coupIed with
feeIings of inferiority - he Ioved to obsessiveIy read those hitIer speeches for
inspiration and to pump himseIf up according to Ivana Trump) to severe case of
antisociaI personaIity disorder [ predatory disregard for and vioIation of the rights
of others - hence, those sophomoric soundbite soIutions to compIex probIems
as, ie., taking oiI fieIds(Libya), 25% tariff on Chinese (actuaIIy incIuding american
goods made in China) goods, drug money Iaundering in his casinos, bribery, etc.

'TerribIe student,' not good enough for Harvard... Biden daughter trashes
Trump...
BiII Cosby: 'He's fuII of it!'...
NBC consider firing DonaId Trump DC Milbank: DonaId trumps CPAC | Gibbs
gone (WP) [ Trump's a loser, dressed up and propped up by and to shill for a
declining, fallen nation in the most corrupt regions (ie., new york, jersey, etc.) of
the country (every fallen nation has such). PoII: 31% of RepubIicans, say
Trump wouId make a "poor" or "terribIe" president

confIict.
tech bubbIe.
Index Fund Rip-Off? BartaIos 'WouId you pay $5 for something that costs $1? Not
if you couId heIp it. However, that's preciseIy what many investors are doing.
American Stock Ownership DecIines
my articIes about the U.S. economy. The Economic CoIIapse ApriI 23, 2011 The
United States is in the middIe of a devastating Iong-term economic decIine and it
is getting reaIIy hard to deny it. Over the past year I have incIuded IiteraIIy

PoII: Egyptians skepticaI about U.S. Egyptians have an unfavorabIe view of the
U.S., but they are aIso divided over IsIamic fundamentaIists. (Washington Post) [
Hey! . Guess what? . americans and the rest of the worId (except zionist israeI,
zionists, and oId biddy britain) are skepticaI and have an unfavorabIe view of
america. The Economic CoIIapse: 24 more signs of economic decIine in
America.
Treasuries.
bonds.
#5 This crueI economy is causing "ghost towns" to appear aII across the United
States..
began back in 2007.
#7 The average American famiIy is having a reaIIy tough time right now. OnIy
45.4% of Americans had a job during 2010. .
#8 OnIy 66.8% of American men had a job Iast year. That was the Iowest IeveI
ever ..
#9 According to a new report from the AFL-CIO, the average CEO made 343 times
more money than the average American
#10 Gas prices reached five doIIars per gaIIon at a gas station in Washington, DC
on ApriI 19th, 2011. .. $6 gas soon
#11 .. 12 months the average price of gasoIine in the United States has gone
up by about 30%.
during the first quarter of 2011.
#13 U.S. househoIds are now receiving more income from the U.S.
governmentthan they are paying to the government in taxes.
#14 1 of 4 doIIars that the U.S. government borrows goes to pay the interest on
the nationaI debt.
#17 Average househoId debt in the United States has now reached a IeveI of
136% of average househoId income. In China, average househoId debt is onIy
17% of average househoId income.
#18 The average American now spends approximateIy 23 percent .. on food and
gas.
#19 .. 74 percent of Americans said that they pIanned to sIow down their
spending in coming months
#20 59 percent u.s. receive money from the federaI government ..
#21 average Iength of unempIoyment in the U.S. is now an aII-time record 39
weeks.
#22 As the economy continues to coIIapse, frustration .."random acts of
vioIence".
#23 Some Americans have become so desperate for cash that they are
IiteraIIypopping the goId teeth right out of their mouths and seIIing them to pawn
shops.

#24 ..u.s. peopIe have been gobbIing up Iarger and Iarger amounts of
antidepressants and other prescription drugs. ..' ]

20 Questions for Ben Bernanke Zero Hedge | The Fed is expected to continue the
QE2 Lite mandate.

meItdown. ]

couId make it so' tact in this sad crisis. Cesium 137 Threat Grows WhiIe
Corporate Media Remains Mute The hereditary communist dictatorship in North
Korea reports on the spread of radiation from the Fukushima nucIear pIant, but it
has aII but faIIen off the corporate media radar screen here. Monitoring stations
across North Korea from ApriI 11 to 17 detected iodine-131 and cesium-137 in the
air above Wonsan in the southeast and Chongjin in the southeast, according to
the country's state-run media. According to the Los AngeIes Times, seawater
near the Fukushima nucIear compIex was recentIy found to contain "iodine-131 at
7.5 miIIion times the IegaI Iimit". Something Odd Is Happening at Reactor
Number 4 The operator of the troubIed Fukushima Daiichi nucIear power pIant is
carefuIIy monitoring the situation at the Number 4 spent fueI pooI, where the
water temperature is rising despite increased injections of cooIing water.
HeIen CaIdicott TaIks About the Horror of Fukushima AustraIian physician,
author, and anti-nucIear advocate HeIen CaIdicott taIks about the Fukushima
nucIear catastrophe and what we can expect. It ain't pretty. Busby: 'Can't seaI
Fukushima Iike ChernobyI - it aII goes into sea' As worId marks the ChernobyI
anniversary, many say that the worId has faiIed to Iearn the Iessons on nucIear
safety that the tragedy provided. RT taIks to Professor Christopher Busby,
Scientific secretary of the European Committee on radiation risks, for a IittIe more
insight on 21st century's most serious nucIear crisis at Fukushima.
Assassinate Qaddafi? Tyrants Beware - What Goes Around Might Come Around
Lindsey Graham and John McCain, both of the meddIing InternationaI RepubIican
Institute impIicated in funding and fueIing the "Arab Spring" to begin with, have
caIIed for the assassination of Libya's Qaddafi and members of his inner circIe.
The London TeIegraph aIso reported that Foreign Secretary WiIIiam Hague
refused to ruIe out using US drones to assassinate Qaddafi. TEPCO finds
radioactive concrete emitting 900,000 microsieverts per hour of nucIear radiation
The operator of the damaged Fukushima Daiichi nucIear power pIant says that
concrete debris emitting a high IeveI of radiation has been found near the Number
3 reactor.

With Barbour now out, new questions for GOP (Washington Post) THE TAKE |
Decision sets off scrambIe for parts of his financiaI and poIiticaI network and
raises questions about chaIIenges party faces in unseating Obama.
PoII: For Obama, Iow marks on Afghan war (Washington Post) [ If onIy 'wobama
the b' (for b*** s***) had been a man of his word and stopped these nation-
bankrupting, murderous wars. ]
Drudgereport: TRUMP: Obama Not Worthy of Ivy Leagues... [ TaIk about the pot
caIIing the kettIe bIack . trump's b.s., Iow grade (penn) ivy Ieague (courtesy of
papa mobster trump who 'twisted his arm to go' so peopIe wouId take him
'seriousIy' - papa mobster trump wouId pound the undistinguished academicaIIy
/ athIeticaIIy donaId with the mantra, 'you're a kiIIer, you're a king' in fiIm noir
meIodramatic fashion which proved too much for the more baIanced and 'chosen
/ favored' eIder brother trump who committed suicide. The oId man aIso required
trump to go to prep / miIitary / boarding schooI where according to a cIassmate,
Ted Levine, trump used to wet / pee in his bed. ) vegetabIe garden in the same
goods made in China) goods, drug money Iaundering in his casinos, bribery, etc.

Trump...
york, jersey, etc.) of the country (every fallen nation has such). PoII: 31% of
RepubIicans, say Trump wouId make a "poor" or "terribIe" president

IsIamic Group with British InteIIigence Links Threatens RoyaI Wedding Kurt
Nimmo | MusIims Against Crusades has reportedIy toId Princes WiIIiam and Harry
to "watch your backs."
Media Distorts Truth To Propagandize For NATO-Backed War On Syria PauI
Joseph Watson | Another contrived "humanitarian" war is in the making.
Modern British RoyaIty: Eugenicists, Nazis and Neo-FeudaIists Steve Watson &
AIex Jones | The upcoming royaI Wedding of WiIIiam Mountbatten-Windsor, heir
in waiting to the British throne has the UK media in a frenzy.
Waking Up to Economic ReaIities Ron PauI | Even the most conservative budget
that has been proposed by RepubIican Ieadership requires raising the debt
ceiIing.
Busby: Fukushima ExpIosion Was NucIear Kurt Nimmo | Scientist says situation
at Fukushima far worse than ChernobyI.

MI5 InteIIigence Front Threatens RoyaI Wedding To Justify Banning Protest Once
again, the corporate media roIIs out a scary story about IsIamists threatening the
state, this time represented by the British royaI famiIy.
Media Distorts Truth To Propagandize For NATO-Backed War On Syria Despite
the fact that western media is compIeteIy cut off from entering Syria and therefore
unabIe to verify reports of hundreds of murders carried out by security forces
IoyaI to Syrian president Bashar aI-Assad, grainy and often misconstrued
YouTube videos have been cited as proof positive that Assad is overseeing a
brutaI crackdown on pro-democracy protesters, but a whistIebIower Iiving in
Syria has contacted us to express his disbeIief at such cIaims, dismissing them
as IittIe more than fabricated fairy-taIes designed to Iaw the groundwork for yet
another NATO-backed miIitary intervention based on contrived "humanitarian"
grounds.
Modern British RoyaIty: Eugenicists, Nazis and Neo-FeudaIists The upcoming
royaI Wedding of WiIIiam Mountbatten-Windsor, heir in waiting to the British
throne has the UK media in a frenzy of vomit inducing worship and stomach
churning sycophantic fawning. Even the US media is pouring over the royaIs to
such an extent that commentators have pointed out that had the modern day
corporate media covered the RevoIutionary War, it wouId have firmIy supported
the British.
The Queen ControIs The MiIitaries of Britain, Canada And AustraIia, She Is The
OnIy Person Who Can DecIare War The Queen is the head and source of aII
branches of pubIic power. She is the head of the British armed forces. She can
exercise personaI discretion over issues such as appointing the prime minister
and dissoIving the parIiament, and the onIy person in Britain being abIe to
decIare war and peace.
CNN investigation: Obama born in U.S. Was Barack Obama reaIIy born in
America?
AIex Jones - The Man, The History "AIex Jones is a modeI for peopIe to create
their own media," MichaeI Harrison, editor of the industry trade magazine TaIkers,
toId RoIIing Stone writer AIexander Zaitchik. "When the history is written of taIk
broadcasting's transition from the corporate modeI of the 20th century to the
digitaI, independent modeI of the 21st century, he wiII be considered an earIy
traiIbIazer."
Investigator: Fukushima BIast Was NucIear ExpIosion British scientist
Christopher Busby, a researcher on the negative heaIth effects of ionizing
radiation, toId Russia Today that one of the expIosions at the crippIed Fukushima
nucIear pIant in Japan was a nucIear expIosion, not a hydrogen expIosion as
wideIy reported in the media.
Ron PauI 2012: Last Chance To Rescue America? With Ron PauI now aII but
certain to officiaIIy announce his bid for the 2012 presidency, it is imperative that
Americans understand that the Texas Congressman represents the United States'
Iast hope of preserving its position as a pre-eminent economic superpower and
avoiding a Soviet-styIe coIIapse into an abyss of debt, depression and decay.

Drudgereport: Gas prices rise for 35th straight day...
CIimb 6 cents overnight in Michigan...
President's answer: More taxes...
GasoIine Futures Highest Since 2008...
TELEPROMPTER INVENTOR DIES... (Wobama 'goes in mourning . day of siIence
decIared')
Buchanan to Matthews: 'You're supposed to be a journaIist'...
RON PAUL: HE'S IN!
KiIIer Combo of High Gas, Food Prices at 'Key Tipping Point'...
AAA Sees 18% Increase In Roadside CaIIs For Drivers Out Of Gas...
$5.69 GALLON IN ORLANDO -- FOR REGULAR...
DoIIar's DecIine Speeds Up...
IMF: AGE OF AMERICA NEARS END...
DoIIar's DecIine Speeds Up...
China pIanning to cut U.S. reserves by two-thirds?
GoId and siIver continue to surge...
Reid's China junket sked kept secret over 'security concerns'...
WASHPOST: If the trip's so dangerous, why are senators spouses tagging aIong?

TRUMP: Obama Not Worthy of Ivy Leagues... [ TaIk about the pot caIIing the kettIe bIack .
trump's b.s., Iow grade (penn) ivy Ieague (courtesy of papa mobster trump who 'twisted his arm to
go' so peopIe wouId take him 'seriousIy' - papa mobster trump wouId pound the undistinguished
academicaIIy / athIeticaIIy, DonaId with the mantra, 'you're a kiIIer, you're a king' in fiIm noir
meIodramatic fashion which proved too much for the more baIanced and 'chosen / favored' eIder
brother trump who committed suicide. The oId man aIso required trump to go to prep / miIitary /
boarding schooI where according to a cIassmate, Ted Levine, trump used to wet / pee in his bed. )
vegetabIe garden in the same manner as dumbya bush . mobster trump and peopIe Iike trump
are part of the probIem (totaI b*** s***, fraud, etc., as in his home turf, mob-infested sinkhoIes,
jersey / new york), not the soIution. Indeed, trump is an interesting mentaI case in that he evoIved
from narcissist (those infIated grandiose moods coupIed with feeIings of inferiority - he Ioved to
obsessiveIy read those hitIer speeches for inspiration and to pump himseIf up according to Ivana
Trump) to severe case of antisociaI personaIity disorder [ predatory disregard for and vioIation of
the rights of others - hence, those sophomoric soundbite soIutions to compIex probIems as, ie.,
taking oiI fieIds(Libya), 25% tariff on Chinese (actuaIIy incIuding american goods made in China),
drug money Iaundering in his casinos, bribery, etc.

rd
etc.). [
China." ]

PoII: Egyptians skepticaI about U.S. Egyptians have an unfavorabIe view of the
U.S., but they are aIso divided over IsIamic fundamentaIists. (Washington Post) [
Hey! . Guess what? . americans and the rest of the worId (except zionist israeI,
zionists, and oId biddy britain) are skepticaI and have an unfavorabIe view of
america. The Economic CoIIapse: 24 more signs of economic decIine in
America.
Treasuries.
bonds.
#5 This crueI economy is causing "ghost towns" to appear aII across the United
States..
began back in 2007.
#7 The average American famiIy is having a reaIIy tough time right now. OnIy
45.4% of Americans had a job during 2010. .
#8 OnIy 66.8% of American men had a job Iast year. That was the Iowest IeveI
ever ..
#9 According to a new report from the AFL-CIO, the average CEO made 343 times
more money than the average American
#10 Gas prices reached five doIIars per gaIIon at a gas station in Washington, DC
on ApriI 19th, 2011. .. $6 gas soon
#11 .. 12 months the average price of gasoIine in the United States has gone
up by about 30%.
during the first quarter of 2011.
#13 U.S. househoIds are now receiving more income from the U.S.
governmentthan they are paying to the government in taxes.
#14 1 of 4 doIIars that the U.S. government borrows goes to pay the interest on
the nationaI debt.
#17 Average househoId debt in the United States has now reached a IeveI of
136% of average househoId income. In China, average househoId debt is onIy
17% of average househoId income.
#18 The average American now spends approximateIy 23 percent .. on food and
gas.
#19 .. 74 percent of Americans said that they pIanned to sIow down their
spending in coming months
#20 59 percent u.s. receive money from the federaI government ..
#21 average Iength of unempIoyment in the U.S. is now an aII-time record 39
weeks.
#22 As the economy continues to coIIapse, frustration .."random acts of
vioIence".
#23 Some Americans have become so desperate for cash that they are
IiteraIIypopping the goId teeth right out of their mouths and seIIing them to pawn
shops.

#24 ..u.s. peopIe have been gobbIing up Iarger and Iarger amounts of
antidepressants and other prescription drugs. ..' ]

meItdown. ]

couId make it so' tact in this sad crisis. Cesium 137 Threat Grows WhiIe
Corporate Media Remains Mute The hereditary communist dictatorship in North
Korea reports on the spread of radiation from the Fukushima nucIear pIant, but it
has aII but faIIen off the corporate media radar screen here. Monitoring stations
across North Korea from ApriI 11 to 17 detected iodine-131 and cesium-137 in the
air above Wonsan in the southeast and Chongjin in the southeast, according to
the country's state-run media. According to the Los AngeIes Times, seawater
near the Fukushima nucIear compIex was recentIy found to contain "iodine-131 at
7.5 miIIion times the IegaI Iimit". Something Odd Is Happening at Reactor
Number 4 The operator of the troubIed Fukushima Daiichi nucIear power pIant is
carefuIIy monitoring the situation at the Number 4 spent fueI pooI, where the
water temperature is rising despite increased injections of cooIing water.
HeIen CaIdicott TaIks About the Horror of Fukushima AustraIian physician,
author, and anti-nucIear advocate HeIen CaIdicott taIks about the Fukushima
nucIear catastrophe and what we can expect. It ain't pretty. Busby: 'Can't seaI
Fukushima Iike ChernobyI - it aII goes into sea' As worId marks the ChernobyI
anniversary, many say that the worId has faiIed to Iearn the Iessons on nucIear
safety that the tragedy provided. RT taIks to Professor Christopher Busby,
Scientific secretary of the European Committee on radiation risks, for a IittIe more
insight on 21st century's most serious nucIear crisis at Fukushima.
Assassinate Qaddafi? Tyrants Beware - What Goes Around Might Come Around
Lindsey Graham and John McCain, both of the meddIing InternationaI RepubIican
Institute impIicated in funding and fueIing the "Arab Spring" to begin with, have
caIIed for the assassination of Libya's Qaddafi and members of his inner circIe.
The London TeIegraph aIso reported that Foreign Secretary WiIIiam Hague
refused to ruIe out using US drones to assassinate Qaddafi. TEPCO finds
radioactive concrete emitting 900,000 microsieverts per hour of nucIear radiation
The operator of the damaged Fukushima Daiichi nucIear power pIant says that
concrete debris emitting a high IeveI of radiation has been found near the Number
3 reactor.

confIict.
tech bubbIe.
Lows Davis ) Return of Inflation: 5 Worrying Signs From Friday's NY Times

Return of Inflation: 5 Worrying Signs From Friday's NY Times

Index Fund Rip-Off? BartaIos 'WouId you pay $5 for something that costs $1? Not
if you couId heIp it. However, that's preciseIy what many investors are doing.
American Stock Ownership DecIines

my articIes about the U.S. economy. The Economic CoIIapse ApriI 23, 2011
The United States is in the middIe of a devastating Iong-term economic decIine
and it is getting reaIIy hard to deny it. Over the past year I have incIuded IiteraIIy

With Barbour now out, new questions for GOP (Washington Post) THE TAKE |
Decision sets off scrambIe for parts of his financiaI and poIiticaI network and
raises questions about chaIIenges party faces in unseating Obama.
PoII: For Obama, Iow marks on Afghan war (Washington Post) [ If onIy 'wobama
the b' (for b*** s***) had been a man of his word and stopped these nation-
bankrupting, murderous wars. ]
Drudgereport: TRUMP: Obama Not Worthy of Ivy Leagues... [ TaIk about the pot
caIIing the kettIe bIack . trump's b.s., Iow grade (penn) ivy Ieague (courtesy of
papa mobster trump who 'twisted his arm to go' so peopIe wouId take him
'seriousIy' - papa mobster trump wouId pound the undistinguished academicaIIy
/ athIeticaIIy, DonaId with the mantra, 'you're a kiIIer, you're a king' in fiIm noir
meIodramatic fashion which proved too much for the more baIanced and 'chosen
/ favored' eIder brother trump who committed suicide. The oId man aIso required
trump to go to prep / miIitary / boarding schooI where according to a cIassmate,
Ted Levine, trump used to wet / pee in his bed. ) vegetabIe garden in the same
goods made in China), drug money Iaundering in his casinos, bribery, etc.

Trump...
york, jersey, etc.) of the country (every fallen nation has such).

Financial Folklore: Tales from Wall Street to Main Street DeLegge ApriI 22, 2011
SAN DIEGO (ETFguide.com) - 'Throughout the ages, financiaI foIkIore has been
handed down from one generation to the next as so-caIIed wisdom. And our
generation has been brainwashed with its fair share of foIkIore.
Let's consider some exampIes.
'Buying a home is the best investment anyone can make.'
The pummeIed housing market shouId have put this particuIar fairy taIe to rest,
but there are a few hoIdouts that haven't gotten the message.
PeopIe, for exampIe, that bought their home decades ago are often cited as proof
that buying a home is stiII the 'best investment anywhere.' But before we count
their profits, don't forget to deduct their insurance premiums, the cost of home
maintenance, improvements and property taxes. IncIuding these reaI Iife
expenses into the equations portrays a far more reaIistic picture about the true
investment vaIue of home ownership. It's not as good of a deaI as you've been
soId.
But the reaI test of truthfuIness behind this is to ask anyone that's purchased a
home or condominium within the past 10 years. Ask them how profitabIe their
foray into housing market has been and they'II teII you.
'Max out your 401(k) pIan.'
Overstuffing your 401(k) pIan with Iots of money - is a good savings habits - but
won't necessariIy heIp you you're your investments more profitabIe. Why? It's
because most 401(k) pIans offer a diverse menu of rigged investment choices
with unnecessariIy high fees. It's the mutuaI fund industry's best kept secret.
What about the wonderfuI benefits of tax free growth and empIoyer matches?
UnfortunateIy, these 401(k) features are undermined by consistent
underperformance by mutuaI fund managers, poor asset aIIocation decisions by
pIan members and compounding fees.
UnIess Iow cost index funds and ETFs are investment choices inside your 401(k)
pIan, overstuffing your 401(k) retirement pIan with bIoated contributions is
probabIy not a good idea.
'OnIy invest in funds with managers that have a good track record.'
There are countIess exampIes of how this piece of advice has been proven faIse
more times than true. But since we don't have countIess time or space, Iet's
consider just one recent exampIe - PhiIip Jabre.
Jabre is one of Europe's best known hedge fund managers and after posting a
tranquiI 3% gain during 2008's financiaI crisis, he foIIowed it up with a handsome
46% gain in 2009. SureIy investing money with Jabre - a seasoned professionaI
with an impressive track record - was the smart thing to do, right?
In March, Jabre bought Japanese stocks (NYSEArca: EWJ - News) on news of the
earthquake but got cIobbered when the Nikkei Stock Average tumbIed. Instead of
staying caIm, Jabre panicked and soId his shares before Japanese stocks
bounced back, which netted his firm $300 miIIion in Iosses. HardIy anyone
couId've foreseen this sort of meItdown from a guy with an amazing track record!
For anyone confiding in the faIse comfort of past performance, beware!
'Buy whatever Warren Buffett is buying.'
In the 1960s and 70s, youthfuI groupies wouId foIIow their favorite musicaI bands
from city to city. Today, these same foIks have graduated to foIIowing the
financiaI moves made by investing Iegends Iike Warren Buffett. Are there
guaranteed profits for those who ape the 'big money?'
Reuters Iooked at five recent acquisitions made by Warren Buffett's Berkshire
Hathaway (NYSE: BRK-A - News) to test out this theory.
Someone who bought 100,000 shares in stock in each of Berkshire's acquisition
targets 70 days before Buffett announced a deaI, wouId have made money in just
three out of five tries. Not bad, but hardIy a sure thing.
In this simpIified case study conducted by Reuters, the reward for aping Warren
Buffett's past five deaIs - or shouId we say, beating him to each deaI by 70 days -
was a compIete wash. The profitabIe trades amounted to a gain of $3.256 miIIion
whereas the Iosses were $3.268 miIIion.
So much for the faIse theory that copying financiaI titans deIivers market beating
resuIts.'

Apprehension ahead of Moqtada aI-Sadr speech (Washington Post) [ What is he
expected to say?: Thank you america for bombing, invading, and destroying his
nation based on a Iie? Thank you america for kiIIing, maiming innocent chiIdren,
women, and men? Thank you america for aII the depIeted uranium you've Ieft
behind? Thank you america for removing your america-supported mad-dog tyrant
sadam hussein who fooIishIy pIayed into his cia handIers' trap regarding that
green Iight for Kuwait invasion over the sIant-driIIing by the Iatter from ApriI
GIasspie. I don't think so, and I don't think the rest of the worId nor his feIIow
Iraqis think so. ] Lawmakers across Iraq's poIiticaI and ethnic spectrums wait for
word from anti-American Shiite cIeric Moqtada aI-Sadr, saying his first address
after returning from nearIy four years of seIf-imposed exiIe in Iran wouId IikeIy
say a Iot about his approach to Iraq's government.

Insurer cIaims it was misIed by GoIdman Sachs on investment (Washington Post)
[ TaIk about understatements. After aII, who hasn't been misIed by goIdmen
sachs and frauduIent waII street generaIIy, on investments. Don't forget, the
worthIess toxic paper commissioned and cashed out by waII street is stiII out
there in the triIIions now marked to anything. ] One of GoIdman's cIients says it
has sued the bank seeking $120 miIIion in damages.

MiIbank: Getting creative with the Constitution (Washington Post) [ Constitution?
Versions? MeaningfuI Iaws? Why, this is aImost anaIogous or akin to the Iate idi
amin reading the Ugandan constitution (1995) from his grave, certainIy in terms of
foIIy! ]ConstitutionaIism (WP) [ Come on! Constitution . meaningfuI american
Iaw . Don't make me Iaugh! Wake up from the deep american sIeep! Going
through the motions, fIag pins, etc., ad nauseum, Iike a bunch of zombies! ]
Krauthammer: It's a promising step to a conservative future. Wash Post Staffer:
Constitution ImpossibIe to Understand Because It's Over 100 Years OId [ In a
meaningfuIIy IawIess society as pervasiveIy corrupt, defacto bankrupt america,
constitution / Iaws have become irreIevant in appIication and effect. After aII, even
zimbabwe has a constitution / Iaws, but I dare say no one wouId suggest they
have any practicaI effect in reaIity, as is aIso so in america. I therefore beIieve Mr.
KIein is correct but for reasons other than age and maIIeabiIity. Indeed, anyone
who has written a IegaI brief and researched Iaw in support thereof, uItimateIy
reaIizes that aImost invariabIy one can find some case / Iaw in support of aImost
any position. In america today, it's the bribe, one way or another, that carries the
day and makes the difference. Ask sam aIito et aIs. That's just the way it is in a
decIining, faIIen society as america, zimbawe, etc.. That's certainIy my direct,
sworn experience with these corrupt courts constituting (in Iarge part aIong with
the other 3 branches) pervasiveIy corrupt, defacto bankrupt america's iIIegaI
system. Senate convicts CIinton-appointed judge... [ Come on! One way or
another they're aImost aII getting bribed; incIuding the initiaI Iifetime appointment
as aIito, trump-barry, etc.. AboIish the corrupt, costIy, economicaIIy wastefuI
Iifetime extravagantIy appointed federaI courts (see RICO case
http://www.aIbertpeia.com/112208opocoan/ricosummarytoFBIunderpenaItyofp
erjury.pdf http://www.aIbertpeia.com/112208opocoan/PeiavCoanetaIs.htm
) End those Iifetime Iicenses to steaI. ] In earIier hearings, two attorneys who
once worked with Porteous had testified that they gave him thousands of doIIars
in cash, incIuding about $2,000 stuffed in an enveIope in 1999, just before
Porteous decided a major civiI case in their cIient's favor. ] reitbart | On word
that the House wiII open its next session with a first-ever reading of the U.S.
Constitution, bIogger Ezra KIein suggests that the Constitution is irreIevant due
to its age and poIiticaIIy-maIIeabIe Ianguage. ]Eight key economic decisions of
the Obama presidency aII point in one direction.

Oh come on! Watch for the fake jobs report from the ever more desperate,
pervasiveIy corrupt, incompetent, faiIed, defacto bankrupt u.s. government (aII 3
branches)! Who can beIieve anything they say? . Drudgereport: WObama the b
for b*** s*** caIIs Gibbs $174,000 saIary 'reIativeIy modest' ( Come on! In
pervasiveIy corrupt, defacto bankrupt america, government jobs for the otherwise
unempIoyabIe at those IeveIs are over-priced and over-vaIued, as are other so-
caIIed executive jobs, ie., frauduIent waII street, etc.. Look at their resuIts! )...
.[video] ADP Data StiII Fighting For CredibiIity [ Come on! PervasiveIy mob
infested, corrupt jersey based ADP? There's nothin' Ieft in desperation for those
b.s. / b.e.(bad economics/finance) taIking points and action to froth the market for
the frauds on waII street. This is an especiaIIy great opportunity to seII / take
profits because there's nothin' there, beyond the smoke and mirrors. This
market's way over-bought and way over-vaIued! ] NEW YORK (TheStreet) -- AIan
VaIdes of DME Securities says the market focused on the job revision data as
ADP is stiII viewed with skepticism.

1 in 6 Americans Live in Poverty Tradermark 'One of the biggest mega trends
happening in America is the bifurcation of society between the haves and the
have nots. Many of the jobs the 'undercIass' once did are gone forever, whiIe
others spent freeIy when times were good, and when the tide turned, have IittIe
buffer. [Dec 8, 2007: Do the Bottom 80% of Americans Stand a Chance?] After aII,
saving for a rainy day is what boring peopIe do. Others reaIIy never got off the
ground, as the K-12 education system has degraded dramaticaIIy the past few
decades.FrankIy the underIying trend - as bad as it is on the surface - has been
hidden by muItipIe bubbIes, and most recentIy, there has been a IeveI of
government assistance never seen before. [Nov 5, 2010: USA Today - Anti-
Poverty Programs Surpass Cost of Medicare] In terms of government spending.
This brings up a host of issues as any changes to the sociaI safety net are going
to send miIIions past GO and directIy to impoverished status (and yes there are
peopIe gaming the system, but not tens of miIIions). There are myriad societaI
effects of the transformation of America from a reIative egaIitarian society in the
1960s to a 2 or 3 cIass system - but those are topics for other posts we have
done.The officiaI U.S. government taIIy of who is Iiving in poverty is a joke. We
Iast Iooked at it about 16 months ago [Sep 19, 2009: US Poverty Rises to 11 Year
High - But StiII VastIy Understated] For exampIe, if you make $23,000 for a famiIy
of 4 - you are not in poverty. If you are singIe and make $14,000 you are not in
poverty. I'm not sure in what counties except for ruraI Mississippi you can
accompIish that cost of Iiving, but apparentIy the government beIieves a middIe
cIass IifestyIe is avaiIabIe at $25K for a famiIy of 4 in aII of America. Or at Ieast it
wouId be inconvenient to admit otherwise. And yes once more Iet me put the
caveat that being "poor" in America is different than being poor in MaIawi, but in
theory we shouId be comparing ourseIves to other first worId countries.The AP
has an interesting report of a new measure of poverty in the U.S., based on the
census. It has a different band of parameters and shows an increase over the
government's incredibIy generous definition of poverty. What is striking is the
Iarge increase in those in the over 65+ camp who faII into poverty. Due to our
consumption cuIture (encouraged by the government at every turn, since we've
transformed our economy from good producing to services and consumption)
many are entering the goIden years with IittIe to nothing.Where once many had
their mortgage paid off by the time they retired and hence couId Iive on a much
Iower income as their Iargest expense was eIiminated, now after a generation of
seriaI refinancing and cash out to finance buying 'what we deserve', many stiII
have the mortgage to worry about even at age 70+. There are many other factors
we've discussed often - i.e. the move from pensions to do it yourseIf savings in a
country where saving is a sin and spending is worshiped, the disaster that is the
401k system, etc. UnIike the mortgage crisis which is pIaying out in a reIative
short period of time (6-8 years), this grand economic experiment of running an
economy on consumption & services (you do my naiIs, I'II cut your hair, you
serve me a beer, I'II cut your Iawn, you buiId a house, I'II defauIt on it) is taking
decades to pIay out. But we're starting to see the first wave of resuIts the past 5-
10 years, and it's not pretty.Bigger picture, there are enormous stresses being
formed at the bottom end of the society, and more and more are being caught in
the net. Anyone who truIy beIieves there wiII be any serious spending cuts at the
federaI IeveI does not reaIize the (increasing) dependency that has been created
by the a muItitude of poor decisions over the past few decades. Indeed we fast
approach the time when 1 in every 5 doIIars of "income" are government
transfers. [May 25, 2010: 1 in 5.5 DoIIars of American Income Now Via
Government; AII time High] At this point, the genie is out of the bottIe and with a
dysfunctionaI government whose onIy soIution is Iayer on more debt to kick the
can down the road, our modern day pIutonomy onIy grows in power. [Sep 7, 2009:
Citigroup - America; A Modern Day PIutonomy] However, there appears nothing
to be worried about since we've been weII trained to parrot the fact that as Iong as
the S&P 500 onIy goes up, everything in America is fine. Nothing to see here,
move aIong (buy stocks as you are moving of course).
Via AP
O The number of poor peopIe in the U.S. is miIIions higher than previousIy
known, with 1 in 6 Americans -- many of them 65 and oIder -- struggIing in
poverty due to rising medicaI care and other costs, according to
preIiminary census figures reIeased Wednesday.
O At the same time, government aid programs such as tax credits and food
stamps kept many peopIe out of poverty, heIping to ensure the poverty rate
did not baIIoon even higher during the recession in 2009, President Barack
Obama's first year in office.
O Under a new revised census formuIa, overaII poverty in 2009 stood at 15.7
percent, or 47.8 miIIion peopIe. That's compared to the officiaI 2009 rate of
14.3 percent, or 43.6 miIIion, that was reported by the Census Bureau Iast
September.
O Across aII demographic groups, Americans 65 and oIder sustained the
Iargest increases in poverty under the revised formuIa -- nearIy doubIing to
16.1 percent. As a whoIe, working-age aduIts 18-64 aIso saw increases in
poverty, as weII as whites and Hispanics. ChiIdren, bIacks and unmarried
coupIes were Iess IikeIy to be considered poor under the new measure.
O The new measure wiII not repIace the officiaI poverty rate but wiII be
pubIished aIongside the traditionaI figure this faII as a "suppIement" for
federaI agencies and state governments to determine anti-poverty poIicies.
Economists have Iong criticized the officiaI poverty measure as inadequate
because it onIy incIudes pretax cash income and does not account for
medicaI, transportation and work expenses. (much like inflation, as long as
you don't eat, use energy, pay for healthcare, or have kids in college - you
are fine. For poverty as long as you don't go to the doctor, need to drive to
work, need daycare, or wear clothes at work - your income is sufficient)
O "Under the new measure, we can cIearIy see the effects of our government
poIicies," said KathIeen Short, a Census Bureau research economist who
caIcuIated the revised poverty numbers. "When you're accounting for in-
kind benefits and tax credits, you're bringing many peopIe in extreme
poverty off the very bottom."
O The officiaI measure is based on a 1955 cost of an emergency food diet and
does not factor in other Iiving costs. (that is perverse) Nor does it consider
non-cash government aid when caIcuIating income, which surged higher in
2009 during the recession.
O The effect was seen most notabIy among oIder Americans. Under the
officiaI poverty rate, about 8.9 percent Iived in poverty, mostIy because
they benefit from SociaI Security cash payments. But when taking into
account out-of-pocket medicaI expenses and other factors, that number
rises to 16.1 percent.
O
O Among the findings:
--Without the earned income tax credit, the poverty rate under the revised
formuIa wouId jump from 15.7 percent to 17.7 percent.
O --The absence of food stamps separateIy wouId increase the poverty rate to
17.2 percent.
--Taking into account miIIions of uninsured peopIe in the U.S. had IittIe
effect in increasing poverty, mostIy because those without insurance tend
to forgo medicaI care rather than find ways to pay for it.
[Feb 20, 2009: NYT - NewIy Poor SweII Lines @ Food Banks Nationwide]
[Oct 22, 2010: Reuters - The Haves, the Have Nots, and the DreamIess Dead]
[Sep 3, 2010: FT.com - The Crisis in MiddIe America]
[JuIy 26, 2010: [Video] DateIineNBC - America's Increasing Ranks of Poor]

originaI articIe'

Unemployment Claims Are Not What They Appear AdIer 'First-time
unempIoyment cIaims rose by 52,038 to 577,279 in the week that ended January
1. The WaII Street captive media is, as usuaI, fudging the reports by reporting that
cIaims were at 409,000, based on the seasonaI hocus pocus. They report an
uptick of 18,000 instead of 52,000. Both Dow Jones and BIoomberg are
emphasizing that the 4 week moving average dropped sharpIy. Again, this is
based on seasonaIIy adjusted fudge packing.The truth is that whiIe this year's
end of year rise in cIaims is better than the past two years, the numbers are stiII a
Iot worse than during good economic times. This week's jump of 52k compares
with a rise of 88,929 in the week that ended 1/2/10. The chart beIow shows that the
normaI seasonaI uptrend is at a Iower trend IeveI than the past two years, but weII
above 2006-2008. The insured unempIoyment rate remains weII above the 2004-
2008 period. However, even that number may be misIeading because it uses a
base number comprised of a 6 month average from the period that ended in June.
Because fewer peopIe are now eIigibIe, the actuaI rate shouId be
higher.[chart]Because new cIaims are Iimited to those eIigibIe, part of the
downtrend in new cIaims is due to the miIIions of persons Iosing eIigibiIity. To
account for that, the next chart shows new cIaims as a percentage of those
eIigibIe. Here the improving trend shows evidence of IeveIing off. The normaI
seasonaI spike at the beginning of January needs to hoId around .053% to keep
the downtrend from the peaks of the past 2 years intact. The green Iine connects
the most recent week with the same week in prior years. Next week's data shouId
be the seasonaI peak.[chart]The Department of Labor caIcuIates the totaI number
of covered empIoyees quarterIy, using a 6 month average. The current figure is
based on data from the first haIf of 2010, which is not very usefuI now. However,
it does impIy that much of the drop in continuing cIaims has come from those
Iosing eIigibiIity.[chart]The foIIowing chart shows Continued CIaims on an
inverse scaIe, overIaid with stock prices and Fed securities hoIdings. The inverse
Continued CIaims graph is a directionaI proxy for totaI empIoyment. The downtick
at this time of year is normaI. The trend remains strong which suggests that the
seasonaIIy adjusted payroIIs data tomorrow shouId be positive. The consensus
caIIs for a gain of 140,000. As I reported in the WaII Street Examiner ProfessionaI
Edition Treasury update to subscribers this week, wage tax withhoIding in
December ran 15% ahead of November, but that probabIy refIects withhoIding
from year end bonuses rather than a significant increase in empIoyment IeveIs.
The year to year gain was more muted.[chart]It's pretty cIear from this chart that
the Fed is the driver of these trends, but that other forces are at work causing
diminishing returns.Disclosure: I have no positions in any stocks mentioned, and
no pIans to initiate any positions within the next 72 hours.'

Expecting Employment Surprise: Dave's Daily 'There are a Iot of wiId estimates
making the rounds for empIoyment data Friday. Consensus estimates for new
jobs added range from 150-200K, but some whisper numbers are as high as 500K
and that wouId shock many sectors. MeanwhiIe stocks were hurt earIy by poorIy
received December same store saIes (despite buIIish headIines to the contrary)
and rebound higher in JobIess CIaims. NevertheIess, the doIIar continued to rise
as commodity markets were stiII seIIing-off. The buzz remains infIation is heating
up particuIarIy in food and energy so investors fear tightening even as the Fed is
engaged in QE. Now that's interesting!! Bond prices remained rather stabIe. The
Fed tossed in more POMO activity Thursday. As that was announced stocks
immediateIy raIIied if onIy briefIy. What a coincidence! In advance of the aII-
important empIoyment report voIume remained Iight and breadth negative.'

Are Investors Concerned About Rising Gas Prices? RotbIut 'BuIIish sentiment
extended its streak of above-average readings to 18 consecutive weeks in the
Iatest AAII Sentiment Survey. This is the Iongest such streak since 2004. The
percentage of individuaI investors expecting stock prices to rise over the next six
months rose 4.3 percentage points to 55.9%. The historicaI average is
39%.NeutraI sentiment, expectations that stock prices wiII stay essentiaIIy fIat
over the next six months, feII 2.5 percentage points to 25.9%. NeutraI sentiment
has been beIow its historicaI average of 31% for 22 consecutive weeks.Bearish
sentiment, expectations that stocks prices wiII faII over the next six months,
sIipped 1.8 percentage points to 18.3%. Bearish sentiment has been beIow its
historicaI average of 30% for 15 out of the Iast 17 weeks.BuIIish sentiment
remains at historicaIIy high IeveIs. One exampIe of this is the eight-week moving
average of buIIish sentiment, which is above 51% for the third consecutive week.
(It is at 51.4%.) This measure has not been higher since January 2005. Other
measures aIso suggest sentiment is running hot, incIuding the spread between
buIIish and bearish sentiment (37.6 percentage points) and the standard deviation
(buIIish sentiment is more than one standard deviation above the historicaI
mean). High buIIish readings have been correIated with market puIIbacks, but
other indicators shouId be anaIyzed before predicting where stocks prices are
headed.IndividuaI investors are continuing to feeI optimistic about stock prices
due to, in part, the sustained raIIy and additionaI signs that the economy is
recovering. News of upbeat 2011 forecasts from severaI market strategists is aIso
pIaying a roIe.This week's speciaI question asked AAII members whether they are
concerned about the potentiaI impact rising gasoIine prices wiII have the
economic recovery.About haIf of respondents described themseIves as being
somewhat worried about rising prices at the pump. Many did think the economy
wiII grow, though the pace of the recovery might be sIowed. SeveraI members
added the caveat that their concerns are dependent on how high prices actuaIIy
rise. A smaII number thought higher prices wouId be good for their energy
hoIdings or wouId increase demand for fueI-efficient vehicIes and other green
initiatives. Here is a sampIing of the responses:
O "I beIieve gasoIine must approach $4 per gaIIon before having a sizabIe
impact on other parts of the economy."
O "Higher infIation equaIs a reaI tax on investors. It couId be a drag on the
economy, but the economy wiII stiII grow."
O "I'm worried, but I think the recovery can stiII proceed, especiaIIy if
Congress provides some direction for job growth."
O "I'm not too worried. Higher gas prices wiII be a sIight drag, but not
sufficient to significantIy sIow down the economy."
O I'm somewhat worried; higher fueI prices may sIow the economy some, but
they may aIso heIp the environment."
This week's sentiment survey resuIts:
O BuIIish: 55.9%, up 4.3 percentage points
O NeutraI: 25.9%, down 2.5 percentage points
O Bearish: 18.3%, down 1.8 percentage points
HistoricaI Averages:
O BuIIish: 39%
O NeutraI: 31%
O Bearish: 30%
The AAII Sentiment Survey has been conducted weekIy since JuIy 1987 and asks
AAII members whether they think stock prices wiII rise, remain essentiaIIy fIat, or
faII over the next six months. The survey period runs from Thursday (12:01 a.m.)
to Wednesday (11:59 p.m.). The survey and its resuIts are avaiIabIe onIine.'

Less Than 35% of AII Stocks Are UndervaIued Suttmeier ValuEngine now shows
that only 34.6% of more than 5,000 stocks are undervalued with 65.4% overvalued. A
reading below 35% may persist for a while, but typically the stock market tops out when
less than 35% of all stocks are undervalued. Fifteen of 16 sectors are overvalued by
8.6% for Consumer Discretionary to 33.1% for asic ndustries. Medical is the
undervalued sector, but only by 1.4%. The major equity averages are extremely
overbought on both daily and weekly charts. The missing ingredient for a top is the lack
of nearby risky levels for the major averages. The major equity averages straddle
quarterly value levels, pivots and risky levels favoring a reversal-oriented first quarter
11,395 Dow, 1162.5 SPX, 2853 NASDAQ, 4671 Transports and 765.50 Russell 2000.
The rise in the 30-year yield above 4.5% is a major drag on equity valuations. With
stock market complacency as high as it is, Comex gold closed below its 50-day simple
moving average at 1380.6 for the first time since August 11. Nymex crude oil is above
this week's pivot at $88.50. The euro is between its 200-day at 1.3080 and its 50-day at
1.3422, approaching a test of the 200-day. The Dow is well above my annual pivot at
11,491 without a nearby risky level as the MOJO run continues. Valuations are
stretched with only 16.1% of all stocks undervalued by at least 20%, whereas 33.0% of
all stocks are overvalued by more than 20%.[chart](Cli.k to enlarge)
It is difficuIt to find stocks to add to the VaIuTrader ModeI PortfoIio as only 76
stocks are rated STRONG UY or UY with a market cap of at least five billion and
average daily trading volume of 500,000 shares or more, and projected to gain at least
7.5% over the next twelve months. There are twelve stocks in the model portfolio.
Key LeveIs From My Proprietary AnaIytics
10-year Note (3.483) Weekly, annual and semiannual value levels are 3.714, 3.791
and 4.268 with a daily risky level at 3.371. Annual, semiannual and monthly risky levels
are 2.690, 2.441, 2.322 and 2.150.
Comex GoId - ($1373.7) Annual, semiannual and annual value levels are $1356.5,
$1300.6 and $1187.2 with a weekly pivot at $1380.0. Daily, monthly, quarterly and
semiannual risky levels are $1412.74, $1439.0, $1441.7 and $1452.6.
Nymex Crude OiI ($90.30) Semiannual and monthly value levels are $87.52 and
$75.74 with a weekly pivot at $88.50. Annual, semiannual and quarterly risky levels are
$99.91, $101.92, $107.14 and $110.87.
The euro - (1.3149) Monthly and weekly value levels are 1.2805 and 1.2703 with
quarterly and daily pivots at 1.3227 and 1.3358, and semiannual and annual risky levels
at 1.4624, 1.4989, 1.6367 and 1.7312.
DaiIy Dow: (11,723) Annual, quarterly, weekly, semiannual, monthly and semiannual
value levels are 11,491, 11,395, 11,334, 10,959, 10,427 and 9,449 with a daily pivot at
11,687, and annual risky level at 13,890.
DiscIosure: have no positions in any stocks mentioned, and no plans to initiate any
positions within the next 72 hours.'

Retailers hold down stocks ahead of jobs data (Reuters) - Stocks sIipped on
Thursday as soft retaiI saIes and a sharp rise in the doIIar Ieft investors edgy a
day before December's U.S. empIoyment report.

Doug Casey: Prepare for SociaI UpheavaI LewRockwell.com | The big question is
not, "Can it happen here?" but, "WiII it?" Or maybe, simpIy, "When?"

Fed May Keep Easing at 'FuII ThrottIe' UntiI DecIine in UnempIoyment Rate
loomberg | FederaI Reserve officiaIs signaIed they'II probabIy push ahead with
unprecedented stimuIus untiI the recovery strengthens and many of the 15
miIIion unempIoyed Americans find work.

Why Are Taxpayers Subsidizing Facebook, and the Next BubbIe? The New York
Times | Is another bubbIe being formed by 'too big to faiI' GoIdman-Sach's
vaIuation of FaceBook?

Record high food prices stoke fears for economy Reuters | Record high food
prices are moving to the top of poIicymaker agendas, driven by fears they couId
stoke infIation, protectionism and unrest and dent consumer demand in key
emerging economies.

AIex Jones: DEA uses drug war to spy worIdwide [ WeII, I don't know about the
spying, but the DEA certainIy isn't serious about putting a reaI dent the iIIegaI
drug trade inasmuch as they're hands off the connected u.s. government
connected iIIegaI drug ops, ie., cia, etc., (see RICO case
) http://aIbertpeia.com/FBIAgentAffidavit11.jpg
http://aIbertpeia.com/CIAAgentAffidavit1.jpg ] Russia Today | The United States
government aIIegedIy infused drugs into our inner cities in order to keep
minorities down and destabiIize worId governments.
'Epic faiIure'... Rep. Lynn WooIsey (D-CA) taIks about the "disastrous" war that is
Afghanistan. "This war represents an epic faiIure, a nationaI embarrassment and
a moraI bIight," Rep. WooIsey said. [ But more than that, this war is a bIowback-
creating, seIf-perpetuating, seIf-destructive, seIf-defeating, coIossaIIy expensive
debacIe benefiting onIy the war profiteers / Iobbies and attendant frauds whiIe
diverting attention from the more 'mundane' tasks of governance of a faiIing,
pervasiveIy corrupt, defacto bankrupt nation, viz., america. ]
PENTAGON BUDGET SLASH [ Riiiiight! . What's $80 biIIion on a triIIion doIIar
tab especiaIIy with those off-budget speciaI items whenever they so choose. ]:
OBAMA TO CUT TROOPS ON ACTIVE DUTY
FEDS BREAK GROUND ON SUPER SPY CENTER (Riiiiight! More spending on
those uItra-efficient super-spies, ie., Iraq on a Iie, iIIegaI drug ops, 9-11 NORAD
ordered to stand down, etc., though u.s. defacto bankrupt)...
New Miami PoIice peeping drone may be first in country; ACLU approves...
Man Arrested for Having 'Suspicious' agel on Plane...
Ex-CIA officer charged with Ieak to NYT reporter...
Packages Cause 'FIash ExpIosions' At 2 State Gov't BuiIdings in MD...
One addressed to Gov...
US Treasury asks Congress to Iift debt ceiIing...
Obama caIIs Gibbs $174,000 saIary 'reIativeIy modest' ( Come on! In pervasiveIy
corrupt, defacto bankrupt america, government jobs for the otherwise
unempIoyabIe at those IeveIs are over-priced and over-vaIued, as are other so-
caIIed executive jobs, ie., frauduIent waII street, etc.. Look at their resuIts! )...

As euro zone expands, tension remains between weak, strong (Washington Post)
[ Sounds Iike a scenario anaIogous to that in the USSAD, united soviet states of
american disunity. After aII, how can you justify frauduIent (ie., waII street, etc.)
nationaI sinkhoIes as mob corrupted new york, mob-infested, pervasiveIy corrupt
jersey, etc..] German deficit hawks gained an aIIy Saturday when Estonia became
the 17th member of the euro zone.

U.N. group warns of possibIe food crisis (Washington Post) [ PossibIe? How
'bout it's aIready begun and hence, inevitabIe particuIarIy since worIdwide with
few exceptions in Iooking to the u.s. as anaIogous to the seIf-destructive
compuIsion of an addict or drunk they've jumped on the american crazy train,
from perpetuaI wars, to profIigate spending, to over-printing of fiat paper
currencies, to mark to anything buriaI and cover-up and no-pros of frauduIent
paper schemes of the frauduIent waII street iIk / variety, etc. ] The Food and
AgricuIturaI Organization said Wednesday that the worId faces a "food price
shock" after the agency's benchmark index of farm commodities prices shot up
Iast month.

IRS ombudsman: Heavy hand isn't working (Washington Post) [ Heavy hand,
indeed; but in reaIity, a weak one at that BECAUSE, you can't pay what you don't
have . then again, many peopIe are wondering just what they're paying for in
these admittedIy hard times; viz., perpetuaI and protracted wars, baiIouts for the
opuIent frauds on waII street, profIigate spending, rich pIushIy accoutered federaI
jobs for sIugs of different stripes and faiIed performance, etc.. ] By making it
harder for taxpayers to get back on their feet, the IRS might actuaIIy reduce Iong-
term tax coIIections, an in-house report says.

Fed wiII be in watch mode (Washington Post) [ Riiiiight! . That eternaIIy vigiIant
friend onIy of frauduIent waII street fed . 'watch' . as in boob tube? How the
('no recession' as per fed) recession (ongoing and great as in depression)
impIoded states' finances see infra) After a tumuItuous 2010, what's on tap for
Ben S. Bernanke and the FederaI Reserve in 2011?

Fed's bond-buying strategy Iooks IikeIy to run its course (Washington Post) [
Neither rain, nor sIeet, but onIy depIetion of trees for current and prospective fiat
paper currency printing can keep the no-recession-fed from their waII street
obsessive market-frothing rounds (which wiII end quite badIy . as such aIways
has . and aIways wiII). ] FederaI Reserve officiaIs appear unIikeIy to stop their
controversiaI strategy of buying Treasury bonds.

Agency extends Afghan food-suppIy contract for firm that hired former director
(Washington Post) [ AImost, but not quite as bad as what I experienced with the
pervasiveIy corrupt american iIIegaI system:

O Newly appointed judge, Maryanne Trump Barry, Donald Trump`s sister, was
assigned the RICO case despite the conflict of interest in light of hundreds of
thousands of dollars of illegal (drug) money being laundered through the Trump
casinos by the RICO defendants, and despite my motion to recuse her which motion
she heard herself and denied, and U.S. Trustee Hugh Leonard with whom I met
personally refused to join or file a separate motion to recuse and not long thereafter
left said office for private practice at Cole, Shotz, et als on retainer with the RICO
defendants as his primary client.
O Probative and evidentiary documents, affidavits, exhibits, including those turned
over to FBI Agent 1eff Hayes in Long Beach, CA, had been given to Assistant U.S.
Attorney 1onathan Lacey with whom I met personally at the U.S. Attorney`s Office
in Newark, N.1., at which time Samuel Alito was U.S. Attorney, and went over said
documents and their probative value with him. Within approximately a month
thereafter upon inquiry I was told that 1onathon Lacey was no longer with the
office, that the file/documents could not be located, and that there was no further
information available concerning contacting him or his location. I thereupon
delivered by hand, copies of said documents to the office of then U.S. Attorney Alito,
addressed to him, with assurance they would go directly to him. In addition to being
inept I looked in on the one mob case he had brought, bungled, lost (accidently on
purpose?) since I was suing some mob-connected under RICO and the court (I had
known / previously met outside of court the judge Ackerman through a client) was
absolute bedlam and a total joke since incompetent corrupt Alito brought in all 20
mob defendants (rather than prosecute one or a few to flip them first) who feigning
illness had beds/cots in the courtroom along with their moans during testimony and
had the jury in stitches. As much as I hate the mob, it truly was funny, if not so
tragic.], Alito is also corrupt (and maybe corrupt because he is inept). After a
reasonable (but still rather short) time I called to determine the status and was told
that Alito was no longer with the Office of the U.S. Attorney, that he was
(appointed) a federal judge, and that neither the documents nor any file or record of
same could be located. Alito did parley the same / cover-up into quid pro quo direct
lifetime appointment to the Court of Appeals, 3
rd
circuit, despite the absence of
judicial experience or successful tenure as U.S. Attorney (Maryanne Trump Barry
as well). This is the same Sam Alito that now sits on the purported highest court in
the land. The real application of the illegal rule don`t ask, don`t tell`.

October 15, 2010 (`see
infra)

Federal Bureau of Investigation, USDO1

Dear Sir:

I enclose herewith 3 copies of the within DVD rom autorun disk (which will open in your
computer`s browser) as per your office`s request as made this day (the disk and contents
have been scanned by Avast, McAfee, and Norton which I`ve installed on my computer to
prevent viral attacks / infection and are without threat). I also include 1 copy of the DVD as
filed with the subject court as referenced therein (which files are also included on the
aforesaid 3 disks in a separate folder named 112208opocoan`). The (civil) RICO action (as
you`re aware, the RICO Act is a criminal statute which provides a civil remedy, including
treble damages and attorney fees, as an incentive for private prosecution of said claims
probably owing to the fact that the USDO1 seems somewhat overwhelmed and in need of
such assistance given the seriousness and prevalence of said violations of law which have a
corrupting influence on the process, and which corruption is pervasive). A grievance
complaint against Coan was also filed concurrently with the subject action and held in
abeyance pending resolution of the action which was illegally dismissed without any
supporting law and in contravention of the Order of The Honorable Robert N. Chatigny,
Chief 1udge, USDC, District Connecticut. The files below the horizontal rule are the
referenced documents as filed. (Owing to the damage to the financial interests of both the
U.S. and the District of Congresswoman Roybal-Allard, viz., Los Angeles, the Qui Tam
provisions of the Federal False Claims Act probably would apply and I would absent
resolution seek to refer the within to a firm with expertise in that area of the law with
which I am not familiar).

The document in 5 pages under penalty of perjury I was asked to forward to the FBI office
in New Haven is probably the best and most concise summary of the case RICO Summary
to FBI Under Penalty of Perjury at Their Request (5 pages)
ricosummarytoFBIunderpenaltyofperjury.pdf

The correspondence I received from the Congresswoman by way of email attachment
(apparent but typical problem with my mail) along with my response thereto is included on
the 3 disks as fbicorrespondencereyes.htm . With regard to the calls to the FBI`s LA
and New Haven, CT offices: There was one call to the LA office and I was referred to the
Long Beach, CA office where I personally met with FBI Agent 1eff Hayes to whom I gave
probative evidentiary documents of the money laundering which he confirmed as indicative
of same (he was transferred from said office within approximately a month of said meeting
and his location was not disclosed to me upon inquiry). The matter was assigned to FBI
Agent Ron Barndollar and we remained in touch for in excess of a decade until he abruptly
retired (our last conversation prior to his retirement related to the case and
parenthetically, Rudy Giuliani whose father I stated had been an enforcer for the mob to
which he registered disbelief and requested I prove it, which I did - he served 12 years in
prison, aggravated assault/manslaughter? - and no, there is no Chinese wall of separation -
Andrew Maloney`s the one that prosecuted gotti).

In contradistinction to the statement in said correspondence, there is a plethora of
information including evidence supporting the claims set forth in the RICO VERIFIED
COMPLAINT (see infra). Such includes and as set forth in the case, inter alia,

7. A judgment had been entered in my favor in the case, United States District Court
Case #3:93cv0205(AWT)(USDC1 Alvin Thompson), worth approximately now in
excess of $300,000 remains unaccounted for and which could be used for payment to
creditors, Los Angeles, etc..
8. Counsel Robert Sullivan on my behalf documented by way of certification upon
investigation that Alan Shiff, USBC1, had falsely stated a dismissal upon which false
statement he predicated a retaliatory and spurious contempt proceeding against me
causing substantial damage, and for which he sought 1udicial Notice of those and
related proceedings as did I in some of my filings.
9. The Order of Dismissal With Prejudice by Alan Shiff, USBC1, owing to Defendant
Coan`s failure to file anything whatsoever by the court`s deadline causing creditors
and me substantial damages: Shiff Order of Dismissal With Prejudice on Coan`s
Failure to File Page 1 Page 2 ]
10. Defendant Coan had filed an action against me to prevent me from suing him which
necessitated me to fly to Connecticut for a hearing before The Honorable Robert N.
Chatigny, Chief 1udge, USDC, District of Connecticut, who denied Coan`s
requested relief as to Coan but precluded my action against Shiff (although there is
no immunity, judicial or otherwise, for criminal acts, ie., fraud connected with a
case under Title 11, USC, etc.) . transcript in pertinent part -
crossexamofcoanbypeia.pdf ]
11. Newly appointed judge, Maryanne Trump Barry, Donald Trump`s sister, was
12. Probative and evidentiary documents, affidavits, exhibits, including those turned
rd

There is applicable insurance / surety coverage and neither LA, nor creditors, nor I
should continue to have been damaged by this brazened corrupt and illegal scenario,
which should be resolved in accordance with the meaningful rules of law apposite
thereto.

Sincerely,

Albert L. Peia
11 E. 5
th
Street, #404
(213) 219-```` (cell phone)
(213) 22-3745 (listed land line but there are unresolved problems with the line,
performance / worsening by their fix` so cell phone best for contact).

----------

`The foregoing and as indicated therein was previously send 9-14-10 but delivery
confirmation was flawed as set forth below and my inquiries to the u.s. postal service
rebuffed (I believe tampered with inasmuch as your office could not locate same). This
cover letter (9-13-10) is on the 3 disks with navigable hyperlinks to the subject files for ease
of reference, including the files in the RICO action as indicated. (10-15-10) I spoke with
Rose, FBI, ADIC Secretary, who indicates once again that your office has not received the
aforesaid and which can reasonably be presumed to have been tampered with, and hence, a
violation of the federal statute concerning same. ]

Protection bureau to hire generaI's wife (Washington Post) [ Wow! Sounds Iike a
pIan! TaIk about insiders and concentrations of power. After aII, wouId you argue
with anything sweet HoIIy PoIIy Petraeus proffered with the fuII weight of the
miIitary behind her. Somehow, though I'm not goin' to taIk 'bout smeII tests here
(you know, that 'weight of the miIitary thing'), there seems to be something
amiss, not quite right here, 'cause what and why HoIIywood do this or that .' ]
HoIIy Petraeus wiII Iead Consumer FinanciaI Protection Bureau's Office for
Service Member Affairs.

RegionaI unempIoyment edges down in November (Washington Post) [ No
surprise there with the Iayer upon Iayer of bureaucracy, incIuding the aIphabet
soup kitchens, viz., cia, nsa, dod, doj, etc., whose ranks can incIude Ioads of
temps, gophers, waiters, 'runners', (you know, make-shift / make-work jobs, etc.,
to froth numbers, despite the nation's defacto bankruptcy and reaIity beyond the
bubbIe.
JobIess Recovery?: 25 UnempIoyment Statistics That Are AImost Too Depressing
To Read '. UnempIoyment is up again! That's right - even though WaII Street is
swimming in cash and the Obama administration is decIaring that "the recession
is over", the U.S. unempIoyment rate has gone even higher. So are you enjoying
the jobIess recovery? Economic CoIIapse BIog Dec 4, 2010 'Guess what?
UnempIoyment is up again! That's right - even though WaII Street is swimming
in cash and the Obama administration is decIaring that "the recession is over",
the U.S. unempIoyment rate has gone even higher ... Times are reaIIy, reaIIy tough
and unfortunateIy the Iong-term outIook is very bIeak. We shouId have
compassion on those who are out of work right now, because soon many of us
may join them.
The foIIowing are 25 unempIoyment statistics that are aImost too depressing to
read..
#1 According to the Bureau of Labor Statistics, the U.S. unempIoyment rate for
November was 9.8 percent. This was up from 9.6 percent in October, and it
continues a trend of depressingIy high unempIoyment rates. The officiaI
unempIoyment number has been at 9.5 percent or higher for weII over a year at
this point.
#2 In November 2006, the "officiaI" U.S. unempIoyment rate was just 4.5 percent.
#3 Most economists had been expecting the U.S. economy to add about 150,000
jobs in November. Instead, it onIy added 39,000.
#4 In the United States today, there are over 15 miIIion peopIe who are "officiaIIy"
considered to be unempIoyed for statisticaI purposes. But everyone knows that
the "reaI" number is even much Iarger than that.
#5 As 2007 began, there were just over 1 miIIion Americans that had been
unempIoyed for haIf a year or Ionger. Today, there are over 6 miIIion Americans
that have been unempIoyed for haIf a year or Ionger.
#6 The number of "persons not in the Iabor force" in the United States recentIy
set another new aII-time record.
#7 It now takes the average unempIoyed American over 33 weeks to find a job.
#8 When you throw in "discouraged workers" and "underempIoyed workers", the
"reaI" unempIoyment rate in the state of CaIifornia is actuaIIy about 22 percent.
#9 In America today there are not nearIy enough jobs for everyone. In fact, there
are now approximateIy 5 unempIoyed Americans for every singIe job opening.
#10 According to The New York Times, Americans that have been unempIoyed for
five weeks or Iess are three times more IikeIy to find a new job in the coming
month than Americans that have been unempIoyed for over a year.
#11 The U.S. economy wouId need to create 235,120 new jobs a month to get the
unempIoyment rate down to pre-recession IeveIs by 2016. Does anyone think
that there is even a prayer that is going to happen?
#12 There are 9 miIIion Americans that are working part-time for "economic
reasons". In other words, those Americans wouId gIadIy take fuII-time jobs if
they couId get them, but aII they have been abIe to find is part-time work.
#13 In 2009, totaI wages, median wages, and average wages aII decIined in the
United States.
#14 As of the end of 2009, Iess than 12 miIIion Americans worked in
manufacturing. The Iast time that Iess than 12 miIIion Americans were empIoyed
in manufacturing was in 1941.
#15 The United States has Iost at Ieast 7.5 miIIion jobs since the recession began.
#16 Today, onIy about 40 percent of Ford Motor Company's 178,000 workers are
empIoyed in North America, and a big percentage of those jobs are in Canada and
Mexico.
#17 In 1959, manufacturing represented 28 percent of U.S. economic output. In
2008, it represented 11.5 percent.
#18 EarIier this year, one poII found that 28% of aII American househoIds had at
Ieast one member that was Iooking for a fuII-time job.
#19 In the United States today, over 18,000 parking Iot attendants have coIIege
degrees.
#20 The United States has Iost a staggering 32 percent of its manufacturing jobs
since the year 2000.
#21 As the empIoyment situation continues to stagnate, miIIions of American
famiIies have decided to cut back on things such as insurance coverage. For
exampIe, the percentage of American househoIds that have Iife insurance
coverage is at its Iowest IeveI in 50 years.
#22 UnIess Congress acts, and there is no indication that is going to happen,
approximateIy 2 miIIion Americans wiII stop receiving unempIoyment checks over
the next coupIe of months.
#23 A poII that was reIeased by the Pew Research Center back in June discovered
that an astounding 55 percent of the U.S. Iabor force has experienced either
unempIoyment, a pay decrease, a reduction in hours or an invoIuntary move to
part-time work since the economic downturn began.
#24 According to Richard McCormack, the United States has Iost over 42,000
factories (and counting) since 2001.
#25 In the United States today, 317,000 waiters and waitresses have coIIege
degrees.
But this is what we get for creating the biggest debt bubbIe in the history of the
worId. For decades we have been digging a deeper hoIe for ourseIves by going
into increasingIy Iarger amounts of debt. In America today, our entire economy is
based on debt. Even our money is debt. We were fooIs if we ever thought this
couId go on forever. Just think about it. Have you ever gone out and run up a
bunch of debt? It can be a Iot of fun sitting behind the wheeI of a new car,
running your credit cards up to the Iimit and buying a beautifuI big house that
you cannot afford. But in the end what happens? It aIways catches up with you.
WeII, our coIIective debt is starting to catch up with us. There is a sea of red ink
on every IeveI of American society. It is onIy a matter of time before it destroys
our economy. IF YOU THINK THAT THINGS ARE BAD NOW, JUST WAIT. THINGS
ARE GOING TO GET A WHOLE LOT WORSE. A HORRIFIC ECONOMIC
COLLAPSE IS COMING, AND IT IS GOING TO BE VERY, VERY PAINFUL.'

Howard Davidowitz on the Economy: "Here Are the Numbers ... WE'RE ROKE!"
11-25-10 'The U.S. economy "is a compIete disaster," Howard Davidowitz
decIared here in JuIy, the most recent in a string of dire predictions from Tech
Ticker's most entertaining guest.On the eve of Thanksgiving, I asked Davidowitz
if he had any regrets, or was ready to throw in the toweI given recent signs of
economic revivaI. Are you kidding me? "Here are the numbers...we're broke,"
Davidowitz decIares, noting the U.S. government goes $5 biIIion deeper into debt
every day and is facing $1 triIIion-pIus annuaI deficits for the next decade. "In
other words, we're bankrupt."As with the economy, Davidowitz is unwaveringIy
consistent in his views on President Obama, caIIing him "deranged, dysfunctionaI
and discredited."ResuIts of the midterm eIection show "the peopIe of this country
think we are in a catastrophe," he says. "I'm with them."Check the accompanying
video for more of Howard's unfettered opinions and stay tuned for additionaI
cIips from this interview. And...Happy Thanksgiving! Aaron Task is the host of
Tech Ticker. You can follow him on Twitter at @atask or email him at
altask@yahoo.com'

Timid Tuesday: Is it Safe? Davis '. This is how we pay off our current debts
and I think bondhoIders are simpIy happy to get anything out of a country that
admits it owes $15Tn (1/4 of gIobaI GDP) but probabIy owes cIoser to $60Tn
(entire gIobaI GDP) in the form of unfunded IiabiIities. The funniest thing about
this (and you have to Iaugh) is to see Conservative pundits get on TV and taIk
about how we need to cut $100Bn worth of discretionary spending to "fix" this
(whiIe continuing to spend $1Tn on the miIitary and $1Tn on tax cuts for the top
1% each year). There is no fixing this and even a RepubIican said you can't fooI
aII of the peopIe aII of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS -
PLEASE BE CAREFUL OUT THERE! '

] The Washington region's unempIoyment rate dipped onIy sIightIy in
November from a year ago.

New Congress, oId styIe (Washington Post) [ Come on! It's articIes Iike this,
particuIarIy IateIy by Mr. MiIbank, that've been hurting my eyes and ears. One
party / administration more corrupt than another in pervasiveIy corrupt, defacto
bankrupt america? You'd need a micrometer to discern the difference. Those
dogs don't hunt no more. It's not so Iong ago that one can't remember (Reagan /
bush) Iran Contra (which was just another excuse for operatives / cia / etc., to
enrich themseIves via iIIegaI drug trade / arms which they'd do anyway but wrap
themseIves in the fIag as so-caIIed patriots for IegaI protection, ie., that so-caIIed
purported 'technicaIity' (bribe) that threw out knuckIehead accompIice oIIie
north's feIony, etc., dumbya bush's war crimes, war on a Iie, waII street's rampant
and protected fraud, war profiteering, the cIinton scandaIous, etc., years. AII three
branches of the u.s. government are hopeIessIy and pervasiveIy corrupt. (see
RICO case
) . But, Iet us aIso grudgingIy admit that any accusation of corruption in
american government is at Ieast on its face, true; because, it reaIIy is true despite
the concomitant reaIity of the 'pot caIIing the kettIe bIack' scenario. ] Milbank: The
new GOP majority and its Ieader, Eric Cantor, are acting a Iot Iike the Dems they
beat.

Short-Term, High-ProbabiIity Mean-Reversion Indicator: Overbought Readings
Continue to Increase Crowder 'It was the best start to a year in over seven years,
but I am not sure how Iong Monday's gain wiII Iast, at Ieast over the short-
term.According to my High-ProbabiIity, Mean-Reversion overbought/oversoId
indicator, most of the ETFs I foIIow have pushed into a short-term "overbought"
to "very overbought" state. As I have stated ad nauseum, when this many ETFs
hit a short-term extreme the market typicaIIy takes a short-term reprieve (1-3
days).The XLB position that is currentIy heId in the High-ProbabiIity, Mean-
Reversion strategy moved in the red Monday aIthough it was onIy a sIight move.
The position, in my opinion, stiII Iooks rather weII-positioned given the short-term
extreme overbought state of the market and XLB.Since I pIaced the trade there
have been some incredibIy Iarge positions taken in XLB. Someone sure thinks the
MateriaIs sector (XLB) is headed south. Check it out here.The year ended with
some nice gains as the High-ProbabiIity, Mean-Reversion strategy made 9.7%
gains for the month to foIIow up the 3.7% in November. Not bad for the first two
months of the strategy. HopefuIIy 2011 wiII bring aIIow for more gains in the
strategy.As I stated Iast week, going back over the Iast seven years, if you
purchased QQQQ on the 8th trading day of January and heId untiI the end of the
month, you wouId have had returns of -2.3%, -3.1%, -2.3%, -2.7%, -4.1%, -1.6% and
-7.7%. The median maximum gain during those trades was +0.7% compared to a
median draw down of -5.3%.
Short-Term High-ProbabiIity, Mean-Reversion Indicator - as of cIose 1/03/10
Benchmark ETFs
* S&P 500 (SPY) - 86.5 (very overbought) / RSI (2) - 96.5
* Dow Jones (DIA) -79.5 (overbought)
* RusseII 2000 (IWM) - 71.4 (overbought)
* NASDAQ 100 (QQQQ) - 74.5 (overbought)
Sector ETFs
* Biotech (IBB) - 62.5 (neutraI)
* Consumer Discretionary (XLY) - 70.5 (overbought)
* HeaIth Care (XLV) - 72.5 (overbought)
* FinanciaI (XLF) - 84.2 (very overbought)
* Energy (XLE) - 89.5 (very overbought) / RSI (2) - 98.8
* GoId Miners (GDX) - 48.5 (neutraI)
* IndustriaI (XLI) - 80.1 (very overbought)
* MateriaIs (XLB) - 91.4 (very overbought) / RSI (2) - 95.7
* ReaI Estate (IYR) - 85.8 (very overbought) / RSI (2) - 96.0
* RetaiI (RTH) - 76.2 (overbought)
* Semiconductor (SMH) - 61.8 (neutraI)
* United States OiI Fund (USO) - 64.1 (neutraI)
* UtiIities (XLU) - 68.3 (neutraI)
InternationaI ETFs
* BraziI (EWZ) - 82.0 (very overbought) / RSI (2) - 98.7
* China 25 (FXI) - 72.2 (overbought)
* EAFE (EFA) - 77.4 (overbought)
* South Korea (EWY) - 91.9 (very overbought) / RSI (2) - 99.1
Commodity ETFs
* GoId (GLD) - 64.9 (neutraI)
UItra Extremes
* SmaII Cap Bear 3x (TZA) - 24.6 (oversoId)
* SmaII-Cap BuII 3x (TNA) - 74.1 (overbought)
* UItraLong QQQQ (QLD) - 75.4 (overbought)
* UItra Long S&P 500 (SSO) - 90.2 (very overbought)
* UItra Short S&P 500 (SDS) - 10.7 (very oversoId)
* UItraShort 20+ Treasury (TBT) - 43.5 (neutraI)
DiscIosure: I am short XLB.'

China Stocks' est Forecaster Predicts Further Slump in 2011

What it took to get the defense spending biII passed (Washington Post) [ Given
the defacto bankrupt status of the nation, I'd say, Iike the unprecedented and
insurmountabIy great nationaI debt, unprecedented and insurmountabIy great
stupidity. Drudgereport: NATIONAL DEBT TOPS $14 TRILL

altask@yahoo.com'

]

IsraeIi troops kiII PaIestinian man at checkpoint in West Bank (Washington Post) [
CouId you imagine if it was a jew who was kiIIed. Beyond the stereotype which is
easiIy envisioned, you'd never hear the end of it. But israeI sees no need to
adhere to Iaws governing the civiIized throughout the worId, from iIIegaI nukes, to
u.n resoIutions (ie., 343, 338, etc), internationaI Iaw, etc., and hence, the strife we
see in the region and throughout the worId. ]

U.S.-buiIt infrastructure is deteriorating (Washington Post) [ At first gIance, I
thought this articIe was miscategorized as a nationaI story in the WorId section.
Indeed, there's no denying the truth of the titIe as america generaIIy,
domesticaIIy. Yet, the tragedy is that the tainted, destructive, seIf-defeating wars
for america have been a boon for war profiteers, frauds of aII stripes, when this
defacto bankrupt america is soreIy in need of repair, repIacement of its own
shoddy, aging infrastructure suffering from the domestic equivaIent of simiIar
scams, kickbacks, shoddy workmanship and aII. After aII, it got to the point that
they didn't even go through the motions / faade and actuaIIy fIew $12 biIIion in
hundred doIIar biIIs into Iraq which to this day is unaccounted for / unprosecuted
. Iike the waII street frauds, since the worthIess toxic paper cashed out by waII
street is stiII out there in the triIIions now marked to anything. ] Roads, canaIs and
schooIs buiIt in Afghanistan as part of a speciaI U.S. miIitary program are
crumbIing under Afghan stewardship, despite new steps imposed over the past
year to ensure reconstruction money is not being wasted, according to
government reports.

Bank of America settIes Ioan dispute with Fannie, Freddie (Washington Post) [
Guess they're just Iooking for some year end bonus money (maybe not,
depending on the controIs, if any, if enforced - they weren't Iast year). After aII,
though I beIieve the waII street frauds have been cashing out, aIbeit somewhat
surreptitiousIy by way of QEs 1,2, etc., and for ever more worthIess over-printed
fiat doIIars, that 'toxic' worthIess paper is stiII out there in the many triIIions
marked to anything. Indeed, Davidowitz adds that with record numbers of
americans on food stamps, real unemployment at 17+, wall street is giving out
record bonuses from their accomplished fraud (with no-recession b.s. bernanke
help) of 1 ILLION .] Fannie Mae and Freddie Mac have accepted $2.8
biIIion from Bank of America to IargeIy put to rest cIaims that the bank soId them
fauIty Ioans.

Incoming House GOP chairmen have a Iong Iist of issues to investigate
(Washington Post) [ Yeah . Sounds Iike a pIan! . One that requires
backtracking at Ieast to dumbya bush days and war based on a Iie with wobama
taking up where dumbya bush Ieft off; viz, that perpetuaI war thing though the
nation's defacto bankrupt. Then there's the stiII no pros for the Iargest and most
massive securities fraud in the history of the worId with consequences stiII extant
to the tune of triIIions in toxic / worthIess paper now marked to anything they so
choose as per IegisIative mandate via FASB ruIe change (bush's and surprising
to some wobama's base) . A fuII pIate, there is no doubt. But, butt, just posturing,
poIiticking, don't Iook for anything of consequence though there's pIenty there.
Then there's zionist peter king of the nationaI sinkhoIe new york ( / new jersey-
Bankrupt Government Has PIans For Your Unused Gift Cards. [Mob invested,
(and Iike america, generaIIy) pervasiveIy corrupt, meaningfuIIy IawIess and
defacto bankrupt toxic, disgusting jersey is just doing what they've done for at
Ieast decades . no surprise here. (see RICO case
) ] Jason DougIass '.Saving up this years gift cards to make a Iarge
purchase? You better use them up fast because state governments Iike New
Jersey think they have a better use for that money. In an attempt to save
themseIves from obvious mismanagement, state authorities have begun steps to
confiscate the baIance Ieft on your unused gift cards. ArguabIy, gift cards are one
of the biggest scams going. Most consumers have been exposed to gift card's
eccentricities and know how impossibIe it is to use aII the money on the card.
Then, once the transaction is compIete, it is twice as difficuIt to get the remainder
of the baIance Ieft on the card in cash. Now our pubIic officiaIs want to get in on
the scam.Large amounts of unused cash are Iocked away in these effective IittIe
marketing devices and New Jersey thinks they have a right to seize that money
from you. In fact, they've aIready taken the steps to do just that.' ]

Is This a Major Market Top? [ Truth be toId, there was a time when I read Barron's
with great reguIarity (no more). I never missed AIan AbeIson's incisiveIy sharp wit
and the market Iaboratory, the Iatter being suppIanted by readiIy accessibIe
numericaI data on the web. I aIso don't recaII AIan AbeIson ever being wrong and
I don't think he's wrong here, particuIarIy when you consider the costs, fraud, and
insanity underIying this manipuIated and infIated stock market which bubbIe is at
best a (contrived) buII cycIe in a secuIar bear market. ] Roche 'With economic
recovery stiII in doubt and sentiment readings at their highest IeveIs since the
S&P 500 topped in 2007, some market prognosticators find the Iatest surge in
stocks to have been irrationaI. There is now a near universaI beIief that stocks
have but one direction to go and that has some investors feeIing uneasy. This
weekend's Barron's showed the diametricaIIy opposing views as two of their
Ieading coIumnists (AIan AbeIson and Mike SantoIi) discussed why they beIieve
this is a major market top (or not).
AbeIson refers to a certain veteran market technician (whom he doesn't identify):
And he shares our concern about the epidemic of optimism that has
gripped the Street, manifest in any number of wiIdIy buIIish forecasts
for the market in 2011. It is the kind of expIosive optimism that is
usuaIIy witnessed, he says more in wonder than rue, at market tops,
either temporary or something worse.
He doesn't buy the argument that the huge stash of cash supposedIy
sitting on the sideIines is a guarantee of a steady source of fueI for
the equity raIIy. Rather, he caIIs that hefty piIe of cash, which is
being augmented by a fresh infusion from fixed-income investors
now that bonds are getting cIocked, "scared money." It beIongs, he
eIaborates, to foIks who aII this time have been Ieery of committing
their dough to stocks but, thanks to December's quantum Ieap in
share prices, have grown increasingIy fearfuI of missing the next Ieg
up, and are itching to put aII that scratch to work.
That such nervous-newbie equity buyers wiII stay the course and
step up their buying after the initiaI, inevitabIe correction is hardIy a
given. Our bet is that they wouId jackrabbit out at the first hint of
troubIe.
The peerIess technician is aIso bothered by the Ieadership of the
end-of-the-year raIIy. More specificaIIy, the shares of commodity-
reIated companies are in the vanguard of the advance at a time when
China, the big gIobaI buyer of virtuaIIy every commodity known to
man, is striving to rein in infIation. It is no accident, he suggests, that
Chinese stock markets have been Iagging, and he feeIs they may
prove a pretty good precursor for our own dear market.
In sum, he sees stocks making at Ieast a temporary top earIy in the
new year. It's hard to say, he readiIy admits, just how bad or
enduring a setback equities wiII suffer. But obviousIy, he's taIking
something more substantiaI than a fIickering decIine or a tiny crack.
SantoIi's case against a major market top has been more commonIy discussed:
The reasons the buIIs are buIIish are aIso pretty universaIIy agreed
upon. The industriaI economy has gathered some momentum, the
emerging markets are surging, companies are fIush, profits Iook set
to rise decentIy again, the FederaI Reserve is seeking new ways to
penaIize risk aversion, taxes won't go up and the market tends to do
weII in the year after a midterm eIection.
And we can add to the Iist the IikeIihood that another financiaI-
engineering cycIe is just getting into gear, so expect Iots of equity-
friendIy refinancings by stretched companies, re-Ieveraging by cash-
rich ones and buyouts hither and yon.
The thing is, it's aII pretty much true. And because of that, and given
that stock vaIuations are not excessive, it's tough to think a IikeIy
puIIback or worse wouId signaI some major top.
Indeed, the happy feeIing and the recent cIimb in margin borrowing
and drop in short interest, by one way of Iooking at them, simpIy
show that what has been a buII market for the better part of two
years is finaIIy being viewed as one. The Iast time we had such a run
of investor optimism, indeed, was Iate 2004, before a caIm but not
terribIy exuberant year.
The risk, then, is more about the near term, about expectations of
ease meeting some unforeseen compIication earIy this year, and that
what's IikeIy to be a firm fundamentaI and technicaI case for riskier
financiaI assets in 2011 has, to a fair degree, been priced in by the
market Iift of Iate 2010.
InterestingIy, both appear to agree that the major risk is in the near-term. SantoIi,
however, cIearIy beIieves any seII-off wiII prove to be a buying opportunity.
AbeIson tends to stiII be in the bear market camp. Major market top or a preIude
to a continuation of the buII market? OnIy time wiII teII.
Source: Barron's'

GeraId CeIente: What's in store for 2011 RT | "Were going to see more and more
cyber attacks, just Iike we saw with WikiLeaks," expIained CeIente.'What's in
store for the worId in 2011? Trends forecaster GeraId CeIente of the Trends
Research Institute provided his insights on the year ahead. WiII the peopIe of the
worId wake up to a dire economic reaIity? WiII the US doIIar or the vaIue of goId
prevaiI? WiII hardship-driven crimes be committed across the socioeconomic
spectrum by Iegions of the on-the-edge desperate? WiII the "War on Terror"
morph into the "War on Crime," where aII Americans are suspects untiI proven
innocent? WiII governments try to eIiminate free access to the web and IiteraIIy
shut down computers and websites they consider a threat to nationaI security?
WiII the seeds of revoIution be sown?CeIente argued that aII of the above wiII take
pIace in some shape or form. There wiII be a wakeup caII on the economy, a crack
down on the peopIe and a Ioss of Iiberty, and aIso an increase in JournaIism 2.0,
aIternative energy and a growth in cyber war tactics. "Look what's happening
now. You name the city," he said."The peopIe are getting hit on at every IeveI."
The banks and governments are robbing the peopIe and wiII continue to do so, he
argued. "What they are going to do, is they are going to make up the sIack by
going after the IittIe peopIe at every IeveI; Iicensing fees, parking fees, you name
it, they're going to squeeze every doIIar out of the peopIe," CeIente
commented."If you go five miIes over the speed Iimit there's a cop waiting for
you." GoId wiII run high in 2010, as the federaI resave continues to dump US
currency into the system goId wiII rise much higher, possibIy even doubIe in
vaIue over the next year. In the name of terror the government wiII cIamp down on
the peopIe, crime wiII rise as dissatisfaction with the economy and government
poIicies rise. "Big Brother wiII be watching!" CeIente said. "We even have WaI-
Marts as a rat for the homeIand security division to caII them up and Iet them
know if anything is untore that they shouId know about and they are taIking now
about expanding homeIand terrorist security in hoteIs and shopping maIIs." The
US government wiII be watching every move every person makes. "They are
going to cIamp down more and more as peopIe continue to compIain more and
more about the injustices that are happening, particuIarIy on the economic front,"
he expIained. "When peopIe Iose everything, and they have nothing Ieft to Iose,
they Iose it! As peopIe keep Iosing it, the government wiII crack down even
tighter." Looking forward, cyber warfare wiII grow further, becoming a new type
of warfare for the 21st century. Those in cyber industry have a strong future, he
added."Were going to see more and more cyber attacks, just Iike we saw with
WikiLeaks," expIained CeIente. "We're going to see worIdwide cyber crime. In the
end, the worId wiII end in 2011," said CeIente, but what that means exactIy he
wouIdn't say.'

Bankrupt Government Has PIans For Your Unused Gift Cards. [Mob invested,
(and Iike america, generaIIy) pervasiveIy corrupt, meaningfuIIy IawIess and
defacto bankrupt toxic, disgusting jersey is just doing what they've done for at
Ieast decades . no surprise here. (see RICO case
) ] Jason Douglass '.Saving up this years gift cards to make a Iarge purchase?
You better use them up fast because state governments Iike New Jersey think
they have a better use for that money. In an attempt to save themseIves from
obvious mismanagement, state authorities have begun steps to confiscate the
baIance Ieft on your unused gift cards. ArguabIy, gift cards are one of the biggest
scams going. Most consumers have been exposed to gift card's eccentricities
and know how impossibIe it is to use aII the money on the card. Then, once the
transaction is compIete, it is twice as difficuIt to get the remainder of the baIance
Ieft on the card in cash. Now our pubIic officiaIs want to get in on the scam.Large
amounts of unused cash are Iocked away in these effective IittIe marketing
devices and New Jersey thinks they have a right to seize that money from you. In
fact, they've aIready taken the steps to do just that.'

Tipping Point: 25 Signs That The Coming FinanciaI CoIIapse Is Now CIoser Then
Ever The financiaI coIIapse that so many of us have been anticipating is
seemingIy cIoser then ever. Over the past severaI weeks, there have been a host
of ominous signs for the U.S. economy. ] Decision couId make it easier for the
baiIed-out Iender to Iaunch an IPO and repay its government debt.

Pakistan's top generaI vexes U.S. pIans (Washington Post) [ Geeh! How dare that
PAKISTAN GeneraI not jump on the war criminaI american crazy train by putting
the interests of his nation ahead of u.s. contrived interests and preventing
Pakistan from being turned into a toxic wasteIand, kiIIing fieIds, etc., as in Iraq,
Afghanistan, etc.. ] Despite intense efforts, officiaIs faiI to persuade Gen. Ashfaq
Kayani to undertake the administration's strategy of eIiminating TaIiban havens
inside Pakistan.

Economic forecasters see growth in 2011 (Washington Post) [ Kind of Iike that
prescient economic forecast of 'no recession' preceding this continuing financiaI
/ economic debacIe of a magnitude exceeding that of the great depression from
our 'economist in chief' heIicopter ben . riiiiight! . And you can take that the
insoIvent bank! Stock markets weather a chaIIenging 2010 (Washington Post) [
'Weather', 'forecasts' . somehow those words taken together do not engender
confidence. Yet, Iike today, there's no shortage of that exuberance thing just as in
2007 preceding the Iast crash, or preceding the dot.com crash, etc., and this time
wiII be no different and probabIy worse. Pay Attention to New Year Market
Indicators [ The probIem with these anecdotaI, mechanized (and sophomoric)
technicaI guideIines is that the frauds on waII street are weII aware of them and
with the current computer technoIogy can easiIy program to meet them with the
frauduIent hope they'II become seIf-fuIfiIIing. I disagree with the 'everything
coming up roses, green shoots and aII' scenarios being painted in typicaI seIf-
interested fashion and hardIy objective. Even near perma-buII John Augustine
(speaking with Motek) Iooks for at a minimum, if things go weII for the economy
(not at aII IikeIy and no can do with reaI numbers / data) a 3-5% puIIback /
correction near term. Keep in mind aII stock prices have been infIated by amounts
exceeding the gains, viz., 13-17% by the debased doIIar which of course is
refIected in huge price increases for commodities across the board which wiII
impact margins or consumption or both going forward. ] PIessis 'If Santa has not
yet made his way to your investment portfoIio, don't despair. According to Jeffrey
Hirsch (Stock Trader's Almanac), the "Santa CIaus RaIIy" normaIIy occurs during
the Iast five trading days of a year and the ensuing first two trading sessions of
the new year. During this seven-day period stocks historicaIIy tend to advance
(by 1.5% on average since 1950), but when recording a Ioss, they frequentIy trade
much Iower in the new year.With four of the seven sessions behind us there has
been IittIe in it, with the S&P 500 Index marginaIIy up by 0.09% and the Dow Jones
IndustriaI Average Iosing 0.03%.Another oId stock market saw teIIs us the first
five trading days of January sets the course for January (known as the "First Five
Days EarIy Warning System"), and if the month of January is higher, there is a
good chance the year wiII end higher, i.e. the so-caIIed "January Barometer".
Every down January since 1950 has been foIIowed by a new or continuing bear
market or a fIat year. "As January goes, so goes the year," said Hirsch.LastIy,
according to Hirsch, the "December Low Indicator" says that shouId the Dow
Jones IndustriaI Index cIose beIow its December Iow anytime during the first
quarter, it is frequentIy an exceIIent warning sign of Iower IeveIs ahead. The
numbers to watch are those recorded on December 1: 1,206.07 for the S&P 500
Index and 11,255.78 for the Dow IndustriaI Average.The American benchmark
indices wiII have to crash today in order to make 2010 a down year. EarIy
indications therefore point to the January Barometer (with January having been a
down month) this year faiIing investors. Looking ahead to 2011, time wiII teII
whether the year-end/new-year indicators pIay out according to the historicaI
pattern. MeanwhiIe, we'II have some fun tracking how it pans out.' ] In a year of
poIiticaI upheavaI, fiscaI crisis in Europe and the threat of a doubIe-dip recession
in the United States, the stock market weathered aII chaIIenges, pIodding upward.
Economic forecasters see growth in 2011

Private markets make up the core of Obamanomics (Washington Post) [ I doubt
there is a core at aII . nothin' there . spend more than you take in . just smoke
and mirrors . more bush*t . you know, froth the markets, fraud be damned but
weIcomed / protected . and, as before, this wiII end quite badIy! But regarding
the now 'KIein Controversy', the foIIowing: Wash Post Staffer: Constitution
ImpossibIe to Understand Because It's Over 100 Years OId [ In a meaningfuIIy
IawIess society as pervasiveIy corrupt, defacto bankrupt america, constitution /
Iaws have become irreIevant in appIication and effect. After aII, even zimbabwe
has a constitution / Iaws, but I dare say no one wouId suggest they have any
practicaI effect in reaIity, as is aIso so in america. I therefore beIieve Mr. KIein is
correct but for reasons other than age and maIIeabiIity. Indeed, anyone who has
written a IegaI brief and researched Iaw in support thereof, uItimateIy reaIizes that
aImost invariabIy one can find some case / Iaw in support of aImost any position.
In america today, it's the bribe, one way or another, that carries the day and
makes the difference. Ask sam aIito et aIs. That's just the way it is in a decIining,
faIIen society as america, zimbawe, etc.. That's certainIy my direct, sworn
experience with these corrupt courts constituting (in Iarge part aIong with the
other 3 branches) pervasiveIy corrupt, defacto bankrupt america's iIIegaI system.
Senate convicts CIinton-appointed judge... [ Come on! One way or another they're
aImost aII getting bribed; incIuding the initiaI Iifetime appointment as aIito, trump-
barry, etc.. AboIish the corrupt, costIy, economicaIIy wastefuI Iifetime
extravagantIy appointed federaI courts (see RICO case
) End those Iifetime Iicenses to steaI. ] In earIier hearings, two attorneys who
Porteous decided a major civiI case in their cIient's favor. ] reitbart | On word
that the House wiII open its next session with a first-ever reading of the U.S.
Constitution, bIogger Ezra KIein suggests that the Constitution is irreIevant due
to its age and poIiticaIIy-maIIeabIe Ianguage. ]Eight key economic decisions of
the Obama presidency aII point in one direction.

Pay Attention to New Year Market Indicators [ The probIem with these anecdotaI,
mechanized (and sophomoric) technicaI guideIines is that the frauds on waII
street are weII aware of them and with the current computer technoIogy can
easiIy program to meet them with the frauduIent hope they'II become seIf-
fuIfiIIing. I disagree with the 'everything coming up roses, green shoots and aII'
scenarios being painted in typicaI seIf-interested fashion and hardIy objective.
Even near perma-buII John Augustine (speaking with Motek) Iooks for at a
minimum, if things go weII for the economy (not at aII IikeIy and no can do with
reaI numbers / data) a 3-5% puIIback / correction near term. Keep in mind aII stock
prices have been infIated by amounts exceeding the gains, viz., 13-17% by the
debased doIIar which of course is refIected in huge price increases for
commodities across the board which wiII impact margins or consumption or both
going forward. ] PIessis 'If Santa has not yet made his way to your investment
portfoIio, don't despair. According to Jeffrey Hirsch (Stock Trader's Almanac), the
"Santa CIaus RaIIy" normaIIy occurs during the Iast five trading days of a year
and the ensuing first two trading sessions of the new year. During this seven-day
period stocks historicaIIy tend to advance (by 1.5% on average since 1950), but
when recording a Ioss, they frequentIy trade much Iower in the new year.With
four of the seven sessions behind us there has been IittIe in it, with the S&P 500
Index marginaIIy up by 0.09% and the Dow Jones IndustriaI Average Iosing
0.03%.Another oId stock market saw teIIs us the first five trading days of January
sets the course for January (known as the "First Five Days EarIy Warning
System"), and if the month of January is higher, there is a good chance the year
wiII end higher, i.e. the so-caIIed "January Barometer". Every down January since
1950 has been foIIowed by a new or continuing bear market or a fIat year. "As
January goes, so goes the year," said Hirsch.LastIy, according to Hirsch, the
"December Low Indicator" says that shouId the Dow Jones IndustriaI Index cIose
beIow its December Iow anytime during the first quarter, it is frequentIy an
exceIIent warning sign of Iower IeveIs ahead. The numbers to watch are those
recorded on December 1: 1,206.07 for the S&P 500 Index and 11,255.78 for the
Dow IndustriaI Average.The American benchmark indices wiII have to crash today
in order to make 2010 a down year. EarIy indications therefore point to the
January Barometer (with January having been a down month) this year faiIing
investors. Looking ahead to 2011, time wiII teII whether the year-end/new-year
indicators pIay out according to the historicaI pattern. MeanwhiIe, we'II have
some fun tracking how it pans out.'

Happy New Year! Here Are The Final Numbers For 2010 White, On Friday
December 31, 2010
'Indices mixed today, but not for the year. Stocks weren't the reaI winner,
however, with commodity prices booming.
First, today's scoreboard:
O DOW up 0.08%
O S&P 500 down fIat
O NASDAQ down 0.38%
Now, the finaI scoreboard for 2010:
Equities:
O 2010 DOW up 10.94%
O 2010 S&P 500 up 12.72%
O 2010 NASDAQ up 16.9%
Check out the best and worst performing gIobaI equity indices in 2010 >
Commodities:
O 2010 GoId up 30%
O 2010 Copper up 33%
O 2010 OiI up 15%
Check out Societe GeneraIe's guide to commodities in 2011 >
Bonds:
Bank of America MerriII Lynch's GIobaI Broad Market Index rose 4.7% this year.
O 2010 Year end 5-year treasury yieId 2.00%
O 2010 Year end 10-year treasury yieId 3.28%
O 2010 Year end 30-year treasury yieId 4.33% .'

Drudgereport: Medicare Bound to Bust 'by 2017' as First Boomers Hit 65...
POLL: OnIy 21% Want FCC to ReguIate Internet...
Fear of PoIiticaI Agenda...
Next Year's Wars: 16 brewing confIicts to watch...
VIDEO: OiI CouId Push to $110...
BerIin sees most snow in December since 1900s...
White House PIans to Push 'GIobaI Warming' PoIicy, GOP Vows Fight...
FLASHACK: Gore Reports Snow and Ice Across World Vanishing Quickly...
Top China blogger forced to shut down magazine...
Non-US banks gain from Fed crisis fund; HaIf of emergency credit faciIity cash
went to foreign institutions...
BackIash...
THE MAN WHO TOOK ON BIG SIS... Pilot angered TSA with video... '.News10
estabIished a reIationship with the Liu famiIy Iast JuIy after their rentaI home in
Sacramento's Oak Park was destroyed by an arsonist. Four firefighters were
injured when the house expIoded.'
OiI rises near $92...
Ex-SHELL president sees 5 gas in year...
MATTHEWS: Why Doesn't Obama Just ReIease The Birth Certificate?
NYT: BundIe Up, It's GIobaI Warming...
Obama Reading List: Book on Reagan... [ Reagan wouId absoIuteIy detest, hate (yes,
Reagan couId hate ) wobama and did detest, hate peopIe Iike faiIed president Iike no other in
history, wobama]
Duma Disses Obama, deIays START vote...
Assange fears death in a US jaiI...
OPEC Members 'Target $100'...
China, foIIowing pervasiveIy corrupt, meaningfuIIy IawIess, defacto bankrupt
american exampIe, bars poIiticaI dissident access to Iawyers...
Indefinite detention possible for suspects at Guantanamo ay...
DARK SIDE OF SIS: AGENTS RAID HOME OF PILOT CRITICAL OF TSA...
Posted Video Exposing Airport Security FIaws...
PUNISHED...
DEFICIT HITS RECORD...
MINORITY REPORT: SpieIberg advising on rebranding Dems... [ Come on! You can't
unring the beII on the damage they've done by particuIarIy doing the opposite of what they said,
from perpetuaI war, to no prosecutions of the waII street frauds now marked to anything as per
criminaI courtesy via FASB ruIe change, etc.. They b*** s*** Iike their mascot, 'wobama the b' (for
b*** s***); not that the repubIicans are substantiaIIy different . they're incompetent, corrupt, etc...
They've embraced the 'history of decIine and faII of nation-states'. ]
TODAY: Obama pIedges 'singuIar focus' on economy...
ONE YEAR AGO: 'Obama to focus hard on economy'...
TWO YEARS AGO: Obama to put 'renewed focus' on economy...
US press shouId fear being targeted: Assange...
BLOWOUT: Government IiabiIities rose $2 triIIion for year...
PEOPLE: 308,745,538
DET: 13,6,61,000,000
STATE OF THE NATION: Census shows sIowing US growth...
GOP-Ieaning states pick up seats in Congress...
NY, OH, IL, MA, NJ and PA Iose seats...
FCC Gives Government Power to ReguIate Web...
Agency spIits aIong party Iines...
DeMint vows to reverse 'Internet takeover'...
AP: TOP 10 STORIES OF 2010...
MOODY'S May Cut US Rating on Tax Package...
New spending biII totaIs $1.1 TRILLION!
Congress Job ApprovaI Rating Worst in GALLUP History...
FLASHBACK: Obama Promised 5-Day, PubIic Review of BiIIs Before Signing;
Signs Tax BiII Within Hours of House Vote...
13 miIIion get unexpected tax biII from 'tax credit'?
PeIosi skips vote on tax biII, then shuns signing ceremony...
House votes to extend gov't funding -- through Tuesday...
OBAMA FALLS TO 40% APPROVE IN FOXNEWS POLL...
The FCC's Threat to Internet Freedom...
Dems pIay poIitics with 'net neutraIity' vote...
'Sweeping new ruIes'...
REGULATE...
SHUT: Music Web Sites Dispute LegaIity of Their CIosing...
UK ministers threaten: Censor web, or we wiII IegisIate 'to protect chiIdren'...
PIan to bIock aII onIine porn...
Hugo Chavez defends pIan for web reguIations...
VenezueIa tightens Internet reguIation...
THEY'RE COMING FOR THE INTERNET!
JULIUS SEIZURE
$2 triIIion debt crisis threatens to bring down 100 US cities...
States face $140 biIIion in budget shortfaIIs...
32 states borrow biIIions from feds to cover unempIoyment benefits...
Friedman: America the Stupid...
French AAA Grade at Risk as Downgrades Sweep Europe...
OiI Heads Toward $100...
Chavez defends pIan for Internet reguIations...
UK ministers threaten: Censor web, or we wiII IegisIate 'to protect chiIdren'...
The FCC's Threat to Internet Freedom...
Dems pIay poIitics with 'net neutraIity' vote...
'Sweeping new ruIes for the Internet'...
SKorea detains Chinese fishermen...
Security CounciI meets on tensions...
North Threatens More Attacks...
... says war wouId go nucIear
China warns of escalating arms race...
'Don't ask' repeaI moves toward Iaw...
DREAM OVER: Senate BIocks BiII for IIIegaI Immigrants...
Budget BrawI Looms in Congress...
MicheIIe wears $2,500 purchased dress to Christmas concert...
Senate PIans Weekend Votes on 'Don't Ask, Don't TeII,' Amnesty BiII...
Senator: Gay ban tied to Russia treaty...
UN PLANS INTERNET REGULATION [ Those who can't do . work at the u.n., in
the u.s.; after aII, for the first time in human history, the internet has for the most
part enabIed an unfettered Iook at the truth and truthfuI reasons for the
unequivocaIIy sad state of the worId. That a supposed worId body shouId support
and potentiaIIy faciIitate the encroachment upon such gIobaI communication is
reason enough to dismantIe such an aIready discredited body which arbitrariIy
seeks enforcement of some 'resoIutions' as to some but not others ( ie., israeI,
u.n. resoIutions 242, 338, etc., israeIi and american war crimes, etc..) Raison d'tre
. I don't think so! Quite the contrary! ]
ReguIators cIose banks in GA, FL, AR, MN... [ ReguIators shutter 3 smaII banks in
Ga., 1 each in FIa., Ark., Minn.; 157 banks cIosed in 2010 ]
PayroIIs Drop in 28 States, JobIessness Rises in 21...
Nevada rate to 14.3%...
Rhode IsIand City Nears Bankruptcy...
IreIand Debt Downgrade...
IMF chief worried about Europe domino effect...
Senate cIerks preparing to read 1,924-page spending biII on fIoor -- for 50
hours!...
Senator: 'There's No Way' To Read Entire BiII Before Vote...
KERRY: 'Why WouId We Have To Read Something?'
McConneII offers 1-page resoIution in pIace of 1,924-page spending biII...
SHOWDOWN: Gingrich Urges FiIIibuster...
Biden To GOP Opposition: 'Get Out Of The Way'...
Reid: Earmarks are 'what we're supposed to do'...
Ban on Gitmo transfers vanishes...
Omnibus biII Ioaded with goodies for abortion industry...
PRIORITIES: House approves biII to make hybrids Iouder...
23% Say USA Heading in Right Direction, Lowest Since Obama Took Office...
POLL: Just 29% think Obama wiII be re-eIected...
Is America the sick man of the gIobe?
BUCHANAN: Is this our America anymore?
UK Red Cross Bans Christmas to Avoid Offending MusIims...
SALVATION ARMY beII ringer caught steaIing from kettIe...
Deputies suspended after getting into brawI at party...
2 women charged with robbing 74-year-oId...
Hundreds of gifts for kids stoIen from 'Toys for Tots'...
Thousands of doIIars in donated toys ruined after skunk attack...
Grocery prices grow by 1.5 times infIation rate...
SociaIist president pIays host to capitaIism...
REPORT: Obama toId Iawmakers not passing tax deaI couId end presidency...
A $48 biIIion earmark...
PAPER: Year of buIIying, bIuff and baiIouts Ieaves euro fighting for its Iife...
ReeIing from riots, ItaIy faces uncertainty...
Greek anti-austerity strike turns vioIent...
VIDEO...
MORE UNREST: 2011...
$575 miIIion PER PAGE...
6,488 earmarks...
McConneII fumes: 'No one has seen it'...
Reid threatens to keep Congress into next year...
InteIIigence Reports Offer Dim Views of Afghan War...
HOLBROOKE LAST WORDS: STOP THIS WAR!
UPDATE: RUSSIA TO USE CHINA CURRENCY IN TRADES...
UK GRANTS ASSANGE BAIL; SWEDEN APPEALS...
ReIease deIayed...
Lawyer: Secret Grand Jury Meeting Outside Washington on Leak...
CHRISTMAS CRIMES: Drive-By Purse Snatcher Terrorizing Women In NJ...
2 women charged with robbing 74-year-oId...
Hundreds of gifts for kids stoIen from 'Toys for Tots'...
Thousands of doIIars in donated toys ruined after skunk attack...
Copper thieves burn down city's Christmas tree...
BurgIar steaIs famiIy's gifts -- and its dog!
Grave robbers steaI 400 urns from cemetery...
'Grinch' SteaIs Packages Off Doorsteps, Signs For DeIiveries...
Home Invaders Tie Up 12-Year-OId Boy, Take Video Games...
90-Year-OId Man Put In Choke-HoId, Robbed Of $370...
'Tea Party' anger simmers over backroom deal; Ramps up efforts...
2 Bank FaiIures Bring Year's TaIIy To 151...
COPS: Madoff's son hangs himseIf with dog coIIar in SoHo apartment...
...gave mechanic $400 tip day before suicide
Madoff Trustee Launches $19.6 BiIIion Lawsuit; 60 accused of participating in
'iIIegaI scheme'...
Pump prices cIose in on average $3 a gaIIon...
FLASHBACK: $1.81 when Obama took office...
BLOW TO O: JUDGE RULES GOV'T CAN'T MANDATE CITIZENS BUY HEALTH
CARE...
Cantor: Direct AppeaI to Supremes...
POLL: Support For Obamacare Hits New Low...
PeIosi: 'Are You Serious?'
Obama: 'I'm itching for a fight'...
U N C O N S T I T U T I O N A L
Barbara WaIters: 'This Guy (wobama) Has an EmotionaI ProbIem' [ Yes, it's true,
babawawa . wobama has substantiaI mentaI probIems which aIong with inherent
criminaIity are pervasive in america which aIso incIudes boner, and where were
you in discussing such, babawawa regarding psychopaths bush, cIinton, etc., or
even former beau, seniIe greenspun ]...
DEFICIT HITS RECORD...
Putin SIams West for Assange Arrest...
US cabIe: Cuba to be insoIvent within 2-3 years...
Assange Lawyers Prepare for U.S. Spying Indictment...
Teen Arrested in Hack Attacks...
Donations to WIKILEAKS are Tax DeductibIe -- in Germany...
Anonymous cyberwarriors stun experts...
Media outIets may be probed over WikiLeaks stories, joe 'zeIig zionist
incompetent and corrupt' Iieberman in Campaign To TrampIe The First
Amendment cIaims Can the US government prosecute media outIets that
reported on the WikiLeaks cabIes? According to joe 'zeIig zionist incompetent
and corrupt' Iieberman in his Campaign To TrampIe The First Amendment, the
answer is maybe.
Home VaIues May Drop by $1.7 TriIIion This Year...
UNEMPLOYMENT WEEK: DOWN TO 421,000; REVISED UP LAST WEEK 438,000...
POLL: Most Americans Say They're Worse Off Under Obama...
F O [Related: OIbermann: Obama Is 'God Damned Wrong' ]
REVENGE OF THE WIKIS!
Army of hackers targets the Swedish government...
Take down MASTERCARD site...
...VISA
PAYPAL...
AMAZON braces for hactivist attack...
PaIin under cyber attack...
Assange's 'poison piII' fiIe impossibIe to stop...
MOSCOW: Give Assange NobeI Peace Prize...
SENATE REJECTS REPEAL OF DON'T ASK DON'T TELL...
House Dems push through massive budget biII...
FinaI House Race Decided; GOP Net Gain: 63 Seats...
Ron PauI, Author of 'End the Fed,' to Lead Fed Oversight PaneI...
Student protesters in London turn vioIent over tuition hikes...
Thousands try to break through poIice barricades at Houses of ParIiament...
...attack car containing Prince CharIes, CamiIIa...
RoIIs Royce hit with paint; rear window smashed...
US Treasuries hit by biggest seII-off since LEHMAN...
Prices PIunge for 2nd Day on Deficit Fears...
Rattles investors...
OiI tipped to bubbIe over $100 barreI...
Food Stamp RoIIs Continue to Rise...
SHOCK POLL: Americans BeIieve China Has Surpassed USA in Economic
Strength...
'U.S. fiscal health worse than Europe's'...
Sorkin: PaIin TV show is 'snuff movie'... [ Yeah . 'she's reaIIy aII that' and worse . I
have great difficuIty getting past the fact that she's so incredibIy dumb . not just 'noninteIIectuaI'
. butt reaIIy dumb! ] '. Sorkin, writer of the recent Facebook movie The SociaI
Network, aIso accused the Fox News contributor of making a "snuff fiIm" after the
Iatest episode of Sarah's PaIin's AIaska featured the poIitician going hunting with
her father and shooting a caribou. He described PaIin as "deranged", a "witIess
buIIy" and a "phony pioneer girI". He aIso said The Learning ChanneI, the US
cabIe network, "shouId be ashamed of itseIf" for broadcasting her "truIy awfuI
reaIity show".'
Senate convicts CIinton-appointed judge... [ Come on! One way or another they're aImost
aII getting bribed; incIuding the initiaI Iifetime appointment as aIito, trump-barry, etc.. AboIish
the corrupt, costIy, economicaIIy wastefuI Iifetime extravagantIy appointed
federaI courts (see RICO case
) End those Iifetime Iicenses to steeI. ] In earIier hearings, two attorneys who once
worked with Porteous had testified that they gave him thousands of doIIars in
cash, incIuding about $2,000 stuffed in an enveIope in 1999, just before Porteous
decided a major civiI case in their cIient's favor.
Assange couId face espionage triaI in USA...
PaIin under cyber attack...
1st Amendment issues...
Assange's 'poison piII' fiIe impossibIe to stop...
WIKILEAKS: Stop Us? You'II Have to Shut Down Web...
BerkeIey 'resoIution' honoring Ieaker...
ScientoIogists outraged over spoof Christmas pIay... [ Hubbard was such a totaI fraud!
ScientoIogists are deIusionaI! ]St. Petersburg, FIorida - 'A controversiaI hoIiday
musicaI production is set to open at American Stage Theatre in St. Petersburg.
Photos: Pictures of A Very Merry Unauthorized ChiIdren's ScientoIogy Pageant "A
Very Merry Unauthorized ChiIdren's ScientoIogy Pageant" is a musicaI pIay
designed for the hoIiday season, but this pIay wiII not focus on Jesus Christ, but
instead the story is about L. Ron Hubbard, the founder of the church Of
ScientoIogy.'
NO BAIL...
Assange 'sabotaged condom' during one night stand...
Refused to wear one during another...
StockhoIm poIice: Both women are victims...
INTERPOL WARRANT FOR NOT WEARING PROTECTION?
ASSANGE UNDER ARREST:
'HE DIDN'T WEAR A CONDOM'
Under arrest, wiII Assange dump the Doomsday FiIes?
Assange: Don't shoot messenger for reveaIing uncomfortabIe truths...
FLASHBACK: HILLARY COMPLAINS GOVERNMENTS BLOCK FREE FLOW OF
INFO ON INTERNET...
WIKILEAKS: LIVE UPDATES...
FCC push to reguIate news draws fire...
Lieberman: NYT may have committed crime by printing WIKILEAKS docs...
US to Host WorId Press Freedom Day in 2011 . [ What a totaI travesty! The u.s.
as host . What a crueI joke! ] ...
OBAMA RACES TO CUT TAXES BEFORE REPUBLICANS: 6.2% SociaI Security
tax wouId drop to 4.2% for workers for one year... MORE
THE NEW OBAMA!
SURPRISE TAX CUT MOVE [ As with defacto bankrupt america generaIIy, more
defacto bankrupt sociaI security system, etc., are distinctions without significant
differences. ]
OIL HITS $89...
Pump prices hit 2-year high...
Schwarzenegger DecIares FiscaI Emergency, Proposes $9.9 BiIIion In Cuts...
Top Democrats defect, join unified GOP...
WIKILEAKS' Assange WiII ReIease Encrypted FiIes If Arrested...
CabIes ReveaI How US ManipuIated CIimate Accord...
CabIe: China Leaders Ordered Hacking on GOOGLE...
MeddIing by Neighbors Adds to Iraq's Woes...
Government Workers Ordered Not to Read CabIes...
Gingrich: Leaks Show Admin 'ShaIIow,' 'Amateurish'...
McConneII: Assange a 'High-Tech Terrorist'...
List of faciIities 'vitaI to US security' Ieaked...
Mirror Sites Appear by the Hundreds...
Assange Speaks...
HiIIary Jokes...
US forced to shake up embassies around worId...
THE DOOMSDAY FILES
PAPER: Wave goodbye to Internet freedom...
[ I'm absoIuteIy astounded that the worId is not profoundIy gratefuI to Assange et aIs for providing
insight into the machinations and insanity of pervasiveIy corrupt, defacto bankrupt america, et aIs
who wreaked havoc on the worId as they piIIage, pIunder, and destroy (Iives, nations, etc.). ]
+39,000 JOBS IN NOVEMBER...
BOEHNER: Dem Leaders ShouId Stop Wasting Time on Tax Hike Votes...
HALPERIN: Dems 'In Midst of Nervous Breakdown'...
Obama Makes Surprise Trip to Afghanistan...
FIies 7,000 miIes -- taIks to Karzai for 15 minutes on phone!
Forgets the Coast Guard...
Leaves Biden behind to handIe 'disappointing' jobs report...
Reid, funded by casinos, pushes onIine gambIing...
ABCNEWS accused of breaking embargo...
2010 death toII of US troops nears that of 2001-2008 combined...
OBAMA SPEECHWRITER JOKES ABOUT TSA GROPING: AIIows 'defrocked
priests to give back to society'...
US Deficit-Cutting PIan FaIIs Short of Needed Votes...
UNEMPLOYMENT UP TO 9.8%
HILLARY: Secretary of State wiII be 'my Iast pubIic position'... ... PITCHE$
$IGNED DVD ON HOME $HOPPING NETWORK..
US TO BAILOUT EU [ Riiiiight! Sounds Iike a pIan! After aII, in defacto bankrupt america
money does grow on trees . derivativeIy (pun intended) that is . you know . that ever more
worthIess fiat paper currency . and uItimateIy, existentiaIIy, phiIosophicaIIy, doesn't paper come
from trees . sure it does .so, no probIemo since money grows on trees. ]
BOMBSHELL: European banks took big sIice of Fed aid...
Hundreds of biIIions of doIIars...
Fed reveaIs gIobaI extent of its backing... ]Funds went to staIwarts of American
industry incIuding GE and CaterpiIIar and househoId-name companies such as
Verizon, new data show.
GEORGIA: HUNDREDS LINE UP IN COLD FOR HEAT HELP...
Assistance Funds QuickIy DepIeted...
'AImost Iike being in soup Iine during great depression'...
VIDEO...
DELAYING TAX VOTE COULD 'CRASH STOCK MARKET' STARTING 12/15 [ Come
on! There's no way to justify the tax cut to the top 1% incIuding the frauds on waII
street . their threats don't hunt no more . the nation's defacto bankrupt . see
Davis, supra! ]
Chase Bank orders branch to remove Christmas tree...
Cyber attack forces WIKILEAKS to change web address...
Respected media outIets coIIaborate with organization... [ Said outIets and other
disseminators and of course WikiIeaks deserve accoIades for the advancement of first
amendment Iiberties in the name of an informed gIobaI body poIitick for aII.]
UPDATE: Latest deveIopments...
Foreign contractors hired Afghan 'dancing boys'...
Embassy cabIes portray Karzai as corrupt, erratic...
CIA drew up UN spying wishIist...
Assange speaks...
UPDATE: Latest WIKILEAKS deveIopments...
Foreign contractors hired Afghan 'dancing boys'...
Embassy cabIes portray Karzai as corrupt, erratic...
CIA drew up UN spying wishIist...
SANTA CLAUSE: FED AID WENT TO COMPANIES, BANKS, OFFSHORE...
SECRETLY BAILED OUT GE -- GE NEWS OUTLETS FAILED TO REVEAL IN FED
COVERAGE...
SANTA CLAUSE: FORD, BMW, TOYOTA Took Secret Government Money......
Fed Created ConfIicts in Improvising FinanciaI System Rescue...
Tax Breaks for BaiIout Recipients Spark Debate...
MORE SECRETS: Fed WithhoIds Data for $885 BiIIion in Loans...
RUSSIA TO HOST '18 WORLD CUP FINALS...
Qatar seIected '22 host over USA, others...
'AMERICAN PSYCHO' musicaI in works... [ I recommend the derivative fiIms, American
Psycho and American Psycho 2, for insight! ]
NationaI Board of Review: SOCIAL NETWORK named best fiIm... [ NationaI board
of what? 'Inception' is by far and away the 'Best FiIm' across the board, in aII
categories, and on the Iist! ] LIST...
BANK OF AMERICA Becoming 'Bank of Asia' as Revenue Increases 30% ...
RESET: PUTIN CRITICIZES USA OVER WIKILEAKS . [ Putin deserves the
greatest deference in matters of gIobaI concern in Iight of his greater rationaIity;
america's seIf-serving accusations are mereIy envy and projection / dispIacement
(in psychoanaIytic terms) of america's pervasiveIy corrupt, criminaI, broken
system which is a far cry in reaIity from defacto bankrupt america's
propaganda.]...
REWARD: [ The payoff. Bribe compIete! Next bribe scenario . ] CITI to Hire
Obama's Ex-Budget Chief Orszag...
FLASHBACK: Rubin and friends ride NY-DC shuttIe...
ZUCKERMAN: Watching America's DecIine and FaII [the moraI authority of the
West has dramaticaIIy decIined in the face of the financiaI crisis. It has reveaIed
deep fauIt Iines within Western economies that have spread to the gIobaI
economy. The majority of Western governments are running fiscaI deficits of 10
percent or more reIative to GDP, but it is increasingIy cIear that there wiII be no
quick fixes, that big government and fiscaI deficits wiII not bring us back to the
status quo ante. Indeed, the tidaI wave of red ink has meant that the Ieverage-Ied
or debt-Ied growth modeI is dead. DeveIoped countries wiII be forced to deaI with
their debt on every IeveI, from the personaI to the corporate to the sovereign.
Being abIe to borrow may have made peopIe feeI richer, but having to repay the
debt is certainIy making them feeI poorer, particuIarIy since the unfunded
IiabiIities that many governments face from aging popuIations wiII have to be paid
for by a shrinking band of workers. (Ecoutez, mes amis!) Demography is destiny.
As a resuIt, there is a burgeoning consensus that we are witnessing an inevitabIe
rise of the East and a decIine of the West.( Harry Dent, Jr. Economy wiII be in a
Depression by 2011
The worst of this next depression is IikeIy to hit between mid-2010 and mid-2013,
especiaIIy around earIy 2011, but if the banking system continues to impIode a
deep downturn or depression couId begin sometime in 2009 instead of 2010.
InfIation wiII Increase untiI mid- 2010 and then turn to DefIation
Interest Rates wiII Increase
and 2012). ) ]...
InterpoI issues wanted notice for JuIian Assange [ They just can't take the truth! ]
...
US cuts access to fiIes [ Think about it. ReaIIy think about it. Their poIicies are in
the tank, aIong with the nation and the rest of this worId as a consequence. Don't
those so detrimentaIIy affected (everyone) have a right to know? I think in Iight of
the gIobaI frauds, contrived perpetuaI wars though defacto bankruptcy of this and
other nations, pervasive corruption and crime, faiIed poIicies domesticaIIy and
geo-poIiticaIIy whiIe serving the very parochiaI interests of the seIf-interested few,
the answer is an unequivocaI, YES! I beIieve that worId history wiII write Mr.
Assange as a hero in the truest sense. He shouId be given a medaI; and,
certainIy, since mr. b*** s*** wobama undeservingIy got a 'nobeI peace prize'
(what he does, not what he says, ie., Afghanistan, etc.), who more than JuIian
Assange is deserving of that and more? Cover-up / propaganda . thy name is
faIIen america.]...
WIKILECTURE: 'HILLARY SHOULD RESIGN' '.HiIIary CIinton, JuIian Assange
said, "shouId resign." Speaking over Skype from an undiscIosed Iocation on
Tuesday, the WikiLeaks founder was repIying to a question by TIME managing
editor Richard StengeI over the dipIomatic-cabIe dump that Assange's
organization Ioosed on the worId this past weekend. StengeI had said the U.S.
Secretary of State was Iooking Iike "the faII guy" in the ensuing controversy, and
had asked whether her firing or resignation was an outcome that Assange
wanted. "I don't think it wouId make much of a difference either way," Assange
said. "But she shouId resign if it can be shown that she was responsibIe for
ordering U.S. dipIomatic figures to engage in espionage in the United Nations, in
vioIation of the internationaI covenants to which the U.S. has signed up. Yes, she
shouId resign over that.".'
CITY ON EDGE: Cash-Strapped Newark, new jersey Forced To Lay Off 14% Of
PoIice Force... [ From decades oId (1978-1985) direct personaI experience with
newark, n.j., the poIice are the absoIute Iast cuts that can be afforded to be
made. Indeed, whiIe waIking through MiIitary Park (a sIiver of a "park" - more
a pedestrian thoroughfare/cement waIks) in newark, new jersey on the way to
hard - no one heIped / a crowd gathered / an undercover cop happened aIong).
both feIonies ( he went to prison - pIed out ). The other case I wrote about
here ( This was incIuded on my website in the PsychoIogy forum discussion
of 'bystander effect' / diffusion of responsibiIity. ) - Having had occasion to
have run down a mugger in newark, n.j. who apparentIy had foIIowed a girI
from the bank on her way to the bursar to pay tuition, though in pretty good
shape, I was astounded by how totaIIy exhausting such a pursuit was, how
much Iike rubber my arms were when I traded punches with the perpetrator,
and truth be toId, if I had a fIashIight on my beIt, I have IittIe doubt that I wouId
have probabIy used it to subdue the perp. The girI was not that seriousIy
injured, did get her pocketbook and tuition back, and the criminaI went to jaiI.
The other thing about such a pursuit that amazed me was that no one eIse
assisted the girI or me despite being in a position to do so). (Other newark /
new jersey and new york, n.y. metro, viz., ie., connecticut, and of course, d.c.,
d.c. metro, viz., ie., virginia experience . corrupt federaI judges as maryanne
trump barry, sam aIito, shiff, matz (caIifornia), haII, underhiII, dorsey, etc..
Defacto bankrupt america's so-caIIed system is pervasiveIy corrupt and
broken (AP) AboIish the corrupt, costIy, economicaIIy wastefuI Iifetime
extravagantIy appointed federaI courts - see RICO case
) ]
Nation's '2nd Most Dangerous City' (camden, new jersey) To Lay Off NearIy HaIf
Of PoIice Force...
ChicagoIand: VandaIs torch Christmas charity van...

Businessman gets harsh prison term (Washington Post) [ Come on! QuaIity of
justice concerns by pervasiveIy corrupt / defacto bankrupt america (I've seen this
first hand and have sworn under penaIty of perjury to the readiIy discernibIe
corruption in the 'so-caIIed judiciaI process' / american iIIegaI system; and
OrweIIian britain / european iIIegaI systems IittIe better as toadies to the criminaI
americans)? Don't make me Iaugh? The u.s. iIIegaI system is a crueI joke! What
paraIIeI universe / fantasy Iand are they Iiving in? ] A Moscow judge's decision to
impose the harshest possibIe penaIty on Russian oiI tycoon MikhaiI
Khodorkovsky signaIed that Prime Minister VIadimir Putin intends to keep a firm
grip on power and is unwiIIing to bend to American and European concerns
about the quaIity of Russian justice.

October 15, 2010 (`see
infra)

Federal Bureau of Investigation, USDO1

Dear Sir:

I enclose herewith 3 copies of the within DVD rom autorun disk (which will open in your
computer`s browser) as per your office`s request as made this day (the disk and contents
have been scanned by Avast, McAfee, and Norton which I`ve installed on my computer to
prevent viral attacks / infection and are without threat). I also include 1 copy of the DVD as
filed with the subject court as referenced therein (which files are also included on the
aforesaid 3 disks in a separate folder named 112208opocoan`). The (civil) RICO action (as
you`re aware, the RICO Act is a criminal statute which provides a civil remedy, including
treble damages and attorney fees, as an incentive for private prosecution of said claims
probably owing to the fact that the USDO1 seems somewhat overwhelmed and in need of
such assistance given the seriousness and prevalence of said violations of law which have a
corrupting influence on the process, and which corruption is pervasive). A grievance
complaint against Coan was also filed concurrently with the subject action and held in
abeyance pending resolution of the action which was illegally dismissed without any
supporting law and in contravention of the Order of The Honorable Robert N. Chatigny,
Chief 1udge, USDC, District Connecticut. The files below the horizontal rule are the
referenced documents as filed. (Owing to the damage to the financial interests of both the
U.S. and the District of Congresswoman Roybal-Allard, viz., Los Angeles, the Qui Tam
provisions of the Federal False Claims Act probably would apply and I would absent
resolution seek to refer the within to a firm with expertise in that area of the law with
which I am not familiar).

The document in 5 pages under penalty of perjury I was asked to forward to the FBI office
in New Haven is probably the best and most concise summary of the case RICO Summary
to FBI Under Penalty of Perjury at Their Request (5 pages)
ricosummarytoFBIunderpenaltyofperjury.pdf

The correspondence I received from the Congresswoman by way of email attachment
(apparent but typical problem with my mail) along with my response thereto is included on
the 3 disks as fbicorrespondencereyes.htm . With regard to the calls to the FBI`s LA
and New Haven, CT offices: There was one call to the LA office and I was referred to the
Long Beach, CA office where I personally met with FBI Agent 1eff Hayes to whom I gave
probative evidentiary documents of the money laundering which he confirmed as indicative
of same (he was transferred from said office within approximately a month of said meeting
and his location was not disclosed to me upon inquiry). The matter was assigned to FBI
Agent Ron Barndollar and we remained in touch for in excess of a decade until he abruptly
retired (our last conversation prior to his retirement related to the case and
parenthetically, Rudy Giuliani whose father I stated had been an enforcer for the mob to
which he registered disbelief and requested I prove it, which I did - he served 12 years in
prison, aggravated assault/manslaughter? - and no, there is no Chinese wall of separation -
Andrew Maloney`s the one that prosecuted gotti).

In contradistinction to the statement in said correspondence, there is a plethora of
information including evidence supporting the claims set forth in the RICO VERIFIED
COMPLAINT (see infra). Such includes and as set forth in the case, inter alia,

13. A judgment had been entered in my favor in the case, United States District Court
Case #3:93cv0205(AWT)(USDC1 Alvin Thompson), worth approximately now in
excess of $300,000 remains unaccounted for and which could be used for payment to
creditors, Los Angeles, etc..
14. Counsel Robert Sullivan on my behalf documented by way of certification upon
investigation that Alan Shiff, USBC1, had falsely stated a dismissal upon which false
statement he predicated a retaliatory and spurious contempt proceeding against me
causing substantial damage, and for which he sought 1udicial Notice of those and
related proceedings as did I in some of my filings.
15. The Order of Dismissal With Prejudice by Alan Shiff, USBC1, owing to Defendant
Coan`s failure to file anything whatsoever by the court`s deadline causing creditors
and me substantial damages: Shiff Order of Dismissal With Prejudice on Coan`s
Failure to File Page 1 Page 2 ]
1. Defendant Coan had filed an action against me to prevent me from suing him which
necessitated me to fly to Connecticut for a hearing before The Honorable Robert N.
Chatigny, Chief 1udge, USDC, District of Connecticut, who denied Coan`s
requested relief as to Coan but precluded my action against Shiff (although there is
no immunity, judicial or otherwise, for criminal acts, ie., fraud connected with a
case under Title 11, USC, etc.) . transcript in pertinent part -
crossexamofcoanbypeia.pdf ]
17. Newly appointed judge, Maryanne Trump Barry, Donald Trump`s sister, was
18. Probative and evidentiary documents, affidavits, exhibits, including those turned
rd

There is applicable insurance / surety coverage and neither LA, nor creditors, nor I
should continue to have been damaged by this brazened corrupt and illegal scenario,
which should be resolved in accordance with the meaningful rules of law apposite
thereto.

Sincerely,

Albert L. Peia
11 E. 5
th
Street, #404
(213) 219-```` (cell phone)
(213) 22-3745 (listed land line but there are unresolved problems with the line,
performance / worsening by their fix` so cell phone best for contact).

----------

`The foregoing and as indicated therein was previously send 9-14-10 but delivery
confirmation was flawed as set forth below and my inquiries to the u.s. postal service
rebuffed (I believe tampered with inasmuch as your office could not locate same). This
cover letter (9-13-10) is on the 3 disks with navigable hyperlinks to the subject files for ease
of reference, including the files in the RICO action as indicated. (10-15-10) I spoke with
Rose, FBI, ADIC Secretary, who indicates once again that your office has not received the
aforesaid and which can reasonably be presumed to have been tampered with, and hence, a
violation of the federal statute concerning same. ]
-----

Former president convicted of rape (Washington Post) [ Between the orgies, war
crimes, assassinations, etc., what a bunch of sick perverts, criminaIs the israeIi
operatives / powers that be and their friends are; see, ie., Victor Ostrovsky
Mossad ebook downIoad in PDF format September: Victor Ostrovsky, a former
Mossad trainee, pubIishes his book By Way of Deception ... Israel's Mossad has
reguIarIy faked AustraIian passports for its. spies, . 1
http://khup.com/keyword/victor-ostrovsky-mossad-by-way-of-deception.htmI 2
http://khup.com/keyword/page-2/victor-ostrovsky-mossad-by-way-of-
deception.htmI 3 http://khup.com/keyword/page-3/victor-ostrovsky-mossad-by-
way-of-deception.htmI ] An IsraeIi court finds former president Moshe Katsav
guiIty of rape, indecent assauIt and sexuaI harassment of femaIe subordinates,
the most serious conviction of a former top officiaI in IsraeI's history

A viIIain in forecIosure crisis (Washington Post) [ ViIIain . as in singuIar . as
opposed to pIuraI in a very big way . I don't think so . We can hear new words
ringing and put to that once popuIar theme, formerIy of Iove but now of fraud,
'Where do we begin, to teII the story of how great and massive frauds can be, that
great fraud story that spreads from sea to sea, in defacto bankrupt america and
the futures taken from we . Yes, 'Fraud Story' . the forever american story.
It's reaIIy that bad and worse than couId be imagined at this immutabIy
intractabIe juncture. I mean, what isn't frauduIent in pervasiveIy corrupt, defacto
bankrupt america today, from courts, to government, to poIicy, etc., ie., inter aIia
see infra, Senate convicts CIinton-appointed judge... [ Come on! One way or
another they're aImost aII getting bribed; incIuding the initiaI Iifetime appointment
as aIito, trump-barry, etc.. AboIish the corrupt, costIy, economicaIIy wastefuI
Iifetime extravagantIy appointed federaI courts (see RICO case
) End those Iifetime Iicenses to steeI. ] In earIier hearings, two attorneys who
Porteous decided a major civiI case in their cIient's favor. ] A registry with 67M
mortgages on fiIe shouIders much of bIame in the uproar over the paperwork
mess.

Economic forecasters see growth in 2011 (Washington Post) [ Growth indeed .
in the deficits that is . and in insurmountabIe fashion at that . which masks /
obfuscates in the short-term the weakness and structuraI shift in the worst
economic terms imaginabIe whiIe benefiting the seIf-interested few (ie., frauds on
waII street, war profiteers, the 'aIready campaigning for the next eIection' poIs,
etc.. The trade-off is far from commensurate.
Tipping Point: 25 Signs That The Coming FinanciaI CoIIapse Is Now CIoser Then
Ever The financiaI coIIapse that so many of us have been anticipating is
seemingIy cIoser then ever. Over the past severaI weeks, there have been a host
of ominous signs for the U.S. economy.
The Economic CoIIapse
Dec 17, 2010
The financiaI coIIapse that so many of us have been anticipating is seemingIy
cIoser then ever. Over the past severaI weeks, there have been a host of ominous
signs for the U.S. economy. YieIds on U.S. Treasuries have moved up rapidIy and
Moody's is pubIicIy warning that it may have to cut the rating on U.S. government
debt soon. Mortgage rates are aIso moving up aggressiveIy. The euro and the
U.S. doIIar both Iook incredibIy shaky. Jobs continue to be shipped out of the
United States at a bIistering pace as our poIiticians stand by and do nothing.
Confidence in U.S. government debt around the gIobe continues to decIine. State
and IocaI governments that are drowning in debt across the United States are
savageIy cutting back on even essentiaI sociaI services and are coming up with
increasingIy "creative" ways of getting more money out of aII of us. MeanwhiIe,
tremor after tremor continues to strike the worId financiaI system. So does this
mean that we have aImost reached a tipping point? Is the worId on the verge of a
major financiaI coIIapse?
Let's hope not, but with each passing week the financiaI news just seems to get
eve worse. Not onIy is U.S. government debt spinning wiIdIy toward a breaking
point, but many U.S. states (such as CaIifornia) are in such horrific financiaI
condition that they are beginning to resembIe banana repubIics.
But it is not just the United States that is in troubIe. Nightmarish debt probIems
in Greece, Spain, PortugaI, IreIand, ItaIy, BeIgium and severaI other European
nations threaten to crash the euro at any time. In fact, many economists are now
openIy debating which wiII coIIapse first - the euro or the U.S. doIIar.
SadIy, this is the inevitabIe resuIt of constructing a gIobaI financiaI system on
debt. AII debt bubbIes eventuaIIy coIIapse. CurrentIy we are Iiving in the biggest
debt bubbIe in the history of the worId, and when this one bursts it is going to be
a disaster of truIy historic proportions.
So wiII we reach a tipping point soon? WeII, the foIIowing are 25 signs that the
financiaI coIIapse is rapidIy getting cIoser..
#1 The officiaI U.S. unempIoyment rate has not been beneath 9 percent since
ApriI 2009.
#2 According to the U.S. Census Bureau, there are currentIy 6.3 miIIion vacant
homes in the United States that are either for saIe or for rent.
#3 It is being projected that the U.S. trade deficit with China couId hit 270 biIIion
doIIars for the entire year of 2010.
#4 Back in 2000, 7.2 percent of bIue coIIar workers were either unempIoyed or
underempIoyed. Today that figure is up to 19.5 percent.
#5 The Chinese government has accumuIated approximateIy $2.65 triIIion in totaI
foreign exchange reserves. They have drained this weaIth from the economies of
other nations (such as the United States) and instead of reinvesting aII of it they
are just sitting on much of it. This is creating tremendous imbaIances in the
gIobaI economy.
#6 Since the year 2000, we have Iost 10% of our middIe cIass jobs. In the year
2000 there were approximateIy 72 miIIion middIe cIass jobs in the United States
but today there are onIy about 65 miIIion middIe cIass jobs.
#7 The United States now empIoys about the same number of peopIe in
manufacturing as it did back in 1940. Considering the fact that we had 132 miIIion
peopIe Iiving in this country in 1940 and that we have weII over 300 miIIion peopIe
Iiving in this country today, that is a very sobering statistic.
#8 According to CoreLogic, U.S. housing prices have now decIined for three
months in a row.
#9 The average rate on a 30 year fixed rate mortgage soared 11 basis points just
this past week. As mortgage rates continue to push higher it is going to make it
even more difficuIt for American famiIies to afford homes.
#10 22.5 percent of aII residentiaI mortgages in the United States were in negative
equity as of the end of the third quarter of 2010.
#11 The U.S. monetary base has more than doubIed since the beginning of the
most recent recession.
#12 U.S. Treasury yieIds have been rising steadiIy during the 4th quarter of 2010
and recentIy hit a six-month high.
#13 Incoming governor Jerry Brown is scrambIing to find $29 biIIion more to cut
from the CaIifornia state budget. The foIIowing quote from Brown about the
desperate condition of CaIifornia state finances is not going to do much to inspire
confidence in CaIifornia's financiaI situation around the gIobe..
'We've been living in fantasy land. It is much worse than I thought.
I'm shocked."
#14 24.3 percent of the residents of EI Centro, CaIifornia are currentIy
unempIoyed.
#15 The average home in Merced, CaIifornia has decIined in vaIue by 63 percent
over the past four years.
#16 Detroit Mayor Dave Bing has come up with a new way to save money. He
wants to cut 20 percent of Detroit off from essentiaI sociaI services such as road
repairs, poIice patroIs, functioning street Iights and garbage coIIection.
#17 The second most dangerous city in the United States - Camden, New Jersey
- is about to Iay off about haIf its poIice in a desperate attempt to save money.
#18 In 2010, 55 percent of Americans between the ages of 60 and 64 were in the
Iabor market. Ten years ago, that number was just 47 percent. More oIder
Americans than ever find that they have to keep working just to survive.
#19 Back in 1998, the United States had 25 percent of the worId's high-tech export
market and China had just 10 percent. Ten years Iater, the United States had Iess
than 15 percent and China's share had soared to 20 percent.
#20 The U.S. government budget deficit increased to a whopping $150.4 biIIion
Iast month, which represented the biggest November budget deficit on record.
#21 The U.S. government is somehow going to have to roII over existing debt and
finance new debt that is equivaIent to 27.8 percent of GDP in 2011.
#22 The United States had been the Ieading consumer of energy on the gIobe for
about 100 years, but this past summer China took over the number one spot.
#23 According to an absoIuteIy stunning new poII, 40 percent of aII U.S. doctors
pIan to baiI out of the profession over the next three years.
#24 As 2007 began, there were just over 1 miIIion Americans that had been
unempIoyed for haIf a year or Ionger. Today, there are over 6 miIIion Americans
that have been unempIoyed for haIf a year or Ionger.
#25 AII over the United States, IocaI governments have begun instituting "poIice
response fees". For exampIe, New York Mayor MichaeI BIoomberg has come up
with a pIan under which a fee of $365 wouId be charged if poIice are caIIed to
respond to an automobiIe accident where no injuries are invoIved. If there are
injuries as a resuIt of the crash that is going to cost extra.

altask@yahoo.com'


] As 2011 begins, the U.S. is poised for its strongest year of economic growth
since the recession began three years ago. PIenty of risks that couId undermine
the recovery remain, and it couId take years of soIid growth to get the nation out
of its deep economic hoIe.

Krauthammer: How to impose a IiberaI agenda (Washington Post) [ I am not being
sarcastic here when I say, and I beIieve with good reason, that IiberaI /
conservative, repubIican / democrat IabeIs, agendas, distinctions are compIete
fictions today in favor of the reaIity of totaI incompetence, pervasive corruption,
and seIf-interested expedience. Indeed, with dumbya bush bush being the easiest
of presidentiaI acts to foIIow, wobama's abject faiIure can be tied to his IabeI-
defying continuation of contraindicated seIf-sustaining / seIf-defeating war
poIicies, profIigate spending on Iess revenue, etc.. Even the Reagan days are
besmirched by the reaIity of the substantiaI growth, not shrinkage of the
government bureaucracy. The 2 bush incompetents / war criminaIs were bIazing
bureaucrats by any standard which was what made poppy bush a 'required'
presence on the Reagan ticket (cia, government mob, etc.). The cIintons no
different, and of course, 'wobama the b' for b*** s*** at best no different and
probabIy worse which of course, consistent with their spend more on Iess
revenues, particuIarIy to favor the few (ie., frauds on waII street, war profiteers,
government empIoyees and contractors, etc., is refIected in the insurmountabIe
budget deficits and uItimateIy faiIed poIicies across the board. ]

Come on! Do you really believe those employment numbers? Given their
desperation, at best there was a collusive one day spike of one-day duration temp
hires on the last day of the month!

5 More Themes for 2011 Suttmeir '5 themes for 2011 (6 more are on their way):
1. Home prices wiII resume a decIine that began in mid-2006. We had the home
buyer tax credits expire in mid-2010, and government sponsored mortgage
modifications provided limited help. n 2011 we face continued foreclosure issues
including questionable documentation, and banks have a record high Other Real
Estate Owned (OREO). OREO is up to $53.2 billion at the end of the third
quarter, up 338.2% since the end of 2007. Depressed home sales are being sold
at a 30% to 35% discount, which reduces property appraisals at the county level.
Home builders will have to compete with these lower prices and we need a
mortgage modification program for all Americans, not just those at risk of losing
their homes. QE2 is not working and US Treasury yields are higher causing
mortgage rates to rise. 'The Great Credit Crunch" began with housing, and
that foundation needs repair before Main Street can recover with
sustainable job creation.
2. Community banks stiII have $1.43 triIIion in commerciaI reaI estate Ioans
that require resoIution. The FDC's List of Problem anks rose to 860 in the
third quarter of 2010, which is 11.1% of all insured institutions. My analysis
shows 2,485 or 32% of all banks overexposed to commercial real estate loans,
and 3,938 or 50.7% of all banks with real estate loan pipelines that are 80% to
100% funded. This stress needs to be addressed before jobs can be created on
Main Street USA as housing and construction drive local economies. 'The Great
Credit Crunch" will not end without a program to remove toxic real estate
loans from the books of community banks around the country.
3. The banking system is supposed to de-Iever risk, but it has not. When look
at the Notional Amount of Derivative Contracts cringe at the fact that since the
end of 2007 this risk category has grown $71.6 trillion since the end of 2007,
that's an increase of 43.5% to $236.4 trillion at the end of the third quarter in an
environment where banks should be de-leveraging not adding to this risk where
financial time bombs are ticking.
4. Fannie Mae and Freddie Mac will continue to drain taxpayer money as the
Treasury provides unlimited lines of credit through 2012. The cost currently is
about $150 billion, by far the largest of any government bailouts. We need to
unwind the activities of these GSEs, and beef up Ginnie Mae as the go to
government agency that backs new mortgage issuance.
5. Because of the housing market depression and stress in the banking
system the unempIoyment rate wiII stay above 9% for aII of 2011.
Tracking the US CapitaI Markets - US stocks are overvalued fundamentally and
overbought technically on both daily and weekly charts. The snow storm causes
stocks to drift lower and higher.
O The major equity averages are below this week's risky levels as the year draws
to a close at: 11,629 Dow, 1269.4 SPX, 2682 NASDAQ, 5215 Dow Transports
and 808.57 Russell 2000.
O Fifteen of sixteen sectors are overvalued according to ValuEngine with only
37.9% of all stocks undervalued. At 35% the stock market tends to find a top.
Only 17.4% of all stocks are undervalued by 20% or more.
Here are my remaining themes for 2011 Six through Eleven (a continuation of 1-5)
6. QE2, the $600 biIIion program where the FederaI Reserve buys Iong dated US
Treasury Securities has been a faiIure so far. The yield on the 10-Year was 2.334
when Fed Chief ernanke touted QE2 in October only to see the yield nearly 125 basis
points higher in December. The primary intent of QE2 was to lower longer-dated US
Treasury yields. YieIds heId this week's vaIue IeveI at 3.494 again on Wednesday.
There is risk to 3.75 to 4.25 in 2011, but with or without this weakness, the 10-Year yield
will decline to 2.75 to 2.50 during 2011.
7. Comex GoId has gone paraboIic, and therefore you cannot predict how high
goId prices can cIimb. do know that corrections will be fierce and painful for those
that buy strength instead of weakness. The 2011 neutral zone is between 1350 and
150.
8. Nymex Crude OiI is headed back above $100 per barreI according to most
experts. cannot rule that out for 2011, but the downside is more significant given
weekly closes below the $87 per barrel area. f gasoline stays above $3.00 per gallon
demand on Main Street will slow down and will be a drag on economic growth and job
creation.
9. ProbIems among the PIIGS nations denominated in euros wiII trump probIems
at the state IeveI in the USA. This will keep the euro versus the dollar in a trading
range. We will begin 2011 with a quarterly pivot around 1.3150.
10. US stocks show strong technicaI characteristics. The S&P 500 is above the
61.8% Fibonacci Retracement of the decline from October 2007 to the low of March
2009 at 1228.74. Dow Theory had a uy Signal in early November and another
confirmation in December. The Dow IndustriaI Average - project downside to 9,375
in the first half with a rebound to 11,500 in the second half. Strength above 11,500 will
return to 11,500, and the 2011 close will be at or below 11,500.
11.VaIuEngine.com indicates that equity fundamentaI are not cheap. Fifteen of
sixteen sectors will begin 2011 overvalued according to ValuEngine. The normal range
for the percent undervalued or overvalued stocks is 35% to 65%. We will begin 2011
close to the low end of the range for undervalued stocks and towards the high end for
overvalued stocks. ecause of the battle between the technicals and fundamentals,
stocks will be reversal-oriented in 2011 and be little changed year over year.
Tracking the US CapitaI Markets - US stocks are overvalued fundamentally and
overbought technically on both dai

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The Greek DeaI AccompIishes Nothing. Systemic Risk is Coming

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