Preparing For The Next Crash.

Bloomberg reports European Stocks Rally After Central Banks Cut Rates on Dollar Swap Lines:

European stocks rallied for their longest stretch of gains in seven weeks as the Federal Reserve and five other central banks lowered the cost of dollar funding and China cut its reserve ratio for banks.

The Fed, Bank of Canada, Bank of England, Bank of Japan, European Central Bank and Swiss National Bank agreed to reduce the interest rate on dollar liquidity swap lines by 50 basis points and extend their authorization through Feb. 1, 2013.

Finance ministers of the 27-nation European Union are meeting in Brussels today to seek agreement on how to temporarily guarantee banks’ bond issuance in order to improve funding conditions for lending. EU leaders agreed last month to provide the guarantees to restore investor confidence in banks.

Basis swaps allow banks to borrow in one currency, while simultaneously lending in another.  So the US Fed "swaps" dollars for worthless Euros, so European Banks may borrow dollars from the ECB.
Bloomberg reports ECB Coordinated Policy Action Is ‘Big Deal,’ Blanchflower Says:

The ECB’s measure is a “really big deal,” according to Dartmouth College Professor David Blanchflower. “The fact that these central banks have acted together and said we’ll backstop banks is really big news,” Blanchflower, a former member of the Bank of England’s Monetary Policy Committee, said today at the Bloomberg Markets 50 Summit in New York.

Here is an interesting chart on ZeroHedge that shows what happened the last time there was coordinated swap-line action.

Watch out below!

You Can't Evict An Idea!

According to the Mayor of Oakland and Justice Dept: Homeland Security Advised Raids On Occupy Wall Street Camps

So the Federal Government is now actively seeking to quell Free Speech and Free Assembly!

Is There Proof of a Financial Elite?

As you know, I have been writing for sometime about the possibility of a ruling financial elite - a hegemony (see Here, Here and Here).

I said, some may have said I was simply paranoid, but as I said, paranoid until proof shows the facts true.

In a story at Zero Hedge, Hank Paulson Tipped Off The Goldman-Led "Plunge Protection Team" About Fannie Bankruptcy 7 Weeks In Advance, Zero Hedge may have just come out with the smoking gun.
From Zero Hedge:

Today, BusinessWeek's Michael Serrill and Jonathan Neumann have released a blockbuster report based on a FOIA response by the Treasury, which proves that in America rules are only for little people, that this country has been a banana republic for years, that Animal Farm was spot on, and gives excruciating detail of how Hank Paulson tipped off a select group of Goldman diaspora hedge fund managers about the eventual failure of Fannie and Freddie 7 weeks ahead of this information becoming public knowledge. The report basically is a summary of a meeting that took place at the offices of Eton Mindich's Eton Park headquarters on July 21, 2008, 7 days after his famous '“If you have a bazooka, and people know you have it, you're not likely to take it out," speech and 7 weeks before both GSEs effectively filed for bankruptcy and were put into conservatorship. Now if it only ended there it would have been fine - a case of potential criminal collusion between the government (although nothing specific against Paulson as he didn't actually trade: he just made sure his former Goldman colleagues made money), and the 0.00001% in the face of a few multi-billionaires who most certainly did trade on material non-public information sourced by Hank. Where it however gets worse is when one considers the actual role of one Eric Mindich in the hierarchy of the Asset Managers' committee of the President's Working Group on Capital Markets, better known of course as the PPT: a topic we discussed first back in September 2009 when we asked "What Is Goldman Alum Eric Mindich's Role As Chair Of The Asset Managers' Committee Of The President's Working Group?" Back then we did not get an answer. Luckily, courtesy of a fewanswered FOIA requests, some real investigative journalism, and not reporting for the sake of brown-nosing just so one can get soundbites for their next name dropping "blockbuster" and straight to HBO movie, we are starting to get the full picture of just how high in US government the Goldman Sachs controlled "crony capitalist" administration truly runs.***The secretary, then 62, went on to describe a possible scenario for placing Fannie and Freddie into “conservatorship” -- a government seizure designed to allow the firms to continue operations despite heavy losses in the mortgage markets." The gathering comprised some of Wall Street's most storied investors. Mindich, a former chief strategy officer of New York- based Goldman Sachs, started Eton Park in 2004 with $3.5 billion, at the time one of the biggest hedge-fund launches ever. [Dinakar] Singh, a former head of Goldman's proprietary-trading desk, also began his fund in 2004, in partnership with private- equity firm Texas Pacific Group Ltd. Lone Pine's [Stephen] Mandel worked as a retail analyst at Goldman before joining Julian Robertson's Tiger Management LLC, one of the most successful hedge funds of the 1980s and 1990s. He started his own firm in 1997. [Daniel] Och was co-head of U.S. equity trading at Goldman before founding Och-Ziff in 1994. The publicly listed firm managed $28.9 billion in November. One other Goldman Sachs alumnus was at the meeting: Frank Brosens, founder and principal of Taconic Capital Advisors LP, who worked at Goldman as an arbitrageur and who was a protege of Robert Rubin, who went on to become Treasury secretary.

***

No mention?

What a shocker. Perhaps it may have to do with this:

The fund manager who described the meeting left after coffee and called his lawyer. The attorney's quick conclusion: Paulson's talk was material nonpublic information, and his client should immediately stop trading the shares of Washington- based Fannie and McLean, Virginia-based Freddie.The manager who described the Eton Park meeting says he also discussed it with an investigator from the FCIC. The discussion was confirmed by a former FCIC employee. 

***

It is safe to say that whatever the committee's true mission was, its stated one was an unmitigated failure. For reference purposes, the full committee consists of the following: Eric Mindich, Chair, Eton Park Capital Management Anne Casscells. AETOS Capital, LLC James S. Chanos, Kynikos Associates Anne Dinning, D. E. Shaw & Co., L.P. Jonathon S. Jacobson, Highfields Capital Management Marc Lasry, Avenue Capital Group Edward A. Mulé, Silver Point Capital Daniel S. Och, Och-Ziff Capital Management Daniel H. Stern, Reservoir Capital Group William Von Mueffling, Cantillon Capital Michael Vranos, Ellington Management Group LLC.

Pardon our hypocrisy, but virtually all of these funds (with the likely exception of Kynikos) would have gotten destroyed had Bernanke, the Chairman of the PWG and the President, decided not to intervene. Zero Hedge concludes that, while they have also been called paranoid "we have a sinking feeling we will have been proven absolutely spot on in our 'paranoid conspiracy theorism' all over again..."

It pays to have friends in high places!

The modern banking system manufactures money out of nothing. The process is perhaps the most astounding piece of sleight of hand that was ever invented. Banking was conceived in inequity and born in sin... Bankers own the earth. Take it away from them but leave them the power to create money, and, with a flick of a pen, they will create enough money to buy it back again... Take this great power away from them, or if you want to continue to be the slaves of bankers and pay the cost of your own slavery, then let bankers continue to create money and control credit. 

“I ... place economy among the first and most important of republican virtues, and public debt as the greatest of dangers to be feared... And to preserve (our) independence, we must not let our rulers load us with perpetual debt. We must make our election between economy and liberty, or profusion and servitude. - Thomas Jefferson, from a letter to Governor Plumer, July 21, 1816.”

Welcome to servitude!

Santa Claus Packs A Machine Gun or Uzi - Your Choice!

The Scottsdale Gun Club in Arizona is offering a twist on the annual photo with Santa by allowing rifle-wielding families to pose alongside St. Nick.

On their website, the shooting range advertises the event with a catchy tagline: "Get Your Holiday Picture With Santa And His Machine Guns!"

It never fails, one of these kid's parents will be on the news explaining how they locked the guns and ammo up after the kid blew his head off.

Nothing says the "King of Peace" more than Santa with an Uzi!

I am not religious, but the irony/hypocrisy of Santa with a gun is almost too much to stand.

What a wonderful message to send to your children on a day that is suppose to be about the birth of a savior - tote a gun and dance like Jagger.

If I believed in hell, the Scottsdale Gun Club in Arizona would have reserved their boat ride across the Acheron with Charon so that they could enter the Underworld.

Party on dudes!

The Resurrection of the Holy Roman Empire - The Ruling Elite and its Hegemonic Ideology.

I recently posted an article about the financial crisis in Europe - The Rise & Fall of The Holy Roman Empire (aka, the European Union)  - which outlined why I viewed what is going on in Europe as the most important financial news to currently be following.

And I continue to believe that the situation with the Euro and the European Union will have the most direct impact on financial news for the near horizon. Unfortunately, the news is not good and with each day more reports arise about the possible failure of the Euro and/or the European Union.

But that also got me thinking. As my Blog says, "THINGS ARE NOT ALWAYS AS THEY APPEAR."

Now I am not a big conspiracy believer, for the simple reason that history has shown that secrets are very hard to keep - especially when one is considering the magnitude of the possible collapse of the Euro and European Union. However, I fervently believe that things are not always as they appear.

People and events can project a false front for some other motive. What is shown on the outside as the veneer, often disguises that which is underneath.

A spat of recent reports, all with a very negative view of outlook for the Euro and European Union, made me wonder if there was something going on behind the scenes, which may be much more sinister than as is suggested. Is it possible that someone or some select group (the financial elite - the oligarchs) are using the politics of fear to obtain an objective which they could not otherwise obtain?

We should all be very familiar with the use of "fear" as a means to obtain an objective. The GOP's "Southern Strategy" is but one example. The call for the war in Iraq due to supposed weapons of mass destruction is but another.

Every collectivist revolution rides in on a Trojan horse of "Emergency". It was a tactic of Lenin, Hitler and Mussolini....

Are the financial elite using the Trojan horse of fear to install a hegemony ideology to gain even greater control of our lives?  Hegemony is an indirect form of imperial dominance in which the hegemon (leader state/financial elite) rules sub-ordinate states and people by an implied means of power rather than direct military force.

First let's look at some of the news coming out about the potential collapse of the Euro and the European Union.

- Bank of France Governor Christian Noyer who said at a forum in Tokyo:[the Euro] Crisis Has Worsened Significantly

Market stress has intensified and Europe is in a “true financial crisis” 

- A Barclays Capital research report last week showed that nearly half of 1,000 investors surveyed thought at least one country will leave the euro in 2012.

- ICAP Plc, the world's largest inter-dealer broker (one that carries out transactions for financial institutions rather than private individuals), ICAP Plc is preparing its electronic trading platforms for Greece's potential exit from the euro and a return to the drachma, senior executives at the inter-dealer broker said Sunday.

- Goldman Sach's Francesco Garzarelli and Huw Pill in a just released report said: "one must also entertain the possibility that the intensification of market tensions and/or deterioration of economic activity reinforce each other feeding ... leading to a vicious downward spiral and, ultimately, to the failure of the Euro project.

- Analysts at UBS, an investment bank earlier this year warned that the most extreme consequences of a break-up include risks to basic property rights and the threat of civil disorder. “When the unemployment consequences are factored in, it is virtually impossible to consider a break-up scenario without some serious social consequences,” UBS said.

But perhaps most alarming is that which is being reported by the British newspaper, The Telegraph.

Britain's Foreign Office Prepares For Riots In Europe; Sees Euro Collapse "When, Not If"

The Telegraph reports that Britain's Foreign Office is advising its overseas embassies to draw up plans to help expats should the collapse of the Euro turn explosive. Almost incredibly, a senior minister has revealed that Britain is now planning on the basis that a euro collapse is matter of time. British embassies in the eurozone have been told to draw up plans to help British expats through the collapse of the collapse of the single currency, amid new fears for Italy and Spain.  

Diplomats are preparing to help Britons abroad through a banking collapse and even riots arising from the debt crisis. The Treasury confirmed earlier this month that contingency planning for a collapse is now under way. A senior minister has now revealed the extent of the Government’s concern, saying that Britain is now planning on the basis that a euro collapse is now just a matter of time.

Recent Foreign and Commonwealth Office instructions to embassies and consulates request contingency planning for extreme scenarios including rioting and social unrest.

So in a very short time we have gone from the media telling us that everything was fine and the Euro was safe, to threats of complete chaos, including rioting and social unrest.

While I have little doubt that the Euro/European Union cannot continue in its present form, I have to question the motivation of the British politicians in confirming this for public consumption since this can only add to fuel to the fire regarding the break up of the Euro/European Union. At a minimum it would seem that this new media blitz is just more intentional political pressure on Germany, quite likely an appeal directly to German people, to fear them into allowing the banking systems to print Trillions of Euros ultimately to be paid for by the German people through taxation.

But what if there is more to this story than meets the eye? What if the purpose of this "emergency" is really a general plan to overcome sovereignty and recreate the Holy Roman Empire with each country as nothing more than a United States of Europe.

Every collectivist revolution rides in on a Trojan horse of "Emergency". It was a tactic of Lenin, Hitler and Mussolini.... . What better way to do it than civil unrest. The sheep will beg for the military and not care about their "rights" if they need food. 

As none other than Adolf Hitler wrote:

The art of leadership ... consists in consolidating the attention of the people against a single adversary and taking care that nothing will split up that attention.... The leader of genius must have the ability to make different opponents appear as if they belonged to one category. - Adolf Hitler (1889-1945), German dictator. Mein Kampf, vol. 1, ch. 3 (1925).

History is replete with examples of this. In Italy, the Medici maintained their medieval Tuscan hegemony, by controlling the production of woolens by controlling the Arte della Lana guild, in the Florence city-state. In Holland, the Dutch Republic's 17the century mercantilist dominion was a first instance of global, commercial hegemony, made feasible with its technological development of wind power and its Four Great Fleets, for the efficient production and delivery of goods and services,which in turn made possible its Amsterdam stock market. In France, Louis XIV established French hegemony via, economic,cultural, and military dominance of most of continental Europe (sound familiar?).

And that brings us to today and this new blitz of media about the collapse of the Euro. The use of language can serve as a a means of creating and applying hegemony. The media and Government in the selection of the information it chooses to display, is, intentionally or not, limiting and framing the information which we receive. In this way, the media and Government (controlled by the financial elite) are practicing its influence over us. By subtly using language to frame their message, these groups are able to further control the adoption of their message as our truth.

So is it possible that a hegemonic ideology is being created to resurrect The Holy Roman Empire and eliminate the national sovereignty of European States.

The modern banking system manufactures money out of nothing. The process is perhaps the most astounding piece of sleight of hand that was ever invented. With a flick of a pen (typing into a computer) banks create money. Take away that money and they simply create enough money to buy it back again.

The financial elite have made no secret of the fact that they are ENTITLED to be rich.

- We (Banks) have a right to make a profit.

Brian Moynihan, CEO Bank of America, 2011 Source: Money.CNN.com October 5th, 2011

 - I am just a banker doing God's work.

Loyd Blankfein, CEO Goldman Sachs, 2009 Source: Wall Street Journal, May 2010

- Banks are the temples of America. This is a holy war. Banks are our religion.

Giannina Braschi, "United States of Banana," AmazonCrossing, 2011.

- Banks do not have an obligation to promote the public good.

Alexander Dielius, CEO Germany, Austria, Eastern Europe Goldman Sachs, January 2010, Source: Wall Street Journal, May 2010

- The process by which banks create money is simple that the mind is repelled.

John Kenneth Galbraith, Money: Whence it came, Where it Went p. 29

So are the financial elite (the banksters, the media conglomerates, etc.) trying to recreate the Holy Roman Empire?  Why you might ask?

The rich require an abundant supply of the poor. - Voltaire

While this notion may strike you as greater fiction than a Tom Clancy novel, one must never assume that things are always as they appear.

Welcome to the United Police States of America - Part II - ACTUAL POLICE STATE.

If you read and tweet, post on facebook or any other social network, this is a story you MUST get out to everyone you know! I am not exaggerating when I say that what is before Congress now will turn the United States of America, with its glorious history, into a Police State/Dictatorship. Our liberty has never been at more peril!

 Previously I have posted (see Here and Here ) about what I consider to be "police state" actions against OWS. WHAT IS PROPOSED GOES BEYOND THAT!

Even if you are completely opposed to OWS, you have to read what Congress has proposed and realize that your liberty is at stake.

Congress will vote next week on explicitly creating a police state.

As Zero Hedge http://www.zerohedge.com/ reports:

The American people are paying the price for allowing a few evil men to gain control of our government... We now unquestioningly accept being molested in airports. We shrug as our intelligence agencies eavesdrop on our telephone conversations and emails without the need for a court order. It is now taken for granted that we imprison people without charging them with a crime and assassinate suspected terrorists in foreign countries with predator drones. Invading countries and going to war no longer requires a declaration of war by Congress as required by the Constitution. The State grows ever more powerful.

The ACLU’s Washington legislative office explains:

The Senate is gearing up for a vote on Monday or Tuesday that goes to the very heart of who we are as Americans. The Senate will be voting on a bill that will direct American military resources not at an enemy shooting at our military in a war zone, but at American citizens and other civilians far from any battlefield — even people in the United States itself.

***

The Senate is going to vote on whether Congress will give this president—and every future president — the power to order the military to pick up and imprison without charge or trial civilians anywhere in the world.

***

The power is so broad that even U.S. citizens could be swept up by the military and the military could be used far from any battlefield, even within the United States itself. The worldwide indefinite detention without charge or trial provision is in S. 1867, the National Defense Authorization Act bill, which will be on the Senate floor on Monday.

***

In support of this treasonous bill, Sen. Lindsey Graham (R-S.C.) explained that the bill will “basically say in law for the first time that the homeland is part of the battlefield” and people can be imprisoned without charge or trial “American citizen or not.” Another supporter, Sen. Kelly Ayotte (R-N.H.) also declared that the bill is needed because “America is part of the battlefield.”

***

The senators pushing the indefinite detention proposal have made their goals very clear that they want an okay for a worldwide military battlefield, that even extends to your hometown.

 

WHAT THEY PROPOSE IS A POLICE STATE - YOU CAN BE "TAKEN" AND HAVE ZERO, NO, CONSTITUTIONAL RIGHTS OF PROTECTION.

IT IS A SAD DAY FOR AMERICA!

Every collectivist revolution rides in on a Trojan horse of "Emergency". It was a tactic of Lenin, Hitler and Mussolini....

The art of leadership ... consists in consolidating the attention of the people against a single adversary and taking care that nothing will split up that attention.... The leader of genius must have the ability to make different opponents appear as if they belonged to one category. - Adolf Hitler (1889-1945), German dictator. Mein Kampf, vol. 1, ch. 3 (1925)

According to Department of Defense training manuals, protest is considered “low-level terrorism”.

YES, IF YOU EXERCISE THE RIGHT OF FREE SPEECH AND FREE ASSEMBLY YOU COULD NOW BE PUNISHED AS A TERRORIST!

And if you think that doesn't apply to you, what if you protest abortion, the Klu Klux Klan, neo-Nazis, climate change, destruction of our forests or, of course, OWS! You could then be labeled a “terrorists” and all of your rights would be striped from you. No Bill of Right, no Constitution, no Writ of Mandamus - nothing - you would be subject to the laws of the KING.

A FBI memo labels peace protesters as “terrorists”:

2003 FBI memo describes protesters’ use of videotaping as an “intimidation” technique, even though – as the ACLU points out – “Most mainstream demonstrators often use videotape during protests to document law enforcement activity and, more importantly, deter police from acting outside the law.” The FBI appears to be objecting to the use of cameras to document unlawful behavior by law enforcement itself.

The Internet has been labeled as a breeding ground for terrorists, with anyone who questions the government’s versions of history being especially equated with terrorists.

The state of Missouri tried to label as terrorists current Congressman Ron Paul and his supporters, former Congressman Bob Barr, libertarians in general, anyone who holds gold, and a host of other people.

And according to a law school professor and former president of the National Lawyers Guild, pursuant to the Military Commissions Act:

Anyone who … speaks out against the government’s policies could be declared an “unlawful enemy combatant” and imprisoned indefinitely. That includes American citizens.

THERE IS STILL A CHANCE TO STOP IT!

The ACLU notes that there is some hope:

But there is a way to stop this dangerous legislation. Sen. Mark Udall (D-Colo.) is offering the Udall Amendment that will delete the harmful provisions and replace them with a requirement for an orderly Congressional review of detention power. The Udall Amendment will make sure that the bill matches up with American values.

The solution is the Udall Amendment; a way for the Senate to say no to indefinite detention without charge or trial anywhere in the world where any president decides to use the military. Instead of simply going along with a bill that was drafted in secret and is being jammed through the Senate, the Udall Amendment deletes the provisions and sets up an orderly review of detention power. It tries to take the politics out and put American values back in.

Now is the time to stop this treasonous idea. Please urge your senators to vote YES on the Udall Amendment to the National Defense Authorization Act.

Welcome to the Land of the Free and the Home of the Brave. ACT NOW!

The Rise & Fall of The Holy Roman Empire (aka, the European Union)

As we all digest our Thanksgiving dinner, now it is time to focus on what may be the unwanted left overs, namely the Holy Roman Empire, now known as the European Union.

The Eurozone situation is approaching a major climax (not a satisfying one). If you have time to follow only one financial story this is the story to follow in the coming days and weeks. Unfortunately, there is a major ongoing political crisis in the EU, with a Eurozone blowup undoubtedly sinking the US economy and any minimal recovery we may be experiencing. On top of that we also face a Chinese hard-landing.

First, enter the Greeks. The terms of the Greek creditor haircut (the "savior of the Euro") have now fallen apart. From Reuters:

 "The Greeks are demanding that the new bonds' Net Present Value, -- a measure of the current worth of their future cash flows -- be cut to 25 percent, a second person said, a far harsher measure than a number in the high 40s the banks have in mind. Banks represented by the IIF agreed to write off the notional value of their Greek bondholdings by 50 percent last month, in a deal to reduce Greece's debt ratio to 120 percent of its Gross Domestic Product by 2020."

Second, stocks plunged at the close for the third day in a row to cap the worst Thanksgiving week ever. US equities seemed in a world of their own for much of the day - especially financials - as all the hope and rumors faded and clearly a large number wanted to be flat or short into the weekend. The concerns that European entities are repatriating anything and everything should be very worrisome and the volume into the ES close suggests that fear is growing. As Peter Tchir noted, it is increasingly evident that the only logical conclusion is that we are further away from a solution or agreement in Europe than we have been in a long time.

So what does that mean for you and me? Deutsche Bank's Jim Reid, said "We are fast running out of options.

 No sh*t Sherlock.

Charles I (aka Angela Merkel)

But, finally, the ultimate question: the questionable integration of Europe's countries in a union whereby they abdicate their sovereignty to Germany in exchange for the issuance of Eurobonds. It is not only extremely unlikely, it will also come too late according to Deutsche Bank's Jim Reid: "Should we get excited ahead of the treaty changes? The answer is that we are undoubtedly slowly moving closer to the start of a path towards fiscal union. However this process, even if it runs smoothly, will likely be a long, drawn-out, arduous journey. Unfortunately markets are moving at a much, much faster pace and we probably don’t have the time for a slow measured path towards fiscal union."

  

In other words, even if the ECB, and thus Germany were to relent, the markets can at best hope for a few days rally before risk tumbles off once again, and ... well you know, hell breaks loose.

So The Roman Empire falls yet again and probably bring us with it!

Black Friday - If We Were Only So Excited About Voting.

The photo below says it all.  Americans love to shop and love their deals.

If only we would invest the same amount of enthusiasm into participating in our government.  You know, a government by the people and for the people. Instead of participating in OWS or another political forum, we occupy Malls.  At least they are getting some exercise.

Is Your Home Really Safe? What If Someone Broke In And NO ONE Cared?

Is your home really your castle? Can someone just break in and you have no recourse? Does that make you feel safe?

I say f**k NO.

Nevertheless, we have read story after story about the banksters doing just that. Wrong Home. Bank Forecloses on Home with No Mortgage. Bank Refuses Even to Talk About Short Sale. Bank Sends Borrower into HAMP-Created Hall of Mirrors and Forecloses Anyhow.

Makes you wonder how long until the banksters suggest debtor prisons again.

Well in a story recently out, the bank just broke into someone's home and did as they wanted. Yes just broke in (no wonder gun sales are rising).

Enter Nancy Jacobini. A company hired by JP Morgan to manage properties broke into her home while she was inside even though the property was not in foreclosure. Felling safer?

But I have to say the banksters have BIG kahonas. The bank broke in a second time, after Jacobini had filed suit in Federal court. And what exactly was the terrible, horrible thing Ms. Jacobinin was accused of doing by the banksters? The lame excuses made, that she was not paying her utilities and had abandoned the house - which were simply untrue. (instead of bomb shelters we now need safe rooms).

Finally, Jacobini’s attorney, Matt Weidner, obtained a favorable ruling by the judge indicating that the bank’s actions were wrong. The judge simply did not believe bankster’s position that it had broad rights to enter the house (think of being raided on Thanksgiving as Grand-Ma watches in terror as "hoodlum and thugs" (that is what the Government has called non-violent OWS protesters) take your thanksgiving dinner as well as the kitchen sink. (Should we all keep pepper-spray (you know the GOP says after all it is just a food) handy for such interlopers?

The judge looks to the limitations put on the banks’ right to gain access and dismissed JP Morgan’s motion to dismiss. Unfortunately that does not mean poor JP Morgan has yet been convicted of anything.

Do you still ask why there is an OWS?

If it can happen to Nancy Jacobini, it could (may or will) happen to you too!

If you are having lamb today, remember how easily lambs are lead to slaughter. Right now too many of us are lambs, being fooled by the kleptocracy and banksters.

Happy Thanksgiving to us all (yes to the 1% that also includes the rest of the 99%).

HAPPY THANKSGIVING!

Police State - Photo of the Day!

If you don't realize we are under a police state, it may be too late.

I fear most public repression.  When we prohibit free and unaltered speech we are no no longer free.  We are simply living in the cage which was built for us.

The natural progress of things is for liberty to yield and government to gain ground. - Thomas Jefferson (1743-1826).

And that is where we are, the government has taken control!

I no longer feel that we, the ordinary American is in control.

I prefer liberty with danger than peace with slavery. - Jean Jaqueas Rousseau

Remember that.  A man without the ability to object, is a slave!





I would rather be exposed to the inconveniences attending too much liberty than to those attending too small a degree of it. - Thomas Jefferson to Archibald Stuart, 1791.

Danger Danger - Warning Will Robinson

So I liked Lost In Space as a kid (so did JFK, Jr.)

It is time again for me to raise some points about what is happening in the financial community. I often am asked, so what are you doing?  What should I do?  Where should I put my money?

I am not a financial expert,but instead rely on a number of people to advise me and I read as much as I can before I make an investment decision.  One of the sources that I have found to be the best these days (when nothing makes sense any more) is http://www.zerohedge.com/.

Zero Hedge is funny, irreverent and doesn't put an "establishment" spin on world financial news.  I suggest to everyone they should read Zero Hedge as often as possible.

For example, today they have an excellent article about the risk in the banking sector.  Be forewarned there is danger ahead Will Robinson.

From Zero Hedge: S&P Pre-Announces The Bank Christmas Massacre

Sovereign credit issues have been front-and-center in terms of recent headlines as cost of funds and the balance between growth and austerity becomes unhinged among the once-upon-a-time risk-free entities. What has had less play very recently is the crisis that is going in the banking systems of the world as investors are as loathed to take any exposure to an opaque and clearly insolvent group of organizations. Credit (and to a lesser degree - equity) markets have shown their disapproval as spreads are as bad (if not worse) than at any time before, and yet the ratings agencies have yet to act - especially in the US. All that is about to change as Reuters gently reminds us that S&P is about to update it bank credit ratings framework. The model is complex by nature but as we have seen time and time again, the agencies tend to lag prices (spreads) and in that case, we can expect downgrades as an early Christmas present.

The impact of a downgrade can be very significant - aside from simply reducing investor appetite for risk (in its simplest form), it can trigger collateral calls and in a world where liquidity is hard to come by, and with the magnitude of funding (and rolling maturing debt) due over the next few quarters, we suspect this will be the catalyst for another leg down in equity prices as they snap back to credit's reality.

Merry Christmas.  S&P may do what OWS has yet to achieve.

Money out of Nothing.

The modern banking system manufactures money out of nothing. The process is perhaps the most astounding piece of sleight of hand that was ever invented. Banking was conceived in inequity and born in sin... Bankers own the earth. Take it away from them but leave them the power to create money, and, with a flick of a pen, they will create enough money to buy it back again... Take this great power away from them, or if you want to continue to be the slaves of bankers and pay the cost of your own slavery, then let bankers continue to create money and control credit.

This was not written by OWS.  Guess who said this and when.

OWS Police State Update - Dorli Rainey, 84-Year-Old Occupy Seattle Protester, Pepper Sprayed In The Face

So now the "police" find the need to Pepper Spray in the face Dorli Rainey, an 84-Year-Old Occupy Seattle Protester.

Imagine your mother or grand-mother pepper sprayed!  They may be carrying bombs or semi-automatic weapons.  Mine carry lip-stick and sometimes gum; but you never know.  Little old ladies these days are dangerous!!!!!

Rainey was among a group of Seattle protesters scattered by police on Tuesday. A pregnant 19-year-old woman was also reportedly hit by pepper spray Tuesday, The Associated Press reported, though police haven't confirmed the incident.

A priest was also among those pepper sprayed during the protesters' march from their camp at Seattle Central Community College to Westlake Park, according to the Seattle Post-Intelligencer. Police officers on bicycles attempted to block the protesters' way. After tensions mounted, the police used pepper spray to disperse the crowd.

Good, let's clear the streets of priests and pregnant women and old ladies.  More room for the Ferrari driving super rich to jet off to St. Barts.

Welcome to The United Police States of America!

The three aims of the tyrant are, one, the humiliation of his subjects; he knows that a mean-spirited man will not conspire against anybody; two, the creation of mistrust among them; for a tyrant is not to be overthrown until men begin to have confidence in one another -- and this is the reason why tyrants are at war with the good; they are under the idea that their power is endangered by them, not only because they will not be ruled despotically, but also because they are too loyal to one another and to other men, and do not inform against one another or against other men -- three, the tyrant desires that all his subjects shall be incapable of action, for no one attempts what is impossible and they will not attempt to overthrow a tyranny if they are powerless.

Aristotle.

I have written about how I view OWS as just the start of the 99% realizing that they are being systematically controlled and turned into serfs for the ruling oligarchy - the concept of kleptocracy. Just as Aristotle said, the ruling elite will stop at nothing to keep serfs, the 99%, in line.

I have also commented about how the police kept the media far away during their crackdowns in Zuccotti Park (Liberty Park). It happened again last night, clearly to prevent the public from seeing images of their efforts to clear the square. There were reports at the time via the live feed of protesters being tear gassed and dragged away by their arms and legs, and later of the use of pepper spray and batons.

The video below was from this morning, when the police were keeping protesters out of the park.

The protesters show a copy of a court order that protesters be allowed in the park and are (predictably) denied access to the park. Then the police appear to punch a woman (at around 1:45); although, the footage does not show the actual blow - but you can pretty clearly infer from her suddenly being on the ground in obvious pain what happened.

If this is what you see, imagine what happened last night, with no cameras and videos to constrain police aggression.

As reported by http://www.nakedcapitalism.com/

The area around Zuccotti Park was subject last night to a 9/11 level lockdown over peaceful, lawful protests by a small number of people. No credible case has been made by the officialdom that the protestors had violated any laws. Martial law level restrictions were in place. Subways were shut down. Local residents were not allowed to leave their buildings. People were allowed into the area only if they showed ID with an address in the ‘hood. Media access was limited to those with official press credentials, which is almost certainly a small minority of those who wanted to cover the crackdown (the Times’ Media Decoder blog says that journalists are describing the tactics, as we did, as a media blackout). Moreover, reading the various news stories, it appears they were kept well away from the actual confrontation (for instance, the reported tear gassing of the Occupiers in what had been the kitchen, as well as separate accounts of the use of pepper spray and batons). News helicopters were forced to land. As of 10 AM, reader Wentworth reported that police helicopters were out in force buzzing lower Manhattan.

Perhaps even more alarming and insidious in this episode is that there is a “police” officer videotaping protesters. Is there anyone out there who still doesn’t grasp the gravity of this?? This is suppose to be a free country, but with "police" taping protesters it makes one wonder what is next. It is standard procedure in police states world wide to video those opposed to the ruling kleptocracy. Next usually come the "visits" in the night.

That poor blond woman who got punched has paid her dues. She can proudly tell future generations: “I shed my blood for this country!”

The mere fact that those police did such a reprehensible act in full view of cameras tells the tale. They feel invincible and righteous. Classic authoritarian mind set.

It appears that Bloomberg is the bell wether for the rest of the State and Local Authorities. He is ‘pushing the envelope’ against the protesters. The more he gets away with, the more he will try to ‘accomplish.’ The sinister ties of the NYC police administration with the Feds suggests a stepping stone approach will be implemented nationwide. (Or already is so being engaged in.)  Today we learned that the Mayors of at least 18 Cities had a joint conference call to discuss "tactics."

Although various right wing tea-party fascists seem to have appropriated this wonderful quotation, I think what we are seeing before us today in Liberty Plaza (and elsewhere around this country) is exactly what Thomas Jefferson was talking about when he wrote the following words:

The British ministry have so long hired their gazetteers to repeat and model into every form lies about our being in anarchy, that the world has at length believed them, the English nation has believed them, the ministers themselves have come to believe them, and what is more wonderful, we have believed them ourselves. Yet where does this anarchy exist? Where did it ever exist, except in the single instance of Massachusets? And can history produce an instance of a rebellion so honourably conducted? I say nothing of it’s motives. They were founded in ignorance, not wickedness. God forbid we should ever be 20 years without such a rebellion. The people can not be all, and always, well informed. The part which is wrong will be discontented in proportion to the importance of the facts they misconceive. If they remain quiet under such misconceptions it is a lethargy, the forerunner of death to the public liberty. We have had 13 states independant 11 years. There has been one rebellion. That comes to one rebellion in a century and a half for each state. What country ever existed a century and a half without a rebellion? And what country can preserve it’s liberties if their rulers are not warned from time to time that their people preserve the spirit of resistance? Let them take arms. The remedy is to set them right as to facts, pardon and pacify them. What signify a few lives lost in a century or two? The tree of liberty must be refreshed from time to time with the blood of patriots and tyrants. It is it’s natural manure.

Ladies and Gentlemen, our rights to free speech and free assembly are being taken from us before our eyes (when the "police" can't stop the media and protesters from capturing images).

When we saw protesters in Egypt and elsewhere in the Middle East, the Government applauded and defended them. When OWS happens in the US, they are deemed thugs and criminals (as quoted by Aristotle, the first step is "the humiliation of his subjects").

All we are getting and will continue to see on network and cable “news” apparatus is misinformation; that the protests were “dangerous”, and “dirty”, a “public risk”, etc., etc., The police state must be shown up for what they are, (brutal, violent, illegal and undemocratic) and held up in plain view of the public. More peaceful and truthful confrontation is absolutely necessary. I will be there offering up my head to a police club.  I just hope someone else gets the video up on youtube.

Remember Aristotle's words " three, the tyrant desires that all his subjects shall be incapable of action, for no one attempts what is impossible and they will not attempt to overthrow a tyranny if they are powerless."

Thousands of Students Riot Over Firing of Child Rapist’s Protector

Thousands of Students Riot Over Firing of Child Rapist’s Protector - sounds horrible.

Most of us would strongly agree that child abuse, especially sexual abuse ruins many lives, the victim, the parents of the victim and, when discovered, the family of the monsters who abused an innocent child.

Because this type of abuse is so devastating for all involved, we as a society must do all that we can to prevent it.

So that is why we call on those that learn of the abuse to come forward immediately and DEMAND strong action be taken.  What if it were your child?  Could you just sit by and watch people who knew or should have known and not say "you did not do enough?"

Then add the name Joe Paterno and all "hell" breaks out.  Let me begin by saying I have no personal animosity to Mr. Paterno and he seems truly remorseful.  Mr.Paterno said:

He was "absolutely devastated" by the case, in which his one-time heir apparent, Jerry Sandusky, has been charged with molesting eight boys over 15 years, including at the Penn State football complex.

It actually saddens me to think of someone who has otherwise lead such a distinguished career to have to leave in such way.

HOWEVER, we as a society have no room for anyone who learns of such abuse to remain silent and not demand answers from law enforcement.

By all accounts Mr.Paterno did report to his seniors, but is that enough?  Ask yourself how you would feel if it were your child or grandchild.

It is time that as a society we once and for all say NO to child sexual abuse.  And that cannot happen until the "protectors", those who fail to report to police, do not step up and demand answers.

It is a travesty and crime what happened to those young boys at Penn State.  Mr. Paterno has said he is devastated by the allegations and I believe him.

HOWEVER, this is a call to arms to anyone how has seen or may suspect such abuse to pursue by whatever means available legal review of the allegations.

When we do less, we all become ENABLERS to such crimes.

So to those students protesting, I can only say your anger is misdirected.  Think first of the children.  Mr. Paterno will survive and go on.  What of the victims and their families? Where are your priorities?  Football or horrific sexual abuse of children?

College is a time to grow up.  Grow up.

Big (Cock) Koch Brothers Explain the Recession

Must watach video of how the rich get richer and you get screwed by big kochs.

Clever Dog Lovers Create Great Costumes!

Here are some great costumes created by dog owners. I know some people object to dressing up dogs, but my dog is an activist. He dressed up as Ann Coulter. I just put a long blond wig on him and he was a dead ringer.  Take that back, he is much more attractive and he is full of love!

George in drag as Ann Coulter:

Other great ideas: 

Enjoy.

Iran Nuclear Weaponizing - Next Middle East War On Our Doorsteps?

According to WaPo, the IAEA is about to report that Iran is on the verge of becoming a nuclear state. What does that mean for us?

 More than likely it will serve as a green light for all of Iran's enemies to launch a pre-emptive strike. Below is some must read commentary from Emad Mostaque of Religare Capital Markets on what this IAEA finding will mean for the region and for the world:

 The IAEA report on Iranian weaponization is due to come out earlier than expected on Nov 9th. We maintain our belief that this report is likely to state that Iran close to becoming a full nuclear power and we look at the near term implications in this note.

• Nothing new: The report is unlikely to contain much new information, but rather to “connect-the-dots” in line with increasing US/Israeli influence over the IAEA. It is very difficult to prove weaponization absent a mushroom cloud.
• Breaking out: We believe that Iran does not intend to create nuclear weapons but are looking to reach “breakout” potential to act as a deterrent. We believe this is 6-12 months away, shifting the balance of power significantly. Iran will continue with its program regardless of international sanctions or pressure.
• Oil support, sanctions and attacks: Oil should get more support and take the Brent-WTI spread back toward $20 given the broken nature of that market. The first move may be to sanction the Central Bank of Iran, cutting oil exports and dividend repatriation (negative for MTN and the like). Russia and China will push back on this toward the end of the month, increasing the probability of an attack on Iranian nuclear facilities late November/December, which we upgraded to 40% a month ago.

While I believe in the right of each Nation-State to control its own destiny and be free to make political decisions based on the will of its people, I do not see that Iran is making decisions for the general public and do not trust that they would not use such weapons against other nations.

The proliferation of nuclear weapons is a clear threat to the entire world. Weapons of such mass destruction are a pariah to modern day life, unfortunately one that we can not escape or pretend does not exist.

I see no easy solution, but fear that the next Middle East war is not far at hand.

Extreme Poverty Is Now At Record Levels - Does Anyone Care?

Of all subjects upon which I speak, none is more personal than the plight of the poor and average American.  Why?  I feel extremely fortunate in that I had opportunities and the system worked for me.  But when I look around and see so many people struggling it breaks my heart.

This is America - we should be better than this.  Where are all the "conservative Christians" on this?  Doesn't the Bible say the meek shall inherit the Earth (What, are you just waiting and letting them suffer until they do?)?

Today, there are many Americans that openly look down on the poor, but that should never be the case. We should love the poor and want to see them lifted up to a better place. The truth is that with a few bad breaks any of us could end up in the ranks of the poor. Compassion is a virtue that all of us should seek to develop.

Sadly, the wealthy and the poor are being increasingly segregated all over the nation. In some areas of the U.S. you would never even know that the economy was having trouble, and other areas resemble third world hellholes.   In most U.S. cities today, there are the "good neighborhoods" and there are the "bad neighborhoods".

According to the U.S. Census Bureau, a higher percentage of Americans is living in extreme poverty than they have ever measured before. In 2010, we were told that the economy was recovering, but the truth is that the number of the "very poor" soared to heights never seen previously. Back in 1993 and back in 2009, the rate of extreme poverty was just over 6 percent, and that represented the worst numbers on record. But in 2010, the rate of extreme poverty hit a whopping 6.7 percent. That means that one out of every 15 Americans is now considered to be "very poor".

Courtesy of Michael Snyder of Economic Collapse , the following are 19 statistics about the poor that will absolutely astound you....

#1 According to the U.S. Census Bureau, the percentage of "very poor" rose in 300 out of the 360 largest metropolitan areas during 2010.

#2 Last year, 2.6 million more Americans descended into poverty. That was the largest increase that we have seen since the U.S. government began keeping statistics on this back in 1959.

#3 It isn't just the ranks of the "very poor" that are rising. The number of those just considered to be "poor" is rapidly increasing as well. Back in the year 2000, 11.3% of all Americans were living in poverty. Today, 15.1% of all Americans are living in poverty.

#4 The poverty rate for children living in the United States increased to 22% in 2010.

#5 There are 314 counties in the United States where at least 30% of the children are facing food insecurity.

#6 In Washington D.C., the "child food insecurity rate" is 32.3%.

#7 More than 20 million U.S. children rely on school meal programs to keep from going hungry.

#8 One out of every six elderly Americans now lives below the federal poverty line.

#9 Today, there are over 45 million Americans on food stamps.

#10 According to the Wall Street Journal, nearly 15 percent of all Americans are now on food stamps.

#11 In 2010, 42 percent of all single mothers in the United States were on food stamps.

#12 The number of Americans on food stamps has increased 74% since 2007.

#13 We are told that the economy is recovering, but the number of Americans on food stamps has grown by another 8 percent over the past year.

#14 Right now, one out of every four American children is on food stamps.

#15 It is being projected that approximately 50 percent of all U.S. children will be on food stamps at some point in their lives before they reach the age of 18.

#16 More than 50 million Americans are now on Medicaid. Back in 1965, only one out of every 50 Americans was on Medicaid. Today, approximately one out of every 6 Americans is on Medicaid.

#17 One out of every six Americans is now enrolled in at least one government anti-poverty program.

#18 The number of Americans that are going to food pantries and soup kitchens has increased by 46% since 2006.

#19 It is estimated that up to half a million children may currently be homeless in the United States.

In this day and age, it is absolutely imperative that we all think for ourselves, and that we have compassion on our brothers and sisters. Winter is coming up, and if you see someone that does not have a coat, don't be afraid to offer to give them one.

All over the United States (and all around the world), there are orphans that are desperately hurting. As you celebrate the good things that you have during this time of the year, don't forget to remember them.

As my readers know I do not believe in formalized religion or their notion of god, but I do believe in mankind and believe in a quote attributed to Jesus "Whatever you do unto the least of my brethren, you do unto me".