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Half a Trillion Bailout For The Creators of the Market Crisis
US Mortgage bailout at half a trillion, Loss of confidence means
end of credibility in the markets. Phony wars, phony values in
real estate will cost all of you, financial companies bought
out, power consolidated in financial markets, Gold on the rise,
stock markets as volatile as a drunken sailor, why are the
markets rallying after the big bailout
By Bob Chapman
24/09/08 "International
Forecaster"
-- - We recoil in disgust
at the way these arrogant sociopaths, the henchmen of the
Illuminati at the Fed and in our Treasury Department, led by Bernanke and Paulson, respectively, are taking the toxic waste
losses of the Wall Street fraudsters and dumping them on the
taxpayer sheople, while short-squeezing savvy investors by
selectively prohibiting and prosecuting shorts of any kind for
the stocks of about 800 financial institutions through early
October, which all deserve to be shorted. Between the Byzantine
dollar rally, the Saudi crude oil assassination, the peppering
of precious metals by pernicious paper-hangers (wasn't Adolf
Hitler a paper-hanger at one time?) and the short-squeeze on
financials, we wonder how many more hedge funds are going to go
under, and take everyone else with them in the process, as
Lehman gets cannibalized just in time to rack up mark-to-market
losses for the sheople to eat in the latest bailout bonanza for
the fraudsters, soon to be revealed as the Resolution Trust
Company II solution?
Bailing
out the toxic mortgages found among the half of US real estate
mortgages held or guaranteed by Phonie and Fraudie, some 5+
trillion worth, was not enough for them. Now, they want to pawn
the rest of the toxins from the other half of US mortgages,
which they estimate will be about a half a trillion. Gee,
didn't they tell us the Iran War would cost 60 to 200 billion,
only to find out later that when you add in future costs for
veteran's disabilities and pensions, the cost could top 3
trillion? And didn't Bernanke tell us that the fallout from the
subprime situation was contained? Of course, that was before we
saw fraudsters around the world eat $350 billion and counting.
And didn't all the fraudster CEO's keep telling us that their
walking dead zombie companies were sound and liquid right up to
the time that their shareholders got vaporized? Aren't you
starting to get a little tired of all the lies? Can we trust
even a single word spoken by anyone from Wall Street, the Fed or
our "beloved" Treasury Department anymore? The Street, the Fed
and our government now have ZERO credibility. This loss of
confidence is going to take the markets down no matter what
these reprobate and sociopath elitists do.
You will
eat multiple trillions of
dollars from each of the
following: (1) The phony War on Terror; (2) the loss in real
estate values caused by record inventories that will be created
by defaults and foreclosures resulting from rampant
unemployment, loan fraud, over-leveraged consumers and ARM and
Option ARM resets; (3) the combined bailout of Fannie's and
Freddie's share of the toxic waste contained in the
approximately half of all US mortgages which these cess pools
have made or insured, plus the losses from the Resolution Trust
Company II bailout of the toxic waste from the remaining half of
US mortgages; (4) the shortage in the FDIC's insurance reserves
that will be generated by losses incurred on account of what
will be anywhere from 1,000 bank failures, as suggested by
billionaire Wilber Ross, to perhaps as many as half of all banks
in the US, as recently suggested by Ken Lewis, CEO of Bank of
America; (5) the PBGC's funding shortage to cover losses
suffered by pension plan beneficiaries on account of pension
under-funding caused by what will be the loss of as much as half
of the value of all US equity shares; (6) the bailouts likely to
occur when the credit default swaps and interest rate swaps,
along with the entire bond market, go under in what will be the
greatest bear market of all time in both bonds and derivatives,
which are guaranteed to occur based on the hyperinflation that
will be caused by all the other bailouts just listed, as well as
by our continually burgeoning budget and trade deficits, the
resulting double digit interest rates which will become
necessary in order to combat inflation and to properly reward
risks, which are about to escalate in astronomical fashion, and
to attract foreign investment, which will soon drop to nil based
on negative rates of return; (7) the loss in purchasing power
due to hyperinflation generated by 1 through 6 above; and (8)
the new wars for profit that will be started in order to restart
our vaporized economy in the wake of the death and destruction
caused by 1 through 7, above, and you can also add in the costs
associated with potential social unrest and revolution that are
almost certain to occur. When number 6 above comes to fruition,
the entire world economy will implode and go into deep
depression. None will escape the coming juggernaut of losses
when the glowing, quadrillion dollar Derivative Death-Star goes
supernova. The entire world economy will get sucked into the
resulting financial black hole.
The
Resolution Trust Company II will be rammed down the throats of
Congress, just like (1) the Federal Reserve Act that has been
used to inflate the middle class out of its wealth by imposing a
stealth tax which is used to fund profligate government spending
and enrich private banker's with their debt-based fractional
reserve system of banking; (2) the passage of the US Income Tax,
which is used to enslave and impoverish US citizens and to
ensure payment of the US Treasury's debt to the Federal Reserve
on its treasury paper; (3) the repeal of the Glass-Steagall Act
by the Gramm, Leach, Bliley Act, which is what paved the way for
the speculation, fraud and conflicts of interest that always
arise when commercial banks and investment banks are allowed to
be merged under one entity, as we just saw happen with Bank of
America when it bought out Merrill Lynch, and this poisonous
piece of legislation is what allowed the Illuminist bankers to
pawn off the toxic waste which their investment banking division
created for its investment banking clients, after getting
fraudulent AAA ratings from the ratings agencies, on their
hapless, sucker-dupe commercial banking clients; (4) the passage
of the toxic Commodity Futures Modernization Act, which freed
the then fledgling OTC derivatives market, including credit
default swaps and interest rate swaps, from the regulatory power
of both the SEC or the CFTC, leading to an out-of-control,
unregulated, under-collateralized, quadrillion dollar volcano of
smoldering, molten risk that no one understands in terms of its
scope, its interrelationships and its counterparty risks, and
now these financial weapons of mass destruction threaten the
worldwide financial system; (5) the passage of the Iran War
resolution based on Bush Administration lies regarding Saddam
Hussein's supposed weapons of mass destruction and involvement
in 911, which has led us into yet another bloody war for profit
under the guise of security, democracy and freedom, and which
has resulted in the killing of millions of Iraqi civilians and
thousands of our soldiers (move over Hitler, Mao and Stalin, the
Illuminati and their neocon henchmen are just getting warmed up
as they take their shenanigans to the Balkans); (6) the approval
of both Patriot Acts to help us fight the evil Osama Bin Laden
and the phony "War on Terror" while dismantling our
Constitutional rights; (7) the approval of the Military
Commissions Act which makes all dissenters into "enemy
combatants" and takes away their right to habeas corpus; (8) the
passage of the John W. Warner Defense Authorization Act of 2006,
which repeals Posse Comitatus, meaning that our military forces
can now be used against our own citizens for the first time in
our history, and contrary to our Constitution; and (9) the
Fannie and Freddie bailout, which was just authorized so the
fraudsters can dump their slime on taxpayers in a futile attempt
to save their precious system of Ponzi-schemes and insider
trading which is becoming unraveled right before their eyes.
This is why all incumbents, except for Ron Paul,
must be voted out in November.
The House
Finance Committee, headed by Rep. Barney Frank, and the Senate
Finance Committee, headed by Sen. Christopher Dodd, will give it
their usual Boo-Boo, response: "I don't know, Yogi," in order to
give the clueless sheople the appearance that they are going to
protect taxpayers from the slimy bankers, when the reality is,
it is already a done deal and has been planned long in advance,
probably for many months, if not years, just like the Patriot
Acts. What you are seeing happen right before your eyes is the
revenge of the Illuminati for the passage of the Glass-Steagall
Act. Not only have they repealed that act, but now they have
reverted our system back to the way it was when the Stock Market
Crash of 1929 occurred. This is why Bank of America jumped all
over Merrill Lynch, and why you are hearing continual overtures
for Goldman Sachs and Morgan Stanley to do the same, with claims
that their business models are flawed. The fane-stream media
now tells us that we need such combinations to give our
financial institutions greater strength and staying power in the
face of a crisis, when it is such combinations that are
responsible for creating the crisis in the first place. This is
the classic Hegelian Dialectic on steroids: first create the
crisis, and then propose the predetermined solutions, stuffing
them down everyone's throats, if necessary. If you want to see
institutions that will automatically be deemed to be too big to
fail the next time they defraud the public, just check out the
gargantuan financial behemoths that will emerge out of the
current crisis!
Note how
this was all set up. First, all the legislation was put into
place. Then the system is brought into a crisis situation,
which was easily accomplished through deregulation, in order to
propel us into a situation where the Illuminists are allowed to
consolidate their power with the full blessing of the dopey
sheople. Note how Bear Stearns was assassinated just before the
Fed opened up its Primary Dealer Credit Facility and its Term
Securities Lending Facility, which could have saved BS. They
arranged to have BS's clients abandon them and withdrew BS
liquidity and credit, and down they went, payback for not
helping in the LTCM bailout and for not joining the Illuminist
club. Then they string out all the other big commercial and
investment banks, to see which ones would turn out to be the
keepers, because the carnage was so bad and so widely spread
that no one could tell which of the big commercial and
investment banks might survive, if any. They needed time to
figure out who the survivors would be. Hence, all the desperate
bailouts dripping with moral hazard were made to keep them all
afloat while they were attempting to make this determination.
They decide to let Lehman fail because their condition is
irredeemable and it looks like criminal charges may come up at
some point due to shenanigans that management committed against
their employee's pension money, making them a hot potato. They
pair up Bank of America with Merrill Lynch, and we see JP Morgan
Chase and possibly Wachovia pairing up with Goldman Sachs and
Morgan Stanley, respectively. Wachovia and Morgan Stanley are
already in talks for a merger. AIG is being preserved to see if
they can be fit into the consolidation scheme once all their
problems have been sorted out.
To
support the survivors, they then announce the Resolution Trust
Company II bailout, kill all shorting of over 800 financial
companies, and then spew out money and credit throughout the
international banking system in amounts that are nothing short
of spectacular. This is an outrageous, unbelievable,
unprecedented consolidation of power, which flies in the face of
free markets and paves the way for an ever-burgeoning
corporatist, fascist police state. Hanky Panky wants to give
the Fed sweeping regulatory power over this new group of
behemoths who will control everything, while occasionally
allowing crumbs to fall off their table for the little guys to
gobble up. And there will be far fewer of the little guys to
worry about after the carnage in the banking sector has finally
ceased.
This is not a sure
thing for them. The fraudsters remaining, even the big guys,
could still fail, that is how bad this situation has become.
The Illuminati are quaking with terror that they have overdone
things and that they could end up destroying the whole system
irreparably. That is why we are having all these bailouts
stuffed down our throats.
Gold and
silver went on a moon shot this week, with gold setting a new
all-time record for a one-day increase in value. That is what
happens when you keep pressing on the lid of a pressure cooker,
trying to keep boiling, molten precious metals from escaping.
Aiding gold and silver was the unraveling of longs in the USDX
futures market, who were forced to cover because they had pushed
the dollar up as far as it could go. Suddenly, the 93,701
contracts of open interest on Tuesday were reduced to 52,872,
being cut virtually in half. That means the dollar rally is
over and the ever more desperate bailouts are going to undermine
confidence in the dollar. Soon, all these trillions in bailouts
may lead to a downgrade of our treasuries, as our debt load will
soon reach unsustainable levels, no matter how much the PPT
tries to manipulate the markets. The stupidest dolt should be
able to figure out that much.
The stock
markets are shooting up and down with unprecedented volatility,
bobbing and weaving like a drunken sailor as the PPT tries to
fight the gravity created by the financial black hole created by
the collapse of the Bailout Death-Star and the total lack of
confidence of market players who are finally starting to realize
that CEO's, Treasury Secretaries and Fed Chairmen are little
more than pathological liars, and that the markets are rigged in
ways that make China and Russia green with envy. Look at the
condition of the Russian and Chinese stock markets, which are
being vaporized, compared to ours, which has been placed in a
state of suspended animation by the PPT anti-gravity machine.
Hey Russia, and China, take some notes. We'll show you what it
means to be a died-in-the-wool Marxist/Communist state! And we
lead by example, so pay attention. Remember, the satanic
trillionaires that run our command economy from behind the
scenes are the ones who set you up and financed you. They
are the true masters of Communism and Marxism! You guys are
amateurs!!!
Do you really think the markets are rallying because
everyone is impressed with the new string of bailouts? All the
pros know where this is leading us, and they are de-leveraging.
If you want to know why the markets are rallying, besides tens
of billions of dollars being unleashed from the repo pool for
insidious and in-your-face manipulations, check out the yen. At
9 am on the 16th, it was super yen, at 103.650 yen per dollar
and 147.592 yen per euro. Now suddenly, despite the dollar
crash, the yen has wimped out, and as of 2:25 pm on Friday, it
stood at 107.065 against the dollar, and at 154.653 against the
euro. Rally mystery solved. Let's get ready to rumble!!!
The members of Pink Floyd become prophets for America. Thanks
to all the Illuminist lies the sheople have been injected with,
the Goldilocks Matrix remains in tact. Yes indeed, you have all
become "comfortably numb.
"O.K.
Just a little pinprick.
There'll be no more
aaaaaaaaah! But you may feel a little sick.
Can you stand up? I do believe it's working, good. That'll keep
you going through the show
Come on it's time to
go.
There is no pain you
are receding
A distant ship, smoke
on the horizon.
You are only coming
through in waves.
Your lips move but I
can't hear what you're saying.
When I was a child
I caught a fleeting
glimpse
Out of the corner of
my eye.
I turned to look but
it was gone
I cannot put my
finger on it now
The child is grown,
The dream is gone.
I have become
comfortably numb."
Group: Pink Floyd;
Album: The Wall; Song: Comfortably Numb
We hope and pray that the dream is not yet gone, and that
Americans get a fleeting glimpse of our former glory and
greatness, and that they wake up and stop allowing these
scum-bags to have their way with them.
RIP Richard Wright
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