I suggest you listen to this while you read this post - Buffalo Springfield - For What Its Worth I herd it last night and it really hit me. This is where we are - AGAIN.
Wake up America, everything is falling apart and there is not one damn thing anyone can do about it till this contagion has run its course. What will it take to get well again? Simple, remove a majority of the debt and all will be well. How do you do that? Default is the best answer since the Fed and Treasury have thrown 25 or more trillion of our future tax obligations at this mess and achieved nothing but making the TBTF's appear to be solvent. As I have been screaming for a long time now, WE'RE SCREWED.
We screwed ourselves and we got screwed by our government and the greedy ass banksters. The sheeple took the easy credit and the falsified RE valuations and got drunk spending away all we could, cause we thought the RE ramp would never end. The government, prodded and paid by special interests, allowed the corporations to ream us in any position they liked. Put the two together and the recipe for disaster was complete.
Everything inflated, now we must deflate and that is gonna hurt cause no one likes giving up something for nothing (just look at Greece). Well, nothing is a meaningless term there, cause we have driveways with boats and RV's and our living rooms are full of LCD's and plasmas with the latest hi-def stereo surround sound systems all that we gleefully owe a small fortune on cause we all bought them with readily available credit (pay with cash? Shuh, you crazy, just charge it), so there is your something.
So now the double edge sword is piercing the American consumer. 1) We owe more than we can pay cause our net worth has been destroyed via the RE crash and the money we were borrowing to pay for the stuff we were charging is no longer available leaving us with insufficient funds to pay for all that shit we charged up (sounds like Yogi Berra - LOL). 2) The government has taken the lead in offering the Fed and Treasury all the funds they need to attempt to fix this mess and have thus spent/multiplied all your current and future tax obligations to levels that we can not sustain. So our situation in a nutshell is double indebtedness with no signs of relief to come as the economy shrinks, the RE and stock markets deteriorate and the jobless rates rise is not a good brew. The great consumer is dead. Get a clue if you are not on touch with this reality.
We're friggin deep in debt and tapped out at the same time. That does not work. There is no way to address that problem. Just like the old Santelli rant, the people that actually make a living can't carry all the water and really are tired of having their hard earned dollars taxed to support a bullshit socialist government that pays for those that choose to live on the lamb. There is no way out of this mess. Can you smell the class warfare coming?
No amount of housing credits or cash for clunkers or whatever forms of bullshit pacification they offer will even slow the bleeding at this point. The markets are getting ready to confirm this. All we friggin do is consume on debt. Adding more debt so we can consume more is not the answer (thus extend and pretend or the kick the can analogies are quite on the money). The only answer is massive deflation and debt removal.
The government has induced some sort of intellectual coma over the citizens and we're like rats in a maze - we work and pay, work and pay and don't really pay attention to anything anymore. The MSM and educational system have dumbed us down to a point we don't give a shit about anything. "Let the government will take care of it."
We'll the government is in deep shit cause the worker bees whose pensions have been destroyed, jobs have been lost and are tired of working to support all the bullshit socialist programs have had enough and are waking up. Not cause they want to, cause they have to. The pending stock market crash will be the last straw for those that produce and have wealth (what precious little is left). The markets are all they have left between them and total revolt, and after this meltdown during the election season you will hear the people roar.
It is time for the lies to stop. The champion of transparency has wound up being noting but a pawn. All the bullshit revisions. monetization of debt, the accounting fraud, the bullshit regulators - it has to fucking STOP! Grow the fuck up and face the facts Mr. Government Man, you all fucked us in the name of power and greed and it is all now spiraling out of control. There is no one in charge. This fucking four headed monster is now running a muck and the only people that can stop it are you and me. So this election year lets start lopping off some heads and replace the bullshit artists with some new (hopefully better) blood and put them to work for you and me and not the special fucking interest groups. Now is our time and if we don't take this last shot, we'll surely lose.
Well, this will be it for the markets. They can pull out all the algos and bots they want to trade this POS rigged market, but it will not do any good as price like water will always find true level.We're headed into the tank. Lower lows will be set this year or next. The financial contagion will spread around the globe and deflation will strike everything. The depression is here.
We better stop, hey, what's that sound
Everybody look what's going down
GL out there and thanks for the views.
I plan on doing an extensive market review later tonight. Here is a hint - fasten seat belts and put on hard hats.
