iBankCoin
18 years in Wall Street, left after finding out it was all horseshit. Founder/ Master and Commander: iBankCoin, finance news and commentary from the future.
Joined Nov 10, 2007
23,418 Blog Posts

What Are We Talking About Here?

All of the negative news is sort of bewildering to me, partly because the restaurants I frequent are still packed and my neighbors are still dicks. I understand my small pocket of excess is not a good indicator for the country. I remember visiting that shithole called Pennsylvania, during the summer, and being stunned by its strapped look and feel. People are struggling like a motherfucker out there, living out their pathetic days with extreme modesty—old used cars, rusted BBQ grills and shit.

Here’s a fact: if it was not for government intervention, all of our banks would be gone. Poof!

If all of our banks were bankrupt, well then, our economy would be nonexistent. People would be eating each other in the streets of Manhattan, like wolves. If our economy was nonexistent, I do not believe the political system could retain power. No—fucking—way.

America is a different place, with different people, than back in the old Great Depression days. Back then, people were accustomed to grinding it out, through wars, starvation and staggering unemployment, without welfare. They knew what personal responsibility meant, since a good part of our population was made up of hungry immigrants. Today, the majority of our populace is made up of hamburger eating, teevee watching fat idiots.

If really, really tough times hit America, GD bad, the people would not stand for it. In my spoiled rotten neighborhood, instead of taking up arms like in the old days, these fuckers would bitch, whine, and sue until my local politicians were removed.

However, in poor cities(Detroit, D.C, etc), a different story would play out.

Those fuckers would burn down every building, minus the liquor stores.

Deep down, I keep thinking “somehow, we’ll make it out of this mess.” There have been many periods in American history when the economic system was tested or nearly disintegrated. However, this catastrophe seems to be more severe than all the others, including the Great Depression.

Back then, the country was in the midst of colossal technological advancement, from electricity to cars to airplanes. What do we have now, dumbass iPods or bullshit smart phones?

So where are we going with this bullshit? How can we allow the current structure to exist, post meltdown?

The corruption inside the government, interlinked with big business/foreign financiers, is so pervasive and blatant, I seriously doubt that things can ever be the same. These motherfuckers not only killed capitalism, they stifled America’s brand of business, worldwide. Who in their right mind will listen to our advice anymore? How can we tell the next up and coming nation to use our mold?

It is broken.

So now we have President Obama. He talks a big game; but thus far, he is just giving us more of the same. Which means one thing: they (our government) have no fucking idea how to arrest the decline. The answer to our problems cannot be buying the toxic assets from the banks, at a 200% premium no less. You have to be fucking kidding me. We are not talking 1 trill either. The real exposure is more than 3 trillion dollars.

Some of you conspiracy theorists out there think the government is doing this on purpose, in order to grab control of everything. I tend to think they are all incompetent, viagra popping drunkards, who have overplayed their hands and are about to be called out.

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198 comments

  1. Woodshedder

    Dude, when you’re scared, I’m scared. Now that’s some scary shit.

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  2. patrick

    The decline in the American’s way of life will cause change, but it will not be for the best. We (collectively) don’t understand hardship or peril.

    Its hard to short banks with them so far down, but there really is no alternative…

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  3. Damon

    Interesting….The IRS used to be an organization most people feared.

    Yet, the democratic politicians that Obama has been picking for THE highest positions in the nation, are all IRS tax-fuck-off’s…seriously….

    Total-blatant fucking IRS disregard, “because I can” thievery.

    Honestly, I mean, my accountant has orders to do everything possible under the law to minimize my taxes. This is quasi-communism.

    These political fuckers just straight-up don’t pay their taxes.

    And they are being welcomed into the club with a big Obama bear hug?

    On top of that, they all had cheap illegal labor cleaning their boats and BMW’s and airplanes, and shit, too.

    Joe Francis (Girls Gone Wild) role models for our wonderfully fu-ked country.

    Fax the bastards, and tell them nothing goes forward without E-Verify. It’s a god damn start, anyway.

    (better to care, than exist as a mere pittance above impotence)

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  4. DEVILDOG

    Gee Fly, you’re starting to sound like me. S&P 150 is still my target.
    Check out this new Neil Young music video. He captures several current themes that you speak of in American culture. The man is a genius. You’ll need to watch it more than once to catch them. Enjoy. BTW, I see dead bulls.

    http://www.neilyoung.com/forkintheroad/forkintheroadvideo.html

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  5. The Fly

    In the big scheme of things, what happens to my stocks on Monday means nothing, if you know what I mean.

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  6. Goin'Fawr

    I repeat: “You people, you sit there…. you’re in for one helluva surprise!” Christopher Walken

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  7. MOOBER

    1) I would like to point out the virtue of driving old, used, cars. Thank you very much.

    2) I reject the pervasive “New American Failure to Thrive” theory. By and large, we are still:

    a) hard-working,
    b) clear-thinking,
    c) risk-taking,
    d) hard-charging,
    e) hyphen-using,

    bad ass bunch of mugs.

    Although I have demonstrated complete incompetence regarding matters of investing and trading, I believe that we are close to a tradable bottom. By close, I can’t tell if its close in terms of time (next few weeks) or price (retest of Nov low. I am staying in the game and plan to make a killing when this bitch turns.

    Knowing that I am incompetent I am also preparing to dig a moat, hunt for food, and barter with shells and beads. Hedging, if you will.

    We will survive and eventually thrive.

    ——

    Intrafamily Contrary Indicator of the Decade:

    My little brother, the one who believes in the Illuminati, aliens, and other such nincompoopery, thinks we are headed towards some sort of new world order where the aliens rule the world and enslave the fat people or something. He also thinks gold is going to $5000/oz, because, apparently, Aliens like shiny stuff. He and his friends are running around looking for caves to hide in.

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  8. DEVILDOG

    I know what you mean, however, I think the worst case scenario is what we need to fix the damn country. The only way is through revolution at this point. On the lighter side check out the E-trade baby out takes. LMFAO.

    https://us.etrade.com/e/t/jumppage/viewjumppage?PageName=etrade_super_tv_ads

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  9. Damon

    Dick Fuld sells the Florida Mansion to the wifey-poo for $100.

    Such honest folks running things in America.

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  10. j

    Fly

    Are we able to get a killfile as I want to be able to blur out devildog. He’s like an angry bee swirling inside ones head all the fucking time with the the shit.

    —————-

    fly,

    can i ask you something? last week GDP report was 3.8% down for the quarter making last year’s GDP up around .6%. This year it is expected to be around -2.5%.

    I’m really sorry to say but that number isn’t scary.

    Even if we x out government intervention the number would be around -6%.

    In 1921 industrial production fell around 50% in 12 months. In the Great Depression it was about the same and almost 1/2 the banks fell.

    Look I don’t want to downplay the current problems, but it is hardly anything close to that magnitude.

    They are trying to liquidate the mal-investments by a huge heavy does of inflation. It may work.

    Yes, you could have a serious depression in places like Detroit and they could get out with their pitchforks. However what you would be talking about is a regional depression. That happened before. Texas for instance was fucked in the 80’s as a result of the oil crash. It too lost most of its banking system- at one stage the Texas banks were some of the biggest and powerful in the country.

    What you will end up with is a lopsided depression in places while other areas struggle along or in fact do better.

    Or it may all go pear shaped.

    However the government is actually being very militant and totalitarian in away. It’s doing its best to debase the value of debt so.

    The other thing to consider is that the US believe it or not is actually starting to look better than other places. I believe the reason is that the US was actually the place running the current account deficit while the others were obviously running a surplus. This means that the US is able to internalize a lot of its economy “better” than other places.

    The US is also far more flexible than other countries in terms labor mobility etc and the ability of people to accept the lesser wage while riding out the recession. labor laws in the US allow for mobility and there is also the flexibility of a low minimum wage.

    If you’re depression hunting my suggestion is to look at places like Japan and Europe where labor mobility is virtually non-existent.

    The negative effects of having the Euro and it’s constraints all push towards serious social unrest in places like Europe.That is where the depression will hit hardest is my bet. And the banks there are basically all insolvent.

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  11. MOOBER

    What the hell is Steve Martin doing singing on SNL? Egregious!

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  12. DEVILDOG

    j, you’re a fucking idiot. Leave the fate of America to Americans. I’m tired of your stupid currency swaps bullshit and your prognostications concerning America. Go fuck a kangaroo.

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  13. MOOBER

    Check out the bitchin’ Superbowl intro remix featuring DJ AM and Travis Barker. Rock!

    http://www.youtube.com/watch?v=HchvI-KyV5c

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  14. Damon

    $5,156.00 per year for auto insurance in Detroit, MI

    $587.00 per year for the same insurance in Chapel Hill, NC

    One thing I love about this country, is the nice state of economic homeostasis we have here.

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  15. j

    Devil Dog.

    Fuck off, I’ll say what I want to say, whenever i want to say it.

    Perhaps you could get a killfile too. that way you could ex-out the entire blog.

    Redneck idiot.

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  16. Damon

    Lisa Lampanelli for vice-president!

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  17. jg

    While John Thain, ex-chief of Merrill Lynch, spent $35,000 on a commode and former Tyco boss Dennis Kozlowski thought $15,000 a fair price for an umbrella stand, Japanese bank chiefs’ main lapse of taste was to host finance ministry officials at no-pan shabu shabu, mirror-clad restaurants famous for their “look but don’t touch” knickerless waitresses.

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  18. DEVILDOG

    j, that’s bold talk for an asshole that comes from the gene pool of a penal colony of fucking criminal degenerates. Go away and talk to someone in your own country. I guess you can’t do that anymore because they are sick of your crap so you have to bug Americans. Fuck off.

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  19. jg

    xenophobia now? lordy.

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  20. jg

    There are already plenty of signs of stress. Just a year ago the Burberry Warrior handbag – priced from £850 to £13,000, depending on whether it was cut from leather or gold alligator skin – was the handbag for which even wives of hedge fund managers and Premier League footballers had to join a waiting list.

    A quick glance at the Burberry website now shows that they are seriously out of fashion. The alligator skin Luxury Warrior, once £11,000, is now available online for £4,400. A £1,200 version is down to £777, a £700 version is less than £300. Trawl the current range and there isn’t a handbag on sale for more than £1,500.

    At the top of the fashion market, business is still brisk. At last week’s haute couture shows in Paris, houses like Chanel and Dior said their made-to-measure business – frocks from £10,000 and a wedding dress for £200,000 – is booming.

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  21. Goin['Fawr

    DevilDog, take it easy, you are starting to sound a little boring. And that is not like you. Most of the time I find your posts at least entertaining (not merely derogatory), but I think j might be getting the better of you this round. Leave the egocentrice jingoism out of it, you’ll do better.

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  22. Anon

    Only one solution to restore the wealth, nothing else works:

    Bring back the manufacturing to our country, stop prostrating to the big guys like WMT who make everything outside – that is the only solution.

    We invent/ innovate/ discover/ create things. But the chinese manufacture and benefit from it? WTF!

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  23. j

    Dog

    You sound upset that i want get a kill file to block your crap? Don’t take it so personally.
    It just gets a little boring having to read about a revolution every post.

    Get one too.

    redneck.

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  24. manatrader

    MS songsmith compositions of financial decline http://www.youtube.com/watch?v=2-BZfFakpzc

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  25. j

    jg

    I bet the top end is not booming ad they’re just bullshitting. the wealthy have lost a lot of money.

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  26. MOOBER

    I’m watching a show on TLC called Deals on the Bus, where people tour deep discounted homes in CA. One was 3200 sq ft, new construction, 6 bd/4ba/3 car gar, original price $800k, asking $289. Eventually, there is a market for everything.

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  27. The Chart Addict

    I just flipped through that channel.

    In Baltimore, I saw this bus called the “Foreclosure Ride” on the side of it with “Deals starting from $5,000!”

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  28. DPeezy

    In San Fran they’re still pushing million dollar luxury downtown condos. Regardless of recession, there will always be an upped tier. Hell, I’m sure even in Zimbabwe there are filthy rich ranch owners, business people, who are in no way affected by the insane economic crisis ovah theah.

    __________

    In unrelated news, too bad ‘Gunners’ is not around anymore…he would’ve enjoyed this new feature on The Guardian as much as I am:
    http://www.guardian.co.uk/football/chalkboards

    (football=soccer, fyi).

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  29. Flux Capacitor

    Neighbors are still assholes here too. Wish the fucking GD2 would hurry up and get here already, so the alkie asshole over 47.5’s lose their job, get foreclosed on, and I can buy their house for ten cents on the dollar then bulldoze the fucking place.

    Another benefit of the great depression, the asshole african who holds rap concerts in his back yard at midnight might have to sell his fucking sound system!

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  30. Woodshitter

    Here in SoCal, which is theoretically ground zero for mortgage fraud asshattery and 10% unemployment overseen by insolvent state govt fuckery:
    Malls are busy, restaurants are busy, and neighbors are full Ahole mode WTF? A stealth recession go figure…

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  31. Aris

    the problem with america is they keep playing the fucking superbowl in miami or fucking california. fuck that. play the fucking thing in chicago or nyc.

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  32. JF

    Find a place where there’s joy,
    and the joy will burn out the pain.

    The sword is usually
    a benevolent instrument
    which clears the way.

    Anything you do has a still point.
    When you are in that still point,
    you can perform maximally.

    Good Night.

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  33. DPeezy

    Plus, recession sounds so fucking cheerful, no?
    http://www.youtube.com/watch?v=2-BZfFakpzc

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  34. DPeezy

    You mean, like this?
    http://www.youtube.com/watch?v=2-BZfFakpzc

    I’m already way more joyful!

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  35. DPeezy

    The recession already sounds more cheerful:
    http://www.kreidler-net.de/charts.html

    (wouldn’t let me link directly to youtube from the comment?)

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  36. Lawrence Kudlow

    Three trillion dollars really isn’t that much money, when you compare it to our nations GDP, summed up over a period of about 25 years, it’s a small percentage of our total GDP.

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  37. Damon

    No question the real “players” (i.e.: those with a personal wealth trailing 12 zeros on the balance sheet) got hurt bad, as did their tax shelter, public foundations.

    For the first time in my memory, it has been quite public this time around.

    In most instances, there were done in by their own people.(i.e.; Madoff)

    We are playing a whole new kind of turf going into this future game.

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  38. chanci

    Our government may be incompetent but we are not, Fly. Underestimate them, but do not under estimate the American people. We are a great land, far greater than our government and corrupt banks. Don’t let arrogance or worry or fear for our plight blind you to our resiliency.

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  39. chanci

    Arrogant was the wrong word, as Fly is probably the least arrogant financial person I have encountered. What might help a lot of people facing really hard econimical times is to do away with the 10 percent penality on their 401K withdrawals. Nothing pisses me off more. Then the whole 401K disaster. What a frigging heart breaking joke. And. Now to be penalized for having to use what ever the fuck is left of if to pay ones bills. If that doesn’t get people riled up, I don’t know what will.

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  40. Dogwood

    People would be eating each other in the streets of Manhattan, like wolves.

    I’m okay with that. Getting back to nature may be what New Yorkers need to put these times into perspective. Besides, I’ve always found a walk through the wild to be rather therapeutic.

    As for Detroit, they already have burned down the city. Launch Google Earth and check out the residential neighborhoods northwest of downtown.

    In many neighborhoods, the wild pheasant and turkey outnumber people or houses. Sad really, the town had some awesome architecture in its day, now it is all falling apart or has been bulldozed into history.

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  41. the prof

    as usual, you made me laugh my ass off… thanks, fly…

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  42. Sullen

    San Diego malls and shopping centers packed too, the missus and I noted tonight. WTF? We have friendly neighbors but we all rent 500 sq ft places bought for 300K now with a few MLS listed at 200K. Once china tastes what it’s like for US to raise it’s savings rate 1% in an economy 10x the size of theirs they’ll beg for the chance to give more happy endings, empowering yet more frivolity. Not yet buying the argument that real communist control can overpower American bred financial treachery. Geitner’s got the batphone to the people who nurtured the CDO mutually assured destruction pact to life- at least they are OUR slimy bastards… Right? Foolish Obama.

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  43. Anton Cigur

    Our economic problems are social and cultural.

    Fly sums it up very well, unfortunately.

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  44. 4fl3x

    Thanks Master Fly.

    People around here don’t seem to be” too” bad off either. I think most people are most worried about their 401k’s and retirement.

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  45. Yogi & Boo Boo

    Great post. Eighty years ago, most Americans could take better care of themselves without the economic infrastructure. Don’t think Walton’s Mountain, think back yard gardens even in the city. Those skills have largely been lost by the majority of Americans, and are now maintained by “homesteaders” suburban and otherwise, organic gardeners and farmers, etc.

    For those thinking about buying a shotgun and stocking up on ammo, a compost pile, heirloom seeds, hand tools, and a chicken coop might be on the list also. A wood stove and well with a hand pump might also come in handy. Remember if you see a chicken coop in the back yard, chances are there’s a shotgun in the house.

    I sure hope it doesn’t get that bad. But I don’t think we know how to get out of this mess yet, otherwise the house stimulus bill wouldn’t have been as bad as it was.

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  46. Dinosaur Trader

    Agree with your thoughts regarding the difference between society during the great depression and now. Sort of like the difference between adults (then) and toddlers (now).

    Also, reading the local newspaper here over the weekend where they interviewed some people who survived the great depression and they were all like, “it was cool. whenever someone slaughtered an animal, everyone got a piece.” Who do you have on your block that’s raising pigs? And what farm do you have that wasn’t purchased by developers and turned into McMansions? Meanwhile, while all that was happening, a bunch of you shitheads complained about overregulation, etc.

    I walked through my father’s town this weekend and saw more boarded up storefronts than I can ever remember, including what was once a family owned pharmacy. Meanwhile, a mile away, a CVS and an Eckard stare each other down across the street. Inside, you get shitty service from idiots making minimum wage who have absolutely no connection to the business they conduct each day.

    The entire fucking town tried hard to prevent these stores from opening because they knew it would be the end of their nice little village, but to no avail. The laws just weren’t strict enough regarding zoning, and so now we get more impersonal and boring big box retailers that kill the local economy and make everything look the same. Once CVS and Eckard got in, it’s nearly impossible to stop the Dunkin Donuts, the McDonalds, etc. And another town goes to waste. Meanwhile, they’ll all close if things get really bad cos they don’t give a damn about their customers either since they’re run from some corporate headquarters in another state. No bother, just throw some more adverts and PR at everyone and they’ll forget about it. And people complain about too much regulation. Fuck off, really.

    Everyone fights about Obama this, Bush that, but I think the drinking with bob guy had it right in that video that “the Fly” posted last night.

    Turn off your fucking TVs, support your local economy, stop whining, and smarten up.

    Now, with that said, I don’t think we’re all going to die. But things are certainly going to have to change. And they may have to burn to change. I think it will truly suck while our country goes through this but if we’re smart about it (highly fucking doubtful) it’s possible that things turn out better on the other side. That’s my glimmer of hope. I’m not going to talk about revolution and shit like that because it’s too easy to give into that. You have to start making positive change in your life now. It’s all tied together… the way most Americans live and the shit we’re about to go through.

    You can think you’re entitled to a way of life because your American, but if you think that you’re a fucking idiot. Put yourself and your attitude back in 1932 America and you would never have made it.

    No one is going to fix it but each person taking responsibility for their actions.

    Flame away.

    -DT

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  47. j

    Devil dog

    Can you do me a favor? I have just installed a killfile and included you name on it.

    Would you be good enough to post something, stupid or anything you like over the next 24 hours as I want to see if it works.

    If I can’t see it I will assume it works great
    Thanks in advance.

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  48. j

    I really think you guys have this upside down, by comparing what it was like in the 30;s and then suggesting people were somehow better able to take care of themselves then than they are now is wrong.

    that’s simply not true. GDP in 1939 was around $90 billion and household income was around $6,800. GDP is now $14 trillion and we have all sorts of weird and wonderful things that make our lives better and longer.

    So people are in a sense more capable and resourceful than they were in the 30’s. We know more for a start.

    I think it is wrong to compare the ability of people to handle rough times then to now as it is an entirely different world.

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  49. Yogi & Boo Boo

    j – you’re missing the point. DT and I are both saying that collectively we’re more dependent on “the system” than we were in the 30’s. Then there was a farm down the street, you could beg if you needed to to get some potatoes or eggs. Your local store could give you credit if you had no cash and needed some meds because you smashed your leg with an axe chopping firewood. Now people are plugged into their ipods and their Whole Foods, or Walmart. Try begging at Walmart, see where that gets you.

    You are more likely to pick up a hammer (you won’t find a pitchfork) and burn the place down to take what you need.

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  50. dave

    Just talking to acquaintances I meet along the way, a theme has developed. It would seem that a lot of hourly guys were working over 40 hours per week and the time and a half they earned on those extra hours made a big difference in their standard of living when the hours were cut back.

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  51. Rubber

    If people think America is so rich, $3 Trillion is nothing, why we have so much debt??

    check this
    http://www.brillig.com/debt_clock/

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  52. Bman

    You still think this is conspiracy theory? Get your head out of your ass and stop playing the game they fucking designed for YOU. You still pretend you do your own thinking for you.

    Download the Bible and read the details of your future. This was written some time ago. —
    http://www.jrbooksonline.com/PDF_Books/tragedy_and_hope.pdf

    CARROLL QUIGLEY, “Tragedy and Hope”

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  53. Cuervos Laugh

    Worst case scenario?

    Well, while we’re sharing worst cases – I’ll say that anyone using 29-38, 1907, or even the Tulip Mania is using the wrong model.

    Worst case? Here it is.

    And if you think the whole God, Guns, and Gardens is going to properly deal with that kind of fall out – well, I posit to it that you haven’t read your history very well.

    At the end of it, for the citizens at the farthest reaches of the empire – there was virtually no real change in their day to day existence.

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  54. Bman

    If you need the Cliff Notes for Quigley’s material, then read W.C. Skousen’s “The Naked Capitalist,” instead. In a nutshell:

    A small cabal of people who are not even citizens hold the financial purse strings of every nation.
    This goes a long way to explaining “globalization” and the push to one-world government. It explains
    the assault on race, religion, nation and family. The bankers want a homogenous world that offers no
    basis of resistance.
    It explains why in a time of supposed security danger, the southern border of the US is practically
    porous. The bankers want to undermine America’s European character, which it perceives as a threat.
    It explains the war on Iraq, and the fact that there is no opposition in the mainstream parties or
    press. This war desecrates a cradle of civilization and assails the religion of Islam. It is also an
    opportunity to create more debt and enrich the bankers and their corporate allies.
    It explains 9-11, the Patriot Repression Act and the phony “War on Terror.”
    It explains the depraved mass media and stupefying education system. I could go on but you get the
    picture. We are cril at the mercy of a gigantic whale. At the very least, let’s not waste energy thinking
    we live in a free and open society. Our democracy is a ruse.

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  55. Bman

    Quigley confirms that a network of banking dynasties has, in Skousen’s words, “acquired a choke- hold on the affairs of practically the entire human race.” According to Quigley, they include “Baring, Lazard, Erlanger, Warburg, Schroder, Selingman, the Speyers, Mirabaud, Malet, and above all Rothschild and Morgan.” (Citations are from Tragedy and Hope, 51-52)

    Quigley confirms that, starting with the Bank of England in 1694, these dynasties organized themselves in a system of central banks that charge their respective nations billions of dollars in interest for the privilege of using currency backed by the nations’ own credit. In other words, they have carried off a swindle of monstrous proportions.
    Quigley quotes William Gladstone who as Chancellor of the Exchequer said in 1852: “The government itself was not to be a substantive power in matters of Finance, but was to leave the Money Power supreme and unquestioned.” (325)

    Put another way, a private credit monopoly controls the governments’ purse strings.
    Able to create money out of nothing, they naturally grabbed as much of the world’s real wealth as they could. Quigley writes about the formation of their American cartels: “The period 1884-1933 was the period of financial capitalism in which investment bankers moving into commercial banking and insurance on the one side, and into railroading and heavy industry on the other were able to mobilize enormous wealth and wield enormous economic, political and social power.” (71)

    Indeed their representatives, the “Eastern Establishment” i.e. the Morgans and now the Rockefellers run the United States. (72) The principle mechanism is the Council on Foreign Relations.

    According to Quigley, the ultimate goal is “nothing less than to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole. This system was to be controlled …by the central banks…acting in concert.” (324)

    Quigley confirms that the bankers have usurped mankind’s collective instincts by financing the Socialist and Communist movements. Bankers love big government because the ultimate monopoly is the State. Through it, they take over their competition and control debt, resources, market demand and labor.

    Speaking of the Communist takeover of the US government in the 1930’s and 1940’s, Quigley writes, “it must be understood that the power that these energetic left-wingers exercised was never their own power of Communist power but was ultimately the power of the international financial coterie.” (954)

    In other words, millions of idealists committed to human brotherhood and equality were
    (and are) duped into advancing a totalitarian scheme to concentrate the world’s wealth
    and power into the hands of the superrich. More savvy Leftists, Communists, Feminists and Globalists continue to prosper while unctuously pretending to serve humanity.
    The Money Power controls the debate and encourages gridlock by backing all shades of the political Page 3

    spectrum and marginalizing anyone who shines the spotlight on them. (Ever wonder why Noam Chomsky never mention international bankers and the credit system?) The media is controlled through direct ownership and advertising.
    Quigley writes: “To Morgan all political parties were simply organizations to be used, and the firm always was careful to keep a foot in all camps. Morgan himself, Dwight Morrow and other partners were allied with the Republicans; Russell C. Lewffingwell was allied with the Democrats; Grayson Murphy was allied with the extreme Right; and Thomas W. Lamont was allied with the Left.” (945)

    The Lamont family was “sponsors and financial angels to almost a score of extreme Left organizations including the Communist Party itself.” (945)

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  56. Cuervos Laugh

    Oh & DD?

    You think the stock of “founding fathers” was any better?

    The colonies were full of people shipped over as labour to prevent overcrowding in English prisons.

    Read history.

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  57. lbisque

    Now I know why I usually don’t waste time readin the comments section of this website, but devour all of the blogs. There is 10 minutes of my life I won’t get back.

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  58. Atlas Vicious

    Though I normally go to other sites to read about these “bigger” issues and predictions, I find it very interesting that the discussions have come here. “The Fly on Wallstreet” is as articulate discussing our potential collapse as he is the day to day actions of the markets. What a site.

    J – very surprised that you feel we, in the US, are better able to take of our selves than we were in the 30’s. Perhaps our technology is better, and perhaps we have more “things” after decades of massive consumption.

    But we don’t make anything, our currency isn’t backed by anything, personal / corporate / and all levels of public debt are out of control. It is only thru use of this debt that we have taken care of ourselves – or “spoiled” ourselves – we have in an inordinate amount of people already on the dole via an array of social programs that we can’t afford. Ever have a conversation with a 3rd generation welfare recipient? There are so many, and they will struggle with even the smallest cutback in programs. And those cutbacks are coming.

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  59. j

    Atlas.

    This shit reminds me of the Global warming scare. Atlas, the US makes a lot of things which is why you shouldn’t ignore the enormous GDP it produces each year.

    The US will survive this setback and prosper.

    Please people, don’t be scared, as there is nothing to be scared about.

    Are certain regions going to go into what would qualify as a depression? Sure. But the country will get out of this bigger, better and stronger than before. This is the US we’re talking about not some tinpot nation.

    Look at what the future holds… Possible advances in dynamic fusion that will cut the cost of energy for 1,000 per unit to 60 bucks making energy virtually limitless and free.
    http://video.google.com.au/videoplay?docid=-1518007279479871760&ei=U8KDSZnjJKqyqAPixuzoCg&q=Eric+J+Lerner&hl=en

    Don’t be scared.

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  60. j

    Bman

    No offense, but that has to b the biggest bullshit swill even written. I’m more than a little embarrassed for you.

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  61. beatstreet

    A little local flavor from the Main Line outside Philadelphia …

    Yes, the restaurants seem very crowded. However, driving through downtown Bryn Mawr yesterday, I noticed that at least 33% of the stores were vacant. Same thing in Chestnut Hill. March will be an interesting month. I sit on the Board of Governors of my country club and March is the month when folks must notify the Board if they plan on leaving the Club at the end of the year (our year ends in June). Many at the Club are so stinking rich that it doesn’t matter what happens to the economy. I’m interested in seeing if the marginal guys can afford to stay on.

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  62. beatstreet

    gold and bgz

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  63. Atlas Vicious

    J – On the one hand, I couldnt agree with you more. The US has incredible advantages in all type of resources. Even if energy techology doesn’t advance, we have enough coal to keep the power on for hundreds of years. We will survive any set back.

    However, its not the time to employ the “Ostrich Defense”. Don’t kid yourself about what we currently produce vs. decades ago. We have become a service economy…..no, an “experience” economy. To think that this economy can continue in a similar fashion is foolish. To think that any transition out of this economy won’t involve pain for many is equally foolish. To not be concerned about said pain (or “scared”- in your words), could be considered obtuse.

    And since you seem to be familiar with the lessons of the Mises Institute, I am again surprised that you would bury your head in the sand.

    There is plenty to be scared about, if not for ourselves, for those that are ill-prepared for even the smallest setback.

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  64. Juice

    The Fly’s funniest post, ever! 😮 😛 🙁

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  65. Generational Picker
    Generational Picker

    Kill the rich and steal all their shit.

    A guillotine in every town square. I’ll man
    a wheelbarrow for the fucking heads, which make good dog food.

    And print MO’ MONEY!

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  66. Generational Picker
    Generational Picker

    I forgot to mention: Bring all our troops home, ground all aircraft, close all ports
    and seal our borders.

    If anybody thinks they have to go somewhere,
    they can fuckin’ take a bus or fuckin’ WALK.

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  67. j-daddy

    The malls are still packed because old habits die hard. Everyone knows there are huge problems, but it’s mostly only those who saw what we’re currently experiencing on the horizon that have any idea of how much worse things could get. Many people take the weather as it comes and hope for better days without examining what’s really going on or even doubting the official MSM explanations for why we are where we are. There are a lot of reasons to be scared. Many people don’t realize that yet, but that lack of understanding is actually helping things hold together for now.

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  68. maelstrom

    If the worst scenario takes place all will revert to pure Darwinism..it s that simple..Americans as whole are not up to the task.But many are and will band together and rebuid. I truly believe the only way to fix this country is to let it self destruct and rebuild it on the original concept.. individual freedom and the Bill of Rights

    Devil Dog is correct

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  69. JakeGint

    Man up, pussy. Maybe you need to move away from Steve and the other efftards?

    Detroit? You ever watch The Wire? Life is like that for millions enmired in government abated poverty already. You’re going to get concerned now?

    ___________

    In other news, union asshattery averted at the refinahs (for now)!

    Dimshots may actually be doing me some good, ovah heah:

    Antoine Halff, an analyst with Newedge Group, said workers may actually be doing the industry a favor by going on strike with demand for gasoline so low.

    Which is the comment I made to “Z-stock” on Twitter this past Friday. He was wishing for refiner shorts. Bad call, I say.

    ____

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  70. Canadian Border Police (unmounted regiment)
    Canadian Border Police (unmounted regiment)

    I wish you would all stop with the guns and violence talk. We’re not armed up her, you know and it’s making me kinda nervous.
    Thank you.

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  71. arnoldsimage

    god destroyed the world once before when we didn’t act accordingly. we just dont seem to get it, do we. i can see him scratching his head, ” what’s so difficult about understanding hubris.”

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  72. Keyser Soze

    The Great Depression wasn’t bad for everyone. Corrupt Democrat “political machines” emerged and thrived in cities like NYC, Chicago, Kansas City, Boston, etc.

    Obama wants to distribute a big chunk of the $800 billion stimulus directly to state and local governments. I would not be surprised to see something that looks similar to the local “machine politics” of the ’30s emerge this time as well, but in a more subtle, disguised form. Hell, from what I can tell, Chicago’s machine politics never went away.

    Become a card carrying Democrat if you aren’t one already, and start sucking up to the major Democratic power brokers in your city/county/state to get your fair share of the corruption.

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  73. Atlas Vicious

    J – Glad to see your gov. is following our playbook. I especially love the future commitment to keep budgets in surplus.

    http://www.smh.com.au/articles/2009/01/30/1232818725574.html

    He advocates tighter regulation and policing of global finances, and identifies the immediate challenge as restoring global growth by 3 per cent of gross domestic product, the amount it is expected to fall in 2009. Next week, as Parliament resumes, his Government will chip in with a second economic stimulus package.

    Mr Rudd commits to keeping budgets in surplus “over the cycle”, meaning deficits should be temporary. In a further sign the Government is not contemplating additional tax cuts, which would deliver a permanent hit to revenue, he stresses that stimulus measures have to be paid for when the economy recovers.

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  74. Christina

    Boo Boo,

    You are on to something. Chicken coops are a scorching hot trend. Urban chicken owners are gathering in flocks at

    http://www.backyardchickens.com/

    Their message board has 375 people online right now!

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  75. mrkcbill

    Fly- Thanks

    Read twice and forwarded to family and friends.

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  76. Big Mike

    Silly Fly,

    Thats why we will invade Canada to boost our GDP…

    “Been there, done that..”

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  77. Dogwood

    Forget the chickens, rabbits are quiet and much easier to clean. And they multiply fast for an unending supply.

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  78. JakeGint

    Moober says:

    e) hyphen-using,

    ROFL. I laughed, if no one else did.

    _____

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  79. Rubber

    WALL ST. TO Obama: FUCK YOU, TOO
    January 31, 2009

    Wall Street workers had a message for President Obama yesterday after he dissed the industry’s hefty bonuses – butt out!

    “If I’m working 70 to 80 hours a week, it’s only fair – I’m not asking for charity,” said José Felix, 30, a Wall Street securities trader who wouldn’t name his firm, but was steamed over Obama’s declaration on Thursday that the $18 billion in Wall Street bonuses was “shameful” amid the economic crisis.

    “Well, my answer to that is ‘F- – – you, sir, just pay me I don’t care if its tax payer money your paying me with,’ ” added Felix.

    Robert Fitzgerald, 34, who works at a hedge fund, agreed – saying that his $250,000 bonus was small potatoes compared to previous years, “In past years, I’ve made upwards of half a million, so this is a cutback for me,” he said. “In all of 2008, I worked 80 hours a week, took no vacations and gave my company my best. Why should I be ashamed to get this bonus? I earned it.”

    http://www.nypost.com/seven/01312009/news/politics/wall_st__to_o__buck_you__too_152890.htm

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  80. Not Misdirected

    Anyone here read “Three Cups of Tea” by Greg Mortenson?

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  81. Max

    Mkt cap of C and BAC = 60 B

    For $60 b buy the fuc’kers out and save us $4 T

    How fucking simple is that?

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  82. Not Misdirected

    threecupsoftea.com
    ikat.org

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  83. name deleted

    Thunderpup,”40% of world’s wealth: gone.”
    I would argue it was never real to begin with; It’s like you buy a stock at 50 and it goes to 100 so you think the value has doubled buts it impossible for all of the shareholders to take their money. As soon as you start to cash out the price falls. You can’t say the stock lost half it’s value because the money was never all there in the first place. Same thing with all the overly leveraged over inflated bullshit on all the banks holdings.

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  84. Enough

    Then you read the next article and it says companies are paying 3mil. for a 30 sec. commercial during the Superbowl.

    It’s fucking crazy, priorities are fuuuuuucked!!!

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  85. JakeGint

    j, you’re a fucking idiot. Leave the fate of America to Americans. I’m tired of your stupid currency swaps bullshit and your prognostications concerning America. Go fuck a kangaroo.

    ^^ Not the argument of a deep thinker.

    _____

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  86. JakeGint

    Bring back the manufacturing to our country, stop prostrating to the big guys like WMT who make everything outside – that is the only solution.

    We invent/ innovate/ discover/ create things. But the chinese manufacture and benefit from it? WTF!

    All due respect, but you’ve been sold a bill of goods. A small amount of research will uncover the verities and paradoxes within your very statement.

    For example, if we are the innovators and creators, why should we seek to manufacture the same low end goods that China can manufacture cheaper with illiterate labor?

    One class in economics for every citizen in the country — it’s all I ask.

    ___________

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  87. JakeGint

    Anything you do has a still point.
    When you are in that still point,
    you can perform maximally.

    Wow.

    _______

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  88. JakeGint

    Meanwhile, while all that was happening, a bunch of you shitheads complained about overregulation, etc.

    As usual, dipshit follows his list of plaints with a complete non sequitor. Do you think more regulation would help the economy in these straits?

    Learn economics or give up commentary, please. There are enough dumb people out there, no need to abet dumbassery.

    ___________

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  89. JakeGint

    You can think you’re entitled to a way of life because your American, but if you think that you’re a fucking idiot. Put yourself and your attitude back in 1932 America and you would never have made it.

    So would “thinking your entitle to a certain way of life because you’re an American makes you an idiot” include hoping that shitty, inefficient — though surely “quaint!” — Mom & Pop pharmacies should continue on at the expense of everyone else’s wallet and/or employment possibilities?

    Your entire post was one big rant about stopping the world so things can go back to the way they were when you were a kid. Well guess what, you were a kid, so you probably didn’t realize it, but things sucked back then as well.

    It cracks me up — somewhat — that so many liberals/greens/”progressives” whatever you want to call them are really just Luddites — anti-progressives who hate change and efficiency usually for their own selfish ends.

    “I got mine, so eff off if you want a job at CVS. ”

    _______

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  90. boca

    Rubber … in my view (a non-Wall Street person) it might be foolish for the people quoted in the Post article to hold onto an F-you attitude, it won’t help their case. If I’m reading the signs of the economy correctly, for everybody with an f-you attitude, there will be two people with a better attitude ready and waiting to take that job, and be grateful for having a decent job. I work 80 hours a week too, for myself though, and it doesn’t entitle me to anything except what I earn directly from my customers.

    The era of “I want it, so you should give it to me now” seems to be ending.

    One of the most important things I’ve learned in my life is the difference between “wants” and “needs” — I think a lot of people here have learned that too.

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  91. Thunderpup

    I would argue it was never real to begin with;

    True that.
    http://www.biota.org/reality/bostrom.pdf

    Keith Oldyman has gotten to be one fat mofo…he needs to hit the store for a new suit or hit the gym for eight months.

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  92. JakeGint

    I really think you guys have this upside down, by comparing what it was like in the 30;s and then suggesting people were somehow better able to take care of themselves then than they are now is wrong.

    that’s simply not true. GDP in 1939 was around $90 billion and household income was around $6,800. GDP is now $14 trillion and we have all sorts of weird and wonderful things that make our lives better and longer.

    So people are in a sense more capable and resourceful than they were in the 30’s. We know more for a start.

    I think it is wrong to compare the ability of people to handle rough times then to now as it is an entirely different world.

    A voice of reason, and logic. What a respite. I’m sure you’ll be pilloried.

    Truth is, the luddites are right in that most people cannot grow their own food or hunt for game. What the luddites miss is how much more we can leverage our knowledge base as well.

    _______

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  93. Economics

    Actually by buying up the bad loans, the government will be saving the economy. Granted it will take years before the economy rights itself. You are critiquing Obama’s presidential policies and plans, when he is not even a month into his term. At least give the man a chance.

    As for the debt. USA generates 14+ trillion dollars every year. It could pay off that debt in less than a year. The debt is not our biggest concern right now.

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  94. Atlas Vicious

    Jake – “For example, if we are the innovators and creators, why should we seek to manufacture the same low end goods that China can manufacture cheaper with illiterate labor”

    I can think of 2 reasons:

    1. Because our illiterate need something to do too

    2. Because, someday, that chinaman will not continue to give us his stuff for our currency

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  95. Paradigm Shift

    Occasionally, this site becomes more like a Posse Comitatus convention, rather than a factory for creative/tradable ideas.

    My guess is a tradable indicator can be derived from it, if one can quantify incoherent apocalyptic banter into a value.

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  96. JakeGint

    You think the stock of “founding fathers” was any better?

    The colonies were full of people shipped over as labour to prevent overcrowding in English prisons.

    There’s plenty of easily available research out there regarding the provenance of the U.S. Founding Fathers. To almost a man, they were wealthy landed gentry from good English families.

    Adhere to your own admonishment to “read history” before pushing further calumnies, please.

    __________

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  97. JakeGint

    lbisque (sic) Says:

    Now I know why I usually don’t waste time readin the comments section of this website, but devour all of the blogs. There is 10 minutes of my life I won’t get back.

    Please, don’t let us cut into your hard earned soup-making waking hours.

    ________

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  98. Thunderpup

    The problem is we haven’t really invented anything of significance in the last few decades. It’s fine if China makes all our appliances and cars so long as we innovate, but where’s the innovation? I blame the baby boomers. As a group, they haven’t come up with anything of significance, just improved on the innovations of those who came before.

    I can rattle off all sorts of pre-boomer 20th century innovation: transistor, computers, man on the moon, internet, airplane, radio, jets, mass production. I am at a loss to name many significant innovations post-boomer.

    We now plan to go back to the moon in 2018 – it will take us longer to go back than it did to get there in the first place.

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  99. observer

    fly: bla-bla
    zombie: fly is god
    wood: bla
    jakein: bla
    dd: bla, write it down!
    someone: dd, you are f* idiot! bla
    dd: no, you are f* idiot! bla
    someone else: bla-bla, bla-bla
    fly: hey someone else, you are embicile! bla, f* off!
    someone: dd, if you were not idiot bla-bla
    dd: no, you are the idiot! bla-bla! write it down, bla-bla!
    jakein: you are both f* idiots, if you knew that bla than bla! bla-bla-bla!
    and this pattern will repeat tomorrow!

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  100. JakeGint

    However, its not the time to employ the “Ostrich Defense”. Don’t kid yourself about what we currently produce vs. decades ago. We have become a service economy…..no, an “experience” economy. To think that this economy can continue in a similar fashion is foolish. To think that any transition out of this economy won’t involve pain for many is equally foolish. To not be concerned about said pain (or “scared”- in your words), could be considered obtuse.

    Where is your proof of this? “Accepted Wisdom” is best faded.

    ___________

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  101. observer

    o yea, my deepest apologies to Lady G:

    lady G: bla-bla, fly, bla-bla! i worned you about bla! i am off to drink my bla and then play bla-bla in my neighborhood’s best bla and then i will have wine from bla after reading my bla magazine!
    guy A: lady G stop your idiotic blas!
    Lady G: but guy A you can not even spell, i went to spelling school and know how to spell bla, but now i need to have bla from my shop next door!

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  102. Bman

    j = Move beyond what other people feed you. Think for yourself and do the research. Don’t take anyone’s word for anything. Or are you too deathly afraid to challenge that fragile eggshell known as your “ego”? There’s a reason someone won’t life a finger to do the research. It’s easy to spot the fragile minds in the crowd.

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  103. boca

    Jake, if the commenter was referring to labor, not the founding fathers, then his remark has some merit – indentured servants were a source of workers for early America, no? I believe children and young adults labeled as potential or actual “troublemakers’ were often given the choice to emigrate to America as an indentured servant or face the British courts. Not hardened criminals, but a prettified form of child labor in legal form, 7 year contract and all.

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  104. JakeGint

    1. Because our illiterate need something to do too.

    We don’t have near as many illiterates as they do, and I’d rather make them literate and put them in jobs that can make a living wage than bring back inefficient manufacturing jobs that will depress our standard of living. You are talking about putting a tax on the rest of society for the sake of putting deadbeats to work. That’s bass-ackwards.

    2. Because, someday, that chinaman will not continue to give us his stuff for our currency.

    Bullshit he won’t. The Chinese economy is fueled by our consumption. We are doing for them what we did for Japan after WWII, and guess what? The world will be a better place for it.

    You may not realize it, but other countries advancing from Third to First World status is a good thing for the US and it’s economy.

    The more the merrier. It’s like the nominal socialist cause (Workers of the World, arise) — only enacted through efficient capitalism.

    __________

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  105. boca

    observer – isn’t it blah, not bla??? hahaha just kidding.

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  106. JakeGint

    My guess is a tradable indicator can be derived from it, if one can quantify incoherent apocalyptic banter into a value.

    Bada Bingo!

    _________

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  107. JakeGint

    I can rattle off all sorts of pre-boomer 20th century innovation: transistor, computers, man on the moon, internet, airplane, radio, jets, mass production. I am at a loss to name many significant innovations post-boomer.

    ROFL.

    (Shaking my head… giving up)

    _______

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  108. JakeGint

    Bman sez:

    It’s easy to spot the fragile minds in the crowd.

    You got that right, Bman. I look first for the ones spouting the nonsense and/or anti-Semitic conspiricist crap.

    _______

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  109. JakeGint

    Jake, if the commenter was referring to labor, not the founding fathers, then his remark has some merit – indentured servants were a source of workers for early America, no?

    Sure, there was at least 15% of our colonial population that was enslaved or indentured.

    Cuervo, who knows nothing but how to hate the U.S., was referring to our Founding Fathers.

    And encouraging others to “read history.” He should maybe stick to “the maths.”

    ________

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  110. Atlas Vicious

    JakeGint

    I disagree with you on the chinaman – he may support our spending forever. But I have to say that you need a freaking tab on this thing. I want to know more about how you are “monetizing” your thoughts.

    Tell us – where’s your money now?

    And I have to ask, why the Weimar link?

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  111. T MOE

    Economics-
    “As for the debt. USA generates 14+ trillion dollars every year. It could pay off that debt in less than a year. The debt is not our biggest concern right now.”

    Yeah right, sorry but you are very wrong

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  112. T MOE

    Things are getting worse

    Crisis heightens danger of global social unrest
    http://www.reuters.com/article/pakistan/idUSTRE5100YL20090201

    North Korea says two Koreas on path toward war
    http://www.reuters.com/article/newsOne/idUSTRE5100IB20090201

    Israel vows “disproportionate” response to rockets
    http://www.reuters.com/article/newsOne/idUSTRE5100OY20090201

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  113. dude with common sense
    dude with common sense

    shut the fuck up you stupit winning bitch

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  114. gappingandyapping
    gappingandyapping

    Any net shorts here even remotely concerned that we landed dead on 8,000 in the DOW? That level has been fiercely defended and I would not be surprised if buyers stepped back in at these levels in some names. Thoughts?

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  115. JakeGint

    Tell us – where’s your money now?

    Commodities, refineries, gold and TBT.

    I also have a position in FAS that may be Costanza retarded, but it’s temporary.

    The Weimer link is a reflection on our currency.

    Do I foresee the end of America? No.

    _______

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  116. boca

    The Weimar Republic is a good historical example that has many comparisons to the current economic and social structure of our country. It was the end of an era for Germany and Austria, I believe that is very applicable to our situation.

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  117. this is fact

    On June 4, 1963 Executive Order 11110, was signed with the authority to basically strip the Federal Reserve Bank of its power to loan money to the United States Federal Government at interest. With the stroke of a pen, President Kennedy declared that the privately owned Federal Reserve Bank would soon be out of business.

    November 22, 1963 President Kennedy is assassinated in Dallas, Texas, by The Central bankers who would lose control of the USA.

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  118. T MOE

    gapping-
    YOu may be right about the 8000 level being defended in the DOW, and a break of that and a hold would mean new lows IMO. I think that 819 -800 in the S&P is just as meaningful.
    I think there has been an absence of buyers the past few weeks. IMO most of these sharp bounces were short covering rallies. Especially the rally the other day led by the banks on the CNBC bad bank report.
    Could there be short covering tomorrow? probably, with the market taking a nose dive two days in a row. It seems there has been weakness of volume on the buy side.
    I am staying net short until the unemployment report, if the market shrugs off a really bad number then I may cover and move to cash.
    That could all change if Geithner comes out with some big news this week about changes to the TARP ( asking for more money, which they will need)

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  119. boca

    omg, now we have Kennedy assassination conspiracy theorists too? Oy.

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  120. Thunderpup

    Commodities, refineries, gold and TBT.

    That’s a confident bet on a strong, innovative economy valued at a fraction of what it once was. I thought you were long stocks in general?

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  121. Coming to a theater near you

    Violent clashes in Russia as angry protesters call for Putin to resign over economy

    http://www.dailymail.co.uk/news/worldnews/article-1133002/Violent-clashes-Russia-angry-protesters-Putin-resign-economy.html

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  122. JakeGint

    That’s a confident bet on a strong, innovative economy valued at a fraction of what it once was. I thought you were long stocks in general?

    The only thing I’m short is treasuries (via TBT).

    I also have very small positions in SRS and EEV, but they are vestigal.

    It’s a bet on what’s going to go up in the near term, that’s all. Never mistake my long term views on America for my short term views on the market.

    ___________

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  123. Atlas Vicious

    JakeGint – Does seem to be a contradiction. You feel that Weimar is reflective of our currency, yet you are confident that our currency will continue to be the world’s reserve curreny in the face of all we are doing to it?

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  124. JakeGint

    Atlas — I never said I had any such confidence.

    It might be better for us in the long run should some other currency take the lead as “world reserve.”

    However, truthfully, I don’t see that happening any time soon. As socialist as we’ve become, we’re less so than most of the rest of the world.

    And socialism is never good for currencies.

    ________

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  125. JakeGint

    BTW, Fly — That picture of Hamilton with the Lambo is gold.

    Kudos to you or Jeremy, whomever found it.

    _______

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  126. Christina

    I think there has been an absence of buyers the past few weeks…

    It seems there has been weakness of volume on the buy side.

    T MOE, you got that right.

    WHERE IS EVERYBODY???

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  127. The Chart Addict

    January is supposed to be highest volume month of the year with new institutional in-flow.

    People just don’t have the money to go on a buying spree, obviously.

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  128. Steve The Neighbor
    Steve The Neighbor

    Fly meant to say the other neighbors are dicks; not me.

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  129. The Chart Addict

    NW is the wealthiest district in DC. I recently found out that I live a few blocks away from Dick Cheney when his fat ass left office.

    SE and SW are heroin/crack distribution centers. Bring a gun.

    NE is the clubbing/partying district. Bring your ID and appropriate attire.

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  130. crude_oil

    Pitt 24 Arz 17 lay the points and take the under.

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  131. DEVILDOG

    Jake, now I understand the root of your arguments above…you are long and wrong in your positions. You will be annihilated this week and deservedly so.
    BTW, your position that we somehow helped Japan be great in our image is working out real well over there. Checked their economy lately or their stock market once at 40K and now below 8K? As far as all your talk about innovation and intellectual capital, yada, yada, yada…you sound like all the pre-’99 techies that thought the internet was going to enable you to buy an 80″ flat screen tv online and have it materialize by magic in your living room when you hit the enter button. Keep dreaming fool. I see dead jakes(sheeples & goldbugs)this week.

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  132. Lady Guenevere

    Dedicated to Devil Dog:

    http://www.youtube.com/watch?v=HCb628hvP3A&feature=related

    .

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  133. SatanicChihuahua

    Corporate fixed income markets are smoking.

    http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a0JtUeHFFUt8

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  134. DPeezy

    lol@Paradigm Shift. The weekends can become a bit of a zoo sometimes on this here comment board…

    Perhaps the rising level of fear is signaling some upcoming buy opportunities and a bear market rally? Probably need a retest of last year’s lows first…

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  135. JakeGint

    Devil Dog — all due respect, but you have a very limited capacity for _______ (fill in the blank).

    Thanks for your service to our country.

    ________

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  136. jeff

    Fly – have you taken a look at the Jesuits and the NWO plan? And the class A stock holders of the Federal Reserve?

    NO Federal
    NO Reserves

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  137. Wildcat

    Fly, we keep electing idiots and get what we deserve. Idiots electing idiots.

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  138. 300!

    major props to whomever smacked richie off his own site…kids these days.

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  139. Yogi & Boo Boo

    Wow – I go away for half a day and I get called a Luddite. Cool. Unfortunately, I am NOT advocating chickens coops in every back yard or gardens for that matter. Not that there’s anything wrong with that. It very relaxing and educational for the kids, and you get some nice produce.

    Living in the good old days wasn’t. It was hard work and you had no time to do much except produce enough for yourself and maybe some surplus to sell. I’ve seen grain harvested, flailed, and winnowed by hand. It’s nothing I would want to have to do except for a recreational activity.

    There is no turning back the clock. We are the largest most productive economy in the world. We need to fix whatever is broken and move on. Payroll tax cuts and infrastructure spending would suit me fine. Some help to the states that are getting whacked would be OK also.

    Jake is 100% right when he says we need to educate the poor and get them good jobs. I long time ago I worked in an anti-poverty agency. The poor were much more conservative than I ever expected, as was my boss. Local Democrats did not care much for us because we weren’t much for promoting dependency. Local Republicans always seemed to find a little funding for us. I saw many move from dependency to independence once they got on track and went back to school and completed their education. Some finished high school, some college, they all moved on to better lives.

    Off to watch the Super Bowl.

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  140. Casey Raybeck

    Detroit, my kind of place. Run by criminals, and all the white people moved into the fat ass suburbs, fat asses. Leaving a city to poor people that turned the “Paris of the West” into Gary, Indiana.

    I would have stayed in the D, but aa job beckoned me to SoCal, where they’re still fat asses, but they think they’re cool because of tattos, UFC, and straight brimmed hats.

    At least it’s warm.

    Never count out Detroit, we just need to get the black people to stop scaring all the white people every time they go downtown.

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  141. Braveflaps

    :Bankruptcies, unemployment and social unrest are spreading more widely in China than officially reported, according to independent research that paints an ominous picture for the world economy.” See:

    http://business.timesonline.co.uk/tol/business/economics/article5627687.ece

    FXP – me love you long time.

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  142. Cuervos Laugh

    @Jake

    I believe what I said was separated by a paragraph, hopefully indicating different ideas:

    You think the stock of “founding fathers” was any better?

    [different paragraph alert]

    The colonies were full of people shipped over as labour to prevent overcrowding in English prisons.

    1. How is it that a group of Christians fled Europe to avoid persecution because of their beliefs and ended up jump starting a process that not only enslaved millions of Africans but, over time morphed into the whole sale slaughter of indigenous peoples?

    And I’m not even going to refer to the indentured servants that built the railroads both, Irish and Chinese alike.

    2. As a Christian nation, why is it that the founding fathers did not heed St. Paul when he called for civil obedience and to remember as Christians that the leader, be it Emperor/King/President/Prime Minister was, according to New Testament faith – in fact, installed there by God?

    Did they think St. Paul erred in this regard?

    3. With regards to the economic status of the American Founding Fathers, it would seem that the British Loyalists held more wealth. (see Richard D. Brown’s The Founding Fathers of 1776 and 1787: A Collective View which is available here: http://www.jstor.org/pss/1921543)

    The arrogance that “patriotic” Americans have towards Commonwealth countries is amazing especially when one is presented with the “educated” redneck view of Australia as “the descendants of penal colonists”.

    And yet, the inability to see it’s own history as a nation mired in hypocrisy with regards to being “Christian” not only as rebellious tax evaders but also, the originators and framers of two of the more notable examples of genocide in the last 300 years in this hemisphere – that inability is the one failing which continually amazes me when I look at the US.

    Now in all fairness, I haven’t even spoke about the horrors that the Spanish committed in the name of Queen and God but, I will mention it in reference so you are not so fooled as to think that I view the US through a myopia of hate.

    Finally, here’s a question that I don’t think anyone’s been asking – but which I asked last night of the Fly with regards to the PPT:

    Which of the companies that are being bailed out by the American tax payer are paying their own taxes?

    How many of them are incorporated in off shore locations such as, say – the Bahamas?

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  143. alphadawgg

    Just finished re-stocking the bunker with food, ammo and clothing….just in case.

    You’re right about the average Joe. Heartless, gutless and ball-less. Not many are willing to pay the price for success and a good and just society. Most people in this country are soft and used to the easy life. They want to be taken care of. Let the government do it. This is what happens to a society on it’s last legs.

    People cheat, steal, lie just so their lifestyles don’t get disturbed. Nobody wants to be inconvenienced. Heaven forbid we go through another Depression and people have to pull together and figure out how to work things out.

    Adversity builds character. Life is about pushing yourself beyond your comfort zone to be the best person you can be.

    Off to do 5 miles, 100 pullups, 200 push ups and 300 sit ups. Wait…..the Super Bowl is coming on.

    Pass the chips and beer….I’ll do it later.

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  144. ManuelStop

    @CA: regarding inflow.

    There has actually been an outflow in AUM total since the 1st; decreasing. Don’t hold hopes up just yet.

    http://www.ici.org/stats/latest/flows_01_28_09.html#TopOfPage

    nice blog post on shorts BTW.

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  145. ZenProfit

    Go EAGLES!!! (Oh wait, they’re not playing today.) Shit, that would have been 4 hours of not thinking about of all this bad crap.

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  146. alphadawgg

    Cards will win on the back of Kurt Warner—best QB in football right now.

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  147. davey

    Most people I know are still fully invested and have know clue about what is going on. It completely puzzles me. I’ve told them for months to sell a little into each rally to get to cash. They say that’s market timing, the next bull is coming. How low can it go. They look at me like some kind of radical. Cash and trading seems like the only way to make money in this market. All the best……..

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  148. crude_oil

    Cards are a weak road team.They lose.

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  149. TraderCaddy

    Doesn’t really matter to me who wins but the commercials are good and I can eat the hot wings and guacamole dip that I made and swill down a beer or two.
    It beats the usual Sunday night junk on the tube.
    Apologies to The Simpsons.

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  150. davey

    JakeGint, You have good comments… We own a small manufacturing company and at trade shows the Chinese constantly come to us asking for us to design products for them. Why should we do this and get a small percentage of the sale for each product, no thanks. Let them design there own stuff. America needs to get back to our manufacturing base that built us not the service economy of nail salons, retail stores and restaurants. Wake up America!!!!

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  151. MOOBER

    Did you feel that? The shaking and trembling in the heavens just now?

    Fear not, it was just John Elway on TV.

    ———

    Faith Hill is a nice lady. See her all the time in downtown Franklin. She doted on my son when he was 2, one early Saturday am. I just reminded my boy of it, while she was singing. He blushed. A good sign for Poppa.

    However, I hate lip syncing.

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  152. Bman

    JakeGint,

    I like your deep attention to research and exploration of the truth. I used to have a hamster that had the same ability level, but then it died in its cage.

    You’re just another prick-brain who goes along with the stupid masses, and judges every book by its cover. That makes you dickless, in my opinion. Use your fucking brain, man. Dig for the truth once in your fucking life, man.

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  153. TraderCaddy

    Then I gather Faith Hill is a biscuits and gravy fan.

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  154. Dimitry

    And then, Great Purge will come !! Hail Stalin !!!

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  155. MOOBER

    By the look of her backside I’d say no biscuits, no gravy.

    A steady diet of wheatgrass juice and squats.

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  156. Braveflaps

    Bman, thou art douche.

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  157. TraderCaddy

    The only wheatgrass I saw when I was in Franklin was what the cows were eating and what was growing as rough on the golf courses.
    Downtown Franklin is pretty cool and a nice place to visit.
    Plus the McDonalds off I-65 still had .35 seniors coffee.

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  158. MOOBER

    Ok, maybe one biscuit.

    Franklin is a nice place to raise a family.

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  159. Ward and June Cleaver
    Ward and June Cleaver

    We are watching the Championship on our new B&W Philco. Y.A. Tittle and Frank Gifford are playing well but so is Paul Horning.
    Giant’s coach Allie Sherman sure looks angry.

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  160. Juice

    Wealth destruction, set to muzak.

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  161. Cuervos Laugh

    @Juice – that’s the funniest song I’ve heard in a long time.

    Can’t wait to hear the 09 remix…

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  162. j

    x

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  163. MOOBER

    BRUUUUCE! He is killing!

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  164. Buckeye Bob

    Isn’t anyone live blogging the superbowl here???

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  165. j

    Atlas

    You’re referring to out prime minister, Kevin Rudd , obviously. He takes the asshat of the decade. Rudd and his finance minister are two of the biggest clowns ever. these two morons will turn a serious recession in a something more serious.

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  166. boca

    Bruce was fabulous – I’m blanking on the name of the song he opened with, and it’s killing me… I know Moober will know the name.

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  167. DEVILDOG

    Bman Says:

    JakeGint,

    I like your deep attention to research and exploration of the truth. I used to have a hamster that had the same ability level, but then it died in its cage.

    You’re just another prick-brain who goes along with the stupid masses, and judges every book by its cover. That makes you dickless, in my opinion. Use your fucking brain, man. Dig for the truth once in your fucking life, man.

    So true.

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  168. Wiglebot

    The opportunity to make money easily has made people complacent and stupid.
    In the past 15 years, extremely bad ideas made people millions

    People think “making a decision” is the secret.
    Well I like it better now because it matters what decision you make.

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  169. MOOBER

    Boca:

    http://www.youtube.com/watch?v=yAvolRT3sX4

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  170. MOOBER

    Tenth ave freeze out

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  171. little2rich4u

    Not cool FLY not cool!

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  172. j

    Damn

    the Kill file didn’t work.

    I tinkered with it again and it ought to be ok now.

    Dog.

    Could you please comment again as I want to see if it works.

    thanks again.

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  173. dave

    Via Bloomberg – South Korean exports down record 32% in January

    http://www.bloomberg.com/apps/news?pid=20601087&sid=aGJ1xyzCDj2g&refer=home

    Next up China. FXP better move some.

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  174. dave

    poop

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  175. Eye No Stuff

    $3 Trillion is a worry?

    Chump change. Our country’s net worth topped out at $61 Trillion about 2 years ago. $74 Trillion in assets, $13 Trillion in liabilities. Sure, our assets have been stomped. And our net worth is down a bunch. But it’s still going to be around $40 – $45 Trillion when it gets reported again in mid-March. And our debts are still sitting at around $13 Trillion. So, $53 to $58 Trillion in assets stacked up against $13 Trillion in debt.

    $3 Trillion? You’re crying over $3 Trillion? Again, chump change stacked next to our wealth. Grow up. Stop playing chicken little. We’ll be out of this little bump in the road by mid-year.

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  176. Aris

    wow. i can’t believe they wheeled out ed mcmahon to shill for some gold buyer.

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  177. dave

    Cash4Gold is a total scam. Somebody posted a negative review on their blog and Cash4Gold offered them money to remove the post. The pay 1/3 what a pawn shop will offer.

    http://consumerist.com/5142831/cash4gold-offers-blogger-3000-to-remove-negative-post

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  178. boca

    Thank you Moober.

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  179. 300!

    weeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeee…haha

    I love america dame it.

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  180. Pissed in PA

    One fun thing to do when you encounter any insect (including flies) is to decide what kind of mouth parts it has. Usually this means deciding whether it’s a “sucker” or a “chewer.”
    http://www.backyardnature.net/insmouth.htm

    I am reminded of this every time I read the trash mouth stuff here.

    If it wasn’t for Pennsylvania farmers, your restaurants wouldn’t even exist. (Ever think of where your food comes from?) Probably not. We all know what flies eat.

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  181. TraderCaddy

    E*Trade commercials were the best IMO.
    I am still laughing.

    Not only that but Joe “Willie” Namath looks sober. Congrats to him.

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  182. Paradigm Shift

    Etrade baby in the country club locker room was the best

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  183. Atlas Vicious

    Watch 5 seconds and you will watch the whole clip

    http://www.youtube.com/watch?v=NHH-6ZQktRQ

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  184. CDS

    Great article on derivatives from Village Voice of all places. Found it surfing elitetrader.

    http://www.villagevoice.com/2009-01-28/news/what-cooked-the-world-s-economy/

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  185. Dude

    Braveflaps-just curious, are you holding FXP or are you gonna buy some?

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  186. 308

    FLY,

    All the requests are probably getting tired, but if you get a sec can you PPT ticker ESV for me ?

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  187. Alvari40

    Off with their heads! Let the revolution begin.

    http://finance.yahoo.com/news/AP-Investigation-Banks-sought-apf-14218774.html

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  188. The Real Braveflaps
    The Real Braveflaps

    Yahoo message boards > IBC

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  189. Atlas Vicious

    A little more rehashing of CRE sunshine, for kicks:

    According to the ICSC, about 150,000 stores are anticipated to shut down in 2009, which adds to the 150,000 that closed in 2008 and 135,000 in 2007. Normally, 110,000 to 125,000 new stores open per year. At least 700,000 retail jobs will be lost. The opening of new stores will grind to a halt in 2009. Some major retailers that have closed or will close include: Circuit City -728 stores; Linens N Things – 500 stores; Bombay Company- 384 stores; Sharper Image-184 stores; Foot Locker (FL) -140; Pacific Sunwear – 153. Other large retailers are closing underperforming stores and scaling back expansion plans. By 2011, at least 15% of the existing retail base will have gone to retail heaven. With the amount of vacant stores likely to reach in excess of 200,000 and vacancy rates of new malls already at 28%, there will be no need for the construction of new stores for many years.

    Most of the retailers that are closing, lease their locations from mall developers like General Growth Properties (GGP), Simon Properties (SPG), Mills Corp. (MLS), Pennsylvania REIT (PEI), Vornado Realty Trust (VNO). These developers have a quadruple whammy hitting them in 2009. Many borrowed heavily to finance massive mall expansion. The terms of these loans were generally five to seven years. The Wall Street whiz kids and their CDO machine generated the vast preponderance of financing in the last five years. According to commercial real estate expert Andy Miller, the collapse will come more rapidly than the residential collapse.

    By contrast, in the commercial world, the properties are fewer and much bigger. For example, you may have ten properties in a commercial pool that ultimately works its way into CDOs. Those loans are huge. You may have a shopping center loan in there for $25 million and an office building loan for $30 million dollars. As a result, if you have a default on just one of those loans, you can effectually wipe out all of the subordinate tranches. And that is why when you see the problems begin to appear on the commercial front, it’s going to be a much quicker sort of devolution than we saw on the residential side. In the commercial world, most of the financing that happened outside of the apartment business was done by conduits, and there are no more conduits left, and conduits were doing the stupidest loans you could find. They were doing an advertised 80% loan-to-value, which was usually more closely aligned to a 100% loan-to-value. They were dealing with no coverage. They were all non-recourse loans. Many of them were interest-only loans. Those loans are now gone. You can’t refinance them, and if you could, the terms would be onerous.

    Billions of debt needs to be refinanced in the next two years and there is no one willing to make those loans. The major mall developers are so terrified they have made an all out press to get their fair share of the TARP. As retailers go bankrupt, vacancy rates have reached 9.4% for shopping centers, according to CoStar Group. With virtually no demand, rental income is plunging. With cap rates eroding and operating expenses going up, a perfect storm will hit mall developers in 2009.

    The negative feedback loop will accelerate as the year progresses and will spiral out of control by late 2009 and early 2010. The negative feedback loop will lead to major developer bankruptcies and ultimately to Ghost Malls, particularly in the outer suburbs. The positive feedback loop that got us here, made people feel wealthy, smart, and overconfident. It was awesome! The negative feedback loop is going to suck. The collapse of developers will result in more major write-offs by regional banks that financed their expansion. This go around, many smaller regional banks will feel the major pain. The U.S. taxpayer will be required to step up to the plate again and assume financial responsibility for their own lack of spending. Talk about screwed if you do, screwed if you don’t.

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  190. The Fly

    esv

    Technical Breakdown
    Accumulation/Dist. [?] 1
    Price Performance [?] 1
    Relative Strength [?] 1
    Volatility [?] 3
    Volume [?] 2
    Overall Technical Score [?] 0.84
    PPT Recommendation: Strong Sell
    Fundamental Breakdown
    Debt/Equity [?] 5
    PEG Ratio [?] 5
    Price/Book [?] 5
    Price/Sales [?] 5
    Profit Margin [?] 5
    Overall Fund. Score [?] 5.12
    PPT Recommendation: Strong Buy
    Hybrid Score
    Hybrid Score [?] 2.64

    Historical Scores
    How has ESV scored in the past? Click here to find out.
    PPT Recommendation: Sell

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  191. JakeGint

    How is it that a group of Christians fled Europe to avoid persecution because of their beliefs and ended up jump starting a process that not only enslaved millions of Africans but, over time morphed into the whole sale slaughter of indigenous peoples?

    What the faaaacK?

    Read History much? Or just Soviet propaganda?

    Cuervo, you’re starting to piss me off. Your buddies the Islamists are the ones who not only started and propagated the slave trade, but continue it today.

    Eurotrash like your ancestors banked far more coin off selling people from Africa to the colonies. Our South just used them for labor.

    The Puritans had nothing to do with it. Geez.

    ___________

    ___________

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  192. Cuervos Laugh

    You, yourself should look up the Puritans and how they hunted and attempted to slaughter every one of the Pequot.

    You must be angry or you would have not made such incorrect assumptions about me as you did here – normally you are one of the most rational posters on this site.

    At the end of the day, the European settlers to the colonies had their lives saved early on by the same peoples they found less than worth living next to and working alongside.

    At least the Spanish never bore an pretension about their conquests.

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