It’s All So Bad That it’s Utterly Fantastic !

I absolutely love how analysis follows price in our current market environment. As long as prices rise, it can be justified, one way or the other regardless of facts.

All year the European banking system has been teetering on disaster. Yet only the organization of long-range solution in early June was enough to put most everything in working order–and send markets higher.

All year most companies reported some type of earnings or revenue disappointment. Since early June the forecasts have become weaker and weaker for both the economy and corporate earnings. Plus, one of the first and foremost computerized trading firms blew the fuck up.

But throughout it all, the “hope for more stimulus” has commodities, materials and most “important” stocks trending higher.

In fact, since June 4th, it became obvious to economists and market participants alike that the summer slowdown may extend through the year. Yet the major averages have enjoyed a picture perfect, textbook uptrend that is testing yearly highs.

Any and all selling is countered by a bid under the market that seems a mile wide (and not so deep as volume is sickly). So WTF is going on?

The 2011 Playbook is out the window. Remember, this time last year the markets had already spiked and sold off sharply. Now we are back to the 2010 Playbook as everyone has bought (Tepper’d) in anticipation of Bernanke’s Jackson Hole speech where he is expected to add more stimulus to a weakening economy. Never mind that the market had done more for him in anticipation that he could do with “real” digi-money!

Look, you are told that the market has been abandoned by individual investors. That is not true as they are buying each and every month through their 401k’s whether they like it or not. And the Algo programs are set to buy. Exactly why, I cannot say. But it is certain that “buy” comes before “sell”.

It is the final countdown to a Presidential election and investors have their hope way up. It is obvious to me that policy makers are hard at work manipulating “whatever it takes” in order to reinforce the market’s bid. After all, the stock market is their last policy tool.

And many say that the market is “dead meat” when good news finally comes. Guess what? That will be aproximately in the year 2020.

Have a look at the NYSE advance/decline line. It is bullish making new highs with no negative divergences.

$NYAD

The FED bought Trillions of dollars of debt from the banks and they will soon buy more. Yet it will NEVER filter into the real economy nor reduce the debt-load of asset holders. THE FEDS MONEY WILL NEVER HELP THE ECONOMY

I HAVE A PLAN that would BAIL OUT EVERYONE and not JUST BANKS.

GIVE EVERY HEAD OF HOUSEHOLD ONE MILLION DOLLARS. That’s right. There are provisos that I’ll describe in a second.

WHAT ABOUT INFLATION? WON’T A LOAF OF BREAD COST $3000? In the Wiemar Republic and Uganda there was rampant inflation because the money printing was injected everywhere. Everyone got their hands on the newly printed cash and everything was wildly diluted.

WHY ISN’T THAT HAPPENING TO US NOW? You’ll hear many old timers talking about how money printing will assure rampant inflation. It just is not so in this circumstance. You see, the dilutive digi-money created  NEVER SEES THE LIGHT OF DAY into the real economy. IT STAYS LOCKED IN THE CLOSED LOOP OF THE ASSET BASED FINANCIAL SYSTEM. The only inflation suffered is through the rising prices of commodities due to the forced search for return because of ZIRP.

So, give everyone a million dollars under the following conditions:

YOU CANNOT SPEND THE MONEY. IT IS ONLY USED FOR THESE FOUR REASONS:

Mortgage debt. Credit Card debt. College debt. Medical debt.

YOU CANNOT USE THE MONEY FOR ANY OTHER REASON.

Do you see what this does? It is not inflationary because the money does not flood the system. IT IS ALL PAID TO BANKS except the healthcare part.

SO INSTEAD OF ALLOWING JUST BANKS TO DE-LEVER YOU ALLOW THE CONSUMER TO ALSO WIPE THE SLATE CLEAN.

This is unprecidented. It will be called Socialist to the extreme. It will be called ridiculous. But do you have a better way to de-lever individuals, small businesses and banks all at the same time? Especially when the FED will give away trillions anyway?

ADDENDUM: All debt must have been incurred BEFORE January 1, 2012.

THIS IS YOUR STOCK MARKET. watch carefully…NOW WAKE THE FUCK UP!

QE1 saved the markets from going to zero and was good for 550 SPX points, from 666 to 1220 in one year.

QE2 was leaked in August of 2010 and was good for over 300 points, from 1050 to 1365 in six months.

Operation TWIST began in September 2011 combined with a fresh trillion dollars for Europe in December and was good for almost 350 points, from 1075 to 1420 in six months.

The latest “Euro-save” and QE3 was leaked last week at 1330 and has so far brought us over 50 points in less than a week.

If past performance is indicative of future results then there is another 250 points of upside from here. That will put us at record highs just in time for the Presidential Election. Think about that for a second.

Here are the two latest financial scams blasted by email. Nigerians are NOT involved as far as I can tell.

Reprinted here:

From: [email protected]

Hello,

I wish to bring to your notice a request that would be of immense benefit to both of us. Being an executor of WILL, it is possible that we may be tempted to make fortune out of our client situations, when we cannot help it, or left with no better option. The issue I am presenting to you is about my client who WILLS a fortune to his next- of-kin. It was most unfortunate that he died along with his next of kin on the same day in the Shiraz plane crash of Tuesday 10 February 2004.

According to the English law, the fortune is supposed to be bequeathed to the government. However, I don’t belong to that school of thought which proposes that the fortune of unlucky people be given to the government.

My purpose of contacting you is to seek your assistance to act as the benefactor of the WILL, and lay claim to the legacy (12.4million pounds sterling), which this my unfortunate client bequeathed to his next of kin. For now, it is only known to me, as my client had great confidence in me. Everything will be left between you and me. The share would be 40% for you and 60% for me. All I have to do is to amend the WILL stating you as the beneficiary to the 12.4 million pounds sterling. As I am yet to get your consent on this issue, I would prefer not to divulge my full identity so as not to risk been dis-barred from the English Bar. The English Bar considers it a breach of the oath of the English Bar Council. Due to the nature of this business I would prefer we maintain utmost confidentiality.
Due to the risks involve and also the activities of fraudsters now rampanton the Internet, and until I am sure of your consent, full cooperation and genuine willingness to assist me for our mutual benefit.

I would prefer that we maintain correspondence by email. At this s point I want to assure you that your true consent, full cooperation and confidentiality is all that are required for us to take full advantage of this great opportunity. This is an opportunity that people rarely have.

I look forward to hearing from you soon.
Barrister David Bentley

NEXT from [email protected]

Hi,

I am Mr. Scott C. Tooley the Assistant Director Inspection, United Nations Inspections Agent in Des Moines International Airport, Iowa, USA. During my recent withheld package routine check at the Airport Storage Vault, I discovered an abandoned shipment by a Diplomat and, when scanned it revealed an undisclosed sum of money in two Metal Trunk Boxes weighing approximately 25kg each. The consignment was abandoned because the Contents were not properly declared by the consignee as “MONEY” rather it was declared as personal effect to avoid interrogation and also the inability of the diplomat to pay for the United States Non Inspection Charges which is about $3,800 USD.

On my assumption, each of the boxes will contain more than $1 Million to $1.5 Million each and the consignment is still left in our Storage House here at the Des Moines International Airport till date. The details of the consignment including your name, your email address and the official document from the United Nations office in Geneva are tagged on the Metal Trunk boxes.

However, to enable me confirm if you are the actual recipient of this consignment as the assistant director of the Inspection Unit, I will advise you provide your current Phone Number and Full Address, to enable me cross check if it corresponds with the address on the official documents including the name of nearest Airport around your city. Please note that this consignment is supposed to have been returned to the United States Treasury Department as unclaimed delivery due to the delays in concluding the clearance processes so, as a result I will not be able to receive your details on my official email account. So in order words to enable me cross check your details, I will advise you send the required details to my private email address which is ([email protected]) for quick processing and response. Once I confirm you as the actual recipient of the trunk boxes, I can get everything concluded within 3-6 hours upon your acceptance and proceed to your address for delivery.

Lastly, be informed that the reason I have taken it upon myself to contact you personally about this abandoned consignment is because I want to assist you receive your consignment in return for a good compensation, since the consignment has not yet been returned to the United States Treasury Department after being abandoned by the diplomat. Immediately the confirmation is made, I will make every necessary arrangement that is required and arrange for the boxes to be delivered to your doorstep Or I can bring it by myself to avoid any more trouble. But you have to assure me of a 30% share.

Below is my direct telephone number but if you are unable to reach me know that I am on inspection just email me and make sure you include your mobile number so that I can give you a call. I wait to hear from you urgently if you are still alive.

Mr. Scott C. Tooley

Assistance Inspection Director

Des Moines International Airport

5800 Fleur Drive Des Moines, IA, 50321

Tel: (515) 897-0342

Private Email: [email protected]