Goldilocks Economy And The Bears

If I heard it once I heard a thousand times: "We are in a Goldilocks economic environment." As per the childs fable "It's not too hot and it's not too cold". It's just right.Investment advisors are not known for their sophisticated prose. But they can sure lie cleverly. Our economy rests on pallets of fiat money. Since the Great Recession literally trillions of dollars were printed and put into the system at zero interest rates.What's more our constructively criminally irresponsible congress spends trillions on government stimulus. Bottom line question: "What's the real economy minus all this quasi opioid fiat money"? What about the bears? Goldilocks disturbed the bears.She got away in the fable.But in real life today the bears wants Goldi's ass.They will get it.

Attention Stock Market Traders : You Are Not Really Trading

Wonder why trading the stock market these days is so difficult, more so than in the past? Consider this. The contra- party traders that are on the other side of most of your losing trades have access to a real time account of the open interest in stocks. I.E. they can tell how "short" or how "long" the short term trading community is at any moment of the day. If the short term trading community crosses a crfitical point then all that is necessary is for a short term bear or bull raid by these parties with that crucial knowledge to cause the weak hands to stampede.

The take away from these facts is simple. One isn't trading when one is merely a rank and file market speculator. One is really only a witness to a construtive theft by Wall Street gangsters who have influnced congress to change regulations that allow this de facto "front running" orders. Next time you run into a politician or Wall Street broker, insult them. They will understand.

Warren Buffett: Greed Cartoon

Warren Buffett was in Omaha, Nebraska this past weekend reporting to his faithful Berkshire Hathaway shareholders. He rambled for hours. One interesting part of his monologue was his defense of Goldman Sachs behavior leading up to and during the financial meltdown. He said, " Goldman was caught up in the worldwide mania that prevailed throughout the investment world".

But only Goldman has been charged with civil fraud by the S.E.C. And most people don't resort to stealing no matter what mania is prevailing. Of course Buffett has a large stake in Goldman and other financial service companies. So he's no doubt arguing this point based on his positions. All people evolve into caricature. Buffett is no different. His long time quest for money has now made him a cartoon of take-no-prisoners greed.

Socrates & Rock Stars

The trial of Socrates in 399 B.C. began with this posted indictment:

" Socrates is guilty of refusing to recognize the gods recognized by the state and introducing other new divinities. He is also guilty of corrupting the youth. The penalty demanded is death".

The "new divinties" that were the alledged corrupter of youth was his philosophy of questions. This included the questioning of authority which made the powers-that- be in Athens nervous. And so the indictment, the trial and the death of Socrates by drinking the poison hemlock. Now some 2500 years later, the present questioners of all authority take the form of members of all branches of our government, Wall Street manipulators and "rock stars".

No they are not going to drink hemlock as their punishment. But instead they will be bribed, well bonused or sell out stadiums. Somewhere in between the fates of noble Socrates and our present day trash should be the proper reward for questioning authority.

"Driver Carries No Money"

A very few delivery trucks still carry the warning, " Driver Carries No Money". Maybe it's because the illegal immigrant criminals can't read or speak English. Or maybe the hoodlums went through the public school system and didn't bother to learn to read. But because there was no money available there were no losses.

Can we learn a lesson that applies to our politicians and their Congress? It's their Congress because they as a group get more out of government than we outside of government do. The latest legal crime that our politicians are facilitating is the Wall Street bailout. Here we have Wall Street jackals making money on the way up and keeping what they made as their broken schemes and maipulations are transferred to the tax payers on the way down.

The lesson is this. First character is fate. And since our politicians start with little or no admirable character traits we are facing certain disappointment. But add the bad character to the oppotunities presented for self advancement by handling and being part of a $ 3 trillion budget process and one can see how we keep digging deeper holes as government gets larger. There is a direct ratio. And so the app. $ 1 trillion bailout will be handled by printing more money. Money represents the collective character of the issuing nation. Our falling dollar signals what our trading partners think of our character.

What's to be done? How about printing this sign on the halls of Congress, " Politician Carries No Money Only Opinions. All Money Matters Are Left To Individuals"?

What Are We Going To Do About The Wall Street Gangsters?

Starting with Clinton and through the Bush Administration , the Wall Street gangsters got all they wanted. The "For Sale" administrations repealed Depression-era security and banking laws and appointed Wall Street pirate captains to cabinet positions.

But Bear Stearns stock went from $170 to $10. And there are many other brokers and banking stocks on the same trajectory. So criminals with unbridled greed given free roaming access to other peoples money brings self-destruction faster than anyone could have imagined.

No one knows how all this chaos will play out. We all could end up in the streets fighting for our lives and property. If that happens I know who I will be looking for : members of Congress, lawyers and Wall Street operators.