Business / Economic / Financial

[ This link to a somewhat more cumulative blog posts page will precede current days news since most all topics remain current in terms of impact and longer-term effect and can be searched by topical index term more easily. The same is provided since the blog site http://alpeiablog.blogspot.com has just been censored as to size by google which is typical for google as nsa / cia / gov’t shill as more are becoming aware of. The same is true for microsoft, another co. that’s seen their best days and relies on the government to maintain their monopoly. Up to now the better page http://www.scribd.com/alpeia is provided for ease of formatting and clarity thereby while the Washington Post page is the real deal but without formatting http://www.washingtonpost.com/wp- srv/community/mypost/index.html?plckPersonaPage=PersonaComments&plckUserId=alpeia&newspaperUserId=alpeia (Only up to 3-11-11 - (Washington Post) [ Comments COMMENTS ARE CLOSED WHILE WE UPGRADE OUR SYSTEMS ] the comments are no longer archived on their site ) . The following is the cumulative archive of blog posts / topics for 2010 as the new year starts anew: http://albertpeia.com/December312010postsarchive.htm or PDF formatted version
http://albertpeia.com/December312010postsarchive.pdf ]

Working to maintain Arab support (Washington Post) [ Sounds like a plan! … Riiiiight! … I just had to say this here … Doesn't gaddaffy (who forgot to duck) bear a striking resemblance (now, not when he was younger) to David Patterson, former governor of new york (no slight to David Patterson … you've got to be at least a little blind to take an oath upholding law in corrupt, fraudulent, sinkholes new york / mob infested jersey, and america, generally. Mob's man cuomo? What's up with that?)? Or is it just SNL's Fred Armistan's impression of both that leads me to such a conclusion. But this should help: US Army ‘kill team’ in Afghanistan posed for photos of murdered civilians infowars.com Commanders in Afghanistan are bracing themselves for possible riots and public fury triggered by the publication of “trophy” photographs of US soldiers posing with the dead bodies of defenseless Afghan civilians they killed … Russia “Regrets Armed Action” Killing 48 in Libya Kurt Nimmo | In a statement issued today, Russian Foreign Ministry spokesman Alexander Lukashevich said 64 civilians were reported to have been killed and 150 wounded in air strikes on Libya. Lukashevich called on Britain, France and the United States Sunday to stop air strikes on non-military targets. 64 civilians reported killed, 150 wounded in the attacks.

Western Air Strikes Kill 64 in Libya — Health Official

Roscoe Savages Obama: No Congressional Approval For Attack On Libya

UN Powers Violate Their Own Resolution By Targeting Gaddafi [...the obvious attempt to assassinate Gaddafi violates not only U.S. law, but the UN’s own charter.] U.S. and European diplomats move quickly to rally wavering support for military intervention.

[I have been under constant barrage / hack / intrusions which has my antivirus working overtime and flashing saves from a multitude of threats. I think this particular thrust by what I reasonably suspect to be paranoid american / israeli criminals / lunatics is probably affected particularly by this blazing full ‘supermoon’. I thereupon downloaded and installed linux / ubuntu 10.10 (most recent) which also makes available an ‘installer’ (separate download) that facilitates essentially a dual boot (you may choose your operating system for the session – windows or linux/ubuntu – linux/ubuntu comes loaded with very functional software; ie., open office suite, firefox web browser, etc.). Works like a charm and I strongly recommend it. Microsoft’s a dyingosaur american monopoly company which is an american tale and story of america as a pervasively corrupt, defacto bankrupt, dying / declining nation.]

Fed to name banks that took out emergency loans (Washington Post) [Note the skullduggery by the fed which taxpayers are and will further be paying for as pointed out by Dave: M&A, Ben Resuscitate Bulls: Dave's Daily 'If you can keep interest rates this low this long, its inevitable cheap financing can allow companies to start cobbling each other up. Further Ben's policies allow companies like IBM to sell bonds at 1% and buy back shares with the proceeds (total paper bubble-scam). POMO is occurring almost daily and Primary Dealers can buy back their shares and pay dividends with what essentially is taxpayer money--nifty trick eh? With all the geopolitical and nuclear events going on little noticed was Fed "stress tests" of financial institutions to see if they were healthy enough to buy back shares and pay dividends. Making the matter sinister and less transparent is their gag order on the entire process. The Fed also has some toxic waste they'd like to sell you… (see infra)’ Looking Like A Good Time To Sell Into Strength - Harding ‘Many important global stock markets, including China, Brazil, India and Hong Kong, have been in fairly significant corrections since November, down between 12% and 17%. Their major concerns have been rising inflation and the resulting monetary tightening by their central banks to combat the inflationary pressures... It might be wise to lighten up some into strength that may develop over the next few days during the ‘monthly strength period.’ BOB PRECHTER: We're Still In A Massive Bear Market And Stocks Will Crash To New Lows ] The Federal Reserve loses a court battle to keep the information private.

AT&T, T-Mobile USA merger deal questioned (Washington Post) [ Questioned? Is that all? att / sbc is a horribly managed company that can't even do the simplest things well; ie., land lines and dsl thereby, my direct experience. We've seen this all before. When they can't do, they go monopoly bigger with disasterous results. This is an old story with a familiar ending.] A day after AT&T announced it would buy T-Mobile USA to create the biggest wireless carrier in the country, consumer advocates and some members of Congress blast the deal.

Merger a disconnect for consumers (Washington Post) [ Yeah! True enough! I had to drop my land line (att/sbc – jersey/bushland) which I kept for the public listing and which became disfunctional / unusable to the point where it was impacting my DSL line; both of which I dropped in favor of MagicJack (I recommend it) and Time Warner Cable / Internet (also better). Deal to combine AT&T, T-Mobile raises questions (AP) [Questions? Is that all? att / sbc is a horribly managed company that can't even do the simplest things well; ie., land lines and dsl thereby, my direct experience. We've seen this all before. When they can't do, they go monopoly bigger with disasterous results. This is an old story with a familiar ending. AP - AT&T's surprise announcement that it plans to acquire T-Mobile USA will force federal regulators to confront a difficult antitrust question: Can American consumers get good wireless service at a ... ] OPINION | Your choice for wireless service would get smaller should AT&T carry out its plan to buy T-Mobile USA.

In Libya, rifts open in NATO coalition (Washington Post) [ Rift? Murky? New rifts? Sounds more like profound disappointment that a feeding frenzy analogous to those BP oil eating bacteria in the gulf is not imminent . After all, the so-called nato coalition, almost to a nation, is both defacto bankrupt and oil-starved. ] Three days of heavy airstrikes highlight the murky nature of the coalition involved in the effort.

Libya, Hypocrisy and Betrayal by the United Nations: US-NATO’s New War in North Africa of Death and Destruction Infowars.comThe bombing of Libya will begin on or nearly to the day, of the eighth anniversary of the beginning of the destruction of Iraq, 19th March, in Europe.

A People Betrayed: West Launches New War for Oil in Libyainfowars.com And so now, another war. Led by the United States and the religious extremists in Saudi Arabia, the UN Security Council voted to intervene on behalf of one side in the Libyan civil war. Having already armed and trained Moamar Gadafy’s armies and security forces, the Western war-profiteers have now decided to do the same for his opponents.

I was somewhat nonplussed by the suckers’ market bounce these past two (now three) days, and then, ‘Eureka!’ … there it was, staring down for all to see … a blazing full moon. Yes, they have such affects on lunatics as on wall street and it certainly doesn’t take much to push the frauds on wall street over the edge and into their predisposed fraudulent madness. In fact, you could say, ‘it’s in their genes’. This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b*** s*** alone and today’s short-covering / suckers’ rally provides an especially great opportunity to sell / take profits while you still can since there's much worse to come! M&A, Ben Resuscitate Bulls: Dave's Daily 'If you can keep interest rates this low this long, its inevitable cheap financing can allow companies to start cobbling each other up. Further Ben's policies allow companies like IBM to sell bonds at 1% and buy back shares with the proceeds (total paper bubble-scam). POMO is occurring almost daily and Primary Dealers can buy back their shares and pay dividends with what essentially is taxpayer money--nifty trick eh? With all the geopolitical and nuclear events going on little noticed was Fed "stress tests" of financial institutions to see if they were healthy enough to buy back shares and pay dividends. Making the matter sinister and less transparent is their gag order on the entire process. The Fed also has some toxic waste they'd like to sell you… (see infra)’ Looking Like A Good Time To Sell Into Strength - Harding ‘Many important global stock markets, including China, Brazil, India and Hong Kong, have been in fairly significant corrections since November, down between 12% and 17%. Their major concerns have been rising inflation and the resulting monetary tightening by their central banks to combat the inflationary pressures...So was this week’s stumble the beginning of a more serious correction? The events and reports this week did provide more evidence that the stock market may be ahead of reality regarding prospects for the economy, and therefore corporate earnings, going forward, which should at least limit the market’s upside potential. Limited upside potential equals more downside risk? It might be wise to lighten up some into strength that may develop over the next few days during the ‘monthly strength period.’ BOB PRECHTER: We're Still In A Massive Bear Market And Stocks Will Crash To New Lows

Global Meltdown? [ Looks like … feels like … seems like … Yes, it is! A global meltdown! ] Nyaradi ‘Global meltdown. Scary words, indeed. However, as we look around our world, it certainly does appear that a global meltdown is in progress.At Wall Street Sector Selector, we are nearly fully positioned on the “short” side of global markets and so were fortunate to have had a pleasant day, unlike so many investors and citizens of our small world. I sincerely hope and pray that many pleasant days lie ahead for the people of Japan, Bahrain and Libya.Of course, the big news is in Japan, where the struggle to contain the potential of nuclear meltdown goes on after the tsunami and earthquake. I can’t add much to this discussion other than to say that from a human standpoint, we need to do what we can to help our allies in their time of need.I travel often to Japan and this is a modern Western country now without power and water and basic essentials for many days, and to fully understand this unthinkable tragedy, just try to imagine a 30 foot wall of water coming through your neighborhood, entire neighborhoods and towns disappearing, followed by the threat of nuclear catastrophe and no water and power for days on end during these cold early spring nights.Aside from the human catastrophe, the economic toll of this event will be felt for years. Some analysts estimate that Japan will have to import an additional 200,000 barrels of oil per day to make up for the lost output of the damaged nuclear plants, while insurance and GDP losses are only guestimates at this early hour but will be surely significant. Across the globe, unrest continues in the Middle East as Bahrain is under martial law, the Libyan government continues to quell the revolution (while the United Nations dithers) and Portugal’s credit rating is downgraded and totters again on the edge of financial collapse. At home, Congress continues putting band aids on our national budget deficit while home sales plunge to new lows…’

4 Phases of a Bear Market Meshkati NEW YORK (TheStreet) -- 'Almost exactly one month ago, I described the 4 phases of a bull market cycle. My reason for writing the article was to warn market participants of the impending disaster that tends to strike right around the time a certain class of investor (termed "phase 4" investors) becomes involved in the financial markets...'

Deal to combine AT&T, T-Mobile raises questions (AP) [Questions? Is that all? att / sbc is a horribly managed company that can't even do the simplest things well; ie., land lines and dsl thereby, my direct experience. We've seen this all before. When they can't do, they go monopoly bigger with disasterous results. This is an old story with a familiar ending. AP - AT&T's surprise announcement that it plans to acquire T-Mobile USA will force federal regulators to confront a difficult antitrust question: Can American consumers get good wireless service at a ...

M&A, Ben Resuscitate Bulls: Dave's Daily 'If you can keep interest rates this low this long, its inevitable cheap financing can allow companies to start cobbling each other up. Further Ben's policies allow companies like IBM to sell bonds at 1% and buy back shares with the proceeds. POMO is occurring almost daily and Primary Dealers can buy back their shares and pay dividends with what essentially is taxpayer money--nifty trick eh? With all the geopolitical and nuclear events going on little noticed was Fed "stress tests" of financial institutions to see if they were healthy enough to buy back shares and pay dividends. Making the matter sinister and less transparent is their gag order on the entire process. The Fed also has some toxic waste they'd like to sell you. Monday, AT&T announced it will buy rival T-Mobile (including Katherine Zeta-Jones?) for $39 billion in cash (financed no doubt) and stock. This energized bulls overall. Meanwhile a few Tomahawk missiles here and there got the Libya situation tamped-down from hot to probably a long drawn-out quagmire. Gadhafi isn't happy meaning he might turn loose some sleeper cell revenge; but, that's for another day. In Japan things still remain "white hot" despite a cool-down in two reactors but troubles with others. But, both news from Japan (Buffett said "buy, buy, buy") and MENA receded to the background as markets rallied. Existing Home Sales fell sharply which can only be termed as bullish since bulls believe the Fed will keep rates friendly to stocks. One thing set aside by pundits and the media are building margin pressures being felt by companies. This will need to be passed to consumers and end users. You saw this with Nike's recent report. Should this continue, it will cause consumer inflation worries no matter how the data is rigged or spun. Stocks rallied sharply primarily on the M&A news while commodity markets, including oil, precious metals, soared. Bonds fell as did the sacrificial lamb--Uncle Buck...'

Japanese Meltdown Will Inhibit U.S. Recovery Hansen 'Modern economic theory implies spending for any reason is good. The rebuilding following a disaster would logically be a plus economically. Destruction triggers rebuilding - an economically positive event.

Immediately following an economic disaster, there is dislocation. Modern supply chains are disrupted. Transport is problematic. Like a tsunami, the inter-linkage of modern supply chains ripple through all products. Japan is an exporting nation. There are products made only in Japan, or disruption of production of a product where Japan is a significant producer, or the need for Japan to import a product normally not traded internationally. In other words, a ripple will go through availability and prices - both positive and negative.

The global supply chains will adapt and improvise. What will go on inside Japan will be different.

Japan will have lost forever six nuclear power plants units. A loss of six nukes leaves a huge hole in a nation's ability to produce energy. It will take many years to replace permanently - and the short term solution is building conventional fossil power plants. Manufacturing needs energy. But I fear energy may be a small component of the fallout for this event.

In the short term, this is a true black swan event for investors.

Modern nuke design currently on the drawing boards is presumably fail safe. On the other hand, almost all existing worldwide plants require active measures (core cooling) to shut down the plant. Having been a start-up engineer on a GE Mark1 nuke - I have not heard the type of information I would need to make an assessment on how this crisis will unfold. But what images I see indicate man is no longer able to control the events at some of the units.

Throwing water on an overheated plant provides steam as a carrier to spread radioactive contamination. Plant operators are already selecting the best of the terrible options available. Observation tells that we are far beyond the design solutions available to cool the core. Hail Mary plays are in progress.

The plant systems themselves are fairly robust - but conditions in the plant with heat, water and radiation have been unmonitored - and we have heard that operators have no clue if the monitoring systems are reading correctly. Status is unknown. Let me assure you, if your monitoring systems are suspect - the control systems are suspect. The plant likely requires electrical jumpers to actuate cooling systems which must be installed by humans in a radiated environment.

Even if pumps can start, what about the operated valves? Are the correct ones open? Are pressure levels too high for actuation? If the remote operated valves cannot cycle, can human's get close enough to the valves to manually cycle? What are the conditions in the piping in the suppression pools post venting - which is the Achilles Heel of Mark 1's? The suppression pools for the runaway reactors maybe dry due to a rupture.

So many options are available if the operators have electric power and radiation is low and access to the plant was not restrained. Radiation levels alone have removed most options from the table as crews cannot spend enough time in the plant to execute modifications. All the core cooling systems are closed loop. There is likely debris in these loops if reports of meltdown is true - and this debris will likely take out the pumps if they start. At this point, the systems need modification to open these cooling loops directly to the sea - it is one of the better terrible options.

The systems now require some modifications to bring the plants under control - and that means humans must be able to work in the reactor building - and possibly some time inside of the primary containment structure. This does not seem likely based on the commentary and pictures.

Likely, the current thinking may be towards building a Chernobyl type sarcophagus - a concrete coffin. How do you build one without killing those who build it?

Further, it is sad the spent fuel rods are kept in the plant (due to resistance to reprocessing by the greens) and will increase the potential for radiation release during the disaster - and make subsequent cleanup more difficult. This thought continues to rattle around in my brain - clean up of a radiation contaminated environment is slow. At this point, I am beginning to lean towards a very slow cleanup and reconstruction.

Investors are too optimistic on Japan's future in the next 6 months to a year. The situation, based on current wisdom, will never be as bad as Chernobyl, but it is already worse than Three Mile Island because of 6 units in close proximation.

Certainly, over the next few years, Japanese GDP will rise caused by the reconstruction. GDP theory is that building things - regardless of reason or usefulness - is good. This reconstruction flies in the face of the basic rationale of GDP which is intended to count productive use of the economy. The only productive use is the slice of the rebuilding which is an improvement over the old.

Money spent is money spent. The economy, in a broader sense - is simply money flows. Money moving is good for business - productive or not.

Japan, however, is not suffering from structural unemployment - but suffering from massive sovereign debt and deflation. For now, this disaster will not help the ills facing the pre-disaster Japanese economy.

But money flows are money flows - and money flowing is the real economy, productive or not.

The question: Is what is good for business good for the economy? Whatever the answer, in the medium term - disasters are good for business after absorbing the initial losses.

With the loss of life and hardships the Japanese citizens now face - it is hard to see any economic good coming out of this disaster.

Economic News this Week:

Econintersect’s economic forecast for March 2011 points to a moderately improving economy with all segments of its non-monetary index positive. This week the Weekly Leading Index (WLI) from ECRI improved from an upwardly revised 6.8% to 7.1%. This level implies the business conditions six months from now will be approximately the same or slightly improved compared to today.

click to enlarge http://static.seekingalpha.com/uploads/2011/3/20/saupload_ecri_11_march_2011.jpg

Initial unemployment claims in this week’s release dropped slightly. The data for the last two months as been quite noisy, and it remains important to follow the four week moving average for analysis of unemployment to smooth out the reporting idiosyncrasies. Overall, the loss of jobs is improving – and is now roughly the same as mid-2008.

The data released this week was positive and consistent with Econintersect’s January, February and March forecasts of slightly improving economic conditions overall. The economy, similar to this period last year at this time, is gaining strength. [chart]http://static.seekingalpha.com/uploads/2011/3/20/saupload_z_unemployment1_3_18_11.png

Weekly Economic Release Scorecard:
Item	Headline	Analysis
February Leading Economic Indicator	Up	Not Indicating real economy dynamics
March Philly Fed Survey	Up	New Orders at record levels
February Industrial Production	Down	In this case down is up – manufacturing improved
February Consumer Price Index	Up 2.1%	Energy & food driving forces
February Producer Price Index	Up 5.6%	Again driven by food and energy
February New Housing Permits	Down	The data is bad and the trend remains down
February Sea Container Counts	Up	Although up, data is much less good in February
February Import/Export Prices	Up	USA is exporting inflation
January Home Prices	Down	CoreLogic says prices fell 5.7%
March Empire State Survey	Up	Everyone's eyes are on Japan
Exchange Rate Appreciations		Currency appreciations can cure global imbalances
Global Crisis		What we think are important relate to energy
January JOLTS		Shows why January Jobs Report was so bad
Oil Prices		How Libyan unrest will play out in energy prices
Dividend Paying Stocks		How dividends stabilize portfolio returns
Market Volatility		Jeff Miller questions if it Is time to head to the door?
U.S. Equities		Eric McCurdy says market broke support levels
India		Ajay Shay suggests how to break bad governance
MERS Crisis		William Black points out unintended consequences of mortgage industry actions
U.S. Dollar		Michael Pettis discusses the future of the world reserve currency
Economic Theory		L Randall Wray discusses reasons economics has gone astray

...'

10 U.S. Companies With A Heavy Reliance On Japanese Sales

Dangerous and Fluid Times, Hostile Market Environment Nyaradi The news flow this week certainly reminded me of the old colloquialism, “raining cats and dogs,” as startling headlines bombarded us from all quadrants of the world.

At Wall Street Sector Selector, we remain in a defensive posture, expecting lower prices ahead.

On My Radar

The Point and Figure Chart displays the technical damage done this week as a “sell” signal was generated and now the bearish price objective is 1160. Support is found at 1250 and again at 1220 while the long term uptrend remains intact. Overhead resistance is now at the 1300-1320 level. Click to enlarge: http://static.seekingalpha.com/uploads/2011/3/20/saupload CHART_spxpf031911.png

chart courtesy of stockcharts

So it appears that we are clearly in a short term “correction” within a still ongoing uptrend.

Depending upon your outlook, this could be a good opportunity to “buy the dip” or there is further downside potential to at least 1220 or beyond to the 1160-1180 level.

My view is that there is currently more risk than reward in the market.

The View From 35,000 Feet

It was another week of almost unbelievable news as events unfolded in Japan, Libya and Yemen which all created intense volatility in global equity and currency markets.

Japan was at the top of the news, of course, and while the situation surrounding the nuclear accident seems to be stabilizing over the weekend, there appears to be a long way to go before victory can be claimed in what is being called the worst nuclear accident since Chernobyl.

The death toll exceeds 7,000 with more than 10,000 still missing, and the economic toll is likely to be huge, as well, as we are bound to see supply chain disruptions and delays and the very likely possibility of a return to recession in the world’s 3rd largest economy.

The extent of the nuclear accident remains unknown and it’s likely that the winds will be carrying radiation to Tokyo by the end of the weekend which could generate a whole new series of economic and human misery and danger.

In Libya, Gaddafi declared a cease fire after the U.N. threatened imminent military action, but then apparently continued his invasion of the rebel stronghold in Benghazi. Clearly this is a fluid and rapidly changing situation, but what is certain is that Libyan oil production is dropping as foreign companies have pulled out their employees and major oil facilities have sustained major damage.

Bloomberg reported that production has declined to 400,000 bbl/day and “could reach a halt.” Bloomberg

A protest in Yemen on Friday resulted in more than 40 deaths and reportedly thousands of injuries and a state of emergency is now in effect in the country where 20% of the population lives on $2/day.

China raised their bank reserve requirements for the 3rd time this year while at home, the Federal Reserve said that growth is on “firmer footing,” and that employment is “improving gradually.”

Economic reports were largely mixed this week with positive news coming from March Empire Manufacturing Index, the NAHB Housing Index, initial and continuing unemployment claims, and the Philly Fed. On the negative side of the ledger, Housing Starts, Building Permits and Industrial Production all disappointed in February.

What It All Means

The times, of course, remain dangerous and fluid and we can expect more volatility ahead depending upon how future weeks’ news flow unfolds and if the “cats and dogs” deluge continues.

Technically, major damage was inflicted on markets this week and so a resumption of the recent rally will be a challenge for the bulls in what can only be described as a hostile environment. Finally, the rapidly approaching conclusion of “QE2” in June also casts more uncertainty on an already uncertain environment.

The Week Ahead

It’s a relatively quiet week of economic reports which probably a good thing given the drama unfolding around the world.

Monday: February Existing Home Sales

Wednesday: February New Home Sales

Thursday: Initial Unemployment Claims, Continuing Unemployment Claims, February Durable Goods

Friday: Q4 GDP 3rd Estimate, March Michigan Sentiment

Sector Spotlight

Winners: (NYSEArca: ICLN) Global Clean Energy, (NYSEArca: TLT) 20 Year Bond

Losers: (NYSEArca: FEFN) Far East Index, (NYSEArca: NUCL) Nuclear Eenrgy Index

Wishing you a great weekend wherever you may be...'

Congressional Budget Office Projects $9.5 Trillion In Deficits By 2021, $2.3 Trillion More Than Obama’s Estimate Today the Congressional Budget Office slammed the president’s unrealistic budget presented recently, concluding that the cumulative deficit over the decade between 2011-2021 would be $9.5 trillion, or $2.3 trillion higher than that estimated by the White House.

US Cost of Living Hits Record, Passing Pre-Crisis High One would think that after the worst financial crisis since the Great Depression, Americans could at least catch a break for a while with deflationary forces keeping the cost of living relatively low. That’s not the case.

Oil prices soar as UN approves no-fly zone in Libya Crude oil prices rose in Asian trade on Friday, after the United Nations (UN) approved the imposition of a no-fly zone over Libya, raising fresh fears over oil exports from the country.

Obama Budget to Produce $9.5 Trillion Deficit: CBO CNBC | Obama’s February budget submission is enacted into law it would produce deficits totaling $9.5 trillion over 10 years.

NY Fed intervenes in Yen currency trade Nikkei | The NY Fed bank is confirming its first currency intervention for a decade.

Our Enemy, the Fed by Ron Paul Ron Paul | There is perhaps no topic as important to the average American today as rising prices.

Libya Oil Chief Says Crude Production ‘Could Reach a Halt’ Due to Conflict Libya’s oil production fell to less than 400,000 barrels a day after foreign companies pulled out their staff, the chairman of the country’s state-run National Oil Corp., Shokri Ghanem, said in a televised media conference from Tripoli.

(3-21-11) Dow 12,037 +178 Nasdaq 2,692 +48 S&P 500 1,298 +19 [CLOSE- OIL $103.38 (-54% for year 2008) (RECORD TRADING HIGH $147.27) GAS $3.57 (reg. gas in LAND OF FRUITS AND NUTS $3.91 REG./ $3.93 MID-GRADE/ $4.05 PREM./ $4.13 DIESEL) / GOLD $1,430 (+24% for year 2009) / SILVER $36.25 (+47% for year 2009) PLATINUM $1,747 (+56% for year 2009) Metal News for the Day / DOLLAR= .70 EURO, 80 YEN, .60 POUND STERLING, ETC. (How low can you go - LOWER)/ http://www.federalreserve.gov/releases/h15/update 10 YR NOTE YIELD 3.33% …..… AP Business Highlights ...Yahoo Market Update... T. Rowe Price Weekly Recap – Stocks / Bonds / Currencies - Domestic / International This Is a Secular Bear Market and The End of Buy and Hold … and Hope MARKET MANIPULATION AND HOW THE LATEST BUBBLE-FRAUD PRE-COMING CRASH IS BEING ACCOMPLISHED 3-11-10 The bull market that never was/were beyond wall street b.s. when measured in gold Property Values Projected to Fall 12% in 2010 Jan 31, 2010 THE COMING MARKET CRASH / CORRECTION 1-28-10 Maierhofer (01-15-10) 11 Clear Signs Economy Sinking Economic Black Hole 1-22-10: 20 Reasons Why The U.S. Economy Is Dying And Is Simply Not Going To Recover 1-7-10 Crash is coming! ‘WORST ECONOMIC COLLAPSE EVER’ Must Read Economic / Financial Data This Depression is just beginning The coming depression… thecomingdepression.net The Next Wave of Collapse is Coming Sooner than you think Sliding Back Into the Great Depression ABSOLUTELY, ABSURDLY, RIDICULOUS! SELL / TAKE PROFITS WHILE YOU CAN SINCE MUCH, MUCH WORSE TO COME!

National / World

Russia “Regrets Armed Action” Killing 48 in Libya Kurt Nimmo | So-called coalition bombs Gaddafi’s Bab Azizia residence with human shields. In a statement issued today, Russian Foreign Ministry spokesman Alexander Lukashevich said 48 civilians were reported to have been killed and 150 wounded in air strikes on Libya. Lukashevich called on Britain, France and the United States Sunday to stop air strikes on non-military targets. 48 civilains reported killed, 150 wounded in the attacks.

Western Air Strikes Kill 64 in Libya — Health Official Sixty-four people have been killed and 150 others wounded in the air strikes launched by western forces since Saturday, Libya’s health officials said on Sunday.

Roscoe Savages Obama: No Congressional Approval For Attack On Libya “The United States does not have a King’s army. President Obama’s unilateral choice to use U.S. military force in Libya is an affront to our Constitution.”

UN Powers Violate Their Own Resolution By Targeting Gaddafi As the contrived moral high ground behind the absurdly hypocritical “humanitarian” pretext of the attack on Libya collapses in the wake of Russia, the Arab League and the African Union condemning the US-led NATO bombings, so does any pretense of legality that the “no fly zone” resolution holds, because the obvious attempt to assassinate Gaddafi violates not only U.S. law, but the UN’s own charter.

Fukusima Radiation Levels Being Covered Up Radiation levels observed in food and milk grown and produced significant distances from the stricken nuclear power plant in Fukushima do not correlate with readings supposedly found in the immediate vicinity, suggesting that the real levels are being withheld from the public

US Army ‘kill team’ in Afghanistan posed for photos of murdered civilians Commanders in Afghanistan are bracing themselves for possible riots and public fury triggered by the publication of “trophy” photographs of US soldiers posing with the dead bodies of defenceless Afghan civilians they killed.

Libya denies report of Gaddafi son’s death Media outlets affiliated with the Libyan opposition reported Monday that the son of Muammar Gaddafi, Khamis Gaddafi, was killed in a suicide attack on the Bab al-Azizia barracks in Tripoli.

West in “medieval crusade” on Gaddafi, Putin says Russian Prime Minister Vladimir Putin said on Monday a U.N. resolution authorizing military action in Libya resembled “medieval calls for crusades” after Western forces launched a second wave of air strikes.

China intensifies condemnation of Libya air strikes The Middle East is an important source of oil for China. On the weekend, Saudi Arabia’s Aramco announced its latest proposal to supply crude to a refinery in the southwest of China, where Beijing is building an oil pipeline that slices through Myanmar.

Neo-Cons Applaud Obama’s War, Call For Occupation Of Libya While applauding Barack Obama’s involvement of U.S. forces in air strikes, influential neo-con Bill Kristol told Fox News that America should go further than merely bombarding Libya and send in ground troops as “peacekeepers,” embroiling the bankrupt United States in yet another foreign occupation while enabling Muslim extremists fighting Gaddafi to rise to power.

Bilderberg To Meet In Switzerland James P. Tucker Jr. | Bilderberg will be gathering in St. Moritz, southeastern Switzerland, June 9-12.

Obama’s Bay of Pigs in Libya: Imperialist Aggression Shreds UN Charter Webster Tarpley | Webster Tarpley’s newest article on the state of affairs in Libya.

Let’s Send Ann Coulter to Fukushima Kurt Nimmo | Faux conservative argued exposure to radiation reduces cancer.

UN Powers Violate Their Own Resolution By Targeting Gaddafi Paul Joseph Watson | Attack on Libya is illegal under both U.S. law and UN charter.

Gaddafi Calls For Immediate Cease Fire; Arab League Splits From West Over Libya Bombing The new world order has just lost its contrived “moral high ground” for the bombardment of Libya under fake “humanitarian” auspices. This clearly indicates that the civilian deaths claimed by Gaddafi did in fact take place as a result of the air strikes.

Libyan TV parades “civilian casualties” of allied raids Libyan state television has broadcast pictures of what it says are civilian victims of the allied bombing.

Libya: Another War, Another Pack of Lies The corporate-financiers are dangerously flirting with their entire official narrative collapsing, as their progressive, Peace-Prize wearing puppet President Obama and the “radical reformer” David Cameron lead yet another war based on an Iraq-style pack of lies.

Nations bombing Libya are ‘terrorists,’ Gadhafi says CNN | ibyan ruler Moammar Gadhafi called the allied nations bombing his country “terrorists” Sunday.

U.S. Government Backs Libyan Al-Qaeda While Hyping Terror Attacks Inside U.S. Paul Joseph Watson | Obama administration fearmongers about Libyan-backed terrorists carrying out reprisal attacks in America.

Here Are The Downstream Effects From The Fukushima Catastrophe Zero Hedge | As the world awakes, Japan discloses another round of good news/bad news about the Fukushima crisis.

WWIII: One Nation at a Time

King Hypocrite Obama: There Will be Blood in Libya Kurt Nimmo | Soon after assuming office, Barry Obama put “yes we can” to work killing Pakistani children.

Another Obama War Lew Rockwell | For weeks, American officials have been decrying Gaddafi’s bloody attacks on his people, but does the US really have a problem with dictatorship of his sort?

Mainstream media halts accurate reporting on Japan’s worsening nuclear catastrophe; disinfo campaign now underway Mike Adams | The mainstream media today halted nearly all accurate reporting of the worsening situation in Japan.

5 Theories Why We’re Experiencing Increased Earthquake Activity Infowars | Here are five theories as to the cause of increased earthquake activity.

More War Propaganda? Downed Plane Presented As Evidence Gaddafi Is Not Observing Ceasefire Steve Watson | Gaddafi is not observing a ceasefire, paving the way for Western military action against Libya.

Chossudovsky: Libya no-fly zone means war RT | Michel Chossudovsky says western nations are interested in Libyan oil and other resources.

The Great Anglo-American Gaddafi Deception Ron Holland | The fiat US dollar only survives as the world’s reserve currency because the majority of the oil producers demand payment in dollars.

King Hypocrite Obama: There Will be Blood in Libya On Friday, the teleprompter reader in chief and NCAA basketball picker Obama bellied up to the podium in the East Room of the White House and read his script. He said Libyan thug Moammar Gadhafi has to stop attacking civilians or face military retaliation.

U.S. Tomahawk Cruise Missiles Hit Targets in Libya; State Media Claims Civilian Casualties WESTERN warplanes had bombed civilian targets in Libya’s capital today, causing casualties, state media said. “Civilian targets are being bombed by the ‘Crusader’ enemy fighter planes in Tripoli,” Libyan state television said.

More War Propaganda? Downed Plane Presented As Evidence Gaddafi Is Not Observing Ceasefire A crashed Libyan jet is cited by the media as proof there is no ceasefire, paving the way for Western military action. But there are a few questions that need to answered here.

Rebels shoot down fighter jet as Gaddafi’s forces ‘break ceasefire and tanks roll into Benghazi’ Colonel Gaddafi’s proclaimed ceasefire was in tatters this morning after a fighter jet was shot down in flames by rebels over Benghazi.

Chossudovsky: Libya no-fly zone means war The UN Security Council adopted a resolution establishing a no-fly zone over Libya. Michel Chossudovsky, director of Centre for Research on Globalization, says western nations are interested in Libyan oil and other resources, not protecting the people and that is why they care more about the fight in Libya, than elsewhere in the Arab world.

World War III: One Nation at a Time The globalists are infiltrating, corrupting, and turning the entire planet, one nation at a time in a combined scientific-geopolitical dictatorship that will be effectively impossible to reverse once it is completed.

You Can View Official EPA Radiation Readings Update: The EPA’s servers have either been crashed by too much traffic generated by this post, or the EPA has taken down the radiation data. Check back later to see if the EPA’s servers are working.

Paris Hilton prosecutor arrested for buying cocaine (Reuters)

Drudgereport:DEFIANT

Gadhafi 'may become target of air strikes'...
Libya claims missiles struck Gadhafi's complex...
Arab League criticizes...
Waning support from China, Russia...
Boehner to Obama: Define mission...
Lib Dems in uproar...
Gadhafi: 'To my Dear Obama, our son'...
Saudis take to streets to demand release of prisoners held without trial...

NEWSWEEK: 38% fail basic citizenship test...

WAR NO. 3: US FIRES MISSILES INTO LIBYA
U.S., allies launch broadest international military effort since Iraq war...
Fire 112 Tomahawk missiles into Tripoli, Misrata...
LIVE: 'Operation Odyssey Dawn'...
Gadhafi to speak on 'the Crusaders' aggression'...[1]
MARCH 19, 2011
OBAMA: 'Today we are part of a broad coalition. We are answering the calls of a threatened people. And we are acting in the interests of the United States and the world'...

MARCH 19, 2003
BUSH: 'American and coalition forces are in the early stages of military operations to disarm Iraq, to free its people and to defend the world from grave danger...

Anti-war protesters arrested near White House...

OBAMA DOES RIO...
Met with violent protests...
Cancels Public Speech in Rio Square...
Cancels Press Conference...
...picks UConn to win 3rd straight women's basketball championship...

Farrakhan to Obama: 'Be Careful, Brother. Who The Hell Do You Think Your Are?'

RADIOACTIVE IODINE DETECTED IN TOKYO DRINKING WATER...
Nearby Milk, spinach radiated, too...
FOOD SALES HALT CONSIDERED...

Japan Nuclear Disaster Caps Decades of Faked Reports...

Overseas official trips amidst crises (Washington Post) [ It’s really quite incredible indeed. It was the espn basketball brackets that got me … so stereotypical … I mean what are they thinking, or not. Riiiight! Not! Well, gates is gone and as a cia man, what he says means absolutely nothing … they kind of pride themselves on that … On the receiving end you gotta think they’re already checking air force one’s return trip schedule hoping to ‘hold out’ and escape potential invasion themselves … After all, what nation in the world can or does trust desperate, meaningfully lawless, pervasively corrupt, defacto bankrupt america … oh yeah, maybe fellow war crimes nation israel and orwellian, me-too old-biddy britain. ] As war clouds gathered over Libya on Friday, the U.S. commander in chief and his defense secretary were each preparing to leave Washington to visit places far removed from any military operations.

Gaddafi’s forces enter Benghazi as U.S., allies plan military action (Washington Post) [ Ron Paul: Libya Airstrikes Unconstitutional – Only Congress Can Declare War Infowars / Libya, Hypocrisy and Betrayal by the United Nations: US-NATO’s New War in North Africa of Death and Destruction The bombing of Libya will begin on or nearly to the day, of the eighth anniversary of the beginning of the destruction of Iraq, 19th March, in Europe. A People Betrayed: West Launches New War for Oil in Libya And so now, another war. Led by the United States and the religious extremists in Saudi Arabia, the UN Security Council voted to intervene on behalf of one side in the Libyan civil war. Having already armed and trained Moamar Gadafy’s armies and security forces, the Western war-profiteers have now decided to do the same for his opponents. Another Illegal War Of Slaughter Couched In “Humanitarian” Doublespeak Those who were asking what the “international community” planned to do in response to the escalating global crisis surrounding the nuclear plant in Fukushima now have their answer – bomb Libya. As if the world wasn’t experiencing enough turmoil and devastation, another illegal war of aggression has been launched in a volatile region, couched in the retching Orwellian doublespeak of ‘no fly zones’ and ‘humanitarian’ rhetoric. ] Obama warns that Libyan leader faces imminent military action unless troops withdraw from disputed cities, but assaults on rebel-held towns continue.

Pressure on nuclear regulators heats up in U.S. (Washington Post) [ You can bet that g.e. will be feeling some heat … and the courts in Japan, unlike those in the pervasively corrupt u.s. where g.e. would probably have their way regardless of merits, will be very unsympathetic.] The Union of Concerned Scientists released a study citing 14 “near-misses” at domestic plants last year.

Senators call on Obama to join deficit reduction talks (Washington Post) [ I truly believe they have totally lost touch with reality (Davis ‘… This is how we pay off our current debts and I think bondholders are simply happy to get anything out of a country that admits it owes $15Tn (1/4 of global GDP) but probably owes closer to $60Tn (entire global GDP) in the form of unfunded liabilities. The funniest thing about this (and you have to laugh) is to see Conservative pundits get on TV and talk about how we need to cut $100Bn worth of discretionary spending to "fix" this (while continuing to spend $1Tn on the military and $1Tn on tax cuts for the top 1% each year). Furthermore, I think they substantially underestimate the ‘geese and gander’ effect (ie., Ellen Bente Oliver ‘Salary of House/Senate...$174,000. Salary of Speaker of House...$223,500. Salary of Majority/Minority Leaders...$193,400. Average US Salary...$33,000 to $77,000. Maybe our elected officials should make an average salary too...It's a time of sacrifice after all...Pass along, post on your own page if you agree…’). Fears over Japan impact grow (Washington Post) [ As indeed they must, in keeping with some semblance of reality. ] Some analysts predict the tragedy could dramatically disrupt the fragile global economic recovery. [ You can bet that some bets already placed regarding Japan’s prospective action in the markets; ie., buying or rolling over government securities of such as the u.s., particularly, now fall under that foreboding platitude, ‘all bets are off’. This is an economically / financially staggering event and found the stock market rise of the last two days incomprehensible until I realized as set forth immediately hereafter: I was somewhat nonplussed by the suckers’ market bounce these past two days, and then, ‘Eureka!’ … there it was, staring down for all to see … a blazing full moon. Yes, they have such affects on lunatics as on wall street and it certainly doesn’t take much to push the frauds on wall street over the edge and into their predisposed fraudulent madness. In fact, you could say, ‘it’s in their genes’. This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b* s* alone and today’s short-covering / suckers’ rally provides an especially great opportunity to sell / take profits while you still can since there's much worse to come! ] The act is a powerful sign of bipartisan willingness to abandon long-held positions on entitlement spending and taxes.

Fears over Japan impact grow (Washington Post) [ As indeed they must, in keeping with some semblance of reality. ] Some analysts predict the tragedy could dramatically disrupt the fragile global economic recovery. [ You can bet that some bets already placed regarding Japan’s prospective action in the markets; ie., buying or rolling over government securities of such as the u.s., particularly, now fall under that foreboding platitude, ‘all bets are off’. This is an economically / financially staggering event and found the stock market rise of the last two days incomprehensible until I realized as set forth immediately hereafter:

I was somewhat nonplussed by the suckers’ market bounce these past two days, and then, ‘Eureka!’ … there it was, staring down for all to see … a blazing full moon. Yes, they have such affects on lunatics as on wall street and it certainly doesn’t take much to push the frauds on wall street over the edge and into their predisposed fraudulent madness. In fact, you could say, ‘it’s in their genes’. This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b*** s*** alone and today’s short-covering / suckers’ rally provides an especially great opportunity to sell / take profits while you still can since there's much worse to come! Looking Like A Good Time To Sell Into Strength - Harding ‘Many important global stock markets, including China, Brazil, India and Hong Kong, have been in fairly significant corrections since November, down between 12% and 17%. Their major concerns have been rising inflation and the resulting monetary tightening by their central banks to combat the inflationary pressures...So was this week’s stumble the beginning of a more serious correction? The events and reports this week did provide more evidence that the stock market may be ahead of reality regarding prospects for the economy, and therefore corporate earnings, going forward, which should at least limit the market’s upside potential. Limited upside potential equals more downside risk? It might be wise to lighten up some into strength that may develop over the next few days during the ‘monthly strength period.’ BOB PRECHTER: We're Still In A Massive Bear Market And Stocks Will Crash To New Lows

Global Meltdown? [ Looks like … feels like … seems like … Yes, it is! A global meltdown! ] Nyaradi ‘Global meltdown.Scary words, indeed. However, as we look around our world, it certainly does appear that a global meltdown is in progress.At Wall Street Sector Selector, we are nearly fully positioned on the “short” side of global markets and so were fortunate to have had a pleasant day, unlike so many investors and citizens of our small world. I sincerely hope and pray that many pleasant days lie ahead for the people of Japan, Bahrain and Libya.Of course, the big news is in Japan, where the struggle to contain the potential of nuclear meltdown goes on after the tsunami and earthquake. I can’t add much to this discussion other than to say that from a human standpoint, we need to do what we can to help our allies in their time of need.I travel often to Japan and this is a modern Western country now without power and water and basic essentials for many days, and to fully understand this unthinkable tragedy, just try to imagine a 30 foot wall of water coming through your neighborhood, entire neighborhoods and towns disappearing, followed by the threat of nuclear catastrophe and no water and power for days on end during these cold early spring nights.Aside from the human catastrophe, the economic toll of this event will be felt for years. Some analysts estimate that Japan will have to import an additional 200,000 barrels of oil per day to make up for the lost output of the damaged nuclear plants, while insurance and GDP losses are only guestimates at this early hour but will be surely significant.Across the globe, unrest continues in the Middle East as Bahrain is under martial law, the Libyan government continues to quell the revolution (while the United Nations dithers) and Portugal’s credit rating is downgraded and totters again on the edge of financial collapse. At home, Congress continues putting band aids on our national budget deficit while home sales plunge to new lows…’

Gadhafi Does a Head Fake: Dave's Daily ‘He declared an immediate cease fire to perhaps buy some time; however, he didn't stop his troops advance. The rebels also didn't stop fighting back correctly believing he was lying. It's unclear if his forces can retake important Benghazi before multinational forces enforce the "no fly zone." The UN vote was interesting with all BRIC countries plus Germany abstaining. Russia and China don't want to be on the world team and have their own agendas of global domination. The rest are a harder read. Markets were higher early on the belief Libya fighting would subside, Japan's reactor issues would be resolved and hopeful signs from GE (later a bust), CSCO and bank dividend schemes. However, as the news developed, Libya proved it wasn't about to stop its aggression and the Japan reactor issues remained heightened causing markets to decline into the close. There wasn't any economic data to speak of although the government noted (admitted?) the unemployment was higher in most of 372 markets in January throwing doubt on previous claims of lower data. The Fed is also continuing its POMO actions although Friday's buying was low. Bonds were somewhat weaker, Uncle Buck is homing in on all-time lows, commodities overall were higher as were precious metals. In the end nothing much mattered given quad-witching antics which have little to do with the news or much else--it's just a spectator sport. Volume remains elevated especially with quad-witching on Friday. Breadth per the WSJ was positive relieving much short-term oversold conditions…’

Why To Distrust The Snap-Back Rally Harding ‘Thankfully the news out of Japan regarding the potential for nuclear meltdowns has subsided, and global stock markets have rallied for two days in relief. Many on Wall Street are claiming the correction in global stock markets is therefore over, and it’s a buying opportunity.

Let’s think this through and not react too quickly. The human toll and economic damage in Japan was from the earthquake, not the subsequent potential problems with nuclear plants.

Let’s consider first what was going on prior to the catastrophe.

Global markets were in quite significant corrections. For instance Brazil, China, India, and Hong Kong, topped out in November and were down 12% to 17% prior to the earthquake. Markets in Europe and the U.S. peaked in mid-February and were down 3% to 4%.

So an important question is whether the factors that had global markets already topped out prior to the earthquake have gone away. Unfortunately, the answer is that they remain in place, and if anything have worsened, and the aftermath of the disaster in Japan will likely add to them.

Those continuing problems are:

Rising global inflation.
Increasingly aggressive monetary tightening by important countries like Brazil, China, India, Hong Kong, and smaller emerging markets, in efforts to tackle the rising inflation, moves likely to also slow their economic growth.
Uncertainties created by political uprisings in oil-producing countries.
The on-going European debt crisis.
Austerity programs in European countries aimed at tackling the debt crisis, including cuts in government spending and jobs.
The coming cutbacks in U.S. federal, state, and local government spending to tackle their record budget deficits.
The approaching end of the Fed’s QE2 pump-priming program.

Now added to those problems is the massive natural disaster in the world’s third largest economy, Japan, a very important part of the global manufacturing and high-tech supply chain. It has come at the worst time for the struggling Japanese economy. The damage has already forced the closing of factories by Nissan, Toyota, and Sony, as well as several oil refineries, while large agricultural areas were wiped out, which can only add to concerns about rising food prices. Japan’s problems will affect other global economies.

Optimists are pointing to reconstruction as being a positive for Japan’s economy, noting that six months after the Kobe earthquake in Japan in 1995 almost all of Kobe’s factories and infrastructure had been rebuilt. They are leaving out that Japan’s stock market declined for six months after the smaller Kobe earthquake and during the re-building stage, losing 32% of its value. At the present time, the Japanese market is down only 15%.

Meanwhile, European central banks have now acknowledged inflation concerns, and the UK says it could begin raising interest rates as soon as its April meeting.

The uprisings in oil-producing countries have not gone away, and indeed have become more violent. In Libya, Dictator Muammar Gaddafi launched military operations this week to crush demonstrators, and the U.N. authorized military attacks against Gaddafi forces to assist the demonstrators. The previously peaceful uprising in Bahrain became violent after Bahrain’s royal family called in military forces from Saudi Arabia to help it put down the revolt.

The uprisings in Egypt, Tunisia, Libya, Bahrain, and Yemen, and unrest in Syria, Iran, and Saudi Arabia, reportedly even have leaders in Russia, Cuba, and China nervous.

In the European debt crisis, Portugal’s credit rating was downgraded further this week, and its Prime Minister said he will quit if Portugal’s parliament does not consent to his proposed austerity measures.

And on it goes. The previous problems that had global stock markets topped out on fears of rising inflation and concerns about the sustainability of the fragile global economic recovery, have not gone away, and if anything worsened while attention was diverted by the disaster in Japan.

On the technical analysis side, the additional five-day market plunge following the disaster in Japan had markets short-term oversold, and likely to see a short-term rally off the oversold condition, but it’s questionable whether a bottom is in yet, particularly in the U.S.

At their peaks, global stock markets, including that of the U.S., were extremely overbought above their long-term 200-day moving averages, to a degree that almost always results in a decline at least down to retest the support at that moving average. In their corrections, some of which began in November, others in mid-February, markets in Asia and Europe did decline to that moving average. In several cases the support did not hold and they broke below it.

But the U.S. market so far has pulled back only 6%, leaving it still 7% above its 200-day m.a.

Additionally, investor sentiment in the U.S. does not indicate a bottom. This week’s poll of its members by the American Association of Individual Investors (AAII) shows bearishness has increased to 40.1%, but that is still well below the 55% to 65% bearishness usually seen prior to market lows.

So for now anyway, I still like the safe haven of treasury bonds, which I wrote up in my column last weekend. The iShares 20-yr bond etf, symbol TLT, has gained more than 5% in the five weeks since its early February low. And I still like gold bullion and the SPDR Gold etf, symbol GLD. Gold is the long-time hedge against rising inflation. I even like the idea of some downside positions against the U.S. market, and I’m looking at some toppy looking stocks that might be short-sale candidates.’

Stocks Achieve Back-to-Back Gains, But Nasdaq's 2.7% Drop Leads Weekly Declines Midnight Trader ‘4:13 PM, Mar 18, 2011 --

NYSE up 51.16 (+0.6%) to 8,116.02
DJIA up 83.93 (+0.7%) to 11,859
S&P 500 up 5.48 (+0.43%) to 1,279
Nasdaq up 7.62 (+0.3%) to 2,644

GLOBAL SENTIMENT

Hang Seng up 0.07%
Nikkei up 2.72%
FTSE up 0.64%

DOWNSIDE MOVERS
(-) NKE continues evening decline that followed earnings miss.
(-) AN downgraded.
(-) AEO downgraded.

UPSIDE MOVERS
(+) LO down as FDA weighs restrictions on menthol cigarettes.
(+) EL reaffirms earnings guidance that's below Street view.
(+) CRA sold to Quest Diagnostics for $8 a share.
(+) F initiated with Buy rating.
(+) RIMM initiated with Buy rating.
(+) GE finding some traction after early-week post-quake drop.

MARKET DIRECTION

Stock averages end firmer though in the middle to lower end of the day's range. Weekly losses follow Japan's earthquake, one week ago today, and its nuclear aftermath. The Nasdaq ends down 2.7%; the S&P off 1.9%; the DJIA also lower.

Reports of the government's call for a ceasefire in Libya, gains for U.S. banking shares amid revived dividends and global help to cool the Japanese yen combined to lift stocks Friday. Stocks did give back some of their earlier gains in afternoon trading shortly after President Obama said the U.S. and some of its allies were prepared to launch military action in Libya if the fighting there doesn't cease.

Markets moved higher early on in response to Group of Seven action to curb a surging yen though Japan's nuclear risks remain in focus and the situation is still volatile. There were no U.S. economic reports scheduled.

Light, sweet crude oil for April delivery finished down 0.4%, or $0.35 to $101.07 a barrel. In other energy futures, heating oil was down 1.33% to $3.02 a gallon while natural gas was down 0.02% to $4.15 per million British thermal units. Meanwhile, gold futures rose on safe-haven investing despite positive developments in Libya. Gold for April delivery finished up 0.9% to $1,416.10 an ounce. In other metal futures, silver was up $2.43 to $35.09 a troy ounce while copper traded up 0.08% to $4.34.

The U.S. dollar index (DXY) is down 0.48% to $75.67.

JPMorgan Chase & Co (JPM), Wells Fargo & Co (WFC) and other major U.S. banks plan to boost their dividend payments after passing stress tests evaluated by the Federal Reserve, they announced today.

The dividends, and announcements of share buybacks in some cases, signal that regulators view banks as being healthy enough to withstand the remaining uncertainties in the economy, after the banking system has been profitable for a year, Reuters said.

In company news:

Cisco (CSCO) is higher after it says it will pay its first ever quarterly cash dividend to shareholders. A quarterly dividend of $0.06 per common share will be paid on April 20 to all shareholders of record as of the close of business on March 31. Future dividends will be subject to Board approval, it said.

Amgen (AMGN) says the Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA) has adopted a negative opinion for the company's application to extend the marketing authorization in Europe for Vectibix to include combination with chemotherapy to treat patients with wild-type KRAS metastatic colorectal cancer (mCRC).

General Mills (GIS) has entered into exclusive talks with French private equity group PAI Partners and French dairy cooperative Sodiaal SA to buy a 50% stake in the entity which owns yogurt-maker Yoplait SAS and affiliated companies. As part of that offer, General Mills would take a controlling stake in the operating company. The U.S. company did not put any figure on the deal, saying negotiations are in progress. General Mills said via a partnership with Sodiaal, it plans to expand and grow the Yoplait brand and business in France, Europe and globally. General Mills licensed the Yoplait brand in 1977, and is its largest licensee.

Morgan Stanley (MS) shares are higher after Bloomberg reported that the investment bank is beginning to win more business from smaller private equity firms after forming a group to concentrate on the sector. The bank trying to make more in fees from buyouts, the report said.

Teva (TEVA) says the Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA) adopted a positive opinion for NOMAC-E2, an investigational contraceptive pill combining 1.5 mg of 17-beta-estradiol with 2.5 mg of nomegestrol acetate in a 24/4 monophasic regimen. The CHMP issued its positive opinion following a review of data derived from clinical trials evaluating NOMAC-E2.

Qualcomm Inc. (QCOM) is in talks with several firms, including Bharti Airtel Ltd., India's largest mobile-phone operator, as it seeks to advance a planned exit from the four ventures housing its broadband-wireless licenses, Dow Jones Newswires reported, citing a person familiar with the matter. Bharti Airtel's planned bid for the assets of the U.S. mobile-phone chip maker appears to be the most advanced, although any actual transaction may take at least another two to three months, the report said.’

Housing Starts and the New Bear Market [ Actually, this has been a manipulated bull (s***) cycle in a (continuing) secular bear market. ] Suttmeier ‘Housing Starts and Building Permits disappoint. Part of my bear market theme is that Federal Reserve policy has failed to help cure the original catalyst that began the bear market of October 2007 to March 2009. Homebuilder stocks peaked in mid-2005, community banks peaked at the end of 2006, and regional banks including those considered "too big to fail" topped out in March 2007. Housing remains depressed, and community banks continue to fail on "Bank Failure Friday!" You would think that the zero to 0.25% federal funds rate in effect since December 16, 2008 would have helped, but it has not. You would think that QE2, which comes to an end on June 30 would have helped, but it has not. Meanwhile the FOMC ignores the rising cost of living on Main Street USA. Ben Bernanke needs to be replaced as Fed Chairman!

Wednesday morning we learned that housing starts and building permits for new home construction posted unexpected declines. Housing Starts plunged 22.5% from January to a seasonally adjusted 479,000 units, the second slowest pace on record. Building Permits fell 8.2% to a record low pace of 517,000. How come the zero percent money from the Fed and QE2 cannot get to the cause of "The Great Credit Crunch," which continues since March 2007?

The New Bear Market – Most of my readers know that I was bearish beginning in March 2007 led by housing and financials. The broader market continued to rally into October 2007. With the Dow above 14,000 I predicted that the next 2000 Dow points would be down, not up. I became a bull on March 5, 2009 for a 40% to 50% bear market rally. Sure I missed some of the rally in 2010, but in September called for Dow 11,235 by election day on the prospect of a Republican victory, and re-iterated that call in early-October in anticipation of QE2. My call for 2011 is that strength would fail below 12,600, and I predicted the top on February 18 at 12,391.29 for both fundamental and technical reasons. We had a ValuEngine Valuation Warning with 68.6% of all stocks overvalued. Today only 49.6% of stocks are overvalued. Today 11 of 16 sectors are overvalued, but just one by double digits. The Dow Industrial Average was extremely overbought on its weekly chart. A close on Friday below 11,856 will pull momentum (12x3x3 weekly slow stochastic) below 8.0, which to me is the confirmation of a cycle high. On February 18 this reading was 9.5. My first downside objective is my annual risky level at 11,491. Given a close in March below 11,491 the downside is to semiannual value levels at 10,959 and 9,449.

10-Year Note – (3.210) This yield declined to 3.139 on a continued flight to quality on Wednesday closing in on the 200-day simple moving average which lines up with my monthly risky level at 3.015 and 3.002. Today’s pivot is 3.264 with weekly value level at 3.634.

Comex Gold – ($1396.7) The 50-day simple moving average is $1379.6 with my annual value level at $1356.5, and my weekly pivot at $1404.1, which was tested on Wednesday. Monthly and quarterly pivots are $1437.7 and $1441.7 with my semiannual risky level is at $1452.6.

Nymex Crude Oil – ($98.28) Held my monthly value level at $96.43 on Wednesday and stayed below my annual pivots at $99.91 and $101.92. My daily pivot is $98.23 with semiannual and quarterly risky levels at $107.14 and $110.87.

The Euro – (1.3890) It appears that my weekly risky level at 1.4089 is a barrier. My quarterly value level is 1.3227 with a daily pivot at 1.3846, and weekly, semiannual and monthly risky levels at 1.4089, 1.4624 and 1.4637.

All daily charts for the major equity averages are negative – The Dow is below 50-day simple moving average at 12,011 with declining daily momentum (12x3x3 daily slow stochastic). There are no oversold measures as yet. Wednesday’s low was 11,555.48…’ Housing Starts Point to Weakening Housing Market Suttmeier ‘Housing Starts, Building Permits Disappoint -- Part of my bear market theme is that Federal Reserve policy has failed to help cure the original catalyst that began the bear market of October 2007 to March 2009. Home builder stocks peaked in mid-2005, community banks peaked at the end of 2006, and regional banks including those considered “too big to fail” topped out in March 2007. Housing remains depressed, and community banks continue to fail on Bank Failure Friday! You would think that the zero to 0.25% federal funds rate in effect since December 16, 2008 would have helped, but it has not. You would think that QE2, which comes to an end on June 30, would have helped, but it has not. Meanwhile the FOMC ignores the rising cost of living on Main Street, USA. Ben Bernanke needs to be replaced as Fed Chairman!

Wednesday morning we learned that housing starts and building permits for new home construction posted unexpected declines. Housing starts plunged 22.5% from January to a seasonally adjusted 479,000 units, the second slowest pace on record. Building permits fell 8.2% to a record low pace of 517,000. How come the zero percent money from the Fed and QE2 cannot get to the cause of “The Great Credit Crunch," which continues since March 2007?

The New Bear Market -- Most of my readers know that I was bearish beginning in March 2007 led by housing and financials. The broader market continued to rally into October 2007. With the Dow above 14,000 I predicted that the next 2000 Dow points would be down, not up. I became a bull on March 5, 2009 for a 40% to 50% bear market rally. Sure I missed some of the rally in 2010, but in September called for Dow 11,235 by Election Day on the prospect of a Republican victory, and reiterated that call in early October in anticipation of QE2. My call for 2011 is that strength would fail below 12,600, and I predicted the top on February 18 at 12,391.29 for both fundamental and technical reasons. We had a ValuEngine Valuation Warning with 68.6% of all stocks overvalued. Today only 49.6% of stocks are overvalued. Today 11 of 16 sectors are overvalued, but just one by double digits. The Dow Industrial Average was extremely overbought on its weekly chart. A close on Friday below 11,856 will pull momentum (12x3x3 weekly slow stochastic) below 8.0, which to me is the confirmation of a cycle high. On February 18 this reading was 9.5. My first downside objective is my annual risky level at 11,491. Given a close in March below 11,491 the downside is to semiannual value levels at 10,959 and 9,449.

10-Year Note -- (3.210) This yield declined to 3.139 on a continued flight to quality on Wednesday closing in on the 200-day simple moving average which lines up with my monthly risky level at 3.015 and 3.002. Today’s pivot is 3.264 with weekly value level at 3.634.[chart]

Comex Gold -- ($1396.7) The 50-day simple moving average is $1379.6 with my annual value level at $1356.5, and my weekly pivot at $1404.1, which was tested on Wednesday. Monthly and quarterly pivots are $1437.7 and $1441.7 with my semiannual risky level is at $1452.6. [chart]

Nymex Crude Oil -- ($98.28) Held my monthly value level at $96.43 on Wednesday and stayed below my annual pivots at $99.91 and $101.92. My daily pivot is $98.23 with semiannual and quarterly risky levels at $107.14 and $110.87.[chart]

The Euro -- (1.3890) It appears that my weekly risky level at 1.4089 is a barrier. My quarterly value level is 1.3227 with a daily pivot at 1.3846, and weekly, semiannual and monthly risky levels at 1.4089, 1.4624 and 1.4637.[chart]

All daily charts for the major equity averages are negative -- The Dow is below 50-day simple moving average at 12,011 with declining daily momentum (12x3x3 daily slow stochastic). There are no oversold measures as yet. Wednesday’s low was 11,555.48.[chart]

Key Levels for the Major Equity Averages

The Dow Industrial Average (11,613) -- My annual value level is 11,491 with a daily pivot at 11,746, and weekly and monthly risky levels at 12,400 and 12,741.
The S&P 500 (1256.9) -- My annual value level is 1210.7 with my quarterly pivot at 1262.5, my daily pivot at 1266.3, and weekly and monthly risky levels at 1327.3 and 1381.3. A weekly close below 1284 shifts the weekly chart profile to negative.
The NASDAQ (2617) -- My daily pivot is 2611 with weekly, quarterly and monthly risky levels at 2753, 2853 and 2926. Semiannual and annual value levels are 2363, 2335 and 2172.
The NASDAQ 100 (NDX) (2203) -- My daily pivot is 2201.8 with weekly, quarterly, and monthly risky levels at 2333, 2438 and 2499. Semiannual value levels are 2006.8 and 1927.6.
Dow Transports (4950) -- My quarterly value level is 4671 with a weekly pivot at 4995, and daily and annual pivots at 5051 and 5179.
The Russell 2000 (781.90) -- My quarterly value level is 765.50 with daily and annual pivots at 778.07 and 784.16, and a weekly pivot at 805.37, and monthly risky level at 850.79. Semiannual value levels are 631.62 and 567.74.
The Philadelphia Semiconductor Index (SOX) (412.44) -- My daily value level is 396.87 with weekly, monthly and quarterly risky levels at 447.74, 453.89 and 465.93. Semiannual and annual value levels are 296.89, 270.98 and 259.30. ‘

NY Fed intervenes in Yen currency trade Nikkei | The NY Fed bank is confirming its first currency intervention for a decade.

Our Enemy, the Fed by Ron Paul Ron Paul | There is perhaps no topic as important to the average American today as rising prices.

Michigan passes ‘financial martial law’ bill Politico | Michigan legislators have approved a bill authorizing state-appointed emergency financial managers to break union contracts.

US Cost of Living Hits Record, Passing Pre-Crisis High One would think that after the worst financial crisis since the Great Depression, Americans could at least catch a break for a while with deflationary forces keeping the cost of living relatively low. That’s not the case.

Oil prices soar as UN approves no-fly zone in Libya Crude oil prices rose in Asian trade on Friday, after the United Nations (UN) approved the imposition of a no-fly zone over Libya, raising fresh fears over oil exports from the country.

Debt Problem: Who In The World Is Going To Buy The Billions Of Dollars Of Debt The U.S. Government Is Constantly Pumping Out Now? Is the U.S. government on the verge of a massive debt problem? For years, the U.S. government has been able to borrow all the money that it has wanted to at extremely low interest rates.

G-7 Sells Yen in First Joint Intervention in More Than Decade The Group of Seven will jointly intervene in the foreign exchange market for the first time in more than a decade after Japan’s currency soared, threatening its recovery from the March 11 earthquake.

(3-18-11) Dow 11,858 +83 Nasdaq 2,643 +7 S&P 500 1,279 +5 [CLOSE- OIL $102.39 (-54% for year 2008) (RECORD TRADING HIGH $147.27) GAS $3.57 (reg. gas in LAND OF FRUITS AND NUTS $3.91 REG./ $3.93 MID-GRADE/ $4.05 PREM./ $4.13 DIESEL) / GOLD $1,418 (+24% for year 2009) / SILVER $35.23 (+47% for year 2009) PLATINUM $1,717 (+56% for year 2009) Metal News for the Day / DOLLAR= .70 EURO, 80 YEN, .62 POUND STERLING, ETC. (How low can you go - LOWER)/ http://www.federalreserve.gov/releases/h15/update 10 YR NOTE YIELD 3.26% …..… AP Business Highlights ...Yahoo Market Update... T. Rowe Price Weekly Recap – Stocks / Bonds / Currencies - Domestic / International This Is a Secular Bear Market and The End of Buy and Hold … and Hope MARKET MANIPULATION AND HOW THE LATEST BUBBLE-FRAUD PRE-COMING CRASH IS BEING ACCOMPLISHED 3-11-10 The bull market that never was/were beyond wall street b.s. when measured in gold Property Values Projected to Fall 12% in 2010 Jan 31, 2010 THE COMING MARKET CRASH / CORRECTION 1-28-10 Maierhofer (01-15-10) 11 Clear Signs Economy Sinking Economic Black Hole 1-22-10: 20 Reasons Why The U.S. Economy Is Dying And Is Simply Not Going To Recover 1-7-10 Crash is coming! ‘WORST ECONOMIC COLLAPSE EVER’ Must Read Economic / Financial Data This Depression is just beginning The coming depression… thecomingdepression.net The Next Wave of Collapse is Coming Sooner than you think Sliding Back Into the Great Depression ABSOLUTELY, ABSURDLY, RIDICULOUS! SELL / TAKE PROFITS WHILE YOU CAN SINCE MUCH, MUCH WORSE TO COME!

National / World

Massive Japanese Storm Headed for U.S. West Coast Infowars | A massive storm in the Pacific is headed directly for the U.S. and Canadian West Coast.

Infowars has some of the only Potassium Iodide in the U.S. [ Before you go freaking out, let me just say that if you’re that concerned, read the label of your multi-vitamin which probably contains more than sufficient quantities of potassium iodide; mine do (I use two Rite Aid multis – inexpensive multi and their more expensive male whole source with vitamins, minerals, herbs / no iron) ] Infowars | Infowars has taken action and secured some of the only remaining dose-ready potassium iodide (KI) in the country.

Nuclear plant boss breaks down crying, admits radiation levels deadly Mail Online | Officials said rating was raised after they realized the full extent of the radiation leaking from the plant.

When An ill Wind Blows From Afar! (Like from Japan, Iran or N. Korea) Shane Connor | Surviving radioactive fallout & radiation contamination from Japan, Iran or North Korea.

Reports Of “Harmless” Radiation Reaching California Are a Whitewash Paul Joseph Watson | Bulk of radioactive particles from Fukushima blasts will not reach west coast until Saturday to Monday.

Ron Paul: Libya Airstrikes Unconstitutional – Only Congress Can Declare War This is black letter law, not some aspirational statement by our Founders. Their intent was indisputably clear: Congress alone, not the Executive Branch, has the authority and the obligation to declare war if hostilities are to be initiated against a foreign state that has not attacked the United States.

Globalist Crimes Against Humanity Expanded Over Libya In an unsurprising move that was all but inevitable, the UN has decided to enforce a no-fly zone over Libya to save the globalist-backed rebellion sputtering in failure and bordering on a “Bay of Pigs” disaster. Canadian, US, French, Arab, and UK jets are already reported to be preparing for the operation.

MOX plutonium fuel used in Fukushima’s Unit 3 reactor two million times more deadly than enriched uranium Largely absent from most mainstream media reports on the Fukushima Daiichi nuclear disaster is the fact that a highly-dangerous “mixed-oxide” (MOX) fuel in present in six percent of the fuel rods at the plant’s Unit 3 reactor.

Obama tells Americans: Do NOT prepare for radioactive fallout, just listen to your government In a truly incredible example of the complete disregard for the health and safety of the American people, President Obama today told Americans that they should NOT prepare for radiation from the possible meltdown of the Fukushima nuclear power plant in Japan.

Nuclear Crisis in Japan Follows Decades of Faked Safety Reports, Accidents The unfolding disaster at the Fukushima nuclear plant follows decades of falsified safety reports, fatal accidents and underestimated earthquake risk in Japan’s atomic power industry.

Libya, Hypocrisy and Betrayal by the United Nations: US-NATO’s New War in North Africa of Death and Destruction The bombing of Libya will begin on or nearly to the day, of the eighth anniversary of the beginning of the destruction of Iraq, 19th March, in Europe.

A People Betrayed: West Launches New War for Oil in Libya And so now, another war. Led by the United States and the religious extremists in Saudi Arabia, the UN Security Council voted to intervene on behalf of one side in the Libyan civil war. Having already armed and trained Moamar Gadafy’s armies and security forces, the Western war-profiteers have now decided to do the same for his opponents.

Saving Money? Not In This Economy – 22 Facts That Prove Middle Class Families Are Being Savagely Crushed The 22 facts that you are about to read are all real, although admittedly they are hard to believe. The sad truth is that millions of middle class families in the United States today are being savagely crushed by this economy.

“Humanitarian Wars are Good for Business”…. Speculators Applaud A war directed against Libya would push the price of crude oil up to abysmally high levels, potentially triggering a global inflationary spiral, which would result in the impoverishment of large sectors of the World population.

Bloodbath in Yemen: No UN Action for the Peace Laureate’s Pal The regime in Yemen will not face military intervention by the UN to stop its slaughter of unarmed civilians. There will be, at most, a few stern words from the Obama Administration urging “restraint on both sides” — even as the Peace Laureate carries on his secret bombing campaigns and covert military operations in Yemen.

U.S. Arming Libyan Rebels Via Egypt If all goes well for the globalists, this servile proxy Arab conglomerate, after being marshaled to raid Libya on behalf of the West, will then be organized and ready to turn its attention east toward Iran at the behest of their globalist masters.

War Propaganda Begins: Media Reports Gaddafi is “Collecting Bodies” To Blame Deaths On UN Bombing Libyan government officials say they have declared a ceasefire. Libyan rebels say the ceasefire is a hoax. The Western military industrial establishment says it will send fighter jets anyway.

Nuclear plant chief weeps as Japanese finally admit that radiation leak is serious enough to kill people The boss of the company behind the devastated Japanese nuclear reactor today broke down in tears – as his country finally acknowledged the radiation spewing from the over-heating reactors and fuel rods was enough to kill some citizens.

Reports Of “Harmless” Radiation Reaching California Are a Whitewash Exactly as we predicted would happen, authorities have cited “miniscule” levels of radiation reaching California as an excuse with which to downplay the threat to Americans of fallout crossing the Pacific from Japan, completely ignoring the fact that the bulk of the radiation from the two blasts at the Fukushima power plant will not reach the west coast until Monday.

Globalists To Bomb Libya Despite Cease-Fire; US Deploys More Ships The United States will deploy additional amphibious ships to the Mediterranean, the military said on Friday, as part of the Obama administration’s plans for responding to ongoing violence in Libya.

Another Illegal War Of Slaughter Couched In “Humanitarian” Doublespeak Those who were asking what the “international community” planned to do in response to the escalating global crisis surrounding the nuclear plant in Fukushima now have their answer – bomb Libya. As if the world wasn’t experiencing enough turmoil and devastation, another illegal war of aggression has been launched in a volatile region, couched in the retching Orwellian doublespeak of ‘no fly zones’ and ‘humanitarian’ rhetoric.

Drudgereport: US SHIPS DEPLOY; LIBYA ACTION
FRENCH, BRIT JETS SET FLY OVER
Japan govt finally admits radiation leak serious enough to kill...
Drives back crews attempting to rein in reactor...
'Very Grave'; Winds Shift...
AP: 'Minuscule fallout' reaches USA...
REUTERS: 'Very low radiation' detected on west coast...
Rads Whitewash?
Storage pools big worry... HEAD FAKE: Libya Renews Attacks After Cease-Fire Offer...
BOMBS POWER STATION IN REBEL STRONGHOLD...
Claims 'No Bombardments' Since Cease-Fire...
US: Gaddafi still on the march... DOJ to white males who are bullying victims: Tough luck...

Cost of Living Hits Record...
Unemployment rises in nearly all metro areas...

Obama understates deficits by $2.3 trillion...

Top big-wave surfer killed in wipeout off California... REPORT: Pentagon Overpaid Billionaire Oilman By Up to $200 Million... Fmr. Dean of White House Press Corps Still Talking About 'the Jews'…[Come on! It’s true of course … quite amazingly since it’s been self-destructive and self-defeating for presidencies and the nation generally … look at the mideast policies, no-pros on the wall street frauds with those ‘goldman’ boys ‘sniffin’ around, etc. ]...

Helen Thomas to Playboy: Jews 'own the White House'

Helen Thomas is not sorry, nor were the comments that ended her career accidental.

“I knew exactly what I was doing – I was going for broke,” she told Playboy in the magazine’s April interview. “I had reached the point of no return. You finally get fed up … I finally wanted to speak the truth.”

Thomas, of course, left her perch as the dean of the White House press corps last year after telling a rabbi and blogger that Jews should “get the hell out of Palestine” and “go home” to “Poland, Germany and America and everywhere else.” Her family is Lebanese and she grew up in the Detroit area, home to one of the country’s densest populations of Arab Americans.

She spoke to Playboy at length about the situation in Palestine, her feelings on American support of Israel, and her take on Jews.

But her most controversial comments echoed ones she’s made before about the influence of Jews in American life, which have contributed to her name being stripped from journalism awards.

"[The Jews are] using their power, and they have power in every direction,” she told Playboy. “Power over the White House, power over Congress … Everybody is in the pocket of the Israeli lobbies, which are funded by wealthy supporters, including those from Hollywood. Same thing with the financial markets. There's total control … It isn't the 2 percent. It's real power when you own the White House, when you own these other places in terms of your political persuasion. Of course they have power. [To the interviewer] You don't deny that. You're Jewish, aren't you?"

She also had some controversial views about memorializing the Holocaust.

"There's nothing wrong with remembering it, but why do we have to constantly remember?" she said. "We're not at fault. I mean, if they're going to put a Holocaust museum in every city in Germany, that's fine with me. But we didn't do this to the Jews. Why do we have to keep paying the price and why do they keep oppressing the Palestinians? Do the Jews ever look at themselves? Why are they always right? Because they have been oppressed throughout history, I know. And they have this persecution. That's true, but they shouldn't use that to dominate."

New York Times to charge for access (Washington Post) [ They’re dreamin’. Who’d be dumb enough to pay for regurgitated, filtered news? ] Some users soon have to pay for Web and mobile access.

G-7 to intervene in currency markets (Washington Post) [ Well there you go … nothing to worry about … now that the G7 is intervening … riiiiight! After all, their track record has been surperlative in precipitating this global meltdown (see infra). ] Major industrialized nations will combine in a rare coordinated currency intervention to keep the Japanese yen from rising too sharply in value in the wake of the country’s recent natural disaster.

This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b*** s*** alone and today’s short-covering / suckers’ rally provides an especially great opportunity to sell / take profits while you still can since there's much worse to come! Looking Like A Good Time To Sell Into Strength - Harding ‘Many important global stock markets, including China, Brazil, India and Hong Kong, have been in fairly significant corrections since November, down between 12% and 17%. Their major concerns have been rising inflation and the resulting monetary tightening by their central banks to combat the inflationary pressures...So was this week’s stumble the beginning of a more serious correction? The events and reports this week did provide more evidence that the stock market may be ahead of reality regarding prospects for the economy, and therefore corporate earnings, going forward, which should at least limit the market’s upside potential. Limited upside potential equals more downside risk? It might be wise to lighten up some into strength that may develop over the next few days during the ‘monthly strength period.’ BOB PRECHTER: We're Still In A Massive Bear Market And Stocks Will Crash To New Lows

Nuclear emergency could last for weeks, U.S. official warns (Washington Post) [ I must say, and it brings me no joy to say it, but for those looking for some silver lining in all this as the ‘glass-half-full’ perma-bulls have been intimating as the markets rose; well, they’re just dreaming. Japan’s economy, though better than that of defacto bankrupt america’s, was already in the tank, particularly looking forward. Indeed, you could cut current level stock prices in half and still be over-valued inasmuch as this is far more serious in terms of prospective impacts than is being peddled by the pundits. Poor g.e. … like Lucy, they got a ‘lotta splainin’ to do. ] As Japan sprays stricken reactor with tons of water from helicopters and water cannons, the U.S. warns of a long crisis. | Rick Maese and Rob Stein, 9:47 p.m.

Global Meltdown? [ Looks like … feels like … seems like … Yes, it is! A global meltdown! ] Nyaradi ‘Global meltdown.Scary words, indeed. However, as we look around our world, it certainly does appear that a global meltdown is in progress.At Wall Street Sector Selector, we are nearly fully positioned on the “short” side of global markets and so were fortunate to have had a pleasant day, unlike so many investors and citizens of our small world... Japan, Bahrain and Libya.Of course, the big news is in Japan, where the struggle to contain the potential of nuclear meltdown goes on after the tsunami and earthquake. I can’t add much to this discussion other than to say that from a human standpoint, we need to do what we can to help our allies in their time of need.I travel often to Japan and this is a modern Western country now without power and water and basic essentials for many days, and to fully understand this unthinkable tragedy, just try to imagine a 30 foot wall of water coming through your neighborhood, entire neighborhoods and towns disappearing, followed by the threat of nuclear catastrophe and no water and power for days on end during these cold early spring nights.Aside from the human catastrophe, the economic toll of this event will be felt for years. Some analysts estimate that Japan will have to import an additional 200,000 barrels of oil per day to make up for the lost output of the damaged nuclear plants, while insurance and GDP losses are only guestimates at this early hour but will be surely significant.Across the globe, unrest continues in the Middle East as Bahrain is under martial law, the Libyan government continues to quell the revolution (while the United Nations dithers) and Portugal’s credit rating is downgraded and totters again on the edge of financial collapse. At home, Congress continues putting band aids on our national budget deficit while home sales plunge to new lows…’

Fantasy? You should be on wall street! U.S. stocks rise (Washington Post) (on b s* alone)* [ This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b* s* alone and today’s short-covering / suckers’ rally provides an especially great opportunity to sell / take profits while you still can since there's much worse to come! Looking Like A Good Time To Sell Into Strength – Harding ] Investors speculate

U.N. approves ‘all necessary measures,’ including no-fly zone, to protect Libyans (Washington Post) [ The u.n. has spoken … just not to israel lately … Hamas says Israeli fighter jets bomb facility in Gaza, killing 2 Palestinians [ War crimes nation israel keeping america looking bad in the Mideast, when defacto bankrupt america can least afford it. ] Washington Post - GAZA CITY, Gaza Strip - Israeli fighter jets pummeled a Hamas security facility in the Gaza Strip on Wednesday, killing two Palestinian civilians / freedom fighters and wounding four, officials in the Palesinian coastal ... Two killed in Israeli air strike on Hamas compound in Gaza Jerusalem Post Palestinians: Three killed in Israel air strike on Gaza Ha'aretz ] The resolution, passed 10 to 0 with 5 abstentions, opens the door to air and naval attacks against the forces of leader Moammar Gaddafi as he vowed to level the city of Benghazi, the last major rebel stronghold.

Neo-Libs Rejoice As UN Declares War On Libya Neo-libs everywhere are rejoicing. Remember – war is evil unless it’s sprinkled with the magic pixie dust of UN endorsement and “humanitarian” rhetoric, in which case the dead bodies, the terror, and the screaming children are all worth it. The fact that Libya is the richest oil nation on the entire African continent is a mere coincidence. Go back to sleep – basketball is on the TV. Soon you’ll be able to crack open a 6 pack and enjoy the air strikes like you would a Dwyane Wade slam dunk.

VIDEO: EU Naval Forces Fight Piracy off Somali Coast [ Yeah! With all their nation-bankrupting, self-defeating, wasteful, adventuring, warring for no good reason in Afghanistan, etc., I have been at a loss to understand why they are not blasting the skinnies out of the water, along with bombing the skinny-places of refuge! ]

Global Meltdown? [ Looks like … feels like … seems like … Yes, it is! A global meltdown! ] Nyaradi ‘Global meltdown.Scary words, indeed. However, as we look around our world, it certainly does appear that a global meltdown is in progress.At Wall Street Sector Selector, we are nearly fully positioned on the “short” side of global markets and so were fortunate to have had a pleasant day, unlike so many investors and citizens of our small world. I sincerely hope and pray that many pleasant days lie ahead for the people of Japan, Bahrain and Libya.Of course, the big news is in Japan, where the struggle to contain the potential of nuclear meltdown goes on after the tsunami and earthquake. I can’t add much to this discussion other than to say that from a human standpoint, we need to do what we can to help our allies in their time of need.I travel often to Japan and this is a modern Western country now without power and water and basic essentials for many days, and to fully understand this unthinkable tragedy, just try to imagine a 30 foot wall of water coming through your neighborhood, entire neighborhoods and towns disappearing, followed by the threat of nuclear catastrophe and no water and power for days on end during these cold early spring nights.Aside from the human catastrophe, the economic toll of this event will be felt for years. Some analysts estimate that Japan will have to import an additional 200,000 barrels of oil per day to make up for the lost output of the damaged nuclear plants, while insurance and GDP losses are only guestimates at this early hour but will be surely significant.Across the globe, unrest continues in the Middle East as Bahrain is under martial law, the Libyan government continues to quell the revolution (while the United Nations dithers) and Portugal’s credit rating is downgraded and totters again on the edge of financial collapse. At home, Congress continues putting band aids on our national budget deficit while home sales plunge to new lows…’

Oversold Market Rally: Dave's Daily ‘It was time for a good oversold short squeeze and we got it today. Wednesday's large selloff took the McClellan Oscillator to sub -60 readings; the VIX nearly broached the fear level of 30; and, daily RSIs in some sectors also pushed below 30 meaning more oversold conditions. The initial stimulus for today's rally came from FedEx which actually reported results that missed, but gave a cautiously positive forecast. The stock rallied 5% on the news initially. Jobless Claims also fell just matching expectations; headline CPI was up .5% (I refuse to report the bogus "core" rate); Industrial Production was a large miss lower (-.1% vs. +.5%); Leading Indicators missed expectations (.8% vs 1% expected) but the Philly Fed knocked the cover off the ball with a reading of 43.4 vs 28 expected. Little noticed by bulls was the huge rise in prices that will surely be noted in the next PPI report. The Fed tossed-in another $7B in POMO to grease the trading desks and "wink-wink" they know what they're supposed to do with that cash. As to problems with Japan and MENA, bulls just put those aside for today. Also options expiration is at hand and can add significantly to volatility. And, what the hell, it is St. Patrick's Day after all! So let's put our worries aside and rally. Volume was still high but about 45% lower than Wednesday. Breadth was positive but moderately so…’

US says plant's spent fuel rods dry; Japan says no (AP) AP - Nuclear plant operators trying to avoid complete reactor meltdowns said Thursday that they were close to completing a new power line that might end Japan's crisis, but several ominous signs have also emerged: a surge in radiation levels, unexplained white smoke and spent fuel rods that U.S. officials said could be on the verge of spewing radioactive material. Lessons from the long tail of improbable disaster (Washington Post) [ No! I disagree with the implication of the article! Modern life advantages? What, new fangled frauds? That was the bottomline to the real estate debacle; that is, the ‘pretend’ was creating an ongoing plethora of profits derived from literally worthless paper. If not for financial incentive (from fraud), and certainty of prosecution for the fraud (to date such has not occurred), this still extant debacle in the trillions would not have occurred. Moreover, and this is not 20/20 hindsight, I had no idea of the prevalence of earthquakes in Japan (but was aware of their nuclear energy commitment) and clearly, conscious decisions for the sake of extra profits were made regardless of risk. Some (ie., earthquake-prone) nations just have to suck it up and make do without nuclear (and pay more for fossil fuels, etc., which would affect margins). The BP disaster was the consequence of a known flaw, even warned against by personnel close to the debacle (the solution possibly affecting executive bonuses, yacht, plane, exotic vacation home, etc.). New Orleans? … well, who’d want to live there anyway outside of the Mardi Gras celebration…just kidding. All the attention in the world does not change the ‘facts of life’. No, not those facts of life, but reality. ] The lesson of disasters such as the one in Japan is that more attention must be paid to extra risks that come with all the advantages of modern life

[video] Analyst Sees Fibonacci Retracement

[video] Market Rallies on Oil [ Yeah … riiiiight … that’s bullish … keep the inflation comin’ … talk about inmates running the asylum! ]

Market in a Slow-Burn Mode and Starting to Wilt the Inflation Trader ‘…and now, I’m supposed to be a nuclear engineer? Financial engineering is in some ways similar to nuclear engineering, which is one reason we use terms in finance like “nuclear waste” to mean a particularly toxic tranche of a deal that no one wants to have, or refer to a particular credit as being “radioactive.” The credit crisis has also been called a “financial meltdown.” But most of the products that Wall Street creates don’t actually kill people (on the other hand, they also don’t get better when you pour water on them, so perhaps the jury is still out on which is worse).

Markets reacted poorly for most of the day yesterday on the news coming out of Japan. The Federal Reserve was forced to cancel its scheduled bond buy-back in mid-stream when the Dow Jones newswire ran headlines saying “EU ENERGY CHIEF: SITUATION AT JAPAN NUCLEAR PLANT OUT OF CONTOL” and “EU ENERGY CHIEF: POSSIBLE CATASTROPHIC EVENTS IN NEXT HOURS.” Bonds predictably shot straight up and stocks tumbled until the EU energy chief admitted that his “analysis” had been gleaned from details in news reports. The Fed re-initiated and complete the bond buyback, and everybody learned a lesson not to listen to the EU Energy Chief. Ever. Again.

The U.S. stock market, however, is also in slow-burn mode and starting to wilt. Yesterday’s 2% decline in the S&P on the highest volume of the year (1.4bln shares or so) took the index to flat on the year. Easy come, easy go. Meanwhile, the Nikkei rallied overnight (5.7%) and the Yen strengthened to match its all-time strongest level, 79.80 yen to the dollar, last seen in 1995. Yes, you read that correctly. The U.S. market is all aflutter now while the Nikkei is rallying and the Japanese currency is actually rallying. Maybe nuclear engineering would be easier.

Speaking of the 2008 meltdown, a reminder of it was called up yesterday when the Wall Street Journal ran an article entitled “Banks Probed in Libor Manipulation Case.” In 2008, there was another Journal story – and it probably prompted this investigation, as that is the way these things go – that pointed out that LIBOR was exceptionally low given the apparent difficulty many banks were having funding themselves in the LIBOR market. It was clear that it was predominantly hedge funds that were upset by the settings and stirring up trouble; after all, the banks are lending money tied to LIBOR and most of us are borrowing that money…so why would we get all bent out of shape because LIBOR was being mismarked too low?

This whole issue wouldn’t even exist if the British Bankers’ Association (BBA) hadn’t changed the way the LIBOR survey was conducted some years ago. Until 1998, LIBOR was set by a survey in which a large number of money market dealers were asked the following question: “At what rate do you think interbank term deposits will be offered by one prime bank to another prime bank for a reasonable market size today at 11am?” On the basis of that question, the crisis of 2008 wouldn’t affect the setting since it became merely hypothetical. There were no prime banks in late 2008, but that doesn’t mean it isn’t possible to speculate where such banks might have lent to each other. This was a smart way to word the question because it meant that (a) no bank was forced to reveal its own cost of funds to its competitors and (b) it abstracted from the occasional funding difficulties that a bank or two might have in special circumstances. That bank, during its problem, wasn’t a prime name bank so it could be ignored for the purpose of the survey.

However, as the swaps market grew and with it, the importance of the LIBOR rate, I suppose the BBA thought it oughtn’t be so hypothetical. So the survey procedure was changed, and now banks are asked “At what rate could you borrow funds, were you to do so by asking for and then accepting inter-bank offers in a reasonable market size just prior to 11 am?” (Thanks to MM for helping me find that.)

This is obviously a very different question. Now banks are expected to trumpet to the world when they are having funding difficulties. Moreover, the question leads to absurdities in the circumstances of late 2008. Complainers think that LIBOR should have been marking higher than it was, but how are you supposed to answer this when the real answer is “infinity. No funds are being offered to me or to any other bank at any price”? And that was in fact the situation. Banks were being ordered not to put out 12-month, 6-month, 3-month, and for a time even 1-month and shorter money.

If you had offered 100% and been lifted, you would have lost your job (especially if that bank then collapsed the next day and your unsecured LIBOR deposit went down the hole with it). So there was literally no correct answer. Obviously, some banks unilaterally altered the question they were answering (since they are required to answer it, and amended to the question “…and the market was functioning normally.” Or perhaps they merely decided to answer the question in the original, pre-1998 spirit. Can we blame people for giving a bad answer to a stupid question? I suppose it makes sense to look to see if there was collusion among the twenty banks that make up the LIBOR survey, although it is a little hard to imagine how a secret agreement could have been kept with so many conspirators.

This just in: the housing market is still radioactive as well. Yesterday’s Housing Starts figure printed at 479k, only 2k above the absolute low of April 2009. This is good, in a way, since less construction means less inventory, which means existing inventory gets worked off more quickly and more homebuyers get shunted to the existing home market where the inventories are really ugly. But it also means that construction is not going to be adding much to the growth figures for a while…

The housing data was lost in the global geopolitical news, as is appropriate. But it was harmonious with what the market wanted to do anyway. Stocks wanted to fall, and they did. Bonds wanted to rally, and the 10y yield declined 10bps to 3.20%, the lowest yield since December and starting to make Bill Gross look kinda bad (but seriously, Mr. Gross has many powers but the ability to predict earthquakes, I suspect, is not among them).

Commodities were flat, with the Ags and Industrial Metals down and energy up. Crude oil regained the $98 level. Opinions on oil vary widely, but I’m a bull. Monetary policy, respectable global growth, damage to MENA production environments, and a decrease in the BTU that can be output from nuclear – that seems like a bullish mix to me.

Today’s data includes Initial Claims (Consensus: 388k from 397k), Industrial Production/Capacity Utilization (Consensus: +0.6%/76.5%), Leading Indicators (Consensus: +0.9%), and the Philly Fed Index (Consensus: 28.8 vs 35.9).

But by far the most important data is the CPI report. The consensus calls for +0.4% on headline and +0.1% on core, raising the year/year headline number to +2.0% and maintaining +1.0% on core.

I think there is risk to the upside on core inflation. Last month, the print surprised on the upside at +0.17% m/m, which brought the y/y number to +0.95% (rounded to +1.0% in news reports). What are the chances of another similar number, more than 0.1% but not quite 0.2%?

I think the odds are reasonable. Recall that last month, major subindices of the CPI constituting 83.5% of total inflation showed acceleration in the year-on-year numbers (to review what I wrote last month, follow this link). And, as I pointed out just 10 days ago, the recent rise in inflation swaps, especially combined with the decline in forward energy quotes, implies that the market also expects core to rise (updated chart below, click to enlarge). [chart]

Purple line is expected core inflation over the next 1 year implied by current inflation swaps and forward energy futures.

As I said in that recent comment, however, the aggressive expectations that are embedded does create the potential for disappointment. The inflation market is far more likely to respond negatively to an as-expected print than it is likely to respond positively to a higher-than-expected core print. We’d need a strong 0.2%, not just a weak 0.2%, to really goose the market I think, and that seems a stretch.’

BOB PRECHTER: We're Still In A Massive Bear Market And Stocks Will Crash To New Lows Blodget ‘Investors have gotten wildly bullish of late, as the bull market that started in early 2009 keeps driving stocks to new highs. But the pigs are about to get slaughtered, says Bob Prechter, president of Elliott Wave International and editor of the Elliott Wave Theorist. Prechter still thinks the new bull market is just a cyclical "retracement" of some of the bear market losses that we've had since the market crashed in 2008. Prechter expected this retracement to drive stocks 50% above the market lows, but stocks have since soared 30% higher than than he expected. So when the day of reckoning comes, Prechter thinks, it will be even more startling. And Prechter still thinks that stocks will eventually crash to new bear-market lows (read: below 6,800 on the DOW). What makes Prechter think this day of reckoning may come sooner rather than later? Sentiment indicators and other technical analysis. Investor bullishness has now gotten so extreme, Prechter says, that it has exceeded the levels in 2008 before the market crashed. Investors could still get even more bullish, of course, but eventually they'll pay for this optimism. And Prechter's not just bearish on stocks: He thinks oil, silver, and other commodities are absurdly overvalued, too. The only thing he's bullish on is the dollar. And lest he be dismissed as a perma-bear, Bob Prechter is quick to add that he hopes there will come a day when he can come on the show and tell everyone that stocks are finally so crushed and hated that it's a historic opportunity to buy them. When will that be? Stay tuned...’ The Case for a Bear Market for Stocks Suttmeier ‘In making a bearish call on the U.S. stock market, I base it on both fundamental and technical factors. The fundamentals show that stocks are overvalued and we have had three ValuEngine Valuation Warnings so far this year. The January warning was ignored by the market but so far stocks peaked with the warning issued on February 18 and re-iterated on March 3. During this period we have seen many days where all 16 sectors have been overvalued, with eight to 11 by double-digit percentages. Today 63.8% of all stocks are overvalued, and all 16 sectors are overvalued, 11 by double-digit percentages…’

Ellen Bente Oliver ‘Salary of House/Senate...$174,000. Salary of Speaker of House...$223,500. Salary of Majority/Minority Leaders...$193,400. Average US Salary...$33,000 to $77,000. Maybe our elected officials should make an average salary too...It's a time of sacrifice after all...Pass along, post on your own page if you agree…’

World's richest are almost $1 trillion richer [ And the other 95% trillions poorer. ]

Utilities Are Warning the Correction Is Here Gayed ‘The utilities sector (IDU) may not be the most fascinating sector of the market to watch, but in many ways can be one of the most important. Legendary technical analyst Edson Gould, known for being one of the best market timers of all time, believed that the performance of utilities was an early indicator for broad market movements. He noted often times that when utilities performed exceptionally well, within a short period of time, markets would experience a period of volatility and declining prices…’

Is the Bear Market Back? [ The bear market never left … This has been a manipulated bubble-bull cycle in this secular bear market based on b*** s*** alone and hence, is an especially great opportunity to sell / take profits while you can since there's much worse to come! ] Michaud ‘Financial Markets at Critical Junctures

Michigan passes ‘financial martial law’ bill Politico | Michigan legislators have approved a bill authorizing state-appointed emergency financial managers to break union contracts.

Another Ron Paul Critic at the Fed: ‘I Know Some Powerful People’ Robert Wenzel | Paper money as issued by the Fed can be, I guess, considered a liability.

Currency Meltdown Coming USA Watchdog | A ball of debt is growing. It is on course to swamp the system.

G-7 Sells Yen in First Joint Intervention in More Than Decade The Group of Seven will jointly intervene in the foreign exchange market for the first time in more than a decade after Japan’s currency soared, threatening its recovery from the March 11 earthquake.

Japanese Politician Suggests Closing Financial Markets For A Week Yesterday’s speculation that a bank holiday was suggested and may be imposed in Japan due to unprecedented market swings and tens of trillions in support from the BOJ has just been confirmed.

Tokyo Exodus Part 3: ATM Shutdowns, Power Outages Put Citizens On Edge, Gold Hoarded In Evacuation Preparations The resilience of those living in the Japanese capital has been beyond admirable. After experiencing a record earthquake, hundreds of aftershocks, a historic tsunami, radioactive catastrophy 160 miles away and constant fears a northeasterly wind can bring in radioactive snow, and now unending rolling blackouts and ATM service interruptions, one has yet to hear about any mass exodus let alone coordinated complaining.

How the NY Fed Gifted An Extra $15.7 Million To Wall Street Yesterday As part of the Federal Reserve’s ongoing QE2 program, nearly each day, the NY Fed purchases US Treasury securities from a select group of primary dealers in what is called a permanent open market operation (POMO).

National / World

Infowars has some of the only Potassium Iodide in the U.S. Infowars | Infowars has taken action and secured some of the only remaining dose-ready potassium iodide (KI) in the country.

Alex Jones: Pentagon preparing for Martial Law RT | Is the system itself collapsing?

Neo-Libs Rejoice As UN Declares War On Libya Paul Joseph Watson | War is evil unless it’s sprinkled with the magic pixie dust of UN endorsement and “humanitarian” rhetoric.

U.N. Security Council Passes Libya No-fly Resolution Financial Times | Diplomats vote 10-0 for military action, with five nations, including Russia, China and Germany, abstaining.

Preview: Charlotte Iserbyt – The Miseducation of America PrisonPlanet.tv | Part one of exclusive interview, coming in April 2011.

Last remaining potassium iodide available at Infowars.com Infowars has taken action and secured some of the only remaining dose-ready potassium iodide (KI) in the country.

Neo-Libs Rejoice As UN Declares War On Libya Neo-libs everywhere are rejoicing. Remember – war is evil unless it’s sprinkled with the magic pixie dust of UN endorsement and “humanitarian” rhetoric, in which case the dead bodies, the terror, and the screaming children are all worth it. The fact that Libya is the richest oil nation on the entire African continent is a mere coincidence. Go back to sleep – basketball is on the TV. Soon you’ll be able to crack open a 6 pack and enjoy the air strikes like you would a Dwyane Wade slam dunk.

NY Times Maps Underplaying Extent Of Radiation The radiation plume illustrated on the map is from the original release over last weekend. A far larger and more deadly plume of radiation from the explosions and fires earlier this week will soon follow.

Swedish Government: Radiation To Cover Entire Northern Hemisphere Suggesting that levels of radiation leaks from the stricken Fukushima plant are being grossly underreported by Japanese authorities, a Swedish government agency told Reuters today that not only will the radiation reach North America, but it will subsequently cover the entire northern hemisphere.

Pentagon’s Actions Suggest Nuclear Disaster Is Much Worse Than Feared The Pentagon’s actions regarding the nuclear crisis in Japan reveal that the true scale of the disaster is being withheld from the public.

Tokyo Passengers Trigger U.S. Airport Detectors, N.Y. Post Says Radiation detectors at Dallas-Fort Worth and Chicago O’Hare airports were triggered when passengers from flights that started in Tokyo passed through customs, the New York Post reported.

Harmless? Chernobyl Radiation Killed Nearly One Million People “No citizen of any country can be assured that he or she can be protected from radioactive contamination. One nuclear reactor can pollute half the globe,” they said. “Chernobyl fallout covers the entire Northern Hemisphere.”

MSNBC LIES About Three Mile Island Health Effects They never mentioned studies by the Radiation and Public Health Project, including a “new analysis of health statistics in the region found that death rates for infants, children, and the elderly soared in the first two years after the Three Mile Island accident in Dauphin and surrounding counties.”

Western Response to Japan: The real crime against humanity The Anglo-American multi-trillion dollar global military machine has been defended ad nauseum as essential to protecting free humanity and its progress into a promising future.

Newly Released Images Show Devastated Nuclear Reactors The Tokyo Electric Power Company has released new images that show the devastated nuclear reactors at the stricken Fukushima plant, as authorities confirm that a second reactor containment vessel has been damaged, leading to yet more deadly radiation being released into the atmosphere.

French claim Japan is hiding full scale of nuclear disaster The French government accused the Japanese of losing control of the situation and hiding the full scale of the disaster.

27 Signs That The Nuclear Crisis In Japan Is Much Worse Than Either The Mainstream Media Or The Japanese Government Have Been Telling Us How much of a threat is the nuclear crisis in Japan? That question is on the minds of millions of people around the globe tonight. The Economic Collapse March 16, 2011

How much of a threat is the nuclear crisis in Japan? That question is on the minds of millions of people around the globe tonight. Unfortunately, the Japanese government and the mainstream media have both been doing their best to downplay this crisis. Even though there have been massive explosions at the Fukushima Dai-ichi nuclear facility, authorities in Japan have still been very stingy with information and they keep insisting that the situation is under control. But the situation is not under control. In fact, it just seems to get worse with each passing day. Radiation levels are now incredibly high at the Fukushima Dai-ichi complex and the radiation cloud is starting to spread. Radiation levels in Tokyo are already 10 times above normal levels, and there are reports in the international media that some people have begun to flee the city. It is imperative that the Japanese government tell the truth about what is going on because this could potentially affect the health of millions of people. There are over 12 million people in the city of Tokyo alone. If this nuclear crisis continues to get worse it could potentially end up killing more Japanese than the tsunami just did.

Yes, things really are that serious.

We are not just talking about a repeat of Chernobyl.

We are possibly talking about “many Chernobyls”.

It is somewhat understandable that the Japanese government and the mainstream media do not want to panic the public, but the reality is that people need the truth about what is going on.

Unfortunately, it is not likely that the Japanese government or the mainstream media are going to “change their stripes” overnight, so in order to try to get an idea of what is really going on we need to look at the clues.

Sometimes it is much more important to watch what people are doing rather than what they are saying.

For example, a significant number of foreign governments are now evacuating personnel from Tokyo.

Why would they be evacuating if there was no threat?

Posted below are 27 signs that the nuclear crisis in Japan is much worse than either the mainstream media or the Japanese government have been telling us. When you take all of these clues and you put them together it really does paint a frightening picture….

#1 Japanese Prime Minister Naoto Kan is urging all people living within 30 kilometers of the Fukushima Dai-ichi nuclear facility to stay indoors.

#2 Andre-Claude Lacoste, the head of France’s Nuclear Safety Authority, says that the containment vessel surrounding the No. 2 reactor at Japan’s Fukushima Dai-ichi nuclear complex is “no longer sealed“.

#3 Radiation levels in Tokyo are already 10 times above normal levels.

#4 Reuters is reporting that some residents of Tokyo are already starting to flee the city.

#5 Radiation levels in one city north of Tokyo, Utsunomiya, were recently reported to be 33 times above normal levels.

#6 Radiation levels in the city of Saitama have been reported to be 40 timesabove normal levels.

#7 According to Japanese Prime Minister Naoto Kan, the “possibility of further radioactive leakage is heightening.”

#8 The Japanese government is admitting that radiation levels near the Fukushima Dai-ichi complex are very harmful to human health.

#9 According to the World Nuclear Association, exposure to over 100 millisieverts of radiation a year can lead to cancer. At this point the level of radiation being measured right outside the number 4 reactor at the Fukushima Dai-ichi complex is 400 millisieverts per hour.

#10 A U.S. Navy crew that was assisting in relief efforts was exposed to a month’s worth of nuclear radiation in just a single hour.

#11 According to the U.S. Navy, low levels of radiation have been detectedat their bases in Yokosuka and Atsugi.

#12 The USS Ronald Reagan recently detected significant levels of radiation 100 miles off the Japanese coast.

#13 The operator of the Fukushima Dai-ichi complex has pulled out 750 of the 800 workers that were working at the facility.

#14 The French embassy in Tokyo is advising French citizens to leave the city.

#15 The German embassy in Tokyo is advising all German citizens to leave the country entirely.

#16 German technology company SAP is evacuating their offices in Tokyo.

#17 Austria has announced that it is moving its embassy from Tokyo to Osaka due to fears about the radiation.

#18 Finland is urging all of their citizens to leave Tokyo.

#19 The Czech military is sending planes to Japan specifically to evacuate the Czech Philharmonic Orchestra.

#20 Air China is canceling many flights to Tokyo.

#21 The Chinese Embassy has announced that it will be evacuating all Chinese citizens from the Miyagi, Fukushima, Ibaraki and Iwate prefectures.

#22 Russia is making preparations to evacuate civilians and military unitsfrom the Kuril Islands.

#23 Physicist Frank von Hippel recently told the New York Times the following about this disaster: “It’s way past Three Mile Island already”.

#24 The president of France’s nuclear safety authority says that this crisis is now almost as bad as Chernobyl was….

“It’s clear we are at Level 6, that’s to say we’re at a level in between what happened at Three Mile Island and Chernobyl.”

#25 There have been reports of extremely high radiation at another nuclear facility in Japan. It has been reported that at the Onagawa nuclear plant radiation that is 700 times the normal level was detected at one point.

#26 One anonymous senior nuclear industry executive told The Times Of India that Japanese power industry managers are “basically in a full-scale panic” and that “they don’t know what to do”.

#27 It is also being reported that there were over 600,000 spent fuel rodsstored at the Fukushima Dai-ichi complex. Most of these rods were apparently stored near the top of the 6 reactor buildings. There have already been major explosions at three of those buildings. It is now feared that there is now nothing to prevent many of these spent fuel rods from releasing radiation into the atmosphere. That is really, really bad news.

So is there a threat that nuclear radiation from Japan could reach the United States?

Well, actually everyone agrees that radiation could reach the United States. The controversy is whether or not it will be enough to be harmful to human health.

The Nuclear Regulatory Commission is admitting that it is “quite possible” that nuclear fallout from this disaster could reach the United States. In fact, Nuclear Regulatory Commission spokesman David McIntyre says that there could already be radiation from Japan over America….

Right now it’s quite possible that there could be some radiation floating over the United States.

But most government officials in the U.S. are insisting that there is “no threat” to the health of American citizens from this crisis at this point.

So how would nuclear radiation from Japan get transported to the United States?

Well, if radiation released by a damaged nuclear reactor got up into the jet stream, the first major land mass that it would encounter would be North America. In fact, the jet stream commonly takes air from over Japan directly over the west coast of the United States. The following video demonstrates this fact beautifully….

So is there any reason for those of us living in the United States to be concerned?

According to the Japanese government, the U.S. government and the mainstream media there is not.

But do you believe them?

The truth is that they seem much more concerned with keeping the public calm rather than telling the public the truth.

Radiation levels are increasing all over northern and central Japan. People are starting to leave Tokyo and other major cities in the region. Foreign governments are evacuating personnel. Fires continue to erupt at the Fukushima Dai-ichi complex. The authorities in Japan seem to have no idea how to solve this crisis.

If even one of those damaged nuclear reactors fully melts down it is going to be a complete and total nightmare. If you live in an area that could potentially be affected by nuclear radiation from Japan you might want to start figuring out how you and your family are going to handle this crisis’

Hamas says Israeli fighter jets bomb facility in Gaza, killing 2 Palestinians [ War crimes nation israel keeping america looking bad in the Mideast, when defacto bankrupt america can least afford it. ] Washington Post - GAZA CITY, Gaza Strip - Israeli fighter jets pummeled a Hamas security facility in the Gaza Strip on Wednesday, killing two Palestinian civilians / freedom fighters and wounding four, officials in the Palesinian coastal ... Two killed in Israeli air strike on Hamas compound in Gaza Jerusalem Post Palestinians: Three killed in Israel air strike on Gaza Ha'aretz

VIDEO: EU Naval Forces Fight Piracy off Somali Coast [ Yeah! With all their nation-bankrupting, self-defeating, wasteful, adventuring, warring for no good reason in Afghanistan, etc., I have been at a loss to understand why they are not blasting the skinnies out of the water, along with bombing the skinny-places of refuge! ]

Drudgereport:`UN AUTHORIZES MILITARY STRIKES ON LIBYA...HILLARY'S WARStrikes Could Come Within Hours...`
`'ALL NECESSARY MEASURES'...`
`THE BOOT: Sorties from Italy...`
`Canada on the march... GADDAFI: 'WE ARE COMING TONIGHT'...`
`'THERE WON'T BE ANY MERCY'... Japan's increasingly frantic efforts at nuke plant... 'Like suicide fighters in a war'...`
`Mayor of town near nuke: 'They're leaving us to die'...`
`DESPAIR TURNING TO ANGER...`
`'We're Very Close Now to the Point of No Return'...`
`U.S. Officials Alarmed By Japanese Handling of Crisis...`
`Life Among the Ruins...`
`AP... BBC... KYODO... NHK... REUTERS...US, JAPAN SPLIT ON NUKE DANGERDebt Jumps $72B Same Day House Votes to Cut Spending $6B...`
`Tiny tim geithner to Congress: More Debt, Please...OBAMA SETS WEEKEND IN RIO!`
`Family will take in the sights...`SPRING BREAK: Obama the invisible; Anti-leadership amid world crises … [ wobama’s presidency is over, he should be impeached / removed from office ! ] ... VIDEO: T_rump Says He'll Spend $600 Million on Prez Run… dreamin’, schemin’, to no avail … even this mobster’s bribes couldn’t put him over the top … he’s a joke, a lightweight, and a loser! And, from the nation’s foremost drains / sinkholes, corrupt / mob infested new york / new jersey (he and his corrupt sister judge maryanne should be in jail – Jerry Springer would make a more serious candidate, and that also would be a joke; but at least Springer pioneered that mindless entertainment genre and is intelligent.)... RACE TO SAVE CORE...

(Washington Post) [ Comments COMMENTS ARE CLOSED WHILE WE UPGRADE OUR SYSTEMS ]

Dana Milbank In state legislatures, Tea Partyers take democracy to absurd lengths. (Washington Post) [ I love to pick on Mr. Milbank … we’re so … ‘opposite’. ‘Louis Brandeis’? As they say on Saturday Night Live, ‘What’s up with that, what’s up with that’. I concede he was a brilliant jurist (my personal favorite was Holmes, especially Holmes’ discussion of the law as providing foreseeability of consequences to actions, ie., threatening to do what one legally can do which enables the other party to avoid such consequences, etc.. – Boy, did he get that wrong with pervasively corrupt, defacto bankrupt ‘modern america’ where meaningfully lawlessness reigns supreme (see, ie., RICO case [ http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpenaltyofperjury.pdf http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm ] ). Yet Brandeis’ powers of foresight were sorely lacking [ Upon completion of his first semester exams he was packing his bags to leave (I think harvard) certain he had failed out. In fact, he ‘aced’ them all. (I can empathize with that feeling which unlike anytime after a test I felt after the 3 day bar exam. I felt drained and ‘certain’ I had failed. In fact, I scored so high on the multi-state that my ‘jersey part’ of the exam became irrelevant (how prescient a circumstance). ] Laboratory?... I don’t think so … unless you’re talking of that of Dr. Frankenstein himself.

2chambers: McConnell, McCain draw the line (Washington Post) [ mccain recently said that if he had been elected president, defacto bankrupt america would be fighting 3 wars. Talk about a race to the ‘bottom’. Earth to mccain … that’s why you weren’t elected (mccain’s a loser, from wrestler, to downed pilot, to songbird pow, to keating 5 man who should have gone to jail, etc.; although wobama the b (for b*** s***), despite promises to the contrary, has been no better; viz., maybe 2 and a half wars despite the nation’s defacto bankruptcy. Never trust a *********** Go ahead, fill it in … whatever comes to mind … don’t feel guilty, his presidency’s done! Obama Laments He’s Not President Of Communist China [ Time to relieve wobama the b’ (for b*** s***) of his burden by impeaching / removing him from office without delay! He may not have been the first black president (Clinton is generally considered the first black president by blacks and whites alike, a moniker Clinton accepted and wore proudly – that 18% vote), but he is certainly the last! Drudgereport: City Lowers Police Testing Standards Because Not Enough Blacks Passed... Under pressure from Obama administration... Illinois mayor says Obama still owes city $55,457... Obama to party with Washington reporters... Golf in the afternoon... ] Weekly Standard | “Mr. Obama has told people that it would be so much easier to be the president of China.” Dave’s Daily: ‘…Where is the president? This has been a universal question raised by both right and left. Obama appeared on ESPN to go over his NCAA basketball bracket, is hosting a $30K a plate fund raiser in Harlem and heads this weekend to Rio. The president's disconnect is beyond belief and his ears have turned to tin…’ Obama Plays While Japan Begs for Help [ ‘Wobama the b’ (for b*** s***) is a typical ‘***************’ … Go ahead, fill it in … whatever comes to mind … don’t feel guilty, he’s already a failed president who should be impeached / removed from office without delay and a total incompetent and fraud. ] Watson/Jones | With the world on fire, the President goes AWOL again … ’ Financialization and Our Increasingly Unstable Economy Roche ‘I finally got around to seeing the movie Inside Job, the story behind the credit crisis and winner of the Academy Award for best documentary. It’s very good and I highly recommend it to anyone who hasn’t seen it. It will certainly infuriate you. The movie doesn’t place nearly enough blame on homeowners, but all in all it does an excellent job of showing how Wall Street and government have become overrun by deregulation and sheer greed. A combination of flawed economic theory and greed have combined to create the beast that we now call a “functioning” economy. The worst part of it all is that President Obama, who vowed change, has done almost nothing to fix any of it and in fact continues most of the policies that helped get us here in the first place. ]

A Tragedy of Epic Proportions: Dave's Daily ‘No Mr. Wise Guy today. The world is facing two crises in Japan and MENA. The nuclear issue in Japan appears out of control. At the same time, this tragedy is masking what's going in MENA as Gadhafi takes control and in Bahrain where the weird Sunni/Shiite battles rage. With the latter, it's like a primitive religious war the west experienced centuries ago (save Ireland) with Catholics fighting Protestants. Where is the president? This has been a universal question raised by both right and left. Obama appeared on ESPN to go over his NCAA basketball bracket, is hosting a $30K a plate fund raiser in Harlem and heads this weekend to Rio. The president's disconnect is beyond belief and his ears have turned to tin. Hillary Clinton meanwhile has announced she won't serve a second term as Secretary of State should Obama be reelected. Perhaps she'll serve as Vice-President to beef-up Obama's reelection chances; but, she hasn't distinguished herself in foreign affairs lately. Last night the BOJ injected many trillions of yen helping markets rebound. With rapidly changing "current" news this may not occur tonight. Bulls hope for reconstruction that will help U.S. industries within materials and manufacturing sectors providing the stuff they need to rebuild. But, that's a longer term positive for U.S. markets. For now, we need to know how this situation will play out from a humanitarian and safety view. The yen has hit fresh all-time high with repatriation paramount. Bonds are still climbing while crude oil rose and precious metals were up a touch. Other commodities were mixed…’

U.S. home construction drops sharply (Washington Post) [Well, there you go … just like ‘no-recession b.s. bernanke’ said: green shoots … comin’ up roses! ] The level of home construction plummeted in February from a month earlier to its lowest level since April 2009.

Top 3 Reasons Markets Continued to Get Hammered Wall Street Cheat Sheet ‘On Wednesday March 16, 2011, Markets closed down on Wall Street: DJI -2.04% SP500 -1.95% Nasdaq -1.89% Gold +0.24 % Oil +1.46% .Japan ( NYSE:EWJ ) continues to spook the world and Saudi Arabia has an escalating issue with Bahrain. Moody’s ( NYSE:MCO ) also downgraded Portugal’s credit rating again and PIIGS like Spain ( NYSE:EWP ) got slammed as austerity is becoming the new normal in Europe.

Today’s markets dropped because:

1) Japan ( NYSE:EWJ ) is about as scary a situation as possible. Fukushima is the center of the world at this point, and reports on Japan’s wire indicate problems are not contained at the nuclear power plant. General Electric ( NYSE:GE ) has been dumped on fears of legal liability for the design and construction of the facility at issue, and you better believe the Japanese government will look for a scapegoat (and deep pockets) once the situation stabilizes and the blame game begins. The next BP ( NYSE:BP )? Possibly. But there is still hope for a successful rebuild .

2) US producer prices are heating up and housing starts are drastically slowing down. Ironically, the best thing that could happen to the housing market is a slowdown in adding new supply. But don’t tell that to Homebuilders ( NYSE:XHB ) who got slammed today . And the last thing producers need is higher input costs as the economy remains as fragile as a Hollywood ego at the Oscars . Hey, let’s all focus on the NCAA Men’s Basketball Tournament and everything will seem fine … for a few days.

3) Apple ( NASDAQ:AAPL ) had its tiara dented. Ready for a complete shocker? The iPad2 is sold out, yet some Excel jockey over at JMP Securities (who??) downgraded Apple . On a more important note, tablet computing rival Motorola ( NYSE:MMI ) announced the new Xoom WiFi will compete at Apple’s price point and run on Google’s ( NASDAQ:GOOG ) Honeycomb OS. All this added up to a staggering 4.4% one day drop for Wall Street’s darling.

Now that you’re in the know, good luck using logic or reason to predict tomorrow’s market activity.’

A Snapshot of Global PE Ratios and Dividend Yields Horowitz ‘Below, presented without comment, an interesting view of some of the major world markets and their P/E or "cheapness" ratios. Spain's IBEX checks in with the lowest P/E ratio and highest dividend ratio on a relative basis, while the two countries with the lowest dividend yield are Japan's Nikkei 225 and Mexico's IPC Index. [chart] ‘

Stock Market Decline Develops Exactly as Expected McCurdy‘The S&P 500 index has declined nearly 5% during the last five sessions, erasing all of the previous gains for the year.
[chart]

Click to enlarge graphic

Of course, mainstream financial media have attributed much of the recent weakness to the earthquake and subsequent tsunami in Japan. But market behavior was telling us to expect a sharp decline long before this natural disaster occurred.

As we often note, the stock market is a discounting mechanism that sees several months into the future. It represents the cumulative judgment of all market participants, reflecting the best fundamental information available along with investor and trader sentiment. Those who do not understand how the market functions attempt to explain its behavior via the daily news flow, attributing up days to positive data or developments and down days to negative information. However, doing so misses the big picture and ignores basic market dynamics. Market behavior on any given day only has meaning when viewed in its proper context.

Prices are influenced by trends and cycles across multiple time frames that range from decades to days. Secular trends drive market movements for 10 to 20 years at a time, while cyclical component trends dominate price swings for 2 to 5 years. You also have intermediate-term weekly moves and short-term daily trends and cycles. Most importantly, each time frame exhibits relatively independent behavior. Sometimes all trends are aligned across all time frames, but most of the time they are not, so they must each be analyzed and properly characterized in order to develop a comprehensive, accurate understanding of market behavior.

Tragedies such as the Japanese natural disaster do influence market behavior, but their primary functions are as catalysts, setting in motion processes that were already likely. In the case of the current market environment, the process in question was the violent correction of an extremely over-extended rally from September. From early September until late February, the S&P 500 index advanced 28% without experiencing a meaningful retracement. Such extreme moves are always followed by volatile counter-trends, and by early February market behavior was warning us that the inevitable violent correction was becoming more likely. Broad market internals began to exhibit weakness as treasury yields continued to rise and market sentiment held at irrationally bullish extremes. When the overextended rally finally broke below uptrend support during the final week in February, market internals such as volume summation followed suit, strongly suggesting that the correction was about to begin.
Click to enlarge
[chart]
The Japanese disaster then acted as a catalyst that set the process in motion. The sharp rally from September to February is representative of the current environment and reflects heightened market volatility that has persisted since the crash in 2008.
Click to enlarge
[chart]
Again, extreme moves such as these are always followed by violent countermoves, and careful study of market behavior will indicate when the next reversal is becoming likely. For example, in February 2009, chart analysis suggested that historically oversold conditions would soon lead to the best trading opportunity in a generation, and the catalyst that set the massive rally in motion was a surprise positive earnings announcement from Citigroup on March 10.
Click to enlarge
[chart]
As expected, the subsequent oversold reaction was equally violent in character, resulting in the development of an extremely overbought condition in April 2010. Once again, market behavior warned us when the inevitable correction was imminent, and the European debt crisis in May 2010 acted as the catalyst that set the decline in motion.
Click to enlarge
[chart]
Returning to the present, now that the violent correction we have been awaiting is in progress, market behavior during the next several weeks should provide a reliable assessment of cyclical bull market health and produce clarity with respect to long-term direction. The decline from early March has caused the current short-term cycle to transition to a bearish bias.
Click to enlarge
[chart]
The next Short-Term Cycle Low (STCL) should occur sometime during the next two weeks, and the character of the subsequent reaction will likely tell us if the cyclical bull market is simply taking a breather or preparing to terminate.’

Don't Ignore Weak Housing Market and Bank Stress Issues Suttmeier ‘Japan’s nuclear nightmare will stall global growth, which begins with housing and banking in the United States. With the world’s third-largest economy slowed to a crawl, the impact will be felt around the globe. Here in the United States, I worry about the housing market and the banking system where problems have been kicked down the road since 2008. The Fed says that the housing market remains depressed! The scars of “The Great Credit Crunch” could be opened as the economic impact from Japan slows business activities here in the United States.

The NAHB Housing Market Index Rose by a Point to 17 -- The National Association of Home Builders Housing Market Index has been 20 or lower since September 2007 after being as high as 72 in June 2005, when I predicted that housing stocks were extremely overvalued and overbought and long overdue for a bear market. [chart]

In March the HMI inched up to 17 from 16 where 50 is the neutral zone so home builders have been in a depressed mood since May 2006 when this index first dropped below 50. Today home builders face the same obstacles talked about in the last several reports: competition from short sales and foreclosures, potential new home buyers’ inability to sell existing homes, home appraisals falling below the costs of new construction, and tough lending standards for both home builders and home buyers.

Economies on Main Street, USA depend upon the construction industry, and the housing market is a major component of this. Community banks are reluctant to lend to home builders, as they still have $321.6 billion in Construction & Development (C&D) loans on the books, where collections are problematic.

The NAHB Tells Congress that the Housing Market Needs Access to Credit

The National Association of Home Builders tried to give a positive spin on the housing market, anticipating an improving job market, but hedge that with the fact that builders cannot get construction credit from community banks. C&D loans declined 9.2% or $32.5 billion sequentially in the fourth quarter and down 28.7% year-over-year. This is a slight acceleration of this component of Commercial Real Estate loans, which is a natural occurrence as the total is down to $321.6 billion. C&D are down $307.4 billion since the end of 2007, or 48.9%. Back between the end of 1988 and the end of 1992 this category of Commercial Real Estate Loans declined 54.7%, and “The Great Credit Crunch” we are in today will likely exceed that percentage.

The NAHB is worried that this contraction in construction lending will force more small builders out of business resulting in more job losses industry-wide and across the country. I have been saying that construction jobs are the most significant catalyst for job growth on Main Street, USA. Keep in mind that housing represents about 15% of our nation’s GDP. The NAHB told Congress that residential construction jobs declined by 1.4 million since April 2006.

The NAHB urged Congress to have a solution to the Fannie and Freddie dilemma as an affordable source of credit for housing, and to preserve the mortgage interest tax deduction, and the capital gain exclusion. Without these protections home prices are likely to continue to decline. The NAHB s worried about raising the down payment to 20%, but I agree with that restriction.

The NAHB is way too optimistic forecasting a modest gain in new home sales of 8% to 347,000 units in 2011 with 516,000 units in 2012.

Bank Failure Friday -- Two private banks were closed by the FDIC last Friday, and one had an extreme overexposure to Commercial Real Estate loans.

25 banks failed in 2008
140 banks failed in 2009 with a peak of 50 in the third quarter
157 banks failed in 2010
25 banks have failed year to date in 2011
347 banks have failed since the end of 2007
I still predict 500 to 800 bank failures in total by the end of 2012 into 2013.

The Number of Underwater Mortgages Rose at the End of 2010 -- According to CoreLogic approximately 11.1 million households or 23.1% of all mortgages were underwater in the fourth quarter of 2010. Another 2.4 million have only 5% of less equity. Underwater mortgages had declined in the prior three quarters because more homes came off the market because of foreclosures. The total negative equity in the mortgage market rose to $751 billion at the end of 2010 up from $744 in the third quarter. The number-one cause of underwater mortgages is lower home values. Home prices hit there lowest point of the crisis in 11 of 20 cities tracked by Case-Shiller in December.

Foreclosure Related Notices Decline, but That's Misleading -- Foreclosure filings fell to a 36-month low in February because lenders delayed activities against homeowners due to heightened scrutiny over the way banks are handling home repossessions. Information from RealtyTrac shows foreclosures down 14% in February to 255,101 homes, down 27% year over year.

Lenders repossessed 16% fewer homes in February, down 41% year over year to 64,643 units. Once the procedures are streamlined the pace will pickup as homeowners in default stay longer living in their homes. Meanwhile the backlog of potential foreclosure action and repossessions will grow.

The delay of foreclosure actions will likely delay a housing recovery until 2014 into 2015. Meanwhile home prices should continue to slump as around 5 million homeowners are at least two months behind on their mortgage payments.

Quite often an unexpected event from abroad will divert attention away from key market factors, which can expose old wounds!

Fed Policy Statement Implies That the US Economy Isn't Out of the Woods

The Federal Reserve says that the economic recovery is on firmer ground with an overall gradual improvement in the labor market. The key to the fact that Main Street economy is not out of the woods? Investment in nonresidential structures remains weak and the housing market continues to be depressed.

The Fed recognizes that commodity prices are putting upward pressure on inflation, but they say that it's temporary. They recognize the sharp run-up in energy costs caused by supply concerns, but have blinders on saying that longer-term inflation expectations is stable with underlying inflation still subdued. This theory will be put to a test with PPI released Wednesday and CPI on Thursday. The FOMC still believes that Americans do not need to eat and buy gasoline.

The Fed will continue to expand their balance sheet via the $600 billion QE2 (quantitative easing), which continues through June and they will continue to buy additional US Treasuries to replace maturing mortgage-backed securities. In addition they are continuing to keep the federal funds rate at zero to 0.25% for an extended period which began December 16, 2008.

10-Year Note -- (3.323) This yield declined to 3.203 on a continued flight to quality. The 200-day simple moving average lines up with my monthly risky level at 3.016 and 3.002. With the rebound in Japanese stocks overnight this yield is up to 3.351 this morning. [chart]

Comex Gold -- ($1396.9) The 50-day simple moving average was tested at Tuesday’s low at $1380.2. My annual value level is $1356.5 with my weekly pivot at $1404.1, and daily, monthly and quarterly pivots at $1420.1, $1437.7 and $1441.7, and semiannual risky level at $1452.6. [chart]

Nymex Crude Oil -- ($97.50) Tested $96.71 on Tuesday versus my monthly value level at $96.43. My annual pivots at $99.91 and $101.92 have been strong magnets. My monthly value level is $96.43 with daily, semiannual and quarterly risky levels at $102.18, $107.14 and $110.87. [chart]

The Euro -- (1.3991) My quarterly value level is 1.3227 with a daily pivot at 1.3913, and weekly, semiannual and monthly risky levels at 1.4089, 1.4624 and 1.4637. [chart]

All daily charts for the major equity averages are negative -- trading below 50-day simple moving averages with declining daily momentum (12x3x3 daily slow stochastic). There are no oversold measures as yet. Tuesday’s low was 11,696 and Monday’s low was 11,897.[chart]

The weekly chart for the Dow Industrial Average remains overbought, but will join the other major averages with momentum (12x3x3 weekly slow stochastic) declining below 8.0 given a close on Friday below 11,856. This will confirm the Friday, February 18 high at 12,391.29 as a cycle high. My prediction has been a March high below 10,600. [chart]

While we are no longer under a ValuEngine Valuation Warning, stocks remain overvalued with 53.4% of all stocks overvalued. This measure needs to fall below 35% to call stocks cheap. Fifteen of 16 sectors remain overvalued, but now only one by double-digit percentage.

Key Levels for the Major Equity Averages

The Dow Industrial Average (11,855) -- My annual value level is 11,491 with a daily pivot at 11,835, and weekly and monthly risky levels at 12,400 and 12,741.
The S&P 500 (1281.9) -- My quarterly and annual value levels are 1262.5 and 1210.7 with a daily pivot at 1276.3, and weekly and monthly risky levels at 1327.3 and 1381.3. A weekly close below 1284 shifts the weekly chart profile to negative.
The NASDAQ (2667) -- My daily value level is 2646 with weekly, quarterly and monthly risky levels at 2753, 2853 and 2926. Semiannual and annual value levels are 2363, 2335 and 2172.
The NASDAQ 100 (NDX) (2260) -- My daily value level is 2238 with weekly, quarterly, and monthly risky levels at 2333, 2438 and 2499. Semiannual value levels are 2006.8 and 1927.6.
Dow Transports (5020) -- My quarterly value level is 4671 with weekly and daily pivots at 4995 and 5040 with my annual pivot at 5179.
The Russell 2000 (791.33) -- My quarterly value level is 765.50 with daily and annual pivots at 785.84 and 784.16, and a weekly pivot at 805.37, and monthly risky level at 850.79. Semiannual value levels are 631.62 and 567.74.
The Philadelphia Semiconductor Index (SOX) (421.79) -- My daily value level is 404.53 with weekly, monthly and quarterly risky levels at 447.74, 453.89 and 465.93. Semiannual and annual value levels are 296.89, 270.98 and 259.30. ‘

Look at How Producer Prices are Getting More Expensive Wall St Cheat Sheet ‘On Wednesday March 16, 2011, The Producer Price Index for finished goods increased 1.6 percent in February, seasonally adjusted, the U.S. Bureau of Labor Statistics reported today . This rise followed advances of 0.8 percent in January and 0.9 percent in December, and marks the largest increase in finished goods prices since a 1.9-percent advance in June 2009.

At the earlier stages of processing, prices received by manufacturers of intermediate goods moved up 2.0 percent, and the crude goods index climbed 3.4 percent. On an unadjusted basis, prices for finished goods advanced 5.6 percent for the 12 months ended February 2011, the largest 12-month increase since a 5.9-percent rise in March 2010. (See table A.)

Monthly Changes Breakdown[chart]

Finished Goods (seasonally adjusted)[chart]

Finished Goods (not seasonally adjusted)[chart]

Intermediate Goods (seasonally adjusted)[chart]

Intermediate Goods (not seasonally adjusted)[chart]

Crude Materials (seasonally adjusted)[chart]

Crude Materials (not seasonally adjusted)[chart]’

Uptick in Wholesale Prices, Lower U.S. Home Construction Data Weighing On Markets Barron’s ‘As Japan’s nuclear crisis widens and several Arab states contemplate taking a more active role in Libya, stock ETFs are pointing down this morning.The SPDR S&P 500 ETF (SPY) is slipping slightly in pre-markets following disappointing reports on housing construction and wholesale prices. The PowerShares QQQ (QQQQ) is down 0.4%.Overseas, the iShares MSCI EAFE ETF (EFA) is sliding by 0.5% and the iShares MSCI Japan ETF (EWJ) is down 1.4%.Weighing on investors this morning is a report on U.S. housing starts that showed that construction activity took the steepest monthly plunge in nearly 27 years in February. Also, U.S. wholesale prices surged 1.6% last month on higher energy and food prices.’

U.S. Stocks in Red, Though Markets Cut Early Losses Amid Fed Optimism [ Fed optimism? You mean ‘fed b*** s*** ‘! Yes, we’re spoon fed ‘fed b*** s*** ‘. The same ‘no-recession’ b*** s*** that wall street frauds are made of and thrive on. What do you expect them to say? After all, it’s the fed’s incompetence, complicity and wall street’s greed, fraud! ] Midnight Trader (see infra)

The sad, hypocritical retirement of Evan Bayh Klein (Washington Post) [ What’s so sad about it? Maybe only that the entire congress hasn’t stepped down with him, along with ‘wobama the b’ and the rest of his executive branch except law enforcement, and that other so-called judicial branch of plushly accoutered lifetime appointees. After all, someone must bear responsibility for the pervasively corrupt, defacto bankrupt state of the nation. If not them, then who. In the figurative (and I mean figurative not literal) sense, we should all burst out with that familiar refrain from ‘Another one bites the dust’.]

Obama Laments He’s Not President Of Communist China [ Time to relieve wobama the b’ (for b* s) of his burden by impeaching / removing him from office without delay! He may not have been the first black president (Clinton is generally considered the first black president by blacks and whites alike, a moniker Clinton accepted and wore proudly – that 18% vote), but he is certainly the last! Drudgereport: `City Lowers Police Testing Standards Because Not Enough Blacks Passed...` `Under pressure from Obama administration... Illinois mayor says Obama still owes city $55,457... Obama to party with Washington reporters...` `Golf in the afternoon...` ] Weekly Standard | “Mr. Obama has told people that it would be so much easier to be the president of China.” Dave’s Daily: ‘…Where is the president? This has been a universal question raised by both right and left. Obama appeared on ESPN to go over his NCAA basketball bracket, is hosting a $30K a plate fund raiser in Harlem and heads this weekend to Rio. The president's disconnect is beyond belief and his ears have turned to tin…’ Obama Plays While Japan Begs for Help [ ‘Wobama the b’ (for b s*) is a typical ‘*************’ … Go ahead, fill it in … whatever comes to mind … don’t feel guilty, he’s already a failed president who should be impeached / removed from office without delay and a total incompetent and fraud. ] Paul Joseph Watson & Alex Jones | With the world on fire, the President goes AWOL again … ’ Financialization and Our Increasingly Unstable Economy Roche ‘I finally got around to seeing the movie Inside Job, the story behind the credit crisis and winner of the Academy Award for best documentary. It’s very good and I highly recommend it to anyone who hasn’t seen it. It will certainly infuriate you. The movie doesn’t place nearly enough blame on homeowners, but all in all it does an excellent job of showing how Wall Street and government have become overrun by deregulation and sheer greed. A combination of flawed economic theory and greed have combined to create the beast that we now call a “functioning” economy. The worst part of it all is that President Obama, who vowed change, has done almost nothing to fix any of it and in fact continues most of the policies that helped get us here in the first place. …’ ‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b* s* ………all of the above, some of the above ……….. or is it something else …… here’s a hint - `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post** | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

’Inside Job’ New Documentary Exposes Wall Street Fraud And How Banksters Continue To Steal Our Money

Web site Link / Path to archived file: http://www.albertpeia.com/insidejob.flv [45mb ]

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

] Former general counsel inherited part of a Bernard Madoff account.

Ethics code urged for Supreme Court (Washington Post) [ Sounds like a plan! Come on! Wake up! After all, what can you expect from two guidos from ‘jersey (alito and scalia, colloquial – note that I have refrained from using what some might consider disparaging terms as w*p*, gui***s, or da***s … and let me state for the record that I truly loved and respected my grandmother who was 100% Italian/Bari,Italy and as well my grandfather/Lake Como,northern Italy with greek ancestral roots and I thereby claim standing/right to posit the criticism in light of my direct experience. ). How ‘bout starting with enforcing laws as to judges, liars, etc., within the very corrupted american illegal system; and, particularly bribes which in one form or another are rampant . I don’t know about Thomas ( 3-4-11 Throw Clarence Thomas Off the Bench (The Daily Beast) ) , but I do know about alito and ‘jersey … :

October 15, 2010 (*see infra)

Steven M. Martinez, Assistant Director In Charge
Federal Bureau of Investigation, USDOJ
11000 Wilshire Blvd., Suite 1700

Los Angeles, CA 90024

Dear Sir:

I enclose herewith 3 copies of the within DVD rom autorun disk (which will open in your computer’s browser) as per your office’s request as made this day (the disk and contents have been scanned by Avast, McAfee, and Norton which I’ve installed on my computer to prevent viral attacks / infection and are without threat). I also include 1 copy of the DVD as filed with the subject court as referenced therein (which files are also included on the aforesaid 3 disks in a separate folder named ‘112208opocoan’). The (civil) RICO action (as you’re aware, the RICO Act is a criminal statute which provides a civil remedy, including treble damages and attorney fees, as an incentive for private prosecution of said claims probably owing to the fact that the USDOJ seems somewhat overwhelmed and in need of such assistance given the seriousness and prevalence of said violations of law which have a corrupting influence on the process, and which corruption is pervasive). A grievance complaint against Coan was also filed concurrently with the subject action and held in abeyance pending resolution of the action which was illegally dismissed without any supporting law and in contravention of the Order of The Honorable Robert N. Chatigny, Chief Judge, USDC, District Connecticut. The files below the horizontal rule are the referenced documents as filed. (Owing to the damage to the financial interests of both the U.S. and the District of Congresswoman Roybal-Allard, viz., Los Angeles, the Qui Tam provisions of the Federal False Claims Act probably would apply and I would absent resolution seek to refer the within to a firm with expertise in that area of the law with which I am not familiar).

The document in 5 pages under penalty of perjury I was asked to forward to the FBI office in New Haven is probably the best and most concise summary of the case RICO Summary to FBI Under Penalty of Perjury at Their Request (5 pages) [ ricosummarytoFBIunderpenaltyofperjury.pdf http://albertpeia.com/ricosummarytoFBIunderpenaltyofperjury.pdf ].

The correspondence I received from the Congresswoman by way of email attachment (apparent but typical problem with my mail) along with my response thereto is included on the 3 disks as fbicorrespondencereyes.htm . With regard to the calls to the FBI’s LA and New Haven, CT offices: There was one call to the LA office and I was referred to the Long Beach, CA office where I personally met with FBI Agent Jeff Hayes to whom I gave probative evidentiary documents of the money laundering which he confirmed as indicative of same (he was transferred from said office within approximately a month of said meeting and his location was not disclosed to me upon inquiry). The matter was assigned to FBI Agent Ron Barndollar and we remained in touch for in excess of a decade until he abruptly retired (our last conversation prior to his retirement related to the case and parenthetically, Rudy Giuliani whose father I stated had been an enforcer for the mob to which he registered disbelief and requested I prove it, which I did – he served 12 years in prison, aggravated assault/manslaughter? – and no, there is no Chinese wall of separation – Andrew Maloney’s the one that prosecuted gotti).

In contradistinction to the statement in said correspondence, there is a plethora of information including evidence supporting the claims set forth in the RICO VERIFIED COMPLAINT (see infra). Such includes and as set forth in the case, inter alia,

A judgment had been entered in my favor in the case, United States District Court Case #3:93cv02065(AWT)(USDCJ Alvin Thompson), worth approximately now in excess of $300,000 remains unaccounted for and which could be used for payment to creditors, Los Angeles, etc..
Counsel Robert Sullivan on my behalf documented by way of certification upon investigation that Alan Shiff, USBCJ, had falsely stated a dismissal upon which false statement he predicated a retaliatory and spurious contempt proceeding against me causing substantial damage, and for which he sought Judicial Notice of those and related proceedings as did I in some of my filings.
The Order of Dismissal With Prejudice by Alan Shiff, USBCJ, owing to Defendant Coan’s failure to file anything whatsoever by the court’s deadline causing creditors and me substantial damages: [ Shiff Order of Dismissal With Prejudice on Coan’s Failure to File Page 1 Page 2 ]
Defendant Coan had filed an action against me to prevent me from suing him which necessitated me to fly to Connecticut for a hearing before The Honorable Robert N. Chatigny, Chief Judge, USDC, District of Connecticut, who denied Coan’s requested relief as to Coan but precluded my action against Shiff (although there is no immunity, judicial or otherwise, for criminal acts, ie., fraud connected with a case under Title 11, USC, etc.) . [ transcript in pertinent part - crossexamofcoanbypeia.pdf ]
Newly appointed judge, Maryanne Trump Barry, Donald Trump’s sister, was assigned the RICO case despite the conflict of interest in light of hundreds of thousands of dollars of illegal (drug) money being laundered through the Trump casinos by the RICO defendants, and despite my motion to recuse her which motion she heard herself and denied, and U.S. Trustee Hugh Leonard with whom I met personally refused to join or file a separate motion to recuse and not long thereafter left said office for private practice at Cole, Shotz, et als on retainer with the RICO defendants as his primary client.
Probative and evidentiary documents, affidavits, exhibits, including those turned over to FBI Agent Jeff Hayes in Long Beach, CA, had been given to Assistant U.S. Attorney Jonathan Lacey with whom I met personally at the U.S. Attorney’s Office in Newark, N.J., at which time Samuel Alito was U.S. Attorney, and went over said documents and their probative value with him. Within approximately a month thereafter upon inquiry I was told that Jonathon Lacey was no longer with the office, that the file/documents could not be located, and that there was no further information available concerning contacting him or his location. I thereupon delivered by hand, copies of said documents to the office of then U.S. Attorney Alito, addressed to him, with assurance they would go directly to him. In addition to being inept [ I looked in on the one mob case he had brought, bungled, lost (accidently on purpose?) since I was suing some mob-connected under RICO and the court (I had known / previously met outside of court the judge Ackerman through a client) was absolute bedlam and a total joke since incompetent corrupt Alito brought in all 20 mob defendants (rather than prosecute one or a few to flip them first) who feigning illness had beds/cots in the courtroom along with their moans during testimony and had the jury in stitches. As much as I hate the mob, it truly was funny, if not so tragic.], Alito is also corrupt (and maybe corrupt because he is inept). After a reasonable (but still rather short) time I called to determine the status and was told that Alito was no longer with the Office of the U.S. Attorney, that he was (appointed) a federal judge, and that neither the documents nor any file or record of same could be located. Alito did parley the same / cover-up into quid pro quo direct lifetime appointment to the Court of Appeals, 3^rd circuit, despite the absence of judicial experience or successful tenure as U.S. Attorney (Maryanne Trump Barry as well). This is the same Sam Alito that now sits on the purported highest court in the land. The real application of the illegal rule ‘don’t ask, don’t tell’.

There is applicable insurance / surety coverage and neither LA, nor creditors, nor I should continue to have been damaged by this brazened corrupt and illegal scenario, which should be resolved in accordance with the meaningful rules of law apposite thereto.

Sincerely,

Albert L. Peia

611 E. 5^th Street, #404

Los Angeles, CA 90013

(213) 219-**** (cell phone)

(213) 622-3745 (listed land line but there are unresolved problems with the line, computer connection may be the reason but I hesitate to chance greater non-performance / worsening by their ‘fix’ so cell phone best for contact).

] Group of law professors' appeal comes after controversies involving travel and appearances at political events by several justices.

Why your local Hospital could soon shut down (Ad) http://www.stansberryresearch.com/pro/1011PSIENDVD/LPSILC43/PR [ The instant video on the economic / financial collapse from Stansberry and Associates is so well researched and succinctly presented that I’ve archived same on my website; also, because the facts and views presented comport with the facts and views I’ve presented on my site which I believe to be correct. This is a must-view, must-see that I strongly recommend!
The complete url: http://www.albertpeia.com/stansberrysinvestmentadvisory.flv ( 146mb – approx. 1 hr. 17 min. ) http://www.albertpeia.com/stansberrysinvestmentadvisory.mp4 ( 374mb ) Written text of presentation (without pictures / charts) http://www.albertpeia.com/stansberrypresentation.htm ]

(Washington Post) [Wobama says daffy gaddafi’s time is up, got to go. The same can be said of wobama et als and his fraudulently failed presidency. Sheen On Obama: “A Coward In a Cheap Suit” [ I think Sheen to be too gentle in his criticism of wobama (Some might reflexively, defensively allege drugs (prescription or otherwise) or any number of the varied personality disorders so prevalent in america … ‘fuzzy, California laid back thinking’, ‘whatever’… Who knows? ) But, that said, wobama’s far worse than just a ‘coward in a cheap suit’. Indeed, Wobama’s a total fraud having been elected under false pretenses; viz., his total, unequivocal, and unfulfilled b* s* (those campaign promises) ! Moreover, there has been some persuasive documentation questioning wobama’s citizenship / birthplace placing his eligibility to even hold the office of president in question. Drudgereport:`UPDATE: Huckabee claims Obama grew up in Kenya...` The Obama Nation, by Jerome Corsi Rezko was corrupt, and supported Obama in many campaigns as well as in Obama buying his home -- and therefore, according to Corsi, Obama is corrupt by ...www.ontheissues.org/Obama_Nation.htm ] Amidst the controversy of his wild interview on the Alex Jones Show yesterday, actor Charlie Sheen wasted little time in confronting President Barack Obama on his failure to answer Sheen’s twenty questions concerning 9/11, calling Obama, “a coward in a cheap suit.” A Government Shut-down Imperils the Power of Congress Paul Craig Roberts | Congress could try to protect its loss of the power of the purse by impeaching Obama. Drudgereport: `WOBAMA 'IMPEACHMENT' WARNING...` `...to announce exploratory committee 'in 10 days'` Globalist Shill Barack Obama Asks Business Leaders For Job Creation Ideas Even As He Ships More Of Our Jobs Overseas As Part Of The New One World Economy The other day, Barack Obama summoned a group of business and labor leaders to the White House and “challenged” them to come up with some great ideas for creating more jobs inside the United States. Public confidence in Obama reaches new low (Washington Post). Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’: Public confidence in Obama reaches new low (Washington Post) Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’:

But still it’s ‘hands off fraudulent wall street’ to theirs, the nation’s, and the world’s detriment. Firms subpoenaed in attempt to regain Fannie, Freddie losses (Washington Post). But there’s a reason:

The following youtube video is well worth the look and explains how and why the frauds on wall street have gotten away with their devastating fraud thus far. The frauds on wall street et als should be criminally prosecuted, jailed, fined, and disgorgement imposed. ( `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ):

‘THE OBAMA DECEPTION’ http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 – well worth a look. [ The Obama Deception Number 1 on U.S. Google Trends ]

While boner and barton are indeed jokes / vegetables that bespeak the single-digit approval rate for congress, obama’s failure to deliver on promises with as well, endless war spending despite defacto bankruptcy of the nation and a watered down nothing financial regulation bill for talking points but little substance, make him as big a joker, along with the dems. This well researched / produced video tells the real story : http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 ‘THE OBAMA DECEPTION’ – well worth the view. [ The Obama Deception Number 1 on U.S. Google Trends ]

‘The Obama Deception’ Censored A viral You Tube upload of one of Alex Jones’ most popular feature films ‘The Obama Deception’ has been censored following a spur of the moment campaign to elevate the movie’s title to the top of the major internet search engines. In light of this development, I provide an archived site version which appears to be complete (but will be compared with earlier version and replaced with same if incomplete) http://albertpeia.com/obamadeceptionhighqualityversion.flv

Then there is the well researched, produced, and informative ‘ESOTERIC AGENDA’ which explains how we’ve gotten to this forlorn point: http://video.google.com/videoplay?docid=-7052400717834950257# For the Same Reason I’ve Included Here a Web Site Archived FLV Version of Esoteric Agenda http://albertpeia.com/esotericagenda.flv

World's richest are almost $1 trillion richer [ And the other 95% trillions poorer. ]

Lessons from the long tail of improbable disaster (Washington Post) [ No! I disagree with the implication of the article! Modern life advantages? What, new fangled frauds? That was the bottomline to the real estate debacle; that is, the ‘pretend’ was creating an ongoing plethora of profits derived from literally worthless paper. If not for financial incentive (from fraud), and certainty of prosecution for the fraud (to date such has not occurred), this still extant debacle in the trillions would not have occurred. Moreover, and this is not 20/20 hindsight, I had no idea of the prevalence of earthquakes in Japan (but was aware of their nuclear energy commitment) and clearly, conscious decisions for the sake of extra profits were made regardless of risk. Some (ie., earthquake-prone) nations just have to suck it up and make do without nuclear (and pay more for fossil fuels, etc., which would affect margins). The BP disaster was the consequence of a known flaw, even warned against by personnel close to the debacle (the solution possibly affecting executive bonuses, yacht, plane, exotic vacation home, etc.). New Orleans? … well, who’d want to live there anyway outside of the Mardi Gras celebration…just kidding. All the attention in the world does not change the ‘facts of life’. No, not those facts of life, but reality. ] The lesson of disasters such as the one in Japan is that more attention must be paid to extra risks that come with all the advantages of modern life

Hidden workforce hinders recovery (Washington Post) [ Come on! Get real! They’ll never give up that ‘fudge factor’ that gives them cover for their prevarication and continued wall street churn and earn bubble fraud. ] The biggest challenge to the nation’s economic recovery is Americans who have stopped looking for new jobs.

This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b* s* alone is an especially great opportunity to sell / take profits while you can since there's much worse to come!

YAHOO [BRIEFING.COM]: ‘…Data generally disappointed today. First on the list of releases is a housing starts report that showed a 22.5% drop in February to an annualized rate of 479,000 units, which is not only considerably less than the 575,000 units that had been forecasted, on average, by economists surveyed by Briefing.com, but also the slowest rate in almost two years. Building permits for February were also discouraging. They fell 8.2% from the prior month to an annualized rate of 517,000, which is less than the 573,000 that had been broadly expected…’

AP Business Highlights: On Wednesday March 16, 2011, 6:54 pm EDT ‘Higher prices for food are about to get worse WASHINGTON (AP) -- Americans are noticing higher prices at the grocery store, and it's about to get worse. Food prices at the wholesale level rose last month by the most in 36 years…’

Currency Meltdown Coming USA Watchdog | A ball of debt is growing. It is on course to swamp the system.

US food price rise is steepest in decades London Telegraph | Food prices in America soared at their fastest rate since the 1970s last month.

The Unbearable Lightness Of TARP Reporting The Daily Bail | Credit markets were NOT “frozen” during the crisis.

Yen Hits Highest Against Dollar Since 1995 on Radiation Concern The yen reached its strongest level since 1995 versus the dollar as risk of radiation leaks from crippled nuclear plants in Japan added to speculation insurers and investors will redeem overseas assets to pay for damages.

Foreign bankers flee Tokyo as nuclear crisis deepens Foreign bankers are fleeing Tokyo as Japan’s nuclear crisis worsens, scrambling for commercial and charter flights out of the country and into other major cities in the region.

Radiation In Ibaraki Rises To 300 Times Normal As Fukushima Evacuated, DOCOMO To Limit Up To 80% Of Voice Calls In Chiba, Ibaraki, 50% In Tokyo A choppy futures session has seen some modest profit-taking in line with Nikkei trading, following news that all TEPKO personnel around Fukushima are to be evacuated due to abnormally high radiation levels.

Nikkei Surges As BOJ Injects Another ¥3.5 Trillion: Just Add It To The Existing ¥23 Trillion Plunge Protection Tab It’s another day for the BOJ, which more than anything is hell bent on preventing a rerun of last night’s tumble in the futures to a 7 handle.

National / World

Fukushima nuclear power plant in Japan — a dirty bomb waiting to go off Mike Adams | Far worse than a terrorism attack.

NRC Says Spent Fuel Pool at Unit Four Lost Massive Amounts of Water ABC News | The Japanese quickly challenged statement, but gave few details saying only that the situation at the holding pool was “stable.”

Governments, Corporations Push Cover-up of Japanese Nuclear Nightmare Kurt Nimmo | Government secrecy is the rule of the day and the health and welfare of citizens ranks low.

Obama Plays While Japan Begs for Help Paul Joseph Watson & Alex Jones | With the world on fire, the President goes AWOL again.

Water in Pool Storing Spent Nuclear Fuel Rods May Be Boiling, Sign for Release of Radioactivity Washington’s Blog | Damaged fuel rods emit radioactive substances.

Radiation Contaminated Wind to Blow Toward U.S. Reuters | The wind speed will get stronger in the afternoon, blowing as fast as at 12 meters (39.4 ft) per second.

Exodus from a nuclear nightmare Daily Mail | Those inside the cars and trucks were fleeing for their lives, terrified about what might happen next.

Workers abandon Japan nuclear plant as crisis worsens Reuters | Japan’s nuclear crisis appeared to be spinning out of control on Wednesday.

Fukushima nuke plant situation ‘worsened considerably’ Kyodo News | ”This accident can no longer be viewed as a level 4 on the International Nuclear and Radiological Events scale that ranks events from 1 to 7.”

Massive Cover-Up Of Radiation Levels In Fukushima Prefecture A data map of radiation levels in Japan posted on the TargetMap website has omitted information from the Fukushima Prefecture where nuclear reactors are currently melting down.

Nuclear Crisis Live: 48 Hours To Avoid “Chernobyl On Steroids”? The IAEA says that the temperature of the pool at reactor 4 was 84C on Tuesday morning. On Wednesday morning, it was 62.7C at reactor 5 and 60C at reactor 6. Current reports say the pools at both reactors 3 and 4 are boiling. Reactor 4′s pool may even be dry.

Obama Fiddles While Fukushima Burns History tells us that Nero fiddled while Rome burned, but Barack Obama is providing the famous emperor with some serious competition when it comes to going AWOL while America and the world face crises the likes of which haven’t been experienced in decades.

EPA Increases radiation monitoring In U.S. The EPA plans to work with its federal partners to deploy additional monitoring capabilities to parts of the western U.S. and U.S. territories.

Plant workers may undertake “suicide mission” to avert total meltdown “We’re very close now to the point of no return,” Dr. Michio Kaku, a theoretical physicist, said. “It’s gotten worse. We’re talking about workers coming into the reactor perhaps as a suicide mission and we may have to abandon ship.”

U.S. forces kept 50 miles away from Japan nuke plant U.S. forces in Japan are not allowed within 50 miles of Japan’s crippled nuclear power plant, the Pentagon on Wednesday, explaining measures meant to keep troops safe during a relief operation.

Alert: Radiation from Stricken Japanese Plant Reaches Alaska? Radiation from the Fukishima Daiichi nuclear power plant disaster has reached Alaska, according to the state commissioner of health and social services in that state. He said the state has detected a “very small increase in radiation levels – well below levels that would be a health concern.”

Newly Released Images Show Devastated Nuclear Reactors The Tokyo Electric Power Company has released new images that show the devastated nuclear reactors at the stricken Fukushima plant, as authorities confirm that a second reactor containment vessel has been damaged, leading to yet more deadly radiation being released into the atmosphere.

French claim Japan is hiding full scale of nuclear disaster The French government accused the Japanese of losing control of the situation and hiding the full scale of the disaster.

27 Signs That The Nuclear Crisis In Japan Is Much Worse Than Either The Mainstream Media Or The Japanese Government Have Been Telling Us How much of a threat is the nuclear crisis in Japan? That question is on the minds of millions of people around the globe tonight. The Economic Collapse March 16, 2011

`LATEST: Japan Now Using Helicopters to Dump Water on Smoking Reactors...`

(Washington Post) [ Comments COMMENTS ARE CLOSED WHILE WE UPGRADE OUR SYSTEMS ]

Lessons from the long tail of improbable disaster (Washington Post) [ No! I disagree with the implication of the article! Modern life advantages? What, new fangled frauds? That was the bottomline to the real estate debacle; that is, the ‘pretend’ was creating an ongoing plethora of profits derived from literally worthless paper. If not for financial incentive (from fraud), and certainty of prosecution for the fraud (to date such has not occurred), this still extant debacle in the trillions would not have occurred. Moreover, and this is not 20/20 hindsight, I had no idea of the prevalence of earthquakes in Japan (but was aware of their nuclear energy commitment) and clearly, conscious decisions for the sake of extra profits were made regardless of risk. Some (ie., earthquake-prone) nations just have to suck it up and make do without nuclear (and pay more for fossil fuels, etc., which would affect margins). The BP disaster was the consequence of a known flaw, even warned against by personnel close to the debacle (the solution possibly affecting executive bonuses, yacht, plane, exotic vacation home, etc.). New Orleans? … well, who’d want to live there anyway outside of the Mardi Gras celebration…just kidding. All the attention in the world does not change the ‘facts of life’. No, not those facts of life, but reality. ] The lesson of disasters such as the one in Japan is that more attention must be paid to extra risks that come with all the advantages of modern life

The sad, hypocritical retirement of Evan Bayh Klein (Washington Post) [ What’s so sad about it? Maybe only that the entire congress hasn’t stepped down with him, along with ‘wobama the b’ and the rest of his executive branch except law enforcement, and that other so-called judicial branch of plushly accoutered lifetime appointees. After all, someone must bear responsibility for the pervasively corrupt, defacto bankrupt state of the nation. If not them, then who. In the figurative (and I mean figurative not literal) sense, we should all burst out with that familiar refrain from ‘Another one bites the dust’.]

Obama Laments He’s Not President Of Communist China [ Time to relieve wobama the b’ (for b* s*) of his burden by impeaching / removing him from office without delay! He may not have been the first black president (Clinton is generally considered the first black president by blacks and whites alike, a moniker Clinton accepted and wore proudly – that 18% vote), but he is certainly the last! Drudgereport: `City Lowers Police Testing Standards Because Not Enough Blacks Passed...` `Under pressure from Obama administration... Illinois mayor says Obama still owes city $55,457... Obama to party with Washington reporters...` `Golf in the afternoon...` ] Weekly Standard | “Mr. Obama has told people that it would be so much easier to be the president of China.”

World's richest are almost $1 trillion richer [ And the other 95% trillions poorer. ]

Lessons from the long tail of improbable disaster (Washington Post) [ No! I disagree with the implication of the article! Modern life advantages? What, new fangled frauds? That was the bottomline to the real estate debacle; that is, the ‘pretend’ was creating an ongoing plethora of profits derived from literally worthless paper. If not for financial incentive (from fraud), and certainty of prosecution for the fraud (to date such has not occurred), this still extant debacle in the trillions would not have occurred. Moreover, and this is not 20/20 hindsight, I had no idea of the prevalence of earthquakes in Japan (but was aware of their nuclear energy commitment) and clearly, conscious decisions for the sake of extra profits were made regardless of risk. Some (ie., earthquake-prone) nations just have to suck it up and make do without nuclear (and pay more for fossil fuels, etc., which would affect margins). The BP disaster was the consequence of a known flaw, even warned against by personnel close to the debacle (the solution possibly affecting executive bonuses, yacht, plane, exotic vacation home, etc.). New Orleans? … well, who’d want to live there anyway outside of the Mardi Gras celebration…just kidding. All the attention in the world does not change the ‘facts of life’. No, not those facts of life, but reality. ] The lesson of disasters such as the one in Japan is that more attention must be paid to extra risks that come with all the advantages of modern life

This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b* s* alone is an especially great opportunity to sell / take profits while you can since there's much worse to come!

Marc Faber On The Japanese Disaster, On A 20% Market Correction And On QE18 Marc Faber appeared earlier on CNBC in response to a plunging market, and gave his latest updated outlook on QE3… and 4, 5, 6, 7 and 8 (not to mention 18). Tyler Durden Zero Hedge March 15, 2011 ‘Marc Faber appeared earlier on CNBC in response to a plunging market, and gave his latest updated outlook on QE3… and 4, 5, 6, 7 and 8 (not to mention 18). “We may drop 10 to 15 percent. .. Faber was modestly constructive on the Japanese selloff, which at one point hit 18% down in overnight futures trading: “This huge selloff is an investment opportunity in Japanese equities, but if a meltdown occurs then all bets are off.” As usual, there is no love loss between Faber and the Chairsatan (recall that today’s Empire Manufacturing survey confirmed margins continue to be crushed due to surging input costs): “I think Mr. Bernanke doesn’t know much about the global economy but he probably watches the S&P every day.” And on Fed criticism: “”Until very recently the Feds have had very few critiques, very few people criticized the Fed’s policies under Mr. Greenspan and Mr. Bernanke. Over the last few months, a lot of critical comments have come up about the Fed and its money-printing habit. The S&P drops 20 percent (and) all the critics will be silent and they will all applaud new money-printing.” No fear of that here: Zero Hedge has been rather vocal in our opinion of the world’s most destructive central planning buro from day one. We will continue being so, regardless how low the S&P plummets… Perhaps even to its fair value south of 500.’

Poll: Support for Afghan war waning (Washington Post) [ Waning? When have these nation-bankrupting, perpetual war policies been other than ‘waning’, except among the zionists, neocons, war criminals, military industrial complex, war profiteers, etc.. It was opposition to these perpetual war policies that got ‘wobama the b’ (for b*** s***) elected, only to be revealed for the blatant liar / fraud that he truly is. ]

This is the grim economic reality http://albertpeia.com/grimreality.htm . This manipulated bubble in this secular bear market based on b* s* alone is an especially great opportunity to sell / take profits while you can since there's much worse to come!

World's richest are almost $1 trillion richer [ And the other 95% trillions poorer. ]

Saudi troops intervene in Bahrain (Washington Post) [ This most assuredly is exactly that; viz., a ‘declaration of war’. And, as importantly, the militant / transgressor is hardly a righteous player but rather a self-interested, totalitarian, family plutocracy whose actions cannot be supported by any criteria heretofore promulgated precluding same. Saudi police open fire at protest (Washington Post) [ Time to revoke the saudi pass to do whatever please owing to their preposterous claim to all the oil wealth of the entire Saudi nation. 16 miles away, Saudi Arabia's watchful eye looms over Bahrain unrest (Washington Post) [ I’m sure they are… with a microscope at that. Saudis Worried Protests Will Hit Home - saudi arabia; talk about do nothing hypocrites. How does one family claim ownership of all the oil reserves of a sovereign nation; I suspect only when foreign corporations say so For the sake of the saudi Arabian people, more than just protests should come to fruition! ] AFP | Saudi royal warns Arab world uprisings could cause harm unless they reform. Bahrain authorities launch surprise attack on protesters [There’s the america and saudi Arabia effect; far less than democratic and far more deadly in the mideast among other places; talk about hypocrites. How does one family claim ownership of all the oil reserves of a sovereign nation as the saudis; time for the saudis to go the way of dictator Mubarak and take the war criminal americans with them. ] Los Angeles Times Tear gas canisters bombard sleeping protesters in Manama's Pearl Square. At least two men are reported killed Video: Bahrain protesters look to emulate Egypt revolt euronews Riot Police Attack Bahrain Protesters Voice of America ‘Saudi Arabia sending troops to Bahrain’ Saudi Arabia is sending troops to Bahrain in a move to crack down on pro-democracy protesters who took to the streets in the capital Manama, a political analyst says. [`SAUDIS TOLD OBAMA 'NOT TO HUMILIATE MUBARAK'`] Opposition calls move to shore up monarchy and quell protests a “declaration of war.”

Store shelves empty even outside disaster zone as panic buying grips Japan (Washington Post) [ I think the term ‘panic-buying’ with its connotation of ‘overreaction’ is a misnomer and misapplied to this unprecedented catastrophe. I further believe that the magnitude of the fallout, literally and figuratively, economically and otherwise, cannot be overstated in being far more dire in negatively impacting already dour global economic prospects. ] TOKYO - Canned goods, batteries, bread and bottled water have vanished from store shelves and long lines of cars circle gas stations, as Japan grapples with a new risk set off by last week's earthquake, tsunami and ensuing nuclear crisis: panic-buying.

Controversey Over Bonuses (Washington Post) : I think an appropriate bonus for anyone on capital hill is an all-expenses-paid trip to ………… JAIL! Fed meets as risks widen; policymakers aim to guard against inflation while fostering growth (Washington Post) [ Come on! Let’s not kid each other! The fed’s failed on both counts, continuing the policies of failure ushered in by the senile greenspun… This is the grim economic reality http://albertpeia.com/grimreality.htm . This manipulated bubble in this secular bear market based on b*** s*** alone is an especially great opportunity to sell / take profits while you can since there's much worse to come! … Who, Besides Ben Bernanke, Wants to Buy (u.s.) Bonds? Well, PIMCO just voted with their feet (they’re out of them) … Japansunami will preclude same (note: despite the dire implications for defacto bankrupt america owing to their costly reconstruction preoccupation … market suckers’ rally into the close and off the lows to keep investors suckered … you can do such things, especially into the close, with those computerized high frequency trade programs which are great for generating commissions from the old ‘in-out, in-out’, and then some … these days like last crash / crisis are made for such frauds.) … don’t go looking to china to take more baths, especially with that recent trade deficit of theirs. The answer is no-one! And, one can begin to see the fed’s reluctance to alow proper scrutiny of their books ( technically ‘insolvent’ but printing ever more worthless paper); beyond their complicity in the massive wall street frauds cashed out with their help, there’s the worthless ‘paper on paper’ debacle just around the corner. ] WASHINGTON - The Federal Reserve meets Tuesday at a time of widening economic risks: higher oil and food prices; unemployment near 9 percent; crises in the Middle East and Japan.

Operators struggle to stabilize nuclear plants Attempts to cool Fukushima Daiichi reactors have failed (Washington Post) [ ‘China Syndrome’ … now being third after China, economically speaking, is the least of Japan’s worries. While never really giving it much thought, though seemingly 20/20 hindsightish (it’s really not), I always assumed now admittedly unrealistically, that nuclear plants were built in nonearthquake-prone-zones. Clearly, that’s not the case in Japan and I all but wonder where else. ] Some 170,000 evacuated, 160 possibly exposed; other facility declares state of emergency.

Monday's Correction: Now That's a Black Swan Tradermark ‘The seemingly widespread issues with nuclear plants in Japan are certainly not something one typically has to deal with in the market. Generally you expect media to overplay things, so after the quake Friday, it has been a surprise to see the nuclear situation getting seemingly progressively worse as each day passes, so we definitely have this affecting sentiment. Japan fell over 6% overnight, and U.S. markets are at fresh lows as this mini 'black swan' overwhelms the normal Monday morning garbage. [chart] I said Friday it would actually be in the bears' interest for a rally to work off some of the oversold condition, and then we'd (in a normal market) see another leg back down. Certainly due to the news, we did not get more than a 1 day bounce - but this is how sell-offs usually occur. While still prone to news which can herk and jerk us around, this market definitely now seems to be in correction mode with the S&P 500 quickly fading back the 50 day. One could make bets against the index with the 50 day as your ceiling. Usually a real correction begins with everyone thankful there is a "buying opportunity" but ends when people feel actual consternation. Right now, almost everyone is just thankful they have a chance to get in, hence I'd think there is more downside ahead from a sentiment standpoint.’

Who, Besides Ben Bernanke, Wants to Buy (u.s.) Bonds? [ Well, PIMCO just voted with their feet (they’re out of them) … Japansunami will preclude same (note: despite the dire implications for defacto bankrupt america owing to their costly reconstruction preoccupation … market suckers’ rally into the close and off the lows to keep investors suckered … you can do such things, especially into the close, with those computerized high frequency trade programs which are great for generating commissions from the old ‘in-out, in-out’, and then some … these days like last crash / crisis are made for such frauds.) … don’t go looking to china to take more baths, especially with that recent trade deficit of theirs. The answer is no-one! And, one can begin to see the fed’s reluctance to alow proper scrutiny of their books ( technically ‘insolvent’ but printing ever more worthless paper); beyond their complicity in the massive wall street frauds cashed out with their help, there’s the worthless ‘paper on paper’ debacle just around the corner.]

Looking Like A Good Time To Sell Into Strength - Harding ‘Many important global stock markets, including China, Brazil, India and Hong Kong, have been in fairly significant corrections since November, down between 12% and 17%. Their major concerns have been rising inflation and the resulting monetary tightening by their central banks to combat the inflationary pressures...So was this week’s stumble the beginning of a more serious correction? The events and reports this week did provide more evidence that the stock market may be ahead of reality regarding prospects for the economy, and therefore corporate earnings, going forward, which should at least limit the market’s upside potential. Limited upside potential equals more downside risk? It might be wise to lighten up some into strength that may develop over the next few days during the ‘monthly strength period.’

The markets technically are at critical junctures right now. Stock prices are at the point of very possibly getting squeezed to an upside breakout as some have forecasted, and to a downside breakdown as some others, including me, have forecasted (not to mention what the market is showing currently). I don’t see fundamental, technical or sentiment information supporting higher stock prices right now; rather, technical fundamental analysis -- and even more importantly, sentiment indicators -- are showing that the market is heading lower before heading higher again.

I would also suggest that the major index support levels I’ve listed below may not hold either, with more downside from these levels longer-term. Below are more reasons to be at least cautious and/or short-selling right now.

March 14, 2011 Major Index Price Support Forecasts

DJIA – 11,839.93 to 11,485.37

S&P 500 – 1,227.95 to 1,156.06

Nasdaq – 2,557.06 to 2,382.12

Is the Bear Market Back? Reasons to be Cautious

Oil and Stock Prices

Oil prices fell on Thursday and Friday, as did stocks. Lower oil prices help global growth, and higher oil prices slow it down. Seems to me the oil market is saying if global growth slows down due to high oil prices (or any other number of economic problems), it won’t support oil prices at these levels for very long. In my opinion, I don’t think global growth can handle oil at prices above $100 plus for very long; if so, oil demand destruction will set in eventually, causing lower global growth, and eventually lower oil prices to match up with that growth. Deflation first, inflation later -- as I’ve always said.

Global Broad Market Sell-Off

The sell-off last week was a global broad market sell-off. The global markets have been on an uptrend for the last two years. From my perspective, it’s been a bear market rally from the October 8, 2007 market top to the March 2, 2009 low, especially in the U.S. and Europe. Asia and the other emerging markets are now almost in lockstep with the developed markets, showing that what affects the major countries of the world affects the rest of the emerging growing world too.

Even the higher growth rates of the emerging markets don’t necessarily mean higher stock prices in those markets. I’ve yet to see different markets decouple for a sustained period of time. They always seem to follow the broad global markets in the long term, no matter what their good and bad news is.

European Union Sovereign Debt Problems Still There

Europe financial skeletons in the closet are making noise again, with Moody’s (MCO) Spain debt downgrade and the entire ECB sovereign debt problems re-awakening with the recent news. It seems the financial markets forgot about this very serious debt issue unfolding, and it's not over with yet in Europe. I suggest the same is coming for the U.S. eventually as well. It’s going to take years to clean up the sovereign debt mess, with some of those countries possibly ending up in default.

China’s Surprise Jump in Trade Deficit

China’s increasing trade deficit is another worry for the global economy. China had an unexpected $7.3 billion trade deficit report last week. China continues trying to slow down its economic growth. A friend of mine in China who’s not a financial analyst says it’s only a matter of time before the China real estate market in the metro areas declines much more. China real estate prices and rent in China's cities are “crazy” in relation to earnings, he says, and if there is a China and/or global slowdown, he sees China real estate prices and rent heading much lower.

If this happens, it could put a big squeeze on the Chinese government, the Chinese banks that hold the debt, and the economy as a whole. Famous short-seller Jim Chanos might just get his wish of a bigger China selloff. I don’t like the idea of short-selling China myself, but I wouldn’t be buying just yet either.

2009-10 Stock Price Rebound: Too Far Too Fast

The rebound in stock prices over the last two years has been too far, too fast compared to the actual economic growth in the same time period -- which is still the same as it was three years ago. With the severe sell-off that the market saw during 2007-08, it’s normal to have a rebound back to test the sell-off breaks which are now major resistance levels. The market is at those major resistance levels now. Because of this, I see at least near-term downside pressure on stock prices, and longer-term price downside if the bigger picture long-term fundamental issues don’t get worked out fast enough to support sustainable long-term economic growth.

Priced for Perfection?

The markets are showing more high-risk low-reward conditions now from my technical analysis. The market is showing no margin of safety in case the bulls are fundamentally wrong, which I think they are. The U.S. market seems to be priced for perfection, with the bears in hiding after this two-year bull run in the markets. I remind all the bulls that buying into a breakout after an already extended bull run can easily end up in a fake-out break-out, trapping new long positions. I think professional money managers know this well, suggesting more selling is to come. Retail investors take note and use caution taking on any new "buy long" positions here.

Over-Valued Market Valuation Now?

Market over-valuation is here with the S&P500 dividend yield below 2%, and cyclically-adjusted earnings at 24 times compared to the 16 times historical average. I suggest looking at earnings estimate revisions from Zacks Investment research for the best individual stock opportunities in the markets right now. Most stocks follow the broad market, but a select few buck the broad market. Zacks Ranks Earnings Revisions can help you to select stock by stock picks.

Analysts' earnings estimate revisions can go up and down with the psychology of the time, so your due diligence is crucial at this time. With the market prices up these last two years, some analysts have been increasing their company earnings estimates. The reality is that earnings estimates and their revisions can skew the analysis of any company with a false sense of future price performance confidence. Buying in on positive earnings estimate revisions and or real earning report increases is not necessarily a guarantee of increasing stock prices, so be careful.

Amateurs Want To Be Right and Professionals Want To Make Money

The retail public has been buying more stock this last year, which is another possible sell indicator. History has shown in the past that the public gets in and out of stocks at the wrong times, buying near the tops and selling near the bottoms.

Here’s the difference between an amateur armchair retail investor trader and a professional one: Amateurs want to be proven right most of the time. They will take huge drawdowns in an attempt to prove themselves right on a stock buy. Once they’ve taken more drawdown than they can handle financially and mentally, usually 50% or more, they throw in the towel and admit defeat.

Professionals, on the other hand, understand losses are a part of the game, and have a system to deal with increasing losses. It’s called stop-loss. Depending on the stock, and its volatility, the stop-loss amount to admit defeat and save your investment trading account is 8% loss per stock from the purchase price, even if it’s a blue-chip. Stop-loss is a tool to effectively manage money in the markets. Professionals use stop-loss, and retail investors need to use it more if they want to save their accounts.

Record Insider Selling Lately

Insider selling during the fourth quarter 2010 hit multi-year highs. Since then, insider selling has stayed strong. Insider selling or buying is not a standalone surefire way of knowing where the price of a stock is going, but there’s no one who better knows about a company’s future earnings prospects than its board of directors. If they are selling, and especially selling in big blocks, you should be paying attention, and very possibly selling too. You can always buy back the stock at any time.

Fundamental and Technical Analysis? Review the Current Market Sentiment Even More

Notice that what I’m citing is not just all about fundamental or technical analysis, but also involves a very important aspect of the markets: Sentiment or market psychology.

Money managers are saying it’s all "bull bull bull" again. Well, of course. If they don’t, they might be out of a job if the redemptions empty the mutual fund they're managing. With everyone a bull again, that’s one indicator to possibly be ready to move to the other side -- and fast -- in case the market tips too heavily to one side for too long. When everyone is leaning to one side for a sustained period of time, it might be prudent and very profitable for you to start reviewing the option of moving to the other side before everyone else does.

If you are fortunate to see a reversal opportunity, and take a reversal position, and then the reversal moves in your direction, it can be exponentially profitable with the reward-risk ratio very large in your favor, meaning the stop-loss to the "take profit" areas of the trade are extremely favorable. Reward-risk ratios of 3:1-plus are great.

In a market like this right now, some of the reward-risk ratios to the short-sell side may be approaching 5:1 to 15:1. Remember, successful investing and trading is about knowing what price you’re entering at, your stop-loss price you will exit at (with a small loss in case the position goes against you), and your take profit target areas to book a profit. This is total trade entry and trade management to be successful long-term in investing and trading the markets.

Investing and trading without a system is a plan for failure. If you want to succeed in the markets long-term, learn and manage your investing trading systems on a regular consistent basis.’

Buying Power Wasted?: Dave's Daily ‘It's ~~probably~~ not a good time for humor. I just wonder what was behind the immediate bounce higher off the opening gap lower Tuesday. Certainly it wasn't from any shred of good news. Oh wait, oil prices dropped and many believe the Fed will print money forever while keeping interest rates low. Further, markets were sharply short-term oversold right from the opening bell. Okay, I get it now. Still, you must wonder if buying power was wasted. Rumors dominate markets. One asserts the Japanese will shutter markets for the week because of margin calls. EWJ (iShares Japan ETF) actually closed green today. Why? Perhaps if the markets closed some can work some arbitrage just as done when Egypt markets were closed. The outcome of the nuclear mess in Japan remains influx with more earthquakes and radiation spreading. We are also witnessing the collapse of western and U.S. diplomacy. Gaddafi is going to win. He was a terrorist but then became a friend of sorts. When the violence was at its peak, western powers told him to leave. He didn't and now he looks to win and we look stupid since, what do we do now? Send Hillary over to have a nice chat with him? Next, Saudi Arabia invades Bahrain and the U.S. was uninformed. What's up with that? There was some economic news from the Empire Manufacturing report which was positive only if you didn't look at the inflationary prices paid component. The Fed also weighed-in with their interest rate report which came in as expected. The dollar was slightly lower, while commodities overall were sharply lower as investors fled risk and moved to the sidelines or bonds. Suffice it to say, this is a tough market to navigate. Volume was the heaviest we've seen in a long time and opening trades may have been a wash-out but it's too early to say. Breadth per the WSJ was decidedly negative. ‘

Damage Assessment - How Low can Stocks Go? Maierhofer ‘Simon Maierhofer, On Tuesday March 15, 2011, 6:08 pm EDT

Before we talk about how bad things could get and the key support level that may make the difference between correction and meltdown, I'd like to say a word about the Japan and the media.

Some people are news junkies, I am a headline junkie. Scouring headlines provides a quick read on the nations sentiment. Whether headlines are a reflection of national mood, or shape the national mood, that is a subject for another day.

Thinking about what happened in Japan puts things in perspective for many of us. There is more to life than analyzing the market's every move. The media vividly portrays the damage and heartbreak of a ravaged country.

Let's remember that even when the media moves on to the next hot topic, there remain many victims that need our support. At one point the media will forget about Japan as it did about Haiti, Chile, and Indonesia, but that doesn't mean that the suffering has miraculously been wiped away. Our support is needed even more so once the media loses interest.

Damage Assessment

No doubt the events transpiring in Japan (NYSEArca: EWJ - News) have put stock markets around the world on a fast track to lower prices. Japan's Nikkei 225 futures have fallen from 10,900 a few weeks ago to as low as 8,400, a 23% drop.

The iShares MSCI EAFA Index ETF (NYSEArca: EFA - News), a barometer of developed markets around the world, had dropped from 62 to 55. The loss in the iShares MSCI Emerging Markets ETF (NYSEArca: EEM - News) has been contained to 10% or less.

Even U.S. investors spoiled by the Fed's loose monetary policy have come to find out that the major U.S. indexes a la Dow Jones (DJI: ^DJI), S&P (SNP: ^GSPC), and Nasdaq (Nasdaq: ^IXIC) can (and will) actually move in both directions.

Speeding up the Inevitable

Let's not forget that the U.S. stock market was in correction mode even before the earthquake hit Japan. On Thursday, March 10, the S&P closed at 1,295. On Friday, March 11, the first post-earthquake trading day, the S&P actually was up and closed at 1,304. The events in Japan may have accelerated the stock sell off, but they weren't the only cause. There were a number of subtle (by Wall Street standards) but obvious (by contrarian standards) red flags in the middle of February.

On February 8 with the S&P at 1,325, the ETF Profit Strategy Newsletter examined the environment of exuberant bullishness. The medias conclusion (see headlines below) was so obvious: Higher prices ahead:

Reuters: Fed more Confident in Recovery

AP: Investors Return to US Stock Funds in January

CNBC: S&P will Rise 60% by 2013

Kiplinger: 10 Signs the Economy is on the Upswing

The ETF Profit Strategy Newsletter offered this advice and recommended short ETFs: 'How often in the past have we seen the old adage if it's too obvious, it's obviously wrong' have the last laugh? Now is not the time to be complacent, it's the time to evaluate shorting strategies and other defensive measures.'

How Bad Can it Get?

There've been a number of major earthquakes in the past decade. Following the December 26, 2004 earthquake off the coast of Sumatra, the U.S. stock market declined about 4%.

The January 12, 2010 earthquake in Haiti did not immediately affect the stock market. However, starting on January 19, U.S. stocks declined about 10%.

Even though the death toll of both earthquakes was larger than in Japan, the economic impact of the Japan quake outweighs anything previously recorded.

In terms of economic impact, hurricane Katrina might be the closest comparison there is. Hurricane Katrina struck Louisiana on August 29 and cased an estimated $81 billion in property damage.

Stocks rallied the ten trading days following August 29, declined about 5% thereafter and continued their run to the 2007 all-time highs.

Admittedly, based on a small sample, natural catastrophes are not necessarily bearish for U.S. stocks.

Technical Damage Assessment

The risk in U.S. stocks comes from bullish sentiment extremes, valuations, and a decoupling between facts and reality. In addition, there is a giant bearish head and shoulders pattern (ideal upside target not quite met yet) and a trend line that has contained the Dow Jones for most of the past 80 years.

On February 18, the ETF Profit Strategy Newsletter identified this trend line (at the time running through Dow 12,400) as major resistance. The Dow came within 9 points before reversing sharply.

In terms of technical analysis, S&P 1,275 is important support/resistance. As of Tuesday mornings stocks have recovered some of their overnight losses and are once again above 1,275. The 50-day moving average is at 1,302. It remains to be seen whether stocks have enough strength to rally that far.

Thus far key structural support below 1,275 has been maintained and the potential for higher prices has not yet been eliminated. However, the reaction to Japan's woes (remember how the market shrugged of European financial defaults and Middle East unrest) might indicate a larger change of trend…’

U.S. Stocks in Red, Though Markets Cut Early Losses Amid Fed Optimism Midnight Trader ‘4:18 PM, Mar 15, 2011 --

NYSE down 101.82 (-1.2%) to 8,092.14
DJIA down 137.74 (-1.2%) to 11,855
S&P 500 down 14.52 (-1.1%) to 1,282
Nasdaq down 33.64 (-1.3%) to 2,667

GLOBAL SENTIMENT

Hang Seng down 2.86%
Nikkei down 10.55%
Shanghai Composite down 1.4%
FTSE down 1.35%

The Unbearable Lightness Of TARP Reporting The Daily Bail | Credit markets were NOT “frozen” during the crisis.

Stocks nosedive on panic selling over nuke crisis JapanToday | Tokyo stocks tumbled further Tuesday, with the Nikkei index shedding more than 14 percent at one point on panic selling.

The Rule of Gold After The Financial Collapse Activist Post | In a secular world, the operative “Golden Rule” is “He Who Has the Gold Makes the Rules”.

World Stocks, Oil Slump on Japan Nuclear Fears World stocks hit 2-1/2 month lows on Tuesday and oil fell and the yen surged after reports of rising radiation near Tokyo triggered a 10 percent fall in Japanese stocks, hurting risky assets across the board.

Japan’s Nikkei plunges 11 percent on radiation fears, sending global markets into a tailspin Japan’s stock market nose-dived nearly 11 percent, leading world markets sharply lower on Tuesday, as an escalating nuclear crisis threatened to compound the devastation from last week’s earthquake and tsunami.

14 Reasons Why The Economic Collapse Of Japan Has Begun The economic collapse of Japan has begun. The extent of the devastation is now becoming clear and many are now projecting that this will be the most expensive natural disaster in modern human history.

ECONOMIC CRISIS ARCHIVE

National / World

Alert: Fukushima Coverup, 40 Years of Spent Nuclear Rods Blown Sky High Paul Joseph Watson and Kurt Nimmo | More than 600,000 spent fuel rods on site, ready to burn and enter the atmosphere.

Alarm Over Spent Fuel Rods Threatens “Chernobyl on Steroids” Perhaps the most underreported and deadliest aspect of the three explosions and numerous fires to hit the stricken Fukushima nuclear reactor since Saturday is the fact that highly radioactive spent fuel rods which are stored outside of the active nuclear rod containment facility are likely to have been massively compromised by the blasts, an elevation in the crisis that would represent “Chernobyl on steroids,” according to nuclear engineer Arnie Gundersen.

Japanese PM Attempts to Calm Nation as Massive Radiation Spreads Tokyo Electric Power Company, in collusion with the Japanese government, is deliberately misinforming and thus endangering the people of Japan, the surrounding region, and eventually the United States and other countries that may be downwind from the Fukushima Daiichi nuclear plant.

New Fire Hits Number 4 Reactor At Fukushima AFP is reporting a new fire at the number four reactor at the Fukushima Daiichi nuclear plant. Flames are rising from the reactor, AP reports.

U.S. Government Blocking Americans From Obtaining Potassium Iodide? U.S. health authorities could be blocking Americans from obtaining the radiation-fighting drug potassium iodide, even as the threat of a radioactive cloud from the stricken Fukushima nuclear plant affecting the United States prompts panic buying, which has led to stocks of the drug running out across the country.

Panic Buying: Stocks Of Potassium Iodide Exhausted In U.S. We are getting numerous reports from readers that stocks of potassium iodide, which is used to protect the body against the effects of nuclear fallout, are completely sold out across the United States. Checks of health supplement websites in the U.S. also confirmed that stocks are completely exhausted.

Mass Evacuations Begin From North East Of Japan, Tokyo As the scale of the nuclear disaster unfolding at the stricken Fukushima’s nuclear plant begins to be finally realised, despite the Japanese government’s continued underplaying of the situation, mass evacuations are are underway with people fleeing Tokyo and North Eastern areas of the country in order to avoid a toxic cloud of radiation heading their way.

Radioactive Winds Head Towards Tokyo As Some Flee Capital With Japanese authorities confirming that the third blast at Fukushima’s stricken nuclear plant caused radioactive particles to be released directly into the atmosphere, localized winds are blowing the radiation towards Tokyo, causing many to flee the capital, but the longer term trajectory of upper atmosphere prevailing winds will still send any potential radiation cloud towards the U.S. west coast.

U.S. Government Blocking Americans From Obtaining Potassium Iodide? Paul Watson | U.S. health authorities could be blocking Americans from obtaining potassium iodide.

Radio France Pulls Staff From Japan Over Radiation Fears Radio France decided Tuesday to pull out staff dispatched to cover the major earthquake in Japan, following a series of accidents at a Japanese nuclear power plant, a public relations official told Kyodo News.

Airlines start cancelling flights to Tokyo Lufthansa, Europe’s biggest airline group by revenues, has cancelled flights to Tokyo’s main international airport of Narita as Japan’s nuclear crisis deepens.

U.S. Navy: Low-level radiation detected at some Tokyo-area bases The Navy said very low levels of airborne radiation were detected Tuesday morning at greater Tokyo-area bases in Yokosuka and Atsugi, prompting commanders to direct base residents to remain indoors as a precaution.

Qaddafi Retaking Libya Tony Cartalucci | It appears Colonel Qaddafi has begun retaking Libya from globalist-backed rebels.

Panic Buying: Stocks Of Potassium Iodide Exhausted In U.S. Paul Joseph Watson | Health websites sold out, readers struggle to find radiation-fighting pills anywhere.

Japan braces for potential radiation catastrophe Reuters | Spent nuclear fuel was exposed to the atmosphere.

Violent Protests Across Yemen, 3 Soldiers Dead Reuters | Scattered clashes broke out across Yemen on Monday.

Fuel rod fire at Fukushima reactor “would be like Chernobyl on steroids” Kirk James Murphy | Chernobyl’s contamination settled upon people and nations thousands of miles from that reactor’s location.

Drudgereport: BAIL: NUKE WORKERS ABANDON PLANT
Radiation spews into sky -- again...
KYODO: CRISIS HAS 'WORSENED CONSIDERABLY'...
Wind to blow toward Pacific Ocean, America...
U.S. Surgeon General: Get iodide...
AP... BBC... KYODO... REUTERS...

Sudden run on pills...
GOVERNMENTS CALL FEARS UNWARRANTED... Reactor Design Caused GE Scientist To Quit In Protest...
Design in dispute for decades...

FUEL RODS DAMAGED 70 PERCENT...
Roof Cracked After Last Explosion...
Two workers still missing...
SPENT NUKE FUEL POOL MAY BE BOILING...
Helicopters no longer option to cool reactors...

Nuclear blizzard...
Food panic...
Thousands missing, millions short of water – and fear everywhere...
MILLIONS SUFFER FREEZING TEMPS WITHOUT POWER...
Confusion, chaos spreading... WHITE POWDER DISCOVERED AT KENNEDY SPACE CENTER TESTS POSITIVE FOR COCAINE...

AL FRANKEN WARNS: 'THEY'RE COMING AFTER THE INTERNET' … This should be taken very seriously since they know that truth is their worst enemy in light of their nefarious, nation-destroying activities for greed and worse ...

World's richest are almost $1 trillion richer [ And the other 95% trillions poorer. ]

2 Years After the Bottom, the 'Smart Money' Is Selling: "It's a Bit Late to Go Long," Nenner Says Nenner ‘Wednesday's two-year anniversary of the start of the bull market proved anticlimactic as major averages fell slightly. The selling picked up steam early Thursday as renewed concerns about Europe's debt crisis offset any positive impact of falling oil prices.

In recent trading, the Dow and S&P were down about 1.3% each while the Nasdaq was off 1.5%.

Such lackluster action is likely to continue in the near term, followed by something much worse for the bulls, according to cycle watcher Charles Nenner of the Charles Nenner Research Center.

"I think it's a bit late to go long," Nenner says, suggesting investors should not expect much more upside from stocks. For the near-term, Nenner expects the market to remain within a trading range between 1307 and 1356 on the S&P 500. (The S&P fell below 1307 early Thursday; a close below that level would mean "big trouble," Nenner says in the accompanying video, taped Wednesday afternoon.)

"We don't intend to go short right now," he says...with "right now" being the operative term.

Looking further out, Nenner is sticking with a forecast of "Dow 5000" over the next three years, a call based partially on his view that deflation remains the primary threat, not inflation. (See: Deflationary Hurricane Will Slam Into U.S. Economy, Charles Nenner Says)

"I would challenge people: ‘how do you get to inflation?'," he says, suggesting wage pressures are the key determinant, not food or energy prices or even Fed policy. "What's clear is that wage demands lead to inflation; people want higher wages and then you get an upside spiral," Nenner says. "People are still happy they have a job, so I don't see any wage inflation, so it means there's no inflation" -- at least not in Europe and the U.S.

The Price of Prognostication

A former market-timing consultant at Goldman Sachs, Nenner has been lauded here and other venues for some of his prescient calls in recent years, most notably:

-- Forecasting a Dow peak of 14,500 in the summer of 2006.
-- Predicting a "substantial drop" in housing in Aug. 2006.
-- Calling the market top in October 2007.
-- Forecasting in late 2007 a "deflation scare" would occur in 2008.
-- In February 2009, predicted a major rally would start "in a few weeks" and could take the S&P as high as 1000.

But Nenner has had his share of clunkers too, including a forecast here that 2010 would be a grim year for both the economy and the markets. In April 2008 on CNBC, he was bullish about the second half of the year and predicted a return to old highs.

Hopefully Nenner's "Dow 5000" call will be similarly misplaced.

I point out these gaffes not to embarrass or make fun, but to remind viewers that to err is human and everything you see/hear should be taken with a grain of salt...assuming you're not already.

Aaron Task is the host of Tech Ticker. You can follow him on Twitter at @atask or email him at [email protected]’

US Stocks - Is Japan Speeding up the Inevitable? Maierhofer, ‘Japan's Nikkei 225 is down 16% since its February 16 secondary high. Reuters reports that 'Wall Street Dives on Impact of Japan Disaster.' However, Japan's stock market (NYSEArca: EWJ - News) topped before the earthquake, as did the major U.S. Indexes.Is the Japan shock merely speeding up the inevitable or could the bad news actually be part of a bullish 'wall of worry?'Featured below is an article from February 11. At the time the S&P was trading at 1,330. Even though a few weeks old it provides information investors can use to gauge the current down side risk. Updated support levels are provided at the end:
February 11, 2011:If it's too obvious, it's obviously wrong. More often than not, this proverbial Wall Street adage has the last laugh. What's the prevailing consent on Wall Street? What's suspiciously obvious today?

- The Fed is here to help. As long as there's QE2 (or QE3, 4, etc,) prices will go up.

- January was positive. As January goes, so goes the year.

- This is the third year of the Presidential Election Year Cycle. There hasn't been a negative third year since 1939.

- There's no catalyst to send stocks higher.

While Wall Street analysts are trying to one up each other's positive forecasts, the Fear Index, VIX has fallen to a 3 year low. The last time the VIX was at a similar level was in April 2010, just before a literally fear-inspiring 17% correction and the May 'Flash Crash' (see chart below).The ETF Profit Strategy Newsletter didn't subscribe to the prevailing optimism in April 2010 and warned that: 'The message conveyed by the composite bullishness is unmistakably bearish. The pieces are in place for a major decline.'Does that mean that the bottom will fall out again within a matter of days? Not necessarily, but now is certainly not the time to be married to your holdings. Tight sell stops are warranted because any minor correction could turn into a large one. Why?

New Bull Market, or Mother of all Bear Market Rallies?

The devil's in the long-term trend. If we are in a new bull market, any dip would present a buying opportunity. If we are in the mother of all bear market rallies, every rally is a trap and represents a selling opportunity.How can one determine whether we are in a new bull market, or a bear market rally? [chart]It's said that bull markets climb a wall of worry. No doubt there was extreme pessimism surrounding the March 2009 lows. That's one of the reasons the ETF Profit Strategy Newsletter sent out a strong buy signal on March 2, 2009.But pessimism at the bottom doesn't equal a wall of worry. In fact, following the initial bout of disbelief, investors embraced the rally rather quickly. In late 2009, sentiment readings became frothy, in January 2010 they rivaled 2007 extremes (stocks fell 9%), and in April 2010 they exceeded 2007 extremes (stocks fell 17%).About two thirds of the rally from the 2009 lows was accompanied by optimism. This is no wall of worry.

Glass Half Full Outlook

Think about it, even the truly big problems - unemployment and falling real estate prices - were sugar coated from the very beginning. The unemployment problem was charmingly called 'jobless recovery' and falling real estate prices were simply ignored.The Case-Shiller home price index is down four months in a row, but nobody is bothered. A few days ago, MarketWatch ran an article: '10 reasons to be bullish on housing.'Courtesy of the continuing real estate conundrum, the FDIC closed 157 banks in 2010, and 14 thus far in 2011. According to a Wall Street Journal article, the top 10 U.S. owned banks had $13.8 billion in unrealized losses.Those are not reflected in earnings numbers as long as financial institutions (NYSEArca: XLF - News) believe the investment will later rebound. Guess what? Banks are pretty darn sure prices will reclaim their 2006 all-time highs.In addition to the $13.8 billion in unrealized losses, the top 10 U.S. banks owned $360.7 billion in illiquid, hard to value assets (called level 3 assets). While paper earnings appear solid, it appears as if banks are hiding skeletons in their closets. But who cares, stocks (NYSEArca: VTI - News) are up.

Anomaly Explained

Ben Bernanke has openly admitted that asset inflation, or the wealth effect from rising stock prices, is the objective of QE2. Obviously, the money flow from the Federal Reserve over banks into the stock market has been the driving force behind this monster rally.Much of the Fed money has been funneled into commodities. Since QE2, net speculative positions in wheat and copper have doubled, oil soared 115%, soybeans 40% and corn 15%. Rising commodity prices (NYSEArca: DBC - News) are putting the squeeze on lower income Americans and will eventually lower profit margins for the materials sector (NYSEArca: XLB - News).It's quite likely that this ripple effect will spill over into the retail (NYSEArca: XRT - News), technology (NYSEArca: XLK - News), and consumer discretionary sector (NYSEArca: XLY - News). From there it's just a matter of time until it hits the broader Dow (DJI: ^DJI), S&P (SNP: ^GSPC) and Nasdaq (Nasdaq: ^IXIC).Contrary to its objective, QE2 has also sent interest rates soaring. Higher interest rates tend to encourage the money to flow from equities into bonds. Higher interest rates put pressure on bond and stock prices alike...’

Stocks Rattled by One-Two Punch: Dave's Daily ‘Everything was going along just fine for markets even absorbing Tunisia and Egypt well. But then the contagion continued to Libya, Bahrain, Yemen, Kuwait and so forth. This pushed energy prices higher. Further, even though these MENA [Middle East and North Africa] events may ease, you can rest assured they'll resurface and overhang markets for awhile. The next punch was delivered by Japan's earthquake, tsunami and nuclear reactor issues. Japan, being the world's third largest economy, may be in trouble for some unknown period. There will be massive infrastructure spending down the road (emphasis added) which should provide strong demand for building materials (lumber, base metals and so forth). For now, the economy will get a heavy dose of cash from Japan's central bank and this will require enormous debt sales driving yields higher theoretically. Since Japan is a large exporter of stuff to the world, prices for finished products may rise causing more inflation. Commodity prices remained mixed with softs and base metals weak while energy, gold and rice were higher overall. Bonds rallied while the dollar fell. The Fed is busy is POMO activities oblivious to external conditions. Here's their schedule for March and April. Stocks were sold with some late day buying lifting major averages off their lows. Volume continues to rise on selling but with an afternoon "stick save" much of this was positive. Breadth per the WSJ was once again negative.’

Investment Implications of a Nuclear Meltdown in Japan Ciovacco ‘The concerns continue to mount after Japan’s devastating earthquake and subsequent tsunami, which may further heighten recent anxiety in the financial markets (DIA). An explosion near the No. 1 reactor at the Fukushima Dai-Ichi nuclear power station has industry experts talking about the possibility of a meltdown.

According to Bloomberg:

If the fuel rods are melting and this continues, a reactor meltdown is possible,” Kakizaki said. A meltdown refers to a heat buildup in the core of such intensity it melts the floor of the reactor containment housing. “If they cannot get the nuclear reactor back under control during the day, this may end up being the biggest problem of all,” said Ken Courtis, former vice chairman of Goldman Sachs Group Inc. in Asia. “A meltdown, which would cause massive immediate damage, would also set the nuclear industry back decades. This would have vast implications for the global energy equation and perforce the world economy.

Japanese Chief Cabinet Secretary Yukio Edano said at a press conference that the blast didn’t damage the reactor container, only the structure outside it, and that there was no major radiation leakage with the explosion. The nuclear reactors are about 150 miles north of Tokyo. New reports in Japan have indicated the radioactivity at the site was rising to 20 times normal levels. [chart]

We would expect the nuclear energy ETF (NLR) to struggle next week. From an investment perspective, we would avoid NLR in the short-term due to the uncertainties in Japan. If we owned NLR (we do not), we would consider selling some of the position with a close below 24.74, and cutting back even further with a close below 23.18.

“If the water level remains at this level, the reactor core might be damaged, but we are now pouring water into the reactor to prevent it from happening,” Dow Jones Newswires quoted a Tepco spokesman as saying.

According to Wikipedia, a nuclear meltdown:

Occurs when a severe failure of a nuclear power plant system prevents proper cooling of the reactor core, to the extent that the nuclear fuel assemblies overheat and melt. A meltdown is considered very serious because of the potential that radioactive materials could be released into the environment. A core meltdown will also render the reactor unusable until and unless it is repaired.
Within the former Soviet Union several nuclear meltdowns of differing severity have occurred. In the most serious example, the Chernobyl disaster, design flaws and operator negligence led to a power excursion that subsequently caused a meltdown.
A core damage accident is caused by the loss of sufficient cooling for the nuclear fuel within the reactor core. The reason may be one of several factors, including a loss of pressure control accident, a loss of coolant accident (LOCA), an uncontrolled power excursion, or in some types, a fire within the reactor core…’

EU leaders reach deal on debt crisis London Telegraph | European leaders reached agreement early this morning.

‘Anonymous’ to Release Docs Proving Bank of America Fraud Zero Hedge | Hacker collective to leak proof that Assange previously threatened to release.

Are the prophets of doom right? The American Dream | Major Middle East war? Oil at $200/barrel? Gold at $2000?

Foreclosure activity declines as lenders review legal procedures North Jersey | Did foreclosures drop 27% because banks being blamed for robo-signing scandal?

Insured losses from Japan quake could hit $35 billion Reuters | Last week’s earthquake in Japan could lead to insured losses of nearly $35 billion.

EU leaders reach deal on debt crisis London Telegraph | European leaders reached agreement early this morning.

Japan and Otherwise: World Markets Decline

Hacker Group Anonymous Brings Peaceful Revolution To America: Will Engage In Civil Disobedience Until Bernanke Steps Down The goal – engage in “a relentless campaign of non-violent, peaceful, civil disobedience” until Ben Bernanke steps down.

Hacker Collective Anonymous To Release Documents Proving Bank Of America Committed Fraud This Monday After Julian Assange crashed and burned in his threat to release documents that expose fraud at Bank of America, many thought he had been only bluffing, and that BofA is actually clean. Not so fast. The Rule of Gold After The Financial Collapse Activist Post | In a secular world, the operative “Golden Rule” is “He Who Has the Gold Makes the Rules”.

Nikkei Plunges As Quake Sparks Sell-Off Nikkei | Tokyo stocks plunged Monday, with investors selling to avert financial risks over the devastating earthquake.

Has The Tsunami In Japan Destroyed The Japanese Economy? So what is this disaster going to do to the 3rd largest economy in the world? Japan already had a national debt that was well over 200 percent of GDP. Could this be the “tipping point” that pushes the Japanese economy over the edge and into oblivion?

Will The Japanese Earthquake Be The Straw That Breaks Europe’s Back? If an earthquake flips its wings in Japan, does the Eurozone go bankrupt, especially in the month when its most insolvent countries face billions in debt rollover requirements, tens of billions in maturity funding needs, even more in deficit funding requirements… and no cash?

Update: Make That 15 Trillion; BOJ Raises Liquidity Injection To JPY12 Trillion ($146 Billion) Total reactionary panic everywhere now as the BOJ hikes the liquidity injection from 2 to 7 to 12 trillion yen.

The Fed Fails to Create the Stability it Dreams Of Wall Street at least temporarily relieved of the burden of having to buy Treasuries & Agency bonds, is looking at the jump in oil prices as nothing more than an irritant to their plans for a higher market. Bill Dudley of the NY Fed, a most powerful member, continues to make a vigorous defense of Federal Reserve policies.

Tokyo stocks drop 5% in first opening since quake Tokyo shares fell 5.2 percent on Monday in their first opening since Friday, when Japan was struck by the biggest earthquake in its history and a devastating tsunami.

Store shelves empty in Tokyo as uncertainty reigns Commuters and residents of the Japanese capital faced confusion and uncertainty on Monday over the supply of food and energy after Friday’s devastating quake and tsunami which crippled a nuclear power plant.

The Rule of Gold After The Financial Collapse Activist Post | In a secular world, the operative “Golden Rule” is “He Who Has the Gold Makes the Rules”.

Nikkei Plunges As Quake Sparks Sell-Off Nikkei | Tokyo stocks plunged Monday, with investors selling to avert financial risks over the devastating earthquake.

ECONOMIC CRISIS ARCHIVE

Japan Worries Keep Stocks in the Red Midnight Trader ‘ 4:15 PM, Mar 14, 2011 --

DJIA down 51.24 (-0.43%) to 11,993.16
S&P 500 down 7.89 (-0.60%) to 1,296.39
Nasdaq down 14.64 (-0.54%) to 2,700.97

GLOBAL SENTIMENT

Hang Seng up 0.41%
Nikkei down 6.2%
FTSE down 1%

National / World

10K dead in Japan amid fears of nuclear meltdowns (AP) AP - The estimated death toll from Japan's disasters climbed past 10,000 Sunday as authorities raced to combat the threat of multiple nuclear reactor meltdowns and hundreds of thousands of people struggled to find food and water. The prime minister said it was the nation's worst crisis since World War II.

Third Reactor Explodes, Full Scale Nuclear Catastrophe Imminent Kurt Nimmo | Effort to cool reactor with seawater a failure.

Experts fear 3rd reactor explosion Aaron Dykes | A third explosion at the Fukushima plant may be imminent.

CIA Sends USAID to Japan to Manage Nuclear Disinfo Campaign Kurt Nimmo | Cover-up of the extent and severity of Japan’s multiple nuclear meltdowns is now underway.

Cover Up Of Fukushima Chain Reaction Underway Paul Joseph Watson & Steve Watson | True scale of nuclear crisis suppressed by Japanese authorities, aided by castrated and slavish mass media.

Tracking Page: Japan’s Nuclear Meltdown, Aftershocks & Fallout Infowars | Following Japan’s nuclear plant emergency with the latest updates.

Tokyo nuke cloud crisis The Sun | Japan teeters on brink of nuclear catastrophe amid fears a radioactive cloud could envelop Tokyo’s 13 million residents.

Evacuation zone widening; 300,000 homeless crowd shelters Daily Mail | Fears of second explosion at quake-hit N-plant as exclusion zone stretches to 13 miles.

Radiation From Fukushima Would Take 7 Days To Reach U.S. Radioactive particles from the stricken Fukushima nuclear facility would take around a week to reach Alaska and eleven days to reach Los Angeles, according to an Accuweather.com analysis, which highlights the fact that prevailing winds over the region would send any potential fallout from the crisis-hit plant drifting towards west coast cities in the United States.

Nuclear Expert: Radiation Could Spread To US West Coast Nuclear expert Joe Cirincione warns that radiation from Japan’s multiple potential nuclear meltdowns could spread to the US west coast and that the threat represents an “unprecedented crisis,” as another explosion rocked the Fukushima complex and officials admitted that nuclear fuel rods at reactor number two have been fully exposed.

Japan’s nightmare gets even WORSE: All THREE damaged nuclear reactors now in ‘meltdown’ at tsunami-hit power station The Japanese nuclear reactor hit by the tsunami went into ‘meltdown’ today, as officials admitted that fuel rods appear to be melting inside three damaged reactors.

Japanese death toll to far exceed 10,000 The death toll from the Japanese earthquake and tsunami is expected to exceed 10,000 as local and international rescue teams search through the ruins of north-eastern coastal cities for survivors of last Friday’s disaster.

TIME: Everything’s Tracked- Get Over It Aaron Dykes | In an astounding cover story,’ TIME tells readers to “get over” ubiquitous tracking.

Nuclear Plant Designer Says Japanese Government Suppressing Scale Of Crisis BBC News | A former nuclear plant designer has said Japan is suppressing vital info on the grave crisis. A former nuclear power plant designer has said Japan is facing an extremely grave crisis and called on the government to release more information, which he said was being suppressed. Masashi Goto told a news conference in Tokyo that one of the reactors at the Fukushima-Daiichi plant was “highly unstable”, and that if there was a meltdown the “consequences would be tremendous”.

Volcano in southern Japan erupts LA Times | A volcano in southern Japan began spewing ash even as the country struggled to recover from the catastrophic earthquake and tsunami.

U.S. West Coast in Path of Fallout Washington’s Blog | California is closely monitoring efforts to contain leaks from a quake-damaged Japanese nuclear plant.

Japan Fears Second Reactor Blast There is a risk of a second explosion at the quake-hit Fukushima power station, Japanese officials have said. However, chief cabinet secretary Yukio Edano said the facility could withstand the impact and the nuclear reactor itself would not be damaged.

U.S. West Coast in Path of Fallout “At present there is no danger to California. However we are monitoring the situation closely in conjunction with our federal partners,” Michael Sicilia, spokesman for California Department of Public Health, told AFP.

Radiation Increases as Cooling Systems Fail at Fukushima Plant in Japan Japanese officials battling to prevent a potential meltdown at a nuclear power station said an explosion was possible at a second reactor building after the plant’s cooling system failed.

Cooling at Sixth Reactor Fails Tokyo Electric Power Co. said Sunday another reactor of its quake-hit Fukushima nuclear power plants had lost its cooling functions, while at least 15 people at a nearby hospital were found to have been exposed to radioactivity.

Featured Stories archive

Japanese Nuclear Meltdown Confirmed Infowars.com | As we accurately reported, the explosion at the Fukushima nuclear plant was the result of a nuclear meltdown of the reactor core.

Media Coverup of Massive Chernobyl Event Underway in Japan Kurt Nimmo | Media in Japan is not reporting this fact in order to prevent mass hysteria.

Piers Corbyn: Massive Japan Earthquake & Tsunami Were Triggered by Solar Action The Alex Jones Channel | Meteorologist and astrophysicist Piers Corbyn, talks with Alex about the Japanese tsunami.

US Contracting Tech Firms for Revolutions Tony Cartalucci | US shamelessly admitting to funding Middle East revolutions

Obama Laments He’s Not President Of Communist China [ Time to relieve wobama the b’ (for b* s*) of his burden by impeaching / removing him from office without delay! He may not have been the first black president (Clinton is generally considered the first black president by blacks and whites alike, a moniker Clinton accepted and wore proudly – that 18% vote), but he is certainly the last! Drudgereport: `City Lowers Police Testing Standards Because Not Enough Blacks Passed...` `Under pressure from Obama administration... Illinois mayor says Obama still owes city $55,457... Obama to party with Washington reporters...` `Golf in the afternoon...` ] Weekly Standard | “Mr. Obama has told people that it would be so much easier to be the president of China.”

Drudgereport: SIXTH NUKE REACTOR FAILSMELTDOWN ALERT...
Firefighters battle blaze at reactor...
Rods fully exposed for 2.5 hours...
Higher radiation recorded north of Tokyo...
RACE TO SAVE THE REACTORS...
Japan Asks USA To Help...
WRAP...
BBC LIVE... REUTERS LIVE... KYODO WIRE...
QUAKE MAPS, DETAILS...
FLASH: Nikkei Stock Market Falls Another 6%...
PM Kan asks public to act calmly... Confusion from deadly quake spreading...
Emergency Cooling Effort at Reactor Failing...
'UNSTABLE'...
Crisis 'Uncharted Territory'...

Up to 160 exposed to radiation... Japan battles nuclear meltdown...
Biggest Crisis Since WWII...
Races to avert multiple reactor failures...
Injecting seawater at Fukushima...
Another hydrogen explosion possible...
Evacuation zones widened -- again...
NUKE DESIGNER: Gov't suppressing info...
BBC LIVE... REUTERS LIVE... KYODO WIRE...
QUAKE MAPS, DETAILS...
USA West Coast in Path of 'Fallout'?

190 EXPOSED TO RADIATION IN MELTDOWN OF REACTOR NO. 1...
Thousands scanned...
200,000 Evacuated...
US EXPERTS: Pumping seawater into reactors 'act of desperation'... 'May foreshadow Chernobyl-like disaster'... GE-designed reactors in Fukushima have 23 sisters in USA...IS THE WORST STILL TO COME?
THOUSANDS SCANNED...
140,000 Evacuated...
ADMIT: Officials say radiation levels rise above limit... Third explosion raises spectre of nuclear nightmare...
USA West Coast in Path of 'Fallout'?
Winds Should Send Radiation Out to Sea...
Run on iodine tablets -- in Finland...
German airline scans Japan flights for radioactivity...
17 U.S. Navy crew members contaminated...
HOPE: Pumping seawater into hot, leaking reactor...
'We're told not to breathe the air -- it's scary'...
GOV'T: Releasing radioactive steam from another reactor...

SAFETY BOARD: Meltdown occurred...
Core of Fuku 1 partially melted; race on to cool...
Japanese officials: 'Nuclear catastrophe averted'...
Say steel container housing reactor undamaged...
Japan to IAEA: Report radiation levels dropping...

REPORT: Nearly 10,000 people missing from town of 17,000...

KYODO: Death tops 2,000...
Military finds 300-400 bodies in one coastal city...
UPDATE: Four trains missing...
Northeast Japan 'a wasteland'...
'Devastation and despair'...
MAPS, DETAILS...
BBC LIVE...
REUTERS LIVE
KYODO WIRE...

City Lowers Police Testing Standards Because Not Enough Blacks Passed...
Under pressure from Obama administration...

Illinois mayor says Obama still owes city $55,457...

Obama to party with Washington reporters...
Golf in the afternoon...

Milbank: King's red scare (Washington Post) [ It truly is difficult for me to imagine being on the same page as Mr. Milbank on virtually any topic at all; and, yet here I am, on the same page agreeing with him with what has already occurred to me in thinking about the mccarthyish way of political opportunist for his zionist district politics, neocon peter king. It is important to distinguish the ‘anti-communist’ tenor of mccarthy’s day, communism being in my view a very real threat in light of my own staunch opposition to communism, the ultimate ‘b* s*’ political doctrine / social organization whereby everybody is purportedly equal, yet some bureaucrats / party members were far more equal in every way than others. Yet, pervasively corrupt / defacto bankrupt america (Batista’s cuba is an example on smaller scale) has become a poster-child for the failure of capitalism (though capitalism is but a fading memory for america in favor of the corrupt bureaucratic morass it’s become) with totalitarian communist china the greatest beneficiary though it’s capitalism that has garnered china enormous success. The irony of it all. While the communist threat was all too real, from the beginning (upon the long overdue fall of communism), there was a void sought to be filled by the military industrial complex, neocons, zionists, war profiteers, etc., literally ‘militants without a cause’. A sad reality that’s all too real. ]

NATO endorses plan for Afghan forces to take over several areas (Washington Post) [ Yeah! Sounds like a plan … if the several areas encompass the entire nation; and, nato quits their foolishness in wasting money they don’t have for the sake of the military industrial complex, war profiteers, thieves, and (nato) heroin dealers. ]

Major changes ahead for U.S. mortgage system (Washington Post) [ Duh! Ya think? … How ‘bout major changes to the entire pervasively corrupt, defacto bankrupt u.s. (illegal) system, long overdue … SEC chief: Becker should not have worked on Madoff fallout (Washington Post) [ Oh come on! Everyone now knows here and abroad that capital hill is just an incestuous, nepotic morass of venal, greedy, corrupt incompetents who do or don’t do whatever is necessary to further their personal financial interests, including bribes both direct and indirect, now or later. Between goldman’s / citi’s rubin, and paulsen, and etc., etc., they’ve pillaged the treasury and aided / abetted / covered up a still extant fraud. Now those who can, do; those who can’t, work for the u.s. government. Who’s the head of enforcement? A goldman man of course. Madoff? House Republicans press SEC on official's ties to Madoff (Washington Post) [ The ultimate subterfuge. Mr. small potatoes madoff the focus of so much influence … yet he’s in jail … and the only one … Boy, did mary shapiro become total b* s* fast … the current shibboleth of capital hill / all 3 branches of pervasively corrupt u.s. government … joining the others: “The Financial Industry Has Become So Politically Powerful That It Is Able To Inhibit the Normal Process of Justice And Law Enforcement” The economy cannot stabilize unless fraud is prosecuted. But the folks in D.C. seem determined to turn a blind eye to Wall Street shenanigans, and is now moving to defund the enforcement agencies like the SEC and CFTC. Market Crash 2011: It Will Hit by Christmas Farrell, MarketWatch SAN LUIS OBISPO, Calif. (MarketWatch) — ‘Politicians lie. Bankers lie. Yes, they’re liars. But they’re not bad, it’s in their genes, inherited. Their brains are wired that way, warn scientists. Like addicts, they can’t help themselves. They want to sell stuff, get rich…’ Financialization and Our Increasingly Unstable Economy Roche ‘I finally got around to seeing the movie Inside Job, the story behind the credit crisis and winner of the Academy Award for best documentary. It’s very good and I highly recommend it to anyone who hasn’t seen it. It will certainly infuriate you. The movie doesn’t place nearly enough blame on homeowners, but all in all it does an excellent job of showing how Wall Street and government have become overrun by deregulation and sheer greed. A combination of flawed economic theory and greed have combined to create the beast that we now call a “functioning” economy. The worst part of it all is that President Obama, who vowed change, has done almost nothing to fix any of it and in fact continues most of the policies that helped get us here in the first place. …’ ‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b* s* ………all of the above, some of the above ……….. or is it something else …… here’s a hint - `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

] Former general counsel inherited part of a Bernard Madoff account.

October 15, 2010 (*see infra)

Steven M. Martinez, Assistant Director In Charge
Federal Bureau of Investigation, USDOJ
11000 Wilshire Blvd., Suite 1700

Los Angeles, CA 90024

Dear Sir:

A judgment had been entered in my favor in the case, United States District Court Case #3:93cv02065(AWT)(USDCJ Alvin Thompson), worth approximately now in excess of $300,000 remains unaccounted for and which could be used for payment to creditors, Los Angeles, etc..
Counsel Robert Sullivan on my behalf documented by way of certification upon investigation that Alan Shiff, USBCJ, had falsely stated a dismissal upon which false statement he predicated a retaliatory and spurious contempt proceeding against me causing substantial damage, and for which he sought Judicial Notice of those and related proceedings as did I in some of my filings.
The Order of Dismissal With Prejudice by Alan Shiff, USBCJ, owing to Defendant Coan’s failure to file anything whatsoever by the court’s deadline causing creditors and me substantial damages: [ Shiff Order of Dismissal With Prejudice on Coan’s Failure to File Page 1 Page 2 ]
Defendant Coan had filed an action against me to prevent me from suing him which necessitated me to fly to Connecticut for a hearing before The Honorable Robert N. Chatigny, Chief Judge, USDC, District of Connecticut, who denied Coan’s requested relief as to Coan but precluded my action against Shiff (although there is no immunity, judicial or otherwise, for criminal acts, ie., fraud connected with a case under Title 11, USC, etc.) . [ transcript in pertinent part - crossexamofcoanbypeia.pdf ]
Newly appointed judge, Maryanne Trump Barry, Donald Trump’s sister, was assigned the RICO case despite the conflict of interest in light of hundreds of thousands of dollars of illegal (drug) money being laundered through the Trump casinos by the RICO defendants, and despite my motion to recuse her which motion she heard herself and denied, and U.S. Trustee Hugh Leonard with whom I met personally refused to join or file a separate motion to recuse and not long thereafter left said office for private practice at Cole, Shotz, et als on retainer with the RICO defendants as his primary client.
Probative and evidentiary documents, affidavits, exhibits, including those turned over to FBI Agent Jeff Hayes in Long Beach, CA, had been given to Assistant U.S. Attorney Jonathan Lacey with whom I met personally at the U.S. Attorney’s Office in Newark, N.J., at which time Samuel Alito was U.S. Attorney, and went over said documents and their probative value with him. Within approximately a month thereafter upon inquiry I was told that Jonathon Lacey was no longer with the office, that the file/documents could not be located, and that there was no further information available concerning contacting him or his location. I thereupon delivered by hand, copies of said documents to the office of then U.S. Attorney Alito, addressed to him, with assurance they would go directly to him. In addition to being inept [ I looked in on the one mob case he had brought, bungled, lost (accidently on purpose?) since I was suing some mob-connected under RICO and the court (I had known / previously met outside of court the judge Ackerman through a client) was absolute bedlam and a total joke since incompetent corrupt Alito brought in all 20 mob defendants (rather than prosecute one or a few to flip them first) who feigning illness had beds/cots in the courtroom along with their moans during testimony and had the jury in stitches. As much as I hate the mob, it truly was funny, if not so tragic.], Alito is also corrupt (and maybe corrupt because he is inept). After a reasonable (but still rather short) time I called to determine the status and was told that Alito was no longer with the Office of the U.S. Attorney, that he was (appointed) a federal judge, and that neither the documents nor any file or record of same could be located. Alito did parley the same / cover-up into quid pro quo direct lifetime appointment to the Court of Appeals, 3^rd circuit, despite the absence of judicial experience or successful tenure as U.S. Attorney (Maryanne Trump Barry as well). This is the same Sam Alito that now sits on the purported highest court in the land. The real application of the illegal rule ‘don’t ask, don’t tell’.

Sincerely,

Albert L. Peia

611 E. 5^th Street, #404

Los Angeles, CA 90013

(213) 219-**** (cell phone)

] Group of law professors' appeal comes after controversies involving travel and appearances at political events by several justices.

Why your local Hospital could soon shut down (Ad) http://www.stansberryresearch.com/pro/1011PSIENDVD/LPSILC43/PR [ The instant video from Stansberry and Associates is so well researched and succinctly presented that I’ve archived same on my website; also, because the facts and views presented comport with the facts and views I’ve presented on my site which I believe to be correct. This is a must-view, must-see that I strongly recommend!
The complete url: http://www.albertpeia.com/stansberrysinvestmentadvisory.flv ( 146mb – approx. 1 hr. 17 min. ) http://www.albertpeia.com/stansberrysinvestmentadvisory.mp4 ( 374mb ) Written text of presentation (without pictures / charts) http://www.albertpeia.com/stansberrypresentation.htm ]

] Higher down payments could be demanded by lenders, and the availability of long-term mortgages with fixed interest rates could be curtailed.

Disaster in Japan threatens recession recovery (Washington Post) [ Recovery? … Dreamin’ … and, we’re way past the ‘straw broke the camel’s back’ … we’re really talkin’ about final nails in the coffin … This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b*** s*** alone is an especially great opportunity to sell / take profits while you can since there's much worse to come! What Can the Great Depression Teach Us About Our Great Recession? Chartprophet ‘Is the massive market rally of the past two years just a temporary recovery that has tricked many investors to jump back into stocks right before the next plunge? And how can the Great Depression reveal what may happen to the markets this year, almost 80 years later?As we enter the third year of what has been a very impressive "bull" market, many are left wondering whether this incredible run of as much as 100 percent on the S&P 500 can continue - and for how long. Yet while the economy seems to have rebounded very strongly off of its early 2009 lows, accompanied by improving fundamentals, increased company earnings, and a more optimistic consumer, many investors fail to at least consider the thought that this entire "recovery" could, in fact, be just an extreme overreaction to the 2008 market crash. In other words, the huge rally we have seen in the global stock markets since early 2009 could be just a temporary recovery and pause before the next - and possibly worse - market decline.

It was less than a year ago that the fear of an economic "double dip" - a plunge back down to recession - intensely gripped the markets. The "flash crash", BP oil spill, European troubles, high unemployment, and potential derailment of the economy all posed a severe threat to the viability of our recovery. Yet while many parts of the economy seem to have been improving, there are still so many issues surfacing daily that most of the world is basically ignoring. I am not saying that all these issues are guaranteed to pull us back into recession, but with such a huge rebound in stocks accompanied by so many potential derailers, it may not be so far-fetched to at least consider the possibilities of the tremendous upcoming turmoil.

The issues now: huge government debt, credit crisis, European troubles, high insider selling, Middle East turmoil, surging oil prices that threaten to hurt the economy, soaring commodity prices, surfacing inflation, uncertainty about the Fed's QE2 and QE3, billions of dollars of toxic assets on the balance sheets of many banks, emerging market weakness since the end of 2010, real estate bubbles from China to Singapore, rationalization of fundamentals and a strong complacency that things will continue to be just as positive as they have been, a very slowly-improving unemployment picture, and perhaps one of the most telling points - the average investor is finally getting back in, and maybe right at the end of the rally.

So why should investors at least consider the possibility of a "double dip"? What are the potential scenarios if this tremendous market rally was, in fact, a "fool's rally"? And what can the Great Depression teach us about our current situation?

First, we must understand what a "fool's rally" is:

Otherwise known as a "Dead Dog Bounce," the fool's rally is a corrective bounce or temporary rebound that follows a severe decline in an individual stock or broader market. Following a severe decline, stocks and markets can sometimes see sharp bounces off of the lows as a rapid overreaction to the downside is followed by an overreactive bounce to the upside. In other words, a market crashes quickly and sharply but rebounds temporarily as much of the bad news takes some time to fully sink in.

This phenomenon is has been termed the "Dead Dog Bounce," based on the statement that "even a dead dog will bounce" if dropped from high enough. Here's an image of what this looks like:
[picture]
The Dead Dog Bounce is just a temporary recovery, however. The scenario is as follows: 1) the market drops sharply; 2) after an extreme downturn, the market recovers as some investors buy up what they consider to be "value"; 3) the market cannot make it all the way back up to where it started its down move, however, because the economy is nowhere near as healthy as it was; 4) the investors who have pulled their money out of the stock market or who have missed the recovery now jump back in, thinking the market is going back up; 5) since this has been a dead dog bounce, and therefore just a corrective rebound before the dead dog falls back down, many investors were tricked into thinking the recovery was underway - but the market enters the next phase of decline or recession. A double dip takes place.

Think of a tennis ball dropped from the top of a building: as it drops, it gains momentum, hits the ground, and bounces up - but the bounce can not be as high as its original point. And following that bounce, it will ultimately be pulled back down by gravity. So too the Dead Dog Bounce - the market drops from above, falls sharply, hits the "ground," bounces back up (but not as high), and ultimately falls back down.

[picture]

I bring the Great Depression up because it is one of the best examples of a Dead Dog Bounce. We often think of the Crash of 1929 as the biggest event of the Great Depression, and perhaps also consider it to be the biggest drop in the market. But that actually wasn't the case.

Here's how the Dead Dog Bounce played out in the Great Depression:

click to enlarge
[chart]
Following 17 years of sideways movement beginning, the market finally embarked on an uptrend from 1921 to the ultimate peak of 1929.

Compare the above chart to what we have recently seen in our market:
[chart]
Like the Dow from 1904 to 1921, the Dow of 1960 to 1983 was also stuck in a long sideways trend. It eventually broke out above the 1,000 level in 1983 and began one of the greatest bull markets we have ever seen. Like the 1929 top before the Great Depression, the 2007 peak marked the top before the Great Recession we find ourselves in. The two charts above look eerily similar, and make dismissing the relationship between the Great Depression and Great Recession almost a fool's move.

Now take a look at the 1929 stock market crash:
[chart]
After reaching a peak of 380+, the Dow tumbled to under 200 as the Crash of 1929 sent markets into a free-fall. Following the Crash, a Dead Dog Bounce took place - raising the market approximately 50 percent.

Compare the 1929-1930 Crash-Dead Dog Bounce scenario with what we have just seen:
[chart]
After a bull market from 2003 to the end of 2007, the Dow reached a peak of over 14,000. As the housing market collapsed, so did the stock market - sending the Dow below 6,500. As in the Dow of 1929-1930, a potential Dead Dog Bounce has followed since 2009 and continues until today.

The question remains - what followed the Dead Dog Bounce of 1929-1930, and will our market follow the same course?

Here's how it played out in 1930:
[chart]
The Crash of 1929 was almost negligible in comparison to the Great Depression that followed. The Crash sent the Dow tumbling from 380 to 200, and was followed by a Dead Dog Bounce which recovered over 50 percent of the Crash; but the real damage was done beginning in April 1930 and lasting until late 1932 - where the Dow toppled from nearly 300 to less than 50 - a loss of over 83 percent.

The Dead Dog Bounce in 1929 and 1930 was just a corrective overreaction to the steep plunge that the Crash of 1929 brought to the market. But as we can see, the Crash and the ensuing bounce were nothing compared to the huge drop that followed and carried through until the end of the Great Depression.

We now find ourselves in perhaps a similar situation - a market that saw a very impressive bull run for years, and reached a lofty top followed by a severe downturn in 2008 and early 2009. It has since shown signs of improving, and many investors and economists are optimistic for the future - thinking the worst is behind us. But with so many negative and potentially devastating issues constantly surfacing, are we just in the middle of a Dead Dog Bounce before reality sets in and the market plunges back down into recession? I do not yet know the answer to that question. But with the very strong similarities between our market and that of the Great Depression, it would be very wise to at least pay attention.

[picture]

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.’

] The earthquake and tsunami in Japan struck an area that accounts for only a small fraction of the country's economic activity, but damage could still run into the tens of billions of dollars.

Japan reeling after quake (Washington Post) [ Japan reeling, wall street rallying? … What’s wrong that picture? … Hello! … earth to wall street, reality calling … Can’t be good for oil prices, or the debt market (for u.s.) for starters … Who, Besides Ben Bernanke, Wants to Buy (u.s.) Bonds? [ Well, PIMCO just voted with their feet (they’re out of them) … Japansunami will preclude same (note: despite the dire implications for defacto bankrupt america owing to their costly reconstruction preoccupation … market suckers’ rally anyway to keep investors suckered and from getting any rational selling ideas over the weakend … you can do such things, especially into the close, with those computerized high frequency trade programs which are great for generating commissions from the old ‘in-out, in-out’, and then some … these days like last crash / crisis are made for such frauds.) … don’t go looking to china to take more baths, especially with that recent trade deficit of theirs. The answer is no-one! And, one can begin to see the fed’s reluctance to alow proper scrutiny of their books; beyond their complicity in the massive wall street frauds, cashed out with their help, there’s the worthless ‘paper on paper’ debacle just around the corner. ] A bulldozing tsunami leaves the country bracing for an epic humanitarian disaster.

World's richest are almost $1 trillion richer [ And the other 95% trillions poorer. ]

In recent trading, the Dow and S&P were down about 1.3% each while the Nasdaq was off 1.5%.

Such lackluster action is likely to continue in the near term, followed by something much worse for the bulls, according to cycle watcher Charles Nenner of the Charles Nenner Research Center.

"We don't intend to go short right now," he says...with "right now" being the operative term.

The Price of Prognostication

A former market-timing consultant at Goldman Sachs, Nenner has been lauded here and other venues for some of his prescient calls in recent years, most notably:

-- Forecasting a Dow peak of 14,500 in the summer of 2006.
-- Predicting a "substantial drop" in housing in Aug. 2006.
-- Calling the market top in October 2007.
-- Forecasting in late 2007 a "deflation scare" would occur in 2008.
-- In February 2009, predicted a major rally would start "in a few weeks" and could take the S&P as high as 1000.

Hopefully Nenner's "Dow 5000" call will be similarly misplaced.

I point out these gaffes not to embarrass or make fun, but to remind viewers that to err is human and everything you see/hear should be taken with a grain of salt...assuming you're not already.

Aaron Task is the host of Tech Ticker. You can follow him on Twitter at @atask or email him at [email protected]’

Stocks for Brave Adults Only: Dave's Daily ‘Stock rallied in the afternoon led by oversold conditions and that's about it. You could argue those that could lifted some indexes over the breached 50-day moving average. But, with the NYMO at a -70 reading yesterday markets became quickly short-term oversold. Now many wondered with the catastrophe in Japan, U.S. stocks should not have risen. This is understandable and I got a lot of mail about this, but perversely, it may have been more important the Saudi Day of Rage was a nonevent--just ask Prince Alwaleed. Moreover, imagine the amount of reconstruction spending that follows these disasters. Bulls also felt the poor data Friday might lead to more QE from the Uncle Sugar. Markets can often be hard to understand and be hard-hearted at the same time. Retail Sales were okay but you have to wonder about it as "old news" while Michigan Consumer Sentiment dropped substantially. My favorite Fed official, William "have some Kool Aid" Dudley, got trashed as he tried to explain the "no inflation meme" to a crowd in Queens. It's pretty hilarious how he was called out…’

Modest Stock Gains During Friday Trading, But Losses for Week Midnight Trader ‘4:08 PM, Mar 11, 2011 -

NYSE up 55.56 (+0.7%) to 8,255.63
DJIA up 59.79 (+0.5%) to 12,044
S&P 500 up 9.17 (+0.7%) to 1,304
Nasdaq up 14.59 (+0.5%) to 2,716

GLOBAL SENTIMENT

Hang Seng down 1.55%
Nikkei down 1.72%
FTSE down 0.28%

Sneaky Banks to Lay Foundation for Their Own Collapse

Welfare State: Handouts Make Up One-Third of U.S. Wages CNBC | Government payouts make up more than a third of total wages and salaries of the U.S. population.

Will The Japanese Earthquake Be The Straw That Breaks Europe’s Back? Zero Hedge | Japan will have no choice but to launch a mini round of Quantitative Easing. If an earthquake flips its wings in Japan, does the Eurozone go bankrupt, especially in the month when its most insolvent countries face billions in debt rollover requirements, tens of billions in maturity funding needs, even more in deficit funding requirements… and no cash?

Are The Prophets Of Doom Right About Major War, $200 Oil, $2000 Gold And Dow 5000 By The End Of 2012? Are the “prophets of doom” right? Is a major war going to erupt in the Middle East? Is the price of oil going to $200 a barrel? Is the price of gold going to hit $2000 at some point over the next two years?

Adjusted Monetary Base: Up, Up And Away Shortly Zero Hedge will present our quarterly analysis of the liabilities held by the shadow banking system.

National / World

Chilling Account of Big Brother Society Infowars.com | Author Mark Dice details horrific scope of technological control grid.

Japanese Nuclear Meltdown Would Be Hundreds of Times Worse Than Chernobyl Kurt Nimmo | Radiation levels inside Fukushima Daiichi nuclear power plant are 1,000 times normal levels.

Justice Department: TSA Has Authority To Literally Strip Search People Steve Watson | Naked body scanners court case underway, throws up disturbing precedents

Global Warming Did Not Cause The Japanese Earthquake Paul Joseph Watson | BBC reporter spouts lies about “disappearing” South Pacific island to imply man-made climate change connection to devastating tsunami.

Videos Document Horrific Japanese Earthquake Infowars.com | The earthquake is one of the largest ever recorded.

Japan scrambles to avert radiation crisis at nuclear plant Reuters | Thousands of residents were evacuated from an area around a nuclear plant.

Huge tsunami kills hundreds in Japan, sweeps across Pacific Reuters | The biggest earthquake on record to hit Japan rocked its northeast coast on Friday.

Saudi Security Forces Flood Streets to Stop ‘Day of Rage’ Mail Online | Moderate Sunni Islamists and Shi’ite Muslims have joined forces to demand political change.

A Perfect Storm of GMOs, Chemicals and Cancer Rady Ananda | Several books lay out the framework for and evidence of a concerted effort to sicken and then treat humanity, while earning obscene profits.

Guatemalans to sue US government for secretly infecting them with syphilis Natural News | The US government deliberately infected roughly 700 Guatemalans with syphilis.

Second Japanese Nuclear Plant In Peril As Thousands Evacuated Japanese authorities on Saturday were racing to find ways to deliver new backup generators or batteries to a nuclear power reactor whose cooling facilities were crippled by a loss of power caused by the deadly earthquake and tsunami that hit Japan on Friday afternoon.

Global Warming Did Not Cause The Japanese Earthquake Just hours after the horrific earthquake and tsunami devastated coastal areas of Japan, global warming alarmists like the BBC are already injecting climate change propaganda into their coverage of the story, hastily exploiting the tragedy as a vehicle through which to push their increasingly desperate and discredited enviro-fascist agenda.

Justice Department: TSA Has Authority To Literally Strip Search People A government attorney has told federal appeals court judges that the Department of Homeland Security has the authority to literally strip search Americans inside airports if it determines that is the correct course of action to deal with “ever-evolving threats”.

REPORT: 88,000 People Are Missing In Japan Heartbreaking: While the death toll remains in the low hundreds right now (officially) it seems sure to spiral much higher. According to the Kyodo News Agency, via BBC, the official missing persons tally is around 88,000.

Ron Paul: No-fly Zone Over Libya Would be an Act of War On the House floor Thursday, Rep. Ron Paul pointed out that imposing a so-called no-fly zone on Libya would be illegal under international law and an act of war.

Japan Declares Nuclear Emergency After Devastating Earthquake The horrifying consequences of the biggest earthquake to hit Japan since records began are only just beginning to be discovered, with the tsunami that followed causing massive devastation and engulfing cities and airports, leading to the declaration of a nuclear emergency at the Fukushima No. 1 nuclear plant after efforts to cool malfunctioning reactor cores failed.

Saudi King Counters Protests With $36 Billion as Tension Mounts As unrest escalated across the Middle East, activists in Saudi Arabia demanded a political voice as well. Rather than promises of democracy, they got a $36 billion handout and a slap down from Islamic clerics.

Nato ‘kills cousin of Afghan President Hamid Karzai’ A relative of Afghan President Hamid Karzai has been mistakenly killed by Nato troops in southern Afghanistan, officials say.

Drudgereport: THE GREAT QUAKE OF JAPAN... 9.1 MAG CAUSES CHAOS... BBC LIVE... REUTERS LIVE MAPS, DETAILS... KYODO WIRE... NHK... Hundreds of bodies found... Thousands Missing, Feared Dead... Dam breaks, washes away homes... Agency: N American plate snapped upward... HUGE WHIRLPOOL CREATED... Thousands roam Tokyo streets... Cruise ship, entire train missing... Japan Rushes to Contain Damage...
'HOURS' TO PREVENT NUKE MELTDOWN
'MAY BE EXPERIENCING NUCLEAR MELTDOWN'
Quake's Magnitude Hiked to 9.1... Japan scrambles to ease pressure building inside two nuke plants...
...TOKYO POWER says temperatures falling back to normal at Reactor #3
...Meltdown threat remains for Reactor #1
Radiation at 1000X Normal...
LEAK...
Fuel Rods May Have Been Damaged...
Fears of THREE MILE ISLAND repeat...
'No immediate health hazard,' officials say -- while evacuating 45,000...
US Amb. to Japan Warns Americans to Evacuate...
US military DID NOT provide any coolant... Earlier, Hillary Clinton said Air Force 'assets' had been used to do so...

BRUSSELS WEEKEND: Broke euro countries plead for help... 18 GOP senators in Wisc report death threats after union vote...
UNIONS THREATEN BUSINESSES...
Iowa follows suit; House passes collective bargaining bill...

Obama says 'tightening noose' on Gadhafi...
Tripoli protest stamped out...
Berlusconi: West may have miscalculated...

Police flood Saudi capital, preventing 'Day of Rage'...

Saudi police open fire at protest (Washington Post) [ Time to revoke the saudi pass to do whatever please owing to their preposterous claim to all the oil wealth of the entire Saudi nation. 16 miles away, Saudi Arabia's watchful eye looms over Bahrain unrest (Washington Post) [ I’m sure they are… with a microscope at that. Saudis Worried Protests Will Hit Home - saudi arabia; talk about do nothing hypocrites. How does one family claim ownership of all the oil reserves of a sovereign nation; I suspect only when foreign corporations say so For the sake of the saudi Arabian people, more than just protests should come to fruition! ] AFP | Saudi royal warns Arab world uprisings could cause harm unless they reform. Bahrain authorities launch surprise attack on protesters [There’s the america and saudi Arabia effect; far less than democratic and far more deadly in the mideast among other places; talk about hypocrites. How does one family claim ownership of all the oil reserves of a sovereign nation as the saudis; time for the saudis to go the way of dictator Mubarak and take the war criminal americans with them. ] Los Angeles Times Tear gas canisters bombard sleeping protesters in Manama's Pearl Square. At least two men are reported killed Video: Bahrain protesters look to emulate Egypt revolt euronews Riot Police Attack Bahrain Protesters Voice of America ‘Saudi Arabia sending troops to Bahrain’ Saudi Arabia is sending troops to Bahrain in a move to crack down on pro-democracy protesters who took to the streets in the capital Manama, a political analyst says. [`SAUDIS TOLD OBAMA 'NOT TO HUMILIATE MUBARAK'`

NATO troops kill Karzai's cousin in botched raid, Afghans say (Washington Post) [ ‘All the right moves’. Right, right, right! Righto!…Riiiiight! Winning those hearts and minds; or as Charlie Sheen would say … duh … winning! Whew! U.N. alarmed by surge in civilian casualties in Afghanistan (Washington Post) [ No, gates has already addressed that … minor setbacks, says he … Turmoil jars U.S. counter-terror efforts (Washington Post) [ Now how does this come as a surprise to anyone? Beyond america’s propaganda machine, orwellian england, etc., just how do think the war crimes, invasions, pillaging and plundering, and killing of innocent children, women, and men by pervasively corrupt, defacto bankrupt america et als for the sake of the u.s. military military complex are viewed by the rest of the world, and particularly the subject region. Euphemistically but realistically speaking, ‘not good’! … Gates says killing of Afghan boys a "setback" (Reuters) [Ah, yes, riiiiight! … that’s what it is, alright…just a setback…I see. ] Gates: US military to stay in Afghanistan US Defense Secretary Robert Gates, who is on a surprise visit to Afghanistan, says the American military should stay in the conflict-riddled country despite the rising human costs. Violent spring looming in Afghanistan (Washington Post) [ See … something to look forward to … must be that good news that keeps getting pushed back … and spring no less … everything bombing blooming or in war criminal american-speak … ‘booming’ … but not the defacto bankrupt american economy for which a crash is ‘looming’. Could somebody help me out with a translation of gates’ speech a west point … I must be missing something … Lt. Gen. John Kelly, who lost son to war, says U.S. largely unaware of sacrifice (Washington Post) [ I disagree! They are very much aware; as they stand in unemployment lines, use food stamps to get by, etc.. I hate to sound cavalier and I’m sorry that Kelly lost a son to war, but along with the multitude of civilians in the nations unlucky enough to provide a source of corporate welfare to the military industrial complex and war profiteering for the few (as warned against by President General Eisenhower), they died for nothing, for no good reason beyond the false propaganda. Six NATO troops killed in Afghanistan (Washington Post) [ Is there something wrong with the following picture? … am I missing something? … Gates's warning: Avoid land war in Asia, Middle East, and Africa Christian Science Monitor - In a speech to cadets at the United States Military Academy at West Point, Gates's message was clear: The US military services, as well as the elected and appointed civilians who send them to war, need better ways of foreseeing and preparing for ... Gates Tells US Army to Take New Approach Voice of America Warning Against Wars Like Iraq and Afghanistan New York Times [ Better said, than unsaid; but, methinks a bit late for that in light of pervasively corrupt, defacto bankrupt america’s consummate decline and fall! If only they had listened and not shot at the messenger … things could have been different! ] ] American military officials expect that the Taliban will mount a campaign to regain ground lost to U.S. troops last year and use suicide bombing teams to strike at those associated with the Afghan government or coalition forces. ]

Krauthammer: What Social Security trust fund? (Washington Post) [ Fraud? Most assuredly! But breathtaking, shocking? Come on! Let’s get real here … paper iou’s (the ‘trust fund’) from pervasively corrupt, defacto bankrupt, perpetual warster america? I mean, REALLY (as they say on SNL-a joke)...This is the grim economic reality ( http://albertpeia.com/grimreality.htm ). In Senate's debt debate, talk isn't cheap (Washington Post) [ Oh, but it is cheap! Very cheap relative to the magnitude of the insurmountable debt … here’s an initial and astute vote of ‘no confidence’ … Drudgereport: `World's biggest bond fund dumps all U.S. debt...` Senate still wrangling over spending bill (Washington Post) [ Few signs of compromise on budget details (Washington Post) [ Come on … wake up! The cuts they’re quibbling over don’t even cover interest on the national debt! Timid Tuesday: Is it Safe? Davis ‘… This is how we pay off our current debts and I think bondholders are simply happy to get anything out of a country that admits it owes $15Tn (1/4 of global GDP) but probably owes closer to $60Tn (entire global GDP) in the form of unfunded liabilities. The funniest thing about this (and you have to laugh) is to see Conservative pundits get on TV and talk about how we need to cut $100Bn worth of discretionary spending to "fix" this (while continuing to spend $1Tn on the military and $1Tn on tax cuts for the top 1% each year). There is no fixing this and even a Republican said you can’t fool all of the people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS – PLEASE BE CAREFUL OUT THERE! ‘ ] Senate leaders delayed until Wednesday consideration of a bill to fund the government through Sept. .…. Top Economists: Trust is Necessary for a Stable Economy … But Trust Won’t Be Restored Until We Prosecute Wall Street Fraud Most policy makers still don’t understand the urgent need to restore trust in our financial system, or the need to prosecute Wall Street executives for fraud and other criminal wrongdoing ….. 'Gang of 6' takes deficit fight to public (Washington Post) [ Riiiight! I like that term, gang, as applied to capital hill. Indeed, without exaggeration or sarcasm I posit the realistic existence of government mob, relative to other mob designations as ie., mafia, irish mob, jewish mob, etc., based not on what they say they do but on what they actually do. That now corrupted supreme court of old’s test for obscenity; viz., ‘you know it when you see it’. And, haven’t we been seeing it for quite some time now; the corruption, the corruptibility, the lobbyists, the military industrial complex, the look the other way for the massive frauds on wall street, the bribes in one form or another before or after the fact? The ‘gangs’ should be shouldering the burden first, then come asking those who foolishly trusted them. Why Social Security is welfare (Washington Post) [ What does it matter what you call it? Part of america’s defacto bankruptcy? Most assuredly (I haven’t even looked at the Bloomberg propaganda piece which by its very title is an insult to intelligence; after all, we all know they can continue to print evermore worthless fiat currency which in reality does not change the ultimate reality of america’s defacto bankruptcy but merely exacerbates while forestalling a realistic assessment of the magnitude of the crisis. The fact is that there are others, culpable in creating this crisis who should be shouldering the burden first; ie., frauds on wall street via prosecution, fines, disgorgement; Ellen Bente Oliver ‘Salary of House/Senate...$174,000. Salary of Speaker of House...$223,500. Salary of Majority/Minority Leaders...$193,400. Average US Salary...$33,000 to $77,000. Maybe our elected officials should make an average salary too...It's a time of sacrifice after all...Pass along, post on your own page if you agree…’ ; SEC on the hot seat (Washington Post) [ Oooooh! The capital hill hot seat … shilling for no more than a grilling. House Republicans press SEC on official's ties to Madoff (Washington Post) [ The ultimate subterfuge. Mr. small potatoes madoff the focus of so much influence … yet he’s in jail … and the only one … Boy, did mary shapiro become total b* s* fast … the current shibboleth of capital hill / all 3 branches of pervasively corrupt u.s. government … joining the others: “The Financial Industry Has Become So Politically Powerful That It Is Able To Inhibit the Normal Process of Justice And Law Enforcement” The economy cannot stabilize unless fraud is prosecuted. But the folks in D.C. seem determined to turn a blind eye to Wall Street shenanigans, and is now moving to defund the enforcement agencies like the SEC and CFTC. Market Crash 2011: It Will Hit by Christmas Farrell, MarketWatch SAN LUIS OBISPO, Calif. (MarketWatch) — ‘Politicians lie. Bankers lie. Yes, they’re liars. But they’re not bad, it’s in their genes, inherited. Their brains are wired that way, warn scientists. Like addicts, they can’t help themselves. They want to sell stuff, get rich…’ Financialization and Our Increasingly Unstable Economy Roche ‘I finally got around to seeing the movie Inside Job, the story behind the credit crisis and winner of the Academy Award for best documentary. It’s very good and I highly recommend it to anyone who hasn’t seen it. It will certainly infuriate you. The movie doesn’t place nearly enough blame on homeowners, but all in all it does an excellent job of showing how Wall Street and government have become overrun by deregulation and sheer greed. A combination of flawed economic theory and greed have combined to create the beast that we now call a “functioning” economy. The worst part of it all is that President Obama, who vowed change, has done almost nothing to fix any of it and in fact continues most of the policies that helped get us here in the first place. …’ ‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b* s* ………all of the above, some of the above ……….. or is it something else …… here’s a hint - `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

Stocks sink amid new economic concerns (Washington Post) [New economic concerns? I don’t think so! The economic concerns certainly aren’t new: This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b*** s*** alone is an especially great opportunity to sell / take profits while you can since there's much worse to come!But that money/prosperity’s truly down the crapper and into the hands of the ‘perps and friends’ … World's richest are almost $1 trillion richer ( And the other 95% trillions poorer.) … There’s never been a mystery here … just a massive fraud that despite the rhetoric has been purposefully overlooked and unprosecuted … : “The Financial Industry Has Become So Politically Powerful That It Is Able To Inhibit the Normal Process of Justice And Law Enforcement” The economy cannot stabilize unless fraud is prosecuted. But the folks in D.C. seem determined to turn a blind eye to Wall Street shenanigans, and is now moving to defund the enforcement agencies like the SEC and CFTC. Market Crash 2011: It Will Hit by Christmas Farrell, MarketWatch SAN LUIS OBISPO, Calif. (MarketWatch) — ‘Politicians lie. Bankers lie. Yes, they’re liars. But they’re not bad, it’s in their genes, inherited. Their brains are wired that way, warn scientists. Like addicts, they can’t help themselves. They want to sell stuff, get rich…’ Financialization and Our Increasingly Unstable Economy Roche ‘I finally got around to seeing the movie Inside Job, the story behind the credit crisis and winner of the Academy Award for best documentary. It’s very good and I highly recommend it to anyone who hasn’t seen it. It will certainly infuriate you. The movie doesn’t place nearly enough blame on homeowners, but all in all it does an excellent job of showing how Wall Street and government have become overrun by deregulation and sheer greed. A combination of flawed economic theory and greed have combined to create the beast that we now call a “functioning” economy. The worst part of it all is that President Obama, who vowed change, has done almost nothing to fix any of it and in fact continues most of the policies that helped get us here in the first place. …’ ‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b*** s*** ………all of the above, some of the above ……….. or is it something else …… here’s a hint - UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ US v. AZ... Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

] Official opens an investigation into allegations that the agency mishandled potential conflicts of interest in its response to Madoff's Ponzi scheme.

]

In recent trading, the Dow and S&P were down about 1.3% each while the Nasdaq was off 1.5%.

Such lackluster action is likely to continue in the near term, followed by something much worse for the bulls, according to cycle watcher Charles Nenner of the Charles Nenner Research Center.

"We don't intend to go short right now," he says...with "right now" being the operative term.

The Price of Prognostication

A former market-timing consultant at Goldman Sachs, Nenner has been lauded here and other venues for some of his prescient calls in recent years, most notably:

-- Forecasting a Dow peak of 14,500 in the summer of 2006.
-- Predicting a "substantial drop" in housing in Aug. 2006.
-- Calling the market top in October 2007.
-- Forecasting in late 2007 a "deflation scare" would occur in 2008.
-- In February 2009, predicted a major rally would start "in a few weeks" and could take the S&P as high as 1000.

Hopefully Nenner's "Dow 5000" call will be similarly misplaced.

I point out these gaffes not to embarrass or make fun, but to remind viewers that to err is human and everything you see/hear should be taken with a grain of salt...assuming you're not already.

Aaron Task is the host of Tech Ticker. You can follow him on Twitter at @atask or email him at [email protected]’

Market Thrill Ride Ends Badly: Dave's Daily ‘‘Well, this wasn't very nice. When a roller coaster is on pause as Wednesday you know something thrilling is coming next. What spooked the herd anyway? China reported a surprising trade deficit versus an expected surplus due to oil imports; Spain's credit rating was downgraded a notch, Japan's GDP growth estimates were cut; Jobless Claims were higher than expected; shots were fired at Saudi demonstrators; the Libya situation remains a stalemate while major powers dither; and, there was no POMO Thursday. Is that what it takes for a stampede? Markets have been unstable to put it mildly and one of our trusty tech indicators DeMark sequential counts (not to mention DeMark himself) has indicated "trend exhaustion" for some time. This is why we've been light save for our Lazy Portfolios. [chart] Everything was down today save bonds which rallied on a flight to safety. One might think this ephemeral since "bond daddy" Bill Gross and PIMCO sold all their holdings and yields can't go "much" lower from here. Despite having data from WSJ late enough I can't determine if this was a 10/90 day or not; but, it sure could be. Breadth may was particularly negative and someone no doubt will chime in with a confirmation or not. As is usually the case for big sell days like this, stops get hit and volume builds significantly.’

SPY's 25-Minute Tumble Sends ETF Back To January Levels Coleman ‘This started out as a rocky day as China’s trade woes, European sovereign debt concerns and sour job numbers in the U.S. sent stocks falling. As reports emerged of bullets pelting protesters in Saudi Arabia, popular ETFs tracking key benchmarks tumbled.In a 25-minute span, the SPDR S&P 500 ETF (SPY) fell almost 0.9%, erasing its intra-day high. It rallied for about an hour before losing steam in the last 1.5 hours of the regular session. SPY closed down 1.9% at $129.94 a share, back to levels not seen since January.Perhaps just as alarming, the blue chip tracking ETF fell below its 50-day moving average, a key short-term technical indicator. So did the SPDR Dow Jones Industrial Average ETF (DIA).Now, all eyes are likely to be focused on on the Fed’s policy setting committee meeting next Tuesday. If it decides to keep rates low for an extended period, “the risk of an even deeper pullback increases,” writes Tomi Kilgore in his column today for Dow Jones Newswires.The S&P 500 index closed today at 1295.11. Bears should target the 1225-1230 range, where there was significant resistance from early November through early December, notes Kilgore. “In addition, the 38.2% retracement–the first significant retracement level for followers of Fibonacci numbers–of the rally off the August low of 1040 to the February high of 1344 is at 1228,” he adds.About the same time as SPY was falling, the U.S. Oil Fund (USO) made a push higher after moving lower in the morning. The ETF’s shares bounced up on heavy volume in the early afternoon to reach an intra-day high around $42.10 a share. But it meandered down the rest of the afternoon. USO closed down 1.6% at $41.40 a share, back to last week’s levels.The SPDR Gold Trust (GLD) did much the same as USO, jumping in the afternoon only to slide lower later in the day. But the precious metals ETF did manage a small rally early in the session to reach $138.72 a share. It finished down 1.2% at $137.77 a share, taking the fund back to late February levels.’

Stocks Sharply Lower, Dow's 200-Plus Point Drop Deepest Since August Midnight Trader ‘4:22 PM, Mar 10, 2011 --

NYSE down 179.37 (-2.1%) to 8,200.07
DJIA down 228.48 (-1.9%) to 11,985
S&P 500 down 24.91 (-1.9%) to 1,295
Nasdaq down 50.70 (-1.8%) to 2,701

GLOBAL SENTIMENT

Hang Seng down 0.82%
Nikkei down 1.46%
FTSE down 1.53%

Reviewing My Reasons to Book Profits Suttmeier ‘In the new millennium I’ve made some good market timing calls and some not so good calls. In March 2000, I recommended that investors reduce holdings in NASDAQ stocks by 50%. Then, between July 2002 and October 2002, I was a major bull, and re-iterated that bullish call in March 2003 as our troops marched towards Baghdad. Unfortunately, margin calls forced many of my readers who stayed long to bail-out at the lows.

In June 2005, I called the summer top for the homebuilders. At the end of 2006, I called the top for community banks. In March 2007, I called the top for the regional banks, but was pre-mature on the bearish overall market call, though I stuck to my guns with a re-iteration all the way into October 2007 when I said that the Dow would not sustain gains above 14,000. I was a bear until March 2009, when I called for a 40% to 50% bear market rally.

In 2010, I under-estimated the potential upside to the market, but my stock selection process of “Buy and Trade” limited the extent of this bad call. Starting in September 2010, I shifted to a more balanced market outlook looking for Dow 11,235 by election day, on the Republican victory and QE2. My ValuTrader model portfolio was up 35.2% in 2010, solidly beating the S&P 500. At year end, my call for 2011 has been a Dow top below 12,600.

Reviewing Reasons to Book Profits:

1. The fundamentals showed that stocks were overvalued and we have had three ValuEngine valuation warnings when more than 65% of all stocks are overvalued. The January warning was ignored by the market, but so far stocks peaked with the warning issued on February 18th and re-iterated on March 3rd. During this period, we have seen many days where all sixteen sectors have been overvalued, with eight to eleven by double-digit percentages. The Dow high was 12,391.29 on February 18th.

2. I believe that the Federal Reserve will allow QE2 to end at the end of June and that there will be no QE3. At that meeting the FOMC will remove “extended period” from their statement. The federal funds rate has been zero to 0.25% since December 16, 2008.

3. The weekly chart for the Dow Industrial Average has been overbought since the week of October 9, 2010. Momentum needs to fall below 8.0 and the Dow must have a weekly close below the five-week modified moving average, which ended last week at 12,017. A negative weekly chart confirms the market top.

4. It will be hard to maintain a bull market with European debt issues, African and Middle-East political unrest, problems at US state capitals, and inflationary pressures in China.

5. The housing market remains depressed and community banks remain stressed.

Key Levels for the Major Equity Averages

· The Dow Industrial Average (12,213) Libya Trading Range: 11,983 to 12,391. My annual value level is 11,491 with a daily pivot at 12,205, and weekly and monthly risky levels at 12,483 and 12,741.

· The S&P 500 (1320.0) Libya Trading Range: 1294 to 1344. My quarterly value level is 1262.5 with a daily pivot at 1317.0, and weekly and monthly risky levels at 1350.3 and 1381.3.

· The NASDAQ (2752) Libya Trading Range: 2706 to 2840. My monthly value level is 2629 with a daily pivot at 2745, and weekly, quarterly and monthly risky levels at 2829, 2853 and 2926.

· The NASDAQ 100 (NDX) (2323) Libya Trading Range: 2285 to 2403. My monthly value level is 2250 with a daily pivot at 2328, and weekly, quarterly, and monthly risky levels at 2398, 2438 and 2499.

· Dow Transports (5147) Libya Trading Range: 4918 to 5306. My quarterly value level is 4671 with weekly, daily and annual pivots at 5052, 5086 and 5179. The Transports closed below its five-week modified moving average in each of the two weeks with declining momentum, which is a negative weekly chart profile. A close above this week’s five-week at 5111 shifts the weekly chart to neutral.

· The Russell 2000 (824.66) Libya Trading Range: 795 to 838. My quarterly value level is 765.50 with a daily pivot at 816.86, and weekly, daily and monthly risky levels at 831.09 and 850.79.

· The Philadelphia Semiconductor Index (SOX) (447.94) Libya Trading Range: 439 to 474. My monthly value level is 402.46 with a daily pivot at 436.99, and monthly and quarterly pivots at 453.89, 458.32 and 465.93, and weekly risky level at 485.92.

10-Year Note – (3.475) Daily, weekly, annual, and semiannual value levels are 3.544, 3.642, 3.796 and 4.268 with monthly, annual, and semiannual risky levels at, 3.002, 2.690, 2.441, and 2.322.

Comex Gold – ($1429.6) Weekly, annual, quarterly, semiannual and annual value levels are $1385.4, $1356.5, $1331.3, $1300.6 and $1187.2 with monthly and quarterly pivots at $1437.7 and $1441.7, and daily and semiannual risky levels at $1446.3 and $1452.6.

Nymex Crude Oil – ($104.16) Weekly, monthly and semiannual value levels are $97.78, $96.43, and $87.52 with my annual pivots at $99.91 and $101.92, and semiannual, daily and quarterly risky levels are $107.14, $107.24 and $110.87.

The Euro – (1.3904) My quarterly value level is 1.3227 with a daily pivot at 1.4040, and weekly, semiannual and monthly risky levels at 1.4446, 1.4624 and 1.4637.

Daily Dow: (12,213) Annual, quarterly, semiannual, and semiannual value levels are 11,491, 11,395, 10,959, and 9,449 with a daily pivot at 12,205, and weekly, monthly and annual risky levels at 12,484, 12,741 and 13,890.’

ETFs React to Jobless Claims and Deficit [email protected] (Tom Lydon), On Thursday March 10, 2011, 11:40 am EST ‘Exchange Traded Funds (ETFs) dropped Thursday, with the bears in control after data showed rising jobless claims and growing U.S. and Chinese trade deficits.

The number of people seeking unemployment benefits rose last week. But the rise comes after applications hit their lowest level in nearly three years and economists expect further declines as the economy improves. Applications increased by 26,000 to a seasonally adjusted 397,000 during the week ended March 5, the Labor Department said Thursday. The four-week average, a less volatile measure, rose to 392,250. The average fell to its lowest level since July 2008 two weeks ago. The latest report covers the week after the Presidents’ Day holiday, when many government offices were closed. Applications usually rise in weeks following holiday-shortened weeks. The SPDR Dow Jones Industrial Average (NYSEArca:DIA) is down 1.5% in morning trading.

A surge in oil prices helped push imports up at the fastest pace in 18 years in January, giving the country the largest trade deficit in six months. The Commerce Department said Thursday the January deficit increased 15.1 percent to $46.3 billion. Exports rose 2.7 percent to an all-time high of $167.7 billion. But imports rose a faster 5.2 percent to $214.1 billion. That reflected a big jump in America’s foreign oil bill, underscoring concerns that surging oil prices could slow the economic recovery. A widening trade deficit hurts the U.S. economy. When imports outpace exports, more jobs go to foreign workers than to U.S. workers. The Direxion Daily Energy Bear 3x Shares ETF (NYSEArca:ERY) rose over 9% in early trading.

Europe’s leading stock markets retreated Thursday as euro zone debt fears sparked by a credit downgrade to Spain overshadowed news of positive company earnings, traders said. “Markets are taking another pasting … mainly on the back of Spain getting downgraded by Moody’s,” said Spreadex trader Chris Purdy . The markets are looking at higher oil prices and the continued concern over European debt. The iShares S&P Europe 350 Index ETF (NYSEArca:IEV) is down approximately 2% today.

Asian shares declined Thursday as escalating fighting in Libya and China’s unexpected trade deficit for February sparked a sell-off in the region. The fall in Shanghai came after the country posted a $7.3 billion trade deficit in February, compared with expectations of a surplus, as exports and imports growth slowed sharply, bearing the impact from the Chinese New Year holidays during the month. “One thing we are more certain about is that China’s trade surplus is most likely to decline at a faster rate than anyone expected this year… A much smaller trade surplus means that the external pressure on yuan appreciation would be less,” said Wei Yao, China economist at Societe Generale in Hong Kong . iShares FTSE/Xinhua China 25 Index (NYSEArca:FXI) is down this morning about 1.3%.

Gregory A. Clay contributed to this article.’

Deja Vu - Nasdaq Breaks 50 Day Moving Average Trader Mark ‘Let's try this again - we just had this conversation Monday. The NASDAQ (QQQQ) - yet again - has broken the 50 day moving average, although today's move is more impressive than the last occurrences as it was a gap down situation. Hence, no part of today's range in the index has been above the 50 day moving average. When this break of support happened early afternoon Monday, the NASDAQ turned on a dime and rallied 1% in just over 2 hours.

[chart]

(Click charts to expand)

As I state constantly, what matters is the CLOSING price, not the intraday price, BUT today's action is not looking prone to a 'stick save' situation (late day rally) as we saw the other times this happened the past few weeks. Hence I would be quite surprised if 'dip buyers' were bailed out today. As for 'da bears' - they want to see a close below 2730 on NASDAQ.

The S&P 500 (SPY) has come down to sniff the 50 day moving average as well, but the NASDAQ has been the indicator of where the bulls charge in the past few weeks so I'll keep a closer eye there. Obviously a close below 1294 on this index would be a double whammy. That would be both a close below the 50 day moving average AND a close below the intraday low of 2 weeks ago.

[chart]

No place for heroes here - I continue to stress caution and de-risking. Remember, we have major air pockets below these key supports since the rally has been so vicious and shorts eviscerated for half a year; therefore they are not going to provide the natural support as in a normal market when they cover.

It is fun to see a 2 way market once again - first time since November.’

Ex-Goldman Sachs Analyst: “Major War” Coming End Of 2012 Paul Joseph Watson | Massive conflict will prompt stock market collapse, predicts cycle strategist Nenner.

QE 3 and the Coming Rout Chris Martenson | There’s a scenario that could play out between May and September.

Oil prices drop before US data, Saudi protests AFP | Traders kept a wary eye ahead of US data and planned protests in oil kingpin Saudi Arabia.

Faber: Oil will go up ‘ballistically’ if unrest shifts to Saudi Arabia Business Intelligence Middle East | Marc Faber sees oil prices extending their bull run despite the 15% run-up this year alone.

Jobless Claims in the U.S. Rose 26,000 Last Week to 397,000 Bloomberg | First-time claims for jobless benefits rose last week from an almost three-year low.

8 Reasons Why Silver Is the Investment of the Decade If there’s one asset that’s heated up over the last several months amid tensions in the middle east and a second round of the Federal Reserve’s quantitative easing, it’s silver.

Should We Be Alarmed That The Biggest Bond Fund In The World Has Dumped All Of Their U.S. Treasury Bonds? Bill Gross, the manager of the biggest bond fund in the world, has forgotten more about bonds than most of us will ever learn. That is why the big move that PIMCO has just made is so unsettling.

Bernanke Tries To Explain Why A Ponzi Scheme Is A Perfectly Acceptable System For Post Civil-War America, Fails The following exchange between Ben Bernanke and Senator Kirk is a must watch for everyone who wonders how Ben Bernanke justifies the fact that America is now an open Ponzi scheme.

Gasoline cost to jump $700 for average household U.S. drivers will pay another 10 cents a gallon for gasoline before the latest jump in wholesale costs is fully passed on at the pump, and yearly motor fuel costs will rise 28 percent from last year, the Energy Department said on Wednesday.

National / World

Ex-Goldman Sachs Analyst: “Major War” Coming End Of 2012 Paul Joseph Watson | Massive conflict will prompt stock market collapse, predicts cycle strategist Nenner.

Bob Bowman: Star Wars Secrets & Lies Paul Joseph Watson | Former head of SDI blows the whistle on the militarization of space.

Stealing from Social Security to Pay for Wars and Bailouts Paul Craig Roberts | The government of the United States does not represent the American people. It represents the oligarchs.

Doctors Report Bahrain Using Nerve Gas On Demonstrators Kurt Nimmo | Bahraini PM states the monarchy is permitted to use chemical weapons against its citizens.

Egyptian Revolution? Globalists Own Both Horses In Two Horse Race Paul Joseph Watson | Welcome to “democracy,” new world order style.

Ex-Goldman Sachs Analyst: “Major War” Coming End Of 2012 When cycle forecaster Charles Nenner told the Fox Business network yesterday that the Dow Jones was set to collapse to the 5,000 level on the back of a “major war” that will shake the globe at the end of 2012, hosts David Asman and Elizabeth MacDonald sat in stunned silence.

Oil Trims Losses After Saudi Police Fire On Protesters Crude-oil futures pared losses Thursday after reports Saudi police opened fire at protesters in the eastern city of Qatif.

Congressman: TSA “Cooked The Books” To Discourage Use Of Private Security Contractors In Airports The chairman of the House Transportation and Infrastructure Committee has charged that the TSA intentionally fixed data to ensure that federal workers were employed to screen airport passengers, rather than private contractors.

Two Fresh TSA Gropedown Videos: Pregnant Woman pulled aside, TSA Thugs Block Man From Filming Wife Being Groped Two new videos taken by concerned Americans accosted by the TSA in airports. The first shows a pregnant woman being groped by an officer. The second shows TSA agents blocking a man from recording TSA agents touching his wife, even after a supervisor had overruled them and said the man had the right to film.

Bob Bowman: Star Wars Secrets & Lies Robert M. Bowman, a former Director of Advanced Space Programs Development for the U.S. Air Force in the Ford and Carter administrations has been targeted with death threats, government harassment and three tax audits in two years as a consequence of his bold truth-telling activism, which all started when he blew the whistle on the fact that Reagan’s Star Wars program was an offensive act of military conquest in space and a means of waging aggressive pre-emptive warfare, disguised as a defensive program.

Saudi police open fire on demonstrators MSNBC.com | Word of the protest helped drive oil prices back up on international markets.

Qaddafi’s Son Says It’s Time For Full-Scale Military Action Qaddafi’s son Saif Al-Islam says the time has come for full-scale military action against the rebels, in an interview with Reuters. While France says Libya’s rebel national council is the only legitimate representative of the country, and will seek to engage in targeted airsrtikes.

Three BBC journalists ‘detained and beaten’ in Libya Three BBC journalists were “detained and beaten” before being subjected to a mock execution while reporting in battle-torn Libya, the news organisation reported Wednesday.

Drudgereport: SARKOZY, CAMERON TAKE CHARGE ON LIBYA...
HILLARY: U.S. should wait for world to act...
Top U.S. Spy: GADHAFI WILL PREVAIL...LIBYA BURNS AS NATO SQUABBLESIll. Gov. Slaps Tax on Internet Sales...
Targets AMAZON...
Major ad firm threatens to leave state...
Part of growing battle in cash-starved states... OBAMA: I was bullied…[Maybe that accounts for his precarious mental state and compulsive need to b*** s***… he’s so pathetic!]... Michelle Obama Sports $1,000 Handbag… (the wobamas are such jive-tallkers) ... Gang Rape of 11-Year-Old Girl Sparks Racial Tensions in Texas Town…[ People are tired of soft-peddling and making up excuses for blacks panthers as with the holder department of injustice…This is very commonplace in Sub-Saharan Africa. ]...

Gas Prices Up 67% Since Obama President... Elite journalist club bans CSPAN from covering Obama at posh dinner... Jesse Jackson: We're 'Going To Escalate The Protests'... Wisc. lawmakers curb public worker bargaining power...
Pandemonium in Wisc as protesters storm Capitol over union vote...
[ Wis. Senate strips workers' bargaining rights Vote by Republicans bypasses chamber's missing Democrats (Washington Post) [ Drudgereport: Drudge is reporting, and I think Charlie Sheen would agree, that in Wisconsin, the GOP is … duh … winning … and conversely, the dems / unions are … duh … losers, trolls, etc… just kidding …]

World's biggest bond fund dumps all U.S. debt...

UNIONS LOSE IN WI

WI GOP pushes through union bill...
'ENOUGH IS ENOUGH'...
Gov. Walker applauds...
DEMS SCRAMBLE BACK...

SHOCK: 82% of US schools 'failing'... Gasoline cost to jump $700 for avg household... Libya Tanks Move In To Crush Rebel Stronghold...
Carnage in Rebel City...
FOOTAGE: Libyan war plane shot down...
Obama, Cameron discuss plan of action... Hoyer: No Balanced Budget for 15-20 Years 'We've Dug Such a Deep Hole'... FLASHBACK: Larger Than Entire 2007 Deficit...
Treasury Draws Down Cash Balance...
FEBRUARY DEFICIT: $223 BILLION
FRESHMAN DEM. SENATOR: OBAMA HAS 'FAILED TO LEAD'... Mayors to Unions: 'Dire fiscal straits' without 'dramatic' changes...
Anger Brews Over Government Workers' Benefits... UNREST IN THE MIDWEST: Now Michigan... WELFARE NATION: ONE-THIRD OF ALL WAGES ARE HANDOUTS... ROMNEY: Obama Misery Index hits record high... OPEC VOWS NEW PUMPING...
OIL HOLDS NEAR $105...
Roubini: Will Hit $150... Sheen: 'I'm really starting to lose my mind'... ‘In what appears to be a 180 degree turn around from his daily proclamations of having “tiger’s blood” and “Adonis DNA,” Charlie Sheen admitted “I’m really starting to lose my mind” in the new issue of “Life & Style.”

U.N. confirms probe into allegations of torture by Gaddafi's forces (Washington Post) [ Well we all know how effective the u.n. has been in enforcing the mandate against torture / war crimes in light of their stern rebuke / sanctions / action against the u.s. / israel … riiiiight! http://albertpeia.com/evilonthetarmac.htm ]

Dispute threatens trade agenda (Washington Post) [ Agenda? What agenda? Come on! A cursory look at the consistent and persistent trade numbers and one must conclude that they’d safe some face and be thought of just a wee bit better than worse than bad if they stated they have no agenda. My computer is under constant hack-attack and truth be told, I’ll be going linux / non-windows with my next ‘non-american’ made computer (this dell just can’t hack the hacks / barrage). Let’s not kid ourselves, there is nothing ‘made in america’ (even most components of ‘domestic’ products are made overseas) that can’t be made elsewhere better and cheaper except for the ubiquitous fraud for which pervasively corrupt, defacto bankrupt america has no peer…

Taxpayers caught in middle of Fannie lawsuit (Washington Post) What could be worse than taxpayers paying more than $100 million to defend a shareholder-owned company and its former executives in a private lawsuit? [ What could be worse? Not prosecuting the massive wall street frauds in the trillions with jail, fines, and disgorgement the goal.…. Top Economists: Trust is Necessary for a Stable Economy … But Trust Won’t Be Restored Until We Prosecute Wall Street Fraud Most policy makers still don’t understand the urgent need to restore trust in our financial system, or the need to prosecute Wall Street executives for fraud and other criminal wrongdoing ….. 'Gang of 6' takes deficit fight to public (Washington Post) [ Riiiight! I like that term, gang, as applied to capital hill. Indeed, without exaggeration or sarcasm I posit the realistic existence of government mob, relative to other mob designations as ie., mafia, irish mob, jewish mob, etc., based not on what they say they do but on what they actually do. That now corrupted supreme court of old’s test for obscenity; viz., ‘you know it when you see it’. And, haven’t we been seeing it for quite some time now; the corruption, the corruptibility, the lobbyists, the military industrial complex, the look the other way for the massive frauds on wall street, the bribes in one form or another before or after the fact? The ‘gangs’ should be shouldering the burden first, then come asking those who foolishly trusted them. Why Social Security is welfare (Washington Post) [ What does it matter what you call it? Part of america’s defacto bankruptcy? Most assuredly (I haven’t even looked at the Bloomberg propaganda piece which by its very title is an insult to intelligence; after all, we all know they can continue to print evermore worthless fiat currency which in reality does not change the ultimate reality of america’s defacto bankruptcy but merely exacerbates while forestalling a realistic assessment of the magnitude of the crisis. The fact is that there are others, culpable in creating this crisis who should be shouldering the burden first; ie., frauds on wall street via prosecution, fines, disgorgement; Ellen Bente Oliver ‘Salary of House/Senate...$174,000. Salary of Speaker of House...$223,500. Salary of Majority/Minority Leaders...$193,400. Average US Salary...$33,000 to $77,000. Maybe our elected officials should make an average salary too...It's a time of sacrifice after all...Pass along, post on your own page if you agree…’ ; SEC on the hot seat (Washington Post) [ Oooooh! The capital hill hot seat … shilling for no more than a grilling. House Republicans press SEC on official's ties to Madoff (Washington Post) [ The ultimate subterfuge. Mr. small potatoes madoff the focus of so much influence … yet he’s in jail … and the only one … Boy, did mary shapiro become total b*** s*** fast … the current shibboleth of capital hill / all 3 branches of pervasively corrupt u.s. government … joining the others: “The Financial Industry Has Become So Politically Powerful That It Is Able To Inhibit the Normal Process of Justice And Law Enforcement” The economy cannot stabilize unless fraud is prosecuted. But the folks in D.C. seem determined to turn a blind eye to Wall Street shenanigans, and is now moving to defund the enforcement agencies like the SEC and CFTC. Market Crash 2011: It Will Hit by Christmas Farrell, MarketWatch SAN LUIS OBISPO, Calif. (MarketWatch) — ‘Politicians lie. Bankers lie. Yes, they’re liars. But they’re not bad, it’s in their genes, inherited. Their brains are wired that way, warn scientists. Like addicts, they can’t help themselves. They want to sell stuff, get rich…’ Financialization and Our Increasingly Unstable Economy Roche ‘I finally got around to seeing the movie Inside Job, the story behind the credit crisis and winner of the Academy Award for best documentary. It’s very good and I highly recommend it to anyone who hasn’t seen it. It will certainly infuriate you. The movie doesn’t place nearly enough blame on homeowners, but all in all it does an excellent job of showing how Wall Street and government have become overrun by deregulation and sheer greed. A combination of flawed economic theory and greed have combined to create the beast that we now call a “functioning” economy. The worst part of it all is that President Obama, who vowed change, has done almost nothing to fix any of it and in fact continues most of the policies that helped get us here in the first place. …’ ‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b*** s*** ………all of the above, some of the above ……….. or is it something else …… here’s a hint - UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ US v. AZ... Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

] Official opens an investigation into allegations that the agency mishandled potential conflicts of interest in its response to Madoff's Ponzi scheme.

] Here is how I define a welfare program.

] While Washington bickers noisily over cutting a small slice of the federal budget, Sens. Mark Warner, a Virginia Democrat, and Saxby Chambliss, a Georgia Republican, launch a campaign to convince the public that merely cutting spending will do little to tame the $14 trillion national debt.

]

] A battle over a proposed free-trade agreement with Colombia is undercutting U.S.'s pact with South Korea

In Senate's debt debate, talk isn't cheap (Washington Post) [ Oh, but it is cheap! Very cheap relative to the magnitude of the insurmountable debt … here’s an initial and astute vote of ‘no confidence’ … Drudgereport: `World's biggest bond fund dumps all U.S. debt...` Senate still wrangling over spending bill (Washington Post) [ Few signs of compromise on budget details (Washington Post) [ Come on … wake up! The cuts they’re quibbling over don’t even cover interest on the national debt! Timid Tuesday: Is it Safe? Davis ‘… This is how we pay off our current debts and I think bondholders are simply happy to get anything out of a country that admits it owes $15Tn (1/4 of global GDP) but probably owes closer to $60Tn (entire global GDP) in the form of unfunded liabilities. The funniest thing about this (and you have to laugh) is to see Conservative pundits get on TV and talk about how we need to cut $100Bn worth of discretionary spending to "fix" this (while continuing to spend $1Tn on the military and $1Tn on tax cuts for the top 1% each year). There is no fixing this and even a Republican said you can’t fool all of the people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS – PLEASE BE CAREFUL OUT THERE! ‘ ] Senate leaders delayed until Wednesday consideration of a bill to fund the government through Sept.

Wis. Senate strips workers' bargaining rights Vote by Republicans bypasses chamber's missing Democrats (Washington Post) [ Drudgereport: Drudge is reporting, and I think Charlie Sheen would agree, that in Wisconsin, the GOP is … duh … winning … and conversely, the dems / unions are … duh … losers, trolls, etc… just kidding …

Drudgereport: World's biggest bond fund dumps all U.S. debt...

UNIONS LOSE IN WI

WI GOP pushes through union bill...
'ENOUGH IS ENOUGH'...
Gov. Walker applauds...
DEMS SCRAMBLE BACK...

ARTICLE: Charlie Sheen Attacks Jon Cryer.

“She can’t keep them from me,” Sheen says of his estranged wife, Brooke Mueller. “I won’t let her—I’ll do anything to get them back.”Sheen, 45, who has made four disturbing live web broadcasts from his compound in Sherman Oaks, CA, admits that even his lawyer, Marty Singer, has expressed concern about him.

PHOTOS: Charlie Sheen's Long List of Lady Friends.

“My lawyer wants to come over to my house and take the bullets out of my gun," he told the magazine.A party pal of Charlie’s tells the magazine, "It's crazy over here at the house—Charlie's losing it. He's really mad about the show, and dealing with the kids and Brooke is getting to be too much. Charlie is a ticking time bomb, and we all fear he could do something drastic like committing suicide or falling back on hard drugs."

ARTICLE: 'Tiger Blood' Drink Goes On Sale.

Sheen, who appeared on a Beverly Hills rooftop Monday, brandishing a machete, realizes that his bizarre behavior has many concerned."I'm really trying to contain myself right now," he said.

ARTICLE: 'Men' Co-Star Is Sheen's Lone Defender.

If that's true, he's not doing a good a job of it, because Sheen widened his list of targets to include his former "Two and a Half Men" co-star, Jon Cryer, on Tuesday.Cryer had managed to stay out of the fray during Sheen's fall from grace at CBS, but his luck ran out.

ARTICLE: Can 'Two and a Half Men' Survive? Just Ask 'Three's Company.'

"Jon has not called me. He's a turncoat, a traitor, a troll. Clearly he's a troll," Sheen told E! News. "He issued a statement. Is it gonna take me calling him a 'traitor, juvenile and scared' for him to get it?"Cryer has actually not issued an official statement since Sheen was fired from the hit CBS sitcom “Two-And-A-Half Men” on Monday. But he may want to issue one now, because Sheen has not stopped ranting about his enemies since his dismissal, and once you are on his crosshairs, it seems you never escape.

ARTICLE: Sheen's Kids Could Be Next on Reality Show.

Tuesday night was the latest case in point, as Sheen blasted his list of hated CBS executives one by one with yet another nonsensical, barely decipherable scripted screed on Ustream. "A high treason has occurred. The scales of justice are in a state of radical disarray. Together we must right this infantile wrong… What happened yesterday was completely and entirely illegal, unconscionable and to quote my lawyer 'really shi**y shi**y suck suck'," Sheen, the self-proclaimed “Malibu Messiah,” said before launching into a strange diatribe in his fourth "Sheen's Korner" webcast, in which he saved his most savage attacks for producer Chuck Lorre – calling him everything from a “silly clown,” to “little worm” and “loser.”

Gaddafi forces engage in fierce battle Regime loyalists in Libya mount assaults to reclaim ground (Washington Post) [ 41 years in power … Hey, when interviewed by Charlie Sheen on SNL he seemed rather spry …

Sheen's-Korner, Ustream.TV You're either in Sheen's-Korner or you're with the trolls... [and the big question is which trolls … the pat_trolls, the con_trolls, the troll_eys, the troll_ups, etc.? ] http://www.ustream.tv/charliesheen Archived Web Site File: http://www.albertpeia.com/Sheen's-Korner,Ustream.TVYou'reeitherinSheen's-Korneroryou'rewiththetrolls.flv (448mb) (for whatever reason, this file did not open properly in my somewhat older player and I didn’t have time to download another to determine if the problem is with the viewer or the file, but will, and will indicate the result here. )

Here’s SNL’s take on the Sheen webcast [ This was the first time I’d seen Miley Cyrus in anything and I must say she is truly a star, albeit a very precocious one; this SNL was absolutely hilarious across the board! ]

http://www.saturday-night-live.com

Part of the webcast: www.youtube.com/watch?v=HIx4_t26AAs

With neither side able to muster overwhelming force, the result appeared to be a bloody stalemate, with the death tolls rising in both east and west.Intense international deliberations come as troops loyal to Gaddafi continue to besiege the rebel-held city of Zawiyah, 27 miles west of Tripoli.] The vote comes after a maneuver by GOP members that split the proposal to curtail union rights from legislation requiring a quorum.

This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b* s* alone is an especially great opportunity to sell / take profits while you can since there's much worse to come!

World's richest are almost $1 trillion richer [ And the other 95% trillions poorer. ]

The theory behind utilities' performance as it relates to the S&P 500 (IVV) does have a logic behind it. Because utility companies in general are local monopolies which have high infrastructure costs, most tend to have high levels of debt and are thus especially sensitive to intermediate/long-term interest rates. Growth in revenue is not the primary source of profits, but rather costs are.

What this means is that fundamental investors in utilities would really put money to work in the sector if they expected interest rates to fall, because that lowered cost of capital would benefit profits in a substantial way. Thus, the outperformance of utilities against the broader market is because of expectation that interest rates fall (the yield curve flattens).

So while the Dow Jones Industrial Average (DIA), the S&P 500 (IVV), and particularly the Russell 2000 (IWM) have all gone effectively nowhere in price with high volatility, the utilities sector has consistenly been up more/down less on those big up and big down days we've been experiencing. Take a look below at the price ratio of utilities (IDU) to the Dow (DIA). As a reminder, a rising price ratio means the numerator/IDU is outperforming (up more/down less) the denominator.

Click to enlarge:

[chart]

The message from utilties investors is clear: Expect lower long interest rates in the near future. And since interest rates and the yield curve are a leading indicator of the economy and the broad stock market, we may very well be in the early stages of a correction.’

Market Thrill Ride Continues: Dave's Daily ‘Within most thrill rides there can be a pause before the next level of excitement whether it's a climb or hitting the next big drop. Markets Wednesday ran out of steam despite ongoing MENA [Middle East and North Africa] violence and oil disruptions. Crude oil was fractionally lower due to an inventory build but that's really old news. Iraqi production was rumored as halted and Libyan oil is not flowing. Tech remains weak especially after disasters for fiber optic leaders like FNSR, CIEN and JDSU. Also semi's remained down and SMH broke its 50 day MA. The Fed wasn't idle as more POMO was released to Da Boyz who didn't do much with it...yet. As an aside our contractor stopped by today and was bemoaning gas prices. His wife works for a local Ford dealer and they had a huge January but now sales have stopped. Such is the impact of higher fuel prices. Volume came in about average on the day while breadth per the WSJ was mixed to negative.’

STOCKS SLIDE, TECH HAMMERED, COPPER CRUSHED: Here's What You Need To Know Weisenthal ‘Yesterday was up, so today was down. That's the way this market is behaving right now.

But first, the scoreboard:

Dow: -0.38
NASDAQ: -14.73
S&P 500: -1.63

And now, the top stories:

First, we'll get a note on Libya out of the way. It was basically the same-old same-old, except with more bombing and fires at oil facilities. No big movement in one way or another.

Going back a bit, remember that yesterday was a big up day for stocks. However, the mood was negative after hours after some ugly numbers form Finisar and Texas Instruments.

Overnight, things were fairly quiet, except that Eurozone spreads continue to blow out.

Economic news in the US pretty much didn't happen. Bill Gross caused a stir when it came out that he had completely sold out of US Treasuries, though of course that was totally in line with what he called for earlier, so it's not a big shock.

In the end, tech was the worst loser, thanks to those tech earnings. Copper got really hammered (quite ominously), and oil even fell a little bit.

Today was the 2-year anniversary of the 2009 bottom.’

The Case for a Bear Market for Stocks Suttmeier ‘In making a bearish call on the U.S. stock market, I base it on both fundamental and technical factors. The fundamentals show that stocks are overvalued and we have had three ValuEngine Valuation Warnings so far this year. The January warning was ignored by the market but so far stocks peaked with the warning issued on February 18 and re-iterated on March 3. During this period we have seen many days where all 16 sectors have been overvalued, with eight to 11 by double-digit percentages. Today 63.8% of all stocks are overvalued, and all 16 sectors are overvalued, 11 by double-digit percentages.

ValuEngine provides valuation, forecast, and ratings data for a universe of more than 5,500 stocks. When more than 65% of all stocks are calculated to be overvalued, we issue a ValuEngine Valuation Warning. We do this because in the past this level of overvaluation has often been correlated with market corrections and downturns. Conversely when more than 65% of all stocks are undervalued additional weakness provides buying opportunities. On March 5, 2009 the percentage of undervalued stocks reached 91%.

The technical factors ignore the daily charts as timing a cycle high requires confirmation from the weekly charts and having risky levels from my proprietary analytics to judge how high markets can go before they top out. Right now the major averages are stuck in want I call the "Libya Trading Ranges," which are the February 18 highs down to the February 24 lows. The weekly chart profiles are positive, but overbought for all major averages except Dow Transports. To confirm a cycle high, all major averages must have weekly closes below their five-week modified moving averages with weekly 12x3x3 weekly slow stochastic readings declining below 8.0 on a scale of zero to 10.0.

This dynamic is being delayed as the major equity averages straddle their 50-day simple moving averages. The Dow Industrial Average and S&P 500 have been above their 50-day since December 1. They're now at 11,967 Dow and 1298.81 S&P 500. The NASDAQ and NASDAQ 100 have tested their 50-day several times since February 23, six days for the NASDAQ with the 50-day now at 2742.35 and four days for the NASDAQ 100 with the 50-day now at 2314.18. The Russell 2000 tested and held its 50-day on February 22 and February 23 and today the 50-day is 802.42. The Philadelphia Semiconductor index tested and held its 50-day the past two days at 444.47 and has been above the 50-day since September 24. Dow Transports has been below its 50-day since February 22 and has been tested as resistance twice, and closed above 5111 yesterday. A weekly close above the five-week shifts Transports to neutral delaying the market top.

Key Levels for the Major Equity Averages

The Dow Industrial Average (12,214) Libya Trading Range: 11,983 to 12,391. My annual value level is 11,491 with daily, weekly and monthly risky levels at 12,249, 12,483 and 12,741. The five-week modified moving average has been tested in each of the past three weeks and this week the average is 12,060.
The S&P 500 (1321.8) Libya Trading Range: 1294 to 1344. My quarterly value level is 1262.5 with daily, weekly and monthly risky levels at 1331.2, 1350.3 and 1381.3. The five-week modified moving average has been tested in each of the past three weeks and this week the average is 1307.
The NASDAQ (2766) Libya Trading Range: 2706 to 2840. My monthly value level is 2629 with daily, weekly, quarterly and monthly risky levels at 2798, 2829, 2853 and 2926. The NASDAQ traded below its five-week modified moving average in each of the past three weeks without a weekly close below, and this week the average is 2755.
The NASDAQ 100 (2338) Libya Trading Range: 2285 to 2403. My monthly value level is 2250 with daily, weekly, quarterly, and monthly risky levels at 2370, 2398, 2438 and 2499. The NASDAQ 100 traded below its five-week modified moving average in each of the past three weeks without a weekly close below, and this week the average is 2327.
Dow Transports (5147) Libya Trading Range: 4918 to 5306. My quarterly value level is 4671 with weekly, daily and annual pivots at 5052, 5119 and 5179. The Transports closed below its five-week modified moving average in each of the two weeks with declining momentum, which is a negative weekly chart profile. A close above this week’s five-week at 5111 shifts the weekly chart to neutral.
The Russell 2000 (824.66) Libya Trading Range: 795 to 838. My quarterly value level is 765.50 with weekly, daily and monthly risky levels at 831.09, 835.56 and 850.79. The five-week modified moving average has been tested in each of the past three weeks and this week the average is 810.47.
The Philadelphia Semiconductor Index (447.94) Libya Trading Range: 439 to 474. My monthly value level is 402.46 with a monthly pivot at 453.89, daily and quarterly pivots at 458.32 and 465.93, and weekly risky level at 485.92. The five-week modified moving average has been tested in each of the past three weeks and this week the average is 450.51.

The trading strategy in this environment is what I have been calling "Buy and Trade," where you buy weakness to a value level and sell strength to a risky level. Here are the guidelines.

Buy and Trade Strategies for Long Positions

Value Level – The price at which you establish an additional long position on share price weakness. This is done on a GTC Limit Order to buy weakness to the Value Level.
Risky Level – The price at which you remove a single long position or reduce a multiple long position on share price strength. This is done on a GTC Limit Order to sell strength to the Risky Level.

Buy and Trade Strategies for Short Positions

Value Level – The price at which you remove a single short position or reduce a multiple short position on share price weakness. This is done on a GTC Limit Order to buy weakness to the Value Level.
Risky Level – The price at which you establish an addition short position on share price strength. This is done on a GTC Limit Order to sell strength to the Risky Level.

10-Year Note – (3.542) Weekly, annual, and semiannual value levels are 3.642, 3.796 and 4.268 with a daily pivot at 3.523, and monthly, annual, and semiannual risky levels at, 3.002, 2.690 and 2.441.

Comex Gold – ($1429.0) Weekly, annual, quarterly, semiannual and annual value levels are $1385.4, $1356.5, $1331.3, $1300.6 and $1187.2 with monthly and quarterly pivots at $1437.7 and $1441.7, and daily and semiannual risky levels at $1450.1 and $1452.6.

Nymex Crude Oil – ($104.78) Weekly, monthly and semiannual value levels are $97.78, $96.43, and $87.52 with my annual pivots at $99.91 and $101.92, and semiannual, daily and quarterly risky levels are $107.14, $107.71 and $110.87.
The Euro – (1.3900) My quarterly value level is 1.3227 with a daily pivot at 1.3953, and weekly, semiannual and monthly risky levels at 1.4446, 1.4624 and 1.4637.

Daily Dow: (12,214)Annual, quarterly, semiannual, and semiannual value levels are 11,491, 11,395, 10,959, and 9,449 with daily, weekly, monthly and annual risky levels at 12,249, 12,484, 12,741 and 13,890.’

21 Signs Of Impending Doom For The 2011 Economy ‘If you are not aware of how rapidly the global economic situation is unraveling you need to snap out of it and start paying attention. The world economy was relatively stable in 2010, but here in 2011 things are deteriorating very quickly.

The American Dream
Wednesday, March 9, 2011

If you are not aware of how rapidly the global economic situation is unraveling you need to snap out of it and start paying attention. The world economy was relatively stable in 2010, but here in 2011 things are deteriorating very quickly. Right now there is major civil unrest in at least a dozen different nations in Africa and the Middle East. The civil war going on in Libya has sent the price of oil skyrocketing and the protests that are scheduled to begin in Saudi Arabia later this month could send oil prices even higher. Meanwhile, the sovereign debt crisis in Europe just seems to get worse by the day. Several nations in Europe are suddenly finding that it has become extremely expensive to finance more debt. It appears that it will only be a matter of time before more bailouts are needed. Meanwhile, the United States is also covered in a sea of red ink and the economic situation in the largest economy on earth continues to deteriorate rapidly. It is as if the entire world financial system has caught a virus that it just can’t shake, and now it looks like another massive wave of financial disaster could be about to strike. Does the global economy have enough strength to weather a major oil crisis in 2011? How much debt can the largest nations in North America and Europe take on before the entire system collapses under the weight? Will 2011 be a repeat of 2008 or are we going to be able to get through the rest of the year okay? Only time will tell.

But it is quickly becoming clear that we are reaching a tipping point. If the price of oil keeps going up, all hopes for any kind of an “economic recovery” will be completely wiped out. But if the globe does experience another economic slowdown, it could potentially turn the simmering sovereign debt crisis into an absolute nightmare. The U.S. and most nations in Europe are having a very difficult time servicing their debts and they desperately need tax revenues to increase. If another major economic downturn causes tax revenues to go down again it could unleash absolute chaos on world financial markets.

The global economy is more interconnected than ever, and so a major crisis in one area of the world can have a cascading effect on the rest of the globe. Just as we saw back in 2008, if financial disaster strikes nobody is going to escape completely unscathed.

So what should we expect for the rest of 2011? Well, the truth is that it doesn’t look good. The following are 21 signs of impending doom for the 2011 economy….

#1 The civil war in Libya now looks like it could drag on for an extended period of time, and that is likely to drive the global price of oil even higher.

#2 Barack Obama is publicly saying that NATO is now considering “potential military options” for solving the crisis in Libya.

#3 Kuwait exports more oil than Libya does, and it looks like the civil unrest that has been sweeping the rest of the Middle East is now starting to spread to that country.

#4 In Saudi Arabia, protest groups are planning a “Day of Rage” on March 11th. If a revolution breaks out in that nation the entire global economy is going to be thrown into turmoil.

#5 The average price of a gallon of gasoline in the United States increased by 33 cents during the two-week period that ended last Friday.

#6 According to the Oil Price Information Service, U.S. drivers spent an average of $347 on gasoline during the month of February, which was 30 percent more than a year earlier.

#7 It is being reported that the average price of a gallon of gasoline in Europe has hit an all-time record of $8.63 a gallon.

#8 Ivory Coast produces nearly 40 percent of all the cocoa in the world and protests against the government there are becoming increasingly violent. If this violence continues to escalate you will soon be paying a lot more for chocolate.

#9 The yield on 10-year Portuguese bonds has increased to 7.6%.

#10 The yield on 10-year Irish bonds has soared to 8.1%.

#11 The yield on 10-year Greek bonds has skyrocketed to a whopping 12.8%.

#12 Moody’s Investors Service has reduced the rating of Greek government debt three levels all the way down to B1.

#13 According to the United Nations, the global price of food set another brand new record high during the month of February. That was the 8th month in a row that global food prices have gone up.

#14 According to the World Bank, global food prices have soared 29% over the last 12 months.

#15 The United Nations is projecting that the global price of food will increase by another 30 percent by the end of 2011.

#16 23 percent of all residential properties with a mortgage in the U.S. were in negative equity as of the end of 2010.

#17 In the state of Nevada, approximately 65 percent of all homeowners with a mortgage owe more on their mortgages than their homes are worth.

#18 Two years ago, the average U.S. homeowner that was being foreclosed upon had not made a mortgage payment in 11 months. Today, the average U.S. homeowner that is being foreclosed upon has not made a mortgage payment in 17 months.

#19 Since 2005, the United States has shelled out 1.1 trillion dollars for products from China but China has only spent 272 billion dollars on products from the United States. This trade imbalance is causing the global financial system to become increasingly unstable.

#20 Collectively, the 50 U.S. state governments are facing a budget shortfall of 125 billion dollars for fiscal 2012.

#21 The U.S. government had a budget deficit of 233 billion dollars during the month of February, which was the largest federal budget deficit ever recorded for a single month.

We are living in the middle of the biggest debt bubble in the history of the world…’

Oil hovers around $105 CNNMoney.com | The benchmark U.S. oil contract was up 35 cents to $105.37 a barrel for April delivery.

Bank Economist Warns of ‘Food Price Riots in the UK’ SkyNews | A senior economist at the worldwide bank HSBC has warned of civil unrest in Britain if food prices continue to soar.

Oil markets brace for Saudi ‘rage’ as global spare capacity wears thin Those exhorting OPEC to boost output should be careful what they wish for. The cartel card can be played once only, and it risks exposing the fragility of the global energy system if the Gulf powers are seen struggling to deliver.

HOW IT WILL ALL END : Debt Jubilee or WWIII ? Bob Chapman talks about the crumbling economy and how it will implode.

Warning Of ‘Food Price Riots In The UK’ A senior economist at the worldwide bank HSBC has warned of civil unrest in Britain if food prices continue to soar.

Currency Wars: Flash Points in the ‘Age of Rage’ The conflict in North Africa was a predictable outcome of the US Monetary Policy of Quantitative Easing. It is not plausible that the US Federal Reserve, as the manager of the world’s Reserve Currency, did not fully recognize the global ramifications of such monetary inflation actions well in advance.

ECONOMIC CRISIS ARCHIVE

National / World

Jesse Jackson, Jr.’s Communist Bill of Rights Kurt Nimmo | Jackson’s speech is like something right out of the CPUSA playbook.

Soros: Communist Chinese Model Of Order May Become “The Envy Of The World” “Western democracies provide less successful leadership than China”

Day Of Rage: Saudi Arabia In Veiled Threat To US Paul Joseph Watson | Saudi Foreign Minister threatens to “cut foreign fingers” in event of outside intervention after US sided with protesters.

Corporate Media Coverage of Libya is a Psyop Kurt Nimmo | Only by destroying the oil-based economy can the globalists forge ahead with their plan to implement world authoritarian government.

Kansas House Panel Endorses Pension Cuts KMBC.com | The bill is likely to draw opposition from public employees’ and retirees’ groups.

Day Of Rage: Saudi Arabia In Veiled Threat To US As the world braces itself for Saudi Arabia’s “day of rage” on Friday, which many fear could be the spark that sends oil prices soaring to beyond the $200 a barrel mark, Saudi Foreign Minister Prince Saud Al-Faisal issued a veiled threat to the United States, warning that the Kingdom was prepared to “cut foreign fingers” in the event of any outside interference.

Soros: Communist Chinese Model Of Order May Become “The Envy Of The World” Billionaire investor George Soros has once again cited China’s dictatorship as the model for the rest of the world in a speech at an elite gathering in Europe.

BIG SIS BUSTED: Homeland Security Undercover Pedophile Entrapment Website Suspended In an aggressive bid to entice prospective “sex tourists,” the Department of Homeland Security last year launched an undercover web site that purported to arrange trips from the U.S. to Canada, where clients could engage in sexual activity with minors, The Smoking Gun has learned.

Corporate Media Coverage of Libya is a Psyop In the interview here, war correspondent Keith Harmon Snow spells out how the lopsided coverage of the conflict in Libya is a Pentagon psyop. The psyop is particularly evident on CNN, especially on Anderson Cooper’s show.

Lawmaker Warns TSA Harassment Coming To Sidewalks The lawmaker behind a bill aimed at curtailing TSA grope downs and naked body scanners warns that Americans will be subjected to such harassment on sidewalks and at football games if the TSA is not stopped in its tracks now, but in reality, TSA-style measures have already been aggressively expanded well beyond airports.

FEATURED INFOWARS STORIES ARCHIVE

U.S., allies weigh operations near Libya Humanitarian aid delivery, no-fly zone are under consideration (Washington Post) [ Weigh? As on a scale … of 1 to 10 … we all know how well pervasively corrupt, defacto bankrupt america and allies are at weigh-ins … weighing … so much so, they’re set to star that tv program, ‘The Biggest Loser(s)’ … Update: Drudgereport: Libya Tanks Move In To Crush Rebel Stronghold...
Carnage in Rebel City...
FOOTAGE: Libyan war plane shot down...
Obama, Cameron discuss plan of action... Hoyer: No Balanced Budget for 15-20 Years 'We've Dug Such a Deep Hole'... FLASHBACK: Larger Than Entire 2007 Deficit...
Treasury Draws Down Cash Balance...
FEBRUARY DEFICIT: $223 BILLION
FRESHMAN DEM. SENATOR: OBAMA HAS 'FAILED TO LEAD'... Mayors to Unions: 'Dire fiscal straits' without 'dramatic' changes...
Anger Brews Over Government Workers' Benefits... UNREST IN THE MIDWEST: Now Michigan... WELFARE NATION: ONE-THIRD OF ALL WAGES ARE HANDOUTS... ROMNEY: Obama Misery Index hits record high... OPEC VOWS NEW PUMPING...
OIL HOLDS NEAR $105...
Roubini: Will Hit $150...SHEEN SETS 'FINAL' WEBCASTGadhafi Deploys Tanks, Hundreds of Troops in New Assaults...
...Denies talk he's looking for exit
WITNESSES: Women and Children Killed...
Libyan tanks, planes bombard Zawiyah; rebels still hold 'Martyrs' Square'...
Libyan central bank chief goes missing... ...Loyalty unknown

East-West military gap 'rapidly shrinking'... China could match US military power in 10-15 years... U.K. Warned of Food Riots... Ahmadinejad calls for new world order...

This is the grim economic reality [ http://albertpeia.com/grimreality.htm ]. This manipulated bubble in this secular bear market based on b* s* alone is an especially great opportunity to sell / take profits while you can since there's much worse to come!

The Terrible Twos? Let's All Hope Not [ Hoping doesn’t change reality. Take your gains, sell while you can in this manipulated bull cycle on debased dollar in this secular bear market. ] Bespoke Investment Group ‘After falling 22% over the last month and a whopping 57% from its highs less than a year and a half earlier, the S&P 500 (SPY) closed the day on March 9th, 2009, at 676.53. Had you asked 100 people that day where the index would be trading in two years, you likely could have counted on one hand the number that said higher than 1,300.Tomorrow marks the two-year anniversary of the current bull market, and the S&P 500 is now trading at 1,324, or 96% above its closing level on 3/9/09. Below is a chart of the S&P 500 since October 9th, 2007, which is the day that the index made its all-time high of 1,565.15. The bear market from 10/9/07 to 3/9/09 is highlighted in red, and the bull market that started on 3/9/09 is highlighted in green.

(Click charts to expand)

[chart]

Below is a table highlighting the performance of key ETFs across asset classes since the bull market began on 3/9/09 as well as since 10/9/07 when the S&P 500 made its all-time high and the prior bear market started. For each asset class, the best and worst performing ETF is shaded in light red and light green over each time period.While many ETFs are up more than 100% since the bull market began, only a handful are up from their 10/9/07 levels. The Nasdaq-100 tracking QQQQ is one of them with a gain of 8% since 10/9/07. The S&P Midcap 400 ETF (IJH) is also up, along with the Midcap 400 Growth ETF (IJK) and the Smallcap 600 Growth ETF (IJT). Three sector ETFs are now above the level they were at when the market made its all-time high on 10/9/07 -- Consumer Discretionary (XLY), Consumer Staples (XLP), and Energy (XLE). The Silver trust (SLV) is up the most of all securities shown since 10/9/07 with a gain of 160.47%, while Gold (GLD) is up the second most at 90.33%. And all but one (TLT) of the fixed income ETFs are in the black versus where they were trading when equities hit their all-time highs.Since 3/9/09, the Russia ETF (RSX) has been the best performer in the entire table with a gain of 247.54%. The Smallcap 600 Growth ETF (IJT) has been the best performing US market index ETF with a gain of 144.78%, while the Financials ETF (XLF) has been the best performing sector ETF during the bull market. Unsurprisingly, UNG -- which is supposed to track natural gas -- has been the worst performer since 3/9/09 with a decline of 66.69%!

[chart]

Beware of the Ides of March Suttmeier ‘The first quarter of 2011 could turn out to be a multi-year selling opportunity, just as March 2009 was a multi-year buying opportunity. On March 5, 2009, 91% of all stocks were undervalued and all 11 sectors were undervalued by more than 30%. Wall Street and hence Main Street missed this golden opportunity to buy stocks. In early March 2009, I made the call that stocks would rally 40% to 50%. I proved to be too pessimistic. Since then the Dow Industrial Average (DIA) is up 86.9% with the S&P 500 (SPY) up 96.4% and the NASDAQ (QQQQ) up 117.0%. With stocks overvalued and weekly charts overbought with the exception of Transports now is not the time to increase allocation to stocks, it’s the time to decrease stock allocations.

The Housing Market was the first to provide warnings as The Housing Index topped out in July 2005 and today is 62.0% below that high, with housing currently at risk of renewed weakness.

The America’s Community Bankers Index (ABAQ) peaked in December 2006 and today is 49.0% below that high. The FDIC List of Problem Banks rose by 24 in the fourth quarter to 884 from 860, which is 11.5% of the 7,657 FDIC-insured financial institutions. When I drill down into the FDIC data I find 2623, or 34.3% of all community banks overexposed to commercial real estate loans, and 58.5% of all banks have a real estate loan pipeline that’s 80% or more funded, which is continued stress.

The Regional Bankers Index (BKX) peaked in March 2007 and today is 57.2% below that high. The “too big to fail” banks are bigger and the BKX is down fractionally so far in 2011. Under Dodd-Frank some of these banks will need to raise capital, and face heavier FDIC deposit insurance fund assessments beginning in April.

Total Assets in the banking system declined $51.8 billion in the 4th quarter 2010 with C&D loans down $32.5 billion. Even so C&D loans still total $321.6 billion with nonfarm, non-residential real estate loans at $1.07 trillion and problem loans continue to clog bank balance sheets.

ValuEngine Valuation Warnings on February 18th and March 3rd marked tradable highs for stocks. To confirm a market top all weekly charts must shift to negative. The major equity averages remain below their February 18th highs when the Dow Industrial Average reached 12,391. My proprietary analytics still show weekly and monthly resistances, to limit the upside even if some of the averages continue to new highs. Market weakness on Friday and Monday resulted in a reduction of overvalued stocks to 60.5%, below 65%. We show 15 of 16 sectors overvalued, six by double-digit percentages.

Key Levels for the Major Equity Averages

The Dow Industrial Average (12,090) Libya Trading Range: 11,983 to 12,391. My annual value level is 11,491 with daily, weekly and monthly risky levels at 12,152, 12,483 and 12,741.
The S&P 500 (1310.1) Libya Trading Range: 1294 to 1344. My quarterly value level is 1262.5 with daily, weekly and monthly risky levels at 1323.8, 1350.3 and 1381.3.
The NASDAQ (2746) Libya Trading Range: 2706 to 2840. My monthly value level is 2629 with daily, weekly, quarterly and monthly risky levels at 2802, 2829, 2853 and 2926.
The NASDAQ 100 (NDX) (2328) Libya Trading Range: 2285 to 2403. My monthly value level is 2250 with daily, weekly, quarterly, and monthly risky levels at 2375, 2398, 2438 and 2499.
Dow Transports (5018) Libya Trading Range: 4918 to 5306. My quarterly value level is 4671 with daily, weekly and annual pivots at 5082, 5052 and 5179.
The Russell 2000 (824.99) Libya Trading Range: 795 to 838. Daily and quarterly value levels are 819.50 and 765.50 with monthly risky level at 850.79.
The Philadelphia Semiconductor Index (SOX) (447.35) Libya Trading Range: 439 to 474. My monthly value level is 402.46 with a monthly pivot at 453.89, a quarterly pivot at 465.93 and daily and weekly risky levels at 466.70 and 485.92.

10-Year Note – (3.514) Weekly, annual, and semiannual value levels are 3.642, 3.796 and 4.268 with daily, monthly, annual and semiannual risky levels are 3.449, 3.002, 2.690, 2.441, and 2.322.

Comex Gold – ($1433.3) Weekly, annual, quarterly, semiannual and annual value levels are $1385.4, $1356.5, $1331.3, $1300.6 and $1187.2 with monthly and quarterly pivots at $1437.7 and $1441.7, and my semiannual risky level at $1452.6.

Nymex Crude Oil – ($104.92) Weekly, monthly and semiannual value levels are $97.78, $96.43, and $87.52 with my annual pivots at $99.91 and $101.92, and semiannual and quarterly risky levels are $107.14 and $110.87.

The Euro – (1.3971) My quarterly value level is 1.3227 with a daily pivot at 1.4001, and weekly, semiannual and monthly risky levels at 1.4446, 1.4624 and 1.4637.

Daily Dow: (12,090) Annual, quarterly, semiannual, and semiannual value levels are 11,491, 11,395, 10,959, and 9,449 with daily, weekly, monthly and annual risky levels at 12,152, 12,484, 12,741 and 13,890.’

Now's the Time to Decrease Stock Allocations

[video]Summer Bears Will Threaten Two-Year Bull Run

Hoyer Says Federal Budget May Not Be Balanced for 20 Years Matt Cover | Hoyer said Republicans and Democrats must compromise if they are ever going to solve the nation’s budget issues.

Trust is Necessary for a Stable Economy Washington’s Blog | Prosecuting the criminals Is necessary to restore trust.

Saudi Arabia’s ‘Day of Rage’ Lures Record Bets on $200 Oil: Chart of Day Bloomberg | Options traders are betting more than ever that crude oil is heading to $200 a barrel.

Oil Breakout Alert – Kuwait, World’s Fourth Largest Oil Exporter, Joins Demonstrations Demanding Regime Change Crude dropped overnight, after the FT joined the BBC in the “False Rumor Spreading Korner”, after the Libyan Investment Authority held newspaper said some OPEC members are looking to raise oil output to avoid any supply shortfalls.

Will The Day Of Rage In Saudi Arabia On March 11 Send The Price Of Oil Into Unprecedented Territory? The price of oil is shaping up to be the number one economic story of 2011, and right now the eyes of the investing world are closely watching the developing situation in Saudi Arabia.

No Silver? No Problem: US Mint Would Like To Know If You Will Accept Brass, Steel, Iron Or Tungsten Coins Instead Wonder why the US mint has not sold a single ounce of silver so far in March? Here is a clue…

ECONOMIC CRISIS ARCHIVE

National / World

Paul: Let public vote on judges Texas Rep. Ron Paul said on Monday that Americans should have the same right to oust federal judges as Iowans did with their historic vote last November to remove three State Supreme Court justices.

Homeland Security Says It Has Every Right To Spy On Peaceful Protest Groups Steve Watson | The Department Of Homeland Security has decided it is reasonable for it to spy on dozens of peaceful groups.

Oil Shock: Banksters Ready QE3 Asset Bubble Kurt Nimmo | QE is forever.

TSA Worker Arrested for Impersonating a Police Officer Steve Watson | A TSA worker claimed he had the same authority as a police officer.

Obama Mimics Bush: Libyan Intervention Ahead Michael S. Rozeff | The American empire stands at the edge of disintegration.

Deluded TSA Worker Arrested After Telling Cop “I’m A Customs Inspector” The actions of a TSA worker who was pulled over during a routine traffic stop betray the general attitude of the TSA in recent month, that the agency is above the law and makes its own rules.

President Obama Issues Executive Order Institutionalizing Indefinite Detention President Obama today issued an executive order that permits ongoing indefinite detention of Guantánamo detainees while establishing a periodic administrative review process for them. The administration also announced it will lift the ban on bringing new military commissions charges against detainees that don’t already have ongoing cases in the substandard system.

MSM Hyped Reports Of Bombardment Give False Picture Of Tripoli Libya’s opposition has told Colonel Gaddafi, if he leaves the country now … they won’t put him on trial. But Libyan state TV has broadcast denials that Gaddafi offered to quit if his family were allowed to safely leave the country. Just a week ago media reports suggested that Gaddafi was close to total defeat. But today he’s still there, and news of his downfall proved to be exaggerated. RT’s Paula Slier went to Tripoli to uncover how things really stand.

British Tax Protesters Arrest Judge In Act Of “Lawful Rebellion” For those wondering whether we can expect to see anything like the scenes witnessed in Egypt coming to America or the United Kingdom, the actions of British protesters who engaged in “lawful rebellion” by attempting to arrest a judge yesterday could herald the beginning of a new tax revolt to rival the infamous poll tax riots of 1990.

Why is Hillary Not Defending the Rights of Saudis to Protest? Secretary of State Hillary Clinton had been exhaustively in front of cameras promoting the right for people to protest in Egypt, Bahrain, Iran, and Libya.

Kissinger urges Obama: Grant clemency to Israeli Spy [ The zionist kissinger shows colors in urging a self-destructive path for wobama. ] Former U.S. Secretary of State Henry Kissinger sent a letter to U.S. President Barack Obama on Monday, urging him to commute the prison term of Jonathan Pollard, who is serving a life term for spying for Israel.

Chinese military ‘growing fast’: think tank China is building its military capability at a rapid pace but it remains a “regional power with regional concerns”, the think tank IISS said in its annual report on the world’s armies on Tuesday.

http://www.saturday-night-live.com

Part of the webcast: www.youtube.com/watch?v=HIx4_t26AAs

] With neither side able to muster overwhelming force, the result appeared to be a bloody stalemate, with the death tolls rising in both east and west.

Obama creates indefinite detention system for prisoners at Guantanamo Bay (Washington Post) [ Sounds more like fellow failed president/war criminal dumbya bush every day. Meanwhile, back at the pervasively corrupt, defacto bankrupt american credit farm (totalitarian communist china): New restrictions on foreign journalists Under rules announced after foreign journalists were physically harassed by security officers, foreign journalists must have government permission to interview anyone in a public area.]

Gates successor a quandary for Obama(Washington Post) [ Quandary? For ‘wobama the b’ (for b*** s***)? I don’t think so! Like wobama, he or she must speak out of both sides of his/her mouth, be particularly adept at lying (cia-speak), and believe in absolutely nothing (no core values/beliefs). Gates says killing of Afghan boys a "setback" (Reuters) [Ah, yes, riiiiight! … that’s what it is, alright…just a setback…I see. ] Gates: US military to stay in Afghanistan US Defense Secretary Robert Gates, who is on a surprise visit to Afghanistan, says the American military should stay in the conflict-riddled country despite the rising human costs. Violent spring looming in Afghanistan (Washington Post) [ See … something to look forward to … must be that good news that keeps getting pushed back … and spring no less … everything bombing blooming or in war criminal american-speak … ‘booming’ … but not the defacto bankrupt american economy for which a crash is ‘looming’. Could somebody help me out with a translation of gates’ speech a west point … I must be missing something … Lt. Gen. John Kelly, who lost son to war, says U.S. largely unaware of sacrifice (Washington Post) [ I disagree! They are very much aware; as they stand in unemployment lines, use food stamps to get by, etc.. I hate to sound cavalier and I’m sorry that Kelly lost a son to war, but along with the multitude of civilians in the nations unlucky enough to provide a source of corporate welfare to the military industrial complex and war profiteering for the few (as warned against by President General Eisenhower), they died for nothing, for no good reason beyond the false propaganda. Six NATO troops killed in Afghanistan (Washington Post) [ Is there something wrong with the following picture? … am I missing something? … Gates's warning: Avoid land war in Asia, Middle East, and Africa Christian Science Monitor - In a speech to cadets at the United States Military Academy at West Point, Gates's message was clear: The US military services, as well as the elected and appointed civilians who send them to war, need better ways of foreseeing and preparing for ... Gates Tells US Army to Take New Approach Voice of America Warning Against Wars Like Iraq and Afghanistan New York Times [ Better said, than unsaid; but, methinks a bit late for that in light of pervasively corrupt, defacto bankrupt america’s consummate decline and fall! If only they had listened and not shot at the messenger … things could have been different! ] ] American military officials expect that the Taliban will mount a campaign to regain ground lost to U.S. troops last year and use suicide bombing teams to strike at those associated with the Afghan government or coalition forces. ]

Investors Whiplashed: Dave's Daily ‘As stated I'm away at a family reunion in Las Vegas. It's an appropriate place from which to view markets. Since the action is so crazy, no mere mortal, even with nearly 40 years experience, can make sense of it. So, in the interest of clarity (not to mention the family), I'll make only a couple of comments and just post a few charts. Yes, the unemployment data came in about as expected but wage growth was limited (who knew?!) and banks were downgraded by another bank, BAC. Not a nice thing to do to your pals. With MENA unrest near all time highs and oil prices exploding higher who would want to be casually long the markets heading into the weekend? But, someone (let's just guess shall we?) with the power to close this week higher launched a serious "stick save" late to do just that. This was gross manipulation. Volume was higher on selling once again as no doubt stops were hit once again. Meanwhile, per the WSJ, breadth was negative. ‘

Financialization and Our Increasingly Unstable Economy Roche ‘I finally got around to seeing the movie Inside Job, the story behind the credit crisis and winner of the Academy Award for best documentary. It’s very good and I highly recommend it to anyone who hasn’t seen it. It will certainly infuriate you. The movie doesn’t place nearly enough blame on homeowners, but all in all it does an excellent job of showing how Wall Street and government have become overrun by deregulation and sheer greed.

A combination of flawed economic theory and greed have combined to create the beast that we now call a “functioning” economy. The worst part of it all is that President Obama, who vowed change, has done almost nothing to fix any of it and in fact continues most of the policies that helped get us here in the first place.

In his latest letter Howard Marks touches on the regulatory debate. He says:

A great source on the subject is Wall Street Under Oath, a 1939 book on the causes of the Great Crash of 1929 written by Ferdinand Pecora, who was counsel to the Senate committee investigating the crash and later a New York State judge. I first read it about twenty years ago, and I brought it out of storage in 2007. It is a typical polemic, assigning blame and touting regulation pursuant to what I assume were the author’s philosophical/political biases (see page 4).

Pecora describes a Wall Street that, up to and including the 1920s, was like the Wild West. Bankers and brokers were out to make money for themselves; their behavior was largely unregulated; and conflicts between their interests and those of their clients were widespread and disregarded. In particular, according to Pecora, disclosure standards were non-existent.

These facts combined with other causes to produce a market crash of epic proportions; widespread losses; a drying up of capital; deflation; and a massive depression with a resulting increase in unemployment to 25%. Unsurprisingly, fingers were pointed at the prior administration and political power shifted to believers in an activist role for government. The most lasting result was the enactment of laws that governed the financial system for decades and in many cases still do: the Securities Act, the Securities and Exchange Act, and the Glass-Steagall Act. Thus the 1930s saw a massive swing of the pendulum in favor of regulation.

The next several decades on Wall Street were – perhaps thanks to the impact of those laws – a relatively placid period. This led to a view that, with rare exceptions, market participants are well-behaved by nature. Further, steady growth with only moderate dips caused a perception of an inherently benign and productive economy that could achieve even more if only the regulatory shackles were loosened. After President Carter deregulated the transportation industry in the late 1970s, the door was open for much of the regulatory apparatus built in the early part of the century to be relaxed. Ronald Reagan, whose famously free-market views coincided with a period of peace and prosperity, led the deregulatory charge. We saw a similar turn in Britain under the leadership of Margaret Thatcher; the collapse of the USSR and a resounding victory for capitalism; and the ascendance of free market adherents Alan Greenspan and George W. Bush.

With the economy and financial system generating prosperity, people wanted more of the same. And with manufacturing in decline, we relied heavily on the financial sector for an increased contribution to GDP, job creation and standards of living. The prevailing view was that the less regulation we had, the more productive business and finance could be. And what was there to be feared from an unregulated economy, anyway? The result in the past decade, according to a great newspaper quote that sadly I can’t locate, was “the kind of regulation you get from an administration that doesn’t believe in regulation.”

Thus, coming full circle from the 1930s, starting in 1999 we saw revocation of Glass-Steagall; elimination of the up-tick rule limiting short sales to instances when stock prices were rising; a pivotal decision to exempt derivatives from regulation; increased permitted leverage at investment banks; and starvation of regulatory agency budgets. These developments were followed by the global financial crisis of 2007-08. Coincidence or causality?

No, it’s most certainly not a coincidence. Marks goes on to argue that the markets and regulations will never be perfect so our economy will continue to be imperfect. It’s a rather defeatist and general attitude if you ask me. I think there are fairly basic rules that can and should be implemented that limit the potential outlier events from occurring. For instance, collateral on OTC derivatives would have substantially reduced the risks at the investment banks. Leverage limits. Higher capital standards. How about requiring down payments on homes? These are simple rules that eliminate the potential for some of the incredible risks we’ve seen over the last 25 years.

I am not an advocate of highly strict rules, just common sense rules. The fact that the NINJA loan ever even came into existence is a clear sign that allowing the markets to regulate themselves is bordering on insanity. Such lack of rules in capitalism is guaranteed to result in putting greed before rationality. I don’t want to contain capitalism. But I do want to keep it from destroying itself. That is the path we are on and the increasing instability upon which we build each recovery is a clear example….

In the movie, a prominent paper is mentioned written by Raghuram Rajan, a professor of Economics at the Chicago School. He shows how the financialization of the US economy is creating an increasingly unstable economy. Make no mistake, markets are not self regulating. This nonsense that government should never oversee the free market is disastrous policy that is driven by a misguided and dogmatic political perspective and a purely greed driven banking system. It’s a great weekend read. Enjoy. ‘

Fed Has Convinced Consumers to Re-Leverage [ Sounds like a plan! … albeit a failed plan ala greenspan … this encore courtesy of ‘’no-recession helicopter ben shalom bernanke’ … anything for that irrationally exuberant feeling on wall street …. Bubbles, bubbles, everywhere, but not a bloke to blink. ] Roche ‘Despite lopsided balance sheets and near record levels of household debt the Fed appears to have succeeded in convincing American households that it is wise to begin re-leveraging. The Fed’s latest consumer credit report showed broad improvement in consumer credit trends (via Econoday):

"Consumer credit outstanding in December rose $6.1 billion showing, for the first time in the recovery, gains for both revolving and non-revolving credit. Revolving credit, up $2.3 billion, rose for the first time in 27 months. Non-revolving credit, reflecting strength in vehicle sales, extended its run of strength with a gain of $3.8 billion. Looking ahead to January’s number, there may be some modest help from motor vehicle sales which edged up 0.6 percent for the month but the amount boosting consumer credit will depend in part on the share split of sales to consumers and to businesses."

[chart]

(Click to enlarge)

As I’ve previously mentioned, this is great news for the near-term economic outlook. A re-leveraging consumer means more spending, higher corporate revenues, etc. My hope was that a 10% deficit would result in consumers continuing to de-leverage, however, that looks like wishful thinking. Instead, the combination of easy money and no loser capitalism appears to be setting the foundation for another debt binge. At a level of 115% of debt:income, this trend is clearly unsustainable, however, the American public appears intent on sustaining its fiscal imprudence. In short, enjoy the growth, however, once the deficit shrinks or another asset bubble pops the air is going to come out of the debt bubble once again and the upside down U.S. consumer will again be exposed as the imprudent consumer that he/she is...’

Flashback: Comprehensive Annual Financial Reports Exposed Infowars | There is no reason for continued taxation, the government has a secret slush fund and in the meantime is telling you that they’re broke.

Iran oil wealth ‘must be shared’ with citizens says Soros BBC | Citizens of oil producing nations must see more benefit from their country’s national resources, says billionaire.

Former Goldman director charged with insider trading Globe & Mail | Raj Rajaratnam, the founder of hedge fund Galleon Group, is on trial on criminal insider-trading charges.

Gas up 33 cents — second biggest two-week jump ever Reuters | The national average for a gallon of self-serve, regular gas was $3.50 on March 4.

Saudi Stock Market Tumbles as Fear of Revolt Grows The Telegraph | Triggered by the arrest of Shi’ite cleric after he called for democratic reforms.

The Shadow King Of Wall Street: “Markets Like Totalitarian Governments” Wall Street’s shadow king, Blackrock’s Larry Fink who manages over $3 trillion, and is the world’s biggest asset manager, appeared on Bloomberg TV in an interview with Erik Schatzker, and the first thing he said is that the “market likes totalitarian governments.” Matt Damon Thinks Obama Is Working For Wall Street

Big Brother: The Orwellian Nightmare Come True When George Orwell (pen name of Eric Blair) first published his famous novel, Nineteen Eighty-Four, it was the year 1949, and it told a dark story of what he envisioned life may be like in the future-in the year 1984.

Britain at risk of another financial crisis, Bank of England chief warns Britain risks suffering another financial crisis without reform of the country’s banks, the Governor of the Bank of England warns today.

Oil Price Shock; You Ain’t Seen Nothing Yet The most common cause of a spiking oil price is supply shock. We may be seeing just such a phenonenon right now with the effective shut down of Libyan oil. But sometimes it’s excessive demand that does the damage.

Wisconsin Governor To Issue 1500 Layoff Notices Unless Fugitive Democrats Return To The State In addition to “stagflation” which we announced in January would be the word of the year, we now have a new contender in the running for what may soon be the most popular word for the next 10 months: “escalation.”

The Fed Distorts The Economy With Inflation The Federal Reserve tells us we need inflation to overcome the overhang created by debt and its inflationary aspects. The inflation does not create jobs – it just distorts prices upward.

Spain town reintroduces peseta to boost economy A small town in northern Spain has decided to reintroduce the old Spanish currency – the peseta – alongside the euro to give the local economy a lift.

QE2: An Unmitigated Disaster

[video] Summer Bears Will Threaten Two-Year Bull Run

STOCKS DIVE, SILVER SURGES, TECH HAMMERED: Here's What You Need To Know

More Jobs Mirage In February—BLS Continues To Overestimate Job Growth Paul Craig Roberts | The announcement that 192,000 new jobs were created in February was greeted with a sigh of relief.

Government’s biggest monthly deficit ever Washington Times | $223 billion, according to the Congressional Budget Office.

Gas up 33 cents — second biggest two-week jump ever Reuters | The national average for a gallon of self-serve, regular gas was $3.50 on March 4.

Oil, Gold, and Silver Prices Up as Saudi Arabia Faces Unrest Oil market speculators used the escalating conflict in Libya as an excuse to jack up crude prices to $106 per barrel today. Crude oil prices rose on news opposition forces and soldiers loyal to Moammar Gadhafi clashed near some of the country’s key energy infrastructure.

SocGen’s Three Scenarios For Oil See Crude Price Between $110 And $200 After Nomura released a report two weeks back predicting oil could rise to $220 if the MENA situation escalates, this morning SocGen’s Michael Wittner has released his own scenario analysis on the possible outcomes of the 2011 revolutions.

More Jobs Mirage In February—BLS Continues To Overestimate Job Growth The announcement on March 4 that 192,000 new jobs were created in February was greeted with a sigh of relief. But the number is just more smoke and mirrors, as I will show shortly. First, let’s pretend the jobs are real. What areas of the economy produced the jobs?

Gold Surges, Hits New All Time High Of $1,437 After Precious Metals Talked Up During PDAC Conference As the world continues to burn, gold hits a new all time high of $1,437 as silver is en route to pass $36. Whatever shorts did not cover on Friday night are strongly urged to postpone their “market top” speculation until another day. Elsewhere Bernanke is still confused by what the relentless march to daily all time highs in gold means…

ECONOMIC CRISIS ARCHIVE

National / World

Amtrak Chief Targets TSA For Conducting “Illegal” Grope Downs In late February, the Transportation Security Administration took over the Amtrak station in Savannah, Ga., and thoroughly searched every person who entered. None of the passengers got into trouble, but the TSA certainly did — big time.

Michael Moore’s Communist Rhetoric Distracts from Crimes of the Banksters Last week, filmmaker Michael Moore declared war on the producers. Moore told Laura Flanders of GRITtv that people who did not create trillions of dollars of wealth are entitled to steal it from those who did. Private wealth, Moore insisted, is a “national resource” that can be expropriated from the producers and divided parasitically between the non-producers.

Oil And Gold Slip On Rumors Gaddafi Set To Flee Oil and gold pared some of their soaring gains today after a rumor began circulating that Moammar Gaddafi was seeking to reach an agreement with rebels that would allow him to safely flee the country in return for relinquishing power.

Interventionism Leads to Resentment and Anti-Americanism Last week, Secretary of State Hillary Clinton testified before the House Foreign Affairs Committee, and I had the opportunity to raise some of my concerns regarding US government policy and the cost of our interventionism around the world.

Michael Moore’s Communist Rhetoric Distracts from Crimes of the Banksters Kurt Nimmo | Filmmaker says your hard-earned money is a national resource.

The Resistance Continues: More “The Answer to 1984″ Video Contest Entries Infowars | Another great batch of video entries.

Oil And Gold Slip On Rumors Gaddafi Set To Flee Paul Joseph Watson | Libyan leader has offered rebels deal to take power if safe exit of his family is guaranteed, according to reports.

Oil, Gold, and Silver Prices Up as Saudi Arabia Faces Unrest Kurt Nimmo | Protests planned in oil kingdom today as government promises to dispatch 10,000 troops to put down dissent.

Bill O’Reilly And Old Media: Not Waving But Drowning Paul Joseph Watson | The establishment is so terrified of new media, they dare not mention Alex Jones by name.

‘Egyptian army follows Israel, US orders’ Protests in Egypt gain momentum as revolutionaries say they are set to disclose information incriminating senior officials over their involvement in the violent crackdown on anti-regime protests.

Libya: ‘Eight SAS Soldiers Held By Rebels’ Eight SAS soldiers have been detained by rebels in Libya, according to Sky News sources.

Libya: Gaddafi Gunships Fire On Rebels Libyan helicopter gunships have fired on rebels advancing along the coast towards the capital Tripoli.

Chinese state media slams calls for protests China’s state media stepped up its criticism of calls for anti-government rallies on Sunday, saying stability is key amid concern that unrest sweeping the Middle East could spread to the Asian nation.

Saudis mobilise thousands of troops to quell growing revolt Saudi Arabia was yesterday drafting up to 10,000 security personnel into its north-eastern Shia Muslim provinces, clogging the highways into Dammam and other cities with busloads of troops in fear of next week’s “day of rage” by what is now called the “Hunayn Revolution”.

US Department of Imperial Expansion The illegitimacy of the current US State Department fits in well with the overall Constitution-circumventing empire that the American Republic has degenerated into. The current Secretary of State, Hillary Clinton, gives a daily affirmation of this illegitimacy every time she bellies up to the podium and further makes a mockery of America, its people and its destiny.

Zbigniew Brzezinski Spouts Globalist Agenda on Al Jazeera Zbigniew Brzezinski: We shouldn’t be the policeman of the world… but we should send troops and warships to Libya.

Hey Bill O’Reilly: Alex Jones is a Patriot, And You’re a Clown Fox News host Bill O’Reilly mentioned Alex Jones’s appearance on the View the other day, calling him “some guy on the radio, we really don’t know who he is.” But as Kurt Nimmo points out, O’Reilly is not totally out of the loop.

TSA, DHS plan massive mobile surveillance rollout Mike Adams | The DHS is America’s new secret police.

US Department of Imperial Expansion Tony Cartalucci | The illegitimacy of the current US State Department fits in well with the overall Constitution-circumventing empire that the American Republic has degenerated into.

Senior Fed Economist Calls Ron Paul a Pinhead Robert Wenzel | If you think destruction of a currency is no biggie, call Robert Mugabe in Zimbabwe.

Bill O’Reilly: Who Is Alex Jones? Kurt Nimmo | Fox News anchor with ratings in decline feigns ignorance of growing alternative media.

People Of Earth: Prepare For Economic Disaster The Economic Collapse | It is not just the United States that is headed for an economic collapse.

Don’t Worry, the Economy is Going to be Just Fine The American Dream | Haven’t you heard? The coming economic collapse has officially been cancelled.

Rolling Stone: Glenn Beck Rips Off Alex Jones Infowars.com | Rolling Stone Magazine has posted a part two to follow up on its profile of Alex Jones earlier this week.

We’re On The March: More “Answer to 1984″ Video Contest Entries Infowars | More entries for “The Answer to 1984 is 1776″ video contest.

Homicide case involving Daley nephew closed without charges Chicago Sun-Times | Chicago Police said Friday they know who hit David Koschman and knocked him to the ground in a drunken confrontation in the Rush Street area, leading to his death.

Major Libyan oil plant ablaze Mail Online | A major Libyan oil plant was ablaze last night as fresh fighting raged across the country leaving at least 50 dead.

Qaddafi’s Militia Storms Key Town Controlled by Rebels NY Times | Col. Muammar el-Qaddafi’s militia stormed the rebels controlling the town of Zawiyah on Saturday.

‘If the Americans Come, They Would Steal our Revolution’ Spiegel Online | Opposition fighters claim they have driven back their attackers, but the battle is far from finished.

Alex Jones: The Name Bill O’Reilly Dare Not Speak During a discussion on Charlie Sheen, Fox News’ Bill O’Reilly mentioned Alex Jones’ appearance on The View. He didn’t bother to mention Jones by name. O’Reilly said Jones is merely “some guy on the radio, we really don’t know who he is,” and his co-host during the segment, Arthel Neville, chuckled.

Don’t Worry, Be Happy: Unemployment Is Down, The Stock Market Is Up And The Economy Is Going To Be Just Fine Haven’t you heard? The coming economic collapse has officially been canceled. The U.S. economy is in full recovery mode. It has just been announced that the U.S. unemployment rate fell to 8.9% in February. That was the third monthly decline in a row.

People Of Earth: Prepare For Economic Disaster It is not just the United States that is headed for an economic collapse. The truth is that the entire world is heading for a massive economic meltdown and the people of earth need to be warned about the coming economic disaster that is going to sweep the globe.

Texas Plans to Implement REAL ID in 2013 Tela Mange, Chief of Media Relations at Texas Department of Public Safety, has responded to an Infowars.com request for information on the state’s implementation of REAL ID.

Gaddafi forces mount fierce counterattack; witnesses describe ‘massacre’ in city under siege Forces loyal to Libyan leader Moammar Gaddafi on Friday unleashed their fiercest counterattack yet, assaulting rebel-held positions by ground and air and firing on demonstrators in the government stronghold of Tripoli.

MI6, SAS Working Together To Take Control In Libya Britain is to send teams of spies and diplomats into Libya to help oust Colonel Gaddafi, it emerged last night.

http://www.saturday-night-live.com

Part of the webcast: www.youtube.com/watch?v=HIx4_t26AAs

Drudgereport: FLASHBACK: Larger Than Entire 2007 Deficit...
Treasury Draws Down Cash Balance...
FEBRUARY DEFICIT: $223 BILLION

GATES SAYS ANY MILITARY ACTION ON LIBYA SHOULD HAVE INTERNATIONAL BACKING...
Caught on Video: General Petraeus And Secretary Gates Share Private Joke About Attacking Libya...
NATO starts 24/7 surveillance of Libya...

Greece slams rating agencies after MOODY'S cut...
Spain's savings banks race to find funds by Thursday...
Portugal edges closer to crisis... PAPER: Obama asks Saudi Arabia to supply Libyan rebels with weapons...
GADHAFI OFFENSIVE MAKES LITTLE GROUND
Saudi Arabia detains Shi'ites as clerics ban protests...
OIL CONTINUES CLIMB...

Gas prices up 33 cents -- in two weeks!

Number of ObamaCare waivers climbs above 1,000...

Unrest returns to Cairo streets... UK 'to send team of spies' to help oust Gadhafi...
British Army readies for mission at 24 hours' notice...
Obama goes golfing...
ROMNEY TO NH: WE NEED A NEW PRESIDENT

'Moore: The rich have overplayed their hand' … [yes they have … quite foolishly at that … they really have] ...

CHICAGOLAND: Homicide case involving Daley nephew closed without charges... OBAMA TAKES 'BUTTER KNIFE' TO BUDGET...

Biden opens budget talks -- leaves country...
Senate Democrats dropping like flies...
Harry Reid offers spending proposal -- predicts failure... Saudi Arabia bans all protest and marches...
Mobilizes thousands of troops to quell growing unrest...
'MASSACRE' IN ZAWIYAH...
Shi'ite protesters in Bahrain form human chain around capital...
SHOCK VIDEO: Women gunned down by soldiers in Ivory Coast...

Peter King, IRA supporter and enthusiastic counter-terrorism advocate (Washington Post) [ A neocon; a zionist with a large jewish constituency; an IRA terrorist supporter; looks a lot like, bears a striking resemblance to, corrupt dodo dodd former Conn. Senator; in sum, that can’t be good. Maybe he suffers from a multiple personality disorder. I mean … wow! Whew! ]

Milbank: The subpar lender crisis (Washington Post) [ It truly is difficult for me to imagine Mr. Milbank as a business reporter; although, … wall street journal … could fit. I had occasion to know a successful wall street executive, chairman, institutional brokerage / investment banking firm, who referred to the wall street journal as ‘total b*** s***’. I don’t think Mr. Milbank needs to refer to an ad hoc experience which we know and can reasonably infer to be ubiquitous in kind and that they’re all a bunch of typical american crooks (he wasn’t … but he was an old school risk seeker long since out of the game). Academy Award winner Ferguson is way ahead: ‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b*** s*** ………all of the above, some of the above ……….. or is it something else …… here’s a hint - UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ US v. AZ... Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

]

Private hiring spurs drop in jobless rate (Washington Post) [ This is a tab yet to be paid (taxpayer / treasury / public) and the costs in money the nation doen’t have for the political obfuscation will far outway the benefits. (Gallup Reports Underemployment Surges To 19.9%, February “Jobs Situation Deteriorates”: As Bad As 2010 On one hand we have the Department of Truth about to tell tomorrow that NFP based on various seasonal and birth death adjustments increased by 250,000…Santelli: 'Good' Jobs Report Has Dark Side... …Denninger ‘ … Summary: The report did not show any material amount of acceleration; it is, for all intents and purposes, flat. The Household Survey showed some people going back to work, but in terms of percentage of the working-age population the needle did not move to any material degree. The problem continues to be people we don't count as unemployed but in fact are, and as such the statistical gerrymandering of the results will give both the left and right something to spin, but in point of fact there's no evidence of an economy that is recovering it's ability to generate both private income and tax revenues.’ … ‘ Mason’…Over the past four weeks, the Treasury’s General Account has dropped by almost $70 billion. Thus, between this account and the Treasury’s Supplementary Financing Account the Fed has injected almost $170 billion reserves into the banking system in February …’ Gerald Celente: “There is no recovery — it’s a coverup!” Sic Semper Tyrannis | Celente argues the oil prices have been going up before the recent chaos in the Middle East. ‘…One other point brought out by Gerald Celente is the fact that the current puppet regime in the White House is “cooking the books” on the unemployment numbers and current inflation rates. They are making their own rules on how to determine inflation rates by leaving out essential information such as food and fuel prices. The same is being done with White House unemployment numbers by simply leaving out those who have given up looking for jobs, as well as other deceptive “carnie” tricks (in reference to White House spokesperson Carnie) in which he compares the administration to a traveling carnival act.

In closing, Celente states:

“… There is no recovery, it’s a coverup. It’s only being boosted by these low interest rates, which again, when inflation skyrockets- they’re gonna have to raise them …‘

]

Delusional for 2012Will: Huckabee and Gingrich are diminishing the GOP. (Washington Post) [ That’s only if you take them seriously; and, you can’t take neocons seriously. You know the type … the pro-zionist bush me-toos … and don’t forget … what could be more diminishing than having failed president ‘wobama the b’ (for b*** s***) as their putative head. Perma war types all, the pervasively corrupt america is defacto bankrupt. Drudgereport: Delaware voters say no to Lobotomy Joe ….. Biden (the self-proclaimed zionist) -- for name of school... 'Wobama’s Where's Waldo?' Presidency... All Former U.S. Presidents To Get Together For TV Special Honoring George H.W. Bush…(How totally pathetic they are! How embarrassing for NBC!) ... [ Wake up! http://albertpeia.com/bushcrimes.htm ] Gingrich to announce exploratory committee 'in 10 days' [ Neo-con Dreamin’! I mean, come on … are memories so short they don’t recall him being a total hypocrite, zionist shill, and part of the problem though to his credit, he’s not a mobster and complete joke as is trump! ] CHICAGOLAND: Lawmaker Suggests BOEING'S Contract Win A Result Of Dirty Politics... [ The contract’s with money the nation doen’t really have anyway; and, the value of the money paid will be worth substantially less by completion; and, no surprise … Chicago hasn’t changed much from the days of capone and is rivaled in terms of corruption by such states as jersey, new york, etc.. ] ‘…“I’m disappointed but not surprised,” Republican Sen. Richard Shelby said. “Only Chicago politics could tip the scales in favor of Boeing’s inferior plane. EADS clearly offers the more capable aircraft.”…’
Rep. Rangel Causes Stir In Courtroom; Reprimanded By Judge...NEW YORK (CBSNewYork) – Congressman Charles Rangel caused a stir in court Friday while trying to lend his support for bail of Afrika Owes.Owes, 17, had been a student at the prestigious Deerfield Academy in Massachusetts. Prosecutors say she was also a member of a drug gang that terrorized 137th Street in Harlem.Owes was one of fourteen suspected “137th Street Crew” gang members arrested last month. Prosecutors said the gang used shootings, beatings and robberies to protect their turf and gain street status on a stretch of West 137th Street. The gang allegedly openly dealt crack in apartment lobbies, near Harlem Hospital and near the Abyssinian Baptist Church. Congressman Charles Rangel argues for Owes getting bail to Juliet Papa of 1010 WINS

Violent spring looming in Afghanistan (Washington Post) [ See … something to look forward to … must be that good news that keeps getting pushed back … and spring no less … everything bombing blooming or in war criminal american-speak … ‘booming’ … but not the defacto bankrupt american economy for which a crash is ‘looming’. Could somebody help me out with a translation of gates’ speech a west point … I must be missing something … Lt. Gen. John Kelly, who lost son to war, says U.S. largely unaware of sacrifice (Washington Post) [ I disagree! They are very much aware; as they stand in unemployment lines, use food stamps to get by, etc.. I hate to sound cavalier and I’m sorry that Kelly lost a son to war, but along with the multitude of civilians in the nations unlucky enough to provide a source of corporate welfare to the military industrial complex and war profiteering for the few (as warned against by President General Eisenhower), they died for nothing, for no good reason beyond the false propaganda. Six NATO troops killed in Afghanistan (Washington Post) [ Is there something wrong with the following picture? … am I missing something? … Gates's warning: Avoid land war in Asia, Middle East, and Africa Christian Science Monitor - In a speech to cadets at the United States Military Academy at West Point, Gates's message was clear: The US military services, as well as the elected and appointed civilians who send them to war, need better ways of foreseeing and preparing for ... Gates Tells US Army to Take New Approach Voice of America Warning Against Wars Like Iraq and Afghanistan New York Times [ Better said, than unsaid; but, methinks a bit late for that in light of pervasively corrupt, defacto bankrupt america’s consummate decline and fall! If only they had listened and not shot at the messenger … things could have been different! ] ] American military officials expect that the Taliban will mount a campaign to regain ground lost to U.S. troops last year and use suicide bombing teams to strike at those associated with the Afghan government or coalition forces. ]

YAHOO [BRIEFING.COM]: [Suckers’ rally into the close] ‘A late flurry of buying lifted the Dow almost 90 points in less than 30 minutes, but stocks still finished the day with marked losses as participants looked past an encouraging jobs report to focus on oil's climb to a new two-year high…’

Employment Report: No Joy Here Denninger ‘The reaction on CNBS, in particular: "This is a very good report."

Really?

Incidentally, I said 100k +/- 50, and we hit ... (misprint - the original link is here - nobody's perfect!)

Nonfarm payroll employment increased by 192,000 in February, and the unemployment rate was little changed at 8.9 percent, the U.S. Bureau of Labor Statistics reported today. Job gains occurred in manufacturing, construction, professional and business services, health care, and transportation and warehousing.

Ok, high side. The uncertainty was very high on this report, but the results are not out of line. Those people looking for a "2" or even "3" handle (and there were lots of people who were) have a problem though - they didn't get that.

Hourly payrolls didn't move, nor did working hours. Meh.

The spin machine will be out in force I'm sure on both sides of the political spectrum. The market's initial reaction was to spike and then dive a bit; just enough to nail you with a stop run if you happened to be in the futures with a stop on at the time.

Here's the household data, which is where I focus my attention (incidentally, the "Birth-Death" was +100kish this month - if you believe that.)

[chart]

(Click to enlarge)

There was a small uptick in actual employment in February. This has to be maintained, of course, in order for it to continue to count. The key here is that on this metric annualized (which removes seasonality) we were basically flat over last month, although on the positive side of the ledger.

[chart]

(Click to enlarge)

That's a problem. We're basically flat on the labor participation rate among the population. This must show a strong recovery or the government funding model will collapse. You can report all the numbers you want but this is the one that matters, and while it did not further deteriorate it also didn't turn around.

[chart]

(Click to enlarge)

"Not in labor force" - that is, those who have walked off in disgust - showed little change this last month. Annualized it was up slightly. Again, this reflects as a lower unemployment rate, but only because we're not counting people.

[chart]

(Click to enlarge)

No joy here.

Summary: The report did not show any material amount of acceleration; it is, for all intents and purposes, flat. The Household Survey showed some people going back to work, but in terms of percentage of the working-age population the needle did not move to any material degree. The problem continues to be people we don't count as unemployed but in fact are, and as such the statistical gerrymandering of the results will give both the left and right something to spin, but in point of fact there's no evidence of an economy that is recovering it's ability to generate both private income and tax revenues.’

Stocks Hit by Middle East Worries, Financial Sector Downgrades Midnight Trader ‘4:10 PM, Mar 4, 2011 --

DJIA down 88.32 (-0.72%) to 12,169.88
S&P 500 down 9.82 (-0.74%) to 1,321.15
Nasdaq down 14.07 (-0.50%) to 2,784.67

Stock Market Rally - Where's the Money Coming From? How much is Left? Maierhofer, On Friday March 4, 2011, 12:31 pm EST

Most retail investors exited the stock market early 2009 and didn't get back in until recently. According to Strategic Insight, investors piled a net $21 billion into U.S. stock mutual funds in January, the biggest monthly inflow in seven years.

Is this rekindled infatuation with stocks bullish or bearish? If it is bullish, how much more cash is waiting on the sidelines, and how much longer can the rally last?

Once Bitten, Twice Bold

According to Michal Strahilevitz (quoted in the Wall Street Journal), a business professor at Golden Gate University, delayed bulls are driven by what psychologists call 'counterfactual regret' - the haunting sense of what might have been.

Strahilevitz explains: 'These investors have been double traumatized. First in 2008 and 2009 they suffered until they said I can't take it anymore' and sold all their stocks. And now they've had to deal with the trauma of watching the market go up and realizing they'd be better off if only they hadn't gotten out.'

Like an annoying splinter, the regrets over being out of stocks are refreshed every day the market goes up. Apparently, watching stocks rise from the sideline is more painful than the perceived risk of buying at lofty prices.

Right but Wrong

The timing of retail investors reminds me of the Wall Street Journal. On March 9, 2009, the Journal ran a front-page article with the headline 'Dow 5,000 - There's a case for it.'

This headline stuck with me because Dow 5000 is what I predicted before the financial crisis hit in 2008. By the time the Journal pointed towards Dow 5,000, the Dow had already lost over 50%, and I moved into the bullish camp. Via a March 2, 2009 special ETF Profit Strategy Newsletter alert, I advised to buy, buy, and buy.

True, after the initial 40 - 50% gain I got suspicious and haven't trusted the market since. In hindsight that was foolish. Looking at fund flows, a large number of investors are just now starting to re-enter the market, which also seems foolish.

Based on that new data, catching the initial 40-50% of the rally was much more profitable, less nerve racking, and in risk-adjusted terms much more desirable than entering around current prices or being invested over the last year.

Even investors that entered as early as August 2009, when the S&P 500 traded around 1,000, have seen a gain of only 32%, if they stuck with it. At one point, the post-April 2010 decline and May 'Flash Crash' erased eight months worth of gains. The last 21 months of the rally were much more treacherous than the first three months, but delivered a lower return with more stress.

Why Wrong?

The two charts below illustrate how sentiment and money flow affect stocks (NYSEArca: VTI - News). The green bar represents buying pressure, and the red bar selling pressure.

At the March 2009 lows, the major indexes a la Dow (DJI: ^DJI), S&P (SNP: ^GSPC), and Nasdaq (Nasdaq: ^IXIC) lost over half of their value, the financial sector (NYSEArca: XLF - News) lost nearly 80%, investors were fed up with stocks and threw in the towel.

At that time, there were no more sellers left. Without sellers pulling down prices, stocks had nowhere to go but up. That's what they did.

Since the S&P blew through my initial price target, I expected a reaction at the 61.8% Fibonacci retracement level. The first chart below shows that normal market forces returned to Wall Street when the S&P reversed within points of reaching the 61.8% Fibonacci resistance [chart]

At S&P 1,220 there were simply more sellers than buyers. As in every market, the stock market needs fresh dollars to create new bids and higher prices. When sellers outnumber buyers, prices tend to fall. That's what happened.

A Formula for Disaster

The second chart below extends beyond the April 2010 highs and visually explains what happened when the Fed's QE2 appeared on the scene. In essence, the money flow was altered.

A picture says more than a thousand words, and even though simplified, this chart visualizes the effect of QE2. It has kept a constant bid beneath prices. Due to QE2 the red selling pressure bar is allowed to continue growing. At one point, the confined selling pressure will burst like a bubble and play havoc with prices. [chart]

All of this can be summarized in one formula:

Buying Pressure > Selling Pressure = Rising Stock Prices

How much Cash is on the Sidelines

Mutual fund cash levels are at an all time low of 3.4%. Even the 2007 all-time high saw mutual fund levels at 3.6%.

Currently, there are 2.4 times more assets invested in equity mutual funds than in money market funds. This is the highest ratio since after the 2007 peak but is lower than the peak ratio of 3.0.

According to Jason Goepfert with SentimenTrader, margin debt on the NYSE stood at $290 billion in January, one of the highest amounts in history. At the same time free credit dipped. Due to higher debt and lower credit, the available cash dropped to negative $46 billion, the worst figure since July 2007 (it was at negative $44 billion in April 2010).

Air Pocket Protection

QE2 has and possibly will extend the new mania and makes the possible future gains look so enticing. How do you milk this market without getting burned?

If you want the thrill of more gains you have to walk the tightrope. And if you're going to walk the tightrope you'll want a safety net.

A safety net doesn't assure a perfect performance but it keeps you safe and protects you from harm. In the investment world, a safety net - or early warning system - will get you out of stocks before it's too late.

In fact, the stock market builds its own safety nets; it's called support. As long as stocks teeter above support, the performance is solid while a break below usually means the show is either over or temporarily suspended. Either way, it's time to get out…’

Santelli: 'Good' Jobs Report Has Dark Side...

QE2 Watch Version 4.0: Fed Is 'Tone Deaf' and 'Spaghetti Tossing' Mason ‘The Federal Reserve continues to pump funds into the banking system. Reserve balances at Federal Reserve banks reached $1.3 trillion on March 2, 2011. This is up from $1.1 trillion on

February 2 and up from $1.0 trillion on December 29, 2010.

These balances serve as a relatively good proxy for the excess reserves in the banking system which averaged $1.2 trillion over the two-week period ending February 23, 2011.

As we have reported before, there are two drivers of this increase in bank reserves. The first, connected with the Fed’s program of quantitative easy, is the acquisition of United State Treasury securities.

Over the past four weeks the Federal Reserve has added almost $100 billion to its portfolio of Treasury securities. Only about $18 billion of these purchases were offset by maturing Federal Agency issues and mortgage-backed securities.

Since the end of last year, the Fed has added $220 billion to its Treasury security portfolio. In this case the Fed was replacing a $48 billion decline in the other securities that were maturing.

And, in the past 13-week period, Almost $320 billion were added to the Treasury portfolio, replacing about $80 billion in maturing Agency issues and mortgage-backed securities.

The second driver has been the action surrounding Treasury deposits with Federal Reserve banks. Since these deposits are a liability of the Fed, a reduction in these deposits increases reserves in the banking system. There are two important accounts here, the Treasury’s General Account and the Treasury’s Supplementary Financing Account.

The Supplementary Financing Account has been used for monetary purposes and in the current case, the Treasury has reduced the funds in this account by $100 billion. All of this reduction came in February.

The Treasury’s General Account is used in conjunction with Treasury Tax and Loan accounts at commercial banks and is the account that the Treasury writes checks on. Generally tax monies are collected in the Tax and Loan accounts and then are drawn into the Federal Reserve account as the Treasury wants to write checks. When the Treasury writes a check, it is deposited in commercial banks, so that bank reserves increase.

Over the past four weeks, the Treasury’s General Account has dropped by almost $70 billion. Thus, between this account and the Treasury’s Supplementary Financing Account the Fed has injected almost $170 billion reserves into the banking system in February.

I need to call attention to the fact that funds moving into and out of the General Account can vary substantially. For example, since the end of the year (which includes the February change) this account has only fallen by $39 billion. Over the last 13-week period, the account has actually increased by $4 billion. Tax collections build up toward the end of the year and then are spent during the first quarter of the year preparing for another buildup around April 15, tax collection time.

The bottom line, the Federal Reserve is seeing that plenty of reserves are being put into the banking system. But, the commercial banks seem to be holding onto the reserves rather than lending them out.

Still, the growth rates of both measures of the money stock seem to be accelerating. The year-over-year growth rate of the M1 measure of the money stock was growing by about 5.5% in the third quarter of 2010. The growth rate increased to 7.7% in the fourth quarter and is growing at a 10.2% rate in January 2011.

The M2 measure of the money stock has also accelerated, going from a year-over-year rate of increase of 2.5% in the third quarter to 3.3% in the fourth quarter to 4.3% in January.

On the surface these increases in money stock look encouraging in terms of possible future economic growth. However, we are still seeing the same behavior of individuals and businesses in the most recent period that we have observed over the past two years.

The growth rates of both measures of the money stock still seem to be coming from people that are getting out of short term "investment" vehicles and are placing these funds in demand deposits or other transaction accounts, or in currency.

The first piece of evidence of this relates to the reserves in the banking system. The total reserves in the banking system have remained roughly constant over the past year. Yet, the required reserves of the banking system have increased by 10% year-over-year. This situation could only happen if demand deposit-type of accounts, which require more reserves behind them, were increasing relative to time and savings accounts, which have smaller reserve requirements.

Looking at the individual account items we see that demand deposits at commercial banks rose at a 20% year-over-year rate of growth in January. The non-M1 part of the M2 measure of the money stock rose by only an anemic 3% rate. Thus, the substantial shift in funds from time and savings accounts to transaction accounts continues. There is no indication of a speeding up of money stock growth connected with the reserves that the Fed is injecting into the banking system.

An even more dramatic shift can be seen if we include institutional money funds in the equation and look at what has happened in the banking system over the past nine weeks. The non-M1 portion of M2 increased by $22 billion over this time period. However, funds kept in institutional money funds declined by roughly $40 billion. This means that accounts that Milton Freidman would have labeled "a temporary abode of purchasing power" actually declined by $18 billion since the start of the year.

Demand deposits and other checkable deposits rose by about $21 billion. One could note that currency in the hands of the public also rose by $16 billion.

The public continues to move money from relatively liquid short-term savings vehicles to assets that can be spent by check or cash. This is not the kind of behavior one gets in an economy that is confident and expanding. This behavior can roughly be called "defensive".

So, another month has gone by. The Fed is aggressively executing its program of quantitative easing. Yet, it still seems to be "pushing on a string." Why is it I retain the feeling that the Federal Reserve’s effort is just spaghetti tossing, seeing what might stick to the wall?

The longer this policy continues, the less confidence people seem to have in both Ben Bernanke and the Federal Reserve. I shutter to think what Bernanke and the Fed will do to us when the banking system actually does start lending again.

Note that some members of the Fed’s Open Market Committee are suggesting that QE2 end abruptly at the end of June when the current program is slated to expire. (See "Policy Makers Signal Abrupt End to Bond Purchases in June")

Does everyone in the Fed seem "tone deaf" to you? They just seem to act on pre-conceived ideas and have no sense or feel of the banking system and financial markets. Another confidence raiser.’

Warning: Stocks, Bond Yields Overvalued SuttmeierWe begin Friday with a new ValuEngine Valuation Warning which occurs when more than 65% of all stocks become overvalued. Today 66.4% of all stocks are overvalued as the market attempts to rebound back to the February 18 highs, when 68.6% of all stocks were overvalued. A higher bond yield is an important factor that makes stocks more overvalued. In addition to a new valuation warning all 16 sectors are overvalued, 14 by double-digit percentages.

Beware of Improved Jobless Claims -- If Initial Jobless Claims start to trend below 350,000 per week, the FOMC will likely allow QE2 to end at the end of June, and the market is anticipating QE3. Higher materials and energy costs are starting to be passed on to consumers. With regular gasoline approaching $3.50 per gallon, folks on Main Street, USA, will be driving less, which will become a drag on the economy. In his testimonies earlier this week Fed Chief Bernanke recognized this inflation trend as he called it temporary. The extended period for the “zero to .25%” federal funds rate began December 16, 2008, and this environment of high commodities prices and lower jobless claims should bring this extended period to an end at the end of June even if unemployment is above 9%.

The major equity averages remain below their February 18 highs when the Dow Industrial Average reached 12,391. My proprietary analytics still show weekly and monthly resistances to limit the upside even if some of the averages continue to new highs.

Key Levels for the Major Equity Averages

The Dow Industrial Average (12,258) Libya Trading Range: 11,983 to 12,391. My daily and annual value levels are 11,917 and 11,491 with weekly and monthly risky levels at 12,461 and 12,741.
The S&P 500 (1331.0) Libya Trading Range: 1294 to 1344. My daily and quarterly value levels are 1290.9 and 1262.5 with weekly and monthly risky levels at 1352.9 and 1381.3.
The NASDAQ (2799) Libya Trading Range: 2706 to 2840. My daily value level is 2691 with weekly, quarterly and monthly risky levels are 2860, 2853, and 2926.
The NASDAQ 100 (NDX) (2372) Libya Trading Range: 2285 to 2403. My daily value level is 2279 with weekly, quarterly, and monthly risky levels at 2436, 2438, and 2499.
Dow Transports (5111) Libya Trading Range: 4918 to 5306. My daily and quarterly value levels are 4793 and 4671 with weekly and annual pivots at 5150 and 5179.
The Russell 2000 (828.89) Libya Trading Range: 795 to 838. Daily and quarterly value levels are 795.83 and 765.50 with monthly risky level at 850.79.
The Philadelphia Semiconductor Index (SOX) (464.77) Libya Trading Range: 439 to 474. My daily value level is 441.14 with a monthly pivot is 453.89, quarterly pivot at 465.93 and weekly risky level at 493.15.

10-Year Note -- (3.570) Weekly, annual, and semiannual value levels are 3.630, 3.796, and 4.268 with daily, monthly, annual, and semiannual risky levels at 3.355, 3.002, 2.690, 2.441, and 2.322. [chart]

Comex Gold -- ($1417.1) Annual, quarterly, weekly, semiannual, and annual value levels are $1356.5, $1331.3, $1.316.1, $1300.6, and $1187.2 with monthly, quarterly, daily, and semiannual risky levels at $1437.7, $1441.7, 1442.2, and $1452.6.[chart]

Nymex Crude Oil -- ($101.82) Monthly, weekly, and semiannual value levels are $96.43, $89.76, and $87.52 with my annual pivots at $99.91 and $101.92, and daily, semiannual, and quarterly risky levels are $112.14, $107.14 and $110.87.[chart]

The Euro -- (1.3958) My weekly and quarterly value levels are 1.3690 and 1.3227 with a daily pivot at 1.3929. Semiannual, monthly, and annual risky levels are 1.4624, 1.4637, 1.4989, 1.6367, and 1.7312.[chart]

Daily Dow -- (12,258) Daily, annual, quarterly, semiannual, and semiannual value levels are 11,917, 11,491, 11,395, 10,959, and 9,449 with weekly, monthly, and annual risky levels at 12,461, 12,741,and 13,890.[chart]

Today's Markets: Betting on Blue Skies? Moenning ‘Good morning. I am often asked why I get up so early every morning to write about something as mundane as the stock market. The answer is simple. My primary objective relating to the market is to stay in tune with the drivers of the action. And since those drivers are constantly changing (and at times more than a little difficult to find), getting an early start is the only way to keep up. Many times, the way the market reacts to the early morning news tells you more than the news itself. Thus, I'm of the mind that you've got to be there to witness the action and the accompanying reaction firsthand if you want to truly understand what is going on in the game.

Thursday was a prime example of the market doing something that may have been unexpected. I'm not talking about the joyride to the upside at the open, as that was to be anticipated given the early inputs. No, I'm talking about the action in the afternoon. In short, stocks continued to move higher despite the fact that we had heard nothing further regarding the much ballyhooed Venezuelan peace plan and that oil prices were once again movin' on up.

Here's the deal. During the current consolidation phase, stocks have been inversely linked to the movement in oil prices the vast majority of the time. The thinking has been that higher oil prices would eventually have a negative impact on the global economy. And with the U.S. economic rebound just now starting to look sustainable, another shock to the system could bring the R word back into the mix. However, Thursday afternoon's action in the stock market suggests that traders are instead betting on blue skies ahead.

With oil prices reversing early declines on growing skepticism over the ability of one Hugo Chavez to help out his good buddy over in Libya, one might have expected to see stock prices give up those big gains and take a swan dive into the close. Don't forget, oil only finished down $0.32 on the day and closed at $101.91. Thus, the story about the drop in oil prices that the press yammered on about all day seemed more than a little silly by the time the closing bell rang at the corner of Broad and Wall.

If you recall, a similar situation occurred on Wednesday. With the major indices teetering on the edge of important support, oil prices broke to new highs as the fighting in Libya intensified in the afternoon. And yet, while the bears appeared to have an opening, the bulls somehow managed to hold the line.

So, given that traders have been treated to a big batch of better-than-expected economic data this week, the action over the past two sessions seems to suggest that the economy may trump the worry about what might (or might not) happen with oil prices. Some traders may have been positioning themselves in front of this morning's Jobs report after Wednesday's ADP data and Thursday's big drop in weekly jobless claims (jobless claims came in at the lowest level since May 2008). Some may have been covering shorts after the technical support levels held up. And while one afternoon does not a trend make, some traders may have been readying themselves for the next leg up. After all, up until the trouble in MENA started, just about everyone agreed that U.S. stocks had some room to run to the upside this year.

Heck, even Jean Claude Trichet may be getting into the act of betting on blue skies ahead. Yesterday, Mr. Trichet suggested, as only a central banker can, that the ECB may need to start pulling back on their quantitative easing program and start raising rates - as early as next month. Thus, the folks at the center of the European debt crisis may also be seeing some clearing in the clouds.

Turning to this morning... Hopes for a peace deal in Libya appear to be fading as oil climbs above $103 this morning. However, foreign markets are up nicley and the day is all about the jobs report, so let's get to it...

On the Economic front... The Labor Department reported that Nonfarm Payrolls rose in the month of February by 192,000. This was just slightly below the consensus estimates for an increase of 198,000. The January totals were revised higher to 58K from 36K and the combination of revisions for January and December produced an increase of 58K jobs.The private sector (aka the household survey) showed gains of 222K jobs, which again was above the estimates.

The nation’s Unemployment Rate was once again a big surprise as it fell to 8.9%, which was below the expectations for a reading of 9.1% and January’s level of 9.0%.

Although stock futures initially rallied on the jobs report, crude's continued rude rise has pushed prices lower in the last few minutes...

Thought for the day: Best of luck on this Friday and be sure to enjoy the weekend!

Pre-Game Indicators

Here are the Pre-Market indicators we review each morning before the opening bell...

Major Foreign Markets:

Australia: +1.14%
Shanghai: +1.35%
Hong Kong: +1.25%
Japan: +1.02%
France: +0.28%
Germany: +0.59%
London: +0.52%

Crude Oil Futures: +$1.39 to $103.30
Gold: +$1.60 to $1418.00
Dollar: lower against the Yen, higher vs. Euro and Pound
10-Year Bond Yield: Currently trading at 3.524
Stocks Futures Ahead of Open in U.S. (relative to fair value):

S&P 500: -0.62
Dow Jones Industrial Average: -2
NASDAQ Composite: -1.20

Wall Street Research Summary

Upgrades:

Progressive (PGR) - BofA/Merrill
Marathon Oil (MRO) - Target increased at Deutsche Bank
Valero Energy (VLO) - Target increased at Deutsche Bank
Western Refining (WNR) - Target increased at Deutsche Bank
Dollar Tree (DLTR) - Goldman Sachs
Capital One (COF) - Morgan Stanley
Simcere Pharmaceutical (SCR) - Oppenheimer
Altera (ALTR) - RW Baird
Fairchild Semiconductor (FCS) - RW Baird
Intel (INTC) - RW Baird
Lattice Semiconductor (LSCC) - RW Baird
ON Semiconductor (ONNN) - RW Baird
STMicroelectronics (STM) - RW Baird
Foot Locker (FL) - Sterne, Agee
Toronto-Dominion Bank (TD) - UBS
Viacom (VIA) - Estimates and target increased at UBS

Downgrades:

Citi (C) - BofA/Merrill
Goldman Sachs (GS) - BofA/Merrill
Amylin Pharmaceuticals (AMLN) - BMO Capital
Cephalon (CEPH) - Oppenheimer
Canadian Pacific (CP) - Target reduced at RBC
Cerus Corporation (CERS) - RW Baird
Monster Worldwide (MWW) - William Blair…’

Former Goldman director charged with insider trading Globe & Mail | Raj Rajaratnam, the founder of hedge fund Galleon Group, is on trial on criminal insider-trading charges.

Why the Dollar’s Reign Is Near an End Wall Street Journal | Fully 85% of foreign-exchange transactions world-wide are trades of other currencies for dollars.

Oil Price Shock; You Ain’t Seen Nothing Yet The most common cause of a spiking oil price is supply shock. We may be seeing just such a phenonenon right now with the effective shut down of Libyan oil. But sometimes it’s excessive demand that does the damage.

Oil price rises as Libya tensions grow Crude oil rose by more than $1 as fighting in Libya intensified and amid reports of protests in Saudi Arabia’s oil-producing eastern region.

LSE head quits over Gaddafi cash: Resignation as top judge appointed to probe Libyan links Sir Howard Davies paid the price last night for the London School of Economics’ controversial financial links with Libya.

You Call This An Economic Recovery? 44 Million Americans On Food Stamps and 10 Other Reasons Why The Economy Is Simply Not Getting Better When Barack Obama, the Federal Reserve and the mainstream media tell us that we are in the middle of an economic recovery, is that supposed to be some kind of sick joke?

Wisconsin Governor To Issue 1500 Layoff Notices Unless Fugitive Democrats Return To The State In addition to “stagflation” which we announced in January would be the word of the year, we now have a new contender in the running for what may soon be the most popular word for the next 10 months: “escalation.”

Silver’s Breaking Point As part of silver week, we have talked about all sorts of factors—supply, demand, futures, backwardation, and even the government’s manipulation of silver. The one critical factor that we didn’t mention is how megabanks have manipulated silver as of late, and the tremendous effect it has had on the market.

Gallup Reports Underemployment Surges To 19.9%, February “Jobs Situation Deteriorates”: As Bad As 2010 On one hand we have the Department of Truth about to tell tomorrow that NFP based on various seasonal and birth death adjustments increased by 250,000.

Utah Considers Return to Gold, Silver Coins It’s been nearly 80 years since the U.S. stopped using gold coins as legal currency, and nearly 40 since the world abandoned the gold standard, but the precious metal could be making a comeback in the United States — beginning in Utah.

National / World

Rolling Stone: Glenn Beck Rips Off Alex Jones Infowars.com | Rolling Stone Magazine has posted a part two to follow up on its profile of Alex Jones earlier this week.

Texas Plans to Implement REAL ID in 2013 Kurt Nimmo | Chief of Media Relations at Texas Department of Public Safety confirms state will conform to federal rules.

Infowars.com pushes ‘Defriend Day’ to #1 on Google Aaron Dykes | Campaign to draw-down from privacy predators on Facebook and other social media sites.

Big Brother: The Orwellian Nightmare Come True Mark Dice | Tremendous advances in technology often come with unforeseen consequences.

Liberated Libya Rejects US Intervention TRNN | On the streets of liberated Benghazi people say no to McCain, Lieberman and any US intervention.

World cheers as the CIA plunges Libya into chaos David Rothscum | Gaddafi is the main threat to US hegemony in Africa.

Obama Deceptively Answers Second Amendment Question It was yet another example demonstrating that some people in Mexico just don’t understand the concept of liberty, the Constitution, and the Bill of Rights.

Alex Jones Invades Twitter With Hillary Clinton this week admitting that the US military-industrial complex and the globalists are losing the information war to alternative media outlets that cover “real news,” Alex Jones is taking the Infowar to a whole new level by invading Twitter with a fresh culture jamming offensive designed to bring the truth to millions more people all over the world.

States Rebeling Against TSA: Texas The Latest To Legislate For Banning Grope-Downs, Naked Scanners Legislation has been introduced into the Texas House of Representatives that directly challenges the authority of the TSA in airports within the state, specifically aimed at criminalizing the use of naked body scanners and enhanced pat-downs.

Ron Paul Sets MSNBC Host Right On Taxes Cenk Uygur, MSNBC talking head, demonstrates how dishonest liberals can be when making arguments that the government has the right to steal your money at gunpoint. In an interview with Rep. Ron Paul, he characterizes a tax cut for the oil industry as a subsidy. Dr. Paul sets him right.

Dancing with Devil: ‘Intervention will be tragedy for Libyan people’ The Libyan leader Colonel Gaddafi is promising more violence if US or NATO forces dare to intervene, while the US is preparing for a humanitarian mission in Libya and the UK has already started one.

On the Edge: Intervention Fears Rise as US, UK Forces Mass Near Libya The U.S. and UK are becoming more isolated as they refuse to rule out intervention in Libya. Germany has joined international voices opposing any foreign military action. Washington, massing its forces off the Libyan coast, claims its keeping all options open and is ready to step in if the crisis deepens.

Oil Price Shock; You Ain’t Seen Nothing Yet The most common cause of a spiking oil price is supply shock. We may be seeing just such a phenonenon right now with the effective shut down of Libyan oil. But sometimes it’s excessive demand that does the damage.

Oil price rises as Libya tensions grow Crude oil rose by more than $1 as fighting in Libya intensified and amid reports of protests in Saudi Arabia’s oil-producing eastern region.

LSE head quits over Gaddafi cash: Resignation as top judge appointed to probe Libyan links Sir Howard Davies paid the price last night for the London School of Economics’ controversial financial links with Libya.

You Call This An Economic Recovery? 44 Million Americans On Food Stamps and 10 Other Reasons Why The Economy Is Simply Not Getting Better When Barack Obama, the Federal Reserve and the mainstream media tell us that we are in the middle of an economic recovery, is that supposed to be some kind of sick joke?

Obama declares state governors will enforce health care bill whether they like it or not At a recent meeting with US state governors in Washington, DC, President Obama made clear his intent to force the individual states to comply with his unconstitutional health care overhaul.

Soros Threatens Iran With “Bloodiest Of Revolutions” More “transparency and accountability” was needed from other producers such as Saudi Arabia he said. Mr Soros also predicted the Iranian regime would be overthrown in the “bloodiest of the revolutions”.

Computer Expert: US Was Behind Stuxnet Virus A computer expert at the influential TED Conference in California has confirmed what the New York Times already admitted in January – that the same governments calling for draconian cybersecurity powers in order to protect against cyber warfare were themselves the culprits behind an act of cyber warfare that could have triggered a new Chernobyl disaster in launching the Stuxnet worm attack against Iran.

The TV Column: Charlie Sheen keeps talking; CBS gets in on the conversation (Washington Post) [Wobama says daffy gaddafi’s time is up, got to go. The same can be said of wobama et als and his fraudulently failed presidency. Sheen On Obama: “A Coward In a Cheap Suit” [ I think Sheen to be too gentle in his criticism of wobama (Some might reflexively, defensively allege drugs (prescription or otherwise) or any number of the varied personality disorders so prevalent in america … ‘fuzzy, California laid back thinking’, ‘whatever’… Who knows? ) But, that said, wobama’s far worse than just a ‘coward in a cheap suit’. Indeed, Wobama’s a total fraud having been elected under false pretenses; viz., his total, unequivocal, and unfulfilled b* s* (those campaign promises) ! Moreover, there has been some persuasive documentation questioning wobama’s citizenship / birthplace placing his eligibility to even hold the office of president in question. Drudgereport:`UPDATE: Huckabee claims Obama grew up in Kenya...` The Obama Nation, by Jerome Corsi Rezko was corrupt, and supported Obama in many campaigns as well as in Obama buying his home -- and therefore, according to Corsi, Obama is corrupt by ...www.ontheissues.org/Obama_Nation.htm ] Amidst the controversy of his wild interview on the Alex Jones Show yesterday, actor Charlie Sheen wasted little time in confronting President Barack Obama on his failure to answer Sheen’s twenty questions concerning 9/11, calling Obama, “a coward in a cheap suit.” A Government Shut-down Imperils the Power of Congress Paul Craig Roberts | Congress could try to protect its loss of the power of the purse by impeaching Obama. Drudgereport: `WOBAMA 'IMPEACHMENT' WARNING...` `...to announce exploratory committee 'in 10 days'` Globalist Shill Barack Obama Asks Business Leaders For Job Creation Ideas Even As He Ships More Of Our Jobs Overseas As Part Of The New One World Economy The other day, Barack Obama summoned a group of business and labor leaders to the White House and “challenged” them to come up with some great ideas for creating more jobs inside the United States. Public confidence in Obama reaches new low (Washington Post). Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’: Public confidence in Obama reaches new low (Washington Post) Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’:

But still it’s ‘hands off fraudulent wall street’ to theirs, the nation’s, and the world’s detriment. Firms subpoenaed in attempt to regain Fannie, Freddie losses (Washington Post). But there’s a reason:

The following youtube video is well worth the look and explains how and why the frauds on wall street have gotten away with their devastating fraud thus far. The frauds on wall street et als should be criminally prosecuted, jailed, fined, and disgorgement imposed. ( `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ):

‘THE OBAMA DECEPTION’ http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 – well worth a look. [ The Obama Deception Number 1 on U.S. Google Trends ]

While boner and barton are indeed jokes / vegetables that bespeak the single-digit approval rate for congress, obama’s failure to deliver on promises with as well, endless war spending despite defacto bankruptcy of the nation and a watered down nothing financial regulation bill for talking points but little substance, make him as big a joker, along with the dems. This well researched / produced video tells the real story : http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 ‘THE OBAMA DECEPTION’ – well worth the view. [ The Obama Deception Number 1 on U.S. Google Trends ]

Then there is the well researched, produced, and informative ‘ESOTERIC AGENDA’ which explains how we’ve gotten to this forlorn point: http://video.google.com/videoplay?docid=-7052400717834950257# For the Same Reason I’ve Included Here a Web Site Archived FLV Version of Esoteric Agenda http://albertpeia.com/esotericagenda.flv

Cohen: Time for Arabs to reject anti-semitism (Washington Post) [ Reality check … time for israelis / jews to reject zionism and all that is entailed therein, including an alternate reality that defies credulity, rationality, and facts; such as, a self-rationalizing greed, anti-arab / anti-Christian predisposition and the ‘Oedipal Effect’ (blowback) engendered thereby. No, Johnny Carson was not anti-semitic (Fred Silverman), same for Charlie Sheen (Chuck Lorre), etc. (the list is endless inasmuch as when facts are not on their side, such specious inflammatory arguments as ‘anti-semitism’, prejudice, are a convenient subterfuge distracting from their weak position; ie., illegal nukes, war crimes, ignoring u.n. resolutions, ie., 242, 338, etc., ignoring international law. At best, no … God did not give them this land … at worst, God took the land back when they with roman muscle crucified Christ. Balfour was an arbitrary, incompetent, british joke.). ] ] Article | Tuesday will be known as the day we heard from The Receiving End of Charlie Sheen's Scorched Earth Media Tour.

Lt. Gen. John Kelly, who lost son to war, says U.S. largely unaware of sacrifice (Washington Post) [ I disagree! They are very much aware; as they stand in unemployment lines, use food stamps to get by, etc.. I hate to sound cavalier and I’m sorry that Kelly lost a son to war, but along with the multitude of civilians in the nations unlucky enough to provide a source of corporate welfare to the military industrial complex and war profiteering for the few (as warned against by President General Eisenhower), they died for nothing, for no good reason beyond the false propaganda. Six NATO troops killed in Afghanistan (Washington Post) [ Is there something wrong with the following picture? … am I missing something? … Gates's warning: Avoid land war in Asia, Middle East, and Africa Christian Science Monitor - In a speech to cadets at the United States Military Academy at West Point, Gates's message was clear: The US military services, as well as the elected and appointed civilians who send them to war, need better ways of foreseeing and preparing for ... Gates Tells US Army to Take New Approach Voice of America Warning Against Wars Like Iraq and Afghanistan New York Times [ Better said, than unsaid; but, methinks a bit late for that in light of pervasively corrupt, defacto bankrupt america’s consummate decline and fall! If only they had listened and not shot at the messenger … things could have been different! ]

Bernanke: Fed will respond if oil prices trigger inflation (Washington Post) [ If? Come on … don’t make me laugh! … Inflation Is Here – Just Open Up Your Eyes And Look At These 5 Financial Charts! (see infra) Despite what Federal Reserve Chairman Ben Bernanke says, rampant inflation is officially here. The federal government is constantly monkeying with the numbers to keep the “official” rate of inflation below 2 percent, but it is becoming very difficult to deny that the cost of almost everything is really going up these days. … Merk ‘…While we believe food inflation will be with us for quite some time and may contribute to an unstable world possibly for years to come, the Federal Reserve appears to be firmly in the camp of heavily discounting food inflation. The European Central Bank (ECB), in contrast, has historically taken commodity inflation more seriously than the Fed – ECB President Trichet talks about his concern over "second round effects," i.e., commodity inflation stirring inflation throughout the value chain.

The relevance of all this is that in the U.S. it’s business as usual as far as monetary policy is concerned. According to Fed Chair Bernanke, the U.S. economy must grow at a rate of at least 2.5% per annum just to keep unemployment stable, however, he has made it clear that he will pursue policies to boost growth above that level. With oil prices soaring, he is facing yet another headwind. Rather than mopping up the liquidity that, in our assessment, has contributed to global commodity inflation, he may be tempted to keep the printing press in high gear to promote economic growth.

Jim Rogers: “Saudi Arabia Is Lying About Being Able To Increase Its Oil Production” Jim Rogers joins Zero Hedge in being highly skeptical about just how credible Saudi’s call for a 1MM + boost in its oil supply is: “Saudi Arabia has been lying about the reserves for decades. Saudi Arabia the last two times said they are going to increase production and they couldn’t increase production. Don’t fall for that. ] Federal Reserve chairman says he does not expect a major impact on consumer prices.

House Republicans press SEC on official's ties to Madoff (Washington Post) [ The ultimate subterfuge. Mr. small potatoes madoff the focus of so much influence … yet he’s in jail … and the only one … Boy, did mary shapiro become total b*** s*** fast … the current shibboleth of capital hill / all 3 branches of pervasively corrupt u.s. government … joining the others: “The Financial Industry Has Become So Politically Powerful That It Is Able To Inhibit the Normal Process of Justice And Law Enforcement” The economy cannot stabilize unless fraud is prosecuted. But the folks in D.C. seem determined to turn a blind eye to Wall Street shenanigans, and is now moving to defund the enforcement agencies like the SEC and CFTC. Market Crash 2011: It Will Hit by Christmas Farrell, MarketWatch SAN LUIS OBISPO, Calif. (MarketWatch) — ‘Politicians lie. Bankers lie. Yes, they’re liars. But they’re not bad, it’s in their genes, inherited. Their brains are wired that way, warn scientists. Like addicts, they can’t help themselves. They want to sell stuff, get rich…’

‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b*** s*** ………all of the above, some of the above ……….. or is it something else …… here’s a hint - UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ US v. AZ... Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

] House Republicans ramp up pressure on SEC Chairman Mary Schapiro.

Drudgereport: Gadhafi Keeps Tight Grip on Capital...
Major oil plant ablaze...
Oil millions still flow for Gadhafi...
Internet service cut again...
Battle for control...
Prayers Lead to Protests...
Rise of Islamist regimes...
AL-JAZEERA LIVE FEED... REUTERS WIRE... Tables turned on one of Gaddafi's boy soldiers...
Rebels reject Chávez mediation offer...
Video: Bloody Battle...
Obama: Pentagon Examines 'Full Range' of Options... Pump prices jump another 4 cents -- overnight... Santelli: 'Good' Jobs Report Has Dark Side...Layoffs At Pre-Recession Level; Job Openings Down 30%...
GALLUP: Unemployment Hits 10.3% in February... UPDATE: More inconsistencies found in stimulus job creation claims... UN: Food prices hit record high...Gadhafi vows fight to last man...
'It's a conspiracy to take our oil'...
Rebels rout Gadhafi force attack on oil port...
Seek Airstrikes by Foreign Forces...
FARRAKHAN: JEWS PUSHING U.S. INTO WAR
Announced Job Cuts 'Rose 20% From Year Ago'... Idaho county files for bankruptcy... Delaware voters say no to Lobotomy Joe ….. Biden (the self-proclaimed zionist) -- for name of school... 'Wobama’s Where's Waldo?' Presidency... All Former U.S. Presidents To Get Together For TV Special Honoring George H.W. Bush…(How totally pathetic they are! How embarrassing for NBC!) ... [ Wake up! http://albertpeia.com/bushcrimes.htm ] U.S. assault ships clear Suez, enter Med Sea on way to Libya...
Panic on borders...
...180,000 refugees pour into Tunisia, Egypt
Could become "a giant Somalia"...
AL-JAZEERA LIVE FEED... REUTERS WIRE... Gunman kills 2 US airmen at German airport...
Shouts 'Allah Akbar' before shooting... GOLD HITS NEW HIGH -- AGAIN... Angry mob confronts Wisconsin GOP Senator...     Video...
Wisc GOP passes bill to fine AWOL Dems... White House seeks $15 billion from federal property sales...OIL SHOCK AS MIDEAST SPIRALSMore Than 140,000 People Flee Libya...
Gadhafi forces retake towns near capital...
Cameron backtracks on no-fly zone plan... Astonishing wealth of Gaddafi and his family revealed... WIKILEAKS' ASSANGE CITED JEWISH CONSPIRACY... YEMEN RAGES...
President says US, Israel behind unrest... Fashion Week Führer: DIOR Fires Galliano After Racism Complaints... 'I love Hitler'...
'Your parents should have been gassed'...FADE: OSCAR RATINGS DOWN 10% ...
Injury Added to Insult... [ In terms of production value (rich in content in every way), I believe this to be as good and in my view better than ever as award ceremonies can be without the inimitable Bob Hope. I believe any falloff can be directly attributable to last year the academy’s egregious misstep in over-looking ‘Avatar’ / Cameron presaging a similar fate concerning my clear choice of ‘Inception’ / Nolan ( Truth be told, I’ve yet to see ‘The King’s Speech’ failing to muster any enthusiasm for seeing a film centered around a ‘so-called royal’ trying to over-come a speech impediment, albeit a minor one, regardless of circumstances; viz., stuttering, though I would concede that it was probably well done. We all know of the problems attendant to english royal inbreeding…ho hum… I did find ‘The Black Swan’ superb but attribute same to my own bias and fascination with viewing female ballet dancing). Bob Hope: Academy Awards, ‘passover’ … very funny! ]CIVIL WAR WEEKEND
Armed pro-Gaddafi gangs roll in Tripoli...
...Shooting from ambulances...
GRAFFITI AND BARRICADES...
Gaddafi vows to crush protesters...
Egypt protesters dispersed by force...
Al Qaeda calls for revolt against Arab rulers...
Obama to Gaddafi: Leave now...
UN Security Council passes votes to sanction... Gas prices surge 17 cents in a week...
Motorist Calls Police Over Rising Prices...
OBAMA: CAN WE DRILL NOW?
LONDON DRIVERS PAYING $9 A GALLON...
Spain reduces motorway speed limit to save oil... WOBAMA 'IMPEACHMENT' WARNING...  ...to announce exploratory committee 'in 10 days'WEST MOVES MILITARY ASSETS AROUND LIBYACharlieSheen Publicist Runs For Hills...
Actor set to sue CBS for $320M, 'mental anguish'...
The Legal Letter...
THE 'TODAY' INTERVIEW... NY MAG: Madoff on Madoff: The Jailhouse Tapes...
Government a Ponzi scheme... CIVIL WAR WEEKEND...
Anti-Gaddafi forces widen control...
Take town 30 miles from Tripoli...
Security forces defect...
Armed pro-gangs roll in capital...
...shooting from ambulances STUDY: World's sixth 'mass extinction' may be underway…[Much, much too optimistic relative to reality] ...
ISRAELI'S YOUTUBE SPOOF OF GADHAFI CATCHES ON IN ARAB WORLD...
Police station, state office burning in Oman town...
Tunisia prime minister resigns... Gingrich to announce exploratory committee 'in 10 days' [ Neo-con Dreamin’! I mean, come on … are memories so short they don’t recall him being a total hypocrite, zionist shill, and part of the problem though to his credit, he’s not a mobster and complete joke as is trump! ] CHICAGOLAND: Lawmaker Suggests BOEING'S Contract Win A Result Of Dirty Politics... [ The contract’s with money the nation doen’t really have anyway; and, the value of the money paid will be worth substantially less by completion; and, no surprise … Chicago hasn’t changed much from the days of capone and is rivaled in terms of corruption by such states as jersey, new york, etc..   ] ‘…“I’m disappointed but not surprised,” Republican Sen. Richard Shelby said. “Only Chicago politics could tip the scales in favor of Boeing’s inferior plane. EADS clearly offers the more capable aircraft.”…’
Rep. Rangel Causes Stir In Courtroom; Reprimanded By Judge...NEW YORK (CBSNewYork) – Congressman Charles Rangel caused a stir in court Friday while trying to lend his support for bail of Afrika Owes.Owes, 17, had been a student at the prestigious Deerfield Academy in Massachusetts. Prosecutors say she was also a member of a drug gang that terrorized 137th Street in Harlem.Owes was one of fourteen suspected “137th Street Crew” gang members arrested last month. Prosecutors said the gang used shootings, beatings and robberies to protect their turf and gain street status on a stretch of West 137th Street. The gang allegedly openly dealt crack in apartment lobbies, near Harlem Hospital and near the Abyssinian Baptist Church. Congressman Charles Rangel argues for Owes getting bail to Juliet Papa of 1010 WINS

Stocks rally(Washington Post) [ Come on! You can’t believe anything these desperate desparados say! What news, bad or good, don’t the frauds on wall street rejoice at (you can do that with manipulated cumputerized trading) Drudgereport: `Layoffs At Pre-Recession Level; Job Openings Down 30%...`
`GALLUP: Unemployment Hits 10.3% in February... UPDATE: More inconsistencies found in stimulus job creation claims... UN: Food prices hit record high...Announced Job Cuts 'Rose 20% From Year Ago'...`

This manipulated bubble rally in this secular bear market based on b s* alone is an especially great opportunity to sell / take profits while you can since there's much worse to come!*

Looking Like A Good Time To Sell Into Strength - Harding ‘Many important global stock markets, including China, Brazil, India and Hong Kong, have been in fairly significant corrections since November, down between 12% and 17%. Their major concerns have been rising inflation and the resulting monetary tightening by their central banks to combat the inflationary pressures...So was this week’s stumble the beginning of a more serious correction? The events and reports this week did provide more evidence that the stock market may be ahead of reality regarding prospects for the economy, and therefore corporate earnings, going forward, which should at least limit the market’s upside potential. Limited upside potential equals more downside risk? It might be wise to lighten up some into strength that may develop over the next few days during the ‘monthly strength period.’ ] Wall Street rejoices in an unexpected drop in jobless claims.

Violent spring looming in Afghanistan (Washington Post) [ See … something to look forward to … must be that good news that keeps getting pushed back … and spring no less … everything bombing blooming or in war criminal american-speak … ‘booming’ … but not the defacto bankrupt american economy for which a crash is ‘looming’. Could somebody help me out with a translation of gates’ speech a west point … I must be missing something … Lt. Gen. John Kelly, who lost son to war, says U.S. largely unaware of sacrifice (Washington Post) [ I disagree! They are very much aware; as they stand in unemployment lines, use food stamps to get by, etc.. I hate to sound cavalier and I’m sorry that Kelly lost a son to war, but along with the multitude of civilians in the nations unlucky enough to provide a source of corporate welfare to the military industrial complex and war profiteering for the few (as warned against by President General Eisenhower), they died for nothing, for no good reason beyond the false propaganda. Six NATO troops killed in Afghanistan (Washington Post) [ Is there something wrong with the following picture? … am I missing something? … Gates's warning: Avoid land war in Asia, Middle East, and Africa Christian Science Monitor - In a speech to cadets at the United States Military Academy at West Point, Gates's message was clear: The US military services, as well as the elected and appointed civilians who send them to war, need better ways of foreseeing and preparing for ... Gates Tells US Army to Take New Approach Voice of America Warning Against Wars Like Iraq and Afghanistan New York Times [ Better said, than unsaid; but, methinks a bit late for that in light of pervasively corrupt, defacto bankrupt america’s consummate decline and fall! If only they had listened and not shot at the messenger … things could have been different! ] ] American military officials expect that the Taliban will mount a campaign to regain ground lost to U.S. troops last year and use suicide bombing teams to strike at those associated with the Afghan government or coalition forces.

Public pension shortfalls could reach $1.5T (Washington Post) [ First, I think this is a low-ball estimate since it may assume some of the wildeyed assumptions beyond those being discounted in this figure. Then there’s social (in)security. Next, there’s the private pension shortfalls, particularly in the defined benefit plans. Most importantly is the defacto bankruptcy of the nation and the insurmountable debt / debt service attendant thereto. In sum, without exaggeration it really is quite a bad picture here beyond the paper fraud / froth frenzy on fraudulent wall street which of course has and still remains a significant part of the problem. Prosecution, fines, disgorgement, well deserved of the frauds on wall street could significantly help lessen the shortfalls. ] The pension funds for state and local workers are understating the amount they will owe workers by $1.5T or more, according to some economists who have studied the issue, meaning that the benefits are much costlier than many governments thought.

Krauthammer: Converts to the Bush Doctrine (Washington Post) [ ‘bush doctrine’? What’s that? Moronics(http://albertpeia.com/bushisms.htm) , imbecility, war crimes (http://albertpeia.com/evilonthetarmac.htm ), etc.? Dumbya bush has been nothing less than a one-man wrecking crew, domestically and internationally and ‘wobama the b’(for b* s*) has followed suit. Where do they get the likes of krauthammer on the right, Milbank on the left, etc.. Wake up! ]

U.S. prepares for possible rise of new Islamist regimes Revolutions may bring a more religious cast to Mideast politics (Washington Post) [ Oh riiiiight! Pervasively corrupt, defacto bankrupt america, the ‘johnny on the spot’ when it comes to being ahead of the events / curve … and they’re so interested in democratization … as in Saudi Arabia, etc… Egypt, Serbia, Georgia… The History of US Sponsored “Democratization” There is a Russian proverb: only a fool learns from his own mistakes. As Georgia’s foreign minister visits his Egyptian counterpart, there are lessons for Egypt in similar revolutions in eastern Europe and the ex-Soviet Union. ] Recent developments have alarmed some who fear that the governments taking shape will inevitably undercut democratic reforms.

Commerce Data Shows Personal Incomes Rising but Few Americans Believe It [ Yeah, they don’t believe it because it’s not true. Scandal scarred commerce department of pervasively corrupt, defacto bankrupt, and very desperate america? Come on, give us all a break. ] Zielinski ‘American workers should be celebrating the latest numbers from the U.S. Department of Commerce that show personal income at all time highs. Since taking a rather sharp dip during the recession of 2008-2009, personal income has soared to almost $13 trillion, up from $12 trillion in early 2009.

[chart] (Click to enlarge)

Getting Americans to believe that their incomes have actually increased is another story. While the Department of Commerce is reporting all time highs in income, another survey released by Fannie Mae shows the opposite.

Fannie Mae (FNMA.OB) conducts a National Housing Survey every quarter that polls homeowners and renters in depth about their confidence in homeownership, overall confidence in the economy and the current state of their household finances.

The latest National Housing Survey for the fourth quarter of 2010 polled 3,407 Americans and the results do not reflect the rosy income numbers reported by the Department of Commerce.

The survey revealed that 62% of all respondents believe the U.S. economy is on the wrong track, 60% reported that monthly household income was the same as a year ago and 34% said that their monthly expenses were "significantly higher" than a year ago. Only 19% of those polled said their incomes were significantly higher.

Keep in mind that Americans do not normally "inflation adjust" their perception of personal income – when respondents say that their income has not changed, it means they are receiving the same absolute amount of dollars, unadjusted for inflation.

[chart] (Click to enlarge)

Total personal income may have increased but income gains seem to have been limited to a small minority of Americans.

In any event, if most Americans have not seen an increase in their monthly incomes, there is little reason for comfort going forward. As higher oil and commodity prices work their way through the system, the basic cost of living will increase for everyone. If that’s not enough, once Fed Chairman Bernanke’s obsession with creating higher inflation succeeds, we are all apt to feel poorer.’

3 Market Valuation Indicators Continue to Signal Caution Short ‘Yesterday I posted monthly updates of the three valuation indicators I routinely follow:

The relationship of the S&P Composite to a regression trendline (more)
The cyclical P/E ratio using the trailing 10-year earnings as the divisor (more)
The Q Ratio — the total price of the market divided by its replacement cost (more)

This post is essentially an overview and summary by way of chart overlays of the three. To facilitate comparisons, I've adjusted the Q Ratio and P/E10 to their arithmetic mean, which I represent as zero. Thus the percentages on the vertical axis show the over/undervaluation as a percent above mean value, which I'm using as a surrogate for fair value. Based on the latest S&P 500 monthly data, the index is overvalued by 72%, 48% or 43%, depending on which of the three metrics you choose.

I've plotted the S&P regression data as an area chart type rather than a line to make the comparisons a bit easier to read. It also reinforces the difference between the two line charts — both being simple ratios — and the regression series, which measures the distance from an exponential regression on a log chart.

click to enlarge images

[chart]

The chart below differs from the one above in that the two valuation ratios (P/E and Q) are adjusted to their geometric mean rather than their arithmetic mean (which is what most people think of as the "average"). The geometric mean weights the central tendency of a series of numbers, thus calling attention to outliers. In my view, the first chart does a satisfactory job of illustrating these three approaches to market valuation, but I've included the geometric variant as an interesting alternative view for P/E and Q.

[chart]

As I've frequently pointed out, these indicators aren't useful as short-term signals of market direction. Periods of over- and under-valuation can last for years. But they can play a role in framing longer-term expectations of investment returns. At present they suggest a cautious outlook and guarded expections.’

Bulls Find a Way to Rally: Dave's Daily ‘ Stocks rallied on economic data (better than expected Jobless Claims & ISM Data) and hopes (I kid you not!) that Libya might accept mediation via Hugo Chavez which drove oil prices slightly lower. That's about the gist of it as best I can tell. Most markets reversed course with stocks higher, bonds much lower, precious metals down and commodities lower overall. I woke up this morning in Las Vegas (family reunion) and thought something big must have happened and other than the points rallied didn't really see that much. But, let's remember, bulls are a trigger happy bunch, believe the Fed might continue QE forever (more POMO today) and MENA is nothing to worry about "today". Further, with great expectations, bulls must believe the non-farm payrolls report Friday will bring much joy. One pundit yesterday noted markets were "resilient" and was grateful oil prices weren't "too high" (he must not commute). That's basically the bullish mindset. Retail Sales were reported as good and with oil still over $100; SUVs are believed to be flying off car lots. This is hard to imagine. The next "I got to have it" iPad2 was introduced and if you had the original would you really jump to the new one? Yes, for those in Hollywood or executive offices of hedge funds and Wall Street. But, no matter how you slice it this week has seen extraordinary volatility and it's not over yet…’

Bernanke Throws Gasoline on the Fire Payne ‘

Sustained rises in the prices of oil or other commodities would represent a threat both to economic growth and to overall price stability, particularly if they were to cause inflation expectations to become less well anchored. -Ben Bernanke

If it's all about expectations then I think the Federal Reserve Chairmen added gasoline to the fire on Tuesday. Many people already see inflation and don't expect it to go away anytime soon. This puts the Fed in a tough position because so far it has been able to get what it wants in the perception department. The wealth effect is creeping back. People aren't afraid to open their 401K statements. Yet, on that note, people aren't flocking to the stock market as most still seek comfort in precious metals or prefer cooling their heels on the sidelines.

Despite soaring consumer confidence surveys, to which Bernanke referred, visions of March 2009 burns bright in the minds of many. This actually makes the market more vulnerable to a series of lower moves based solely on a domino effect of fear. But this all falls into the emotion category, and while moves from these emotions can be sharp and abrupt, they don't reflect true value or future potential. What it does is create one heck of a dilemma. It also could be a heck of a challenge for investors, active and those on the sidelines, still smarting about that nuclear meltdown of 2009.

In the meantime, Bernanke might have sold the wisdom of QE 1 and 2 so well that the foregone conclusion is that there is no way the economy (stock market…wink) should need additional help. That means the stock market has to find new sources to make up for the Fed's $75.0 billion monthly injections. It's highly unlikely individual investors will make up that number, and professionals may not have the powder. Plus, those professionals are held to greater accountability. Yes, there are still trillions of dollars on the sidelines and people are becoming more eager to make money, but that still has to translate into taking chances. It's easier to take chances when one feels confident.

I continue to believe such confidence begins with our government. The House passed a stopgap budget bill giving lawmakers two weeks to figure out where to cut and by how much. Republicans in the House have already passed a bill with $61.0 billion in cuts but Democrats are balking. They point to a report from Goldman Sachs (GS) that says such cuts would decrease GDP by 1.5% to 2.0% in the second and third quarters. Mark Zandi says the cuts would cost 700,000 job losses through 2012. I beg to differ. Fiscal responsibility would embolden people to put money to work knowing their own government is becoming responsible.

But the White House holds the wildcard, and that's to lower corporate taxes. We saw consumer income climb from the payroll tax cut, I think we could see massive money pour into society the right way, through job hires and research and development. Let U.S. businesses bring money parked abroad back home and we could find a source to take the place of that $75.0 billion gravy train that will probably come to a halt in June. The market can handle higher prices as a consequence of lower unemployment and rising wages. But, the Fed has fueled the rise in crude as much as it has played the role in gold and silver spiking higher. There is a demand dynamic to crude, particularly in emerging markets.

Going into the close on Tuesday we also learned there is surprising domestic demand for petroleum.

American Petroleum Institute reported on changes in inventories.

Crude drawdown: 1.08 million barrels (consensus was build of 1.6 million)
Gasoline drawdown: 4.9 million barrels (consensus build of 900,000)
Distillates drawdown: 1.44 million (consensus drawdown of 1.8 million)

I still believe most of Tuesday's spike was Bernanke talking up oil and the notion of commodities climbing on expectations of higher prices.

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Consumers are talking a good game about confidence, but it's going to take serious job gains for them to put their money where their survey responses are. I think the January jobs number could come in above 200,000, but I wonder if weather could have played a role or could we have yet another disappointment.

Confidence would get a boost with a quick resolution in the Middle East. Right now, it looks like Saudi Arabia gets through along with Oman and Yemen. Libya would seem like a done deal, although waking up to learn Qaddafi launched an unsuccessful counterattack yesterday was unnerving. Now, dissidents might ask America to provide air attacks as cover for their own counterattack. As it stands, we have two U.S. Naval battleships heading to Libya for humanitarian assistance.’

Housing Market, Community Banks Will Drag the Economy Suttmeier ‘The Fed’s Beige Books are the gossip columns from the 12 Fed districts, and the anecdotal evidence shows that despite some economic improvements, the housing market continues to be a drag, and that community banks are still reluctant to lend. The FDIC Quarterly Banking Profile is the balance sheet of the US economy, and nearly 60% of all community banks still face balance sheet stress that makes it difficult to increase lending, as noncurrent loans continue to be a burden.

The latest Beige Book, released on Wednesday, showed that economic growth continued to expand at a modest to moderate pace in January and early February. The major headwind has been residential real estate activity and some Fed districts reported a slight increase in activity, but the overall level of home sales and construction remained low. Nonresidential construction was described as weak.

In a separate report from the FDIC, their Quarterly Banking Profile for the fourth quarter showed continued stress among the community banks that provide funding to real estate lending. Overexposures to Construction & Development Loans and Commercial Real Estate Loans continued. This correlates to the Beige Book reporting that credit standards were unchanged to tighter.

The FDIC List of Problem Banks rose by 24 in the fourth quarter to 884 from 860, which is 11.5% of the 7,657 FDIC-insured financial institutions.
1,265 community banks remain overexposed to C&D loans and another 1,358 are overexposed to CRE loans, which includes nonfarm and nonresidential real estate loans. The total, 2,623 community banks, is 34.3% of all banks that still need to unwind risk exposures.
Looking at Pipeline Risk, which is the ratio of CRE loans to CRE loan commitments, 4,479 community banks have a Pipeline of 80% or higher, which is 58.5% of all FDIC-insured financial institutions.
Total Assets in the banking system declined $51.8 billion in the fourth quarter of 2010 with C&D loans down $32.5 billion. Even so C&D loans still total $321.6 billion with nonfarm, non-residential real estate loans at $1.07 trillion, and problem loans continue.

The housing market thus remains a drag on the US economy, and the network of community banks are not fit financially to increase lending to homebuilders and to potential home buyers. This environment caused the 2008/2009 recession and because the environment is not improving, housing and the banking system can again drag the economy into a double dip. I have been calling it “The Great Credit Crunch” since March 2007, and the crunch continues in 2011.

10-Year Note -- (3.477) Weekly and annual value levels are 3.630 and 3.796 with the 50-day simple moving average at 3.446 and daily and monthly risky levels at 3.356 and 3.002.

[chart]
Source: Thomson / Reuters

Comex Gold -- ($1434.1) Strength tested my monthly and quarterly risky levels at $1437.7 and $1441.7. The 50-day simple moving average is $1375.8 with semiannual risky level at $1452.6.

[chart]
Source: Thomson / Reuters

Nymex Crude Oil -- ($102.44) My annual pivots at $99.91 and $101.92 have become strong magnets. My monthly value level is $96.43 with semiannual, daily, and quarterly risky levels at $107.14, $108.37, and $110.87.

[chart]
Source: Thomson / Reuters

The Euro -- (1.3863) It tested Wednesday’s risky level at 1.3898. My weekly and quarterly value levels are 1.3690 and 1.3227 with a daily risky level at 1.3942. The euro remains below its 200-week simple moving average at 1.3953.

[chart]
Source: Thomson / Reuters

Daily Dow: (12,067) It's trading between its 50-day simple moving average at 11,916 and its 21-day simple moving average at 12,148. Daily and annual value levels are 11,977 and 11,491 with weekly, monthly, and annual risky levels at 12,461, 12,741, and 13,890.

[chart]
Source: Thomson / Reuters

ValuEngine Valuation Warning -- A ValuEngine Valuation Warning occurs when more than 65% of all stocks in the ValuEngine universe are calculated to be overvalued. On February 18, 68.6% of all stocks were overvalued, which was the highest of the year. Today 62.1% of all stocks are overvalued. All 15 of 16 sectors are overvalued, eight by double-digit percentages.

Key Levels for the Major Equity Averages

The Dow Industrial Average (12,067) Libya Trading Range: 11,983 to 12,391. My daily and annual value levels are 11,977 and 11,491 with weekly and monthly risky levels at 12,461 and 12,741.
The S&P 500 (1308.4) Libya Trading Range: 1294 to 1344. The 50-day is 1293.55 with the 21-day at 1319.83. My daily and quarterly value levels are 1291.2 and 1262.5 with weekly and monthly risky levels at 1352.9 and 1381.3.
The Nasdaq (2748) Libya Trading Range: 2706 to 2840. The 50-day is 2733.76 with the 21-day at 2779.85. My daily value level is 2690 with weekly, quarterly, and monthly risky levels at 2860, 2853, and 2926.
The Nasdaq 100 (NDX) (2327) Libya Trading Range: 2285 to 2403. The 50-day is 2304.84 with the 21-day at 2350.52. My daily value level is 2268 with weekly, quarterly, and monthly risky levels at 2436, 2438, and 2499.
Dow Transports (4957) Libya Trading Range: 4918 to 5306. Below its 50-day at 5126. My daily and quarterly value levels are 4804 and 4671 with weekly and annual pivots at 5150 and 5179.
The Russell 2000 (810.90) Libya Trading Range: 795 to 838. The 50-day is 799.71 with the 21-day at 813.44. Daily and quarterly value levels are 793.95 and 765.50 with weekly and monthly risky levels at 826.33 and 850.79.
The Philadelphia Semiconductor Index (SOX) (456.09) Libya Trading Range: 439 to 474. The 50-day is 441.01 with the 21-day at 459.17. My daily value level is 438.94 with a monthly pivot at 453.89, quarterly pivot at 465.93, and weekly risky level at 493.15.’

Former Goldman director charged with insider trading Globe & Mail | Raj Rajaratnam, the founder of hedge fund Galleon Group, is on trial on criminal insider-trading charges.

Why the Dollar’s Reign Is Near an End Wall Street Journal | Fully 85% of foreign-exchange transactions world-wide are trades of other currencies for dollars.

Ron Paul To Ben Bernanke “I Want A Definition Of Money!” MOX News | Congressman overseeing monetary policy questions Fed chair.

China Gold Demand Voracious – Chinese Yuan Gold Standard? Gold and silver have recovered somewhat from slight falls in Asia overnight and are now higher against the British pound and Swiss franc which are weaker this morning. With geopolitical instability looking set to escalate and the real possibility of a military confrontation in the Mediterranean, any sell off in the precious metals will likely be tentative.

Monetization and Debt Will Only Bring Inflation Many ask, what will happen when quantitative easing ends? China doesn’t want to accumulate more Treasury and Agency bonds and we find the buying from London and the Cayman Islands questionable at best.

97% of All U.S. Mortgages are Backed by the Government I heard a recent talk by Richard Wolff – Professor of Economics Emeritus at the University of Massachusetts in Amherst (PhD in Economics from Yale) – where Wolff said that 97% of all U.S. mortgages are either written or guaranteed by the government.

Oil: How High Will It Go? Some emails have been stacking up with regard to what’s happening with oil prices. In summary, people are wondering, “How high will it go?” and “How bad could this get?” and “Is this it?” etc.

National / World

TSA Controversy Explodes Steve Watson | One week is a long time in the world of TSA tyranny .

Making “V”ictory a Reality: Answer to 1984 Contest Entry Infowars | An awesome example of peaceful activism in the fight against 1984.

James Woolsey denies CIA media control Aaron Dykes | Former CIA director plays dumb on Operation Mockingbird and admitted media propaganda.

Zakaria: America is Doomed Because It Fails to Embrace Globalism Kurt Nimmo | Fareed Zakaria is a member of both the CFR and Rockefeller’s Trilateral Commission.

Rolling Stone Gets Alex Jones Wrong Saman Mohammadi | Alex is attracting listeners because he doesn’t play the false left-right game like Glenn Beck and other clowns on television.

On Charles Ponzi Day We Celebrate Another All Time Record In Food Stamp Usage Bernanke’s plan to recreate Libya in our own back yard is continuing to work magnificently. It is no surprise that on Charles Ponzi day, the update to food stamp usage indicates that in December those receiving an average of $134 per month has just hit 44.1 million people.

Gas Prices Jump 4 Cents Overnight Gas prices jumped 4 cents overnight, with the average American driver now paying more than $3.40 a gallon.

Hillary Clinton: ‘We Are Losing The Infowar’ Secretary of State Hillary Clinton made a tacit admission during a U.S. Foreign Policy Priorities committee meeting yesterday, arguing that the State Department needs more money because the US military-industrial complex is “losing the information war” to the likes of Russia Today and Al Jazeera due to the US corporate media having completely abandoned “real news”.

Wars, Rumors Of Wars, Skyrocketing Oil Prices And Global Economic Chaos – Why Is All Of This Happening? Did anyone out there anticipate that 2011 would be such a wild year?

Egypt, Serbia, Georgia… The History of US Sponsored “Democratization” There is a Russian proverb: only a fool learns from his own mistakes. As Georgia’s foreign minister visits his Egyptian counterpart, there are lessons for Egypt in similar revolutions in eastern Europe and the ex-Soviet Union.

The TV Column: Charlie Sheen keeps talking; CBS gets in on the conversation (Washington Post) [Wobama says daffy gaddafi’s time is up, got to go. The same can be said of wobama et als and his fraudulently failed presidency. Sheen On Obama: “A Coward In a Cheap Suit” [ I think Sheen to be too gentle in his criticism of wobama (Some might reflexively, defensively allege drugs (prescription or otherwise) or any number of the varied personality disorders so prevalent in america … ‘fuzzy, California laid back thinking’, ‘whatever’… Who knows? ) But, that said, wobama’s far worse than just a ‘coward in a cheap suit’. Indeed, Wobama’s a total fraud having been elected under false pretenses; viz., his total, unequivocal, and unfulfilled b* s* (those campaign promises) ! Moreover, there has been some persuasive documentation questioning wobama’s citizenship / birthplace placing his eligibility to even hold the office of president in question. Drudgereport:`UPDATE: Huckabee claims Obama grew up in Kenya...` The Obama Nation, by Jerome Corsi Rezko was corrupt, and supported Obama in many campaigns as well as in Obama buying his home -- and therefore, according to Corsi, Obama is corrupt by ...www.ontheissues.org/Obama_Nation.htm ] Amidst the controversy of his wild interview on the Alex Jones Show yesterday, actor Charlie Sheen wasted little time in confronting President Barack Obama on his failure to answer Sheen’s twenty questions concerning 9/11, calling Obama, “a coward in a cheap suit.” A Government Shut-down Imperils the Power of Congress Paul Craig Roberts | Congress could try to protect its loss of the power of the purse by impeaching Obama. Drudgereport: `WOBAMA 'IMPEACHMENT' WARNING...` `...to announce exploratory committee 'in 10 days'` Globalist Shill Barack Obama Asks Business Leaders For Job Creation Ideas Even As He Ships More Of Our Jobs Overseas As Part Of The New One World Economy The other day, Barack Obama summoned a group of business and labor leaders to the White House and “challenged” them to come up with some great ideas for creating more jobs inside the United States. Public confidence in Obama reaches new low (Washington Post). Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’: Public confidence in Obama reaches new low (Washington Post) Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’:

But still it’s ‘hands off fraudulent wall street’ to theirs, the nation’s, and the world’s detriment. Firms subpoenaed in attempt to regain Fannie, Freddie losses (Washington Post). But there’s a reason:

The following youtube video is well worth the look and explains how and why the frauds on wall street have gotten away with their devastating fraud thus far. The frauds on wall street et als should be criminally prosecuted, jailed, fined, and disgorgement imposed. ( `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ):

‘THE OBAMA DECEPTION’ http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 – well worth a look. [ The Obama Deception Number 1 on U.S. Google Trends ]

While boner and barton are indeed jokes / vegetables that bespeak the single-digit approval rate for congress, obama’s failure to deliver on promises with as well, endless war spending despite defacto bankruptcy of the nation and a watered down nothing financial regulation bill for talking points but little substance, make him as big a joker, along with the dems. This well researched / produced video tells the real story : http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 ‘THE OBAMA DECEPTION’ – well worth the view. [ The Obama Deception Number 1 on U.S. Google Trends ]

Then there is the well researched, produced, and informative ‘ESOTERIC AGENDA’ which explains how we’ve gotten to this forlorn point: http://video.google.com/videoplay?docid=-7052400717834950257# For the Same Reason I’ve Included Here a Web Site Archived FLV Version of Esoteric Agenda http://albertpeia.com/esotericagenda.flv

Cohen: Time for Arabs to reject anti-semitism (Washington Post) [ Reality check … time for israelis / jews to reject zionism and all that is entailed therein, including an alternate reality that defies credulity, rationality, and facts; such as, a self-rationalizing greed, anti-arab / anti-Christian predisposition and the ‘Oedipal Effect’ (blowback) engendered thereby. No, Johnny Carson was not anti-semitic (Fred Silverman), same for Charlie Sheen (Chuck Lorre), etc. (the list is endless inasmuch as when facts are not on their side, such specious inflammatory arguments as ‘anti-semitism’, prejudice, are a convenient subterfuge distracting from their weak position; ie., illegal nukes, war crimes, ignoring u.n. resolutions, ie., 242, 338, etc., ignoring international law. At best, no … God did not give them this land … at worst, God took the land back when they with roman muscle crucified Christ. Balfour was an arbitrary, incompetent, british joke.). ] ] Article | Tuesday will be known as the day we heard from The Receiving End of Charlie Sheen's Scorched Earth Media Tour.

Gerald Celente: “There is no recovery — it’s a coverup!” Sic Semper Tyrannis | Celente argues the oil prices have been going up before the recent chaos in the Middle East. ‘…One other point brought out by Gerald Celente is the fact that the current puppet regime in the White House is “cooking the books” on the unemployment numbers and current inflation rates. They are making their own rules on how to determine inflation rates by leaving out essential information such as food and fuel prices. The same is being done with White House unemployment numbers by simply leaving out those who have given up looking for jobs, as well as other deceptive “carnie” tricks (in reference to White House spokesperson Carnie) in which he compares the administration to a traveling carnival act.

In closing, Celente states:

“… There is no recovery, it’s a coverup. It’s only being boosted by these low interest rates, which again, when inflation skyrockets- they’re gonna have to raise them …‘

Jim Rogers: “Saudi Arabia Is Lying About Being Able To Increase Its Oil Production” Jim Rogers joins Zero Hedge in being highly skeptical about just how credible Saudi’s call for a 1MM + boost in its oil supply is: “Saudi Arabia has been lying about the reserves for decades. Saudi Arabia the last two times said they are going to increase production and they couldn’t increase production. Don’t fall for that. ] Federal Reserve chairman says he does not expect a major impact on consumer prices.

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

] House Republicans ramp up pressure on SEC Chairman Mary Schapiro.

Christian minorities minister assassinated (Washington Post) [ Christians, Christianity lumped together with war criminals, zionists, invaders, plunderers, murderers, etc.. No surprise here. Winning hearts and minds? I don’t think so … Blowback? Most assuredly: 2 U.S. airmen killed, 2 hurt in shooting near Frankfurt airport (Post, March 2, 2011); Most U.S. aid to Pakistan hasn't gotten there yet (Post, March 2, 2011); Clinton: U.S. losing global public-relations battle - to 'Baywatch' and wrestling (Post, March 2, 2011 Well, I don’t know about baywatch and wrestling, but reality beyond false propaganda will do it every time) ] Shahbaz Bhatti is gunned down in the second killing this year of a liberal, senior government official who had spoken out against the nation's stringent blasphemy laws.Karzai condemns deadly NATO airstrike (Washington Post) [ Well, for pervasively corrupt, defacto bankrupt america, it’s just another of many war crimes. They just role out the propaganda machine that no one is buying anymore. Yet, can you believe your eyes and ears here: Six NATO troops killed in Afghanistan (Washington Post) [ Is there something wrong with the following picture? … am I missing something? … Gates's warning: Avoid land war in Asia, Middle East, and Africa Christian Science Monitor - In a speech to cadets at the United States Military Academy at West Point, Gates's message was clear: The US military services, as well as the elected and appointed civilians who send them to war, need better ways of foreseeing and preparing for ... Gates Tells US Army to Take New Approach Voice of America Warning Against Wars Like Iraq and Afghanistan New York Times [ Better said, than unsaid; but, methinks a bit late for that in light of pervasively corrupt, defacto bankrupt america’s consummate decline and fall! If only they had listened and not shot at the messenger … things could have been different! ] A NATO airstrike that Afghan officials said killed nine children collecting firewood in eastern Afghanistan beccomes the latest irritant in the tense relationship between President Hamid Karzai and the international force in the country.

Government cracks down on employment scams (Washington Post) [ Yet leave the biggest, most deleterious scam / fraud unprosecuted. What total b*** s***! House Republicans press SEC on official's ties to Madoff (Washington Post) [ The ultimate subterfuge. Mr. small potatoes madoff the focus of so much influence … yet he’s in jail … and the only one … Boy, did mary shapiro become total b*** s*** fast … the current shibboleth of capital hill / all 3 branches of pervasively corrupt u.s. government … joining the others: “The Financial Industry Has Become So Politically Powerful That It Is Able To Inhibit the Normal Process of Justice And Law Enforcement” The economy cannot stabilize unless fraud is prosecuted. But the folks in D.C. seem determined to turn a blind eye to Wall Street shenanigans, and is now moving to defund the enforcement agencies like the SEC and CFTC. Market Crash 2011: It Will Hit by Christmas Farrell, MarketWatch SAN LUIS OBISPO, Calif. (MarketWatch) — ‘Politicians lie. Bankers lie. Yes, they’re liars. But they’re not bad, it’s in their genes, inherited. Their brains are wired that way, warn scientists. Like addicts, they can’t help themselves. They want to sell stuff, get rich…’

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

] House Republicans ramp up pressure on SEC Chairman Mary Schapiro.

] FTC says companies promised to help people find work but instead took their money.

Oil soars to more than $100 a barrel on Libyan unrest (Washington Post) [ When you factor in reality, the worst is yet to come … Gerald Celente: “There is no recovery — it’s a coverup!” Sic Semper Tyrannis | Celente argues the oil prices have been going up before the recent chaos in the Middle East. ‘…One other point brought out by Gerald Celente is the fact that the current puppet regime in the White House is “cooking the books” on the unemployment numbers and current inflation rates. They are making their own rules on how to determine inflation rates by leaving out essential information such as food and fuel prices. The same is being done with White House unemployment numbers by simply leaving out those who have given up looking for jobs, as well as other deceptive “carnie” tricks (in reference to White House spokesperson Carnie) in which he compares the administration to a traveling carnival act.

In closing, Celente states:

“… There is no recovery, it’s a coverup. It’s only being boosted by these low interest rates, which again, when inflation skyrockets- they’re gonna have to raise them …‘

Jim Rogers: “Saudi Arabia Is Lying About Being Able To Increase Its Oil Production” Jim Rogers joins Zero Hedge in being highly skeptical about just how credible Saudi’s call for a 1MM + boost in its oil supply is: “Saudi Arabia has been lying about the reserves for decades. Saudi Arabia the last two times said they are going to increase production and they couldn’t increase production. Don’t fall for that. ] Federal Reserve chairman says he does not expect a major impact on consumer prices.

A Crash in Saudi Arabia, Arrogant Eurocrats and a Look at the Markets Part 2 Tenebrarum ‘Saudi Arabia's Stock Market Plunges

Stock market traders in Saudi Arabia got a bit of a wake-up call yesterday. Their stock market evidently sees something it doesn't like. Why the market is all of a sudden more worried than it was previously about the challenge to the established political order in the Arab world is a bit of a mystery, but presumably traders have thus far deluded themselves into thinking that Saudi Arabia would be immune to unrest. Something has evidently changed their mind. It seems to us that this event deserves the moniker warning sign. The selling has been extremely heavy for three days now. Since this market is largely driven by local investors, we should probably attach some significance to this recent plunge. Someone has begun to sell three days ago and has spooked the herd. It's a good bet that the someone who started the selling is better informed than the rest of us.

Note in this context the following information about the current oil policy of Saudi Arabia from Marketwatch. While the article references anonymous sources, which stands in the way of fact-checking, there is one paragraph that caught our eye:

"The main threat is ... Saudi instability when the current king dies. We know he is very ill but obviously there is no indication of how critical that condition is. But it is acknowledged that the next transition will present a much bigger threat to internal stability ... Vested interest groups have been waiting for this transition to push their agenda. Saudi experienced considerable regional instability up to 10 years ago but bought it off with higher oil-based spending. Today the problem is as bad, if not worse. There have been only a few of the promised reforms ... Resentment towards the wealth gap with the royals is very high ... Even if/when the instability in other countries, such as Libya, settles, the Saudi succession threat is now firmly on the table. What happens in Bahrain could be very key. That alone will keep the oil market nervous for this year."

The very ill king could in fact be the key to the sudden crash in Saudi Arabia's stock market. With political instability across the entire region, a fight for succession in Saudi Arabia wouldn't be very conducive to stability at this particular point in time. The fact that spreading some of the oil wealth around has not been effective in lowering the level of resentment vis-a-vis the royals sounds very credible to us. So does the assertion that what happens in Bahrain will be very important. Bahrain is ruled by a monarchy as well and should it lose power, the Saudi masses could be galvanized.

Saudi Arabia is the world's second biggest oil producer after Russia and as a result the monarchy has enormous financial resources at its disposal. This certainly helps with buying off numerous special interest groups. Also, as we mentioned in passing previously, the royals have a deal with the powerful and highly conservative religious establishment that helps keep them in power. Essentially the country is a mixture between a monarchy and theocracy. The strict religiously inspired laws may on the one hand sit well with the deeply religious population, but on the other hand they also make for a very repressive environment that may sit less well with the youth – large numbers of which are unemployed. Also, the extravagance of the many Saudi princes (over 10,000 royals are about, all well-endowed with stipends) may not go down all that well with the rest of the Saudis , regardless of what deals the royals have made with the mullahs. All in all, it remains a potentially explosive situation.

[chart]

(Click to enlarge)

Saudi Arabia's Al-Tadawul All-share Index goes somewhat belatedly into free-fall.

In the meantime, Muammar Qaddafy continues to give utterly bizarre interviews (if anything, they have become even more so ... "I don't lead Libya, I have no power" ... "The people of Libya love me!"), while more and more of Libya falls to opposition forces. Evidently the man has lost whatever connection to reality he may once have possessed. The Pentagon has meanwhile assembled naval forces off Libyan waters – possibly to enforce a no-fly zone.

While all eyes are on Libya, Egypt has once again decided not to reopen its stock market – the reopening of the stock exchange has been been postponed repeatedly, so this is almost business as usual by now.

"The Egyptian Exchange, shuttered for over a month, was to resume trading on Tuesday. But in an overnight statement, exchange officials said the market would reopen instead on March 6 to 'allow investors to profit from the government's support to guarantee stability in the bourse.'

"The decision reflected the strong undercurrent of unease in the Arab world's most populous nation where the market's benchmark stock index had shed almost 17 percent in two consecutive trading sessions before it closed at the end of the business day on Jan. 27."

Keep the market closed to 'allow investors to profit from the government's support to guarantee stability in the bourse'? Good luck with that one.

As a final note on the Middle East, we continue to recommend keeping an eye on Iran. The regime is evidently worried, and given Iran's importance as an oil exporter, any unrest in that country would arguably have an even bigger effect on the oil market than Libya's recent disintegration.

Ireland and the Arrogant Eurocracy

Via Dr. Jim Walker of the excellent research firm Asianomics, we have been made aware of some of the things various eurocrats have had to say about the Irish election. Some of these quotes are remarkable for their unbridled and quite unwarranted arrogance.

"As Irish voters headed for the polling booths on Friday, the European Commission bluntly declared that the terms of the EU-IMF bailout "must be applied" whatever the will of Ireland's people or regardless of any change of government.

"It's an agreement between the EU and the Republic of Ireland, it's not an agreement between an institution and a particular government," said a Brussels spokesman.

A European diplomat, from a large eurozone country, told The Sunday Telegraph that "the more the Irish make a big deal about renegotiation in public, the more attitudes will harden."

"It is not even take it or leave it. It's done. Ireland's only role in this now is to implement the programme agreed with the EU, IMF and European Central Bank. Irish voters are not a party in this process, whatever they have been told," said the diplomat.”

(Our emphasis)

Hello? Irish voters are "not a party in this process"? Irish voters – i.e. the tax cows that have been condemned to bail out their failed banks so that the highly leveraged German banking system can avoid a debt restructuring broadside – may well go from "revolution lite" as the WSJ calls the election outcome (since essentially, one conservative party was exchanged for another), to a "real revolution." As an aside, while the WSJ asserts that 'Ireland needs Merkel," we believe it is exactly the other way around (see further below as to why). Our understanding of 'democracy' is that voters are the ultimate arbiters of such things. There is no agreement that can not be amended or broken if voters feel they have been sold out by the government that signed it. As the Telegraph notes further:

"Dessie Shiels, an independent candidate in Donegal, said: "People have not been given the basic right of deciding whether or not they should have their taxes increased in order to repay bondholders who have lent to the banks."

David McWilliams, an economist and former official at the Ireland's Central Bank, has led calls for a popular vote under Article 27 of the Irish constitution, which requires on a matter of "such national importance that the will of the people ought to be ascertained."

"We have to re-negotiate everything," he said. "Obviously, the first way to do this is to make them aware that if they force us to pay everything, we will default and they will get nothing. So they had better get a little bit of something, than all of nothing. To make this financial pill easier to swallow, we must take the initiative politically. We can do this via a referendum.

"If the Irish people hold a referendum on the bank debts now, we can go to the EU with a mandate from the people which says No. This will allow our politicians to play hard-ball, because to do otherwise would be an anti-democratic endgame."

Declan Ganley, the Irish businessman who led the 2008 No vote to the Lisbon Treaty, said Ireland must "have the balls" to threaten debt default and withdrawal from the single currency.

"We have a hostage, it is called the euro," he said. "The euro is insolvent. The only question is whether Ireland should be sacrificed to keep the Ponzi scheme going. We have to have a Plan B to the misnamed bailout, which is to go back to the Irish Punt."

(our emphasis)

Got it in one, Mr, Ganley. Ireland is the party that has the leverage in this situation, not the EU. The decisive point is this: The euro is a kind of roach motel – it's easy (too easy) to get in, but it is very hard to get out.

Why is it so hard to get out? It isn't, as the outgoing Irish government asserted, the fact that government would find it hard to borrow money in the markets after a bank debt restructuring, or even after a restructuring of the government's own debt. Greece, which has been bankrupt for half of the past 180 years, is proof positive that it is fairly easy to find new suckers for government debt after a while.

No, at the root of the roach motel problem are the banks themselves. If the population suspects that an abandonment of the euro is imminent, worries that the national currency likely to succeed the euro will be devalued would provoke a flight from the banks – depositors would shift their deposits to other banks somewhere else in the euro area. Both Greece and Ireland have in fact been plagued by such a flight of depositors already, to varying extent. In fact, the biggest and quite obviously bankrupt Irish banks have bled deposits at an enormous rate lately. With the banks completely zombified, worries about a flight of depositors should be much reduced – since they have already largely fled.

The banking system is however also a big worry for the rest of the EU. Why was the Irish government forced to accept a bailout? What was so urgent? Why was it so important to especially avoid a restructuring of the senior debt of Ireland's banks? The answer is that an Irish debt restructuring imposing a big haircut on bondholders would hit banks elsewhere in the euro area (including the ECB, as it were). The way we see this, Irish voters will eventually prove the arrogant unnamed European diplomat from a big country wrong. They will eventually be a party to the proceedings. Negotiating a lower interest rate on borrowings from the EFSF, the currently enunciated goal of the new Irish government won't be enough. It won't do the trick because the burden will still be too large.

We would note here, as we have repeatedly done before, that it does no-one any good to pretend that losses don't exist or that the giant fiat money Ponzi scheme made up of unpayable government debt and de facto insolvent fractionally reserved banks can be forever kept going by heaping new debts atop the old ones. If we want genuine, sustainable economic growth to resume, the only way to achieve that is to bite the bullet. Acknowledge the losses and let them fall upon those who have invested unwisely. This is not merely a question of morality, as prominent Keynesians like Paul Krugman keep saying. It is a question that concerns the system of free market capitalism itself. Capitalism is not supposed to privatize profits and socialize losses. This is a perversion of the free market system that will ultimately serve to destroy it.

In addition, as the EU lurches toward the 'big accord' planned for late March – a.k.a. the Grand Bargain (Portugal may well fall into crisis before that date, as its bond yields remain stuck above the crucial 7% level and large debt rollovers are awaiting it in March) , there are evidently plans afoot to make other European nations more like Germany. Unfortunately this is not merely about fiscal rectitude as such. It is also about the desire of the German political class to impose Germany's high taxes on everyone. Ireland would do well to think twice about agreeing to such stipulations.

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Portugal's 10 year bond yield sits at 7.45%. Greece and Ireland both became EFSF wards when their yields crossed the 7% mark. And yes, this is a bullish (bearish for Portuguese debt) chart.

The Markets

The Stock Market

In the wake of the big decline in Saudi Arabia's stock market, other stock markets also suffered a bad hair day. It would be easy to pin the blame for the stock market's recent decline on the problems in the Middle East, but bulls should perhaps be more concerned about a number of other facts. For one thing, there is the subtle internal technical deterioration as evidenced by many 'momo' stocks coming under pressure of late, i.e., the so-called "Teflon stocks" all of a sudden look somewhat less teflonesque. A similar point is made in a recent article by Michael Kahn at Barron's about the Dow Jones Industrial Average. As Kahn remarks:

"Despite its limited representation in a market of thousands of stocks, the Dow Jones Industrial Average nonetheless is an important barometer. Given the sheer dollar value of its 30 component issues, any cracks in its armor should not be ignored.

So when fully one fifth of Dow stocks sport technical failure we should take notice. Failure, in the lexicon of charting, is often used to describe a stock falling as it hits a key level such as resistance or the top of a pattern.

When a stock breaks out to the upside from resistance or a chart pattern it is usually a bullish sign. Demand overcomes supply and prices move higher – most of the time. However, failure to hold on to that breakout is the unusual case and that makes it a true newsworthy event for investors."

Kahn notes that the bulk of the DJIA stocks remains in solid uptrends, but of course when the market gets into trouble, the first signs of such are always subtle.

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What is notable to us about the recent decline is that the preceding rally as well as the recent rebound all happened on very weak volume, whereas volume tends to spike when the market moves lower. This is a negative sign too.

What else should stock market bulls worry about aside from the loss of leadership and subtle signs of technical deterioration? How about "Hedge funds borrow the most since 2007 to purchase U.S. stocks?"

"Hedge funds increased their net leverage in January to the highest level since October 2007, as they took advantage of record-low borrowing costs to bet that the U.S. equity rally will continue.

Debt at margin accounts at the New York Stock Exchange minus cash and unused credit from margin accounts climbed to $46 billion, according to data released by NYSE yesterday. Hedge funds had $290 billion of debt from margin accounts in December, the largest sum since Lehman Brothers Holdings Inc. collapsed in September 2008."

(Our emphasis)

Needless to say, October of 2007 was not exactly a propitious time to buy lots of stocks on margin. Perhaps this time will be different, but we kind of doubt it (although in some respects the 2007 high was even more beset by extremes – but then, it was a much higher high).

What else is there to worry about? How about those capitulating bears: "Capitulating Bears Push Short Sales to Lowest in Three Years."

"The biggest Standard & Poor’s 500 Index rally in more than five decades is forcing stock market bears to abandon short sales, cutting them to the lowest level since 2007 last month.

Shares borrowed and sold to profit from declines dropped four straight months and represented 3.3 percent of all stock in January, according to data compiled by NYSE Euronext. Pessimists are giving up after missing the 95 percent rally in the S&P 500 spurred by the fastest earnings growth since 1994. The monthly decrease comes as individuals added $17.6 billion to U.S. mutual funds this year after withdrawing money since April."

(Our emphasis)

There it is mentioned again, that fateful year 2007. Capitulating bears weren't a good sign then, and they are unlikely to be a good sign now. The lower the short interest ratio, the less support from short covering there will be once the market heads down, but to us it is more important what this datum says about sentiment.

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The chart of the high beta DJ Transportation average is intriguing – its rebound failed at the 50 day moving average. This average generally tends to lag in moves up (i.e. it tends to be one of the last indexes to top out) and lead in declines.

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A recent chart of mutual fund cash levels from Jason Goepfert's sentimentrader.com shows that mutual fund managers are also all in – the current reading is the second lowest in all of history , a mere 10 basis points above the all time low (the absolute low was seen in 2010). This indicator tends to have medium to long term significance. We see it largely as an expression of fund manager sentiment.

Solely from a chart perspective it is too early to say whether the recent pullback will just be a short term hiccup or the beginning of a more substantial correction. Many of the aforementioned momentum stocks have weakened, but they have not yet broken any important supports. However, the fact that the market has for a change not rallied on the first of the month (the bulk of the advance from the 2009 low was accomplished by large first-of-the-month rallies) clearly constitutes a change in character.

Apart from that, the fact remains that risk is extremely high. Should the market rebound and streak to new highs for the move, said risk won't diminish, but will become even greater.

Gold and Oil

Not too surprisingly, both oil and gold have continued their rallies. Gold is on the verge of a decisive breakout, while the oil market appears close to negating a recent reversal candle (as we noted at the time, such reversals require follow-through selling to be confirmed as such).

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It appears that oil wants to go even higher. Since the reversal candle that was put in place four trading days ago has not led to follow-through selling and the market is already bouncing higher again, no reversal has been confirmed as of yet. Of course this is now a market harboring a large political risk premium, which makes it extra-risky (for both bulls and bears). Nothing's wrong with this chart though.

We are not certain how much of a political risk premium there is now in gold, but gold seemed to us already set to make new highs before the news about the unrest in Arab countries took center stage (we have frequently remarked on the subdued bullish sentiment after the small correction in January).

One must not forget, when central bankers stubbornly defend ultra-easy monetary policies as Mervyn King and Ben Bernanke both keep doing, then there is little reason not to want to own gold (we will soon have more to say about the recent statements by these two gentlemen – neither of them managed to disappoint our expectations, which are even lower than their interest rates). Also, with the bulk of gold's fundamental price drivers in a bullish configuration, the backdrop remains conducive to higher gold prices regardless of the geopolitical noise (it is to our mind different in the case of crude oil).

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Both gold and silver (solid line) streak higher. Gold's close actually constitutes a breakout, but it is not a decisive breakout yet. As previously noted, gold doesn't do triple tops, so a decisive breakout seems highly likely.

The U.S. Dollar

The dollar rates a mention for its failure to profit from safe haven buying in view of the news from the Arab world. It may be that talk of the allegedly undiminished likelihood of QE3 isn't helping, especially as ECB officials have lately adopted a fairly hawkish tone. Of course, money supply growth in the euro area has in recent months been far lower than money supply growth in the U.S., so there is a good reason for the euro to show some relative strength based on that, but the problem of the unresolved debt crisis remains – which argues strongly against the euro going forward. Be that as it may, the dollar hasn't been going anywhere lately. We would however not be inclined to get too bearish on the U.S. dollar here, in spite of its failure to attract safe haven buying. The recent decline has been grudging, which is often the precursor to a short term trend change.

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The U.S. dollar hasn't been helped by turmoil in the Middle East – which is a bit surprising.

Finally, before it is out of date, we want to point readers to a recent interview by the father of securitization, Lew Ranieri, on the state of the U.S. housing market. He echoes the concerns that Ramsey Su has enunciated in these pages. The U.S. housing market remains quite sick, in spite of the wagon-loads of money Ben Bernanke's Fed has printed. An old adage is confirmed by this fact: the central bank can print money, and/or encourage the commercial banks to increase the credit and money supply, but it has no control over where this money ultimately goes.’

Inflation Is Here – Just Open Up Your Eyes And Look At These 5 Financial Charts! ‘The Economic Collapse March 2, 2011 Despite what Federal Reserve Chairman Ben Bernanke says, rampant inflation is officially here. The federal government is constantly monkeying with the numbers to keep the “official” rate of inflation below 2 percent, but it is becoming very difficult to deny that the cost of almost everything is really going up these days. The American people are not stupid. They notice the difference when they go to the grocery store or stop at the gas station. The dollar is losing value rapidly now. The price of gold set another new all-time record today and is currently hovering just above $1430 an ounce. The price of West Texas crude has moved above 100 dollars several times recently and the price of Brent crude is currently above 116 dollars. These higher oil prices are really starting to be felt in the United States. The average price for a gallon of gasoline in the United States has now reached $3.38. There are some gas stations in the U.S. where the price of a gallon of gas is already over 4 dollars. But it is not just the American people that are feeling the pain. The global price of food recently hit a new record high and almost every major agricultural commodity has absolutely skyrocketed in price over the past 12 months. Meanwhile, Ben Bernanke just told the Senate Banking Committee that he really isn’t concerned about inflation at all.

When it comes to inflation, the key is not to look at the official U.S. government numbers (they are highly manipulated) or how the U.S. dollar is performing against other major currencies (because they are all being devalued as well). Instead, you can get a truer sense of what is really happening to inflation by looking at what the U.S. dollar is doing against precious metals, commodities and other hard assets.

So are we experiencing rampant inflation right now? Well, just open up your eyes and look at these 5 charts….

1 – The price of oil is racing back up to record levels. The chart below from the Federal Reserve is a couple weeks out of date. As noted above, the current price of West Texas crude is about $100 a barrel….[chart]

2 – The price of a gallon of gasoline in the United States seems destined to hit a brand new all-time record at some point this year. Was it really just a few short years ago when the average price of gas in this country was about a dollar a gallon?…. [chart]

3 – The value of most precious metals is very consistent over time. So when you see precious metals go up dramatically in price, it means that the dollar is being devalued. The price of gold just set another new all-time high and it seems destined to keep going even higher….[chart]

4 – The chart below from the Federal Reserve is a measure of the price of all commodities. These price increases are inevitably going to be passed along to consumers in the United States….[chart]

5 – After a couple of years of stable food price, the price of food is starting to take off yet again….[chart]

In fact, many analysts are warning that we could experience a major food crisis over the next couple of years. The global demand for food continues to grow at a very brisk pace, but all of the crazy weather we have been having around the world has caused some very bad harvests.’

Oil surges after Libya airstrike near oil terminal Reuters | Fresh airstrikes hit Brega, about 1.2 miles from a Libyan oil terminal.

] Fighting near oil ports in Libya fuels market anxiety. Pump prices have reached $3.39 a gallon.

Fed report shows gains in U.S. economy, moderate growth (Washington Post) [ Come on! What do you expect them to say … they lie about everything … and at what cost in insurmountable debt, debt service and defacto bankruptcy of the nation. En route to losing near 8 million jobs, before and during the melt-down, if you recall (I do, and reported here on my site) jersey (that says it all) based adp was pulling job numbers out of their a***s, ‘surprising’ to the upside as now, although I would concede some contract work with money defacto bankrupt america doesn’t have may have provided a lesser number. How can you believe anything they say? Drudgereport: `Announced Job Cuts 'Rose 20% From Year Ago'... more of things to come Idaho county files for bankruptcy...` ] Job market shows progress, as do sectors such as retail and tourism.

Metal News for the Day Grant ‘…With the Fed now buying 70% of Treasury's debt issuance, one has to wonder who will step in to fill the void when the Fed finally does implement their so-called "exit strategy." PIMCO's Bill Gross poses the question plain and simple in his most recent Investment Outlook: Who will buy Treasuries when the Fed doesn’t? Certainly nobody is going to completely fill the massive void in the debt market left by a retreating Fed at the current yields. Yields will have to rise once the Fed's faux demand is gone and yields start to once again accurately reflect risk and that will threaten the recovery. So you see the dilemma. Our own Jonathan Kosares discussed this very topic in the lead article of our December Newsletter. People began to speculate about QE3 shortly after QE2 was announced and such market chatter is ongoing and even intensifying. In a recent Barron's interview, MacroMavens' Stephanie Pomboy says she doesn't believe the recovery is sustainable at all. Her recommendation? Buy Treasuries...clearly she thinks the Fed is going to remain a buyer and can be front-run...oh, and buy gold…’

The TV Column: Charlie Sheen keeps talking; CBS gets in on the conversation (Washington Post) [Wobama says daffy gaddafi’s time is up, got to go. The same can be said of wobama et als and his fraudulently failed presidency. Sheen On Obama: “A Coward In a Cheap Suit” [ I think Sheen to be too gentle in his criticism of wobama (Some might reflexively, defensively allege drugs (prescription or otherwise) or any number of the varied personality disorders so prevalent in america … ‘fuzzy, California laid back thinking’, ‘whatever’… Who knows? ) But, that said, wobama’s far worse than just a ‘coward in a cheap suit’. Indeed, Wobama’s a total fraud having been elected under false pretenses; viz., his total, unequivocal, and unfulfilled b* s* (those campaign promises) ! Moreover, there has been some persuasive documentation questioning wobama’s citizenship / birthplace placing his eligibility to even hold the office of president in question. Drudgereport:`UPDATE: Huckabee claims Obama grew up in Kenya...` The Obama Nation, by Jerome Corsi Rezko was corrupt, and supported Obama in many campaigns as well as in Obama buying his home -- and therefore, according to Corsi, Obama is corrupt by ...www.ontheissues.org/Obama_Nation.htm ] Amidst the controversy of his wild interview on the Alex Jones Show yesterday, actor Charlie Sheen wasted little time in confronting President Barack Obama on his failure to answer Sheen’s twenty questions concerning 9/11, calling Obama, “a coward in a cheap suit.” A Government Shut-down Imperils the Power of Congress Paul Craig Roberts | Congress could try to protect its loss of the power of the purse by impeaching Obama. Drudgereport: `WOBAMA 'IMPEACHMENT' WARNING...` `...to announce exploratory committee 'in 10 days'` Globalist Shill Barack Obama Asks Business Leaders For Job Creation Ideas Even As He Ships More Of Our Jobs Overseas As Part Of The New One World Economy The other day, Barack Obama summoned a group of business and labor leaders to the White House and “challenged” them to come up with some great ideas for creating more jobs inside the United States. Public confidence in Obama reaches new low (Washington Post). Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’: Public confidence in Obama reaches new low (Washington Post) Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’:

But still it’s ‘hands off fraudulent wall street’ to theirs, the nation’s, and the world’s detriment. Firms subpoenaed in attempt to regain Fannie, Freddie losses (Washington Post). But there’s a reason:

The following youtube video is well worth the look and explains how and why the frauds on wall street have gotten away with their devastating fraud thus far. The frauds on wall street et als should be criminally prosecuted, jailed, fined, and disgorgement imposed. ( `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ):

‘THE OBAMA DECEPTION’ http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 – well worth a look. [ The Obama Deception Number 1 on U.S. Google Trends ]

While boner and barton are indeed jokes / vegetables that bespeak the single-digit approval rate for congress, obama’s failure to deliver on promises with as well, endless war spending despite defacto bankruptcy of the nation and a watered down nothing financial regulation bill for talking points but little substance, make him as big a joker, along with the dems. This well researched / produced video tells the real story : http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 ‘THE OBAMA DECEPTION’ – well worth the view. [ The Obama Deception Number 1 on U.S. Google Trends ]

Then there is the well researched, produced, and informative ‘ESOTERIC AGENDA’ which explains how we’ve gotten to this forlorn point: http://video.google.com/videoplay?docid=-7052400717834950257# For the Same Reason I’ve Included Here a Web Site Archived FLV Version of Esoteric Agenda http://albertpeia.com/esotericagenda.flv

Cohen: Time for Arabs to reject anti-semitism (Washington Post) [ Reality check … time for israelis / jews to reject zionism and all that is entailed therein, including an alternate reality that defies credulity, rationality, and facts; such as, a self-rationalizing greed, anti-arab / anti-Christian predisposition and the ‘Oedipal Effect’ (blowback) engendered thereby. No, Johnny Carson was not anti-semitic (Fred Silverman), same for Charlie Sheen (Chuck Lorre), etc. (the list is endless inasmuch as when facts are not on their side, such specious inflammatory arguments as ‘anti-semitism’, prejudice, are a convenient subterfuge distracting from their weak position; ie., illegal nukes, war crimes, ignoring u.n. resolutions, ie., 242, 338, etc., ignoring international law. At best, no … God did not give them this land … at worst, God took the land back when they with roman muscle crucified Christ. Balfour was an arbitrary, incompetent, british joke.). ] ] Article | Tuesday will be known as the day we heard from The Receiving End of Charlie Sheen's Scorched Earth Media Tour.

Locked in standoff, Gaddafi foes debate foreign airstrikes Opposition leaders consider requesting foreign intervention (Washington Post) [ Six NATO troops killed in Afghanistan (Washington Post) [ Is there something wrong with the following picture? … am I missing something? … Gates's warning: Avoid land war in Asia, Middle East, and Africa Christian Science Monitor - In a speech to cadets at the United States Military Academy at West Point, Gates's message was clear: The US military services, as well as the elected and appointed civilians who send them to war, need better ways of foreseeing and preparing for ... Gates Tells US Army to Take New Approach Voice of America Warning Against Wars Like Iraq and Afghanistan New York Times ( Better said, than unsaid; but, methinks a bit late for that in light of pervasively corrupt, defacto bankrupt america’s consummate decline and fall! If only they had listened and not shot at the messenger … things could have been different! )

DÉJÀ VU ALL OVER AGAIN? WHERE’S YOGI WHEN YOU NEED HIM TO EXPLAIN THIS INSANITY:
Chavez: U.S. distorting situation in Libya ‘to justify an invasion’ CNN | Venezuelan President Hugo Chavez claims U.S. criticism of Libyan leader Moammar Gadhafi has a clear aim: military invasion.

US tightens military grip on Gaddafi The Guardian | The west is edging towards a possible military confrontation with Muammar Gaddafi’s regime.

Obama Encircles US War Machine Around Libya Paul Joseph Watson | Administration readies to exploit humanitarian crisis to control Africa’s largest oil producer.

Most Americans Strongly Oppose U.S. Military Action in Libya According to Rasmussen, a large majority of Americans agree with the common sense of George Washington. During his farewell address, the first president of the United States said the nation should beware of foreign entanglements. ] Issue takes on increasing urgency amid realization that rebels cannot continue to match the weaponry and firepower of forces loyal to Gaddafi.

[ (2-26-11 et seq.) Let me state for the record here that my computer has been under constant viral, hack attack, paralleling prior such foolish, paranoid actions and let me reiterate: They will be sorry and I won’t forget it! ]

Money Illusion: The Nominal and Real Dow Short ‘An email I received earlier today commented on the difference between nominal and real (inflation-adjusted) charts of market data. The overlay below of the Nominal and Real (inflation-adjusted) Dow illustrates the concept of "money illusion," the tendency of people to think of currency in nominal, rather than real, terms.

Below the two Dow series is the Consumer Price Index (CPI) from 1913 and with estimates for the earlier years. The CPI is the inflation (deflation) multiplier that accounts for the difference between the two views of the Dow.

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One of the most conspicuous differences between the nominal and real series is apparent during secular bear markets, such as the period from the mid-1960s to 1982. In the nominal chart, this period looks like a choppy sideways pattern. But when we adjust for the high inflation of the 1970s and early 1980s, the sideways chop becomes the cascading downward direction of the real value of the market price. The 1982 dollar had shrunk in purchasing power to about 33 cents in comparison to its 1965 counterpart. Inflation had devoured two thirds of its value.

In the chart above, I adjusted the real Dow price to the dollar value of May 1896 to highlight the money illusion over the entire time frame. More commonly, my inflation-adjusted charts are priced at the present value of the currency, as illustrated in the real series below. This has the effect of raising the numbers for the earlier periods to adjust for the effect of the dominant pattern of inflation with brief but vicious periods of deflation, especially in the earlier decades.
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Bernanke Cautious on Economic Growth as Oil Prices Rise [ In pervasively corrupt, defacto bankrupt america it’s come to be known all too familiarly as ‘defending the indefensible’. ] New York Times | Fed chief again defended the Fed’s large and unprecedented stimulus program.

Pentagon Tries to Blame Financial Crisis on Foreign Financial Terrorists [ You just can’t believe the magnitude of the b* s* they try to foist off … financial terrorists who are u.s. citizens and are collectively called wall street; oh, right, they fly a big american flag outside the exchange which garners them carte blanche to…rape, pillage, and plunder with impunity … even as the pentagon’s become singularly talented at raping, pillaging, and plundering … the 360 tons of $100 bills gone missing in Iraq is a small example of their talent, and a general previously attested to the reality that on any given day there’s 2-3 billion floatin’ around the pentagon. Pervasively corrupt, defacto bankrupt, war criminal america is pathetic! ] The Pentagon is paying contractors to claim that it was foreign financial terrorists – instead of fraud by American financial executives – which caused the 2008 financial crisis.

Libya’s Bankers Exposed: Goldman, JP Morgan And Citi Ten days ago, when we first looked at the Libyan investment authority (its sovereign wealth fund), we asked “Which US Banks Are Managing Billions For The $32 Billion Libyan Sovereign Wealth Fund?”

BOE’s Mervyn King “Surprised Anger Directed At Bankers Is Not Greater” When a nation’s top central banker says that even he is surprised the middle class is not far angrier at the bankers, you know the lithium consumption is surpassing Surgeon General RDA levels.

Oil could bring US down Ben Bernanke testified before the Senate Banking Committee and warned that a rise in oil prices as a result of the conflicts in the Middle East could threaten US growth and spark dangerous price rises. Author and researcher Adrian Salbuchi says while rising oil prices seem to go against US interests there has been a process of weakening the US because of other rising super powers anyway.

Inflation Is Here – Just Open Up Your Eyes And Look At These 5 Financial Charts! Despite what Federal Reserve Chairman Ben Bernanke says, rampant inflation is officially here. The federal government is constantly monkeying with the numbers to keep the “official” rate of inflation below 2 percent, but it is becoming very difficult to deny that the cost of almost everything is really going up these days.

National / World

U.S. and Britain Prepare to Impose No-fly Over Libya Kurt Nimmo | The bankers are horrified by Libya’s 2009 decision to implement Islamic banking.

Gaddafi claims: ‘West only wants our oil’ As Libya teeters on the brink of full-scale civil war Colonel Gaddafi today said there was a conspiracy to get of Libyan oil as he again pledged to fight to the last.

Oil surges after Libya airstrike near oil terminal Oil prices jumped to near 2-1/2 year highs on Wednesday after an airstrike near Libya’s oil infrastructure kept the market braced for a prolonged disruption from the OPEC nation and worried unrest might spread to other regional producers.

TSA Criminality Epidemic: “Behavioral Detection” Officer Faces Charges Of Helping Drug Dealers Through Security Yet another TSA officer has been arrested on suspicion of abusing her position and engaging in illegal activity, adding to a long history of cases indicating that TSA workers are prone to criminal behavior.

Barbour: Obama’s policy ‘is to drive up energy prices’ With price of gasoline rising for the eighth consecutive day, Mississippi Gov. Haley Barbour accused the Obama administration of hiking energy costs in an effort to promote alternative fuels.

Russian Military Claims Libya Air Strikes Did Not Happen The Russian military claims that the supposed air strikes launched by Libyan leader Muammar Gaddafi against protesters last week did not happen, suggesting that the key event seized upon by the global media as a justification for a “humanitarian” military intervention was a contrived hoax.

Rolling Stone On Alex Jones: “Most Paranoid Man In America” Paul Joseph Watson | Profile is a generally good insight into Alex’s personal character and how he sees his own role in standing up against tyranny.

Docs Reveal TSA Plan To Body-Scan Pedestrians, Train Passengers Newly uncovered documents show that as early as 2006, the Department of Homeland Security has been planning pilot programs to deploy mobile scanning units that can be set up at public events and in train stations, along with mobile x-ray vans capable of scanning pedestrians on city streets.

Oil surges after Libya airstrike near oil terminal Oil prices jumped to near 2-1/2 year highs on Wednesday after an airstrike near Libya’s oil infrastructure kept the market braced for a prolonged disruption from the OPEC nation and worried unrest might spread to other regional producers.

TSA Criminality Epidemic: “Behavioral Detection” Officer Faces Charges Of Helping Drug Dealers Through Security Yet another TSA officer has been arrested on suspicion of abusing her position and engaging in illegal activity, adding to a long history of cases indicating that TSA workers are prone to criminal behavior.

The Perfidy of Government: Evidence v. Denial Paul Craig Roberts | America is dissolving.

New Hampshire Moves to Criminalize TSA Grope-down Procedures Kurt Nimmo | Lawmakers argue TSA goons should be placed on sex offender registry.

World cheers as the CIA plunges Libya into chaos David Rothscum | Gaddafi is the main threat to US hegemony in Africa.

Blair cronies supported Gaddafi for his millions Mail Online | ‘Useful idiots’ was how mass murderer Stalin dubbed left-wing academics who enthusiastically endorsed Communism.

Russia Warns on Libyan Intervention Mail Online | Russia’s top diplomat has today dismissed plans to create a no-fly zone over Libya.

Farrakhan: Jews Are Pushing the US Into War Nation of Islam leader Louis Farrakhan said Jews and Zionists are “trying to push the US into war” and are a cover for Satan, at the group’s annual meeting near Chicago on Tuesday.

More Than 140,000 People Flee Libya The United Nations refugee agency says over the past 10 days, more than 140,000 people have fled to Egypt and Tunisia from Libya. The UNHCR says tens of thousands of people are stuck at the borders and in urgent need of help.

“The Financial Industry Has Become So Politically Powerful That It Is Able To Inhibit the Normal Process of Justice And Law Enforcement” The economy cannot stabilize unless fraud is prosecuted. But the folks in D.C. seem determined to turn a blind eye to Wall Street shenanigans, and is now moving to defund the enforcement agencies like the SEC and CFTC. Market Crash 2011: It Will Hit by Christmas Farrell, MarketWatch SAN LUIS OBISPO, Calif. (MarketWatch) — ‘Politicians lie. Bankers lie. Yes, they’re liars. But they’re not bad, it’s in their genes, inherited. Their brains are wired that way, warn scientists. Like addicts, they can’t help themselves. They want to sell stuff, get rich…’

‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b*** s*** ………all of the above, some of the above ……….. or is it something else …… here’s a hint - UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ US v. AZ... Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

Wobama says daffy gaddafi’s time is up, got to go. The same can be said of wobama et als and his fraudulently failed presidency. Sheen On Obama: “A Coward In a Cheap Suit” [ I think Sheen to be too gentle in his criticism of wobama (Some might reflexively, defensively allege drugs (prescription or otherwise) or any number of the varied personality disorders so prevalent in america … ‘fuzzy, California laid back thinking’, ‘whatever’… Who knows? ) But, that said, wobama’s far worse than just a ‘coward in a cheap suit’. Indeed, Wobama’s a total fraud having been elected under false pretenses; viz., his total, unequivocal, and unfulfilled b* s* (those campaign promises) ! Moreover, there has been some persuasive documentation questioning wobama’s citizenship / birthplace placing his eligibility to even hold the office of president in question. Drudgereport:`UPDATE: Huckabee claims Obama grew up in Kenya...` The Obama Nation, by Jerome Corsi Rezko was corrupt, and supported Obama in many campaigns as well as in Obama buying his home -- and therefore, according to Corsi, Obama is corrupt by ...www.ontheissues.org/Obama_Nation.htm ] Amidst the controversy of his wild interview on the Alex Jones Show yesterday, actor Charlie Sheen wasted little time in confronting President Barack Obama on his failure to answer Sheen’s twenty questions concerning 9/11, calling Obama, “a coward in a cheap suit.” A Government Shut-down Imperils the Power of Congress Paul Craig Roberts | Congress could try to protect its loss of the power of the purse by impeaching Obama. Drudgereport: `WOBAMA 'IMPEACHMENT' WARNING...` `...to announce exploratory committee 'in 10 days'` Globalist Shill Barack Obama Asks Business Leaders For Job Creation Ideas Even As He Ships More Of Our Jobs Overseas As Part Of The New One World Economy The other day, Barack Obama summoned a group of business and labor leaders to the White House and “challenged” them to come up with some great ideas for creating more jobs inside the United States.

Public confidence in Obama reaches new low (Washington Post). Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’: Public confidence in Obama reaches new low (Washington Post) Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’:

But still it’s ‘hands off fraudulent wall street’ to theirs, the nation’s, and the world’s detriment. Firms subpoenaed in attempt to regain Fannie, Freddie losses (Washington Post). But there’s a reason:

The following youtube video is well worth the look and explains how and why the frauds on wall street have gotten away with their devastating fraud thus far. The frauds on wall street et als should be criminally prosecuted, jailed, fined, and disgorgement imposed. ( `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ):

‘THE OBAMA DECEPTION’ http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 – well worth a look. [ The Obama Deception Number 1 on U.S. Google Trends ]

While boner and barton are indeed jokes / vegetables that bespeak the single-digit approval rate for congress, obama’s failure to deliver on promises with as well, endless war spending despite defacto bankruptcy of the nation and a watered down nothing financial regulation bill for talking points but little substance, make him as big a joker. This well researched / produced video tells the real story : http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 ‘THE OBAMA DECEPTION’ – well worth the view. [ The Obama Deception Number 1 on U.S. Google Trends ]

Then there is the well researched, produced, and informative ‘ESOTERIC AGENDA’ which explains how we’ve gotten to this forlorn point: http://video.google.com/videoplay?docid=-7052400717834950257# For the Same Reason I’ve Included Here a Web Site Archived FLV Version of Esoteric Agenda http://albertpeia.com/esotericagenda.flv

October 15, 2010 (*see infra)

Steven M. Martinez, Assistant Director In Charge
Federal Bureau of Investigation, USDOJ
11000 Wilshire Blvd., Suite 1700

Los Angeles, CA 90024

Dear Sir:

A judgment had been entered in my favor in the case, United States District Court Case #3:93cv02065(AWT)(USDCJ Alvin Thompson), worth approximately now in excess of $300,000 remains unaccounted for and which could be used for payment to creditors, Los Angeles, etc..
Counsel Robert Sullivan on my behalf documented by way of certification upon investigation that Alan Shiff, USBCJ, had falsely stated a dismissal upon which false statement he predicated a retaliatory and spurious contempt proceeding against me causing substantial damage, and for which he sought Judicial Notice of those and related proceedings as did I in some of my filings.
The Order of Dismissal With Prejudice by Alan Shiff, USBCJ, owing to Defendant Coan’s failure to file anything whatsoever by the court’s deadline causing creditors and me substantial damages: [ Shiff Order of Dismissal With Prejudice on Coan’s Failure to File Page 1 Page 2 ]
Defendant Coan had filed an action against me to prevent me from suing him which necessitated me to fly to Connecticut for a hearing before The Honorable Robert N. Chatigny, Chief Judge, USDC, District of Connecticut, who denied Coan’s requested relief as to Coan but precluded my action against Shiff (although there is no immunity, judicial or otherwise, for criminal acts, ie., fraud connected with a case under Title 11, USC, etc.) . [ transcript in pertinent part - crossexamofcoanbypeia.pdf ]
Newly appointed judge, Maryanne Trump Barry, Donald Trump’s sister, was assigned the RICO case despite the conflict of interest in light of hundreds of thousands of dollars of illegal (drug) money being laundered through the Trump casinos by the RICO defendants, and despite my motion to recuse her which motion she heard herself and denied, and U.S. Trustee Hugh Leonard with whom I met personally refused to join or file a separate motion to recuse and not long thereafter left said office for private practice at Cole, Shotz, et als on retainer with the RICO defendants as his primary client.
Probative and evidentiary documents, affidavits, exhibits, including those turned over to FBI Agent Jeff Hayes in Long Beach, CA, had been given to Assistant U.S. Attorney Jonathan Lacey with whom I met personally at the U.S. Attorney’s Office in Newark, N.J., at which time Samuel Alito was U.S. Attorney, and went over said documents and their probative value with him. Within approximately a month thereafter upon inquiry I was told that Jonathon Lacey was no longer with the office, that the file/documents could not be located, and that there was no further information available concerning contacting him or his location. I thereupon delivered by hand, copies of said documents to the office of then U.S. Attorney Alito, addressed to him, with assurance they would go directly to him. In addition to being inept [ I looked in on the one mob case he had brought, bungled, lost (accidently on purpose?) since I was suing some mob-connected under RICO and the court (I had known / previously met outside of court the judge Ackerman through a client) was absolute bedlam and a total joke since incompetent corrupt Alito brought in all 20 mob defendants (rather than prosecute one or a few to flip them first) who feigning illness had beds/cots in the courtroom along with their moans during testimony and had the jury in stitches. As much as I hate the mob, it truly was funny, if not so tragic.], Alito is also corrupt (and maybe corrupt because he is inept). After a reasonable (but still rather short) time I called to determine the status and was told that Alito was no longer with the Office of the U.S. Attorney, that he was (appointed) a federal judge, and that neither the documents nor any file or record of same could be located. Alito did parley the same / cover-up into quid pro quo direct lifetime appointment to the Court of Appeals, 3^rd circuit, despite the absence of judicial experience or successful tenure as U.S. Attorney (Maryanne Trump Barry as well). This is the same Sam Alito that now sits on the purported highest court in the land. The real application of the illegal rule ‘don’t ask, don’t tell’.

Sincerely,

Albert L. Peia

611 E. 5^th Street, #404

Los Angeles, CA 90013

(213) 219-**** (cell phone)

] Group of law professors' appeal comes after controversies involving travel and appearances at political events by several justices.

The TV Column: Charlie Sheen keeps talking; CBS gets in on the conversation (Washington Post) [Wobama says daffy gaddafi’s time is up, got to go. The same can be said of wobama et als and his fraudulently failed presidency. Sheen On Obama: “A Coward In a Cheap Suit” [ I think Sheen to be too gentle in his criticism of wobama (Some might reflexively, defensively allege drugs (prescription or otherwise) or any number of the varied personality disorders so prevalent in america … ‘fuzzy, California laid back thinking’, ‘whatever’… Who knows? ) But, that said, wobama’s far worse than just a ‘coward in a cheap suit’. Indeed, Wobama’s a total fraud having been elected under false pretenses; viz., his total, unequivocal, and unfulfilled b* s* (those campaign promises) ! Moreover, there has been some persuasive documentation questioning wobama’s citizenship / birthplace placing his eligibility to even hold the office of president in question. Drudgereport:`UPDATE: Huckabee claims Obama grew up in Kenya...` The Obama Nation, by Jerome Corsi Rezko was corrupt, and supported Obama in many campaigns as well as in Obama buying his home -- and therefore, according to Corsi, Obama is corrupt by ...www.ontheissues.org/Obama_Nation.htm ] Amidst the controversy of his wild interview on the Alex Jones Show yesterday, actor Charlie Sheen wasted little time in confronting President Barack Obama on his failure to answer Sheen’s twenty questions concerning 9/11, calling Obama, “a coward in a cheap suit.” A Government Shut-down Imperils the Power of Congress Paul Craig Roberts | Congress could try to protect its loss of the power of the purse by impeaching Obama. Drudgereport: `WOBAMA 'IMPEACHMENT' WARNING...` `...to announce exploratory committee 'in 10 days'` Globalist Shill Barack Obama Asks Business Leaders For Job Creation Ideas Even As He Ships More Of Our Jobs Overseas As Part Of The New One World Economy The other day, Barack Obama summoned a group of business and labor leaders to the White House and “challenged” them to come up with some great ideas for creating more jobs inside the United States. Public confidence in Obama reaches new low (Washington Post). Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’: Public confidence in Obama reaches new low (Washington Post) Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’:

But still it’s ‘hands off fraudulent wall street’ to theirs, the nation’s, and the world’s detriment. Firms subpoenaed in attempt to regain Fannie, Freddie losses (Washington Post). But there’s a reason:

The following youtube video is well worth the look and explains how and why the frauds on wall street have gotten away with their devastating fraud thus far. The frauds on wall street et als should be criminally prosecuted, jailed, fined, and disgorgement imposed. ( `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ):

‘THE OBAMA DECEPTION’ http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 – well worth a look. [ The Obama Deception Number 1 on U.S. Google Trends ]

While boner and barton are indeed jokes / vegetables that bespeak the single-digit approval rate for congress, obama’s failure to deliver on promises with as well, endless war spending despite defacto bankruptcy of the nation and a watered down nothing financial regulation bill for talking points but little substance, make him as big a joker. This well researched / produced video tells the real story : http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 ‘THE OBAMA DECEPTION’ – well worth the view. [ The Obama Deception Number 1 on U.S. Google Trends ]

Then there is the well researched, produced, and informative ‘ESOTERIC AGENDA’ which explains how we’ve gotten to this forlorn point: http://video.google.com/videoplay?docid=-7052400717834950257# For the Same Reason I’ve Included Here a Web Site Archived FLV Version of Esoteric Agenda http://albertpeia.com/esotericagenda.flv

Cohen: Time for Arabs to reject anti-semitism (Washington Post) [ Reality check … time for israelis / jews to reject zionism and all that is entailed therein, including an alternate reality that defies credulity, rationality, and facts; such as, a self-rationalizing greed, anti-arab / anti-Christian predisposition and the ‘Oedipal Effect’ (blowback) engendered thereby. No, Johnny Carson was not anti-semitic (Fred Silverman), same for Charlie Sheen (Chuck Lorre), etc. (the list is endless inasmuch as when facts are not on their side, such specious inflammatory arguments as ‘anti-semitism’, prejudice, are a convenient subterfuge distracting from their weak position; ie., illegal nukes, war crimes, ignoring u.n. resolutions, ie., 242, 338, etc., ignoring international law. At best, no … God did not give them this land … at worst, God took the land back when they with roman muscle crucified Christ. Balfour was an arbitrary, incompetent, british joke.). ] ] Article | Tuesday will be known as the day we heard from The Receiving End of Charlie Sheen's Scorched Earth Media Tour.

Bernanke: Fed will respond if oil prices trigger inflation (Washington Post) [ If? Come on … don’t make me laugh! … Merk ‘…While we believe food inflation will be with us for quite some time and may contribute to an unstable world possibly for years to come, the Federal Reserve appears to be firmly in the camp of heavily discounting food inflation. The European Central Bank (ECB), in contrast, has historically taken commodity inflation more seriously than the Fed – ECB President Trichet talks about his concern over "second round effects," i.e., commodity inflation stirring inflation throughout the value chain.

It doesn’t really matter whether we think there is a crisis. What matters is that the Fed doesn’t think its policies are contributing to global instability and continues on its expansionary path. After all, the banks continue to sit on their money and as such, the economy is certainly not in overdrive. With the exception of social instability spreading globally, the Fed may be very much on course:

Bernanke may want a weaker dollar. Unlike his predecessor, Bernanke embraces the U.S. dollar as a monetary policy tool to boost economic growth.
Bernanke wants higher inflation. Having explicitly called for higher inflation since last August, he has since praised the progress the market has made in pricing higher than inflation expectations. The challenge with raising inflation expectations is not only that it may be difficult to lower those expectations later but that it is difficult to control where that inflation appears. Bernanke, in our assessment, needs to get home price to rise and is willing to put up with rising prices in other areas.
We often focus on housing as a reason the Fed wants to boost growth, but we can also focus on WalMart (WMT): in the 13 weeks that ended 1/29/2010, WalMart’s sales declined 1.2%. Keep in mind that unlike government statistics, WalMart’s sales are not inflation adjusted. Also keep in mind that WalMart has been expanding its produce section in recent years; the section very much exposed to food inflation. As a result, on a real basis, sales have had rather substantial declines. Given that WalMart’s sales comprise more than 10% of total U.S. retail sales, we don’t believe there is such a thing as "company specific" problems; WalMart’s problems are those of the U.S. economy.

In contrast, the rest of the world is taking steps to stem inflationary pressures. Russia is the latest country to raise interest rates, following countries ranging from Sweden to Norway, Canada to Australia and Korea to China. In the Eurozone, the pairing down of some emergency facilities (leading to a draining of liquidity; a form of monetary tightening) and recent hawkish talk suggest interest rates may be raised later this year.

This discussion should clarify that it is perfectly possible for the world to be in turmoil without the U.S. dollar being a beneficiary. The focus of this analysis was the perceived status of the U.S. dollar as a safe haven, as well as implications of food inflation; a small, but important sliver affecting the U.S. dollar.’

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

] House Republicans ramp up pressure on SEC Chairman Mary Schapiro.

US tightens military grip on Gaddafi The Guardian | The west is edging towards a possible military confrontation with Muammar Gaddafi’s regime.

Obama Encircles US War Machine Around Libya Paul Joseph Watson | Administration readies to exploit humanitarian crisis to control Africa’s largest oil producer.

[ (2-26-11) Let me state for the record here that my computer has been under constant viral, hack attack, paralleling prior such foolish, paranoid actions and let me reiterate: They will be sorry and I won’t forget it! ]

March 2011 Economic Forecast: GDP Is Disconnected From the Real Economy - Hansen ‘Last week, the second estimate of 4Q2010 Gross Domestic Product (GDP) was issued. It showed a rather paltry 2.8% economic growth.

The way GDP is designed – it is not a true measure of an advanced economy. It is designed to measure economic growth of an emerging economy. An advanced economy’s growth cannot be measured necessarily by measurements of brick and mortar or investment.

This kind of approach also leaves open too many questions relative to population growth and methodology in determining change in dollar value (analysis here).

The question really is a definition of an economy. My colleague Derryl put it succinctly in "Profits for a Few Can Not Replace Real Jobs:"

"The people" need to work to earn a living. That’s called "having an economy."

An economy is the sum of trading work and goods between all the people. Modern economies use money for this trade. GDP measures the "productive" use of money. GDP measures less than half of all money flows. Econintersect believes GDP does not properly measure "productive" use of money.

Economists are saying the economy has fully recovered from the Great Recession – yet Main Street remains in a depression. The reason comes from GDP itself. Simply isolating the goods and services Joe Sixpack from GDP, the economy is no where near recovered.

[chart]

(Click to enlarge)

You see, GDP takes credit for exports and debits imports. Yet Joe Sixpack is trading what he earns for products and services. To see the economy of Joe Sixpack, you have to look at the sum of what he is trading.

[chart]

(Click to enlarge)

Go back and review the economic forecasts Econintersect made for October, November and December. We predicted the real economy – the economy of Joe Sixpack was stalling.

Econintersect uses a forward looking economic indicator which uses non-monetary pulse points that have a general – not specific correlation with Gross Domestic Product. These pulse points are geared to anticipate consumer and industrial income / spending for 30 to 60 days after the indicator is issued.

Econintersect counts units of things other then money – and is specifically designed to measure Main Street and Joe Sixpack’s world.

March 2011 Economic Forecast

The "real" economy – the economy of Joe Sixpack continues to expand. The strength of this growth is considered moderate with positive underlying trend lines. Putting this into perspective – the economy is likely improving on a per capita basis.

[chart]

(Click to enlarge)

There are "buts" to this forecast.

In last month’s forecast, we warned of a black swan possibility of an economic reversal due to the start of unrest in oil producing countries. This is no longer a black swan – but a known event underway – and seemingly now priced in to the economy.
Econintersect is unable to forecast employment levels using this methodology. There is little correlation between the Econintersect Economic Index (EEI) and employment since the beginning of the Great Recession.

The EEI has improved from +0.25 to +0.55.

[chart]

(Click to enlarge)

One major component of the EEI is transport related. Econintersect considers transport (truck, rail and sea container) counts a primary economic pulse point – and its trend represents underlying economic pressure.

This month, the transport portion of the EEI index continued its upward trend. This portion of the index is quite noisy as it quantifies the month-over-month (MoM) change (positive numbers indicate seasonally adjusted MoM growth, negative numbers represent seasonally adjusted MoM contraction).

[chart]

To Econintersect, transports represent the pulse of the real economy – the economy of Joe Sixpack. All of our man made surroundings, the clothes we wear and the food we eat are moved several times by transport during their processing/delivery cycles. A growing economy consumes more (and therefore transports more), a contracting economy consumes less.

Last month, we mentioned in passing – that there was anecdotal evidence that the transport sector of the index was weakening. Hard data over the last 30 days has been entirely contradictory to this.

For a complete explanation of the EEI, please see the October 2010 forecast.

Disasters Rocking the U.S. Dollar? Merk ‘From earthquakes in New Zealand to revolutions in the Middle East, natural and man-made disasters are rocking the world. We are all too often made to believe that in times of crisis there’s a flight to the U.S. dollar. However, the U.S. dollar has instead had a rocky ride of its own thus allowing the crisis-ridden Eurozone to shine. What’s going on? Is there no crisis, or has the U.S. dollar lost its appeal as a safe haven?

Over longer periods there is little correlation between the U.S. dollar and other assets. In the past two years, however, a mentality has arisen that whenever there is a crisis the U.S. dollar benefits; as the crisis abates money flows out of the U.S. dollar and once again into currencies and markets overseas that may be deemed riskier. That may well be a skewed pendulum, however, as the U.S. dollar may have a more difficult time attracting money at each subsequent crisis. Firstly, the U.S. is simply better at spending and printing money than the rest of the world; causing the balance sheet of the U.S. to deteriorate at a faster pace than that of the rest of the world. And secondly, policy makers around the world are addressing whatever the cause of the crisis may have been i.e., the "trillion-dollar" backstop provided in the Eurozone to support weaker countries. One can argue how effective such measures are, but generally speaking, the region may be safer than before measures were taken; not safe, but "safer," meaning less money may flee back to the U.S. dollar the next time a crisis flares up.

But maybe there is no crisis? Saudi Arabia may make up for any shortfall of lost Libyan oil production and Egypt and Tunisia don’t affect U.S. markets anyway. The argument we heard in early phases of the sub-prime crisis was "it’s all contained". Intelligent people in both Libya and abroad did not think the Egyptian turmoil would swamp over to Libya. After all, the standard of living – and with it, presumably social stability - in Libya is higher due to wealth created by oil. For now, the extreme volatility in the oil markets suggests that market participants beg to differ as to how all of this unfolds. If anything, that is a healthy process; it’s when everyone agrees that bubbles are created.[picture]

To understand the dynamics unfolding we have to dig a little deeper into the "it’s all contained" argument. People don’t like autocratic rule but we have argued that people may put up with oppression as long as they can feed themselves. Escalating food prices may be a key reason revolts and revolutions are happening now. (See also our analysis of Politics of Inflation.) However, U.S. policy makers generally disregard food inflation for a couple of reasons:

The U.S. economy is not very dependent on food. Yes, people need to eat but only a small portion of disposable income is spent on food in the U.S.
Food inflation in the rest of the world is really the problem of the rest of the world. Federal Reserve (Fed) Chairman Bernanke, when pressured on whether U.S. monetary policy exports inflation to the rest of the world, has argued that other countries have plenty of tools at their disposal to address inflationary pressures there. That is correct but in the absence of foreign policy makers heeding Bernanke’s advice, the world is less stable; $100 oil is a reminder that global instability does come home to roost.
Food inflation is temporary. There is a widely held belief that food inflation is due to special factors such as a plethora of bad crops throughout the world. However, the Financial Times writes: "The World faces a protracted bout of extremely high food prices, the US government has warned, overwhelming farmers’ ability to cool commodity markets by planting millions of additional hectares with crops."
Not only can farmers plant more, they can also farm more efficiently. Developing countries, over time, may greatly enhance the productivity of their farmland. That is correct, but let’s not forget that as the standard of living is rising in the developing world, there’s a shift towards a more protein based diet. A lot of corn will be needed to feed the cattle to produce the meat to satisfy demand.
Acknowledging these drivers, it’s still a question of whether we are merely seeing a bout of inflation, i.e. a reset of the price level or an era of continuously rising food prices. Even with little agreement on where we are headed in the medium term, most would agree that there is no such thing as continuity in agricultural commodity prices. As an example, Bloomberg reports that wheat prices fell 8.6% from February 18 until February 25.

While we believe food inflation will be with us for quite some time and may contribute to an unstable world possibly for years to come, the Federal Reserve appears to be firmly in the camp of heavily discounting food inflation. The European Central Bank (ECB), in contrast, has historically taken commodity inflation more seriously than the Fed – ECB President Trichet talks about his concern over "second round effects," i.e., commodity inflation stirring inflation throughout the value chain.

Bernanke may want a weaker dollar. Unlike his predecessor, Bernanke embraces the U.S. dollar as a monetary policy tool to boost economic growth.
Bernanke wants higher inflation. Having explicitly called for higher inflation since last August, he has since praised the progress the market has made in pricing higher than inflation expectations. The challenge with raising inflation expectations is not only that it may be difficult to lower those expectations later but that it is difficult to control where that inflation appears. Bernanke, in our assessment, needs to get home price to rise and is willing to put up with rising prices in other areas.
We often focus on housing as a reason the Fed wants to boost growth, but we can also focus on WalMart (WMT): in the 13 weeks that ended 1/29/2010, WalMart’s sales declined 1.2%. Keep in mind that unlike government statistics, WalMart’s sales are not inflation adjusted. Also keep in mind that WalMart has been expanding its produce section in recent years; the section very much exposed to food inflation. As a result, on a real basis, sales have had rather substantial declines. Given that WalMart’s sales comprise more than 10% of total U.S. retail sales, we don’t believe there is such a thing as "company specific" problems; WalMart’s problems are those of the U.S. economy.

Post Meltdown Economy Looks More Like a Pre Meltdown Economy Maierhofer ‘Based purely on the stock market, the economy should be rockin' and rollin' but while the market's performance has been stellar, the economy is flat.

Will stocks catch up with the economy or the economy with stocks?

Just how strong is the market? The SPDR S&P MidCap 400 ETF (NYSEArca: MDY - News) is trading at an all-time high, the Nasdaq-100 (Nasdaq: QQQQ - News) has surpassed its 2007 watermark, the Russell 2000 (NYSEArca: IWM - News) is closing in on its all-time high, the S&P 500 (SNP: ^GSPC) has doubled since March 2009, and the Dow (DJI: ^DJI) is viewed as the ultra safe haven in a world of turmoil.

How strong is the economy? Real estate (NYSEArca: IYR - News), the biggest wealth builder/destroyer in the country is still weak. The Standard & Poor's Case-Shiller Home Price Index has dropped to the lowest level in nearly a decade. As the Home Price Index has fallen below March 2009 levels, residential REIT stocks (NYSEArca: REZ - News) have nearly tripled since then.

Another huge contributor to a healthy economy - unemployment - shows signs of improvements at a peripheral glance but continues to lag significantly if examined beyond the rosy headline numbers. To wit, if it wasn't for the labor force sliding to a near 30-year low, the headline unemployment number would be around 12% while the real unemployment would be around 20%.

Based on a 11-line surface analysis, stocks and the economy are out of sync. To see whether stocks will catch up with the economy or vice versa, we'll need to slice beneath the service and examine the very foundation of our economy.

Multi-decade Economic Trend

Unnoticed by Wall Street, the economy has been shifting gears, and has gone from acceleration mode to coasting mode. How so?

A few decades ago, sweat-trenched U.S. manufacturing facilities were the most fertile, growth-producing environment on the planet. This growth was fueled by 'Made in America' products. The growth was organic and it was real.

When taking a closer look at the economy over the past 70 years, we see two distinct growth periods. Phase 1 lasted from 1947 - 1966 and phase 2 stretched from 1975 - 2000.

Throughout phase 1, GDP averaged 4.18% while unemployment was low. GDP during phase 2 averaged 3.40% with unemployment inching up. [chart]

GE, a company that endured though both phases, provides important clues about the difference between both phases. Up until the end of phase 1, GE was known for manufacturing quality products like light bulbs, refrigerators, jet engines, and aircraft super chargers. GE's slogan was 'We bring good things to life.'

In the second phase, GE ventured into television and high finance. GE Capital, GE Commercial Finance, GE Money, GE Consumer Finance and NBC Universal contributed an ever-growing slice of GE's profit pie.

GE's focus shifted from manufacturing to financial engineering. If GE didn't build a product it would finance the consumer's purchase of a competitor's product. It was just appropriate that GE's slogan was changed to 'Imagination at work.'

The 'New Normal' - New but not Normal

The concept of making money by using money, encouraged by the Fed's interest rate policy, lacked substance and sustainability. The 2000 tech (NYSEArca: XLK - News) crash was more pronounced than what we've seen from the decades before. The real estate boom was as gigantic as its subsequent bust.

The post-2007 financial crisis further highlighted the dangers of an economy low on manufacturing but rich on leverage, accounting tricks, and financial engineering. No wonder the average GDP for the 2001 - 2010 period - dubbed the lost decade - dropped to 1.71%.

But amnesia or selective memory loss, usually triggered by rising prices, is not new to investors. The more stocks rally, the more excited investors become, the more dangerous the stock market gets.

Building an Air Castle?

The post meltdown economy has become a launching pad for the new economy and new key players. Facebook and Twitter are Wall Street's new darlings. Investors can't wait to get their hands on the upcoming IPOs.

According to Wall Street valuations, Facebook is worth as much as Home Depot or Boeing. Home Depot employs 306,000 workers, Boeing 154,000. Facebook sends paychecks to about 1,000 lucky individuals.

A happy go lucky investor looks at the new economy and says 'Wow, that's just marvelous.' A skeptical mind looks at it and wonders 'How long before that blows up in my face?'

Simple Math

As the economy is weakening, the Fed's role in providing sufficient liquidity to keep a faux system running is ever increasing. Stock market tops and bottoms have become more extreme, and the boom-bust cycle is shorter than ever before.

An 80-year trend line that has contained the Dow Jones for much of the 20th century provides an interesting technical reference to this discussion. On February 18, the ETF Profit Strategy Newsletter highlighted this trend line, which runs through Dow 12,400.

Interestingly that very day, the Dow rallied to 12,391 before reversing 300 points lower. Perhaps the tug of war between the economy and stock market has entered a pivotal juncture.

Bullish investors will quote the third presidential election year, a willing Federal Reserve, positive momentum, and cash on the sidelines as reasons for higher stock prices.

Bearish investors can point to extreme sentiment readings, bearish divergences, valuations, and bad fundamentals as culprits for lower prices ahead.

Slice & Dice but Watch your Finger

However you slice and dice it, the market is treacherous and can make you rich or strip you of your wealth faster than at any other time in history.

One way to limit risk and maximize opportunity is to pay attention to trend lines such as the one mentioned above. The market draws trend lines and creates important support and resistance levels. If the market speaks, it behooves us to listen.

A break below support is as bearish as a thrust above resistance is bullish. Being unaware of crucial support/resistance level is like driving down a busy road without paying attention to red or green traffic lights.’

Stocks Close at Day's Lows - Midnight Trader ‘4:36 PM, Mar 1, 2011 --

NYSE down 122.70 (-1.5%) to 8,315.85
DJIA down 168.40 (-1.4%) to 12,058
S&P 500 down 20.9 (-1.6%) to 1,306
Nasdaq down 44.86 (-1.6%) to 2,737

Bernanke Cautious on Economic Growth as Oil Prices Rise New York Times | Fed chief again defended the Fed’s large and unprecedented stimulus program.

Prepare for an Economic Meltdown Matt Towery | For a truly troublesome economic cocktail, throw in the instability in the Arab world.

Bernanke warns on oil price ‘threat’ Federal Reserve chairman Ben Bernanke on Tuesday warned a “sustained” rise in oil prices could threaten US growth and spark dangerous price rises, as he eyed turmoil in Libya.

CNBC On The Case For $130 Silver Nothing new for regulars here. Yet the fact that CNBC, following Cramer’s endorsement of gold, is now apparently pushing silver on retail is very troubling.

China’s holdings of US debt larger than reported China’s holdings of US bonds reached $1.16 trillion at the end of December, almost $270 billion more than previously estimated, new data showed Monday.

Greenback Armageddon Ahead? Why the dollar is about to crash, with Damon Vickers, Nine Points Capital Management founder, and “The Day After Dollar Crash” author.

Government Promises to Cut Social Security It’s official, national austerity measures are here.

Politicians Slash Budget of Watchdog Agencies … Guaranteeing that Financial Fraud Won’t Be Investigated or Prosecuted As I noted last year, you can tell how interested Congress and the White House are in uncovering the truth by looking at how much money is actually budgeted for investigation.

Will banksters get away with it? Aljazeera | Why have the unions and leftist groups been mostly silent on these issues?

The REAL Unemployment Rate Is 22% The Daily Bail | It remains above 22% with the February update.

ECONOMIC CRISIS ARCHIVE

National / World

Gold Hits New High as Tension Mounts in Middle East Kurt Nimmo | Once again, gold serves as a solid refuge for jittery investors.

Aussies Ready to Roll Out Deep Penetrating Radiation Scanners at Airports Steve Watson | Trials begin for devices that can scan your insides, deep penetrating radiation scans cause 15,000 deaths per year.

Documentary exposes fluoride truth: Industrial waste passed off as medicine Mike Adams | Water fluoridation around the world is achieved through the purchase of chemically contaminated toxic waste chemicals from China.

TSA Lies To Justify Illegal Train Station Grope-Down Paul Joseph Watson | Passengers were forced to enter train station by TSA goons who swarmed them on platform.

Will ‘Chindia’ Rule the World in 2050, or America After All? [ I include this only because it’s by Evans-Pritchard in light of his prior forthrightness in reporting what he saw (clinton years, financial crisis pre-blowout, etc.). But Citigroup and HSBC? Hardly the pictures of Nostradamus gone corporate given their track records. Even Evans-Pritchard is out of his league here since 2050 is so optimistically close to the end (remember, decades at best), that such really matters very little. Disclosure: I haven’t and don’t need to read the article. ] Ambrose Evans-Pritchard | Citigroup and HSBC have come up with radically different pictures of what the world will look like in 2050.

Gaddafi loyalists fail to retake territory in six-hour battle with rebels Libyan soldiers and paramilitaries loyal to Moammar Gaddafi attempted Tuesday to retake territory that has been seized by rebels, but neither side appeared to gain ground, according to accounts of the fighting from residents and officials with the opposition movement.

Report: US Special Forces Arrive In Libya US Special Forces have reportedly landed in Libya to train anti-Gaddafi rebels as a western-backed coup d’état in the oil-rich nation nears, with British and French “defense advisors” also arriving to set up training bases in the rebel-controlled eastern region of the country.

October 15, 2010 (*see infra)

Steven M. Martinez, Assistant Director In Charge
Federal Bureau of Investigation, USDOJ
11000 Wilshire Blvd., Suite 1700

Los Angeles, CA 90024

Dear Sir:

A judgment had been entered in my favor in the case, United States District Court Case #3:93cv02065(AWT)(USDCJ Alvin Thompson), worth approximately now in excess of $300,000 remains unaccounted for and which could be used for payment to creditors, Los Angeles, etc..
Counsel Robert Sullivan on my behalf documented by way of certification upon investigation that Alan Shiff, USBCJ, had falsely stated a dismissal upon which false statement he predicated a retaliatory and spurious contempt proceeding against me causing substantial damage, and for which he sought Judicial Notice of those and related proceedings as did I in some of my filings.
The Order of Dismissal With Prejudice by Alan Shiff, USBCJ, owing to Defendant Coan’s failure to file anything whatsoever by the court’s deadline causing creditors and me substantial damages: [ Shiff Order of Dismissal With Prejudice on Coan’s Failure to File Page 1 Page 2 ]
Defendant Coan had filed an action against me to prevent me from suing him which necessitated me to fly to Connecticut for a hearing before The Honorable Robert N. Chatigny, Chief Judge, USDC, District of Connecticut, who denied Coan’s requested relief as to Coan but precluded my action against Shiff (although there is no immunity, judicial or otherwise, for criminal acts, ie., fraud connected with a case under Title 11, USC, etc.) . [ transcript in pertinent part - crossexamofcoanbypeia.pdf ]
Newly appointed judge, Maryanne Trump Barry, Donald Trump’s sister, was assigned the RICO case despite the conflict of interest in light of hundreds of thousands of dollars of illegal (drug) money being laundered through the Trump casinos by the RICO defendants, and despite my motion to recuse her which motion she heard herself and denied, and U.S. Trustee Hugh Leonard with whom I met personally refused to join or file a separate motion to recuse and not long thereafter left said office for private practice at Cole, Shotz, et als on retainer with the RICO defendants as his primary client.
Probative and evidentiary documents, affidavits, exhibits, including those turned over to FBI Agent Jeff Hayes in Long Beach, CA, had been given to Assistant U.S. Attorney Jonathan Lacey with whom I met personally at the U.S. Attorney’s Office in Newark, N.J., at which time Samuel Alito was U.S. Attorney, and went over said documents and their probative value with him. Within approximately a month thereafter upon inquiry I was told that Jonathon Lacey was no longer with the office, that the file/documents could not be located, and that there was no further information available concerning contacting him or his location. I thereupon delivered by hand, copies of said documents to the office of then U.S. Attorney Alito, addressed to him, with assurance they would go directly to him. In addition to being inept [ I looked in on the one mob case he had brought, bungled, lost (accidently on purpose?) since I was suing some mob-connected under RICO and the court (I had known / previously met outside of court the judge Ackerman through a client) was absolute bedlam and a total joke since incompetent corrupt Alito brought in all 20 mob defendants (rather than prosecute one or a few to flip them first) who feigning illness had beds/cots in the courtroom along with their moans during testimony and had the jury in stitches. As much as I hate the mob, it truly was funny, if not so tragic.], Alito is also corrupt (and maybe corrupt because he is inept). After a reasonable (but still rather short) time I called to determine the status and was told that Alito was no longer with the Office of the U.S. Attorney, that he was (appointed) a federal judge, and that neither the documents nor any file or record of same could be located. Alito did parley the same / cover-up into quid pro quo direct lifetime appointment to the Court of Appeals, 3^rd circuit, despite the absence of judicial experience or successful tenure as U.S. Attorney (Maryanne Trump Barry as well). This is the same Sam Alito that now sits on the purported highest court in the land. The real application of the illegal rule ‘don’t ask, don’t tell’.

Sincerely,

Albert L. Peia

611 E. 5^th Street, #404

Los Angeles, CA 90013

(213) 219-**** (cell phone)

] Group of law professors' appeal comes after controversies involving travel and appearances at political events by several justices.

Ohio, Wisconsin shine spotlight on new union battle (Washington Post) [ The importance of this article cannot be over-stated in at least its an attempt to highlight, if not distinguish between the roles of unions in the private sector versus the public sector, namely government. While in law school evenings, and working at a law firm during the day, I invariably taught one or two courses per semester (spring, fall, summer) at a local college in predominantly finance, management, insurance, and real estate. I used the Drucker text, case book, materials for management which enabled me to pay close attention to his quite brilliant thoughts, positions as they continued to evolve (as an undergrad we used Drucker, who also was consultant to many major corporations). He was a defender of unions in the private sector, if only to provide an all encompassing, cohesive, unified group with which management could deal. He also talked about the need to apply management principles to and manage non-profit organizations, institutions as, ie., hospitals, schools, etc., and hence by inference, though he didn’t seem to get to it, governments. They specifically needed to be managed for performance, which of course, in his approach required substantial thought in defining mission, goals, objectives, steps in achieving objectives, and measuring achievement or not of objectives, etc.. Moreover, raises, compensation, benefits, pensions were never to be automatic, but rather based upon clearly defined performance, merit, as can be measured. The problem in pervasively corrupt, defacto bankrupt america particulary is that more, regardless of performance had, has become an oftimes integrally political thing determinant of election results. Congress (as well as judiciary, executive branch-excepting law enforcement) has been among the worst offenders from not only the perspective of their own ever increasing pay / benefit / compensation packages despite the nation’s sinking sensation, but as well, their role in keeping in check the abuses, frauds, crimes in the private sector (ie., wall street, ceo excessive comp., etc.) which duty they have egregiously shirked. The bottomline is exactly that; viz., the bottomline. The money’s not there. The nation, state, local governments in america have not been managed for performance and are defacto bankrupt in general therefore. States can’t pay what they don’t have, but there are a lot of those, ie., frauds on wall street, etc., who should be paying first, whatever it takes! ] The divide between government worker unions and their opponents highlights a critical aspect of the evolving labor movement.

Cohen: Time for Arabs to reject anti-semitism (Washington Post) [ Reality check … time for israelis / jews to reject zionism and all that is entailed therein, including an alternate reality that defies credulity, rationality, and facts; such as, a self-rationalizing greed, anti-arab / anti-Christian predisposition and the ‘Oedipal Effect’ (blowback) engendered thereby. No, Johnny Carson was not anti-semitic (Fred Silverman), same for Charlie Sheen (Chuck Lorre), etc. (the list is endless inasmuch as when facts are not on their side, such specious inflammatory arguments as ‘anti-semitism’, prejudice, are a convenient subterfuge distracting from their weak position; ie., illegal nukes, war crimes, ignoring u.n. resolutions, ie., 242, 338, etc., ignoring international law. At best, no … God did not give them this land … at worst, God took the land back when they with roman muscle crucified Christ. Balfour was an arbitrary, incompetent, british joke.). ]

U.S. freezes $30 billion in Libya government assets (Washington Post) [ The lesson for the Libyan people based upon pervasively corrupt, defacto bankrupt war crimes nation america’s desperation is … you better watch that Libyan money closely; after all, look what’s happened to american money in american hands … totally plundered by the opportunist few! ] Action taken by executive order is largest blocking under any U.S. sanctions program ever; Clinton announces efforts to stem humanitarian crisis.

Report: GOP spending plan would cost 700,000 jobs (Washington Post) [ If everyone was so concerned with the reality that pervasively corrupt america is defacto bankrupt, they could could begin with disgorgement of the hundreds of billions in fraudulent gains gotten in their massive fraud by the frauds on wall street by prosecuting same as falsely promised by ‘wobama the b’ (for b* s*) and holder as set forth in Oscar Winner Ferguson’s Documentary, ‘INSIDE JOB’, see immediately hereafter. After all, the nation is bankrupt! Don't cut here (Washington Post) [ If not there … then where? I think people are totally out-of-touch with the reality of america’s dire circumstances and impending collapse on as many levels as a nation could face disaster. Denial? If it were only that simple … Why your local Hospital could soon shut down (Ad) http://www.stansberryresearch.com/pro/1011PSIENDVD/LPSILC43/PR ( The instant video from Stansberry and Associates is so well researched and succinctly presented that I’ve archived same on my website; also, because the facts and views presented comport with the facts and views I’ve presented on my site which not only do I believe to be correct, but are supported by the unequivocal documented facts. This is a must-view, must-see that I strongly recommend! The complete url ( 146 mb – approx. 1 hr. 17 min. ) : http://www.albertpeia.com/stansberrysinvestmentadvisory.flv ) ] Topic A: Advocates make the case for funding their favorite federal programs. [ With what? The nation’s bankrupt: Senate Democrats draft cuts in domestic agency budgets (Washington Post) [ Do these ‘too little, too late’ so-called cuts purport to make the nation ‘less bankrupt’? There’s no such thing … absolutely preposterous! And, Kotlikoff thinks so as well, see immediately hereafter… ] The plan will involve accelerating some of the $33 billion in program terminations and reductions included in Obama's proposed budget for next year. When Pretending Fails to Hide Bankruptcy: Laurence Kotlikoff ( Today in the WashingtonPost.Com ) Laurence Kotlikoff Feb 22, 2011 Feb. 23 (Bloomberg) -- Our country is bankrupt. It’s not bankrupt in 30 years or five years. It’s bankrupt today…’ ] The report offers fresh ammunition to Democrats seeking block the plan, which would slash federal appropriations by $61 billion.

‘INSIDE JOB’ Ferguson wins Oscar for Documentary on the unprosecuted massive extant fraud in the (many) TRILLIONS by the frauds on wall street ( and declares with oscar in hand that not one high level wall street exec has been prosecuted … despite ‘earning’ billiions from the fraud ), the commentator / experts recommend getting rid of the corrupt eric holder ( now what do holder and wobama have in common … is it wall street money ………… is it a proclivity for jive-talking / b*** s*** ………all of the above, some of the above ……….. or is it something else …… here’s a hint - UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE... CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ US v. AZ... Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ) (see this film, I strongly recommend the complete documentary – the following is a preview/summary) http://www.youtube.com/watch?v=ffHFjlqIzKE&feature=related

[Here’s an archived version

http://www.albertpeia.com/insidejob.mp4 [ 65mb ] ]

Wobama says daffy gaddafi’s time is up, got to go. The same can be said of wobama et als and his fraudulently failed presidency. Sheen On Obama: “A Coward In a Cheap Suit” [ I think Sheen to be too gentle in his criticism of wobama (Some might reflexively, defensively allege drugs (prescription or otherwise) or any number of the varied personality disorders so prevalent in america … ‘fuzzy, California laid back thinking’, ‘whatever’… Who knows? ) But, that said, wobama’s far worse than just a ‘coward in a cheap suit’. Indeed, Wobama’s a total fraud having been elected under false pretenses; viz., his total, unequivocal, and unfulfilled b*** s*** (those campaign promises) ! Moreover, there has been some persuasive documentation questioning wobama’s citizenship / birthplace placing his eligibility to even hold the office of president in question. ] Amidst the controversy of his wild interview on the Alex Jones Show yesterday, actor Charlie Sheen wasted little time in confronting President Barack Obama on his failure to answer Sheen’s twenty questions concerning 9/11, calling Obama, “a coward in a cheap suit.” A Government Shut-down Imperils the Power of Congress Paul Craig Roberts | Congress could try to protect its loss of the power of the purse by impeaching Obama. Drudgereport: WOBAMA 'IMPEACHMENT' WARNING... ...to announce exploratory committee 'in 10 days' Globalist Shill Barack Obama Asks Business Leaders For Job Creation Ideas Even As He Ships More Of Our Jobs Overseas As Part Of The New One World Economy The other day, Barack Obama summoned a group of business and labor leaders to the White House and “challenged” them to come up with some great ideas for creating more jobs inside the United States.

Public confidence in Obama reaches new low (Washington Post). Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’: Public confidence in Obama reaches new low (Washington Post) Six in 10 Americans lack faith in Obama and hold lower esteem for members of Congress, according to the latest Washington Post-ABC News poll. Such stats as this tend to typify scenarios as this where you break every significant campaign promise that got you elected, from endless war (ie., Afghanistan, etc.) to not prosecuting the frauds on wall street, and the growing realization of ‘typical’:

But still it’s ‘hands off fraudulent wall street’ to theirs, the nation’s, and the world’s detriment. Firms subpoenaed in attempt to regain Fannie, Freddie losses (Washington Post). But there’s a reason:

The following youtube video is well worth the look and explains how and why the frauds on wall street have gotten away with their devastating fraud thus far. The frauds on wall street et als should be criminally prosecuted, jailed, fined, and disgorgement imposed. ( `UPDATE: MORE CLAIMS OF RACE BIAS AT JUSTICE...` `CIVIL RIGHTS PANEL TO PURSUE FED PROBE IN BLACK PANTHER CASE... ‘`In emotional and personal testimony, an ex-Justice official who quit over the handling of a voter intimidation case against the New Black Panther Party accused his former employer of instructing attorneys in the civil rights division to ignore cases that involve black defendants and white victims ...’ `US v. AZ...` Cases against Wall Street lag despite Holder’s vows to target financial fraud Washington Post | Obama has promised to hold Wall Street accountable for the meltdown. ):

‘THE OBAMA DECEPTION’ http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 – well worth a look. [ The Obama Deception Number 1 on U.S. Google Trends ]

While boner and barton are indeed jokes / vegetables that bespeak the single-digit approval rate for congress, obama’s failure to deliver on promises with as well, endless war spending despite defacto bankruptcy of the nation and a watered down nothing financial regulation bill for talking points but little substance, make him as big a joker. This well researched / produced video tells the real story : http://www.youtube.com/watch?v=eAaQNACwaLw&feature=PlayList&p=2EFAB57B44063742&playnext_from=PL&index=0&playnext=1 ‘THE OBAMA DECEPTION’ – well worth the view. [ The Obama Deception Number 1 on U.S. Google Trends ]

Then there is the well researched, produced, and informative ‘ESOTERIC AGENDA’ which explains how we’ve gotten to this forlorn point: http://video.google.com/videoplay?docid=-7052400717834950257# For the Same Reason I’ve Included Here a Web Site Archived FLV Version of Esoteric Agenda http://albertpeia.com/esotericagenda.flv

October 15, 2010 (*see infra)

Steven M. Martinez, Assistant Director In Charge
Federal Bureau of Investigation, USDOJ
11000 Wilshire Blvd., Suite 1700

Los Angeles, CA 90024

Dear Sir:

A judgment had been entered in my favor in the case, United States District Court Case #3:93cv02065(AWT)(USDCJ Alvin Thompson), worth approximately now in excess of $300,000 remains unaccounted for and which could be used for payment to creditors, Los Angeles, etc..
Counsel Robert Sullivan on my behalf documented by way of certification upon investigation that Alan Shiff, USBCJ, had falsely stated a dismissal upon which false statement he predicated a retaliatory and spurious contempt proceeding against me causing substantial damage, and for which he sought Judicial Notice of those and related proceedings as did I in some of my filings.
The Order of Dismissal With Prejudice by Alan Shiff, USBCJ, owing to Defendant Coan’s failure to file anything whatsoever by the court’s deadline causing creditors and me substantial damages: [ Shiff Order of Dismissal With Prejudice on Coan’s Failure to File Page 1 Page 2 ]
Defendant Coan had filed an action against me to prevent me from suing him which necessitated me to fly to Connecticut for a hearing before The Honorable Robert N. Chatigny, Chief Judge, USDC, District of Connecticut, who denied Coan’s requested relief as to Coan but precluded my action against Shiff (although there is no immunity, judicial or otherwise, for criminal acts, ie., fraud connected with a case under Title 11, USC, etc.) . [ transcript in pertinent part - crossexamofcoanbypeia.pdf ]
Newly appointed judge, Maryanne Trump Barry, Donald Trump’s sister, was assigned the RICO case despite the conflict of interest in light of hundreds of thousands of dollars of illegal (drug) money being laundered through the Trump casinos by the RICO defendants, and despite my motion to recuse her which motion she heard herself and denied, and U.S. Trustee Hugh Leonard with whom I met personally refused to join or file a separate motion to recuse and not long thereafter left said office for private practice at Cole, Shotz, et als on retainer with the RICO defendants as his primary client.
Probative and evidentiary documents, affidavits, exhibits, including those turned over to FBI Agent Jeff Hayes in Long Beach, CA, had been given to Assistant U.S. Attorney Jonathan Lacey with whom I met personally at the U.S. Attorney’s Office in Newark, N.J., at which time Samuel Alito was U.S. Attorney, and went over said documents and their probative value with him. Within approximately a month thereafter upon inquiry I was told that Jonathon Lacey was no longer with the office, that the file/documents could not be located, and that there was no further information available concerning contacting him or his location. I thereupon delivered by hand, copies of said documents to the office of then U.S. Attorney Alito, addressed to him, with assurance they would go directly to him. In addition to being inept [ I looked in on the one mob case he had brought, bungled, lost (accidently on purpose?) since I was suing some mob-connected under RICO and the court (I had known / previously met outside of court the judge Ackerman through a client) was absolute bedlam and a total joke since incompetent corrupt Alito brought in all 20 mob defendants (rather than prosecute one or a few to flip them first) who feigning illness had beds/cots in the courtroom along with their moans during testimony and had the jury in stitches. As much as I hate the mob, it truly was funny, if not so tragic.], Alito is also corrupt (and maybe corrupt because he is inept). After a reasonable (but still rather short) time I called to determine the status and was told that Alito was no longer with the Office of the U.S. Attorney, that he was (appointed) a federal judge, and that neither the documents nor any file or record of same could be located. Alito did parley the same / cover-up into quid pro quo direct lifetime appointment to the Court of Appeals, 3^rd circuit, despite the absence of judicial experience or successful tenure as U.S. Attorney (Maryanne Trump Barry as well). This is the same Sam Alito that now sits on the purported highest court in the land. The real application of the illegal rule ‘don’t ask, don’t tell’.

Sincerely,

Albert L. Peia

611 E. 5^th Street, #404

Los Angeles, CA 90013

(213) 219-**** (cell phone)

] Group of law professors' appeal comes after controversies involving travel and appearances at political events by several justices.

‘The Chicago PMI for February climbed to a 20-year high of 71.2. It had only ben expected to come in at 67.5 after a 68.8 reading in January’. [ Come on! Does anyone take anything coming out chicago capone-land seriously…maybe is the answer if you’re a fool. ]

Market Crash 2011: It Will Hit by Christmas Farrell, MarketWatch SAN LUIS OBISPO, Calif. (MarketWatch) — Politicians lie. Bankers lie. Yes, they’re liars. But they’re not bad, it’s in their genes, inherited. Their brains are wired that way, warn scientists. Like addicts, they can’t help themselves. They want to sell stuff, get rich.

We want to believe they’re telling us the truth. Silly, huh? Both trapped in this eternal “dance of death” controlled by programs hidden deep in our brains, telling us what to do, telling us to ignore facts to the contrary — till it’s too late, till a new crisis crushes all of us.

Dow ends at 2 1/2-year high

Joe Bel Bruno explains why stocks climbed to 21/2-year highs and extended their winning streak to a third consecutive week.

Psychology offers us a powerful lesson: Our collective brain is destined to trigger a crash before Christmas 2011. Why? We’re gullible, keep searching for a truth-teller in a world of liars. And they’re so clever, we let them manipulate us into acting against our best interests.

In fact, behavioral science tells us that bankers and politicians are lying to us 93% of the time. It’s 13 times more likely Wall Street is telling you a lie than the truth. That’s why they win. Why we lose. Because our brains are preprogrammed to cooperate in their con game. Yes, we believe most of their lies.

One of America’s leading behavioral finance gurus, University of Chicago Prof. Richard Thaler, explains: “Think of the human brain as a personal computer with a very slow processor and a memory system that is small and unreliable.” Thaler even admits: “The PC I carry between my ears has more disk failures than I care to think about.” Easy to manipulate.

Eternal love story: Your brain’s in love with Wall Street’s brain

Thaler’s a quant, speaks mostly in cryptic algorithmics. So if you really want to know how Wall Street’s con game works on you, Barry Ritholtz, the financial genius behind “Bailout Nation,” recently summarized it in the Washington Post: “Humans make all the same mistakes, over and over again. It’s how we are wired, the net result of evolution. That flight-or-fight response might have helped your ancestors deal with hungry saber-toothed tigers and territorial Cro Magnons, but it drives investors to make costly emotional decisions.”

Humans have something “akin to brain damage,” says Ritholtz. “To neurophysiologists, who research cognitive functions, the emotionally driven appear to suffer from cognitive deficits that mimic certain types of brain injuries. … Anyone with an intense emotional interest in a subject loses the ability to observe it objectively: You selectively perceive events. You ignore data and facts that disagree with your main philosophy. Even your memory works to fool you, as you selectively retain what you believe in, and subtly mask any memories that might conflict.”

Worse, there’s no cure.

Your brain needs to believe lies; Wall Street loves telling lies

Examples: USA Today headline: “Average Bull is 3.8 years: We’re not at 2 yet.” More upside. Wall Street loves it. The Wall Street Journal: “Stock recovery in high gear … S&P500 now speeding toward its next landmark,” double its March 2009 bottom.

Other lies: Inflation and rate rises won’t push China and America over the edge into a new bear recession. That one’s real popular in Wall Street’s echo chamber. Wall Street also cheers every time cable pundits and journalists repeat their favorite statistic: That stocks rally in the third year of a presidency, often more than 20%. Yes, Wall Street loves those 93% lies.

Biggest lie? Wharton’s perennial bull, Jeremy Siegel, of “Stocks for the Long Run” fame, recently told a TD Ameritrade Institutional Conference, “There’s nothing but upside to come …the next several years are going to be good for stocks.”

Yes, one of Wall Street’s favorite co-conspirators is hypnotizing thousands of our best money managers and advisers into believing the lie that this bull market will roar indefinitely. Worse, they’ll use that message to sell naive investors on buying whatever junk Wall Street is selling.

Get the picture? A little conspiracy begins in your head, a conspiracy between your gullible brain and Wall Street’s con men selling hype, hoopla and happy-talk. Listen and you’ll lose. Warning: This little conspiracy is a retirement killer. Remember: It’s odds-on you’re being lied to. So for a few moments, listen to some highly respected contrarians. They’re short-selling this conspiracy, betting that 2011 will hit headwinds before Christmas, turn a cyclical bull rally into a cyclical bear market.

Our brains never learned 2008’s lessons, will fail again in 2011

Remember, we can’t help it. Our brains are defective, biased, manipulated by unseen forces 93% of the time. So blame all the lies, lying and liars on our brain wiring. A perfect excuse. Sure, political dogma and insatiable greed factor into our bizarre mental equations. But your brain is as susceptible to the “great con” as Ben Bernanke, Henry Paulson, Bernie Madoff.

Go back a few years: The subprime credit meltdown was widely predicted years in advance. For example, back in 2007, the IMF’s Chief Economist, Raghuram Rajan, “delivered a stark warning to the world’s top bankers: Financial markets were headed for doom. They laughed it off,” said the Toronto Star. Both Alan Greenspan and Larry Summers were there.

In April 2007, Jeremy Grantham, whose firm manages $107 billion, also warned investors: “The First Truly Global Bubble: From Indian antiquities to modern Chinese art; from land in Panama to Mayfair; from forestry, infrastructure, and the junkiest bonds to mundane blue chips; it’s bubble time. … Everyone, everywhere is reinforcing one another. … Bursting of the bubble will be across all countries and all assets … no similar global event has occurred before.”

We knew a crash was coming, Wall Street laughed.

Call it denial, or lying, or just a brain defect, late that summer as the meltdown spread like wildfire, shutting down the economy, our manipulative Treasury Secretary Hank Paulson, a former Goldman Sachs CEO, told Fortune “this is far and away the strongest global economy I’ve seen in my business lifetime.” And Fed boss Bernanke was telling us the subprime crisis was “contained.” Alan Greenspan agreed. He was on tour, making millions hustling his new book of excuses, delusions and lies, “The Age of Turbulence.”

Today, just three years later, the market’s just a shade above its 2000 peak. Adjusted for inflation, Wall Street stocks have lost roughly 20% of your retirement money the past decade. Get it? Wall Street’s a big loser the past decade. And they’ll lose another 20% by 2020. Why? Because 93% of what comes from Wall Street is suspect, can’t be trusted.

Warning: Cyclical bull ends in 2011, new cyclical bear roars back

At the beginning of 2011 USA Today reported a contrarian forecast. Ned Davis Research says the S&P 500 will make a run at the 2007 high of 1,565, but hit a “midyear peak.” Then it will crash as interest rates rise. Davis concludes: “The midyear peak could mark the end of the cyclical bull market that began in March 2009 and the start of a new cyclical bear market.”

Warning, even though your brain doesn’t want to hear it, there is a high probability a new cyclical bear market will begin this summer … and overshadow the 2012 elections.

The Journal’s also warning: “Inflation jitters spread through emerging markets, prompting China’s central bank to raise interest rate for the third time in four months amid worries that a drought threatening the country’s wheat crop will put further pressure on global food prices.”

Wake up America: With commodity prices rising rapidly, all the bizarre rationalizations Wall Street uses to keep Bernanke’s interest rates low are rapidly vaporizing. Yes, Ned Davis’ prediction of a bear will soon be a painful reality.

S&P 500 inflated, worth just 910, get out before it tops 1,500

Grantham also sees inflation and rising interest rates killing the lies, popping the bubble and ending the rally: “As a simple rule, the market will tend to rise as long as short rates are kept low. This seems likely to be the case for eight more months and, therefore, we have to be prepared for the market to rise and to have a risky bias.”

With $107 billion at stake Grantham better be concerned. He predicted the 2008 meltdown, now sees a repeat dead ahead: “Be prepared for a strong market and continued outperformance of everything risky, but be aware that you are living on borrowed time as a bull.”

Yes, the bubble will pop this year says Grantham: “If the S&P rises to 1,500, it would officially be the latest in the series of true bubbles. All of the famous bubbles broke, but only after short rates had started to rise.”

So keep a close watch on those two tipping points in your planning, interest rates breaking to the upside and the S&P closing near 1,500. When inflation pushes interest rates up they’ll choke off this bull market. If you’re active, better stop chasing higher returns, especially emerging markets.

Bottom line: In what sounds like a direct shot at super-bull Jeremy Siegel, Grantham says that GMO’s research warns that “the market is worth about 910 on the S&P 500, substantially less than current levels” just above 1,300.

Then Grantham throws his fast ball right down the middle: “The speed with which you should pull back from the market as it advances into dangerously overpriced territory this year is more of an art than a science, but by October 1 you should probably be thinking much more conservatively.”

Translation: Get the heck out of Wall Street’s stock market casino soon, maybe as early as July 4th, and definitely get out by Christmas, because soon all the lies, lying and liars will stop working. ‘

Stock Concentration: A Different Aspect of ETF Risk Kownatzki ‘ETFs have been all the rage. Ongoing investor interest has prompted an amazing growth of this type of investment vehicle. For most individual investors the traditional ETFs do provide an easy, certainly more cost effective way of diversification and therefore spreading risk among possibly several hundred companies. Many of these ETFs track the major stock market indices such as the SPDR S&P 500 (SPY), SPDR Dow Jones Industrial Average (DIA) and PowerShares NASDAQ 100 (QQQQ).

I have been repeatedly critical of some of the more complex ETFs in the past. Leveraged ETFs (double and triple) as well as inverse ETFs should only be considered by more experienced investors as they generally incur much higher risks. Worse yet, they tend to do a rather poor job at tracking the underlying index or basket of assets, often lagging far behind the expected performance. We discussed this in detail in numerous articles, more recently in Naïve expectations versus actual performance.

By contrast, as long as one invests in the traditional ETFs tracking just the major market indices, one should take comfort from the fact that diversification through the many different companies provides some insurance against individual company risk. Or does it?

Let’s look at an area of risk that’s not all that obvious on first glance: concentration risk.

Whenever I examine a new ETF or Mutual Fund, my first question is always: What are they actually buying and what are their current holdings?

One should do the same before buying any index fund too. Be aware of what the index is actually made of and what the fund allocations are. For instance, looking at the top ten holdings of the Dow Jones ETF (DIA), it is clear that a significant portion of that index, about 10%, is allocated to one company – IBM. Nothing against IBM, but just be aware that this is quite a large allocation in just one stock.

DIA Top Ten Holdings	as of 2-25-11
Components	Weight
IBM	10.08%
Chevron (CVX)	6.39%
Caterpillar Inc (CAT)	6.30%
3M Co (MMM)	5.64%
Exxon Mobil (XOM)	5.39%
United Technologies (UTX)	5.18%
McDonald's (MCD)	4.71%
Boeing Co (BA)	4.43%
Coca Cola Co (KO)	4.00%
Procter & Gamble Co (PG)	3.95%

Granted that the Dow is only made up of 30 companies, that concentration risk is still relatively benign. Much more of a concentration risk has been gathering steam in the NASDAQ 100. The extremely successful company Apple now comprises more than one fifth of the Index, clearly a huge allocation in just one company.

QQQQ Top Ten Holdings	as of 2-25-11
Components	Weight
Apple Inc. (AAPL)	20.47%
QUALCOMM Inc. (QCOM)	5.29%
Google Inc. (GOOG)	4.24%
Microsoft Corp. (MSFT)	3.59%
Oracle Corp. (ORCL)	3.17%
Amazon.com Inc. (AMZN)	2.43%
Intel Corp. (INTC)	1.96%
Cisco Systems Inc. (CSCO)	1.70%
Comcast Corp. (CMCSA)	1.68%
Teva Pharmaceutical (TEVA)	1.68%

Apple (AAPL) has been a huge success and the NASDAQ 100 Index has also been profiting from Apple’s stellar performance in recent years. Without going into detail as to how the component allocation of these indices are calculated, the average investor should at least be aware of the top 10 holdings of these ETFs as they provide some insight into how much or how little the index is actually diversified. Given the larger allocation of Apple in this case has been a huge plus for holders of QQQQ. But the same holders should appreciate that there is a significant concentration risk through this massive holding in just one company. Don’t get me wrong, I love Apple and its products and I am not here to argue as to whether Apple’s astronomical market cap of $320 billion is justified. But the fact that Apple is now more than 20% of the NASDAQ 100 leaves me a bit uncomfortable.

You could consider buying Apple stock directly (if Apple were the “chosen one”) while achieving your desired level of diversification through a broader index like the S&P 500. In that index, comprised of 500 companies, Apple is still the second largest component stock. However, with a weight of just 2.65% it looks more like diversification is actually happening.

SPY Top Ten Holdings	as of 2-25-11
Components	Weight
Exxon Mobil	3.65%
Apple Inc.	2.65%
General Electric Co (GE)	1.85%
Chevron Corp New	1.73%
Microsoft Corp	1.70%
IBM	1.68%
JP Morgan Chase & Co (JPM)	1.51%
Procter & Gamble Co	1.49%
Johnson & Johnson JNJ)	1.39%
Wells Fargo & Co (WFC)	1.39%

Again, I’m not debating the commercial viability of Apple Inc. (although there are those who fear that the absence of Steve Jobs will eventually hurt the long-term prospects of the company). This is rather a heads up for those who might not realize how much of their money is invested in just one stock when they purchase shares in the ETF QQQQ. Always good to know what’s inside the shopping bag…’

Greenback Armageddon Ahead? Why the dollar is about to crash, with Damon Vickers, Nine Points Capital Management founder, and “The Day After Dollar Crash” author.

Government Promises to Cut Social Security It’s official, national austerity measures are here.

Politicians Slash Budget of Watchdog Agencies … Guaranteeing that Financial Fraud Won’t Be Investigated or Prosecuted As I noted last year, you can tell how interested Congress and the White House are in uncovering the truth by looking at how much money is actually budgeted for investigation.

Will banksters get away with it? Aljazeera | Why have the unions and leftist groups been mostly silent on these issues?

The REAL Unemployment Rate Is 22% The Daily Bail | It remains above 22% with the February update.

Libya’s Turmoil Leads to Highest February Gas Prices in 21 Years ABC News | Crude oil touched nearly $102 a barrel in Asia this morning amid fears that Libya could halt exports.

The Flood Of Money Drowns Out The Value The world is awash in dollars and that is being reflected in the USDX, which are six major currencies versus the dollar. The loss of value is being loudly trumpeted as the IMF says a replacement must be found.

Mob Robbers And Rampant Looting: Is This The Future Of America? Have you ever heard of mob robberies? What happens is that dozens of young people storm a store at the same time, take whatever they want, and then storm out as powerless store clerks watch helplessly.

Price of food is at the heart of revolutions The Independent | No one saw the uprisings coming, but their deeper cause isn’t hard to fathom.

Oil Rises for Second Day as Middle East Turmoil Spreads to Oman Bloomberg | Oil advanced for a second day in New York after turmoil that has cut Libya’s output spread to Oman.

Madoff Says Entire U.S. Government a `Ponzi Scheme’ Bernard Madoff, convicted for organizing a ponzi scheme, criticized the U.S. during a recent telephone interview with New York Magazine.

‘No Plans’ To Cut Speeds As Oil Price Soars Transport officials have denied they are considering cutting speed limits on the roads to conserve fuel, despite the world oil crisis.

“Technical Glitch” Takes Down Australian Stock Exchange After last week we saw the Euronext, the Italian and the London Stock Exchanges crashing and burning, it is now Australia’s turn.

Will The Death Of The Dollar Lead To The Birth Of A New World Economic Order? There is no getting around it. The U.S. dollar is dying. U.S. government debt continues to grow at a very frightening pace and the Federal Reserve is now buying up most of the new debt that is being issued.

ECONOMIC CRISIS ARCHIVE

National / World

War, Martial Law, and the Economic Crisis Peter Dale Scott | A quiet agglomeration of military power shows sustained intention.

Government Promises to Cut Social Security Infowars.com | It’s official, national austerity measures are here.

“Day of Rage” in Iraq: 23 Killed by Government Infowars.com | Obama too busy condemning Gaddafi to take al-Maliki to task in Iraq.

Obama Signs Patriot Act Extension New York Post | Allows law enforcement to set roving wiretaps to monitor multiple communication devices.

Ignacio Pena: “Songs for the Fall of an Empire” Infowars.com | Another example of the sort of excellent work submitted to the latest video contest.

A Government Shut-down Imperils the Power of Congress Paul Craig Roberts | Congress could try to protect its loss of the power of the purse by impeaching Obama.

Libyans: No Thanks to Globalist Intervention Kurt Nimmo | Rebel leader stated his country does not want or need help from the United States and its globalist partners.

Obama’s “Humanitarian” Conquest Of Libya Paul Joseph Watson | While his predator drone attacks kill 90% innocents, President suddenly develops a conscience for human suffering

Globalism Pushing Middle Class Standard of Living Down to Third World Levels The Economic Collapse | The truth is that the global economy is bad for America.

Is Barack Obama About To Order The U.S. Military To Invade Libya? As insane as it might sound, the United States may soon be getting involved in another war in the Middle East. According to White House spokesman Jay Carney, “no options” have been taken off the table when it comes to the situation in Libya.

War Uber Alles The United States government cannot get enough of war. With Libyan dictator Moammar Gadhafi’s regime falling to a rebelling population, CNN reports that a Pentagon spokesman said that the U.S. is looking at all options from the military side.

Mob Robbers And Rampant Looting: Is This The Future Of America? Have you ever heard of mob robberies? What happens is that dozens of young people storm a store at the same time, take whatever they want, and then storm out as powerless store clerks watch helplessly.

Infowars.com Takes 1st Place in Alternative News Rating The DBKP Report has listed Infowars.com as the top alternative news and information website in its February, 2011, 80 Alternative News-Information ratings report. DBKP bases its ratings on 3-month average of Alexa worldwide traffic rankings.

Perceptions And Facts About The War On Terror American philosopher and author Robert Anton Wilson, who died four years ago at the age of 74, tried to awaken us to the fact that the “world is not governed by facts or logic,” but by “belief systems.” The priests of power in the United States understand this well, and they have used their knowledge to rule over the ignorant people below them, and keep America in the dark.

Analysis of the Global Insurrection Against Neo-Liberal Economic Domination and the Coming American Rebellion If you think what’s happening in Egypt won’t happen within the United States, you’ve been watching too much TV. The statistics speak for themselves.

UK paying ‘bribes’ to free trapped Britons Britain has been buying off Libyan officials with hefty additional fees in order to expedite the troubled evacuation of UK nationals, according to senior government figures.

Neocon Analysts Push for Invasion of Libya CNN reports the Pentagon and NATO are ready to send troops into Libya under the cover of humanitarian assistance. CNN underscores the situation by stating that reports say Gaddafi will fight to the end and will seek martyrdom.

Inside The Mind Of Charlie Sheen Paul Joseph Watson & Alex Jones | Why the actor is so angry, and why Infowars is involved in the story. Following the controversy caused by Charlie Sheen’s wild and rampaging appearance on The Alex Jones Show, it’s necessary to understand why the actor is so angry, if only to set the record straight on a number of issues that have been misconstrued by the establishment media, as well as explaining why Infowars and Alex Jones are involving themselves with the machinations of the entertainment industry.

Homeland Security To Scan DNA The Homeland Security Department this summer plans to begin testing a DNA analyzer that’s small enough to be easily portable and fast enough to return results in less than an hour.

The Real Revolution As Washington plunges the Middle East and North Africa into chaos, and city by city collapses into the hands of globalist stooges, many have mistakenly interpreted this “change” as a positive transformation.

Obama says Kadhafi must ‘leave now’: White House President Barack Obama said Saturday that Libya’s leader Moamer Kadhafi needs to “leave now,” having lost the legitimacy to rule, a White House statement said.

Rebel army may be formed as Tripoli fails to oust Gaddafi Col. Moammar Gaddafi faced fresh setbacks domestically and internationally early Sunday with opposition forces in eastern Libya preparing to dispatch a rebel force to his stronghold in Tripoli and the United Nation’s imposing military and financial sanctions while raising the specter that the isolated leader could face charges for crimes against humanity.

Globalist Client Regime in Iraq Massacres Protesters Kurt Nimmo | Donald Rumsfeld told the Iraqis democracy can be messy. It can also be bloody.

War Über Alles Paul Craig Roberts | War makes money for the politically connected.

The Real Revolution Tony Cartalucci | We have been given a prepackaged ideal of what “revolution” is supposed to look like.

North Korea threatens US, South with 'all-out war' (AFP) AFP - North Korea threatened "all-out war" in response to exercises by South Korean and US troops due to start Monday and told Seoul to stop cross-border propaganda, upping the rhetoric against its ar...

Afghan gov't: NATO op killed 65 civilians (AP) [ War criminals winning hearts and minds? … Never gonna’ happen! ]

Ron Paul: Reject the Welfare-Warfare State! During the past few weeks, Congress has been locked in a battle to pass a continuing resolution to fund government operations through September. Both supporters and opponents of the bill – HR1 – claim it is a serious attempt to reduce federal spending. However, an examination of the details of the bill call that claim into question.

Alex Jones Culture Jams The View Alex Jones blasts the truth to The View’s audience of millions, bringing up the slaughter of a million innocents in Iraq, TSA grope down abuse, as well as the collapse of Building 7.

Obama Encircles US War Machine Around Libya President Barack Obama has instructed the Pentagon to reposition U.S. military forces around Libya as the administration prepares to exploit a humanitarian crisis to seize de facto control over the largest oil producing country in the continent of Africa, following the advice of top neo-cons who have urged Obama to use U.S. forces to topple the Gaddafi regime.

Ron Paul 2012: Tea Partiers Choose Congressman Over Sarah Palin For Presidential Bid Congressman Ron Paul has topped a Tea Party presidential straw poll, beating Sarah Palin as the favourite to run against Barack Obama in 2012.

Libyans: No Thanks to Globalist Intervention Following Secretary of State Clinton’s call for intervention, a rebel leader in Libya has stated his country does not want or need any help from the United States and its globalist partners.

Saudi activists eye protests, wait for new cabinet Democracy activists in Saudi Arabia say the government is closely monitoring social media to nip in the bud any protests inspired by uprisings that swept Arab countries, toppling leaders in Egypt and Tunisia.

Obama’s “Humanitarian” Conquest Of Libya Before President Barack Obama even took office, we warned that his administration would continue to follow the Bush-era policy of bankrupting America both financially and morally with new wars, but that these conquests would be done in the name of a humanitarian crisis rather than a pre-emptive assault.

Congress on course to avert shutdown (Washington Post) [ And just when we thought there was hope … for the nation … the world … How ‘bout a massive furlough program for congress, the judiciary, and the executive branch (except law enforcement). After all, if all of the foregoing along with the likes of pseudo gov’t / connected fraudulent wall street, etc., are not to blame for the debacle we now call america, then who is? They are, period, exclamation point. Massive firings would also do quite satisfactorily! ]

Chinese authorities block Web site, terms (Washington Post) [ It is bad enough that China is essentially a totalitarian communist nation, disingenuously relying upon capitalism for its stellar growth. In light of such and China’s preoccupation with censorship, it is also clear that it’s not so much China’s rise as it is pervasively corrupt / defacto bankrupt america’s demise. In other words, they’re ‘limited’ (by such). But make no mistake, pervasively corrupt, defacto bankrupt america goes to great lengths in suppressing information, truth in favor of what’s spewed out by their propaganda machine which is nonpareil; and then there’s the perpetual illegal wars. ] Chinese authorities continued to tighten controls on Internet use Friday in the face of murky calls for "jasmine rallies" to emulate the anti-government protests convulsing the Middle East and North Africa.

Midwest, Middle East events threaten U.S. (Washington Post) [ Come on! It’s just not there! ‘Seemed’ is the best they can muster and that’s what they’re shooting for … to fool all of the american people/taxpayers (other than insiders) all of the time … see here: Why your local Hospital could soon shut down (Ad) http://www.stansberryresearch.com/pro/1011PSIENDVD/LPSILC43/PR ( The instant video from Stansberry and Associates is so well researched and succinctly presented that I’ve archived same on my website; also, because the facts and views presented comport with the facts and views I’ve presented on my site which not only do I believe to be correct, but are supported by the unequivocal documented facts. This is a must-view, must-see that I strongly recommend! The complete url ( 146 mb – approx. 1 hr. 17 min. ) : http://www.albertpeia.com/stansberrysinvestmentadvisory.flv ) ] Just when the economic recovery seemed to gain momentum, two new threats have emerged that could undermine it.

Don't cut here (Washington Post) [ If not there … then where? I think people are totally out-of-touch with the reality of america’s dire circumstances and impending collapse on as many levels as a nation could face disaster. Denial? If it were only that simple … Why your local Hospital could soon shut down (Ad) http://www.stansberryresearch.com/pro/1011PSIENDVD/LPSILC43/PR ( The instant video from Stansberry and Associates is so well researched and succinctly presented that I’ve archived same on my website; also, because the facts and views presented comport with the facts and views I’ve presented on my site which not only do I believe to be correct, but are supported by the unequivocal documented facts. This is a must-view, must-see that I strongly recommend! The complete url ( 146 mb – approx. 1 hr. 17 min. ) : http://www.albertpeia.com/stansberrysinvestmentadvisory.flv ) ] Topic A: Advocates make the case for funding their favorite federal programs. [ With what? The nation’s bankrupt: Senate Democrats draft cuts in domestic agency budgets (Washington Post) [ Do these ‘too little, too late’ so-called cuts purport to make the nation ‘less bankrupt’? There’s no such thing … absolutely preposterous! And, Kotlikoff thinks so as well, see immediately hereafter… ] The plan will involve accelerating some of the $33 billion in program terminations and reductions included in Obama's proposed budget for next year.

When Pretending Fails to Hide Bankruptcy: Laurence Kotlikoff ( Today in the WashingtonPost.Com ) Laurence Kotlikoff Feb 22, 2011

Feb. 23 (Bloomberg) -- Our country is bankrupt. It’s not bankrupt in 30 years or five years. It’s bankrupt today.

Want proof? Look at President Barack Obama’s 2010 budget. It showed a massive fiscal gap over the next 75 years, the closure of which requires immediate tax increases, spending cuts, or some combination totaling 8 percent of gross domestic product. To put 8 percent of GDP in perspective, this year’s employee and employer payroll taxes for Social Security and Medicare will amount to just 5 percent of GDP.

Actually, the picture is much worse. Nothing in economics says we should look out just 75 years when considering the present-value difference between future spending and future taxes. Over the full long-term, we need an extra 12 percent, not 8 percent, of GDP annually.

Seventy-five years seems like a long enough time to plan. It’s not. Had the Greenspan Commission, which “fixed” Social Security back in 1983, focused on the true long term we wouldn’t be sitting here now with Social Security 26 percent underfunded. The Social Security trustees, at least, have learned a lesson. The 26 percent figure is based on their infinite horizon fiscal- gap calculation.

But the real reason we can’t look out just 75 years is that the government’s cash flows (the difference between its annual taxes and non-interest spending) over any period of time, including the next 75 years, aren’t well defined. This reflects economics’ labeling problem. If you use different words to describe the receipts taken in and paid out each year by the government, you produce entirely different cash flows and an entirely different fiscal gap measured over any finite horizon.

Matter of Language

It’s only the value of the infinite horizon fiscal gap that is unaffected by the choice of labels of language. Take this year’s payroll tax contributions. Let’s call these transfers from workers to Uncle Sam “borrowing” by the government, rather than “payroll taxes,” since the money will be paid back as future benefits. If the future payback isn’t in full (equal to principal plus interest), we can call the difference a “retirement tax.” Presto! With this change of words, our 2011 deficit of about 10 percent of GDP is boosted another five points to 15 percent.

With one set of words, taxes are higher now and lower latter. With the other set of words, the opposite is true. But neither set of labels makes more economic sense than the other or changes what the government takes, on balance, from any person or business in any given year.

This is no surprise. The math of economics rules out an absolute measure of the deficit, just like the math of physics rules out an absolute measure of time.

Bottom Line

The bottom line, then, is that we need to look at the infinite-horizon fiscal gap not just for Social Security, but for the entire federal government. That analysis, based on the Congressional Budget Office’s long-term alternative fiscal scenario, shows an unfathomable fiscal gap of $202 trillion. And covering this gap requires coming up with the aforementioned 12 percent of GDP, forever.

If this gives you the willies, there’s a ready narcotic -- the president’s 2012 budget, which shows that most of our long- term fiscal problem has miraculously disappeared; the fiscal gap isn’t 12 percent of annual GDP. Nor is it 8 percent. It’s now 1.8 percent.

This fantastic improvement in our finances is due, we’re told, primarily to the Independent Payment Advisory Board. This board, to be established in 2014 (after the next election, of course) is charged with recommending cuts to Medicare and Medicaid providers when their costs grow too fast.

Repealing Cuts

We’ve had laws mandating such cuts for years, and they are routinely repealed. Indeed, President Obama signed the latest such repeal last June. But rather than laugh out loud at this cost-control mechanism, the Medicare trustees, three-quarters of whom were appointed by the president, assume in their 2010 report that these cuts will be made -- to the dollar. And the 2012 budget cites the report’s fictional forecast as its authoritative source.

No one takes the 2010 Medicare trustee report’s long-run projections seriously, least of all Richard Foster, Medicare’s chief actuary. Foster added this statement to the end of the report: “The financial projections shown in this report for Medicare do not represent a reasonable expectation…in either the short range…or the long range.”

This isn’t the first administration to conceal our long- term fiscal problem. Back in 1993, Alice Rivlin, then deputy director of the Office of Management and Budget, asked me and economists Alan Auerbach and Jagadeesh Gokhale to prepare a long-term fiscal gap/generational accounting for inclusion in President Bill Clinton’s 1994 budget.

Politics Triumphs

We worked for months on the analysis, but two days before the budget’s release, the study was excised from the budget. We were shocked, but, in retrospect, the politics are clear. The Clinton administration wanted to claim it was fiscally prudent and the study, which showed unofficial debt growing at enormous rates, showed the opposite.

The fiscal gap’s next near appearance in a president’s budget was in 2003. Treasury Secretary Paul O’Neill commissioned Gokhale and Kent Smetters to do the study. It showed a massive $45 trillion fiscal gap -- not a great basis for pushing tax cuts or introducing the prescription-drug benefit for seniors, known as Medicare Part D. O’Neill was ousted on Dec. 6, 2002, and a couple of days later the fiscal-gap study was discarded.

I’m not sure whether censoring the fiscal gap is more dishonorable than fudging it. What I do know is that we can’t assume our problems away and that I expected far better of this president when I voted for him.

--Editors: James Greiff, Steven Gittelson’

]

Libyan ruler clings to power as violence escalates (Washington Post) [ Clings? … As in a tight sweater … or maybe a straight jacket. Wow! Talk about delusional. ] Regime opens fire on protesters; Gaddafi calls supporters to arms (Washington Post) [ Pressure mounts on Gaddafi (Washington Post) [ That he was always a caricature of sorts, there is no question. That he’s totally burned out, there’s also no doubt; though they might argue in his defense that so was failed president dumbya bush … a point well taken … but look at the consequential pathetic state of pervasively corrupt, defacto bankrupt america … with the unlit torch passed to failed president wobama the b (for b*** s***) who pretends, or maybe in his alternate and fake reality just believes it’s lit. That he’s done, also fait accomplis, after 41 years … who cares. That he’s insane … now that’s quite another thing with greater worldwide implications, so, daffy… gadaffy… duck! Gaddafi vows to maintain hold on power Libyan strongman says he'll fight 'until the last drop of my blood' (Washington Post) [ His latter wish is the world’s command. ‘Something there is that doesn’t love a dictator, that wants them down’ … (Excuse me … I was thinking of walls and ‘Mending Wall’, Robert Frost http://albertpeia.com/RobertFrost.htm ). Libya Internet Shut Down Amid Protests, Per Multiple Reports [ Once again, as in Egypt, this, the internet, inherently global in nature is the lynchpin, tampering with or stifling same marking the end of any regime. Let this be a warning; viz., you cannot put the genie back in the bottle! 41 years? Gadaffy duck should duck ‘cause he’s done. I mean, look at him, he’s the singular equivalent of the multiple bushes. He’s totally burnt out (as much or more so than dumbya bush or mubarack) and quite done! ] Reports have emerged late Friday that Libya appears to have shut down its Internet due to widespread protests, less than a month after Egypt did the same. ] With rebels apparently controlling much of the eastern half of the country, the violence engulfing Libya is already the worst in more than a month of unrest that has toppled other regimes. ] He remains defiant even as high-level defections continue to weaken his government and rebels reportedly seize control of key swaths of nation. American evacuees describe 'long ordeal' on ferry (Washington Post) [ I’ve included this headline here, not for the article’s content but rather for the statement of one of said evacuees on network television news that he was told by the u.s. embassy that they’d have to fend for themselves and that they’re on their own. That is an important aspect of the fact-filled video presentation by Stansberry and Associates, infra, except that that will be the almost unimaginable position of the u.s. government when the almost unimaginable but inevitable happens here in pervasively corrupt, defacto bankrupt america. Don’t forget, they and their’s have plundered this nation, its treasury, people and have use each branch of this government to do so. I’ve experienced this first-hand in having to ‘fend for myself’ in what should have been a simple RICO case owing to the venality of those self-interested in the process (bribes, cover-up of crimes, etc. http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpenaltyofperjury.pdf http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm ) ….. Why your local Hospital could soon shut down (Ad) http://www.stansberryresearch.com/pro/1011PSIENDVD/LPSILC43/PR The instant video from Stansberry and Associates is so well researched and succinctly presented that I’ve archived same on my website; also, because the facts and views presented comport with the facts and views I’ve presented on my site which not only do I believe to be correct, but are supported by the unequivocal documented facts. This is a must-view, must-see that I strongly recommend! The complete url ( 146 mb – approx. 1 hr. 17 min. ) : http://www.albertpeia.com/stansberrysinvestmentadvisory.flv ]

Why your local Hospital could soon shut down (Ad) http://www.stansberryresearch.com/pro/1011PSIENDVD/LPSILC43/PR [ The instant video from Stansberry and Associates is so well researched and succinctly presented that I’ve archived same on my website; also, because the facts and views presented comport with the facts and views I’ve presented on my site which not only do I believe to be correct, but are supported by the unequivocal documented facts. This is a must-view, must-see that I strongly recommend! The complete url ( 146 mb – approx. 1 hr. 17 min. ) : http://www.albertpeia.com/stansberrysinvestmentadvisory.flv ]

The U.S. market has had no such worries, and has continued its non-stop bull market to new highs.

It did stumble a bit this week, spooked by the spike-up in oil prices created by the spreading unrest in oil-producing countries, notably Libya. Yet in the week’s decline the Dow and S&P 500 fell less than 3%, hardly a blip on the long-term charts.

Short-term, the next ‘monthly strength period’ has arrived, when the market tends to be positive for the five-day period from the last trading day of the month through the first four days of the following month.

As I have written before, it is a quite consistent pattern. For instance, in 2010 the S&P 500 gained 143 points, or 12.8% for the year, but its gains on just the first three days of each month amounted to 229 points, or 20.5%. The pattern has pretty much continued so far this year, with nice gains in the first weeks of both January and February.

That raises the odds for a return to a positive market next week.

Yet, the events of the past week may have been a warning shot. There had already been enough potential catalysts for a market correction. This week added several more.

As most investors are aware, investor sentiment has been at levels of bullishness and confidence usually seen near market tops, and the major market indexes are as over-extended above their long-term 200-day moving averages as they usually get without at least a 10% to 12% correction down to retest the support at those moving averages. As noted, many important global stock markets, including China, Brazil, India and Hong Kong, have been in fairly significant corrections since November, and global markets, including the U.S., tend to move in tandem with each other in both rallies and corrections.

Now we have spiking oil prices. The 2003-2007 bull market ended in October, 2007 when the price of oil reached $96 a barrel. The 2007-2009 recession began three months later. After trading briefly above $100 a barrel on Thursday oil pulled back, but was still trading around $97 at the week’s end.

On Thursday it was reported that new home sales plunged an unexpected and huge 12.6% in January. It was not a good start for this year, after 2010 was the worst year for new home sales in almost half a century. Not providing much encouragement for coming months, it was also reported that applications for mortgages are at a 15-year low.

Then, on Friday it was reported that the economy was even weaker than previously thought in the December quarter. Gross Domestic Product (GDP) growth for the quarter was unexpectedly revised down to only 2.8% from the previously reported 3.2%.

These events and reports – turmoil in the oil-producing countries that is more likely to spread than go away; spiking oil prices that tend to cut into U.S. economic growth (and add to global inflation pressures); news that the economy grew significantly slower in the 4^th quarter than previously thought – were more than enough reasons for the market to nosedive this week. But it only stumbled for a few days.

Yet it was enough to cause some concern and nervousness. That could be seen in the sharp drop in bullish investor sentiment, and the upturn in the number of pundits declaring the end of the bull market. The poll of its members by the American Association of Individual Investors (AAII) this week shows the percentage of those who are bullish plunged to just 36.6% from readings above 50% just three weeks ago, and the near record high of 63% in late December.

Sentiment does reverse from high levels of bullishness near tops to increasingly pessimistic expectations as corrections develop.

So was this week’s stumble the beginning of a more serious correction?

The events and reports this week did provide more evidence that the stock market may be ahead of reality regarding prospects for the economy, and therefore corporate earnings, going forward, which should at least limit the market’s upside potential.

Limited upside potential equals more downside risk?

It might be wise to lighten up some into strength that may develop over the next few days during the ‘monthly strength period.’

Ready to Rally or Ready to Blow? The One Indicator That's in the Know Maierhofer, On Friday February 25, 2011, 7:35 pm EST

After publishing this article on Tuesday, a lot of people asked me: 'So, what did percentR tell you about the rally. Is it over?'

Unfortunately the message of this accurate but little-known indicator wasn't as clear as I hoped, but it was nevertheless valuable. Combining percentR with my other tenchnical analysis, I came to the following conclusion (published for ETF Profit Strategy subscribers in the Wednesday update):

'It looks like stocks want to rally and retrace some of the points lost since last Friday.' Based on percentR the up trend may be over, but it's too early to tell. If stocks break out above the safety level outlined in the same update, the rally will be back on track.

Please find below the original article for your reading pleasure:

Low-Risk. The term 'low-risk' has the same appeal in the investment world as the enticing little word 'free' in the advertising world.

Some advertising executives claim that 'free' is the most powerful word in the ad world. 'Low-risk' might be the most powerful concept in the investing universe.

If you read the ETF Profit Strategy Newsletter you are very familiar with the term low-risk entry. If you don't, here's a quick summary and crash course of an indicator that's been 100% accurate over the past 6 months.

Low risk entries for various indexes are identified or triggered by a relative strength indicator called percentR. PercentR is expressed on a scale from 1 - 100. Readings above 80 are considered overbought, readings below 20 oversold. If you read the ETF Profit Strategy Newsletter you are very familiar with the term low-risk entry. If you don't, here's a quick summary and crash course of an indicator that's been 100% accurate over the past 6 months.

Uncannily Accurate

With two exceptions, percentR remained above 80 ever since. The two dips below 80 (yellow circles) on January 19 and 28 triggered a low-risk entry. Even though investors were worried about riots in Egypt, according to percentR it was time to buy.

This bullish low-risk entry is valid as long as the underlying index (in this case the S&P 500) does not close below that day's low (white line). In both instances, the S&P (SNP: ^GSPC) stayed above that low and went on to rally over 5%.

Other Low-Risk Entries

PercentR works with stocks and indexes alike. Similar low-risk entries were identified by the ETF Profit Strategy Newsletter for the Dow Jones (DJI: ^DJI), Nasdaq-100 (Nasdaq: QQQQ - News), Nasdaq Composite (Nasdaq: ^IXIC), and the Financial Select Sector SPDR (NYSEArca: XLF - News) on January 28. The Russell 2000 (Chicago Options: ^RUT) was the weakest index and registered its low-risk entry sooner.

Corrections are Healthy, if ...

Put yourself in a time capsule and zoom back to April 2010 when the major U.S. indexes declined nearly 20% before the promise of QE2 resurrected stocks. There was little conviction then that corrections are healthy. The correction had rattled the investing masses and shaken out many stockholders before the market went on to rally again.

PercentR is the canary in the coalmine that identifies a deeper correction. No significant sell off happens without a failed low-risk entry.

A failed low-risk entry occurs when the indexes close below the low of the day that triggers the low-risk entry (white lines on the chart). The last failed low-risk entry happened in November 2010 when stocks chopped around for a few weeks and ultimately lost about 5%. Another failed low-risk entry flashed a sell signal on August 11 and ushered in a 21 day, 8% sell off.

The Right Tool for the Job

Any craftsman will tell you that there are limitations to any tool, but there's a tool for each job. percentR is the right tool for the current job.

After a parabolic rally, the job at hand is to distinguish whether pull backs are a buying opportunity or a warning signal. Should you buy the dips or step on the sidelines (or even short the market)?…’

The REAL Unemployment Rate Is 22% The Daily Bail | It remains above 22% with the February update.

Libya’s Turmoil Leads to Highest February Gas Prices in 21 Years ABC News | Crude oil touched nearly $102 a barrel in Asia this morning amid fears that Libya could halt exports.

IMF Austerity Measures Lead to Violent Riots in Greece AFP | The confrontation occurred near the finance ministry.

Saudi Arabia Raises Oil Output By 8% To Over 9 Million Barrels Per Day As we reported yesterday, Saudi Arabia which following its latest recreation of Helicopter Ben’s money parachuting experiment to buy its people’s love, suddenly has found itself in a fiscal crunch, has no choice but to increase general oil sales revenues.

It’s Not an Arab Revolution … It’s a GLOBAL Revolution While the revolution in Tunisia, Egypt, Libya and other North African countries may seem like an “Arab revolt”, it’s actually worldwide.

What You Need To Know About Buying Silver At A Time When Even The Canadian Mint Says “It Has Sold Everything It Has” Even as silver performed some unprecedented fireworks today, plunging on what was a margin hike in… crude, the metal continues to trade just below its post-Hunt Brother highs.

Adjusted Monetary Base Goes Vertical Just in case there was any confusion in the interpretation of the M2 chart, here is the latest just released Adjusted Monetary Base.

21 Signs That The Once Great U.S. Economy Is Being Gutted, Neutered, Defanged, Declawed And Deindustrialized Once upon a time… The Economic Collapse Feb 12, 2011 ‘Once upon a time, the United States was the greatest industrial powerhouse that the world has ever seen. Our immense economic machinery was the envy of the rest of the globe and it provided the foundation for the largest and most vibrant middle class in the history of the world. But now the once great U.S. economic machine is being dismantled piece by piece. The U.S. economy is being gutted, neutered, defanged, declawed and deindustrialized and very few of our leaders even seem to care. It was the United States that once showed the rest of the world how to mass produce televisions and automobiles and airplanes and computers, but now our industrial base is being ripped to shreds. Tens of thousands of our factories and millions of our jobs have been shipped overseas. Many of our proudest manufacturing cities have been transformed into “post-industrial” hellholes that nobody wants to live in anymore.

Meanwhile, wave after wave of shiny new factories is going up in nations such as China, India and Brazil. This is great for those countries, but for the millions of American workers that desperately needed the jobs that have been sent overseas it is not so great.

This is the legacy of globalism. Multinational corporations now have the choice whether to hire U.S. workers or to hire workers in countries where it is legal to pay slave labor wages. The “great sucking sound” that Ross Perot warned us about so long ago is actually happening, and it has left tens of millions of Americans without good jobs.

So what is to become of a nation that consumes more than it ever has and yet continues to produce less and less?

Well, the greatest debt binge in the history of the world has enabled us to maintain (and even increase) our standard of living for several decades, but all of that debt is starting to really catch up with us.

The American people seem to be very confused about what is happening to us because most of them thought that the party was going to last forever. In fact, most of them still seem convinced that our brightest economic days are still ahead.

After all, every time we have had a “recession” in the past things have always turned around and we have gone on to even greater things, right?

Well, what most Americans simply fail to understand is that we are like a car that is having its insides ripped right out. Our industrial base is being gutted right in front of our eyes.

Most Americans don’t think much about our “trade deficit”, but it is absolutely central to what is happening to our economy. Every year, we buy far, far more from the rest of the world than they buy from us.

In 2010, the U.S. trade deficit was just a whisker under $500 billion. This is money that we could have all spent inside the United States that would have supported thousands of American factories and millions of American jobs.

Instead, we sent all of those hundreds of billions of dollars overseas in exchange for a big pile of stuff that we greedily consumed. Most of that stuff we probably didn’t need anyway.

Since we spent almost $500 billion more with the rest of the world than they spent with us, at the end of the year the rest of the world was $500 billion wealthier and the American people were collectively $500 billion poorer.

That means that the collective “economic pie” that we are all dividing up is now $500 billion smaller.

Are you starting to understand why times suddenly seem so “hard” in the United States?

Meanwhile, jobs and businesses continue to fly out of the United States at a blinding pace.

This is a national crisis.

We simply cannot expect to continue to have a “great economy” if we allow our economy to be deindustrialized.

A nation that consumes far more than it produces is not going to be wealthy for long.

The following are 21 signs that the once great U.S. economy is being gutted, neutered, defanged, declawed and deindustrialized….

#1 The U.S. trade deficit with the rest of the world rose to 497.8 billion dollars in 2010. That represented a 32.8% increase from 2009.

#2 The U.S. trade deficit with China rose to an all-time record of 273.1 billion dollars in 2010. This is the largest trade deficit that one nation has had with another nation in the history of the world.

#3 The U.S. trade deficit with China in 2010 was 27 times larger than it was back in 1990.

#4 In the years since 1975, the United States had run a total trade deficit of 7.5 trillion dollars with the rest of the world.

#5 The United States spends more than 4 dollars on goods and services from China for every one dollar that China spends on goods and services from the United States.

#6 In 1959, manufacturing represented 28 percent of all U.S. economic output. In 2008, it represented only 11.5 percent and it continues to fall.

#7 The number of net jobs gained by the U.S. economy during this past decade was smaller than during any other decade since World War 2.

#8 The Bureau of Labor Statistics originally predicted that the U.S. economy would create approximately 22 million jobs during the decade of the 2000s, but it turns out that the U.S. economy only produced about 7 million jobsduring that time period.

#9 Japan now manufactures about 5 million more automobiles than the United States does.

#10 China has now become the world’s largest exporter of high technology products.

#11 Manufacturing employment in the U.S. computer industry is actually lower in 2010 than it was in 1975.

#12 The United States now has 10 percent fewer “middle class jobs” than it did just ten years ago.

#13 According to Tax Notes, between 1999 and 2008 employment at the foreign affiliates of U.S. parent companies increased an astounding 30 percent to 10.1 million. During that exact same time period, U.S. employment at American multinational corporations declined 8 percent to 21.1 million.

#14 Back in 1970, 25 percent of all jobs in the United States were manufacturing jobs. Today, only 9 percent of the jobs in the United States are manufacturing jobs.

#15 Back in 1998, the United States had 25 percent of the world’s high-tech export market and China had just 10 percent. Ten years later, the United States had less than 15 percent and China’s share had soared to 20 percent.

#16 The number of Americans that have become so discouraged that they have given up searching for work completely now stands at an all-time high.

#17 Half of all American workers now earn $505 or less per week.

#18 The United States has lost a staggering 32 percent of its manufacturing jobs since the year 2000.

#19 Since 2001, over 42,000 U.S. factories have closed down for good.

#20 In 2008, 1.2 billion cellphones were sold worldwide. So how many of them were manufactured inside the United States? Zero.

#21 Ten years ago, the “employment rate” in the United States was about 64%. Since then it has been constantly declining and now the “employment rate” in the United States is only about 58%. So where did all of those jobs go?

The world is changing.

We are bleeding national wealth at a pace that is almost unimaginable.

We are literally being drained dry.

Did you know that China now has the world’s fastest train and the world’s largest high-speed rail network?

They were able to afford those things with all of the money that we have been sending them.

How do you think all of those oil barons in the Middle East became so wealthy and could build such opulent palaces?

They got rich off of all the money that we have been sending them.

Meanwhile, once great U.S. cities such as Detroit, Michigan now look like war zones.

Back in 1985, the U.S. trade deficit with China was about 6 million dollars for the entire year.

As mentioned above, the U.S. trade deficit with China for 2010 was over 273billion dollars.

What a difference 25 years can make, eh?

What do you find when you go into a Wal-Mart, a Target or a dollar store today?

You find row after row after row of stuff made in China and in other far away countries.

It can be more than a bit difficult to find things that are actually made inside the United States anymore. In fact, there are quite a few industries that have completely and totally left the United States. For certain product categories it is now literally impossible to buy something made in America.

So what are we going to do with our tens of millions of blue collar workers?

Should we just tell them that their jobs are not ever coming back so they better learn phrases such as “Welcome to Wal-Mart” and “Would you like fries with that”?

For quite a few years, the gigantic debt bubble that we were living in kind of insulated us from feeling the effects of the deindustrialization of America.

But now the pain is starting to kick in.

It has now become soul-crushingly difficult to find a job in America today.

According to Gallup, the U.S. unemployment rate is currently 10.1% and when you throw in “underemployed” workers that figure rises to 19.6%.

Competition for jobs has become incredibly fierce and it is going to stay that way.

The great U.S. economic machine is being ripped apart and dismantled right in full view of us all.

This is not a “conservative” issue or a “liberal” issue. This is an American issue.

The United States is rapidly being turned into a “post-industrial” wasteland.

It is time to wake up America.’

This is that unmentionable reality as I alluded to earlier on close scrutiny of the data, ‘that stock prices have been manipulated to the upside beyond any and all rational basis‘ and as I previously wrote: Perception vs. Reality: Four Reasons to Remain Cautious on U.S. Equities [ Hey, Abbott … That’s Lou Costello calling him from the other side … Wake up! … Just kidding … but I’m not kidding when I say that contrary to Abbott’s view, infra, if you’re not a successful market timer you should rethink your position as an equity investor. Moreover, in contradistinction to Mr. Abbott’s implication, if you’re not a successful speculator (there are very few), you should rethink your position as a short seller: reason…, you could be wiped out, lose more than your principal, forced to cover (that’s why the same is considered a contrary market indicator, particularly in these manipulated, contrived markets). When I did my MBA thesis (1977, NYU, GBA, Eve.Prog., Finance), a review of the data revealed even then (and much more so now with computer programmed market manipulation) that the market remained biased / propped up (artificially, especially now with computerized manipulation) to the upside for far longer periods of time than for the downside which meant that dollar-cost averaging (through regular, periodic investment, for example), meant you were accumulating shares at higher prices generally for longer periods of time skewing the average cost to the upside (dollar-cost-averaging in declining markets was ok if analysis / forecast saw resurgence based on fundamentals - now absent – which is timing, as even senile wall street / gov’t shill Buffet would attest, that ‘greedy when others are fearful thing’). Abbott discusses perception which is the psychological factor involved in security evaluation / analysis; but investors need not and should become nuts themselves, particularly when as now, the inmates are running the asylum. ] Abbott ‘Perception determines short-term market movements. The difference between perception and reality determines the direction of major market trends. Though I generally try to avoid making macro prognostications, I believe bottom-up analysis can be informative about the current level of stock prices. I want to share what my recent work tells me about where stocks are (and where they might be headed). I will outline some various nuggets of collective wisdom that are taken for granted right now by stock bulls, and I will attempt to demonstrate how reality is likely to differ from these perceptions.

First, a disclaimer. This is not a market timing call. At all times, I stay away from market timing predictions. I think that's a loser's game in the long run. Even if I'm correct about the discrepancies between the following perceptions and realities, there's no saying when people will change their minds or shift their focuses. That said, let's dive in.

Perception vs. Reality #1
Perception: Low Interest Rates, Questionable Bond Outlook Means Stocks are Attractive
Reality: Interest Rates Are Being Artificially and Deliberately Manipulated

It's no secret that the Federal Reserve's low interest rate policy and quantitative easing efforts have held interest rates very low for very long. However, when people talk about stock market implications of bond yields, they rarely mention the fact that bond yields are artificially low. In an unmanipulated market, bond prices and stock valuations should be related, but I regard that connection as highly dubious right now. Investors who say that stocks deserve higher multiples (lower earnings yields) because bond yields are so low may well be setting themselves up for disappointing returns/frustrating losses when bond prices normalize. Again, this isn't a market timing call, and yields may remain low for quite some time. But, eventually this discrepancy will correct itself, and stock performance is likely to suffer at that time.

Perception vs. Reality #2
Perception: Earnings Growth Has Been Strong and Will Remain That Way
Reality: Top-Line Growth Will Have to Pick Up; Cost-Cutting has Run Its Course

Earnings growth has certainly been robust, but much of the strength has come from companies running lean cost structures and wringing as much efficiency as possible out of their employees and their assets. Though the recession has ended, the economy is not yet healthy enough to fuel strong sales growth. Companies can only boost profits by cutting costs and increasing productivity for so long. Therefore, top-line growth will have to play a larger role going forward than it has over the past 4-6 quarters. Whether or not economic growth is strong enough to drive revenue increases is unsure, but the current level of stock prices undoubtedly assumes it is. Any stagnation of the recovery and concomitant sluggish sales will likely hit stock prices.

Perception vs. Reality #3
Perception: European Debt Crisis Drives Short-Term Volatility, but It's Not a Long-Term Concern
Reality: Crisis May Be a Harbinger of What's to Come in the U.S. if States, the Feds Don't Improve Balance Sheets

So far, turmoil in Greece and Ireland has served only as a temporary headwind to U.S. stocks. In keeping with the investment world's increasingly short-term focus, people seem more concerned with what fiscal crises in Europe mean for U.S. stocks over the coming days and months than with what they might mean down the road. I believe that this interpretation misses the mark. Since the U.S. fiscal situtation is generally considered to be stronger than that in many European countries, U.S. federal and municipal debt issuance has been relatively smooth, and interest rates have only risen modestly. If the U.S. doesn't get serious about its fiscal woes, eventually the crisis will arrive on American shores. There's no way of telling when this might happen, but the current level of stock prices seems to imply that it never will.

Here's the problem with that. To fix the federal balance sheet and/or to improve state and municipal balance sheets, legislators will have to raise taxes and/or cut spending. Tax hikes and spending cuts both reduce consumer spending. This hurts growth. There's no way around this. Stocks can certainly continue to rise for some time, but austerity will be bearish if/when it comes. If it doesn't come, we're in for a much bigger crisis some time down the road.

Perception vs. Reality #4
Perception: Everywhere You Look, You See Good Companies at Cheap Prices
Reality: It's Hard to Find Genuine Bargains, but There are Intriguing Short Prospects Everywhere

There is no shortage of stock market commentators who claim that they see bargains everywhere they look. Perhaps I'm not looking in the right places, but I've been having a difficult and increasingly impossible time finding good companies at reasonable prices. I use similar criteria to assess long and short investments, and I find intriguing shorts in lots of sectors right now. This tells me that valuations are stretched. Certainly they can become more so before we get a selloff, but every day that stocks rally, they get more expensive.

I've written on Seeking Alpha about a number of stocks which I regard as expensive (CRM, OPEN, GMCR), and take my word for it: there are plenty more than these whose shares I do not want to own at present levels. A few weeks ago, I also mused about the Facebook-Goldman deal and argued that this valuation is indicative of excessive investor enthusiasm. Bargains are hard to find, and as valuations go up, so does positive sentiment. While this is not a prediction of an impending correction or bear market, it is a message of caution for people who think stocks are cheap right now.

All that said, I always try to consider both sides of any investment issue, and there are some reasons for optimism. Job growth has shown signs of improvement, and some economic data have been increasingly (though not uniformly) positive. The Federal Reserve remains accommodative, and I'm skeptical about whether or not there is political will for austerity. For these reasons, stocks could continue onward and upward. That said, I see too many reasons for caution, and investors are turning a blind eye to these concerns as their complacency rises.’

12 Economic Collapse Scenarios That We Could Potentially See In 2011 What could cause an economic collapse in 2011? Well, unfortunately there are quite a few “nightmare scenarios” that could plunge the entire globe into another massive financial crisis.
The Economic Collapse Jan 20, 2011 ‘What could cause an economic collapse in 2011? Well, unfortunately there are quite a few “nightmare scenarios” that could plunge the entire globe into another massive financial crisis. The United States, Japan and most of the nations in Europe are absolutely drowning in debt. The Federal Reserve continues to play reckless games with the U.S. dollar. The price of oil is skyrocketing and the global price of food just hit a new record high. Food riots are already breaking out all over the world. Meanwhile, the rampant fraud and corruption going on in world financial markets is starting to be exposed and the whole house of cards could come crashing down at any time. Most Americans have no idea that a horrific economic collapse could happen at literally any time. There is no way that all of this debt and all of this financial corruption is sustainable. At some point we are going to reach a moment of “total system failure”.

So will it be soon? Let’s hope not. Let’s certainly hope that it does not happen in 2011. Many of us need more time to prepare. Most of our families and friends need more time to prepare. Once this thing implodes there isn’t going to be an opportunity to have a “do over”. We simply will not be able to put the toothpaste back into the tube again.

So we had all better be getting prepared for hard times. The following are 12 economic collapse scenarios that we could potentially see in 2011….

#1 U.S. debt could become a massive crisis at any moment. China is saying all of the right things at the moment, but many analysts are openly worried about what could happen if China suddenly decides to start dumping all of the U.S. debt that they have accumulated. Right now about the only thing keeping U.S. government finances going is the ability to borrow gigantic amounts of money at extremely low interest rates. If anything upsets that paradigm, it could potentially have enormous consequences for the entire world financial system.

#2 Speaking of threats to the global financial system, it turns out that “quantitative easing 2″ has had the exact opposite effect that Ben Bernanke planned for it to have. Bernanke insisted that the main goal of QE2 was to lower interest rates, but instead all it has done is cause interest rates to go up substantially. If Bernanke this incompetent or is he trying to mess everything up on purpose?

#3 The debt bubble that the entire global economy is based on could burst at any time and throw the whole planet into chaos. According to a new report from the World Economic Forum, the total amount of credit in the world increased from $57 trillion in 2000 to $109 trillion in 2009. The WEF says that now the world is going to need another $100 trillion in credit to support projected “economic growth” over the next decade. So is this how the new “global economy” works? We just keep doubling the total amount of debt every decade?

#4 As the U.S. government and the Federal Reserve continue to pump massive amounts of new dollars into the system, the floor could fall out from underneath the U.S. dollar at any time. The truth is that we are already starting to see inflation really accelerate and everyone pretty much acknowledges that official U.S. governments figures for inflation are an absolute joke. According to one new study, the cost of college tuition has risen 286% over the last 20 years, and the cost of “hospital, nursing-home and adult-day-care services” rose 269% during those same two decades. All of this happened during a period of supposedly “low” inflation. So what are price increases going to look like when we actually have “high” inflation?

#5 One of the primary drivers of global inflation during 2011 could be the price of oil. A large number of economists are now projecting that the price of oil could surge well past $100 dollars a barrel in 2011. If that happens, it is going to put significant pressure on the price of almost everything else in the entire global economy. In fact, as I have explained previously, the higher the price of oil goes, the faster the U.S. economy will decline.

#6 Food inflation is already so bad in some areas of the globe that it is setting off massive food riots in nations such as Tunisia and Algeria. In fact, there have been reports of people setting themselves on fire all over the Middle East as a way to draw attention to how desperate they are. So what is going to happen if global food prices go up another 10 or 20 percent and food riots spread literally all over the globe during 2011?

#7 There are persistent rumors that simply will not go away of massive physical gold and silver shortages. Demand for precious metals has never been higher. So what is going to happen when many investors begin to absolutely insist on physical delivery of their precious metals? What is going to happen when the fact that far, far, far more “paper gold” and “paper silver” has been sold than has ever actually physically existed in the history of the planet starts to come out? What would that do to the price of gold and silver?

#8 The U.S. housing industry could plunge the U.S. economy into another recession at any time. The real estate market is absolutely flooded with homes and virtually nobody is buying. This massive oversupply of homes means that the construction of new homes has fallen off a cliff. In 2010, only 703,000 single family, multi-family and manufactured homes were completed. This was a new record low, and it was down 17% from the previous all-time record which had just been set in 2009.

#9 A combination of extreme weather and disease could make this an absolutely brutal year for U.S. farmers. This winter we have already seen thousands of new cold weather and snowfall records set across the United States. Now there is some very disturbing news emerging out of Florida of an “incurable bacteria” that is ravaging citrus crops all over Florida. Is there a reason why so many bad things are happening all of a sudden?

#10 The municipal bond crisis could go “supernova” at any time. Already, investors are bailing out of bonds at a frightening pace. State and local government debt is now sitting at an all-time high of 22 percent of U.S. GDP. According to Meredith Whitney, the municipal bond crisis that we are facing is a gigantic threat to our financial system….

“It has tentacles as wide as anything I’ve seen. I think next to housing this is the single most important issue in the United States and certainly the largest threat to the U.S. economy.”

Former Los Angeles mayor Richard Riordan is convinced that things are so bad that literally 90% of our states and cities could go bankrupt over the next five years….

#11 Of course on top of everything else, the quadrillion dollar derivatives bubble could burst at any time. Right now we are watching the greatest financial casino in the history of the globe spin around and around and around and everyone is hoping that at some point it doesn’t stop. Today, most money on Wall Street is not made by investing in good business ideas. Rather, most money on Wall Street is now made by making the best bets. Unfortunately, at some point the casino is going to come crashing down and the game will be over.

#12 The biggest wildcard of all is war. The Korean peninsula came closer to war in 2010 than it had in decades. The Middle East could literally explode at any time. We live in a world where a single weapon can take out an entire city in an instant. All it would take is a mid-size war or a couple of weapons of mass destruction to throw the entire global economy into absolute turmoil.

Once again, let us hope that none of these economic collapse scenarios happens in 2011.

However, we have got to realize that we can’t keep dodging these bullets forever.

As bad as 2010 was, the truth is that it went about as good as any of us could have hoped. Things are still pretty stable and times are still pretty good right now.

But instead of using these times to “party”, we should be using them to prepare.

A really, really vicious economic storm is coming and it is going to be a complete and total nightmare. Get ready, hold on tight, and say your prayers.’

Poor Recovery: The Problem Is Institutional [ Well it’s true that the problem is institutional as in pervasively corrupt, incompetent, nonproductive in real terms relative to their cost / damage (still no pros on the wall street fraud which is ongoing in terms of the last crisis, the worthless paper marked to anything, and the current bubble fraud that’s high-frequency computerized churn-and-earn high-frequency commissioned / sold into, 360 tons of $100 bills disappear in Iraq, etc.. What do they get paid for?) ( Peter Schiff: Washington a parasite to economy ‘US foreclosures hit record highs in 2010, but that may not be the worst of it. 2011 may be even worse. Meanwhile, JP Morgan Chase exceeded market expectations, announcing a 47% rise in quarterly profits and released details on a $28.1 billion pay and bonus pool. Peter Schiff, the President of Euro Pacific Capital said Washington and Wall Street are becoming one force and are sucking the underlying American dry like a parasite’.); but the problem is structural, as in transfer of jobs, industries, etc. (among the sources of the huge over-compensation to wall street, company executives), never to return in any meaningful sense; and as in the defacto bankruptcy of the nation with insurmountable record debt / deficits or stated another way, broke. Unlike in the past, once beyond the propaganda, rhetoric, and smoke and mirrors / obfuscation, there is no prospective way for america to grow its way out, nor are there funds in real money with which to do it. Quite simply, america’s broke / bankrupt in every which way. ] Loundsbury ‘Harold Meyerson, Op Ed Columnist at The Washington Post, has hit the nail right on the head, in the opinion of GEI. Meyerson says the debate about whether the recession and poor recovery is a cyclical problem or a structural problem is misguided. He says the problem is institutional - - - and is he ever right!

In a column last week, Myerson points out that the devastation of The Great Recession has fallen disproportionately on the blue collar population, those without a college degree. And he traces the rolling over of median family income in this century, not just in the downturn, but since the turn of the century. Even at the peak, in 2007, median family income was less than in 2000.

What Meyerson doesn't point out is that average incomes have faired better in the 21st century and in all of the past 50 years. In fact, average family income has risen more than 2.5 times as much and median income over the last 30 years. Why is this important? Because the more there is a fat tail of ever higher incomes for a few, the greater the difference between average and median income becomes.

Myerson says:

The great sociologist William Julius Wilson has long argued that the key to the unraveling of the lives of the African American poor was the decline in the number of "marriageable males" as work disappeared from the inner city. Much the same could now be said of working-class whites in neighborhoods that may not look like the ghettos of Cleveland or Detroit but in which productive economic activity is increasingly hard to find.

This grim new reality has yet to inform our debate over how to come back from this mega-recession. Those who believe our downturn is cyclical argue that job-creating public spending can restore us to prosperity, while those who believe it's structural - that we have too many carpenters, say, and not enough nurses - believe that we should leave things be while American workers acquire new skills and enter different lines of work. But there's a third way to look at the recession: that it's institutional, that it's the consequence of the decisions by leading banks and corporations to stop investing in the job-creating enterprises that were the key to broadly shared prosperity.

Since Meyerson has chosen income disparity as a cornerstone of his argument, let's look at how incomes have grown over the last 50 years. These are shown in the following graph, not adjusted for inflation.

click to enlarge images [chart]

Real median income and average income seem to grow similarly in the 1950s and 1960s, the growth of average income starts to pull away in the mid-1960s and appears to continue to gain gound for the the next 40+ years. The more average income deviates from median income the more money is found in the high income tail on the distribution curve. This is often called a "fat tail", which is very appropriate in this discussion because that is where the fat cats are. The fat tail has not gotten so because ten times as many people equaled the incomes of the former fat cats, but more because a few fat cats have received 10 times the income. This is exemplified by the often quoted statistic that average CEO salaries were 40x average worker pay 50 years ago and today are more like 400x.

The change income distribution that seems to be appearing in the above graph becomes more apparent in the following graph where real income gains are shown for the last six decades starting with the ten years from 1949 - 1959 (the 1950s) and ending with 1999 - 2009 (the 2000s). [chart]

The 1950s and 60s were real boom years. Starting with the 1970s a lower level of income growth was established, but even that lower level could not be maintained in the 2000s.

After the 1950s every decade has seen average real income grow more than the median. The fat tail has gotten fatter over the past half century in every decade, without exception. Yes the average did decline in the 2000s, but the median declined 76% more!

The most dramatic pattern of change is evident when the data is divided into two halves: 1949 to 1979 and 1979 - 2009. This is done in the following graph: [chart]

For thirty years after World War II the wealth of the country increased in a balanced manner. The average income containing the greater contribution from the top earners of the day, grew at a rate very similar to the income growth of the broader population, represented by the median.

Yes there were "fat cats" and they had significantly larger incomes than the bulk of the population. And these top incomes grew over those three decades, but at almost the same rate as the majority of the populace.

Then something happened. From 1979-2009 it appears that the American pie suddenly got smaller. In the later three decades the real median income growth was less than 10% of the rate seen from 1949 to 1979. And as the pie got smaller, the fat cats took a much larger share. The average income grew at a rate 254% that of the median income. You might say that, as the cow gave less milk, the top of the economic ladder skimmed more and more cream off the top.

Meyerson identifies the force majuere to be corporate America:

Our multinational companies still invest, of course - just not at home. A study by the Business Roundtable and the U.S. Council Foundation found that the share of the profits of U.S.-based multinationals that came from their foreign affiliates had increased from 17 percent in 1977 and 27 percent in 1994 to 48.6 percent in 2006. As the companies' revenue from abroad has increased, their dependence on American consumers has diminished. The equilibrium among production, wages and purchasing power - the equilibrium that Henry Ford famously recognized when he upped his workers' pay to an unheard-of $5 a day in 1913 so they could afford to buy the cars they made, the equilibrium that became the model for 20th-century American capitalism - has been shattered. Making and selling their goods abroad, U.S. multinationals can slash their workforces and reduce their wages at home while retaining their revenue and increasing their profits. And that's exactly what they've done.

Meyerson doesn't get into some of the other areas that might be brought to bear on the current condition of the American economy:

He doesn't address the fact that the U.S. ranks below some third world countries in education.
He doesn't discuss the increasing burden of health care, both because costs have been running out of control and because an ever increasing portion of the population is kept from making the contribution they might have otherwise because of poor health.
He doesn't discuss the capture of much potential domestic capital by financial engineers who find it much easier to get rich in a rigged casino than to make money the old fashioned way.

Part of the problem is that Americans have fallen into the way of the easiest path, where, either by credit card or by making quick trades, the desires of the moment are satisfied with no seemingly current cost.

It seems that few want to think about the needs of tomorrow. This is true starting with the masses who kiss off the idea of working hard in school to prepare for what they will need 20 years down the road. This is also true of the "capitalist" who finds that skimming a few percent off each of many deals a year to get quick, large quarterly returns is much easier than investing and building something that will will make much larger returns extending over decades and producing things of real economic utility.

There are a number of things that Meyerson does not address, but if you want to hit one nail at a time, I think he has picked the baddest nail in the plank. He finishes his column thusly:

Our economic woes, then, are not simply cyclical or structural. They are also - chiefly - institutional, the consequence of U.S. corporate behavior that has plunged us into a downward cycle of underinvestment, underemployment and under-consumption. Our solutions must be similarly institutional, requiring, for starters, the seating of public and worker representatives on corporate boards. Short of that, there will be no real prospects for reversing America's downward mobility.

If we were to address all the other issues I mentioned previously and did not address the institutional problem Meterson has identified, we would not ultimately solve our economic puzzle.’

20 Shocking New Economic Records That Were Set In 2010 2010 was quite a year, wasn’t it? 2010 will be remembered for a lot of things, but for those living in the United States, one of the main things that last year will be remembered for is economic decline…The Economic Collapse Jan 14, 2011 ‘2010 was quite a year, wasn’t it? 2010 will be remembered for a lot of things, but for those living in the United States, one of the main things that last year will be remembered for is economic decline. The number of foreclosure filings set a new record, the number of home repossessions set a new record, the number of bankruptcies went up again, the number of Americans that became so discouraged that they simply quit looking for work reached a new all-time high and the number of Americans on food stamps kept setting a brand new record every single month. Meanwhile, U.S. government debt reached record highs, state government debt reached record highs and local government debt reached record highs. What a mess! In fact, even many of the “good” economic records that were set during 2010 were indications of underlying economic weakness. For example, the price of gold set an all-time record during 2010, but one of the primary reasons for the increase in the price of gold was that the U.S. dollar was rapidly losing value. Most Americans had been hoping that 2010 would be the beginning of better times, but unfortunately economic conditions just kept getting worse.

So will things improve in 2011? That would be nice, but at this point there are not a whole lot of reasons to be optimistic about the economy. The truth is that we are trapped in a period of long-term economic decline and we are now paying the price for decades of horrible decisions.

Amazingly, many of our politicians and many in the mainstream media have declared that “the recession is over” and that the U.S. economy is steadily improving now.

Well, if anyone tries to tell you that the economy got better in 2010, just show them the statistics below. That should shut them up for a while.

The following are 20 new economic records that were set during 2010….

#1 An all-time record of 2.87 million U.S. households received a foreclosure filing in 2010.

#2 The number of homes that were actually repossessed reached the 1 million mark for the first time ever during 2010.

#3 The price of gold moved above $1400 an ounce for the first time ever during 2010.

#4 According to the American Bankruptcy Institute, approximately 1.53 million consumer bankruptcy petitions were filed in 2010, which was up 9 percent from 1.41 million in 2009. This was the highest number of personal bankruptcies we have seen since the U.S. Congress substantially tightened U.S. bankruptcy law several years ago.

#5 At one point during 2010, the average time needed to find a job in the United States had risen to an all-time record of 35.2 weeks.

#6 Back in 1970, 25 percent of all jobs in the United States were manufacturing jobs. Today, only 9 percent of the jobs in the United States are manufacturing jobs, which is believed to be a new record low.

#7 The number of Americans working part-time jobs “for economic reasons” was the highest it has been in at least five decades during 2010.

#8 The number of American workers that are so discouraged that they have given up searching for work reached an all-time high near the end of 2010.

#9 Government spending continues to set new all-time records. In fact, at the moment the U.S. government is spending approximately 6.85 million dollars every single minute.

#10 The number of Americans on food stamps surpassed 43 million by the end of 2010. This was a new all-time record, and government officials fully expect the number of Americans enrolled in the program to continue to increase throughout 2011.

#11 The number of Americans on Medicaid surpassed 50 million for the first time ever in 2010.

#12 The U.S. Census Bureau originally announced that 43.6 million Americans are now living in poverty and according to them that was the highest number of Americans living in poverty that they had ever recorded in 51 years of record-keeping. But now the Census Bureau says that they miscalculated and that the real number of poor Americans is actually 47.8 million.

#13 According to the FDIC, 157 banks failed during 2010. That was the highest number of bank failures that the United States has experienced in any single year during the past decade.

#14 The Federal Reserve brought in a record $80.9 billion in profits during 2010. They returned $78.4 billion of that to the U.S. Treasury, but the real story is that thanks to the Federal Reserve’s continual debasement of our currency, the U.S. dollar was worth less in 2010 than it ever had been before.

#15 It is projected that the major financial firms on Wall Street will pay out an all-time record of $144 billion in compensation for 2010.

#16 Americans now owe more than $881 billion on student loans, which is a new all-time record.

#17 In July, sales of new homes in the United States declined to the lowest level ever recorded.

#18 According to Zillow, U.S. housing prices have now declined a whopping 26 percent since their peak in June 2006. Amazingly, this is even farther than house prices fell during the Great Depression. From 1928 to 1933, U.S. housing prices only fell 25.9 percent.

#19 State and local government debt reached at an all-time record of 22 percent of U.S. GDP during 2010.

#20 The U.S. national debt has surpassed the 14 trillion dollar mark for the first time ever and it is being projected that it will soar well past 15 trillion during 2011.

There are some people that have a hard time really grasping what statistics actually mean. For people like that, often pictures and charts are much more effective. Well, that is one reason I like to include pictures and graphs in many of my articles, and below I have posted my favorite chart from this past year. It shows the growth of the U.S. national debt from 1940 until today. I honestly don’t know how anyone can look at this chart and still be convinced that our nation is not headed for a complete financial meltdown….[chart]

14 Eye Opening Statistics Which Reveal Just How Dramatically The U.S. Economy Has Collapsed Since 2007 Most Americans have become so accustomed to the “new normal” of continual economic decline that they don’t even remember how good things were just a few short years ago. ‘The Economic Collapse Jan 10, 2011

’Most Americans have become so accustomed to the “new normal” of continual economic decline that they don’t even remember how good things were just a few short years ago. Back in 2007, unemployment was very low, good jobs were much easier to get, far fewer Americans were living in poverty or enrolled in welfare programs and government finances were in much better shape. Of course most of this prosperity was fueled by massive amounts of debt, but at least times were better. Unfortunately, things have really deteriorated over the last several years. Since 2007, unemployment has skyrocketed, foreclosures have set new all-time records, personal bankruptcies have soared and U.S. government debt has gotten completely and totally out of control. Poll after poll has shown that Americans are now far less optimistic about the future than they were in 2007. It is almost as if the past few years have literally sucked the hope out of millions upon millions of Americans.

Sadly, our economic situation is continually getting worse. Every month the United States loses more factories. Every month the United States loses more jobs. Every month the collective wealth of U.S. citizens continues to decline. Every month the federal government goes into even more debt. Every month state and local governments go into even more debt.

Unfortunately, things are going to get even worse in the years ahead. Right now we look back on 2005, 2006 and 2007 as “good times”, but in a few years we will look back on 2010 and 2011 as “good times”.

We are in the midst of a long-term economic decline, and the very bad economic choices that we have been making as a nation for decades are now starting to really catch up with us.

So as horrible as you may think that things are now, just keep in mind that things are going to continue to deteriorate in the years ahead.

But for the moment, let us remember how far we have fallen over the past few years. The following are 14 eye opening statistics which reveal just how dramatically the U.S. economy has collapsed since 2007….

#1 In November 2007, the official U.S. unemployment rate was just 4.7 percent. Today, the official U.S. unemployment rate is 9.4 percent.

#2 In November 2007, 18.8% of unemployed Americans had been out of work for 27 weeks or longer. Today that percentage is up to 41.9%.

#3 As 2007 began, there were just over 1 million Americans that had been unemployed for half a year or longer. Today, there are over 6 million Americans that have been unemployed for half a year or longer.

#4 Nearly 10 million Americans now receive unemployment insurance, whichis almost four times as many as were receiving it back in 2007.

#5 More than half of the U.S. labor force (55 percent) has “suffered a spell of unemployment, a cut in pay, a reduction in hours or have become involuntary part-time workers” since the “recession” began in December 2007.

#6 According to one analysis, the United States has lost a total of approximately 10.5 million jobs since 2007.

#7 As 2007 began, only 26 million Americans were on food stamps. Today, an all-time record of 43.2 million Americans are enrolled in the food stamp program.

#8 In 2007, the U.S. government held a total of $725 billion in mortgage debt. As of the middle of 2010, the U.S. government held a total of $5.148 trillion in mortgage debt.

#9 In the year prior to the “official” beginning of the most recent recession in 2007, the IRS filed just 684,000 tax liens against U.S. taxpayers. During 2010, the IRS filed over a million tax liens against U.S. taxpayers.

#10 From the year 2000 through the year 2007, there were 27 bank failures in the United States. From 2008 through 2010, there were 314 bank failures in the United States.

#11 According to the U.S. Department of Housing and Urban Development, the number of U.S. families with children living in homeless sheltersincreased from 131,000 to 170,000 between 2007 and 2009.

#12 In 2007, one poll found that 43 percent of Americans were living “paycheck to paycheck”. Sadly, according to a survey released very close to the end of 2010, approximately 55 percent of all Americans are now living paycheck to paycheck.

#13 In 2007, the “official” federal budget deficit was just 161 billion dollars. In 2010, the “official” federal budget deficit was approximately 1.3 trillion dollars.

#14 As 2007 began, the U.S. national debt was just under 8.7 trillion dollars. Today, the U.S. national debt has just surpassed 14 trillion dollars and it continues to soar into the stratosphere.

So is there any hope that we can turn all of this around?

Unfortunately, the massive amount of debt that we have piled up as a society over the last several decades has made that impossible.

If you add up all forms of debt (government debt, business debt, individual debt), it comes to approximately 360 percent of GDP. It is the biggest debt bubble in the history of the world.

If the federal government and our state governments stop borrowing and spending so much money, our economy would collapse. But if they keep borrowing and spending so much money they will continually make the eventual economic collapse even worse.

We are in the terminal stages of the most horrific debt spiral the world has ever seen, and when the debt spiral gets stopped the house of cards is going to finally come down for good.

So enjoy these times while you still have them. Yes, today is not nearly as prosperous as 2007 was, but today is most definitely a whole lot better than 2015 or 2020 is going to be.

Sadly, we could have avoided this financial disaster completely if only we had listened more carefully to those that founded this nation. Once upon a time, Thomas Jefferson said the following….

I wish it were possible to obtain a single amendment to our Constitution. I would be willing to depend on that alone for the reduction of the administration of our government to the genuine principles of its Constitution; I mean an additional article, taking from the federal government the power of borrowing.’

Tipping Point: 25 Signs That The Coming Financial Collapse Is Now Closer Then Ever The financial collapse that so many of us have been anticipating is seemingly closer then ever. Over the past several weeks, there have been a host of ominous signs for the U.S. economy.

The Economic Collapse
Dec 17, 2010

The financial collapse that so many of us have been anticipating is seemingly closer then ever. Over the past several weeks, there have been a host of ominous signs for the U.S. economy. Yields on U.S. Treasuries have moved up rapidly and Moody’s is publicly warning that it may have to cut the rating on U.S. government debt soon. Mortgage rates are also moving up aggressively. The euro and the U.S. dollar both look incredibly shaky. Jobs continue to be shipped out of the United States at a blistering pace as our politicians stand by and do nothing. Confidence in U.S. government debt around the globe continues to decline. State and local governments that are drowning in debt across the United States are savagely cutting back on even essential social services and are coming up with increasingly “creative” ways of getting more money out of all of us. Meanwhile, tremor after tremor continues to strike the world financial system. So does this mean that we have almost reached a tipping point? Is the world on the verge of a major financial collapse?

Let’s hope not, but with each passing week the financial news just seems to get eve worse. Not only is U.S. government debt spinning wildly toward a breaking point, but many U.S. states (such as California) are in such horrific financial condition that they are beginning to resemble banana republics.

But it is not just the United States that is in trouble. Nightmarish debt problems in Greece, Spain, Portugal, Ireland, Italy, Belgium and several other European nations threaten to crash the euro at any time. In fact, many economists are now openly debating which will collapse first – the euro or the U.S. dollar.

Sadly, this is the inevitable result of constructing a global financial system on debt. All debt bubbles eventually collapse. Currently we are living in the biggest debt bubble in the history of the world, and when this one bursts it is going to be a disaster of truly historic proportions.

So will we reach a tipping point soon? Well, the following are 25 signs that the financial collapse is rapidly getting closer….

#1 The official U.S. unemployment rate has not been beneath 9 percent since April 2009.

#2 According to the U.S. Census Bureau, there are currently 6.3 million vacant homes in the United States that are either for sale or for rent.

#3 It is being projected that the U.S. trade deficit with China could hit 270 billion dollars for the entire year of 2010.

#4 Back in 2000, 7.2 percent of blue collar workers were either unemployed or underemployed. Today that figure is up to 19.5 percent.

#5 The Chinese government has accumulated approximately $2.65 trillion in total foreign exchange reserves. They have drained this wealth from the economies of other nations (such as the United States) and instead of reinvesting all of it they are just sitting on much of it. This is creating tremendous imbalances in the global economy.

#6 Since the year 2000, we have lost 10% of our middle class jobs. In the year 2000 there were approximately 72 million middle class jobs in the United States but today there are only about 65 million middle class jobs.

#7 The United States now employs about the same number of people in manufacturing as it did back in 1940. Considering the fact that we had 132 million people living in this country in 1940 and that we have well over 300 million people living in this country today, that is a very sobering statistic.

#8 According to CoreLogic, U.S. housing prices have now declined for three months in a row.

#9 The average rate on a 30 year fixed rate mortgage soared 11 basis points just this past week. As mortgage rates continue to push higher it is going to make it even more difficult for American families to afford homes.

#10 22.5 percent of all residential mortgages in the United States were in negative equity as of the end of the third quarter of 2010.

#11 The U.S. monetary base has more than doubled since the beginning of the most recent recession.

#12 U.S. Treasury yields have been rising steadily during the 4th quarter of 2010 and recently hit a six-month high.

#13 Incoming governor Jerry Brown is scrambling to find $29 billion more to cut from the California state budget. The following quote from Brown about the desperate condition of California state finances is not going to do much to inspire confidence in California’s financial situation around the globe….

“We’ve been living in fantasy land. It is much worse than I thought. I’m shocked.”

#14 24.3 percent of the residents of El Centro, California are currently unemployed.

#15 The average home in Merced, California has declined in value by 63 percent over the past four years.

#16 Detroit Mayor Dave Bing has come up with a new way to save money. He wants to cut 20 percent of Detroit off from essential social services such as road repairs, police patrols, functioning street lights and garbage collection.

#17 The second most dangerous city in the United States – Camden, New Jersey – is about to lay off about half its police in a desperate attempt to save money.

#18 In 2010, 55 percent of Americans between the ages of 60 and 64 were in the labor market. Ten years ago, that number was just 47 percent. More older Americans than ever find that they have to keep working just to survive.

#19 Back in 1998, the United States had 25 percent of the world’s high-tech export market and China had just 10 percent. Ten years later, the United States had less than 15 percent and China’s share had soared to 20 percent.

#20 The U.S. government budget deficit increased to a whopping $150.4 billion last month, which represented the biggest November budget deficit on record.

#21 The U.S. government is somehow going to have to roll over existing debt and finance new debt that is equivalent to 27.8 percent of GDP in 2011.

#22 The United States had been the leading consumer of energy on the globe for about 100 years, but this past summer China took over the number one spot.

#23 According to an absolutely stunning new poll, 40 percent of all U.S. doctors plan to bail out of the profession over the next three years.

#24 As 2007 began, there were just over 1 million Americans that had been unemployed for half a year or longer. Today, there are over 6 million Americans that have been unemployed for half a year or longer.

#25 All over the United States, local governments have begun instituting “police response fees”. For example, New York Mayor Michael Bloomberg has come up with a plan under which a fee of $365 would be charged if police are called to respond to an automobile accident where no injuries are involved. If there are injuries as a result of the crash that is going to cost extra.

16 Nightmarish Economic Trends To Watch Carefully In 2011 The American Dream Dec 15, 2010 ‘If you only watch the “economic pundits” on television, it can be very confusing to figure out exactly what is happening with the U.S. economy. One pundit will pull out a couple statistics that got a little bit better over the past month and claim that we have entered a time of solid recovery. Another pundit will pull out a couple statistics that got a little worse over the past month and claim that we are headed for trouble. So what is the truth? Well, if you really want to get a clear idea of what is really going on you have to look at the long-term trends. There are some economic trends which just keep getting worse year after year after year, and it is those trends that tell the real story of the decline of our economic system.

As you examine the long-term trends, you quickly come to realize that the U.S. is trapped in an endless spiral of debt, the middle class is being wiped out, the U.S. dollar is being destroyed and America is rapidly becoming a post-industrial wasteland.

Posted below are 16 nightmarish economic trends to watch carefully in 2011. It is becoming exceedingly apparent that unless something is done rapidly we are heading for an economic collapse of unprecedented magnitude….

#1 Do you want to see something scary? Just check out the chart below. Since the beginning of the economic downturn, the U.S. monetary base has more than doubled. But don’t worry – Federal Reserve Chairman Ben Bernanke has promised us that this could never cause inflation. In fact, Bernanke says that we need to inject even more dollars into the economy. So if you are alarmed by the chart below, you are just being irrational according to Bernanke….

[chart]

#2 Thousands of our factories, millions of our jobs and hundreds of billions of dollars of our national wealth continue to be shipped overseas. In 1985, the U.S. trade deficit with China was 6 million dollars for the entire year. In the month of August alone, the U.S. trade deficit with China was over 28 billion dollars. Nobel economist Robert W. Fogel of the University of Chicago is projecting that the Chinese economy will be three times larger than the U.S. economy by the year 2040 if current trends continue.

#3 The United States is rapidly becoming a post-industrial wasteland. Back in 1959, manufacturing represented 28 percent of all U.S. economic output. In 2008, it represented only 11.5 percent and it continues to fall. Sadly, the truth is that America is being deindustrialized. As of the end of 2009, less than 12 million Americans worked in manufacturing. The last time that less than 12 million Americans were employed in manufacturing was in 1941.

#4 The number of Americans that have been out of work for an extended period of time has absolutely exploded over the last few years. As 2007 began, there were just over 1 million Americans that had been unemployed for half a year or longer. Today, there are over 6 million Americans that have been unemployed for half a year or longer.

#5 The middle class continues to be squeezed out of existence. According to a poll taken in 2009, 61 percent of Americans ”always or usually” live paycheck to paycheck. That was up substantially from 49 percent in 2008 and 43 percent in 2007.

#6 The number of Americans living in poverty is absolutely skyrocketing. 42.9 million Americans are now on food stamps, and one out of every six Americans is now enrolled in at least one anti-poverty program run by the federal government. Unfortunately, many of those that have been hardest hit by this economic downturn have been children. According to one new study, approximately 21 percent of all children in the United States are living below the poverty line in 2010 - the highest rate in 20 years.

#7 Many American families have been pushed beyond the breaking point during this economic downturn. Over 1.4 million Americans filed for personal bankruptcy in 2009, which represented a 32 percent increase over 2008. The final number for 2010 is expected to be even higher.

#8 The U.S. real estate market continues to stagnate. During the third quarter of 2010, 67 percent of mortgages in Nevada were “underwater”, 49 percent of mortgages in Arizona were “underwater” and 46 percent of mortgages in Florida were “underwater”. So what happens if home prices go down even more?

#9 More elderly Americans than ever are being forced to put off retirement and continue working. In 2010, 55 percent of Americans between the ages of 60 and 64 were in the labor market. Ten years ago, that number was just 47 percent. Unfortunately, it looks like this problem will only get worse in the years ahead. In America today, approximately half of all workers have less than $2000 saved up for retirement.

#10 In the United States today, there are simply far too many retirees and not nearly enough workers to support them. Back in 1950 each retiree’s Social Security benefit was paid for by 16 workers. Today, each retiree’s Social Security benefit is paid for by approximately 3.3 workers. By 2025 it is projected that there will be approximately two workers for each retiree.

#11 Financial assets continue to become concentrated in fewer and fewer hands. For example, the “big four” U.S. banks (Citigroup, JPMorgan Chase, Bank of America and Wells Fargo) had approximately 22 percent of all deposits in FDIC-insured institutions back in 2000. As of the middle of 2009 that figure was up to 39 percent.

#12 The Federal Reserve has been destroying the value of the U.S. dollar for decades. Since the Federal Reserve was created in 1913, the U.S. dollar has lost over 95 percent of its purchasing power. An item that cost $20.00 in 1970 would cost you $112.35 today. An item that cost $20.00 in 1913 would cost you $440.33 today.

#13 Commodity prices continue to soar into the stratosphere. Ten years ago, the price of a barrel of oil hovered around 20 to 30 dollars most of the time. Today, the price of oil is rapidly closing in on 100 dollars a barrel and there are now fears that it could soon go much higher than that.

#14 Federal government spending is completely and totally out of control. The U.S. government budget deficit increased to a whopping $150.4 billion last month, which represented the biggest November deficit on record. But our politicians can’t seem to break their addiction to debt. In fact, Democrats are trying to ram through a 1,924 page, 1.1 trillion dollar spending bill in the final days of the lame-duck session of Congress before the Republicans take control of the House of Representatives next year.

#15 The U.S. national debt is rapidly closing in on 14 trillion dollars. It is more than 13 times larger than it was just 30 short years ago. According to an official U.S. Treasury Department report to Congress, the U.S. national debt is projected to climb to an estimated $19.6 trillion by 2015.

#16 Unfortunately, the official government numbers grossly understate the horrific nature of the crisis we are facing. John Williams of Shadow Government Statistics has calculated that if the federal government would have used GAAP accounting standards to measure the federal budget deficit for 2009, it would have been approximately 8.8 trillion dollars. Not only that, but John Williams now says that U.S. government debt is so wildly out of control that it is mathematically impossible for us to “grow” our way out of it….

The government’s finances not only are out of control, but the actual deficit is not containable. Put into perspective, if the government were to raise taxes so as to seize 100% of all wages, salaries and corporate profits, it still would be showing an annual deficit using GAAP accounting on a consistent basis. In like manner, given current revenues, if it stopped spending every penny (including defense and homeland security) other than for Social Security and Medicare obligations, the government still would be showing an annual deficit. Further, the U.S. has no potential way to grow out of this shortfall.

The more one examines the U.S. economic situation, the more depressing it becomes. The U.S. financial system is trapped inside a horrific debt spiral and we are headed straight for economic oblivion.

If our leaders attempt to interrupt the debt spiral it will plunge our economy into a depression. If our leaders attempt to keep the debt spiral going for several more years it will just make the eventual crash even worse. Either way, we are headed for a financial implosion that will be truly historic.

The debt-fueled good times that we have been enjoying for the last several decades are rapidly coming to an end. Unfortunately for the tens of millions of Americans that are already suffering, our economic problems are only going to get worse in the years ahead.’

Jobless Recovery?: 25 Unemployment Statistics That Are Almost Too Depressing To Read ‘… Unemployment is up again! That’s right – even though Wall Street is swimming in cash and the Obama administration is declaring that “the recession is over”, the U.S. unemployment rate has gone even higher. So are you enjoying the jobless recovery? Economic Collapse Blog Dec 4, 2010 ‘Guess what? Unemployment is up again! That’s right – even though Wall Street is swimming in cash and the Obama administration is declaring that “the recession is over”, the U.S. unemployment rate has gone even higher ... Times are really, really tough and unfortunately the long-term outlook is very bleak. We should have compassion on those who are out of work right now, because soon many of us may join them.

The following are 25 unemployment statistics that are almost too depressing to read….

#1 According to the Bureau of Labor Statistics, the U.S. unemployment rate for November was 9.8 percent. This was up from 9.6 percent in October, and it continues a trend of depressingly high unemployment rates. The official unemployment number has been at 9.5 percent or higher for well over a year at this point.

#2 In November 2006, the “official” U.S. unemployment rate was just 4.5 percent.

#3 Most economists had been expecting the U.S. economy to add about 150,000 jobs in November. Instead, it only added 39,000.

#4 In the United States today, there are over 15 million people who are “officially” considered to be unemployed for statistical purposes. But everyone knows that the “real” number is even much larger than that.

#5 As 2007 began, there were just over 1 million Americans that had been unemployed for half a year or longer. Today, there are over 6 million Americans that have been unemployed for half a year or longer.

#6 The number of “persons not in the labor force” in the United States recently set another new all-time record.

#7 It now takes the average unemployed American over 33 weeks to find a job.

#8 When you throw in “discouraged workers” and “underemployed workers”, the “real” unemployment rate in the state of California is actually about 22 percent.

#9 In America today there are not nearly enough jobs for everyone. In fact, there are now approximately 5 unemployed Americans for every single job opening.

#10 According to The New York Times, Americans that have been unemployed for five weeks or less are three times more likely to find a new job in the coming month than Americans that have been unemployed for over a year.

#11 The U.S. economy would need to create 235,120 new jobs a month to get the unemployment rate down to pre-recession levels by 2016. Does anyone think that there is even a prayer that is going to happen?

#12 There are 9 million Americans that are working part-time for “economic reasons”. In other words, those Americans would gladly take full-time jobs if they could get them, but all they have been able to find is part-time work.

#13 In 2009, total wages, median wages, and average wages all declined in the United States.

#14 As of the end of 2009, less than 12 million Americans worked in manufacturing. The last time that less than 12 million Americans were employed in manufacturing was in 1941.

#15 The United States has lost at least 7.5 million jobs since the recession began.

#16 Today, only about 40 percent of Ford Motor Company’s 178,000 workers are employed in North America, and a big percentage of those jobs are in Canada and Mexico.

#17 In 1959, manufacturing represented 28 percent of U.S. economic output. In 2008, it represented 11.5 percent.

#18 Earlier this year, one poll found that 28% of all American households had at least one member that was looking for a full-time job.

#19 In the United States today, over 18,000 parking lot attendants have college degrees.

#20 The United States has lost a staggering 32 percent of its manufacturing jobs since the year 2000.

#21 As the employment situation continues to stagnate, millions of American families have decided to cut back on things such as insurance coverage. For example, the percentage of American households that have life insurance coverage is at its lowest level in 50 years.

#22 Unless Congress acts, and there is no indication that is going to happen, approximately 2 million Americans will stop receiving unemployment checks over the next couple of months.

#23 A poll that was released by the Pew Research Center back in June discovered that an astounding 55 percent of the U.S. labor force has experienced either unemployment, a pay decrease, a reduction in hours or an involuntary move to part-time work since the economic downturn began.

#24 According to Richard McCormack, the United States has lost over 42,000 factories (and counting) since 2001.

#25 In the United States today, 317,000 waiters and waitresses have college degrees.

But this is what we get for creating the biggest debt bubble in the history of the world. For decades we have been digging a deeper hole for ourselves by going into increasingly larger amounts of debt. In America today, our entire economy is based on debt. Even our money is debt. We were fools if we ever thought this could go on forever. Just think about it. Have you ever gone out and run up a bunch of debt? It can be a lot of fun sitting behind the wheel of a new car, running your credit cards up to the limit and buying a beautiful big house that you cannot afford. But in the end what happens? It always catches up with you. Well, our collective debt is starting to catch up with us. There is a sea of red ink on every level of American society. It is only a matter of time before it destroys our economy. IF YOU THINK THAT THINGS ARE BAD NOW, JUST WAIT. THINGS ARE GOING TO GET A WHOLE LOT WORSE. A HORRIFIC ECONOMIC COLLAPSE IS COMING, AND IT IS GOING TO BE VERY, VERY PAINFUL.’

Howard Davidowitz on the Economy: "Here Are the Numbers ... WE'RE BROKE!" 11-25-10 ‘The U.S. economy "is a complete disaster," Howard Davidowitz declared here in July, the most recent in a string of dire predictions from Tech Ticker's most entertaining guest.On the eve of Thanksgiving, I asked Davidowitz if he had any regrets, or was ready to throw in the towel given recent signs of economic revival. Are you kidding me? "Here are the numbers...we're broke," Davidowitz declares, noting the U.S. government goes $5 billion deeper into debt every day and is facing $1 trillion-plus annual deficits for the next decade. "In other words, we're bankrupt."As with the economy, Davidowitz is unwaveringly consistent in his views on President Obama, calling him "deranged, dysfunctional and discredited."Results of the midterm election show "the people of this country think we are in a catastrophe," he says. "I'm with them."Check the accompanying video for more of Howard's unfettered opinions and stay tuned for additional clips from this interview. And...Happy Thanksgiving! Aaron Task is the host of Tech Ticker. You can follow him on Twitter at @atask or email him at [email protected]’

17 Things Worrying Investors Lloyd's Wall of Worry

Worry Count: 17

CHINA: 1,330,044,605 people can’t be wrong.

The PIIGS: Fasten your seatbelts. It’s gonna be a long, bumpy, expensive, weird, (insert your own adjective here) freak show of a ride.

CALIFORNIA AND THE OTHER 49 STATES: Not yet as dire as “The PIIGS”. Might I suggest the classier moniker of “The Prosciuttos” for the American basket-case states?

QE II: Gobble?

U.S. ECONOMY: The “Punky Brewster” of the global economic landscape.

UNEMPLOYMENT: Only thing worse than losing your job, losing your unemployment check. At least there’s the holiday season to cheer everyone up (read: heavy sarcasm).

TAXES: Praying to the Financial Market Gods that we don’t have another TARP-like vote fiasco.

OBAMA ADMINISTRATION PART II: Still two years before the Pres. election and the peanut gallery is already pleading for a Hail Mary Pass to get them back in the game.

HFT: Instead of beating up these liquidity supplying traders, let’s honor them with their very own stock exchange. But wait -- with no retail saps to pick-off they will never get that Day 1 opening bell tick. Perfect.

XMAS 2010: As my professor friend Nick says, “Nowadays Americans are dining off of two menus – The Million Dollar and the $0.99 Cent.” And both are pissed about it.

CURRENCIES: Poor Mr. Greenback. Does someone need a hug?

HOUSING CRISIS: Price Stabilization – Are we there yet? Just a little bit more. Are we there yet? Just a little bit more. Are we there yet? Just a little bit more….

INFLATION/DEFLATION: Fed Chief Ben B. comes out swinging from his heels in defense of inflation promotion. Don’t punch yourself out as this one is likely to go the distance.

COMMODITIES: Corrected but still sky high; fortunately these prices are only affecting core, basic, life-sustaining necessities and sparing our electronic gadgets and plus-sized SUVs. Whew!

INSIDER TRADING: Another black eye for Hedge Funds. I estimate that makes black eye number 6,597.

INTEREST RATES: South Korea and China slowly turning up the dial to “11”. On the other hand the U.S. has removed the dial altogether. This never ends well….

NORTH KOREA: Here we go again. (and now Egypt, etc.)

Consumer confidence down, LiveLeak.com - Loonie closes above U.S. dollar … dollar for first time closes below parity on Canadian loonie … hey, hey, hey … 'Huge' stock decline — but not yet MarketWatch - Brimelow ‘Commentary: Adens … ‘mega trend’ looks grim … The Adens expect a hyperinflationary collapse … ‘ Oh come on! Manipulated dollar decline with inflated earnings, stock prices thereby, etc., … we’ve seen this all before … the last few crashes … Jobless rate jumps to 9.8% as hiring slows (Washington Post) [ The reality is not a mystery! The nation’s been thrown under the bus for the greater good (wealth) of the very few (frauds on wall street, etc.); wall street giving out record bonuses from their accomplished fraud (with no-recession b.s. bernanke help) of $144 BILLION: Come on! This is gettin’ even more downright ridiculous (if that’s even possible)! Pending home foreclosure / distress sales up, oil prices (and oil stocks) up, debased dollar down, plus a little familiar ‘better than expected’ thrown in along with prospects of a ‘no-recession bernanke’ market-frothing bull session on 60 minutes and, voila, suckers’ rally into the close to keep the suckers suckered! What’s good for the frauds on wall street is bad for just about everyone else which includes the vast majority of people and businesses, domestically and globally, as current dollar manipulation / debasement ultimately results in higher costs and loss of purchasing power (ie., oil, etc.). Clearly, this is one of those fraudulent wealth transfers to the frauds on wall street et als which will ultimately be paid for by those who least are in a position to afford it, courtesy of the ever more worthless Weimar dollar, etc., inflating earnings, eps, lowering p/e multiples, etc., see infra. This is an especially great time to sell / take profits while you can since there's much worse to come! Previous: Rosy numbers on consumer sentiment, unemployment (far better than private forecasts) from the government prior to the holiday so-called ‘shop till you drop’? How can anyone believe anything they say? Najerian interviewed by Motek chimes in with the reason for good retail cheer; viz., people have stopped paying their mortgages and are using the funds to purchase retail goods; while Davidowitz adds that with record numbers of americans on food stamps, real unemployment at 17+, and wall street giving out record bonuses from their accomplished fraud (with no-recession b.s. bernanke help) of $144 BILLION … the high end stores / jewelers will do well … daaaaah! And, with insiders and wall street frauds selling into the bubble as preceded last crash, this is an especially great opportunity to sell / take profits! Suckers’ rally on light volume, full moon, and government complicity (false data / reports) to keep suckers suckered (easy for the wall street frauds to do with just a mouse click / push of the button – and, they know all those technical trade lines that are easy to program in this current phase of the scam/fraud with the debased dollar). Keep in mind, the totally mindless blather from the ‘cottage industries’ of and fraudulent wall street itself in talking up lower P/E multiples when the same is a direct result of the debasement of the dollar and the consequent manipulation / translation (not real, see Davis, infra) which preceded the financial crisis / last crash. Unemployment, trade, deficit, etc., numbers continue decidedly worse than expected along with other negative data (and in the ‘wrong direction’, that spin accorded ‘down but not as bad as before’ b*** s*** ) yet the market has rallied like no tomorrow with used home foreclosure / distressed sales, though abated owing to ‘foreclosuregate’, the other ‘heralded’ good news. Moreover, the dumbo lemmings of Europe have jumped on the fraudulent defacto bankrupt american crazy train propelled to the precipice also as if no tomorrow. This is about keeping the suckers sucked in with the help of a market-frothing pre-election debased dollar for favorable currency translation and paper (but not real when measured in, ie., gold, etc.) profits which preceded the last crisis, inflating a bubble as in the last crisis to facilitate the churn-and-earn, particularly with computerized (and high frequency) trades and which commissions they’ll get again on the way down. There is nothing to support these overbought stock prices, fundamentally or otherwise. These are desperate criminals ‘at work’. Even wall street shill, the senile Buffett is saying we’re still in a recession (depression) [ Davis: ‘… all profits are inflated by 10% (from falling, debased dollar) and that 10% is the E that gets divided from the P and gives us a much better price/multiple to hang our hats on and that gets investors to BUYBUYBUY …’ The bull market that never was / were beyond wall street b.s. when measured in gold ] This is a great opportunity to sell / take profits (these lower dollar, hyperinflationary currency manipulations / translations to froth paper stocks will end quite badly as in last crash)! This is a global depression. This is a secular bear market in a global depression. The past up moves were manipulated bull (s***) cycles (at best) in a secular bear market. This has been a typically manipulated bubble as has preceded the prior crashes with great regularity that the wall street frauds and insiders commission and sell into. This is a typical wall street ‘programmed computerized high-frequency churn and earn pass the hot potato scam / fraud as in prior crashes ( widely reported, high-frequency trading routinely accounts for more than 50% of daily U.S. equity trading volume and regularly approaches 70%. )’. This national decline, economic and otherwise, will not end until justice is served and the wall street frauds et als are criminally prosecuted, jailed, fined, and disgorgement imposed.The Stock Market's Long Decline Has Begun Smith ]

Go to following pages for above links:
http://www.albertpeia.com/currentopics2ndqtr10108.htm
http://www.albertpeia.com
http://www.albertpeia.com/alresume.htm

http://www.albertpeia.com/wallstreetlunacy2ndqtr10108.htm

http://www.scribd.com/alpeia

You may post a comment on my blog on any topic: http://alpeiablog.blogspot.com

National / World

Bush nixes Denver visit, citing invite to Assange [ The best thing that’s happened to Denver for quite some time; after all, it’s doubtful that war criminals have suddenly become fashionable, particularly dumb, burnt out morons as dumbya bush. ](AP)

Infowars.com Takes 1st Place in Alternative News Rating Infowars.com | Alex Jones’ other flagship website, Prison Planet.com, came in the number eight spot on the list.

New Google Algorithm is Live: News Aggregators Will Be Punished Eric Blair & Michael Edwards | We can only conclude that they have begun to wage war on alternative news sites.

Neocon Analysts Push for Invasion of Libya Kurt Nimmo | Obama and Secretary of State Clinton are busy building the required attack consensus.

Glenn Beck’s Secret TheAlexJonesChannel | The truth Beck doesn’t want you to know.

Bankster Economist Heralds Third World Hellholes Kurt Nimmo | Mega-bank Citigroup has trotted out its prime economist to send the message.

Rumsfeld doesn’t have the answers (video) Infowars | Rumsfeld couldn’t answer Mancow’s question about WTC 7 but he also couldn’t give an answer on the Opie and Anthony show.

US military ‘fully involved’ in talks on Libya options Agence France-Presse | “The military is fully involved in these discussions.”

Democrat Urges Union Protesters to Get “Bloody” Politico | Political observers have been the lookout for potentially incendiary rhetoric in the wake of the shooting in Tucson.

Neocon Analysts Push for Invasion of Libya CNN reports the Pentagon and NATO are ready to send troops into Libya under the cover of humanitarian assistance. CNN underscores the situation by stating that reports say Gaddafi will fight to the end and will seek martyrdom.

Libyan rebels say control oil fields, honour deals Rebels in eastern Libya said on Friday they now controlled most of the oil fields east of the town of Ras Lanuf, and said they would honour oil deals as long as they were in the interest of the people.

Bankster Economist Heralds Third World Hellholes The banksters are making it known. You’re going to be a pauper. The mega-bank Citigroup has trotted out its prime economist to send the message.

Madison Mayor, Police Chief Demand Explanation Over Walker Suggestion To Infiltrate Wisconsin Protests The Mayor and the police chief of Madison, Wisconsin have both asked Governor Scott Walker to explain comments he made indicating that he had considered employing “troublemakers” to infiltrate and discredit the Wisconsin protests.

Sheen On Obama: “A Coward In a Cheap Suit” [ I think Sheen to be too gentle in his criticism of wobama. Wobama’s far worse than just a ‘coward in a cheap suit’. Indeed, Wobama’s a total fraud having been elected under false pretenses; viz., his total, unequivocal, and unfulfilled b* s* (those campaign promises) ! Moreover, there has been some persuasive documentation questioning wobama’s citizenship / birthplace placing his eligibility to hold the office of president in question. ] Amidst the controversy of his wild interview on the Alex Jones Show yesterday, actor Charlie Sheen wasted little time in confronting President Barack Obama on his failure to answer Sheen’s twenty questions concerning 9/11, calling Obama, “a coward in a cheap suit.” Globalist Shill Barack Obama Asks Business Leaders For Job Creation Ideas Even As He Ships More Of Our Jobs Overseas As Part Of The New One World Economy The other day, Barack Obama summoned a group of business and labor leaders to the White House and “challenged” them to come up with some great ideas for creating more jobs inside the United States.

Trends Journal Predicted Global Anti-Gov’t Protests: What’s Next? It is a matter of record! The spate of seething, youth-inspired Middle East uprisings that are toppling governments, reshaping the geopolitical landscape and roiling world markets blindsided the world’s intelligence community.

Drudgereport: Gaddafi militia open fire on protesters...
UK paying 'bribes' to free trapped citizens...
Gaddafi offers $400 per family as rebels close in...
'Dance, sing and get ready'...
WILL NATO INTERVENE?
American Ferry From Libya Finally Arrives in Malta... USA WILL DROP TO WORLD'S '3RD LARGEST ECONOMY'... OBAMA GIVEN 'IMPEACHMENT' WARNING... Obama signs temporary extension of Patriot Act... [ ‘Wobama the b’ (for b*** s***) ] ...RAILED AGAINST DURING CAMPAIGN OH NO, HUFFPO: GOOGLE ALGORITHM CHANGE HITS 12% OF SEARCH RESULTS... Bush Nixes Denver Visit, Citing Invite To Assange...GADDAFI SHOT?
Libyan uprising closes round Tripoli... Crude breaches $119 in frantic trading...
CA Gas Station: $4.51 Gallon... Feds: Food prices set to jump 3.5%...
'Extreme'... Swiss franc touches record peak against dollar... California's $800K city manager leaves court on gurney… [California’s extreme in this regard as I noted to a college instructor on coming out here, but aren’t they all overpaid, state and federal; indeed, these career gov’t ees have made over-priced gov’t jobs career goals of themselves which even three decades ago was unheard of other than as a sacrifice of earning power- definitely part of the problem – the overpaid, overpriced, overvalued bureaucrats. ] ...$100.00 HIGHEST SINCE 2008
Saudi's $36 billion bid to beat unrest... King offers financial package as opposition calls 'day of rage'...
Nervous China puts security apparatus into overdrive...

Gaddafi loses more Libyan cities...
FORCES DEFY ORDERS...
WH: Obama's 9-Day Silence Due To 'Scheduling Issue'...
Gaddafi relatives fleeing Libya?
State Dept tries to evacuate Americans by boat...
Turkey launches biggest ever evacuation...
AL-JAZEERA LIVE FEED... REUTERS WIRE...OIL PRICE JUMPS 8.5% IN A DAYBig Stock Sell Off... Home Prices Hit Post-Bust Lows in Major Cities...
$4 Gasoline? Yes in California...
Highest Gas Prices in February Since 1990... Iranian warships sail through Suez Canal for first time since 1979...

REPORT: Gaddafi orders sabotage of oil facilities...
Defies revolt with tanks, planes...
In rambling speech, blames 'tyranny of US,' free drugs for youth...
VIDEO: 'I Will Be A Martyr At The End' …(sounds more like an american hero every day; a martyr for himself!) ...
WH: Nothing to say on Libya...
MUSLIM BROS: KILL GADDAFI...
Intelligence agency 'jamming' TV signals...
Witnesses report bodies in streets...
Oil industry worries unrest could spread...
Russia blames GOOGLE for stirring unrest...
Medvedev sees 'fires for decades' in Arab world...
AL-JAZEERA LIVE FEED... REUTERS WIRE...GADDAFI FLEES TRIPOLIUK Foreign Sec: Gaddafi headed to Venezuela...
Chavez gov't denies...
Muslim leaders order followers to rebel...
Tribe threatens to cut oil exports...
REPORT: Military jets attack protesters in Tripoli...
Two pilots refuse, fly to Malta, defect...
Oil companies move staff...
U.S. military chief visits Gulf to urge restraint...
Khamenei: America must be removed from Islamic world...
AL-JAZEERA LIVE FEED... REUTERS WIRE...ON THE BRINK!Qaddafi's son warns of civil war...
Tribe threatens to cut oil exports...
Unrest in Iran, Algeria, Yemen, Morocco, China [and Wisconsin]...
U.S. military chief visits Gulf, to urge restraint... Michelle Obama, Daughters Hit the Slopes on Ski Vacation ...
Vail...
Bidens vacation on Fla Keys...
FLASHBACK: Obama on tough economy: 'You might put off a vacation'...
'Everyone must sacrifice'... RASMUSSEN: OBAMA APPROVAL SLIPS BACK TO 44%... Gov't shutdown threat looms over budget fight...
Geithner Criticizes Spending Cuts...
SANTELLI: BUDGET CRISIS IS NEXT 9/11...

Gas prices skyrocket; up 55 cents from year ago...
Oil prices surge; Brent crude hits 2 1/2-year high...

GALLUP: Number of Solidly Democratic States Cut in Half From '08 to '10... American Held in Pakistan Worked for CIA... Egypt's activists skeptical about army intentions...
...ask West to guarantee reform Wounded Iraq veteran jeered for speaking in Columbia University...
Sen. John Kerry attacked by anti-war protesters... Reporter, camerawoman attacked by black mob... in California
WISC UNIONS OFFER CONCESSIONS
Gov. Walker Says No...
Dem Sen: We'll Stay Away For Weeks...
Court Rejects Madison School Effort to Get 'Sick' Teachers Back to Work...
Fake Doctor's Notes Being Handed Out at Union Rally...
VIDEO: 'Everybody is sick -- of Scott Walker'...
Thousands Pack Capitol Grounds...

Libya: Snipers shoot mourners, killing 15...
REPORT: 120 dead... U.S. Warship Tracking Yacht Hijacked by Somali Pirates... [ I realize there are ‘laws of the sea’ / codified bodies of law within that broad yet very specific category called ‘maritime law’, none of which I know nor care to know (I’ll content myself to knowing and seeing to the enforcement of american law as pertains to me; viz., RICO http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpenaltyofperjury.pdf http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm . I do know that these somali pirates need killin’ and I further believe that open season on them including using their boats in the water for target practice makes sense and certainly is morally justified. I’m tired of hearing about those little weasels … you know, ‘the skinnies’. ]

Some now question U.S. deal that brought Gaddafi back into diplomatic fold (Washington Post) [ Oh, come on! At this point in pervasively corrupt, defacto bankrupt america’s intractable decline, naivity becomes no one! …Money, oil, arms change hands and no one’s the wiser … and those few are again substantially richer … it’s the fatally tragic ‘american tale’… Arms deals still made amid Middle East crackdowns (Washington Post) You bet your bippy … a raison d’etre, so to speak. ]ABU DHABI, UNITED ARAB EMIRATES - As Libya's Moammar Gaddafi ordered attacks on his own people this week, thousands of arms sellers from the United States and other countries hawked their aircraft, riot gear and rifles to Middle Eastern buyers at the Persian Gulf's preeminent arms show.

Julian Assange must be extradited to Sweden (Washington Post) [ Julian Assange to be extradited to Sweden Infowars.com [ No surprise here. As I’ve previously written, I’m against the censorship since one always, in the final analysis, must discern truth from falsehood, information from disinformation, reality from propaganda. In truth, I found it somewhat shocking and more than surprising that of all places ‘to escape to’, Assange chose Orwellian england, puppet to the u.s. and guarantor of servility to u.s./zionist interests, such is their own desperate circumstances. What was he thinking? ] WikiLeaks founder Julian Assange is to be extradited to Sweden to face allegations of rape and sexual assault. Assange will appeal, his legal team confirmed. If this is unsuccessful, he will be extradited to Sweden in 10 days. ] LONDON - Britain will honor Sweden's request to extradite WikiLeaks founder Julian Assange to face sex-crime allegations, a British judge ruled Thursday.

Oil prices on the rise (Washington Post) [ And except when and for fraudulent / false / manipulated data, everything else down, dirty, and dismal: AP Business Highlights: February 24, 2011, ‘New-home sales in January drop 12.6 pct WASHINGTON (AP) -- Sales of new homes fell significantly in January, a dismal sign after the worst year for that sector in nearly a half-century.New-home sales dropped to a seasonally adjusted rate of 284,000 homes last month, the Commerce Department said Thursday. That's down from 325,000 in December and less than half the 600,000-a-year pace that economists view as healthy…’ (Washington Post) New-home sales fell more than forecast / FHFA: Home prices fell in fourth quarter Pro-government forces, rebels engage in battles for territory (Washington Post) [ The big story here, lost on mainstream media, was the manipulated stock / oil price fraud based upon false rumor of daffy gaddafi not ducking and having been shot. Remember: there’s no place for reality in pervasively corrupt, defacto bankrupt america and on fraudulent wall street particularly. STOCKS MAKE HUGE TURNAROUND ON STUNNING COLLAPSE IN OIL: BASED SOLELY ON NOW KNOWN TO BE FALSE TWITTER RUMOR! [ Don’t be surprised if the frauds on wall street initiated the rumors; their fraudulent manipulations have included far worse … put them in jail where they belong, with fines, disgorgement! ( ‘…an apparently Twitter-borne rumor started making the rounds that Qaddafi had been shot! There was no basis for it, but oil simply collapsed…’ ) ] Weisenthal, On Thursday February 24, 2011 Thank Twitter-borne rumors of Qaddafi's death for the fact that markets totally didn't get crushed today…’ ] Militiamen, mercenaries hit cities near capital while protesters seized air force base; U.S., other Western powers consider responses to situation. Gaddafi loyalists launch counterattacks ] Crude prices broke through the $100-a-barrel threshold as violence in Libya continued to shake markets.

Senate Democrats draft cuts in domestic agency budgets (Washington Post) [ Do these ‘too little, too late’ so-called cuts purport to make the nation ‘less bankrupt’? There’s no such thing … absolutely preposterous! And, Kotlikoff thinks so as well, see immediately hereafter… ] The plan will involve accelerating some of the $33 billion in program terminations and reductions included in Obama's proposed budget for next year.

When Pretending Fails to Hide Bankruptcy: Laurence Kotlikoff ( Today in the WashingtonPost.Com ) Laurence Kotlikoff Feb 22, 2011

Feb. 23 (Bloomberg) -- Our country is bankrupt. It’s not bankrupt in 30 years or five years. It’s bankrupt today.

Matter of Language

This is no surprise. The math of economics rules out an absolute measure of the deficit, just like the math of physics rules out an absolute measure of time.

Bottom Line

Repealing Cuts

Politics Triumphs

--Editors: James Greiff, Steven Gittelson

Pro-government forces, rebels engage in battles for territory (Washington Post) [ The big story here, lost on mainstream media, was the manipulated stock / oil price fraud based upon false rumor of daffy gaddafi not ducking and having been shot. Remember: there’s no place for reality in pervasively corrupt, defacto bankrupt america and on fraudulent wall street particularly. STOCKS MAKE HUGE TURNAROUND ON STUNNING COLLAPSE IN OIL: BASED SOLELY ON NOW KNOWN TO BE FALSE TWITTER RUMOR! [ Don’t be surprised if the frauds on wall street initiated the rumors; their fraudulent manipulations have included far worse … put them in jail where they belong, with fines, disgorgement! ( ‘…an apparently Twitter-borne rumor started making the rounds that Qaddafi had been shot! There was no basis for it, but oil simply collapsed…’ ) ] Weisenthal, On Thursday February 24, 2011 Thank Twitter-borne rumors of Qaddafi's death for the fact that markets totally didn't get crushed today…’ ] Militiamen, mercenaries hit cities near capital while protesters seized air force base; U.S., other Western powers consider responses to situation. Gaddafi loyalists launch counterattacks ] Crude prices broke through the $100-a-barrel threshold as violence in Libya continued to shake markets.

STOCKS MAKE HUGE TURNAROUND ON STUNNING COLLAPSE IN OIL: BASED SOLELY ON NOW KNOWN TO BE FALSE TWITTER RUMOR! [ Don’t be surprised if the frauds on wall street initiated the rumors; their fraudulent manipulations have included far worse … put them in jail where they belong, with fines, disgorgement! ( ‘…an apparently Twitter-borne rumor started making the rounds that Qaddafi had been shot! There was no basis for it, but oil simply collapsed…’ ) ] Weisenthal, On Thursday February 24, 2011

Thank Twitter-borne rumors of Qaddafi's death for the fact that markets totally didn't get crushed today.

But first, the scoreboard:

Dow: -39.13
NASDAQ: +16.16
S&P 500: -1.03

And now, the top stories:

The "day" really started around 2:00 AM ET, when oil exploded higher in London trading. It was a vicious move, which sent instantly sent US futures sharply lower. The dollar got clubbed as well.

(Rewinding for a moment, it was a generally bad day in Asia, with India, once again, taking the most abuse).

Other than the fact that generally markets were down, Europe was fairly quiet.

In the US the talk was oil, oil, oil. Everyone had something to say the impact of rising oil on the US economy, and the effect it would have on the consumer. Qaddafi spoke pre-market and sounded insane again.

Futures were clearly lower in the very early going. Mediocre earnings from Target and GM didn't help at all. But then a strong initial claims report did help modestly.

Still, stocks were down all day until just after 2:00 PM ET, when an apparently Twitter-borne rumor started making the rounds that Qaddafi had been shot! There was no basis for it, but oil simply collapsed. It helped that around the same time there was talk of the US cracking open its Strategic Petroleum Reserve. Markets turned around violently on the news. Gold and silver slid as well.

And that was basically it.

Think inflation is going to be a major problem? Click here for 10 companies that will do great if inflation skyrockets >‘

February 22, 2011: Mohamed A. El-Erian, CEO PIMCO predicts a period of, at best, stagflation; which of course is bad for stocks (and worse).

That House You Bought 10 Years Ago Is Worth Exactly The Same Now As It Was Then Depew ‘The chart below shows the median price for existing homes, which is down 3.7 percent year-over-year to $158,000. Some interesting things to note about this:

1) While existing home sales increased 2.7 percent, the percent of home sales which were distressed rose to 37 percent, an incredible amount if you stop to think about it.
2) Also, 32 percent of the existing home sales transactions were for cash.
3) Oh, and if you were thinking that the housing bubble collapse has exterminated all speculative activity in the housing market, consider that 23 percent of all sales went to buyers classified as "investors."
4) Finally, while the inventory of existing homes available declined to a little less than 8 months' worth at the current pace of sales, if you factor in the high percentage of distressed sales along with the fact that the National Realtors' Survey doesn't account for inventory listed by banks and private agents... well, you can see where this is headed. [chart]’

The U.S. Dollar Is No Longer a Safe Haven Daily Trader ‘The winds of change appear to be blowing! Some 6 months ago when world financial markets took fright, the average punter would rush headlong into the safety of the USD and US Treasuries.However, something different is now playing out. The USD has been broadly weaker against the "average" paper currency in the world. Yes that is correct, the USD has done rather badly against other currencies since the Egyptian crisis took hold. Over the last few days whilst the Libyan drama has progressed into a full blown crisis and perhaps a prelude to civil war, the USD has again depreciated against a broad basket of currencies. Note the behavior of our Proprietary Currency Index below (16 currencies against the USD). It is only a few "pips" away from breaking to a multi-month high. [chart]Now what if we do see the index above break to a new high and the USD Index to a multi-month low? What would be the implications for other markets like equities, commodities and Treasuries?As far as commodities go it does not take a rocket scientist to work that one out. I don't think a break in the USD would be very supportive for higher US Treasury prices.........after all when have rapidly rising commodity prices been positive for Treasuries?As for equities, well I think it is going to be highly dependent on which sectors you are in. I find it difficult to believe that commodity sensitive sectors like basic materials and energy would weaken. With correlations across stocks breaking down I think the coming months will be very favorable to diligent inflation-oriented stock pickers.’

Stocks Slide as Key Moving Averages Fail to Hold Suttmeier ‘…The ValuEngine Valuation Warning was at an extreme last Friday, and technicals were overbought on daily charts.
The 10-Year Yield -- (3.489) This yield tested its 50-day simple moving average at 3.446 on Wednesday after holding my weekly pivot at 3.529. The 200-day simple moving average is 3.007.
Comex Gold -- ($1410.8) Tested $1417.5 this morning above my monthly risky level at $1412.4. Gold is now overbought on its daily chart with the 50-day at $1373.5 and quarterly and semiannual risky levels at $1441.7 and $1452.6.
Nymex Crude Oil -- ($98.48) Tested the $103.41 this morning above my annual pivots at $99.91 and $101.92. My monthly pivot is $91.83 with semiannual and quarterly risky levels $107.14 and $110.87.
The Euro -- (1.3747) The 50-day is 1.3416 with my weekly risky level at 1.3868.
ValuEngine Valuation Warning -- A ValuEngine Valuation Warning occurs when more than 65% of all stocks in the ValuEngine universe are calculated to be overvalued. On Friday 68.6% of all stocks were overvalued, which was the highest of the year. Today 61.2% of all stocks are overvalued.
The Technical Warning -- All major equity averages ended last week with extremely overbought conditions noted on their weekly charts. This week’s weakness will keep all weekly charts overbought with the exception of Dow Transports, which has declining weekly MOJO.

We are below all of this week’s pivots; 12,401 Dow Industrials, 1345.0 SPX, 2831 NASDAQ, 2405.1 NDX, 414.82 Utilities, 5241 Dow Transports, and 815.37 Russell 1000 and 483.39 SOX.

Key Levels for the Major Equity Averages

The Dow Industrial Average (12,106) -- Closes below the 21-day simple moving average at 12,134 targets the 50-day at 11,851. My monthly value level is 11,759 with daily and weekly risky levels at 12,257 and 12,401.
The S&P 500 (1307.4) -- Closes below the 21-day simple moving average at 1314 targets the 50-day at 1286. My quarterly value level is 1262.5 with daily and weekly risky levels at 1331.3 and 1345.0.
The NASDAQ (2723) -- Given a close below the 50-day simple moving average at 2721 the risk is to my monthly value level at 2611. Daily, weekly, and quarterly risky levels are 2793, 2831 and 2853.
The NASDAQ 100 (NDX) (2301) -- Given a close below the 50-day simple moving average at 2293 the risk is to my monthly value level at 2234.7. Daily, weekly, and quarterly risky levels at 2360.00, 2405.10 and 2438.3.
Dow Transports (4986) -- Closes below the 50-day simple moving averages are 5130 indicated risk to my monthly pivot at 4962, which was tested on Wednesday. My quarterly value level is 4671 with my annual pivot at 5179 and weekly pivot at 5241. A close this week below the five-week modified moving average at 5098 shifts the weekly chart profile to negative.
The Russell 2000 (799.64) -- Tested its 50-day simple moving average at 795.71 with this week’s pivot at 815.37. My quarterly value level is 765.50 with my weekly pivot at 815.37 and daily risky level at 836.03.
The Philadelphia Semiconductor Index (SOX) (444.27) -- Is approaching its 50-day simple moving 436.31. My monthly value level is 398.44 with a quarterly risky level at 465.93.

More Bad News on Housing -- Existing Home Sales rose in January, but the increase was led by rising foreclosures and all-cash buyers. According to the National Association of Realtors prices home prices slumped to a nine-year low. Foreclosure sales accounted for 37% of the seasonally adjusted annual rate of 5.36 million homes. Another 32% were sold in all-cash transactions. The decline in home prices was 3.7% year over year.Housing problems include tighter lending standards including a larger down payment, and higher mortgage rates. The potential inventory of existing homes remains quite high and banks have been slow to foreclose. High unemployment is still cited as an issue.
Some Key Points From the FDIC Quarterly Banking Profile for the Fourth Quarter of 2010

The FDIC List of Problem Banks rose by 24 to 884 from 860, which is 11.5% of the 7,657 FDIC-insured financial institutions.
Loan balances fell by $51.8 billion in the fourth quarter on loan write-downs, payoffs, and the slow generation of new loans.
The Deposit Insurance Fund (DIF) narrowed its deficit to $7.4 billion from $8.0 billion. The total cost of bank failures through 2013 is projected to about $100 billion.

Libya’s Turmoil Leads to Highest February Gas Prices in 21 Years ABC News | Crude oil touched nearly $102 a barrel in Asia this morning amid fears that Libya could halt exports.

IMF Austerity Measures Lead to Violent Riots in Greece AFP | The confrontation occurred near the finance ministry.

Jobless youths trigger concerns in UK Press TV | A drought of entry-level jobs means door to work is closed to many young people.

Crude breaches $119 in frantic trading Brent crude had breached $119 a barrel during a period of frantic trading around 0745 GMT as industrial needs were hedged and traders exploited an explosion of upside momentum.

Stagflation 2011: Why It Is Here And Why It Is Going To Be Very Painful Are you ready for an economy that has high inflation and high unemployment at the same time? Well, welcome to “Stagflation 2011″. Stagflation exists when inflation and unemployment are both at high levels at the same time.

Oil Is Making Another Gigantic Move, And Now US Futures Are Getting Hammered Crude is having another huge. Brent is near $120. WTI is over $101. The spike happened right when London trading open.

Socialism Gone Apes**t: Obama Wants To Use Proceeds From $20 Billion Fraudclosure Settlement To Reduce Underwater Mortgages [ Yet he still reneges on his promise to prosecute the wall street frauds. ] Ever wonder why the banks have been stowing away cash as if in anticipation of a torrential rainy day?

ECONOMIC CRISIS ARCHIVE

National / World

Media Demonizes Gaddafi as Pentagon Prepares Attack Kurt Nimmo | Pentagon has announced it is looking at “all options.”

SPLC Report Lumps In We Are Change With Neo-Nazis, KKK Steve Watson | Suggets that grassroots citizen journalist group has “driven people to murder.”

Gas Prices Set to Rise Nearly 40 Cents in Coming Days Kurt Nimmo | Saudi Arabia in talks to boost oil production as situation in Libya deteriorates.

Exclusive Interview: Charlie Sheen To Appear On The Alex Jones Show 2PM EST Paul Joseph Watson | Actor to set the record straight on exaggerations, misinformation and outright falsehoods concerning his private life and career.

Big Brother: The Orwellian Nightmare Come True Mark Dice | Tremendous advances in technology often come unforeseen consequences.

Media Demonizes Gaddafi as Pentagon Prepares Attack As we reported yesterday, the United States has specific instructions to intervene militarily in Libya under the cover of providing humanitarian assistance. Less than 24 hours after our report, the Pentagon has announced it is looking at “all options” in dealing with the Libyan crisis. In short, it is drawing up plans to intervene.

Charlie Sheen Unleashes On TSA Actor Charlie Sheen unleashed on the TSA during a wild radio interview on The Alex Jones Show today, raging that he would eat the hands of any TSA worker who tried to touch his children, in response to the story that TSA agents harassed travelers and groped children in Savannah train station earlier this month after the passengers had left the train.

Gas Prices Set to Rise Nearly 40 Cents in Coming Days Earlier this week, market analysts warned that the price of gas may reach $5 by the end of summer. Now they are saying we could see that price by Memorial Day as the situation in Libya deteriorates.

SPLC Report Lumps In We Are Change With Neo-Nazis, KKK The Southern Poverty Law Center has a history of declaring any protest group it sees as “anti-government” as an “extremist” hate group, without justification. Today it continues that trend with the publication of a report that throws in We Are Change members nationwide with racist Neo Nazi groups and Ku Klux Klan factions.

Governor Walker: “We Thought About” Infiltrating Wisconsin Protesters With Troublemakers During a prank phone call in which he believed he was talking to billionaire philanthropist David Koch, Wisconsin Governor Scott Walker admitted that state authorities had “thought about” using troublemakers to infiltrate the crowds demonstrating against his effort to eliminate collective bargaining rights, proving once again that the use of agent provocateurs to discredit legitimate protesters is a common political ploy.

FLASHBACK: Gaddafi – Obama Is Friend, Black Man From Our Continent Of Arab Descent He said, “Now, ruling America is a black man from our continent, an African from Arab descent, from Muslim descent, and this is something we never imagined – that from Reagan we would get to Barakeh Obama.”

Ethics code urged for Supreme Court (Washington Post) [ Sounds like a plan! Come on! Wake up! After all, what can you expect from two guidos from ‘jersey (alito and scalia, colloquial – note that I have refrained from using what some might consider disparaging terms as w*p*, gui***s, or da***s … and let me state for the record that I truly loved and respected my grandmother who was 100% Italian/Bari,Italy and as well my grandfather/Lake Como,northern Italy with greek ancestral roots and thereby claim standing/right to posit the criticism in light of my direct experience. ). How ‘bout starting with enforcing laws as to judges, liars, etc., within the very corrupted american illegal system; and, particularly bribes which in one form or another are rampant . I don’t know about Thomas, but I do know about alito and ‘jersey … : October 15, 2010 (*see infra)

Steven M. Martinez, Assistant Director In Charge
Federal Bureau of Investigation, USDOJ
11000 Wilshire Blvd., Suite 1700

Los Angeles, CA 90024

Dear Sir:

A judgment had been entered in my favor in the case, United States District Court Case #3:93cv02065(AWT)(USDCJ Alvin Thompson), worth approximately now in excess of $300,000 remains unaccounted for and which could be used for payment to creditors, Los Angeles, etc..
Counsel Robert Sullivan on my behalf documented by way of certification upon investigation that Alan Shiff, USBCJ, had falsely stated a dismissal upon which false statement he predicated a retaliatory and spurious contempt proceeding against me causing substantial damage, and for which he sought Judicial Notice of those and related proceedings as did I in some of my filings.
The Order of Dismissal With Prejudice by Alan Shiff, USBCJ, owing to Defendant Coan’s failure to file anything whatsoever by the court’s deadline causing creditors and me substantial damages: [ Shiff Order of Dismissal With Prejudice on Coan’s Failure to File Page 1 Page 2 ]
Defendant Coan had filed an action against me to prevent me from suing him which necessitated me to fly to Connecticut for a hearing before The Honorable Robert N. Chatigny, Chief Judge, USDC, District of Connecticut, who denied Coan’s requested relief as to Coan but precluded my action against Shiff (although there is no immunity, judicial or otherwise, for criminal acts, ie., fraud connected with a case under Title 11, USC, etc.) . [ transcript in pertinent part - crossexamofcoanbypeia.pdf ]
Newly appointed judge, Maryanne Trump Barry, Donald Trump’s sister, was assigned the RICO case despite the conflict of interest in light of hundreds of thousands of dollars of illegal (drug) money being laundered through the Trump casinos by the RICO defendants, and despite my motion to recuse her which motion she heard herself and denied, and U.S. Trustee Hugh Leonard with whom I met personally refused to join or file a separate motion to recuse and not long thereafter left said office for private practice at Cole, Shotz, et als on retainer with the RICO defendants as his primary client.
Probative and evidentiary documents, affidavits, exhibits, including those turned over to FBI Agent Jeff Hayes in Long Beach, CA, had been given to Assistant U.S. Attorney Jonathan Lacey with whom I met personally at the U.S. Attorney’s Office in Newark, N.J., at which time Samuel Alito was U.S. Attorney, and went over said documents and their probative value with him. Within approximately a month thereafter upon inquiry I was told that Jonathon Lacey was no longer with the office, that the file/documents could not be located, and that there was no further information available concerning contacting him or his location. I thereupon delivered by hand, copies of said documents to the office of then U.S. Attorney Alito, addressed to him, with assurance they would go directly to him. In addition to being inept [ I looked in on the one mob case he had brought, bungled, lost (accidently on purpose?) since I was suing some mob-connected under RICO and the court (I had known / previously met outside of court the judge Ackerman through a client) was absolute bedlam and a total joke since incompetent corrupt Alito brought in all 20 mob defendants (rather than prosecute one or a few to flip them first) who feigning illness had beds/cots in the courtroom along with their moans during testimony and had the jury in stitches. As much as I hate the mob, it truly was funny, if not so tragic.], Alito is also corrupt (and maybe corrupt because he is inept). After a reasonable (but still rather short) time I called to determine the status and was told that Alito was no longer with the Office of the U.S. Attorney, that he was (appointed) a federal judge, and that neither the documents nor any file or record of same could be located. Alito did parley the same / cover-up into quid pro quo direct lifetime appointment to the Court of Appeals, 3^rd circuit, despite the absence of judicial experience or successful tenure as U.S. Attorney (Maryanne Trump Barry as well). This is the same Sam Alito that now sits on the purported highest court in the land. The real application of the illegal rule ‘don’t ask, don’t tell’.

Sincerely,

Albert L. Peia

611 E. 5^th Street, #404

Los Angeles, CA 90013

(213) 219-**** (cell phone)

] Group of law professors' appeal comes after controversies involving travel and appearances at political events by several justices.

16 miles away, Saudi Arabia's watchful eye looms over Bahrain unrest (Washington Post) [ I’m sure they are… with a microscope at that. Saudis Worried Protests Will Hit Home - saudi arabia; talk about do nothing hypocrites. How does one family claim ownership of all the oil reserves of a sovereign nation; I suspect only when foreign corporations say so For the sake of the saudi Arabian people, more than just protests should come to fruition! ] AFP | Saudi royal warns Arab world uprisings could cause harm unless they reform. Bahrain authorities launch surprise attack on protesters [There’s the america and saudi Arabia effect; far less than democratic and far more deadly in the mideast among other places; talk about hypocrites. How does one family claim ownership of all the oil reserves of a sovereign nation as the saudis; time for the saudis to go the way of dictator Mubarak and take the war criminal americans with them. ] Los Angeles Times Tear gas canisters bombard sleeping protesters in Manama's Pearl Square. At least two men are reported killed Video: Bahrain protesters look to emulate Egypt revolt euronews Riot Police Attack Bahrain Protesters Voice of America ‘Saudi Arabia sending troops to Bahrain’ Saudi Arabia is sending troops to Bahrain in a move to crack down on pro-democracy protesters who took to the streets in the capital Manama, a political analyst says. [SAUDIS TOLD OBAMA 'NOT TO HUMILIATE MUBARAK' [ Sounds like they’re hearing footsteps…Previous:Egyptian capital teeters on anarchy Mubarak asks cabinet to resign as anti-regime protests intensify (Washington Post) [ Mubarak should have been looking in the mirror as he asked his cabinet to resign … 30 years is a long time, and coincidentally, time for him to go. In Egypt: Access denied (Washington Post) [The day part of the Internet died: Egypt goes dark [I disagree! Part of the internet didn’t die, but rather the order to so darken the nation heralded the demise, at 30 years and counting, of the so-called leadership in the persona of Mubarak. Time for him to go! After all, he’s been in a position, with Egypt among the only Mideast nations to have signed a peace treaty with israel, to have stepped up with substantial credibility in taking a strong position against israeli transgressions, violations of international law / u.n. resolutions, war crimes, etc., which beyond soft-touch, he failed to do. And, of all places, he sends his family to Orwellian england; he still loves those colonial masters … how pathetic. I mean, 30 years … how free-flowing does anyone think the election process is at this point … and one could ask the same regarding the entrenched powers that be in pervasively corrupt, defacto bankrupt america, to be fair. Then there’s saudi arabia; talk about do nothing hypocrites. How does one family claim ownership of all the oil reserves of a sovereign nation; I suspect only when foreign corporations say so. The only Mideast nations showing backbone are Turkey, Lebanon, and Syria, and, of course the perennially propaganda painted bad-boy Iran among possibly some of the smaller emirates, ie., Qatar, etc., (I lack sufficient information regarding these other nations). ] (AP) Internet cutoff fails to silence Egypt protests (AP) - ]

]

A steep challenge for Arab world (Washington Post) [ I’m sure the rest of the defacto bankrupt world would love to have the lagging problem of the Arab nations of rich real assets as opposed to the fake fraudulent worthless paper assets the so-called ‘rest of the world’ is ‘sporting’. Economist: United States Worse Off than Greece Dr. Laurence Kotlikoff is an economics professor at Boston University. He says the Treasury and the government are fudging the national debt numbers. Kotlikoff says the United States is bankrupt and we don’t even know it. Howard Davidowitz on the Economy: "Here Are the Numbers ... WE'RE BROKE!" 11-25-10 ‘The U.S. economy "is a complete disaster," Howard Davidowitz declared here in July, the most recent in a string of dire predictions from Tech Ticker's most entertaining guest.On the eve of Thanksgiving, I asked Davidowitz if he had any regrets, or was ready to throw in the towel given recent signs of economic revival. Are you kidding me? "Here are the numbers...we're broke," Davidowitz declares, noting the U.S. government goes $5 billion deeper into debt every day and is facing $1 trillion-plus annual deficits for the next decade. "In other words, we're bankrupt."As with the economy, Davidowitz is unwaveringly consistent in his views on President Obama, calling him "deranged, dysfunctional and discredited."Results of the midterm election show "the people of this country think we are in a catastrophe," he says. "I'm with them."Check the accompanying video for more of Howard's unfettered opinions and stay tuned for additional clips from this interview. And...Happy Thanksgiving! Aaron Task is the host of Tech Ticker. You can follow him on Twitter at @atask or email him at [email protected]’ Timid Tuesday: Is it Safe? Davis ‘… This is how we pay off our current debts and I think bondholders are simply happy to get anything out of a country that admits it owes $15Tn (1/4 of global GDP) but probably owes closer to $60Tn (entire global GDP) in the form of unfunded liabilities. The funniest thing about this (and you have to laugh) is to see Conservative pundits get on TV and talk about how we need to cut $100Bn worth of discretionary spending to "fix" this (while continuing to spend $1Tn on the military and $1Tn on tax cuts for the top 1% each year). There is no fixing this and even a Republican said you can’t fool all of the people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS – PLEASE BE CAREFUL OUT THERE! ‘
] Despite the rich resources in the region, Arab nations lag behind rest of world economically.

Economic forecast (Washington Post) [ And you can take that to your local insolvent bank…or not even your local insolvent bank; but rather, your non-local insolvent bank that’s still carrying the toxic assets/paper/securities now marked to anything by way of FASB rule change, professional criminal courtesy via congress, as the the wall street frauds cash out for hard fiat currency. What do you expect them to say? This wasn’t even a recession to be, as per forecast. They haven’t the slightest clue what they’re doing other than the ‘narcotic effects’ of the non-stop printing press fiat currency ‘feels good’ and buys time, politically. ] White House policymaker predicts that the recovery should continue despite oil prices, European crisis.

Pressure mounts on Gaddafi (Washington Post) [ That he was always a caricature of sorts, there is no question. That he’s totally burned out, there’s also no doubt; though they might argue in his defense that so was dumbya bush … a point well taken … but look at the consequential pathetic state of pervasively corrupt, defacto bankrupt america … with the unlit torch passed to wobama the b (for b* s*) who pretends, or maybe in his alternate and fake reality just believes it’s lit. That he’s done, also fait accomplis, after 41 years … who cares. That he’s insane … now that’s quite another thing with greater worldwide implications, so, daffy… gadaffy… duck! Gaddafi vows to maintain hold on power Libyan strongman says he'll fight 'until the last drop of my blood' (Washington Post) [ His latter wish is the world’s command. ‘Something there is that doesn’t love a dictator, that wants them down’ … (Excuse me … I was thinking of walls and ‘Mending Wall’, Robert Frost). Libya Internet Shut Down Amid Protests, Per Multiple Reports [ Once again, as in Egypt, this, the internet, inherently global in nature is the lynchpin, tampering with or stifling same marking the end of any regime. Let this be a warning; viz., you cannot put the genie back in the bottle! 41 years? Gadaffy duck should duck ‘cause he’s done. I mean, look at him, he’s the singular equivalent of the multiple bushes. He’s totally burnt out (as much or more so than dumbya bush or mubarack) and quite done! ] Reports have emerged late Friday that Libya appears to have shut down its Internet due to widespread protests, less than a month after Egypt did the same. ] With rebels apparently controlling much of the eastern half of the country, the violence engulfing Libya is already the worst in more than a month of unrest that has toppled other regimes. ]

Bad News - Bullish Wall of Worry or Sell Signal? Maierhofer, On February 23, 2011, ‘When I published this article 10 days ago I received much criticism. After the biggest two-day sell off since August 2010, the commentary might be helpful in determining whether this is another flash in the pan mini correction or the onset of something more serious.If it's too obvious, it's obviously wrong. More often than not, this proverbial Wall Street adage has the last laugh. What's the prevailing consent on Wall Street? What's suspiciously obvious today?

- The Fed is here to help. As long as there's QE2 (or QE3, 4, etc,) prices will go up.

- January was positive. As January goes, so goes the year.

- This is the third year of the Presidential Election Year Cycle. There hasn't been a negative third year since 1939.

- There's no catalyst to send stocks higher.

While Wall Street analysts are trying to one up each other's positive forecasts, the Fear Index, VIX (NYSEArca: VXX - News) has fallen to a 3 year low. The last time the VIX was at a similar level was in April 2010, just before a literally fear-inspiring 17% correction and the May 'Flash Crash' (see chart below).The ETF Profit Strategy Newsletter didn't subscribe to the prevailing optimism in April 2010 and warned that: 'The message conveyed by the composite bullishness is unmistakably bearish. The pieces are in place for a major decline.'Does that mean that the bottom will fall out again within a matter of days? Not necessarily, but now is certainly not the time to be married to your holdings. Tight sell stops are warranted because any minor correction could turn into a large one. Why?

New Bull Market, or Mother of all Bear Market Rallies?

The devil's in the long-term trend. If we are in a new bull market, any dip would present a buying opportunity. If we are in the mother of all bear market rallies, every rally is a trap and represents a selling opportunity.How can one determine whether we are in a new bull market, or a bear market rally? [chart] It's said that bull markets climb a wall of worry. No doubt there was extreme pessimism surrounding the March 2009 lows. That's one of the reasons the ETF Profit Strategy Newsletter sent out a strong buy signal on March 2, 2009.But pessimism at the bottom doesn't equal a wall of worry. In fact, following the initial bout of disbelief, investors embraced the rally rather quickly. In late 2009, sentiment readings became frothy, in January 2010 they rivaled 2007 extremes (stocks fell 9%), and in April 2010 they exceeded 2007 extremes (stocks fell 17%).About two thirds of the rally from the 2009 lows was accompanied by optimism. This is no wall of worry.

Glass Half Full Outlook

Think about it, even the truly big problems - unemployment and falling real estate (NYSEArca: IYR - News) prices - were sugar coated from the very beginning. The unemployment problem was charmingly called 'jobless recovery' and falling real estate prices were simply ignored.The Case-Shiller home price index is down four months in a row, but nobody is bothered. A few days ago, MarketWatch ran an article: '10 reasons to be bullish on housing.'Courtesy of the continuing real estate conundrum, the FDIC closed 157 banks in 2010, and 14 thus far in 2011. According to a Wall Street Journal article, the top 10 U.S. owned banks had $13.8 billion in unrealized losses.Those are not reflected in earnings numbers as long as financial institutions (NYSEArca: XLF - News) believe the investment will later rebound. Guess what? Banks are pretty darn sure prices will reclaim their 2006 all-time highs.In addition to the $13.8 billion in unrealized losses, the top 10 U.S. banks owned $360.7 billion in illiquid, hard to value assets (called level 3 assets). While paper earnings appear solid, it appears as if banks are hiding skeletons in their closets. But who cares, stocks (NYSEArca: VTI - News) are up.

Anomaly Explained

Ben Bernanke has openly admitted that asset inflation, or the wealth effect from rising stock prices, is the objective of QE2. Obviously, the money flow from the Federal Reserve over banks into the stock market has been the driving force behind this monster rally.Much of the Fed money has been funneled into commodities. Since QE2, net speculative positions in wheat and copper have doubled, oil soared 115%, soybeans 40% and corn 15%. Rising commodity prices are putting the squeeze on lower income Americans and will eventually lower profit margins for the materials sector.It's quite likely that this ripple effect will spill over into the retail (NYSEArca: XRT - News), technology (NYSEArca: XLK - News), and consumer discretionary sector. From there it's just a matter of time until it hits the broader Dow (DJI: ^DJI), S&P (SNP: ^GSPC) and Nasdaq (Nasdaq: ^IXIC).Contrary to its objective, QE2 has also sent interest rates soaring. Higher interest rates tend to encourage the money to flow from equities into bonds. Higher interest rates put pressure on bond and stock prices alike.

Early Detection

The trend is your friend, but the trend is a fair-weather friend and can turn at any given time. The trend doesn't announce its intention to change direction. It switches back and worth as it pleases without your permission.Courtesy of your friend the trend, everybody is a genius in a bull market ... and a nave misguided trend follower when prices drop without prior notice.There is no foolproof way to find out when the market is about to change directions. There are, however, ways to put the odds in your favor.Watching support levels has proven a very effective way. A few months ago 1,170 was a crucial support level highlighted by the ETF Profit Strategy Newsletter. The S&P tested this level no less than five times, but never broker below it and rallied over 10% since.Just recently, 1,270 was such a support level. The S&P tested it twice before moving into the 1,320 range. The market is dynamic and can change swiftly; therefore, it's the market that dictates support levels, not us. We just identify and use them…’

How Confident Are Consumers in the Future of the Economy? Harding ‘This is the time of the month when the consumer surveys come out measuring confidence in the economy’s future. There are three large surveys: Conference Board, Gallup, and the University of Michigan. They all try to measure our belief with regards to the future, and specifically whether or not we feel like spending our money. Today Gallup and the Conference Board came out with mixed results. On Friday the University of Michigan/Reuters survey comes out. (It has been showing a rising trend for the last four months.)Gallup does their own survey of 3,434 respondents. The result was that consumer confidence hasn’t improved for a year:[chart]Asked whether the economy was getting better or if it was poor, respondents answers were unenthusiastic at best:[chart][chart]The Conference Board had a different take on the future:[chart]That sure looks good but, looking closely: Optimism is no better now than it was a year ago, also suggesting that little progress has been made economically over the past 12 months. Up to this point in 2011, there seems to have been a relatively great amount of optimism about the US economy going forward. Whether last week’s deterioration in consumer confidence is the beginning of a new trend or just a short-term aberration remains to be seen. Also, from the Conference Board’s press release: Those stating business conditions are “good” increased to 12.4 percent from 11.3 percent, while those claiming business conditions are “bad” was unchanged at 39.6 percent. Consumers’ assessment of the labor market was also more positive than in January. Those saying jobs are “plentiful” rose to 4.9 percent from 4.6 percent, while those stating jobs are “hard to get” decreased to 45.7 percent from 47.0 percent. Consumers’ short-term outlook was more optimistic than in January. Those expecting business conditions to improve over the next six months increased to 24.4 percent from 24.0 percent, while those anticipating business conditions will worsen declined to 10.4 percent from 12.2 percent. This is their best reading in three years.I don’t know if this makes a difference, but the Conference Board just fired its former pollster and hired Nielsen instead. They surveyed 3,000 respondents. Their survey is billed as a leading indicator.Who do you want to believe? With 43.6 million Americans, or 14.1% of the population on food stamps, relatively flat wage growth, and a dour unemployment picture, I don’t think that only 17.3% of Americans feeling better about their future income potential versus the prior reading of 15.3% really means that much. Ditto with the percentage of those seeing business conditions improving going from 11.3% to 12.4%. 39.6% of respondents said they are worse, and the rest, or 48% see no change or have no opinion. Another way of saying this is that 87.6% of the respondents didn’t have a positive view of business conditions.The Conference Board’s statement that “Consumers’ appraisal of present-day conditions improved moderately in February” is true but I would question its relevance. At such low levels of enthusiasm among its respondents, a point or two doesn’t mean much. If you step back and look at what these results reveal, it doesn’t look to me as if consumers are more optimistic about the future. To say otherwise is just spin. I think Gallup has the better view right now.’

Double Top in Cyclicals? Elfenbein ‘The stock market is getting knocked again today, but the pain isn’t evenly spread out. Who’s up for another look at the relative strength of cyclicals? Great, me too! As long-term readers know, one of my favorite metrics to follow is the Morgan Stanley Cylical Index (^CYC) divided by the S&P 500 (^SPX). This is far from a comprehensive analysis, but it is a quick-and-dirty look at the “mind of the market.”Since late August, the market’s rally has been disproportionally powered by cyclical stocks. In fact, the ratio of the CYC to the S&P 500 reached an all-time high on February 11 (my data goes back to 1978).The ratio hit a previous peak on January 10 and, soon after, cyclicals dropped off sharply. I quickly jumped on this and thought it was the end of the cycle. Wrong! The ratio soon rallied and peaked on February 11, just a hair above the level for January 10 (0.8442 to 0.8441).The CYC is down again today (although many energy names are up). If today’s numbers hold up, the ratio will close below the low made on January 21.The reason these cycles are so important is that once they get going, they often last for a few years. Put it this way, if the Dow had kept pace with the CYC since the low from two years ago, the Dow would be over 24,000 today.[Click to enlarge] [chart] ‘

Will Oil Spike Renew Interest in Clean Energy Commodities? Handwerger ‘Many of the great declines in the stock market over the past 30 years have been related to oil (United States Oil (USO)). This week we have seen the major indices plummet on geopolitical chaos throughout North Africa, especially the large oil-producing Libya, as investors returned to gold (SPDR Gold Shares (GLD)), silver (iShares Silver Trust (SLV)), and oil. As the market reached record overbought territory, any excuse could begin a significant pullback in equities (SPDR S&P 500 (SPY)).

Investors are monitoring key assets in Egypt (Market Vectors Egypt Index (EGPT)). If either the Suez Canal or Sumed Pipeline come under attack, then we will see a major oil spike, possibly worse than in the late 1970s. Already Iran has taken advantage of the chaos and passed into the Mediterranean, further escalating potential conflicts between Israel (iShares MSCI Israel Cap Invest Mkt Index (EIS)) and the Iranian Allies of Hezbollah and Syria who want to take back control of the Golan Heights. This Middle Eastern instability may have deeper consequences and I don’t believe it will end anytime soon. In fact, it may even eventually spread to Saudi Arabia where the royal family maintains weak control and extremists are gaining popularity. In late January in an article entitled, Will Gold, Oil Prices Soar on Revolts in Tunisia, Egypt? I wrote about the domino effect hypothesis, stating that chaos would not be contained in Tunisia and Egypt. This spread of chaos, causing volatile power vacuums, could have a significant impact on gold and oil, especially now that the domino hypothesis is being confirmed. [chart]

At the end of January investors returned to precious metals. Gold has been on sale every six months. A January phenomenon occurs when mutual funds and institutional investors reposition their holdings, sometimes allowing investors to buy a sector on sale. At the end of January, gold and silver found support as geopolitical conditions worsened. The recent Libyan crisis has caused oil to jump which in turn has caused a decline in equities.

As much as the financial crisis and record government spending has helped gold soar to record highs, terrorism and war have been major drivers of the price since September 11, 2001. The Middle East possesses approximately 65% of the world’s oil reserves, and Egypt in particular has two key assets which effect the global oil trade: the Suez Canal and the Sumed Pipeline. Many analysts did not expect Libya to fall into civil war. Reports are showing that oil exports are being curtailed, sending oil into new 52-week highs.

The “Sputnik” moment which President Obama spoke about in his State of the Union address may come faster than expected out of necessity. Washington is actively pursuing supply of North American heavy rare earth assets to fast-track into production as top-secret defense technologies depend on it. Sanctions on China from the WTO will not be enough to meet the growing demand. Even China, which produces over 97% of the rare earths, has expressed interest in heavy rare earth assets globally. Hyundai, the latest company on the electric-car scene, recently commented that it was pursuing a rare earth supply as well.

Economies are growing and demand has increased since the last major Iranian Revolution in 1979 when oil spiked higher. An oil spike now could be much more detrimental 32 years later. The world is more dependent on fossil fuels and many nations are struggling with slow growth and huge debt burdens. An oil spike could cause a major setback for the global economic recovery unless governments initiate major alternative energy and clean energy programs. I believe these current events will create a more significant push into clean energy, non carbon energy. A few commodity sectors may benefit including uranium (Global X Uranium ETF (URA)), lithium (Global X Lithium ETF (LIT)) and rare earths (Market Vectors Rare Earth/Str Metals ETF (REMX)).

President Obama has released this year’s budget and it was shocking. Many analysts were surprised by the huge amount of capital allocated to clean, alternative energy in order to spur innovation and job growth. In the recent budget, a $7500 tax credit will be given to car buyers who purchase an electric car. Obama has a goal of putting 1 million electric vehicles on the road by 2015. Many analysts are predicting about a 10% increase in cars sold due to this legislation. However, tensions are escalating as Iran sticks out its tongue at Israel by passing through the Suez Canal. Oil prices could spike as turmoil spreads through North Africa and the Middle East. Legislators are sending a message that they want to wean themselves off of Middle Eastern oil and look into clean and independent energy.

Investors should expose themselves to the potential supply-demand constraints and rise in oil prices by purchasing developers with major assets in these clean energy mineral sectors or by diversifying into these newly created ETFS, such as REMX or LIT, which track these sectors. As oil spikes, these clean energy commodities should receive a renewed interest by legislators and investors who believe in clean energy power generation.’

North African Turmoil Could Rocket Crude to $220 Fox Business | May cause crude to spike from about $97 a barrel today to $220 a barrel.

Oil touches $100 a barrel as Libya standoff worsens Reuters | Oil surged to a 28-month high of $100 a barrel on Wednesday.

Wall Street Shares Fall Sharply Amid Libyan Unrest New York Times | Political turmoil in the Middle East and North Africa continued to haunt financial markets

Korean Bank Run Spreading: Eighth Bank Closes Following “Massive Withdrawals” The quietest bank run that has so far completely evaded mainstream attention, that of Korea, is spreading, and an eighth bank has now shuttered after “Domin Bank, a savings bank with a capital adequacy ratio below 5 percent, voluntarily decided yesterday to suspend its operations temporarily because of massive withdrawals.”

Keiser Report: Fed’s Reign of Terror This time Max Keiser and co-host, Stacy Herbert, talk about the Fed’s reign of terror and an economist’s warning of revolution in America as Obama’s budget robs from the poor to give to the rich. In the second half of the show, Max talks to William D. Hartung, author of Prophets of War, about the cost of corporate welfare to the U.S. military industrial complex and the role of this welfare in the current Middle East unrest.

Highest Gas Prices in February Since 1990, Attributed to Libya Turmoil Weekly gas prices skyrocketed, according to the Department of Energy, driven by the popular revolts spreading across the Middle East.

ECONOMIC CRISIS ARCHIVE

National / World

Libya air raids death toll hits 1,000 Press TV | Hospitals have no electricity and no medicines.

WORLD AT WAR ARCHIVE

WORLD NEWS ARCHIVE

North African Turmoil Could Rocket Crude to $220 If the turmoil paralyzing parts of the Middle East and North Africa brings oil production in Libya and Algeria to a standstill, it could cause crude oil to explode to $220 a barrel, derailing the global economic recovery.

US & EU Prepare to Buy Off Post-Revolution Governments With Billions in “Aid” (Taxpayer Money) While the United States and Europe orders its own scum public to accept massive public spending cuts along with higher taxes on top of soaring inflation and food prices, it concurrently prepares to buy off post-”revolution” governments in the Middle East and North Africa with billions in “aid” (taxpayers’ money) in order to install fresh puppets who will graciously buy huge quantities of arms from the US-EU-Israeli military-industrial complex.

Leaked Memo: Government Considering Deploying Special Forces Troops On The Streets With Police The British government is considering plans to deploy crack trained SAS commandos onto the streets to work alongside police in “counter-terrorism surveillance teams”, according to a leaked memo unveiled by the Times Of London today.

We Called It: Forecast Of Huge Public Worker Protests, Age Of Rage, Oil Price Surge Unfolds Having often been accused of exaggerating, engaging in alarmism or outright fabrication by the establishment media, our regular readers will indulge us for tooting our own horn on the fact that we predicted the public worker demonstrations now happening in Wisconsin, along with the rage spreading across the Middle East, as well as soaring oil prices in June last year, and indeed as far back as February 2008.

US & EU to Buy Off Revolution Governments with Taxpayer Money Paul Joseph Watson | Public told to accept massive public spending cuts, higher taxes and soaring food costs while money is sent to purchase new dictators.

Oil Prices Skyrocket After Williams’ Latest Revelations Kurt Nimmo | The corporate media is getting Americans accustomed to the prospect of gas at $5 or more a gallon.

Seattle Business Refuses To Serve TSA Agents Paul Joseph Watson | Nationwide revolt against naked body scanners and invasive groping carried out by predatory thugs goes viral.

Defiant Libya Tony Cartalucci | The globalists want Qaddafi out and his defiance has conjured an almost tangible.

Milbank: Rush Limbaugh's unfair food fight (Washington Post) [ I’m no fan of limbaugh’s which can easily be discerned from my web site and posts thereon. But, truth be told, I’ve become even less a fan of the wobamas who have revealed themselves as so typically jive-talking b* s* that to most rational, civilized people, they’d be embarrassed. But not the wobamas the b (for b* s, their middle name). As I’ve said before, like water off a duck’s back is the effect of deserved criticism on wobamas and their ilk. They have become part of the problem, not the solution. Almost any criticism, by almost anybody is criticism deserved and welcomed (I previously excepted the BP scenario which was in my view undeserved criticism of wobama. But that’s it! I’m with Limbaugh on most any criticism of the wobamas. `Drudgereport: Michelle Obama, Daughters Hit the Slopes on Ski Vacation ...`
`Vail...`
`Bidens vacation on Fla Keys...`
`FLASHBACK: Obama on tough economy: 'You might put off a vacation'...`
`'Everyone must sacrifice'... RASMUSSEN: OBAMA APPROVAL SLIPS BACK TO 44%... Gov't shutdown threat looms over budget fight...` `DEBT NOW EQUALS ENTIRE ECONOMYOBAMA AGENDA IS OVER` `Obama refers to himself as 'The Gipper'… [ Riiiight! …anything you say wobmama the b for b s*… or maybe the bipper, the chipper, or the yankee clipper (the new joltin’ joe) …sounds like he’s losing it! ] ...` ]

Deaths of four Americans reflect increasing violence of Somali piracy (Washington Post) [ Drudgereport: `U.S. Warship Tracking Yacht Hijacked by Somali Pirates... [ I realize there are ‘laws of the sea’ / codified bodies of law within that broad yet very specific category called ‘maritime law’, none of which I know nor care to know (I’ll content myself to knowing and seeing to the enforcement of american law as pertains to me; viz., RICO` http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpenaltyofperjury.pdf http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm `. I do know that these somali pirates need killin’ and I further believe that open season on them including using their boats in the water for target practice makes sense and certainly is morally justified. I’m tired of hearing about those little weasels … you know, ‘the skinnies’. ]`

On Obama's jobs tour, unemployed have little voice (Washington Post) [ This of course is so true. That wobama’s done there’s no question. Indeed, despite the rhetoric, separate terms, hasn’t he proven to be, and isn’t wobama just a continuation of the NWO / NAFTAite regimes that landed the nation here in this foul, pervasively corrupt, defacto bankrupt position. How different are america’s entrenched corrupt bureaucracies / ‘leaders’ from the dictators and their corrupt bureaucracies being deposed today. If only wobama wasn’t the typical, jive-talikin’ wobama the b (for b*** s***) he is and did what he ran and was elected on, the outcome for fallen america would have been substantially better, though still dire, than that which lies ahead.

Obama’s 2012 Budget: Tool Of Class War Paul Craig Roberts | Continues Wall Street’s war against poor & middle classes. ] White House officials were unable to give a single example of him interacting, even in private, with a person who had recently lost a job.

State budget woes draw more protests (Washington Post) [ Obama joins Wisconsin budget battle Democratic lawmakers flee state in attempt to block anti-union bill (Washington Post) [ Looks like capital hill can pick up a few pointers from ‘dem dems … fleeing the state, that is … except in their case it’ll be fleeing the nation-state, or what’s left of same. Drudgereport: Michelle Obama, Daughters Hit the Slopes on Ski Vacation ...
Vail...
Bidens vacation on Fla Keys...
FLASHBACK: Obama on tough economy: 'You might put off a vacation'...
'Everyone must sacrifice'... RASMUSSEN: OBAMA APPROVAL SLIPS BACK TO 44%... Gov't shutdown threat looms over budget fight... DEBT NOW EQUALS ENTIRE ECONOMYOBAMA AGENDA IS OVER Obama refers to himself as 'The Gipper'… [ Riiiight! …anything you say wobmama the b for b*** s***… or maybe the bipper, the chipper, or the yankee clipper (the new joltin’ joe) …sounds like he’s losing it! ] ...Debunking the 'Debunking Myths of U.S. Collapse' Post Ridder [ Stated another way, the collapse of the (dis)united states is at hand. Now, let me state, that doesn’t mean america will disappear from the face of the earth, but the reality truly is ‘death from a thousand cuts’. It’s not just China’s rise, but america’s decline and fall with the concomitant relative rise of other nations, regions. Quite simply, and historically factual reality has proven, nation-states cannot and have not survived the multitude of negative, destructive, and self-destructive things america has done and prosper as a leading nation. From perpetual war, to pervasive corruption, fraud, criminality across all stratum including institutions, government of american society, to what I believe as well to be an evolved genetic bias of inherent criminality/mental illness which is ill-adapted to the strictures of a more enlightened 21st Century by way of near instantaneously available information, with truth and factual reality being america’s greatest enemy. In support of the foregoing I will reiterate reasons, infra.] Debt relief for states proposed (Washington Post) [ I’ve heard of the ‘blind leading the blind’, but the ‘bankrupt borrowing from the bankrupt’ seems to be a nouveau american phenomenon destined for ‘clichedom’. Previous: Governors plan painful cuts amid budget crises (Washington Post) [ This truly is a disaster in the making, with consequences even more dire than the grim outlook set forth by Meridith Whitney, if that could even be fathomed. It’s really going to be all that bad…see infra, The Economic Collapse, ‘#10 The municipal bond crisis could go “supernova” at any time. Already, investors are bailing out of bonds at a frightening pace. State and local government debt is now sitting at an all-time high of 22 percent of U.S. GDP. According to Meredith Whitney, the municipal bond crisis that we are facing is a gigantic threat to our financial system….“It has tentacles as wide as anything I’ve seen. I think next to housing this is the single most important issue in the United States and certainly the largest threat to the U.S. economy.” Economist: United States Worse Off than Greece Dr. Laurence Kotlikoff is an economics professor at Boston University. He says the Treasury and the government are fudging the national debt numbers. Kotlikoff says the United States is bankrupt and we don’t even know it.

Obama: US needs better math, science education (AP) [Well, one thing we absolutely know as true is that there’s at least one person in america in need of better math skills and his name is’ wobama the b’ (for b*** s*** - despite campaign promises to the contrary he actually ramped up war spending also despite defacto bankruptcy of the nation – bush, if only it was just his math skills, ramped of war spending while cutting taxes … to his base, a wobama’s on the same page – how totally pathetic both of them are / were) … but let’s not kid ourselves, from capital hill to wall street, etc., math skills are indeed lacking. ]

Alan Greenspan Takes Credit For The Financial Crisis Levin “The morning after we learned of the news,” Greenspan said of the Dow Jones plunging 6.98 percent that day in September 2008, “I was able to look myself in the mirror and say, ‘Hey, not bad.’” Sure, if he’d tried just a little harder he could’ve done better– 10 percent would’ve been a dream– but really, all things considering, not bad! Solid B+ work. [NYU via BI]

Internet tool shows French web surfers 'Jewish-curious' (AFP) - AFP - An Internet tool that flags up popular search words has spontaneously revealed a deeper trend: French web surfers' exceeding curiosity about whether their politicians are Jewish. [ To their credit, at least in France it might matter … to america’s discredit and self-destruction, it doesn’t even matter … as Buchanan aptly put it ‘capital hill is occupied israeli territory and just proved it again with the foolhardy veto of the un resolution condemning illegal israeli settlements. ]

] The standoff in Wisconsin over budget cuts spread to other states on Tuesday as union leaders began to organize protests in other capitols and Democrats in a second state, Indiana, effectively staged a walkout.

Gaddafi vows to maintain hold on power Libyan strongman says he'll fight 'until the last drop of my blood' (Washington Post) [ His latter wish is the world’s command. ‘Something there is that doesn’t love a dictator, that wants them down’ … (Excuse me … I was thinking of walls and ‘Mending Wall’, Robert Frost). Libya Internet Shut Down Amid Protests, Per Multiple Reports [ Once again, as in Egypt, this, the internet, inherently global in nature is the lynchpin, tampering with or stifling same marking the end of any regime. Let this be a warning; viz., you cannot put the genie back in the bottle! 41 years? Gadaffy duck should duck ‘cause he’s done. I mean, look at him, he’s the singular equivalent of the multiple bushes. He’s totally burnt out (as much or more so than dumbya bush or mubarack) and quite done! ] Reports have emerged late Friday that Libya appears to have shut down its Internet due to widespread protests, less than a month after Egypt did the same. ] With rebels apparently controlling much of the eastern half of the country, the violence engulfing Libya is already the worst in more than a month of unrest that has toppled other regimes.

I knew there was something especially (but typically) not right in Friday’s (and Thursday’s) trade; and, sure enough, it was a full moon Friday as per lunar calendar (a must in today’s markets owing to the prevalence of lunatics / criminally insane on wall street).

Have Stocks Really Moved Sideways Since 2000? McCurdy ‘Last week, we reviewed the inverse secular relationship between stocks and the price of gold. Stocks have been in a secular downtrend since the bull market from the 1980s terminated early last decade, while gold has been in a secular uptrend. Many analysts do not like to label the current secular environment in stocks as a bear, instead referring to it as a "sideways" market. Indeed, a quick review of the S&P 500 index monthly chart shows that it has essentially bounced sideways for the past 11 years.

[Click all to enlarge]

[chart}
Since the secular peak in 2000, the S&P 500 has produced a compound annual return of 0.6%, so any long-term investors who bought at the top would appear to have broken even. Have they really? It is important to note that we are talking about nominal values and returns. When you compare stock market performance to hard assets like commodities and gold, you see a very different picture.

[chart]

[chart]

Since 2000, the S&P 500 index has experienced a persistent decline in terms of the Continuous Commodity Index (CCI) and the price of gold. The CCI ratio chart has decreased by 72% and the gold ratio chart has decreased by 82%. Suddenly that "sideways" market doesn't look so sideways. If you extend both charts back to the beginning of the previous secular bull market in equities, you see what you would expect: A persistent rise in stock market valuations until the secular peak early last decade (note that we have replaced the CCI with the CRB index in the following chart for display purposes, since the available CCI data do not cover the entire secular bull).

[chart]

[chart]
Both ratio chart downtrends are currently healthy, with the CCI ratio recently experiencing another long-term breakdown and the gold ratio forming a consolidation pattern since early 2009. Until these secular declines form confirmed bottoms, the secular bear market in stocks will remain in control.

[chart]

[chart]
Despite mainstream assertions to the contrary, the issues that led to the market crash in 2008 have not been materially addressed. Our historically excessive public and private debt remains, festering beneath the surface of this "strong" economic recovery. As usual, we have chosen the quick fix route and kicked the proverbial debt can down the road, hoping that the underlying problems will somehow cure themselves without requiring us to make the hard choices that have always been required in the past. The continuing strength in the gold market indicates that no such magic resolution process is currently underway.

[chart]

When was the last time a strong, healthy secular uptrend in gold provided an all-clear signal for the economy and suggested that the structural problems that have been plaguing it during recent years have been resolved? The answer to that question is never. Perhaps this time is different. We will see.’

Weighing the Week Ahead: The Beat Goes On Miller ‘…The explanation is much simpler. The Beat Goes On.

The grocery store's the supermart, uh huh.
Little girls still break their hearts, uh huh.
And men still keep on marching off to war
Electrically they keep a baseball score
{Refrain}
Grandmas sit in chairs and reminisce
Boys keep chasing girls to get a kiss
The cars keep going faster all the time
Bums still cry, "Hey buddy, have you got a dime"

Sonny & Cher may not have been market gurus, but the song captures the current market action. The "drums keep beating."

… The Bad There was some important bad news for the economy. The story is rarely one-sided. There is a continuing problem on several fronts, a widely known "wall of worry" that is already reflected in current market prices.

HOUSING SALES OVERSTATED. The most important bad news of the week came from the CoreLogic Year-end Summary of Trends. I read their reports, and so should you. Calculated Risk has a nice summary, showing that the existing home sales from the National Association of Realtors may be overstated by 15%. Consistent and aggressive critic (another of our featured sources) Barry Ritholtz has this take.
RETAIL SALES. This was a big disappointment.
INITIAL JOBLESS CLAIMS. The highly volatile series moved higher, but the trend continues lower. It is not good enough to improve the employment picture…’

Correlating U.S. Demographics, Trade Deficits and Employment Lounsbury’ Recent analysis found that the U.S. trade balance deficit for manufactured goods was the equivalent of almost 29 million jobs over the past 19 years. The analysis referred to these as exported jobs.

What if some of the manufacturing jobs had been retained? How would U.S. employment have been affected? Would we have anything like the high unemployment rates experienced over the past two years?

The following analysis shows that the U.S. simply didn't have the population needed to produce what we have been consuming. The trade deficit is actually a demographic problem as well as a global competition problem for the U.S.

Labor Participation Rate

First let’s look at the labor participation rate over the past 60 years.

click to enlarge images

[chart]

Over the last 25-30 years the institution of two wage-earner households became entrenched and the labor participation rate rose above 65% as of 1985. In 2010 the participation rate fell back below 65% as a result of severe employment dislocations produced by The Great Recession.

The following graph focuses on the years starting with 1992. Two arbitrary areas are identified by the author, a “peak” participation rate and a “healthy” rate. These arbitrary definitions may be subject to debate.

[chart]

These two definitions are used to examine counterfactual participation rates in the following discussion.

Manufacturing Jobs Have a High Multiplier

In the previous article a graph was presented which showed the number of manufacturing jobs “exported” each year starting with 1992. What was not discussed in the previous article is that jobs have multiplier factors. If one person receives a wage much of that money is spent and that creates additional jobs. For each person working in a particular job, other people are employed in support industries. The total of all these additional jobs is what comprises the jobs multiplier. The mathematics can be reviewed here.

The multiplier varies for different types of jobs and is determined by collecting experimental data in the actual economy. Manufacturing jobs have high jobs multipliers. A table of jobs multipliers is shown in the following table:

[chart]

A number of data sources have been reviewed for the value of the manufacturing job multiplier in the U.S. These are shown in the following table.

[chart]

Active links from the table:

Connecticut.gov

Economic Policy Institute

Content First

Washington State.gov

California.gov

A jobs multiplier of 3.0 means that each job represents a total of three jobs: the original job plus two others that exist only because that original job is there. One estimate for all employment is an average multiplier of 1.9. For manufacturing the multiplier is close to 3. For every manufacturing job gained or lost directly, two other jobs, on average, are gained or lost.

For the rest of this article we will use the multiplier of 2.9. Using that value, the number of jobs lost each year since 1992 because of the trade deficit for manufactured goods has been calculated and is shown in the following graph. The lowest line represents the number of direct manufacturing jobs exported. The second line is the number of dependent jobs lost and the top line is the total number of jobs, direct and indirect, that were exported.

[chart]

What If All “Jobs Exported” Had Been Retained?

If all the direct and indirect jobs that have been ‘exported” had been retained, what would the unemployment picture have been forth past 18 years? This is displayed in the following graph.

[chart]

There are two shaded areas in the graph. The blue area encompasses all the commonly accepted values for NAIRU. The salmon area defines where labor shortages would occur, the lower the percentage the greater the shortage.

The red line shows the counterfactual case calculated for the “exported jobs” being retained and the labor participation rate staying at the peak (67%). The green line shows the counterfactual unemployment rate provided the participation rate actually experienced is used.

A reasonable conclusion from this graph is that, to retain the number of jobs estimated, labor would have to be imported or the labor participation rate would have to rise above the all-time peak. Without some combination of those two factors there would have been labor shortages 14 of the last 16 years (1994-2007)

Note: NAIRU refers to a Milton Freeman defined term: Non-Accelerating Inflation Rate of Unemployment

What If “Jobs Exported” Had Been Reduced by Half?

The next counterfactual situation examined is the case where half of the “exported jobs” were retained each year. The following graph shows the official unemployment rate average each year (blue), with two counterfactual unemployment rates.

[chart]The red line shows the counterfactual case calculated for ½ of the “exported jobs” being retained and the labor participation rate staying at the peak (67%). The green line shows the counterfactual unemployment rate provided the participation rate actually experienced is used.

What If 25% of “Jobs Exported” Had Been Retained?

The following graph shows official and counterfactual unemployment rates if 25% of the “exported jobs” had been retained.

[chart]

Even if 75% of the “exported jobs” had occurred, the U.S. would still have had labor shortages almost in seven of the past 19 years. The unemployment rate would have been below 4% for1997-2000 and 2005-2007. If the labor particpation rate had remained at peak (67%) throughout this time period, there would have been labor shortages only in the last four years of the 2oth century.

Caveats

There are many assumptions to be questioned in this analysis. A few are listed here:

Would our trade surplus in services have been less (thereby reducing service employment) if there had been no deficit for goods?
Would FDI (foreign direct investment) in the U.S. have been less? See Elliott Morss. FDI in the U.S. creates jobs.
Would the FDI by the U.S. have been reduced to offset any loss of FDI in the U.S.?
Is the multiplier for manufacturing jobs accurate for the type of manufacturing that was "exported"?
Are the assumptions about peak and healthy participation ratios really appropriate?

I expect there are many more open issues here and I expect that readers will eagerly point them out to me.

Conclusion

The U.S. has been on a consumption binge. The examination discussed here indicates that the country has been living beyond its means to produce what it consumes. That doesn't even consider that we have to import more than half of the energy used. If the production of even part of the production of goods that have been imported over the lat 14 years had been retained domestically, there would not have been enough labor available to fill the jobs that would have been required.

So the U.S. has been living beyond its means in three ways:

Beyond its means to provide energy used;
Beyond its means to pay; and
Beyond its means to produce what it consumes.

Further work is in progress to examine:

How much more labor force participation would have been needed to prevent labor shortages from occuring; or
How much labor would have had to have been imported; or
What combinations of the two would have done the trick.

There is one additional area being studied: How does the undocumented worker influx that has occurred over the past two decades interact with these labor requirement scenarios.

More articles on this topic will be forthcoming in the next few weeks…’

Buy the Dips or Sell the Rally - The One Indicator that Knows Maierhofer, February 22, 2011, 5:51 pm ‘Low-Risk. The term 'low-risk' has the same appeal in the investment world as the enticing little word 'free' in the advertising world.Some advertising executives claim that 'free' is the most powerful word in the ad world. 'Low-risk' might be the most powerful concept in the investing universe.If you read the ETF Profit Strategy Newsletter you are very familiar with the term low-risk entry. If you don't, here's a quick summary and crash course of an indicator that's been 100% accurate over the past 6 months.Low risk entries for various indexes are identified or triggered by a relative strength indicator called percentR. PercentR is expressed on a scale from 1 - 100. Readings above 80 are considered overbought, readings below 20 oversold.If you read the ETF Profit Strategy Newsletter you are very familiar with the term low-risk entry. If you don't, here's a quick summary and crash course of an indicator that's been 100% accurate over the past 6 months.Low risk entries for various indexes are identified or triggered by a relative strength indicator called percentR. PercentR is expressed on a scale from 1 - 100. Readings above 80 are considered overbought, readings below 20 oversold.

Uncannily Accurate

A picture says more than a thousand words and the chart sheds more light on the value of percentR. As you can tell by the red line, following the W bottom in November (not shown in the chart), percentR spiked above 80 (first yellow circle) around S&P 1,210. This was the initial buy signal. [chart]With two exceptions, percentR remained above 80 ever since. The two dips below 80 (yellow circles) on January 19 and 28 triggered a low-risk entry. Even though investors were worried about riots in Egypt, according to percentR it was time to buy.This bullish low-risk entry is valid as long as the underlying index (in this case the S&P 500) does not close below that day's low (white line). In both instances, the S&P (SNP: ^GSPC) stayed above that low and went on to rally over 5%.

Other Low-Risk Entries

Corrections are Healthy, if ...

'Corrections are healthy' is one of many ambiguous Wall Street sayings. If you judge the current 'bull market' purely on this statement, this market is one sick puppy - there hasn't been more than a 2.5% correction in nearly a quarter - and needs a serious correction to be jolted back into healthy territory.Put yourself in a time capsule and zoom back to April 2010 when the major U.S. indexes declined nearly 20% before the promise of QE2 resurrected stocks. There was little conviction then that corrections are healthy. The correction had rattled the investing masses and shaken out many stockholders before the market went on to rally again.PercentR is the canary in the coalmine that identifies a deeper correction. No significant sell off happens without a failed low-risk entry.A failed low-risk entry occurs when the indexes close below the low of the day that triggers the low-risk entry (white lines on the chart). The last failed low-risk entry happened in November 2010 when stocks chopped around for a few weeks and ultimately lost about 5%. Another failed low-risk entry flashed a sell signal on August 11 and ushered in a 21 day, 8% sell off.

The Right Tool for the Job

Any craftsman will tell you that there are limitations to any tool, but there's a tool for each job. percentR is the right tool for the current job.After a parabolic rally, the job at hand is to distinguish whether pull backs are a buying opportunity or a warning signal. Should you buy the dips or step on the sidelines (or even short the market)?The ETF Profit Strategy Newsletter consistently monitors percentR as part of measuring the health of the market and sends out special alerts when a low-risk entry (or failed low-risk entry) has been triggered. Considering today's sell off, it sure will be valuable to see what percentR has to say. Buying opportunity or time to sell?’

"Are Your truly dead?" The IMF, Watson and Schrodinger's Cat. [ On forbes, of new york / new jersey the hotbed of mob / wall street fraud and corruption and leading sinkhole of the nation, and of failed capitalist tool fame, do they waste an article and time on fraud / spam as a matter of course. I get a few or more of these routed to my spam box each day. Moreover, invariably upon visiting the forbes site / article my anti-virus picks up and blocks numerous malicious adware, url, etc., queries (it’s become pathetic the number and amount of s**t, ads, scripts that are crammed into some web pages these days); and, almost invariably, coming from the forbes ny / nj faux capitalist tool sight, all for nought! What a waste of time forbes et als are! ]

US Taxpayers Give $150 Million to Post-Revolutionary Egypt Zero Hedge | Taxpayer funds go to buy the love and admiration of a society in transition.

Obama’s 2012 Budget: Tool Of Class War Paul Craig Roberts | Continues Wall Street’s war against poor & middle classes.

Geithner Helping the Chinese? Reuters | Diplomatic cables lay bare China’s growing influence as largest U.S. creditor.

Insider Report: US Government Will Confiscate Gold When It Touches $2000 It’s no secret that the US government is broke, the US dollar is crashing and losing credibility globally, and the IMF, China, France and others have publicly stated their desire to eliminate the dollar as the world’s primary reserve currency.

Barclays bank forced to admit it paid just 1% in corporation tax in 2009 Barclays Bank has been forced to admit it paid just £113m in UK corporation tax in 2009 – a year when it rang up a record £11.6bn of profits.

Obama’s FY 2012 Budget Is A Tool Of Class War Obama’s new budget is a continuation of Wall Street’s class war against the poor and middle class. The effect of the Federal Reserve’s “quantitative easing” on inflation, interest rates, and the dollar’s foreign exchange value are yet to hit. When they do, Americans will get a lesson in poverty.

Is China Hoarding Gold In Anticipation Of A Global Financial Implosion? 10 Facts About Gold Fever In China That May Surprise You China officially has gold fever. Chinese demand for gold in 2011 is being called “explosive” and “voracious”. China imported five times as much gold in 2010 as it did in 2009, and this year gold sales in China are projected to easily set another new all-time record.

Valuations for Five Major Banks with Bearish Warnings Bauer ‘…The general market is currently over-valued, over-bought and is showing signs of deterioration, especially in the area of breadth. Interest rates are on the rise and inflation is already a serious problem. This means that you must consider holding cash or perhaps taking bearish positions…’

World Oil Prices Soar After Libyan Unrest

VOA News | World oil prices rose sharply on Monday as violence in Libya sparked worries that energy supplies could be disrupted.

Max Keiser on Revolts: Americans Joining Middle East Uprising Trend

Dozens of people have been reported killed in the Libyan capital Tripoli overnight as violence continues to spread across the country. Key administrative buildings have been set on fire, with thousands of anti-government activists still on the streets calling for an end to the 41-year rule of Colonel Gaddafi. To find out more about how the Middle East upheaval is impacting global economic patterns, we’re joined live now by RT’s financial guru Max Keiser…

Oil Jumps to Two-Year High, Gold Reaches $1,400 on Mideast; Stocks Decline

Oil rose to a two-year high and gold rallied for a sixth day surpassing $1,400 an ounce, as tension in the Middle East escalated. Stocks fell for the most in a month as Eni SpA led companies with operations in Libya lower.

The Simple Reason A Bahraini Revolution Could Trigger A Brand New Financial Crisis

As if geopolitical instability in the Mideast weren’t inherently reason enough for investors to worry, here’s another angle to consider.

Ongoing Overnight Short Squeeze Takes Silver To Fresh 31 Year High

Silver takes out $33.10, hitting a fresh 31 year high, as the relentless short squeeze leads to more body bags, and the only flight to safety currency is now the non-dilutable one (with gold on the verge of $1,400).

Wall Street Shares Fall Sharply Amid Libyan Unrest New York Times | Political turmoil in the Middle East and North Africa continued to haunt financial markets

Europe Stocks End Lower As Libya Worries Escalate Dow Jones | The Stoxx Europe 600 index shed 0.6% to close at 285.38.

Gold, Silver, Crude Oil Sharply Higher As Violence in Libya Climbs Forbes | Stand-off in Libya has triggered renewed speculation in precious metals and crude oil prices.

Cables show China used debt holdings to press US Leaked diplomatic cables vividly show China’s willingness to translate its massive holdings of US debt into political influence on issues ranging from Taiwan’s sovereignty to Washington’s financial policy.

Oil Goes Berserk In Electronic Trading As WTI Passes $98 As Zero Hedge advised in early January when the severity of the Maghreb revolution was made all too clear to anyone not willing to stick their head in the CNBC sand, oil could well be the buy of a lifetime ahead of a downward spiral of unprecedented geopolitical proportions.

Parabolic Flight To Silver, As April Crude Touches $98.48, Irrelevant Dollar Unch There was a time, long ago, when the dollar was a flight to safety instrument. Those days are gone. DXY barely budging as the overnight session begins, while silver has already put $34 in the dust. Last: $34.26 and parabolic.

Central Economic Planning at its Worst Last week, the Financial Crisis Inquiry Commission (FCIC) presented its results to the Financial Services Committee. As with most other politically-appointed commissions, the results of the FCIC’s investigation were easy to predict.

National / World

Gaddafi Defies Revolt With Tanks, Planes Libya’s Muammar Gaddafi used tanks, helicopters and warplanes to fight a growing revolt, witnesses said on Tuesday, as the veteran leader scoffed at reports he was fleeing after four decades in power.

Libyans say Gaddafi “butcher”, flick V-for-victory The Libyan side of the Egyptian border was controlled on Tuesday by anti-Gaddafi rebels armed with clubs and Kalashnikov rifles who welcomed visitors from Egypt, a Reuters correspondent who crossed into Libya reported.

Middle East Uprisings: Order Out of Chaos Kurt Nimmo | An Islamic consolidation of power will feed the paranoia of the West and initiate the plan for a new war.

Globalists Seek To Hijack Middle East Revolution To Topple Iran Paul Joseph Watson | US military-industrial complex looks to exploit demonstrations to weaken Ahmadinejad’s regime.

Wisconsin’s economic protests will spread as health care costs bankrupt states Mike Adams | Today’s pharma-centric medical system would rather kill the patient than lose its monopoly.

Commodities Explode as BP Prepares to Evacuate Staff From a Burning Libya Zero Hedge | Is this one of those “who could have possibly seen it coming” moments?

Libya Conquered in the Dark Tony Cartalucci | The Egyptian and Tunisian protests are entirely the result of Western meddling.

Libya air force bombs protesters heading for army base Haaretz | Libyan military aircraft fired live ammunition at crowds of anti-government protesters in Tripoli.

Gaddafi flees Tripoli as protesters set the Libyan parliament building alight Mail Online | Anti-government demonstrators breached the state television building and set government property alight.

Gaddafi’s Israel Threat Linked To Libya Riots? Is it merely a coincidence that less than a week after Libyan leader Muammar Gaddafi threatened Israel by calling on Palestinians to capitalize on the wave of popular uprisings in the Middle East by massing peacefully on the borders of the Zionist state, his own regime is teetering on the brink of extinction following massive anti-government riots in Benghazi and Tripoli?

Reports Suggest Libyan Airforce Is Using Fighter Jets To Fire At Protesters Reports have begun circulating that suggest the Libyan airforce is attacking protesters with live ammunition from jets. Are these the desperate last throws of tyrants or propaganda from the elite overlords hanging them out to dry?

‘Bilderberg Hand’: Deadly chaos in Libya, Bahrain as Wave of Rage spreads Regional expert Adrian Salbuchi says that global dominance groups are behind the wave of revolts.

In Libya Revolution, nearly 400 killed The International Federation for Human Rights says as many as 400 pro-democracy protesters have been killed so far in the popular Libyan Revolution.

Globalists Seek To Hijack Middle East Revolution To Topple Iran While the current global revolt sweeping across the Middle East and North Africa is born out of a universal human cry for freedom, food security and a decent standard of living, it is important to understand that the global elite are waiting in the wings to exploit the chaos as an opportunity to re-order the geopolitical landscape in their image, particularly by exploiting the demonstrations as a vehicle through which to weaken and topple the Iranian government.

The Popular Uprising in Egypt. The Military Machine Remains Intact. The Political Status Quo Prevails The same group of Egyptian generals running Cairo presently formed the backbone of the Mubarak regime. There has been no real change in government. The military junta represents a continuation of the Mubarak regime. The previous so-called civilian administration and the Egyptian High Council of the Armed Forces are virtually the same body.

Protests spread to Libyan capital, troops defect ABC News | Demonstrations have begun in Tripoli and witnesses say security forces are using live ammunition and tear gas on protesters.

Mubarak and Ben Ali comas: What would Tacitus say? The Times | Will desposed dictator syndrome become contagious?

Egyptians Return to Street to Push Army on Reforms WSJ | Hundreds of thousands of Egyptians rallied Friday to celebrate former President Hosni Mubarak’s ouster.

The Middle East and Then the World Activist Post | The globalist fueled color revolutions are attempting to profoundly transform entire regions of the planet in one sweeping move.

Bahrain uses UK-supplied weapons in protest crackdown Guardian | The British government has launched a review of arms exports to Bahrain.

Alex Jones: NWO orchestrated protests RT America | Protests were orchestrated by the NWO and use this as fury in the streets to roll in another layer to the police state.

Why can’t the US legalize drugs? There’s ‘too much money in it,’ Clinton says Raw Story | Asked by Denise Maerker of Televisa what she thought of drug legalization, Clinton said it was unlikely to work.

Public Worker Protests Spread From Wisconsin to Ohio In what union leaders say is becoming a national fight, protests against legislation to restrict public employees’ collective-bargaining rights spread from Wisconsin to Ohio.

The Middle East and Then the World Beginning in North Africa, now unfolding in the Middle East and Iran, and soon to spread to Eastern Europe and Asia, the globalist fueled color revolutions are attempting to profoundly transform entire regions of the planet in one sweeping move.

CIA Coup-College: Recycled revolutionary “props” Tony Cartalucci | Suspicious similarities between Egyptian unrest and known US-backed uprising in Serbia.

The Hidden Weakness of Natural Health Laws Brandon Turbeville | The U.S. has seen increasing interest in natural healthcare, vitamin and mineral supplements.

Libya defiant as hundreds of protesters feared dead Guardian | Witnesses describe ‘massacres’ as Libyan troops shoot unarmed demonstrators in Benghazi

Iran Naval Ships to Cross Suez Canal on Monday Reuters | Two Iranian naval ships will sail through the Suez Canal to the Mediterranean on Monday.

Will The Great Firewall Of China Prevent Tomorrow’s Beijing “Jasmine Revolution”? Zero Hedge | There are postings from Chinese activists calling for protests in major cities.

Widow: Pentagon aide Wheeler ‘killed by hitman’ UK Daily Mail | Prominent Washington aide John Wheeler was assassinated by a hitman in a targeted killing, his widow has claimed.

Arrested US official is actually CIA contractor (AP) ‘…Davis, a former Special Forces soldier who left the military in 2003, shot the men in what he described as an attempted armed robbery in the eastern city of Lahore as they approached him on a motorcycle. A third Pakistani, a bystander, died when a car rushing to help Davis struck him. Davis was reportedly carrying a Glock handgun, a pocket telescope and papers with different identifications…’

Libya, Bahrain, Iran, Yemen and Other Arab Governments Killing Protesters Mubarak was not the only brutal dictator in the Arab world.

Bahrain uses UK-supplied weapons in protest crackdown The British government has launched a review of arms exports to Bahrain after it emerged that the country’s security forces were supplied with weapons by the United Kingdom.

Libya unrest death toll reaches 84: HRW At least 84 protesters have lost their lives and hundreds wounded in Libya in three days of pro-democracy protests in the African country, Human Rights Watch (HRW) says.

Gadhafi's hold on Libya weakens in protest wave (AP) Deep cracks open up in Moammar Gadhafi's regime after more than 40 years in power, with diplomats abroad and the justice minister at home resigning, air force pilots defecting and a fire raging at the main government hall after clashes in the capital Tripoli. Protesters called for another night of defiance in Tripoli's main square despite the government's heavy crackdown.

Rumsfeld says $2.3 Trillion never lost, just untracked (yeah … riiiiight! Untracked into their pockets … untracked WeAreChange | Activists confront Rumsfeld on missing Pentagon funds.

Muslim Brotherhood Cleric Calls for Fatwa on Gadhafi UPI | “It is not heroism to fight your people and to hit them with missiles,” Qaradawi said on al-Jazeera.

Muslim Brotherhood: Gaddafi’s son wounded, dictator has fled International Business Times | The report says Gaddafi, his wife and daughter have fled the country.

Medvedev Warns “Fanatics” Will Take Over Middle East Kurt Nimmo | Says color revolution will not be tolerated in Russia.

Medvedev: Revolutions Could Lead To “Disintegration” Of Middle East Paul Joseph Watson | Aftermath of revolts could “set the region on fire for decades to come,” warns Russian President.

Defiant Gaddafi vows to die as martyr Reuters | Gaddafi vowed to die in Libya as a martyr in an angry television address.

Police Would “Absolutely” Use Force On Wisconsin Protesters Paul Joseph Watson | Despite publicly condemning Governor Scott Walker’s proposal, troopers would obey orders to crush dissent.

Alex Jones: The “Justin Biebler” Rant Infowars.com | Alex talks about real heroes, not manufactured plastic heroes pushing carbon taxes.

Rising food prices nearing danger point: World Bank World Bank president Robert Zoellick warned leaders of the top global economies Saturday that the world is reaching a danger point where soaring food prices threaten further political instability.

UNREST IN THE MIDDLE EAST Bahrain military retreats after shootings (Washington Post)

U.S. vetoes Security Council resolution denouncing Israeli settlements (Washington Post) [ `Drudgereport: Hillary Clinton: Israeli Settlements 'Illegitimate'… [We know that hill … We’ve known that for quite some time along with their illegal nukes, war crimes, etc…The whole world knows that hill… so don’t just talk about it … DO SOMETHING! ] ... Yes! … in pervasively corrupt, defacto america’s self-defeating, self-destructive way they are doing something …`U.S. vetoes Security Council resolution denouncing Israeli settlements … Sounds like a plan! … right! ]

SEC names Sean McKessy to head new whistleblower office (Washington Post) The appointment sets off alarm bells among whistleblower advocates. [ Indeed it should, regardless of ‘who’. In pervasively corrupt, defacto bankrupt america there is always that pre-calculation: juice / no juice, payer (bribes/contributions) / non-payer, potential after gov’t job opportunity / no job opportunity, etc.. Video: Why Isn’t Wall St. in Jail? [ This truly will prove to be the story of the century (albeit an abbreviated one and a turning point toward america’s intractable decline) owing to what will ultimately be the lynch-pin of global economic / financial collapse ushering in an era of great scarcity in more ways than can be imagined. The pervasively corrupt, defacto bankrupt american nation / government has literally underwritten this massive fraud at the expense of the vast majorities directly and indirectly, precluded prosecution while obfuscating the substantial crimes, literally becoming accomplices thereby. There is absolutely no excuse for what is essentially a defalcation and abrogation of duty. I was watching a somewhat obscure film recently which (though elsewhere on this page and site I’ve set forth alarming crime statistics clearing showing america as number 1 in all categories by wide margins) which set forth the statistic that america has 85% of the world’s serial killers (and I’d go further in saying it is likely that america has a similar lead in war crimes, etc.) ] MSNBC | Cenk Uygur talks to Matt Taibbi about his latest Rolling Stone article. …… I mean, give me a frickin’ break! Let’s get real here … probably the most egregiously dangerous years for whistleblowers were the clinton years when even potential whistleblowers were targeted; ie., Mary Mahoney, former clinton security team members, etc., see http://albertpeia.com/bodycount.htm ie., Mary C. Mahoney: 25, murdered at the Georgetown Starbuck's coffee bar over the 4th of July '97 weekend. She was a former White House intern who worked with John Huang. Apparently she knew Monica Lewinsky and her sexual encounters with Bill Clinton. Although not verified, it has been said that Lewinsky told Linda Tripp that she did not want to end up like Mahoney…Steve Willis, Robert Williams, Todd McKeahan & Conway LeBleu: Died Feburary 28, 1993 by gunfire at Waco. All four were examined by a pathologist and died from identical wounds to the left temple. All four had been body guards for Bill Clinton, three while campaigning for President and when he was Governor of Arkansas.They also were the ONLY 4 BATF agents killed at Waco…, etc. but the bushies / cia / wall street are comparable and as well in some different, more subtle ways; ie., discrediting, false charges, etc.. ] The appointment sets off alarm bells among whistleblower advocates.

A frayed alliance: Obama and unions Wis. budget impasse deepens (Washington Post) [ Frayed? How ‘bout flayed, fillet, and souffled … Or, screwed, nude, and double chewed … Drudgereport: OBAMA BACKS UNION UPROARPELOSI BACKS PROTESTERS: 'I STAND IN SOLIDARITY'...

DEBT NOW EQUALS ENTIRE ECONOMYOBAMA AGENDA IS OVERObama refers to himself as 'The Gipper'… [ Riiiight! …anything you say wobmama the b for b*** s***… or maybe the bipper, the chipper, or the yankee clipper (the new joltin’ joe) …sounds like he’s losing it! ] ... BUDGET WOES FORCE STATES TO CONSIDER ABOLISHING '12 PRESIDENTIAL PRIMARIES...
STATE BUDGETS ON THE BRINK: CA, TX, IL, NY, NJ... WISC GOV: 'NOT GOING TO BE BULLIED, INTIMIDATED'...
Orders state troopers to bring Dems to Capitol...
'There Is Fear For Scott Walker's Safety'...
Dem Sen: We'll stay away for weeks...
WALKOUT: Milwaukee Schools closed; teachers call in 'sick'...
REPORT: Average city teacher compensation tops $100,000...
PAPER: GET BACK TO WORK!
DNC playing role in protests...
Jesse to the Rescue: Jackson rallies protesters...
'A real Martin Luther King moment'...
Union Fight Heats Up...
Republicans vow to cut spending in state capitols...
Protests Spread to Ohio...
Michigan...
'Coming To Minnesota'...
Idaho offical target of threats over education reform plan...
Egypt in America? 'Day of Rage' Hits Wisconsin over state unions...
Madison schools closed; 1,100 teachers call in 'sick'...
Obama: 'Assault on Unions'...
Obama-founded OFA spearheading effort to defeat bill...
Boehner: 'Suspend these tactics'...DEMS FLEE STATE HOUSE
SENATE DEMOCRATS FOUND -- AT A RESORT IN ILLINOIS!
Gov. Walker calls on Dems to return, vote...
Protesters, supporters clash in Ohio over union bill... Activists swarm Boehner's Capitol Hill home; Chant 'don't tread on DC'.. Carney: Stimulus 'Goals Have Been Met'...
GALLUP: Unemployment hits 10%...
Feds Borrow Additional $29,660/Household Since Obama Signed Stimulus...
Ratings Downgrades Loom for Cash-Strapped States... Hillary Clinton: Israeli Settlements 'Illegitimate'… [We know that hill … We’ve known that for quite some time along with their illegal nukes, war crimes, etc…The whole world knows that hill… so don’t just talk about it … DO SOMETHING! ] ...

Offended Mubarak refuses calls from Obama... Ahmadinejad: Obama can't spell his own name (True … it’s ‘w o b a m a’ with ‘the b for b*** s***’ his surname … he’s so pathetic and a total caricature / joke!) ... Egypt's protests flare despite military warning...
Libya set for 'day of anger'...
Thousands of police confront protesters in Yemen...
Riot police storm Bahrain camp; 2 reported dead...
ABCNEWS Correspondent Beaten...
100 Egyptians reach Italy amid Arab exodus...
CARTER: Muslim 'hood nothing 'to be afraid of'...
PAPER: Senate hearing turns into farce as American ignorance on Egypt revealed...USA TO REBUKE ISRAEL AT UNPoll: Majority of Republicans Doubt Obama's Birthplace... Agents Shot in Mexico...
WORRIES OBAMA OFFICIALS...
ICE IN VICE...
GAO: Feds have 'operational control' of 44% of border; just 15% 'air tight'... DAY 3: 'Watson' the computer creams human 'JEOPARDY!' champs... REPORT: Steve Jobs receiving treatment at cancer center... PAPER: 'Reportedly sicker than previously admitted'... ISSA MAKES A MOVE: New subpoena seeks records on sweetheart loans...U.S. Government Shuts Down 84,000 Websites, ‘By Mistake’

'Kill Switch' Internet bill alarms privacy experts...
GOP BLASTS FCC NET RULES...

TSA agents busted at JFK for stealing $160,000 from bags...

Hillary Clinton donors indicted... Man mugs 96-year-old -- for $5... France Wants New Global Finance System; End of Dollar Dominance... Fannie, Freddie bailout: $153 billion and counting... GALLUP: Unemployment at 10.3%... Muslim Bros plan political party...
Present Two Faces...
Pakistan Islamists warn of protests if US prisoner freed...
SECSTATE JR: Sen Kerry arrives in Pakistan, expresses 'regret', 'sorrow'...GADDAFI TELLS PALESTINIANS: REVOLT AGAINST ISRAELWorld Bank: Food prices at 'dangerous levels'...Gov't Motors to pay out $189 million in bonuses; some workers to get 50% payoffs.. Deficit Expected to Jump to $1.65 Trillion...
...'slow train wreck coming'
BUDGET BLOWOUT: How big is $3.73 trillion? $12,000 from each American...
ANALYSIS: $1.5 trillion tax hike over 10 years...
AIRLINES: New fees would be $2 billion tax increase on flyers...
Sessions: Obama failed on budget...
Long Spending Fight... Produce prices to skyrocket with freeze in Mexico, Southwest...
Clothing Prices to Rise 10% Starting in Spring... China Replaced Japan in 2010 as Number 2 Economy...
China plans Colombian rail link to challenge Panama canal...The March On Berlusconi... Berlusconi indicted in prostitution probe...

Malware 'Aimed at Iran Hit Five Sites'...

Mubarak 'falls into coma after final speech'...
Egyptian military orders last protesters out of 'Liberation Square'...
Consolidates power...
Delivers ultimatum... Boy wrestler forfeits match to female opponent... [ What a homo! Wow! I feel sorry for those guys she actually beat (20 of them – her record was 20 and 13) … they’ll probably never get over it … nor should they … I have to rethink my regard for Iowa, Iowa state wrestling now presuming such stalwart championship teams to be the products of out-of-state imports … as for the guy who forfeited, he could have easily and gently taken her down (you can easily do that with a lesser opponent), got her in a double grapevine and grind her in a certain way into the mat, and when she was in the throws of convulsive orgasm, she’d unwittingly arch her back, thereby pressing her own shoulder blades to the mat, thereby pinning herself, thus enabling the homo to say in a manner of speaking that he was making heterosexual love not war with her ……… how pathetic and preposterous this was … and, let me remind the homo that God doesn’t care that you wrestle a girl who wants to wrestle! ]

]

House approves dramatic cuts in federal spending Vote sets up showdown with Dems; threat of shutdown looms (Washington Post) [ As they say on SNL, ‘What’s up with that?’. Come on! Wake up! That doesn’t even cover the interest on a $14 trillion debt. And, how disingenuous of the author to write, ‘largest cut of its kind since WWII’… Not in percentage terms by a long shot! … Timid Tuesday: Is it Safe? Davis ‘… This is how we pay off our current debts and I think bondholders are simply happy to get anything out of a country that admits it owes $15Tn (1/4 of global GDP) but probably owes closer to $60Tn (entire global GDP) in the form of unfunded liabilities. The funniest thing about this (and you have to laugh) is to see Conservative pundits get on TV and talk about how we need to cut $100Bn worth of discretionary spending to "fix" this (while continuing to spend $1Tn on the military and $1Tn on tax cuts for the top 1% each year). There is no fixing this and even a Republican said you can’t fool all of the people all of the time. THIS HOUSE OF CARDS IS TEETERING FOLKS – PLEASE BE CAREFUL OUT THERE! ‘ ] After all-night debate, House votes 235-189 to approve plan to cut $60 billion in federal funding in what'd be the largest cut of its kind since WWII.

The Four Horsemen of the Dow: Dave's Daily ‘No, I wasn't alive to watch the Four Horsemen of Notre Dame play football but I did watch the DJIA today. As you know this is a "price weighted" index. Four companies that rose today were among the priciest: BA, CAT, CVX and TRV. The rest were mixed to flat. Imagine if TPTB added AAPL or GOOG to the index. But, for most Americans, the DJIA is what they see most every day if they care. Cynically, as some say, it's just "window dressing for the tourists" to wit the current headline at the WSJ: "Stocks Close at 2 ½ Year High". Does it really matter that four stocks accounted for the positive headline? If, you're looking deeper into what's really going on in markets, sure it should. But many investors aren't that curious especially when interest rates remain near zero and POMO is ubiquitous encouraging investors to take more risks. No matter unemployment shows no sign of improving, housing is still in the dumps and key strategic countries (Bahrain, Libya, Egypt, Yemen, Algeria and Tunisia) are all aflame. There wasn't any economic data today other than Bernanke defending his policies. And, there was little earnings news. The dollar was weak and most commodities were strong while bonds sold-off. In case you're interested I'll be doing a webinar for SFO Magazine "Around the World with ETFs". You may register here to listen and comment for free. Volume for an options expiration day was light but perhaps ahead of a three day weekend is understandable. Breadth was pretty flat per the WSJ.’

Stock Melt-Up Continues to Ignore Warnings [ While I generally warn against short-selling as an investment strategy for all but the most successful speculators (there are very, very few), if there ever was a time to try your luck at same, that time is now! We’re now beyond the absurd in these overbought, overvalued, contrived, manipulated markets. See also, Dave infra, ‘…Further, the Philly Fed (riiiiight … that global hub of manufacturing activity) came in much higher than expected although inside the numbers the prices paid vs prices received disparity was the greatest since 1979. That wasn't a great time for corporate profits. Even though there's some "discussion" within the Fed over the effectiveness of QE operations another heavy dose of POMO was released to trading desks again Thursday. …’ Why Isn’t Wall Street in Jail? Matt Taibbi | Financial crooks brought down the world’s economy — but the feds are doing more to protect them than to prosecute them. This is a not too big to fail, but a too willing to pay bribes to jail - reality. (This really is beyond the pale, particularly when they trumpet prosecution of $225 million in medicare frauds while wall street’s continuing fraud in the trillions remains unprosecuted – there is no excuse whatsoever – pervasively corrupt, defacto bankrupt america is done!). ] Minyanville ‘Suttmeier, chief market strategist at ValuEngine.com: The stock melt-up has the major equity averages above this week’s pivots putting the focus on the Nasdaq and its quarterly risky level at 2853. The Dow Transports broke above the potential double-top. Stocks are ignoring the ValuEngine Valuation Warning and extreme overbought technical market indicators. The 10-Year yield failed at my weekly risky level at 3.568 after holding my annual value level at 3.791 last week. Comex gold is above my annual pivot at $1356.5 and closed above its 50-day simple moving average at $1372.2. Nymex crude oil remains below my semiannual pivot at $87.52, but is now oversold. The euro is above its 50-day simple moving average at 1.3377 with this week’s risky level at 1.3636.

New Highs for the Move for the Major Equity Averages

The Dow Industrial Average (12,288) remains extremely overbought and closed above its weekly pivot at 12,274 testing 12,303.16. The 21-day simple moving average rises to 12,063 with today’s risky level at 12,399.
The S&P 500 (1336.3) closed above its weekly pivot at 1335.6, setting a new high for the move at 1337.61. The 21-day simple moving average rises to 1306.1 with today’s risky level at 1344.4.
The Nasdaq (2826) closed back above this week’s pivot at 2811 with my quarterly risky level at 2853. The 21-day simple moving average rises to 2756 with today’s risky level at 2840.
Dow Transports (5286) tested and held its weekly pivot at 5206 on Tuesday, then breaks above its January 18 high at 5256.80 to 5306.54 on Wednesday. Today’s risky level is 5317.
The Russell 2000 (828.37) is above its weekly pivot at 811.80 with its July 2007 high at 862.00. Today’s risky level is 837.39.

We continue to trade under a ValuEngine Valuation Warning -- Sixteen of 16 sectors overvalued with only 32.4% of all stocks undervalued on Wednesday, below the 35% threshold by this measure. This also means that 67.6% of all stocks are overvalued.

10-Year Note -- (3.619) Is between my annual value level at 3.791 and my weekly risky level at 3.568.

Comex Gold -- ($1375.3) My annual pivot is $1356.5 with the 50-day simple moving average at $1372.2 with my monthly risky level at $1412.4.

Nymex Crude Oil -- ($85.00) Continues to trade below my semiannual pivot at $87.52 and is now oversold on its daily chart with today’s value level at $82.85.

The Euro -- (1.3567) Still above its 50-day simple moving average at 1.3377 with my weekly risky level at 1.3636.

Housing Starts and Permits Remain Soft -- Housing Starts increased 14.6% in January, but the gain was entirely due to a 77.7% increase in the multifamily sector. Single family starts declined 1.0% to a 413,000 annual rate with single family permits down 4.8%. Overall building permits declined 10.4%.

More Information From the NAHB Housing Market Index -- If you look at the National Association of Home Builders Housing Market Index going back to 1985 it never went below 20 until October 2007. During the 1988 to 1992 mini-crisis the lowest reading was 20 in January 1991. For the current popping of the housing bubble this index peaked at 72 in June 2005, when the CEOs of the publicly traded home builders described the housing market as the best they have ever seen.

Back in June 2005 ValuEngine had the home builders extremely overvalued and I noted their weekly price charts were extremely overbought. I wrote a piece calling for a summer 2005 peak for the home builder stocks, which proved to be a prudent market call. The NAHB HMI has been 20 or below since September 2007 and has been between 13 and 16 the past nine months. The exception was a 22 reading in the height of the $8,000 first-time homebuyer tax credit in May 2010.

The Mortgage Bankers Association reported that their weekly Mortgage Applications Survey decreased 9.5% with the Refinance Index down 11.4%, to the lowest reading since July 3, 2009. The Purchase Index decreased 5.9%, and is 18.2% lower than a year ago. A major drag is attributed to the above 5% mortgage rate, up nearly a full percentage point from the October 2010 low, in the midst of when Fed Chief Bernanke was touting that the pending QE2 program would push longer-term yields lower to help consumers. The only thing that QE2 has done is inflate an equity market to an overvalued and overbought inflating financial bubble!

The minutes from the latest Fed Meeting indicates that unemployment and tight credit conditions continues to be a drag on the housing market. History repeats: Housing peaked in mid-2005 and the recovery has been nil. Community banks peaked at the end of 2006, and Bank Failure Friday continues. Regional Banks peaked in March 2007, and toxic assets remain in the banking system. Fed policy with that ridiculously low funds rate and QE2 is masking problems that will still plague the US economy for the next several years.’

January Weather's Economic Impact: Catalyst for Overdue Market Correction? [ As pointed out infra, the Index of Leading Indicators was up only a miniscule .1% . All components are particularly vulnerable to manipulation, false reporting, and outright fraud, particularly in light of the absolute desperation of those involved in the reporting along with to whom and of course the fraudulently manipulated to the upside stock prices which are a significant component and the ultimate bootstrap, so to speak. The election also figured prominently in the manipulation and even if believed (I don’t), still not so hot and a far more grim scenario is but around the corner. That scenario is : Reality! Investopedia: What Does Composite Index of Leading Indicators Mean? An index published monthly by the Conference Board used to predict the direction of the economy's movements in the months to come. The index is made up of 10 economic components, whose changes tend to precede changes in the overall economy. These 10 components include:
1. the average weekly hours worked by manufacturing workers
2. the average number of initial applications for unemployment insurance
3. the amount of manufacturers' new orders for consumer goods and materials
4. the speed of delivery of new merchandise to vendors from suppliers
5. the amount of new orders for capital goods unrelated to defense
6. the amount of new building permits for residential buildings
7. the S&P 500 stock index8. the inflation-adjusted monetary supply (M2)
9. the spread between long and short interest rates
10. consumer sentiment ] Kaminis‘As we suspected, January weather is proving to have hampered economic activity. Blizzards and super storms rampaged across much of the nation last month, and economic reports are now showing the effects born to the economy. The latest such report, and broad reaching measure to make this case, is Leading Economic Indicators, but we've also seen data from companies like FedEx (FDX) offering good reason to adjust expectations and portfolios. As a publisher, I can give you firsthand testimony to the economic effects of January's weather. Almost all of my advertisers have reported dead business through the month, which has weighed on our own cash flow as well. January offered a rude awakening as to just how perilous are the operations of small businessmen, who have weathered the worst part of the recession, but are still just scraping by, and with little leeway for error.Economic reports should continue to prove out that the harsh weather that battered all of the country in January, especially the population concentrated Northeast, provided a speed bump to economic growth. The few January reports that have reached the wire to-date offer enough support to our case, but the stock market has not shown ill-effect as yet.The Leading Indicators Index, just reported for January, showed only a 0.1% increase. The meek result compared against December's revised 0.8% increase and November's 1.1% rise. The Conference Board, which puts the LEI together, reported that while the economic trend is expansionary, current economic conditions remain weak. The cumulative change in the LEI over the last six months is a solid 3.0%. However, the Board reported that the Coincident Economic Index, which measures current conditions, rose just 0.1%, following a 0.3% increase in December and 0.2% rise in November. Furthermore, the Conference Board's Lagging Economic Index dropped 0.1%.The factors behind the softness in January were listed as weaker housing permits and poor labor market indicators. We've posited here before that the weather likely played a role in weird results from the Labor Department last month, if not keeping depressed job searchers buried at home. We've likewise warned that the weather might throw off January's housing data, some of which has already been released, with more to come next week.Other reports have more clearly depicted the sad season we describe here. Industrial Production, reported Wednesday for January, produced a 0.1% decrease where economists were looking for a 0.5% increase. Capacity Utilization also confounded economists, falling to 76.1% from a revised 76.2% rate in December. Economists were looking for an improvement to 76.3%. Now, Industrial Production actually softened partly due to lower utility production on warmer average temperatures in January, which is a counter to our argument. Though, Factory Production in isolation and excluding motor vehicle production, rose modestly 0.1%, agreeing with our theory somewhat.
The softer data piles on. The month's Housing Starts data showed a slippage in permitting activity, as the pace slowed to 562K, from 627K in December. Furthermore, single-family home authorizations fell 4.8% to 421K. The pace of single-family housing starts also fell 1% to 413K. January's Retail Sales (and sales excluding autos) rose 0.3%, but both figures missed the economists' consensus expectations for 0.5% increases.As economists seem to have overlooked the weather in January, they have likely conveyed a certain optimism to strategists, who have likewise guided portfolio managers and analysts. As more data points are reported for January, and if they are reported significantly off, then stocks could sell off briefly over the short-short-term on a shift in understanding.Indeed, some companies have been directly impacted by the weather already, and others will likely report earnings impact in their Q1 releases. FedEx cut its projected fiscal third quarter EPS forecast to a range of $0.70 to $0.90, from $0.95 to $1.15, due to in part to "winter storms." Analysts had been looking for EPS of $1.02 on average, based on Bloomberg's data. Whether directly or indirectly, and based on my anecdotal witness, I think we can expect companies to report weather impacted results for this quarter. With economists, strategists and analysts potentially all off the mark, there's risk to stocks.Given the January weather is not an ongoing issue, you can look for analysts to blow off any negative surprises, and to guide investors to stick with their recommendations as they also save face. The weather is still considered a temporary and insignificant factor in valuation (though that's increasingly debatable given climate change), and so any damage to stocks should be only a trading hit that might open opportunities for long-term buying interests in good names. However, most technical charts, including those by our technical analyst, show a market overdue for a correction. Thus, perhaps we have here a catalyst.’

February 18, 2011: Market Summary [Caveat: This market is worse than overbought. This market is fraudulently manipulated, overvalued as preceded all other crashes and this time will be no different and in some ways worse owing to the structural shift away from pervasively corrupt, defacto bankrupt america. ] Investopedia ‘The past several weeks have been very difficult for traders who believe that the markets are headed for a pullback. It seems like any signs of weakness have been quickly overcome by the bulls and the markets continue to chug along as they race to new highs. While it is prudent to preach caution when the markets are in such a strong uptrend, the simple fact is that there is no evidence yet of a market top. It is wise for traders to respect this strength and simply recognize that the environment is overbought. In his famous quote, John Keynes stated that “the markets can remain irrational longer than you can stay solvent.” …’