Guest Post by BB Finance.
Let us take a break from the daily up down dance of the stock markets. We are so glued to the five minute charts that we are losing the sight of the bigger picture.
I have been writing for a while that I am not expecting the bottom to fall off the market anytime soon. Not in 2011, not even in 2012. Why such optimism in the face of such bad environment? When it is not sure if Europe and Euro will exist at all in its current form? When recession is almost certain in Europe and China is preparing to cushion its landing. The answer can be found in the coordinated action of the seven CBs (Central Bank) last week. Like in Japan, the CBs of the western world will keep their TBTF Banks alive with continuous injection of liquidity. It does not matter that these banks are all Zombie banks, dead men walking.
Make no mistake. The system is broken beyond imagination. Crooks are running the show.
Bloomberg reports Paulson Gave Hedge Funds Advance Word and yet we have seen no move from the O administration to punish the guilty. And why should they. You cannot run with the hare and hunt with the hound. This is crony capitalism at best and utterly corrupt and sleazy plutocracy at worst. Their only chance of survival is to continue the status quo. And rising stock prices at any cost guarantees them that. What surprises me is that why we have seen no public outcry against Paulson yet. Are we so dead?
Not even Jose Mourinho, the special one, would have had the nerve to return from a European 26-1 defeat and claim victory. But Cameron’s gall, it seems, knows no limits.
He will return, no doubt, to much flag-waving by his own backbenchers. “We’ll burn that bridge when we come to it” seems to be the genius strategy that his own party will applaud enthusiastically. But how sensible is it?
For months now he has told the nation that a stable, viable Euro is in the UK’s National Interest; that uncertainty in the Eurozone was affecting our employment figures, our growth, our prospects; that the EU is our main trading partner by a clear country mile. Last night he sat down with that trading partner and a few hours later told them to take a running jump. Full must read explanation of Cameron’s move, click here. (Chart courtesy Sturdyblog)
More on Mr Cameron below.
As our readers know, the ECRI announced the US having entered the Recession late September. Focus ever since has been on news coming out of Europe, so people have almost “forgotten” abut the American Economy. Note how the six out of the last seven recessions have been “predicted” by the weekly ECRI Index. Self explanatory chart and must watch video below.