Start with a 19 year old kid. It's November 11, 1967
He’s critically wounded and dying in the jungle somewhere in the Central Highlands of Viet Nam LZ (landing zone) X-ray. His unit is outnumbered 8-1 and the enemy fire is so intense, from 100 yards away, that his CO (commanding officer) has ordered the MedEvac helicopters to stop coming in.
He’s lying there, listening to the enemy machine guns and he knows he’s not getting out. His family is half way around the world, 12,000 miles away, and he'll never see them again.
As the world starts to fade in and out, he knows this is the day. Then, suddenly - over the machine gun noise - faintly heard is the sound of a helicopter. He looks up to see a Huey coming in. But ... It doesn't seem real because no MedEvac markings are on it.
Captain Ed Freeman is coming in to take out the wounded. He's not MedEvac so it's not his job, but he heard the radio call and decided he's flying his Huey down into the machine gun fire anyway.
Even after the MedEvacs were ordered not to come. He's coming anyway. And he drops it in and sits there in the machine gun fire, as they load 3 wounded at a time on board. Then he flies this kid up and out through the gunfire to the doctors and nurses and safety.
And, he kept coming back!! 13 more times!! Until all the wounded were out. No one knew until the mission was over that the Captain had been hit 4 times in the legs and left arm.
He took 29 wounded GI’s out that day. Some would not have made it without the Captain and his Huey.
Medal of Honor Recipient, Captain Ed Freeman,United States Air Force, died April 21, 2101 at the age of 70, in Boise , Idaho ..
Where was the Media Report?
Too busy I guess reporting on the important things, like Lindsey Lohen, or Paris Hilton!
Friday, May 28, 2010
China to teach Geithner business strategy.
Perhaps the Chinese government can teach Geithner a thing or two about how to support business.
While Washington and business groups have for some time expressed anxiety over Beijing's "indigenous innovation" policy, meant to promote “Chinese technology” by favoring domestically developed products in government procurement and other areas, which the US does not, Chinese citizens are working and US Citizens aren’t.
According to the US Central Intelligence Agency (CIA) world factbook for 2010 China has a 4.30% unemployment rate compared to the US currently over 11.44%
Perhaps that’s the reason why so many American jobs have been lost since the mid 1980’s, our Bank bred Government economists, are lost as to how business should be supported by government because they are watching their bottom line, and not looking in the faces of Americas workers.
Government teaches that the economy is like war. And as such you never look in the face of the enemy, but the working poor in America aren’t the enemy! Those in government that support outsourcing are! Governments MUST support domestically manufactured products and technology, as China has set as a world example. By outsourcing even the weapons our service personnel use in day to day combat as well as the parts for military equipment, which is a part of the US Strategy, the government, creates a dead zone in the US economy, which has allowed a free fall in the US unemployment numbers.
All the talk in the world isn’t going to find jobs in America for Americans. And there will be no change in the US Economy until the government strategy, supported by big business, and their profit motivation, comes to grips with the reality that by sending jobs across the vast reaches of the globe, America is being reduced to yet another third world economy, while China once looked at as a back woods nation is strong enough today to financially support the US by buying our deficits financed through Bond sales.
While Washington and business groups have for some time expressed anxiety over Beijing's "indigenous innovation" policy, meant to promote “Chinese technology” by favoring domestically developed products in government procurement and other areas, which the US does not, Chinese citizens are working and US Citizens aren’t.
According to the US Central Intelligence Agency (CIA) world factbook for 2010 China has a 4.30% unemployment rate compared to the US currently over 11.44%
Perhaps that’s the reason why so many American jobs have been lost since the mid 1980’s, our Bank bred Government economists, are lost as to how business should be supported by government because they are watching their bottom line, and not looking in the faces of Americas workers.
Government teaches that the economy is like war. And as such you never look in the face of the enemy, but the working poor in America aren’t the enemy! Those in government that support outsourcing are! Governments MUST support domestically manufactured products and technology, as China has set as a world example. By outsourcing even the weapons our service personnel use in day to day combat as well as the parts for military equipment, which is a part of the US Strategy, the government, creates a dead zone in the US economy, which has allowed a free fall in the US unemployment numbers.
All the talk in the world isn’t going to find jobs in America for Americans. And there will be no change in the US Economy until the government strategy, supported by big business, and their profit motivation, comes to grips with the reality that by sending jobs across the vast reaches of the globe, America is being reduced to yet another third world economy, while China once looked at as a back woods nation is strong enough today to financially support the US by buying our deficits financed through Bond sales.
While the Banks control Congress, the American people remain the real losers.
“The bold effort the present (central) bank had made to control the government ... are but premonitions of the fate that await the American people should they be deluded into a perpetuation of this institution or the establishment of another like it.” Andrew Jackson
It was 1836, and the central bank had attempted to take control of the Federal government, sensing the power the bank asserted over the nation and the influence its money contained over the destiny of its citizens Jackson vowed to shut the bank. He succeeded!
Now more than170 years later we find ourselves once more embroiled in a struggle against the banking interest over control of the US government and even the destiny of America as a nation. We are failing! And as we fail, we present a new decade of enslavement for not only ourselves but a season of global instability.
It was 1907, and 71 years after Jackson made the nation aware, when JP Morgan set in motion one of the greatest scams America could ever envision, the great panic leading to the passage of the Federal Reserve Act, where Wall Street took control of America.
Until this panic congress had been reluctant to allow the Banks to control the issuance of our money, mainly due to the constituency who at the time understood the real nature of Bankers and mainly held them to a high level of distrust. Morgan and his allies set in motion rumors that created an atmosphere of fright, the rumors were calculated to cause a run on New York’s prominent banks. Morgan then rode to the rescue bringing in some 100, million of Rothschild’s gold to save the day, his white horse made him a stunning figure, and continued his legend as the leading banker of his day.
But it didn’t stop there JP Morgan Jr. attempted the unthinkable, too actually over through the US government. It was 1934 and Morgan led and financed the failed attempt to over through the legitimate presidency of Franklin Roosevelt, though it failed it showed the true character of Americas leading bankers, and showed them as the real villains of American free enterprise, Morgan and his other allies such as chemical industrialist Irénée du Pont, their avowed purpose to form a fascist government.
Now that fight continues at the treasury where some want what Obama and his co-harts don’t, real Bank reform. Let’s face it Congress is completely dominated by Wall Street money and that money means influence amounting to control. Today Money buys loyalty, and there is little money on Main Street to even buy a hot dog. So the loyalty of congress and yes even the president himself goes to Wall Street insiders. Like JP Morgan and Goldman Sachs.
Deputy Treasury Secretary Neal Wolin reiterated Thursday that he would like to see the "Volcker rule" included in the bank reform bill now being finalized, and reconciled in congress, the thrust of the “Volcker rule” would separate banking from proprietary trading, a revisit to Glass Steagall. Since the FED under Greenspan and as he was directed by his association with JP Morgan, Glass Steagall was dumped by the FED and later by Congress and Clinton.
Yes to reinstate Glass Steagall would be a beginning, but there is so much more required. And America sadly lacks the stomach for a real fight.
It was 1836, and the central bank had attempted to take control of the Federal government, sensing the power the bank asserted over the nation and the influence its money contained over the destiny of its citizens Jackson vowed to shut the bank. He succeeded!
Now more than170 years later we find ourselves once more embroiled in a struggle against the banking interest over control of the US government and even the destiny of America as a nation. We are failing! And as we fail, we present a new decade of enslavement for not only ourselves but a season of global instability.
It was 1907, and 71 years after Jackson made the nation aware, when JP Morgan set in motion one of the greatest scams America could ever envision, the great panic leading to the passage of the Federal Reserve Act, where Wall Street took control of America.
Until this panic congress had been reluctant to allow the Banks to control the issuance of our money, mainly due to the constituency who at the time understood the real nature of Bankers and mainly held them to a high level of distrust. Morgan and his allies set in motion rumors that created an atmosphere of fright, the rumors were calculated to cause a run on New York’s prominent banks. Morgan then rode to the rescue bringing in some 100, million of Rothschild’s gold to save the day, his white horse made him a stunning figure, and continued his legend as the leading banker of his day.
But it didn’t stop there JP Morgan Jr. attempted the unthinkable, too actually over through the US government. It was 1934 and Morgan led and financed the failed attempt to over through the legitimate presidency of Franklin Roosevelt, though it failed it showed the true character of Americas leading bankers, and showed them as the real villains of American free enterprise, Morgan and his other allies such as chemical industrialist Irénée du Pont, their avowed purpose to form a fascist government.
Now that fight continues at the treasury where some want what Obama and his co-harts don’t, real Bank reform. Let’s face it Congress is completely dominated by Wall Street money and that money means influence amounting to control. Today Money buys loyalty, and there is little money on Main Street to even buy a hot dog. So the loyalty of congress and yes even the president himself goes to Wall Street insiders. Like JP Morgan and Goldman Sachs.
Deputy Treasury Secretary Neal Wolin reiterated Thursday that he would like to see the "Volcker rule" included in the bank reform bill now being finalized, and reconciled in congress, the thrust of the “Volcker rule” would separate banking from proprietary trading, a revisit to Glass Steagall. Since the FED under Greenspan and as he was directed by his association with JP Morgan, Glass Steagall was dumped by the FED and later by Congress and Clinton.
Yes to reinstate Glass Steagall would be a beginning, but there is so much more required. And America sadly lacks the stomach for a real fight.
Monday, May 24, 2010
Wall Street Reforms Congress
The legislation intended to reform the financial system and as it passed the Senate and House have so many loopholes place in it by congresses Wall Street handlers, that this legislation is a complete sham.
Not only will it not prevent other crises and more taxpayer bailouts in the future, but it guarantees it.
The legislation is full of gaps, and loopholes, but more importantly many provisions of the Law depend on the “effectiveness” of regulatory agencies, who failed to over see the financial sector and mishandled the blooming bubble that took Wall Street and America to the brink of collapse.
A big reason for the bill's limitations is that Wall Street banks and industry groups lobbied against rules they felt would reduce Wall Streets profit-making ability, such things as derivatives, those same instruments that collapsed the mortgage security network. The financial sector's influence in Washington reflects its massive donations and lobbying efforts, what you and I ceremoniously call Bribes.
Over the past two decades, the Banks and their lobbyists have given more than $2.3 billion to federal candidates; one more time, $2.3 Billion dollars to bribe Federal Candidates.
Since 1998, this group has invested $3.8 billion in “gifts” in the form of Bribes to Washington ’s most elite,
Is there any wonder, when Congress finds itself dealing with Insurance companies, Big Pharma, Wall Street, or the Military Industrial Complex, America looses.
America needs a lobby in Washington , but not the kind we see controlling congress with lavish bribes. America needs a lobby that will intimidate the insiders, by giving money to their opposition Office seekers seem to understand one thing, ”Money” because to Washington Money brings power.
Not only will it not prevent other crises and more taxpayer bailouts in the future, but it guarantees it.
The legislation is full of gaps, and loopholes, but more importantly many provisions of the Law depend on the “effectiveness” of regulatory agencies, who failed to over see the financial sector and mishandled the blooming bubble that took Wall Street and America to the brink of collapse.
A big reason for the bill's limitations is that Wall Street banks and industry groups lobbied against rules they felt would reduce Wall Streets profit-making ability, such things as derivatives, those same instruments that collapsed the mortgage security network. The financial sector's influence in Washington reflects its massive donations and lobbying efforts, what you and I ceremoniously call Bribes.
Over the past two decades, the Banks and their lobbyists have given more than $2.3 billion to federal candidates; one more time, $2.3 Billion dollars to bribe Federal Candidates.
Since 1998, this group has invested $3.8 billion in “gifts” in the form of Bribes to Washington ’s most elite,
Is there any wonder, when Congress finds itself dealing with Insurance companies, Big Pharma, Wall Street, or the Military Industrial Complex, America looses.
America needs a lobby in Washington , but not the kind we see controlling congress with lavish bribes. America needs a lobby that will intimidate the insiders, by giving money to their opposition Office seekers seem to understand one thing, ”Money” because to Washington Money brings power.
Sunday, May 16, 2010
Is High Frequency Trading “Insider Trading?”
Looking through the secret profit center behind Wall Street is like looking at wonderland through the eyes of Alice . It’s an amazing picture few ever get to see and fewer will ever understand. There are mega bucks floating everywhere. That is except into the pockets of those of us on Main Street who could use a little green coloring.
These HFT’s have been around since the 1990’s, ever fine tuning their computer software, searching for deals where the investors have not yet realized a stock is about to rise or fall, or where an exchange hasn’t provided consumers notice of a recent stock trade.
While billions of dollars are churned in mega seconds sometimes a million dollars and more in a fraction of a millisecond and on only a fraction of a penny profit. The stock market has become a fools paradise, left to the big hedge funds and their inside investors.
How do they work?
One way these traders make money is by exploiting the fact that stock indexes sometimes don't immediately reflect falling or rising prices of their component stocks. If GM shares for example rise 5 percent but an index fund that includes it such as the SPDR S&P 500 lags by a fraction of second to adjust, these HFT computers pick up the lag and buy or sell the stock in fractions of a second reaping large profits. HFT computers will “automatically” buy shares of SPDR S&P 500 at the lower price and then sell them again when they are fully valued, in other words, when the information is released to the general public.
Is this really Insider Trading, we believe it is because the information has not yet been released to the public!
This reminds me of the old days and Ben Siegel, who charged fees from bookmakers for a wire service that transmitted horse racing results. Often allowing bookmakers to lay off bets from a direct source after the race had been concluded.
It appears to be time that the SEC took a real hard look at these high frequency traders to determine if in fact they are trading on information that has not yet been made public.
Since Goldman Sachs is a part of this trading mechanism we need to take a hard look at its legitimacy.
These HFT’s have been around since the 1990’s, ever fine tuning their computer software, searching for deals where the investors have not yet realized a stock is about to rise or fall, or where an exchange hasn’t provided consumers notice of a recent stock trade.
While billions of dollars are churned in mega seconds sometimes a million dollars and more in a fraction of a millisecond and on only a fraction of a penny profit. The stock market has become a fools paradise, left to the big hedge funds and their inside investors.
How do they work?
One way these traders make money is by exploiting the fact that stock indexes sometimes don't immediately reflect falling or rising prices of their component stocks. If GM shares for example rise 5 percent but an index fund that includes it such as the SPDR S&P 500 lags by a fraction of second to adjust, these HFT computers pick up the lag and buy or sell the stock in fractions of a second reaping large profits. HFT computers will “automatically” buy shares of SPDR S&P 500 at the lower price and then sell them again when they are fully valued, in other words, when the information is released to the general public.
Is this really Insider Trading, we believe it is because the information has not yet been released to the public!
This reminds me of the old days and Ben Siegel, who charged fees from bookmakers for a wire service that transmitted horse racing results. Often allowing bookmakers to lay off bets from a direct source after the race had been concluded.
It appears to be time that the SEC took a real hard look at these high frequency traders to determine if in fact they are trading on information that has not yet been made public.
Since Goldman Sachs is a part of this trading mechanism we need to take a hard look at its legitimacy.
Political Payoff
Obama has Kept One Campaign Promise: He Shower His Friends with Money, our money!
George Soros Obama’s largest campaign contributor has become even wealthier thanks to President Obama and his share the wealth platform, unfortunately his platform doesn’t include average America .
The U.S. loaned billions of dollars to Brazil ’s state-owned oil company, Petrobras, to finance exploration of the huge offshore discovery in Brazil ’s Tupi oil field in the Santos Basin near Rio de Janeiro .
The dichotomy was that at the time America was facing its worst financial crisis, and Americans were not only losing their jobs but their homes as well. And to add insult to the injury, all oil discovered is under contract to China , so there is absolutely no benefit to America .
And what makes this even more interesting Soros Hedge Fund Bought Petrobras Stake Worth $811 Million
But it wasn’t really a surprise! In 2008 Michelle Malkin penned a column in which she described the payoffs in store for George Soros and friends if Obama were elected! Those friend’s unfortunately Waller around Wall Street.
George Soros is on target to make hundreds of millions in profit from the loan by the U.S. to Petrobas for its offshore drilling especially now.
This may be one of the biggest political payoffs by any administration that has occupied the White House.
Also of note: Stimulus spending also went largely to areas that supported Obama’s election.
But even more striking is the reality that Petrobras, Brazil 's oil conglomerate announced that it has set a single-day record for oil output producing 2.08 million barrels on April 24.
The state-controlled energy agency says it also set a monthly record for output in April by pumping an average of 2.03 million barrels of crude per day.
The company goal for the year is to average 2.1 million barrels per day once two more facilities come online this year.
As for George Soros, what a lucky break! He will now have a lot more money to provide to his favorite charity, the Democratic Party.
George Soros Obama’s largest campaign contributor has become even wealthier thanks to President Obama and his share the wealth platform, unfortunately his platform doesn’t include average America .
The U.S. loaned billions of dollars to Brazil ’s state-owned oil company, Petrobras, to finance exploration of the huge offshore discovery in Brazil ’s Tupi oil field in the Santos Basin near Rio de Janeiro .
The dichotomy was that at the time America was facing its worst financial crisis, and Americans were not only losing their jobs but their homes as well. And to add insult to the injury, all oil discovered is under contract to China , so there is absolutely no benefit to America .
And what makes this even more interesting Soros Hedge Fund Bought Petrobras Stake Worth $811 Million
But it wasn’t really a surprise! In 2008 Michelle Malkin penned a column in which she described the payoffs in store for George Soros and friends if Obama were elected! Those friend’s unfortunately Waller around Wall Street.
George Soros is on target to make hundreds of millions in profit from the loan by the U.S. to Petrobas for its offshore drilling especially now.
This may be one of the biggest political payoffs by any administration that has occupied the White House.
Also of note: Stimulus spending also went largely to areas that supported Obama’s election.
But even more striking is the reality that Petrobras, Brazil 's oil conglomerate announced that it has set a single-day record for oil output producing 2.08 million barrels on April 24.
The state-controlled energy agency says it also set a monthly record for output in April by pumping an average of 2.03 million barrels of crude per day.
The company goal for the year is to average 2.1 million barrels per day once two more facilities come online this year.
As for George Soros, what a lucky break! He will now have a lot more money to provide to his favorite charity, the Democratic Party.
Friday, May 14, 2010
Afghanistan has become a clash of egos.
Afghanistan has become a battleground over an oil pipeline that could have been negotiated. Instead we are involved in a crisis from which 1752 NATO forces have already died and among them 1,061 US soldiers.
Afghanistan has little value other than strategic. Unless we consider the lavish poppy fields that dot the landscape and are a source of funding the war against the US occupation. Strangely these fields have multiplied since the CIA entered the picture, offering an observation that can’t be dismissed. Are these fields under CIA guardianship?
Given the history of the CIA, as has come to light from Vietnam and the golden triangle, and then under Oliver North, and Iran Contra, this question seems one that could have real significance.
Note: the war against the Taliban had been planned long before the world trade center attack. It was and always has been over resources, and poppy seeds are a resource, and a very valuable one. But even more valuable is the pipeline for oil which has now been completed. What few know is that talks with the Taliban over the pipeline were ongoing to the date of the invasion, and even after.
The US ousted the Taliban, but did we have that right? This is a question we must in the long term ask ourselves.
Since the Taliban were ousted the poppy farms have expanded markedly, now exceeding 100,000 acres. But even more strikingly we invaded Afghanistan under a false plethora of evidence as the Taliban had actually offered to turn Bin Laden over to the US .
Instead we invaded Afghanistan ! We must now step back and ask ourselves why? When we can look at the whole picture with our own introspect we will have a full understanding of what we have become
America has become egocentric, it is what we want that matters. And it has become easier to simply take it rather than to negotiate and pay for it. But in the long run it costs us more.
America ’s ego thought that our military power would crush any opposition, but what this ego failed to understand was that we have been fighting a ghost of ourselves. The lessons we knew from our own history, learned gallantly form the American Revolution.
No enemy can long endure when they are fighting on our shores, just as America is learning today. The Taliban are not the enemy to expel, we have become that enemy.
And with this in mind, the Taliban have planned an offensive against the US , it has been code named “al-Fatah”, which is the Arabic word for "victory".
The target, US forces, security contractors and Afghans working for them who are considered "the ears and eyes of the foreigners”
The new Taliban operation is to begin May 10, the day Hamid Karzai , Afghanistan 's president, arrives in Washington for a four day visit. Karzai wants to convince Obama that peace with the Taliban is the only real and long term solution.
Even as we agree, the question: Will Washington ’s ego allow this resolution of a confrontation that all evidence suggests we are losing?
Afghanistan has little value other than strategic. Unless we consider the lavish poppy fields that dot the landscape and are a source of funding the war against the US occupation. Strangely these fields have multiplied since the CIA entered the picture, offering an observation that can’t be dismissed. Are these fields under CIA guardianship?
Given the history of the CIA, as has come to light from Vietnam and the golden triangle, and then under Oliver North, and Iran Contra, this question seems one that could have real significance.
Note: the war against the Taliban had been planned long before the world trade center attack. It was and always has been over resources, and poppy seeds are a resource, and a very valuable one. But even more valuable is the pipeline for oil which has now been completed. What few know is that talks with the Taliban over the pipeline were ongoing to the date of the invasion, and even after.
The US ousted the Taliban, but did we have that right? This is a question we must in the long term ask ourselves.
Since the Taliban were ousted the poppy farms have expanded markedly, now exceeding 100,000 acres. But even more strikingly we invaded Afghanistan under a false plethora of evidence as the Taliban had actually offered to turn Bin Laden over to the US .
Instead we invaded Afghanistan ! We must now step back and ask ourselves why? When we can look at the whole picture with our own introspect we will have a full understanding of what we have become
America has become egocentric, it is what we want that matters. And it has become easier to simply take it rather than to negotiate and pay for it. But in the long run it costs us more.
America ’s ego thought that our military power would crush any opposition, but what this ego failed to understand was that we have been fighting a ghost of ourselves. The lessons we knew from our own history, learned gallantly form the American Revolution.
No enemy can long endure when they are fighting on our shores, just as America is learning today. The Taliban are not the enemy to expel, we have become that enemy.
And with this in mind, the Taliban have planned an offensive against the US , it has been code named “al-Fatah”, which is the Arabic word for "victory".
The target, US forces, security contractors and Afghans working for them who are considered "the ears and eyes of the foreigners”
The new Taliban operation is to begin May 10, the day Hamid Karzai , Afghanistan 's president, arrives in Washington for a four day visit. Karzai wants to convince Obama that peace with the Taliban is the only real and long term solution.
Even as we agree, the question: Will Washington ’s ego allow this resolution of a confrontation that all evidence suggests we are losing?
Bank Reform
JP Morgan Chase, Goldman Sachs, Bank of America, Citigroup and Wells Fargo invest over 6 million dollars to defeat major bank reform.
The nation's five largest and (as consumers feel), least credible banks which currently dominate the derivatives market; are in Washington armed with carpet bags full of cash. They have marshaled a contingency of trade groups, paid lobbyists and their own executives to convince senators that excluding banks from the derivatives business would make markets less safe.
Just how, is a curious oddity?
The banks reason, that the derivatives are a way of protecting their investments from failure, as they lay off the question of performance on third parties, like AIG for example, well that may be a bad example! But we get the point.
But the notion of excluding banks from the derivative market isn’t the issue. The issue is regulation and transparency of this 100 trillion dollar market.
The financial legislation proposed by the Obama administration and as passed by the House would require “most derivatives” to trade on public exchanges, in the belief that a transparent marketplace will be safer and cheaper. The scope of the exchange trading requirement has been the focus of the debate for months. Opponents argue that the bill would limit the industry's ability to customize derivatives to match the needs of clients. But in most cases they are their own client, except when they sell an instrument that an investor questions.
But, so far it has been the banks that have made small fortunes from the derivatives market, the most recent reminder AIG counterparty contracts with these same 5 banks receiving a concealed bailout from the Obama administration, and timothy Geithner’s requirement that AIG pay the banks 100 cents on the dollar. (Another story here)
According to the Office of the Comptroller of the Currency, Banks reported $22.6 billion in derivatives revenue in 2009. No doubt they used taxpayer bailout money to invest. Goldman Sachs was paid $13bn alone from AIG in 2009
Derivatives are contracts whose value is determined by something else. Trading in derivatives is dominated by these five banks, they were largely used in connection with Mortgage securitization instruments and were a form of insurance against a mortgage default, it is because of this “insurance” that the banks were made whole after a borrower defaulted, and it is because of these same instruments that the banks have NO incentive to work out a loan modification with a defaulting borrower, as they are made whole by these CDS’s (credit default swaps)
The five banks together have assembled more than 130 registered lobbyists, including 40 former Senate staff members and one retired senator, Trent Lott to water down and in most cases, (after their success in defeating the most concerting elements of the reform bill circulating congress), to defeat the latest round, unregistered Derivatives. Included in the list are also former staff members for the Senate majority and minority leaders, the chairmen and ranking members of the banking and finance committees, and more than 15 other senators.
The real issue and the one the banks are prepared to fight no matter how much money they have to throw at our congress, is control of their industry, this is something they will not tolerate, and after all they “are” the real masters of Washington .
The nation's five largest and (as consumers feel), least credible banks which currently dominate the derivatives market; are in Washington armed with carpet bags full of cash. They have marshaled a contingency of trade groups, paid lobbyists and their own executives to convince senators that excluding banks from the derivatives business would make markets less safe.
Just how, is a curious oddity?
The banks reason, that the derivatives are a way of protecting their investments from failure, as they lay off the question of performance on third parties, like AIG for example, well that may be a bad example! But we get the point.
But the notion of excluding banks from the derivative market isn’t the issue. The issue is regulation and transparency of this 100 trillion dollar market.
The financial legislation proposed by the Obama administration and as passed by the House would require “most derivatives” to trade on public exchanges, in the belief that a transparent marketplace will be safer and cheaper. The scope of the exchange trading requirement has been the focus of the debate for months. Opponents argue that the bill would limit the industry's ability to customize derivatives to match the needs of clients. But in most cases they are their own client, except when they sell an instrument that an investor questions.
But, so far it has been the banks that have made small fortunes from the derivatives market, the most recent reminder AIG counterparty contracts with these same 5 banks receiving a concealed bailout from the Obama administration, and timothy Geithner’s requirement that AIG pay the banks 100 cents on the dollar. (Another story here)
According to the Office of the Comptroller of the Currency, Banks reported $22.6 billion in derivatives revenue in 2009. No doubt they used taxpayer bailout money to invest. Goldman Sachs was paid $13bn alone from AIG in 2009
Derivatives are contracts whose value is determined by something else. Trading in derivatives is dominated by these five banks, they were largely used in connection with Mortgage securitization instruments and were a form of insurance against a mortgage default, it is because of this “insurance” that the banks were made whole after a borrower defaulted, and it is because of these same instruments that the banks have NO incentive to work out a loan modification with a defaulting borrower, as they are made whole by these CDS’s (credit default swaps)
The five banks together have assembled more than 130 registered lobbyists, including 40 former Senate staff members and one retired senator, Trent Lott to water down and in most cases, (after their success in defeating the most concerting elements of the reform bill circulating congress), to defeat the latest round, unregistered Derivatives. Included in the list are also former staff members for the Senate majority and minority leaders, the chairmen and ranking members of the banking and finance committees, and more than 15 other senators.
The real issue and the one the banks are prepared to fight no matter how much money they have to throw at our congress, is control of their industry, this is something they will not tolerate, and after all they “are” the real masters of Washington .
Sunday, May 9, 2010
US Wars of Choice may cause the dollar’s collapse
US Involvement across the globe in its numerous war settings has placed a heavy financial burden on US taxpayers who are no longer capable of carrying this debt level.
As with all past attempts of governance, war has been the mechanism to both unite the people and provide for an economy, in short it didn’t work for the Roman or Grecian empires and it won’t work for the American empire either.
Using history as a reference, we have experienced no less than 212 different empires attempt to rule, with the US included that number is 213, each failed. And America is failing as this article is written.
What is bringing America to its knees is ego. Ego is an exaggerated sense of self-importance; the self, especially as distinct from the world and other selves.
What we want, we take, and that is not how to make peace in the world. It is how to turn the world against us. And we are already witnessing a growing discontent.
And now because of ego, we are caught up in struggles across the globe, mostly for oil, but also for control and to expand our footprint, and oh yes, and for profit, a military war complex, and machine that grinds our tax dollars into weapons, for war.
One look at the Pentagon’s "base budget" request for fiscal 2011 (which begins October 1) calls for some $549 billion, an increase of $18 billion over the appropriation for the current fiscal year.
But that is only the beginning. The administration is in addition requesting another $160 billion for "Overseas Contingency Operations" (OCO) that’s to pay for wars and occupations in Iraq , Afghanistan , and elsewhere.
But there is more, $25 billion plus in military spending outside the "Department of Defense," much of that for nuclear weapons included in the Department of Energy's budget. (This $25 billion could be much larger, depending on what is included.)
The grand total - comes to at least $734 billion. There is an additional $33 billion "emergency supplemental" appropriation to pay for the Afghanistan escalation; it's said to cost $1 million to maintain one soldier there for a year. That $33 billion would be counted as part of FY 2010 spending, and, of course, there may be a supplemental in 2011 as well. The total has more than doubled in the last decade and continues to rise. It may well top (1) trillion this fiscal year.
What has this budget accomplished?
Wars make people less safe, if that is the purpose of this and the past administration, they have accomplished their goal. But in doing so, they may have created a dichotomy from which our dollar may well collapse.
As with all past attempts of governance, war has been the mechanism to both unite the people and provide for an economy, in short it didn’t work for the Roman or Grecian empires and it won’t work for the American empire either.
Using history as a reference, we have experienced no less than 212 different empires attempt to rule, with the US included that number is 213, each failed. And America is failing as this article is written.
What is bringing America to its knees is ego. Ego is an exaggerated sense of self-importance; the self, especially as distinct from the world and other selves.
What we want, we take, and that is not how to make peace in the world. It is how to turn the world against us. And we are already witnessing a growing discontent.
And now because of ego, we are caught up in struggles across the globe, mostly for oil, but also for control and to expand our footprint, and oh yes, and for profit, a military war complex, and machine that grinds our tax dollars into weapons, for war.
One look at the Pentagon’s "base budget" request for fiscal 2011 (which begins October 1) calls for some $549 billion, an increase of $18 billion over the appropriation for the current fiscal year.
But that is only the beginning. The administration is in addition requesting another $160 billion for "Overseas Contingency Operations" (OCO) that’s to pay for wars and occupations in Iraq , Afghanistan , and elsewhere.
But there is more, $25 billion plus in military spending outside the "Department of Defense," much of that for nuclear weapons included in the Department of Energy's budget. (This $25 billion could be much larger, depending on what is included.)
The grand total - comes to at least $734 billion. There is an additional $33 billion "emergency supplemental" appropriation to pay for the Afghanistan escalation; it's said to cost $1 million to maintain one soldier there for a year. That $33 billion would be counted as part of FY 2010 spending, and, of course, there may be a supplemental in 2011 as well. The total has more than doubled in the last decade and continues to rise. It may well top (1) trillion this fiscal year.
What has this budget accomplished?
Wars make people less safe, if that is the purpose of this and the past administration, they have accomplished their goal. But in doing so, they may have created a dichotomy from which our dollar may well collapse.
Bank control of congress and the White House, pays off big time for Wall Street
The US Senate has more interest in the big pools of money the banks funnel for campaigns through their lobbyists, than for the people who elect them to office.
This was exemplified last night (May 7) when the Senate rejected the single most important element of Wall Street reform, being able to break up the “too big to fail banks” the Senate rejected this provision by a vote of 33 to 61; 27 Democrats joined all but three Republicans to vote against breaking up the banks.
The 61 votes against the measure are votes in favor of Wall Street's continuing stranglehold over our economy. But more importantly it allows business as usual on Wall Street, and without fear of government reprisal. It also guarantees future bail outs when they become necessary. (And they will)
At the same time, the Senate also voted down a $50 billion Wall Street tax that would have been used to fund the cost of shutting down a major failing bank, assuring future taxpayer funding when a “too big to fail” bank again finds itself in trouble.
By rejecting both the break-up bill and the bank tax, Wall Street has emerged as a clear winner and shown what clout and control they have over the US political system and particularly over congress, and the president.
President Obama who strongly opposed both the tax and the break-up measures, hosted J.P. Morgan Chase CEO Jamie Dimon for dinner at the White House on Monday. J.P. Morgan is the largest U.S. bank, and spent more money on lobbying in 2009 than any other bank. House Minority Leader John Boehner (R-OH) has aggressively courted Dimon for campaign cash, as has Obama
It seems that money is more important to congress and the president, that the interests of the nation!
The failure of congress to address the banking problems in the US and to protect the interest of the American people over their benefactors, have assured further reckless behavior from these mega financial institutions.
By allowing the megabanks to remain super-sized, Congress has insulated them from the fallout associated with the Fed disclosures, and given them a tool to fight other reforms. Our giant financial institutions are not only too-big-to-fail they are now too-big-to-regulate!
No matter what else Congress may “ultimately” enact, in the name of Bank reform, Congress has decided that it will not confront the single greatest problem and threat to the U.S. economy: the “Too Big To Fail banks”.
If any meaningful legislation is passed it will be a total surprise.
Perhaps the issue of “too big to fail” will ultimately be address by a different forum, the American People themselves who after all have the last word.
Following is a list of Senators, who voted to protect the banks against the interest of the American people, its time to retire each and ever one of them.
Akaka (D-HI);
Alexander (R-TN);
Barrasso (R-WY)
Baucus (D-MT);
Bayh (D-IN);
Bennet (D-CO);
Bond (R-MO);
Brown (R-MA);
Brownback (R-KS);
Burr (R-NC);
Carper (D-DE);
Chambliss (R-GA);
Cochran (R-MS);
Collins (R-ME);
Conrad (D-ND);
Corker (R-TN)
Cornyn (R-TX);
Crapo (R-ID);
Dodd (D-CT);
Enzi (R-WY);
Feinstein (D-CA);
Gillibrand (D-NY);
Graham (R-SC);
Grassley (R-IA);
Gregg (R-NH);
Hagan (D-NC)
Hatch (R-UT);
Hutchison (R-TX);
Inhofe (R-OK);
Inouye (D-HI);
Isakson (R-GA);
Johanns (R-NE)
Johnson (D-SD);
Kerry (D-MA);
Klobuchar (D-MN)
Kohl (D-WI);
Kyl (R-AZ);
Landrieu (D-LA)
Lautenberg (D-NJ);
LeMieux (R-FL);
Lieberman (ID-CT);
McCain (R-AZ);
McCaskill (D-MO);
McConnell (R-KY);
Menendez (D-NJ);
Murkowski (R-AK)
Nelson (D-FL);
Nelson (D-NE);
Reed (D-RI);
Risch (R-ID);
Roberts (R-KS);
Schumer (D-NY);
Sessions (R-AL);
Shaheen (D-NH);
Snowe (R-ME);
Tester (D-MT);
Thune (R-SD);
Udall (D-CO);
Voinovich (R-OH)
Warner (D-VA);
Wicker (R-MS)
But equally important remember that Obama as well is financially beholden to the mega bank interests.
This was exemplified last night (May 7) when the Senate rejected the single most important element of Wall Street reform, being able to break up the “too big to fail banks” the Senate rejected this provision by a vote of 33 to 61; 27 Democrats joined all but three Republicans to vote against breaking up the banks.
The 61 votes against the measure are votes in favor of Wall Street's continuing stranglehold over our economy. But more importantly it allows business as usual on Wall Street, and without fear of government reprisal. It also guarantees future bail outs when they become necessary. (And they will)
At the same time, the Senate also voted down a $50 billion Wall Street tax that would have been used to fund the cost of shutting down a major failing bank, assuring future taxpayer funding when a “too big to fail” bank again finds itself in trouble.
By rejecting both the break-up bill and the bank tax, Wall Street has emerged as a clear winner and shown what clout and control they have over the US political system and particularly over congress, and the president.
President Obama who strongly opposed both the tax and the break-up measures, hosted J.P. Morgan Chase CEO Jamie Dimon for dinner at the White House on Monday. J.P. Morgan is the largest U.S. bank, and spent more money on lobbying in 2009 than any other bank. House Minority Leader John Boehner (R-OH) has aggressively courted Dimon for campaign cash, as has Obama
It seems that money is more important to congress and the president, that the interests of the nation!
The failure of congress to address the banking problems in the US and to protect the interest of the American people over their benefactors, have assured further reckless behavior from these mega financial institutions.
By allowing the megabanks to remain super-sized, Congress has insulated them from the fallout associated with the Fed disclosures, and given them a tool to fight other reforms. Our giant financial institutions are not only too-big-to-fail they are now too-big-to-regulate!
No matter what else Congress may “ultimately” enact, in the name of Bank reform, Congress has decided that it will not confront the single greatest problem and threat to the U.S. economy: the “Too Big To Fail banks”.
If any meaningful legislation is passed it will be a total surprise.
Perhaps the issue of “too big to fail” will ultimately be address by a different forum, the American People themselves who after all have the last word.
Following is a list of Senators, who voted to protect the banks against the interest of the American people, its time to retire each and ever one of them.
Akaka (D-HI);
Alexander (R-TN);
Barrasso (R-WY)
Baucus (D-MT);
Bayh (D-IN);
Bennet (D-CO);
Bond (R-MO);
Brown (R-MA);
Brownback (R-KS);
Burr (R-NC);
Carper (D-DE);
Chambliss (R-GA);
Cochran (R-MS);
Collins (R-ME);
Conrad (D-ND);
Corker (R-TN)
Cornyn (R-TX);
Crapo (R-ID);
Dodd (D-CT);
Enzi (R-WY);
Feinstein (D-CA);
Gillibrand (D-NY);
Graham (R-SC);
Grassley (R-IA);
Gregg (R-NH);
Hagan (D-NC)
Hatch (R-UT);
Hutchison (R-TX);
Inhofe (R-OK);
Inouye (D-HI);
Isakson (R-GA);
Johanns (R-NE)
Johnson (D-SD);
Kerry (D-MA);
Klobuchar (D-MN)
Kohl (D-WI);
Kyl (R-AZ);
Landrieu (D-LA)
Lautenberg (D-NJ);
LeMieux (R-FL);
Lieberman (ID-CT);
McCain (R-AZ);
McCaskill (D-MO);
McConnell (R-KY);
Menendez (D-NJ);
Murkowski (R-AK)
Nelson (D-FL);
Nelson (D-NE);
Reed (D-RI);
Risch (R-ID);
Roberts (R-KS);
Schumer (D-NY);
Sessions (R-AL);
Shaheen (D-NH);
Snowe (R-ME);
Tester (D-MT);
Thune (R-SD);
Udall (D-CO);
Voinovich (R-OH)
Warner (D-VA);
Wicker (R-MS)
But equally important remember that Obama as well is financially beholden to the mega bank interests.
Rush Limbaugh, and The Third Gulf War?
Generally I take Rush Limbaugh with strong bourbon, or a dose of anything that will kill the pain.
Unfortunately after the tranquilizer wears off, Rush Limbaugh is still there and I find that he is more than a bad illusion, he is real, and that scares me.
I have found that Idiots evolve from imbeciles, (or is it the other way around) and certainly Rush Limbaugh and Glenn Beck are far ahead of the pack here. And their latest rambling, stresses just how far south of the border their mind has wondered.
The latest triad of thought seems demented but it is also strikingly within the realm of possibility. The neoconservative mind set theorizes a war front, and as a part of this chimera they have conceived that the gulf BP Rig was attacked and was the subject of eco-terrorism from some enemy nation. They even theorize that nation!
Does this make sense, certainly to some conspiracy theorists it does, is this alleged attack a possibility, certainly it is within the realm of prospect.
The theory is not exclusive of Limbaugh and is furthered by web and blog sites such as WhatDoesItMean.com which contains an article titled "US Orders Media Blackout Over North Korean Torpedoing of Gulf of Mexico Oil Rig"
Does this give credence to Limbaugh and his followers, apparently it does. As for me, I’ll just have “one” more bourbon and sleep Limbaugh off.
Unfortunately after the tranquilizer wears off, Rush Limbaugh is still there and I find that he is more than a bad illusion, he is real, and that scares me.
I have found that Idiots evolve from imbeciles, (or is it the other way around) and certainly Rush Limbaugh and Glenn Beck are far ahead of the pack here. And their latest rambling, stresses just how far south of the border their mind has wondered.
The latest triad of thought seems demented but it is also strikingly within the realm of possibility. The neoconservative mind set theorizes a war front, and as a part of this chimera they have conceived that the gulf BP Rig was attacked and was the subject of eco-terrorism from some enemy nation. They even theorize that nation!
Does this make sense, certainly to some conspiracy theorists it does, is this alleged attack a possibility, certainly it is within the realm of prospect.
The theory is not exclusive of Limbaugh and is furthered by web and blog sites such as WhatDoesItMean.com which contains an article titled "US Orders Media Blackout Over North Korean Torpedoing of Gulf of Mexico Oil Rig"
Does this give credence to Limbaugh and his followers, apparently it does. As for me, I’ll just have “one” more bourbon and sleep Limbaugh off.
Friday, May 7, 2010
Another major fiasco by the Obama Administration coming soon to a bank near you
The Obama administration now proposes a new bailout for small and medium sized banks. This new bank bailout is in the form of a $30bn support program aimed at helping small business.
First and foremost $30bn will barely cover lunch! And certainly it won’t cover the executive bonus pools.
However setting that aside if this were really a plan to help small business, the appropriate source to provide these funds to would be the SBA, Small Business Administration. Or, The Small Business Investment Companies, (SBIC’s).
By providing the funds to small and medium sized banks, with the idea that they will loan the money to businesses, is like betting against the odds in Las Vegas, “it ain’t gonna happen” and either President Obama is a slow learner, as we just tried this concept with the Wall Street Banks, (and they have been using the money to play the Market) or there is an intent here to bail out these small and medium sized banks and possibly to prevent the remainder of the 700 still primed and ready to fail, from actually failing.
In remarks to reporters at the White House, President Obama said that the program had been expanded to include a new state “small business credit” that would support efforts by state governments to provide loans to small businesses. But where that money will come from is anybody’s guess. The states are still struggling just to stay afloat. So far President Obama has designed one failed program after another, and we are left to pick up the pieces.
In any event with Washington Politics, things are never as they seem.
First and foremost $30bn will barely cover lunch! And certainly it won’t cover the executive bonus pools.
However setting that aside if this were really a plan to help small business, the appropriate source to provide these funds to would be the SBA, Small Business Administration. Or, The Small Business Investment Companies, (SBIC’s).
By providing the funds to small and medium sized banks, with the idea that they will loan the money to businesses, is like betting against the odds in Las Vegas, “it ain’t gonna happen” and either President Obama is a slow learner, as we just tried this concept with the Wall Street Banks, (and they have been using the money to play the Market) or there is an intent here to bail out these small and medium sized banks and possibly to prevent the remainder of the 700 still primed and ready to fail, from actually failing.
In remarks to reporters at the White House, President Obama said that the program had been expanded to include a new state “small business credit” that would support efforts by state governments to provide loans to small businesses. But where that money will come from is anybody’s guess. The states are still struggling just to stay afloat. So far President Obama has designed one failed program after another, and we are left to pick up the pieces.
In any event with Washington Politics, things are never as they seem.
A Rising Unemployment Rate is NOT Good News!
I read with interest an article by US News this morning that made me wonder what some people put in their coffee.
The headline was “Why a Rising Unemployment Rate is Good News”
Well a rising unemployment rate is definitely not good news! Especially for those who recently lost a job, or for those who had given up looking for work.
Let’s take a hard look at the real numbers:
First the true number of unemployed Americans is 11.44% not the 9.9% that other sources are misquoting. Their “misquote” has been based on their acceptance without question the numbers from the Department of Labor, which were misleading, “I am being kind”.
Currently we have 154,715,000 people employed in the US aged16 and over, while 17.7 million are unemployed. 15.3 million Americans unemployed and acknowledged by the labor department and another 2.4 million marginally attached and not counted, but never the less a part of the “real” work force.
The method to determine the unemployment rate is to take the total number of unemployed and divide it by the total number of employed. In short 17.7 million divided by 154,715,000 gives us the 11.44% unemployment rate.
In Simple terms the Unemployment Rate = 'Unemployed Workers' divided by 'Total Labor Force'.
In fact the true numbers of unemployed may even be higher than 11.44% because there are millions of workers that have given up and lost hope.
What these other sources failed to incorporate in their elucidations was that we had 444,000 initial claims filed against a backdrop of an alleged 290,000 hiring’s, this is still a net loss of 154,000 jobs! But don’t forget that 66,000 were temporary workers hired by the US government for the census. If we remove them from the count because they are not full time the picture gets even worse! The net loss goes up to 220,000 net job losses.
A net loss is a net loss no matter how you skin the orange!
America is still shedding jobs!!
The economy is being carried by Americans, some 8 million strong who have given up on any idea of saving their homes, and are spending their money purchasing things they have done without for the past two years, this support is a temporary measure at best.
When we can see 300,000 jobs created each month, over and above job losses, we will see a real recovery. However the Fed itself feels that may be a decade away.
News should be accurate, and give facts. Not a false sense of hope!
The headline was “Why a Rising Unemployment Rate is Good News”
Well a rising unemployment rate is definitely not good news! Especially for those who recently lost a job, or for those who had given up looking for work.
Let’s take a hard look at the real numbers:
First the true number of unemployed Americans is 11.44% not the 9.9% that other sources are misquoting. Their “misquote” has been based on their acceptance without question the numbers from the Department of Labor, which were misleading, “I am being kind”.
Currently we have 154,715,000 people employed in the US aged16 and over, while 17.7 million are unemployed. 15.3 million Americans unemployed and acknowledged by the labor department and another 2.4 million marginally attached and not counted, but never the less a part of the “real” work force.
The method to determine the unemployment rate is to take the total number of unemployed and divide it by the total number of employed. In short 17.7 million divided by 154,715,000 gives us the 11.44% unemployment rate.
In Simple terms the Unemployment Rate = 'Unemployed Workers' divided by 'Total Labor Force'.
In fact the true numbers of unemployed may even be higher than 11.44% because there are millions of workers that have given up and lost hope.
What these other sources failed to incorporate in their elucidations was that we had 444,000 initial claims filed against a backdrop of an alleged 290,000 hiring’s, this is still a net loss of 154,000 jobs! But don’t forget that 66,000 were temporary workers hired by the US government for the census. If we remove them from the count because they are not full time the picture gets even worse! The net loss goes up to 220,000 net job losses.
A net loss is a net loss no matter how you skin the orange!
America is still shedding jobs!!
The economy is being carried by Americans, some 8 million strong who have given up on any idea of saving their homes, and are spending their money purchasing things they have done without for the past two years, this support is a temporary measure at best.
When we can see 300,000 jobs created each month, over and above job losses, we will see a real recovery. However the Fed itself feels that may be a decade away.
News should be accurate, and give facts. Not a false sense of hope!
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