| So What? 05-12-10 mpg U.S. posts 19th straight monthly budget deficit - So what? Bernanke will just print more. A quote...."The United States posted an $82.69 billion deficit in April, nearly four times the $20.91 billion shortfall registered in April 2009 and the largest on record for that month, the Treasury Department said on Wednesday. -- It was more than twice the $40-billion deficit that Wall Street economists surveyed by Reuters had forecast...." - bold by website editor Summary Box: Trade deficit climbs to 15-month high - So what....again? Bernanke will just print even more. - mpg -- A quote...."TRADE GAP: The U.S. trade deficit rose to $40.4 billion in March, the largest imbalance since December 2008." - bold by website - By the way, that works out to almost half a trillion dollars a year in trade deficits, but again, so what? 4 Big Banks Score Perfect 61-Day Run - So what....for the third time? After all it's pretty easy to do if you control the market and can borrow as much as you want, for as long as you want, for as little as you want, courtesy the American taxpayer and the Fed. - mpg -- A quote...."It is the Wall Street equivalent of a perfect game of baseball — 27 up, 27 down, the final score measured in millions of dollars a day. -- Despite the running unease in world markets, four giants of American finance managed to make money from trading every single day during the first three months of the year." - bold by website editor Bernanke has proven his case, over thirty trillion in back-stops, pay outs and guarantees simply elicits a yawn of complete boredom from the entire world wide financial community. Where's the inflation every conservative economist has been yammering about for the last three years? (OK it's coming, but not for a few years more) Where's the declining dollar? (OK it went down a bit, but now it's back up) "This is all going to cost us" they constantly say....cost what? What's it going to cost us? When is it going to cost us? It's free money, trillions in free money as a matter of fact, for as far as the eye can see. An absolute veritable ocean of liquid green. Who cares about moral hazard? Who cares about morals? We're here to make money folks, if your first bubble gives out, (the Dot.com), blow a bigger one (housing), if that goes poof, blow an even bigger one (US bonds perhaps?) and if that goes bust, Bernanke (or his successor) will just blow and even bigger one. Print a hundred trillion, print three hundred trillion, print a thousand trillion. Guarantee EVERYTHING in sight, don't let your friends fail ever. You want a quadrillion at zero percent interest for a hundred years....sure, here you go, have a nice day, after all, who gives a damn. Certainly not the somnolent Neo-Roman public. From this website editor's perspective it looks like Bernanke has proved all his critics wrong. His friends are all happy, the "One Percent" are all happy, the Banksters are certainly very happy and the "little guy" will just have to live with the fact that he and a hundred of his neighbors put together, could work their entire lives to earn what one Bankster could earn in just five minutes with the push of a button, courtesy of the "little guy" and his neighbors' tax dollars free of charge from Bernanke & Co. So life sucks, call someone who cares, here's a dime, oh wait, for local calls nowadays that'll cost you about ten dollars, here you go buddy, call your mom. Trillions in free money, a substantial portion of which was used by just five mega-banks to algo the markets up through high-frequency trading between EACH OTHER, a nifty little tactic wherein they trade back and forth various securities at higher and higher prices actually booking these transactions as profits for their firms. Not to mention skimming off even more by essentially front-running everyone else's trades using some highly sophisticated computer programs. Sure, eventually they'll have to settle their positions or off load them. It must have given them quite a scare when somebody got nervous over the European situation and crashed the market almost a thousand points within minutes last Thursday, but again, so what? Mommy Bernanke was there to save them. The PPT handled the whole thing just fine, Europe will now be sucked into this mess because they were stupid enough to take some handouts from the Fed and the IMF, meanwhile, whoever that Nervous Nelly was who tanked the market by trying to exit early, suitable punishments have already been planned for them by Bernanke and Co. You can just picture how it probably played out on Thursday in your minds eye..... Head
officer of Nervous Nelly Inc.:
(Mr.
Nervous
Nelly himself) - My gosh, Europe's gonna tank, f-ck the other four
banks, I want to get outta here now, let's
start deleveraging ASAP boys....(five minutes later) Ring, ring, Yeah,
this
is the PPT, we know what you guys are doing over there and you've
forced us to take care of the situation and let me tell you, you ever
try to violate our gentleman's agreement to algo these markets up
again, you ever try to
exit early, and they won't be able to identify any of you guys from
your dental records, assuming they can even find your bodies, NOW
GET
THE @#%& BACK INTO THAT MARKET RIGHT NOW!
And so it goes, one must ask what will it be next time, forty trillion, fifty trillion, a hundred trillion? There's no longer any moral hazard, it's mark to fantasy, screw the fundamentals, algo all the way and damn the statistics....or at least fudge them so bad they no longer reflect reality. What were those employment numbers for April, 102,000 right, (of which 66,000 were from the Census)? At least till the new "birth/death" models were employed and than presto, now they're 290,000. Probably they intend to model the whole thing after the market's last run-up. Algo it up out of the "V-formation", (done that already), let the markets drift up for two to three years at five to ten percent a year, selling the bulk of their crap as it does so to the general public, create a market peak for the suckers and their own shorts, crash it, and start the whole process all over again. So what, who cares, it's working ain't it, as long as you can get access to the Fed's window for unlimited free credit what's your beef? And if you can't, you don't really matter anyway. - mpg |