The con of the decade (Part I) involves the transfer of private debt to the public (the marks), who then pays interest forever to the con artists.
I’ve laid out the Con of the Decade (Part I) in outline form:
1. Enable trillions of dollars in mortgages guaranteed to default by packaging unlimited quantities of them into mortgage-backed securities (MBS), creating umlimited demand for fraudulently originated loans.
2. Sell these MBS as "safe" to credulous investors, institutions, town councils in Norway, etc., i.e. "the bezzle" on a global scale.
3. Make huge "side bets" against these doomed mortgages so when they default then the short-side bets generate billions in profits.
4. Leverage each $1 of actual capital into $100 of high-risk bets.
5. Hide the utterly fraudulent bets offshore and/or off-balance sheet (not that the regulators you had muzzled would have noticed anyway).
6. When the longside bets go bad, transfer hundreds of billions of dollars in Federal guarantees, bailouts and backstops into the private hands which made the risky bets, either via direct payments or via proxies like AIG. Enable these private Power Elites to borrow hundreds of billions more from the Treasury/Fed at zero interest.
7. Deposit these funds at the Federal Reserve, where they earn 3-4%. Reap billions in guaranteed income by borrowing Federal money for free and getting paid interest by the Fed.
8. As profits pile up, start buying boatloads of short-term U.S. Treasuries. Now the taxpayers who absorbed the trillions in private losses and who transferred trillions in subsidies, backstops, guarantees, bailouts and loans to private banks and corporations, are now paying interest on the Treasuries their own money purchased for the banks/corporations.
9. Slowly acquire trillions of dollars in Treasuries--not difficult to do as the Federal government is borrowing $1.5 trillion a year.
10. Stop buying Treasuries and dump a boatload onto the market, forcing interest rates to rise as supply of new T-Bills exceeds demand (at least temporarily). Repeat as necessary to double and then triple interest rates paid on Treasuries.
11. Buy hundreds of billions in long-term Treasuries at high rates of interest. As interest rates rise, interest payments dwarf all other Federal spending, forcing extreme cuts in all other government spending.
Many were from religious zealots of global warming theory, and as you might surmise they were not printable.
A few common sense comments came my way suggesting that the hackers or insiders (I believe the latter) did not prove global warming was a scam, only that that there is proof scammers are involved in global warming.
I have to admit that is true. Apologies offered. That admission aside, even more damning data has surfaced in regards to data manipulation.
It seems Dr. Tim Ball was aware of the data manipulation but could not prove it. Here is a partial transcript but I assure you the video is worth listening to entirely.
"[The Emails] confirm suspicions that I have had in 30 years of working in climate science that I saw the hijacking of climate science particularly by computer modelers and then by a small group of people associated with the intergovernmental panel on climate change. The difficulty was that even though I sensed there was these thing going on, proving it is extremely difficult. But now with the exposure of these public files it is not only a smoking gun, it’s a battery of machine guns. … On A global scale it’s frightening. This group of people not only controlled the Hadley Center which controls the global data on temperatures, so that the global temperature record is in their hands, they also control the IPCC. … The IPCC is the basis in all governments for the Kyoto Protocol, the Copenhagen Accord, and so on. ….. The problem they had is they kept saying the 20th century and the latter part of it is the warmest ever. And of course skeptics like myself [and several other names] were saying it was warmer 1000 years ago when the Vikings were in Iceland and Greenland and that’s
It’s now official. Much of the hype about global warming is nothing but a complete scam.
Thanks to hackers (or an insider) who broke into The University of East Anglia’s Climatic Research Unit (CRU) and downloaded 156 megaybytes of data including extremely damaging emails, we now know that data supporting the global warming thesis was completely fabricated.
So far, the most interesting file I found in the "documents" directory is pdj_grant_since1990.xls (Google preview, click) which shows that since 1990, Phil Jones has collected staggering 13.7 million British pounds ($22.6 million) in grants.
Phil Jones, the main criminal according to this correspondence, has personally confirmed that the website was hacked and that the documents are authentic. See Briefing Room.
He says that he "can’t remember" what he meant by "hiding the decline." Well, let me teach him some English. First, dictionaries say that hide means
1. to conceal from sight; prevent from being seen or discovered: Where did she hide her jewels?
2. to obstruct the view of; cover up: The sun was hidden by the clouds.
3. to conceal from knowledge or exposure; keep secret: to hide one’s feelings.
4. to conceal oneself; lie concealed: He hid in the closet.
5. British. a place of concealment for hunting or observing wildlife; hunting blind.
6. hide out, to go into or remain in hiding: After breaking out of jail, he hid out in a deserted farmhouse.
Here Are A Few Choice Emails
From: Phil Jones
To: ray bradley ,firstname.lastname@example.org, email@example.com
Subject: Diagram for WMO Statement
Date: Tue, 16 Nov 1999 13:31:15 +0000
Dear Ray, Mike and Malcolm,
Once Tim’s got a diagram here we’ll send that either later today or first thing tomorrow. I’ve just completed Mike’s Nature trick of adding in the real temps to each series for the last 20 years (ie from 1981 onwards) amd from
Who is Best Qualified to Decide how How Your Wealth Should be Used?
I have noted before that my fellow citizens and I are the best wealth redistributors one can find. We know quite well, with only rare exceptions, where the wealth we obtained should go – how we should spend or invest or save our earnings, etc.
But vast numbers of political thinkers and players disagree. They hold that our resources must be taken from us and they, not we, should be the ones who decide what to do with them. Why? Who are these folks to butt in and remove us from the driver’s seat and p...
Financial crises can happen quickly, like the bursting of the tech stock bubble in early 2000, or slowly, like the late-1980s junk bond bust. The shape of the crash depends mostly on the asset in question: Equities can plunge literally overnight, while bonds and bank loans can take a while to reach critical mass.
China’s bursting bubble is of the second type. During its post-2009 infrastructure binge, trillions of dollars were lent to (way too many) producers of cement, steel, chemicals and other basic industrial inputs. And now a growing number of them can’t make their payments:
We are entering one of the most bullish times of the year historically. As we mentioned last week, the final 30 trading days of the year have been higher each of the last 12 years.
CLICK ON CHART TO ENLARGE
Getting to today, it is Black Friday – the official start to the holiday spending season. We’ve seen many stats that show this day isn’t quite as important as it once was. From many sales now starting on Thanksgiving, to Cyber Monday this coming Monday – there are other times people are looking for the best deals. None the less,...
Nope it is not interest rates, nope it is not Donald Trump, it is!
It is the CRUDE OIL crash, simple!
Jim Willie has good comments in the first 40 min of this pod cast.
Energy company ... - Debt is blowing up (See energy element of HYG). - Hedging at oil $100 is coming to an end. - Iran coming back to the market, more supply. - Saudi still providing massive supply. - Oil tankers holding oil parked in the ocean are coming in to harbor to unload - US dollar strength supports lower oil prices - World wide DEMAND slump for energy or deflation. - More oil being sold outside the US Dollar - The Oil futures can not be manipulated easily as folks actually ...
Some weeks when I write this article there is little new to talk about from the prior week. It’s always the Fed, global QE, China growth, election chatter, oil prices, etc. And then there are times like this in which there is so much happening that I don’t know where to start. Of course, the biggest market-moving news came the weekend before last when Paris was put face-to-face with the depths of human depravity and savagery. And yet the stock market responded with its best week of the year. As a result, the key issues dominating the front page and election chatter have moved from the economy and jobs to national security and a real war (rather than police ...
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I've decided to build our startup - Veritaseum, a peer-to-peer financial services platform, directly on top of the Bitcoin Blockchain. Many queried why I would voluntarily give up a lucrative advisory and consulting business to chase virtual coins in cyberspace. That's exactly why I decided to do it. That level of misunderstanding of what is essentially the second coming of the Internet gave me a fundamental advantage over those who had deeper connections, more capital and more firepower. I was the first mover advantage holder.
You see, Bitcoin is not about coins, currency or price pops. It is a massive computing net...
1) The shares of one of my largest short positions (~3%), Exact Sciences, crashed by more than 46% yesterday. Below is the article I published this morning on SeekingAlpha, explaining why I think it’s still a great short and thus shorted more yesterday. Here’s a summary:
The U.S. Preventative Services Task Force’s Colorectal Cancer Screening Draft Recommendation issued yesterday is devastating for Exact Sciences’ only product, Cologuard.
I think this is the beginning of the end for the company.
My price target for the stock a year from now is $3, so I shorted more yes...
Reminder: Pharmboy and Ilene are available to chat with Members, comments are found below each post.
Baxter Int. (BAX) is splitting off its BioSciences division into a new company called Baxalta. Shares of Baxalta will be given as a tax-free dividend, in the ratio of one to one, to BAX holders on record on June 17, 2015. That means, if you want to receive the Baxalta dividend, you need to buy the stock this week (on or before June 12).
Back in December, I wrote a post on my blog where I compared the performances of various ETFs related to the oil industry. I was looking for the best possible proxy to match the moves of oil prices if you didn't want to play with futures. At the time, I concluded that for medium term trades, USO and the leveraged ETFs UCO and SCO were the most promising. Longer term, broader ETFs like OIH and XLE might make better investment if oil prices do recover to more profitable prices since ETF linked to futures like USO, UCO and SCO do suffer from decay. It also seemed that DIG and DUG could be promising if OIH could recover as it should with the price of oil, but that they don't make a good proxy for the price of oil itself.
This is a non-trading topic, but I wanted to post it during trading hours so as many eyes can see it as possible. Feel free to contact me directly at firstname.lastname@example.org with any questions.
Last fall there was some discussion on the PSW board regarding setting up a YouCaring donation page for a PSW member, Shadowfax. Since then, we have been looking into ways to help get him additional medical services and to pay down his medical debts. After following those leads, we are ready to move ahead with the YouCaring site. (Link is posted below.) Any help you can give will be greatly appreciated; not only to help aid in his medical bill debt, but to also show what a great community this group is.
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