September 18, 2008
America, not the financial markets, in trouble
I would agree with the person who wrote me the following letter that the meeting tonight between Treasury Secretary Paulson, Fed Chairman Bernanke, SEC Chairman Cox and the Congressional leaders shows the US at a crisis point. In fact, I think the leaders of America are having a collective nervous breakdown. ADDENDUM
This is pathetic to watch, but we must be on guard because our rights are being taken from us. Make no mistake about that. I received the following letter tonight from someone who follows this stuff much closer than I. I hope you read this material and participate in the dialogue.
Bill, This is near surreal. In 2004 Dateline NBC was filming an expose called “Financial Terrorism in the USA”. It outlined naked shorting, offshore accounts and money laundering for organized crime and terrorists. They scraped the story after market members and DTCC threatened them. Today Jim Cramer came out and discussed his conversations with various short sided hedge funds. They all claimed they were not shorting the financials. They called it a stupid move with all the attention focused on them. Jim identified that the shorts taking place were engaged in financial terrorism by people who wanted to take down the US markets. I had a similar call and discussion earlier today. An individual close to all these big funds stated near identical story. The big funds are on lockdown. They said that with all the attention they did not want to risk jail for this stuff. They are also pissed because these moves being made will actually hurt them. I have also been informed that some of these big funds have contacted the 9/11 Commission/Homeland Security to discuss the possibilities since these guys are not involved. I am at a loss as to what to say…but now you know what I know. It would also explain this sudden next step.I just caught something weird on CNN. Sen. Chris Dodd has revealed that Bernanke's brief last night to Congress and the White House was met with stony silence at the end. Dodd says, "the oxygen went out of the room." Wolf Blitzer pressed but Dodd would not give details even after Blitzer expressed that the American public has a right to know. Dodd said soemthing about not wanting the American public to panic.
What Dodd is holding back is not analysis of FASB157 or complicated financial jargon ... everybody knows that already. I believe the markets have been under coordinated attack by Al Queda.
I'm only a fledgling technical analyst, the equivalent of a college freshman. Everybody understands that the market was due for a correction and the CDOs and all that were toxic. But I have a theory that the market can handle normal shorting by hedge funds and individuals. What it cannot handle is coordinated attacks.