Love the site, I read it several times every day. I'm pretty good at researching and gathering data/opinions, but I cannot get a read on the markets. Why on Earth are they going up? Maybe I'm blinded from being immersed in the contrarian camp, but the most positive economic story I've seen lately was that ONLY 400-some thousand people filed for unemployment. Any thoughts?
Thanks,
Mike
Mike,
The markets are consolidating upwards and rising slightly thanks to the Plunge Protection Team/ Quantitative Easing (behind the scenes).
Obviously the fundamentals are horrible and the economy is headed nowhere but south for the foreseeable future.
The reason JP Morgan's stock's suddenly bounced sharply (after trading in the $20's last Thurs/Fri) is thanks to silver's 43% paper smash which decreased The Morgue's silver derivative losses by roughly $18 Billion in under a week!
Once the real panic hits in Europe however, the upward consolidation in markets and financials are history.
Morgan Stanley and Bank of America are at serious risk of going under, as well as France's entire banking system when Greece finally throws in the towel.
The woman in purple is Credit Default Swaps and Derivatives.
JP Morgan, Bank of America, Morgan Stanley, Wells Fargo, AIG, Fannie, Freddie, ad nauseum are the little avian friend.
This is the banking system TODAY. The major banks are dead- 100% INSOLVENT.
Still running around like the chicken, but the axe has already fallen.
Expect the media and even congress themselves to be begging The Bernank for QE3 in the not too distant future...
-Doc
