konane's Blog

Believe many of us conservative bloggers have said the same things, but not condensed quite as well as this. 

_____________

"American capitalism gone with a whimper

Front page / Opinion / Columnists
27.04.2009 Source: Pravda.Ru

Stanislav Mishin


"It must be said, that like the breaking of a great dam, the American decent into Marxism is happening with breath taking speed, against the back drop of a passive, hapless sheeple, excuse me dear reader, I meant people.

True, the situation has been well prepared on and off for the past century, especially the past twenty years. The initial testing grounds was conducted upon our Holy Russia and a bloody test it was. But we Russians would not just roll over and give up our freedoms and our souls, no matter how much money Wall Street poured into the fists of the Marxists.

Those lessons were taken and used to properly prepare the American populace for the surrender of their freedoms and souls, to the whims of their elites and betters.

First, the population was dumbed down through a politicized and substandard education system based on pop culture, rather then the classics. Americans know more about their favorite TV dramas then the drama in DC that directly affects their lives. They care more for their "right" to choke down a McDonalds burger or a BurgerKing burger than for their constitutional rights. Then they turn around and lecture us about our rights and about our "democracy". Pride blind the foolish.

Then their faith in God was destroyed, until their churches, all tens of thousands of different "branches and denominations" were for the most part little more then Sunday circuses and their televangelists and top protestant mega preachers were more then happy to sell out their souls and flocks to be on the "winning" side of one pseudo Marxist politician or another. Their flocks may complain, but when explained that they would be on the "winning" side, their flocks were ever so quick to reject Christ in hopes for earthly power. Even our Holy Orthodox churches are scandalously liberalized in America.

The final collapse has come with the election of Barack Obama. His speed in the past three months has been truly impressive. His spending and money printing has been a record setting, not just in America's short history but in the world. If this keeps up for more then another year, and there is no sign that it will not, America at best will resemble the Wiemar Republic and at worst Zimbabwe.

These past two weeks have been the most breath taking of all. First came the announcement of a planned redesign of the American Byzantine tax system, by the very thieves who used it to bankroll their thefts, loses and swindles of hundreds of billions of dollars. These make our Russian oligarchs look little more then ordinary street thugs, in comparison. Yes, the Americans have beat our own thieves in the shear volumes. Should we congratulate them?

These men, of course, are not an elected panel but made up of appointees picked from the very financial oligarchs and their henchmen who are now gorging themselves on trillions of American dollars, in one bailout after another. They are also usurping the rights, duties and powers of the American congress (parliament). Again, congress has put up little more then a whimper to their masters.

Then came Barack Obama's command that GM's (General Motor) president step down from leadership of his company. That is correct, dear reader, in the land of "pure" free markets, the American president now has the power, the self given power, to fire CEOs and we can assume other employees of private companies, at will. Come hither, go dither, the centurion commands his minions.

So it should be no surprise, that the American president has followed this up with a "bold" move of declaring that he and another group of unelected, chosen stooges will now redesign the entire automotive industry and will even be the guarantee of automobile policies. I am sure that if given the chance, they would happily try and redesign it for the whole of the world, too. Prime Minister Putin, less then two months ago, warned Obama and UK's Blair, not to follow the path to Marxism, it only leads to disaster. Apparently, even though we suffered 70 years of this Western sponsored horror show, we know nothing, as foolish, drunken Russians, so let our "wise" Anglo-Saxon fools find out the folly of their own pride.

Again, the American public has taken this with barely a whimper...but a "freeman" whimper.

So, should it be any surprise to discover that the Democratically controlled Congress of America is working on passing a new regulation that would give the American Treasury department the power to set "fair" maximum salaries, evaluate performance and control how private companies give out pay raises and bonuses? Senator Barney Franks, a social pervert basking in his homosexuality (of course, amongst the modern, enlightened American societal norm, as well as that of the general West, homosexuality is not only not a looked down upon life choice, but is often praised as a virtue) and his Marxist enlightenment, has led this effort. He stresses that this only affects companies that receive government monies, but it is retroactive and taken to a logical extreme, this would include any company or industry that has ever received a tax break or incentive.

The Russian owners of American companies and industries should look thoughtfully at this and the option of closing their facilities down and fleeing the land of the Red as fast as possible. In other words, divest while there is still value left.

The proud American will go down into his slavery with out a fight, beating his chest and proclaiming to the world, how free he really is. The world will only snicker."

Stanislav Mishin

The article has been reprinted with the kind permission from the author and originally appears on his blog, Mat Rodina"

http://english.pravda.ru/opinion/columnists/107459-0/

Another installment in the current financial debacle.

Quoted from article:     "Bernanke thought it would be an easy task to keep down mortgage rates. So much for a $1.2 trillion commitment. What's next? A $2.4 trillion commitment? Fannie Mae, Freddie Mac, and the FHA are the lenders of only resort yet the Fed is still struggling to rig the market."

____________

"Mortgage Market Locks Up

Mike "Mish" Shedlock

Source MISH'S Global Economic Trend Analysis

"Field Check Group has this report that I can share.

As Bad As You Can Imagine

With respect to yesterday’s episode in the mortgage market -- yes, it is as bad as you can imagine. Yesterday, the mortgage market was so volatile that banks and mortgage bankers across the nation issued multiple midday price changes for the worse, leading many to ultimately shut down the ability to lock loans around 1pm PST. This is not uncommon over the past five months, but not that common either. Lenders that maintained the ability to lock loans had rates UP as much as 75bps in a single day.

A good friend in the center of all of the mortgage capital markets turmoil said to me yesterday “feels like they [the Fed] have lost the battle...pretty obvious from the start but kind of scary to live through it ... today felt like LTCM with respect to liquidity”.

The negative consequences of 5.5% rates are enormous. Because of capacity issues and the long timeline to actually fund a loan very few borrowers ever got the 4.25% to 4.75% perceived to be the prevailing rate range for everyone A significant percentage of loan applications (refis particularly) in the pipeline are submitted to the lender without a rate lock. This is because consumers are incented by much better pricing to lock for a short period of time…12-15 day rate locks carry the best rates by a long shot. But to get this short-term rate lock, the loan has to be complete enough to draw loan documents, which has been taking 45-75 days over the past several months depending upon the lender’s timeline. Therefore, millions of refi applications presently in the pipeline, on which lenders already spent a considerably amount of time and money processing, will never fund.

Furthermore, many of these ‘applicants’ with loans in process were awaiting the magical 4.5% rate before they lock -- a large percentage of these suddenly died yesterday. To make matters worse, after 90-days much of the paperwork (much taken at the date of application) within the file becomes stale-dated and has to be re-done with new dates -- if rates don’t come down quickly many will have to be cancelled out of the lender’s system. To add insult to mortal injury, unless this spike in rates corrects quickly, a large percentage of unlocked purchases and refis will have to be denied because at the higher interest rate level, borrowers do not qualify any longer. For the final groin kicker, a 5.5% rate just does not benefit nearly as many people as a 4.5%-5% rate does. Millions already have 5.25% to 5.75% fixed rates left over from 2002-2006.

This is a perfect example of why the weekly Mortgage Applications Index is an unreliable indicator of future loan fundings and has been for a year and a half. As a matter of fact you will see this index crumble over the next few weeks at the same disproportional rate as it increased over the past several months if rates don’t settle lower quickly.

With respect to banks, mortgage banks, servicers etc, under-hedging a potential sell-off with the Fed supposedly having everybody’s back was a common theme. Banks could lose their entire Q2 mortgage banking earnings and middle market mortgage banker may never recover or immediately have to close shop.

Lastly, consider sentiment -- this is a real killer. This massive rate spike may have invalidated hundreds of billions spent to rig the mortgage market literally overnight. This leaves the mortgage and housing market very vulnerable. Mortgage loan officers around the country are having a very bad day today explaining to their clients why their rate was not locked and how rates are going to come right back down. They will not feel like getting too aggressive taking new loan applications at least for the next month unless this corrects quickly.

We have to see where all this settles over the next few days before making a near to mid-term call on the outright damage because at this point, Fed or Treasury shock and awe is almost certain. Another common theme has been ‘if it doesn’t work throw much more money at it’. Obviously they have been following this closely for the past few weeks, as conditions started to deteriorate, and have likely been waiting to see where the upper range was before shocking in order to get maximum benefit…that would be a humongous short squeeze in Bonds. The problem is…if they do shock her and it is sold into with the same fury that we have been seeing, there may not be an act two.

Treasuries Massacred

For more on the 10-year treasuries please see Treasuries Massacred; Yield Curve Steepest On Record.

This morning there was a bit of a treasury rally on a rumor the Fed was going to buy $10 billion in long dated treasuries but treasuries are now back to the lows of the day, with 10-year yields essentially unchanged vs. yesterday.

Yield Curve as of 2009-05-28



click on chart for sharper image

Mortgage banks are going to be flooded with calls from people wanting to lock at 4.75. Sorry folks, those rates are gone.

I called Mark Hanson this morning to see if there was any improvement in the mortgage. Mark said "Rates fell from 5.5 to 5.375 on intervention rumors this morning but are now back to 5.5. If rates stay in the mid 5's, new loan applications will quickly dry up.

By the way, that 5.5% rate is pretty much for the "perfect borrower" with a FICO score of 740 or higher and a 20% down payment. Jumbos are hovering near 8% with 1.5% points.

Mortgage banks that made unhedged commitments at 4.25-4.75% are now in a position to lose substantial sums of money.

Bernanke thought it would be an easy task to keep down mortgage rates. So much for a $1.2 trillion commitment. What's next? A $2.4 trillion commitment? Fannie Mae, Freddie Mac, and the FHA are the lenders of only resort yet the Fed is still struggling to rig the market."

http://globaleconomicanalysis.blogspot.com/2009/05/mortgage-market-locks-up.html

"Danger Room What's Next in National Security

"North Korea: The Mother of All Stability Ops?

By Nathan Hodge
May 28, 2009 7:45 am
Source Wired.com

"Let's say you've got a country somewhere north of the 38th Parallel. It has a large conscript army; a whole lot of artillery tubes; and a few Hiroshima-style nukes.

Oh, and a population on the brink of starvation.

North Korea's recent nuclear test - and its threats of all-out war - have diplomats and top officials racking up the frequent-flyer points. Secretary of Defense Robert Gates set off Wednesday on a trip to reassure jittery Asian allies that the United States will stand firm in the crisis; President Barack Obama is supposed to talk the situation over with Russian President Dmitry Medvedev; And China may finally take a tougher line with the North Korean regime.

Noah has looked at some of the scenarios for war on the Korean peninsula, and the outcomes don't look pleasant. Since the armistice ended the Korean War 56 years ago, military planners have been readying for a nasty fight over the DMZ. But the wars in Iraq and Afghanistan - and the amount of manpower and resources that they have sucked up - have made it much more likely that conflict with North Korea would get ugly, fast.

In a 2006 press briefing, Gen. Peter Pace, chairman of the Joint Chiefs of Staff, was quite blunt. A fight with North Korea, he said, would require "more brute force" because of what is going on in Iraq and Afghanistan.

"Why?" he asked. "Because you need precision intelligence to drop precision munitions. And a lot of our precision intelligence assets are currently being used in the Gulf region, so some of those would not be available if you had to go someplace else. And some of our delivery platforms for delivering precision weapons are being employed right now. So you would end up not having all of the precision weapons that you might otherwise have going into a second theater, wherever it might happen to be, and therefore you would end up using more 'dumb bombs,' so to speak, more brute force than you would otherwise."

Let's assume that the U.S. and Republic of Korea forces succeed - with brute force, or without - in smashing North Korea's no-tech army. Then what? Well, you might have to deal with a few more consequences. Try dealing with millions of starving North Koreans, for starters. Add to that the threat of a few loose nukes. And finally - this is the really hard part - try administering a country that has been under the control of a Stalinist regime for six decades. I wouldn't expect a swift transition to democracy or a painless reunification.

In a recent conversation I had with strategist and Pentagon consultant Tom Barnett, he made precisely that point. "North Korea is not really a war scenario, let's be honest," he said. "It's a humanitarian scenario; it's a hunt for the weapons of mass destruction scenario." And you thought Afghanistan and Iraq sucked."

http://www.wired.com/dangerroom/2009/05/north-korea-the-mother-of-all-stability-ops/

Found via SteveQuayle.com.  Read it twice to half wrap my mind around what he's talking about.  Lots of details, many allegations, lots of intrigue. 

This article appears to be talking about systematically dismantling a mechanism or means by which something is brought about for the purpose of fraudulently depressing gold prices to artifically strengthen US dollar on world markets.

________________

"...........The global creditors for the USTreasury Bonds are so angry at the past suffered losses, the prospect of deep future losses, and the corruption laced throughout the US financial system, that they have hired third parties to kill off the US$-gold platforms, to destroy the burdensome banking ballast dominated by protected entrenched fraud experts, to lay waste to the vehicles used by the US-UK bond trafficking syndicate totally saturated with corruption, dishonesty, and collusion, replete with greed, totally absent conscience. They have systemically been dismantling the COMEX pillars and levers over the last several months, quietly and without fanfare, surely without publicity........."

"Hitmen Contracts to Bust COMEX

Jim Willie CB
May 28, 2009

......... "An historically unprecedented mess has been created by compromised central bankers and inept economic advisors, whose interference has irreversibly altered and damaged the world financial system, urgently pushed after the removed anchor of money to gold. Analysis features Gold, Crude Oil, USDollar, Treasury bonds, and inter-market dynamics with the US Economy and US Federal Reserve monetary policy.

"Major dislocations are coming. Tremendous disruptions are coming. Price discontinuities are coming. Price chart patterns might be rendered useless soon. Last week, the case for a grand Paradigm Shift was made, covering many elements in order to paint a mosaic. Taken in isolation, any one point is important in its own right, but not enough to convince of a structural change. Taken in entirety, the many points create a full picture that is more easily recognized. The ruinous events of the Wall Street banks last September and October surely served as an extreme event loaded with profound disruption. The Chinese have proceeded with a transition to yuan-based domestic banking, with an installation of yuan swap facilities around the world, with an ASEAN regional fund again supplied by yuan for flexible purposes, with permission granted to two Hong Kong banks to sell yuan-based bonds, with an admitted rise in significant gold bullion reserves, and with continued verbal battles over legitimacy of the USDollar as the global reserve currency. These Chinese initiatives in recent weeks, occurring rapidly, are serving as a collective extreme event with the potential for profound disruption. A gold-backed yuan currency would surely cause massive disruption in a climax merger of events. The barter system set up between Russia and Europe will bypass the US$-based settlement system, as will the barter system set up between Russia and China. The avoidance of contract settlement in USDollars would result in extreme disruption to the global banking system. The creditor nations are plotting to organize and launch alternative currencies, maybe to fortify existing currencies (like the euro or yuan or ruble) with a gold component, maybe also with a crude oil component. A challenge to the USDollar by asset-backed currencies would result in extreme disruption to the global banking system. The hidden nitroglycerine to the disruptions is the Russian military, and any pledges of support for nations attempted to force systemic changes. These are just some important examples of change agents.

All Paradigm Shifts result in extreme disruption. That is the essence of Paradigm Shifts. The entire table changes, like its shape, its seats, its location, even who sits at the table, and in particular who sits at the head of the table. Big disruptions are to come from the COMEX pit of corruption, the central nexus for controlling illicitly the price structure for gold, the USDollar, and the USTreasury Bonds. The COMEX in all likelihood is the weakest link in the US-UK chain of corrupted financial markets. For many months my view has been that gold fights the political battles, while silver gathers more than its share of rewards and spoils. Gold has a long history of experience fighting grand battles. It can be placed in dungeons, but not for more than a couple decades. The rot in financial systems without golden foundations forces gold to the surface!

THE HITMEN COMETH

It has come to my attention that several private parties have accepted contract assignments to neuter the COMEX and London Metals Exchange, to render ruin to its gold market.

That bears repeating from the rooftops.

MUTLIPLE HIRED HITMEN HAVE ASSIGNMENTS TO KILL THE COMEX GOLD MARKET.

That is the lynchpin to control the USDollar, the USTreasurys, and the corrupt mechanisms used by the New York and London syndicates. Their clear criminal behavior is beyond the reach of law enforcement, but they are not beyond the reach of hitmen. The USDollar has been in violation of the US Constitution since 1971, perpetuated by a renegade series of administrations. The global creditors for the USTreasury Bonds are so angry at the past suffered losses, the prospect of deep future losses, and the corruption laced throughout the US financial system, that they have hired third parties to kill off the US$-gold platforms, to destroy the burdensome banking ballast dominated by protected entrenched fraud experts, to lay waste to the vehicles used by the US-UK bond trafficking syndicate totally saturated with corruption, dishonesty, and collusion, replete with greed, totally absent conscience. They have systemically been dismantling the COMEX pillars and levers over the last several months, quietly and without fanfare, surely without publicity. If gold investors knew of their actions, they would become much bolder. Some want the bankers in their gunsights not to be warned. They await their fate with the Financial Grim Reaper. Their executions will be as swift as brutal.

The HITMEN have been hired, with highly lucrative contracts and wide berth in methods to be put to use. Their assigned task is to castrate the levered family jewels from some of the major players who illegally keep the gold price and silver price artificially low. The targeted victims know their awaited fate, and are presently defecating in their skivvies. A short list of banks facing the firing squad is already known, details for < snip > members. Some detailed speculation will be devoted to the June < snip > reports, since too controversial. This will be an evolving story, with new chapters soon written. The executions will be sudden. The missing US-UK levers will be immediate. Since last autumn, the global powers have aligned against Wall Street, even if the central bankers have supported it. If one wants to destroy a building, then weaken its pillars, cut a few support beams, then rush in a crowd of people, and wait for a turbulent storm. In the case of the COMEX, the wicked players will crowd the corrupted building. They will sink into ruin and then oblivion. They might become objects of mockery when they make noises from prison. If lucky, they will join Ken Lay from Enron fame in a remote Caribbean island where other favored operators live a secluded life, but a life nonetheless, complete with plenty of sunshine, fresh air, beaches, bikinis, and sailboats, but no intrusive cameras. Please, do not disturb the quasi-dead!

The financial cartel dominated by the United States and United Kingdom is soon to suffer some serious blows. The list of their financial crimes is as magnificent as it is long. Its list of victims is as prominent as it is long. The harbored resentment is great by many global players. They waited patiently for the Obama Admin to install a new group, but the old group remains due to a revolving door from the same smoky club, dominated by Goldman Sachs once more. Their influence, if not bribery, of the USCongress is in continuation, sufficient for unwanted obsequious approval. The regulatory agencies are from the same encrusted chambers replete with stench. The Coup d'Etat of the USGovt financial offices has not changed with Obama, who sounds like a refreshing leader but who is actually a marionette under control by those who selected him, favored him with publicity, then enabled his election. Nothing has changed except the rhetoric of change and the pace on the path to bankruptcy for a few icon firms like General Motors and Chrysler, if not the desperate cries from the 50 states suffering from insolvency. More prominent failures will follow, since nothing has been remedied. The channeled funds directed to Wall Street firms continue unabated. The bread crumbs to Main Street and the people continue unabated. Even the war continues unabated. Forget not that Marie Antoinette once said "Let them eat cake" before the French Revolution and the Storming of the Bastille. Today, the Bastille is the entire USEconomy where insolvent Americans are stuck.

Some might wonder what was the turning point that resulted in hired hitmen to be under contract against certain US financial markets. Some might say the failures of Lehman Brothers, American Intl Group, and Fannie Mae. Not so! In my opinion, it was the invasion in the South Osettia region of Georgia in August 2008. The events around Georgia, with the United States Military deeply involved, along with a certain tiny mischievous ally nation, lit a fuse that set off a chain of events. In time, events led to orders given by high level powers, for the US fraud kings on Wall Street to swallow the medicine no later than first thing Monday morning on September 15th. When the Jackass inquired as to the nature of the urgency leading into that understood stated deadline date, no answer was given. The guess of the Bank For Intl Settlements was submitted by me, and it was confirmed. Other sources, the USTreasury Bond creditors, also applied the pressure, it was told. Rumor was thick that death threats had been delivered to certain Wall Street executives, such as Paulson. Thus the pressure passed on to the USCongress for passage of T.A.R.P. funds. The disbursement of those funds have not been made public partly because Wall Street (read Goldman Sachs) does not want the US people to be aware of payoffs for bond fraud under death threats. Also, the Congressional Inspector has cited a few dozen recommendations for criminal fraud investigations of the same T.A.R.P. funds. The US financial sector has become a den of vipers, no longer the bastion of gentlemen, but rather of syndicate bosses.

COMEX STRESS NEAR A BREAKING POINT

Sources from GATA (the Gold Anti-Trust Action committee) report growing distress for participants in the COMEX gold contracts, where a commercial party is very short and in deep trouble. They have sold more gold bullion than they can deliver. They are likely one of the big banks who violate the law with impunity, with USGovt sanctioned protection. By that is meant they routinely do not post 90% of the metal as collateral that they illegally sell. This is naked shorting by any other name. There are reports of grave concern over the upcoming June gold option expiration. If too many deliveries are ordered, then the commercial shorts would be under stress for exposure for naked shorting. They will eventually be caught in a bind and default on contracts. The important loaded monthly contracts are March, June, September, and December. The COMEX has tried to limit the ability of buyers to take delivery, running them around in circles, and entangling them in red tape, all clearly restraint of trade endorsed by the USGovt. Such rules are not in effect for cotton or soybeans or crude oil or pork bellies. After all, a financial crime syndicate has taken control of the USGovt, ever since Robert Rubin took charge at the USDept Treasury in 1992. His major project was to gut the nation of its gold, for the private profit of his friends. Recall Rubin came from Goldman Sachs. Rubin was the author of the Strong Dollar Policy which brought ruin to the nation. Hey, just my opinion!

Background inventory strain has come from unexpected sources. The Germans have demanded that gold bullion held in US custodial accounts be returned to their owners, with physical gold shipped back to Germany. The Dubai bankers have demanded that gold bullion held in London custodial accounts be returned to their owners, with physical gold shipped back to the United Arab Emirates. They are following the hired German counsel. In all likelihood, neither US nor London sources are in possession of all the gold held in those custodial accounts, since at least some of it probably was improperly leased. By that is meant without owner permission or knowledge. So an uproar could come soon with charges of gold bullion theft, or at least failure of fiduciary responsibility. Theft is a simpler description.

China is the biggest gold producer in the world now, but none of its output is directed to the open market. Russia is a significant gold producer also, but none of its output is directed to the open market either. A near default occurred in early April from a close call to Deutsche Bank on 850 thousand ounces of gold. The tarnished bankers at D-Bank dug up over a million ounces on the quick from the ready Euro Central Bank mine shifts in the nick of time. Never ignore the basic fact that COMEX lies through its teeth about the gold bullion in its vaults, since audits do not occur, some is leased (replaced by paper certificates), and some is committed in some fashion to very wealthy parties (unavailable). Far less gold bullion rests in COMEX vaults than is advertised. All signals point to serious strain in COMEX gold supply.

FEEDERS FOR GOLD FULLY LOADED

Two important feeder systems continue to be USDollar weakness and USTreasury Bond weakness. More important than these is the systematic ruin of the major global currencies generally, but a convenient chart is not offered to track it. Just note the near 0% official rates dictated by the failed franchised Politburos known as central banks in most countries, or the movement toward 0%. The USDollar has broken below important support at 81. Expect it to fall further after more dithering. The long-term USTreasury Note has suffered a fast rising surge in its bond yield. Its target from different perspectives is 4.1%, and right quick. These two highly favorable charts will power the gold price to new highs very soon. Nobody knows how soon, but soon. Rarely does one see both the USDollar and USTreasurys fall in value simultaneously. They are now, and will provide a jet assist to gold, which is held back only by COMEX corruption. Their illicit maneuvers are more obvious and desperate with each passing week. Someday their actions might even be on the news. The imminent Standard & Poors debt downgrade of the UKGilt (bonds from British Govt) hit the credit market last week like a bolt of lightning. My belief is that it might have short-circuited the US-UK financial foundation, and burned out some major circuit boards. The US and UK share Third World finance characteristics. If a Fourth World existed, the US would merit it.

(Click on images to enlarge)

The gold price is on the verge of a breakout to new nominal highs. The chart demands it. It needs only a trigger, in a land where potential triggers dot the charred landscape. A gold event will be unavoidable. Its chronic strain has derived from the extreme disparities between the physical market mired in shortage, versus the paper market with unlimited supply. The tail is wagging the dog here, as it has been for years, soon to end. The silver price will easily recover to the 17 level in a flash. It has already surpassed the February high. It is loading up for the next little surge to resistance that awaits at the 17-19 range. The potential sling shot momentum boost for silver will be powerful, enough to send its price to 30 with ease. Think pendulum.

NOW FACTOR IN DISRUPTIVE EVENTS, THE PRICE DISLOCATIONS, AND THE OVER-ARCHING PARADIGM SHIFT IN PROGRESS. THE GOLD PRICE COULD REACH 1300 SUDDENLY. WITH EXTREME CONTROVERSY FROM COMEX, LIKE DELIVERY DEFAULTS, PUBLICIZED CORRUPTION, AND EVEN FRAUD INDICTMENTS, THE GOLD PRICE COULD OVER-RUN THE 1300 TARGET AND HEAD FOR 1500 AND BEYOND. SILVER COULD AS A RESULT FOLLOW ITS WARRIOR BROTHER, HEAD PAST 20 IN A FLASH, AND PURSUE 30 EASILY.

Little attention has been given lately to one of the most reliable time-tested forward indicators of the gold price. The ratio of the 10-year USTreasury Note yield to the 2-year USTreasury Bill yield has always been highly reliable in predicting a move in the gold price. The simple chart of bond yields versus maturity years is known better as the Treasury Yield Curve. The ratio is more amenable to chart analysis.A breakout in the Treasury Yield Ratio is in progress. All benefits from the mid-March monetization announcement have vanished. If the 2-year bond yield remains near 1%, where it appears stuck, then the breakout target would indicate that the 10-year bond yield is heading to 4.1% at least. Yet another method targets 4.1% in the long bond yield. The presented ratio contains information on the future prospect of price inflation, in a reliable contrast of time perspectives. Knuckleheads who insist on pounding the Deflation Tables might want to check this indicator, and look at the crude oil price. It is $63 per barrel, not the $20-25 predicted by these lost troopers. Yo Mish Bro, can you spare me a deflating dime? The strict definition of money is useless anymore. The Shadow Banking system is an actual part of the real world, which you do NOT count.

To the fools, dolts, and morons out there who cling to notions of recovery and Green Shoots, bless your heart. Hope has clouded your minds. Once more you believe the liars and purveyors of propaganda, after being nearly fatally burned. You must believe in the Easter Bunny, Santa Claus, and the Tooth Fairy. You should not be in charge of investment funds, but rather of crayon supply cabinets and Beanie Baby collector items. The Case Shiller housing price index this week reported a 19.1% annual decline in 1Q2009 from Q1 last year. Foreclosures in April were up 32% over last year, as the nightmare continues. That is 1 in 374 homes with mortgages in America in some process of foreclosure. A relentless decline in home prices erases household wealth, and the source of consumer spending. Consumer confidence is ephemeral and baseless. The mortgage rate has just gone above the pre-March levels, when the USFed announced they would monetize $1050 billion in both USTreasury Bonds and USAgency Mortgage Bonds. The benefit has been erased. Today's underwater mortgage is tomorrow's foreclosure, made worse by job losses. The FDIC this week reported a 25% rise in non-current loans in 1Q2009 from Q4 of last year. Greater bank losses will come, much like floods follow hurricanes. And lastly, give credit to the USGovt statrats in their busy laboratories. They decided to ramp up the Q2 Gross Domestic Product by including all USGovt rescue funds for the big banks, including the diverse funds from the many liquidity facilities. All those funds will go directly into the GDP for Q2 as a special line item. Expect a miraculous economic recovery in the second quarter, based in vapor. The stock rally since March was based in accounting fraud. These are true American innovations, but too bad they are not exportable! They are not, since they have no value."
http://www.321gold.com/editorials/willie/willie052809.html

Wonder why they want ACORN to take GPS coordinates on ever door in America ....... 

"Obama and ACORN GPS Marking EVERY Front Door in America?

https://blogs.lotterypost.com/konane/2009/5/obama-and-acorn-gps-marking-every-front-door.htm

Now "every aspect of our lives must be subjected to an inventory"??????????????????????????????????????????

________

"Pelosi appeals for China's help on climate change

"..........We have so much room for improvement," she said. "Every aspect of our lives must be subjected to an inventory ... of how we are taking responsibility.............."

http://www.google.com/hostednews/ap/article/ALeqM5hLcZ2jQ4mu4rd7XlB3hetiVn1qbAD98F32AG0

Finally some practical suggestions.  Much earlier last century many roofs were tin which reflected heat well, although noisy in the rain and a lightning rod during storms.  Then in the 50's you'd see most houses with white asphalt shingles ... most houses didn't have air conditioning so it served them well. 

However, in the 70's it became vogue to design houses which bore darker exterior colors, dark roofs which they said blended into the environment much better.  That trend has continued until today.  Have also heard some insurance companies won't insure houses with current metal roofs due to conductivity if struck by lightning.

In the 50's-60's many expressways were constructed from light grey concrete and functioned enormously well.  However, petroleum industry influence seemed to come into play and they began using dark asphalt for expressways.  Anyone who's ever been in bumper to bumper traffic on dark asphalt can attest to how sweltering it can be.

Maybe common sense is returning to a minute digree. 

Plant trees.

________

"President Obama's energy adviser has suggested all the world's roofs should be painted white as part of efforts to slow global warming.

By Louise Gray, Environment Correspondent
Last Updated: 1:33PM BST 27 May 2009

Source Telegraph.co.uk

Professor Steven Chu, the US Energy Secretary, said the unusual proposal would mean homes in hot countries would save energy and money on air conditioning by deflecting the sun's rays.

More pale surfaces could also slow global warming by reflecting heat into space rather than allowing it to be absorbed by dark surfaces where it is trapped by greenhouse gases and increases temperatures.

In a wide-ranging discussion at the three-day Nobel laureate Symposium in London, the Professor described climate change as a "crisis situation", and called for a whole host of measures to be introduced, from promoting energy efficiency to renewable energy such as wind, wave and solar.

The Nobel Prize-winning physicist said the US was not considering any large scale "geo-engineering" projects where science is used to reverse global warming, but was in favour of "white roofs everywhere".

He said lightening roofs and roads in urban environments would offset the global warming effects of all the cars in the world for 11 years.

"If you look at all the buildings and if you make the roofs white and if you make the pavement more of a concrete type of colour rather than a black type of colour and if you do that uniformally, that would be the equivalent of... reducing the carbon emissions due to all the cars in the world by 11 years - just taking them off the road for 11 years," he said.

The three day Nobel laureate Symposium will end in a memorandum that is likely to influence any international agreement on climate change at the end of this year in Copenhagen.

Environmentalists insist the developed world must commit to cutting carbon emissions in order to set an example for poorer countries.

Secretary Chu said he was optimistic the US could lead the way through energy efficiency measures and boosting the use of renewables like solar, wind, nuclear and clean coal.

"The US will move, inevitably it will move first, as a more developed country we should be moving first, and I hope China will follow," he said.

The symposium has gathered some 60 scientific experts and 20 Nobel Laureates to talk about climate change.

The high level meeting, hosted by the Royal Society and the Prince of Wales, is likely to influence any international agreement on climate change at the end of this year. "

http://www.telegraph.co.uk/earth/earthnews/5389278/Obamas-green-guru-calls-for-white-roofs.html

"Millionaires Go Missing
Maryland's fleeced taxpayers fight back.

Source The Wall Street Journal

"Here's a two-minute drill in soak-the-rich economics:

Maryland couldn't balance its budget last year, so the state tried to close the shortfall by fleecing the wealthy. Politicians in Annapolis created a millionaire tax bracket, raising the top marginal income-tax rate to 6.25%. And because cities such as Baltimore and Bethesda also impose income taxes, the state-local tax rate can go as high as 9.45%. Governor Martin O'Malley, a dedicated class warrior, declared that these richest 0.3% of filers were "willing and able to pay their fair share." The Baltimore Sun predicted the rich would "grin and bear it."

One year later, nobody's grinning. One-third of the millionaires have disappeared from Maryland tax rolls. In 2008 roughly 3,000 million-dollar income tax returns were filed by the end of April. This year there were 2,000, which the state comptroller's office concedes is a "substantial decline." On those missing returns, the government collects 6.25% of nothing. Instead of the state coffers gaining the extra $106 million the politicians predicted, millionaires paid $100 million less in taxes than they did last year -- even at higher rates.

No doubt the majority of that loss in millionaire filings results from the recession. However, this is one reason that depending on the rich to finance government is so ill-advised: Progressive tax rates create mountains of cash during good times that vanish during recessions. For evidence, consult California, New York and New Jersey (see here).

The Maryland state revenue office says it's "way too early" to tell how many millionaires moved out of the state when the tax rates rose. But no one disputes that some rich filers did leave. It's easier than the redistributionists think. Christopher Summers, president of the Maryland Public Policy Institute, notes: "Marylanders with high incomes typically own second homes in tax friendlier states like Florida, Delaware, South Carolina and Virginia. So it's easy for them to change their residency."

All of this means that the burden of paying for bloated government in Annapolis will fall on the middle class. Thanks to the futility of soaking the rich, these working families will now pay Mr. O'Malley's "fair share."

http://online.wsj.com/article/SB124329282377252471.html

I've heard Neal Boortz co-author of the Fair Tax books say time and time again that businesses don't pay taxes, they collect them from the consumer and pass them along in higher cost of goods as embedded/hidden taxes.  If we realized just how much embedded or hidden taxes we actually pay, we'd be tea bagging from coast to coast.

________

"Once Considered Unthinkable, U.S. Sales Tax Gets Fresh Look
Levy Viewed as Way to Reduce Deficits, Fund Health Reform

By Lori Montgomery
Washington Post Staff Writer
Wednesday, May 27, 2009

"With budget deficits soaring and President Obama pushing a trillion-dollar-plus expansion of health coverage, some Washington policymakers are taking a fresh look at a money-making idea long considered politically taboo: a national sales tax.

Common around the world, including in Europe, such a tax -- called a value-added tax, or VAT -- has not been seriously considered in the United States. But advocates say few other options can generate the kind of money the nation will need to avert fiscal calamity.

At a White House conference earlier this year on the government's budget problems, a roomful of tax experts pleaded with Treasury Secretary Timothy F. Geithner to consider a VAT. A recent flurry of books and papers on the subject is attracting genuine, if furtive, interest in Congress. And last month, after wrestling with the White House over the massive deficits projected under Obama's policies, the chairman of the Senate Budget Committee declared that a VAT should be part of the debate.

"There is a growing awareness of the need for fundamental tax reform," Sen. Kent Conrad (D-N.D.) said in an interview. "I think a VAT and a high-end income tax have got to be on the table."

A VAT is a tax on the transfer of goods and services that ultimately is borne by the consumer. Highly visible, it would increase the cost of just about everything, from a carton of eggs to a visit with a lawyer. It is also hugely regressive, falling heavily on the poor. But VAT advocates say those negatives could be offset by using the proceeds to pay for health care for every American -- a tangible benefit that would be highly valuable to low-income families.

Liberals dispute that notion. "You could pay for it regressively and have people at the bottom come out better off -- maybe. Or you could pay for it progressively and they'd come out a lot better off," said Bob McIntyre, director of the nonprofit Citizens for Tax Justice, which has a health financing plan that targets corporations and the rich.

A White House official said a VAT is "unlikely to be in the mix" as a means to pay for health-care reform. "While we do not want to rule any credible idea in or out as we discuss the way forward with Congress, the VAT tax, in particular, is popular with academics but highly controversial with policymakers," said Kenneth Baer, a spokesman for White House Budget Director Peter Orszag.

Still, Orszag has hired a prominent VAT advocate to advise him on health care: Ezekiel Emanuel, brother of White House chief of staff Rahm Emanuel and author of the 2008 book "Health Care, Guaranteed." Meanwhile, former Federal Reserve chairman Paul A. Volcker, chairman of a task force Obama assigned to study the tax system, has expressed at least tentative support for a VAT.

"Everybody who understands our long-term budget problems understands we're going to need a new source of revenue, and a VAT is an obvious candidate," said Leonard Burman, co-director of the Tax Policy Center, a joint project of the Urban Institute and the Brookings Institution, who testified on Capitol Hill this month about his own VAT plan. "It's common to the rest of the world, and we don't have it."

Seeking New Revenue

The surge of interest in a VAT is testament to the extraordinary depth of the nation's money troubles. While some conservatives have long argued that a consumption tax would provide a simpler and more efficient alternative to the byzantine U.S. income tax code, this time it's all about the money.

The federal budget deficit is projected to approach $1.3 trillion next year, the highest ever except for this year, when the deficit is forecast to exceed $1.8 trillion. The Treasury is borrowing 46 cents of every dollar it spends, largely from China and other foreign creditors, who are growing increasingly uneasy about the security of their investments. Unless Congress comes up with some serious cash, expanding the nation's health-care system will only add to the problem.

Obama wants to raise income taxes for high earners and impose new levies on business, but those moves would not generate enough cash to cover the cost of health care, much less balance the budget, and they have not been fully embraced by Congress. Obama's plan to tax greenhouse-gas emissions could raise trillions of dollars, but again, Congress is balking.

Key lawmakers are considering other ways to pay for health reform, including new taxes on sugary soda, alcohol and employer-provided health insurance. The last proposal could raise a lot of money -- nearly $1 trillion over the next five years, according to White House budget documents. But options on the table would raise a fraction of that sum. And while it might pay for health care, it would barely dent deficits projected to total nearly $4 trillion over the next five years and to grow rapidly in the future, as baby boomers draw on Social Security and Medicare.

Enter the VAT, one of the world's most popular taxes, in use in more than 130 countries. Among industrialized nations, rates range from 5 percent in Japan to 25 percent in Hungary and in parts of Scandinavia. A 21 percent VAT has permitted Ireland to attract investment by lowering its corporate tax rate.

The VAT has advantages: Because producers, wholesalers and retailers are each required to record their transactions and pay a portion of the VAT, the tax is hard to dodge. It punishes spending rather than savings, which the administration hopes to encourage. And the threat of a VAT could pull the country out of recession, some economists argue, by hurrying consumers to the mall before the tax hits.

A VAT's Bottom Line

What would it cost? Emanuel argues in his book that a 10 percent VAT would pay for every American not entitled to Medicare or Medicaid to enroll in a health plan with no deductibles and minimal copayments. In his 2008 book, "100 Million Unnecessary Returns," Yale law professor Michael J. Graetz estimates that a VAT of 10 to 14 percent would raise enough money to exempt families earning less than $100,000 -- about 90 percent of households -- from the income tax and would lower rates for everyone else.

And in a paper published last month in the Virginia Tax Review, Burman suggests that a 25 percent VAT could do it all: Pay for health-care reform, balance the federal budget and exempt millions of families from the income tax while slashing the top rate to 25 percent. A gallon of milk would jump from $3.69 to $4.61, and a $5,000 bathroom renovation would suddenly cost $6,250, but the nation's debt would stabilize and everybody could see a doctor.

Sales Tax Gains Momentum

Burman, who helped House Democrats craft an unsuccessful 2007 plan to repeal the alternative minimum tax, said he's received a number of phone calls from lawmakers interested in his idea, though "they can't quite imagine how to make it happen politically." Burman said the 25 percent rate has caused some sticker shock, and he's trying to figure out how to bring it down.

Graetz's proposal drew an endorsement from Volcker, who last year called it "a sensible plan for reform." (Volcker did not respond to a request for comment.) It also has piqued the interest of Conrad, the Senate Budget Committee chairman who argues that it could be modified to accommodate Obama's pledge not to raise taxes on families who make less than $200,000 a year.

"I think interest is quietly picking up," Graetz said. "People are beginning to recognize that the mathematics of the current system are just unsustainable. You have to do something. And a VAT has got to be on the table if you want to do something big and serious."

Still, the Senate Finance Committee declined to include a VAT among the options it is considering to pay for health reform. And even VAT supporters doubt the tax will find a place among the tax-reform proposals the Volcker panel has been asked to produce by Dec. 4.

Though the nation's fiscal outlook is grim, Burman said "the situation will have to get more desperate" before lawmakers are likely to consider a new levy aimed directly at the pocketbooks of every one of their constituents.

Most lawmakers are still looking for "a painless source of revenue" to overhaul the health-care system and dig the nation out of debt, Burman said. "Who knows?" he added. "Maybe the tooth fairy will bring that to them."

http://www.washingtonpost.com/wp-dyn/content/article/2009/05/26/AR2009052602909_pf.html

People were having a cow over "carnivore" being used in the Bush administration to track suspected foreign terrorists after 9-11.  Given such broad sweeping powers how can this be any different? 

Follow the crumb trail GPS mapping of every door in the US by ACORN census takers, Homeland Security labeling anyone not agreeing with the current administration a potential domestic terrorist and now this.

Guess since newspeak calls it something different it gets a free pass.

________

"Obama Set to Create A Cybersecurity Czar With Broad Mandate
Shielding Public, Private Networks Is Goal

By Ellen Nakashima
Washington Post Staff Writer
Tuesday, May 26, 2009

"President Obama is expected to announce late this week that he will create a "cyber czar," a senior White House official who will have broad authority to develop strategy to protect the nation's government-run and private computer networks, according to people who have been briefed on the plan.

The adviser will have the most comprehensive mandate granted to such an official to date and will probably be a member of the National Security Council but will report to the national security adviser as well as the senior White House economic adviser, said the sources, who spoke on the condition of anonymity because the deliberations are not final.

The announcement will coincide with the long-anticipated release of a 40-page report that evaluates the government's cybersecurity initiatives and policies. The report is intended to outline a "strategic vision" and the range of issues the new adviser must handle, but it will not delve into details, administration officials told reporters last month.

Cybersecurity "is vitally important, and the government needs to be coordinated on this," a White House official said Friday, speaking on the condition of anonymity. "The report give conclusions and next steps. It's trying to steer us in the right direction."

The document will not resolve the politically charged issue of what role the National Security Agency, the premier electronic surveillance agency, will have in protecting private-sector networks. The issue is a key concern in policy circles, and experts say it requires a full and open debate over legal authorities and the protection of citizens' e-mails and phone calls. The Bush administration's secrecy in handling its Comprehensive National Cybersecurity Initiative, most of which was classified, hindered such a debate, privacy advocates have said.
ad_icon

The White House's role will be to oversee the process, formulate policy and coordinate agencies' roles, and will not be operational, administration officials have said.

Obama was briefed a week ago and signed off on the creation of the position, the sources said. But as of Friday, discussions were continuing as to what rank and title the adviser would have. The idea is to name someone who can "pick up the phone and contact the president directly, if need be," an administration official said, speaking on the condition of anonymity.

Obama pledged during his presidential campaign to elevate the issue of cybersecurity to a "top priority" and to appoint a national cybersecurity adviser "who will report directly to me."

Having the adviser report to both the national security and economic advisers suggests that the White House is seeking to ensure a balance between homeland security and economic concerns, the sources said. It also indicates an effort to quell an internal political battle in which Lawrence H. Summers, the senior White House economic adviser, is pushing for the National Economic Council to have a key role in cybersecurity to ensure that efforts to protect private networks do not unduly threaten economic growth, the sources said.

The report suggests that although it is a key government responsibility to help secure private-sector networks, regulation should be the last resort, the sources said. The report touts the concept of public-private partnerships to protect nongovernmental systems. It discusses the need to provide incentives for greater data sharing and risk management, and to use the procurement process to drive greater security, they said.

The report recommends that members be appointed to the Privacy and Civil Liberties Oversight Board, an independent executive branch agency created by Congress in 2007 to ensure that privacy concerns are considered in the implementation of counterterrorism policies and laws. The report suggests that the board's mandate expressly include cybersecurity, the sources said.

The document is based on a 60-day review of cyber policies, led by Melissa Hathaway, the interim White House cybersecurity adviser and former intelligence official who is a contender for the new position. During that review, Hathaway's team had dozens of meetings with representatives from industry, academia and civil liberties groups, and received more than 100 papers. "

http://www.washingtonpost.com/wp-dyn/content/article/2009/05/25/AR2009052502104.html

This one features a young William Shatner, real hair, slim physique.

Twilight Zone "Nick Of Time" PT.1 Air Date Nov 18,1960

Twilight Zone "Nick Of Time" PT.2 Air Date Nov 18,1960

Twilight Zone "Nick Of Time" PT.3 Air Date Nov 18,1960

Rod Serling a genius before his time passed way too young.  Wonder what tv would be like today were he still living?

Cloris Leachman and Billy Mumy are in this one.

____________

"Twilight Zone "It's A Good Life PT.1 Air Date Nov 3,1961

"Twilight Zone "It's A Good Life" PT.2 Air Date Nov 3 ,1961

"Twilight Zone "It's A Good Life" PT.3 Air Date

Nov 3,1961

Cartoon below for fun.  

8 part interesting interview for conspiracy theorists about global elitist agenda also naming players dates and times.  What is hype, what is accurate is up to your imagination.  Was sufficiently interesting for me to listen all the way through.

_________

_____________________________________

Coast to Coast AM - May 12 2009 - World War III with Joel Skousen part 1/8

http://www.youtube.com/watch?v=e7X9VPIqRko

Coast to Coast AM - May 12 2009 - World War III with Joel Skousen part 2/8

http://www.youtube.com/watch?v=9k5jQzpyG2c&feature=related

Coast to Coast AM - May 12 2009 - World War III with Joel Skousen part 3/8

http://www.youtube.com/watch?v=nhHcACjhyGo&feature=related

Coast to Coast AM - May 12 2009 - World War III with Joel Skousen part 4/8

http://www.youtube.com/watch?v=FTp3EpvIklA&feature=related

Coast to Coast AM - May 12 2009 - World War III with Joel Skousen Part 5/8

http://www.youtube.com/watch?v=RkfACOGjA4o&feature=related

Coast to Coast AM - May 12 2009 - World War III with Joel Skousen Part 6/8

http://www.youtube.com/watch?v=yeuxyOgD4kc&feature=related

Coast to Coast AM - May 12 2009 - World War III with Joel Skousen Part 7/8

http://www.youtube.com/watch?v=DIHV2XEhbbY&feature=related

Coast to Coast AM - May 12 2009 - World War III with Joel Skousen Part 8/8

http://www.youtube.com/watch?v=FZp2hq_uZJ8&feature=related

Who we really are versus social conditioning, political social engineering designed to turn us out as cookie cutter replicas of one another.

________

Abraham-Hicks Daily Quote 

"Everyone doesn't have to be the same. Most say,"Well, it's so much easier if we're all the same." And we say, it is not easier when you're all the same; conformity is the thing that thwarts you most. That massive wanting to get you to conform - to all think the same way and want the same things - is what is causing the revolt that is happening within you. You are determined to be freedom-seekers in a Mass Consciousness society that is determined to make you the same."

_________

"Sheep in human clothing -- scientists reveal our flock mentality

February 14th, 2008
Source Physorg.com

"Have you ever arrived somewhere and wondered how you got there? Scientists at the University of Leeds believe they may have found the answer, with research that shows that humans flock like sheep and birds, subconsciously following a minority of individuals.

Results from a study at the University of Leeds show that it takes a minority of just five per cent to influence a crowd's direction - and that the other 95 per cent follow without realising it.

The findings could have major implications for directing the flow of large crowds, in particular in disaster scenarios, where verbal communication may be difficult. "There are many situations where this information could be used to good effect," says Professor Jens Krause of the University's Faculty of Biological Sciences. "At one extreme, it could be used to inform emergency planning strategies and at the other, it could be useful in organising pedestrian flow in busy areas."

Professor Krause, with PhD student John Dyer, conducted a series of experiments where groups of people were asked to walk randomly around a large hall. Within the group, a select few received more detailed information about where to walk. Participants were not allowed to communicate with one another but had to stay within arms length of another person.

The findings show that in all cases, the 'informed individuals' were followed by others in the crowd, forming a self-organising, snake-like structure. "We've all been in situations where we get swept along by the crowd," says Professor Krause. "But what's interesting about this research is that our participants ended up making a consensus decision despite the fact that they weren't allowed to talk or gesture to one another. In most cases the participants didn't realise they were being led by others."

Other experiments in the study used groups of different sizes, with different ratios of 'informed individuals'. The research findings show that as the number of people in a crowd increases, the number of informed individuals decreases. In large crowds of 200 or more, five per cent of the group is enough to influence the direction in which it travels. The research also looked at different scenarios for the location of the 'informed individuals' to determine whether where they were located had a bearing on the time it took for the crowd to follow.

"We initially started looking at consensus decision making in humans because we were interested in animal migration, particularly birds, where it can be difficult to identify the leaders of a flock," says Professor Krause. "But it just goes to show that there are strong parallels between animal grouping behaviour and human crowds."

Source: University of Leeds "

http://www.physorg.com/news122212159.html

Via SteveQuayle.com 

"U.S. stirs a hornet's nest in Pakistan

ERIC MARGOLIS
Source uruknet.info

MAY 18, 2009

"PARIS -- Pakistan finally bowed to Washington's angry demands last week by unleashing its military against rebellious Pashtun tribesmen of North-West Frontier Province (NWFP) -- collectively mislabelled "Taliban" in the West.

The Obama administration had threatened to stop $2 billion US annual cash payments to bankrupt Pakistan's political and military leadership and block $6.5 billion future aid, unless Islamabad sent its soldiers into Pakistan's turbulent NWFP along the Afghan frontier.

The result was a bloodbath: Some 1,000 "terrorists" killed (read: mostly civilians) and 1.2 million people -- most of Swat's population -- made refugees.

Pakistan's U.S.-rented armed forces have scored a brilliant victory against their own people. Too bad they don't do as well in wars against India. Blasting civilians, however, is much safer and more profitable.

Unable to pacify Afghanistan's Pashtun tribes (a.k.a. Taliban), a deeply frustrated Washington has begun tearing Pakistan apart in an effort to end Pashtun resistance in both nations. CIA drone aircraft have so far killed over 700 Pakistani Pashtun. Only 6% were militants, according to Pakistan's media, the rest civilians.

Pashtun, also improperly called Pathan, are the world's largest tribal people. Fifteen million live in Afghanistan, forming half its population. Twenty-six million live right across the border in Pakistan. Britain's imperialists divided Pashtun by an artificial border, the Durand Line (today's Afghan-Pakistan border). Pashtun reject it.

Many Pashtun tribes agreed to join Pakistan in 1947, provided much of their homeland be autonomous and free of government troops. Pashtun Swat only joined Pakistan in 1969.

As Pakistan's Pashtun increasingly aided Pashtun resistance in Afghanistan, U.S. drones began attacking them. Washington forced Islamabad to violate its own constitution by sending troops into Pashtun lands. The result was the current explosion of Pashtun anger.

I have been to war with the Pashtun and have seen their legendary courage, strong sense of honour and determination. They are also hugely quarrelsome, feuding and prickly.

One quickly learns never to threaten a Pashtun or give him ultimatums. These are the mountain warriors who defied the U.S. by refusing to hand over Osama bin Laden because he was a hero of the anti-Soviet war and their guest. The ancient code of "Pashtunwali" still guides them: Do not attack Pashtun, do not cheat them, do not cause them dishonour. To Pashtun, revenge is sacred.

HAM-HANDED

Now, Washington's ham-handed policies and last week's Swat atrocity threaten to ignite Pakistan's second worst nightmare after invasion by India: That its 26 million Pashtun will secede and join Afghanistan's Pashtun to form an independent Pashtun state, Pashtunistan.

This would rend Pakistan asunder, probably provoke its restive Baluchi tribes to secede and tempt mighty India to intervene militarily, risking nuclear war with beleaguered Pakistan.

The Pashtun of NWFP have no intention or capability of moving into Pakistan's other provinces, Punjab, Sindh and Baluchistan. They just want to be left alone. Alarms of a "Taliban takeover of Pakistan" are pure propaganda.

Lowland Pakistanis repeatedly have rejected militant Islamic parties. Many have little love for Pashtun, whom they regard as mountain wild men best avoided.

Nor are Pakistan's well-guarded nukes a danger -- at least not yet. Alarms about Pakistan's nukes come from the same fabricators with hidden agendas who brought us Saddam Hussein's bogus weapons.

THE REAL DANGER

The real danger is in the U.S. acting like an enraged mastodon, trampling Pakistan under foot, and forcing Islamabad's military to make war on its own people. Pakistan could end up like U.S.-occupied Iraq, split into three parts and helpless.

If this continues, at some point patriotic Pakistani soldiers may rebel and shoot the corrupt generals and politicians on Washington's payroll.

Equally ominous, a poor people's uprising spreading across Pakistan -- also mislabelled "Taliban" -- threatens a radical national rebellion reminiscent of India's Naxalite rebels.

As in Iraq, profound ignorance and gung ho military arrogance drive U.S. Afghan policy. Obama's people have no understanding what they are getting into in "AfPak." I can tell them: An unholy mess we will long regret."

http://uruknet.com/?p=m54366&hd=&size=1&l=e

In addition to being put last in line for any potential payback by surviving companies as stated in this article our children, grandchildren have been strapped with with paying back another $15.4 billion plus accrued interest.

"Thuggery And Mob Action, Government Style"

https://www.lotterypost.com/blogentry/29825 

Government plays but we pay.

_______________

"GM could be wholly owned by U.S. gov't after bankruptcy, $15.4 billion in loans forgiven

With General Motors' bankruptcy filing all but assured, details of the deal are being hashed out as you read this and sources are coming forward to secretly divulge some of the more critical aspects of the plan. The newest tidbit comes from an unnamed source familiar with the negotiations speaking with Reuters who said that GM's Chapter 11 filing would create a new company comprised of the General's positive assets and will be initially owned by the U.S. government. The report lends further credence to the "good" GM, "bad" GM plan we've been hearing about for weeks, with one company taking on all of GM's deficient assets and another separate entity comprised of the positive assets, the latter of which could honor the claims of secured lenders, possibly paying back most or all of the money owed. But what about the taxpayer loans?

Reuters' source indicated that the new government strategy for GM would include extending the U.S.' credit line to the newly formed company and forgiving the majority of the $15.4 billion federal loans to the automaker. Additionally, the government could give both bondholders and GM's unions a stake in the company, and although a new board would be established - pending review from the government's oversight board - Rick Wagoner's successor and GM's new CEO, Fritz Henderson, would likely head the new company. Shocking? Hardly. Disturbing? Sound off in the comments below. Thanks to all who tipped in."

http://www.autoblog.com/2009/05/19/report-after-bankruptcy-gm-could-be-owned-by-u-s-govt/