Posted on 02/28/2009 8:13:16 AM PST by NEPAConservative
Ten days ago I wrote a piece entitled The "crash" officially began when Obama won the Democratic Nomination. This story has been very well received by our readers, and I'm glad for that, however when I continue to hear people say that Obama inherited this mess, and that it was 8 years of Bush's policy, or even that this really began in September, I would ask you to look at the pictures in that story from 10 days ago. Share it with your friends. This is a story that needs to be told. The market was strong enough (wouldn't people love to see the market reset to June 6?) but began a steady decline when Clinton conceded the Democratic nomination to Obama in early June of 2008. The markets have been on a steady decline ever since that date in history, and that time marks the high point of the last 9 months.
(Excerpt) Read more at theamericansentinel.com ...
This was a ‘made up’ disaster from the start.
Everything was fine until just before the election, when stupd W was bullied (like his father) into signing into law the biggest piece o’ crap legislation in history (also like his father)
If they had just shut up about the mortgage ‘crisi’ and let the houses go into foreclosure then we would have had a simple capitalist solution to the problem - MARKET FORCES.
Sure some banks would have failed, but it was their fault for embracing Bawnet Fag and allowing themselves to be told to give loans to unqualified people.
PING
If the big banks dropped, the big insurers would drop, every home builder would drop and probaby 30-40% of companies that need to roll debt from that time to this year. It was hardly “made up.” If anything, the media unreported it. Instead of taking the medicine at once, we have choosen the long, hard route ala Japan who is now going into a depression of -13-15% GDP after basically 20 lost years.
The date he was officially nominated, Aug 27th (not on chart), really starts a big decline. DOW was 11,715 at that time; down about 40% since then.
Undeniable...McCain certainly could have had an effect as well.
You drank the bailout kool-aid. LOL
The period you cite was when the curtain was raised and the scene shown was the state of collapse of American economy operating without a future. Wall street financiers could no longer see a way out of the schemes they fashioned to create something out of nothing with multimillion salaries and bonuses to boot.
It’s like the Wizard of Oz hiding behind the curtain that has been raised. We ain’t going nowhere, nohow until we become again a producing economy instead of a consuming economy. We have to get back to the real world in Kansas again where we make things instead of buying them.
Obama is intentionally trying to destroy private industry and Wall Street. ie., Greedy Capitalists. Im still shocked in what we are witnessing; complete takeover of healthcare, mortgages, auto industry, banks etc. Just look what the Dems have done in 30 days.
0bama didn't inherit it. He wanted it. He sought it out. He campaigned for it. He won it. It is now 100% his.
This is just the beginning. With the banks so close to being run by the G Man, and jobless claims numbers last week not helping at all, we’re just getting started. Wait till earnings season and the next big dump truck load of “stimulus” money is thrown at the problem. (Thus prolonging the problem, instead of helping it).
It is why inverse ETFs like SDS, QID, and SKF are soaring.
Unfortunately there is still a ways to go I believe.
Especially since the banks know there is another 750 billion on standby just for them...
One more arrow is needed: In late September, George Soros, in coordination with several countries (mostly oil-producers) who do not want another Republican president, attempt to break the Federal Reserve by 1. withdrawing, in concert, all of their dollars from the money market system, and 2. rampant naked short selling. The stock market craters, and the Fed has to shut the window to avoid worldwide economic collapse. McCain’s election chances evaporate in the wake of this financial terrorist attack.
Unmitigated horse shit
See this report...3rd quarter 2008 investment bank derivative exposure.....you have to go all the way down to table 9 ...page 29..to see..very small, fine print,...that notes JP Morgans total derivative exposure of over 87 TRILLION dollars..the top five American investment banks carry a total over 170 TRILLION dollars of derivative exposure.
http://www.occ.gov/ftp/release/2008-152a.pdf
Now...not all these derivative positions are (or probably should say “were” ) necessarily “bad” positions...but they for sure were probably not taken in anticipation of the volatility and declines we’ve seen. In other words...they may well be almost all “bad” at this point. To tie the US Treasury to this mess could well take the US Gov’mt under.
Now...the reason the Democrats WON’T unlink the Treasury from the investment banks...is THEIR greed. They WANT to own them..whereby they think they will control the entire economy and with 170 TRILLION of derivatives, quite possibly the world....and most importantly...WHO gets WHAT. That’s worth a roll of the dice to them...not the possible consequences to US. Their desire for power, combined with W’s failure to have told Paulson to go pound sand, and, Oh, BTW, you’re fired, have doomed the gov’mt.
C'mon. McCain's chances evaporated when he said the economy was great and we were going to be in Iraq for 100 years.
Do you have any reliable references? I know the 550 BILLION that was withdrawn precipitated the big collapse and weekend bailout plan, but have never been able to find out who was withdrawing the funds.
The shame of it was that McCain could have locked up the Presidency by leading the opposition to the bailout. A big gamble he wasn't willing to take.
Too bad they didn’t let us know.
I have bookmarked your blog.
It is all true, the market reflects the real sentiment of the investors. They are destitute and hopeless. The money changers are working on ways to make money in this market and will but those of us who were doing all the responsible things to provide a future for ourselves are destroyed.
Not enough years to recover even in a good economy. I just keep trying to figure out what to do and what will become of us? All the pictures I see are not good.
Sad, very sad, I do not want to linger.
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