Jul 30 2009 3:04PM
Forces Of Darkness Enter Stage Left
As alleged green shoots become moldy shoots and the US administration’s cascade of failures become a waterfall of destruction, electorate reality sets in, foreign observers recoil in amazement and political rats of all stripes throughout the world are running for cover. We are now just a year from severe congressional politicking and electioneering. We would be happy to have an entirely new political herd elected with about 90% of government wasteful enterprise permanently closed.
Obviously that is not reality. With so many disasters and scandals piling-up, our leaders (joke) are busy distancing themselves from the president, his advisors and hangers-on. We are not pointing fingers at just the ruling party either as most of congress with few exceptions are selling out America to crooked New York Banksters, the federal reserve, world-wide central bankers, the UN, IMF, World Bank, backdoor international rulers, corporation scammers, all the while pandering to dictators as they plot to steal any remaining largess from taxpayers.
We suggest most of them will not be able to run far enough or fast enough to avoid being caught in this monstrous web of political deceit, deception and corruption. Unless you’ve been on vacation since the inauguration, it’s been easy to count and reflect upon the results of current policies and negative pushback. American Sheeple are way too patient and forgiving allowing authorities slack and even forgiveness for their heinous mess foisted upon USA wage-earners. Time is up. Impeachment bumper stickers appeared and so-called loyal voters and party members began to throw in the towel. Any of them with half a brain do not intend to drown with the Titanic Obama.
In fairness to the kid he inherited a real economic mess from previous administrations (that’s plural) but he took it further in advancing the left wing liberal agenda rushing to install those all-so-many feel-good vote scamming programs paying-off the lower half non-taxpayers of our economic spectrum. At least he was honest in this respect as he told Joe the Plumber he would “spread it around.”
Insulated From Intelligence
Our leaders grossly misunderstand the public’s tone and their latest response to massive wreckage instigated by government and Banksters. Most would allow stock market and mild business failures in a normal recession but it’s quite obvious this is not the case in Greater Depression II. The current economy is beyond anything in modern times and some say worse than the 1930’s. We think so, too.
Retirees and other elderly are forced back into a nasty, jobless workforce to eat. College students are leaving school to work at minimum wage repairing broken household budgets. Jobless fathers hunt for work all day then face the family dinner table with no hope. Auto workers throughout the US and the world are losing higher paid work and benefits wondering where the next meal comes from. Insurance of all kinds is dropped for lack of income. Crime is on the rise as desperate people do things they would never do just to eat, pay rent and utilities.
Where is this all going? Where will this end? We forecast for the formerly progressive and economically sound western nations including the USA that life and the system will be altered beyond expectations. Old paradigms could be gone forever. We are not returning to the good old days but to darker days for many years.
The president inherited his TARP disaster from Bush. However, recent extremely poor international relations fostered by Obama included angering friends and enemies alike. It was so inept and poorly handled it almost seemed deliberate. His other spendy policy-plans need no review from us.
Traditional American allies are wondering what’s next? What could be the next shoe to drop? What will Israel do with the feeling they can no longer count on US support? Do they feel they’ve been thrown under the president’s Muslim kissy face bus? Israel has vowed “never again” relative to another holocaust. They are tough fighters and resisters hardened by severe problems endured since WWII. And, they have nuclear weapons. If Iran pushes just once, too far, what now? Could Tehran become a smoking radiated hole in the ground?
Pre-election we were quite worried about the president’s lack of any solid business or political experience before taking office. From our view, the aftermath has been far worse than we could have imagined. America, it’s neighbors, and friends and foes alike gird for economic survival as well as the personal kind having expectations of losing jobs, homes, family, and any sense of stability.
Yet, Obamamania marches on as the president grimly but smilingly works diligently to put lipstick on his bloated Spendathon. Of course FDR did it so it ought to work right? Wrong. It didn’t work in the 1930’s and it won’t work now. Throughout history buying your way out of a depression has never worked for anybody and never will.
The electorate is not swallowing this garbage whatsoever. Keep in mind voters gave the kid about 55% to McCain’s 45% which means nearly half didn’t buy the Barack story from the very first day. Now that things are turning out so terribly and so quickly, politicians are busy cutting ties to the president’s crashing wagon as they know voters can toss them in a flash. Yesterday on July 29th, we saw reports that not only is the president stacking-up super bad ratings but his first line generals and generalettes are as well. Not taking the public’s political pulse reminds me of the Federal Reserve being regularly off- schedule when raising and lowering interest rates. They always get it wrong.
We are seeing the president wavering under this strain as his immediate gang members snap and bark at each other making increasingly ridiculous “cover” statements. Press Secretary Robert Gibbs has turned into a buffoon par excellence. It seems the more Robert tries to squirm out of political policy nonsense the worse his public relations and credibility.
We think its bad enough right now that some key people must be tossed overboard to placate milling Sheeple before this cartoonish leadership disintegrates before our very eyes. Look for one or more top Obama sidekicks to be fired by Labor Day or just after when stock and credit markets collapse.
We Cannot Change Administrations Midstream
Most things in Washington continue traveling into unreality and we as individuals cannot cause helpful change; at least not in the near term. We prefer to think Dick Morris had it right when he told Fox News that political events must play out only to be cleaned-up later by the fall 2012 elections. To us, this expectation seems most reasonable. Our nation and the world at large face a long hard road back to normalcy.
Impeachment isn’t going to happen and current leadership will refuse to change course. They see the icebergs and just step on the gas. First, they prefer to keep-on-keeping-on despite that tunnel light being a locomotive not a blessed daylight of happiness. Get ready for markets to implode and who knows what else. We see no chance of avoiding disaster. We just know its coming and must deal with it.
We do not despise these people but rather “We engender a severe animosity toward their silly stupid programs.” Not only that, they all stink to high heaven.
Good News And Bad News
The bad news is we see no relief from this mess for years; nor will we see enough pushback from the herd to stop it until 2012. The good news is markets are preparing a sea change shift in several respects. Stocks are being bulled to a high level so corporate types, their broker-dealers and banks can sell into the phony, manipulation-induced market strength. Some analysts are saying run right now. We say way too soon and not yet. Wise investors will be stop-protected today, if they are smart. Watch Trader Tracks for alerts and updates on the fall crash schedule.
The global paper pile of currencies, notes, bonds, bills, and whatever else proponents of this stuff can pander and sell will be imploding. We cannot see one longer term safe piece of paper not at risk; not even the blue chip currency like the Swiss Franc and super safe German bonds.
The US Dollar in our view will take a very hard devaluation hit but should survive.
Politicians will lash out more than ever at markets and their operatives to “Do something” which means do something even more stupid and make more problems.
Tax receipts are way-off not only in the US but across the world. Governments depend upon this mountain of cash to keep spending. It’s going to get a lot worse as broken consumers and businesses will have no profits or gains to be taxed away.
As it becomes more obvious that US credit is relegated to junk territory (It’s already there) our
government will be viewed as bankrupt and being without assets and power.
Dictators and wolves of the world smell blood and skirt for openings to pounce taking advantage of weakness. This will prove a big mistake as they are much weaker than America. US citizens can eat a lot of crow and take verbal abuse in larger portions as these remarks are just vacant threats and talk. However, if some little weasel from a fourth-rate backwater dumpo dictatorship makes a bad move they could be squashed or maybe even vaporized. Those foolish enough to try might be North Korea and Hugo Chavez’s failing nation. Even Russia is on its knees now and could threaten but would not make that big mistake.
The larger geopolitical question is Iran and how far they push the envelope. If they think Israel won’t hit them on their nuclear threats they are making a fatal analysis. Neville Chamberlain Obama gave Tehran witless encouragement extending a fig leaf but Mr. Netanyahu isn’t buying it. If there is going to be nuclear holocaust, the address is Tehran not Tel Aviv. Meanwhile, Obama would be a spectator not a participant. We doubt he could push the red button even if missiles were landing in the USA or on Washington, D.C.
More Good News
As bad as world conditions appear, we’re being presented with a once in a lifetime chance to earn handsome rewards investing and trading the right and proper trades; not the traditional kind.
First, and most important of all, purchase physical gold and silver before anything else. This is your benchmark support underpinning everything else you might trade in these markets. Physical metal has nobody else’s liability attached. Buy it. Hold it. And, keep it out of the hands of others.
With each forthcoming cycle we think gold and silver shares might sell less posting higher lows. This could be reflected on the shorter term by how high-low our S&P’s trade. We expect a 1050 peak being more probable. One of these days PM shares will disregard all broken markets and rocket rally. But not yet; perhaps this fall. Watch for choppy precious metals markets until the third week of August. Other mainstream stocks meanwhile can race to new manipulated highs.
We predict the Dow to land on 10,400 to 10,800 as a maximum high before selling this year. This was our month’s ago forecast. When the selling becomes a crash our forecast sees a 5600 to 6500 Dow.
On a side note this week it was quietly announced the IMF would be selling gold to give loans to smaller nations. Was this approved? Did the mandatory US congress vote on this approval?
Do not get tangled-up in daily noise. Keep studying the larger view and buy precious metals after each profit-taking correction. Headwinds are building into an economic hurricane. Take care of business right now. My dire fall prediction might surprise us and arrive earlier. Time is short.
Personally, I can see unbelievable opportunities to trade that we would never see again for many years. Turn these problems into opportunities. Those on the right side of the trade might get rich. Those on the other side are just victims. Stay Alert. – Traderrog
Editor Trader Tracks Newsletter
The Jay & Rog Blog at webeatthestreet.com
Roger Wiegand is Editor of Trader Tracks Newsletter for gold, silver and energy traders. Roger provides recommendations for short and longer term traditional stock shares, futures and commodities trading with specifics for individual trades. See webeatthestreet.com for more information.
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