(coming up soon on Talk Nation Radio, an interview with David Swanson about Occupywallstreet and why he will be in Washington D.C. in October 2011.
It is a schizophrenic ballet. In part 1 we noted that one Here is a report that provides information one might see as the "opposite" to that take. It notes that Greek Budget might fall short of targets on the deficit. That's negative news, right? Not if as we said in part 1, the market might recover in the West on October 3rd because Eurozone money will move from over there, to "over here". That is the "safe haven" investing effect. It is seemingly schizophrenic, but in markets, what is good news for one party is often bad news for another. That is part of what makes markets go up and down, as individual companies and other things of value gain, or lose, share price. (Note that share VALUE is very different, you've got to study balance sheets to grasp that.)
In a report that cites Reuters as a source, the authors at Market Watch say: "Among the measures under consideration was the layoff of 30,000 government workers, according to reports. Greece is seeking a tranche of aid totaling $10.7 billion as part of a larger bailout package received early last year. The money is needed to keep the Greek government running after the middle of October." -- This clarifies what the impacts are on society. The first part of the story clarifies the impact on markets. Never the twain shall meet, in financial terms, not any more.
That is because the market "managers" and the other movers and shakers on Wall Street and in the now globalized system of markets, have set up a Separation Wall. It's like the wall created to separate the Germans, or the Palestinians and Israelis. -- On one side we have those participating in the siphoning of profits. On the other meet the people who are suffering losses.
The language being used to describe events in Greece sound much like the language being used to assert the view that the American people have a "crisis", and "their economy" is slipping, and there is a "debt crisis" going on. If you asked the average person though, they would likely be hard pressed to see their role in events. Still, we generally understand that we are being told that there is not enough money in the treasury to pay for the operations of the government on behalf of the people.
Or is there? And anyway what does that mean? Essentially the capital has been walled off, separated from society, and government 'plus' accounts, and the resource involved, be it money or real estate or gold and silver or corn, wheat or rice, or cattle or pigs or chickens... are all more owned by those leading the market of today than by "we the people" --of the world. We are on one side now, with our slipping retirement accounts. They are on the other. They are securing what they took over the years since 2008, when the used various types of sophisticated global trading methods to separate out our capital from our accounts, place it into theirs, and seal up the wall so we couldn't EVER get it back. Remember, the markets have "recovered" since 2008, right? Thus we should show a profit of some type. But we don't. We have a loss, and a big loss, in most cases, and that is no coincidence, nor is it a matter of what happened in the news, or even in our debt crisis such as it is. That happened TO US because of a calculated effort to actually separate us from our wealth.
The folks gathered in Liberty Park may well be demanding that the government represent them in getting their capital back. Some of these people may have lost their life savings. Others know that there is no longer any way for them to obtain the kind of wealth necessary to retire, purchase health care, send their kids to college, and even feed their families. Their complaint, as I hear it now, is that across the board they are not being noticed any longer. The markets are now operating as if the companies within them are alive, sentient human beings, needing protection, cuddling, and diapering by global citizens who pay taxes to governments. Those governments have gotten increasingly sensitive to the folks whose wealth is walled off in the plus column, on the 'side' with all of the wealth. Instinctively, the people in New York City KNOW THAT.
They know they are watching the kind of ballet where the king and queen live on in fairy tale comfort, while they are given less, and less, and less, of any share of what is valuable.
CREDIT and MARGIN TRADING MADE ALL OF THE THEFT POSSIBLE: Previously we talked about margin calls and trading in options, or futures. Governments and banks have in common with such traders that they always operate "on the margin" to to speak. There is never the exact amount in government bank accounts to pay bills or make things work on perfectly on a balance sheet.
The people have not had an easy time getting credit, and small businesses have struggled to obtain loans. Yet major corporations are FLUSH with cash, and THEY CAN GET ALL THE CREDIT THEY WANT.
Sidebar comment: Governments are being pushed all the time to operate as if they were citizens, not wealth holders worthy of credit. For example, try to imagine if governments were FORCED to maintain exact amounts in resources to pay their bills. Could they pay bills? Of course not. Their balance sheets are usually tilted toward the red, and right now they are wildly in the red with all of that borrowing from China. But imagine if they couldn't provide for citizens ON THE MARGIN, in futures, with credit AT ALL? That would be just like asking the US Postal Service to put enough money in their accounts aside to pay for some 75 years of use of a pension fund. That would be impossible... right? Well of course the US Congress passed that very bill during the Bush and Cheney years.
Bush, Cheney, and various "wealth holder representatives" helped the fabulously wealthy, to get into a position where they could dictate to both societies AND their governments. Governments are really beggars, just like we the people are... and so in their law dictating to Postal Workers, they gave them, and their families, and all of the support staff worldwide that accepts U.S. Mail officially, an impossible task.
Or did they? Not if you ask them. They see things PROFOUNDLY differently. If you can't keep up, sink and go away. If you are a government and you don't have enough savvy or resources to make it? Go away and don't bring THEM down. They are saying that to various EU nations such as Greece... we'd like to do without specifically you...you are not STRONG enough to keep up so go away.
That type of mind set forces corruption into the system because it forces governments to fudge things. Now in the view of some global wealth holders, the bill that helped them merely forced the postal service to get better at fudging things. So what? Everybody fudges now right? The market is a gigantic FUDGE FACTORY and hey, people LOVE sugar. Essentially, they hoped the U.S. Postal service would learn to swim with the sharks or perish, making way for the private sector to step in and allow the operations of mail to become yet another globalized money maker for the monster that has been created amongst hedge funds, large banks, and multinational corporations. They fudge the numbers A LOT and nobody blinks. They also rely on analysts who tell the story of their stock values for them, and those individuals can lie, fudge, all they want to, they are not the company itself. So there are layers and layers of protection. Why the US Postal Service has none of that, so what can it do? Move aside, Bush and Cheney would have argued... make way for the new and better system we are offering you, and which NAFTA and CAFTA and all the AFTA's have supported.
More after my interview with David Swanson, which I'm taping at 7:00 PM. Also kind thoughts to the lovely gals who told me about some local problems at their work place where some workers may lose their jobs just a few weeks before retirement. Shame, but there is hope. Tune in to the news on OccupyWallStreet and be amazed. There IS something to believe in again. It's US. WE CAN WORK TOGETHER. It will also help our smaller companies, the ones where we actually work, if we can help to protect them by demanding that we be protected, looked after, and that the companies can work outside of the constant demands that Wall Street has placed upon them to GROW, SWIM WITH THE SHARKS or perish. That has of course meant cut backs in your hours, your salary, your benefits, and your pension or retirement.... or losing jobs altogether... so that the almighty GROWTH can be displayed for markets.
News TIP: In part 3 we will look at how individual stocks, companies, get advertised beginning at about 4PM Sunday, on the day before markets open on Monday to start a new week and in this case, a new quarter. Trade sites that do "news" on markets begin to tell readers what to "watch" for the following day, and the information goes round the globe in a phenomenal insider trading analysis that can often be so intense that you might ask, "hey is this all legal"? Ironically, even traders joke about all of that now. They KNOW it shouldn't be legal, and they are SHARING A GOOD LAUGH AT US ALL, THOSE OF US FEEDING THEIR BANK ACCOUNTS, HELPING THEM KEEP THEIR JOBS.
Let's say you were watching markets for a good buy. You would look at where stocks have been during the past few years, analyze what you think as to how strong the company is, and chose right? But how would you know whether or not you were buying what the company and its stock is WORTH versus what a given media outlet has told you it was worth? The answer is simple. You could not under any circumstances know. Coming up soon though we will show you how you can get a pretty darned good idea...by watching the trades, even those done on super computers, AS THEY HAPPEN. Meanwhile, check out this stock, for a company named Agilent, which typically does well over the year. Agilent was listed as one of the most often short sold stocks. Thus, super computers, and day traders, large and small, invested low, rode the stock up, and sold high. They used their profits to sell at a point where they predicted the stock would rise to... and at that very moment the big trades occurred slamming the stock back down often as much as five dollars per share in one day. What just happened? The stock was sold short. At a loss for you, maybe, in terms of the stock's value over the long term. A gain for "them". Look at Agilent's history, stretch out the chart to see the long term, and short term, and notice that you can draw a line where the bottom of all the loops go, and at the top too. The stock rises to a certain point, maybe 40 to 50 bucks. It falls to a certain point, maybe 25 to 40 bucks. All of the activity in the middle is window dressing, and for some, it meant the siphoning had been achieved. The capital, the wealth, the value in the stock, had been moved from the negative column for most of us into the plus column for the wealthy of the world and their amazing super computers. Mission accomplished right? See here here and here but don't miss here either. That is the site where Agilent trades in French! Happy researching.
Disclaimer: These are not stock tips. They are just a portrayal of what markets do, of individual stocks, or in general. And hey, I'm not making money right now...?) either.
