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This Year’s ‘Lehman Moment’ Might Occur Soon
This originally appeared in the Daily Capitalist and was written by DoctoRx who writes our market commentary. He has 30 years of investment experience.
The strangely-named MF Global is now the subject of the lead article of the online NYT, with the title Regulators Investigating MF Global for Missing Money. Here’s the lede:
Federal regulators have discovered that hundreds of millions of dollars in customer money has gone missing from MF Global in recent days, prompting an investigation into the brokerage firm, which is run by Jon S. Corzine, the former New Jersey governor, several people briefed on the matter said on Monday.
The recognition that money was missing scuttled at the 11th hour an agreement to sell a major part of MF Global to a rival brokerage firm. MF Global had staked its survival on completing the deal. Instead, the New York-based firm filed for bankruptcy on Monday.
One of the reasons for the stock market crash after Lehman is discussed in the article. Innocent hedge fund money (if there is such a thing!) was lost to the rightful owners in the collapse. If indeed there has been misappropriation of customer funds at MF, how many customers are going to withdraw their funds from other commodities accounts as well as from standard stock/bond brokers, after selling their holdings first? Especially after the frustrating decade-plus we have experienced in the financial markets, why shouldn’t people just move to direct ownership of Treasurys and into FDIC-insured bank deposits?
The story could hardly be worse. MF Global was not just any old futures firm. It was run by a stalwart of the Democratic establishment and the former leader of Goldman Sachs. If his firm was guilty of what would basically be akin to embezzlement of funds owned by the firms clients, whether or not Mr. Corzine was blameless, how could one trust a securities firm run by someone who had not been a high-ranking government official?
A major “risk-off” move could be in the making.
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Anyone want to play dominoes? Only an ounce of physical gold to play!
Already in process. And its gonna be a MFer on a global scale, my friends.
Peeps are gonna finally recognize that every financial agreement IS counterparty Risk defined.
Find shelter, which be not in accounts...get real stuff...you know what I'm talkin about...your yellow and silver friends.
Europeans who were very conservative with thier money have 15-25% of their wealth in gold in normal times. These are not normal times.
That "Matrix moment" is just around the next meltdown. Greece is setting up nicely tonight for the Jubilee Party.
New Jersey and the Democrapic Party can be proud of Mr. Corzine.
Wouldn't it be funny if the Democratic Party's money as well as the "O's" was in MF!!!
REBEL & REVOLUTIONIZE occupy the parties!
ponzi scheme bitches
Is my MF global windbreaker swag from when they provided us liquididty going to be a collectible?
Shocker, Corzine (Libtard Extrodinaire) a thief...
As the fact goes - 90% of an iceberg is underwater.
We are only seeing the first 10% of what is about to come to light with MF Global.
It really stinks and the aroma is spreading! The name of the game now is protection of any liquidity that remains.
The weekend snow storm is realtive - you can feel markets freezing up.
Throw another banker on the fire!
It really stinks and the aroma is spreading!
Like kicking a cow pile then enjoying the effluence. [fancy way of saying "aroma"]
Who's we, white man?
WTF is the delete button?
Its a real confidence destroyer. Who you gonna trust with your money? Nobody if you still got a few firing synapses. Liquidity squeeze accelerates.
"strangely named" cracked me up. Yeah I think we all know what that MF really stands for.
www.pmbug.com
THe big news about this is that IB has backed out of the deal to buy them. That is huge.
http://jessescrossroadscafe.blogspot.com/2011/10/regulators-investigatin...
Lots of research on them of who they were. Top traders on many exchanges and invested the Chinese government's money, besides advising the G20 on commodities.
http://sherriequestioningall.blogspot.com/2011/11/mf-global-stole-hundre...
Unless, of course, your broker has insured accounts. Then you don't touch your cash because you know 1. The drop down will be steep. 2. The deals at the bottom will be sweet. Unless the system implodes. Then we're all frucked.
If you count on insurance, you will lose. If some part of the industry is over leveraged, compare it to insurance. There will be no more insurance, because there is no more assurance.
This is another symptom of the Feds lowering interest rates tooo low, to force companies to go for riskier assets to satisfy shareholders. This will get worse before it gets better!!
so, what should we short?
http://expose2.wordpress.com
This tells me EVERYTHING I need to know.
It was run by a stalwart of the Democratic establishment and the former leader of Goldman Sachs.
Survival of the fittest, less greedy and efficient.
The next 6 months will be really bad. The next 4 years will be generally bad. God Bless You All.
Bad for who?
People living the Lie!
Fuck them!
WE DO NOT FORGET!
WE ARE COMING!!
lol
They will be subjected to Bongo's and Weed Smoke! maybe some dancing.. chants.. I hate the chants! LOL!!
but other than that.. New Yorks Finest will continue to "Fix" Tickets, Meet Quotas by planting evidence and protect the NYSE for $37 buck an hour.. and the law suits will be ppaid by You and I!
Celebrate the Fraud!
Celebrate the Criminality!!
Just like New York's Finest DO!
http://www.youtube.com/watch?v=oVGVBhiN96c&list=FLbRZZAixeFXZfqszvKisEdQ&index=2&feature=plpp_video
We are soon to discover the difference between a PHYS and a GLD.
Soon we shall awaken to or recognize the difference between the 'fiat self" (Ego) and the Self. Recognition of Truth comes with its acceptance. And Truth does not enter where it is opposed. All defenses of the Ego (false self, "me VS not me" distinctions, typically perception/body-based), ie wealth, position, power, authority, control are defenses against the Truth, blocking the true awareness of the Self. (Camels don't pass thru needles' eyes easily.)
Ideas do not leave their source. Illusions are as powerful in their effects as is Truth. Their are no impotent minds. GOD does not ask for your sacrifice, deprivation or death. These are childish projections of the fearful and guilty Ego, blinding and hijacking your mind from the Light within, the Wholeness. Love asks only for acceptance, for It's joy lies in extending Itself---ie true creation, not the false makings of the Ego, the limited "self-concept", it's false authorship and pretend authority over all changing conditions where no true peace or security is ever found.
And when the false value system of the world crashes (all false idols, including gold) and fear seems to reign (it's secret weapon being blindness; you cannot see what you fear), the Light of all minds shared, seemingly person to person, barter and trading essentials with neighbors, in giving we receive, we will recognize our Oneness of Mind, the Self. The Ego is obsessed with past (guilt), ie witchhunting, and future conditions (fear), ie planning/organizing, always avoiding the Truth of the Now moment.
Perception is as selective as memory, seeking out the witnesses that reinforce/concur with the thoughts the mind holds. Fear and guilt dominate the mind conditioned by the world's teachers, including false teachers of GOD, so this is what they seek and find. This is Hell. The Ego fools the mind with mental comparison/compartmentalization/accounting fraud games like, "I don't have it so bad. They have it worst. Look what I got." Hey, forgiveness/salvation/heaven recognizes fully; the Truth is true, and nothing else is true. If what you "got" is a worldly condition, it's hell is diguise. Just wait, it's valuelessness will reveal itself.
Forensic accountants know most CFOs and CEOs have CPA backrounds. Thus, Ideas do not leave their source. GOD did not create impotent minds. When false idols and false thoughts are cleansed from the altar of the mind (including subconscious level fears/projections), the Self and God's inheritance are returned to their rightful place. This is Heaven seen. Then the EGO, the worldly false belief in separation from GOD, disappears like darkness when light arrives. In essence, we are powerful thoughts in the Mind of GOD, creating like Him with the freewill to make illusions like the Ego and the world. "For you will not see the light until you offer it to all your brothers. As they take it from your hands, so will you recognize it as your own." "To free the world from every kind of pain is but to change your mind about yourself. There is no world apart from your ideas because ideas leave not their source, and you maintain the world within your mind in thought." Course in Miracles
I think we know the difference...it's the rest of the world that's going to find out. :D
CEF and PSLV work pretty well too. Metal houses you can trust.
Viva la difference
http://finance.yahoo.com/echarts?s=PHYS+Interactive#chart4:symbol=phys;range=1y;compare=gld;indicator=sma(20,50,200)+volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined
1. if "YOU" do NOT have "YOUR" Gold and Silver in "YOUR" Safe.. Then "YOU" do NOT! Control it! Which means "YOU" do NOT have Gold and Silver.. You have a piece of paper that says SOMEONE ELSE! has "YOUR" Gold and Silver some where else.
2. If the Government's start collecting Gold and Silver from "We the People"! "YOU" can bet "YOUR" Sweet ASS! that they (they being the government) are smart enough to start with the largest stores of precious metals.. Like Mr. Sprott's Vaults!
So what did "YOU" Learn?
If the government seizes gold from Sprott etc, it means they are shutting down the entire trade, which probably means we're under military occupation. Even gold in hand may be difficult to use: enough stability and there's the risk of snitches bringing the authorities to you, enough disorder and there won't be much commerce.
Your statement is true, but it applies to everything, and even then, they can come directly to you and apply coercion. One can submit, or risk one's physical security for the metal (or food, etc.). We have no real security except that - our willingness to personally exert force to protect what we have. In a sane society we're rarely called upon to do that, and there is a reliable framework of law to protect property. Now - if you aren't preparing for hard times, you are lazy as sin. If you've got time to read this stuff, you have time to make some extra cash to spend on preparations. If you honestly think the shitstorm is coming, and you have a family, you should consider renting out your rear end before you should sit, and not prepare. If you've got the cash, you don't give much of a shit about yourself or those around you. Either you'll get ready for chaos, or you'll be in the midst of it.