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Biderman's Disbelief In The Market's Unending Belief In 'Something For Nothing'

Tyler Durden's picture




 

Epic Rant. Everyone's favorite Bay Area truthsayer is back and this time he is taking on the general ignorance of an indoctrinated mainstream media and the brainwashed investing public. Dismissing the nonsense of one media blogger's belief that the 'Euro would be better off without the meddling Germans' - implying that once the ECB was left to follow the path of stupidest resistance of printing and spending that all will be well with the region, Biderman conjures Lewis Black (spit and all) in the incessant belief that more debt can solve a problem of too much debt. Furthermore, the expectation that a European QE can bring rates down for Europe (without a German pillar of sanity) is ludicrous: "Unreal, what sane person would by short-term zero-interest rate debt instruments issued by a combination of broke debtor nations?" Reading the media or watching nitwits opine on CNBC and Bloomberg that everything is #winning: 'just because the Federal reserve or ECB prints money' is clearly frustrating as the TrimTabs CEO concludes "You just cannot print money and solve the world's problems".

 

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Fri, 06/29/2012 - 11:22 | 2573322 Jay Gould Esq.
Jay Gould Esq.'s picture

Not "indoctrinated" mainstream media.

Duplicitous, in the farce.

Fri, 06/29/2012 - 11:27 | 2573350 NotApplicable
NotApplicable's picture

The fact that this conversation still needs to occur says a lot about the state of things. Even Joe Sixpack understands the limits of pyramiding credit cards and other loans. Yet within the "sophisticated financial world," it's just another POV to argue over.

Apparently the First Rule of Holes does not apply

Fri, 06/29/2012 - 11:39 | 2573404 Popo
Popo's picture

Do swans pounce?

Fri, 06/29/2012 - 12:23 | 2573585 JPM Hater001
JPM Hater001's picture

I smell 13000 again.  Get the pipe.

Fri, 06/29/2012 - 12:51 | 2573702 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Stocks are denominated in fiat.  Fiat trades based on zero value, as it is merely a promise to pay.  The nominal numbers you see next to any asset makes no difference.  We are playing pretend with all numbers, and have been all along.

Fri, 06/29/2012 - 13:04 | 2573736 Fukushima Sam
Fukushima Sam's picture

1. Fill can with gold.

2. Bernanke kicks can.

3. Bernanke breaks foot.

Fri, 06/29/2012 - 13:45 | 2573865 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Bernanke lies; he loves gold.

Here is why:

http://lhmarketwatch.blogspot.com/

Fri, 06/29/2012 - 11:27 | 2573358 gmrpeabody
gmrpeabody's picture

A Black Swan event would be kicking the can ..., and it doesn't budge. You kick harder, and the can magically rolls closer to you.

Fri, 06/29/2012 - 12:50 | 2573696 old naughty
old naughty's picture

you mean it's not going up and away, over the fork?

Fri, 06/29/2012 - 11:55 | 2573462 azzhatter
azzhatter's picture

I watched the irresponsible broadcasting this morning on Bloomie and CNBC. You have to suspend reality to follow these assclowns. They are like carnival barkers of old selling magic potions. It's really criminal and they should have lamp posts reserved for them when the whole thing comes apart

Fri, 06/29/2012 - 11:57 | 2573467 Randall Cabot
Randall Cabot's picture

Biderman is hyperopic, he needs to have that corrected.

Fri, 06/29/2012 - 11:22 | 2573323 midgetrannyporn
midgetrannyporn's picture

brainwashed investing public.

No such thing. It is all just self-serving fund managers now.

Fri, 06/29/2012 - 11:31 | 2573370 Nothing To See Here
Nothing To See Here's picture

Exactly, and each and every one of them now realizes that selling could cause a crash, so they'd rather keep buying endlessly and pretend that every event is bullish in a way.

Fri, 06/29/2012 - 12:23 | 2573580 ZeroAvatar
ZeroAvatar's picture

Ya know, that's exactly what I've been thinking, too.  The fund manager's bonus depends on the market being UP.  I'll bet every day, each and every one of them bites their nails,  hopes no-one starts the selling tsunami and takes antacids all day.

Fri, 06/29/2012 - 11:43 | 2573414 Stock Tips Inve...
Stock Tips Investment's picture

Countries, like people, they must first recognize their mistakes to correct them later. European governments spend more than the income they earn. And this they have done for years. The difference between expenses and revenues has been covered by debt. But this debt has been growing over time and it is becoming harder to sustain. Ah, but they DO NOT want to lower their spending levels because it is that level of spending (and not what they produce) what has become a wealthy society. So now seek every possible means to avoid lower their costs. Interest rates near zero, funding from other nations, extra liquidity injection (without any support) or any madness to maintain its status of rich countries.

Unfortunately the reality is quite another. The sooner they recognize it, it will be much better for them. Otherwise, his encounter with reality will be very violent. Or look for the rest of the world to finance its status?

Fri, 06/29/2012 - 13:35 | 2573836 viahj
viahj's picture

most of the "rest of the world" is in the same situation

Fri, 06/29/2012 - 12:27 | 2573606 JohnKozac
JohnKozac's picture

Are you implying that house prices don't always go up?....

Fri, 06/29/2012 - 11:22 | 2573327 eclectic syncretist
eclectic syncretist's picture

Central banks don't print money.  They issue non-existent credit that will never be (and was never intended to be) paid back.

 

He is correct that this creates problems in the end.

Fri, 06/29/2012 - 11:48 | 2573429 Matt
Matt's picture

I'm pretty sure this is incorrect. The Treasury of a country cannot print money, it must borrow it. The Central Banks, however, can create money for nothing. The Federal Reserve does not borrow money to make purchases; it creates money and buys stuff with it.

Fri, 06/29/2012 - 11:22 | 2573328 Cursive
Cursive's picture

 

The Black Swan is already stalking the Bernanke Put.

Word.  We will have deflation before any sustainable recovery.  It's inevitable.

Fri, 06/29/2012 - 12:31 | 2573624 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Just because stock pries go up does not make a recovery.

Fri, 06/29/2012 - 11:22 | 2573329 EL INDIO
EL INDIO's picture

What do you expect from Retards, Muppets and psy-C-ho-Algos

Fri, 06/29/2012 - 11:23 | 2573332 john39
john39's picture

what market?  none of this shit is real.

Fri, 06/29/2012 - 11:23 | 2573334 Boilermaker
Boilermaker's picture

This guy really needs to stop thinking so much.

Fri, 06/29/2012 - 11:30 | 2573365 DavidC
DavidC's picture

You really need to stop not thinking so much.

DavidC

Fri, 06/29/2012 - 11:25 | 2573338 GeneMarchbanks
GeneMarchbanks's picture

"Germany" doesn't exist in the equation. 

Fri, 06/29/2012 - 11:24 | 2573340 forrestdweller
forrestdweller's picture

"You just cannot print money and solve the world's problems"

why not? as long as everybody buys it. all we need is trust and faith.

Fri, 06/29/2012 - 11:33 | 2573379 Nothing To See Here
Nothing To See Here's picture

Along with flexible accounting rules and inflation calculations...

Fri, 06/29/2012 - 11:38 | 2573397 kraschenbern
kraschenbern's picture

Trust and faith only works in the presence of real goods and services; i.e., tangibles, that the producer is willing to exchange for paper (!!!???).  When the producers stop believing, game over.

Fri, 06/29/2012 - 12:53 | 2573706 Will To Live
Will To Live's picture

"Trust in Uranus"

Chicken Fried Movie.

Fri, 06/29/2012 - 13:37 | 2573842 gatorengineer
gatorengineer's picture

its working pretty damn well so far..... markets at record highs.  real standards of living at record highs...  the day of the piper may be a long way off.

Fri, 06/29/2012 - 11:26 | 2573346 El Oregonian
El Oregonian's picture

Overheard from two ObamaBots:

"Something for nothing? Where does the line start?"

Fri, 06/29/2012 - 12:10 | 2573523 Benjamin Glutton
Benjamin Glutton's picture

CNBC studio.

Fri, 06/29/2012 - 11:27 | 2573347 RobotTrader
RobotTrader's picture

Another disgruntled and disheveled bear who got it way wrong.

 

Any wonder why the PigMen are all driving Aston-Martins, AMG65's, Bentleys, etc?

And Biderman is still tooling around Sausalito in his 2002 Buick Century?

LOL....

 

Fri, 06/29/2012 - 11:30 | 2573368 fiddler_on_the_roof
fiddler_on_the_roof's picture

Very true. especially Biderman's terrible call to short stocks in June 2009.

Wonder why ZH still trumpets him.

 

The only thing going for ZH is their long physical Gold which is 100% right and will be for a long time. paper gold will burn.

short term I expect Silver to rise higher maybe even surpass previous high, but Gold is the ultimate tore of wealth which CB's are also accumalating stealthily.

 

Fri, 06/29/2012 - 11:32 | 2573375 adr
adr's picture

Do you really support the lifestyle of the Wall St set? Or do you just like seeing regular folks bleed out after being shot by Goldman waiting for help that never comes?

A man that stands by and does nothing to help is just as bad as the guy who shot the gun.

You must just be sick in the head. Is your favorite movie series The Hills Have Eyes?

Fri, 06/29/2012 - 11:35 | 2573385 Pladizow
Pladizow's picture

To: RobotTrader

What does Buffet drive?

Fri, 06/29/2012 - 13:32 | 2573828 Steaming_Wookie_Doo
Steaming_Wookie_Doo's picture

Becky Quick

Fri, 06/29/2012 - 11:40 | 2573405 Doode
Doode's picture

Unfortunately that is exactly right! Too much noise and not enough action. He did add some dates after my bitching yesterday on the his doomsday scenario that happen to match Ray Dalio's so lets see. He will not attract big money with rants like this - but folks will eat up his investment letter for sure.

Fri, 06/29/2012 - 11:47 | 2573423 DeadFred
DeadFred's picture

Still he has a cool view from his place. Hey Charles, please move the angle on the cam, your head is blocking Alcatraz and I like imagining Blankfein, Dimon and friends taking up residence there. I wonder if they would get to bring their Aston-Martins with them?

Fri, 06/29/2012 - 16:29 | 2574529 GMadScientist
GMadScientist's picture

Sure...they can drive em right there.

Fri, 06/29/2012 - 13:00 | 2573709 TWSceptic
TWSceptic's picture

Jim Rogers has no car. Does that mean he did bad?

 

 

Fri, 06/29/2012 - 11:27 | 2573348 muppet investor
muppet investor's picture

"You just cannot print money and solve the world's problems"

YES, WE CAN!

Fri, 06/29/2012 - 11:29 | 2573361 NotApplicable
NotApplicable's picture

Can ya feel the rush from that hit of Hopium!

I'm here to tell, this year's vintage is gonna be something special.

Fri, 06/29/2012 - 12:06 | 2573504 Treeplanter
Treeplanter's picture

Feels like Strawberry Sunshine.  Summertime, and the livin' is easy'

Fri, 06/29/2012 - 13:00 | 2573718 TWSceptic
TWSceptic's picture

LOL Obama is like a stubborn child, whenever someone says "you can't have that" he replies "Yes I can, yes I can" maybe being raised by his mother lacked the regular spanking and he got spoiled?

Fri, 06/29/2012 - 11:27 | 2573354 fiddler_on_the_roof
fiddler_on_the_roof's picture

I have been shouting here at ZH that anyone listening to Biderman's advice on stock markets will lose money and I also mentioned his terrible "short stocks" call at the start of this Bull run in June 2009. "Blah Blah Blacksheep" the regular ZH admonished for that.

 

Listen to him and lose. Good luck.

 

Fri, 06/29/2012 - 11:39 | 2573403 adr
adr's picture

If you looked at any real data point in June of 2009 Biderman made the right call. The entire rally has been based on complete fabricated fiction.

I don't think anyone would have figured corproations would have gotten away with marking hundreds of billions wrth of losses as hundredsof billions worth of profits within three months time. I don't think the investment banks believed Obama's behind closed doors promise not to prosecute fraud.

As long as the fraud was kept hidden, anything became permissable. The books of corporate America aren't just cooked, they turned into pure carbon and got shoved up Obama's ass. It's so tight they hoped within four years they'd have a diamond.

Fri, 06/29/2012 - 13:42 | 2573855 Steaming_Wookie_Doo
Steaming_Wookie_Doo's picture

Though bears may be right in the long run, they've been waiting since 2009 to be right again. Not to say that things aren't fucked ('cos they are), but we keep waiting for that last straw to break the camel's back and it still hasn't happened (at least visibly). My feeling is to rely on technicals as "fundamentals" bear no logic whatsoever in this market. No matter how much I think BofA should be dead, if I went short at $5 (relying on how fundamentally bad it is) I'd have been dead long ago seeing how it's at 8.05 today. You can't beat a rigged game, except to bet along with the "riggers".

Fri, 06/29/2012 - 11:28 | 2573355 adr
adr's picture

The people in charge would seem to believe you can solve the world's debt problems by creating more debt.

The DOW going up 400+ points in less than two hours worth of trading and a 6% spike in oil during that same period is seen as perfectly acceptable market conditions.

If it went the other way there would be congressional calls for inestigations into trading abuse. Flash spikes are to be encouraged as long as flash crashes are stopped.

There is something terribly wrong with a market that can move up and down by more than 2% in an hour. A 6% spike in oil prices based on nothing concrete other than bailout rumor 7694, should cause electronic trading of oil futures to be suspended for at least a week, if not forever.

Fri, 06/29/2012 - 11:37 | 2573396 Spastica Rex
Spastica Rex's picture

It's just the Invisible Hand.... doing something.

Fri, 06/29/2012 - 12:18 | 2573561 fuu
fuu's picture

Jackin' it.

Fri, 06/29/2012 - 13:13 | 2573766 roadhazard
roadhazard's picture

"6% oil spike"

 

SUPPLY AND DEMAND, PEAK OIL !!... LO FUCKING L.

Fri, 06/29/2012 - 11:30 | 2573364 Defiant1968
Defiant1968's picture

What an idiot - printing more money will solve the problem - this has been going on for a long time and everything has run great - print more money and Spian, Italy, Greece and other EURO countries can continue to pay the employee unions wages and for early retirement at 100% of wages at 60 years old -  If they  continue printing in Europe obama can be reelected and everything will be slick for another 4 years - Damn lets Print!

Fri, 06/29/2012 - 13:45 | 2573872 Steaming_Wookie_Doo
Steaming_Wookie_Doo's picture

Geez, the Greeks have nothing on the Calif teachers union, who give 100% retirement at more like 55 yrs old. Apparently the key to the whole thing is to keep projecting 8% gains per year but not tell anyone what your actual results are (until you are safely in your Costa Rican compound).

Fri, 06/29/2012 - 11:31 | 2573372 BandGap
BandGap's picture

It does have to end, doesn't it? That the idea of just printing more money is a mainstream thought for fixing this problem is totally frightening. Biderman's response would be my response.

I think the black swan comes from Eurasia or the Asian subcontinent. The economic American/European worldview is going to have to collapse. With China, Russia, ad even India in the mix I think the trigger is pulled in that part of the world in before the end of the year.

Fri, 06/29/2012 - 11:44 | 2573416 DavidC
DavidC's picture

I wish you are right, but we've had over 3 years of this now (March 9th 2009) and these people are DESPERATE.

DavidC

Fri, 06/29/2012 - 11:52 | 2573450 adr
adr's picture

I can tell you that on the ground, Chinese factory owners are scared out of their minds. They have never seen business this bad. Production has essentially stopped.

I communicate with Chinese suppliers daily, theyare begging for business and I can't give it to them. I can't get retail buyers to place an order for anything. They've got enough inventory to last all of te rest of this year, and far into the next.

The only way to get a new order is to take back everything you already sold 3-6 months ago. Then how are you going to sell the old stuff?

Back to School has already been written off as a failure. Holiday orders that were written in April are already being cut.

Daytraders and politicians have no idea how the actual business cycle works. Holiday 2012 at major retailers is set in place by the end of April. With the orders set the vendors start producing the inventory, but the actual PO usually doesn't come until the end of June for September delievery. I know a whole lot of companies that are recieveing a whole lot of inventory that still haven't seen the PO that was promised in April.

What happens to you when you order 500k of something and the PO gets cut to 250K, and you already have 500K sitting in your warehouse?

Answer? Nothing good.

Fri, 06/29/2012 - 11:33 | 2573387 CitizenPete
CitizenPete's picture

The Stupitidy Index remains: HIGH

Fri, 06/29/2012 - 11:42 | 2573409 meatball
meatball's picture

I enjoy reading this site and all the comments and I wish the whole system would collapse. But I wouldn't go short for more than a few days. TPTB owns most of the stocks and those people are just not going to let things crash without many fights, kicking the can many times.

You say, the average Joe doesn't have much money in the market and he is getting hit by inflation. Double whammy, right? But do you think he knows he is getting ripped off? No. He most likely doesn't even look at his credit card bill every month carefully or examine the fruits before he puts them in the basket at the stores.

Can't beat TPTB? May as well join them. Just go long for the ride.

Fri, 06/29/2012 - 12:02 | 2573487 adr
adr's picture

Stock in a company is supposed to be backed by profit generated through sales to consumers, but stock in a company today is just backed by whoever can spin the best bullshit.

Over half of US GDP is created through the transfer of already existing money, another 30-40% is held as inventory collecting dust. True actual economic activity is probably only 10% of reported GDP.

In the early 1980s US GDP was around $4 trillion. Have we really produced more than $10 trillion worth of actual economic activity per year over that time period?

The only thing that has really increased is the financialization bullshit of compounding debt and calling it growth. I don't think any Joe Sixpack on the street would say that a guy putting $25k on a credit card made $25k dollars in income. Yet GDP figures say otherwise.

Fri, 06/29/2012 - 11:44 | 2573415 Zola
Zola's picture

It is truly pathetic to listen to amateurs criticizing Biderman. Guess what idiots, an entire fake bull run gets wiped out when the crooks loose control (and they will) . What good is it if SPX goes from 666 to 1500 and then plunged back to 500 ??? Has there been capital formation in the meantime ?? NO!! You should start to understand the difference between TRADING and INVESTING. Yeah sure you can ride Bernanke's **** but when it stops you may or may not be smart enough to exit (but you should be a day trader if you think you can). As for Investing, there is none going on now, NAda , nilch, zero. Capital formation is dead. The economy is hollowing out from under you feet. When it breaks its too late, you will enjoy the joys of police heavy handed repression and dictatorship. Smart people are trying to warn about the direction of things. Idiots like you criticize and make fun of them. You deserve whats coming to you and your family

Fri, 06/29/2012 - 11:45 | 2573418 DavidC
DavidC's picture

Spot on Zola.

DavidC

Fri, 06/29/2012 - 12:19 | 2573571 Mark123
Mark123's picture

Well said!!!!!

 

Biderman has always supported his assessment on flow of funds. The market since 2009 has been supported by fraudulanet accounting (allowing corporations to decide what assets should be valued at??), and unlimited 0% money for primary dealers to play the markets and support corporate buy-backs.  All the while the only real money left in the market is pension funds, mutual funds and insurance companies...who will all be slowly bled to death BECAUSE THEY HAVE NOWHERE ELSE TO GO.

 

In hindsight it is easy to proclaim he was stupid, but what was stupid is how we have stood by while wall street has sucked the last bit of wealth out of the ever-shrinking middle class.

Fri, 06/29/2012 - 11:47 | 2573425 The Count
The Count's picture

Not only are all politicians in the west so stupid it makes me believe all the pot smoking and acid back in the 70s and 80s really destroyed some brain cells, they are also all in the pockets of the int. finacial institutions. Most of which are of course the old European money houses like Rothshild, Warburg, etc. Via proxies they control the US banking system and the FED. And since you cannot get elected without the support of the bankers you have a vicious circle that only a major revolution with break. Watch Europe collectively go down the tube because nobody there has the guts to call a spade a spade and say F-you all! Well, except Nigel  Farage maybe :-) 

Fri, 06/29/2012 - 11:53 | 2573451 newworldorder
newworldorder's picture

For hypothetical discussion only:

Current/Future Context: The US and or FED as protectors/lenders of last resort - wanted/trusted as such by most of the world.

Question: Why can't the US print/create money well into the future? As long as we pay our debt incrementaly, the world will always look to its rich uncle whenever help is needed.

Fri, 06/29/2012 - 12:05 | 2573496 adr
adr's picture

So the stock market is a 13 year old spoiled girl who thinks daddy's wallet has an infinite supply of cash?

Fri, 06/29/2012 - 13:26 | 2573811 The Count
The Count's picture

Why not just give everybody in the world a million dollars? Woulnd't that solve all problems? Dude, things don't work that way....

Fri, 06/29/2012 - 12:03 | 2573490 Crabshack
Crabshack's picture

He probably can be forgiven for his short call in 2009.  Those were the good olde days when fundamentals actually still meant something.  He saw pain coming and pushed the short button.  In a non-manipulated market his call was probably correct.

The bailout should have given him a hint that the Gov was prepared to do anything in its power to maintain the status quo.  The whole financial system went from a casino to a rigged casino somewhere in that period.

He underestimated how important it is for the public to see a 'number' that will reasure them and keep them playing the game.  The Gov/FED/banks realized that the easiest and cheapest thing to control is a painted tape that tells people everything is just fine.  

Fri, 06/29/2012 - 12:08 | 2573516 NorthenSoul
NorthenSoul's picture

"incessant belief that more debt can solve a problem of too much debt."

Quid? Come again? Why more debt? Because fucking financiers MUST get paid no matter what?

Has anyone ever familiarized themsleves with the concept of JUBILEE?? WTF is wrong with people today? Must credit and debt be made a strict morality play and throw History AND common sense out the window?

Enough already!!

Fri, 06/29/2012 - 12:14 | 2573543 arch101
arch101's picture

Forget all the simple macro sound bites, forget TPTB, forget Bernank, forget the Bernank's evility, forget PM's, forget that precious profound knowledge that there's so much debt it can never be paid back, renounce all your hopium, you who fervently hope that all the hopium is someone else's. 

Technical analysis, bitchez.... triangles, exp moving averages, candlesticks.  Leave go all your righteous outrage and impotent palaver.  Do some hard, time consuming work.

Fri, 06/29/2012 - 12:24 | 2573592 Polonius
Polonius's picture

The asset side of the global balance sheet is too small to support the liability side, i.e. the world is insolvent.  Therefore, only two outcomes are possible: liabilities decline or assets increase.  Now, we can go on bitching and moaning about how printing money won't solve the problem of a global economy too small to support its aggregate debt load, or we can shut up and face the music.  Which do you want?  A deflationary collapse of not only liabilities, but assets too, plus the knock on effect of a severly disabled economy that will collapse into a depression so severe there is no way of knowing the ramifications?  Or do you want the central banks to get on with their dirty business of completely destroying what real value remains of their fiat currencies so the debt can be extinguished under less severe economic conditions?  Sure, the former option will cause a hyperinflatinary crack-up boom.  But the latter option will cause something just as bad, probably much worse.  Face it folks, the cake is baked. kWe can go on and on about the false promise of money printing, but what's done is done.  The only sane alternative is to stop pressuring the central banks and allow them to print - massively.  They willl do this by purchasing almost every asset extant, but what do you think you would purchase if you were a central banker hoping your balance sheet might survive to fight another day?  You're a pretty smart bunch so you know the answer is gold.  As soon as we stop bitching and moaning about what's already happened and allow the dirty deed of full spectrum !sset monetization to occur the sooner the CB cartel will have the green light to go ahead and re-monetize gold.  It's the only way out.  in fact, it's more than just a way out.  It's a way back to a gold-referenced currency system capable of acting as a store of value.  It's the only hope of restoring the middle class.  Because if the middle class cannot count on its wages and meager savings to hold value, then there is no middle class.  That's what we have now and if the present system continues the world will essentially be a neo-feudal hell hole within one more generation.

Fri, 06/29/2012 - 12:50 | 2573698 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

I green'd you because you were off to a good start, but you will need to break your missives up into paragraphs if you want anyone to follow your whole posts.

Fri, 06/29/2012 - 13:38 | 2573843 n8dawg84
n8dawg84's picture

Polonius,

I agree with you.  However, I'd like to share some personal thoughts with regards to your post.

"As soon as we stop bitching and moaning about what's already happened and allow the dirty deed of full spectrum asset monetization to occur the sooner the CB cartel will have the green light to go ahead and re-monetize gold"

They will probably have to re-monetize gold at some point to restore confidence in the system.  However, the cartel are the ones who are fucking us now.  They fuck us with fiat, they will try to fuck us even with a sound currency. 

"It's the only hope of restoring the middle class.  Because if the middle class cannot count on its wages and meager savings to hold value, then there is no middle class."

It is the only hope for restoring the middle class.  Maybe if our "representatives" gave a shit they would take up the cause.  However, they prefer their special interests over representing the people who voted them into office.

"...if system continues the world will essentially be a neo-feudal hell hole within one more generation."

This could quite possibly be the ultimate goal of these shenanigans.  The cartel seeks control over the masses. 

Please forgive the pessimism.  I just find it hard to believe that anyone in power would do the right thing for the middle class.  That's why I prepare to resist any way I can.

Fri, 06/29/2012 - 12:48 | 2573673 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Deflationistas are a joke.  We already had the deflationary event, and the world printed fiat until we went into what will be a hyperinflationary event.

Fiat is the weakest link.  It always has been.  It has no value at all.  It is what is issued to pay debt that will never be paid.  It i the weight against all asset prices.  With the endless fiat printing that the Central Banks have embarked on, it will continue to raise asset prices.  Yes, it will be only a nominal increase, but this is the same game the deflationistas are playing, and they are wrong.

Fri, 06/29/2012 - 13:25 | 2573806 marco1324
marco1324's picture

You cant help but respect Biderman, he talks a lot of common sense. Deep down we all know that this system of money creation will falter, splutter and crash but as to when and what scale is anyones guess. I do however think they can keep the ball rolling in this way for a little longer than we think. 

That said, oil prices. They seem to be edging back up to $100. What effect is this going to have on a fragile recovery and what can be done about it, is this the new average we are looking at? Will another spike like 2008 be the catalyst for a crash? This time we could reach $200 barrel no problem.

 

Fri, 06/29/2012 - 14:34 | 2574068 Random_Robert
Random_Robert's picture

Charles Biderman... AKA "Domestic Terrorist"

Pay attention to that low pitched hum you hear hovering over your head when you head into Sausalito for dinner tonight, Charles.... The drone-targetter in Chief has got your number.

/sarc

 

Biderman is a realist, and reality simply has no sway over common popular perception- not as long as government continues it's long march toward the "Death to Realists" platform that has marked the epic end point of all past social paradigm changes in human history.

 

The gift of realism allows the realist to avoid the fall out from the complete satanization of common perception (unless said fallout becomes nuclear)

 

The system must be preserved at all costs, and that system at present is collectivist National Socialism (I'm referring to the concept; not to be confused with the failed Nazi party of Germany, nor the mouth-breathing swastika wearing retards who have run around screaming about the supremacy of disadvantaged white morons ever since)

 

GWB and the Zionist Neocons provide the Nationalist component

 

Obama and the brainless progressive elitists (academia) provide the Socialist component.

 

Taken together, the pendulum just swings back and forth between "Nationalized Socialism" (the Progressive platform) and "Socialized Nationalism" (the Neocon Platform)

 

There is nowhere on the spectrum allowed for individuality and clairvoyance of personal thought. You are either "with us" or you are "with them" which makes you "against us" by default.

 

I scream at America to wake the fuck up, but my plea should really go out to Humanity in general...

Sat, 06/30/2012 - 20:18 | 2577778 monad
monad's picture

One one hand, 'we' solve the puzzle and preserve life by taking it with us into space, and on the other hand, 'we' choose to become an evolutionary dead end because 'we' are collectively unfit to survive. Dilluted the gene pool too much, allowing the unfit to breed while the fit worked all the time paying the vig. To put it another way, even a rat won't fuck a dead rat, but zombies do. Rats do pretty well, but they aren't sapientum.

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