Those curious in tonight's episode of soothing political theater which gives the peasantry the illusion they are in control of something, anything, can quench their thirst for GOP primary irrelevancy at the following real time update (as we learn Newt Gingrich has already been proclaimed winner of the Georgia Primary, and Romney gets Virginia where the only other candidates was Ron Paul). As a reminder, as it has been said that the only candidate who will lower America's debt during his tenure will get no coverage, and certainly no votes, so it shall be. Diebold approves of this message.
There are those who say that while they agree completely with Ron Paul's economic policy of fixing the #1 issue that ails America (as a reminder, total US debt/GDP would only decline under a Ron Paul presidency) they disagree with Paul on his foreign policy. We wonder why when all he does is instead of appealing to the jingoism of warmongers and patronizing the basest of herd instincts, he simply tells the truth. Such as on Today's State of the Union show on CNN when asked if Obama has done "enough" to force Iran to stop its nuclear development via sanctions and others, his reply was spot on: "I think he gets too much involved. I think sanctions gives the motivation for them to want a nuclear weapon. We have 45 bases around them, we can demolish them within hours. And the worst thing the sanctions do, and Republicans and Democrats both support it and the other GOP candidates want war even more, the whole thing is there is a lot of dissension in Iran and we should encourage it by not interfering, once we get involve and threaten to bomb them, it becomes nationalistic - everyone joins the Ayataollah and Ahmedinejad. So there is a blowback - unusual circumstances and unintended consequences. So yes, our people are well-intended, but they don't realize how much damage they do by not accomplishing what they want and causing more harm to us. So our military personnel right now are very adamant not to be involved in a bombing of Iran, it makes no sense whatsoever to our military personnel, to the CIA, even though they are much more interventionist than I am."
Gold and Silver Plunge – Called “Intervention”, “Window Dressing”, “Temporary Smash”, “Paper Fiasco”Submitted by Tyler Durden on 03/01/2012 09:11 -0400
The positive PMI data would ordinarily result in some price weakness as would the testimony from Bernanke which suggested that the Federal Reserve's ultra loose monetary policies may not continue much longer. However, the scale of the selling and size of the price falls was unusual. Respected analysts such as legendary Jim Sinclair, John Embry and Jean-Marie Eveillard suggested that the sell off was due to manipulation by bullion banks. Sinclair said it was an “intervention” and was “window dressing” that long term bullion investors should not be concerned about as inflation was coming due to “QE to Infinity.” Embry said that it was a “smash down” and a “paper fiasco.” Jean-Marie Eveillard suggested that central banks may have intervened, as they are doing in fx and bond markets, and sold gold in volume into the market. It is of course very difficult to ascertain what caused the sharp falls in the precious metals yesterday however it would be naive to completely discount what Sinclair, Embry and Eveillard believe may have happened.
Here's a chart you won't see anywhere in the mainstream media - not the right, and certainly not the left. According to Rasmussen's 2012 Presidential Election Matchups, which pit Obama against any of the four GOP presidential candidates, while the balance of challengers certainly appear to have no chance of defeating the incumbent (something we touched upon yesterday), today, for the first time, Ron Paul has managed to unseat the standing president, by a thin margin of 43 to 41, for the first time in this series.
Ron Paul To Ben Bernanke: "People Lose Trust In The Government Because You Lie To Them About Inflation"Submitted by Tyler Durden on 02/29/2012 12:29 -0400
Anytime Ron Paul sits across from Ben Bernanke you know sparks will fly. Sure enough, they did: starting 3 mins 50 seconds into the clip below, Ron Paul, guns blazing, asks the Chairman if he does his own shopping, if he is aware of what true inflation is, and if he knows that Americans don't trust the government because they are being lied to about inflation. And it only gets better, once Paul starts brandishing a silver coin. The punchline: "The Fed will self-destruct anyway when the money is gone" - amen. And ironically letting the Fed keep on doing what it is doing will achieve that in the fastest possible way. In fact, letting the system cannibalize itself with no further hindrances may be the best option currently available - just go to town.
Bill Gross' monthly letters are always a fresh source of jovial imagery, although the bond king may have outdone himself in his latest monthly letter which collapses the principles of investing onto the football field: "My point about pigskin offense and defense is the perfect metaphor for the world of investing as well. Offensively minded risk takers in the markets have historically been the ones who have dominated the headlines and won the hearts of that beautiful gal (or handsome guy).... Canton, however, has an approximately equal number of defensive in addition to offensively positioned inductees, so there must be a universally acknowledged role for both sides of the scrimmage line. What fan can forget Mean Joe Greene, Deion Sanders or Mike Ditka? The old, now politically incorrect showtune laments that “you gotta be a football hero, to fall in love with a beautiful girl,” but football and any of life’s heroes can play on either side of the line, it seems." And it only gets better. While at its heart Gross' latest is merely yet another lamentation against the confines of the financially suppressive regime that arises from ZIRP and ends with what many expect is a whimper (when in reality they all forget to factor in the facility of hitting the CTRL+P keys as many times as necessary), the flourish of abandon this time around is palpable. We would not be surprised to soon see Gross hang up his offensive (and defensive) jersey, and sit back and enjoy the coming lunacy from a distance (but hopefully not before he allocates just a little to the Ron Paul SuperPAC).
The real world revolves around cash flow. Families across the land understand this basic concept. Cash flows in from wages, investments and these days from the government. Cash flows out for food, gasoline, utilities, cable, cell phones, real estate taxes, income taxes, payroll taxes, clothing, mortgage payments, car payments, insurance payments, medical bills, auto repairs, home repairs, appliances, electronic gadgets, education, alcohol (necessary in this economy) and a countless other everyday expenses. If the outflow exceeds the inflow a family may be able to fund the deficit with credit cards for awhile, but ultimately running a cash flow deficit will result in debt default and loss of your home and assets. Ask the millions of Americans that have experienced this exact outcome since 2008 if you believe this is only a theoretical exercise. The Federal government, Federal Reserve, Wall Street banks, regulatory agencies and commercial real estate debtors have colluded since 2008 to pretend cash flow doesn’t matter. Their plan has been to “extend and pretend”, praying for an economic recovery that would save them from their greedy and foolish risk taking during the 2003 – 2007 Caligula-like debauchery.
Debt default means huge losses for the Wall Street criminal banks. Of course the banksters will just demand another taxpayer bailout from the puppet politicians. This repeat scenario gives new meaning to the term shop until you drop. Extending and pretending can work for awhile as accounting obfuscation, rolling over bad debts, and praying for a revival of the glory days can put off the day of reckoning for a couple years. Ultimately it comes down to cash flow, whether you’re a household, retailer, developer, bank or government. America is running on empty and extending and pretending is coming to an end.
Anyone Who Thinks that War Is Good For the Economy Has One Eye Covered ... And Is Only Looking At Half the Picture ...
When one puts aside all the histrionics, all the melodrama, all the irrelevant secondary bullshit such as appearance, charisma, ability to tele-evangelize, all the irrelevant policies such as what planet the US should colonize or how women should procreate, and focuses on just one thing: which presidential candidate (not to mention president) will do the right thing for America, which is to make sure that it doesn't collapse under a record debt load, there is just one answer. And it is not even ours: it comes from the impartial Committee for a Responsible Federal Budget Project, aka US Budget Watch ("U.S. Budget Watch neither supports nor opposes any candidate for office. Its reports are intended to promote understanding and discussion of the federal budget and how specific policy proposals would affect the deficit") which today released an analysis on debt sustainability titled "The GOP Candidates and the National Debt." The answer is in the chart below.
We need to look to Europe now to see what TPTB have in store for us. This is the consummate problem, reaction, solution game being played for all the marbles. First, you get the problem “spiking interest rates for the peripheral countries.” Then the “reaction,” financial panic and fear. Finally the “solution.” The placement of unelected technocrats as the leaders of Greece and Italy with ties to all the power structure’s institution such as the Trilateral Commission, the Bilderberg group and of course Goldman Sachs. It is like a coup that takes the shadow government from the shadows and puts them in your face. The reason that this is so key is because we are next. They don’t want to roll up everything at once. If they can get Europe safely consolidated then they will move here. That is when interest rates in the U.S. will spike (problem), and we get panic (reaction) and then the solution (bankster technocratic committees in charge and the IMF to the rescue, ie loss of sovereignty). This is the plan and I see it as clear as day.
While it has been well-documented by now, that even as the campaign of Mitt Romney continues to be funded exclusively by Wall Street legacy firms, that of Ron Paul is largely in the hands of the US military. Yet when it comes to the recently infamous SuperPAC, things have changed. Because as Politico reports, of the roughly $3.4 million total in cash raised by the pro-Paul group Endorse Liberty since its founding on December 20, none other than PayPal cofounder and Clarium Capital chief Peter Thiel has donated $2.6 million. So as the renegade financier, whose opinion on Ben Bernanke and the gold standard is well-known to Zero Hedge regulars emerges as a primary backer of all that is wrong with the status quo, and the Ben Bernanke way of monetary suicide, we wonder who is next? Actually, scratch that: Bill Gross has already made his opinion well known vis-a-vis Ron Paul's candidacy. Isn't it about time the Newport Beach multibillionaire reached into his back pocket and put his money where his mouth is, especially following his tongue in cheek endorsement of Ron Paul for president?
If the last 12 years have revealed anything, they have shown beyond reasonable doubt that both Status Quo political parties in the U.S. are hopelessly, ruinously corrupt and thus beyond any reform or redemption. We all know why: it now takes millions of dollars to run costly mainstream media election campaigns, and the only source for contributions of that scale is the financial/corporate Elite. It doesn't matter how you arrange the taxonomy of the financial aristocracy that rules the nation or how you subdivide it--old money, new money, family money, corporate money, etc.-- the bottom line is these campaign contributions are viewed by the aristocratic donors as investments that yield gargantuan returns in tax breaks, subsidies, bailouts, sweetheart contracts, "get out of jail free" cards for the shadow banking system, and so on.
Let’s be honest, quite a few Americans love a good war, especially those Americans who have never had to bear witness to one first hand. War is the ultimate tribally vicarious experience. Anyone, even pudgy armchair generals with deep-seated feelings of personal inadequacy, can revel in the victories and actions of armies a half a world away as if they themselves stood on the front lines risking possible annihilation at the hands of dastardly cartoon-land “evil doers”. They may have never done a single worthwhile thing in their lives, but at least they can bask in the perceived glory of their country’s military might. This attitude of swollen ego through proxy is not limited to the “Right” side of the political spectrum as some might expect. In fact, if the terrifyingly demented presidency of Barack Obama has proven anything so far, it is that elements of the “Left” are just as bloodthirsty as any NeoCon, and just as ready to blindly support the political supremacy of their “side” regardless of any broken promises, abandoned principles, or openly flaunted hypocrisies. No matter how reasonable or irrefutable the arguments against a particular conflict are, there will ALWAYS be a certain percentage of the populace which ignores all logic and barrels forward to cheerlead violent actions which ultimately only benefit a select and elite few.
It appears that slowly but surely the NDAA equivalent for the less than compliant on air mainstream media is picking up steam. First it was Napolitano's Freedom Watch getting cancelled by Fox (ostensibly for his endorsement of Ron Paul but who knows) some days ago, and now Politico reports that that political uber-lampoon Stephen Colbert has been also temporarily "suspended". From Politico: "The late-night comedy program hosted by Stephen Colbert will suspend production for at least two days this week, POLITICO has confirmed. The Colbert Report, the home of relentless parodying of super PACs and the campaign finance system, will not air original episodes on Wednesday or Thursday. "Due to unforeseen circumstances, the show will air repeat episodes on Wednesday, February 15 and Thursday, February 16,” Comedy Central Senior VP for Communications Steve Albani told POLITICO. Albani would not comment on the specific reasons for the suspension. It is expected that the suspension of original production will not be indefinite, and that the show will return soon." We can only hope that the ringing endorsement of freedom of speech by CC owner Viacom was not a major reason of the "uncommented" reasons for the suspension. Or lack thereof as the case may be in the US these days.
Must ... Not ... Think ...