Saturday, May 7, 2011

Weekend Open Thread...

Friday, May 6, 2011

Morning Update/ Market Thread 5/6 - Would you Like Fries with That(?) Edition…

Good Morning,

Equity futures are zooming higher on the Nonfarm Payrolls report despite the Unemployment Rate rising from 8.8% to 9.0%. The dollar had a huge move higher yesterday but is only slightly lower this morning. Bonds, which have gone straight up since the wide held belief that Bill Gross had sold everything, finally did make a move lower on this report. Oil, which crashed yesterday is bouncing slightly today. Silver, which has crashed over the past four days is bouncing. Gold is retesting $1,500 from below, and food commodities are mixed.

My perspective on the commodities crash yesterday is that is what happens when you produce false fluff markets and then throw in more manipulation. But make no mistake – the trend is clear, and the trend is money printing to accommodate the impossible math – base money just updated yesterday:



Not that base money is everything, it most definitely is not. Remember, there are THREE kinds of money; credit money, sovereign money, and other money such as margin and derivatives. That category of other money is by far the largest, HUGE, and it is not tracked and not reported. Silver is just one tiny example where margin allows people to leverage small amounts of money into larger plays – make no mistake, that is money creation, but it is TEMPORARY, and can easily go away. And so we ride the waves of insane and out-of-control “moneyness” at the whim of those who are in control of the production. And note that the banks own the exchanges and they ultimately set the rules on how much other money is allowed – they create the vast majority of derivatives, they control the whole shebang, lock, stock, and politician.

And here’s were PERFECT comes in. This morning JPMorgan joined Bank of America in reporting PERFECT trading days for Quarter 1. Again, not one day of losses. And yet no one stands up and shouts about what that means. It means complete and total capture, that’s what it means. It means that for all their wins, someone else lost. Who is that someone else? Well, that would be you if you are trying to beat their HFT machines, money creation, after hours low volume moves, and rule manipulations. So, let’s be clear: THEY WIN, YOU LOSE. What do you lose? Your money… How did you get that money? You, unlike them, earned it with your life’s energy. So, their exchanges and HFT machines are actually PERFECT AT STEALING YOUR LIFE’S ENERGY.

No, that’s not hyperbole, that’s just FACT.

Oh boy, let me spend my life energy deciphering a phony Employment report for you – I mean if we TRUSTED our government, then I wouldn’t need to, but yet here we are. Below is the entire report from the BLS:

Employment April

Here is Econospin’s summary:
Highlights
Job growth surprised on the high side but there are still soft spots. Nonfarm payroll employment in April expanded a healthy 244,000, following a revised 221,000 advance in March and a 235,000 rise in February. The April gain topped analysts' estimate for a 185,000 advance. Also, the February and March revisions were up net 46,000. Private nonfarm payrolls were even stronger, growing 268,000 in April, following a 231,000 rise in March. The consensus forecast called for a 200,000 increase in April.

Gains were seen in goods-producing and service-providing sectors. Goods-producing jobs posted a 44,000 boost, following a 37,000 rise in March. For the latest month, manufacturing jobs increased 29,000 after a 22,000 gain in March. Even construction expanded though with a modest 5,000, following a 2,000 uptick the prior month. Mining jumped 11,000 in April.

Private service-providing jobs increased 244,000 after a 194,000 rise in March. Trade & transportation was up 71,000 in April with 57,000 coming from retail trade. Other notable gains included professional & business services, up 51,000; health care, up 37,000; and leisure & hospitality, up 46,000.

Government jobs fell 24,000, following a 10,000 dip in February.

Wages were sluggish in April as average hourly earnings rose 0.1 percent, following a 0.2 percent gain in March. The latest figure came in lower than the median forecast for a 0.2 percent improvement. The average workweek for all workers posted at 34.3 hours, the same as in March and the consensus estimate.

On a year-ago basis, overall payroll job growth in April was up 1.0 percent, matching the prior month's pace.

Turning to the household survey, the unemployment rate rose to 9.0 percent from 8.8 percent in March.

Today's report is notably positive on balance. Equity futures rose on the news.



Now, let’s dig in.

First some math. The population of the United States is growing at about 1% per year. There are 310 million people, that means the population will grow by 3.1 million this year, or about 258,000 per month! About 60% of the population works, so that means that we need to create about 155,000 jobs per month just to accommodate that growth in the population. So, if we take the BLS at face value then we are net positive for April by about 89,000 jobs.

So, why did the rate from the Employment Survey go up?

Because in fact the number of people in the Household Survey who are UNemployed ROSE by 205,000. Yet they spin that from there magically into a jobs created number with the Establishment Survey manipulations.

The truth is that in the past year the labor force has shrunk by about a million and the participation rate has shrunk by about 3 million.

Below are charts showing the precipitous decline in both the Participation Rate, and in the Employment Population Ratio:





And if we’re truly adding jobs, then how come the Average Duration of those unemployed is still climbing straight up into absurd levels never before seen?



It’s because we aren’t really adding ANY jobs, that’s why.

The now famous “Birth/Death” model was used to add 175,000 phantom jobs in April – many of which likely do not exist in reality. And the trend on the part of the BLS is clear – bigger numbers month after month which means more and more phony jobs added:



When you look at the year over year change, the BLS has created 173,000 more jobs this year with that model than they did last year for just the first four months. These distortions really add up over time, and while we don’t know how many actually were created, you only have to subtract out about half of this number before we’re back into real negative job creation territory.

And of the jobs “created,” we know that 62,000 of them were created at McDonalds. Would you like fries with that? Of course this is nothing but a publicity stunt on their part, this is typical of their spring hiring pattern. All corporate spin, all the time – and yes, they got a mention on my site, way to go marketing department! Is it just me or are you craving a greasy cheeseburger?

Turning to the Alternate table, we see that indeed they are counting more people as looking for work and that is a large part of why the Rate moved from 8.8% to 9.0%. Whether that’s reality or not is another matter entirely, but that’s part of what’s happening. You can see that unadjusted U-6 fell from 16.2 to 15.5%, but that with seasonal adjusting it ROSE from 15.7 to 15.9%:



My take is that overall we are still not even close to producing a single job – we are in fact still losing jobs – still. And the jobs we’re losing are the good jobs, while the jobs being created lack living wages, benefits, and real retirements.

And the BLS got to steal about two more hours of my life’s energy force, and distracted all of us from the point which is that debt saturation caused by the central banks has turned us all into debt money slaves.

As frequent commenter Fred importantly pointed out, for every winning trade they produce, someone is on the losing end. Don’t let it be you. In fact, these perfect trading quarters alone should be enough to convince you that what the people should really do is simply withdraw all funding and refuse to participate in these “markets” until the HFT trading nonsense is gone. Heck 10% moves on the open should also convince you that it’s no place for those without insider information to be playing – playing in the middle of the freeway is safer.

Thursday, May 5, 2011

Morning Update/ Market Thread 5/5 - Storylines & Swindlers Edition…

Good Morning,

Boy, do I have a storyline for you!

Equity futures are diving this morning on more bad data, the dollar is strengthening, the Yen is strengthening into the tsunami territory before the massive manipulation, bonds are higher, oil is significantly lower, gold is working its way back towards $1,500 an ounce, silver is still under attack now with a historic 5 margin increases in the past 8 days, and most food commodities are correcting as well.

With commodities sky high and the cost of living soaring, we knew that it was only a matter of time before that pressure took its toll on America’s citizens. Yet the economic disinformation flow is still conflicting itself, just like the zombie who stumbles around not really realizing that he’s already soulless.

For example, we have the idiotic “Monster” report rising from 136 to 145. As if their index numbers have any tie to reality... here’s Econoshill pretending that they do, only to contradict their spin in the very next release of pretend economic data:
Highlights
In what the report says is evidence that the labor market is improving, Monster's measurement of online-recruiting volume jumped 12 points in April to 145. Gains are wide including strong acceleration in labor demand from the mining, retail and construction industries.

But like a White House Osama Bin Laden Press Conference, the storyline is changing far more often than you change underwear.

Next comes the Weekly Jobless Claims where we see a sharp rise from the already stratospheric 429,000, all the way up to 474,000! And here I didn’t think there were still that many people employed? To call this a miss on expectations would be the understatement of the year so far. So, let’s explain away this 4th weekly report that’s well above the 400k mark, here’s Econoexplainaway:
Highlights
The government cites special factors behind a 43,000 surge in initial jobless claims. The biggest factor is an adjustment timing for a spring break in New York state followed by a new emergency benefit plan in Oregon. The third factor is the auto sector where claims related to retooling increased. Note that possible layoffs tied to Japanese supply disruptions remain an uncertainty for the outlook.

Initial claims came in at 474,000 in the April 30 week for an astounding contrast with expectations of 410,000 (prior week revised slightly upward to 431,000). The four-week average jumped 22,250 to 431,250 which shows a nearly 40,000 increase from a month ago.

Special factors or not, headline levels are startling especially ahead of tomorrow's monthly employment report where expectations were already weakening. Stocks are on the decline in reaction to the data.



Yep, amazing how different this storyline is.

And speaking of fantastical storylines, let’s take a look at just released Productivity and Costs. Productivity increased by a supposed 1.6% in Q1, this is down from the supposed 2.6% jump calculated in Q4 of last year. Meanwhile Unit Labor Costs increased by a supposed 1.0% which respectively follows a .6% reduction the quarter prior. Here’s Econospin trying to wrap its arms around decelerating numbers:
Highlights
The sluggish first quarter is showing up not just in soft GDP but also slower productivity and higher unit labor costs. Nonfarm business productivity rose an annualized 1.6 percent in the first quarter after advancing 2.9 percent in the previous quarter. Analysts had forecast a 1.5 percent rise for the latest quarter. The growth in productivity reflected an output gain of 3.1 percent in the nonfarm business sector, down from a 4.4 percent boost in the prior quarter. Hours worked increased an annualized 1.4 percent after a 1.5 percent rise in the fourth quarter. Unit labor costs worsened to a 1.0 percent increase from a 1.0 percent decline in the fourth quarter. The market median forecast was for a 0.8 percent rise.

A positive for the consumer, earnings are starting to improve although adding to businesses' labor costs. Compensation advanced an annualized 2.6 percent, following a 1.9 percent rise in the fourth quarter.

Year-on-year, productivity was up 1.3 percent in the first quarter-down from 2.0 percent in the fourth quarter. Year-ago unit labor costs posted at up 1.2 percent in the first quarter, compared to a decline of 0.2 percent in the previous quarter.

With demand, output, and productivity soft in the first quarter, firms have less incentive to hire until demand strengthens. And it is showing up in today's surge in initial unemployment claims. While the productivity report was about as expected, markets are negatively reacting to the jump in claims. However, the BLS indicates special factors came into play.

Clear as mud? Let me help… Productivity numbers are calculated from the rise in GDP. Since GDP is measured in devaluing dollars, the more money that’s printed, the more “Productive” America appears. Get it? If not, let me show you a chart of your “Productivity:”



Yep, that’s the monetary base, aka “hot money” supply. Yes, America is productive all right… we produce copious amounts of money, financial engineering, and storylines. Real products and services? Not so much.

And just look at the wonderful effect all that money creation has on the multiplier:



So, we have debt saturation. We have a financial crisis that is met with lower rates and more debt creation. Then, when that doesn’t work, it is met with massive (and I do mean massive) money printing. And now, obviously that’s not working either. So obviously the solution to our still debt saturated economy, debt saturated government, and still insolvent banking system is QE3, right?

Hey, I know, let’s raise margin requirements on silver, that’ll fix everything.

Look – I know this is hard to swallow for most people in America, but you are being conditioned with completely FALSE information. The paradigm that you think is real in your mind, isn’t really real – it’s a storyline that’s been planted there all your life. The truth is that this “economic data” isn’t real. The markets are not real.

“Economists” don’t know anything. The knowledge that economists have comes from a false storyline that is perpetuated in the schools that are financed by the central banks. These schools now have literally billions of funny money dollars inside their endowments, yet they do not use that money to promote real education – they use it to create still more funny money and to generate fees for the fund managers, and for the banks that own the exchanges, create the money from nothing, and then create leveraged derivatives from nothing. All the while collecting and generating more funny money that is siphoned off every step of the way.

And these huge endowments, derivatives, fees, and financial engineering benefit society how?

Get this – the average college student now spends more than $900 per year just on books. Books that cost like $120 each.



Why do college books cost that much? I say because they have a monopoly and because they are greedy and because their institutions are not really about learning, they are about promoting the storyline. Got it?

So, back in March the Universities got together and decided to sue Amazon.com for selling the same books at discounts to their rip off prices – you know, as if $78 for a book is a good deal.

It’s hard, because when you start to see the storyline for what it is, then your perspective on the world changes. Get too far outside of the established storyline, and heaven forbid that you point out the storyline to others, then you are labeled a “whack job,” a word that I heard on the television from the media at least ten times yesterday.

This is very troubling for a society. There is this happy façade on the outside, but as the storyline diverges further and further from reality there is underlying tension that builds. I’m sorry, but I can’t help but think the way I’m currently feeling must be similar to how aware Germans felt in the early 1930’s. Does saying that make me a whack job? If so, then I think we all need to examine the storylines running around in our noggins.

And since we’re crossing the Rubicon of storylines and whack jobs, I might as well wade into alternative storylines (aka the truth) a little bit further for those who are capable of making storyline adjustments along the path of their lives… Just remember, once you swallow the red pill, you cannot unswallow it.

Again – let me state this clearly. The President of the United States last week presented a highly manipulated document for his birth certificate. It was manipulated in so many ways that it’s not even funny. Since these manipulations have been brought up, those who simply cannot fathom that their storyline is not real have attacked those who point it out as whack jobs. They have tried to “debunk” the manipulations and to explain them away. Yet each time they do, their “debunking” gets debunked by someone who knows better (here’s just one example, I’ll call it Debunking the debunking).

Now, regardless of the technical details, what cannot be argued is that this document was manipulated by a computer in many different ways. Can we agree on that? I think that is an established fact, and I think stating it that way is being KIND to those who did the manipulation. In my storyline, I call it a fake, but then I can accept facts for what they are. If, however, in your mind your storyline cannot accept that fact, then I think you may be able to help yourself edge closer to reality by asking WHY this document was manipulated? Even if it was manipulated with the very best of intentions why did it require so much manipulation? And since it is so obvious that it was manipulated, why would the President of the United States present it in the manner that it was?

Next question – is manipulating that document legal? Next question – are we even going to officially look into it, or is the given storyline good enough for you?

Sorry, but I prefer to operate in reality, and not in some fantasy.

Let me ask everyone this: If you knew someone who you KNEW was a liar and a known cheat… someone who you KNEW disseminated FALSE INFORMATION, and who you KNOW manipulates and controls the flow of information around them, WOULD YOU give them your life’s savings to invest for your retirement?

Do you know where I’m heading with this? Does it make you uncomfortable that I’m heading in that direction? Where is your retirement money right now?

Do you want me to spell out the lies, the disinformation, the manipulation to you? Do I have to? Or, do you know what I’m talking about? If you follow my blog regularly then you do, I’m sure. But if you follow my blog and you still have money in these markets, then I’m going to refer you back to the question above – Would you give your life’s savings to a known SWINDLER to manage for your retirement?

Why are we even discussing these “markets?”

Yep, that’s where my storyline has taken me. But I’m a naturally inquisitive type, I’m not happy just letting others feed me their storyline.

So, next I want to go way off the deep end… waaaayyyy down the rabbit hole… and I want to question the storyline coming from the White House regarding Osama Bin Laden.

What are the FACTS as we know them? Hmmm… well, I’m having a difficult time with that because what I see are not facts, but instead a storyline. Just yesterday in the White House Press conference the spokesman had to read from a printed script and then when asked about “the changing storyline,” was forced to admit that he’s “having trouble keeping it straight himself!”

Folks, because there is a giant void of facts, this subject has now become an emotional subject that is very similar to RELIGION! Either you believe the storyline or you don’t. Because there are very few facts, it is now a storyline based upon FAITH.

What I want to do is point out all the pieces of the storyline that have changed. But I don’t want to spend two days writing that article! So, instead, let’s talk about the parts of the storyline that HASN’T changed…




Hmmm…



Okay, well, that was fun.

Here’s the thing. When I tell you a story about something that happened to me – I mean something that REALLY happened – then the story flows out uninterrupted and each time I tell it it’s the same. Oh, and if something seems too unbelievable to be true, then I’m going to absolutely present facts to back it up least you think I’m a nut job.

So, when I hear that a body was dumped in the ocean, I get suspicious. When I’m told there are pictures, but then they are not presented, I get suspicious. When I’m told that Senators have seen those pictures, but then that is retracted when in fact no Senator has seen them, then I get even more suspicious. When I’m told that there were helmet cameras on the Navy Seals that document the whole thing, only to learn later that THE prime 25 minutes doesn’t exist, then my mind flashes to the Watergate tapes and the gaps that just happened to appear at critical times there. Remember that?

I can go on and on about the changing story line, but I refuse to spend my life’s energy refuting the true nut jobs who call into question those with unanswered questions.

To me, very little of this storyline has what I'd call "the ring of truth" to it. If you have an open mind, the following two articles have something that I'd call a storyline that does have more of the ring of truth to it – not that I believe all or even any of it – I don’t know what to believe because I have been presented with no tangible facts: First - Did Senior Military/Intelligence Officials Overrule President Obama Regarding Mission to Kill Osama Bin Laden?: Second - White House Insider: Obama Hesitated – Panetta Issued Order to Kill Osama Bin Laden

Even that storyline makes a lot of assumption that I don’t know for a fact are real – that’s what a lack of true transparency creates.

So, if your storyline conflicts with mine, then all I can say is “I’m Okay, You’re Okay,” now go and take another Prozac, you’ve got financial engineering to do – I’m going to go do something real with my life’s energy.

Wednesday, May 4, 2011

Morning Update/ Market Thread 5/4 - Dollar Approaching All-Time Lows Edition…

Good Morning,

Hey, when you can’t be good, at least look good, right? That would be the theme for the United States as the only way to add still more fluff into the markets is to just keep adding more fluff and to never stop.

Equities were lower overnight, that is until the dollar fell out of bed once again and now equities are up slightly. The dollar now back into the 72.7ish range is in the area of support where it’s all time lows are located:



Oil is slightly higher on this action, gold is higher, but the silver take down continues for now. Importantly, food commodities remain extremely elevated in mixed action today.

The rise in the cost of living is becoming glaringly apparent to almost everyone. Here in Washington State the State Ferry System just raised rates 35%. Talking to my son last night he was telling me that the cost of driver’s education for beginning drivers has doubled from the $250 we paid about 6 years ago to now $500 for the beginning driver course! This was free and taught in school when I learned to drive.

Are incomes keeping up with the dollar devaluation? Absolutely not. And that’s why the fantasy of inflating away debt will remain a fantasy forever. That’s because the system created by the narcissistic bankers benefits only them and not everyone else. That’s exactly why you saw the focus of the bailout attention on them and not on your family. And it’s why you see margin hikes on silver, but not on oil or food. It has everything to do with WHO controls the production of your money… A broken record, I know.

Of course stocks can’t go down while there is literally billions being poured into the banks… right? That is definitely the consensus as this chart of Rydex Bull/Bear sentiment shows an extreme in bullish sentiment never before seen:



Historic bullishness should be screaming at you… but then again I can hear the whir (roar) of Bernanke’s computer cooling fans.

The conflicted and hypocritical Mortgage Banker’s Association Purchase Index rose in the past week by .3% compared to a 13.6% plunge the week before. It’s spring and sales are expected to increase, but numbers like this certainly don’t point to any recovering for housing. Here’s Econopray:
Highlights
After four very volatile up-and-down weeks, the Mortgage Bankers Association's purchase index was steady in the April 29 week with a 0.3 percent gain. This index has been too wild to offer much of a handle on April, an important month for housing. Rates are an increasing plus, reflected in a 6.0 percent rise for the refinancing index. Thirty-year fixed loans averaged 4.76 percent in the week, down four basis points.

This index is volatile and “too wild” because the MBA intentionally broke it. They are nothing but narcissistic shills attempting to warp your perception of reality – now go and take another Prozac.

The Challenger Job-Cut Report is indicating fewer mass layoffs for April, falling from March’s 41,528 to 36,490. Keep in mind that this report only tracks announced corporate layoffs and does not include layoffs in the governmental sector which is exactly where the latest rounds of layoffs are occurring.

The mostly worthless ADP Employment Report came in much lower than expected at their guess of 179,000 jobs created. Of course this report is notorious for being wrong or at least out of synch with the BLS. Still, knuckleheads in the fantasy fluff world of trumped up markets use this data point to “set expectations,” which is code for “manipulate the market and set you up to take your money with our HFT machines and insider information later down the road.”

Yep, I’m just a little bit skeptical of the whole charade, and I am finding it harder and harder to take the markets or world events at face value. Let’s face it… you can’t unswallow the red pill.

Tuesday, May 3, 2011

Morning Update/ Market Thread 5/3 – It’s Still a Matter of TRUST Edition…

Good Morning,

Equity futures are lower this morning as prices appear to be etching out a mild retracement, possibly a flat wave 4 movement. The dollar is slightly higher, while bonds continue to rise, oil slumps a little, gold rises after falling yesterday, silver gets attacked some more, and most food commodities are slightly lower.

Yeah, despite all the feel good wonderful feelings of getting Osama, it’s still a matter of trust. Actually watching the media go way over the top, many pieces I saw were bordering on plain old fashioned sick. So, we haul his corpse over a thousand miles and dump his body at sea? Sorry, that does not ring true to me. And it’s amazing watching the story line develop and then change. Now his wife wasn’t killed, it was somebody else (what did they do with the other bodies?). Osama wasn’t even armed. Was he shot once or twice? Now there were a ton of computers in the place conflicting with earlier information of no telephone or internet. Why is the storyline so difficult? Yes, I want to believe we got him, but I also want to trust my own government – and when I am presented with obviously manipulated documents that trust is seriously in question.

I read a story in the mainstream by a “journalist” suggesting that getting Osama removes any doubt about Obama’s loyalties. That suggestion is simply sick in my mind – you cannot ignore the breakdown in the rule of law, getting Osama doesn’t make that fake document legal, it doesn’t reel in the banksters who are robbing and starving the world blind, and it doesn’t stop the radiation from spilling out of Fukushima which is poisoning the globe and YOUR food supply.

The inconsistencies destroy TRUST. We throw Osama’s body into the ocean – yet we didn’t throw the other bodies into the ocean, and have never just tossed a body into the ocean (sorry, don’t buy the excuses). Yesterday margin requirements for silver were raised for the third time in just 5 days – why are we raising margin requirements for silver but not for oil or food commodities? Where is the justice in that manipulation, and WHO do they benefit?

I’ve said it repeatedly, our markets are not serving the purpose for which they were originally intended. HFT trading needs to go away, as do the majority of derivatives. What does Charlie Munger, Vice-Chairman of Berkshire Hathaway, have to say on the subject? He says that we should, “Cut the Banking Sector by 80%,” and that, “The rest of us don’t have anything to gain from trading between computers…”



Truer words are seldom heard.

While the big banks are stealing from everyone they can (including Berkshire's WFC), we learn that the number of people on food stamps set yet another record by rising to 44.2 million – that’s 14.25% of our entire population:



Along with this report we also learn that of the $907 billion in capital gains paid in 2007, only 400 taxpayers accounted for $91 billion – that is 10% of the capital gains in this country went to 400 people (0.000009049%) while 44.2 million collect food stamps. Think about that chasm and the implications – again, I think it describes total capture.

Meanwhile, as a result of corporate capture and inappropriate closeness of nuclear regulators and industry in Japan, officials there are just now admitting that they knew the scale of this disaster very early on. The radiation, get this, is now being detected in cars manufactured in Korea that have been imported to Chile.

Fairwinds makes an attempt to discuss the nuclear effects on our food chain in the video below… they do a good job of distinguishing ingested particles from background radiation, but fall short in offering good advice on how to avoid those particulates, which can be very difficult to say the least:

Where is all that Fukushima radiation going, and why does it matter?

How about containing them properly in the first place? How about separating industry from government? How about separating special interest money from government? Yes, definitely test and gather data! And now that it’s out uncontrollably in our environment, how about eating foods that are lower in the food chain because it concentrates as it goes up the food chain? This means avoiding dairy products and predator types of fish like tuna. How about filtering your water supply, especially if it comes from an above ground source like a river? There are a lot of things that you can do – just remember that it is silent and invisible, but that doesn’t mean it doesn’t exist or that it can’t become a health problem for you or your family. Personally, I think our lack of reaction and downplaying of this event is disgraceful on a national level.

Where would you bury him?

Monday, May 2, 2011

Morning Update/ Market Thread 5/2 – It’s a Matter of TRUST Edition…

Good Morning,

Equities are higher, the dollar is flat, bonds are slightly lower, oil is down, gold is down, silver is down, and food commodities are mixed with the price of rice soaring.

Today we will see the Manufacturing ISM and Construction Spending at 10 Eastern. The data highlight of the week comes Friday with the April Employment Report.

It’s a matter of TRUST, of CONfidence. I don’t have it, and am losing faith with each BIZARRE episode.

MESSAGE TO THOSE WHO CAN’T HANDLE THE TRUTH (this would include almost all who participate in the mainstream media, and those who cannot digest and handle the facts). My CON Game radar has been going full scale tilt lately – and there are enough data points of fact to confirm without any doubt that my Con Game Radar has good reason to lack trust. I am going to stay focused and on point – the subjects I am about to cover are absolutely on point and have vast implications for our economy. Do not shoot the messenger, and process the facts!

Taboo subject #1 – Obama’s Recently released long form Birth Certificate: This is now CONFIRMED to be a manipulated FAKE. Many people have now analyzed it, and it was pieced together on a computer – you now cannot dispute that FACT. There are so many manipulations that it is crazy and makes you wonder why such a glaring forgery was presented to the public? There are at least two smoking guns in all the manipulations, the latest is the fact that Adobe’s software tracks how a picture is assembled. As you can see in this video, this “certificate” was assembled and manipulated together from pieces found on the internet:



Can you process that?

It is a fake. Forging official birth certificates is against the law. Having the President of the United States present a fake certificate is something entirely different altogether. It represents the height of the breakdown of the rule of law.

Now, who produced it and why is one question that must be answered. You cannot laugh this away or claim “nutjob” over this fact. The fact that Obama and the media is making jokes and painting those looking into it as nutjobs is a sick and twisted form of manipulation. Even if Obama was set up with this obvious fake, he is guilty of not doing his own due diligence and of not appointing a competent team to surround him. This is absolutely worthy of removing him from office – process the facts. The real question in my mind is why is he so obviously being set up, and by whom?

Process it – deal with it.

Bizarre Subject #2: Osama Bin Laden’s Death. Here I do not have smoking gun facts, but my manipulation radar is going off like mad, and it did so from the instant this was announced – here’s why…

Well BEFORE this was announced publically, oil, silver, and gold in the futures market began to tank. In fact, silver gapped down 10%.



Now, this is evidence of nothing more than the usual insider information flow, insider trading, and insider manipulation. But again, it’s about TRUST. You want to invest in markets where insiders move your positions 10%+ on the open based on information that had to come from the inside of the Administration? Information you don’t possess at the same time? Not me, no thanks… no trust.

Now, overnight pictures of a dead Osama were published by some mainstream media. Those pictures, it turns out, were also fake – pulled straight off the internet and have been around for years. Oops – now retracted, great reporting.

Then this morning it was announced that Osama’s dead corpse was buried at sea!!! Now my manipulation radar is SCREAMING at me! Nice justification to hide evidence – oh yeah, DNA samples are being processed… but we had to bury him at sea to satisfy Muslim beliefs!

Tell me one time in history – just one time – that anything like that has ever been done in such a hasty manner? Sorry, but if you are buying all of this, I have some swamp land in Florida for you. Again, I don’t have any smoking gun facts here, but let me just say that the way this was handled does anything but build trust.

Process it – and ask yourself why did this happen now?

From my perspective the forged Birth Certificate is a show stopper – if the media fails to pick up on it, and if the President is not held accountable for its presentation, then there’s really no need to even go on discussing “markets.” There will be no rule of law, and those who participate in these “markets,” or who fail to acknowledge this CRIME will be complicit in allowing the breakdown of the rule of law, and in the accompanying lack of trust, and destruction of confidence.

Oh, and don’t forget about the bizarre handling of the still raging nuclear accident still in progress – the breakdown of the rule of law, the corporate capture, the GREED, has caused and is still causing massive quantities of radiation to pour into the environment – it is BIZARRE that this is being ignored and improperly handled. We are discussing the widespread cast of radiation worldwide and there is a plethora of information that the media is ignoring and that we are discussing inside of our daily thread – come join the discussion, join reality.

And equally BIZARRE is the complete and total CAPTURE that has occurred with corporations and their “regulators.” Here are two MORE glaring examples:
Monsanto Will Soon Be Allowed To Police Itself

… The pilot program will allow these companies to conduct their own environmental assessments of crops or outsource the work to contractors. The USDA will still get the final say in determining the safety of crops.

Here the corporation is being allowed to be the regulator. Hey, might as well call a spade a spade, that’s what was effectively happening anyway. Corporate capture to the extreme.

Then there’s this:
There Goes the Data: Major Cuts at EIA Washington

One of my greatest concerns coming out of the financial crisis of 2008 was that, eventually, free services like government data would be reduced or lost altogether. This afternoon I learned from EIA Washington that one of the cornerstones of my own work, and also the work of others globally, is about to be suspended: the gathering of International Energy Statistics. For me professionally, this is among the most important gateways to monthly data on global oil production. As I said, after 2008 I came to recognize my own professional dependency on this free data. But, I never actually expected to lose my access. Well, that’s always the way, isn’t it? Below is a portion of today’s EIA Press Release:

You can follow the link to the Press Release. The bottom line is that the data is being cut off in the same manner that M3 is no longer reported. When you can’t stand the heat, cut off the data.

I’m going to say this exactly one last time today, and I’m going to turn the tables on the mainstream – those who fail to acknowledge and act upon the facts are complicit in the breakdown of the rule of law. You cannot laugh this off or joke about the “nutjobs” any longer.

I think that anyone who participates in these manipulated markets is both a fool and is also complicit in feeding the blatant manipulation. The markets are not only not free, they are not even real – what they are is insider manipulated to the max – again complete corporate capture, no regulators.

I sadly note that today the media and a great percentage of our population is celebrating like we’re the great slayer of evil – how removed from reality can we get? Body dumped in the ocean? Come on. The breakdown of the rule of law is so in your face that you simply cannot ignore it any longer – and if our collective conscious doesn’t act to remove this Administration then I’m going write off my efforts to present reality and move on.

No music today – each individual needs to think hard about meaning and consequence. Process this information and then analyze your role in the collective consciousness. It's a matter of TRUST.