Trust No One

on 10 6, 2010

Great article from Paul B. Farrell.

For those of you that want to continue to view the market with rose colored glasses, don’t read this!

Here are a couple of highlights:

This appears near the end of the article but I think it sums it up pretty well.

“Believe nothing, no matter where you read it or who has said it, not even if I have said it, unless it agrees with your own reason and your own common sense.”

Farrell’s article is titled the “The Fed is Dead.”  Needless to say he highlights some doom and gloom of why you should not trust anyone especially our government.

He highlights the 7 steps to the next revolution:

Let’s reexamine the timeline closely:

Stage 1: The Democrats just put the nail in their coffin confirming they’re wimps when they refused to force the GOP to filibuster Bush tax cuts for billionaires.

Stage 2: In the elections the GOP takes over the House, expanding its strategic war to destroy Obama with its policy of “complete gridlock” and “shutting down government.”

Stage 3: Post-election Obama goes lame-duck, buried in subpoenas and vetoes.

Stage 4: In 2012, the GOP wins back the White House and Senate. Health care returns to insurers. Free-market financial deregulation returns. Lobbyists intensify their anarchy.

Stage 5: Before the end of the second term of the new GOP president, Washington is totally corrupted by unlimited, anonymous donations from billionaires and lobbyists. Wall Street’s Happy Conspiracy triggers the third catastrophic meltdown of the 21st century that Robert Shiller of “Irrational Exuberance” fame predicts, resulting in defaults of dollar-denominated debt and the dollar’s demise as the world’s reserve currency.

Stage 6: The Second American Revolution explodes into a brutal full-scale class war with the middle class leading a widespread rebellion against the out-of-touch, out-of-control Happy Conspiracy sabotaging America from within.

Stage 7: The domestic class warfare is exaggerated as the Pentagon’s global warnings play out: That by 2020 “an ancient pattern of desperate, all-out wars over food, water, and energy supplies would emerge” worldwide and “warfare is defining human life.”

He also lays out the blatant lies by our politicians and celebrity analysts:

Bernanke: “I don’t anticipate any serious failures among large internationally active banks.” Wow, was he ever wrong.

Billionaire Ken Fisher: “This year will end in the plus column … so keep buying.” Main Street lost trillions on advice like this.

‘Mad Money’ Jim Cramer: “Bye-bye bear market, say hello to the bull.”

Goldman Sachs’ Abby Joseph Cohen: “The fear priced into stocks is likely to abate as recession fears fade.” Soon after, Goldman was essentially bankrupt.

Congressman Barney Frank: “Freddie Mac and Fannie Mae are fundamentally sound.”

Barron’s: “Home prices about to bottom.” Three years later they still haven’t

Worth: “Emerging markets are the global investors’ safe haven.”

Kiplinger’s: “Stock investors should beat the rush to the banks.” Costly advice.

Bernie Madoff: “It’s virtually impossible to violate the rules.” But it’ll happen again.

http://www.marketwatch.com/story/the-fed-is-dead-maybe-by-2012-2010-10-05?pagenumber=1

This is one of the reasons that you need to protect your portfolio.  We will continue to see the politicians and celebrity talking heads handing out nonsense.  If they did not see it coming the first time, then they will not see it coming the second time.  Hopefully, this time you are prepared!

Learn how to Protect Your PORTFOLIO NOW before it is too late!

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