Wednesday, March 19, 2008

Feeding the Bears

"You had to prove -that you're not scared
Enter the cage -and take a dare
Screaming death -in the beast's lair
You couldn't read the signs,

-Don't Feed The Bears by M.O.D. (Method of Destruction)

Bears seem to popping up in the news all over the place lately. From the Bear Stearns bailout to Russian Tu-95 Bear bombers buzzing the USS Nimitz to the worsening Bear Market in the U.S. dollar, the big lumbering beasts are wont to signify all that is doom in the world today. Truth be told, being fed to the bears is about as under-the-bus as you can be thrown without being turned into road chum while choking on diesel fumes. Therefore it can be highly instructive in the study of criminal motivation - otherwise known as 'Cui Bono' (who benefits) - to try and determine who would get the biggest chuckle out of feeding hapless victims to the bears.

Case in point - today's 'Bull Trap' in the ongoing bear market of stocks. Since the all time high of October 2007 the DOW Jones Industrials Average index has lost roughly 15% of its value, the textbook definition of a bear market. Here a little background is required first. Roughly 21 years ago old 'Red Ronnie' (his Hollywood nickname) Reagan created the Working Group on Financial Markets, ostensibly in response to the market crash of 1987. It was trumpeted by the relevant government and media organs as a means to protect the little guy from losing his pants when Wall Street gets financial incontinence. What he really sold to the American people was an expansion upon the planks of the Communist Manifesto, where the monopolization of money and credit by the state extends into the centralization of economic ownership through the active manipulation of the markets.

In a nutshell, the president has a coven of his biggest-paying corporate cronies across the spectrum of the economy advising him on which irresponsible pinheads need to be saved from the consequences of their own actions when a panic in confidence breaks out on Wall Street. This is commonly called rewarding incompetence with speaking fees and accolades, otherwise known as the 'Old Boy Network.' In the hands of a figurehead like Reagan who needed his wife's astrologer to plan his presidential itinerary, the damage that can be done is limited by the figurehead's lack of imagination. In the hands of a veteran 'Pump and Dump' practitioner, however, paper blood will flow in the streets.

The trap was possibly laid on Monday when the 'deciderer' had his little shadow government pow-wow. The plan had to be ready for action when the Federal Reserve released its prime lending rate determination on Tuesday afternoon. Working backwards from today's abyssmal results one can surmise the idea was to sucker as many desperate fools into the market with an irrational rally as possible. When the Fed cut the prime 75 basis points (3/4 of a percent) to 2.25% on Tuesday, we saw one of the biggest one-day improbable eruptions in recent memory, courtesy of the well-oiled stealth socialist machine. The Quisling media bleated away about how things were finally 'turning a corner.' A whole lot of girly-man, Wall Street meat was dumped into the laps of the hungry bears.

When the grizzlies came calling, all the post-coital euphoria from the financial 'Pravda Press' was bashed into silence by the relentless bear attack. The uppity gave way to the ugly as a 420 point gain on Tuesday was chewed to the bone by 294 points today. It would be interesting to see how the puts (bets the market will go up) and calls (bets that the market will go down) were placed going into this rally, and by whom. Do you suppose any members of the Politburo - I mean Plunge Protection Team - could have possibly benefited from these market gyrations? I mean, it's not like they're insiders, right? They wouldn't dare play the nation for a bunch of saps, would they? Like anyone is going to stop them! Roughly two thirds of the country wants the troops back from the Middle East, but is the supposed 'representative' government listening to the people? No? Do you think maybe singing 'Kumbaya' loud enough will melt their meanie little hearts and let the love flow for the soldiers so they can come home? Well if they won't stop a war the people don't want, what makes you think they won't take advantage of the ultimate insider abomination?


Anonymous said...

"When the grizzlies came calling, all the post-coital euphoria from the financial 'Pravda Press' was bashed into silence by the relentless bear attack"

Perhaps one of THE best sentences I've ever feasted my eyes upon....


billhap said...

As qouted by Tyler Durden "Only after disaster can we be resurrected."
Let the Bears out and do as they may.