Friday, September 19, 2008

Of the acts, and a conspiracy theory by nations around America, would we see the demise of a great economy

Everybody is facing it besides the corrupts and crony. A true story and destructing in wealth, who should be blame? Federal reserve board chairman requires no election of public but they manage the wealth and money creation, so it's not about blaming but making a change.

George soros have the brain of Einsten and he was famed by draconian moves in currency trading, was a scapegoat like all the short sellers now, being blamed for causing the massive selldown of AIG and Lehman, they must have no idea what is market force, and they think everybody is imbecile to believe their conspiracy. Soros saw this ahead and like as usual he sounded to the public that further damage in wealth destruction was coming.



China and all the big guns are waiting to start shooting, CIC is making its move and Buffet is taking advantage in the crisis to bang on companies that involved in power production, with so much storms and casualities, I foresee more spending would be incurred in this sector, Buffet is scrapping an elephant with a small scapula.


Did this help contribute to the surge, i dont see a down fall caused by shorts but the shorts sparked yesterdays opening rally.``So many shorts were pushed into covering,'' said Jean- Marie Eveillard, who manages $35 billion at First Eagle Funds in New York.

The regulators and financial institute giants, market leaders are revisiting the same route that ended them here in the first place, why not be critical and do something that would be beneficial and not further land US in banana republic (bigpicture.typepad.com).Indeed a nostalgic new chapter of the feds and the financial legislator boards.

I have a conspiracy theory that i do not know could be true, but the big guns could have been planning to accumulate as much USD as they can in term of bonds and treasury, etc and they are waiting hawkishly and patiently, a vulture of nature to devour the failed American Nation, all the reserves would be converted to their strengthening currency and with the conversion of currency shore the SWF they own nationally, and carry out a acquisition so big it could replace the world largest economy. This transition at least does minimal damage as private equity does not change in operations but only ownership in terms of nationality.

Lets take a look at countries with massive USD reserves:



What would happen when stock market capitulation takes place, the ratio between bank assets and Stock market Capitalization is almost 1:1 , the relief i take is that the significance of equity protectionism is being upheld at the cost of a different asset class, but will this spark the era of massive Asian-American MNCs? Middle Eastern owned American corporations? LBO is not out of the picture yet!!!! There would be a price for everything.

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