It's a Mad Mad Market.....

It is apparent that as of today, the financial world has gone insane. From the Mark Cuban fiasco with insider trading (why is the SEC going after Cuban, and not looking at the other nimrods who were abusing the share holders?) right down to the resignation of one of the internet's greatest pioneers, Jerry Yang of Yahoo. Let us not forget, the ultimate disappointment of the G20 summit (did anyone really expect otherwise), which was suppose to be Bush's last hurrah, but turned into an overpriced take out from Sardi's. With all due respect, this is a crazy world we live in, and now we should be prepared for anything.

For example, who would have thought back on Halloween, that Hank Paulson would have decided to stop the TARP from going any further, or that the statements made in today's WSJ hosted CEO Conference, that he would have to defend his recent actions, saying that he was not experimenting with the economy?

GM, no surprise, is in dire economic straights, but who would have thought that the democrats would be the ones trying to use the TARP to bail out GM. Now, mainstream media may start to paint the picture of a government bailing out the Czars, but to hell with the Serfs! Meanwhile, as classicist propaganda for the eventual ideological war of classes permeates, there are others who are profiting from the current circumstances, like the Mafia, who has resorted in Italy to increasing it's power through usury. Am I being a bit extreme? I am, and no kidding, this is happening, but there is a point, hang on.

Will Hillary Clinton become Secratery of State? Will Larry Sommers or Paul Voelker, be chosen for the post of Secratery of the Treasury? Will Obama stick with his current plan for taxes, or will he be able to see that the only way that this nation will survive is by putting forward the ideals of Adam Smith, but with a measured amount of regulation?

Who would thought that the last year would have happened? Well, some things could have been predicted. I saw Barak Obama over two years ago, and I knew that he was Presidential material. However, with the history of how the Democratic party had lost, what should have been sure elections, nobody, really knew what to expect next. The spiraling of the economy, was the impetus for the shift in power at the capital.

Know this: First of all, it actually will get worst before it gets better, but that does not mean that things are as bleak as they seem. What I predict is that the individual investor is going to be more educated, and more in control of there investments, instead of relying on high priced financial professionals, who have their own quotas to meet. There will be a good number that will study the markets on their own. Some may fail, some may succeed, but this could actually end before it begins.

If the Democrats choose to impose tax increases on capital gains, without fully exploring the consequences,we may see an even further downturn. Obama can avoid raising capital gains, and perhaps influence a new economic culture where the 401k will have a natural companion, in the direct control by the ordinary, but educated, in the trading of stocks, bonds, options, etc.. This can happen, its not a dream, it's happening now. However, all this can cease to be if we fail to put forward those free market capitalistic ideals, which built our nation. Don't get me wrong though, greed is the motivator, and it kills the innocent. There will have to be some sort of regulation, but by avoiding punitive taxation, we can eliminate this recession.


Without a doubt, its a mad, mad, market. I would not be surprised, if SETI received incoming long distance transmissions from ET, who decided to phone home. Please be careful. Use caution when listening to pundits, but listen to them to see where the market is trending. You only need to implement common sense, and be able to at least interpret the balance sheets, and if it's vague or complex, do not hesitate to drop your pick like a hot potato. Remember, finally, if it's too good to be true, it probably is, but if there are four hundred other people thinking its true, then go for it and know that you gotta sell it quick, before the end of that lemming cycle.


Other than that, greed has put us in a real bad place. But I can assure you of one thing: the very fat cats that gorged are now cannibalizing on each other. So we will live to fight another day. Good Hunting.