Posted by Timothy Gandee on 10/07/10

Bill H.R. 3808, the Interstate Recognition of Notarizations Act of 2010, which was discussed yesterday, and which according to both Reuters and the NYT may have a material impact on mitigating the impact of the High Freq Signing scandal, at least on the servicers, is now open for public comments at the white house.

Those wishing to tell the president how they fell, may do so at the following link:

http://www.whitehouse.gov/webform/comment-legislation?billname=H.R.%203808%20-%2
0Interstate%20Recognition%20of%20Notarizations%20Act%20of%202010

Continued here - http://www.zerohedge.com/article/white-house-now-accepting-comments-hr-3808

Here is a run down of what HR 3808 represents -

Is HR3808 The Equivalent Of TARP 2 And Obama's "Get Out Of Bail" Gift Card For The High Frequency Signing Scandal?

http://www.zerohedge.com/article/hr3808-equivalent-tarp-2-and-obamas-get-out-jai
l-gift-card-high-frequency-signing-scandal

Posted 10/10/10 moharra Whitehall , OH

the high frequency what????

Posted by Timothy Gandee on 03/07/10
Last updated 03/07/10

Here is part one of a conversation with one of the most influencial people in my life. Our continued conversation will be documented throug the C4L.  Feel free to comment accordingly -

I am personally happy that we are having this discussion on this matter.  You and I have one of the best relationships that I could expect from a father.  You push me to be the best that I am, you have the best intentions for me at heart, and I love the person that you have helped me to be.  The last thing I want is for something like foreign policy, which we have little ability to control directly, to come between what has been a challenging yet fulfilling relationship with my father. 

Makenzie, Gracie, and I decided on having Chinese food for dinner last night while Amy was at work.  We went through the routine of eating our food prior to eating the Chinese fortune cookie and only reading the fortune after the cookie has been eaten as well.  My fortune was this and I find it curiously relevant to our conversation that is starting today.  It read, "Seek first to understand and then to be understood." 

Unfortunately my ego is still getting in the way of my ability to communicate the passion and enthusiasm that has enveloped me as I am today.  Many times my enthusiasm took an immature trait of aggression and anger as I have a tendency to rush through explanations and lack the patience to hear another point-of-view out.  I am working on this character flaw as a part of my personal development and feel writing out one's thoughts, as we are starting today, give a great opportunity to think before speaking.  One day I will master this important character trait verbally, but until then writing will indeed suffice.  I apologize for any misdirected anger that I have placed on our discussions based upon the lack of my own self-discipline.  It is unintended and is just another thing you have taught me to think about in my journey of life. 

Regardless, with the window for dialogue is now open, I thought I would lay out the problems with our foreign policy as I see them.  My contention is that the problems that exist within the context of our 700+ military bases and undeclared military adventures throughout the world are just as disastrous as is the agenda of socialism and forced wealth confiscation that the liberals are pursuing.  Furthermore, both parties have equally pushed forth lofty and unattainable policies that are devastating to the financial and personal freedoms that are outlined in our Bill of Rights.

I look to support the fact the neither path, currently being pursued by the left or the right, is sustainable and both are equally leading to the demise of the greatest country in the world.  I also believe it is of the utmost importance to learn the great lesson that conservatives of the cold war era failed to absorb.  The idea of maintaining a global military presence, including an empire of bases and an interlocking network of overseas military and financial "interests," rules out the limited-government agenda the right so passionately embraces while the Democrats are in control. 

I would first like to address the continued erosion of our financial freedoms by the hands of our politicians.  Many mainstream Republicans, right now, are quick to squawk about the harm the Democrats are inflicting through the increase of the Federal deficit.  At the same time, the right seems completely dismissive while allowing the deficit to expand at the behest of the military actions of our Federal Government. 

The United States currently enjoys the reserve currency status of the world through our victory in WWII, but the economic policies provided by both parties are endangering the dollar reserve status only by different means.  Different means in socialization or military endeavors, both parties use similarly vicious obfuscations of the truth.  This is endangering the financial well being of anyone who participates in the government ponzi schemes of tax deferred savings plans: IRAs, Mutual Funds, 401(k) accounts, Social Security, Money Market Accounts, or any other possible saving mechanism provided by the Federal government supported fractional reserving lending institutions (aka the banks and Wall Street).  Our financial freedom is directly endangered by the Federal Government through confiscations our income through taxation and the destruction of the purchasing power of the Dollar in order to fund the Federal government's deficit spending.  These confiscations are justified by the argument of social responsibility from the left and protecting our freedom or country from the right.

Just as the left lies about related costs and the reasons for socialized healthcare, an argument that seems to have lit a fire under the behinds of many on the right, the right propagates falsehoods of cause and cost in order to gather support for the Federal Government's constant intrusions into the economic and social affairs of other countries.  If we don't like the government involved in our healthcare, just imagine if they started accidentally inflicting collateral damage on our population in the name of a war on terror.  That is what our government is doing to other countries while our country is financially bankrupt and at the brink of complete financial collapse.  For more information on the collapse, please feel free to read my recently published article, Are You Still Trying to Save US Dollars? Really?

Our military presence in other countries creates resentment that is directly aimed toward the US and consequently its people.  Keep in mind that for every country we have a military base in, we also have the federal government decreed right to get involved in the banking and economic policies of those countries.  No country that has a US military base within its borders is allowed to unilaterally decide to purchase oil with anything other than Dollars.  Our Federal Government also has a say in what that country does within the confines of that country's own central bank.  Capital market interest rate decisions are controlled by our government.  US treasuries, bonds, and bills become forced purchases as that country needs dollars to purchase energy for its people.  The entire market value of that country's currency is dictated by the edicts our Federal Government and is part of the agreement in having our bases in their borders.  This is one point of great contention for many citizens of those countries and is one point that creates much anger and resentment towards the United States. This anger is directly related to our military presence and corresponding agreements. 

For an example of this resentment, one only needs to look at the demonstrations by the citizen's of Japan, as well as the new party that has entered into Japan's political realm.  The Democratic Party of Japan was recently elected into office by a vote of the people.  The main plank of the Democratic Party of Japan's political stage was specifically to move the US Military's Futenma base off of Okinawa.  Not just off this island of Japan, but out of the country.  The people voted this party into leadership of the country.  It has widely been reported that US officials pressured the Japanese government to break its election pledge, warning the Japanese government of "serious consequences" if it did move the US Military's Futenma base off of Okinawa.  Robert Gates has been described as a bully in this entire process by the newly elected party. 

Also, keep in mind that Japan has had a decade long, protracted recession that is commonly referred to as the "lost decade".  Much of this lost decade has been directly linked to artificially low interest rates as dictated by the central Bank of Japan, who has in turn been buying massive amounts of US debt.  Just two weeks ago there were questions as to whether China or Japan currently holds more US Dollar debt-denominated assets (aka debt).  After a recent reserve evaluation by the Chinese it was found that China is still edged out the number one spot. 

No government has any revenue unless it takes from the people or pulls the money through tariffs in trade or usury fees.  Consequently, the amount of US debt holdings is crucial to the health of that country's economy.  All public generated funds taken by the government and spent on the holding of US debt is money that is allocated out of that economy and into the funding of the US Federal Government's profligate ways.  This creates yet another point of contention for the people that are on the receiving end of Federal Government edicts mandated by our military base agreements. 

Of course, the example of Japan is but one country.  The foreign policy of our Federal Government requires the presence of US military personnel in 156 countries.  The Federal government also requires fully-staffed and operational US Military bases in 63 countries and with the military base comes the stipulations put on the central banks and the currency of that country.  Brand new military bases have been built since September 11, 2001 in seven countries.  In total, there are 255,065 US military personnel deployed worldwide and that amount is increasing on a regular basis. 2005 official Pentagon data states that the US owns a total of 737 bases in foreign lands. Adding to the bases inside U.S. territory, the total land area occupied by US military bases domestically within the US and internationally is of the order of 2,202,735 hectares, which makes the Pentagon one of the largest landowners worldwide.  All of this comes at a cost of over $1 Trillion a year and much of it remains off-budget from our official books. 

Again any government can only fund their expenditures through one of two ways, borrowing or taxing.  If it taxes the people directly, those efforts effectively take money directly out of the economy to support the government and its required personnel and infrastructure for that spending.  The United States government now has a bill that has been tabulated by increased social welfare, medical, and retirement promises to the tune of nearly $100 Trillion.  We also have Republican led and Democrat supported corporate welfare program directed to the political fundraisers of Capital Hill, known as the banks and Wall Street, to the tune of $23.7 Trillion.  Beyond that, our government has current war operations that are not even counted on the budget in regards to the national deficit.  $123.7 TRILLION of unfunded liabilities and that doesn't even include the current wars. 

Something is going to give and unfortunately, as history shows, it will be anyone that has saved any money. 

There are three arguments coming from the political right in regards to us fighting wars in other countries or having a military presence in other countries.  The first argument is that our military endeavors are for our country's national defense. The second is that we are promoting democracy and the final and most recent is that our military endeavors are protecting us from terrorism. 

Going back to the example of Japan, we can easily see that the goal of our military presence there does not include promoting democracy.  The people have spoken, but our military has threatened devastating consequences to Japan if the will of the people is followed. I don't believe any of the terrorists that flew into the World Trade Center were of Japanese origin nor was Japan the country supporting the training of those groups, so that takes away the argument of protecting us from terrorism.  We are left the final argument of protecting our national defense.  Japan has not threatened our country, nor has the people of Japan.  The 16 agencies dedicated to our national defense (NSA, DHS, FBI, CIA, etc.) have not reported Japan as a threat to America either.  The argument for our military presence is Japan is not supported by any logic, yet this logic is used to the argument supporting the military presence in this country and our other 737 bases throughout the world.

There is one argument that the right uses, as a last ditch effort, to justify our military might in other countries and it because we kicked their ass in WWII.  In fact, the US's current dollar hegemony around world is linked directly to this military victory.  WWII is the only possible reason why we could possibly still be there in Japan.  If our military dropping two nuclear bombs on a country now affords us the luxury of voting down their democracy, we are going to create many more enemies than the terrorists currently present. 

The example of Japan has also been playing out in other countries.  Italy's people have spoken democratically that they wish for our bases to leave and those efforts have been met with stiff US opposition. 

This leads into the current item of contention with Iran and the United States.  Iran is one country that does not have a US military base in its borders.  Iran is trying to trade their oil for currencies other than the dollar and they are pursuing nuclear technology according to the Non-Proliferation treaty they signed into.  The US, however, is calling for more sanctions and possible military action.  The last oil-rich country to attempt to trade in a currency other than dollars for their oil was Iraq.  I think non-dependence on the dollar has more to do with our military saber rattling in Iran than does their uranium enrichment activities. 

Iran is another glaring hypocrisy in the Federal Government's foreign policy.  Why is it that the right wishes to bomb the hell out of a country based upon its possible nuclear armament?  Why is the Federal Government's policy to allow for the citizens of Iran to be harmed by economic sanctions or the threat of war, but at the same time ignoring the fact that Israel has not been following the same nuclear non-proliferation treaty we hold Iran to?  Israel refuses to sign onto that same non-proliferation treaty and Capital hill is reluctant to force them to do so.  Israel will not allow inspectors to see any nuclear ambitions  and weapons that have been documented to be ongoing by Israel.  We send them tens of billions in aid and weapons, which has been documented as used against the Muslims in Palestine. 

Osama bin Laden stated that our support for Israel was one of the main motivators in him directing the attack of the United States.  Former CIA Bin Laden Unit Director, Michael Scheuer, has continually testified that our unbridled, hypocritical support for Israel is one of the primary motivators for the September 11 attacks.  The current motivators for another attack are also said to hinge on our military conquests in additional Muslim lands (Iran, Pakistan, and Afghanistan).  Scheuer also states that our former efforts to support and fund Bin Laden lead to the radicalization of Islam, which is now the heart of terrorism.  We funded Bin Laden and his "freedom fighters" in Afghanistan's war against the Russians invasion.  Yet we now fight the Afghanis as the United States' convoluted support has once again blown up in our face. 

Holding Iran to UN resolutions and the non-proliferation treaty, but not holding Israel to those same standards, shows that the argument for why we should go to war with Iran is invalid.  It has nothing to do with terrorism, our national security, or our freedoms.  According to the government's own signed multi-lateral agreements regarding nuclear activities, any country that violates that treaty is supposed to be economically sanctioned and locked off from all US Federal Government aid, trade, or economic entangling. Additionally, we expect all countries that house our military bases to follow that same protocol.  We are holding Iran economically accountable for standards they are actually meeting, yet Israel follows none of the requirements that Iran is forced to follow and we shower Israel with our guns and butter.  Iran is instead showered with sanctions and threats of war.  It's a glaring hypocrisy that shouldn't be overlooked and is one that creates more hatred and motivations for another attack on our soil. 

Remember too my earlier example of Japan and our bases there.  We are there because of our winning of WWII.  The Japanese military didn't attack the US in Pearl Harbor until the US attacked Japan financially through sanctions and trade restrictions.   We cut off their gasoline, energy, and food.  Just imagine what the response from the people would be if we no longer has gasoline, energy, or food as an available resource.  You want to see panic ensue, there is your recipe. 

According to the United States, sanctions are being forced and encouraged on a country that has allowed nuclear inspectors to come in and look over uranium enrichment, as well as its nuclear facilities.  We are restricting gasoline and food trade with Iran by any country that currently harbors one of our military bases.  The people are hurt by these programs and not the obviously extreme Iranian government. 

The International Atomic Energy Agency has found no credible evidence to suggest Iran is building a nuclear bomb and our other 16 federally mandated national security agencies confirm these reports by the IAEA.  The American Government is removing any trade with a country that has offered to have the uranium enriched elsewhere and allow for the process to be out of their control, so that they can go after their stated goal of energy consumption.  What's even more illogical is that our Federal Government is claming that Iran could possibly build a bomb, even though Iran has light-water nuclear enrichment technology provided by the Russians.  The Bush and Clinton Administrations helped to fund the delivering of light-water nuclear technology to North Korea and claimed that technology couldn't produce the nuclear enrichment needed for a nuclear bomb.  Which one is it?  Who is our enemy again?

In fact, our government's requirements for freedom and safety seem to require funding many countries with massive amounts of weapons. The US Federal Government is currently funding the same counties that harbor the same exact tendencies as the countries we are now fighting.  Some of the top recipients of our military weaponry are Islamic theocratic, military regimes or were once formerly so.  The U.S. government-to-government arms sales rose 4.7 percent to a record $38.1 billion last year, and are expected to total almost as much in 2010 according to the Pentagon agency that administers arm sales.  The top buyers in fiscal 2009 were the UAE ($7.9bn), Afghanistan ($5.4bn) and Saudi Arabia ($3.3bn), followed by Taiwan ($3.2bn), Egypt ($2.1bn), and Iraq ($1.6bn).  NATO  ($924.5m) rounds out the bottom of this list, whose agreements we more often follow to go into war rather than our own Constitution. 

My question is are we fighting the Muslims or funding them?  It's hard to tell with the US.  In fact, we are now back to funding the Taliban in Afghanistan, as we once did back during another confrontation between Saddam and the Shia.  If one looks at all of the problem countries we have that hate our "freedom", much of it is directly related to the constant interference by the Federal government in that country's affairs. 

We invaded Iraq, a regime the US once supported and trained in their fight against Iran, because they jumped into Saudi Arabia for oil.  Our government is willing to switch support from Iraq to the Saudis in the Gulf War and Desert Storm, but the Saudis are not anywhere close to being a democracy.  Are we fighting against terrorism, for our freedom, or for democracy there in Saudi Arabia?  This is all insane and it is breaking the financial back of the country. 

All of these military encounters require funding and the government cannot produce value, they can only take it.  They can either steal it from the people in the form of direct taxation or through devaluing the dollar or borrowing, just as would be required for the socialist agenda.  Either way, the spending required for our current military and social obligations exceed the entire GDP our country.  In order to fund these promises, the US Government could literally take every dollar that every working American makes and there would still be enough to pay for the current, and what seem to be guaranteed  future, military and social conquests of our government. 

Right now the confiscation is through income and social security taxes based on the government's need for revenues for war and socialism respectively are already bad enough.  Economic and personal freedom of the people is greatly intertwined with how much its government spends, so the calls for limited government being espoused by mainstream Republicans, against the Democrats, cannot co-exist with the current military adventures of our country. 

The whole idea that these wars are being fought for the freedom of Americans is nonsense.  We fight for our freedom, while at the same time our freedoms are being taken away.  The Patriot Act, recently renewed with the vote of Stephen LaTourette and originally put forth because of terrorism, requires every financial transaction conducted by every person in the United States to be documented and recorded with the Federal Government. No permission is needed form the courts or from the people.  It also allows for every phone conversation and email conversation to be monitored by the Federal government without the approval of courts or the people.  Regardless of the whole "if you are doing nothing wrong you have nothing to hide" rhetoric I hear in defense of these actions, our Fourth Amendment rights were absolutely trampled.  The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause, supported by Oath or affirmation, and particularly describing the place to be searched, and the persons or things to be seized.  This is a cornerstone to freedom and it was taken away so they could fight in another country for our freedom.  It seems to be another glaring hypocrisy. 

Our freedom to travel without being searched has disappeared and naked body scanners are taking their place.  This flies in the face of "Us fighting the terrorist for our freedom because they hate the fact that we are free" argument.  Then again, this is just another constitutional usurpation by the Federal Government like these undeclared wars, direct unapportioned taxes on the labor of the people, and the confiscation of the wealth of the people for the corporate welfare of the politically well-connected.  The list goes on and on as detailed in the Articles of Freedom I passed to you some months back.  If one supports the usurpation of the Federal government on one piece of the Constitution, the rest goes with it.  The Bill of Rights was the base of our freedom and it has been ignored.  How can one hate us for being free with that freedom which has been undermined?

Since there is literally not enough wealth that can be extracted through direct taxation and with our credit card about to be cut up by the Chinese, the government has to result to their older playbook of confiscating savings.  They not only do this through devaluation of the dollar, but by confiscating savings that were offered up through tax deferment by the Federal Government.  Money market accounts now have a federally mandated withdrawal restriction as it relates to any declared financial emergency.  Keep in mind that technically we are still in a financial emergency as declared through George W. Bush.  All of this has been mandated by the SEC and the people had no choice in this matter.  The Department of Labor and the Treasury are also seeing how they can get people to defer their 401(k) and IRA accounts into government debt buying annuities. 

The Federal government confiscated the people's wealth back in 1933 while making it illegal to hold gold.  Gold was Constitutional money at that time.  After the gold was confiscated, gold was revalued from $20 an ounce to $35 an ounce as the government paper promises extended for war and socialism were not promises that could be fulfilled or funded with the financial arrangements in place.  The Federal government again devalued the dollar and American's savings with the breaking of the gold backing of the dollar in 1971 with Nixon.  This was required for the funding of the Vietnam War and the socialized expansions that were mandated and unaffordable.  Our current government's military empire and socialized liabilities far exceed that of the past indiscretions that came due in 1933 and 1971, even adjusted for inflation, and government is coming guns blazing for our savings to pay for military and social programs.  That is why I left the stock market and bought gold.  That is I why there is no reason to save outside of 6 months worth of current expenses.  It is impossible to calculate the worth of the dollar 10 years from now, let alone more than 6 months from now.   

But let's put those facts and history behind us and even embrace the argument that we are fighting for our freedom over there.  Let's go with the conservative viewpoint and assume that the military adventures are required spending.  Can't we go through a congressional declaration of war so that the people have a say?  That is one of the required previsions of this democratic republic we live in.  How about even having Congress appropriate every penny of these wars and military bases as required by the Constitution and place them on our budget? 

What we have now is a government that calculates costs off-budget and one that depends on funding of our military adventures through the Federal Reserve.  The fact that they have to hide the costs shows that our military adventures are unaffordable.  Never mind the fraud of Blackwater, Haliburton, and other military contractors that now have replaced our volunteer Army in many areas including Iraq and Afghanistan.  The politically connected military contractors are getting paid twice as much as our military personnel and we have begun to see the politically well-connected profit at the expense of our constant wars.  On September 10, 2001 Donald Rumsfeld announced that the military had misplaced over a trillion dollars in our military efforts and it was swiftly swept under the rug after the terrorists attacked NYC. 

As we recently observed George Washington's birthday/President's Day, it would be appropriate to read or reread his Farewell Address and pay close attention to the parts that emphasize the importance of the Constitution's system of checks and balances, the dangers of political parties, support of a balanced budget, guarding against the impostures of pretended patriotism, avoidance of permanent foreign alliances, and promotion of free trade.

"Observe good faith and justice towards all nations; cultivate peace and harmony with all... So likewise, a passionate attachment of one nation for another produces a variety of evils. Sympathy for the favorite nation, facilitating the illusion of an imaginary common interest in cases where no real common interest exists, and infusing into one the enmities of the other, betrays the former into a participation in the quarrels and wars of the latter without adequate inducement or justification." -George Washington

Tim Gandee  

----- Original Message -----

To: Tim Gandee

From: Bob

Sent: 3/7/2010 9:47:56 AM

Subject: RE: Ron Paul

Tim, 

      Very well. I want to finish the book (Ron Paul Revolution Manifesto) before I make any comments/observations.

Bob

From: Tim Gandee
Sent: Sun 3/7/2010 9:01 AM
To: Bob
Subject: RE: Ron Paul

No anger here.  I was merely saying that I would like the discussion to be civil as well.

--
Sent from my Helio Ocean

-----Original Message-----

Tim,

       I never made a verbal attack on your character. I did say that you were lacking knowledge in some area's. I hope we can move forward without anger.

Dad

________________________________

From: Tim Gandee
Sent: Sat 3/6/2010 11:02 AM
To: Bob

Subject: RE: Ron Paul



Sure thing.  I know my irish blood gets boiling when honest discussions are turned into verbal attacks on one's character or knowledge.  It accomplishes nothing and gets in the way of a good father son relationship.  No work hours of course.

--
Sent from my Helio Ocean

-----Original Message-----

Tim,

     In the past we have "butted heads" over Ron Pauls views on foreign policy. As I read his book I see how persuasive he is and can understand how you have embraced his ideals. However, I see some things that I would like to point out to you without getting into a heated and emotional discussion. Therefore, I propose the following; let's engage in a civilized email discussion about some of his points. I think it would be healthy for both of us not to ignore the others views. What say you?

Dad

Posted 03/08/10 landlease Sandusky, OH

Tim, your conversation with your father is most timely with one I am having with a tea party group of which I am a member. Given that my situation is reversed in that I of the age of your father maybe older, I, too want to keep the discussion civil. I am looking forward to the responses of your father as they will be most helpful to the discussion in which I am engaged.

Posted by Timothy Gandee on 03/02/10

Are you still listening to your broker or 401(k)/IRA money managers? Do you still take Jim Cramer's stock suggestions on CNBC as sound investment advice? Have you done any research on what stocks these 401(k) and IRA plans are buying for your "retirement"? What about the stocks you currently own?

For banking products, did you know that on January 27 of this year the SEC implemented new rules on Money Market Accounts that restrict withdrawals? Were you aware that the U.S. Treasury and Labor Departments will ask for public comment as soon as next week on ways to promote the conversion of 401(k) savings and Individual Retirement Accounts into fraudulent government debt backed annuities? Has your money manager brought any of these items to your attention?

Here are some facts you should consider before you keep paying into this ponzi scheme of paper wealth. The total market cap of US stocks has been pushed up $6+ trillion since mid-March and the traditional investors are not a part of this increase of the market. According to TrimTabs Investment Research, ZeroHedge financial analysts, and financial analyst Max Keiser - Corporate America has been a huge net seller of equities. Their shotgun selling of shares has grown to $133 billion worth of shares sold since the start of April and coincides with large-scale insider selling from executives.

Retail investors have hardly bought any U.S. equities. U.S. equity funds and ETFs have received just $17 billion since the start of April from retail investors. Many doubt retail investors were big direct purchases of equities and this can be confirmed by international mutual fund changes. International mutual fund increases over the past 12 months were directly related to US domestic retail investors, so it is pretty clear where US retail investors have headed with their money. Market volatility in this decade for equities has been the highest since the 1930s, and there is no evidence of retail investors piling into individual stocks. No amount of cute commercials with babies trading stocks online will change that any time soon. Also, retail investor sentiment has been mostly neutral since the rally began.

Foreign investors have provided some buying power purchasing $109 billion in U.S. stocks from April through October, but foreign purchases slowed in November and December because the U.S. dollar was weakening. Weakening of course being a relative term as all currencies are sinking and most all fiat currencies are based on the fiat currency of the Dollar.

There is no way to track what hedge funds do real time and they may well have shifted some assets into U.S. equities, but that amount pales in comparison to the increase of $6+ trillion in the market experienced so far. Their buying power has to be small because they posted sales of equities amounting $12 billion from April through November. All the evidence indicates that pension funds have not shifted heavily into equities and have not moved more than about $100 billion from bonds and cash into U.S. equities since the rally began, according to TrimTabs. If they are not buying, then who the hell is? I know I am not.

From a technical standpoint, price/earnings ratios for most US equities are trading at multiples substantially higher than actual profits. The only profits many companies listed on the US exchanges have are directly because of massive operational cost cuts and accounting changes that skew reality of these financially insolvent companies. The manufacturing surge that was experienced over the last few months was primarily because of inventory replenishment, so don't expect much more from manufacturing as a whole. The government owns some of the biggest money losers in our economy (GM, Fannie, Freddie, etc.) and we the people will be responsible for all appropriate loses while they remain on tax-funded life-support.

Accounting rules have changed for financial institutions, so now insolvent banks can list off-budget liabilities as assets. Any true assets held are inflated, as government support is the only reason that many of these assets are even performing. Their share prices don't reflect reality by any stretch and could simply be considered fraudulent insanity. The proven captive regulators that turn blind eyes to this fraud are skewing the entire financial picture of publicly traded companies. Who could investigate equities with any sound financial analysis and true due diligence if the entire financial picture is not being accurately represented because of accounting changes?

Much evidence supports the fact that the stock market is overtly being manipulated and supported in volume and price by algorithm based high frequency trading. The whole system rests on a festering pile of synthetic debt-based derivatives. $70 trillion in derivatives are left to unwind from the heydays of banker fraud over the Bush administration and much of the money these banks stole during the 2008 Congressional extortion have been used to create more synthetic debt instruments over the current Obama administration. These wretched piles of financial stench will again require more funds from the people of the US, as evident through the new stimulus and jobs plans being pushed out by Congress and the President.

Throwing money at these equity scams is a practice of ignorance and blind faith in your money managers or financial talking heads on TV. Your blindly trusted money managers could not have possibly fully understood the financial situations of these companies, as these companies don't have to play by the same rules of reality regarding their insolvency.

Even if the US equity market reflected some sort of sanity or true reality more financial bombs are set to detonate. We have the current Alt-A and Option Only home mortgage market resetting at a pace and dollar volume beyond what we experienced in sub prime. The Federal Reserve is supposed to stop its purchasing of mortgage backed securities this month, just $45 Billion left to spend, and their balance sheet has ballooned to $2.27 Trillion. Many homeowners owe significantly more than their house is worth and realize they will never recoup their investments. Strategic mortgage default is becoming as common a buzzword as IPO used to be. Banks are also sitting on millions of foreclosed homes, as they don't want to flood the market and risk having to mark to market their non-performing loans again. Investing in a house is a misnomer indeed based on these facts alone, unless of course investing means losing each mortgage payment made.

Along with the mortgage backed securities' bomb fuse being lit, commercial real estate is cranking up the defaults as many of these loans were extended to entities that relied on constant and frivolous debt-fueled binge spending for them to be viable entities. Wall Street has created derivatives to hedge their bet against eventual default of commercial and home mortgage backed securities, as well as derivatives tied to unsecured credit card debt, signature loans, student loans, and every other debt out there in the system. They have insurance on the losses they know will be incurred. Do you?

True U6 unemployment is over 17% and layoffs are not slowing down. Emergency unemployment claims, those who go beyond the States currently bankrupt unemployment funds, are skyrocketing and the window to file for extended unemployment benefits has just been closed down for the time being. This will increase the number of foreclosures substantially and destroy any leftover mortgage equity for the few that can and do hold onto their home. Fannie and Freddie just stated over the weekend that they will not prop up...I mean buy interest only mortgage backed securities, so the government knows its coming. Do you know it's coming? Are you still buying equities or saving your money with the government or with banks?

The entire paper money/stock system that we are forced to rely upon in the US is showing itself as the ponzi scheme that it is and a currency crises seems eminent if the current actions of the market and government keep going in the trend that they are. Hundreds of banks are insolvent as is the FDIC. The off-budget cost for our current wars, $1 Trillion a year for 700 military bases throughout the world, upcoming unfunded liabilities for Medicare and Social Security, and $23.7 Trillion in money/credit/guarantees for the Wall Street banks put our government liabilities at well over $100Trillion. All the while, Congress and the President are finding new and ingenious ways to promise more for the people in one hand, while taking the savings of those the people with the other. The path of our country is unsustainable as is the overall fractional reserve nature of banking and debt. In fact, the entire domestic equity market seems to be following that same path of insolvency and eventual decline. So I ask again politely, are you still buying US stocks? Still "saving" money in a bank? Still buying Government Bonds? Really?

There is an option available to retain whatever wealth you have left over from the recent pillaging of the Congress, Wall Street, and the President. The stock junkies that keep pushing for your excess reserves to be stuffed in stocks don't want you to know about it as it takes away their ability to get as many transaction fees as they can. It's gold. Remember the thing that used to back the US Dollar?

China is buying gold along with encouraging their citizens to purchase. India is buying gold and central banks have shifted to buying gold as opposed to selling. The OPEC nations want to fund oil transactions in currencies other than US Federal Reserve Notes and the IMF is calling for a new world reserve currency. Europe is a mess with Greece and as the Euro is being threatened as Portugal, Italy, Ireland, and Spain are also in the same mess as Greece. Iceland is fighting the bankers and Dubai is still a festering mess of debt as well.

Currencies of the world are backed by the Dollar. The Dollar is backed by government debt and nothing more. No more gold. This cannot continue and the other central banks of the world realize this. They are shifting from being net sellers of gold to net purchasers of gold. The Dollar will end and actually has as a matter of fact. We are watching it happen before our eyes. The post 1971 Nixon irredeemable Bretton Woods Dollar world reserve currency system has collapsed. Does your money manager know this? Is he/she still pushing your life earnings into dollar denominated assets?

I don't have any money in the stock market, I have no dollars in any saving accounts at any banks as manipulated and artificial interest rates by the Federal Reserve discourage any incentive to save. Returns for saving with CDs or savings account do not keep up with inflation, so "saving" money in those instruments is not saving at all. I use my Federal Reserve Notes for regular transactions through my checking account and focus on a cash only basis when possible, but the evidence is indicative of the government decreed fiat/paper money system in its death throes. It's just a question of how long it takes for something else to take its place and what specifically will take its place.

Further evidence that gold is the path to travel is shown by looking at the Dow priced in gold. The Dow is about is about 9 ounces of gold now and the Dow has been declining in value, when compared to gold, since 2000. The period of 2000 to today coincides with gold's current bull run. The Dow is trending lower against gold and looks as if it will trade at one ounce of gold here in the future. How far in the future and what that dollar amount will be is of anyone's guess. I will buy physical gold over paper shares of stock or paper dollars any day.

I was never a gold bug, I would have been considered a paper bug as I relied on the advice of my employer's money managers. In fact, I never paid attention to much of anything going around me unless it involved the bread and circuses that America offers. I base the purchase of gold on a fundamental understanding that Wall Street cannot produce more gold and Washington cannot print it. Realize that it has only been since 1971 where all currencies were based on nothing other the US Dollar and the Dollar being based on nothing but debt. Prior to this past 39 years gold was considered money for over 5,000 years.

Technically speaking, from a trading perspective, bullion has had its appropriate retrenchment according to the Fibonacci rule. Traders say that the trend is your friend and gold is trending higher when compared to paper around the world. Gold has been in a bull market trend since 2000, so the trading pattern suggests we will see a significant up tick in gold's current bull run to maybe $1,500 this year or next.

Fundamentally and technically, stocks are not worth one's time and money unless one has good inside information and front-running ability in trading. If you are working in anything other than financial services, chances are you don't have any inside information and can't front run the market like Goldman Sachs can. Gold, on the other hand, seems technically poised to break out to the upside. Fundamentally speaking gold has more buyers now chasing a limited supply (limited when compared to US Dollars). Add to that the fact that gold seems to respond well to economic instability and fear. Whether a deflationary environment or an inflationary environment gold has done historically well. Much argument exists whether we are in an inflationary or deflationary environment, but that just seems to add to gold's attractiveness.

I might be spot on or insane; it really is hard to tell when you compare these facts with the drivel coming out of mainstream financial programs and print. The fact of the matter is that I wish I didn't take the time to try and figure out what is really going on out there. It consumes me from time-to-time and I find I cannot enjoy the musings of the bread and circuses anymore. My American Dream has disappeared and the lies of the propaganda are revealing themselves to me. These same bread and circuses seem to temper the rest around me and that just causes me anguish, as I know those living the American paper dream are being punished for their ignorance. Part of me laughs as those same people seem me as nuts and believe I have no grasp of reality. I guess it is all a matter of perspective as I am indeed nuts when compared to the prevailing knowledge. I just see the world much differently than I ever did before and it seems as if the rest around me in my neck of the woods are oblivious to the fact that we are just in the eye of the storm. Based on what I understand I am not buying stocks, I am buying physical gold. Are you still buying stocks? Really?

Don't take this at face value; investigate the facts above for yourself. I would highly recommend watching this interview with a financial analyst I follow pretty regularly. This will open your eyes wide - [link edited for length]. I challenge you to look at the facts presented before you. Ask you financial manager about the first two paragraphs alone. If they are unaware of any of this, I would highly recommend reconsidering why you invest where you do.

Posted by Timothy Gandee on 06/30/09

Financial Service Committee to Have Hearing on the Role of the Federal Reserve July 9

I called into Congressman Frank's office today to find out if a hearing will be had on HR 1207 and was instructed to contact the Financial Service Committee. Upon calling them, I asked if a hearing on HR 1207 would be coming up anytime soon. Her statement was that the committee would be having a hearing on the role of the Federal Reserve July 9, but not for the bill. How can this be?

I asked if this bill would be covered in the context of this meeting and she said that perhaps it would. This is the typical Washington shuffle. Talk about the bill but don't address it.

Congressman Frank promised to have a hearing for this bill, but no movement. Forget calling Frank. Let's call the Committee responsible for hearing the bill. Time for us to turn on the heat.

The Committee is a great place to call to start telling them that a hearing of this bill should be scheduled and the People are demanding it.

They can be reached at 202-225-4247. Please call today and politely ask for a hearing of HR 1207 to be scheduled.

Posted 06/30/09 TDawg2002 Savannah, GA

Here is the full contact info from the website: House Financial Services Committee Democratic Staff 2129 Rayburn House Office Building Phone: (202) 225–4247 There is also an email submission form at: http://financialservices.house.gov/contact.html

Posted 06/30/09 Timothy Gandee Perry, OH

Thanks TDawg

Posted by Timothy Gandee on 06/24/09

I have been working on a letter that I plan on sending to my Congressman, Stephen LaTourette, as well as his Legislative Assistant, Press Secretary, Chief-of-Staff, other staff members, and to the editors of my local papers. Perhaps you also may find this letter helpful in calling into question the actions of your representative in Congress.

Asking a thief to stop stealing from you, after that thief has broken into your house, might not get you the desired results, but I am a fan of at least letting our representatives know that someone is watching them.

Congressman (Insert Name),

Upon observing your recent vote for the resolution expressing support for all Iranian citizens who embrace the values of freedom, human rights, civil liberties, and rule of law, I cannot help but remember not hearing anything from you supporting the protestors of the Democrat and Republican National Conventions this past Presidential election year. In fact, protestors of these conventions were also beaten, corralled, and tear gassed. These protestors in the United States were also arrested under terrorism charges thanks to the Patriot Act for which you also supported with a yes vote. Unfortunately, Congressman (Insert Name), you did nothing to help ward off the infringements of the civil liberties of the People in our own country. I wonder if others in our district also see the blatant hypocrisy in your recent actions as I do.

Why you would support the political endeavors of a country previously labeled as the Axis of Evil in a far away land but not the People you are to represent is sheer and utter madness. To quote the late President George Washington, "The great rule of conduct for us, in regard to foreign relations, is..to have with them as little political connection as possible. It is our true policy to steer clear of permanent alliances with any portion of the foreign world." Obviously this quote has been lost in regards to your actions on this Iran resolution, as well as the voting history you have shown in supporting needless wars of aggression, the Patriot Act, FISA, and other Constitutional usurpations.

The hypocrisy has been shown in many of your other votes, yet you continually get elected over and over again. Apparently you have successfully pulled the wool over the eyes of your constituents, but I am not one of the blind. For instance, you had no problem arguing against the bailouts, stimulus plans, and other monetary policies proposed by both the Bush Administration and the Obama Administration on the basis of the bankruptcy of our country's coffers (which I agree with you on), yet this logic does not have a leg in your stand for continued war spending and authorizations of our American empire throughout the world. To quote the Department of Defense, "The United States military is currently deployed to more locations than it has been throughout history." In fact, 737 bases in over 130+ countries out of the 190+ in the world now comprise our permanent alliances with other portions of the foreign world. We are being brought to our knees with the devaluation of our currency for corporate welfare (which you do not support) and worldwide warfare (which you do support).

Your arguments against the stimulus/bailout plans are completely missing with your votes in supporting the $1 Trillion annual warfare programs that have also been instrumental in bringing our country to the financial catastrophe where we stand today. While you state our country is broke and could not afford misguided economic policies of corporate welfare, you apparently see no economic folly attributed to the military-industrial complex funding for continued wars of aggression in Iraq, Pakistan, Afghanistan, as well as the other 130+ countries we now occupy.

It is obvious that many of the people in your district are still asleep and trying to rouse them from their slumber has been futile at best. This is the only reason I believe you continued to be reelected. There is a great statement from Cornel West where he says, "No individual can save a nation. If a nation is sleepwalking and doesn't wake up, then it will never be saved." I happen to be awake. I have planted as many seeds of true Constitutionally limited government throughout our district and perhaps one day those seeds of liberty will sprout. Until then, I can only stand back and watch some of your actions with complete disbelief and sadness.

Please do your constituents a favor and begin referring to the United States Constitution for direction on all future voting. Congressman (Insert Name), I plan and continuing my march to point out your blatant hypocrisy until you are out of office or change your ways. You have not been faithfully representing the People of your district and your oath to the Constitution. It is completely evident in your support for civil liberties in Iran, but not supporting the People of the United States of America. Thankfully, our great state of (Insert State) is working on separating the power of the Federal Government from our State with a 10th Amendment resolution. If you will not listen to the People, perhaps our State will.


In Liberty,

(Insert Your Name)

Until then, I will fight the state of affairs in our country with all I have got.

Posted 06/24/09 Gabe McGranahan Kent, OH

very nice!