The Market Voted (F---)

I watched Tim Geithner today and all I could think of was Alex P Keaton…
A young ideologue leading the economy to ruin. He inspired zero “confidence”.
I can’t wait to watch Jon Stewart tonight…

Everybody knows that the banks are insolvent. Even the lightweights on CNBC are admitting it.
So the market asked the obvious question today – If everybody knows that the banks are insolvent, then why aren’t the regulators doing anything about it? The FDIC should step in immediately and start protecting depositors against failing institutions.

Obama is 300 Dow points away from being a lame duck. Incredible. I supported the guy, knowing that he was probably an empty suit. But man, it didn’t take long to expose him, did it?

Geithner is Paulson Version 2.0
Today he called for the Fed to loan the NY Fed $100 billion, so that the NY Fed can lever up the money 10 to 1 and buy $1 trillion in stuff nobody wants, with money we don’t have and at prices nobody is willing to pay.

Does that make sense to anybody? Paulson spoke of this as a potential plan in the weeks before Bush left office. Geithner is all about stealing from the taxpayer to bail out the shareholder. I knew this would happen when he was nominated. I hope that Volcker is in the White House reading Obama the riot act right now!

Who Will Resign First?
Geithner, Summers or Bernanke

One More Thing
If I want to attack the US, I do it right now. I do it while the public has zero faith in its leaders. That would maximize the impact of the attack on the psyche of the public and magnify the economic damage done by the attack.