Truth do tell:
FACTBOX - Dow has worst October 19 since 1987 crash(also see next posted item!!)
Down 367 Points
DOW 300 POINTS COLLAPSE
PAULSON'S US$100 BILLION BANK CONSORTIUM
RESCUE EFFORTS TO SAVE BANKS
REVEALS TOTAL BANKRUPTCY OF FINANCIAL POLICIES
Recap of Past Events
The recent temporary rally of the Dow (as forecasted by me continued ups and downs, but overall trend down as stated in previous Red Alerts) to an all time high (exceeding July 14,000 points) last week, had many people confused, especially the greedy ones and those in state of denial.
Some people went plunging into the stock market, to catch the rally and got burnt again. These people never learn and they deserve the trashing and I have no, absolutely no pity for such fools. It is like playing a poker game with the cards stacked against the stooge. The game at the global casinos was rigged from the word go.
If these people had examined critically, even for five minutes, the current state of affairs, it would have been apparent to them, that Bernanke's sell out to Wall Street was a stop gap measure to calm the markets and create a state of illusion. But it did not work for the simple reason that one cannot simply revive, on a permanent basis, a hopelessly terminally ill patient, when all its organs are failing rapidly, save the ventilator maintaining the last few breaths.
The final clue that the global banking collapse is speeding down the one way street without any driver in control was the announcement by Paulson, the Treasury Secretary and the three big banks, JP Morgan Chase, CITI Group and Bank of America to set up a US$100 billion fund to mop up the toilet paper commercial paper market (i.e. to buy the structured vehicles' toilet paper assets).
The global security fraud is now beyond redemption what this means is that "investors" are not buying these commercial papers supposedly backed by securities, as their values are dubious. To avoid pubic auction of these toilet paper assets and then finding no buyers (i.e. finally being exposed that they are totally worthless), Paulson and these big banks are trying to buy these papers to avoid such a public exposure and in the hope that when things have "settled and there is no more panic" to unload them again to some other idiots. After all a fool is born every other day!
But their very act of setting the fund, have shown their scheme for what it is. The whole world is shouting. "The Emperor has no clothes!" I was shouting and shouting. Few heard my screams and saved their life savings.
This is the critical implication. Hence, the dramatic collapse of the Dow.
The End is Near
The rate cut of a hefty 50 basis points on 18th September 2007 by the Fed was a diversionary tactic and to buy time for the Banks to come up with another fraudulent scheme to hoodwink the self deluding public that all was well. It worked for barely three weeks and then lost all steam!
The dollar has plunged again a massive 300 points. Gold has soared. Crude is heading for the US100 target by year end. Foreign funds (especially Sovereign Funds) are ditching US dollar assets. Long term bond yields are rising in tandem.
Literally, blood will flow in the streets in major cities of USA and UK in the not too distant future, when the full impact of the collapse hits every aspect of the economy and Joe six packs finally realises that Bush, Cheney, the neo-cons and the bastards controlling the City of London have taken them for a ride and robbed them of their pensions and future.
The policy of control chaos will be implemented and we will witness in major cities of the USA, UK and Europe of street battles, orchestrated by the Intelligence Services, between the white folks and the immigrant population. In the USA, it will be against the Latinos and then the blacks (after they realised that the Jewish community has abandoned them). In the UK and in Europe, it will be against mainly immigrants from Turkey, the Northern Mediterranean states and Pakistan and they are essentially Muslims. There is therefore, the added fuel of Islamic radicalism, which in the first place, was the creation of the Western intelligence services.
These immigrants (cannon folders for the continuing war on terrorism) will be blamed for the woes that afflict the white population. The big banks and the 1% rich have all disappeared with their mistresses and bunnies in some island resort and have engaged mercenaries like Blackwater to guard whatever real estate that need to be protected from the marauding crowds. The Katrina rehearsals have prepared such private armies to do their dirty work. They have their work cut out for them.
It will be ugly.
In the Middle East, the Western intelligence Services will ensure Muslims will slaughter fellow Muslims, as otherwise, only the West will be suffering from the consequences of the financial tsunami.
The Inevitable War
The G7 countries will give their consent and support Cheney's mad adventure in the Middle East as their only solution to the mess which they have created.
I see no other scenario. How I wish I am wrong. But I doubt it. Events following every previous Red ALERTS have come to pass.
I am no soothsayer. But applying common sense, we must be realists and prepare our people and our family for the coming wars and prepare to take part in the Global Resistance, in whatever way and means at our disposal.
Take care and God bless you all.
20TH OCTOBER 2007
Matthias Chang, a Barrister, was Political Adviser to Tun Dr. Mahathir bin Mohamad, former Prime Minister of Malaysia, who succesfully defended the Malaysian currency in the late 1990s against attacks by City of London-controlled central banks.