“Wall Street” is not “the economy” - Main Street and Small Business drive the economy - about 75-80% of it.

“Wall Street” is not “the economy” - Main Street and Small Business drive the economy - about 75-80% of it.

600 billion “miraculously” was invested in the stock market last year - the source of the money is classified as “unknown” by the agency that tracks that data - 80% of the bonds offered at the last half-dozen treasury auction were bought by the FED or another federal reserve bank on behalf of the FED - unemployment continues to rise and is somewhere between 18 and 25% depending on whose numbers you believe - every state in the country is either insolvent or on the edge of that cliff with no relief projected - as a country, our liabilities were over 100 trillion dollars as of last summer - something like 25 million ARM or variable type mortgages will rest in the next 3 years - bankruptcies were up last year almost 50% on top of the previous years up 25% - defaults of both secured and unsecured debt are rampant and are projected to get worse - home values continue to fall and inventories are incredibly high if you factor in the properties that are “off the books” - our politicians who supposedly represent the “will of the people” are getting ready to ram “health care reform” down our throats although only 35% of Americans support it with the best poll they can manipulate; pundits have said it could be as low as 15% of the population supporting the Legislation - stores cannot keep ammo on the shelves - Congressmen were forced to cancel “town halls” last summer by the dozens because they feared for their safety (when was the last time you saw that?) - the value of the dollar is so low that the average inflation rate in other countries around the world has risen almost 50% in the last 18 months … i can continue if you can’t connect the dots while Obama and the rest of the people in DC fiddle while America burns …

We can’t solve the problems if we refuse to even open our eyes to see them.

Undisclosed off-balance-sheet worldwide bailouts of TBTF banks? When the unknown final bill comes in it could be 25T. Bloomberg is still looking for the missing 2T right here in the USA.

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a4PnUdySIink

With over 204 Trillion of derivatives to insure in the USA alone who does not think that some of them must be in default? even only 1% would eat the 2T. It is all off-balance-sheet.

They (the Central Banks) are hoping that bailouts (stalling for time) will fix it before it all collapses. I hope they are right. Or we will all be on the barter system, swapping chocolate for cigarettes.

The world has never before been in this financial condition.

Wake me when our GDP growth exceeds the percentage of GDP comprised of deficit spending.

Until that happens things aren’t improving.

5% GDP growth is about $700 billion. If we see 5% growth and the deficit is under $700 billion, we will have turned the corner. If we continue to see 3% GDP growth (about $400 billion) and a deficit of $1.5 trillion, we are still sinking fast. It may not show itself immediately, but that math will eventually catch up and crush.

Over $300 Billion in Alt-A RMBS Face Downgrade

Moody’s places Alt-A tranches on review for downgrade

Moody’s Investors Service said that it placed more than 10,000 tranches of Alt-A residential mortgage-backed securities on review for possible downgrade.

We may be called doomers and we may look around and say what is wrong with people but the truth is we are realists. It is sad to me that our nation watches t.v. and they tell us we are in recovery and we do not DEMAND proof that we are in recovery.

I do not know one person that wants an economic collapse but we are standing by as our nation is lead down a path that will take years and possibly generations to fix.

I do believe that history will not be kind to these generations that had a hand in this mess.

- UtahProf

Related Posts:

• The DEPRESSION.
• It’s difficult to have optimism when the U.S. is piling on insurmountable debt.
• The Greatest Depression
• In February next year, President Obama has to decide whether to renew the Bush Tax cuts or to let them expire.
• At the White House, spokesman Robert Gibbs declared: “Health care reform is not a matter of if. Health care reform is now a matter of when.”

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