I want to talk to you about 2 things today. (Note: I am having a beer while I type this…. I’m yelling FINALLY!)
- The report out from China about the derivatives market
- The stock market in general
Yesterday we heard the news of China not going to honor certain derivatives contracts out other than Chines bank. Who made these derivatives? Yup… US. Most likely those derivatives are tied to the commodities market. Which I have been ranting about FOREVER!
My thoughts are… China sees the paper is worthless… saying you never had the money to pay so we aren’t honoring it. FINALLY FINALLY FINALLY! China is willing to stand up and say F’ U! Something BIG may come up… especially with the quantitative easing ending in mid-September.
Freddie Mac, Fannie Mae, AIG, and Citi has been involved in 40% of all volume in this up rally! Today they disappeared and the market tanked. On top of that the 3 out of 4 companies have been bailed out by our government. They owe an incredible amount of money to the American people. Why are they even listed? Why are they traded? How can you have a zombie company traded in the open market. WAMU and Lehamn who are bank holding companies who filed for bankruptcy (they even have Q on the ticker symbol) has been roaring upwards for the last few weeks. WTF… is up with those pink sheets? Who is buying this crap? Is it some computeres who are buying shares back and forth? Is it all this market has left? AKA Goldmansachs. Today all that volume dried up… and we saw what happened.
We are sitting on a KEY technical level tonight. IF WE BREAK THIS… we will come down to the 6600 mark.
Nothing has changed. It is all smoke and mirrors… this is true FRAUD, LIES, AND DECEPTION!
I’m headed to bed.