Another example of media misinforming Americans

Its incredible the lengths and depths the Wall Street loving corporate media whore presstitutes go to provide optimism and recovery through intentionally misleading headlines and articles.

So today, Greece supposedly capitulated to their owners like good little puppies and CNBC's headline is this:

Markets Get Greece Deal, So Where's the Big Rally? -- "Investors who counted on an orderly resolution to the Greek debt crisis appear to have gotten what they wanted. But the question now is: What happens next?"

Its all about investors getting what they want isn't it?   Yep--where's the Big Rally, those soulless mother-truckers inquire.. just too Funny..

OK so that's how the US media is portraying things-- problem solved.  Now everyone can continue celebrating the Obama led recovery during election year..  Lovely.

Here's what really happened today:

Schäuble: Greek cuts don't meet 'clearly required' conditions  (Telegraph UK) -- "German finance minister Wolfgang Schäuble warns ahead of a eurozone meeting in Brussels that spending cuts agreed by the Greek coalition leaders do not fulfill bail-out conditions."

The Telegraph UK seems to be a pretty honest newspaper.. here's a few more headlines expressing the true situation as it stands:

Greek death spiral accelerates --  "Greece's manufacturing output contracted by 15.5pc in December from a year earlier.  Industrial output fell 11.3pc, compared to minus 7.8pc in November.  Unemployment jumped to 20.9pc in November, up from 18.2pc a month earlier... This is what a death spiral looks like."

And..

Euro crisis averted? Don’t believe a word of it -- "However it is spun, any euro exit, even one as small as Greece, sets a potentially fatal precedent. Once Greece has gone, the markets will move remorselessly on to the next weakest link. And even if Greece does manage to cling on by its fingernails, default within the eurozone will surely soon have others clamouring for similar debt forgiveness."

Here's the Guardian UK's take:

"Amid a mounting sense of crisis, it is possible that any deal that might be struck may prove inadequate. With unemployment soaring, revenue sources drying up, recession deepening and social unrest increasing, there is palpable pessimism and resentment on both sides. In Greece, the idea is growing that austerity cannot work, and that default is more of a question of "when", not "if"."


Gee!  That doesn't sound optimistic does it, you lying fuckers at CNBC.

Yep, wonder where the 'Big Rally' is?

Bird in hand better than Two in a Bank

The market keeps going up, up, up...

All based on nothing, nothing, nothing...

And all the roaches on Wall St are happy, happy, happy..

And Yet, if everything is so great, great, great,

Why this...

"During the first 10 trading days of 2012, roughly 6.8 billion shares a day changed hands in the United States, down from 8 billion in 2011 and 8.3 billion in 2010, according to the New York Stock Exchange... " -- CNN/Money

And this...

"The Federal Reserve is likely to step in with $1 trillion worth of easing that could be announced as soon as this month, according to a growing consensus of economists who see the recent uptick in economic growth as unsustainable."  -- CNBC

Huh?  Thought everything was going super?  Markets keep rising.  Traders keep profiting.   What's this about "Unsustainable" and trading overall Down?   Where's all that money that is supposed to be in the market so professional traders and investors can maximize their profits on the backs of 'mom & pop'?

"Americans have been hoarding record amounts of cash since last July, according to the Federal Reserve data.   The monthly amount of cash placed in checking, savings and money market accounts, known as M2, grew at the fastest rate during the last six months of 2011 since the period following September 2001...  $889 billion, or eight times as much (has been put) into checking and savings accounts as put into stocks or bonds during the first 11 months of 2011, according to TrimTabs Investment Research. " (CNN/Money)

Nice to see people waking up to the stock market con game.  Its a nice start.  Eventually people will also wake up to the fact that their excess money shouldn't be in a bank either.

Here's two fun little math problems--   1)  Say you have $5000 in your savings account at 0.1% interest, how much interest do you collect yearly?   2)  How much profit does a bank make off your $5k if it lends to others at 6.9% interest?

Give you a moment to think...

~ Wait!  I need more time.. I don't do good at math..."

OK, answer time:

1)  $5,000 x 0.001 = $5.00   Allowing a bank to hold onto $5k of your money for a full year earns you one big fat, crisp Abraham Lincoln bill.  You can rent One whole movie and still have 75 cents after taxes to buy some chewing gum.

2)  Thanks to fractional reserve lending, a bank is allowed to lend up to 10x what it holds from depositors.  So your $5,000 allows Mr. Big Bank to lend out $50,000.  The interest based on 1 year works out as this:

$50,000 x 0.069 = $3,450, enough to buy.. well, a whole lot of stuff.

Subtract $3,450 - $5 and Mr Big Bank made $3,445 PROFIT off you

And if you think getting one-tenth of one percent is bad, just you wait!!

"The goal of the ( QE3 mortgage backed securities) purchases will be to drive down interest rates even further from current record-low levels..." (CNBC)


Who knows?  Maybe next year at this time $5k brings in a yearly savings return of a Whole Dollar!  Imagine what you can do with a buck?!

What's the morale to the story?

The government, i.e. Fed or Treasury is going to do absolutely nothing for your financial benefit unless you are extremely obscenely wealthy or are a 'Too Big to Fail'.   If somehow it could be orchestrated that tens of millions of people withdrew their non-essential money en masse from banks, it would cause the necessary chaos and fear to cause the Fed to raise interest rates one again to encourage the money to be re-deposited.

But short of something drastic, you, Mr & Ms everyday American will continue getting Bleeped by your government economically.

So really...  why is your $$ in a bank?