"Only dull people are brilliant at breakfast" -Oscar Wilde |
"The liberal soul shall be made fat, and he that watereth, shall be watered also himself." -- Proverbs 11:25 |
So there you have it, Fools. Britain we know came within 3 hours of utter collapse, and now we see that the U.S. came just as close a month prior! Indeed, the entire world economy came within a day of systemic failure. It makes you wonder... how many hours do we stand from such a scenario at the moment? Further, what warnings can officials from the new administration utilize to influence Congressional votes that could possibly trump those warnings of Paulson and Bernanke on that Thursday evening back in September? These are fascinating and perilous times, and I urge all Fools to keep watching intently. Our modern financial system is gravely ill, and may never recover... we have to be asking ourselves what comes in its place if only as an exercise of due diligence.
Labels: economic death watch
These financial instruments were always chimeras and nothing more. All those derivatives sitting out there need to be zeroed out - canceled - and let the chips fall where they may. It will destroy nothing but paper wealth among the banks and the top 2%, but it will finally get all of us back to reality, knowing where we (and they) stand. If we don't rationalize the markets we will be skating on a razor's edge - and subject to repeated, progressively shorter and more extreme boom and bust cycles - ad infinitum.