FRAUD, Pure and Simple

Gold Falls in New York as Demand for Haven Wanes; Silver Drops
April 6 (Bloomberg) -- Gold fell to the lowest price in more than two months, erasing this year’s gains, on speculation that the U.S. economy will rebound, eroding the precious metal’s appeal as a haven. Silver dropped the most in two weeks.

Investment in the SPDR Gold Trust, the biggest exchange- traded fund backed by bullion, fell for the first time in two weeks as a month-long rally in equities curbed demand for safety assets. Before today, the Standard & Poor’s 500 Index had rallied 23 percent since March 6 while gold dropped 4.8 percent.

“People don’t think they need that flight-to-quality buying and that’s putting gold into the background,” said Stephen Platt, a commodity analyst at Archer Financial Services Inc. in Chicago.
http://www.bloomberg.com/apps/news?pid=20601012&sid=aQk5QmcYEf30&refer=commodities

LOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOL! Demand for safe haven wanes? Puh-leze! That may be what spoon-fed finanacial media want people to believe, but nothing could be further from the truth. I doubt anybody that bought REAL Gold recently as a "safe-haven" or as an "inflation-hedge" dumped their Gold today. No, the ONLY Gold sold today was made of PAPER.

“You can fool some of the people all of the time, and all of the people some of the time, but you cannot fool all of the people all of the time.”

If you sold your Gold, and/or Silver today...my condolences. To those of you who used today's pathetic, and patently contrived fire sale on the alternative currencies Gold and Silver to buy more at a discount, congratulations on your purchase. An congratulations on sticking to your convictions. The governments of the world have fixed nothing. The US Government continues to perpetuate the LIE of The Century.

Gov’t data fatally flawed! Real jobless rate hits 19.8%!
by Martin D. Weiss, Ph.D.
The U.S. government’s Bureau of Labor Statistics (BLS) shocked the world Friday with the release of its official, headline unemployment number: A surge from 8.1 percent to 8.5 percent.
But it’s really a lot worse. This number (called “U-3″), although invariably cited by the press in the headlines, is the narrowest, most sugarcoated measure of U.S. joblessness:

-It excludes workers seeking full-time jobs, failing to find them, and then accepting part-time work that almost invariably pays far less.

-It excludes discouraged workers who have given up looking for jobs because they can’t find any.

-And, as if that wasn’t enough to color the truth, the BLS has been consistently and grossly understating the current unemployment numbers, not revising them until months later when fewer people are paying attention.
Williams points out that:

“The pattern of impossible biases being built into the headline monthly payroll employment continued with March 2009 reporting. Instead of the headline jobs loss of 663,000, consistent application of seasonal-adjustment factors would have shown a more-severe monthly jobs loss of about 750,000. This upside reporting bias has been seen in 11 of the last 12 months, with a rolling 12-month total upside headline-number bias of 1,345,000.”

The proof: In every single one of its six most recent monthly payroll reports, the BLS has announced massive upward revisions in prior months’ job loss numbers — with five of those even exceeding its own guidelines for the acceptable margin of error (plus or minus 5 percent).
The government also publishes a broader measure of unemployment (”U-6″), which corrects some — but not all — of the above flaws.

This measure includes many discouraged and part-time workers, as it should. And, lo and behold, those adjustments alone add more than seven full percentage points to the unemployment rate!

Instead of 8.5 percent unemployment, suddenly we see that we have 15.6 percent unemployment, according the government’s own admission.

Instead of a recession, suddenly we see that we are already in a depression.

Most importantly, rather than a government that recognizes the fundamental failure of its efforts over the years to pump-prime the economy — with abundant cheap money, huge federal deficits, and financial bailouts — we have a government that continues to pursue this same folly with ever greater zeal.

It’s the epitome of self-deception, leading to misguided policy and, ultimately, causing extreme hardships for nearly everyone, including unemployed officials themselves.

Not only has the government excluded discouraged workers from its headline number, manipulating the public’s perception … it also distorts the way it measures discouraged workers. It’s a manipulation within a manipulation, which Williams explains as follows:

“During the Clinton Administration, ‘discouraged workers’ — those who had given up looking for a job because there were no jobs to be had — were redefined so as to be counted only if they had been ‘discouraged’ for less than a year. This … defined away the bulk of the discouraged workers.”

In other words, if you’ve been a discouraged worker for less than a year, you are among those counted in the broader 15.6 percent unemployment rate the government revealed on Friday.

But if you’ve been discouraged for more than a year, suddenly and magically, the government says you’re not “discouraged” any more. In BLS newspeak, you’re a non-discouraged, non-unemployed non-person. You don’t exist. Or maybe you just don’t get what the real definition of “is” is.

By Williams’ and any reasonable person’s definition, though, you’re still unemployed. You still need a place to live and food to eat. And for Washington to make reasoned decisions, you still need to be counted.

Result: Even the government’s broadest measure of unemployment — now at 15.6 percent — is grossly understated. The real figure, Williams estimates, is 19.8 percent.
http://www.moneyandmarkets.com/gov%e2%80%99t-data-fatally-flawed-real-jobless-rate-hits-198-33014

No need for a "safe-haven"? Unemployment at almost 20% and the financial media roaring that the economy has bottomed? It's ALL a con people. I've said it before, and I'll say it again:

"The first three letters of 'confidence' spell 'CON'."

The American people are being conned, the entire world is being conned. The planet is living in an Orwellian Nighmare of epic proportions. Ignorance is bliss...

Seriously? Very Seriously...

If you do only one thing this evening, today, or tomorrow WATCH THIS NEXT VIDEO. The "con" is VERY REAL.

The financial industry brought the economy to its knees, but how did they get away with it? With the nation wondering how to hold the bankers accountable, Bill Moyers sits down with William K. Black, the former senior regulator who cracked down on banks during the savings and loan crisis of the 1980s. Black offers his analysis of what went wrong and his critique of the bailout.
http://www.pbs.org/moyers/journal/04032009/watch.html

Excerpt from the Bill Moyers/William K. Black interview:

BILL MOYERS: So if your assumption is correct, your evidence is sound, the bank, the lending company, created a fraud. And the ratings agency that is supposed to test the value of these assets knowingly entered into the fraud. Both parties are committing fraud by intention.

WILLIAM K. BLACK: Right, and the investment banker that — we call it pooling — puts together these bad mortgages, these liars' loans, and creates the toxic waste of these derivatives. All of them do that. And then they sell it to the world and the world just thinks because it has a triple-A rating it must actually be safe. Well, instead, there are 60 and 80 percent losses on these things, because of course they, in reality, are toxic waste.

BILL MOYERS: You're describing what Bernie Madoff did to a limited number of people. But you're saying it's systemic, a systemic Ponzi scheme.

WILLIAM K. BLACK: Oh, Bernie was a piker. He doesn't even get into the front ranks of a Ponzi scheme...

BILL MOYERS: But you're saying our system became a Ponzi scheme.

WILLIAM K. BLACK: Our system...

BILL MOYERS: Our financial system...

WILLIAM K. BLACK: Became a Ponzi scheme. Everybody was buying a pig in the poke. But they were buying a pig in the poke with a pretty pink ribbon, and the pink ribbon said, "Triple-A."

...

BILL MOYERS: What is your explanation for why the bankers who created this mess are still calling the shots?

WILLIAM K. BLACK: Well, that, especially after what's just happened at G.M., that's... it's scandalous.

BILL MOYERS: Why are they firing the president of G.M. and not firing the head of all these banks that are involved?

WILLIAM K. BLACK: There are two reasons. One, they're much closer to the bankers. These are people from the banking industry. And they have a lot more sympathy. In fact, they're outright hostile to autoworkers, as you can see. They want to bash all of their contracts. But when they get to banking, they say, ‘contracts, sacred.' But the other element of your question is we don't want to change the bankers, because if we do, if we put honest people in, who didn't cause the problem, their first job would be to find the scope of the problem. And that would destroy the cover up.

BILL MOYERS: The cover up?

WILLIAM K. BLACK: Sure. The cover up.

BILL MOYERS: That's a serious charge.

WILLIAM K. BLACK: Of course.

BILL MOYERS: Who's covering up?

WILLIAM K. BLACK: Geithner is charging, is covering up. Just like Paulson did before him. Geithner is publicly saying that it's going to take $2 trillion — a trillion is a thousand billion — $2 trillion taxpayer dollars to deal with this problem. But they're allowing all the banks to report that they're not only solvent, but fully capitalized. Both statements can't be true. It can't be that they need $2 trillion, because they have masses losses, and that they're fine.

These are all people who have failed. Paulson failed, Geithner failed. They were all promoted because they failed, not because...

BILL MOYERS: What do you mean?

WILLIAM K. BLACK: Well, Geithner has, was one of our nation's top regulators, during the entire subprime scandal, that I just described. He took absolutely no effective action. He gave no warning. He did nothing in response to the FBI warning that there was an epidemic of fraud. All this pig in the poke stuff happened under him. So, in his phrase about legacy assets. Well he's a failed legacy regulator.

BILL MOYERS: But he denies that he was a regulator. Let me show you some of his testimony before Congress. Take a look at this.

TIMOTHY GEITHNER:I've never been a regulator, for better or worse. And I think you're right to say that we have to be very skeptical that regulation can solve all of these problems. We have parts of our system that are overwhelmed by regulation.

Overwhelmed by regulation! It wasn't the absence of regulation that was the problem, it was despite the presence of regulation you've got huge risks that build up.

WILLIAM K. BLACK: Well, he may be right that he never regulated, but his job was to regulate. That was his mission statement.

BILL MOYERS: As?

WILLIAM K. BLACK: As president of the Federal Reserve Bank of New York, which is responsible for regulating most of the largest bank holding companies in America. And he's completely wrong that we had too much regulation in some of these areas. I mean, he gives no details, obviously. But that's just plain wrong.

BILL MOYERS: How is this happening? I mean why is it happening?

WILLIAM K. BLACK: Until you get the facts, it's harder to blow all this up. And, of course, the entire strategy is to keep people from getting the facts.

BILL MOYERS: What facts?

WILLIAM K. BLACK: The facts about how bad the condition of the banks is. So, as long as I keep the old CEO who caused the problems, is he going to go vigorously around finding the problems? Finding the frauds?
http://www.pbs.org/moyers/journal/04032009/transcript1.html

And, Mr. Black had this to say about Little Timmy Geithner's srtess test for the banks:

Geithner's Stress Test "A Complete Sham," Former Federal Bank Regulator Says
The bank stress tests currently underway are “a complete sham,” says William Black, a former senior bank regulator and S&L prosecutor, and currently an Associate Professor of Economics and Law at the University of Missouri - Kansas City. “It’s a Potemkin model. Built to fool people.” Like many others, Black believes the “worst case scenario” used in the stress test don’t go far enough.

“There is no real purpose [of the stress test] other than to fool us. To make us chumps,” Black says. Noting policymakers have long stated the problem is a lack of confidence, Black says Treasury Secretary Tim Geithner is now essentially saying: “’If we lie and they believe us, all will be well.’ It’s Orwellian."

The former regulator is extremely critical of Geithner, calling him a “failed regulator” now “adding to failed policy” by not allowing “banks that really need desperately to be closed” to fail.

Black says the stress test must also be viewed in the context of Geithner’s toxic debt plan, which he calls “an enormous taxpayer subsidy for people who caused the problem.” The fact bank stocks have been rising since Geithner unveiled his plan is “bad news for taxpayers,” he says. “It’s the subsidy of all history."
http://finance.yahoo.com/tech-ticker/article/225897/Geithner's-Stress-Test-%22A-Complete-Sham%22-Former-Federal-Bank-Regulator-Says;_ylt=As2xiWff74uzjGnoLOL7Wr27YWsA?tickers=UBS,C,BAC,XLF,SKF,FAS?sec=topStories&pos=9&asset=TBD&ccode=TBD

Isn't it odd, or should I say alarming, that the G20 failed completely to address the global financial derivatives mess...all ONE QUADRILLION DOLLARS OF IT...in the "communique" Thursday? How can people be so easily duped by these financially illiterate buffoons? NOTHING, NOTHING, NOTHING has changed. If anything it has gotten worse. I'm not a doomsayer. I am not making this up. These "world leaders" honestly believe that "If we lie and they believe us, all will be well." I don't know whats worse, the fact that they knowingly lie, or the fact that people ignorantly believe the lies?

DON'T BELIEVE THE LIES! HANG ON TO YOUR GOLD AND SILVER UNTIL DEATH DO YOU PART!

Interesting note about Silver stored at the CRIMEX warehouse. In the past three business days, 5,862,494 ounces of Silver have been delivered OUT of the warehouse. You read that correctly. OVER FIVE MILLION OUNCES of Silver have left the CRIMEX warehouse in the past THREE business days. And the price of Silver has dropped? The price of PAPER Silver has dropped... This Silver has been delivered because of the SHORTAGES of Silver outside the CRIMEX warehouse. And the price of Silver dropped? What a sham...

PEOPLE, WHERE IS THE OUTRAGE?!