Do We Never Learn From History?

The market moved from highs of 10,922 to lows of 10,591 in a day, allowing astute day traders to profit to both put and call. Calls many bought and sold three times for .80 average per contract prices, as the market moved in 100 point increments like clockwork as investors hesitated.

But astute is the word, as the volatility in the market was exhausting to all, as the market whipsawed around the idiots in the Senate, now getting ready to get a bill to the idiots in the House, and both parties posturing right and wrong.

Only after the bailout occurs will we begin to unravel the mess, and find the true damage.

If the bailout does not occur, the banks will freeze, and 7000 is highly likely. It is that simple.

It is NOT just Freddie/Fannie, and banking...it is the house of cards of supply side money falling.

When the only jobs being created during a bubble are around the bubble (housing) and unemployment data is falsified, while interest rates are lowered, scoundrels have been running to the bank as they supersize us, and feed us debt. And all of us ate.

No one stopped anything and the spending just kept going.

For years in our services Floyd used to criticize, ridicule and call names at Greenspan, specifically Bubbles Greenspan I called him, because I consider:

1. Greenspan a disaster that allowed our bubbles to be created.

2. A "world order" advocate Greenspan believed in big company only free enterprise, and promoted the Federal Reserve.

3. Two other versions of Federal Banks failed before the Reserve. If Floyd were in charge he would immediately disband the Federal Reserve, return to the Gold Standard, fire Bernanke and fire Paulson.

Obviously I'm not and we may elect Sara Palin President.

Sigh.

It won't be long before my thinking above becomes "real". For years I was laughed at on Greenspan, as I was "against the flow of the obvious", but am now being vindicated as the mortgage fraud, which Greenspan perpetrated years ago, now unravels. He perpetrated many things, leading with low interest rates. Clinton wisely used the proceeds of the last bubble, which Greenspan led, to pay down the Reagan and Bush 1 Debt. Sadly, the next bubble we used to pay oil companies and Halliburton, and the 700 billion war in Iraq, and now have debt that we have no idea how to pay off, with more being voted in this week.

Economists in think tanks that have no reality should not run our country. Bernanke is a professor who has never had a job. I'll leave you with the next rants...the Federal Reserve should be abolished.

Do not teach your children never to be angry; teach them HOW to be angry.

There is a saying in the Middle East that a foreign journalist who comes there and stays a week goes home to write a book in which he presents a pat solution to all of the Middle East's problems. If he stays a month, he writes a magazine article filled with "if's and "but's" and "on the other hands"s. If he stays a year he writes nothing at all, for the complexities and paradoxes of this explosive area have left him bewildered and confused.

From a 1962 editorial in the Saturday Evening Post.

Do we never learn from history?