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Wednesday, August 18, 2004 |
This Criminal Indictment charges George W. Bush, Richard B. Cheney, Colin Powell, Donald H. Rumsfeld, John D. Ashcroft, Tommy Franks, and his successors as Commander of U.S. Forces in Iraq, George J. Tenet, L. Paul Bremer, III, John Negroponti and others to be named with Crimes Against Peace, War Crimes, Crimes Against Humanity and other criminal acts in violation of the Charter of the United Nations, International Law, the Constitution of the United States and Laws Made in Pursuance Thereof."
11:38:07 AM 
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Snail mail is still going strong. Yesterday I received a parcel from my correspondent in LA with another book and some paper clippings. (My parcels always come with holes in them; our secret service wants to know which books I am reading, I suppose, or they want to make sure no bombs are included; thanks, guys, for your 'protection'.) So, I'll be reporting soon about the book, Cronies - Oil, the Bushes, and the Rise of Texas, America's Superstate, by Robert Bryce.
Among the clippings was a cryptic copied note without mention of source or date. I found all sources on the net. It's about the M3 money supply, something I had never heard of before. Here's the gist:
Seattle Times (June 13, 2004): "One message is clear: When oil prices rise, stock prices tend to fall. When oil prices sink, stock prices tend to rise. The question at hand is whether $40-a-barrel oil is a transitory peak or a new reality.
My personal view is that $40 oil is the new reality. The era of cheap oil is over.
My money is where my mouth is: I've invested in energy stocks as a substitute for dollar-based investments. Here's why:
Ugly Reality No. 1: We love unlimited energy but we don't want to do anything to get it. Our capacity to deliver and refine oil is inadequate. We either haven't invested enough or haven't been allowed to invest enough. The most visible current example is Massachusetts. The state doesn't want wind farms off Cape Cod. It doesn't want increased LNG (liquefied natural gas) capacity, either. But it still expects homes to be heated and lighted.
Ugly Reality No. 2: The Middle East remains the largest pool of oil reserves in the world. That's bad news for Western civilization. There are promising areas for exploration elsewhere, but it is unlikely that any new find will rival the fields in Saudi Arabia. Meanwhile, global demand continues to increase. The supply-demand balance is likely to be a source of instability for the foreseeable future.
Ugly Reality No. 3: There are disturbing signs that Hubbert's Peak is arriving as predicted. Using the techniques of geologist M. King Hubbert - who said in the 1950s that domestic oil production would peak in 1970 - others have predicted global production would peak in this decade. Today, with production declines in some important oil fields, the idea is attracting more attention."
The financial markets forecast and analysis of May 30, 2004:
"... the Federal Reserve has confirmed our Stock Market Crash forecast by raising the Money Supply (M-3) by crisis proportions, up another 46.8 billion this past week. What awful calamity do they see? Something is up. This is unprecedented, unheard-of pre-catastrophe M-3 expansion. M-3 is up an amount that we've never seen before without a crisis - $155 billion over the past 4 weeks, a $2.0 trillion annualized pace, a 22.2 percent annualized rate of growth!!! There must be a crisis of historic proportions coming, and the Federal Reserve Bank of the United States is making sure that there is enough liquidity in place to protect our nation's fragile financial system. The amazing thing is, the Fed's actions mean they know what is about to happen. They are aware of a terrible, horrific imminent event. What could it be?"
So far, no crisis, as yet. The latest forecast is still bleak. "Oil is rising to levels never seen before. Terrorist threats are ever-present. The Fed is tightening. Economic numbers are deteriorating. Family-supporting employment remains a problem. The twin deficits are setting records. Consumer confidence is starting to crack. We could see an administration change come November - if the current president allows the elections to occur. Technical patterns - the language of the markets - are Bearish all over the place. Uncertainty reigns. Most financial markets are headed lower over the intermediate term. Caution is warranted."
Want to know more about M3 and money supply? The point is, as the stock market falls, the rate of change of the M3 money supply is increased. Some say the Federal Reserve has lost its ability to ward off the forces of the bear market.
I don't have any shares or stocks and never will, because I think it's gambling. However, one can see that there is not even a free money market. The market is being manipulated. And as far as Bush's huge deficit is concerned, this is enough to become worried about our economy. We can poke fun at Bush, but the situation is extremely serious. Bush spells catastrophe!
11:19:01 AM
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