Friday, June 19, 2015

Given Enough Time The Corporations Cannibalized Themselves

Which apparently was the Darwinian higher "purpose" of this entire post 2008 era.

Financialization, taken to its logical extreme, monetized everything and everyone, leaving liabilities with no corresponding assets. Multinational marketing shells with 10x profit margins. The very definition of a Ponzi Scheme. 

At that point, the slumdog billunaires found out that their "wealth" was a total fabrication, predicated solely upon unsustainable debt accumulation, trade deficits, exploited wage differentials, resource depletion and of course recently-laid-off taxpayer funded bailouts.

Today's "best and brightest" are mindless zombies and liquidators:

At this late juncture, there are those who acknowledge the charade, and then there's everyone else you know, whose life aspiration is to be the charade...

Below - Stocks versus the real economy as imputed by short-term interest rates. Six years of lies, bullshit, and corporate Shock Doctrine, have culminated in a record-leveraged casino sans economy. Now abetted by the widely believed charade that the Fed can BEGIN to normalize interest rates six years into an artificially fabricated stock market rally. A rally that, as we see below, by definition, was not based upon any form of real recovery. Sure.

As we see, in 2007, 2000, and every other real recovery in the past 239 years of U.S. history, interest rates were normalized far ahead of the peak in stocks, and in fact were peaking with stocks. This time there is no ability to achieve normalization. Because without ongoing Fed liquidity there is nothing real to support Netflix and revenueless IPOs. The Fed has merely been pouring gasoline on a dying fire this entire time while corporations were trading jobs for stock buybacks at 0%.

The Fed has been handmaiden to collapse this entire time. 

So, this time, there will be no normalization, only realization... 

The realization that comes when the Idiocracy finally understands that they themselves are all things fake.

And then, the underwear will be mighty stained.