The globalized economy is a colossal Ponzi Scheme in which the vast majority survive on the bread crumbs falling off the table. The possibility of 7 billion people achieving a consumption-oriented lifestyle is zero, so the World Bank conveniently set the poverty line at $1.25/day to legalize global slavery. As long as someone else's children are doing the suffering, it's "all good". Post-2008, this illusion was extended merely by plundering all future generations.
Friday, November 2, 2012
The Idiocracy Is Waking Up
No sooner had I penned my diatribe on the Climate Change denialists, than BusinessWeek of all publications bludgeoned the Idiocracy with its own piece on inconvenient reality (below). All it took was sinking half of New Jersey and NYC under water. As I said in my rant, one day they will magically decide to switch from non-belief to grudging acceptance even though the underlying facts have been largely the same all along. Granted I assumed it would take a few more Sandy's, Irene's, and Katrina's to ground and pound the Idiocracy into final submission. So this forces a major paradigm in thinking, because BusinessWeek is obviously a conservative mainstream publication. As we see, the buffoonish over-confidence of the Idiocracy is merely a thin facade of willful ignorance that crumbles at a moment's notice. This should come as no surprise given that the comfort seeker's of the day change their beliefs like a 13 year old girl changes her blouse. Therefore as over-confidence yields to trepidation, it will be only a matter of time before we reach the Point of Recognition. Each round of revelations will expose yet more decadence, further eroding confidence. It's only a matter of time before there is common acknowledgement that the country is bankrupt and can no longer afford military bases in 140 countries and never-ending military blunders. But the underwear will get truly stained when the frogs in boiling water, stewed in a hot gumbo of junk food and junk culture, wake up to the fact that their real incomes, now back at 1996 levels, are falling into oblivion, and that the country's key jobs, industries and intellectual property have been permanently given away to foreign countries. The ignition spark will be the dawning realization of having elected yet another game show host President who can't manage his way out of a paper bag. At that point, all hell will break loose.
Of course, not everyone gets it yet, especially cynical old fucks whose only goal is to continue plundering the planet and their grandchildren to maintain their morally bankrupt lifestyle at all costs. Wait until the Lost Boys of the Idiocracy are released into the wild, then these geriatrics will finally confront the Frankenmonster they have created.
Yes, it's time for Friday night charts...
First the overall market. Hanging onto that lower trend line for dear life:
Walmart, Ponzi stock to end all Ponzi stocks. As in 2008, one of the last stocks to roll over.
Wall Street's anxiety barometer - the Vix. Above the downtrend line and a backtest...If the backtest succeeds...Confucious says, you will live in interesting times...
Last and most importantly. Everyone hates the dollar. That's why it's rallying...Carry trades...must...come...in:
