The stock market was way up Monday after the worst Thanksgiving week since 1932, the gains were mostly on the strength of the retail sector that is claiming (by estimates from its lobbying group) a 16% increase in Black Friday weekend sales. These numbers are probably just hype and even if Friday was banner day it won’t be sustainable. Increased retail sales aren’t even very simulative anymore since the money drains away immediately to China and the corporate profits are skimmed to Caribbean tax havens. (something that would get you or me into Federal Prison)
Sales numbers are probably up some as they were up in October, but the dollar amount increases come from higher prices and not from any real increase in business activity. The mob scenes they show on TV are “staged”, by that I mean they are created by the same sort of unsafe practices in marketing and crowd control that desperate retailers engaged in during the Reagan recession.
Stores were then pressured by local fire authorities to stop doing these things at the time but they are at it again. Resorting to these tactics probably indicates that the retailers are in worse shape than we have been led to believe. There is a lot of corporate paper coming due next year and you will probably start seeing major bankruptcies.
Bank stocks were up Monday morning but a Federal Judge has thrown out the SEC settlement with Citigroup over its massive securitized mortgage fraud case. This likely means a real trial and major revelations of the corrupt banking industry’s practices. Citigroup won’t go quietly to the gallows however, as they have more lawyers than 2 of the 3 inner circles of Hell.
The big Wall Street banks led by Goldman Sachs put the fear of god into the German government last week by organizing a strike against the German bund (bond) auction. After failing to sell even 2/3 of its offering on Wednesday, the German government was by Friday backing down from its position over the Greek crisis. They had demanded that the banks take responsibility for the debt crisis by taking a 50% haircut on the Greek bonds. You see bankers “make” money anyway they can and never take responsibility for the damage. That’s what taxpayers are for.
Italy and Greece are now both under the control of Prime Ministers that were not elected but picked by bankers. That’s how Hitler became Chancellor in the 30s with the help of Prescott Bush and his banking friends. While the Nazi’s had a small minority in the parliament, they were sold to the public as being able to bring economic order that would end the rioting.
While the current crop of bankers and corporate oligarchs may not be planning to commit genocide, they aren’t shy about wholesale murder if you get in their way. You could die by getting in the way of them taking your country’s resources, or simply by them poisoning your air and water. If they control your economy then death can come by them denying you access to affordable food, healthcare or a job.
It’s simple math, the world economy is a closed system. The one percent can’t increase or even maintain the lifestyle to which it has become accustomed without either growth of the economy, or by taking money from the 99%. Since their goal is to capture all of the wealth, they can’t very well allow any real growth as that would dilute their power. The Occupy Movement is really just holding a beachhead under fire, get in the fight yourself or lose everything. www.prairie2.com