Throwing Gasoline on the Fire at Treasury ~ The Risk Averse Alert

Monday, December 28, 2009

Throwing Gasoline on the Fire at Treasury

According to CNBC Fast Money trader Steve Grasso, "Tech still is the sweetheart of the market."

$COMPQ$NAAD cumulative

More like whore, Grasso ... the kind whose appearances captivate greedy suckers who become so enamored with the game they dare not imagine that, under the covers lie more diseases than the Surgeon General can cure.

Truth is NASDAQ remains sick as a dog — its underlying condition still signaling pending doom. There is no need to beat this dead animal. It is just about over for tech.

Rather, let's go to a place really worth getting lathered up about...

Is anyone else mystified by how little analysis in our pliant, accommodating financial press followed Treasury's after market bombshell on December 24th? This sort of surprise announcement came along lines anticipated a few days ago while looking forward to two holiday shortened weeks to close out 2009. Dubai World's insolvency announced after hours, the day before Thanksgiving, raised this possibility. Then bam, tiny Tim, our nation's mentally crippled Treasury Secretary served up a Christmas turkey.

It is hard to imagine a more politically insensitive action. There surely is more to Treasury's decision than meets the eye. Without a doubt, the policy turn and the backhanded manner in which this was announced plainly reveals just how terribly fragile is confidence. Glass in a category 5 hurricane might have a better chance remaining intact. Something isn't right.

Are we on the verge of collapsing in a hyperinflationary blowout? Is the U.S. dollar about to come under attack?

$50 per gallon gasoline anyone?

Other Links of Interest...
Banks Bundled Bad Debt, Bet Against It and Won
Janet Tavakoli Responds to Goldman Sachs
Is Blaming AAA Investors Wall Street Serving PR?
Faith and Finance: Of Greed and Creed

Fast Money
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