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NOTICE NOTICE NOTICEThere will NOT be an issue of the FORECASTER on

SATURDAY, July 25, 2009

THE INTERNATIONAL FORECASTER

WEDNESDAY JULY 8, 2009070809(2)_IF P. O. Box 510518, Punta Gorda, FL 33951-0518

An international financial, economic, political and social commentary.

Published and Edited by: Bob ChapmanNOTE: NEW E-MAIL ADDRESSES

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Discount Gold & Silver Trading Co.For the best in pricing and service for gold and silver coins, call Melody at 1-800-375-4188. Be sure to listen to DGSTC with Bob Chapman live on Short-wave 7.415Mhz M-F4:00PM ET, Replays Tuesday thru Friday 8pm RT 7.465Mhz3.215 MHz M-F 11PM ET and weekly archives at discountgoldandsilvertrading.net JOHN STADTMILLER Republic Broadcasting Network www.republicbroadcasting.org every Tues. at5:00-7:00 pm ESTGOLDSEEK RADIO Every ThursdaySAM BUSHMAN - LRT Radio http://www.libertyroundtable.com Every first and third Monday of the month 10 am to 11 amDALE WILLIAMS - Free West Radio Program http://www.freewestradio.com - Every first Tuesday ofMonthJOHN BRYANT 7 p.m. EDT - network www.firstamendmentradio.com Dr. STAN MONTEITH - Every Monday 4 p.m. & 8 p.m. PST. www.radioliberty.com, or to our shortwavebroadcasts on WHRI at 5.745 MH weekdays from 3-5 pm and 8-10 pm Pacific Time 5070 and 7465.Shortwave: Daily M-F 3:00 - 4:00 PM: PST 5.070 Mhz 4:00 - 5:00 PM: PST 7.465 Mhz 8:00 - 9:00 PM: PST5.875 & 6.110 MhzTHE MERIA HELLER SHOW every 2nd Tuesday of the month THE POWER HOUR GCN.live.com Every Monday Mon thru Fri 8 to 11 am EST , 7490PAT GORMAN Sunday July 12. 20009

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Stephen Lendman July 15, 2009 ALEX JONES - GCN.live.com -Noon on shortwave 1st hour: WWCR 9.985 and 2nd & 3rd Hour:Every Friday noon CST. WWCR 9975 - Here are some of the recent Alex Jones shows that Bob hasappeared on. Mon thru Fri Noon to 4 pm EST , 12160 http://www.youtube.com/watch?v=JIQ1Qrv_AUE RAYELAN ALLAN July 15, 2009 BUTCH PAUGH Thursday, July 16th, 2009 9 p.m. EST - Also on your computer on www.gcnlive.com . LIVE FM STATIONS 9:00 PM EST .-88.3 FM ROTX Campbell, TX- 92.7 FMLexingon TN-102.9 FM in Lutz, FL-89.7 FM Nettie, WV-89.7 FM North Branch, MN-91.9 FM Kerrville, TX-97.5 FM Dallas, TX-91.1 FM Austin, TX-97.5-91.1 FM Austin, TX-91.7 FM Fredericksburg, TX-91.7 FMJohnson City, TX-90.1 FM Round Rock, TX-90.1 FM Austin, TX-96.3 FM Austin, TX-95.7 FM Dallas, TX-93.3 FM Valparaiso, IN-90.7 & 88.5 FM Cosby, TN-88.3 FM Meadsville, PA-100.3 FM Kamia, ID-89.7 FMPresque Isle ME-97.7 FM Greenville, SC-107.1 FM Oklahoma City, OK-90.1 FM Gatlinburg, TN-102.7 FMTampa, FL-KGGM 93.5 FM Delhi, LA LIVE AM STATIONS 9:00 EST. -WIJD 1270 AM Mobile, AL, KIOU1480 AM Shreveport, LA,WFAM 1050 AM Augusta, GA-WELP 1360 AM Greenville, SC-WCPC 940 AMTupelo, MS-WROL 1340 Providence, RI-WITK 1550 AM in Scranton/Wilkesboro, PA-WNNY 1090 AMPensacola, FL-WARL 1320 AM Attleboro, MA-1380 WLRM AM Chattanooga, TN-WYYC 1250 AM York, PA-WNVY 1070 AM Pensacola, FL-KGEZ 1600 AM Kalispell, MT REBROADCAST FM STATIONS- 91.9 FMMacon, GA 7:00 AM-91.9 FM Freedom radio Jones City, GA 8:00 AM Est. REBROADCAST AMSTATIONS -KCKN AM 1020 Roswell, NM 10 PM Est.-KMET 1490 AM 11 AM Pst. - WASB 1590 AMBrockport, NY 5-6 PM Est.- WRSB 1310 AM Canandaigua, NY 5-6 PM Est.-WBCR 1470 AM in Alcoa, TN 7-8 AM Est.-WVOG 600 AM New Orleans, LA 5:00 PM Est. ALAN STANG : radio show, The Sting of Stang, airs from 11 a.m. to 1 p.m. Central, M-F, via RepublicBroadcasting Network. Call him on the air at (800) 313-9443. To listen, go to republicbroadcasting.org andclick on Listen Live. If you can't listen at that time, do so via the archives. I'll be talking about the variousmanifestations of the conspiracy for world government, its tactics, such as the illegal alien invasion, itspurposes and its players, from Jorge W. Boosh on down.] ERSKINE : Thursday, - every 3rd Thursday 2:00 pm CST GCN.live.comDrew Raines : - Every ThursdayThose of you interested in the latest input concerning the world financial interest and what to doduring these times of financial unrest .TODAY AND EVERY THRUSDAY we have for your pleasure Mr. Bob Chapman founder/editor of"The International Forecaster" http://www.theinternationalforecaster.com4pm-5pm Chicago time zone USAlisten live www.amd.elequity.com"Clilck on "Current Show / Listen Live" this show is accessible as current show for 20 hours afterproduction and on demand from the archive direct link and as "Archives & on Demand" anyThursday date is Mr. Bob Chapman's show.*** all shows are FREE to access & download ***2nd Hour Colorado, Al and Drew discuss the perspective of News & Events around the world andthe attacks on our Constitutional Rights to live in Liberty growing our Organic Foods and Herbsfor our safety & our health also available on 11 international phone bridges around the worldUSA: 347-308-8047 -bridge code 48334.Drew can be reached at 501-565-1833.http://www.youtube.com/watch?v=hesYUFCe2_U GNC-LIVE FREQUENCIES:http://www.gcnlive.com/Schedule_Shortwave.html KEVIN GALLAGHER & John McGowan Every first Friday at 9 pm EST.Bruce McDonald - The Politics of Common Sense: 6-8 p.m. CST

bruce@kickthemallout.comRob Johnson on Pappas Telecommunications -840 KMPH. Stockton/Modesto, CA July 14th and July 30th. Lets Get Real With Reuben Torres " is an open forum where topics on politics,immigration, health, education, and other global issues, that affect our country and theworld at large, are discussed and debated at local, national, and global levels. "Lets GetReal With Reuben Torres "airs every Tuesday evening from 9:00 pm to 10:00 pm unlessotherwise noted . - Next appearance: July 14th.

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Farren Shoaf June 9th, 2009The Real News Radio.

*****Kevin Gallagher time Out Productions:

Radio Liberty part 1 < http://www.youtube.com/watch?v=lZRH2CtEu2k >RBN Part 1 < http://www.youtube.com/watch?v=iZ-aBsFdJpY >http://www.youtube.com/user/TheBobChapmanChannel http://www.youtube.com/watch?v=cYjLAgKfLrM

For a Few Bailout's Morehttp://www.youtube.com/watch?v=qq8-HydyftA&feature=channel_page

Billions more needed for financial rescuehttp://www.youtube.com/watch?v=3lLkq7P2BXM&feature=channel_page

http://www.clipser.com/profile.php?member=TheBobChapmanChannel

Our show with; Stephen Lendman - Easy to download the program.Go to Republic Broadcasting.org, then archives, then login -User ID - stephen lendmanPassword - 817sl

http://www.youtube.com/profile?user=Kgallagher01&view=videos&query=chapman

*****The link to the Political Pistachio Radio Revolution episode you appeared on is:

http://www.blogtalkradio.com/politicalpistachio/2009/06/28/Political-Pistachio-Radio-Revolution

Thank you,Douglas V. Gibbswww.blogtalkradio.com/politicalpistachio , Host, Producerwww.politicalpistachio.com , Founderwww.americandailyreview.com , Co-Founder, Senior Writer

*****

SCHEDULED ISSUES Saturday, July 11, 2009

Wednesday, July15, 20009

Saturday, July 18, 2009Wednesday July 22, 2009

US MARKETSThe Obama administration may start its program to spur purchases of

mortgage-backed securities from banks with about $20 billion in public and privatemoney, down from as much as $100 billion when the effort was announced in March,sources said. The Treasury Department will pro vide about $1.1 billion in capital toeight to 10 money managers it will select for its Public-Private Investment Program.

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[It is interesting that no mention is made of the fact that the Fed is creating(monetization) $3 trillion to purchase US Treasuries, Fannie Mae and Freddie Macbonds and CDO toxic waste from banks. The Fed will not tell us what they are payingfor the CDOs and part of the game is that the banks rotate the money into Treasuries,a sweet little daisy chain. As you can see, the Treasury might get an additional $20billion into CDOs. We dont see it happening. The private interests dont want to getinvolved. Bob]

US consumers made 675,351 bankruptcy filings in the first half of 2009, a 36.5percent increase from a year ago, according to the American Bankruptcy Institute.June filings by consumers totaled 116,365, up 40.6 percent from the same period in2008, the ABI said.

Oracle plans to cut as many as 1,000 jobs in Europe, the CFDT labor unionsaid on its Internet site. Of the total, about 250 jobs will be lost in France, equivalent to16 percent of the company's workforce there.

British authorities have started an investigation into millions of dollars ofpayments from the operations of the convicted money manager Bernard L. Madoff tocompanies linked to the Austrian banker Sonja Kohn, an Austrian official confirmedyesterday.

The Serious Fraud Office had asked Austrian prosecutors in May for help ininvestigating payments made by Madoffs London office for research reports by BankMedici, which was majority-owned by Kohn, who also served as its chairman.

Were closely cooperating with the SFO and the US Justice Department in thatcase, the official, Gerhard Jarosch, a senior public prosecutor in Austria, saidyesterday. A separate investigation by the Austrian prosecutor into whether Kohn andBank Medici were involved with Madoff is continuing, he said.

Prosecutors are looking into whether Madoff paid more than $40 million toKohn in exchange for turning three Bank Medici funds into feeder funds for hisbusiness, The Wall Street Journal reported, citing affidavits filed by prosecutors in theUnited States and Britain. The Austrian daily Der Standard reported last week thatKohn received about $11.5 million, for research reports for which prosecutors were

unable to find receipts.U.S. service industries from retailers to homebuilders contracted last month at

the slowest pace in nine months, as measures of new orders and employmentimproved.

The Institute for Supply Managements index of non- manufacturingbusinesses, which make up almost 90 percent of the economy, rose to 47 -- higherthan forecast -- from 44 in May, according to data from the Tempe, Arizona-basedgroup. Readings less than 50 signal contraction.

Our President favors torture just like his predecessor did. He threatens othergovernments if they expose what his administration is up too. He blocks any and allexposure of government activities, a culture of non-disclosure. In addition, there is alarge list of dissidents, such as myself and other publishers and radio personalities of

every political persuasion. Anyone who exposes what the Illuminists are up too is anenemy of the state. We wish George Orwell were here to see this.Last week we filled you in on the scandal that could envelope and crush the

administration. That is the illegal arbitrary dismissal of Investigator General GeraldWalpin who tried to get criminal charges brought against Barrys close friend andMayor of Sacramento, Kevin Johnson who misappropriated some $500,000. The AGlater layed a $73,000 payback on Johnson. As you can see, crime pays. More blatantcorruption. We have done scores of programs on the mainline media regarding thescandal, something the kept media themselves refuses to do.

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Sir Alan Greenspan was a disaster for America. His latest lying, idioticcomment was, I dont think it is an economic problem it is a political problem.

What we have is a monetary and fiscal problem that translates into aneconomic problem. The American engine of growth has grounded to a halt over thepast two years as a result and has taken the entire world economy with it. Todaysproblems are very much an out growth of Greenspans terribly flawed monetarymanagement, followed by an equally incompetent Ben Bernanke.

What else would you call non-financial growth in the early nineties, whichaveraged $565 billion annually that peaked at $3.545 trillion in 2007? Does that soundlike monetary sanity? This was the massive system of credit that inflated asset prices,incomes, corporate profits and government revenues. This caused the wild orgy ofconsumption, services, including de-industrialization and massive imports spawned byfree trade, globalization, offshorting and outsourcing. Those horrendous events willtake decades to reverse. Who can call prudent or reasonable the creation of thosecombined Treasury, GSE and MBS obligations surging $1.949 trillion, or 15.3% in2008 to $14.709 trillion? This is called Ponzi finance dynamics. The word is bubbleand that bubble is still being sustained. How does Sir Alan justify Total Mortgage Debtgrowth from the 90s averaging $269 billion to $1 trillion by 2003 and $1.390 trillion in2006? ABC, asset backed securities, went from $200 billion in 2003 and beyond $800billion in 2006. MBS doubled in four years to $4.5 trillion by the end of 2007.

That was the bad news; unfortunately there is worse news on the way. Todayscredit crisis finance bubble will make the residential and commercial bubble look like a

joke. Multiply by 5 or 10. Who knows where this can end up? The bomb is in the airand hasnt even hit yet. The quality of Treasury, GSE (Fannie Mae and Freddie Mac),CDO and ABS falls every day. The debt is massive and it is not producing realeconomic wealth creation. This is a tremendous drag on the system. Wage increasesare miniscule, inflation grows as purchasing power falls as does general confidence.There is major misallocation of assets and a maladjusted economic structure that canonly end in dire inflationary consequences.

The private creation of real jobs has generated about 100,000 jobs a year and

the public sector more than double that, or 240,000 a year. Most jobs created over thepast ten years have been low paying. 290,000 have been created in healthcare,157,000 in food and drinking establishments and 139,000 in government education.Declining jobs, free trade, globalization, offshoring and outsourcing, have decimatedliving standards and have caused a massive transfer of wealth to BRICs; OPEC andslave labor countries that cheapen their currencies by manipulating them and bysubsidizing their industries. In just the first quarter GDP fell 5.5% due to a decline ininventories and trade. The 37.3% decline in business investment and inventories wasa record. The greatest decline since 1947 when records began. The 38.8% decline inhomebuilding is the largest contraction since 1980.

Next comes the planned reduction of Fed market support programs, includingswap lines with 14 international central banks, due to expire in October to February.

The Fed says it will reduce the maximum size of its term securities lending facilities,TSLF, from $200 billion plus options, and the maximum size of its term auction facility,TAF, to $500 billion from $600 billion. This is part of the Feds glide path tonormalization. This rhetoric cant happen unless the Fed has finally decided to allowdeflation to take over and we do not see that happening.

On of the more instigators of our current credit crisis, Goldman Sachs, are nowrecording record bonuses in the greatest financial crisis in almost 80 years.

This success by Goldman is not shared throughout the industry. The walls ofcapitalism are falling and Goldman is making a fortune. We ask how? The answer is

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inside information and that they are even more corrupt than Washington is. Goldman ispart of a triumphinit that rules America although few Americans are aware of theirpower a power that sucks the very lifeblood out of our country and has for at leastthe last 100 years. These people and others have controlled our country for a longtime. It is a marriage made in hell. Many countrys politicians and Wall Street andbankers control money and in turn control almost every nation today.

This past April we saw tax reductions and increased benefits of $121 billion onan annualized basis. As a result consumer spending increased by a paltry $1 billion. InMay, stimulus was $163 billion and consumer spending only increased by $25 billion.As a result personal savings jumped from 4.3% in March, 5.6% in April and 6.9% inMay.

This result needless to say is not what the Frankenstein elitists in Washingtonhad in mind. The next step, of course, is to force consumers to spend, otherwise theconsumer cycle wont work. The public is spending $0.08 of every stimulus dollar andthe rest is being used to pay down debt or is going into savings. We predicted 90%would not be spent and again we were right, that means as a percentage of GDP only70% is coming from the consumer, down from 72% at the peak.

The stimulus package did another thing and that is distort income in the secondquarter resulting in income gains of 1.4% in May. The year-on-year trend is still -1.1%.

This year 5% of workers took unpaid leave and 15% had to accept a pay cut.Ten percent had to take an extra job last year and 20% of 45 to 54-year olds tooksecond jobs.

Between now and 2013, $5 trillion in wealth will have to be liquidated. A goodpart of that will occur over the next 3-1/2 years. That means continued monetizationand depression and an ever-depreciating dollar. This depression will last 8 to 20 years.

The workweek has fallen to 33.1 hours. We see that number below 30 nextyear.

Probably more than 50% of workers will stop funding 401(k)s, IRAs andRoths. Twenty-five percent of companies are suspending 401(k)s and that numberwill grow. That will have a devastating affect on the stock and bond markets. Again,

get out of all stocks except gold and silver shares and Canadian Treasuries. Get out ofcorporate bonds. Interest rates will rise over the next two years. Get rid of cash valuelife insurance policies and annuities. No CDs of any kind. Unemployment has doubledin seven months from 7 to 14 million. In the previous eight years, due to free trade,globalization, offshoring and outsourcing, we lost 5 million jobs. We are calling U6unemployment at 20.5%. Officially it is 16.5%. Even the Center for Labor MarketStudies at Northeastern University says real unemployment is 18.2%.

Our President is just realizing that he is presiding over the bankruptcy of theUS. In order to bring this to a halt he would have to cut mandatory programs thatunderline the welfare state, which makes up 60% of the budget. We see no chance ofthat happening. That means in the next three years the Treasury will go broke. Oncethe insolvency occurs welfare, Social Security and Medicare will end along with many

other programs. Imperial America will cease to exist. Those occupations in Japan,South Korea, Europe, Iraq, Afghanistan and hundreds of other bases, will end, unableto be financed. The burden will be too much to any longer bare.

How can any national government expect to survive fiscally as tax revenue falls18% and spending increases 18%? All the players know this, so the only conclusionwe can come to is that they want our government to collapse. Worse yet, spendingwont be the official $1.84 trillion, but $2 to $2.5 trillion. Corporate tax revenues havefallen 61% and individual returns are off 22% as of May. The US government and theFed are committed to spend $12.8 trillion, but if we add in further Fed monetization

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declared to be created by 9/30/09, that figure will be closer to $15.8 trillion. This ismuch greater than our entire GDP for last year. As a result the 30-year bond is offalmost 30% this year, and the 10-year note has lost 11%. Overall all Treasuries are offmore than 6% and that is while the Fed has been manipulating the bond market. Whileall this has transpired the dollar has fallen from 89.5 on the USDX to 79.9 - that isclose to 10%. Thus, if you owned 10-year T-notes you have lost 20% of your capital,plus the inflation loss of 9%. You are a net loser of some 30%. Two types of investorsbuy T-bills, or bank CDs, they are either dumb or they have a vested interest in notseeing the system collapse.

Buyers of treasuries and Agencies cannot absorb these losses indefinitely. Thishas been going on for 9 years. From this level we believe losses could be the intrinsicvalue of all the funds invested. One is certainly looking at in excess of a 60% loss inpurchasing power. The average foreign nation holds 64.5% of their reserves in USdollars. That should break just about everyone.

As a result of this profligate mayhem other nations have begun barterexchanges. That is Russia with Europe, China and Brazil. If Cap and Trade is passedby the Senate the cost of imports will rise 20% and foreigners will refuse to accept USdollars in payment. If the US does not comply with foreign currencies or barter they willnot be able to purchase oil. The US imports 65% of its oil needs, perhaps more. Wewont have much to barter with, because we do not have the export numbers we oncehad.

Unemployment will rise into 2013. What will we do with 150,000 peopleentering the labor force annually? Fifty-three percent of workers let go were firedpermanently. Four million jobs in construction, financial services, durable goodsmanufacturing and leisure and hospitality wont come back for a long time. Officialoverall male unemployment supposedly is 10.5%, for those 20 to 24, 15% and forthose 16 to 19 it is 23%.

The Dow is going to 2,800 to 3,200, if we are lucky. We are not in a new bullphase, as CNBC and others would have us believe. All indicators point to a marketbreakdown. You can take that to the bank.

Deflation has been an underlying factor in the world economy for six years. Ithas been temporarily overcome by zero interest rates and the creation of massiveamounts of money and credit worldwide.

The CRB fell 53% and is now off 39% and international shipments are yet torecover.

As a dollar solution China, Russia and Brazil are pursuing SDRs, IMF SpecialDrawing Rights, which are not worth the paper they are written on. Now the IMF wantsto issue fiat bonds based on fiat currencies. If issued the bonds will not trade in theopen market, only between central banks. Who we ask will absorb all the toxic waste?The answer is the make believe bank known as the IMF. The switch would be anotherprolongation of the crisis. Our guess is the US Treasuries will be delivered to theTreasury, the IMF will be credited, and the Treasuries wont reenter the trading system

and just be deposited by passing monetization. That is pretty slick, but it wont solveany problems in the long run. This does not mean Treasury auctions will cease. Weexpect the exchange of US Treasuries will be from present holders who want to be outof dollar denominated securities, such as China. It is no more than a game of musicalchairs.

As you know the Treasury currently is in the process of buying and monetizing$300 billion in treasury debt. We wrote two months ago that figure would increase to$1 trillion by 9/30/09. The administration and congress have no intention of cuttingspending. When the system collapses it will be far worse than it should have been.

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This is the way Barry Saetoro does business along with his Bilderberger-CFRpals. You wanted change, you got it. It is debt that will bankrupt our nation and turn ourcountry into chaos. As his predecessor did, our president has followed in his footstepsby using secrecy to cloak fiscal chicanery and outright illegal actions. Corruption andcronyism are already flourishing on his watch. Just look at the scandal in the firing andresignations of Investigators General. You hear little or nothing in the mainline mediaregarding the corruption. You hear nothing about the 244 co-sponsors of Ron PaulsHR 1207, the Federal Reserve Transparency Act of 2009. All we hear are lies,disinformation, propaganda and omission of anything important. Washington and WallStreet do the same. Americans are being spied upon by their own government on anever-increasing basis. To think we once worked in conjunction with the NationalSecurity Agency some 51 years ago when it was in its infancy. It has turned into amonster.

Cash strapped states are delaying sending out millions of dollars in tax refundsdue to plummeting tax revenue. In addition states in order to save money have cutpersonnel and some have been cut in the tax department.

California which has a deficit of more than $24.3 billion is issuing $3 billion inpromissory notes that are not worth the paper they are written on.

Government, Wall Street and corporate America tell us an economic recoveryis on the way. If that is so, why are corporate insiders dumping the shares of thecompanies they run? It is because they believe corporate earnings are going to bedreadful. Those earnings reports start being released in two weeks.

The economy should be slightly strong this year and slightly stronger than thatin 2010. The big problem will be a falling dollar and the threat of debt default. If youlisten to Wall Street, government, corporate America and our media, you will be left inthe dust.

Even another $2 trillion stimulus package wont work. All it will do is keepgrowth neutral for a year buying more time, as monetary inflation rages.

September and October is when the crisis should hit. This will not be a majorcrisis, but a crisis never the less. This will be but a trial run. After two years nothing has

been fixed. All that was accomplished was a taxpayer bailout of banks, Wall Street,insurance companies and GM and Chrysler.

The average recession since 1900 lasted just over 14 months. We were inrecession for two years as of February and in depression for four months.

Along with a fall in the dollar we could very well see debt defaults. In addition,we have unemployment at 20.5% and we will see lots more bankruptcies.

Referring back to the Bilderberg meeting in Greece several weeks ago theirmost important concern was loss of control and that they should attempt to close outthe depression as soon as possible, and abandon any reforms or attempts to institutea world government and currency. There is no question their monetary system isdisintegrating, business domestically and internationally continues to look dreadful,and companies continue to layoff employees worldwide. All over the world banks and

companies will be failing with the US and UK leading the pack. This, again, is why youdo not own CDs, and only keep operating expenses for 3 to 6 months at a bank. Have$5,000 in small bills at home and all other assets in gold and silver coins and shares.The stock and bond markets will eventually collapse, so be out of bond, stocks, exceptfor gold and silver shares, and out of cash value insurance policies and annuities.

Politicians, professional investors, public investors and the public are going tobe shocked at what is going to happen and they are ill-prepared to defend themselvesand their wealth. The entire world will be on stimulus packages. As banks and Wall

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Street become more insolvent political leaders will see stage 2 of the depressionappear as the Fed and Treasury flood the world with money.

We mentioned several weeks ago that Supreme Court nominee SonyaSotomayor belonged to the Belizean Grove, the female equivalent of the maleBohemian Grove. They hold their meetings in Belize. The Judge has since resigned.We wonder if the ladies version practices what the men practice. Occult worship,orgies and Satin worship?

There are just two factors holding up world stock markets, manipulation andmassive amounts of money being poured into the system by governments and centralbanks. Everyone is standing by waiting to see what success the many stimuluspackages will bring, as stock markets worldwide go into a stall after having risen 40 to50 percent.

A few weeks ago EU central banks injected $5.2 trillion into their bankingsystem, while the US committed for $14.8 trillion. The US Treasury will have to raiseover $3 trillion in debt this year of which $1 trillion will be monetized.

Fed credit has expanded $1.178 trillion yoy, or 134%. It now totals $2.055trillion. Treasury debt obligations are $2.177 trillion, up 16.6% yoy, and you haventseen anything yet. Your great, great, great grandchildren will pay back this debt, so wecan bail out insolvent banks, Wall Street, insurance companies and manufacturingcompanies. People who do these sort of things are unhinged.

The Fed has been saving financial institutions for two years now. They havebeen totally unsuccessful. In just the first quarter household wealth fell $1.3 trillion thatis versus a $4.9 trillion loss in the last quarter of 2008, or a $6.2 trillion loss in sixmonths.

Bank lending to borrowers is $9.722 trillion, up $317 billion yoy. For the first sixmonths of 2008, bank credit has fallen almost $200 billion. The economy cannot gainmomentum unless banks increase lending, because 92% of the direct stimulus hasbeen used to pay down debt.

American industrial capacity shows 35% of equipment idle and world trade hasfallen 50% over the last two years. Foreigners, such as China and India, already have

decimated our economy with slave-produced goods. Tariffs have to be put in place orwe will have no jobs left.

Trade war is already underway and we cannot compete unless we drop wagesfrom $16.00 an hour to $3.00 an hour. Now you can see how transnationalconglomerates, such as Wal Mart, IBM and others are ripping us off. Look at theprofits, which are shipped to the Cayman Islands where they pay 2% in taxes. The lasttime, four years ago, that they brought $350 billion back, they didnt pay 35% taxes,they paid 5-1/4%. Thanks to our purchased Congress and a promise to create jobs.They never created any another handout to the elitists. Mark our words global tradewill come to a halt over the next three years and it is about time.

It is only a matter of time until calamity hits world markets. The first target is afall in the value of the dollar, then the failure of a major bank somewhere around the

world. Probably in the US, UK or Europe just like Creditanstalt in the late 1920s. Likein the US and Europe in the 1930s loans are going to be recalled, and that is alreadyunderway. The FDIC cannot help they have $13 billion although they have askedCongress for $500 billion more. We have told you over and over again, no bank CDsand only keep 3 to 6 months funds for operation in a bank or credit union. Have atleast $5,000 in small bills in your safe at home along with your gold and silver coinsand weapons. Do not forget a water filter and freeze dried and dehydrated food for sixmonths. The stock market is going to tank further and zero interest rates wont lastforever. As rates rise, bonds fall.

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The freefall on the market should begin again before the end of October and arevisit to 6,600 is what we see. When it visited there on March 9th, it had fallen 53.5%from its all time high. A break to that level or lower levels would put every bank,brokerage house, insurance company and pension plan in acute jeopardy. The currentbear market rally is somewhat like the market rally in 1931. This rally has been toppingout for two months and it is only a matter of when it will fall. We are seeing massiveinsider selling just as we did when the Dow hit 14,164. These corporate CEOs tell useverything will be just fine as they flee the market. The bank and brokerage indexesare starting to head down again, off some 20%. They were among the leaders on theway up.

Essentially what the Fed has done with zero interest rates is create anotherbubble and that will end badly, not only in the US but in many other countries as well.This means hyperinflation is on the way and as we have said before there will be noattempt to reverse course and impose tightened liquidity conditions. This bubble will bemuch bigger and even more devastating then the mortgage finance bubble. Themortgage bubble lasted five years, but because of government dependency on theFed and foreign lenders this could happen more quickly say in two to three years.

The Fed is controlling the financial system and they caused this disaster. Theonly solution is passage of HR 1207 and S 604 - The Federal Reserve TransparencyAct of 2009. Then pass legislation to end the Fed. Then we can get this mess sortedout once and for all.

The morons in Sweden have cut interest rates to a minus .25%. Pretty soonthey will throw money out of helicopters.

This is another step toward trade wars.Mortgage lenders dont try to rework most home loans held by borrowers facing

foreclosure because it would probably mean losing money, a study released yesterdayby the Federal Reserve Bank of Boston concludes.

The Boston Feds findings suggest the Obama administrations major effort tosolve the foreclosure crisis by giving the lending industry $75 billion to rewritedelinquent loans to more affordable levels is not likely to work.

One of the studys coauthors, Boston Fed senior economist Paul S. Willen, saidthe government would be better off giving the money directly to struggling borrowers tohelp them with their payments, rather than to lenders that are averse to working outthe troubled loans.

The U.S. Federal Reserve, facing growing pressure as it tries to heal the ailingeconomy, dodged a bullet on Monday when the U.S. Senate cast aside a new effort toincrease scrutiny of the central bank.

On procedural grounds, the Senate blocked a bid to permit the U.S. comptrollergeneral, who heads the investigative arm of Congress known as the GovernmentAccountability Office, to audit the Federal Reserve system and issue a report.

Republican Senator Jim DeMint, who has been pushing for greatertransparency at the Fed, failed to get the provision attached to the must-pass annual

spending bill that includes funding for the GAO for the upcoming 2010 fiscal year.The audit would have included details about the Fed's discount windowoperations, funding facilities, open market operations and agreements with foreigncentral banks and governments, DeMint said on the Senate floor.

"The Federal Reserve will create and disburse trillions of dollars in response toour current financial crisis," DeMint said. "Americans across the nation, regardless oftheir opinion on the bailout, want to know where the money has gone.

"Allowing the Fed to operate our nation's monetary system in almost completesecrecy leads to abuse, inflation and a lower quality of life," he said.

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Democrats who control the Senate blocked the South Carolina Republican'samendment on the grounds that it violated rules prohibiting legislation attached tospending bills.

Fed officials were not immediately available to comment.The move comes as some lawmakers have increasingly become wary of the

Fed's actions, particularly for its handling of the real estate market and the meltdown ofmajor financial institutions like investment bank Bear Stearns and insurance giantAmerican International Group.

A non-binding provision in the fiscal 2010 budget blueprint Congress approvedin April called on the Fed to provide more information about collateral posted againstBear Stearns and AIG loans.

That measure also sought a study evaluating the appropriate number and costsof the regional Fed banks.

The U.S. central bank has a seven-member board in Washington whosemembers are nominated by the president and confirmed by the Senate. It also has 12regional banks whose presidents are appointed by banks and other businesses in theirlocal districts, with the consent of the Washington board.

The vacancy rate rose to 10.2 percent in the second quarter from 8.5 percent inthe first quarter in the District, to 13.9 percent from 12.9 percent in Northern Virginia;and to 13.9 percent from 13.1 percent in suburban Maryland.

In June, AT&T was singled out for avoiding state income taxes on millions ofdollars of earnings by sending the money out of Connecticut to a subsidiary in anotherstate.

But it's not the only business doing that.As state legislators grapple with a two-year budget deficit estimated at just

under $9 billion, multi-state corporations are using loopholes in Connecticut's tax lawto legally divert tens of millions of untaxed dollars out of Connecticut as "intercompanyroyalties," tax experts say.

It's a practice in which a company essentially pays itself untaxed money for useof its own logo on buildings, stationery and so forth. Because corporate tax information

is confidential, it's unclear how many other companies are avoiding taxes that way."These companies pay less in taxes than the people who sweep their floors at

night and type their letters," said Richard Pomp, a University of Connecticut lawprofessor and expert on business taxes. "It's a scandal. My guess is every one of thebig corporations is doing it in Connecticut."

AT&T's use of the practice came to light because the state Department ofPublic Utility Control audits the financial statements of a company subsidiary, AT&TConnecticut. According to DPUC documents, between June 2002 and December2004, AT&T Connecticut sent $145 million in royalties to a company AT&T owns inNevada, where the money was not subject to corporate taxes.

Connecticut Attorney General Richard Blumenthal announced in June that hehas begun investigating AT&T's use of the practice.

Tax-reform advocates say the tactic shortchanges Connecticut out of millionsof dollars in tax revenue every year. Corporations call it smart business."There's nothing wrong with good tax planning," said corporate tax attorney

Morris W. Banks, of Pullman & Comley in Hartford, of the practice.The issue has drawn extra attention recently as revenue-starved states and

corporations joust during the recession.Who wins the battle between Connecticut and AT&T is still to be determined.

But the U.S. Supreme Court's recent refusal to hear a similar case fromMassachusetts could indicate Connecticut may have the upper hand.

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Money goes elsewhereBlumenthal charged in June that while AT&T was "pleading poverty" and

cutting jobs in Connecticut, it was busily avoiding state taxes by sending money toNevada.

All corporations that "carry on business" in Connecticut are subject to thestate's 7.5 percent corporate tax, although what constitutes "doing business" isroutinely debated in court. Some corporations have claimed that they should not haveto pay state taxes unless they have a "physical presence in the state."

According to AT&T financial statements, a corporate subsidiary, AT&TConnecticut, has for years been paying Reno, Nev.-based Knowledge Ventures, alsoowned by AT&T, for the use of AT&T trademarks, such as the company's blue-and-white globe logo that's printed on customer bills. In 2008, the company paidKnowledge Ventures $46.7 million in "intercompany royalties."

AT&T has said the payments are a common and acceptable practice, and theydo not come from rates paid by customers.

"Substantially all of AT&T's domestic subsidiaries that earn revenue fromexternal customers pay royalties to our intellectual property subsidiary," wrotecompany spokesman Chuck Coursey in an e-mail. "The royalty payments cover theuse of all of AT&T's intellectual property (for example, trademarks, trade names,patents)."

Coursey said the Nevada holding company manages all of the company'sroyalties, including those paid by third-party companies unrelated to AT&T.

Blumenthal, however, has criticized AT&T for the practice, saying it"questionably siphoned" the money away from Connecticut's taxpayers andconsumers. His office learned about the royalties from a routine audit of the company'sfinancial statements conducted for the state DPUC. The chairman of the DPUC wrotea letter to the state tax commissioner in May, alerting her to the untaxed payments.

"These matters are obviously outside of the department's jurisdiction orexpertise," wrote DPUC Chairman Donald W. Downes in the letter.

"However, the department believes that your agency should be apprised of the

royalty payment arrangement so that you might investigate to ensure that equityprevails among Connecticut taxpayers."

Mr. Williams on the goofy B/D Model: The system was not designed toaccommodate recessions, but the benchmark revisions tended to show a pattern offairly consistent overstatement with the annual revisions, regardless of the businesscycle. During the reporting cycle covering the 1990 to 1991 recession, a particularlylarge downward benchmark revision in previously reported payrolls levels was blamedpartially on the BLS assuming that companies that had stopped reporting during therecession still were in business, with proportionate payroll employment attributed tothem by the BLS. The problem was that much of the non-reporting reflectedcompanies going out of business. The bulk of that modeling was based on periods ofeconomic growth. [John believes that the Birth/Death Model has overstated

employment by 2.5 million jobs per year.]The unadjusted annual decline in June payrolls was the deepest since a similardecline at the trough of the 1958 recession, but still shy of the 4.9% trough seen in the1949 downturn. When the 1949 annual low growth is broken, possibly next month, theannual percentage contraction in payrolls will be the most severe since the productionshutdown following World War II.

The unemployment timebomb is quietly ticking Beyond riots in Athensand a Baltic bust-up, we have not seen evidence of bitter political protest as the slumpeats away at the

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legitimacy of governing elites in North America, Europe, and Japan. It may just be amatter of time

The Centre for Labour Market Studies (CLMS) in Boston says USunemployment is now 18.2pc, counting the old-fashioned way. The reason why thisdoes not "feel" like the 1930s is that we tend to compress the chronology of theDepression. It takes time for people to deplete their savings and sink into destitution.

Did someone try to steal Goldman Sachs secret sauce?While most in the US were celebrating the 4th of July, a Russian immigrant living inNew Jersey was being held on federal charges of stealing top-secret computer tradingcodes from a major New York-based financial institutionthat sources say is noneother than Goldman Sachs

The platform is one of the things that apparently gives Goldman a leg-up overthe competition when it comes to rapid-fire trading of stocks and commodities. Federalauthorities say the platform quickly processes rapid developments in the markets anduses top secret mathematical formulas to allow the firm to make highly-profitableautomated trades.

The criminal case has the potential to shed a light on the inner workings of animportant profit center for Goldman and other Wall Street firms

The case against Aleynikov may explain why the New York Stock Exchangemoved quickly last week to stop reporting program stock trading for its most activefirms.

A Themis Trading LLC White PaperWe believe, however, that there are more fundamental reasons behind the

explosion in trading volume and the speed at which stock prices and indexes arechanging. It has to do with the way electronic trading, the new for-profit exchangesand ECNs, the NYSE Hybrid and the SECs Regulation NMS have all come together inunexpected ways, starting, coincidently, in late summer of 2007.

This has resulted in the proliferation of a new generation of very profitable, high-speed, computerized trading firms and methods that are causing retail and institutionalinvestors to chase artificial prices.

These high frequency traders make tiny amounts of money per share, on ahuge volume of small trades, taking advantage of the fact that all listed stocks are nowavailable for electronic trading, thanks to Reg NMS and the NYSE Hybrid. Now that ithas become so profitable, according to Traders Magazine, more such firms arestarting up, funded by hedge funds and private equity (only $10 million to $100 millionis needed), and the exchanges and ECNs are courting their business.

This paper will explain how these traders namely liquidity rebate traders,predatory algorithmic traders, automated market makers, and program traders areexploiting the newmarket dynamics and negatively affecting real investors.

In this case, our institutional investor is willing to buy shares in a price range of$20.00 to $20.05. The algo gets hit, and buys 100 shares at $20.00. Next, it shows itwants to buy 500 shares. It gets hit on that, and buys 500 more shares. Based on that

information, a rebate trading computer program can spot the institution as having analgo order. Then, the rebate trading computer goes ahead of the algo by a penny,placing a bid to buy 100 shares at $20.01. Whoever had been selling to theinstitutional investor at $20.00 is likely to sell to the rebate trading computer at $20.01.That happens, and the rebate trading computer is now long 100 shares at $20.01 andhas collected a rebate of penny a share. Then, the computer immediately turnsaround and offers to sell its 100 shares at $20.01. Chances are that the institutionalalgo will take them.

The rebate trading computer makes no money on the shares, but collects

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another penny for making the second offer. Net, net, the rebate trading computermakes a penny per share, and has caused the institutional investor to pay a pennyhigher per share.

Last week, the stock market tumbled on news that housing foreclosures anddelinquencies rose again in the first quarter. The Office of the Comptroller of theCurrency said that among the 34 million loans it tracks, foreclosures in progress rose22 percent, to 844,389. That figure was 73 percent higher than in the same period lastyear.

Foreclosures, meanwhile, keep rising. In June, 281,560 were in process, slightlyabove the 277,847 in May. Last January, there were about 242,000 foreclosures in thepipeline among the Wells Fargo trusts. I was hoping we would see some impact inJune of the governments program, Mr. White said. Is Home Affordable working? Myshort answer is no.

Though few people have heard of it, hot money or brokered deposits, as it isalso known in the industry is one of the primary factors in the accelerating wave offailures among small and regional banks nationwide. The estimated cost to the FederalDeposit Insurance Corporation over the last 18 months is $7.7 billion, and growing.

The 79 banks that have failed in the United States over the last two years had anaverage load of brokered deposits four times the national norm .

An investigator at the Securities and Exchange Commission warned superiorsas far back as 2004 about irregularities at Bernard L. Madoff's financial managementfirm, but she was told to focus on an unrelated matter, according to agency documentsand sources familiar with the investigation.

Walker-Lightfoot's supervisors on the case were Mark Donohue, then a branchchief in her department, and his boss, Eric Swanson, an assistant director of thedepartment, said two people familiar with the investigation. Swanson later marriedMadoff's niece, and their relationship is now under review by the agency's inspectorgeneral, who is examining the SEC's handling of the Madoff case.

New Evidence on the Foreclosure Crisis; Zero money down, not subprimeloans, led to the mortgage meltdown

51% of all foreclosed homes had prime loans, not subprime, and that theforeclosure rate for prime loans grew by 488% compared to a growth of 200% forsubprime foreclosures.

The analysis indicates that, by far, the most important factor related toforeclosures is the extent to which the homeowner now has or ever had positive equityin a home.

Homeowners across the country are challenging their property tax bills in drovesas the value of their homes drop, threatening local governments with another big drainon their budgets.

The tax appeals and reassessments present a new budget nightmare forgovernments. In a survey conducted by the National Association of Counties, 76percent of large counties said that falling property tax revenue was significantly

affecting their budgets, said Jacqueline Byers, the associations research director.Officials in some states say their property tax revenue is falling for the first timesince World War II.

At a court appearance July 4 in Manhattan, Assistant U.S. Attorney JosephFacciponti told a federal judge that Aleynikovs alleged theft poses a risk to U.S.markets. Aleynikov transferred the code, which is worth millions of dollars, to acomputer server in Germany, and others may have had access to it, Facciponti said,adding that New York-based Goldman Sachs may be harmed if the software isdisseminated.

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The bank has raised the possibility that there is a danger that somebody whoknew how to use this program could use it to manipulate markets in unfair ways,Facciponti said, according to a recording of the hearing made public today. [Theprosecutor apparently does not understand the implications of his statement but mostof The Street and much of the public do.]

Mortgage applications in the U.S. rose last week as refinancing jumped by themost since March and purchases climbed to the highest level in three months.

The Mortgage Bankers Associations index of applications to purchase a homeor refinance a loan increased 11 percent to 493.1 in the week ended July 3, from 444.8in the prior week. The groups refinancing gauge surged 15 percent, while the index ofpurchases gained 6.7 percent.

Foreclosure-driven declines in prices have brought more homes within reach ofbuyers who qualify for credit, helping to stabilize demand. At the same time,unemployment is rising and borrowing costs are edging back up, indicating anyrebound for the housing industry will be slow to take hold.

Prices are coming off toward more affordable levels, said David Semmens, aneconomist at Standard Chartered Bank in New York. While sales are showing somestability, he said, we dont expect the housing market to suddenly turn around.

Todays report showed the mortgage bankers refinancing gauge increased to1,707.7 from the previous weeks 1,482.2, which was the lowest reading sinceNovember 2008. The purchase index rose to 285.6 from 267.7.

In a sign the housing slump may be bottoming out, a July 1 report from theNational Association of Realtors showed the number of Americans signing contracts tobuy previously owned homes rose in May for a fourth consecutive month.

The share of applicants seeking to refinance loans climbed to 48.4 percent oftotal applications last week, todays report showed, from 46.4 percent.

National chain store sales fell 4.3% in the first five weeks of June versus theprevious month, according to Redbook Research's latest indicator of national retailsales released Tuesday.

The latest numbers are starkly different from recent weeks because they don't

include Wal-Mart Stores Inc. (WMT), which said last month it would no longer providemonthly sales figures.

The fall in the index was compared to a targeted 4.1% drop.The Johnson Redbook Index also showed seasonally adjusted sales in the periodwere down 4.4% compared with June 2008, compared to a targeted 4.2% fall.

Redbook said that on an unadjusted basis, sales in the week ended Saturdaywere down 4.2% from the same week in 2008 after a 4.3% decline the prior week.

Soaring U.S. unemployment and a shrinking economy drove delinquencies oncredit card debt and home equity loans to all-time highs in the first quarter as a recordnumber of cash-strapped consumers fell behind on their bills.

Delinquencies on the value of all card debt soared to a record 6.60 percentfrom 5.52 percent in the fourth quarter as more cardholders relied on plastic to meet

day-to-day expenses, the American Bankers Association said.Late payments on home equity loans rose to 3.52 percent from 3.03 percent,and on home equity lines of credit climbed to 1.89 percent from 1.46 percent.

A broader gauge showing late payments on eight categories of loans rose for afourth straight quarter to a new record, edging up to 3.23 percent from 3.22 percent.That rate actually understates consumer pain because it excludes credit cards. TheABA tracks loan payments that are at least 30 days late.

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The International Council of Shopping Centers and Goldman Sachs RetailChain Store Sales Index edged up 0.1% in the week ended Saturday from its level aweek before on a seasonally adjusted, comparable-store basis.

On a year-on-year basis, retailers saw sales rise 0.5% in the latest week.Despite massive government efforts to bolster the credit market, banks are

pulling back severely on card lending.In the first four months of the year the latest data banks issued 9.8 million

new credit cards, a 38% drop from the same time last year, according to Equifax creditbureau data. Low-risk borrowers can still get credit, but they're getting less thanbefore. The average limit on a new card, after rising during the recession, slipped 3%so far this year to $4,594.

Home prices may fall in more than half of the largest U.S. cities through the firstquarter of 2011 as unemployment and foreclosures rise, mortgage insurer PMI GroupInc. said.

Thirty of the 50 biggest metropolitan areas have at least a 75 percent chance oflower prices through March 31, 2011, Walnut Creek, California-based PMI said in areport today. The decline is likely to spread to all regions of the nation fromCalifornia, Florida, Nevada and Arizona, the states most affected by the housingslump, PMI said. The housing market has been hit by a demand shock of highunemployment and a supply shock of distressed foreclosure sales, LaVaughn Henry,senior economist at PMI, the fourth- largest U.S. mortgage insurer, said in aninterview.

The United States should be planning for a possible second round of fiscalstimulus to further prop up the economy after the $787 billion rescue packagelaunched in February, an adviser to President Barack Obama said.

"We should be planning on a contingency basis for a second round ofstimulus," Laura D'Andrea Tyson, a member of the panel advising President BarackObama on tackling the economic crisis. said on Tuesday.

Yesterday the Fed bought, which is a euphemism for monetized, $7B ofTreasuries maturing between January 2014 and March 2016 even though the US

Treasury will hold a one-week record of four auctions this week to issue $73B of USdebt. $8B of 10-year inflation-linked notes was sold yesterday. The remainingtranches: $35B of 3s today, $19B of 10s on Wednesday and $11B of 3s on Thursday.

Investment banks, including Goldman Sachs and Barclays Capital, are inventingschemes to reduce the capital cost of risky assets on banks balance sheets, in thelatest sign that financial market innovation is far from dead.

The schemes, which Goldman insiders refer to as insurance and BarCap callssmart securitisation, use different mechanisms to achieve the same goal: cuttingcapital costs by up to half in some cases, at the same time as regulators arethreatening to force banks to increase their capital requirements.

Robert Hormats, Vice Chairman of Goldman Sachs, is to be installed as UnderSecretary of Economics, Business, and Agricultural Affairs. This comes as one more,

probably unnecessary reminder of the total control exercised by Wall Street over theObama administrations economic and financial policyhe will find plenty of old friendsused to making decisions, almost all of them uniformly disastrous for the U.S. andglobal economy

Hormats agricultural responsibilities will of necessity bring him into frequentcontact with the Chairman of the Commodity Futures Trading Commission, GaryGensler a former Goldman partner.

As Assistant Secretary of Treasury in the Clinton Adminsitration Gensler playeda key role in greasing the skids for the notorious Commodity Futures Modernization

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Act of 2000, which set the stage for the great credit default swaps scam thatunderpinned the recent bubble and subsequent collapse. News of the appointment didgenerate threats of obstruction in the Senate any one of the senators could haveblocked the appointment had they really wished to do so but such threats provedpredictably hollow. Had they been otherwise, Treasury Chief of Staff Mark Pattersoncould of course have lent the expertise he gained as Goldmans lobbyist to overcomethe obstacle.

Such connection to the key enablers of our bankrupt casino helps explain manyof the other hires listed above.

Some plans want to hide the truth from taxpayersPublic employee pension plans are plagued by overgenerous benefits,

chronicunderfunding, and now trillion dollar stock-market losses. Based on theirpreferred accounting methods -- which discount future liabilities based on high butuncertain returns projected for investments -- these plans are underfunded nationallyby around $310 billion.

The numbers are worse using market valuation methods (the methods private-sector plans must use), which discount benefit liabilities at lower interest rates toreflect the chance that the expected returns won't be realized. Using that method,University of Chicago economists Robert Novy-Marx and Joshua Rauh calculate that,even prior to the market collapse, public pensions were actually short by nearly $2trillion. That's nearly $87,000 per plan participant. With employee benefits guaranteedby law and sometimes even by state constitutions, it's likely these gargantuanshortfalls will have to be borne by unsuspecting taxpayers

For these reasons, the Public Interest Committee of the American Academy ofActuaries recently stated, "it is in the public interest for retirement plans to discloseconsistent measures of the economic value of plan assets and liabilities in order toprovide the benefits promised by plan sponsors."

Nevertheless, the National Association of State Retirement Administrators, anumbrella group representing government employee pension funds, effectively wantsother public plans to take the same low road that the two Montana plans want to take.

It argues against reporting the market valuation of pension shortfalls. But theassociation's objections seem less against market valuation itself than against the factthat higher reported underfunding "could encourage public sector plan sponsors toabandon their traditional pension plans in lieu of defined contribution plans."

Big Banks Don't Want California's IOUs A group of the biggest U.S. banks saidthey would stop accepting California's IOUs on Friday, adding pressure on the state toclose its $26.3 billion annual budget gapThe group of banks included Bank ofAmerica Corp., Citigroup Inc., Wells Fargo & Co. and J.P. Morgan Chase & Co.,among others.

June saw officially 473,000 jobs lost in the non-farm sector. If you add in thebogus birth/death ratio of 185,000 jobs, 20,000 more than last June, you have a realnumber of 658,000 jobs lost. Now you can understand why U6 is not 16.5% and in

reality is 20.5% unemployment.The workweek was at a record low of 33 hours. Can you imagine how manypeople are working part-time? John Williams who is better at this than I am has it at20.6%.

*****http://mgray12.wordpress.com/2009/07/01/how-many-jfk-shooters/

Goldman Sachs spokesman "confirms" second JFK shooter?

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Michael GrayDeputy Sunday Business EditorNew York Post212.930.8592mgray@nypost.com

*****

http://mgray12.wordpress.com/2009/07/08/goldmans-gothcha/

Goldman's stolen code allowed trading in dark pools, manipulate markets.

Michael GrayDeputy Sunday Business EditorNew York Post212.930.8592mgray@nypost.com

*****

Zero Hedge Is a Case of Quant Trading Sabotage about to Destroy GoldmanSachs?

http://zerohedge.blogspot.com/2009/07/is-case-of-quant-trading-industrial.html

*****

Is Uncle Sam Manipulating the Equity Markets?Part IIIPosted by Larry Doylehttp://www.senseoncents.com/2009/07/is-uncle-sam-manipulating-the-equity-marketspart-iii/

*****

Kurt Nimmo on Alex Jones Tv: California Checkpoints & Domestic Terrorismhttp://revolutionarypolitics.com/?p=1508

*****

Was Goldmans trading software stolen?http://blogs.reuters.com/great-debate/2009/07/05/a-goldman-trading-scandal/

*****

BOMBSHELL-Supreme Court now has Obama citizenshiphttp://www.campaignforliberty.com/blog.php?view=21201

***** Bioweapons, Dangerous Vaccines, and Threats of a Global Pandemicby Stephen Lendmanhttp://sjlendman.blogspot.com/

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*****

Trading of California IOUs catches regulators' eyesBy W.J. Henniganhttp://www.latimes.com/business/la-fi-california-ious7-2009jul07,0,3106808.story

***** U.S.: Letting Israel act freely on Iran isn't policy change

http://haaretz.com/hasen/spages/1097911.html Joe Biden tells ShalomTV I am a Zionisthttp://www.jewishjournal.com/elections/article/video_joe_biden_tells_shalomtv_i

_am_a_zionist_20080823/ *****

Recession's Toll: Most Recent College Grads Working Low-Skill Jobs

http://www.truthout.org/070309LA?n

Taming The Beast: *****

http://www.cibmagazine.com.cn/Columnists/Andy_Xie.asp?id=992&taming_the_beast.html

*****

BN: U.S. Office Vacancies Near 4-Year High on Job Losses, Reis Says http://www.bloomberg.com/apps/news?pid=20601087&sid=aP7Rhur2u4Z0

LA Times: L.A. County's May default rate double last year

http://latimesblogs.latimes.com/laland/2009/07/la-county-may-default-rate-double-last-year.html

BN: Japan Machine Orders Unexpectedly Fall a Third Month Bookings, an indicator of capital investment in the next three to six months, declined 3 percent from April, when they plunged 5.4 percent, the Cabinet Office said today in Tokyo. The median estimate of 25 economists surveyed by Bloomberg was for a 2 percent increase.http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aw0dqAmNRukc

***** ATTORNEY GENERAL TO CLASSIFY PRO-LIFE, PRO-GUN AMERICANS AS

TERRORISTS

By NWV News writer Jim Kouri

http://www.newswithviews.com/NWV-News/news152.htm

*****

General of all American Intelligence: 911 was a fraud!

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http://www.youtube.com/watch?v=daNr_TrBw6E

*****

Goldman May Lose Millions From Ex-Workers Code Theft

http://www.bloomberg.com/apps/news?pid=20601087&sid=axYw_ykTBokE

*****

Senate Blocks Bill To Audit The Fed As Government Prepares For SecondRound Of Looting

http://www.infowars.com/senate-blocks-bill-to-audit-the-fed-as-government-prepares-for-second-round-of-looting/

*****

DeMint amendment to audit the Federal Reserve blocked by Senate Leadership -Dprogram.nethttp://www.youtube.com/watch?v=uutzOxY-wpg

*****Financial Agency IGs Say Bill Threatens Independence [this is a furtherconsolidation of executive power bringing us closer to dictatorial government.Bob]

http://www.washingtonpost.com/wp-dyn/content/article/2009/07/05/AR2009070502519.html?wpisrc=newsletter

*****

Wall Street's Toxic MessageWednesday 01 July 2009

http://www.truthout.org/070609O?n

*****

Obama's Cap and Trade Carbon Emissions Bill - A Stealth Scheme to License Pollution and Fraudby Stephen Lendmanhttp://sjlendman.blogspot.com/

*****

Bill Gives Attorney General Power To Designate Gun Owners, Tax Protesters AsTerrorists

http://www.infowars.com/bill-gives-attorney-general-power-to-designate-gun-owners-tax-protesters-as-terrorists/

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*****

401(k) as Dangerous as the Dollar

http://whiskeyandgunpowder.com/401k-as-dangerous-as-the-dollar/

*****

Adding Up the True Costs of Two Wars

http://www.truthout.org/070709T?n

*****

Local company develops medical breakthrough

http://www.9news.com/life/programming/shows/evenings/article.aspx?storyid=108571&catid=510

*****

Federal Web sites knocked out by cyber attack

http://www.google.com/hostednews/ap/article/ALeqM5icTKBW9_fm-oKDzns75BI-ykokSwD999UN580

*****

From a Fellow Subscriber:

Hi Bob, I hope you\'re feeling better, just to let you know I invested in 4 of the minersyou recommended in the forecaster on Saturday, let\'s hope they will make us afortune! Just an fyi, in the forecaster you had a clip about Larry Levin on CNBC, as itturns out, CNBC pulled out the video so the link you provided will not work (whowould've thought CNBC staff get the forecaster!); however here it is on youtube:http://www.youtube.com/watch?v=tFWIe7qqaZU looking forward to the next issue,God bless [as you can see, anything that borders on the truth is purged by thecontrolled media. They cannot hide what they are doing forever. Bob]

*****

US Reported In Panic After Chemtrail Planes Forced Down In India, Nigeria

http://www.fourwinds10.com/siterun_data/environment/humans/chemtrails/news.php?q=1246309936

*****

From a Fellow Subscriber:Hey Bob,Matt Taibbi was interviewed on the Canadian business channel - BNN.

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http://watch.bnn.ca/the-close/july-2009/the-close-july-2-2009/#clip189690

I would never expect to him being interviewed in the US like this....

Cheers,*****

Missouri National Guard Train to Kill Militia Insurgents in Exercise

http://www.infowars.com/missouri-national-guard-train-to-kill-militia-insurgents-in-exercise/

*****

Wall Street gears up to trade California IOUs

http://www.ft.com/cms/s/0/01d98e08-69a9-11de-bc9f-00144feabdc0.html?ftcamp=rss&nclick_check=1

*****

Inflationary Crack-up boom has Commenced in the G7 Econonomies!

http://www.24hgold.com/english/news-gold-silver-inflationary-crack-up-boom-has-commenced-in-the-g7-economies-.aspx?article=2168942496G10020&redirect=false&contributor=Ty+Andros

*****

Goldman Trading-Code Investment Put at Risk by Theft

http://www.bloomberg.com/apps/news?pid=20601087&sid=a_6d.tyNe1KQ

*****

"The Age Of Despotism"by Chuck BaldwinJuly 7, 2009http://www.chuckbaldwinlive.com/c2009/cbarchive_20090707.html

Big Banks Don't Want California's IOUsPublished on 07-07-2009http://blacklistednews.com/?news_id=4763

*****

From a Fellow Subscriber:

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HI Bob:Couple of weeks ago I got a postal money order for 92 dollars. I stopped by the

post office to cash it, as it is right next to the Mall in my neighborhood. This was about9 am, the postal clerk who helped looked at my money order and said, I'll be rightback. A few minutes later she came back and asked if I would come back in a fewhours possibly after lunch to try and cash the money order. I asked why and she saidthey did not have the cash to cash it, $92 Dollars!!! So I left, I came back at 2pm and Iwas told the very same thing again only this time they asked me to come back thenext day!!! This is crazy, I live in a very affluent part of Honolulu called Kahala and thispost office did not have 92 dollars for more than a day????? If this is not scary Idon't know what is.

*****

From a Fellow Subscriber:

Hi Bob, last evening I was channel surfing and came upon CNBC Jim Cramer. Ilistened to what he was telling his audience what he thought was a great thing for thefuture. He recommended the govt create a program that would allow all IRA's, collegefunds, etc. to be invested in a 30-year treasury at a fixed 5%. Another talking head forCNBC/Fed. Why would anyone lend the US govt money for 30 years?

*****

From a Fellow Subscriber:

Friends,I am collecting some data and would appreciate your help getting respondents to a pollI am listing at the top of my blog for the rest of the month. If you would, pleasecirculate the paragraphs below as you see fit, perhaps by forwarding this note, addingto your blog, or including with your comments at other news sites or blog posts.

FYIthe Poll:

Certain elites in government, media, and finance are working together: - Not at all - By default not by design (i.e., ONLY via shared values)- By a plan to achieve shared goals ONLY within the U.S.- By a plan to move the U.S. into a system of world government - Other:

Thanks!Mark----

The blog A Deo Lumen is collecting data on the idea of elites in government, business,and media working together, purposely avoiding visibility before the American people.This is a complex and difficult subject. The goal is to objectively survey a wide range

of people on what they think about news stories like the recent revelations about theWashington Post lobbyist-funded off-record dinners between business, media, andgovernment leaders.

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There are millions of hits on various websites, YouTube videos, and blogs that placeissues like these in a conspiracy narrative. Yet, this is not a narrative accepted in themainstream. The fact that so many people visit these sites makes this narrative andits influence worthy of objective analysis. So, I invite you to respond to the poll at thelink below, so we can learn what as many people as possible believe about elitesworking together. Feel free forward this to others. Results will be published in earlyAugust.http://adeolumen.com/

*****

From a Fellow Subscriber:I thought this article was interesting coming from Rolling Stones Magazine. It seems toessentially confirm about everything you have been saying about Goldman Sachs. Italso goes on to talk about the next bubble that Goldman hopes to get in on, the carboncredits aka climate change. It's a long article with videos, but here is a small excerpt:

Regards,The Great American Bubble Machine - Matt Taibbi on how Goldman Sachs hasengineered every major market manipulation since the Great Depression

MATT TAIBBIPosted Jul 02, 2009 8:38 AM

They achieve this using the same playbook over and over again. The formula isrelatively simple: Goldman positions itself in the middle of a speculative bubble, sellinginvestments they know are crap. Then they hoover up vast sums from the middle andlower floors of society with the aid of a crippled and corrupt state that allows it torewrite the rules in exchange for the relative pennies the bank throws at politicalpatronage. Finally, when it all goes bust, leaving millions of ordinary citizens broke andstarving, they begin the entire process over again, riding in to rescue us all by lendingus back our own money at interest, selling themselves as men above greed, just abunch of really smart guys keeping the wheels greased. They've been pulling thissame stunt over and over since the 1920s and now they're preparing to do it again,creating what may be the biggest and most audacious bubble yet.

...the new game in town, the next bubble, is in carbon credits a boomingtrillion- dollar market that barely even exists yet, but will if the Democratic Party that itgave $4,452,585 to in the last election manages to push into existence agroundbreaking new commodities bubble, disguised as an "environmental plan," calledcap-and-trade. The new carbon-credit market is a virtual repeat of the commodities-market casino that's been kind to Goldman, except it has one delicious new wrinkle: If

the plan goes forward as expected, the rise in prices will be government-mandated.Goldman won't even have to rig the game. It will be rigged in advance.

http://www.rollingstone.com/politics/story/28816321/the_great_american_bubble_machine/print

*****

From a Fellow Subscriber:

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Hi Bobrumor has it that Kurt Sonnenfeld who was the top FEMA video graphercovering-archiving the 9-11 atrocity has gone rogue and has started whistle blowingabout 9-11HAS 26 TAPESand the Feds want him SOOOOOOOOOBADDDDDDDwhen his first wife Nancy Sonnenfeld committed suicidethe Fedscharged their FEMA man with her murderand kept him incarcerated for monthsknowing he would walkKurt Sonnenfeld then re-married and fled the USA toArgentinawhere the Feds are doing a full court press to have Sonnenfeld extraditedback to the USAso far the Judges in Argentina have all seen it to be a scam andhave refused all US extradition applicationswhat is driving the 9-11 perps insane isthat Sonnenfeld has released his 9-11 book El Perseguido (The Persecuted) onMay 8, 2009, at the 35th Annual Buenos Aires Book Fair in Argentinathat details hisre-conoitering and detailed videographing of the 9-11 implosion siteHAS 26TAPESSonnenfeldt is whistle blowing that in the case of WTC 6the governmentsuper secure storage vaults in the basement were all looted prior to 9-11 and theywere busted open like cracked walnuts when he got therethe vault was largeenough, 15 meters by 15 meters by my estimateand when he inspected the interiorfor CONTENTSthere was Zilch-Bubkasinsidenothing inside was damagedbecause nothing was theresome TOMB-RAIDERS pun intendedmust havegotten there before the 9-11 job got donebut some or all of the above is not the onlything that is putting DC and Wall Street into total meltdown----Kurt Sonnenfeld: I amconvinced that my 26 tapes reveal many more anomalies than I am capable ofrecognizing given my limited qualifications. I will therefore cooperate in any way that Ican with serious and reliable experts in a common endeavor to expose the truth.Asofficial videographer for the U.S. government,Kurt Sonnenfeld was detailed to Ground Zero on September 11, 2001, where he spentone month filming 29 tapesKurt Sonnenfeld still has these 26 tapeswhich areNOT AVAILABLE to the US governmentHE IS A SUPER PATRIOT ANDREFUSES TO GIVE THEM THE TAPES---Kurt Sonnenfeld also said some or all ofthe following--- it was very odd to me when I learned that FEMA and several otherfederal agencies had already moved into position at their command center at Pier 92

on September 10th, one day before the attacks!Kurt Sonnenfeld might also he a co-religionist of the Wall Street Necromancers that did the 9-11 jobextensiveWHISTLE BLOWING interview link is below

http://www.voltairenet.org/article160636.html Hi bobhere is Kurt Sonnenfeldt TV video interview in Spanishmaybe you cantranslate it for the rest of the subscriber basethe link is below.

http://www.youtube.com/watch?v=E6KpjAgCYiE*****

From a Fellow Subscriber:Bob,I am sending the below inquiry to the chief of media relations at the NY Fed. Is thereanything I am missing?

Mr. Girardin:I am looking for all information, which your private banking operations receives, inregards to electronic fund transfers between Bernard Madoff and his securities firm tooff-shore banking operations.

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In the course of daily operations the New York Federal Reserve Bank receivesinformation on all international electronic fund transfers under 12 CFR Part 205,[Regulation E; Docket No. R0831] Electronic Fund Transfers.

I would appreciate a timely reply to this request.

Thank you for your time.[This is the key to who is involved in one of the biggest scams in history. We reported$ 100 billion, the press reported $50 billion and now we find it is $141 billion andclimbing. The Fed had to be in on this, along with the SEC begin directed by the CIA.This scam is similar to the BCCI scam and the Nguyen Hand scam. If all yousubscribers would send a similar kind of letter to the Fed you would be letting themknow that lots of people know what they have done. Bob]

*****

From a Fellow Subscriber:Dear Bob:

When I first started reading your newsletter years ago, I frankly thought you were afringe kook, albeit very intelligent and insightful. After reading your letter of July 4th2009, I think you are too conservative. The USD is clearly heading towards exchangecontrols and bank holidays, and we will be LUCKY if the US Dollar Index does notdescend below 71.2. With the passage of Cap and Trade, and the so-called Hate Bill(It really should be called the Creation of Thought Crimes Bill to Protect Zionists whilethey rob you of all of your wealth Bill), and including the various Patriot Acts, the US isnow unquestionably a fascist dictatorship.

I have been buying Gold and selected mining shares, as recommended by you andothers enlightened financial commentators. I am wondering, what other foreigncurrencies are you recommending besides Swiss Francs, and what banks, if any,

would be safe for holding funds. Do you like UBS or Credit Swisse? Would you usethem to store Gold Bullion? What about Hong Kong, Singapore or Chinese Banks? Arethere any safe Banks in the US or Canada? I believe a short summary of your viewswould be extremely useful to your readers. Please advise :-)

PS Keep up the great work. I hope your voice will not be silenced by the Hated ofFreedom of Speech.

We are what we repeatedly do. Excellence, then, is not an act but a habit.Aristotle.

All that we are is the result of what we have thought. If a man speaks or acts with an

evil thought, pain follows him. If a man speaks or acts with a pure thought, happinessfollows him, like a shadow that never leaves him.The Buddha.

*****From a Fellow Subscriber:

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It's been about two weeks since the streaks in the skies ended over Vegas andPahrump Valleys. The sky has returned to a beautiful blue color after over a year'sabsence. The mountain crevices are once again clearly visible and beautiful, havingreplaced the ever-present haze that obstructed their viewing during the prolongedchemtrail activity. As yet, I have no idea if the chemtrails have ceased in other areas ofthe U.S. and world. I'm sure most people still have no idea that aircraft were sprayingor dropping anything at all. I still wonder what exactly was dropped, why and what effectis had and will have on us. I know how mice must feel after being given shots duringlaboratory experiments for the "good of mankind". Could we now be the mice in theexperiments being conducted for their good?

Nostradamus, the Mayans and many others have said Dec 21, 2012 is when we willknow. I feel certain we will know much sooner than that why the chemtrails, why theconstant and growing "fear" being forced down our throats and why almost everyonenow feels that we are in the movie The Matrix. Knowledge is the answer most seek-knowledge replaces fear and knowledge protects. The trick is to identify truth from spin,propaganda and lies. As we expand our knowledge, it becomes much easier to identifythe "fog" that is meant to confuse and threaten us. The mainstream news becomesmore of a comedy to the knowledgeable, too ridiculous to possibly be taken serious.Their purpose is fear, which leads to control, and ultimately victory. Let's all control our

emotions by engaging our brains, and then watch their comedy become their tragedy.

*****

From a Fellow Subscriber:[This is from a subscriber who owns a large company. His regular bank pulling his lineof credit in a very solvent enterprise prompted his letter. Bob]

I spoke to the president of 2 banks (working on moving our loans on our business toanother bank). Anyway, with the pres of the big bank, I was playing dumb asking him

what he thinks the fall/winter/spring will look like, told me that this fall will be muchworse and that it will get even worse in 2010. He said that he was getting calls weeklyfor his bank to take over other banks in the greater Chicago area that were failing. Hesaid that they are compensating them well for doing this but that the takeovers areslow. he said that there is a $17 billion dollar bank in Chicago that is insolvent andthey need someone to take it quickly, and they are not finding any takers, includinghim. I said "why doesnt the FDIC take it and break it up and cover the accounts?" Hisanswer "the FDIC is bankrupt, everyone in banking knows it!" He said that his boardat his bank has been in the bank business over 25 years each and they are all scared.Only TARP recipient banks are being used by the feds to take over other banks. Whilehis bank didnt need TARP, they were forced to take it! Now they are knee deep in thewhole thing and cant get out. Taking over the other failed banks was easy he said, but

they now answer to the feds. he believes that you will see a minimum of 500-800banks go under in the next year easily. the other bank pres, who didnt take tarp, saysthat he is being hounded by the feds to take some tarp so they can participate in thebank takeovers. he told them they didnt need tarp, the reply came back "you mightnot now, but you will wish you did this fall!" Bob, something big is getting ready to godown. not sure what it is, but its being planned as we speak. the pres of the big banksaid that he believes 70-80 percent of the banks in the USA and world are insolvent. iasked him if he heard about a possible bank holiday coming sometime this year, hesaid he has heard rumors but that he believes they are floating and leaking ideas

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intentionally to see what the public response will be. he said he would not at all besurprised if there was Marshall law declared in 2010 due to complete financialcollapse. he said he doesnt think that the fed even knows how bad things are, theywill just keep pumping in money. I asked him where he was putting his money or whathe was investing in. his response, "Im buying silver and gold, I bought a shotgun forthe first time in my life, and Im stocking my food pantry at home." I asked him whatcould possibly go so wrong to cause the need for those items. His response, "anyonewith half a brain can see that its all government controlled, and only a matter of timebefore we some sort of public rebellion." I said like a revolution of sorts, he said, " itsalready going on, most people just dont know it yet!"

*****

From a Fellow Subscriber:Hi,Amnesty legislation could be sprung on us at any time. Obama has promised theHispanic Caucus that it would come.

Potential allies in opposing Amnesty for illegal aliens include the self-organized groupof Congressmen and women known as blue dog Democrats. Here are the issues,followed by names.

Lobby Republicans, too. Some are very flaky on the Amnesty issue, e.g. Sen. JeffFlake of Arizona.

If you live in one of the states shown below, or can pass this on to people whodo, these self-proclaimed conservative Democrats -- many of whom evidentlycampaigned on an anti-illegal-immigration stand -- need to be contacted by theirconstituents immediately and frequently to:

1. Oppose amnesty, increased guestworker programs, sanctuary cities, NAFTAand so-called free-trade agreements.

2. Support the 287(g) local enforcement and E-Verify programs.3. Support proof of citizenship to register to vote (on a national/federal basis).4. Stop anchor babies.5. Support ICE workplace enforcement actions.

Blue Dog Leadership Team Rep. Stephanie Herseth Sandlin (SD), Blue Dog Co-Chair for AdministrationRep. Baron Hill (IN-09), Blue Dog Co-Chair for PolicyRep. Charlie Melancon (LA-03), Blue Dog Co-Chair for CommunicationsRep. Heath Shuler (NC-11), Blue Dog WhipBlue Dog Members Altmire, Jason (PA-04) Arcuri, Mike (NY-24)Baca, Joe (CA-43) Barrow, John (GA-12)Berry, Marion (AR-01) Bishop, Sanford (GA-02)

Boren, Dan (OK-02) Boswell, Leonard (IA-03)Boyd, Allen (FL-02) Bright, Bobby (AL-02)Cardoza, Dennis (CA-18) Carney, Christopher (PA-10)Chandler, Ben (KY-06) Childers, Travis (MS-01)Cooper, Jim (TN-05) Costa, Jim (CA-20)Cuellar, Henry (TX-28) Dahlkemper, Kathy (PA-03)Davis, Lincoln (TN-04) Donnelly, Joe (IN-02)Ellsworth, Brad (IN-08) Giffords, Gabrielle (AZ-08)Gordon, Bart (TN-06) Griffith, Parker (AL-05)

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Harman, Jane (CA-36)Herseth Sandlin, Stephanie (SD)Hill, Baron (IN-09)Holden, Tim (PA-17)Kratovil, Jr., Frank (MD-01)McIntyre, Mike (NC-07)Marshall, Jim (GA-03)Matheson, Jim (UT-02)Melancon, Charlie (LA-03)Michaud, Mike (ME-02)Minnick, Walt (ID-01)Mitchell, Harry (AZ-05)Moore, Dennis (KS-03)Murphy, Patrick (PA-08)Nye, Glenn (VA-02)Peterson, Collin (MN-07)Pomeroy, Earl (ND)Ross, Mike (AR-04)Salazar, John (CO-03)Sanchez, Loretta (CA-47)Schiff, Adam (CA-29)Scott, David (GA-13)Shuler, Heath (NC-11)Space, Zack (OH-18)Tanner, John (TN-08)Taylor, Gene (MS-04)Thompson, Mike (CA-01)

Wilson, Charles (OH-06)

After seeing Harry Mitchell's and Gabriella Giffords' names on this list, I'm not surehow conservative these Democrats really are. Goodness knows Mitchell and Giffordsare pro-amnesty, but we have more of a chance of opposition to amnesty with the BlueDog Democrats than regular Democrats:

And of course call/Email your own U.S. Senators and Congressmen at least once aweek on this issue, since Republicans' votes are not assured by any means. WithObama, Nancy Pelosi, Harry Reid, John McCain, Ted Kennedy, and many otherscommitted to pushing through amnesty this year (unlike closing the tax loopholes forcompanies who outsource jobs, like Obama has promised to do but is not pushing), weabsolutely need to focus on relentlessly contacting the Senators and Congressmenwhose votes we have some chance of obtaining to stop this catastrophe. Shadow

Government Statistics has reported that real unemployment is over 20%, so it'sabsolutely insane for Congress and the White House to even consider adding millionsupon millions of illegal aliens to the labor pool, not to mention adding the billions uponbillions of dollars in social costs associated with this amnesty.

If you have gotten discouraged and don't believe these calls help, let me assure youthat doing nothing undeniably accomplishes nothing. Let's not make it easy for ourassassins to do us in.

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NOTICE NOTICE NOTICEThere will NOT be an issue of the FORECASTER

on

SATURDAY, July 25, 2009*****

COMMODITIESSome are mystified by the recovery in commodities. Technically after falling

50% to 65% a rally was in order. The technicals were there but so was another factor.That was monetization by the Fed and our Treasury. As a result many professionalsare commodity buyers. They want to be in assets they feel will hold their own duringthe coming higher inflation and perhaps appreciate.

In the case of oil in particular, it serves as the best commodity dollar hedge inspite of government manipulation via the SPR. Copper probably is second as a hedge.Next mo