fannie & freddie, old depression era mortgage brokers, have been Democratic party fortresses all along. The last few years have seen some humongous –i mean humongous –accounting frauds inside them –frauds which never really hit the news due to the entities being politically-protected by the left’s control of the news. various chiefs have been fired for absolutely outrageous chicanery, and have still walked away with 20 million dollar bonuses, and hardly a wee peep in the press. now here they are, sinking fast and under the green visors at Treasury this very minute, in emergency meetings. Stock down to more or less call options on the economy, and mere hours or maybe a few months if house prices this morning seem to be improving second derivatives, from being nationalized –meaning the 9.5 trillion total obligation passes to the taxpayer, effectively doubling the national debt at a fell swoop. Gold, oil, and critically, open market treasury bond rates, ought under this quality of pressure be much higher –much higher –than they are. what’s holding them down –and holding down the inflation adjustments on tranfer payments –is probably central bank intervention in the currency markets –the free world is buying dollars to keep the main engine of the world economy from falling into a bad-ass recession. this shit is minute by minute –incredible –but ANYWAY, my point was going to be, before i ran off that word torrent, NOT a WORD of this is going to be broached at the Democratic Convention in Denver –not a word will be said about America tightening up its gone-sloppy ways before we just melt down or blow up –the whole thing will be packaged as “Obama, the healing toucher, will change all things”.

So, point, we have a few weeks or months maybe, to get this thing back on track, or we will likely have our first socialist/pacifist government, and very very likely a world depression, complete with every smoot-hawley trapping the vengeful left can stick on to it, and all the consequences thereof, as before: “beggar thy neighbor” and –big war, like before, in the 30s.

So anyway, all this wild weird new financial volatility –”dark pools” of anonymous global hedge money alternately pumping and dumping and stampeding the commodity mkts –suddenly right into this giant system-order reset, what should come storming out of the mountains on the edge of our minds but the Russian 58th Tank Army ?

so, there’s some things to think about –and watch for.