@fedya @1:26: I haven’t posted some other strings that’ve been turning up, fedya. Financial websites sending “we’re doomed” email alerts, whose authers, with a little digging are revealed to be importers of Russian orgone box-like alternate medicine devices. A military website with connections to a health food prophet & special Ukranian grains importer who also happens to generate 9/11 ”truther” memes.

There’s more –lots more –it’s just flat freaking nutz, once you start digging.

FBI warnings about the housing price rise –the other day my ear picked up some tv chatter, a Fox Business lady interviewing an investigative reporter named Bill Daley talking about an FBI agent who tried in 2004, when suddenly the “liar loans” came up everywhere, to get more agents into the mystery, and was told that ‘a flood of terrorism leads had all personnel overloaded’ and that “as the problem grew, the number of agents shrank, to a low in 2007″ –when the front end of the bubble, a handful of Auction Rate Securities, failed to find buyers, and the bust began. Daley quoted the agent saying it was not ordinary business, that “something else was happening, underneath”. Daley said “FBI has 200 agents on it NOW”.

On and on. The hedge funds, inside our big seven and thus unscrutinized, leveraging CDOs three times higher than ever before, while the ordinary legions of investors be-bopped along assuming just another standard price-bust of another normal bubble.

Oil and gold price spikes of extreme power just as house bubble starts busting, with huge volume & price swings on the NYMEX caused by just a few –one to four –accounts. Incoherent turmoil sending so many rational players to sidelines that even wilder swings go undamped by depth. Who are these accounts? Where are they from?

Fannie’s CFO and Risk Manager both just resigned, BTW, after mkt close today.