Friday, October 10, 2008

9:30 PM EST


This move, announced today, is absolute confirmation for me that this is an intentioned shut down of the economy. Each bank or financial institution that the Treasury buys into will give it (and Goldman Sachs) the power to shut each bank down and to decide when it shuts down. It couldn't be more transparent. They're going to turn out the lights in an orderly fashion and it's obviously an attempt at a controlled fast crash. They've only got three months left in office. That would essentially make Barack Obama an economic janitor employed by the same firm. I can just hear Bush and Cheney cracking a joke about it.


c. 5 P.M. EST



From here on out I will write under the assumption that those who read me are familiar with Rubicon, the FTW site and its archives, and my videotapes. I'll assume that you already know what GATA is and that you understand all of my/our previous work on gold, intelligence agencies and economics. The reason for that is that I am, and will always be, most loyal and responsive to the thousands --perhaps tens of thousands -- who have been with me and the FTW gang for years. I cannot and will not go back and rewrite what I spent years writing and waste the time or focus of those who just need/want to hear what my inisghts are today. We just don't have time to waste. For those willing to do a little homework, the FTW acrhives are there and available. The easiest thing to do is to go to the FTW search engine (not a great one) and, under Search Options select "Find exact phrase". Then enter whatever terms or subjects that we use here andyou will find a quick-study course to help bring you up to speed. --MCR]

Bear in mind that everything that happened today happened in absolute silence about Citigroup. The latest there is that there is supposed to be a court hearing next week about a suit Citi may bring against Wells and Wachovia. Meantime, Citigroup has waived all claims to acquiring any of Wachovia's assets (cash deposits). My suspicion is that out of fear Citi is hanging back for any kind of discussion about its stability. Then again, they just might be waiting for the right moment to break the bad news to achieve the worst effect: capitulation. Citigroup is in a worse position than it was two weeks ago. It is still heavily weighed by bad mortgage debt and "bailout options" are becoming an endangered species, especially when Citigroup would be the biggest bailout ever -- by a wide margin. The seemingly blessed AIGwas/is nowhere near as big, especially in terms of impact.


I have never seen such a volatile market as I saw today. I saw (maybe there were more) no less than eight swings back and forth between positive and negative in the Dow. Five of them were in the last hour of trading. Up by a hundred then down 800. Then back up to even. Then back down again to -600. And then back and forth by 200-300 pts five times. A key moment, when the Dow was down by 600+ was a sudden drop in the price of gold by around $50 an ounce -- out of nowehere. When that happened, the 600 point loss evaporated to 128 or so points. The continuing blatant manipulation in gold prices is so obvious as to be ludicrous. It is sucking the last bits of cash out there into the markets. GATA has been right all along and I have said so consistently for many years. The panicked sheep who have been"looking at" gold (late, but not too late) will hesitate and leave their money in stocks, blindly believing we have hit the bottom on Wall Street.

There is no bottom until there is CAPITULATION. Today's volatility was anything but CAPITULATION. It looks to me like the violent, last-gasp throes before death which I have seen before in real life.

Capitulation is when the market hits a bottom and just stays there...for days and weeks. When there are no signs of struggle or life. No heartbeat. No thrashing.

When the Citigoup bomb is going to drop is anybody's guess but I just don't see how we can go through next week without major media starting to ask questions on the air and in print.

I repeat that the U.S. government is doing everything it can to step on the economy like a cockroach. Every move by the Executive or the Fed has not helped, but hurt share prices. This is deliberate.

Christ, I'm tired. We all must be. And now I must sound a warning about something else. I am worried about the election. I am not predicting anything but I am worried.

Let me sum it up. Yesterday, I went to the dog park with Rags and we ran into a friend, an accomplished musician with a house and 401k and a pension plan. He stopped me and he said, "Mike, they can take my house, They can wipe out my stocks. I can sleep in my car. But please tell me that there will be an election, that it will be fair, and that there will be an inauguration." -- I looked at him and said, "I can't." I don't believe Obama's going to save us but no one will cry a bigger cry of gratitude and relief than I will on January 20th when someone else becomes president. It is clear that it should be Barack Obama. And it is about time that all the Goldwater/Dirksen Republicans started saying Bush and Cheney ain't any kind of Republicans we know." I'm starting to hear that a lot.

The hate levels are rising way too fast. The McCain campaign and the Bushes behind it are lighting matches under dry piles of bigotry, stupidity and viciousness. In the midst of this, the ACORN scandal erupts with the same kind of force that should have been used to focus on the 2000 and 2004 races. What the Republicans did then was orders of magnitude worse. But any attempt, by anybody, to mess with a free and fair vote should be pretty close to a capital offense. The Obama campaign is not doing what it should be doing, which is to take the lead on that story, get in front of it, and denounce ACORN with all the fire it has. The Democratic Party must stake out the ground that it protects the right to free and fair votes. But how often has the Democratic Party done what it should have done over the last eight years?

Last night I saw a video clip where Congressman Brad Sherman said, on the House floor, that Treasury Secretary Hank Paulson threatened martial law if the bailout bill was not passed last week. I repeat that martial law, as we have conceived it is not possible. There are not enough troops, badges and guns to impose it. Yet the citizenry may come to ask for it. Now my worry is that civil unrest will erupt under any of a half dozen scenarios: Election with harrassment and voters turned away. Election with eletronic votes stolen (which thepeople will not cave over this time) and Obama does not win: Further economic crises or just the impacts of the last two weeks reaching Main Street. Obama wins, things go south and Bush (Cheney) suspend the inauguration. Write your own...

There is nothing to do but wait and ride it out. Today presented a great opportunity to buy gold for those who haven't.

My plans for the weekend are to go out to dinner with a very exciting and fun person, play with my dog, take a long walk and work on my book.

I remember a line from a Robert Ludlum spy novel. "Rest is a weapon. Use it."

-- MCR


cornsilk said...

You know the old saying about "great minds..."

I was telling my husband about Sarah Palin's speech where she accused Obama of hanging around with terrorists, and a man yelled from the audience, "kill him!"

My husband said, "There's your false flag, right there."

We shall see. Loved your post.

alan said...

One way you'll know that there's capitulation is an incredible amount of volume in the trading day--maybe 2 to 3 times as high.

Rice Farmer said...

Yes, amazing that gold is still so cheap. In the UK people are reportedly lining up to buy gold. In the US there is not enough to go around. And in Oz, the Perth Mint has doubled gold output to meet demand.

Andrea Muhhrteyn said...

As I keep saying, like a broken record:

A demockery, is to a constitutional republic; what a stubborn castrated mule, is to an arabian thoroughbred; for a Whispering Wyoming Mounty

Or the Guerrylla Law version:

“A demockery is dangerous because it is a one-vote system as opposed to a Republic, which is a three-vote system. Three votes to check tyranny, not just one. Citizens have not been informed of their other two votes.”
~ From *1984*; With *1776*: Vote-44-1776!!! ~

Junai said...

Aloha Mike and all.

There was a reference in a LATOC thread:,27380.msg362721.html#msg362721

Regarding the DOD and/or Navy switching from B of A credit cards to Citi cards in November.
I am sure there is a great story there.

Thanks for your every word.


NBPatton said...

They're going to turn out the lights in an orderly fashion and it's obviously an attempt at a controlled fast crash. They've only got three months left in office. That would essentially make Barack Obama an economic janitor employed by the same firm. I can just hear Bush and Cheney cracking a joke about it.

I know there isn't too much Q and A on this forum, however I just wanted to pose a question about the most recent posting.
Mike, what benefit do they earn by doing this?
(Im not debating what you said, I am humbly asking a sincere question!)

With the map you have so graciously given me, I hardly find myself asking why anymore, and when I do I at least I know where to go to learn, or be reminded of the answer (its a BIG map!). But for some reason I must have taken a wrong turn at albuquerque on this one. Or is this an unknown?(anyone?)

(I have seen all your videos (awesome) and read Rubicon (life changing) and spent the better part of a year chronologically reading the treasure vault that is FTW. I fight the good fight every day, with anyone who will listen thanks to you!)

businessman said...

nbpatton...I can't speak for MCR, but in studying, listening to, watching, and reading his materials and the materials from others over the years, what we're seeing is a looting of everything that's left in the financial system to loot, while crashing the system and leaving everyone else desperate in the process. The idea being that when we've been desperate long enough and crying out for a better system and a better way of life, then we'll accept a one-world government from them.

You may or may not be familiar with this quote from David Rockefeller:

"This present window of opportunity, during which a truly peaceful and interdependent world order might be built, will not be open for too long - We are on the verge of a global transformation. All we need is the right major crisis and the nations will accept the New World Order."

robmac58 said...

With regard to the question posed by nbpatton, I'll take a stab at it.
The advent of peak oil will result in an economic crash-sooner or later.
That is given. Those in power have decided to initiate and manage the inevitable to maximize their own gain. This is as opposed to just letting things unravel randomly with unknown and possibly undesirable outcomes. I hope this is helpful! RM

A peon said...

Regarding the serch engine(s)for FTW.It appears there are two different search engines.There is one that actully works petty darn well if you go to is a different search engine for and no,it isn't a very good one.You know you have the wrong one,if the prompt where you type in your search keyword has a blue border around it.The right one is inside a light gray rectangle,and I have had good results by leaving the "all words" option on.

Another option is the column of different categories on the lefthand side of the homepage,especially under "Since 9/11".Click on any one of those categories,and scroll to the top of the page it takes you to,and you are at the site map.

Or,when I am looking for something specific that I remember having read before that I can't find through the copvcia search engine,I go to my homepage and use their search engine.I type in the description of what I am searching for,followed by FromTheWilderness,just like that.I imagine you can do that from any search engine.I sometimes use's search engine for the sole reason that it offers text in the results,with the keywords you used in bold type.

On an endnote,glad to hear you are getting some rest Mike.You deserve it.Always good to renew and revive with some est and relaxation.R&R&R&R,har dee har har har.;)

Tsul 777 said...

Well Michael, I wouldn't mind your response to this post but I won't hold my breath. It seems today that numerous bloggers have a taste for expressing their logic (or is it rhetoric?) to the tumultuous times we are living in. I just want to give you a taste of my own; if it please ya:

It’s all Good
(or so they tell me)

This an article I wrote today when I was thinking about my ole buddy Ian and his gloves. It started with his story of his ex and his wanting to rewrite this letter. Yada, yada, yada…oops; was I talking Yiddish? Ya, I know a lot about that too. I beat the streets of Beirut and Tripoli just to name a couple. It’s a damn bit different nowadays than ’88 when I served with the Canadian Army on a peace-keeping mission in Cyprus. That’s what ya’ll call the good old days; before those mealy mouthed Conservatist- Reform bastards got a hold of our parliament. Paul Martin and Co were just a spin while we waited for the eventual outcome in America. Look what happened with Chretien, he walked scot free after the biggest government looting in Canadian history. Now we have everyone’s favourite closet Nazi, little Steve. His strings are being pulled from Washington and everyone knows it and even with a minority government he seems to get away with anything he wants. There is no opposition. It’s like our friends to the south with their “democratic majority”; what a farce. They control the supposed House of Representatives but the President can veto anything he wants now under the Patriot Act.

This is what they want. The Security and Prosperity Partnership Act when passed will see the end of the Canadian dollar and basically undefine us as a country. With the eventual collapse of the American dollar; not only in that country but as the world’s reserve currency, the United States can begin their long awaited project. Along with the SPP Act comes the new money; the Amero (accepted in any fine establishment).
Who’s gonna run this show? I’m expecting a re-vamped Federal Reserve system run by crookeder insiders than what we have now. So what’s the whole premise? Why do we need to be bigger or more secure? Simply put, the American system of governance is eroding big-time. They have perverted democracy to the point of trying to shove it down the throats of nations at the point of a gun. And guess what? The Canadian people have been sold down the river as well; only the Americans don’t need to run around in gangs with guns here like they do in Iraq. Wait for the next “national emergency” to come along; I’m thinking probably just after an attack on Iran. The nuclear threat will be in the air and America will no doubt declare martial law. The economy is going to hit rock bottom and people will be “forced” to turn to the government for help. That’s what they want.

Steven Harper and his band of American led advisors just switch the laws so much as not to alarm the people but we all know that we’re just behind the states in the loss of civil liberties. It’s only a matter of time. So where is the rationality of the average voter? Who you gunna vote for? Obama is in. He was groomed to be President a long time ago because of pure corporate interests. The lies of the Bush regime are being uncovered and thus the need for a big change. Who offers “change”?
Obomber of course. I haven’t read his book “The Audacity of Hope” but I have read his other one “Dreams of my Father”. He ratchets up the rhetoric about more troops needed for Afghanistan and for a sustained troop presence in Iraq. But the only thing is, he has reneged on just about every policy he’s used in his campaign to bring on this real change he so often talks about and promises to the American people. He promised to bring the soldiers home originally. The American government has changed their policies so much in the last 8 years and invested trillions in the supposed “war on terror”. It is blatant subjugation of a continuous war in the Middle East so a select few people behind the scenes can influence the Administration into signing billion dollar re-building contracts (Halliburton, KBR) that never seem to rebuild anything for the Iraqi people. They only build billion dollar embassies and military bases throughout the country. Obama knows this and cannot simply pull out of there. They’re too many corporate interests at stake and that’s what’s keeping the war alive. They have no intention of leaving. His assenting on a recent bill through Senate (un-warranted search and seizure) was a sure sign of what’s to follow. That bill effectively shreds the fourth amendment of the Constitution. He has also bowed his head to Israel and pledged his allegiance to “defend her at any cost”; at the current 3 billion that the US gives Israel yearly to supplement their defence budget. He has said that a “military option” is not off the table when dealing with Iran and their support of Hamas in the West Bank and Gaza plus their purported atomic weapons program.
This is a big gamble for the states. They need a distraction to lay blame now that the war-drums are beating. Shrub has the power now to suspend all elections and declare martial law if he has to due to a national emergency. Canada would immediately follow suit and the RCMP would be running the show along with the army.
The North American Union, when it arrives will be the death of Canada, the United States and Mexico as sovereign countries. In order to achieve this sudden transformation, the states will need something major to occur. A bigger splash and awe than was September 11th. Then they’ll have their perfect excuse to go after Iran and maybe end up touching off WW III. I really don’t see the Russians sitting that one out or the Chinese for that matter. An attack on Iran will seal America’s fate; the neo-cons dreams come true. Their visions of a New World Order are on the cusp of becoming reality as the economy crashes and more jobs are outsourced every day. The only ingredient missing is another horrific staged terrorist attack to scare the populace into giving up what little civil liberties they have left. Martial law will be enforced and we can expect large numbers of people being locked up because of cooked up crimes by the criminal government. We have already turned into a police state because this is conditioning for the public to get used to a heavy police or military presence in case of civil disobedience.

More and more people are killed by tasers than ever before and the government will not hold a public inquiry on the safety of these weapons. Police are using them now for just about any infraction that they see fit. The police; be it the Calgary Police Service, the OPP or the RCMP, they’re all equipped with it now. Even simple civilian enforcement cops/bylaw officers are packin’ these weapons! What’s actually happening here? We are on the verge of being taken over by the Fourth Reich. Each and every day brings us closer to a newer and bigger crisis that we may not be able to deal with. Not because of what we have become as a society in general, but one of sleepyheadedness in terms of loss of civil liberties in the context of overall “security”. People are afraid of authority. Period. The Cops have the guns and if we don’t do what they want, they might shoot you. Speak loud and you may be shot at. What has our country become? Because of the spin after 911, the whole populace has been duped into this culture of fear and paranoia. There is no enemy; there isn’t an Al-Qeuda sleeper cell staying in Gertrude’s basement apartment down the street. Bin Laden has been dead for years. Think about it; why haven’t we heard anything about him for years? Just lately there has been a bit of a buzz but not anything concrete. Just more spin because Al-Queda was a CIA creation to begin with and need bin Laden to stay “alive” for as long as possible. He is the bogey man; the ultimate enemy. He is the common thread or excuse to keep the supposed “war on terror” going for “one hundred years” said John McCain in an interview. These guys want perpetual war for pure corporate reasons. War makes lots of money and the current criminals in the Whitehouse and on the hill are making plenty. Most of the congress owns shares in the various private American companies that operate in Iraq and Afghanistan that rake in billions in war profit so of course they are going to go along with whatever Bush says. This war was not intended to be won. It is artificial. With over fourteen permanent military bases built throughout Iraq and a billion dollar embassy in the heart of Bagdad, the Americans are not going anywhere.
With the farcical Canadian election coming in four days, we can expect another Neocon minority government that will play right into Amerika’s plans. How long will it be before Canadian boots are on the streets of Baghdad?

Help us all.
Now before I am attacked for my reasoning, I would just like to say that I am no troll, shill, implant or anything else that some would label me because I just joined this forum. I am neither left, right, or even centrist. I am politically agnostic. I don’t know who to believe anymore in these dark days.

My name is John Dixon and I live in Fort McPherson, NT. Canada
I used to write a column in the Inuvik Drum, a regional newspaper in the Northwest Territories.

Rice Farmer said...

In an entry on my own blog, I discussed how the financial meltdown will affect oil. A post on The Oil Drum shows how the situation is also affecting natural gas.

Developing oil and gas fields is expensive, and getting more so, but the money to finance development is disappearing.

Tsul 777 said...

It shows that the Canadian election is just a dupe for the impending "false flag". Listen to this shite my amerikan friends.

Anonymous said...

I am hanging on every word of your blog, but unfortunately didn't get to read all of the critically important former articles and there are so many of them to sort through. Not all of us have a lot of time to fully research an entire archive of articles covering 8 plus years. Could someone at least put links to the most critical articles of relevance to us today (like what do to with one's money, gold investing, the Feds intentions, etc)? I would like to forward the better ones to friends also. Any help would be really appreciated.

gaelicgirl said...

nbpatton: Thank you for asking this question! I too, feel I am missing something here. I have also read Rubicon cover to cover (twice), and been reading the FTW website and this blog for several years, but find myself a bit baffled by the reference to the administration trying to crash the economy. I'm sure I am missing something, but what is it???

Sharon in Mississippi said...

Hi nbpatton (and all):

If you were Bush, Cheney & Co. and had inside information that the dollar was going to be dropped by the oil-producing nations in favor of a gold-backed currency at the end of the year, what would YOU do?

Maybe they figure they might as well get it over with and get outta Dodge while they can...

Remember Germany in 1923 (the Weimar Republic) when it took a wheelbarrowload of worthless deutschmarks just to buy a loaf of bread?

Fast-forward to April, 2008 in Zimbabwe:

(Be sure to read comment #12 there by "orange" as well.)

Yes, it pays to study the lessons of history. It really COULD happen here.

NBPatton said...
This comment has been removed by a blog administrator.
d'napoli said...

There are economic pundits such as Peter Schiff who are saying that the World is not heading for a global depression and the biggest loser from this mess will ONLY be the US. How wrong can he be! I bet that he has not heard of Peak Oil yet!

When we go down, we are going to rest of the world down with is that simple. That is the plan.

As MCR has said, the current dismantling of the global economy is deliberate and no nation will be spared. Logic dictates that if we have use less energy, we will FORCE (yes, force, by using all means possible) others to follow suit.

FTW admin said...

nbpatton wrote:

Bless you all for offering your valued insight!

Okay lets see, in chrono order;

Awesome, thank you sir! That is right on line with my initial analysis. Your explanation further secures my convictions. And yes I am very familiar with Emperor Palpatine's quote. >:(

Thank you very much, add the Rockefeller quote and bingo!

Tsul 777:
That was not nice.
What did I ever do to you?
I want my 20 mins back.

Rice Farmer:
You is smart.
I is not.
What a great article! I enjoyed it immensely as it really did open my eyes up more to the real consequences of how this clusterfuck will affect the energy industry. Thank you sir, I look forward to reading more of what you have to say!

I feel your pain, my best advice is read read read! But if you must pick and choose then I recommend THESE.
The Book:
-Crossing the Rubicon: The Decline of the American Empire at the End of the Age of Oil
The Videos: (Google video!)
-Denial Stops Here
-The Truth and Lies of 9/11
-Wall Street’s War for Drug Money
-Money Masters
-Money as Debt
The FTW Articles: (FTW!)
-Eating Fossil Fuels
-Post-Soviet Lessons for a Post-American Century

Once you are done with that, then bite the bullet and just chronologically read ALL of this blog (Act 2). Get hot!

I know! It's like having a massive jigsaw with one piece missing and you can't find it! Gettin ready to blame the wife, kids, and dog for loosing it too! I like businessman’s reply in that regard, check it out.

Great article too, I loved that comment! And it IS happening here.
What would I do if I were Bush, Seriously? Hide somewhere with my most trusted around me, then write up a big list of everyone hopelessly corrupted by the banks influence. Then in rapid succession order the seizure of their assets and their arrest and immediate and public execution. Okay that probably wouldnt fly, but at least detain them in Gitmo for treason! Put the Patriot act to good use! Then I would order the Treasurer to withdraw all capital from the Fed Reserve (as many Treasurer firings as it took!) Then I would sign an executive order outlawing Fractional Reserve Banking. Then I would instruct the Treasury to begin printing their own money, and then use the "big switch" to 24/7 broadcast “Money Masters” and “Money as Debt” and MCR’s videos and maybe alittle of the latest “Zeitgeist Addendum” just for starters... *sigh* that was therapeutic.

Thank you ALL for taking the time to reply!.............

3:30 AM

Pete said...

"What would I do if I were Bush, Seriously? Hide somewhere with my most trusted around me, then write up a big list of everyone hopelessly corrupted by the banks influence. Then in rapid succession order the seizure of their assets and their arrest and immediate and public execution. Okay that probably wouldnt fly, but at least detain them in Gitmo for treason! Put the Patriot act to good use!"

Um, you do realize that any "big list of everyone hopelessly corrupted by the banks influence" would include Bush and his cronies? Would you sign an order putting yourself in Gitmo for treason?

agape wins said...

Two looks at at the media play on the "Rescue", &/or Crash!

I have always said it's just what you think, but this a new twist, is he nuts to think this will
reassure anyone?

NBPatton said...

The sillyness was based on an impossibility. Relax.

Jim said...

"denounce ACORN with all the fire it has."

I appreciate most of what you have to say, but do you really think that the republican charges against ACORN are legitimate? This is clearly another republican attempt to keep new voters away from the polls. ACORN is being attacked, not because they are committing registration fraud, but because they are successfully registering thousands of new voters. Of all people, I would expect you to see through this.

redrosebeader said...

Mike, I'm glad you are going to give your comments about what is happening now, rather than trying to catch people up. Mostly folks have to just do the research---depends on where you are spiritually, socially, philosophically, etc. For Instance,I had to read and listen to several explanations of the Fed before I understood.
Anyway, thanks for all the new info.
I got my first dog two years ago, and he is keeping me sane, grounded and in shape.

Keith Johnson said...

Great blog. However, you do everyone a great disservice by not providing a link to the FTW website. Please remedy this oversite (which everyone should visit at

FTW admin said...

keith, it's the first link on the right

Keith Johnson said...

Oops, the blog list wasn't open on the page I had open. When I clicked the main page, there it was. My bad.

kiki said...

and it continues:

agape wins said...



I get,the Google welcome page?

kiki said...

someone else emailed me the same thing - it's a problem with the way the information was attached to an email i got and i don't know how to modify it - let me see if it will work if i give you this info:

published oct 14,2008 Daily Kos by 'Big Blue'
title: GOP Attempts to Disenfranchise 600,000 Voters In Ohio

hope that helps - i didn't notice the problem or i wouldn't have posted it

Jamey Hecht said...

Aragorn said...

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