STOCK MARKET WATCH -- Wednesday, 8 February 2012

[Warpy]

56. Exactly, and when that happens, it's going to take everything else

with it, massive deflation happening almost overnight as the high flyers scramble to dump what they have to try to survive.

Derivatives trading is what has the potential to take us back to 1929. However, like the artificially pumped stock market floating on an ocean of bad debt, the whole scam has got to go before we can get back to a rational economy.

Some very surprising plutocrats and institutions will fail when it happens. If we are very lucky, the banks themselves will be nationalized and deposits up to the limit honored. If we are very unlucky, a GOP will be in office and they will be allowed to fail, all deposits going with them forever.

We are living in not only interesting but fascinating times.