The futures are open and down by 15, which doesn’t sound like much (about 1%)
The problem isn’t the magnitude of the drop. It’s the principle of the matter — Cyprus told its residents recently that there was no contemplation of taking bank deposits.
Bluntly, they lied.
Remember that Euro Zone depositors allegedly have bank account insurance just like we do with the FDIC in the United States. Their funds are supposed to be guaranteed by their respective governments.
Instead they are being stolen to bail out both outrageous speculation and rank malfeasance by government regulators who failed to shut these banks down before they invaded their depositor capital, an act that any reasonable person would consider grand larceny and an outrageous felony for which people should literally hang.
The problem is that all the politicians lie. Obama lies. Boehner lies. Reid lies. Pelosi lies. Merkel lies.
They all lie and in fact all they do is lie!
As we saw last week in the Senate Subcommittee hearing the entire “London Whale” scheme was a litany of lies, obfuscations and regulators ducking their jobs, despite virtually everyone admitting that they knew there was something wrong.
Nobody who lies pays, you see; the common man is the only one who pays.
And he pays so those who lie can loot, cheat and steal — and get away with it.
Confidence is a funny thing. People will stand for just about anything for quite some time, but eventually they have had enough and confidence breaks. When it breaks it does so suddenly, without warning.
Is this “the event”?
Who the hell knows.
What I do know with certainly is this: Unless the liars, cheats and scammers start facing the music — indictments, prosecutions and prison sentences, instead of being given license by the government to loot the people in furtherance of their schemes, confidence will inevitably be lost.
We’re well past the point where we should have had heads on pikes through lawful process.
We haven’t gotten that and there’s no indication that it’s going to happen either, despite the claims of many in Government and elsewhere.
Time is quickly running out for the process to remain peaceful and lawful. What comes next is something nobody who is sane wants to see, but if there is no change in the immediate future in the behavior of our national governments it is, unfortunately, inevitable.