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<u><i><b>Marc's Notes:</b></i></u><br>
The markets rallied Monday up 900 plus. Then down Tuesday.<br>
An ANNOUNCEMENT juiced the market again with the FEDS buying the banks
now, but notice the effect from their announcements are wearing off
faster and faster.<br>
Additionally, they are going to have to finance all this bailout money
and therefore have to sell Treasuries (IOU's) to pay for all this.<br>
<br>
Here is what they are not telling you.<br>
<br>
1) They need a few hundred TRILLION to fix things due to all the bets
these banks made and that is a whole lot of money. They DONT have that
much money. <br>
So the bailout wont work. Even if they did manage to get away with
printing THAT much money, it would cause inflation like you have never
seen.<br>
Bottom line: The bailout wont work, wont be enough and we will be
throwing good money after bad, since if it isnt enough, it wont work,
so why do it. <br>
Its just throwing money away.<br>
MARK MY WORDS- IT WONT WORK. Why? <br>
Here is an example: AIG insurers was promised 85 billion. It then
needed 35 billion MORE just last week. Thats 120 billion or so for just
ONE FIRM.<br>
There are literally thousands of firms. How can 700 billion bailout
thousands of firms when ONE FIRM needed 120 billion? <br>
ANSWER? It cant even come CLOSE!<br>
Like I said: "You aint seen nuthin' yet!!!!!"<br>
<br>
2) This massive bailout AND the socialistic proposals by both
candidates will send the debt of this country into the stator sphere. (
if it isnt already there already).<br>
Eventually, the world will tire of our borrowing and stop lending. When
this happens, our currency start to collapse, and then..... KATY BAR
THE DOOR.<br>
<br>
3) Pension funds are getting hammered worldwide. Now large US companies
are looking at their pension plan balance sheets and realizing they
cant keep the promises they made to their EX employees.. ANOTHER
BAILOUT of the PENSION BENEFIT GUARANTEE CORPORATION is heading our
way. Add this to all the companies and banks and states and cities now
with their hand out to the government ( Taxpayers) and you realize.
THERE IS NO WAY OUT OF THIS.<br>
<br>
4) I said in 2006, dont be surprised if the US PAYS YOUR MORTGAGE !
Well guess what. Ta Da! And now more unemployment benefits,
another stimulus check and a foreclosure moratorium. AND NO TALK OF
PAYING FOR IT. THEY WILL PRINT THE MONEY! Nothing new. Governments
have been trying it for centuries. And they all fail. Why? It DOESN'T
WORK. PERIOD. <br>
Hear any talk about paying for it? HA ! Not on your life. Because
they think they can just PAY for it all from magic fields of jelly
beans, or who knows what.<br>
Bottom line? The same as before, and before, and before, thru
centuries of trying. COLLAPSE of the currency from the country that
tries it. Dont we ever learn?<br>
I guess not.<br>
<u><i><b><br>
What will happen in the weeks to come:</b></i></u><br>
Guessing this is a fools game, but I love to try. With todays erosion,
the situation may become dire. I will not be surprised to see another
test of the 8100 Level on the DOW.<br>
It will probably fall thru that and continue down. Commodities are
strengthening. Yields are now incredible at 30 or 40% dividends but I
CANT TELL YOU TO BUY.<br>
If the markets continue to crater, EVERYTHING will get slammed. <br>
Interest rates are spiking as we said they would as the US DOLLAR is
tanking again. IF the US dollar accelerates downward, or interest rates
spike, this will be your sign the worst is coming. PREPARE HEDGE GET
GOLD ( physical metal held at a safe deposit box).<br>
<br>
<u><i><b>What to look for:</b></i></u><br>
More bail out talk, more stimulus idiocy. More senseless programs.
More of that idiot Pelosi and Franks and Dodd.<br>
LOOK for the erosion in markets, Look for continuing bankruptcies, look
for more lousy earnings.<br>
When you see MORE bailouts, even MORE govt money going to firm after
firm, you will know whence I speak. <br>
<u><i><b><br>
What to do:</b></i></u><br>
HEDGE Do not be fooled by the rally on Monday. Long term direction
is DOWN. Sell your regular mutuals and stocks into the rally.<br>
Funds: BEARX - contary fund ( any contrary fund will help) RRPIX-
rising interest rate fund GOLD hold the metal Get as much as
you can afford ( contact below)<br>
Foreign currencies FXA FXF FXC FXF FXY these funds trade
like stocks<br>
T BILL FUNDS SHY VIPSX TIP RRPIX HOLD ALL four in
equal amounts for more safety. These funds WILL BE AT SOME RISK however.<br>
Bank CDs for now.. Money market funds. GOVT ONLY money market
funds ASK YOUR BROKER TO SWEEP ALL CASH IN ONE OF THESE<br>
Swiss Annuties- ADD The window will close soon in my opinion.<br>
Dividend Payers- They are down, but every month most of these stocks
buy MORE shares at these lower prices thru the dividend reinvestment
plans you should be on, so you get more shares at these lower prices.
Remember, as long as they keep paying, we are getting the indicated
yield at the price we bought them at. HTE is now paying almost 40 % !~
HOLY COW<br>
HOLD, or only buy SMALL AMOUNTS. Stocks have further to go.. down...<br>
<br>
<u><i><b>Upcoming Show:</b></i></u><br>
This Thursday- More call ins. Call in and ask me! Its one of the few
times its free ! And how good is that!<br>
Consults? E MAIL ME I do have time this week and next. After
that, the pledge drive will fill it up FAST.<br>
<br>
All for now<br>
Marc<br>
<br>
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This article is strictly for informational purposes only. It is not a
solicitation to make any exchange, buy or sell any precious metal
products,
commodities, securities, stocks, warrants, options or other financial
instruments. Marc Cuniberti, author of this article, does not accept
culpability for losses and/ or
damages arising from the use of this publication or any information
contained herein. Investing involves risk. You can lose money. Please
order up the prospectus on any and all securities you may be planning
to buy and do your own research before investing. Mr. Cuniberti may or
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