The Unsinkable brian cork™

Brian Patrick Cork is living the Authentic Life

gold busted

September28

If you started thinking about buying gold back in 2001 when the world started smelling weakness associated with the US dollar, you were in good form. If you actually bought gold, then you are in terrific shape.

Since 2001, the US dollar has dropped in global value approximately forty-one percent (41%). That’s true, by the way… It’s right here, and in writing. Go verify it. Do it!

So, shorting the dollar, and trust me you can do that, might have also been part of an inspiring, if not rather unpatriotic, part of your mid-range investment strategy. Once the dollar begins that type of slide, our global debt is guaranteed to increase. It has certainly done that, almost on cue (damn you Goldman Sachs!). When the dollar weakens, gold strengthens. This thinking is fundamental, and it’s a great example of how economies work on scale.

Other than pontificating, here, one of my points is you’ve likely already begun to hear advertisements and other touting of gold.

That means it’s too late.

Economic-savvy insiders have already made the great run. Now they want to start a different type of diversification (so, you’ll read about how much money they made in about thirty months). They’ve already started buying things you’ll slap your forehead over in another thirty months.  HINT: It’s sure as heck not commercial real estate – especially in Atlanta. That looming disaster is one reason banks are hoarding cash from small businesses. But, more on that later.

So… Don’t buy gold today, or tomorrow. I don’t know that you should start buying the US dollar, yet (and, you can do that as well). It’s hard enough to just plain earn a US dollar, right now – especially with Obama, the ex-social-worker, and the Obamacrats, I mean Democrats, so resentful of wealthy people that have worked hard to get through college and maybe start a business.

My primary point, here, is simply a heads-up around gold. I’ll try and come up with some recommendation on what I think the global financial markets will push sooner than later.

Just standby for the word. Do it!

Peace be to my Brothers and Sisters.

Brian Patrick Cork

just so you know

May10

Last week the Dow Jones Industrial Average (“DOW”) plummeted close to 1000 points, and only began to right itself as the closing bell sounded. This represents the single most volatile trading day in market history. Just in case you forgot about this already; or, possibly failed to care – here is a link to the story: Link To Ridiculous Story – and another for good measure: Link To Another Ridiculous Story Discussing The Hapless Trader, however, this is my favorite: A mysterious day jolts Wall Street watchers.

The stock photo images of grim-faced and distraught traders on the floor and news reporters are priceless.

Several theories abound as to why, or how, such a thing could happen. Foremost amongst those rabid speculations was a story that some (rogue) trader inadvertently placed a coma in the wrong numerical sequence and initiated a enormous sale order that sent the automated systems into a tail-spin. That means something akin to: “he accidentally pushed the wrong button”.  Mind you, this (the event; I very am skeptical about the button) stopped the recent global enthusiasm and the markets upward trending, dead-in-it’s tracks. Markets around the world pulled back – generally stating concerns over what’s happening in Greece… for good measure…

The Greece “thing” has some merit. And, I’ll discuss that later this week.

In any event, that (all the rest of it) is likely nonsense (the theory, not the loss of enthusiasm; or, what’s not happening in Greece).

Today, markets are a bit more bullish, as is the DOW. I can prove this information by having you simply view this link:  The Dow on May 10, 2010. I’m quite clever with such things.

Okay… So, what has really occurred is: analysts and traders (think Goldman Sachs needing to “war chest” funds to cover their pending indictment) decided that by pulling off a well-orchestrated scheme stunt (also, and often, referred to, derisively, as: “shenanigans”), they could drop the market and take out a bunch of unsuspecting citizens. They probably shorted key stocks under index. They then picked their bottom-number and started taking buy-side positions in the same stocks knowing they would be bought up by day-traders (a most-excellent example of the sophomoric, if ever there was one) that thought they were buying into an upwardly trending market. So, having hedged their bet, they made big money going both ways at the expense of a lot of people reading this post.

Voila.

In the weeks to come you’ll read how the Securities and Exchange Commission (SEC) and Obama will call for some vague investigation. But, nothing will come of it.

Peace be to my Brothers and Sisters.

Brian Patrick Cork

lowering the bar

May3

I registered my displeasure with Apple late last week with my post: the scales of justice don’t, often enough, balance out against evil. There, I criticized Apple for potentially influencing an over-hyped-up thug-squad task-force in bullying a blog-focused journalist because he apparently bought an (stolen, misplaced, found, misappropriated?) iPhone prototype and reported his findings.

I still think law enforcement from a sleepy California town over-reacted. And, if it turns out that Apple pressured them to do so, I’ll be more than disappointed. However, as I’ve settled down a bit, I understand that the journalist and the fellow that found the iPhone prototype at a pub MIGHT have broken the law. Boundaries around ethics were likely blurred. I feel that the “finder” should have turned the handset over to the bartender – that’s what usually happens, as in lost-and-found. However, it turns out he went to a twenty-seven year old buddy in graduate school that had served in the intelligence arm of the US Navy, and together they shopped the, now (possibly) stolen, device to a handful of media sources. Gizmodo wrote the check, and the rest is becoming the stuff of historical precedent.

By the way… Another engineering friend of mine, sent me an email with the news that the majority of updates promised on the new iPhone have already resided on Nokia phones for almost two years.

Question: Was this all worked-up into a play for media attention and publicity?

Here is a check-point summary:

The kid who is an product development employee at Apple was irresponsible and lost the prototype at a pub. Another kid, whom was apparently raised wrong, essentially stole it while he was at the same den of inequity. Some self-entitled journalist who has now lowered a completely different bar, chose to advance the bad behavior. A veteran intelligence specialist, acted like a terrorist by trafficking the technology. A lower court Judge (who probably barely passed the bar) did not ask enough questions and approved the demolition of a door – as opposed to simply issuing a subpoena for records. A local task force (i.e. bored peace officers), leveraging God knows how many tax dollars and steroids (as if California has enough of those to spare) overreacted. And, Apple got a bunch of press around an upgraded piece of technology that might already be a bit tired in the terms of raising the technology bar.

So… Everybody involved is wrong, in-part, and must needs share blame, or judgment. …bar none (sorry).

Thusly, it’s gut check time.

Hellooo…

What happened to us, as a people where we find ourselves, collectively obsessed with Jessica Simpson’s teeth (she apparently prefers not to brush them) and  the not-so-amazing features in the next iPhone? So…Check… It’s got a camera on the front and the back… That’s really it mind you. Now, you can take a picture of Simpson’s artificially white teeth, in California. And, it (the iPhone) might allow you to multi-task (the Nokia and Android handsets already do this*). How can this (and, the press make us feel) be critical when we’re occupying two countries in the Middle East, unemployment is cresting at civil unrest levels, and Goldman Sachs raped and pillaged our lower-income and middle-class American-dreamers – then got bailed out – with the help goofey President Obama; a man that’s never held down a real job during his adult life, and  whose trusted advisors are Goldman alumni. NOTE:  I understand Goldman leaders are now facing investigation and possible indictment. But, the same fraternity that enabled their behavior will quietly cuts deals that will pad, other, future political careers – and, allow for the type of examples we’re setting where corporate juggernauts, like Apple, can abuse the system as a publicity stunt.

Welcome to Microsoft’s world, Apple.

Peace be to my Brothers and Sisters

Brian Patrick Cork

* ALERT: (and, you likely read about it here first) Apple’s next-generation iPhone could move video calling into the mainstream. Expect a wave of new products by Christmas.

does the fed work for Goldman?

December30

This depends on how we might define work.

There’s a perspective, to be sure.

It can be argued that the Fed is intentionally holding rates at zero in the hopes of forcing investors, concerned about long-term challenges that include retirement, to invest in longer-term riskier assets instead of collecting “little or nothing (Bernarke)” on money market or CD’s.

Worse now for the Fed is the impression that monetary authorities work first and foremost for Wall Street.

Of course, Fed officials see this a bit differently… They see supporting Wall Street as their mechanism for supporting Main Street.

Ultimately, without the former, the latter is locked out of capital markets, and economic chaos could follow.

The purpose of Wall Street is supposed to be, or was designed to be (when it was founded in 1913) channeling investment funds into Main Street.

But most Americans no longer view Wall Street as ultimately working in their best interests – and, I believe they are mostly correct. This is the same Wall Street that aggressively pushed garbage loans onto the American people as policymakers praised the wonders of financial innovation. When did the purpose of finance evolve into simply a mechanism to enrich the relative few at the expense of many? And when did policymakers embrace this view? As Paul Krugman has noted, the Fed cannot envision a world not dominated by the magic of structured finance. Yet this is a world that failed us completely.

Look for my forthcoming post outlining the federally funded Goldman Scam that almost took AIG to it’s knees.

But, here’s the pattern outline, because I know you can’t wait:

1. Goldman creates or sells $23 billion (or more) of CDOs and stuffs them into AIG.

2. Goldman proclaims to the world they have no exposure to CDOs and warns that banks and insurers with CDO exposure will get downgraded.

3. Goldman initiates the mark downs of CDOs with AIG and others, acelerating the market’s downward spiral.

4. Huge mark to market losses lead insurer and bank credit to freeze, short term markets to lock up, ABCP to collapse.

5. AIG posts as much collateral as it has to Goldman, who has more aggressively marked down the exposure.

6. Bond insurers are downgraded, banks begin commutations with them.

7. AIG fails, Fed steps in, Goldman gets bailed out at par.

Come on! This is no accident. And no one in authority wants to find out where the truth lies.

Meanwhile…

The House has passed a bill to audit the Federal Reserve. However, we find ourselves hands-on-knees with a fast-action response from the the Fed claiming that an audit would interfere with its “independence”.

Sing me the song of irony.

Even though the Bill was buried, word got out, and  79% of the American people support at least the notion of a full audit.

NOTE: The Constitution does not empower what is becoming a central bank. And Congress, which created the Federal Reserve in 1913 (and, it coincided, oddly, somehow with the creation of Wall Street) which has the power to create credit and money (rather like Wall Street), and, certainly has the power to audit, dissolve, or do whatever it likes with the central bank (including stripping it of the power to create credit).

Point of reference: Can we agree that the Fed has bungled efforts to manage the economy, keeping unemployment low, and regulating banks?

Just in cases that white van finds me soon, the the independence argument is a red herring./1

Peace be to my Brothers and Sisters.

Brian Patrick Cork

______________________

1/ Something that draws attention away from the central issue.

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What’s All This About?

"What am I looking at?", you might wonder.

Lots of stuff.

Meanwhile, here, I discuss events, people and things in our world - and, my (hardly simplistic, albeit inarticulate) views around them.

You'll also learn things about, well, things, like people you need to know about, and information about companies you can't find anywhere else.

So, while I harangue the public in my not so gentle way, you will discover that I am fascinated by all things arcane, curious about those whom appear religious, love music, dabble in politics, loathe the media, value education, still think I am an athlete, and might offer a recipe.

All the while, striving mightily, and daily, to remain a prudent and optimistic gentleman - and, authentic.

brian cork by John Campbell





photos by John Campbell

 

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