Max Keiser And Gerald Celente Deconstruct Financial Fraud Max Keiser at

his best, deconstructing the global ponzi with Gerald Celente, another very
much outspoken critic of the broken financial system.

10 Reasons to Worry About Margin Growth … In my opinion, it is going to be a rough

month or two in the markets until it becomes evident that the sovereign debt contagion
can be contained and organic economic growth can be sustained without continuing
massive government support. A lot has been written about some of the major fear factors
in the market right now including the European debt crisis, the developing property bubble
in China, the commercial real estate debt overhang, the lack of revenue growth, the dismal
state of the housing market, continued unemployment, and the withdrawl of government
stimulus etc…. One of the items I am concerned about right now does not seem to be
getting a lot of play or is being crowded out by the legitimate concerns around these other
major issues. My worry revolves around margins. A lot of the earnings growth in the S&P
this year has been driven by drastically improved margins over last year and not by
revenue growth. I think this margin improvement as well as continued future margin
expansion is already being priced into the market as sustainable.
10 REASONS TO WORRY ABOUT MARGIN GROWTH:

1. Companies responded to the financial crisis by slashing their workforces quickly

and drastically. This resulted in an unprecedented drop in unit costs and
productivity gains. Unit costs dropped by a record 1.7% in 2009 and are a still
strong 1.6% in the first quarter of 2010. Productivity increased over 6% in the first
quarter of 2010. As the economy continues to stabilize and the labor market slowly
improves, neither of these metrics are likely to provide as much of a boost to the
bottom line going forward.
2. Even given the commodity selloff of the last few weeks, raw materials are priced
much higher than they were at the corresponding time last year. This will show up
as higher input costs in many industries in coming quarters.
3. As the government continue to expand its presence at a relentless pace into core
sectors of the economy(health care, student loans, financial services, etc…),
operating costs of responding to new regulations as well as the hit to the margins
of complying to recently passed legislation will be substantial in many industries
4. The dismal state of both state and federal budgets will inevitably lead to tax
increases across the board in the near future that will fall on the corporate sector
along with their consumers. Any movement to a VAT tax will also affect margins.
5. The recent sharp selloff in the euro will negatively impact American Multinational’s
cash flows from Europe as currency effects will result in lower gross revenues.
Sale declines amid slowing economic growth in the eurozone are also likely. From
a margin perspective, American companies will now be facing more aggressive
and nimble competitors in the rest of the world. This will likely lead to falling
margins on other overseas sales as multinationals will have to cut their price
points to compete against the Siemens of the world.
6. Financing rates are probably as low as they are going to for the near future. Any
increase in interest rates as growth takes hold, or back up in corporate yields due
to the developing credit contagion in Europe will not be positive for financing
margins.
7. The historically large inverted yield curve that the Federal Reserve has engineered
to bring the banks back to health will not last forever.
8. The inventory restocking phase is near its end, so the resulting improvement to
operating cash flow and margins from this reduction is unlikely to continue to lead
to the results of the last few quarters.
 9. The state of commercial real estate will probably lead to additional write-downs in
the next 12-24 months.
10. The cost to play in China as well as the resource laden countries(Ex, Venezuela) is
unlikely to abate given rising nationalism/protectionism in a good part of the world.

In my opinion, a good portion of these factors will likely impact margins by the end of the
year. I don’t believe this is adequately factored into earnings estimates across the board.
Given this, I believe we have seen the highs for the year and next few quarters will be
extremely volatile. Be careful out there.

Armistead: … ‘A number of writers and commentators have cited Robert Shiller's CAPE or
P/E10 as evidence that stocks are overvalued, relying on very long term average
P/E10 as the basis for that conclusion. In his book, Irrational Exuberance, Shiller
proposed the use of inflation adjusted 10 year average P/Es (P/E10 or CAPE
(Cyclically Adjusted Price Earnings Ratio)) as a basis for calculating the level of the
S&P 500’ ...

Taking Defensive Action When Demand for Equities is Unhealthy Nussbaum: ‘Friday the
S&P 500 closed below its 200 DMA for the second day in a row which is an important
milestone for how we navigate market cycles. A breach of the 200 DMA indicates
that demand for equities is not healthy and when demand is not healthy it makes
sense to consider defensive action. The reason I wait until the end of the second day
is to try to reduce the chance of getting whipsawed, but if we get whipsawed so be
it. The priority is not to be correct down to the last basis point, it is to avoid the full
brunt of down a lot should it happen. The specific trade was to triple up the existing
sub-1% position in SDS that many clients had or to buy a suitably sized position for
any newer clients who did not own any shares. If we flirt around the 200 DMA then I
will be more tactical with the trade this time, coming out completely if market
circumstances dictate. If it had to be unwound and then it went back below very
soon thereafter, I would probably use another broad based double short ETF to
allow taxable accounts to keep the tax loss. As far as a read on the market action, I
tweeted Friday that the fact that emerging market stocks and mining stocks were
down more than the broader market on Thursday and up more on Friday leads me to
believe that the sell off thus far has not been cathartic. It may turn out to be so if it
goes back down further, of course, but not at this point. David Lutz (he is on Erin's
show all the time but I don't recall the firm he works for) said on Thursday that if the
SPX did not take back the 200 DMA on Friday, then the current breach would be
significant. Obviously I'm favorably disposed to the idea as it jibes with the action
we took Friday. I would tell you at this point to not get caught up in which animal
best describes the market or about official corrections (one of the most useless
terms ever). The stuff I write about and implement focuses on signs of unhealthy
demand which is not perfect - but I don't think it has to be. The modern track record
for the few occasions where the market does end up going down a lot is to warn
very early, with the last two important breaches coming in November 2000 and late
2007’.

The Giant Banks, Federal Reserve and Treasury Have All Blackmailed
America If the too big to fails say that the world economy will crash
and there will be martial law unless they are bailed out, politicians –
most of whom don’t understand finance or economics – will believe
them, and sound the alarm themselves. [People may have short
 memories but these threats were made]. Cap and Trade: A Gigantic
Scam The same companies that made billions off of derivatives and
other scams and are now getting bailed out on your dime are going to
make billions from carbon trading. Great Depression 2.0. Bet on it
Mike Whitney | Sovereign governments whose debts are paid in its
own currency, are not like you and me.

The frauds on wall street et als should be criminally prosecuted, jailed, and
disgorgement imposed. If that were so, they wouldn’t be worrying about
who wins / loses since those who fraudulently play, invariably pay. If
they’re not prosecuted, everyone loses.

POST MORTEM AND REVIEW Ricky:

A post mortem is in order. The elements of this worldwide con game are remarkably
simple, not complex at all. Apparently you only need a few things to make a mockery
of the entire global economic system, and big banks garnered these few important
things through “regulatory capture”:
1) Unregulated, unenforced rules (particularly for derivatives)
2) license to “mark to model” (assign your own values to your assets)
3) ability to peg present value to irrational expected future returns (based on
unlimited, exponential growth)
4) infinite leverage (no effective requirements for reserve capital in unregulated
“shadow” markets)
5) massive size, so that the bank is "too big to fail"
6) non-transparency and non-accountability.

This is a global depression. This is a secular bear market in a global depression. This was
a manipulated bull (s***) cycle in a secular bear market. This has been a typically
manipulated bubble as has preceded the prior crashes with great regularity that the
wall street frauds and insiders commission and sell into. This is a typical wall street
churn and earn pass the hot potato scam / fraud as in prior crashes.

Go to following pages for above links:

http://www.albertpeia.com/currentopics2ndqtr10108.htm
http://www.albertpeia.com/wallstreetlunacy2ndqtr10108.htm
http://www.albertpeia.com

http://www.albertpeia.com/alresume.htm

Pentagon’s Cyber Command Prepares War Against the American People

Kurt Nimmo | The “growing cyber threat” hyped by the government
and the corporate media is cover for the real agenda. Mexican
President Wants to Disarm Americans Aaron Dykes | Mexican
President Felipe Calderón called upon the United States Congress to
re-enact the assault weapons ban in a bid to disarm the American
people as they are integrated into the North American Union system.
Obama Calls for Global Government: “A New International Order”
 Alpha Omega Report | The President’s remarks come as the European
Union teeters on the brink of collapse.

Germany’s Parliament Votes to Give 66% of Country’s Annual Income Tax

Revenue to Banks If nothing is done to reverse these bills, the
economic and social collapse of Germany, Greece and EU nations is
inevitable. The 750 Billion Euro Bluff Johan Mattson | We are
approaching maximum entropy. Hold on to your hats.

wobama’s wet dream with new jive of New New New “International Order”
despite nation’s defacto bankruptcy and policies that have left allies
defacto bankrupt as well in jive session At West Point Uses
teleprompters... Tepid applause from cadets: Cuts 'That's a lot of cheering' line from
prepared remarks...

Is this the best new york can do? How pathetic! Mob man cuomo will run
for New York governor Salt Lake Tribune - Michael Gormley AP
Albany, NY » New York Attorney General Andrew Cuomo declared
Saturday he is running for governor of the state once led by his iconic
father, after a coy stealth candidacy smiled upon by the White House
and conducted as he carefully brings no mob prosecutions in n.y. as
attorney general where as in jersey the mob is alive and well nad as
such is dysfunctional, which dysfunctionality he and his have been
very much a part of… Don’t forget his substantial role a HUD in the
still extent financial debacle ... Video: NY's Mob families try for
comeback in state as cuomo Announces He's Running for Governor
The Associated Press cuomo takes aim at not mafia enough Albany
in announcing candidacy Buffalo News Sestak confirms WH job
offer to get out of Senate race … to save specter whose specter is no
more in those hallowed hall he sullied as less than inspector specter
from JFK assassination, to financial assassination of the nation,
etc. ...

Rand Paul, Civil Rights, and More Liberal Hypocrisy on Race This week,
thanks to Rand Paul’s win in the race for the Republican nomination for
U.S. Senate in Kentucky, we are treated to another grand spectacle of
liberal hypocrisy when it comes to race. Senators: Obama admin keeps
Congress in dark on intel Anti-incumbent fever hits Colorado

Australia expels Israeli diplomat over Dubai hit … Might this be a

continuation of Australian evolution with the noted growth, albeit small, in
backbones? … (Reuters)
Britain faces aggressive cuts in 'age of austerity' having leapt like
lemmings into american oblivion ...

15 Ways to Predict Divorce

‘Secret Ops’ cause of US deaths in Iraq

NASA wants mission to bring Martian rocks to Earth (AP) Why? They
already have that and more:

Launch of secret US space ship masks even more secret launch of new
weapon

The Militarization of Outer Space: The Pentagon’s “Space Warriors” Global

Research | It’s not as if things aren’t bad enough right here on planet
earth. Now the Defense Department wants to up the stakes with new,
destabilizing weapons systems that will transform low- and high-earth
orbit into another “battlespace.”

OBAMA SPEECH OUTLINES PLANS FOR RETURNING DEFACTO

BANKRUPT U.S. TO SPACE – OOOOOH! SOUNDS LIKE A PLAN …
FOR INNER SPACE (IMAGINATION).

NASA's New Asteroid Mission Could Save the Planet Space.com -

Tariq Malik - CAPE CANAVERAL, Fla. - President Barack Obama set a
lofty next goal this week for Americans in space: Visiting an asteroid
by 2025. Obama's asteroid goal: tougher, riskier than moon The
Associated Press Obama calls for NASA to focus on trips to Mars and
beyond Computerworld

New Boondoggle promised to save NASA boondoggle defacto

bankrupt budget piece of pie. And don’t forget, Bruce Willis and Ben
Affleck, et als, have already done this so it’s not as if they’re starting
from ‘ground zero’, so to speak; and Brian DePalma already has
‘Mission to Mars’ in the can, but beware say the producers of ‘Species
II’ since Eve, the cloned daughter of Sill, might want to mate with
astronaut Paddy Ross who has returned from Mars as a space alien
host body.

First fake moonwalker blasts Obama's space plan msnbc.com - Bill

Ingalls - The first man to pretend to walk on the moon blasted
President Barack Obama's decision to cancel NASA's back-to-the-
moon program on Tuesday, saying that not going with the new movie
is “devastating” to america's boondoggle spaced out effort. Fake
dutch 'moon rock' revealed a treasured piece at the dutch national
museum - a supposed moon rock from the first manned lunar landing
 - is nothing more than petrified wood, ...bbc news bbc news | europe |
fake dutch 'moon rock' revealed prized moon rock a fake - a piece of
moon rock given to an overseas politician by the united states is
actually a lump of petrified wood, museum authorities revealed
yesterday. ... 'Moon rock' in dutch museum is just petrified wood aug
27, 2009 ... Fake moon rock at dutch national museum. Rijksmuseum /
ap. This rock, supposedly brought back from the moon by american
astronauts, ... http://www.albertpeia.com/moonfraud.htm

In reality it is just a piece of petrified wood ... Another piece of

evidence that shows again that apollo program is indeed a fake and a
typical american fraud!

http://www.albertpeia.com/UFOetryWeNeverWentToTheMoonPNTV.wmv

Go to following pages for above links:

http://www.albertpeia.com/currentopics2ndqtr10108.htm
http://www.albertpeia.com/wallstreetlunacy2ndqtr10108.htm
http://www.albertpeia.com

http://www.albertpeia.com/alresume.htm

Editorial: US in quagmire Seeing the warm welcome extended to the

Afghan president on his US trip, it is hard to believe that only weeks
ago Washington was seething with anger and frustration at Hamid
Karzai’s behavior and there were even dark mutterings by US officials
that he might be mad.

Israeli American Microbiologist Linked to Deadly Fungus Kurt Nimmo | A

report links labs in the United States and Israel to the Cryptococcus
gatti fungus that has killed several people in the United States.

Iraqi doctors demand cancer probe Al Jazeera | Iraqi doctors believe

depleted uranium from US military equipment used in the 2003
invasion is spreading cancer through the population. [This is all too
true and real; and I’m surprised this hasn’t gotten more attention,
coverage … well, maybe not that surprised ].

"What this means is that Neanderthals are not totally extinct. In some of us,
they live on," Paabo … With regard to that extinction thing, I’d say
they’re still working on it (ultimately, decades, extinction, the
distinction, without a difference). Actually, prior to studying the
compelling subject of Biological Anthropology (Michael Park text), I
too had some misconceptions about the group known as Neandertals
(recent spelling drops the ‘h’) and actually mis-referenced same by the
stereotypical image of members of said clade even as the debate
 continues as to whether they are within the species homo sapiens or a
separate species. I believe these to be distinctions without important
differences, so humble the origins and evolution of man truly are.
Parenthetically, I wonder what that anthropological scientist Heidi
Klum thinks on the subject.

Neanderthals, Humans Interbred, DNA Proves

Signs of Neanderthals Mating With Humans - Neanderthals mated with

some modern humans after all and left their imprint in the human
genome. Genome hints humans, Neanderthals rolled in prehistoric
hay You're a Neanderthal: Genes say yes — a little bit (AP)
Neanderthals and people interbred, fossil analysis finds For more info
on man’s humble beginnings, see here
http://www.albertpeia.com/anthroindex1.htm

Previously I wrote:

FOUND: MISSING LINK BETWEEN APES AND MAN.... These stories, and
the many like it, are old news and I subscribe to the more studied view
that there is no “missing link” per se and in my view are distinctions
without significant differences. I previously wrote:

To Learn More About From Whence Man Came, This Link's For You

[To the Professor at the beginning of the course]

10-5-09 Postscript: Professor *****,

I felt compelled to thank you again for the add; not to curry your favor but
indeed to express profound thanks inasmuch as this is probably the last
formal course at a formal educational institution I'll ever take; and among
the most important. While I had bought at discount a library-discarded 1993
Anthropology by Embers text, though meaning to read same never quite
got to it. I am astounded by the substantial amount of time involved in the
evolutionary process, not that I ever stopped to think about it, and one
must come away with the sense of 'and all that...for this?'. This course
should be required curriculum along with psychology, sociology, etc., but
probably won't be owing to what is, as it should be, a very humbling
educational experience for any member of the human race.
Regards,
Al Peia

[Interestingly, my intuitive (but unstudied) thoughts prior to closer

examination of the compelling subject of Biological Anthropology
remain what I believe to be the correct scenario. Specifically, very
simply stated, for the most part, the more “enlightened” (but not by
 much; by mutation, accident, luck, intervention, etc.) left the
unvarying confines of their Sub-Saharan origins, experienced diverse
new environs, challenges, etc., experienced what has been described
(by neuroscientists, psychologists, etc.) as neurogenesis in varying
degrees and forms thereby over time, which trait was selected for and
is consistent with the purported multi-regional evolutionary model
which does not overtly contradict ultimately, initial African origins.
Races, sub-species, missing links, etc., are subsumed in this very
humbling and sorrowful tale of the “dawn of man”.]

[Abolish the corrupt, costly, economically wasteful lifetime

extravagantly appointed federal courts - see RICO case [
http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpe
naltyofperjury.pdf
http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm
]

Don’t Tread On Me: A Refresher Course on the Constitution

BUDGET CRISIS PUTS LOS ANGELES COURT SYSTEM AT RISK ...

ABOLISH THE CORRUPT, ECONOMICALLY WASTEFUL SO-CALLED
SYSTEM, FROM MY DIRECT OBSERVATION AND EXPERIENCE .
(PREVIOUSLY ARCHIVED) HOWEVER, THIS LATEST
"CALIFORNIA/LA DISTRACTION" REQUIRES ELUCIDATION AS
FOLLOWS:

• Response to App. Div. OSC

• STATE OF CALIFORNIA ethics complaint
• Response to Sup.Ct. OSC
• designation of record on appeal
• The so-called "order" appealed from.
How embarrassing for the superior court of the state of california!
• Typical corrupt banana republic america/california court

Dirty money digitally laundered … a wall street, atlantic city, and

american story … a very bad one and [also see RICO case
http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderp
enaltyofperjury.pdf
http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm
] Fraud: It’s Much Bigger Than Goldman Sachs Regulatory
 reform debate obscures key fact: Everybody’s getting money bribes
from Wall Street

Blagojevich calls feds 'cowards and liars'…[Yes. This is a rare

moment for one to say that a sleazy hypocrite like blago, who is on
corrupt federale-connected mobster trump’s celebrity apprentice,
happens to be correct based upon facts / reality and my own direct
observation and experience and the law – Don’t forget to include
corrupt federal judges as maryanne trump barry, sam alito, shiff,
matz, hall, underhill, dorsey, etc.. Defacto bankrupt america’s so-
called system is pervasively corrupt and broken] (AP) [Abolish the
corrupt, costly, economically wasteful lifetime extravagantly
appointed federal courts - see RICO case [
http://www.albertpeia.com/112208opocoan/ricosummarytoFBIunderpe
naltyofperjury.pdf
http://www.albertpeia.com/112208opocoan/PeiavCoanetals.htm
]

Drudgereport: wobama’s wet dream with new jive of New “International

Order” despite nation’s defacto bankruptcy and policies that have left allies
defacto bankrupt as well in jive session At West Point Uses
teleprompters... Tepid applause from cadets: Cuts 'That's a lot of cheering' line from
prepared remarks …Sestak confirms WH job offer to get out of Senate race …
to save specter whose specter is no more in those hallowed hall he sullied
as less than inspector specter from JFK assassination, to financial
assassination of the nation, etc. ... ...
Anger mounts as oil blackens Louisiana coast...
GOP takes House seat in Obama's Hawaiian home district..
Crisis Imperils Benefits Long Expected by Europeans...
Britain faces aggressive cuts in 'age of austerity' having leapt like
lemmings into american oblivion ...
France poised to raise retirement age...
Fiscal crises threaten Europe's generous benefits...
SPAIN SEIZES SAVINGS BANK IN RESCUE BID AS TALKS FAIL...
Public beach in Louisiana closed as oil washes up...
Mass layoffs spike led by manufacturing...
Report: CA borrowed $7 billion from feds to pay jobless benefits...
Nine NY workers retired with $100k+ pensions -- in their 30s...
Stocks Drop Most in a Year on Economic Reports, European Debt Crisis...
Roubini: Stocks to Tumble Another 20%, Cash the Safest Place...
Strains Accumulate...
Fed official: Europe's crisis poses risks to USA...
Confusion over regulation moves trigger sell-offs...
Unemployment spike largest in 3 months...
German Finance Minister: Markets Out of Control...
Greeks strikers march on parliament against cuts...
Rand Paul wins KY Senate race…Specter loses...
Grim milestone: 1,000 Americans dead...
DEMSASTER: SENATE CANDIDATE 'LIED' ABOUT SERVING IN VIETNAM
DOW AT SAME LEVEL IT WAS -- 10 YEARS AGO!
Bankruptcies resume upward path...
Mortgage delinquencies, foreclosures break records...
State pensions becoming federal issue; Bail-out cost potentially more than
$1T...
Greece May Take Legal Steps Against U.S. Banks for Crisis...
Euro Breakup Concerns Grow...
Germans lose faith...
Merkel: Rescue package 'just buys time'...
Roubini Says Greece 'Tip of Iceberg' as Sovereign Debt Threatens
Recovery...
Geithner: 'I Never Had A Real Job'… sounds like a plan!...
Tent City In New York Set Up In Hopes For Elevator Job... camped out
for 3 days for chance at getting an application
NATIONAL ENQUIRER CLAIMS OBAMA CHEATING SCANDAL...
'Hotel security video could topple Obama's presidency'...
GOLDMAN BOSS VISITED WHITE HOUSE AT LEAST 4 TIMES...
GOLDMAN SACHS CEO endorses Dem Banking Bill: 'Wall Street will
benefit'...
GREECE CUT TO JUNK... Doubts intensify... Spreads to Portugal...
Stephen Hawking: Aliens exist but don't talk to them -- it's too dangerous
… might not like us… Oh pshaw! … Human nature, man’s inhumanity to
man? … Such humble beginnings and evolutionary history … What’s not
to like? … Besides, not to worry. With their advanced technologies that
defy human understanding, the aliens already know you’re here … to stay.
So, not to worry. After all, as we know from that documentary of that same
name, ‘Earth Girls Are Easy’ … and then there’s photosynthesis on earth in
a very big way also going for it! ...

Seeing Aliens Will Likely Take Centuries. Centuries? Not goin’ to happen;
at best, decades.

Go to following pages for above links:

http://www.albertpeia.com/currentopics2ndqtr10108.htm
http://www.albertpeia.com/wallstreetlunacy2ndqtr10108.htm
http://www.albertpeia.com

http://www.albertpeia.com/alresume.htm