Karl Gives a Speech !

[raystone]

YouTube - ALT Tallahassee: Karl Denninger on the Economic Crisis (Part 1)

http://market-ticker.denninger.net/

 

[HOLLYWOOD]

Karl F%#KIN ROCKS!

though the tee shirt I can't read. what it says.

The Facade, Fraud, & Charade... even knuckleheads are starting to catch on.

 

[AdamT]

Oooh nice!

 

[specsaregood]

http://nymag.com/guides/money/2009/59457/?imw=Y&f=most-viewed-24h10

The Dow Zero Insurgency
The nothing-can-be-believed chaos of the financial crisis created a golden opportunity for a blog run by a mysterious ex-hedge-funder with a dodgy past and conspiracy theories to burn

Last spring, in a far corner of the Internet, an unknown blogger began to piece together a conspiracy theory: The investment bank Goldman Sachs was using sophisticated, high-speed computers to siphon hundreds of millions of dollars in illegitimate trading profits from the New York Stock Exchange, invisibly undercutting the market and sidestepping the regulatory reach of the Securities and Exchange Commission.

Only a few loyal readers paid attention to the blog called Zero Hedge, a no-frills site full of arcane analysis decipherable only by finance professionals. But when a former Goldman Sachs computer programmer was arrested for allegedly stealing software codes used for the firm’s electronic trading arm, and a federal prosecutor was quoted saying the codes could be used to “manipulate markets in unfair ways,” the once-obscure blog ignited a chain reaction.

While on a golf outing, an editor at the New York Times learned from a friend who worked on Wall Street that the Zero Hedge allegation was the talk of the industry, and an assignment ensued. On July 24, the Times published a front-page article on so-called high-frequency trading and its potential abuses, which in turn prompted Chuck Schumer, a member of the Senate Finance Committee, to draft a letter to the SEC that same day. Twelve days later, the SEC signaled that it was considering a ban on the very computerized trading that Zero Hedge had attacked.

Suddenly, the shadowy figure behind Zero Hedge was a full-blown cult hero—a blogger with a bullet. His readership of angry traders and anti-government malcontents celebrated his newfound power. “Welcome to the party pal!!!” declared one of his fans in the comments section.

In a sign of just how radically the order has shifted in the political and media world, neither the Times nor Schumer had a clue about the identity of the pseudonymous author behind Zero Hedge. As it happens, the founder is a 30-year-old Bulgarian immigrant banned from working in the brokerage business for insider trading. A former hedge-fund analyst, he’s also a zealous believer in a sweeping conspiracy that casts the alumni of Goldman Sachs as a powerful cabal at the helm of U.S. policy, with the Treasury and the Federal Reserve colluding to preserve the status quo. His antidote? A purifying market crash that leads to the elimination of the big banks altogether and the reinstatement of genuine free-market capitalism.

Never mind Dow 10,000. Dan Ivandjiiski is all about Dow Zero.

Last year’s financial implosion left the investing public deeply unsettled about who or what to trust. The information that flowed from the banks, the ratings agencies, the regulatory agencies, and the mainstream media—the bedrock of the financial markets, in a sense—was viewed with great suspicion, and that created an opportunity for financial bloggers: a motley assortment of amateurs and professionals from all over the map. There are traders, economists, venture capitalists, financial advisers, and pajama-clad cranks all vying to explain the complex machinations that got us into this mess and to critique governmental solutions. Sites like Naked Capitalism, Seeking Alpha, the Big Picture, Infectious Greed, Angry Bear, Calculated Risk, and Zero Hedge have hatched communities based on discontent and disbelief, forming a kind of ragtag insurgency against the financial Establishment and what they view as its feckless lackeys in the government and media.

“We’re all happily cruising along, doing our financial-journalism thing, until late 2007,” explains Felix Salmon, who now blogs for Reuters. “We have relationships with flacks, and suddenly they started lying to us. Outright lies. And you’re like, ‘Wait, that’s not kosher, you can’t do that.’ ” Among bloggers, Salmon is more of the Establishment type, with little tolerance for the sloppy thinking of excitable bloggers.

More at link above...interesting read.

 

[tajitj]

Karl is great. I just discovered him about 2 months ago. I dont know what he has said about Ron Paul in past and don't really want to know.

The guy is the best deflationist I have heard. He changed my mind about hyperinflation and is just plain entertaining to listen to.

 

[revolutionary8]

"Medicare Part D-

When Medicare was passed, the pharmaceutical companies raised prices by 17%, when inflation was running about four"

wow.

 

[HOLLYWOOD]

Here's another piece related to your post:

http://curiouscapitalist.blogs.time...reeters-like-conspiracy-theories-always-have/[url]http://curiouscapitalist.blogs.time.com/2009/10/01/wall-streeters-like-conspiracy-theories-always-have/[/URL]

With that Reuters blogging clown, Justin Fox, I'd take anything with a grain of salt with these media reporters in NYC and anyone that's worked on the 'Lefty Universe' TIME/OBAMA cherish reporting. They always have to keep their Four Seasons dinner invites open from the Wall street boys, so Justin Fox is just protecting his little NY niche.

http://nymag.com/guides/money/2009/59457/?imw=Y&f=most-viewed-24h10[url]http://nymag.com/guides/money/2009/59457/?imw=Y&f=most-viewed-24h10[/URL]


More at link above...interesting read.

http://curiouscapitalist.blogs.time.com/author/jmickle/[url]http://curiouscapitalist.blogs.time.com/author/jmickle/[/URL]
About Justin Fox


I'm the business and economics columnist for TIME. Before joining the magazine in 2007, I spent more than a decade writing and editing for Fortune. I started this blog, the Curious Capitalist, on CNNMoney.com (Fortune's Internet home) in 2006. Way back when, I also worked at the American Banker, the Birmingham News, and the (Tulare, Calif.) Advance-Register. I grew up outside San Francisco in the lovely town of Lafayette, attended Acalanes High School (Go Dons!), went to college at Princeton, and lived in the Netherlands for a while. I'm married and have a son, and we live in New York City. Oh, and I've written a book. It's called 'The Myth of the Rational Market.' The Economist says it's "fascinating and entertainingly told." The FT says it's an "excellent new history," Burton Malkiel (writing in the Wall Street Journal) says it's "a valuable and highly readable history of risk and reward." Arthur Laffer (pontificating on CNBC), says it's "absolutely exquisite." Publisher's Weekly says it's "spellbinding." USA Today says it's "yawn-inducing." I could go on and on—and I do (although not so much about the yawns), at my personal website, byjustinfox.com. E-mail me at capitalist@timemagazine.com
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