To Raise or Not To Raise? That My Bonehead's is the question....

Well once again our fearless Federal Reserve Leader Janet Yellen or as I like to call her Old Yellen (https://en.wikipedia.org/wiki/Janet_Yellen) has once again done absolutely nothing today but put the fear of loss in the market again. This shit is getting old and for Bonehead Investors like you continues to screw you and your potential earnings in this market. Why you ask?

Ever time Old Yellen has either gone to the FRB or the HFS (look them up here if you don't know your shit - http://www.federalreserve.gov/, http://financialservices.house.gov/) she continues to spew pointless and vague  useless facts that either the USA economy has been improving and or some other shit like unemployment is down so the Fed may and yes the magic word is may raise rates sometime in the future. The immediate chain reaction is the market flips the hell out and equities fall, like the did today (http://www.reuters.com/article/2015/11/04/us-usa-fed-yellen-idUSKCN0ST22V20151104#MgSrGfq6VAg6Uy5T.97).

Bonehead's don't listen to the noise of this useless leader. Old Yellen and her band of Committee Members continue to pontificate on this market and each and every time they meet and continue to spout off crap that never ever comes to fruition. As a Bonehead we can't continue to be held hostage by words and more importantly lies to the American public. We continue to hear that employment is improving, bullshit (http://fortune.com/2015/02/04/unemployment-rate-gallup/). Manufacturing inventories are improving, more bullshit (http://www.census.gov/manufacturing/m3/index.html). How can any person without a PHD understand how to invest in this market? You can't! That is why Bonehead's stick to what they know. Companies that make real products that people use and services that people want,

This is a scary ass time for the US Stock Market  and  I am constantly worried will crash like hell..But don't fear Bonehead's. We can't listen to the noise of the talking heads, the liars, cheats and the most evil of all brokers and financial advisers! Bonehead's stick to what you know. If you don't know what is valuable to you in  a company then do not invest in this market. Stick to cash or something easy like a CD that pays a very low interest rate. I always tell investors I would rather make 1% on my money than lose 25% in this crazy ass stock market. If you believe in a company, know that it has great value and produces products and services that people want - then be fearless in your investing!

Things that I am digging now - https://www.etsy.com/listing/233209304/personalized-american-oak-aging-barrel?ref=listing-shop-header-1

The Bailout.

Well it is getting close to the hour of the bailout. Will it happen? Most likely yes. Will it matter? In my humble opinion it will not. The damage has been done.

For those of you who follow me you know my greatest fear is that the average US citizen has zero savings. Most, in fact, about 96% of the US can't make it a week without a paycheck. How will this bailout help them. It won't.

Once and only if the few banks that will be around can get back to lending, the lending requirements will be like climbing Mt. Everest. Think about this for a moment. The average US consumer credit score is between 690 to 720. Banks were charging huge interest rates to these consumers when they could lend. What do you think it will be like when they start lending again? The average consumer will not qualify for a loan. This will soon be a painful wake up call for America.

To compound this problem the consumers who do have credit are now being notified that their credit lines are closed and until they can pay what they owe they have no available credit. So what is the consumer to do? No credit and no savings makes for a messy problem. Food, gas, heat, shelter all cost money.

The capital market has a unique ability to flush out bad planning really quickly. The US has been in a bad planning mode for sometime now. The warning bell rang 13 months ago and we ignored the ominous signs that the financial markets were in trouble. Readers this is bad. Very bad.

So now what. My predictions:

• Bailout goes through, barely
• FDIC limit raised to $250k and why? Who has $250k in cash laying around......
• Banks either gobble each other up or we see massive bank failures
  
• Mark to market kills accrued value. Assets will be significantly reduced across the board
  
• The treasury lines and discount window will not be enough to tie banks over or cover "toxic" debt
  
• Financial markets will freeze up again in about 25 days. Enough time to attempt to flush "toxic" bad debt
  
• Short selling banned for another 30 days
  
• More panic sell off by the average 401k holder and small time investor
  
• DOW 7300
  
• Money Markets hit .96 cents for $1. Money Markets will be a thing of the past very soon
  
• Hedge Funds will collapse and then the fun really starts.....
• Once market goes into free fall we will see massive layoff's
  
• Layoff's will have to be funded by State Unemployment
• States will now rush to Federal Government for bridge loans to stabilize their businesses
• Federal Government will have no money to lend
  
• Next, study the history of October 29th, 1929

Our leaders failed the US citizen. But we really failed ourselves by not taking responsibility and live within our means. Good luck.

Citigroup to buy Wachovia banking operations!

My predictions are coming true. So far I am 100%. My next prediction; Fed's get bailout, savings help or whatever you all call this bailout approved. From there we will see a market crash like never before. Think about this, where will all this bad debt go and who will pay for it. You and me my brothers and sisters.

The idea of taking your money out of the bank and putting into your mattress might not be such a bad idea now. My other advice, wait before you invest this next couple of weeks.

By the way Wachovia did fail! It failed shareholders. Check out how much the officers of Wachovia made. They should all be ashamed of themselves......

Press Release: Citigroup will buy Wachovia's banking operations;FDIC says Wachovia didn't fail.

NEW YORK (AP) -- In the latest byproduct of the widening global financial crisis, Citigroup Inc. will acquire the banking operations of Wachovia Corp. in a deal facilitated by the Federal Deposit Insurance Corp.

Citigroup will absorb up to $42 billion of losses in the deal, with the FDIC covering any remaining losses, the government agency said Monday. Citigroup also will grant the FDIC $12 billion in preferred stock and warrants.

The deal greatly expands Citigroup's retail outlets and leaves it among the U.S. banking industry's Big Three along with Bank of America Corp. and J.P. Morgan Chase & Co.

The deal comes after a fevered weekend courtship in which Citigroup and Wells Fargo & Co. both were reportedly studying the books of Wachovia, which was suffering from mounting mortgage losses linked to its ill-timed 2006 acquisition of mortgage lender Golden West Financial Corp.

The FDIC asserted that Wachovia didn't fail, and that all depositors are protected and there will be no cost to the Deposit Insurance Fund.

Federal Reserve Chairman Ben Bernanke, in a statement Monday, said he supports the "timely actions" taken by the FDIC "which demonstrate our government's unwavering commitment to financial and economic stability."

Treasury Secretary Henry Paulson also welcomed the sale of Wachovia to Citigroup, saying it would "mitigate potential market disruptions." Paulson said he agreed with the FDIC and the Fed that a "failure of Wachovia would have posed a systemic risk" to the nation's financial system.

"As I have said before, in this period of market stress, we are committed to taking all actions necessary to protect our financial system and our economy," Paulson said.

The sale of the Wachovia assets comes just days after the government's seizure of Seattle-based Washington Mutual Inc. -- the largest bank failure in U.S. history. As details of its takeover unfolded, Wachovia shares plunged 91 percent in Monday premarket trading to 91 cents. The stock had closed Friday at $10, down 74 percent for the year.

Wachovia has been among the banks hardest hit by the ongoing crisis in the mortgage market. It paid roughly $25 billion for Golden West at the height of the nation's housing boom. With that purchase, Wachovia inherited a deteriorating $122 billion portfolio of Pick-A-Payment loans, Golden West's specialty, which let borrowers skip some payments.