What a Joke!

Federal government Shills on the hill answer to elected officials that it would not be in the interest of the taxpayer to reveal the names of the counter parties in the AIG debacle. It might stop them wanting to do business with AIG. THE company is BANKRUPT! Nobody in their right mind would ever undertake counter party risk with AIG at this point. All that is left are the winning trades of the counterparties. The game is kept alive for the sake of the Europeans...

Here's my take: AIG had written up $2TB of guarantees on US assets for European investors. Mind you AG only had $100BB of capital at the time but Hank Greenberg was to happy to oblige. NOW who could have guessed that these guarantees are now pretty much vested and the US taxpayer is on th hook "to Honor" them. $180BB and counting...
Now We suspect the reason behind this farce continuing is that American regulators know that if they let the European banks have to acknowledge that their US assets are no longer "guaranteed" , they would precipitate their inability to function and would have to convert outside the US dollar...

SO the reasoning at Treasury and the FED is this charade continues further debasing any semblance of repayment.

In the meantime, all players are piling into US treasuries, outside the Euro and the Pound at any price.

Now I have to go back into GOLD NOW NOW NOW because sooner than later, those same players are going to trash the DOLLAR NFP tomorrow morning!!! even if the start is encouraging, commercial real estate is going to take a slew of insurance and pensions funds into oblivion...

Thanks to the Chinese government for allowing players to sell on rumours of intervention! Bet you Wall street started that rumour to sell into ANY rallye

Everyone for themselves!

THis BOAT is a sinkin' faster & faster!