Monday, 06 June 2011 15:57

Now That The Mainstream Media Has Admitted That Banks Should Be On A Downhill Slide...

CNBC ran an article this morning, Bank Shares Take a Beating, and It May Not Be Over Yet. Talk about obvious. We have been bearish on banks since they collapsed a couple of years ago. Yes, they soared 100% to 200% after dropping 80% (you do the math and see which side of the bet made the most money), but those share price spikes are the result of pure and explicit government manipulation. There are no fundamental reasons that come to bear to buy these companies. As a matter of fact, they are the new "tobacco" companies and are lightning rods for litigation, and that is the least of their problems. The big issue is that the cause of the their collapse in 2008 has went nowhere but deeper in into their respective balance sheets, hidden by captured government regulators and funny money accounting shenanigans. The bulk of most bank lending in this county is done for the purchase of real estate. How do you think that business is doing now? How about those ever so valuable legacy assets?

Let's run through just the latest of the many BoomBustBlog warnings, after all you just have to be asking yourself by now, "Is Another Banking Crisis Inevitable?".

The chickens are coming home to roost, dude. When you send your chickens out in the morning, they return to your barnyard. Not your neighbor's barnyard, not the guy across the street, but your barnyard. Oh, I say it and say it again... You've had! Been took! Hoodwinked! Bamboozled! Led astray, run amok! This is what they do!

[youtube IEw25ByILkY]

Another stint on Max Keiser discussing what happens when its the banks that walk away from a home, phantom banking profits that never were, and more shenanigans that are the tour de force that is today's banking system and economy. To skip directly to the Reggie Middleton interview, move to 11:55 in the video.

[youtube 8a6NdwORK5g]

Related articles:

Here are quite a few more...

You’ve Been Had! You’ve Been Took! Hoodwinked! Bamboozled! Led Astray! Run Amok! This Is What They Do!

Monday, February 28th, 2011

The Fiery Sword of Truth

[youtbube D47MbNquwF0]

Greece Reports: “Circular Reasoning Works Because Circular Reasoning Works” – Or – Here Comes That Default!!!

Monday, May 23rd, 2011 by Reggie Middleton

For all of those who felt I was too bearish on the Euro region in 2009 and 2010, thus far nearly every proclamation that I have made has come to light or shown a direct path to doing so. I believe I was unequivocally clear in my assertion that Greece will default at least a year or so ago (even if said default would be marketed by some other name for the sake of political expediency). I would consider this a must read for anyone in the mainstream media reporting on this topic, or any investor/stakeholder who may fear the Grecian domino effect, even if you feel you have seen some aspects of it before.

Well, now its time to call Greece out on its perversely circular  reasoning being used to justify its alleged stance that it will not default. I read a humorously crafted ZeroHedge article this morning which immediately cause the following image to pop into mind…

For more on the origin of said circle, I first refer you to an article ran yesterday in Bloomberg

It Should Be Obvious To Many That The Risk Of Defaulting Sovereign Bonds Can Spark A European Banking Crisis

Thursday, April 14th, 2011 by Reggie Middleton

I’m fresh back from my trip to Amsterdam where I lectured ING institutional clients and staff on the potential of a European banking collapse. Below are a few clips from the first of two lectures.

[youtube LdGdyEQYoe8]

Reggie Middleton’s Real Estate Recap: As I Have Clearly Illustrated, It’s a Real Estate Depression!!!

Wednesday, May 25th, 2011 by Reggie Middleton

Summary: I called it the coming RE Depression in 2007! I put MY money where my mouth was and sold off all of my investment real estate. I put YOUR money where my mouth was and shorted all that had to do with real estate (REITs, banks, builders, insurers). I called almost every major bank collapse months in advance. I warned the .gov bubble blowing does not = organic economic recovery. Now I’m saying we need to, and will, continue what’s left of the crash of 2009, with ample global company. There will be no RE recovery this year, and there will be a crash. OK, you heard it here!

First, let’s go through the headlines for the day then proceed to breadcrumb trail that clearly led us to where we are now and where we will ultimately end (oh yeah, In Case You Didn’t Get The Memo, The US Is In a Real Estate Depression That Is About To Get Much WorseWednesday, February 23rd, 2011)

Sound Money Interview of Reggie Middleton (05-24-11), Aired on NYC’s WNYE Radio Tuesday, May 31st, 2011 by Reggie Middleton

On 5/24/11 I recorded a podcast interview with the Sound of Money, an interesting financial show that airs on NYC’s WNYE radio. You can listen to 46 and a half minutes of my viewpoints and opinions via this link, Sound-money-interview-of-reggie-middleton-05-24-11.

Dexia Sets A $5.1bn Provision For Loss On Trying To Sell The Same Residential Real Estate Assets Upon Which JP Morgan Has Slashed Provisions 83% to $1.2bn from $7.0bn

Tuesday, May 31st, 2011 by Reggie Middleton

Do you remember my recent missive “There’s Something Fishy at the House of Morgan“? Well, in it I queried how it was that JP Morgan can continuously pull risk provisions and reserves to pad quarterly accounting earnings at time when I not only made clear that we are in a real estate depression but the facts actually played out the same. As excerpted from the aforementioned article:

 

Weakening Revenue Streams in US Banks Will Make Them More Susceptible To Contingent Risks

Tuesday, April 12th, 2011

JP Morgan Purposely Downplayed Litigation Risk That Spiked 5,000% Last Year & Is Still Severely Under Reserved By Over $4 Billion!!! Shareholder Lawyers Should Be Scrambling Now

Wednesday, March 2nd, 2011

Last modified on Monday, 11 July 2011 12:06