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Crimson Ghost

“The things that will destroy us are: politics without principle; pleasure without conscience; wealth without work; knowledge without character; business without morality; science without humanity; and worship without sacrifice.” Mahatma Gandhi

These prophetic words were written a century ago.

Never in history has a nation indulged in these things that will "destroy us" as much modern day America.


Hilarious cartoon, Elaine. I have never seen Putin smiling that much. A rare photo.

Too bad we happen to be one of the dwarves.

Elaine Supkis

Both Wen AND Putin are grinning ear to ear.

Mike Fox

Speaking of money and power, I was wondering what your thoughts were on the growing, or more appropriately, mushrooming 'Sovereign Wealth Funds' of China and Russia?


Elaine has documented these funds quite extensively in her past articles. Read them in the archives to find out more about them and about when they started.

They will be used as a new form of state sponsored banking is my guess. They are pretty much the same as ancient "treasuries", but they will not be used just to build palaces and private armies.



While I agree with you, in large part, about Israel and the Jewish aims (they play the guilt card to their own benefit just like noted race-hustlers Jackson and Sharpton), I do feel compelled to point out that if you look at conflict around the world, you find Muslims at the heart of almost every one!

Muslims are fighting Christians.
Muslims are fighting Jews.
Muslims are figting Hindus.
Muslims are fighting BHUDDISTS - who really don't f*ck with anyone!

I'm sure that if a sizable Muslim population ever comes into close and lasting proximity with a Taoist population, the Muslims will be fighting Taoists, too. The whole nature of Islamic thought is centered on the idea of being better than everyone else, and being commanded by God (aka Allah) to rule the whole world, by force if needed.

Much like Democrats and Republicans in America, there isn't a "right one" and a "wrong one" when it comes to Muslims and Jews. They're pretty much both full of crap, and their basic aims are outright dangerous to the idea of universal freedom for the masses of mankind.

I'm merely pointing this out because of late your writings seem to imply that there's a good guy and a bad guy in that fight. More and more, I'm coming to understand that the choices facing us today aren't those of good vs. bad, but rather, of bad vs. bad.

Sad, but true.


Elaine you wrote:

"The utter failure this will bring us is historic and utterly stupid. And the US will fix this with Canada and Mexico the same we way we are fixing it in the Middle East: violent military occupation."

Do you really think this is more likely than the North American Union (a more peaceful takeover), and if so, why?


Blunt Force Trauma

"Arrest all the Goldman Sachs executives across the planet who run the world's financial systems. One just took over Canada's central bank and within a MONTH, the loonie shoots up in value against the dollar. Will the Canandians allow this to continue? Will the go to the central bank and demand the new president resign? Time is running out, Canada."

I agree. We have, what, a 760 billion dollar deficit in Canada and I'd estimate that 3/4 of that is tied up in mortgages that many cannot afford? We are headed the same path down to subprime hell.

We could have Members of Parliament try to fight on our behalf as our 'Federal Reserve' is actually owned and run by the government, unlike the U.S. Federal Reserve, which is not; but our Prime Minstrel has his head too far up 'The Decider Guy's' arse to listen.

But you are right as always, Elaine. 42 year old Mark Carney is governor of the Bank of Canada . Fitting last name, eh? 'Guess Your Weight', er, deficit.



Elaine, I will have the temerity to remind you that less than a year ago I had to argue that the Loonie was in fact rising against the USD when you stated that Canada was in fact holding the Loonie down for unfair trade advantage against American producers.

So lets see if I get this straight.

A year ago it was the Canadian Federal Gov’t, Bank of Canada and Bay Street that was holding the Loonie down to increase exports to the US.

Now it’s the citizenry who should rise against the same principles in order we don’t get screwed in the ear being paid in USD for commodities. In effect serving the same cause of a lower Loonie that the financial mandarins were vilified over.

I’m afraid the international monetary speculators are having a heavy hand in this flight of the Loonie, just as they sold us out for shit when we weren’t so tarted up with oil and commodity prospects. The Canadian citzenery is going to have as little effect now that these greedy bastards see us as safe haven as the USD trips and lands face first in the mud.

Neuro Artist

As far as I can see Petro China isn't worth 1 trillion dollars. It put about 2% of its total shares on the market, so it actually 'only' took 20 billion dollars out of the purse of investors. Apparently it earns about 20 billion dollars this year, thus the price/earnings ratio is about 50, which is about 4 times as much as the comparable western oil companies.

This is a bubble in China. And it will burst. When that happens all other bubbles will burst too, due to the chinese withdrawing their funds from the rest of the world. Good bye financial system of the world.


All this PetroChina talk ignores the fact that the COMPANY only got the IPO PRICE!

All those gains above the IPO price? Those went into the pockets of the people who, through inside connections to the brokerage handling the IPO (yes, even in China, I'll bet that's how it happens), got to buy shares directly from the company.

Multiply the number of shares sold by the IPO price and you know how much PetroChina put into their company's pockets.

If they're smart--and not overly greedy--they'll wait to see if this shareprice holds or even climbs; if it does, they'd be well advised to quickly put out about 25% additional shares in a secondary offering. It would be enough to almost double their initial capital raised, while not being dilutive enough to piss off existing shareholders. (This is assuming that Neuro's figure of 2% of shares having been IPOed is accurate; it would take the issued shares up to 2.5%, which is still miniscule, all things considered.)

I'm not saying I encourage this--I've no love for the ChiComs--but it would be the savvy move, financially.


(Off topic, sorry. I Have thoroughly searched through the (liberal?) Truthout internet news service's huge front page, and have not found the slightest trace of a story about the Kucinich resolution to impeach Cheney that was sent to the House floor today. Democrats voted to table (kill) it; Republicans forced the proposal to be referred to the House Judiciary Committee. Buzzflash has full-screen headline at the top of its front page. See for yourself! What is it with Truthout??? I guess the truth is out to lunch with them.)


Neuro Artist is quite correct. The PetroChina valuation is quite a joke. Bubbles eventually disrupt ALL economies. This one will be quite momentous when it pops!


The irony of these times is that we have lived to see the world turned upside down. Everything is now a mirror and opposite of accepted reality. The Communist states have become peace loving capitalists, while the world's Democratic standard bearer has turned warmonger and quasi-totalitarian. Pain and misery is a good teacher.

History proves that the Western Empire has always has been this way, except for its use of smoke and mirrors which has worked until just recently. It worked well while the Communists were willing to play the role of Evil Empire, but they have learned that prosperity is a more pleasurable game and that wars cause bankruptcy. Hardship is a good taskmaster, it causes people to change. For those who want the status quo, it will be difficult. We tend to look at things in the short term, like politicians who legislate laws that bring benefit during their term in office.

I suspect the Eastern Empire will be ultimately more prosperous, peaceful and equitable for the rest of the world.

Elaine Supkis

Canuck, LAST YEAR, the loonie was kept below the dollar. But then GOLDMAN SACHS just took over last month. Since that day which was 30 days ago, the loonie has shot up 10%.

I am right, as always. For I said Goldman Sachs would monkey with things and we need to pay for our oil with cheap dollars and this means forcing Canada to accept our lousy dollars which ergo, raises the value of their own currency in world makets If Canada wants this to stop, they need to hold US dollars!

The yen is not getting stronger and look! Today they announced their damn FOREX reserves are no $965 billion and this means it went up nearly 10% this year! China's is soaring.

Everyone: China is definitely having a classic bubble! But the US needs the bubble just to SURVIVE. The bubble money ISN'T coming here anymore! It is in China!

Today's market went up due to Exxon and other oil companies. But NONE of them went up by $1 trillion! Just the Chinese company! So I read this as a very important sign. The flow of money in this world had changed and so has diplomacy, etc.

The West talks about this banking crisis while PRETENDING it is global. It is NOT. It is confined to the West G7. Even Japan isn't having a banking crisis right now. We are. China isn't.

I have more to say about that in the news, it is growing painfully obvious.

Elaine Supkis

Dear John,

Buddhists have about 5% of world oil under their feet. Russian Orthodox have about 10%. Christians of all types have about 35%. All the rest is under Muslim feet. Since they have a huge part of world oil resources, everyone is trying to grab it and control it.

So they are at war with EVERYONE and EACH OTHER. This is due to the oil, not their religion.

In Sri Lanka, by the way, the Buddhists are fighting the Hindi. And in Asia, the Chinese are in opposition to the Japanese and there are no Muslims involved. The war between Japan and China has killed MILLIONS in the last 70 years! How about that?

Then there is the bloody history of Christians in Europe; many, many, many millions of everyone killed! Many millions! Possibly the bloodiest of the lot, these Christians.


you are skewing the facts to make a point. Muslims are fighting Christians in Iraq/Afghanistan because the Christians invaded Muslim lands.
Muslims are fighting Jews because Jews (with Christian help)invaded/ethnically cleaned Palestine.
Muslims are fighting Hindus in large part because Christians exercised divide and rule.

Don't know whether you knowingly try to mislead people or are honestly ignorant but in either case you should try to be a bit more open-minded.

Neuro Artist

Well, it is still fascinating that 20 billion dollars gets invested in one day in the Petro China bubble (that is still a lot of money considering that a normal chinese worker may earn about 20 dollars in a week). I bet that many chinese are convinced they will find oil on the moon. They are a bit spaced out, the chinese, I guess, for the time being.

Al, good analysis of cause and effect.

I wonder if Canada will be the first country to hang a Goldman-Sachs banker, it won't be the last.

Not Student

You know how I read the sign of PetroChina?

I think the Chinese are running out of patience to wait for the market to unwind and have decided to take things into their own hands.

This PetroChina bubble is so huge that it can potentially trap all the speculators' money in it and NOW the speculators' collective balls (balloon? HAHAHA) are in the chinese hand.

Will China sacrifice its own financial prosperity to collapse the world financial system? Not if they are not forced to. But now they have that option.

When push comes to shove, don't forget that China STILL has an incredible industrial base and with the past 20 years of development, a credible scientific team as well.

PetroChina will be the tip of the Archimedes Leverage that will move the world. NOT a good sign.


Here’s the historical BOC rate for the last year

11/2006 4.50
12/2006 4.50
01/2007 4.50
02/2007 4.50
03/2007 4.50
04/2007 4.50
05/2007 4.50
06/2007 4.50
07/2007 4.75
08/2007 4.75
09/2007 4.75
10/2007 4.75

Here’s the last 10 weeks

5/09/2007 4.75
12/09/2007 4.75
19/09/2007 4.75
26/09/2007 4.75
03/10/2007 4.75
10/10/2007 4.75
17/10/2007 4.75
24/10/2007 4.75
31/10/2007 4.75

Carney doesn’t take over until January. There’s been no change in the overnight rate, or with pronounced direction of the BOC.


What ever he does has to be vetted by the board of directors.


A well dispersed group geographically. Presuming they’re all compliant saps to the Governor of the BOC is a stretch, but it’s possible. Just not at this juncture. I won’t argue that a GS alumni isn’t bad news but;

1. Carney doesn’t have the reigns yet
2. Dodge’s stable polices are still in place and resulted in increased Loonie valuation
3. The general population felt the Loonie was undervalued for our economic stature.
4. Usual Canadian Export/Business protest over the strong Loonie has not developed.
5. No parallel media stories on consumer benefits of strong Loonie, quite the opposite (i.e. Bay street’s not on the goldman bus yet).

So to counter your contention that GS is behind the latest Loonie jump I’d say that they’re involved yes but not yet from behind the desk of the BOC. They’re fully in line with the currency spectulators that build demand by buying into the Loonie as safe harbor and speculation of increased valuation. It’s possible that the speculators are projecting favorable polices from a GS BOC Governor, without policy change its still speculation which is no stronger than other factors.

These are the same jerks that would give the New Zealand Dollar a “better fundamental” than the Loonie back when we were at 0.67/USD even though our exports far exceed. These guys love Harper, they love captive markets which for all appearances the US will fall into with Canadian commodities. For years they would rally against our government debts and our awful socialist policies (read, health care). Now commodities are a smart bet, projecting the Loonie won’t withdraw anytime soon. There’s a lot of interest from all the currency speculators not just GS so they’re all in play trying to out hustle each other, further bumping up the Loonie valuation.

BTW the consumer windfall from the strong Loonie does not exist. Importers and distributors are keeping prices high claiming previous contract and payments in USD. Retailers are caught in the pinch. It appears the dry goods marketers are going to try to get in the same position as Cargil and Tyson foods squeezing both production and retail of margin.

All the vehicle manufacturers are cashing in on the Canadian market by not reducing prices, sending letters of demand to US auto retailers to prevent selling cross border, voiding cross border warranties, etc. Yesterday an associate checked the local price against the price in Phoenix of a Honda pilot (Honda Pilot is built in Lincoln, Alabama and Alliston, Ontario, Canada) $14K unadjusted price differential.





What's wrong with bubbles? The US had many bubbles in its histroy, no? PetroChina and its alike have gotten all that IPO money and they'll use it to best serve their companies and the Chinese government. If the bubble bursts, it's the investors that will lose money not PetroChina. PetroChina only sold small percentage of its total shares so it can weather the downturn if the bubble bursts. On the other hand, when the bubble do burst, it'll serve as a good lesson for the ordinary Chinese citizens. They need to learn how to value and hedge risks. Many western governments are doing everything they could to disrupt the Chinese economy. They want the Chinese economy to crash hoping that will stir up social unrests in China. Hahahahaha! They will be wrong again. China is investing massive money in surveillance companies that will help the Chinese government install surveillance equipment on every corn of streets in big Chinese cities. Any big crowd gathering will be recognized instantly by the surveillance hardware and software and will be put down by forces. China is ascending and there will be bumps along the way to the top. No one in the Chinese government ever expect everything will be run smoothly, but everyone in the government knows what to do when something bad happens. You can count on that. China has been through many civil wars but it has become out of its problems and on its way to the top, hasn't it?


I believe I specifically said that there are no 'good guys' in this religious mess. And yet I get two posts that seem to imply that I'm saying otherwise.

I have no patience with the rhetoric out of Christianity & Judaism about how persecuted they are.

But I'm not listening to it from the Muslims, either.

And c'mon, Elaine - the China/Japan conflict is not relevent to what I'm addressing, which is that the Muslim beliefs are no less aggressive than those of any other Western religion.

Heh. It's more like the Unholy Land, if you think about it. A good deal of the world's pain and suffering was born there.

Now as far as the bloody history of Christianity, I agree with you. But Jihads predaded Crusades, so far as I know. Please point me toward a source that proves otherwise, should one exist.

Neuro Artist

Yes the islamic jihad expansion occurred before the christian crusades, which to some extent was a reaction to the former, or more probably a way of christianity to get firmly united under the catholic church. I think we all need to see that it is not really about differing religious points of view, but the rulers using authoritarian religions to keep the population in check for their benefits. As of late, the last 200 years or so, I think though that "judeo-christian" leaders have been the most responsible for the mess. But of course it is not unlikely that it had been a mess if islamic leaders had the upper hand either. Humanity just needs to get off the hook of authoritarian book-religions, alltogether, if we are going to live long and prosper, we need to re-learn how to think and figure out things for ourselves. Unfortunately it probably means that all the gods-choosen-people, bible-thumpers and Quran-schoolers have to kill each other first, and a lot of others as well. As of late there is of course the high priests of economy also, but that part is in self-destruct mode, and will set off the judeo-christian-islamic destruction. When the smoke clears I hope what is remaining of humanity can pull itself together and use the brainpower we have been blessed with in a constructive, creative and sustainable way.


I'm hoping that Neuro is right, or at least things do get better once the dust settles.

I've been cornered by my Christian neighbors, a Muslim contractor working on my house, and of course, Jews, regarding what I should believe and what is right and so forth.

I'm really tired of it, but they never tire of it. I am amazed at the amount of energy they pour into trying to convert others to their particular belief.

Their religion is the most destructive religion I have ever seen or read about, but they cannot see this themselves.

They are more blind than I am deaf.

Elaine Supkis

According to the Bible, the very first thing humans did after being expelled from the Garden of Eden was for the two sons of Adam And Eve to get in a fight on one killed the other.

As for the Crusades: some history.....at the same time Mohammed rode Pegasus to Jerusalem, WILD BARBARIAN HORDES were destroying the Roman Empire. Starting with Attila the Hun. The Vandals, the Mgyars, the Vikings....they were very, very nasty and very bloody and ran over everyone. In contrast, the Islamic fighter were civilized.

By 888 AD when Charles the Fat, son of Charles the Bold died, Charlemagne's empire had totally collapsed. In 1073 AD, there were TWO popes and they used swords to fight out who would be the Prince of Peace. Call this, the Princes of Pieces. Heh.

Then, the winner, Gregory VIII turns around and excommunicates the Holy Roman Emperor, calling him a devil.

Once that gets sorted out, THEN the Crusades commenced in 1095. In 1099, the Crusaders take Jerusalem AND KILL EVERYONE. How civilized. HEH.

Now there are FOUR Popes! Fighting each other. Next week: I will talk about the sweet families that fought over the Eastern Roman Imperial throne in Byzantia. A story of terrible wretchedness.

Elaine Supkis

The emperors of Byzantia were quite fond of poking out the eyes of siblings and nephews, by the way. In between murders, poisonings, throwing out of windows, etc. Fun people. Now, who is civilized again?

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