Another Slaughter Of The Dollar; This CAFE Is More Like A Truck Stop

	Wednesday, July 30, 2008 Whitelist Us         Fannie & Freddie (Krueger) are Going to Slaughter the US Dollar By Dr. Russell McDougal You’ve been receiving these weekly missives now for nearly two years. You likely know that I regularly rail against crooked government, dishonest markets and fraudulent money. Apparently, we’re in a growth industry. The Krueger Kids, Fannie and Freddie, are in the news on a regular basis these days. Everyone is dissecting what went wrong and in what form the bailouts will take place. Wall Street is even cheering this rescue plan as something positive. More Bank failures have just been announced. The FDIC funds are intended to back bank failures. The FDIC is now on the watch list because of limited capital. Is this another bailout in the works? Who will be next and what will the government do about this “sudden” mess? If you are amongst my long time readers, you are not the least bit surprised about these massive problems. They were pointedly predicted early this year in my series “OH, Say, Can You Still See?”. Fannie and Freddie were just a couple of the “F” words highlighted in Part 9. The entire financial and monetary system was portrayed as having a fraudulent foundation in this series. You’ll remember that I put bailouts as my major theme for 2008. So far, so bad. The Fed can monetize cow chips should it choose to do so. That is not far off with the too-well-connected- to-fail Krueger Kids. Truth be told, we would have quickly had a global meltdown if these two government sponsored entities were not rescued. That is how fragile the system is. They only bought a little time, however. Let’s leave the autopsy report to others. I’m a dentist not a coroner. What exactly are these historic bailouts going to mean to you and your household in the coming years? First of all, there is no meaningful reform proposed for the present compromised system. The dismal presidential and congressional approval ratings are way too high. All fixes are nothing more than the same routines by the same people that caused the problems in the first place. In fact, they are now seeking to consolidate their power. Out of chaos comes order… New World Order. If US citizens were not entirely asleep at the wheel or driving while intoxicated, there would be a massive outcry regarding these bailouts. The financial elite would bear the brunt of their greed, fraud and recklessness. The parasitic Fed would be banished back to the mostly foreign countries they came from. Any apologists for this gang of thieves, especially the politicians, would be run out of town on a rail. That would be a nice start. What a dreamer I am! What will be the repercussions if the Fed, Treasury and the NY/DC Axis of Weasels are successful in navigating these treacherous waters? They will have to print sufficient paper to buy up enough cow chips to fill up the moon. It is Swiss cheese, no? One-way tickets for elitist bankers to do the filling sounds about right. The US dollar will inevitably take the brunt of this carnage. You may not know exactly what all that means for you personally, but you will find out soon enough. Please review my tongue in cheek article entitled “Falling Dollar? What Me Worry?”. Rising prices are just for starters. INTERNAL ENDORSEMENT Stock Market Shocker: How a Bunch of 5th Graders Made Fools of the Trading Elite…! Wall Street wants you to believe that you have to entrust your money with the professionals and all their skills, resources and systems, if you want to make money in the markets. It’s what these guys do for a living! How could you possibly beat them?! Nothing could be further from the truth. In fact, I have used an embarrassingly simple secret to make $15,048 in just 30 days... and boost my overall account balance 152% in less than a year. Keep reading to learn how you could join me each month... Advocates of sound money have long seen these problems coming. Fannie and Freddie are simply bit players in a giant melodrama. The root of the disaster is the Federal Reserve and their unconstitutional monopoly money. You need look no further. Fiat money systems are always predators. They always fail. The deadly combination of unlimited money and prostituted politicians is a witches’ brew. The end result is inevitable. The US is way past the point of bankruptcy by any reasonable measure of economic truths. The government simply cannot come up with the $70 trillion (or thereabouts) of funded and unfunded debts, they have obligated US citizens to pay. The entire system has been running on fumes for years. The emperor is buck-naked and eyes are being opened. Check out a chart of the US dollar over the last ten years: The US has long been at the mercy of foreigners. They buy the Treasuries and financial instruments required to fund our excesses and keep us temporarily afloat. They hold massive quantities of Fannie and Freddie paper. Add them to the toxic mix of sub-prime bonds, failing financial assets and a falling US dollar.   We don’t have much of a manufacturing base left, but never let it be said we can’t find something that foreigners are interested in. We have exported our debts and excesses for decades. Look for all of these US “exports” to be dumped at salvage value. All global countries that hold US originated financial assets, especially those in the G-7, are going to take a hit from this fiasco. A depression of sorts, officially admitted or not, is the likely stateside result. The Fed’s only solution is to attempt to print their way out of this destruction. It cannot be done without ruining the lifestyles and livelihoods of unsuspecting citizens. Their alternatives are even worse for citizens… “distractions” and/or loss of Constitution and Bill of Rights guaranteed freedoms. Do not think for one minute that this present crew won’t turn totally fascist on you. Are you and your heritage being stolen blind? Protection in the form of gold and silver remain on sale. Live Free and Resourcefully, Rusty P.S.  To let me know what you thought of today's article, send an e-mail to: feedback@investorsdailyedge.com. Market Watch CAFÉ Standards: Good or Bad? By Charles Delvalle Last week I talked about the one thing pushing up oil prices, which our government conveniently forgets to mention: a falling dollar. In that article, I laid out a six-step approach that could help bring oil prices down. While everyone agreed to the first five-steps, I did get some slack over the sixth. Chris S. actually wrote in saying… Enjoyed the article on higher oil prices, and I was with you 100%, right up until I reached No. 6 on your list of Congressional Solutions.  I thought you knew better.  The Federal CAFÉ standards are no different than the Federal Minimum Wage standard: individuals can choose to buy a vehicle that gets 40 mpg instead of a vehicle that gets 15 mpg, likewise, they can choose to earn a $10/hour wage rather than a $5/hour wage. So what does Congress accomplish with increased CAFÉ standards OR increased minimum wage? Absolutely nothing, except being able to say, "We're the government and we're here to help." During the last oil crisis, the government instituted CAFÉ standards that helped fuel economy to the point that it nearly doubled. Because of that (and a lower national speed limit, among other things) oil consumption in the U.S. went on to drop for years. Since then, the fleet averages of the big three (and most car manufacturers, for that matter) haven’t gone up one bit. So apparently, after 20 years of innovation, which brought us the internet, quantum physics, and nano-particles, automakers still can’t bring down their fleet average. Am I the only one who thinks this is pathetic? Listen, I don’t have time to argue against COMPLETELY free markets here (you’ll get an article about that later), just know that if the government raises fuel standards, it forces manufacturers to comply (and its cheaper than issuing tax credits). And when manufacturers comply, our domestic fuel consumption drops (like it did in the late-‘70s and early-‘80s). INTERNAL ENDORSEMENT Winners Cherry Pick! Losers Bottom Feed Thousands of stocks have just fallen 40% or more... most will continue to tumble… but you should still overpower the markets. Because a select few stocks are now set to roar back for outstanding near-term gains. It’s time to party like it’s 2002 You don’t want to miss out… because, today, you can jump into any one of seven companies at what should be their once-in-a-lifetime lows… each is poised to take you to new highs. Grab this low-hanging fruit here. If you enjoy IDE's daily investing advice, you'll definitely be interested in checking out our sister publication, Early to Rise. Each morning, you'll get powerful wealth-building advice covering real estate, entrepreneurship, personal finance, marketing, and much more. Sign-Up for Early To Rise today! To unsubscribe, Click here To change your email address, Click here To cancel or for any other subscription issues, write us at: Investor's Daily Edge 245 NE 4th Ave, Suite 201 Delray Beach, Fl 33483 Phone: (800) 681-4759	The Market Minute $110 seems like the next target for crude... After rallying up to nearly $150 a barrel, oil has taken a breather on the back of expected lower demand from the U.S. and China. But don’t expect to see oil prices break under $100 a barrel. We are still in a very tight supply and demand situation, so anything (like a hurricane or Middle East instability) could be enough to push oil prices higher.       In The Markets   Last Change YTD Dow 11,397.56 266.48 -14.08% Nasdaq 2,319.62 55.40 -12.54% S&P 500 1,263.19 28.82 -13.97% Gold 918.00 12.10 10.16% Silver 17.31 0.18 17.20% Oil 121.85 2.88 26.95% Nat Gas 9.05 0.14 20.99%   Newsworthy The U.S. Treasury predicted it would borrow 53 percent more this quarter than initially forecast as increases in spending and sluggish economic growth swell the budget deficit. Borrowing needs will rise to $171 billion in the three months to Sept. 30, $59 billion more than predicted in April, the Treasury said in a statement in Washington. That total, if realized, would be the second-largest ever after a record $244 billion was borrowed in the first three months of this year. After improving for three straight years, the U.S. budget is deteriorating as a slowing economy hurts tax revenue and spending increases. The Bush administration, which entered office in 2001 with a $127 billion budget surplus, earlier today predicted the next president faces a record deficit totaling $482 billion in 2009. “The economic slowdown and increased expenditures associated with slower growth and with the stimulus has had an effect on the federal budget,” Phillip Swagel, the Treasury's assistant secretary for economic policy, said in a statement. In the final three months of the year, the Treasury said borrowing would reach $142 billion. The Treasury predicted three months ago it would pay down $35 billion in marketable debt in the April-June quarter and have a cash balance June 30 of $45 billion. While the government often runs a surplus in the second quarter as individuals pay annual income taxes by the April 15 deadline, that didn't happen this year. -Bloomberg.com     Meet the Team MaryEllen Tribby - Publisher Jedd Canty - Business Director Rick Pendergraft - Managing Editor Jon Herring - Editor Nicole Reynolds - Marketing Analysts / Editorial Contributors Michael Masterson Charles Delvalle Andrew M. Gordon Dr. Russell Mcdougal D.D.S.

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