Archive for May, 2010

Tuesday’s Trading – 6/1/2010

Monday, May 31st, 2010

Summer Rally?
All of sudden on Friday, the talking heads on CNBC were speculating on a Summer Rally. That struck me as odd. Here we are “enjoying” a Summer Slaughter, and these jokers were all giddy? Something is up. Did the hedge funds that write CNBC’s talking points and rumors put on long positions and have now sent out the propaganda team to talk their book? Or were they already long and are now hoping that the CNBC spin will help them weasel out of their positions?

Floppy Futures
At 7:58pm EST, on Sunday night, the SPX futures went into a ten-point nose dive. That sort of sharp move on a Sunday night is not a bullish sign. It means that, even if the market recovers, things are still volatile and there is no steady bid under the market.

L. Fletcher Prouty

Sunday, May 30th, 2010

U.S. Air Force Colonel L. Fletcher Prouty will probably be remembered by history as one of the architects of the secret government. His job at the Pentagon was to provide the CIA with the military resources needed to carry out its clandestine operations. Prouty created a secret network of agents throughout the military, government agencies such as the FBI and FAA, and foreign governments.

Originally, all of this work was legitimate as part of US Cold War policy. And Prouty did in fact turn down CIA requests when they had not been previously approved by the National Security Council. But it wasn’t long before the monster that Prouty helped to build took on a life of its own.

After assisting the CIA with many coups d’état around the world, Prouty was shocked to see what he considered to be the same methods applied to President John F. Kennedy right here in the USA. Prouty, who presumably did not want to work for a CIA puppet regime, resigned from the Air Force shortly after the assassination and began to write books.

Prouty’s first book, “The Secret Team: The CIA and Its Allies in Control of the United States and the World” is available to read for free on this website. His second book, “JFK: The CIA, Vietnam, and the Plot to Assassinate John F. Kennedy” is available from Amazon. I recommend them both.

You will also find plenty of interesting things to read on www.prouty.org. My favorite page on the site is the one with the JFK assassination pictures (click the “Photos” link on the left). Prouty believed that Air Force General Ed Lansdale was the mastermind of the assassination. Lansdale was actually the CIA’s top “regime changer” and was only covered as an Air Force man. For example, in 1955 Lansdale installed Ngo Dinh Diem as dictator of South Vietnam for the CIA.

Prouty worked closely with Lansdale in the Pentagon for years, but Prouty was also a pilot. He flew many clandestine missions, some of which included Lansdale and his team. While Prouty has his critics, he was in fact a practitioner. He was there. He knew where the bodies were buried. Literally. His version of this part of the USA’s history must be taken seriously.

Lee Harvey Oswald
Prouty, not being a trained scholar, was frequently reckless with facts while striving to drive his points home. For example, while arguing that Lee Harvey Oswald was just a patsy, Prouty wrote on page 308 of his “JFK” book that at the time of the assassination Oswald:

“…was a nondescript twenty-four year-old ex-marine who was unknown to almost everyone. There is no way one can believe that these press agencies had in their files, ready on call, all of the detailed information that was so quickly poured out in those first hours after the assassination.”

In reality, Oswald was a rather notorious traitor for having defected to the Soviet Union. While he was in Moscow, American reporters interviewed him and the American press published stories on him. Not only did the media have plenty of information in their files, but Oswald was watched by several intelligence agencies, including the CIA and FBI, who had mounds of information about Oswald.

This doesn’t disprove Prouty’s assertion that Oswald was a patsy, but it does open Prouty up to criticism. Lansdale had sent Prouty off to Antarctica, literally, during the assassination, so Prouty had no first-hand knowledge of what happened. So, when reading Prouty, I trust his description of events that he participated in, but google assertions such as the one above to see if they can be verified.

Soft on Communism?
Prouty has been criticized for being soft on communism and maybe even a sympathizer. And it is true that Prouty barely even mentioned communism. One of the reasons for this is that the USA and Soviet Union were close allies during World War Two and Prouty didn’t see any reason whey the two nations should immediately become enemies. He also flew missions over Russia and saw first-hand the devastation caused by the war. He didn’t think that the Russians were in any kind of condition to launch a war against the USA.

Furthermore, at he very bedrock of Prouty’s criticism of the CIA is his assertion that the CIA’s special forces doctrine was based upon Mao’s Little Red Book. So, the CIA-trained Green Berets who were sent into Vietnam had been trained to believe that setting up a dictatorship was the most effective way to stop communism. That “exporting dictatorship” doctrine was implemented all over the world, and I doubt that many Americans are proud of it.

Prouty also did not believe that wars such as Vietnam were fought for ideological reasons, but to make profits for the military-industrial complex, and to capture markets for Corporate America. “Fighting Communism” was just a cover story.

Vietnam
Compared to World War Two, the history of the Vietnam War seems all fuzzy and blurry. What exactly was the problem there? Prouty’s take is very interesting: it was a CIA project to help the military-industrial complex make a lot of money. CIA puppet Diem expelled the “imperialist” Frenchmen who were operating the criminal-justice system in South Vietnam. That left the villages with no police or courts. Then Diem expelled the “communist” Chinese merchants who were just there to buy rice. That destroyed the economy of the villages. The previously prosperous peasants suddenly had no way to market their crops, and no money to by necessities such as drinking water. They turned to banditry. The CIA designated them “communists” and Huey helicopter gunships were sent in to slaughter them.

It is also interesting that the most intense “communist activity” took place in the southern part of the country. You would think that the hot spot would have been up north, with guerrillas sneaking across the border from North Vietnam. Prouty explains this mystery: After World War Two ended, CIA transport aircraft, along with US Navy ships, relocated very large numbers of peasants from North Vietnam to the southern part of South Vietnam. They became bandits too. Prouty says that CIA “psychological warfare specialists” (a.k.a. terrorists) were deployed to North Vietnam to “inspire” this mass migration. Once a large number of refugees were introduced, and the economy smashed, South Vietnam was set up to make fat profits for American defense contractors.

The Cabal
Prouty asserts that there is a grand cabal that commands governments of the world. While he has been criticized for this, he is only using Winston Churchill’s phrase. Churchill is said to have complained bitterly about the cabal in private conversation during World War Two. That was before President Dwight Eisenhower made his military-industrial complex speech. Notice that Eisenhower gave that warning during his farewell speech at the end of his presidency. Perhaps Eisenhower knew what he was dealing with better than the next president, JFK, who vowed to “break the CIA into a million pieces” while still in office.

Ancient History?
Perhaps you are thinking that this is all ancient history? But take a look at this video where former Governor of Minnesota Jesse Ventura states that he was grilled by CIA agents in 1998. What did he do wrong? He was elected by the people of Minnesota. Apparently, the CIA still frowns upon democracy.

More on the Cabal
Churchill is said to have received loans from the Rothchild banking family, so perhaps they are who he had in mind when complaining about the cabal. And before her death in 1849, Gutle Schnaper, wife of Mayer Amschel Rothschild, said “If my sons did not want wars, there would be none.”

I couldn’t google-up any formal references for these two items, so they could be phony. However, Prouty tells a similar story regarding Vietnam: Before the war, CIA agent Frank Hand sent a banker to talk to Prouty about helicopters. First National Bank of Boston then financed Textron’s takeover of Bell Helicopter and made a fortune selling choppers to the CIA. Says Prouty:

One year earlier, in 1959, Frank Hand had directed a Boston banker to my office. At that time I worked in the Directorate of Plans in Air Force headquarters and my work was top secret. Few of my contemporaries in the Pentagon knew that I was in charge of a global U.S. Air Force system created for the dual purpose of providing Air Force support for the CIA and for protecting the best interests of the USAF while performing that task. My door was labeled simply, “Team B”; yet that Boston banker knocked and entered with assurance. Somehow he knew what my work was and he knew that I might be able to help him.

So, there you have it: a modern eyewitness account of the cabal in action: a banker helping to start a stupid war just to profiteer. See the bottom of this page for Prouty’s complete story.

Friday’s Trading – 5/28/2010

Friday, May 28th, 2010

NYSE breadth closed at an extreme on Thursday. The last time that it closed up in the +2500 range was on May 10th. So today, perhaps the market will act like it did on May 11th where it ran up some more, but was unable to hold onto the gains, and closed down a bit.

How does the Clown Man on Tout TV get away with his nefarious schemes? The market manipulation is so blatant that there is only one explanation: it must be one of the oligarchy’s protected criminal enterprises like war profiteering, bank bailouts, Peak Oil, and “wayward” CIA “contractors” flying plane-loads of cocaine up from South America.

Thursday’s Trading – 5/27/2010

Thursday, May 27th, 2010

The SPX and NDX have closed below their 200-day simple moving averages, but so far the R2K has refused to confirm. The small caps have been stubborn in this regard all through the panic.

Wednesday’s Trading – 5/26/2010

Wednesday, May 26th, 2010

CNBC squeezed the shorts again yesterday afternoon by broadcasting yet another rumor. During his “Stop Trading” segment, Jim Cramer floated the rumor that John Claude Trichet was going to announce that the ECB would begin a quantitative-easing program today. Shorts covered in a panic, and the market made a straight-up move into the close. Searching the news this morning, I see no such announcement from Trichet.