What is there really to say? Lot's to discuss, but nothing really new to offer you.
- The "bailout" plan will screw taxpayers. There are better ways to recapitalize banks (here's a solution offered up by Mish), but the pressure play that SecTreas is putting on the Congress makes me assume they will fold like a house of cards, roll over and give in. Then we get to see the blowback - dollar crash? Bond crash?
- Pakistan continues to simmer. Fighting between U.S. and Pakistani forces would normally be front-page news. This will end badly.
- There is still no grand bargain with Iran. I had assumed we would have wrapped that up by now. The longer things drag on with no agreement between the U.S. over how to divvy up Iraq and over the Iranian nuke program, the higher odds we face of someone making a huge mistake and plunging the region into a war that would devastate the world.
- The dynamics at play are very negative for the U.S. short term. If you read only one other blog post this week, make sure you read John Robb's posting entitled ONWARD TO A HOLLOW STATE. Think about what that means to you, your finances and your community.
No answers. Just many questions. Be ready for anything.