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The Financial Sales Tax
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Yankee Bob
is Back
His editorial below
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Marx could never have imagined that the Banksta Vampire  Squids would turn debt into a commodity and do it so well that they could ignore traditional  capital formation practices.
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Putting debt into  packages or bundles to sell the bundle as a package  commoditized debt. Brilliant but, while the Banks profit handsomely from it and should they lose their bet on it  since they are still too big too fail,the taxpayers will again have to bail them out again.
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The banks have no incentive to stop their gambling and revert to  the capitalist banking activities of the pre-deregulated era.
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So,why not a campaign for a Financial Sales Tax?
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Why do you have to pay a sales tax on nearly everything you buy, but the vampire squid financial sector  gets a break?
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No sales tax on buying stocks and bonds. No tax on IPO’s or buying insurance. No tax on buying a company. No tax on mergers. No tax on putting venture capital to work.
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Sarkozy has announced support for a 1% of 1% tax on financial transactions. Imagine this tax on all financial transactions, globally. Equities, bonds, insurance, commodity trades, mergers and acquisitions, IPOs,venture capital placements etc. Commodities and futures, currencies,  weapons sales.
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Everything the NYSX and NASDQ alone would bring in about 10 billion per trading day on average dollar amount traded per day of about 100 trillion  dollar equity value for both. But, that’s just 2 markets.
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Think of all the new tools the vampire squids have like, CDOs, and the entire $600 trillion unregulated derivatives market.
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NO taxes on $600 trillion
of over leveraged bets ????

I have no idea how to calculate that entire capital aggregate on a yearly basis, but I’m sure it generate  mind blowing amounts of government revenues.
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How to sell this to the world
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If we adopt this  just 1% of 1% sales tax on all financial trades and deals, then we can eliminate the IRS because we won’t need personal or corporate income taxes at all. Then the fight would be totally over what to spend the money on but we would not need to pay taxes and have a complex incomprehensible tax code.
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The financial sector will fight but how can anybody seriously object to a 1% of 1% financial tax globally especially if everything  in gov. gets funded and their would be no personal or corporate income taxes. If I am wrong about needing just  1% of 1% to work this  then maybe it takes a full 1% or maybe a little more but it would eliminate the whole Tax dance world wide and maybe sales tax too.
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It will never happen, the vampire squid is too strong
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But I think it sure would make sense. Citizens, your tax load completely gone. Corporations, your tax load gone.

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STOCKS

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Wall Street Bull & OWS Symbol

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Paul’s Corner

The Dow, Nasdaq Composite and the S&P 500 are hitting new highs every day,  but don’t let those numbers fool you. Many stocks are pulling back, and the small caps are struggling. If you care to play, please keep an eye on the exit sign.

One of the proprietary HGSI chart indicators I rely on is called the Bongo Indicator. Dave Stecker wrote a good blog last evening and he gives a great explanation and example of the Bongo Indicator.

Dave Stecklers Blog LINK

Your Stock List chart review, March 1 close. In the most part, we have a pretty good looking group of stocks. You folks have made some nice suggestions.

AKRX – Trending nicely up the 17, reports Mar 6

BKI – Bounced off the 50 yesterday with  a nice 3.31% gain and a Kahuna all indicators are now green

CATM – Bounced off the 50 with a 6.28% gain and a large Kahuna, all indicators green

CMG – continues it march to the stars, quite an impressive chart

DLTR – 2.25% gain yesterday, bounced off the 17 with a Kahuna

ENB – Sitting on the 17, looks to be pulling back with the oils.

FAST – perfect chart, buy any small pull back

FTK – Not a pretty chart most indicators re

IBM – above the 17, all indicators green

KLAC – below the 50 along with most of the semis. Buyable when it crosses up through the 50

KOG – sitting on the 17, pulled back on it’s earnings release along with the oils

LEN  – above the 17 the home builders are basing

MA – extended

MNST – good chart, extended

RYL – pulled back with the home builders, sitting on the 50

SIMO – has been placed into the dumpster, needs time to settle down, watch, don’t trade

SWI – above the 17 and tradeable.

TSCO – good chart, above the 17, buy any small pull back.

I am sure you will understand comments for charts are for education only! You are a fool to buy or sell a stock based on my comments!   Personally I rely on my cat for stock picks.


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Liquidity – Printing Money

Keeping Europe From Collapse &

Moving Stocks Higher

Investors411 has maintained a Bullish outlook for many months now while others have skittishly jumped in and out of stocks.

Why?

We are in period of massive liquidity dumps under different names than Quantitative Easing.  Our Fed started its $400 billion Operation Twist in the fall. But this time  its our Fed’s biggest ally the ECB that pushing truckloads of $$$ into European Banks the same way our Fed does.

How much money?

$1.33 trillion

  • It’s a globalized world and what happens in Europe impact the USA.
  • Europe has too big to fail Countries like Italy and Spain.
  • What happens there matters far more than what happens in much smaller, but equally troubled Portugal Greece and Ireland
  • The old bottom line is what’s happening to the bond rates in Spain and even larger Italy.
  • So each morning there is this picture of a canary in a coal mine and you get an idea if globalized finances have stabilized

  • Italian 10 year bond yield almost flat today at to 4.95% (7:00 AM EST)
  • See for yourself the chart linked above.
  • WOW! – look at the massive drop in bond prices from above the 7.00% danger zone (where debt is considered “unsustainable”) in early January  to below 5% now
  • From YesterdayWith the Italian bond rate below 5% This canary is now both singing Ode to Joy and dancing

Bottom Line – Therefore one of the major factors driving our stock market (liquidity) in a globalized economy can be measured by the Italian bond rate. We are in the same kind of low volume manipulated market, that we were under quantitative easing -

    This is one big reason why Investors411 maintains

    the Long Term Outlook listed below

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    Longer Term Outlook

    3 months+

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    Still

    CAUTIOUSLY BULLISH

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    AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING

    ALL TRADING INVOLVES RISK AND POTENTIAL LOSS OF PRINCIPLE

    CHECK ALL DATA, I MAKE MORE THAN GRAMMAR  ERRORS.

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