Stock Market Crash Expected In 2008 To Be Worse Than 1929

[HisDaughter]

US ‘will lose financial superpower status... The world will never be the same again'

Prophecy News Watch

The US will lose its role as a global financial “superpower” in the wake of the financial crisis, Peer Steinbrück, the German finance minister, said on Thursday, blaming Washington for failing to take the regulatory steps that might have averted the crisis.

“The US will lose its status as the superpower of the world financial system. This world will become multi­polar” with the emergence of stronger, better capitalised centres in Asia and Europe, Mr Steinbrück told the German parliament. “The world will never be the same again.”

His were the most out­spoken comments by a senior European government figure since Wall Street fell into chaos two weeks ago.

He later told journalists: “When we look back 10 years from now, we will see 2008 as a fundamental rupture. I am not saying the dollar will lose its reserve currency status, but it will become relative.”

The minister, who has spearheaded German efforts to rein in financial markets in the past two years, attacked the US government for opposing stricter regulations even after the subprime crisis had broken out last summer.

The US notion that markets should remain as free as possible from regulatory shackles “was as simplistic as it was dangerous”, he said.

But Mr Steinbrück had warm words for the US’s crisis management in the past fortnight, including the government’s planned $700bn rescue package for the financial sector. Washington, he said, had earned credit for acting not just in the US interest but also in the interest of other nations.

Yet he repeated Germany’s refusal to mount a similar rescue operation using taxpayers’ money to acquire toxic assets. “This crisis originated in the US and is mainly hitting the US,” he said. In Europe and Germany, such a package would be “neither sensible nor ­necessary”.

The US, Mr Steinbrück said, had failed in its oversight of investment banks, adding that the crisis was an indictment of the US two-tier banking system and its “weak, divided financial oversight”.

He blamed Washington for refusing to consider proposals Berlin had made as it chaired the Group of Eight industrial nations last year. These proposals, he said, “elicited mockery at best or were seen as a typical example of Germans’ penchant for over-regulation”.

His comments followed calls this week by Nicolas Sarkozy, the French president and current holder of the European Union presidency, for an emergency G8 meeting on the crisis.

Mr Steinbrück’s proposals include a ban on “purely speculative short selling”; a crackdown on variable pay for bank managers, which had encouraged reckless risk-taking; a ban on banks securitising more than 80 per cent of the debt they hold; international standards making bank managers personally responsible for the consequences of their trades; and increased co-operation between European super­visors.

Following a meeting with Christine Lagarde, his French counterpart, in Berlin, he said France and Germany would set up a working group of treasury, central bank and supervisory authority officials that would consider tougher regulation of short selling.

[Soldier4Christ]

[quote author=Pastor Roger
THE ENEMY WITHIN

“A nation can survive its fools, and even the ambitious. But it cannot survive treason from within. An enemy at the gates is less formidable, for he is known and carries his banner openly. But the traitor moves amongst those within the gate freely, his sly whispers rustling through all the alleys, heard in the very halls of government itself.

For the traitor appears not a traitor; he speaks in accents familiar to his victims, and he wears their face and their arguments, he appeals to the baseness that lies deep in the hearts of all men. He rots the soul of a nation, he works secretly and unknown in the night to undermine the pillars of the city, he infects the body politic so that it can no longer resist. A murder is less to fear.” — Cicero (106-43 BC)




Wow.  Nothing new under the sun, eh?

Nothing new at all and it is the reason that so many nations have failed in the past. We do not learn from history but rather duplicate the errors many times over.

[nChrist]

THE ENEMY WITHIN

“A nation can survive its fools, and even the ambitious. But it cannot survive treason from within. An enemy at the gates is less formidable, for he is known and carries his banner openly. But the traitor moves amongst those within the gate freely, his sly whispers rustling through all the alleys, heard in the very halls of government itself.

For the traitor appears not a traitor; he speaks in accents familiar to his victims, and he wears their face and their arguments, he appeals to the baseness that lies deep in the hearts of all men. He rots the soul of a nation, he works secretly and unknown in the night to undermine the pillars of the city, he infects the body politic so that it can no longer resist. A murder is less to fear.” — Cicero (106-43 BC)

I think this says nearly everything, but I do have a few things to add. We don't have any reason to trust anyone - not the people who caused the mess and NOT the ones trying to fix the MESS! ADD ABSOLUTE CORRUPTION AND ORGANIZED CRIME AS THE TWO MOST MAJOR PLAYERS BEFORE AND AFTER THE CRISIS! WE MIGHT JUST BE WATCHING THE LAST MAJOR RIP-OFF OF A DYING REPUBLIC!

We've not been given anything to trust. Regardless of what the DC clowns put on paper, we will still have no idea how the money will be spent and what effect it will have. There is still a DON'T THINK, DON'T LOOK, DON'T QUESTION, DO IT NOW MENTALITY THAT CON-MEN LOVE! It has all the looks of a CRIME IN PROGRESS! CRIMINALS HAVE ALREADY GOTTEN THE BIGGEST PAYDAY IN HISTORY, AND THAT CAN'T BE DENIED! IS THIS A SECOND PAYDAY FOR THE CRIMINALS OF THE SAME MAGNITUDE? I don't know, but there is no reason to TRUST ANYTHING! I don't know much at all, but I don't LIKE any of it! What do I know? I am thinking that the explanations for what happened and the recommendations for how to fix it should be coming from various PRISONS! The more I see - THE WORSE IT GETS! I would understand NO! VOTES on this quite easily.

[Soldier4Christ]

I'm sure that you are right on this, brother. There were many rip-offs that was attempted to be tied into this bill that were so blatant and in your face that they had to be thrown out. How many more are there that is hidden that no one has caught as of yet? Probably quite a few.

[Soldier4Christ]

I'm watching the vote right now in the Senate on the bailout bill. It doesn't look good for the bill but then that may be good for us. There are currently 226 votes against it with 94 of those being democrats. There are only 207 votes for it.

The DOW has dropped as much as 600 points at one time today based on the outcome of this bill and the fact that there are several other banks teetering on collapse.

[Soldier4Christ]

The bailout bill was voted down. It didn't make it. more work is still needed. The DOW is down and seems to be staying that way now.

[nChrist]

Hello Pastor Roger and All,

I watched most of this today and have BIGGER questions now than I did before the vote. It's almost as if the democrats took actions to make sure this didn't pass. If not, the speech of Pelosi right before the vote was INSANE! NOW it's supposed to be the republicans fault that this didn't pass. Let's forget about the 94 democrats who voted against this AND the 90% of the people calling in who were against this.

I'm going to guess that most folks think there are RATS in the soup, and there are. The remaining question is:  How many RATS are in the soup that we don't know about? In terms of blame, there is plenty of blame to go around, but folks with common sense would all list:  mortgage lenders, Treasury, Wall Street, the House, the Senate, and the Whitehouse. Maybe we should forget about the BLAME game for now and start with filing CRIMINAL CHARGES against everyone who violated the law. We are going to hear about many people going to PRISON, but that won't fix the problem even if they confiscate everything the criminals own (not even close). AND, there are RATS still in the soup who won't be charged with any criminal offenses. Many RIGHTS, WRONGS, AND ETHICAL CONCERNS involved are NOT currently covered by criminal law.

Any way we look at this, the taxpayers have already been taken for 1 TRILLION DOLLARS. If the bailout is done, that will mean the taxpayers have been taken for 2 TRILLION DOLLARS. Is there more that needs to be bailed out that we don't know about? WHY NOT? How many bailouts have already been done before this one? Did they work, and was that all? NO! I think it is fair to say that the RESULT will be HORRIBLE with or without the bailout. Has anything been said about regulatory actions to prevent something like this from happening again? WE MUST AT LEAST PUT THE CRIMINALS IN JAIL AND GET THE RATS OUT OF THE SOUP! There are probably other things that MUST be done sooner or later, and the taxpayers aren't going to like it. This is really a GROSS understatement! The taxpayers aren't going to TOLERATE THIS, and the taxpayers will eventually DEMAND full ACCOUNTABILITY! Criminals should NOT be given access to taxpayer MONEY!

[Soldier4Christ]

I also got the impression that it failed on purpose and in a manner that it could be used for partisan politics. It is also said that many that were in swing states were afraid to vote for this bill. That tells me that it was a rotten bill to begin with.

[nChrist]

Brothers and Sisters,

The following article is all over the Internet and in a host of newspapers today. It's probably close to the truth. Read it for what it's worth and you decide. It's a highly popular article right now, so I doubt you'll be able to miss it one way or another.
_______________________________________________

THEY GAVE YOUR MORTGAGE TO A LESS QUALIFIED MINORITY
by Ann Coulter
September 24, 2008

On MSNBC this week, Newsweek's Jonathan Alter tried to connect John McCain to the current financial disaster, saying: "If you remember the Keating Five scandal that (McCain) was a part of. ... He's really getting a free ride on the fact that he was in the middle of the last great financial scandal in our country."

McCain was "in the middle of" the Keating Five case in the sense that he was "exonerated." The lawyer for the Senate Ethics Committee wanted McCain removed from the investigation altogether, but, as The New York Times reported: "Sen. McCain was the only Republican embroiled in the affair, and Democrats on the panel would not release him."

So John McCain has been held hostage by both the Viet Cong and the Democrats.

Alter couldn't be expected to know that: As usual, he was lifting material directly from Kausfiles. What is unusual was that he was stealing a random thought sent in by Kausfiles' mother, who, the day before, had e-mailed: "It's time to bring up the Keating Five. Let McCain explain that scandal away."

The Senate Ethics Committee lawyer who investigated McCain already had explained that scandal away -- repeatedly. It was celebrated lawyer Robert Bennett, most famous for defending a certain horny hick president a few years ago.

In February this year, on Fox News' "Hannity and Colmes," Bennett said, for the eight billionth time:

"First, I should tell your listeners I'm a registered Democrat, so I'm not on (McCain's) side of a lot of issues. But I investigated John McCain for a year and a half, at least, when I was special counsel to the Senate Ethics Committee in the Keating Five. ... And if there is one thing I am absolutely confident of, it is John McCain is an honest man. I recommended to the Senate Ethics Committee that he be cut out of the case, that there was no evidence against him."

It's bad enough for Alter to be constantly ripping off Kausfiles. Now he's so devoid of his own ideas, he's ripping off the idle musings of Kausfiles' mother.

Even if McCain had been implicated in the Keating Five scandal -- and he wasn't -- that would still have absolutely nothing to do with the subprime mortgage crisis currently roiling the financial markets. This crisis was caused by political correctness being forced on the mortgage lending industry in the Clinton era.

Before the Democrats' affirmative action lending policies became an embarrassment, the Los Angeles Times reported that, starting in 1992, a majority-Democratic Congress "mandated that Fannie and Freddie increase their purchases of mortgages for low-income and medium-income borrowers. Operating under that requirement, Fannie Mae, in particular, has been aggressive and creative in stimulating minority gains."

Under Clinton, the entire federal government put massive pressure on banks to grant more mortgages to the poor and minorities. Clinton's secretary of Housing and Urban Development, Andrew Cuomo, investigated Fannie Mae for racial discrimination and proposed that 50 percent of Fannie Mae's and Freddie Mac's portfolio be made up of loans to low- to moderate-income borrowers by the year 2001.

Instead of looking at "outdated criteria," such as the mortgage applicant's credit history and ability to make a down payment, banks were encouraged to consider nontraditional measures of credit-worthiness, such as having a good jump shot or having a missing child named "Caylee."

Threatening lawsuits, Clinton's Federal Reserve demanded that banks treat welfare payments and unemployment benefits as valid income sources to qualify for a mortgage. That isn't a joke -- it's a fact.

When Democrats controlled both the executive and legislative branches, political correctness was given a veto over sound business practices.

In 1999, liberals were bragging about extending affirmative action to the financial sector. Los Angeles Times reporter Ron Brownstein hailed the Clinton administration's affirmative action lending policies as one of the "hidden success stories" of the Clinton administration, saying that "black and Latino homeownership has surged to the highest level ever recorded."

Meanwhile, economists were screaming from the rooftops that the Democrats were forcing mortgage lenders to issue loans that would fail the moment the housing market slowed and deadbeat borrowers couldn't get out of their loans by selling their houses.

A decade later, the housing bubble burst and, as predicted, food-stamp-backed mortgages collapsed. Democrats set an affirmative action time-bomb and now it's gone off.

In Bush's first year in office, the White House chief economist, N. Gregory Mankiw, warned that the government's "implicit subsidy" of Fannie Mae and Freddie Mac, combined with loans to unqualified borrowers, was creating a huge risk for the entire financial system.

Rep. Barney Frank denounced Mankiw, saying he had no "concern about housing." How dare you oppose suicidal loans to people who can't repay them! The New York Times reported that Fannie Mae and Freddie Mac were "under heavy assault by the Republicans," but these entities still had "important political allies" in the Democrats.

Now, at a cost of hundreds of billions of dollars, middle-class taxpayers are going to be forced to bail out the Democrats' two most important constituent groups: rich Wall Street bankers and welfare recipients.

Political correctness had already ruined education, sports, science and entertainment. But it took a Democratic president with a Democratic congress for political correctness to wreck the financial industry.

[Soldier4Christ]

This is what I was talking about the other day when I said it was the democrats fault that the nation is in the financial mess that it is in. There is a whole lot more to this than what is said in the article that you just posted. The democratic congress has passed many laws besides the ones mentioned that has made it easier for financial institutes to create this problem. They have also blocked any attempts by republicans from the House to the President from doing anything to correct it.

[nChrist]

This is what I was talking about the other day when I said it was the democrats fault that the nation is in the financial mess that it is in. There is a whole lot more to this than what is said in the article that you just posted. The democratic congress has passed many laws besides the ones mentioned that has made it easier for financial institutes to create this problem. They have also blocked any attempts by republicans from the House to the President from doing anything to correct it.

Brother,

I'm listening to much worse right now. Some of it is hard to believe, but there is documented evidence to prove it. MUCH of it is CRIMINAL! I don't even know yet if my little pension will survive, and I have no idea what to do yet. Regardless, I WANT ALL OF THE APPROPRIATE CRIMINAL CHARGES FILED! Some of the details of numerous SCANDALS are beginning to come out, so NOW we know why things needed to be done so quickly. The FEAR that some of the people would start finding out the TRUTH was reasonable because it is already happening. The people would find out more QUICKLY if the mainstream media wasn't so INVESTED in FAR LEFT-WING AGENDAS. SO, many people won't get the truth unless they look for it. Organizations like WND will have the courage to report the TRUTH, but you're not going to get the truth on network news. I know that you already know this, but many people don't. I FIRMLY BELIEVE THAT THE PEOPLE DESERVE ALL OF THE TRUTH, REGARDLESS OF HOW UGLY IT GETS!

[Soldier4Christ]

I don't normally go into the conspiracy theories but this is one that I do believe does exist. The post i made earlier in this thread about the Enemy Within does apply. Think about it for a minute and a minute will probably be all it takes. The majority of those that we have in office right now controlling this situation are those same people that wanted the U.S. destroyed in the 60's. It does appear that they are getting their wishes.

[Barbara]

I've gotta say I also believe there's a much bigger agenda. It is interesting in light of the Corsi book that the dollar is being devalued in a 'crisis' situation. Maybe my husband and I are a little less trusting but we believe this was planned and have been putting money aside for awhile now, getting ready for this type of situation.

We've seen so many warnings in the past 2 years. We pulled out of the stock market and have kept money aside for just this type of scenario. But like you, blackeyedpeas, we don't know what will happen with our pension - so far we'll be getting paid this week. We've also been getting before God, knowing that this could very well be the beginning of really bad times ahead, we know we may be tightening our belts and heading back to work.

From the Hal Lindsey Report this week:
"The book of Revelation predicted that there will come a time when the ultimate government leader takes total control of the lives of the world's citizens. And it predicts that this will be done through economics. But Americans have scoffed at that concept, 'we're free' we say, 'we have rights, we control our own destiny'. The events of the past week are beginning to prove otherwise...Fannie Mae and Freddie Mac own half of the mortgages in the US, the gov't has now assumed those mortgages, even if only for a few months or years, that means the chances are good that the US gov't actually owns your house, right now. Government programs seem to never go away once instituted, and it's likely that the global economy will continue in a long downturn - so government control of homes and mortgages is probably going to increase and be there to stay.

...What if some time in the future an administration comes into power that is dedicated to putting every citizen on an 'equal footing', giving everyone guaranteed education, health care, housing and income. In essence, redistributing the wealth so that we're all equal. What better way to start than tweeking your mortgage so that eventually a major part of the population are forced to become tenants of a Federal landlord. Those who may think this sounds far fetched, the initial groundwork for this has been laid this week - and it's all in the name of maintaining stability in the financial markets. So you see, the ability of one man to control the lives of billions of people doesn't sound as nonsensical today as it did a month ago..."

Before the socialists can get you to buy into government protection, they must convince you that the private sector, even the responsible private sector, is your enemy. 'Free enterprise is the source of your financial troubles,' they'll say. And it helps their cause when greedy corporate types fulfill their expectations, then they present bigger government as the solution.

Just this week Rep. Barney Frank said, "The private sector got us into this mess. The government has to get us out of it."

Like an actor reading from a script. This is the same Barney Frank that said in 2003 to those trying to impose regulations on Fannie and Freddie, "These two entities, Fannie Mae and Freddie Mac, are not facing any kind of financial crisis. The more people exaggerate these problems, the more pressure there is on these companies, the less we will see in terms of affordable housing."

All this reminds me of something Thomas Jefferson warned against. He said:

"If the American people ever allow private banks to control the issuance of their currencies", (a perfect description of the Federal Reserve System), "first by inflation and then by deflation, the banks and the corporations that grow up around them will deprive the people of all their prosperity until their children will wake up homeless on the continent their fathers conquered."

Who can possibly deny that the way is being prepared for the emergence of the man who will finally bring sanity to the situation. He will lead us back from the coming global meltdown. His name - the antichrist."

So many situations seem to be converging at the same time: the near collapse of our economy, the unprecedented elections in our country, the potential acquisition of nukes in Iran who wants to wipe Israel off the face of the earth, the political upheaval in Israel and possible elections there; the Russian aggression, etc., etc., etc. Things are happening so fast it is hard to keep up with it all - it is CHAOS!

But we know that God is going to lead and guide us in these times. People have been through far more. The people of this country are strong and have more wisdom than the politicians give us credit for. We are hard working. Our work ethic is what built this country and made it strong. But there are, I believe, evil agendas behind the scenes - could this be the beginning of the Trib? We'll be watching and trusting in Christ, because we know we can do all things thru Christ who strengthens us!!!!!!!!!!

[Soldier4Christ]

It is the thought that if this turns to the worst case scenario that what we know as money today will be totally worthless. It will not be able to buy us anything. It is for this reason that we must put our trust fully in God in this situation as we are to do in all things.

[Barbara]

Yes, Pastor Roger, God is our only source.

We do happen to own some property in upstate NY that we were never able to sell. We now wonder if God has made that provision and are planning an 'off the grid' lifestyle if things decline further. We will literally 'flee to the hills' if things get too bad and if God makes a way. We can only wait on the Lord, who renews our strength.