Ron Paul, Fear and -1000 Points

The DOW plunging almost 1000 points today has everyone running around looking for logical explanations.  CNBC’s Jim Cramer immediately concluded, as it was happening, that the numbers for Proctor and Gamble (PG) were not real, that “the machine/system was broken”.  When asked if the lowest price for PG had actually “printed” at $47.00 (the lowest price was actually $39.37 during those crazy few minutes of apparent insanity) would it really count, a price that had to be honored?  He replied that it did count.   

CNBC later came up with the theory that a trader may have pushed the wrong button during a PG trade; entering a B (for billion) instead of an M (for million), citing Citigroup as the possible culprit.  http://bit.ly/aWpeAd (CNBC and Jim Cramer trying to explain Proctor and Gamble as it and the DOW tanks right before their eyes.)

http://bit.ly/d1XpFI (CNN’s perspective).  

What we saw today was a result of big money and computerized trading, further warning the average investor that swimming with the big sharks can get you eaten.  However, the trigger mechanism was FEAR.

Although tomorrow should reveal more information about this explosive stock market action (if it isn’t covered up by powers that be), we have to note a number of coincidences that just happen to be playing out, on live TV at the exact moments preceding the DOW “mystery drop”.  First, live coverage by CNN and Fox News of the Greek riots with the report of 2 innocent people killed who were trapped inside a building that had been set on fire by the Athens street mob.   

Second and what we believe to be the actual trigger for the Dow panic, was one of the scariest interviews ever broadcast, given the current financial situation the U.S. and Europe.  Texas Congressman Ron Paul, who has achieved guru status to many, was interviewed by Megyn Kelly from Fox News seconds before the DOW implosion.  Paul warned of doom and gloom scenarios with riots in the streets of the U.S. if it continues along its 40 year old path of living on “Fake, Counterfeit, Fiat Money”.   

 

Ron Paul adroitly linked the Greece situation to all of Europe and the U.S. and characterized it as a direct attack on the United States Dollar.  He further stated that the Federal Reserve has to be immediately audited and agreed with the suggestion that the FR could be secretly funneling U.S. taxpayer money to Greece right now.  Who knew that Ron Paul had such insight into the Dark Side?

If a trader at Citigroup was watching this interview it’s not surprising that his or her finger hit the “wrong” button.  Maybe tomorrow we’ll know if it was the right, wrong or the panic button. Here’s the Fox News Ron Paul interview.  http://www.youtube.com/watch?v=xPMI4hSMygM&feature=player_embedded