If Brian Williams cries in the woods, can anyone hear it?

I don't usually put my economic advice here, but several weeks ago, the market "topped" at approx. 11,800.

For those that know anything about what is called technical analysis, what it means is that the market tends to move in trading ranges. Technical analysts look to see if the market breaks out of those ranges. The previous high for the market was that 11,800 number. The low we are looking at is about 9800. FYI, it the Dow goes below that number, look out. You're probably looking at another quick 1000 point drop or more.

As I watched what was happening in Europe, and in particular, the German reticence to bail out Greece, as well as the election of the Conservatives in Britain (a very good thing and a lesson we should take. Btw, Conservatives in Britain roughly correspond to the OLD Democratic party here) I simply told my friends, and the folks who I still advise on their investments to get into cash. Not money markets, cash.

Why? Well, there are several countries that S & P considers to be in almost as deep trouble as Greece. We, and the Brits are on that short list.

The unfunded liabilities of the US are now approximately $120 TRILLION dollars. How much is that? More money than there is in the world.

That's right.

Worse, our structural deficit – the deficit for permanent programs like medicare, and the new health care plan, is rapidly approaching that magical 8% of GDP that economists consider the point at which default is unavoidable.

Now, as I painted my scenario for many, they poo pooed. However, slowly but surely, you are starting to see articles in mainstream papers that essentially repeat what the original Standard and Poors evaluation of US debt said, that measures that would cause "social unrest" were necessary to avoid default.

 

So, what about Brian Williams? Well, I'm certainly no fan of his, but working for GE which is in the pocket of the Obama administration b/c of the billions in "green" government energy projects they've been promised, he can't say anything on NBC.

But a week or so ago, he appeared on David Letterman, and after reciting the story of Greece, he said that he was "so scared I don't want to come out of my house".

I wonder why this hasn't been reported?