Wednesday 3 November 2010

CNBC reports insider selling-to-buying ratio for top firms is a staggering

If you’re a baby boomer who still believes in the stock market since the financial collapse of 2008, listen up. The floor of this Ponzi scheme is about to drop out, leaving you punching a clock for some time to come and holding an empty retirement bag for your effort.  The engineered crash is coming and the elite are jumping ship in droves — you should join them and get out ASAP.
Stock market insider selling has now reached record highs.  The trend has been increasing for the last several years, but now the ratios are getting beyond ridiculous.  Earlier this month, Zero Hedge reported that the insider selling-to-buying ratio is 2341 to 1.  Tyler Durden wrote:
After last week saw an insider selling to buying ratio of 1,411 to 1, this week the ratio has nearly doubled, hitting a ridiculous 2,341 to 1. And while Wall Street’s liars and CNBC’s clowns will have you throw all your money into “leading” techs like Oracle and Google, insiders in these names sold a combined $200 million in stock in the last week alone.
Today, CNBC reported that the insider selling activity at some of the largest traded companies is at an all-time high.  This can’t be a good sign of things to come.  The article points to the analysis of Alan Newman, a market strategist who tracks insider trading: “The overwhelming volume of sell transactions relative to buy transactions by company insiders over the last six months in key leading sectors of the market is the worst . . . ever.”  CNBC reported that industry leaders have a staggering 3177 to 1 insider sell-to-buy ratio:
The largest companies in three of the most important leading sectors of the market have seen their executives classified as insiders sell more than 120 million shares of stock over the last six months. Top executives at these very same companies bought just 38,000 shares over that same time period, making for an eye-popping sell to buy ratio of 3,177 to one.
The grand total for the three sectors are “as awful as we have ever seen since we began doing this exercise years ago,” said Newman, who was ahead on such trends as the dangers of high-frequency trading and ETFs before the ‘Flash Crash’. “Clearly, insiders are seeing great value only in cash. Their actions speak volumes for the veracity for the current rally.”
Also quoted in the CNBC piece was Simon Baker, CEO of Baker Asset Management, who said the insider data “is good reason for considerable caution once the price action fades,” and “insiders normally buy early and sell early too. Longer term — 12 months out — it is more of a red flag.”
It’s pretty difficult to excuse these levels of insider looting, but the experts are doing their best to claim that these poor executives (the titans of their industries) must take profits from stock sales because their salaries and bonuses have been cut.  Who do they think they are kidding?  Wall Street is still paying record salaries and bonuses, reportedly worth $144 billion (about a $1000 for every working American).  There also has been very little news of other industry executives taking pay cuts, as American companies are holding record levels of cash to the tune of over a trillion dollars.  In fact, the flush-with-cash CEOs continue to blame the consumer class for joblessness.
Despite the mass exodus of executives from their own company’s stock, the S&P continues to remain somewhat stable since gaining 16% from July lows.  Well, those gains seem somewhat pathetic since the value of the dollar — measured against the human inflation indexes such as food and oil — has plummeted.  Major food commodities are up over 50%$100/bbl mark very shortly.
since their July lows, while oil prices have climbed $10 to over $81/bbl, or around 14% for the same time period, with predictions to break the
Barely covering the cost of real inflationary measures is hardly success, especially with the current risks involved with being in the stock market.  These risks have only increased since the 2008 financial collapse that eventually caused the stock market to bottom out the mid-6000 range.  The market has been propped up with TARP funds and driven by scandalous front-running by Goldman Sachs and other large firms leading to 70% of stock purchases to be held for an average of 11 seconds. Consequently, these robo-trading programs have also been blamed for the freak “Flash Crash” in May where the stock market plummeted over 900 points in just minutes.
The charade is almost up, as the bad-but-getting-even-worse main street economy is not remotely factored in to Wall Street’s casino calculations.  Truth is, most states are approaching bankruptcy, unemployment continues to worsen, and yet another major scandal is playing out with Fraudclosure Gate. Newman, the insider trading expert, says, “At the risk of sounding like a broken record, we expect a significant correction.”
Unless you are an ultra-sophisticated trader with access to front-running software, it is time to follow these insiders out of the stock market and into real assets.  As the Fed announces plans for QE2, which the stock market actually views as a good thing, the elite seem to be flocking to precious metals, commodities, and large agricultural land purchases on the expectation of an even weaker dollar.  This appears to make gold, food, and oil pretty safe bets for the average bloke.

 

Are signs of 2012 galactic alignment evident now?link





Michael Eure
As the media focuses on the failing economy, there isn’t much mainstream discussion about the climatic and geological changes Earth is now experiencing.  Although it may be a stretch for most people’s imaginations, it appears that the rapid decline of our economy and the increased geological activity are connected.
In the recent past we have experienced a spike in the number of earthquakes, floods, droughts, sink holes, and other natural disasters.  The tsunami that killed almost a quarter of a million people in the Indian Ocean; the earthquakes in Haiti and Chile that were record breaking; and the many floods in the U.S. that have been caused by sudden extreme rainstorms, are increasing in frequency and effect. These are just a few examples.  We are fast approaching the date agreed upon by both Eastern and Western religions  – and now science — that will come about with great changes for our world: December 21, 2012.

How can economic events and natural disasters be connected you ask?  The answer is very simple if you contemplate the effects of the astrological event that is approaching: our Sun and our planet are lining up with the center of the Galaxy, and the entire Solar System is passing through an interstellar energy cloud.  This passing is causing an extraordinary flare up of the Sun’s normal activity that occurs every 11 years, which throughout history has had devastating consequences.  Some experts have charted even greater galactic cycles such as the Mayan 26,000 Great Year Cycle, and other cycles lasting hundreds of thousands of years.
Along with this unusual alignment comes Planet X, as NASA calls it. In mythology it is known as “Nibiru,” a planet that has an extreme elliptical orbit that passes between the Earth and Mars about every 3,600 years. As we enter this mysterious galactic cycle, it seems the changing electromagnetic forces may be affecting both the Sun and our planet in more profound ways than we can imagine.  And indeed, these energetic forces seem to be affecting human consciousness, as our entire central nervous system is an electromagnetic structure.
I find it very interesting that its path nearest to our planet correlates with the Mayan calendar that ends in December, 2012. Everyone has read some about 2012, but very few understand the astrological significance of this date. Some researchers are concerned because our planet is moving into alignment with our Sun and the center of our galaxy, which is considered by most astronomers to be an extremely powerful black hole about one million miles across.
The effects of this alignment cannot be underestimated. How this affects our climate, our geology, and our culture is a little harder to grasp because we live in such small conscious boxes. Like the vibrational changes occurring in the universe now, most people are simply too distracted to familiarize themselves with these events. I know this because my wife is a professional astrologer and people are very skeptical until she does a chart for them.  When she begins to tell them about their life, their most common response is, “well there must be something to this stuff.”
We are at a major turning point both from the point of view of Earth’s climate and its culture. We have gotten so out of balance with nature and our connection to nature that things must change. For those that take a scientific view that,  “for every action there is an opposite but equal reaction,” then surely, a galactic event of this magnitude will have an untold equal reaction.
For those of a more spiritual nature, Einstein himself said:
The most beautiful and the most profound emotion we can experience is the sensation of the mystical. It is the sower of all true science. Those of us who can no longer stand rapt in awe and wonder are as good as dead. To know what is impenetrable to us actually exists and manifests itself as the highest wisdom and the most radiant beauty that our dull faculties can comprehend, this knowledge, this feeling, is at the heart of all true religiousness.
As these geological, climate, environmental and social changes become more severe, a mass awakening is likely to take place.  Hopefully humanity can handle it.  You can be assured that the Elite are already prepared for the coming events as they are very much in tune to this secret scientific, astrological, and vibrational knowledge.  Perhaps it is time that we all prepare as well.

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