We have an S and P that is at over 900 while earnings per share on the S and P are hovering around 40 dollars. With 40 dollars earnings, normally the S and P would be valued at around 600-700 with a price earnings of 12. Why is the S and P overvalued? It is overvalued because the hedge funds have bought on margin, with banks getting fed money lending to these hedge funds.

The funds leverage themselves 10 to 1, and the gambling river boat keeps floating down the river. It has been blogged that so far, much of the recovery money has come from loans from the federal reserve. And most of the stimulus money has found its way to the stock market. It is a credit driven rally. The treasury of the United States is inflating another bubble right before our eyes. In other words, the stock market rally that started in March is completely and utterly bogus!!!

If stock earnings hover around 35-50 dollars, then it is clear to me that the S and P cannot remaln at the levels it now has attained. The market is clearly manipulated by the big boys. If anyone gets in now he is getting into a very risky valuation. I am not a stock analyst and I am not giving stock advice, but I know that the value of the market right now has nothing to do with the earnings of the stocks. I repeat, the value of the stock market has nothing at all to do with the earnings of stocks.

I believe that we will retest lows unless the price per share on the S and P climbs. Just remember, at the peak earnings were over 85 dollars per share. That is right, over 85 dollars per share. No wonder the stock market dropped like a rock.

One of the reasons that banks are charging so many fees and high interest is because they are trying to make massive profits on credit cards in order to offset other losses on real estate, commercial property etc. The American people need to walk away from this Usury. It is a scam. The congress passed a credit card bill in May, 2009 which limits fees banks can charge. But the congress failed to even allow for any cap on interest rates. Therefore, banks could make up the fee losses with higher interest rates, which will likely hit those with good credit. I believe there is no moral shame in walking away from usurious rates.

States used to cap interest rates on credit cards at 12 percent. But the insatiable greed of banks caused that cap to be overturned, first in South Dakota and then elsewhere. Bottom line, the government of the United States, both at the state level and federal level has failed to protect the people. It is just like the toxic loan scam. The government did not protect the people but rather exposed the people to massive risk. How many scams can the government of the United States impose upon us before we establish a populist peaceful revolt. We can't take these scams against us by the financial system anymore!

I am not a lawyer or a financial planner. There is risk in walking away from credit cards. But as the links below show, enough is enough! Our own government, who we thought we could trust, has failed us and has left us to the wolves of a perverse and immoral capitalism. This is not your parents' country anymore folks.

This country as a government is fast becoming your enemy. Just be peaceful about your actions and do what you can. Take your money out of the big banks, put it in a jar or in a credit union. Do what you can to avoid the usury that is so overwhelming in this age of financial corruption.

Secretary Geithner is a liar. He is saying that the money given from AIG to Goldman Sachs, where he used to work, and the other counterparties, could not have been diminished at all from the 100 percent actually given. He said the US government did not have the authority to diminish this percentage to 50 percent. This is one of the most shameful episodes of stealing from the US treasury ever established.

Of course, with ownership of 80 percent of AIG, the government could very well have given these other banks and Goldman Sachs less than 100 percent. There is no reason why they could not when other bondholders, like those invested in Chrysler, and their counterparties could take a big hit.

No, Geithner was bailing out his cronies, Goldman Sachs. Like Paulson before him, this was all about saving Goldman Sachs. I am calling here and now for a clawback of this money paid out by AIG. Our sleazy and wimpy congress needs to take action NOW.

If the United States government does not have the authority to stop payouts of counterparty risk to international banks and Goldman Sachs then our government has lost its sovereignty as I have argued in some of the links above about One World government. Our wimpy and sleazy congress has abdicated sovereignty of the United States right before our eyes. This is a theft of our country's resources to bail out international banks and Goldman Sachs. This must be investigated and, in my opinion, prosecuted.