Wall Street: "2008 crash deja vu: We’ll relive it, and soon" - by Paul B. Farrell

Warning, the stars are aligning, again. Much faster. We’re repeating the run-up to the 2008 meltdown, leading up to the next election. Yes, another crash is coming, unavoidable, just like 2008. Not because the US totally dysfunctional government is collapsing into anarchy, thanks to the 261,000 Super-Rich Lobbyists. Not just because our monetary system is run by the Bernanke Printing Press Company. And not just because a soulless conspiracy of Wall Street CEOs cares nothing for democracy and the public interest, only for their stockholders and their year-end bonuses.

Another crash is coming soon because we’re back playing the same speculative games as we did for years prior to the 2008 crash. When we collapse, it will be because America’s leaders never learn the lessons of history. Never. In a BusinessWeek editorial, Peter Coy and Rouben Farzad described the bubbles:“It’s as if 2008 never happened. Once again the worlds investors are pumping up bubbles that will probably explode in their faces. After the popping of a real estate bubble led to the first global recession since the 1930s, world markets are frothing like shaken Champagne. Pundits claim to have spotted price increases that are unsupported by economic fundamentals in assets ranging from U.S. farmland to Israeli biotech to Australian housing to Chinese cemetery sites. Commodities have soared. Global junk-bond issuance hit a record in the first three months of the year … this is the granddaddy of them all, an almost-encompassing bubble right at the heart of monetary systems.”

Yes, the “granddaddy of all bubbles” will explode right in US Fed Chairman Ben Bernanke’s face, a bubble that will then sink like a stiletto deep into the “heart of the monetary systems” across the world, proving something Nassim Taleb said about Bernanke when Obama reappointed him in 2009, “he doesn’t even know he doesn’t understand how things work,” and that his methods make “homeopath and alternative healers look empirical and scientific.”

Folks, there’s really nothing you can do to stop the inevitable crash that is coming possibly just before the presidential election in 2012.

Historical cycles have led to the inevitable collapse of all economic systems for 800 years, say economists Carmen Reinhart and Ken Rogoff in their classic, “This Time It’s Different: Eight Centuries of Financial Folly.”The facts of history are irrefutable, inevitable and brutal. And nothing can change the trajectory of the cycle. In fact, the end can accelerate fast, in decades, says Niall Ferguson, author of “Ascent of Money: A Financial History of the World” and “Colossus: The Rise and Fall of The American Empire:”

Note EU-Digest: what no-one at Wall Street is talking about is that as the dollar deteriorates in value so will stock quoted and sold in dollars.  Eventually this will only increase the acceleration of the collapse of the economic system. Fortunately the outcome of this scenario is not totally negative. It will certainly end market mechanisms as we know them today; the era of "monopoly paper transaction" at "casino stock markets" around the world will dwindle, and be replaced by a system which defines wealth in more tangible terms, including those based on natural resources, alternative energy resources, water, metals and real estate.

For the complete report by Paul B.Farell in Market watch click on this link : 2008 crash deja vu: We’ll relive it, and soon.