gunDriller
5th May 2012, 06:39 AM
Straight from Ann's keyboard -
"MF Global 2.0 May Be Unfolding Now
Posted by Ann Barnhardt - May 2, AD 2012 11:41 PM MST
If you are foolish enough to still be in the markets and you are doing business with anyone who clears through Penson Worldwide, you need to get out of there.
The stock symbol is PNSN. Just google that and look at the chart. $31.50 high, now trading at $0.49, making new lows daily.
In case you didn't know, I was clearing through Penson when I closed my firm last November. I was blessed in that all of my back office stuff was handled by a lovely little boutique office in Wisconsin that handled IBs like me, that had just been acquired by Penson before I came on board. I never spoke to Chicago or New York, just a merry band of Wisconsinites who were always wonderful to work with. I was truly blessed in that. (The cattle and feeder futures paper that I did in the pit, as opposed to the electronic, which was less and less over the years as the electronic markets grew and grew, was actually all done as give-ups by the FC Stone meat desk. Shout out to Larry and the Stooges, who still call to chat every so often, and have a photo of me with my pink AR-15 hanging in their desk. Good people.) But, the Penson ship is going down, it appears.
They were in trouble last year when MF Global happened and were looking to dump their European divisions, and they did bounce a bit after MF Global when they unloaded their Aussie holdings, but it looks like it is all but over for them. The stock is cratering, and there is chatter on the net that they are taking forever to get cash withdrawls out, posted and cleared. That's a very bad sign. MF global was the same way in the weeks before the end.
The extreme danger is that the CME is going to do with Penson what they did with MF Global and NOT backstop and keep customers liquid when the end comes. MF Global proved that the CME is no longer going to fulfill its fiduciary duty and will screw clients twelve ways from Sunday without hesitation. DO NOT get caught up in that crap. Just get out of the whole, stinking, festering, putrefied mess. Get out of the markets ENTIRELY.
Here is a six month chart on PNSN, which is basically the timeframe since MF Global. Once it broke back under $1.00 in March, it has been Katy-bar-the-door. Strong support at zero. Ugh."
http://barnhardt.biz/
BONUS RANT -
"1. I'd like to offer up a public apology to every so-called "crazy" person who talks to themselves, thin air, invertebrate animals, or blank walls. My friends, you, orators to the abyss, are the sane ones. Talking to people is what is insane. To wit, my email box of the last two days, flooded with "My brokerage firm clears through PNSN, but you weren't talking about me, right? I'm safe as a kitten, right? Nothing bad could ever, ever possibly happen to me, right?"
[Insert profanity-laden wise-acre response of your choosing here.]
You know why this civilization is done? Because people are so narcissistic, deluded and dim that they absolutely cannot process that anything bad could ever happen to them. That is why the Obama regime, an oligarchy of a few thousand people at the very most, is going to steamroll over this entire, godforsaken country. And the people will SIT AND WATCH, completely unable to engage reality in any adult manner.
2. In a similar vein, and in the spirit of beating dead horses into pink slime (eslima rosa especial, en espanol) let's talk about "stock certificates". Many people swear they are "safe" and have nothing to worry about because some broker told them to get paper stock certificates, or something similar. Okay, we're still not comprehending this on any level, are we? What is a stock certificate? It is a legal instrument, is it not? It is a piece of paper that says that you have the legal claim to x number of shares in a corporation, which is itself also a purely legal entity, yes? Corporations do not physically exist. You can not touch a corporation. You can touch a person who is a part of a corporation by means of a legal engagement, and you can touch the physical assets of a corporation, which belong to the corporation only within a legal matrix, but the corporation itself is an IDEA, not a tangible thing.
Note the qualifier that is omnipresent in the previous paragraph: "LEGAL". What is required in order for legal entities or instruments to have any existential actualization or meaning?
Your stock certificates are worthless if there is no Rule of Law. Let's say the poop hits the fan. You have a bunch of stock certificates. Great. How are you going to turn those certificates into food or water? There won't be a functioning stock exchange. Dollars will probably be worthless, and banks will cease to exist. There will be no electronic movement of money. Given that, HOW ARE YOU GOING TO CASH THOSE CERTIFICATES IN WHEN YOU ARE STARVING TO DEATH? Furthermore, the corporation you think you own shares in will NO LONGER EXIST because there will be no lawful matrix which recognizes the existence of corporations. The people who ran the corporation will either be dead or in exactly the same desperate situation that you are in, namely scavenging for food. The assets of the corporation will likely be looted or taken over by the regime."
The 'rule of thumb' re stocks is - you can't trust the brokerage, they will re-hypothecate your electronic stock shares in overnight trading.
So, what you need to do is get the Stock Certificate - RIGHT ?
WRONG - according to Ann. I don't own any stocks, but it makes me re-think what I have told friends & family members who do own stocks ("Get the certificate at least".)
Since stock certificates are based on trust, and trust worldwide is un-ravelling faster than maggots will eat a cow carcass on a summer day (maggots eat slower in the winter) ...
IF YOU DON'T HOLD IT ...
"MF Global 2.0 May Be Unfolding Now
Posted by Ann Barnhardt - May 2, AD 2012 11:41 PM MST
If you are foolish enough to still be in the markets and you are doing business with anyone who clears through Penson Worldwide, you need to get out of there.
The stock symbol is PNSN. Just google that and look at the chart. $31.50 high, now trading at $0.49, making new lows daily.
In case you didn't know, I was clearing through Penson when I closed my firm last November. I was blessed in that all of my back office stuff was handled by a lovely little boutique office in Wisconsin that handled IBs like me, that had just been acquired by Penson before I came on board. I never spoke to Chicago or New York, just a merry band of Wisconsinites who were always wonderful to work with. I was truly blessed in that. (The cattle and feeder futures paper that I did in the pit, as opposed to the electronic, which was less and less over the years as the electronic markets grew and grew, was actually all done as give-ups by the FC Stone meat desk. Shout out to Larry and the Stooges, who still call to chat every so often, and have a photo of me with my pink AR-15 hanging in their desk. Good people.) But, the Penson ship is going down, it appears.
They were in trouble last year when MF Global happened and were looking to dump their European divisions, and they did bounce a bit after MF Global when they unloaded their Aussie holdings, but it looks like it is all but over for them. The stock is cratering, and there is chatter on the net that they are taking forever to get cash withdrawls out, posted and cleared. That's a very bad sign. MF global was the same way in the weeks before the end.
The extreme danger is that the CME is going to do with Penson what they did with MF Global and NOT backstop and keep customers liquid when the end comes. MF Global proved that the CME is no longer going to fulfill its fiduciary duty and will screw clients twelve ways from Sunday without hesitation. DO NOT get caught up in that crap. Just get out of the whole, stinking, festering, putrefied mess. Get out of the markets ENTIRELY.
Here is a six month chart on PNSN, which is basically the timeframe since MF Global. Once it broke back under $1.00 in March, it has been Katy-bar-the-door. Strong support at zero. Ugh."
http://barnhardt.biz/
BONUS RANT -
"1. I'd like to offer up a public apology to every so-called "crazy" person who talks to themselves, thin air, invertebrate animals, or blank walls. My friends, you, orators to the abyss, are the sane ones. Talking to people is what is insane. To wit, my email box of the last two days, flooded with "My brokerage firm clears through PNSN, but you weren't talking about me, right? I'm safe as a kitten, right? Nothing bad could ever, ever possibly happen to me, right?"
[Insert profanity-laden wise-acre response of your choosing here.]
You know why this civilization is done? Because people are so narcissistic, deluded and dim that they absolutely cannot process that anything bad could ever happen to them. That is why the Obama regime, an oligarchy of a few thousand people at the very most, is going to steamroll over this entire, godforsaken country. And the people will SIT AND WATCH, completely unable to engage reality in any adult manner.
2. In a similar vein, and in the spirit of beating dead horses into pink slime (eslima rosa especial, en espanol) let's talk about "stock certificates". Many people swear they are "safe" and have nothing to worry about because some broker told them to get paper stock certificates, or something similar. Okay, we're still not comprehending this on any level, are we? What is a stock certificate? It is a legal instrument, is it not? It is a piece of paper that says that you have the legal claim to x number of shares in a corporation, which is itself also a purely legal entity, yes? Corporations do not physically exist. You can not touch a corporation. You can touch a person who is a part of a corporation by means of a legal engagement, and you can touch the physical assets of a corporation, which belong to the corporation only within a legal matrix, but the corporation itself is an IDEA, not a tangible thing.
Note the qualifier that is omnipresent in the previous paragraph: "LEGAL". What is required in order for legal entities or instruments to have any existential actualization or meaning?
Your stock certificates are worthless if there is no Rule of Law. Let's say the poop hits the fan. You have a bunch of stock certificates. Great. How are you going to turn those certificates into food or water? There won't be a functioning stock exchange. Dollars will probably be worthless, and banks will cease to exist. There will be no electronic movement of money. Given that, HOW ARE YOU GOING TO CASH THOSE CERTIFICATES IN WHEN YOU ARE STARVING TO DEATH? Furthermore, the corporation you think you own shares in will NO LONGER EXIST because there will be no lawful matrix which recognizes the existence of corporations. The people who ran the corporation will either be dead or in exactly the same desperate situation that you are in, namely scavenging for food. The assets of the corporation will likely be looted or taken over by the regime."
The 'rule of thumb' re stocks is - you can't trust the brokerage, they will re-hypothecate your electronic stock shares in overnight trading.
So, what you need to do is get the Stock Certificate - RIGHT ?
WRONG - according to Ann. I don't own any stocks, but it makes me re-think what I have told friends & family members who do own stocks ("Get the certificate at least".)
Since stock certificates are based on trust, and trust worldwide is un-ravelling faster than maggots will eat a cow carcass on a summer day (maggots eat slower in the winter) ...
IF YOU DON'T HOLD IT ...