- The market will surprise everyone and resume its fall this week. It may not break last week's lows; and it may not start right away; but I am extremely confident the psychosis that gripped the world on Thursday and Friday is going to wear off, oh, just about now.
- Within the next year or two, assuming the economic situation gets a lot worse, you are going to be amazed at the kind of people dragged in front of courts on criminal charges. Like the senior management teams of Lehman, Bear Stearns, Merrill Lynch, Fannie Mae, and Freddie Mac.
- You won't see Paulson dragged in front of any court (although if this were some other country, he would disappear mysteriously), but, unless things really turn around miraculously, he will be vilified in the long-term.
- George Bush will increasingly be regarded as the single worst president in history. (Disclaimer: I am not such pot-smoking, hippie-loving left-wing nutjob; I grew up so Republican that it was embarassing; but the only thing Republican about Bush is his protection of the rich).
- The populist backlash is going to compel (more like "allow") Congress to make the tax code far more punitive, and the IRS is going to increase in power mightily as its need for cash grows.
- If things get really bad, you're going to see a push for the forced extraction of salaries and bonuses earned by the senior management of many of the companies involved in this credit crisis; and you will certainly hear a call for the senior management of all these firms getting bailed out to get $0 in severance packages as a condition for the gigantic bailout program.
Charts tomorrow, yes. But I had to get that off my chest.
