PIIGS are on the spit!

The Greece debt crisis has continued its global influence causing the Dow to plunge nearly 1,000 points in a matter of minutes.Now,it's likely that a trading error will be found to be the cause of such a violent sell-off,but it doesn't change the bottom line.The U.S. stock market is not reacting to the threat on the Euro currency as much as they are issuing a referendum on our own governments debt problems.The simple fact is that Obama is a systemic risk to our nation.His reckless spending,on purpose no less,with the goal of increasing taxes later to pay for it,is seen on a wide scale as unsustainable.

The PIIGS,as they are known,are Portugal,Italy,Ireland,Greece and Spain.Of the 27 members of the European Union,this group as a whole has the worst debt to GDP ratio.The austerity measures put in place today in Greece are being violently rejected by the citizens of Greece.Get used to seeing it.It's coming soon to a neighborhood near you.

The people are revolting because they are expected to bear the burden of their governments decades of poor fiscal policies which led to the debt crisis.Sound familiar?Well,it certainly should as we have followed the same path here in America and will soon have our chickens home to roost as well.Greece isn't even the worst in the EU as the U.K. is now surpassing them.We have our version here at home in the form of California.

The alarms have been sounding for some time now by hordes of people.Yet,our government doesn't hear them.They see green shoots and a recovery fueled by the Obama stimulus package.Rational analysis of our economy and debt situation can only lead to one conclusion and that is one of a severe crash ahead.

Freddie Mac announced today they will need another $11 billion dollar bailout with even more already forecast down the road.We are now on the hook for over $100 billion in bailing out Fannie Mae and Freddie Mac.

These events are only a sampling of what the future holds.What is sure is that our government will label all of it as 'unexpected' and that no one saw it coming.Worst of all,they will be there as the savior ready to extend a helping hand in exchange for what's left of your liberty.More to come...