The major averages struggle into the final hour with modest losses on little news. Trump is expected to announce an additional 200 billion in tariffs on Chinese goods in a dramatic escalation of the trade war any day now. While the weekend saw the 10th anniversary of the Lehman Brothers failure that kicked off the Great Financial Crisis.
The New York Manufacturing Survey slipped 6.6 points to 19 in September, a 5-month low. The details were unremarkable, employment increased a little.
On the 10th anniversary of the Great Financial Crisis we seem poised to repeat the mistakes of the past. Debt is an even bigger problem now and despite a trail of financial felonies very, very few people went to jail. The banksters, while subject to some truly eyepopping fines continue to view them as simply a cost of doing business. As demonstrated by their continued criminal behavior. Too big to fail or jail is far larger today than it was 10-years ago. One of the primary rationales for not prosecuting the banksters was that in doing so the economy and financial system would be pushed into the abyss, yet the banksters and their criminal behavior did exactly that and absent a taxpayer funded bailout, that rewarded criminogenic behavior, the results would have been truly disastrous. Another galling detail was that the various field examiners did a great job of identifying various frauds and criminal behavior, but their supervisors prevented any action being taking time and time again. Something that was highlighted by the Financial Crisis Task Force when they noted that one of the primary causes of the crisis was a failure to enforce existing rules and regulations. Meanwhile the lamestream media continues to act as apologists for the banksters pushing the demonstrably false ideas that no crimes were committed, and that nobody could have seen it coming. Yet High School math, a pencil and the back of an envelope very clearly showed that it was an unsustainable disaster waiting to happen.
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