BCS Championship: Old Money vs. New Money

Well, they had a ball didnt they? They saw the burgeoning successful American middle class as on opportunity for just one thing: The Heist of the Millenium. And now it appears the vault is empty. There really isnt much else to plunder and pillage. Between housing, health care, education, utilites and consumerism, only the lucky ones still have a sustainable lifestyle, and even they are on borrowed time. So when theres nothing left to steal, nothing left to squeeze, and no one left to trick, the elites turn to each other. GAME ON, MF'ers!!!!. Get ready for the most epic battle of all-time, as TPTB set their sights on each other. The good news is, you are out of their cross-hairs. The bad news.... its only cause they blew you the fuck away.

Subtle hints of the elites turning on each other have been going on for a few years now. Making former BofA CEO Ken Lewis gobble up worthless entites like Countrywide and Merrill Lynch were some of the early opening salvos of this battle. Merril stock would have opened that Monday at about $0. But for some reason, Ken Lewis offered $29/ share on Sunday night. Then he was forced out. Do this. And this. Then get the fuck out! Thanks Ken. Or Dominic Strauss-Kahn getting pulled off an airplane about to depart and arrested on ultimately baseless rape charges. Never would have happened when all the elites were on the same page. The latest, of course, is Dave Corzine and MF Global. $1.2 billion in segregated customer money still missing. No real explanation of where it is. Turns out Corzine decided to load the boat on bail-out dependent European soveriegn bonds at a time when his brethren were despereately looking for a way out of these investments. How convenient. Global banks were all too happy to dump, and MF Global was gone in a poof. Of course, there will be no perp walk for Corzine..at least for now.

So its Old Money vs New Money. And though it might be billed as the Ali-Frazier analog of Wall Street, in reality, it will be no contest. Old money will blow out New Money. See, Old Money is clean. Made many times over, over the course of 100+ years in some cases. Pure. No debt, no derivatives, no 30-1 leverage, no CDS. Just pure money, free and clear. New money on the other hand, is largely dependent on leverage, accounting trickery, fractional reserve lending, and stock market levels. It is the new money that is desperately seeking to hold on to what they have. It is new money that will implode should the derivatives market, or interest rates, or emerging markets, or real estate be allowed to find their natural levels. Thus all the shenanigans and bailouts by the Fed, US Govt, and the Euro counterparts. But the Old Money is getting tired of carrying the New Money. They kindly, though reluctantly, let the Grand Global Bailout Scheme have a chance to succeed. But now its grown long in the tooth. And so the Old Money is getting ready to pull the plug. All the plugs. They realize that no country or union's currency that was predicated on foolish printing, or endless and unlimited bailouts, has ever flourished. It will be ugly. But it should happen relatively quickly. And then, we start over. Week 1.