DON'T LISTEN TO THE MEDIA, OPEN YOUR EYES

As I watch the cheery assessments of our current economic state on the various business channels I just have to wonder if these people really believe what they say or if pressure is being applied by someone. The reality of the situation cannot be ignored. Yet, I talk to people all the time that are convinced that everything will return to the normal they have come to expect. As if saying it often enough will make it true. Fear is blinding Americans to the truth.

When the blinders finally come completely off there will be hell to pay. But of course those that have supported and driven this national insanity will by that time have secured themselves someplace far removed from the threat of danger. The people will lash out at each other, in blind rage, in the same way the poor in the inner city always seem to burn their own neighborhoods during riots.

So yes, this will end just like it did in the 30's. Except for one crucial difference. The people of the 1930's still retained a sense of morality. All most have today is a sense of entitlement. One leads to acceptance and resolve while the other leads to rage and destruction.

Pray for guidance and prepare yourselves and your family. There is only one way this can end.

"The labour force contracted by 661,000. This did not show up in the headline jobless rate because so many Americans dropped out of the system. The broad U6 category of unemployment rose to 17.3pc. That is the one that matters.

Wall Street rallied. Bulls hope that weak jobs data will postpone monetary tightening: a silver lining in every catastrophe, or perhaps a further exhibit of market infantilism.

The home foreclosure guillotine usually drops a year or so after people lose their job, and exhaust their savings. The local sheriff will escort them out of the door, often with some sympathy –– just like the police in 1932, mostly Irish Catholics who tithed 1pc of their pay for soup kitchens.

Realtytrac says defaults and repossessions have been running at over 300,000 a month since February. One million American families lost their homes in the fourth quarter. Moody's Economy.com expects another 2.4m homes to go this year. Taken together, this looks awfully like Steinbeck's Grapes of Wrath.

Judges are finding ways to block evictions. One magistrate in Minnesota halted a case calling the creditor "harsh, repugnant, shocking and repulsive". We are not far from a de facto moratorium in some areas.

This is how it ended between 1932 and 1934, when half the US states declared moratoria or "Farm Holidays". Such flexibility innoculated America's democracy against the appeal of Red Unions and Coughlin Fascists. The home siezures are occurring despite frantic efforts by the Obama administration to delay the process."

The Telegraph