More ramblings to help fill the void left by our travelling friend GWR. The FDIC is broke and ready to begin tapping into a half $Trillion line of credit. Even more incredible this latest development says they have in desperation begun courting (more like political strong arming) public pension funds for alternate means of financing busted banks.

"The Federal Deposit Insurance Corp. is trying to encourage public retirement funds that control more than $2 trillion to buy all or part of failed lenders, taking a more direct role in propping up the banking system, said people briefed on the matter."

http://www.bloomberg.com/apps/news?pid=20601014&sid=aaBSS5oKjb80

Interesting how the fund administrators are willing to purchase this high-risk crap yet ignore the rock solid stability and growth that Gold affords. Especially at a time when the public pension system is already teetering, grossly underfunded and only worsening. Adding more toxic sludge to the portfolio mix is not a good solution to a bad deficit situation. Let's face it. tptb are clearly willing to sacrifice every last penny of the country's savings at the altar of the banksters. otoh this latest news shouldn't come as a surprise now that proposals have already been tabled to confiscate a much larger hoard of private pension savings and turn them into ultra safe government guaranteed annuities. I refer to this program as the "Loaves of bread for everyone scheme" 'cause that's about all that the average future annuity cheque will fetch following the great Dollar crash of 2010-11. Better to invest in a sack of wheat and a bread making machine. At least they haven't yet devised a scheme to raid household goods and replace them with IOUs lol.