Too Big to Fail; Too Good to be True...

Hi guys, I have decided to withdraw from holding financials, at least, until we can have more transparency about what is happening in the US or worldwide financial and/or securities and/or credit industries. We need God's help to tell us precisely what the risks and liabilities are our giant international financial, brokerage, securities firms facing. I won't take the leap to invest in financials because God has not told me to do so.

Any serious investor must look at the Senate hearing re the Fed and BSC and think carefully about what the US financial system is really like. There are many professionals in their world but nothing seems to be right even with them. I have long lost faith in professionals but now I start to feel that our world may indeed be better if we can do away with them.

To a layman like me, the Bear Stearns bailout is very obvious and simple: BSC has taken a lot of risks and liabilities, it is too big to fail and the Fed must use its money to back it up or back up the US financial system. Otherwise, the sky will fall! Well, I think we can do anything when the sky will fall if ....

One funny idea comes up. Chinese stocks in the Shanghai and Shenzhen exchanges have been collapsing and if the sky in China will fall unless we can bail out the market, would the US Fed pump funds through JPM to bail out the system? Clearly not! But if JPM which is also too big to fail would end up like BSC as a result of the collapse of the Chinese stock market, would the US Fed pump its money to help? I can't give you the answer but I will certainly vote for help from the Fed. Why? It's American dollars not my money.

My gut feeling is that there must be some sort of horrors that we still have no knowledge about. Did the Fed already know? Or is the Fed trying to find out? What worries me is not only money matters but also how real is the world that we are seeing. Are we all actually blind men leading blind men? Are we all looking at the dark tunnels inside the cave when reality is outside? Pardon me for being philosophical.

What is true? What is real? What is certain? Are we in a dream world? Is the financial world we are seeing absolutely unreal? What a giant like BSC can disappear within a few days! $2 a share? $10 a share? $20 a share? My God, please save us from evil.