Archive for July 28th, 2008


Mother Merrill visits the confessional

Just a minor $5.7bn writedown and a desperate attempt to raise $8.5bn in new stock. But wait, didn’t they announce earnings last week yet made no mention of this?

Why did Merrill fail to disclose this write-down to shareholders when they reported on July 17th? The stock was $30.73 then; everyone who bought since then just got totally sandbagged.

Investigating who has been shorting the stock between then and now could prove instructive.

The financials traded today as if many people knew this was coming. How much non-public information leaked in advance of this announcement?

And how much other such information is “leaking.”

Merrill close at $24.35 today, down 11%. The earliest report of the Merrill writedowns on Yahoo News is after close of market. Seems like lots of people knew. (Other financials were down, but not nearly so much.)

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Washington and Havana: Co-dependent on the embargo

The Havana Note is a DC-based blog whose contributors include Col. Lawrence Wilkerson, a former aide to Colin Powell. They favor “engagement with Cuba” and, I assume, ending the embargo. They can be quite Cuba-friendly.

But they do think there’s co-dependent behavior going on, what with the “continued dysfunction of Washington’s dependence on the Embargo as a source of electoral votes” at witnessed by Sen. Joe Lieberman wanting an Omega 7 terrorist freed from US prison. Counterbalanced with that is Raul Castro as much as admitting the embargo isn’t isolating them but then using it as a pretext to justify more military spending and beef up security.

I argue that the embargo is more useful to Havana than to the Washington. Havana, unaffected by the sanctions, uses the blockade as an excuse to maintain a outsize military and to ramp up nationalism. It is an essential crutch for a Revolution that cannot find a modern, progressive pathway.

Hmmm. Substitute “Neoliberalism” for “Revolution” and they could be talking about the United States.

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Class and the Left

Andy at Socialist Unity has a long, thoughtful post about why The Labour Party may well get crushed in the next general election. Much of the reason is due to Labour ignoring their traditional constituency as well as changing attitudes about class.

The proportion of society that is self-consciously working class is diminished, and there have been huge changes in social attitudes, and cultural diversification that have led to the traditionalist left being increasingly marginalised.

The common retort to which is that many of those who don’t see themselves as working class objectively still are, and if there was a higher level of class struggle then their political attitudes would change, but this puts the cart before the horse.

Traditional leftist analysis always comes back to this. If the masses knew how badly they were being shafted, then they’d do something. Well, maybe they do know but aren’t interested in your solution as presented. This ties in with Marxist dogma (which seeps in everywhere) that social change can only come from the working class,so, by God, if you aren’t what we define as working class then you must be worthless boojies. By that bizarre reckoning, Marx, Lenin, Castro, and Che would have been excluded because they came from well-off non-working class backgrounds.

In Marx’s day, class distinctions were distinct and obvious. But today, they are blurry and mashed-up. The Left unintentionally marginalizes itself by trying to force events of today to fit political theory from 150 years ago. Is class important? Absolutely. But since the Left is demonstrably not making inroads into organizing the working class (however it might be defined) then clearly new ideas and tactics are needed.

Mass change happens when the masses act together. Thus, to organize them you need to appeal (and listen) to all of them. Not just to those you deem most oppressed. More to the point, you need to light the fuse, provide initial help and guidance, then step out of the way and let them organize themselves. Because how else can a massive cross-class coalition happen except if it is organized by members of those very same classes? And not by hardcore Lefties trying to steer it.

Because too often such mass work is done by a little sectarian faction as a way to recruit for their organization. Sorry, can’t have it both ways. Either it’s really for the people or it’s for a Leftist corpuscle. The whole concept of a vanguard party somehow steering the masses in our current era of instant communications and feedback is archaic and no longer works - if it ever did. (Lenin didn’t do it the way Leninists often think he did. Instead, he had genuine mass support and encouraged internal disagreement.)

Socialist Unity ends with quoting Zoe Gannon

It is, and will always be, the challenge of the centre left to construct a cross class coalition – based on the hopes and fears of all; and understanding who the middle classes are and what they really care about is essential. How we do this is a challenge which will always be at the heart of the progressive left.

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Tennessee church shooting

The alleged human who murdered two people Sunday in a Tennessee church had a “stated hatred of the liberal movement” and apparently deliberately targeted a Unitarian church because of their liberal views.

KPD Chief Sterling Owen said … mental illness is not believed to be a factor in the suspect’s actions.

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On conspiracy theories

Wide-ranging conspiracies do take place, whether you or I, or Charlie Brooker, are inclined to believe it or not.

So says Dan Hind in the Guardian responding to Brooker, who said 9/11 conspiracy theories are a bunch of paranoid hogtwaddle. So, maybe the Illuminati aren’t working with the Bilderbergers to control the world heroin market with the Queen of England.

But smaller, more plausible conspiracies certainly do exist, like, oh, a cabal in the White House pumping out lies and misinformation to allow them to invade Iraq. That kind of thing.

Then again, what is history but an ever-changing tale of conspiracies?

So it is hardly surprising that people – intelligent, level-headed people – are willing to believe that sophisticated conspiracies exist and that they are sometimes extremely important drivers of events. Given that they demonstrably do exist.

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Cuil: New search engine

Cuil, a new, possibly game-changing search engine has just launched. They claim to have 120 billion pages in their index and to produce better search results than Google because of their semantic approach. Among other things, Cuil returns search results by category and also with tabs, as this search for “coffee” shows. This looks to be quite powerful indeed.

TechCrunch has more (and indeed hinted about Cuil last week, saying Google’s announcement about having a trillion pages indexed was timed because they knew something was about to go public.)

I wonder if the Cuil business plan is to get bought by Google…

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