The Golden Truth: Facebook's IPO

Friday, May 18, 2012

Facebook's IPO

There is a strong possibility that the Facebook IPO marks the beginning of the next big leg down in this secular bear market in stocks, which began in earnest in early 2000. While the business of model of Facebook has validity, the value placed on it by investors is entirely absurd. The only mechanism that will prevent a big flush in the stock market is the commencement of a massive QE3 initiative by the Fed. If this should occur, gold will do a moon shot and purchasing value of the dollar will futher deteriorate.

(Please note: technically this is not an IPO for Facebook. Facebook sold shares to the public via the OTC market about a year ago at $15. This was technically a secondary offering in order to enable the insiders at Facebook to unload appallingly overvalued shares on a wider public audience. This means anyone who has their money stupidly invested in a general stock mutual fund or pension 401k plan. This means most of you, as represented by your brain-dead financial advisors).

Re: About Facebook’s IPO (sourced from cyberspace, I did not write this)

Dear Potential Investor:

For years, you’ve wasted your time on Facebook. Now here’s your chance to waste your money on it, too. Tomorrow is Facebook’s IPO, and I know what some of you are thinking. How will Facebook be any different from the dot-com bubble of the early 2000’s?

For one thing, those bad dot-com stocks were all speculation and hype, and weren’t based on real businesses. Facebook, on the other hand, is based on a solid foundation of angry birds and imaginary sheep.

Second, Facebook is the most successful social network in the world, enabling millions to share information of no interest with people they barely know.

Third, every time someone clicks on a Facebook ad, Facebook makes money. And while no one has ever done this on purpose, millions have done it by mistake while drunk. We totally stole this idea from iTunes.

Finally, if you invest in Facebook, you’ll be far from alone. As a result of using Facebook for the past few years, over 900 million people in the world have suffered mild to moderate brain damage, impairing their ability to make reasoned judgments. These will be your fellow Facebook investors.

With your help, if all goes as planned tomorrow (i.e. this morning) , Facebook’s IPO will net $100 billion (actually $104 billion). To put that number in context, it would take JP Morgan four or five trades to lose that much money.

One last thing: what will, I, Mark Zuckerberg, do with the $18 billion I’m expected to earn from Facebook’s IPO? Well, I’m considering buying Greece, but that would still leave me with $18 billion. LOL.

Friend me,

Mark Z

5 comments:

JesseFriday, 18 May, 2012
I thought it was cute that Facebook was sued today for $15 billion for the surveillance they do on your internet usage when you are logged off of Facebook.

You should point out too that this is not really an IPO. The real IPO took place a year or so ago at $15 and this is really a public secondary.
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AnonymousFriday, 18 May, 2012
Many elite insiders invested in Facebook so any stock market crash was not going to occur until after its IPO (or public secondary as above), in order to allow them to cash out. Many factors for this date of May 18, 2012 along with other "coincidences" relating to its founder and with associated numbers appear to point to a ritualistic event. So the gist of your article about it marking the next down turn was fairly spot on despite not realizing the insidious and nefarious intentions.

There remains a fairly good probability of a near term "flash crash" that will just be the test run before a massive stock market collapse that occurs much later on. Timing is difficult to determine when it actually happens, though.
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BrianinhoFriday, 18 May, 2012
I found them tracking me even after closing down my profile years ago ..funny thing was I was using a blocker called Ghostery http://www.ghostery.com/ ...Then I noticed

Follow us on twitter
Friend us on facebook

WTF lol
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RobertoMonday, 21 May, 2012
Facebook's shares are now trading 12% below the IPO level.
My guess is they will drop further over the next 2-3 months.
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Why Gold?

Gold is the world's oldest currency. You exchange your fiat currency (dollars, euros, yen, yuan) into gold as an insurance policy against catastrophic Central Bank and Government policies which serve to destroy the value of fiat currencies and destroy democracy.

Gold can ONLY be considered an investment to the extent that it remains significantly and historically undervalued in relation to the fiat currencies against which its value is measured. Otherwise it remains the world's oldest currency and is completely free from the counterparty risk associated with currency by Government fiat (i.e. fiat currencies rely on a Government's "full faith and credit.")

Quote Of The Month Courtesy of "Jesse"

Unfortunately for Larry Summers, Ben Bernanke, and their friends at the BIS, they have not yet figured out how to print physical gold, silver, and other essential commodities, and the world is reaching the point where it might simply start ignoring the New York based markets with respect to essential commodities such as basic materials, oil, foodstuffs, and the like, as they become increasingly irrelevant, fraudulent, and Orwellian. And then where will the financial engineers be, except with no more excuses and no place to hide?

Here is the link to his entire commentary, well worth a read:

http://jessescrossroadscafe.blogspot.com/2010/07/gold-daily-chart-shock-and-awe-for.html

Great Quote From Jim Rogers On Govt CPI Reporting

JR: I mean, we have inflation now. If you go to the shop, whether it’s groceries, or education or insurance or health care, prices are going up for everything. The government lies about it in the US. Some countries lie, many countries don’t: Australia, China, India and Norway. Many countries don’t lie about it and acknowledge that we have inflation. Others lie about it, the UK and the US, but if you go shopping you know prices are up.

Q: Are you saying that the American Consumer Price Index (CPI) published by the US Bureau of Labor Statistics is a lie?

JR: In my opinion, yes, of course it is. Have you looked at it? They’ve changed their accounting several times in the past few decades. When housing was 20% to 25% of the CPI and housing was going up, they didn’t count it, saying rents weren’t going up, and then when home prices started going down, they counted it. It’s the same with many things. It’s staggering some of the tortuous reasoning that the BLS has used over the past 25 or 30 years. When the price of gasoline goes up, they say it’s not really going up because it’s better gasoline, better quality, therefore you’re getting more for your money. I mean, it’s endless, the stuff that they say and for some reason people sit there, although more and more people are catching on, and accept what the government says.

source: www.clusterstock.com

Quote of the Week

"The primary function of a Central Bank is to engage in the massive transfer of wealth from the middle class to the wealthy elite. The Federal Reserve was set up to do this with the blessing and support of Congress." - Dave in Denver

If you refuse to believe the above, please read "The Creature From Jekyll Island: A Second Look at the Federal Reserve" by G. Edward Griffin and then explain to me why the Senate voted down the Vitter Amendment and Congress refuses to pass a law requiring a full audit of the Fed, even though the Fed is using taxpayer-backed money to bailout Wall Street and Europe.