Trembles Tuesday- Another One of Wall Street's Finest Says S&P to 2000; Our Netflix Poll is Soon Ending and Suggests More Than 65% Will Leave; Pres. Ahmadinejad Says Israel Breathing Last Breath; Housing Starts, Fails; Goldman's Earnings, Fails; Greek Bond Yields, New Joke in Town; BofA's Earnings, Fails; S.O.S From Fukushima City Counsel, "So Critical Now, Please Help!"; Much More

We're looking forward to the final results of our Netflix poll due tomorrow afternoon, but so far it's safe to say Netflix is going to take a Redbox to the head take a good hit to their bottom line come September/October. Of those polled who have a Netflix account, an incredible 65% say they will cancel their account or already have. Then again, with a BS P/E ratio of 80x earnings, does it really matter? Why not make it 160x?

Take for example, the ludicrous and sensational attention seeking claim this week by discredited Wall Street clown Laszlo Birinyi that the S&P 500 index will hit 2000 before this bull...ish market runs dry.

Don't be surprised, but he could be right - but for all the wrong reasons and that is where the danger rests. Traditional organic growth is long dead and has been since the start of the Greatest Depression The World Has Ever Seen in 2008. The number of publicly traded stocks that manage to just stay alive (read: self-funded through stock dilution, reverse splits etc) or avoid being delisted by those same scams is incredible - a true testimony to the gangrene on Wall Street - but that's a whole 'nuther story our friends. The point here is that true economic growth is dead. Period.

So how could he be right about the S&P at 2000? Inflation. Plain and simple. Even now, what "the markets" are gambling on is a tsunami of fiat money flooding "the markets" and they have been since 2008. Lest you forget, since 2008, the "economy" has been goosed with almost $2 Trillion in funny money - and that's just from the U.S. Fed. Not 4 months ago, within 3 days of the "bullish" catastrophe that struck Japan, the Bank of Japan printed $250 Billion of funny money. That amount grew to $440 Billion within days, as daily injections began to occur. The final tally has never been officially publicized but we can tabulate from what was published that Japan's most recent "stimulus" as a direct result of the March 11th earthquake and tsunami totaled $1.1 Trillion which includes Yen intervention in the FX markets. Any wonder why the cost of living has been rising sharply?

So we could technically see a 36,000 Dow(n) Jones and an 3,000 S&P - but if we do, we'll also see gold at $50,000/oz and silver at $1,500/oz and a roll of toilet paper will cost $30 per. Or how about a cool $1.24 Billion for lunch? Put it on the Black Amex, please.

Coming to a restaurant near you if Lazslo the clown is correct. 

We've been jesting about a giant asteroid striking the earth and causing the markets to rally to new highs but there is always some truth in jest. Dr. Deficit can't wait for the big one to hit so he can go Donkey Kong on those new printing presses. Why wait? President Ahmadinejad just said "Israel is breathing its last breath." That should be worth a few hundred points on the Dow.

Housing starts and completions were released today and come on the heals of a super bull...ish NAHB home builders sentiment survey (conveniently brought to you by Wells Fargo). Let's not even go there - it's an insult to our intelligence to say that home builders have any clue as to what the housing market will be doing in 6 months from now giving the current environment is the worst in history. Let alone, "sales traffic" remains at all time lows. What did Mark Twain say about "statistics?" Oh, right. He said, "Lies, damned lies, and statistics." Next.

We don't think we need to discuss the psychology of "the markets" and how important it is. Now that retail has left the building, "the markets" are occupied by clueless hedge funds, HFT computers and a dozen or so different variations of TBTF market participants. As we have said a million times, they are left to cannibalize off one another now that retail has left the building, like Elvis. And here comes Goldman's earnings. Presented to you without comment from ZeroHedge.

"Come on in! The water is so nice!"

Hey, did you hear the joke about the priest, the rabbi and the Greek bond yields? Well, it turns out the joke is the Greek bond yields - now at 40% on the 2's. You can't say we didn't warn you.

We've got another one. Did you hear the joke about the elderly man who walks into a bar, a young beautiful blond and Bank of America's earnings? No? Neither did we, but when we show you BAC's latest loss of $9 Billion, you understand it. Do we need to remind you BofA is a TBTF? Again, we warned everyone way back in March, which banks were festering diseases ready to unleash death and BofA was one of our top banks to avoid. Other top places to avoid after dark include, Detroit Michigan, Cape Town South Africa, Mogadishu Somalia, Deutsche Bank, JPMorgue, New Orleans Louisiana and Karachi Pakistan.

Joking aside, when Greece is officially allowed to default, contagion will not stop there as the ECB expects. Rather it will spread faster than gonorrhea in the Jersey Shore hot tub. There is no stopping this slow motion train wreck. The legalities of allowing Greece to default are astronomical. Then again, the legalities of bailing out the PIIGS in the first place was even more astronomical. More bread and circuses for the masses while the chiefs plays golf. Got gold?