Allen Greenspan and a Yellow Submarine walk into this bar …..

A yellow submarine was found at the 2000 foot level on top of the Ben Lomond section of the San Andreas Fault in the Santa Cruz Mountains just west of me. No one knew what the submarine was seeking at that altitude:-T

Six thousand miles due east is another submarine (or two or three) of great interest to those of us who live on the faultline. While the Bushies have been concentrating on North Korea’s fledgling nuclear industry, the Peoples Republic of China has been building up it’s missile sub capability. Not yet in numbers to call a fleet, the 092 mounts 12 tubes and the one newer 094 (2 by 2010) mount 16 tubes. All can send a 250 kiloton or a MIRVed bus of 4 90 kiloton warheads 5000 miles. That gets my attention.

So why aren’t we in a lather about the PRC whacking us from undetectable boomers?. One reason is that MAD is a game we have played with the best of them and won. Another is that we are busily making it a piss poor investment for the PRC to nuke us until we glow: All those loans they have made to finance the Bush Edition of voodoo economics go up in smoke as soon as they twist the keys. A third reason surfaced yesterday.

A correction in the stocks traded on the Chinese markets due to what their government complained of as rampant speculation sent the Shanghai Composite on a ride that looked like the Atlantic side of Sleeve League. This triggered sell off on NASDAQ and NYSE. that wiped out this year’s rally. Granted, they had some help in Allen Geenspan, that fount (at least when working for us) of Delphic obscurity unable to utter a phrase in plain English, and who now, having to fend for himself, has managed to baldly put “Recession” and “this year” in the same sentence. (This he tells to a business conference in Hong Kong on the 26th, no less. Naughty, naughty boy.)

Plainly put, Sluggiepoos, through the miracles wrought by globalization, the Reds can nuke us with our own economy. Now that is weirder than anything you will see in the Bay to Breakers or in the Castro at Halloween.