It looks like things are still not looking good in Oaxaca. It looked like the APPO, teachers and government were about to reach an agreement to allow the police to enter, until the police and roving band of strikers wearing hoods and carrying clubs and rocks started shooting at members of APPO and some university students.

According to La Jornada, gunfire erupted as a band of roving strikers - known as the APPO's "mobile brigade" - tried symbolically seize the public safety agency. The same building they seized weeks ago. As they tried to enter, they were met with a hail of gunfire.

A las 16:12 de este miércoles, cuando casi concluían una larga jornada de toma simbólica y desocupación de oficinas gubernamentales, y cuando ya se retiraban de la Secretaría de Protección Ciudadana (Seproci), que dirige Lino Celaya, policías y un grupo de respaldo dispararon contra los manifestantes, cuando ya se hallaban en los tres autobuses en los que habían hecho el recorrido por las dependencias.

The whole incident lasted for 10 minutes and about 60 to 80 shots being fired at the protesters. It was reported that two demonstrators were grazed by bullets.

Earlier in the day, leaders of the movement asked demonstrators over the radio station to step up disruptive activities to prove to the visiting senators that the rule of law had broken down in Oaxaca. The Senate commission was expected to arrive in Oaxaca today to determine whether the state government has effectively ceases to function, but the trip has now been called off.

News reports said a group of senators who planned to visit the city on a fact-finding mission had called off the trip.

Meanwhile, thousands of Oaxaca's teachers marched over 300 miles from their embattled city into the capital on Monday demanding the resignation of Ulises Ruiz.

Now that this sad event occurred, the teachers will not even consider the proposal that would have allowed police to re-enter under federal command and any attempts to ease off on the demand for Ruiz’s resignation is gone.

In other news, Felipe Calderón and the International Monetary Fund (IMF) is on schedule in aiding the American empire. With less than two months until Calderón takes over, the IMF is already advising Mexico. If Mexico is hoping to tackle their "ambitious structural reforms" they should consider privatizing the state owned oil company, PEMEX, and they should also modify their current tax structure.

A menos de dos meses del cambio de gobierno, el Fondo Monetario Internacional (FMI) recomendó a la siguiente administración federal emprender "reformas estructurales ambiciosas", entre ellas la posibilidad de que el sector privado participe en las inversiones que realiza Petróleos Mexicanos (Pemex) y modificar el actual esquema tributario.

También planteó modificar la estructura de gobierno de la petrolera estatal, debido a que, según el organismo, en su forma actual representa una limitación para mejorar su desempeño.

Everything is falling into place - profits are to be privatized, but cost and risk socialized.