September started in a very volatile manner. Indexes way up, then close down.
Little confidence, political uncertainty.
Little confidence, political uncertainty.
Investors....come in please!
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Looks like Wall Street is having a clearance sale today. Time to shop!
Originally Posted By: Footpounds
Looks like Wall Street is having a clearance sale today. Time to shop!
I did that 2 weeks ago and have been burned. I'm in it for the long term.
Looks like Wall Street is having a clearance sale today. Time to shop!
I did that 2 weeks ago and have been burned. I'm in it for the long term.
Originally Posted By: Footpounds
You may want to reconsider that signature...
You may want to reconsider that signature...
Originally Posted By: Drew99GT
Originally Posted By: Footpounds
You may want to reconsider that signature...
Why is that?
Originally Posted By: Footpounds
You may want to reconsider that signature...
Why is that?
Fairly true.
I'm gonna a buy a bit here.
I'm gonna a buy a bit here.
I agree with Goss. Global deleveraging had to happen. Did anyone really believe that the worse housing crises since the Great Depression and a financial crises for the ages would only result ins a 20% decline in the stock market? The financial crises led to a massive misallocation of resources and the economy is still trying to cleanse that out. But I don't agree with his argument that the treasury should support asset values. Falling asset values is part of the cleansing process......on this one, Goss is trying to save his own hide since he bet on a lot of bad Fannie and Freddie debt.
Looks like Gross is going to get his wish. The Treasury to bail out Fannie and Freddie:
http://online.wsj.com/article/SB122064650145404781.html?mod=mktw
You gotta love our "free" market system. The American tax payers takes it in the rear once again. But h*ll, at least I've got some Pimco total return.....my daughter will be able to use the proceeds to pay her share of the bailout tax.
http://online.wsj.com/article/SB122064650145404781.html?mod=mktw
You gotta love our "free" market system. The American tax payers takes it in the rear once again. But h*ll, at least I've got some Pimco total return.....my daughter will be able to use the proceeds to pay her share of the bailout tax.
Quite possible that Fannie and Freddie are the main cause of current US$ appreciations. Otherwise, who knows where would be $ now. And now we can understand more what was behind Paulson's recent visits worldwide. As for the last events on stocks and commodities, think the comments will be interesting to you: http://events.startcast.com/events/199/B0003/code/eventframe.asp
It's also interesting that all important news about financial institutions come either on Fridays, or during a week-end. Besides possible takeover of F&F, this Friday the world knew that Silver State is 11th failed bank this year
It's also interesting that all important news about financial institutions come either on Fridays, or during a week-end. Besides possible takeover of F&F, this Friday the world knew that Silver State is 11th failed bank this year
Primus,
I couldn't get the link to work. What is your take on how this bailout will affect the dollar and the credit rating of the U.S.? Is this gonna be inflationary?
Interesting that financials rallied after hours on Friday, after the announcement. At the same time Freddie and Fannie shares dipped. Hard to predict what will happen Monday and in the near future.
I couldn't get the link to work. What is your take on how this bailout will affect the dollar and the credit rating of the U.S.? Is this gonna be inflationary?
Interesting that financials rallied after hours on Friday, after the announcement. At the same time Freddie and Fannie shares dipped. Hard to predict what will happen Monday and in the near future.
VeeDubb,
Fed had to inject billions of dollars in stock market. But now it will have to do it in considerably higher volumes. Naturally, it’s inflationary. However, today nobody, including guys from JPM and GS, knows where we shall come with $ in the future: to inflation or deflation. Personally, I'm inclined more to inflationary scenario.
As for a credit rating, everything is quite subjective and relative. Already 10 years ago there were a lot of doubts that the US would be able to pay their debt. Since that time the situation with debt was becoming worse and worse, but foreigners were continuing to invest in the US. So, I would worry more about foreign invertors’ panic because sooner or later somebody big will start to withdraw its funds (naturally, if it’s allowed
) and it will be a sign for others.
As for the link, try to find “BMO Nesbitt Burns PCD” from Don Coxe Weekly Webcast in the Internet. Really good commentary.
Fed had to inject billions of dollars in stock market. But now it will have to do it in considerably higher volumes. Naturally, it’s inflationary. However, today nobody, including guys from JPM and GS, knows where we shall come with $ in the future: to inflation or deflation. Personally, I'm inclined more to inflationary scenario.
As for a credit rating, everything is quite subjective and relative. Already 10 years ago there were a lot of doubts that the US would be able to pay their debt. Since that time the situation with debt was becoming worse and worse, but foreigners were continuing to invest in the US. So, I would worry more about foreign invertors’ panic because sooner or later somebody big will start to withdraw its funds (naturally, if it’s allowed
As for the link, try to find “BMO Nesbitt Burns PCD” from Don Coxe Weekly Webcast in the Internet. Really good commentary.
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Nice angle on the credit rating. That makes a lot of sense. I get the impression China already threatened the U.S. with financial nuclear winter if Fraudy and Phony weren't bailed out.
I'm with you....I'd place my bets on the inflationary side. I can't imagine Bernanke will sit back and let deflation hammer a debtor nation. The printing presses will be going into over drive.
What's your take on commodities and precious metals? My sense that metals will go up again if things are inflationary and the dollar weakens, but have no idea what commodities in general will do. I hear GS is not backing off from their $150 oil forecast.
I'm with you....I'd place my bets on the inflationary side. I can't imagine Bernanke will sit back and let deflation hammer a debtor nation. The printing presses will be going into over drive.
What's your take on commodities and precious metals? My sense that metals will go up again if things are inflationary and the dollar weakens, but have no idea what commodities in general will do. I hear GS is not backing off from their $150 oil forecast.
Really curious on the logistics of bailing "Fraudy and Phony" out. The two CEO's are already headed for the border!!
Originally Posted By: VeeDubb
What's your take on commodities and precious metals?
I believe precious metals in their physical form are the only effordable instrument to save money now. But PMs should be considered mainly as a saving instrument and only then as an instrument for speculations. Quite soon Gold Cartel will not be able to manipulate the market and we shall see a true price. And even in case of a delationary scenario gold and silver will be the firsts that will start to grow.
As for commodities, think it depends. From one side, inflation will push prices higher, but, from other side, a demand for all commodities, except food, will be considerably lower during a crisis and, therefore, price's growth may be quite limited. Another interesting point is possible divergence between cash and non cash prices. In the USSR during a crisis in the beginning of 90th everything that paid cash was considerably cheaper than if the same paid though a bank transfer.
Regarding GC, I would never rely and trust these guys because they do everything in own interests only.
What's your take on commodities and precious metals?
I believe precious metals in their physical form are the only effordable instrument to save money now. But PMs should be considered mainly as a saving instrument and only then as an instrument for speculations. Quite soon Gold Cartel will not be able to manipulate the market and we shall see a true price. And even in case of a delationary scenario gold and silver will be the firsts that will start to grow.
As for commodities, think it depends. From one side, inflation will push prices higher, but, from other side, a demand for all commodities, except food, will be considerably lower during a crisis and, therefore, price's growth may be quite limited. Another interesting point is possible divergence between cash and non cash prices. In the USSR during a crisis in the beginning of 90th everything that paid cash was considerably cheaper than if the same paid though a bank transfer.
Regarding GC, I would never rely and trust these guys because they do everything in own interests only.
Found another link to Don Coxe comments: http://tinyurl.com/2xdpjx
http://www.bloomberg.com/apps/news?pid=20601087&sid=apIODIldgNFk&refer=home
Quote:
Sept. 8 (Bloomberg) -- London Stock Exchange Group Plc, Europe's oldest independent exchange, said a computer fault caused the longest halt of trading in more than eight years.
``We are currently preparing to re-enable connectivity,'' the London-based exchange said on its Web site today. No orders can be entered and no trade executions will occur, the LSE said. The exchange said it will resume trading in a ``controlled way,'' without estimating how long that will take.
Quote:
Sept. 8 (Bloomberg) -- London Stock Exchange Group Plc, Europe's oldest independent exchange, said a computer fault caused the longest halt of trading in more than eight years.
``We are currently preparing to re-enable connectivity,'' the London-based exchange said on its Web site today. No orders can be entered and no trade executions will occur, the LSE said. The exchange said it will resume trading in a ``controlled way,'' without estimating how long that will take.
So - when does gold get into buy range?
Originally Posted By: Pablo
So - when does gold get into buy range?
Gold's reaction to all this has me more confused then ever. Of course all the "analysts" still say gold's going to go up and is still in the midst of a bull market.
So - when does gold get into buy range?
Gold's reaction to all this has me more confused then ever. Of course all the "analysts" still say gold's going to go up and is still in the midst of a bull market.
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