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B4 The Bell, Frieday, Jan 30


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Sled-frozen fish I never would have thunk it but should have. A few months back my lady and I and our faithful companion were beachcombing and my wife brought home a beautiful and large purple starfish which when dried make a great decoration after 3 days of drying I brought in and Viv placed it in a crystal bowl on the coffee table and that night when we slept my Wolfie ate it. When I called our vet to see if she had poisoned herself he laughed and said hey to them it's food. :lol:

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He thinks the market will top out in June, since a large number of tax refund checks will be hitting the market, since Bush's tax cuts will result in lots of refund money.

There is a flip side to almost every thing. In this case more tax cuts mean more Treasury borrowing. Granted inflows from J6Pak about April 15 are usually strong, but what if the BOJ reaches their limit as to how many dollars they want to buy before the April/June period?

 

Here's my LOB post -

 

The Japanese are reaching some of their limits. I?ve noticed a subtle and steady change these last few weeks in regards to their unrestrained $ intervention policy of January.

 

Japan is slowly realizing that their kamikaze massive dollar intervention policy in the end is not going to work. With their consensus thinking, they may take longer to reach conclusions and change policy at the government level, but when a new policy is formulated they are more serious about pursuing it and sticking to their own guidelines. Apparently they are working on setting firm limits as to how much new fiat yen can be issued to accommodate massive dollar purchases. They will also vote [very soon] on a supplemental dollar purchase limit for the 1st quarter of 2004 and stick to it. This will be followed in March or April with a two year budget for $ purchases.

 

The effect of this developing policy would result in the Japanese soon issuing new yen bills/bonds, of at least $40 billion, to pay for $ purchases [so far] in 2004. The remaining $30 billion or so of $ purchases was in the form of new fiat yen which will remain as a permanent addition to their monetary base.

 

To summarize, in case this is not clear, the Japanese still will hold onto the latest $70 billion US$ purchases ? barring some unexpected dollar rally vs. the yen. There is not an inkling something like this will happen soon. To pay for this, they are being forced to issue 4 trillion yen ($40 billion worth) in new yen Treasury securities which could pressure on their own bond and other financial markets. Let?s see how they react to this in the next few months, I doubt the market reaction will be positive.

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He's been crowing all weekend about his spectacular market call, Wilshire 5000 up 42% since the March lows, etc.

 

Brinkman scoffed, said "gold is has been a disasterous investment, losing 50% in the last 25 years", etc.

Pompous, self-serving jackass. :angry:

 

This chart says gold wins hands down against stocks over past three plus years. And it has basically held value against his omniscient market call in March. <_<

post-20-1075675000_thumb.gif

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Hiding Bear-not just Japan- todays Daily Reckoning noted that " as of 1/21 the Fed's total holdings of Treasury and Agency debt for foreign Central Banks totalled an all time record $1.108 Trillion dollars. OUCH!

That $1 trillion is mostly in Japan, China, and Taiwan, which is a mega-giant market overhang that will stop any $ 'rally' vs. those countries in its tracks. Eventually all three (well maybe all two after China moves on Taiwan - probably not until at least after the election) may just decide to diversify out of $ into gold no matter what happens.

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I am annoyed by the idea of deposit insurance - what kind of banking does a guarantee of this nature encourage? If people think their hard earned money is guaranteed, they don't really care how the bank operates, however if they have their money fully at risk, they'd be a damn sight more careful about where they deposited their money, such as it is.

 

As it stands right now, it makes sense to me to have a certain amount of cash on hand, some precious metals, as well as some supplies of food (cans and such), water treatment stuff. Paper money would only be good as long as money was considered valuable, but banks could run into problems supplying this even without a total implosion of the banking system.

 

I suspect that there will be rule changes to screw over individuals and groups holding short positions, or at least activities which interfere with short sellers will be overlooked. Certainly there will be a great opportunity to make a lot of money on a decline, but if things really become unglued, shorts will be anihilated along with j6p and his mutual funds. Just be careful out there.

 

The coming decline will be the fault of the Chinese, the trilateral commission, the IMF, jewish investment bankers, short sellers, stoolies, Osama, and various other groups or individuals who look like they deserve blaming. When the bubble collapses, the blame will be everywhere, and I'm sure many people will not have seen this coming.

 

What ever event triggers the implosion will be considered the cause of the implosion by a great many people, but only a few will understand that the collapse only happens because the condition for collapse already existed.

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Reuters

Taser shares shorted, seen overvalued - Barron's

Sunday February 1, 2:57 pm ET

 

 

NEW YORK, Feb 1 (Reuters) - Investors are betting shares in Taser International Inc. (NasdaqSC:TASR - News) will fall, after soaring beyond reason in the past year, according to an article in the latest edition of Barron's.

Taser has less than 2 million freely traded shares, and about 1.23 million shares have been sold short, Barron's reported.

 

http://biz.yahoo.com/rc/040201/arms_taser_1.html

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