I just read an article in the Financial Post which clearly shows what a House of cards we have become. The latest rage for banks is to securitize the Six-Packs Visa and Master Card debt by issuing Bonds in the 4 to 41/2% range which are backed not by the Banks that float the issue but by the SixPacks debt which is owed to the Banks. So the Six-packs make the minimum monthly payment and are close to their limit and the Banks charge 11 to 16+% on said debt and dump said debt in a Bond issue which gets them totally off the hook for 4 to 4-1/2%. CIBC just did the biggest one to date in Canada eh-$1.4 Billion. Some of the Schlumps in a Bond Fund don't even realize they are investing in a fund part of which is backed by their own debts. Which Shell is the pea under -right!
Of course, no one one who is paying interest on a debt at 16% should be invested in a bond that pays out at 4-5%- negative net return, that.... pay the debt first then invest in the bond.
Kondratieff Winter is here.
...A declining spenglerian carnival of Colossaalism united with Inflation where the numbers one through 10 are forever banished as worthless arithmetical detritus from a bygone age... - Beardrech
Naturally we believe the govt numbers... and Boobus Americanus sleepwalks off the edge of the energy-crisis cliff clutching his shares of "Crisco", Yoohoo and GooGah munching on his Yum Yums and Ho Hos. Future historians will have a hell of a time figuring out what the hell Americanus neanderthalus was thinking and exactly what brought on his sudden demise... - Henny Penny
Well, good night everyone. I gotta go lube up for tomorrow's regular end-of-week Gold Slapdown and Stock Index Bear Punishment Rally Weekend Greenprint. ...Probably another Shock-and-Awe Gap-Up-Open and Wire-to-Wire Meltup Runaway Bull Charge Mo-Mo Spike to Fresh New All-Time Lifetime Highs, culminating in a 4:15 yelping scalded dog runoff with panic short-covering and legal not-held bad double fills due to fast market conditions, plus quote system freeze-ups and trading platform lock-outs along the way. *yawn* typical gov't Friday. - Shorty
I don't know if this one has enough juice left to go higher............[/quote] Like I said...we 're real close here.. [/quote] The question is hw much short interst is there in the main trannie components and how many days would it take to cover? [/quote] [QUOTE]
Anotherone, I have seen a study just done that shows 7.4 days collectively to cover the trannie shorts.
"Damn, the price of this stuff jumps around alot!" Hokahay October, 2008 "Analyzing the spot price of gold is akin to analyzing the output from a randon number gereator." -ancient chinese proverb
My guess: When oil retraces , as all mkts do, the trannies will get killed. Every fricking moron fumble mgr ( you know the ones like fido who own big postions in mrk/mmc/aig/) is betting on a top in oil. Hell they have put the bet on from 35 bucks. Guess what? WHen everyone is thinking the same thing, no one is thinking.
Good thinking, Soup.....
Didn't consider that scenario.
Maybe the trannies have been HeatMapped in anticipation of an "Oil Crash"
And if oil holds at $42 or so, then the trannies may very well crash themselves...........
Twig- the hole in the doughnut is the U.S. can push around the 3rd world only a teeny bit as Iraq is showing. Airpower, tanks but not enough boots on the ground and I have no doubt that Iran, Syria and North Korea are taking note of the fact. Shrub fantazied it would be a cakewalk now he is hearing and seeing reality. Now India and China's demand for Oil will not go away because thanks to us their economies have grown to the point where they really don't need us anymore, their consumer base is enormous, they are graduating more skilled people than we have in Universities. Our population is aging and is not being replaced while theirs soars. Where does that leave us??
When the last living thing has died on account of us, how poetical it would be if Earth could say, in a voice floating up perhaps from the floor of the Grand Canyon, “It is done.” People did not like it here.
Twig I think more than ever the West has to get the old Alliance back together again-Kerry is right on that. I don't think China (the ultimate enemy) wants anything more than to be left alone in their sphere of influence which includes Taiwan. But a nut like Shrub pledges to defend Taiwan-Why? Taiwan is as close to the mainland as Catalina Island is to China if you want peaceful re unification you don't piss off China by arming Taiwan to the teeth but Shrub has, Russia is another that really doesn't want anything other than there sphere of influence. If we are to have peace then the nutbars have to realize we can co-exist in a world where we are content with our slice of the pie and do not covet the other guys.
What is Dow 100K in 45 years? That is a 5.25% yield. How much of that will be inflation?
this is a neat little trick... your asset appreciates by 5%/year, but inflation runs 4%/year. you pay 25% cap gains tax (state/Fed), so you net 3.75% annual gain, which is below or near the CPI/inflation rate.... if you asset appreciated by less thna 5%.... guess what? you're screwed?
He conceded that a move to Dow 100,000 would be a function, in part, of inflation.
I can't remember if that was before or after he said that the United States would annex Mexico.
im not bagging on neely, im just pointing out how the govt screws you on capital gains. im not sure if he said we would annex mexico, or if mexico is in the process of annexing us.
we had big time rains here last night and although the water is needed, i need to get some roof work done.
Iat least we're all safe for now. thank God we're in a bowling alley.
I have just checked every Major American news media and have seen nothing about the article that is page one in Canada's National Post and yet this article affects every American and Canadian and Mexican..
Here's a link to the article quoted by brian4, this is interesting:
"The trinational task force, which has the full backing of the three governments, has been charged with creating a road map toward a continent-wide customs-free zone with a common approach to trade, energy, immigration, law enforcement and security that would virtually eliminate existing national borders.
John Manley, the former Liberal deputy prime minister, will co-chair the task force and be joined on the panel by William Weld, the former Republican governor of Massachusetts, and Pedro Aspe, a former Mexican finance minister.
The task force will report to the prestigious U.S. Council on Foreign Relations, and received the blessing of Anne McLellan, Canada's Public Safety Minister, and Tom Ridge, the U.S. Homeland Security Secretary, during a meeting in Ottawa this week."
So when did we elect the CFR to develop a regional super-government?
Re: UPS and FDX going retail via purchase of Kinko's and Mail Boxes Etc.
"Its big. Both companies are using retail stores to funnel more documents and packages to their massive shipping operations. We look for exciting things to happen"
"I know that UPS's "Auction Drop" could be huge for those who don't want sell their items on Ebay. They drop their items off at Mail Boxes Etc. store who sells it online for them........."
perfect timimg, just when most clients have gone PDF for documments and electronic delivery of finished reports. digital everything and delivery companies take on more overhead. ill be the first to ask: why does FDX need a stinko's when the drop boxes worked just fine - are they gonna do away with home/office pick-up? why would UPS buy something? becuase FDX did and they dont wanna look like they are left behind - what thinkers.
Iat least we're all safe for now. thank God we're in a bowling alley.
I knew we were in trouble when the Soviet Union fell. Because of the Cold War we needed our constitution and our benevolent face in the world. The evil was always there under the surface. Kissinger ordered the assassination of Allende - what was it for .. United Fruit Company? probably others as well. But we still had ideals we could believe in as anation. We did good as well as evil. Maybe the re-emergence of Russia as a world military power, or China in its place, will bring us back to our senses. Maybe a miracle will happen, Kerry will get in and rise to great leadership. let us pray.