Asbytec's Comments RSS Syndication from SeekingAlpha.com http://seekingalpha.comuser/129664/comments http://seekingalpha.com/article/174681-spend-and-borrow-economists-are-wrong-again?source=feed#comment-771605 771605
I remember one suit on Larry King basically told the audience if the banks don't get bailed out, retirement plans will fail. Ben Stein asked if he was threatening us. I certainly sat up and took notice of what appeared to be a threat.

Nice comments, Trading Help. Most of us got $250 and a tax break. Peanuts compared to the bank bail out. Not a textbook Keynesian stimulus.]]> Sun, 22 Nov 2009 08:58:16 -0500
I remember one suit on Larry King basically told the audience if the banks don't get bailed out, retirement plans will fail. Ben Stein asked if he was threatening us. I certainly sat up and took notice of what appeared to be a threat.

Nice comments, Trading Help. Most of us got $250 and a tax break. Peanuts compared to the bank bail out. Not a textbook Keynesian stimulus.]]> http://seekingalpha.com/article/174460-dollar-yuan-peg-means-china-gains-on-all-fronts?source=feed#comment-768910 768910
We need to pressure them harder to let their currency float and stop selling them our debt. A tariff on tire imports was intended, in my view, as a warning shot across the bow. It certainly isn't going to solve the problem.

Yes, I said it. We need to put an end to our huge trade deficits and stop selling more debt to a major debtor. Most of this is our fault, however. We loved exporting our inflation to China. We loved buying their goods, it saved Joe Sixpack some money. We just don't seem to care about being in debt to anyone and everyone, including command economy with a "free trade" interface.

China is developed enough to play with the big boys. So, let them.]]> Fri, 20 Nov 2009 10:17:58 -0500
We need to pressure them harder to let their currency float and stop selling them our debt. A tariff on tire imports was intended, in my view, as a warning shot across the bow. It certainly isn't going to solve the problem.

Yes, I said it. We need to put an end to our huge trade deficits and stop selling more debt to a major debtor. Most of this is our fault, however. We loved exporting our inflation to China. We loved buying their goods, it saved Joe Sixpack some money. We just don't seem to care about being in debt to anyone and everyone, including command economy with a "free trade" interface.

China is developed enough to play with the big boys. So, let them.]]> http://seekingalpha.com/article/164810-market-sentiment-worse-than-stock-performance?source=feed#comment-705371 705371
As for the dollar, one would think deflation and some demand to close trade deals would support it. US lending is down and liquidity at lower levels. I just don't think the Fed can do much to stoke inflation, though they are trying hard. My curiosity lies in the dollar's weakness in some Asian emerging market currencies I deal with.]]> Tue, 06 Oct 2009 13:27:17 -0400
As for the dollar, one would think deflation and some demand to close trade deals would support it. US lending is down and liquidity at lower levels. I just don't think the Fed can do much to stoke inflation, though they are trying hard. My curiosity lies in the dollar's weakness in some Asian emerging market currencies I deal with.]]> http://seekingalpha.com/article/164810-market-sentiment-worse-than-stock-performance?source=feed#comment-704924 704924 Tue, 06 Oct 2009 09:55:25 -0400 http://seekingalpha.com/article/164712-what-recovery-unemployment-at-25-year-high?source=feed#comment-703897 703897 Mon, 05 Oct 2009 13:32:29 -0400 http://seekingalpha.com/article/164810-market-sentiment-worse-than-stock-performance?source=feed#comment-703888 703888
Mortgage back securities are no longer in vogue. The Fed (by March) and other investment firms are severely trimming their exposure to them. The housing bubble is over and about half a trillion dollars no longer exist. Housing prices may be affected adversely driving down consumer wealth effect. And wait until banks try to sell those unkept, repossessed homes. Good luck, it's neither a sellers or buyers market, and if mortgage rates fall. Good bye liquidity...

Unemployment, some reports say, will stay abnormally high for decades. Given the poor borrowing and lending sentiment, this might just be the case.

The dollar is tanking with inflation nowhere in the data, well, CPI, anyway. (I don't want to argue the CPI manipulation theory.) I fear the dollar may be losing it's anti market rally gains and loosing it's safe haven status. I might be premature, but it's a hunch investors might just be giving up on the dollar, regardless of what happens in the markets. Maybe this is the good news we have been waiting for: inflation may be just around the corner. This means the Fed will tighten a bit, which is good news (to me.) To be sure, gotta wait and see on this point.

The bottom line is, our economy is on life support and in a coma. I just do not see rallies with long legs until it is conscious and can breath on it's own. But, getting back to business as usual is highly unlikely for myriads of reasons: derivative money will be regulated and consumer buying will be at lower levels for a protracted period of time. Learning to walk again after brain damage, well, we might need a walker to limp along. This crisis really nailed us, and recovering will take a while.

Yes, we will have rallies and retractions. But with fundamentals out the window, investor sentiment chasing data coupled with the desire for this thing to end...don't let market rallies fool you. We are still in serious trouble. That's not just doom and gloom speak, it's just where we find ourselves...really.

To say otherwise makes one wonder if folks know the seriousness and depth of it all. Think about it, the government runs GM and fired it's CEO. The Fed has gone to extraordinary lengths to re-inflate and is loading it's balance sheets with underweight instruments of all sorts. Bank failures are expected to peak next year. Oil is reasonably priced, but doesn't seem to know which direction to go. (Is it stable?) It was nearly $150 and was projected (peak oil, remember that?) to be about $200. No wonder gold is around $1000...it's gotta be the safest thing right now. (And I am not a gold bug.)

Those an other actions speak to the seriousness and depth of our woes...our global deflationary problem. You can't run a global economy of recent years with all the money lost more recently. Who has got the money to fund buildings in Dubai these days?

Obviously my sentiment is low, but I am not alone. And I do not want to be a doom and gloomer. If you're a bull, good on ya. I realize I could be wrong and you be right. But based on what I see, the hunch in the gut...my sentiment...I am walking on egg shells.]]> Mon, 05 Oct 2009 13:25:01 -0400
Mortgage back securities are no longer in vogue. The Fed (by March) and other investment firms are severely trimming their exposure to them. The housing bubble is over and about half a trillion dollars no longer exist. Housing prices may be affected adversely driving down consumer wealth effect. And wait until banks try to sell those unkept, repossessed homes. Good luck, it's neither a sellers or buyers market, and if mortgage rates fall. Good bye liquidity...

Unemployment, some reports say, will stay abnormally high for decades. Given the poor borrowing and lending sentiment, this might just be the case.

The dollar is tanking with inflation nowhere in the data, well, CPI, anyway. (I don't want to argue the CPI manipulation theory.) I fear the dollar may be losing it's anti market rally gains and loosing it's safe haven status. I might be premature, but it's a hunch investors might just be giving up on the dollar, regardless of what happens in the markets. Maybe this is the good news we have been waiting for: inflation may be just around the corner. This means the Fed will tighten a bit, which is good news (to me.) To be sure, gotta wait and see on this point.

The bottom line is, our economy is on life support and in a coma. I just do not see rallies with long legs until it is conscious and can breath on it's own. But, getting back to business as usual is highly unlikely for myriads of reasons: derivative money will be regulated and consumer buying will be at lower levels for a protracted period of time. Learning to walk again after brain damage, well, we might need a walker to limp along. This crisis really nailed us, and recovering will take a while.

Yes, we will have rallies and retractions. But with fundamentals out the window, investor sentiment chasing data coupled with the desire for this thing to end...don't let market rallies fool you. We are still in serious trouble. That's not just doom and gloom speak, it's just where we find ourselves...really.

To say otherwise makes one wonder if folks know the seriousness and depth of it all. Think about it, the government runs GM and fired it's CEO. The Fed has gone to extraordinary lengths to re-inflate and is loading it's balance sheets with underweight instruments of all sorts. Bank failures are expected to peak next year. Oil is reasonably priced, but doesn't seem to know which direction to go. (Is it stable?) It was nearly $150 and was projected (peak oil, remember that?) to be about $200. No wonder gold is around $1000...it's gotta be the safest thing right now. (And I am not a gold bug.)

Those an other actions speak to the seriousness and depth of our woes...our global deflationary problem. You can't run a global economy of recent years with all the money lost more recently. Who has got the money to fund buildings in Dubai these days?

Obviously my sentiment is low, but I am not alone. And I do not want to be a doom and gloomer. If you're a bull, good on ya. I realize I could be wrong and you be right. But based on what I see, the hunch in the gut...my sentiment...I am walking on egg shells.]]> http://seekingalpha.com/article/164463-greenspan-still-clueless-on-moral-hazard?source=feed#comment-702207 702207
But, unfortunately, this is how you save the system as it stands today. And Bernanke has done what needed to be done under our current system, even though it's not what we'd like to see get done.

I'd argue the system, per se, needs fixing, by quite possibly eliminating the Fed removed or at least federalize it. Then, we might have better options to fix a recession, like Keynesian economics. (LOL@me) But, it might actually work, in such a case.

Watching the interview above, I see a big difference in Greenspan's loose money, mortgage your home to prosper philosophy. My bet is on Bernie tightening like a mad man as soon as inflation rears it's ugly head. (Yea, I said inflation is ugly.) He will almost have to, well...if he can. In as much as Greenspan is a mouth piece for the oligarchy, Bernanke may be, too.

On Oct 02 05:37 PM Adam Sharp wrote:

> Thanks... But I think Bernanke is making even more extreme mistakes
> than Greenspan. So we need to learn from the past, and correct future
> actions.]]> Sun, 04 Oct 2009 08:34:23 -0400
But, unfortunately, this is how you save the system as it stands today. And Bernanke has done what needed to be done under our current system, even though it's not what we'd like to see get done.

I'd argue the system, per se, needs fixing, by quite possibly eliminating the Fed removed or at least federalize it. Then, we might have better options to fix a recession, like Keynesian economics. (LOL@me) But, it might actually work, in such a case.

Watching the interview above, I see a big difference in Greenspan's loose money, mortgage your home to prosper philosophy. My bet is on Bernie tightening like a mad man as soon as inflation rears it's ugly head. (Yea, I said inflation is ugly.) He will almost have to, well...if he can. In as much as Greenspan is a mouth piece for the oligarchy, Bernanke may be, too.

On Oct 02 05:37 PM Adam Sharp wrote:

> Thanks... But I think Bernanke is making even more extreme mistakes
> than Greenspan. So we need to learn from the past, and correct future
> actions.]]> http://seekingalpha.com/article/164498-no-chance-of-a-v-recovery?source=feed#comment-699812 699812 Fri, 02 Oct 2009 09:45:51 -0400 http://seekingalpha.com/article/164403-so-much-for-the-recovery?source=feed#comment-699808 699808 Fri, 02 Oct 2009 09:42:10 -0400 http://seekingalpha.com/article/164463-greenspan-still-clueless-on-moral-hazard?source=feed#comment-699806 699806
He mentioned, we need to be careful about (over) regulating a natural phenomenon in our economy. Something like (the crisis) only comes around once in a life time, every hundred years or so. The implication is, hey, we'll all forget about it like it never happened. Yea, until it happens to our kids.

Well, at least he's right about one thing. The depression was about a human lifetime ago. Maybe he's right, it seems out depression era regulations didn't help much. Na, me gotta nip this thing in the bud.

The term "natural" he used to describe the crisis struck me as odd. I understand what he means, but being "natural" doesn't make it the right thing to do. ]]> Fri, 02 Oct 2009 09:41:34 -0400
He mentioned, we need to be careful about (over) regulating a natural phenomenon in our economy. Something like (the crisis) only comes around once in a life time, every hundred years or so. The implication is, hey, we'll all forget about it like it never happened. Yea, until it happens to our kids.

Well, at least he's right about one thing. The depression was about a human lifetime ago. Maybe he's right, it seems out depression era regulations didn't help much. Na, me gotta nip this thing in the bud.

The term "natural" he used to describe the crisis struck me as odd. I understand what he means, but being "natural" doesn't make it the right thing to do. ]]> http://seekingalpha.com/article/164193-dollar-following-the-expected-pattern-indicating-upturn?source=feed#comment-698367 698367 Thu, 01 Oct 2009 09:52:50 -0400 http://seekingalpha.com/article/163599-g20-urges-balanced-global-demand-china-says-no?source=feed#comment-695362 695362
There is a difference between stating fact and whining. Learn that difference, because the one you attribute to my post is a childish one. It's the way you see the world, though childish eyes. Trust me, it shows.

On Sep 28 01:00 PM coreopsis wrote:

> Whine...sigh...always like to see Yanks doing what they do best...whine
> ]]> Tue, 29 Sep 2009 12:03:13 -0400
There is a difference between stating fact and whining. Learn that difference, because the one you attribute to my post is a childish one. It's the way you see the world, though childish eyes. Trust me, it shows.

On Sep 28 01:00 PM coreopsis wrote:

> Whine...sigh...always like to see Yanks doing what they do best...whine
> ]]> http://seekingalpha.com/article/163750-currency-swaps-u-s-dollar-and-a-tilted-playing-field?source=feed#comment-695345 695345
If the Fed has unwound the program, I take that to mean they have recalled their dollar loans and remitted the euros, then wouldn't that support the dollar as they disappear form circulation? Need some thinking on this...interesting article.]]> Tue, 29 Sep 2009 11:52:42 -0400
If the Fed has unwound the program, I take that to mean they have recalled their dollar loans and remitted the euros, then wouldn't that support the dollar as they disappear form circulation? Need some thinking on this...interesting article.]]> http://seekingalpha.com/article/163678-europe-the-fed-and-the-declining-dollar?source=feed#comment-695323 695323 Tue, 29 Sep 2009 11:42:57 -0400 http://seekingalpha.com/article/163777-self-regulating-derivatives-no-thanks?source=feed#comment-695319 695319
Seriously, though, I'd like them to stay on and take risks, but it's gotta be done responsibly for the greater good. Make money, make a profit, just don't derail the economy in a self serving process.

While we're at it, let's refocus the insurance companies back into the business of spreading risk between it's customers and away from the banking industry.]]> Tue, 29 Sep 2009 11:39:22 -0400
Seriously, though, I'd like them to stay on and take risks, but it's gotta be done responsibly for the greater good. Make money, make a profit, just don't derail the economy in a self serving process.

While we're at it, let's refocus the insurance companies back into the business of spreading risk between it's customers and away from the banking industry.]]> http://seekingalpha.com/article/163796-credit-contraction-continues-in-europe?source=feed#comment-695306 695306 Tue, 29 Sep 2009 11:31:12 -0400 http://seekingalpha.com/article/163821-will-deflationary-forces-overwhelm-global-fiscal-stimulus?source=feed#comment-695303 695303 Oil is having a hard time staying above $70. Gold? Well, hard to say how much of the valuation is speculation and flight to safety not tied to the dollar. Gold should fall as the dollar strengthens in deflation, though, all other forces being equal. They are not equal with all the volatility in currencies and the markets (threat of double dip.)

I understand the problem to be the fed's limited ability to affect global liquidity. The Fed only controls (guessing) around 10% (8% a year ago, haven't seen figures since.) It's the falling liquidity. I argue the de-leveraging (credit destruction, as mentioned above) that is the source of global deflation and the Fed just cannot keep up. Indeed, the world's central banks cannot...or will not. I argue inducing inflation is not the easy part, it's actually proving quite hard to do. All money is contracting: dollars, euros, yen...and velocity is way down.

Wanna see inflation? Get the banks lending, again. Let loose the derivative market. Balance trade. Oh, yea, baby...coupled with the unprecedented easing, that's inflationary. Lending and borrowing are down, the derivative market will be regulated, and China said, "no."

The government will not default, to do so would be political suicide ending with the destruction of American dominance (which could end for other reasons, so...) We've had heavy debt before and paid it down. I see no reason why it can't be done, again.

I agree with one poster above, we're in this for a long haul...with significant scarring. A market rally does not a V shaped recovery make.]]> Tue, 29 Sep 2009 11:27:43 -0400 Oil is having a hard time staying above $70. Gold? Well, hard to say how much of the valuation is speculation and flight to safety not tied to the dollar. Gold should fall as the dollar strengthens in deflation, though, all other forces being equal. They are not equal with all the volatility in currencies and the markets (threat of double dip.)

I understand the problem to be the fed's limited ability to affect global liquidity. The Fed only controls (guessing) around 10% (8% a year ago, haven't seen figures since.) It's the falling liquidity. I argue the de-leveraging (credit destruction, as mentioned above) that is the source of global deflation and the Fed just cannot keep up. Indeed, the world's central banks cannot...or will not. I argue inducing inflation is not the easy part, it's actually proving quite hard to do. All money is contracting: dollars, euros, yen...and velocity is way down.

Wanna see inflation? Get the banks lending, again. Let loose the derivative market. Balance trade. Oh, yea, baby...coupled with the unprecedented easing, that's inflationary. Lending and borrowing are down, the derivative market will be regulated, and China said, "no."

The government will not default, to do so would be political suicide ending with the destruction of American dominance (which could end for other reasons, so...) We've had heavy debt before and paid it down. I see no reason why it can't be done, again.

I agree with one poster above, we're in this for a long haul...with significant scarring. A market rally does not a V shaped recovery make.]]> http://seekingalpha.com/article/163599-g20-urges-balanced-global-demand-china-says-no?source=feed#comment-694871 694871
> To Asbytec:
> They produce in mass what the world order, we wanted >cheap,why they have to bother with quality. You better direct your >comment to the middle men and why not to Wall Mart? Buying >cheap only cost you more in the long run so it is time for you to >start looking at an not cheap umbrella which I hope you can find
>or you can afford . Why it is when producing counterfeit they are
>excellent?
>Our taking too many vacations while they were sweating >unstoppable to satisfy demand did pay for them. Trade will be >imbalanced as far as is paid with fiat money or credit cards.

Okay, some good points. I have heard it argued, and agree, we...the middle men...have imported cheap goods to 'hide' inflation. This is us doing it to ourselves with their help. Our trade relations is a dissertation in itself covering gluttony, debt, bubbles, you name it.

I live in Asia, not the US. I suspect the products the US (middle men) import are of descent quality, as I remember. I've bought fishing gear from Walmart and got many years of good service from it.

It's apparent umbrellas imported here are not. Here, at least, it's bad. I shudder to by stuff made on mainland China, but often have little choice. Most of the stuff sold here is manufactured there and dumped here. The markets and malls are jammed with such stuff. I'd love to buy a descent umbrella, to find one made in the US.

I have heard, but have not collaborated, there exist different export quality standards for developed nations and emerging nations. It appears to be true.

No doubt they are making great strides as a manufacturing nation, building a middle class, and playing hard ball on free trade. (Korea see's China's trade practices as a model for success.) In fact, we have allowed, no, we've welcomed such a relationship. We are reaping the whirlwind today: a collapsed financial system that is (consumer) debt heavy, severe current account deficits (one of the twin pillars of doom), and (the other pillar) funding our public debt.

This is the part of our current crisis I hope and pray 'corrects' in a big way. We become less debt reliant, both public and private, and we balance our trade more closely. And for China to say, "No," demands a response. This is the root of my tongue-in-cheek comment to make them buy their own umbrellas. Let them get wet when their umbrellas fold up during a microburst.]]> Mon, 28 Sep 2009 23:37:12 -0400
> To Asbytec:
> They produce in mass what the world order, we wanted >cheap,why they have to bother with quality. You better direct your >comment to the middle men and why not to Wall Mart? Buying >cheap only cost you more in the long run so it is time for you to >start looking at an not cheap umbrella which I hope you can find
>or you can afford . Why it is when producing counterfeit they are
>excellent?
>Our taking too many vacations while they were sweating >unstoppable to satisfy demand did pay for them. Trade will be >imbalanced as far as is paid with fiat money or credit cards.

Okay, some good points. I have heard it argued, and agree, we...the middle men...have imported cheap goods to 'hide' inflation. This is us doing it to ourselves with their help. Our trade relations is a dissertation in itself covering gluttony, debt, bubbles, you name it.

I live in Asia, not the US. I suspect the products the US (middle men) import are of descent quality, as I remember. I've bought fishing gear from Walmart and got many years of good service from it.

It's apparent umbrellas imported here are not. Here, at least, it's bad. I shudder to by stuff made on mainland China, but often have little choice. Most of the stuff sold here is manufactured there and dumped here. The markets and malls are jammed with such stuff. I'd love to buy a descent umbrella, to find one made in the US.

I have heard, but have not collaborated, there exist different export quality standards for developed nations and emerging nations. It appears to be true.

No doubt they are making great strides as a manufacturing nation, building a middle class, and playing hard ball on free trade. (Korea see's China's trade practices as a model for success.) In fact, we have allowed, no, we've welcomed such a relationship. We are reaping the whirlwind today: a collapsed financial system that is (consumer) debt heavy, severe current account deficits (one of the twin pillars of doom), and (the other pillar) funding our public debt.

This is the part of our current crisis I hope and pray 'corrects' in a big way. We become less debt reliant, both public and private, and we balance our trade more closely. And for China to say, "No," demands a response. This is the root of my tongue-in-cheek comment to make them buy their own umbrellas. Let them get wet when their umbrellas fold up during a microburst.]]> http://seekingalpha.com/article/163524-the-inflation-deflation-forces-battles-on?source=feed#comment-693855 693855
If lending picks up again, we'll see liquidity sky rocket. Equities and (newly regulated) derivatives will help and the velocity of money should pick up steam. But until then, we just cannot expect to run an economy of the 90's on the liquidity levels of today.

This also speaks to dollar strength, in my view. Less dollars are trying to close a reduced amount of global deals. It's a tricky balance.]]> Mon, 28 Sep 2009 09:04:25 -0400
If lending picks up again, we'll see liquidity sky rocket. Equities and (newly regulated) derivatives will help and the velocity of money should pick up steam. But until then, we just cannot expect to run an economy of the 90's on the liquidity levels of today.

This also speaks to dollar strength, in my view. Less dollars are trying to close a reduced amount of global deals. It's a tricky balance.]]> http://seekingalpha.com/article/163524-the-inflation-deflation-forces-battles-on?source=feed#comment-693846 693846
If lending picks up again, we'll see liquidity sky rocket. But until then, we just cannot expect to run an economy of the 90's on the liquidity levels of today.

This also speaks to dollar strength, in my view. Less dollars are trying to close a reduced amount of global deals. It's a tricky balance.]]> Mon, 28 Sep 2009 09:02:04 -0400
If lending picks up again, we'll see liquidity sky rocket. But until then, we just cannot expect to run an economy of the 90's on the liquidity levels of today.

This also speaks to dollar strength, in my view. Less dollars are trying to close a reduced amount of global deals. It's a tricky balance.]]> http://seekingalpha.com/article/163600-decoding-the-fed?source=feed#comment-693101 693101 Sun, 27 Sep 2009 11:57:05 -0400 http://seekingalpha.com/article/163600-decoding-the-fed?source=feed#comment-693085 693085 Sun, 27 Sep 2009 11:35:44 -0400 http://seekingalpha.com/article/163600-decoding-the-fed?source=feed#comment-692863 692863
I understand the Fed did everything it could, and more, to avert disaster...agree or disagree with the details and whether the Fed is even necessary. Truth is, we have a Fed and they had to act. Period. And people hang on the FOMC's words...so they have to use them carefully. We all know they are trying to walk that fine line...hard to do in such times.

I too see, more like feel it in the gut, another down turn in the coming months, despite any words to the contrary...]]> Sun, 27 Sep 2009 08:52:32 -0400
I understand the Fed did everything it could, and more, to avert disaster...agree or disagree with the details and whether the Fed is even necessary. Truth is, we have a Fed and they had to act. Period. And people hang on the FOMC's words...so they have to use them carefully. We all know they are trying to walk that fine line...hard to do in such times.

I too see, more like feel it in the gut, another down turn in the coming months, despite any words to the contrary...]]> http://seekingalpha.com/article/163088-cramer-s-stop-trading-the-correction-is-coming-9-24-09?source=feed#comment-692853 692853
Something about taking stock advice from an overactive TV host exciting a TV audience just doesn't sit right with me. You go, John Stewart!]]> Sun, 27 Sep 2009 08:38:51 -0400
Something about taking stock advice from an overactive TV host exciting a TV audience just doesn't sit right with me. You go, John Stewart!]]> http://seekingalpha.com/article/163261-central-banks-more-harm-than-good?source=feed#comment-692831 692831
We need a new banking system, one which does not indenture the population and provides a store of real wealth for the common person...as well as profits for those who risk, of course. A fiat currency fails miserably as a store of wealth, inflation sees to that. Inflation also diminishes our propensity to save (thank goodness for our bought of deflation.) Thus, we are forced to borrow our wealth. Such is our banking system...it needs to change and provie a means to wealth for all, the rich and the wretched.

But, if we are to have our current banking system, then the only way to save it is to pump money into it...tax money, unfortunately. Folks call this Keynesian economics, I guess it could be. The stimulus we were supposed to get is closer to my understanding of what Keynes intended. By the way, everyone saw that email showing how many huge stacks of money comprised billions of dollars? Somewhere in that huge warehouse full of money, I was to get two and a half pieces of that paper. We know who got the rest.]]> Sun, 27 Sep 2009 08:15:13 -0400
We need a new banking system, one which does not indenture the population and provides a store of real wealth for the common person...as well as profits for those who risk, of course. A fiat currency fails miserably as a store of wealth, inflation sees to that. Inflation also diminishes our propensity to save (thank goodness for our bought of deflation.) Thus, we are forced to borrow our wealth. Such is our banking system...it needs to change and provie a means to wealth for all, the rich and the wretched.

But, if we are to have our current banking system, then the only way to save it is to pump money into it...tax money, unfortunately. Folks call this Keynesian economics, I guess it could be. The stimulus we were supposed to get is closer to my understanding of what Keynes intended. By the way, everyone saw that email showing how many huge stacks of money comprised billions of dollars? Somewhere in that huge warehouse full of money, I was to get two and a half pieces of that paper. We know who got the rest.]]> http://seekingalpha.com/article/163599-g20-urges-balanced-global-demand-china-says-no?source=feed#comment-692823 692823 Sun, 27 Sep 2009 07:54:44 -0400 http://seekingalpha.com/article/163402-fix-euro-dollar-exchange-rate-fat-chance?source=feed#comment-692756 692756 Sun, 27 Sep 2009 02:18:22 -0400 http://seekingalpha.com/article/163402-fix-euro-dollar-exchange-rate-fat-chance?source=feed#comment-692681 692681
As I understand them, I am beginning to come around to the idea of SDR. (please dont apply thumbs down based on emotion...LOL) Though, I do not think I would support the US dollar comprising only 4%, down from 44%, to make room for the yuan. The yuan could be on par with the sterling, but certainly does not deserve that much room.

If applied correctly, SDR could work against China in that SDRs can be a way of balancing trade. If (you) don't import enough, remit some SDR to (us) much like gold used to be remitted. An SDR would eliminate currency speculation, too, which I've argued is not natural to trade.

Currency trading is only a consequence of floating fiat currencies resulting from trade (and other factors) affecting the fiat value. It's a play on fiat value resulting from trade, not natural to trade, per se....especially unbalanced trade. (I recognize balanced trade can give fair value to a fiat currency relative to others.)]]> Sat, 26 Sep 2009 22:18:15 -0400
As I understand them, I am beginning to come around to the idea of SDR. (please dont apply thumbs down based on emotion...LOL) Though, I do not think I would support the US dollar comprising only 4%, down from 44%, to make room for the yuan. The yuan could be on par with the sterling, but certainly does not deserve that much room.

If applied correctly, SDR could work against China in that SDRs can be a way of balancing trade. If (you) don't import enough, remit some SDR to (us) much like gold used to be remitted. An SDR would eliminate currency speculation, too, which I've argued is not natural to trade.

Currency trading is only a consequence of floating fiat currencies resulting from trade (and other factors) affecting the fiat value. It's a play on fiat value resulting from trade, not natural to trade, per se....especially unbalanced trade. (I recognize balanced trade can give fair value to a fiat currency relative to others.)]]> http://seekingalpha.com/article/163402-fix-euro-dollar-exchange-rate-fat-chance?source=feed#comment-692675 692675 Sat, 26 Sep 2009 21:58:21 -0400 http://seekingalpha.com/article/163469-extreme-pessimism-suggests-dollar-oversold?source=feed#comment-691846 691846 Sat, 26 Sep 2009 09:09:31 -0400