Ganesh Sastri

The Great U.S. Ponzi Scheme: Sell U.S. Treasury Bonds

The FED buying debt issued by Treasuries is an accounting gimmick. The FED & the Treasury should be treated as one entity for consolidation purposes. One entity cannot borrow and lend to itself. It is truly PRINTING OF DOLLAR BILLS and showering them from HELICOPTER.
There is a real danger that notwithstanding the recent strength of the US dollar, it can fall from a cliff.
Imagine Gold at $ 4000. By the end of this decade you need not imagine.

Bank of America vs. Banco Santander: Whose Dividend Is Secure?

It is a FUNDAMENTAL flaw to base any decision on dividend yield. Instead work out E/P %. This is the inverse of PE ratio expressed as a %. Just assume that all of the net income belongs to the shareholders and work out the E/P %. For BAC based on estimated EPS of $ 2.42 for year 2008 and market price of $ 23.5 this works out to 10.3%. That is the yield. If dividend exceeds EPS, the excess is just return of money and NOT return ON money. Obviously if the estimated EPS is less, the E/P % will be lower.