br4711

On Oil, Gold and Flying Pigs

It is a head-fake rally. We are in a BEAR mkt. Paulson & Bernanke have jawboned this fuddy-duudy rally. When it ends, and it will end soon, GOLD will again be the preferred place to be because the 2 boys above have just again started the printing presses for more US Dollars, which in the end is always inflation, inflation, and more INFLATION. Bottom line - BUY GOLD ON DIPS AND FORGET THIS FUDDY-DUDDY RALLY!!!!

Is This Financial Armageddon or the Greatest Buying Opportunity Since 2002?

The bears win here. India, Vietnam, Saudia Arabia - countries where the local people value gold more than any paper currency, including the US Dollar. Fiat monies are a joke as no gov't has in place proper fiscal and monetary policies to ensure a strong currency. Gold in 6 months, even in the USA, will be considered to store of value better than any fiat US Dollar. Bottom line - Gold is the only real hedge against inflation and the collapse of the paper currencies!!!

FDIC's Insurance Deposit Fund: How's That for Under Capitalized?

The FDIC has for the last 20 years or so been also operating under the scenario that the BIG banks are to big to fail. Thus, they even have stopped assessing ins. premiums in prior years thinking that the 35-50 billion would always be sufficient. Now the big banks cannot be kept open as in previous years when the FED would just open the spicket to them. FIDICIA, passed in 1991, strictly forbids the FED from doing this. Bernanke and that bunch are not adhering to the rules in FIDICIA or the big banks would have already collapsed because of illiquidity. Thus, as the big banks collapse in the next few months the FDIC will be short of funds. By the way, FIDICA says that the remaining banks will be assessed for the failures' liabilities. maybe this time the tax payer may get a reprieve. That is, if anyone desires to enforce FIDICIA...

The Great GSE Meltdown: Market Adding Fuel to Fire?

Too big to fail concept is coming home to haunt the USA. Policy has been in force for 25 years and selling securitized off balance sheet products without any regulatory or other risk limitations has been going on for that long period too. Result - literally trillions, possibly up to even 100 trillion, of these unregulated products have been sold to every government and financial institution in the world; AND NOW - everyone knows that it has no real value and trying to unwind the positions is going to cause a huger world liquidity crisis. This tied with commodity price inflation is the debacle of modern financial systems. USA coming down, Europe coming down, Vietnam already collapsing, 70 countries have double digit inflation, Vietnam percursor to China's fall,etc. Bottom line - all paper currencies are worthless - Only hedge GOLD GOLD GOLD GOLD.