otbricki

America's Insolvent Banks

This speech by Geithner is rather prophetic.

www.ny.frb.org/newseve...

Bank Nationalization: It's Just Plain Wrong

There is another group that would benefit from nationalization - short sellers. This would be their greatest hour - to see C, BA, etc go to zero.

New Limits on Credit Card Companies: Is Hell Freezing Over?

Grand Moff Tarkin was told that the more you squeeze the more will slip through your fingers.

S&P Set for 50%+ Gains? Not So Fast, UBS

You are missing that the US is still relatively isolated in terms of its economy on the demand side. Only 8% is tied to exports.

Certainly economic problems in China are not going to impact demand for US goods and services, and will help keep commodities costs down. A decrease in European demand won't help, but even if it goes down 10% it is well less than a 1% hit on US GDP.

Slowing economies in Europe and Asia, lower commodity prices and the recent strength of the dollar will help curtail inflationary pressures for a while as well.

Recent efforts to push down mortgage rates and lower energy costs have a good chance to start putting money in the pockets of consumers. It this happens it is very easy to forecast a V shaped recovery starting mid-2009.

Given that the S&P was 1500 not long ago a 50% increase by the end of 2009 is quite plausible.

The Problem With the Citi Bailout

The bailouts are being structured to extract as much as possible from the American middle class as the Bush end game. The only choice Obama will have will be confiscatory tax rates on the wealthy in order to restore balance between classes in America.

Prepare for a lot of whining.

Citibank - On Guard! - Cramer's Stop Trading! (9/12/08)

Sears also offers an excellent service network. It's a far better post sale experience to buy a major appliance from Sears vs. Best Buy etc.