Tesa

Can Americans Save Their Economy?

The financial industry who has benefited from insurance industry is loyal to them over the health of US population just like companies who slapped AAA ratings on the junk they spread around to population. The same phenomenon is still in progress where those that extract cash from the population deem to believe that the population is not worthy of electing people who would work for them.

Those in town halls that are working against the health care reform are not doing so because of the costs, they do so because it is their profits that it is at stake here. This movements has sprung up when street is fighting territorial war to maintain cash flow to it members and not when the population was being bamboozled by the street through most massive financial fraud in history .

I will say that it can be proven that the street is behind these movements because they are the voice of the movement just as this author is and they weren't speaking up as the street was complicit in causing the credit crisis for a decade instead the sought more deregulation. The double standard is not only a proof, it is the cause of poor health care plans that Americans are stuck with.

Shift in U.S. - China Dialogue Is Louder than Words

Their growth is also funded by stimulus. Any country spreading free cash is going to stimulate their economy but there is a cost. It wont be cost free for China either. The world can not absorb their unsustainable growth.

On Jul 30 02:24 PM Jeff Nielson wrote:
> China's markets have had a HUGE rally on an economy which has ACTUALLY turned the corner.

Shift in U.S. - China Dialogue Is Louder than Words

Pretty good points but the only fly in their soup is the fact that majority of their costumers are in the countries with fraud infested banking system that they themselves support to sell their unsustainable growth into. They are part of the big pictures of the faster moving wheel being greased by the world wide accumulation of debt.

The Bubble of Uncertainty Is About to Burst

The fraudulent capitalism has in fact collapsed the markets and has cased complete insolvency of the world banking system. You are just ranting. Nothing that your still blind tribe in denial, could have done to fix it to repair or let it to repair itself because the fraud and resulting collapse was massive Circuit city couldn't have been bought if government had not stepped in to save the banks.

Look at what Volker says, is he a communists or Marxist.

“In this world, I don’t see how we can avoid international consistency” on securities regulations going forward, he said. “The U.S. is no longer in a position to dictate that the world does it according to the way we’ve done it.”
............
"Volcker, who ran the Fed from 1979 to 1987, said the financial industry’s problems stem from larger issues. “I don’t think this is just a technical problem, it’s a societal problem,” he said. He cited bankers on Wall Street receiving multimillion-dollar bonuses for engineering failed mergers.

“There’s something wrong with the system,” Volcker said. “What are the incentives, what’s going on here?”
www.bloomberg.com/apps...



On Mar 06 03:56 PM Socialism cannot compete! wrote:

> This is NOT just about uncertainty. In fact, it's not uncertain
> at all!!! It is VERY CERTAIN that Marxist economics prevent prosperity.
> The Big O has been implementing his plan to tax the producers and
> give it to the failures. We are keeping the zombies alive, and reducing
> not only the current profits of the producers, but LIMITING their
> ability to increase in the future -- the good companies should be
> taking the market share of those which ought to be allowed to fail.
> This is being inhibited by the propping up of those zombies. One
> counter-example may prove to illustrate this -- let's watch the next
> couple quarters from Best Buy, after Circuit City was allowed to
> fail.

The Bubble of Uncertainty Is About to Burst

Why not since the inception of the markets. Why not since discovery of oil.

Its the Energy that got harvested obviously and while there is enough left, the markets have to figure something else to energize the bubbles with.


On Mar 06 11:47 AM TexasER wrote:

> then the bubble looks like the last 30 years.

The Bubble of Uncertainty Is About to Burst

What was that event if you don't mind me asking.


On Mar 06 03:11 PM plumstupid wrote:

> The destruction from within began in earnest at 1200 20JAN81.

The Bubble of Uncertainty Is About to Burst

I have to agree with some points the author makes. And again, there is very little meat left in the companies that have been shorted for months upon months. People can short as much as they like but there is not much cash left for all of them to chew on. So they are now attacking the relatively healthy companies with high market cap to extract cash from these markets.

They have extracted something like 3% today from the high capitalized ones; some that are not doing badly either.

Its just matter of time for healthy companies to take companies private. While the commodity and basic material producers will look into having cartels since the market pricing scheme is getting really wacky.

Still Waiting for the Bottom

Look at what the author is saying in the quotes bellow. He iis saying the people are still holding on and are hopeful. These are absurd claims.so people are expected to dump their life savings whatever they have left so that the like of him can pick it up for nothing.

"Until the market has washed out the last of the hopeful bulls, investors are best served by remaining patient and protecting capital."

Obviously those with a lot cash are waiting are hoping to push the market off the edge by inducing panic so they can cash it.

Still Waiting for the Bottom

MGA_1, they have pressed people's panic buttons too many time and for too long to enrich their own pockets just as before. Its a scam like it was at the peak. The superman Xray vision was claimed to see super future at the peaks in 2007 see and a better 2008. "You cant outsmart the market" was their motto and now at the bottom, they seem to see the apposite and they rant on and on and invent a panic a day and pump it.

Todays panic.. "there is not enough panic"
Tomorrows panic "there is not enough panic yesterday"
day(n) panic "premature enthusiasm"
day(n+1) panic "depression after recession panic"

Still Waiting for the Bottom

Why don't you institute a panic a day tactic to steal more of people of investments. The fact that people have lost 12 years of investment is not enough. You have to grab far more.

Presidential Starts: 1900-2009

Again I think a look back at Reagan years in necessary for people to get off their high hourses. This article was written in Jul. 20, 1981. The 20.5% interest in Reagan years, how was that a miracle. It wasn't.

"Ronald Reagan will hear plenty of complaints about sky-high U.S. interest rates during his two days of economic summitry next week in Ottawa, where the heads of the world's seven leading non-Communist industrial powers will gather to confer on economic policy. Instead of declining, as Administration officials have been predicting, interest rates have continued to wobble uncertainly around 20%. Last week the cost of money again ratcheted upward slightly, pushing the benchmark prime interest rate that big commercial banks charge to 20.5%, or just a percentage point below the alltime peak reached last December.

A tight money policy and the resulting high U.S. interest rates are a key element in the Administration's fight against inflation. Though the nation's trading partners and allies have welcomed Washington's determination to slow the rise in prices, they have begun to complain about the tactic being employed. Foreign leaders do not like high American rates because they force other nations to push up their own interest rates accordingly, thereby slowing economic growth. Officials are particularly concerned about resulting rises in unemployment levels. Unlike the U.S., which has seldom had an unemployment level of less than 3%, many European nations have traditionally had jobless rates of about 1% or 2%. Thus the rise to current levels of 5% or more is not only economically jolting but socially disturbing as well. "

www.time.com/time/maga...

Presidential Starts: 1900-2009

This article is from 1981 when Reagan was in office for 10 months. They were raving about the wonders of high interest rates and "slow" economy. Banksters tend give a good rating for getting the cash. Its not the economy that they care about.

" High and volatile interest rates are not very helpful to most businesses, but many banks seem to make out just fine when money is expensive. That at least is one interpretation of the industry's impressive third-quarter earnings reports. After a ho-hum second quarter, profits have perked up; and for 56 of the nation's largest commercial banks, earnings have climbed by a brisk 18.2% over the same period last year, one of the largest such gains of any major business sector in the economy.

The surge was by no means uniform, but it came, remarkably enough, amid signs of a slowing economy. Last week, for example, General Motors said it had lost a stunning $468 million during the third quarter. The Chase Manhattan Corp. of New York, however, reported a jump of 20.1% per share in third-quarter profits. Total quarterly earnings were $116.1 million, the highest in Chase's 182-year history. Bankers Trust and Chicago's Continental Illinois did almost as well, with respective increases of 15.6% and 16.4%. The biggest rise of all, 227%, was racked up by First Chicago Corp., which had suffered a severe profits squeeze during its third quarter one year ago.

By contrast, declines in actual earnings were reported by the nation's two largest banks, New York-based Citicorp (off 11.6%) and California's BankAmerica, which suffered a 33.3% drop in profits during the period. Fifth-ranked J.P. Morgan & Co. also slipped, with a decline of 26.7% from the year-earlier period.

In general, banks that specialize in consumer lending have suffered most under the high rates, while those that rely on commercial or corporate borrowers have profited handsomely. One reason is that consumer loans are typically made at interest rates that do not fluctuate. At times of rising interest rates, profits of banks are squeezed by their portfolios' low-yielding loans. Fixed-rate loans have helped to drag down profits at Bank-America, for example, which has some 1,100 branches spread throughout the nation's most populous state. On the other hand, the sky-high rates have devastated the corporate bond market, where major businesses traditionally turn for financing, and forced companies to try to scrape by on short-term credit from banks like Bankers Trust and Chase, which have aggressively sought corporate business. Nationwide, short-term commercial debt has risen by 26.1% in the past six months.

Local and regional banks have also done well. Typical are Houston's Allied Bancshares, which reported a 38% increase in third-quarter earnings, as well as Georgia's First Atlanta Corp., which expects at least a 40% increase for all of 1981. "

www.time.com/time/maga...

How Much Downside Could Still Exist?

Sooner of later the producers who have nothing to do with the massive derivative fraud that has been propagated by these fraud infested markets that have caused this crash will pull out of these markets and avoid being traded or listed in these exchanges altogether if this nonsense goes on for too long. Commodity producers can also pull out by establishing cartels. There is no reason for wheat to get cheaper when the banks have perpetuated massive fraud for example.

Markets are only meaningful when they can valuate stuff in a meaningful way based on real demand and supply for example and not when they are fraudulently being played by traders who use rants as dip sticks to valuate the markets.

Despite Everything, Capitalism Is Alive and Well

To the author,

If capitalism is not absence of failure then there is no need to boast about its super powers that it doesn't really have by your own admission.

The double talk by those that have caused the current financial disaster by boasting about the super powers of capitalism is easy to spot. They often bash unions and the worker class and yet they are blind to the massive corruption that capitalism has pursued and that is even after getting saved by socialism.

These claims are fabricated, they use what-if-scenarios although the boasters of purely capitalist economies were in fact on the receiving end of subsidy by socialism. The very banks and the very financial institutions that were advising to all other countries to join them, pushing for easy credit and damaging the world economy are the very high power institutions that claimed the super power of capitalism and also they were the very first institutions that begged to be saved by socialism when they "failed" and they did "fail".

To believe that all markets can stand these failures is either naive or manipulative.

Predatory Banking Practices Undermining the U.S. Consumer

Obviously the writer has a valid point, the over draft should be applied to actual case of overdraft and not be sorted or forged to produce extra undue income. I would say the case for mortgage insurance is along the same lines but only worse. From what I understand these insurances are termed in a manner which makes them extremely unlikely to be cash-able in any event in most states so they are not really a form of insurance but rather a source of income for the banks around the world.