User 265729

From Crunch to Catatonia

Felix,

Always a pleasure to read your commentary.

I really feel that people simply don't understand the scale of this problem... According to the United States Federal Reserve, during Q4 2007 through Q3 2008, there was a wealth destruction of almost $8 trillion (see p. 113)

www.federalreserve.gov...

Remember, this does not even include the worst quarter, Q4 and does not include all sources of loss...

To give readers the scale of the problem... If you use the high-end calculations of the damage caused by Hurricane Katrina it is the equivalent of over 26 Katrinas hitting the United States. A major wipe of 26 American cities...

Remember, this EXCLUDES Q4 2008, excludes all of the DEBT that is out there, excludes several classes of assets, and, since it is from the government, perhaps a more positive picture than reality.

Add to that, the wealth that has been lost in the world's markets --only the world’s markets at 31.1 Trillion -- almost 104 Hurricane Katrinas in world stock value alone...

www.bloomberg.com/apps...

Get the picture?

They are using peashooters against Godzilla and hoping to hype the economy back to 2007.

My projection: This sucker's going down. There is NOTHING they can do about it...