fotokemist

PBGC Is Not Only Underwater, It's Drowning

John,

I am a novice at this game (~13 months.) However, I have come to the conclusion that fractional reserve banking requires the entire financial system become a con game, since everybody cannot withdraw their money at the same time.

The con game seems to have spread to all asset classes except physical gold and silver. I watch with horror and disgust as my relatives in their 70s and 80s begin to consume their capital where they could live on the interest payments a few years ago.

Such observations lead me to a loss of confidence not only in our financial system, but our entire political and social system. I pray that leaders with integrity will rise and chart a course through the problems we cannot avoid. Otherwise, I have had a good life and really cannot complain if my remaining years are spent in a failed society.

Is There 22% Less Volume Behind the Current S&P Rally?

Is it a little strange that the adkusted volume is declining while the totl volume is increasing over the past several days? Keeping my parachute packed!

China's Statements About U.S. Debt Are Overblown

Taking the numbers posted here at face value, the Chinese can take a $500bln loss in their UST bonds and achieve their strategic objective of displacing the USD as the world's reserve currency. Compare that to our military costs in Iraq, now approaching $1tln compared to the benefits we have received. And all without any loss of Chinese life. Perhaps they have read Sun Tzu.