k9s-4-k8's Comments RSS Syndication from SeekingAlpha.com http://seekingalpha.comuser/295972/comments http://seekingalpha.com/article/151314-should-bernanke-be-reappointed?source=feed#comment-604162 604162 >As a rational actor, Pres. Obama's goal is to get re-elected in
>2012. There is no question that a Fed Chmn. Larry Summers
>would be friendly to Pres. Obama's hopes of re-election and, as
>a result, employ a loose-money policy. Given this fact, Pres. >Obama has a HUGE incentive to appoint Larry Summers to the >top Fed job.

That's precisely the problem with Larry Summers. He would be too friendly with the administration. It makes him a partisan player which never works in an office that is supposed to be independent. If the Fed is viewed as partisan, his views carry no weight but with his own party. It will also make it difficult to put decisions for the sake of long term economics ahead of the President's own agenda. The bond market won't cooperate with such a choice and that's the whole ball game. ]]> Mon, 27 Jul 2009 17:04:00 -0400 >As a rational actor, Pres. Obama's goal is to get re-elected in
>2012. There is no question that a Fed Chmn. Larry Summers
>would be friendly to Pres. Obama's hopes of re-election and, as
>a result, employ a loose-money policy. Given this fact, Pres. >Obama has a HUGE incentive to appoint Larry Summers to the >top Fed job.

That's precisely the problem with Larry Summers. He would be too friendly with the administration. It makes him a partisan player which never works in an office that is supposed to be independent. If the Fed is viewed as partisan, his views carry no weight but with his own party. It will also make it difficult to put decisions for the sake of long term economics ahead of the President's own agenda. The bond market won't cooperate with such a choice and that's the whole ball game. ]]> http://seekingalpha.com/article/130980-green-mountain-good-coffee-peaking-chart?source=feed#comment-465158 465158 Thu, 16 Apr 2009 11:22:20 -0400 http://seekingalpha.com/article/129341-a-strong-u-s-dollar-isn-t-in-anyone-s-best-interest?source=feed#comment-451050 451050 While the U.S. mortgage backed debacle is at the root of this recession, European bankers were reticent about doing their own homework regarding the viability of the mortgage backed securities they were investing as well as the amount of leverage they used in order to benefit a few extra basis points. This is the same irresponsible risk management that American banks pursued. No difference. But Europe is actually worse off. Most of these countries have the majority of their money in just a handful of banks. A number of these same banks used 40-1 leverage. On top of that, they don't have sustainable consumer based economies. Their economies are supported by exports, and tourism. They're dead in the water till the U.S. economy recovers.


On Apr 03 10:19 AM Dave Wrixon wrote:

> Europe has a different set of problems to the US. Europe's problems have been largely caused by the US, but are generally less severe, although there is precious little recognition of this. Consequently,
> Europe is still being protective of its inflationary postion, which
> is probably largely justified, even though there have been significant
> efforts to stimulate.
>
> The pig-headness, largely stems from the American assumption, that
> the Europeans must unquestionably do as they are told to help solve
> the US's problems, even though their is little consensus that American
> leaders actually have a clue what has happened or what to do about
> it.
>
> If America is to get cooperation in resolving its crisis, then these
> Neo-Imperialist attitudes will not help, either vis-a-vis Europe
> or anywhere else.
>
> Having said that I am sure that will join me in lauding Obama for
> addressing one of the most obvious issues, which is the over-investment
> in military hardware, which frankly the US economy can no longer
> support.]]> Fri, 03 Apr 2009 13:56:42 -0400 While the U.S. mortgage backed debacle is at the root of this recession, European bankers were reticent about doing their own homework regarding the viability of the mortgage backed securities they were investing as well as the amount of leverage they used in order to benefit a few extra basis points. This is the same irresponsible risk management that American banks pursued. No difference. But Europe is actually worse off. Most of these countries have the majority of their money in just a handful of banks. A number of these same banks used 40-1 leverage. On top of that, they don't have sustainable consumer based economies. Their economies are supported by exports, and tourism. They're dead in the water till the U.S. economy recovers.


On Apr 03 10:19 AM Dave Wrixon wrote:

> Europe has a different set of problems to the US. Europe's problems have been largely caused by the US, but are generally less severe, although there is precious little recognition of this. Consequently,
> Europe is still being protective of its inflationary postion, which
> is probably largely justified, even though there have been significant
> efforts to stimulate.
>
> The pig-headness, largely stems from the American assumption, that
> the Europeans must unquestionably do as they are told to help solve
> the US's problems, even though their is little consensus that American
> leaders actually have a clue what has happened or what to do about
> it.
>
> If America is to get cooperation in resolving its crisis, then these
> Neo-Imperialist attitudes will not help, either vis-a-vis Europe
> or anywhere else.
>
> Having said that I am sure that will join me in lauding Obama for
> addressing one of the most obvious issues, which is the over-investment
> in military hardware, which frankly the US economy can no longer
> support.]]> http://seekingalpha.com/article/129324-four-of-chile-s-most-attractive-companies?source=feed#comment-450852 450852 Competing against better battery technologies are even newer developments in hydrogen cars. They are now closer than ever to developing a storage system that will not only fill up in 5 minutes but will have a 300 mile capacity which has been the goal.]]> Fri, 03 Apr 2009 11:09:49 -0400 Competing against better battery technologies are even newer developments in hydrogen cars. They are now closer than ever to developing a storage system that will not only fill up in 5 minutes but will have a 300 mile capacity which has been the goal.]]> http://seekingalpha.com/article/129212-fasb-s-new-mark-to-market-standards-april-fools-came-a-day-late-this-year?source=feed#comment-450817 450817

On Apr 02 07:46 PM User 387814 wrote:

> you are missing that most of these packages are still performing
> well above 90%. What you are missing is M to M has constricted capital
> in such an enormous magnitude that there just isn't much around to
> BUY "these so-called toxic assets". Karen, I'd love to see how you'd
> respond to your mortgage company telling you that because a couple
> foreclosed houses in the area sold at .30/$ that you would have to
> put up addl collateral or paydown your mortgage to that balance even
> though you've paid perfectly the whole time...is your house worth
> .30/$? NO...Would you sell your house at that price? NO...So why
> should the financials be forced to do the same? Over the 80 years
> after M to M was thrown outta the house, banks have had tough business
> cycles but have always came back strong by utilizing BOON CYCLES
> (which is upward expanding yield curves like we've had the past 6
> months along w/ lower priced assets/ better collateral). So what's
> the difference during this boon period as compared w/ the past 80
> years? M to M has artificially tied the banks hands and capital so
> that the banks cant DO BUSINESS in this BOON period... this is their
> hayday!!! It's like cutting toysrus's credit before X-mas, this is
> their most profitable environment, spreads nearing 5% on new loans
> yet M to M has completely destroyed the ebb's and flows/ the economic
> cycle of the financial system and it's doing the same to the economic
> cycle. Before making up wise cracks, research what M to M is and
> what the consequences of the rule are.

Exactly! I'd only add to that the colossally stupid fact that because many had made mark to market into a religion of sorts, taxpayers are coughing up hundreds of billions to prop up those reserves. Ultimately, we will see a bigger spread between treasuries and mortgage rates going forward. Banks are going to avoid them like the plague. This will remove one group of buyers. Another group that will stop buying are foreign institutions. That leaves the future in the hands of Fannie Mae and Freddie Mac, or should I say the U.S. taxpayer to hold these securitizations. ]]> Fri, 03 Apr 2009 10:52:06 -0400

On Apr 02 07:46 PM User 387814 wrote:

> you are missing that most of these packages are still performing
> well above 90%. What you are missing is M to M has constricted capital
> in such an enormous magnitude that there just isn't much around to
> BUY "these so-called toxic assets". Karen, I'd love to see how you'd
> respond to your mortgage company telling you that because a couple
> foreclosed houses in the area sold at .30/$ that you would have to
> put up addl collateral or paydown your mortgage to that balance even
> though you've paid perfectly the whole time...is your house worth
> .30/$? NO...Would you sell your house at that price? NO...So why
> should the financials be forced to do the same? Over the 80 years
> after M to M was thrown outta the house, banks have had tough business
> cycles but have always came back strong by utilizing BOON CYCLES
> (which is upward expanding yield curves like we've had the past 6
> months along w/ lower priced assets/ better collateral). So what's
> the difference during this boon period as compared w/ the past 80
> years? M to M has artificially tied the banks hands and capital so
> that the banks cant DO BUSINESS in this BOON period... this is their
> hayday!!! It's like cutting toysrus's credit before X-mas, this is
> their most profitable environment, spreads nearing 5% on new loans
> yet M to M has completely destroyed the ebb's and flows/ the economic
> cycle of the financial system and it's doing the same to the economic
> cycle. Before making up wise cracks, research what M to M is and
> what the consequences of the rule are.

Exactly! I'd only add to that the colossally stupid fact that because many had made mark to market into a religion of sorts, taxpayers are coughing up hundreds of billions to prop up those reserves. Ultimately, we will see a bigger spread between treasuries and mortgage rates going forward. Banks are going to avoid them like the plague. This will remove one group of buyers. Another group that will stop buying are foreign institutions. That leaves the future in the hands of Fannie Mae and Freddie Mac, or should I say the U.S. taxpayer to hold these securitizations. ]]> http://seekingalpha.com/article/129311-4-possible-market-scenarios?source=feed#comment-450771 450771 Fri, 03 Apr 2009 10:29:18 -0400 http://seekingalpha.com/article/129300-the-mark-to-market-myth?source=feed#comment-450724 450724 Fri, 03 Apr 2009 10:15:35 -0400 http://seekingalpha.com/article/126560-aig-bonuses-are-just-the-tip-of-the-iceberg?source=feed#comment-430661 430661 When the original stimulus bill was being drafted Senators Snow (R) and Wyden (D) proposed an amendment that would have blocked just this type of bonus payout. Chris Dodd (D) the chairman of the Senate finance committee together with backing of the Obama administration dropped it from the stimulus bill. Now its been revealed that Congress and the administration knew for more than a month that AIG was going to do this bonus plan. Within the last month the treasury sent another 30 billion to AIG. The outrage from Dems is ridiculous! They knew about this all along and in fact dropped legislation that would have made these bonuses impossible to do. Now they're outraged and protesting to Libby?]]> Wed, 18 Mar 2009 11:57:26 -0400 When the original stimulus bill was being drafted Senators Snow (R) and Wyden (D) proposed an amendment that would have blocked just this type of bonus payout. Chris Dodd (D) the chairman of the Senate finance committee together with backing of the Obama administration dropped it from the stimulus bill. Now its been revealed that Congress and the administration knew for more than a month that AIG was going to do this bonus plan. Within the last month the treasury sent another 30 billion to AIG. The outrage from Dems is ridiculous! They knew about this all along and in fact dropped legislation that would have made these bonuses impossible to do. Now they're outraged and protesting to Libby?]]> http://seekingalpha.com/article/126021-goldman-and-morgan-stanley-banks-of-choice-barron-s?source=feed#comment-428353 428353 Mon, 16 Mar 2009 17:55:18 -0400 http://seekingalpha.com/article/125970-stewart-vs-cramer-a-cheap-shot?source=feed#comment-428337 428337 While Jon Stewart's hammering was entertaining, it was also off base. Jon isn't any financial or political genius by any stretch of the imagination. His strengths are humor and capitalizing on the misled Bubbas that actually tune in less for humor and more for political indoctrination. These are the grassroots of the fascist party of America.]]> Mon, 16 Mar 2009 17:49:12 -0400 While Jon Stewart's hammering was entertaining, it was also off base. Jon isn't any financial or political genius by any stretch of the imagination. His strengths are humor and capitalizing on the misled Bubbas that actually tune in less for humor and more for political indoctrination. These are the grassroots of the fascist party of America.]]> http://seekingalpha.com/article/126246-the-aig-bailout-why-was-the-onus-placed-on-taxpayers?source=feed#comment-428301 428301 ]]> Mon, 16 Mar 2009 17:27:20 -0400 ]]> http://seekingalpha.com/article/124550-the-bane-of-broken-balance-sheets?source=feed#comment-416553 416553

On Mar 06 01:20 PM dw57 wrote:

> a question not asked, are there any companies that truly do not have
> a broken balance sheet?]]> Fri, 06 Mar 2009 16:44:10 -0500

On Mar 06 01:20 PM dw57 wrote:

> a question not asked, are there any companies that truly do not have
> a broken balance sheet?]]> http://seekingalpha.com/article/124247-relax-obama-s-socialist-agenda-is-capital-friendly?source=feed#comment-414187 414187 Thu, 05 Mar 2009 10:37:44 -0500 http://seekingalpha.com/article/124171-america-needs-the-stimulus-of-innovation?source=feed#comment-414052 414052 Thu, 05 Mar 2009 09:39:09 -0500 http://seekingalpha.com/article/124129-the-new-foreclosure-prevention-plan?source=feed#comment-414000 414000 If we can rationalize propping up the real estate market for a select group, can't we also rationalize bailout money for renters that see their rent go up? Why should they have to move if homeowners some of whom used 'liar loans' can remain in their homes? And what about my 201K plan? Shouldn't I receive a government cash infusion to recapitalize my stock losses?
The fact is this is an immoral act in a free market economy. ]]> Thu, 05 Mar 2009 09:24:19 -0500 If we can rationalize propping up the real estate market for a select group, can't we also rationalize bailout money for renters that see their rent go up? Why should they have to move if homeowners some of whom used 'liar loans' can remain in their homes? And what about my 201K plan? Shouldn't I receive a government cash infusion to recapitalize my stock losses?
The fact is this is an immoral act in a free market economy. ]]> http://seekingalpha.com/article/124094-cds-and-the-looting-of-aig?source=feed#comment-412663 412663 Wed, 04 Mar 2009 10:58:55 -0500 http://seekingalpha.com/article/123287-it-s-not-a-credit-crunch-it-s-a-deflation?source=feed#comment-407039 407039 Sat, 28 Feb 2009 12:20:31 -0500 http://seekingalpha.com/article/123258-a-sad-day-for-newspapers?source=feed#comment-407021 407021 Sat, 28 Feb 2009 12:02:19 -0500 http://seekingalpha.com/article/123260-newspaper-death-watch?source=feed#comment-407017 407017 Sat, 28 Feb 2009 11:59:06 -0500 http://seekingalpha.com/article/123049-how-innovation-sustains-prosperity?source=feed#comment-407006 407006 Sat, 28 Feb 2009 11:47:37 -0500 http://seekingalpha.com/article/123094-obama-s-budget-plan-the-sum-of-all-fears?source=feed#comment-406267 406267 On Feb 27 01:16 PM secmaven wrote:

> This budget represents the burning of the midnight oil by thousands
> of staffers. Give them a little credit at least for being energetic
> government workers. Now that we have a kernel of a work ethic in
> Washington maybe it will spread throughout the vast warrens of government
> everywhere and all will be well!
> Dedicated and willing to work overtime government workers can save
> this economy. That is the answer.

On first read, I assumed you were being sarcastic. But then I saw you had also said this on an earlier post:

"After nationalization of Bank of Ameria, I am certain that government employees will have the skills and the work ethic to make a huge success of its business at zero cost to the taxpayers."

Ha Ha! Clearly, you work for the government and see the government as the answer for everything. Really, what ever possessed you to come to such conclusions? The only people I know that think as you, are government employees, .......and frankly, most of them would say it with a grin on their face and their tongue tucked firmly in cheek. ]]> Fri, 27 Feb 2009 15:02:13 -0500 On Feb 27 01:16 PM secmaven wrote:

> This budget represents the burning of the midnight oil by thousands
> of staffers. Give them a little credit at least for being energetic
> government workers. Now that we have a kernel of a work ethic in
> Washington maybe it will spread throughout the vast warrens of government
> everywhere and all will be well!
> Dedicated and willing to work overtime government workers can save
> this economy. That is the answer.

On first read, I assumed you were being sarcastic. But then I saw you had also said this on an earlier post:

"After nationalization of Bank of Ameria, I am certain that government employees will have the skills and the work ethic to make a huge success of its business at zero cost to the taxpayers."

Ha Ha! Clearly, you work for the government and see the government as the answer for everything. Really, what ever possessed you to come to such conclusions? The only people I know that think as you, are government employees, .......and frankly, most of them would say it with a grin on their face and their tongue tucked firmly in cheek. ]]> http://seekingalpha.com/article/123127-80-winning-stocks-that-have-nothing-to-do-with-gold?source=feed#comment-406087 406087 Fri, 27 Feb 2009 13:27:00 -0500 http://seekingalpha.com/article/123202-looming-currency-devaluations?source=feed#comment-406034 406034

On Feb 27 12:14 PM boats.j wrote:

> The Author wrote:
>
> "...China’s trade balance turns negative, the US Treasury Secretary
> will be faced with a stark choice. Either the Yuan depreciates or
> the People’s Bank of China must sell US Treasury holdings to support
> the currency."
>
> How does the US Sec Treas devalue the Yuan? He doesn't! He Can't!
> So, what smoke are you blowing here?]]> Fri, 27 Feb 2009 12:48:48 -0500

On Feb 27 12:14 PM boats.j wrote:

> The Author wrote:
>
> "...China’s trade balance turns negative, the US Treasury Secretary
> will be faced with a stark choice. Either the Yuan depreciates or
> the People’s Bank of China must sell US Treasury holdings to support
> the currency."
>
> How does the US Sec Treas devalue the Yuan? He doesn't! He Can't!
> So, what smoke are you blowing here?]]> http://seekingalpha.com/article/122205-fiscal-responsibility-obama-takes-the-reins?source=feed#comment-402015 402015 Tue, 24 Feb 2009 17:11:41 -0500 http://seekingalpha.com/article/122244-is-robert-reich-the-new-dr-doom?source=feed#comment-401988 401988 ]]> Tue, 24 Feb 2009 16:52:56 -0500 ]]> http://seekingalpha.com/article/121828-gm-and-chrysler-why-s-bankruptcy-so-expensive?source=feed#comment-398090 398090 Sat, 21 Feb 2009 18:39:22 -0500 http://seekingalpha.com/article/121830-why-are-stanford-s-campaign-donations-going-to-charity?source=feed#comment-398080 398080 Sat, 21 Feb 2009 18:28:42 -0500 http://seekingalpha.com/article/121847-william-bernstein-don-t-panic-and-sell-into-a-crash?source=feed#comment-398049 398049 Sat, 21 Feb 2009 17:43:53 -0500 http://seekingalpha.com/article/121842-worrisome-prospects-for-european-banks?source=feed#comment-398045 398045 Sat, 21 Feb 2009 17:40:17 -0500 http://seekingalpha.com/article/121845-for-state-governors-stimulus-money-may-have-too-many-strings-attached?source=feed#comment-398019 398019 Sat, 21 Feb 2009 17:07:09 -0500