Reggie

Will Ginnie Mae and FHA Be the Next Fannie and Freddie?

Fine. So what does one do? I own Ginne Maes. Sell them? But they are 100% backed by US--both interest and principle. So, keep them?

I wish we would get past these articles that point out problems or potential problems and end there.

I want to know what does one do about the problem. Othewise, it's like eating cotton candy--enjoyable but not nutritious at all. And, frankly, I've had enough cotton candy to last two life times.

Reggie

Would-Be Biofuel IPO Declares Bankruptcy

None of this should surprise. I founded and published a raft of successful technical newsletters starting in the early 1970s. One of my few failures--"Biomass Digest," which I started publishing about 1980.

BD covered all sources of biomass materials and their conversion into fuels. Problem was none of the processes were economically viable. In case after case, the cost to produce was higher than equivalent amount of energy from coal, oil, or natural gas.

In fact, the search for the "magic" biofuel goes back to Tom Edison who concluded as long as oil was around, you couldn't compete.

That was true then and true now.

Government subsidies, temporarily change the economics. But even then, if the price of oil drops as it has done, you simply wipe out these biomass pipe dreams.

If the scientific community had any integrety left, they would speak out on this subject. But, as with the global warming hoax, they sit back and seek out grants and contracts from government agencies who keep their list of the "good" and the "bad" scientists when deciding who gets funds.

While I'm ranting...........over the past 40 years, I have interviewed at least a dozen scientists who spoke of viable, safe, and economic ways to dispose of spent nuclear fuel. Yet this "strawman" still keeps the US years away from what could be true energy independence--nuclear power.

Pensions: The Biggest Story of the Week - Or the Year

New Jersey, as the country as a whole, has had some very good years with tax returns higher than expected. NEVER, I repeat, NEVER has the state over-funded the pension fund.

So, now they want to skip some contributions till better times. That's a joke that will hit those ready to retire and the state's taxpayers.

Taxes will go up and frankly, I don't believe they can go up high enough (without a real revolution) to meet the needs of the pension fund.
So, get ready for hell to break out.

The Future of Investing

I knew two people, born early in the 20th Century, that had very little education, never owned a share of stock, wouldn't know what a broker does, nor would they care.

They lived a full life, educating two sons, enjoying grand children, and living and loving with a joy I seldom see today.

These people were my parents.

Perhaps stocks, and the stock market soak up too much of our energy. Perhaps we should LIVE life and not be guided by a financial system that has nothing more to offer than material things.

Is the GLD ETF Really Worth Its Metal?

I wonder if the author could/would comment on IAU--the i shares COMEX Gold Trust? Do the same issues exist here?

Stop Trying to Jump-Start the Consumer - Barron's Interview

Not enough is said about the role of state and local governments. They are generally in debt and spend more than they take in. Yes, I know many state constitutions say they must have a balanced budget. But we all know there are ways of getting around that--float some bonds, for example.

Point is: Consumers can save and improve their balance sheets but if cities, states, and the federal government don't move in this direction, there is a lot of pain to come.

While consumers soon see the sense of saving and cutting debt, politicians have no incentive to do this.

I'm trying to find a logical way out of this but until the voter forces the politician to change, it won't happen. And, frankly, the voter doesn't have a lot of clout in this battle.

I hope one of you can show me where I am wrong.

10 Ideas for Newspaper Survival

Can you imagine the number of newspapers NYT would have sold if it had a 10 part series on why investor Bernie Madoff is a fraud. AND, if it ran the first 10 days of January 2008.

Yes, it could have been done. There were plenty of people who would have stated how the "Madoff strategey" just couldn't work.

I would once again be a NTY subscriber.

But, alas it wasn't done and in-depth journalism simply means partisan journalism.

So, you can find 20 or 200 ways to improve papers. But until they once again serve the public's interest, they'll continue their journey to irrelevance.

The Madoff Magnum Opus

There is a much larger scandal simmering around the world. It may never be exposed due to the dull and dim-witted press that has taken over nearly all the media.
Truth is this scandal may never be revealed. But there are hundreds, no thousands of experts, who are aware of this crafy scheme. Those who speak out are tagged as heretics. And, many fearing the wrath of the "smart" crowd stay silent.
This scandal too has it's "trading" aspects which anyone who reviews the rules knows are simply made up to impress not succeed. There are one or two national personalities that have taken on this cause but they too are mocked at every turn.
With a new President in the White House this fakery is about to grow in stature and size spreading it's hogwash into virtually every State and every country around the world.
Had enough? Want to know what this scandal is:
It is simply the wrong-headed, unproved theory of GLOBAL WARMING THAT IS CAUSED BY MAN.

Bond Expert: Wednesday Wrap

I am certainly interested in bonds--Treasuries and corporates. And, I do learn something everytime I read your pieces. However, your shorthand and jargon are losing me.

Perhaps you'r writing for the bond experts. If so ignore this comment.

If you'd like to reach those of us who are somewhere between bond dummy and bond expert, you might try the Wall St. Journal's approach to defining terms and explaining jargon.

Just a thought