cynewulf

HOG Spends Yet Another Quarter at the Trough

Government workers will keep buying hogs,so there will be a bottom.

Goldman Sachs: Getting a Piece of the Action

the government gave Goldman Sachs 13 billion dollars as part of the bailout of A.I.G., (if you choose to call it a bailout) . Instead they could have used all the money to buy pieces of the companies that benetited from over a hundred billion pumped into A.I.G. The taxpayers would rather own a piece of Goldman ,Deutche bank, U.B.S., U,S.B. BAC,etc. then A.I.G. which is worthless and hence not "bailed out". This is simply the largest theft in the history of the world. It is of no interest to our politicians, who will do it to us again. Even Bush might not have been stupid enough to give the money to A.I.G. RATHER THEN BUY INTO THE COUNTERPARTIES WITH IT. Well as Obama said "It's time for a change". I just wish the change hadn't involved massive theft from the taxpayers.

Housing Boom and Bust More About Productivity than Bubbles

HAVE YOU EVER WATCHED A GOOD MAN USE A GOOD NAILGUN? A worker in an old folks home still take the same time to change a diaper as before and nails are more frequently used in houses then diapers. Case closed.

CIT Group on the Radar

How can the banks have healed themselves when real estate is still falling? And while we are on inane subjects,how about the new ,"better" Government Motors? They aren't selling cars.

Oil to Retest $40/Barrel by Year-End?

These charts don't tell you as much as the author would like to think they do. He is misleading himself.

Few Green Shoots Expected in the Bond Market

In a recession ,low rates certainly give the government a lot more room for stimulus, and as the previous commentator stated that applies to citizens too. If the low rates are an indication that people betting in the bond market don't think much of the recovery so far, it's good that that is reflected in yields. Imagine how hard a recovery would be if yields were higher.

Commodities, Global Markets

The size of the debt overhang and about to overhang our country, is amazing. The amount of unfunded liabilities in the future from demagraphics is also considerable. The smaller proportion of workers coming on line , will be competing more and more against foriegn competition. Hello inflation.

High Correlation Between Asset Classes: Herd Mentality or Lemming Action?

Hopefully we will see which way the herd is going next. My feeling is that quantitative easing will eventually have to be paid for, especially if Obama can't hold the line against union demands. I will not be buying a General Motors product.

Headlines from the 1930s: Sound Familiar?

Leadership is unable to see past unproven technology, like carbon sequestration, windmills and electric cars. Also artificial constructs like cap and trade. The leaders are obsessed with these kind of red herrings especially Obama. Is he really going to unionize every little machine shop through terrorism? Democracy leads to wealth destruction. Some people really should not vote.

Relatively Flat Market Awaits Wednesday's FOMC Decision

It's not easy, sitting still at the table. You want something to happen,but you're afraid it's going to be a slow summer.

Big Banks in Trouble: Huge Mortgage Write-Downs Seem Inevitable

The prime driver of inflation in good times is government workers. In bad times the prime driver of inflation is the fed. Inflation will save the day. It always has.

Existing Home Sales Rise: Good News, But Don't Get Carried Away

If we can save the polar bears by shipping them to the South Pole to eat penguins, then we can save the housing market, by bringing in (take your pick) Aryans, Iranians, Ukranians, Palestinians,Orangemen from Ulster, etc..

Are Humans in Control of the Market? Not So Much

The idea that Ph.D, programmers, can program super computers at our cost, as average investors ,makes you think. They've been to more school then the rest of us, probably better schools ,with better teachers. Schools are supposed to be about thought control,so maybe in the mass pyscology of the market ,they are all trading the same way. When there is enough of these trades their superiourity becomes weak and vulnerable to people in front or far behind their thought curve.

Book Review: 'The Birth of Plenty' Is a True Economic History of the World

Democracy leads to more democracy, which leads to socialism, which leads to confiscation which leads to impoverishment which leads to totalitarianism, which leads to war, which on occasion leads back to democracy. Pestilence,Famine and Floods will sometimes do the same trick. Lemmings generally take a walk off a cliff to accomplish the same thing. Nuclear weapons would work. God has a plan.

Market Outlook: Stay Cautious

For the past month your clients have not been in stock while the market has gone up.O.K.. Tell us what to do MERLIN.