jeffgroove

As Gross Says, The Fed Provides 'Return-Free' Risk

Rarely do I make personal attacks, but you seem really clueless with your doublespeak about capitalism and government. Have you ever looked up the definition of laissez fair capitalism?

Here is the wiki, I would suggest reading before submitting further comments.
en.wikipedia.org/wiki/...


On Nov 20 07:14 AM American in Paris wrote:

> The Fed did exactly the right things. Without low interest rates
> and quantitative easing the US output would still be declining and
> unemployment would probably be several percentage higher.
>
> The Fed is not looking to maximize profits. If it did, we would be
> in real trouble ....
>
> However, it is important to regulate funds and limit leverage. <br/>
>
> Many countries places limits on leverage. In France the law stipulates
> a minimum down payment on real estate. In China they just raised
> the minimum the minimum down payment to 30%.
>
> Similarly, leverage needs to be limited.
>
> The real danger is the the laissez mentality, not the Fed.
>
> It is liquidity and very high leverage that cause bubbles.

Proposed Amendment Could Neuter FASB

LMAO! Priveleged capitalism at it's finest! But as comedian Bill Hicks said(and I forget what preceeded it)"That would screw up the economy, which is FAKE anyway, HAHAHA"

Why Gold Is Rising

Some would argue that so long as there is an “output gap” this won’t be inflationary. I disagree. I think runaway stimulus means the U.S. will eventually face a “sudden stop” situation á la Argentina or Ireland when credit markets lose confidence in U.S. paper.

- I am still a skeptic on said episode. Argentina's economy is mostly agriculture based, whereas the US still has agriculture, technology and accessible supply lines throughout the world. And while I am not always happy with the level that freedom has been compromised, unlike a south american country, someone else can come here and comfortably buy things, especially if they can get a bargain on it. I know of someone whom bought a BMW here and had it shipped to france because it was phenomenally cheaper. Plus you have a potential trade war brewing between the US and china, and while the US and UK are like two siblings that have a spat with it's older brother Europe, I still think things are a little ways off from the scenario that you describe, although I do think given what the money printer's are doing right now, gold is a pretty wise choice. Also, china is still somewhat inept when it comes to entrepeneurialism and technology development. Everything that it has, it has deferred from parts elsewhere. Although the future is not necessarily bright for the US, as it seems our parasites have chosen socialism, but then again, politicians have always been consummate finger pointers when their policies suddenly blow up. I think that india and china have put a floor under the price of gold, and the US's technology, logistics, military, and natural resources will keep it going despite doom and gloom. Don't get me wrong, inflation is baked in this cake, and anyone whom thinks otherwise, may need to rethink if it is their current equities positions influencing their thinking versus seeing the big picture. US is also strong in Agriculture, but energy is definitely potentially very very troublesome. This is the area to watch. China can saber rattle all day long about monetary policy and tarriffs, but our destinies are linked or shared if you will for the time being. However, china is acting the clever chess player at the moment with it's acquisition's. But at the end of the day, it does not matter if it is the US, Japan, Europe, china, etc...All currencies are pretty much faith based or ascribed to the value that people are willing to place on them.

Japan: Demographic Time Bomb Waiting to Explode

Interesting article, and yet I think this is where the US has some reflexivity, given immigration from mexico and other areas. I know people whom would like to see immigration reform in this country, the awful truth is that the government needs more minions to help out with it's largesse and/or obligations. Human effort is money/economy.

Nintendo: The Wii Bubble Has Burst

I wonder about the market really being that bad for games? Although, I have not looked at figures, when you think about the number of hours of fun you can get out of a really good game, then I am skeptical of the market being bad, but who knows. I kind of see games in the same vein as cigarettes and alcohol, recession proof for the most part, but perhaps I am wrong. Admittedly, Wii does have alot of Junk titles, but then they have some that really really really shine. It's pretty apparent that nintendo was targeting a crowd beyond just gamers, and I think they succeeded. It is too bad that the motion plus did not come out sooner, because some of the games suffered from really bad controls, while others faired better, depending on complexity.

Why Too-Big-to-Fail Shouldn't Be Codified

what's next, too small to succeed? This too big to fail talk is nonsense.

I couldn't agree more. How can these politicians regulate a system that gives them the most campaign money anyway, that is what has me scratching my head. Your article, while good in jest, do you really think they are going to bite the hand that feeds em? I have never really understood the political "rah!, rah!" of others, when a momentary lapse of reason and an old peice of junk computer with an internet connection can pretty much tell you what these rats are up to. I don't mean to rant too much here, but maybe generations of people in the future will look back on this time and wonder just exactly what pile of horse dung people were smoking. Or maybe this is just another case of entropy in action or things going from worse to worser. They should just call us, "America, for and by special interest". I think murray rothbard said it best, whenever a politician speaks, you should always ask "To who or whom's benefit?" Seriously though, our political system is such a joke, it is the equivalent of WWE monday night raw, and frankly these people should be laughed out of existence so they can crawl back under their rock from where they came.

The Intrinsic Value of Nothing, Part 1

The problem with other schools of economic thought is that they assume good intentions on behalf of the people in charge, without seeing how this ring of power(the power to print money and a legal monopoly on the use of force) necessarily corrupts. I use to get angry when I would read stuff relating to government sachs aka the mother of all vampire squids, but when you look at how very few people really understand austrian economics, it is no wonder at all how these financial oligopolies and government people are allowed to survive. If people really understood the extent to which they are being duped and bent over, it would be off with their heads, and Obama as well as other pols would not be able to dupe the public with clever verbal semantics. That being said, I do believe obama is one of the best con men of our times. Extremely clever at doing nothing while using words to make people think he is doing something.

Could you imagine if during the 2012 election, no one decided to show up, because everyone decided the system is a fraud? Although I am sure our determined men and women at the top would figure out a way to continue and still get paid.

Today in Commodities: Dollar Sets the Tone

Change of plans on the Crude - we were expecting a dip to get clients positioned long but instead we’ve decided to get short buying January $80/75 put spreads today. A 23% appreciation in less than 3 weeks seems too much too fast.

Ballsy contrarianism, and yet the japanese bank sumitomo(i believe) said the dollar would lose even more value in the coming months compared to the japanese yen.

Today in Commodities: Suspend Your Disbelief

LMAO!!!


On Oct 13 06:48 PM Matthew Bradbard wrote:

> www.mbwealth.com/artic...
>
> Who's the Jackass now? Report written in Nov 08' when prices of silver
> were $9/ounce. Pacwoman maybe you should look at our recent posts
> before making any rash judgements on our trades. And yes guilty as
> charged I took a weeks vacation, I suggest you need some time off
> work as you seem to be very angry.

The Real Battle Over America's Banking System

The cancer resides in washington, no one is held to the principles they speak of and our institutions are pretty much morally bankrupt. Their is a whole lot of gray that exists in society in terms of wrong and right. Unfortunately, the harvards and yales of the world have been long on churning out people to shake the most amount of fruit off the tree. A more prinicpled society has to develop or blood WILL spill. I think gerald celente has the best take on the current state of things, we live in a corporate fascist state, in other words, the relationship between big brother and the corporations has gotten far too cozy. We as society don't really look out for each other anymore, which symbolizes decay.

No Reason for Gold to Surge Above $1,000

I think financial solvency is part of the reason, this can be evidenced by the paygo program introduced in the spring, which is another ponzi scheme like social security. How much money can you create out of air, I guess is the million dollar question? And get away with it, because eventually, it will find some place to go. Does a dollar symbolize anything else, other than legal tender by decree? What about the trade deficit? Many of the opposite arguments could be made about the dollar, but right now, the chinese are worried that too many dollars are going to dilute their purchasing power.

Judge's Message to Rating Agencies: Free Speech Not Freedom to Defraud

I could not agree more, excellent comment btw, we need more judges like this shira lady and others to stand up for the little people. Too much money and too few principles.


On Sep 09 02:21 PM candooman wrote:

> Let us start from the beginning. Ex-President Carter, in his desire
> to help the poor, pushes the banks to lend to the poor. The banks
> refuse to go along - unsound banking practice. With the help of a
> Democratic congress, Community Redevelopment Act was enacted and
> banks were allowed to start securitizing loans. Fannie Mae and Freddie
> Mac refuse to buy the loans - again unsound banking practice - but
> agreed after Democratic appointees were put in management positions.
> The appointees saw this as an opportunity to get sky high bonuses.
> The Fed (Greenspan) with his myopic vision (we did not know this
> then) went along and allowed securitization and derivatives to florish.
> The laws enacted after the 1907 and 1929-33 financial disasters (Glass-Steagall
> among others) were slowly whithered away, first by the Democratic
> congress and later by the Republicans and now the Democrats again
> - because they were getting millions in campaign money from the financial
> institutions and wall street --- same institutions that caused the
> 1907 and 1929-33 crisis.
>
> All this could have been stopped at the doors of the rating agencies,
> the last barrier. But again, big money (large executive bonuses)
> came into play. Those insider who had the moral turpitude recognized
> the scam and refused to go along...and as expected, were fired.<br/>
>
> All these events and actions were clearly explained and discussed
> on several programs for the last six months on 60 Minutes, NOW,
> Bill Moyers, Newshour with Jim Lehrer and even the 3 networks. I
> hope ... this is a big hope ... those who were fired would all be
> put on the witness stand to testify on what went on inside the CRA
> agencies and bring down this free speach defense. We shall see in
> the next few months if this Judge and the other one (can't remember
> his name) who is not accepting the BofA/SEC bonus case settlement
> can really do justice for the American people.

America: A Bona Fide Plutonomy

I can sum up this article extremely quick without much reading.

When baby boomers don't like the rules that are presented, create new ones and invalidate the old ones to benefit you, thats it! Has anyone thought of the number of times Hank Paulson changed the rules of the game last year? Enough said.

Why the U.S. Dollar Drop Might Be Significant

Couldn't agree more with this statement, it's as if the feds function is to protect the value of the market rather than the dollar. Let us not forget that this is an upcoming election year, and so the spending orgy/debasement continues further. Unfortunately as proven by history, with the possible exception of germany, you cannot socialize your way to prosperity. Foreign governments can prop up the dollar all they want, but in the end, the attitude of our politicians is going to be "we did not tell you to do that." Even then, even china is starting to cry foul.


On Sep 08 01:09 PM Moon Kil Woong wrote:

> The dollars slide is constant and predictable. The current depreciation
> looks like the constant and predictable slide has gotten a bit steeper.
> There is no one really holding the line save a few fearing another
> market collapse, in which the Fed says, no need to fear, we can support
> the market by even more debasement.

Why You Should Have Some Gold in Your Portfolio

The cash4gold commercials tell me that something is in the works.