Just had a meeting with a brokerage firm. They feel the "debt" problem is WAY overstated. They say that the figures are always from mid-cycle when people's credit is all used on their cards, etc., but most people simply pay off all credit cards each month, so they really have no credit card debt as reflected in the stats. They also feel that the trillions in cash right now will soon come flooding back to the market. It's only there because of geo-political uncertainty. They hang their entire hat on betting that the phrase "it's different this time" has and always will be a moron's chant. They ignore on-going, permanent debt, company valuations created in 20 years of stock bubble run, unique geo-political things happening that truly could have "once-in-a-lifetime" consequences, trade gaps set up by no manufacturing developing over many years and terrible government policies, destructive "open border" policies, world hate for USA, generation by generation deterioration accomplished by worship of entertainment over ALL other things [generation of video game, rap, sports, cable kids coming up -- watching foul things on cable/internet from young age will create a generation of mindless sociopaths (imagine a world where Bill Clinton is the HIGHEST moral example to follow)], and for me, the most important thing they are totally blind to, which only confirms all the above, is the prophecies -- on track exactly.
Watch the chaos is the Iraqi streets. The USA version could be worse because no one expects it, and no one is prepared mentally, spiritually, or physically for anything but "life goes on" and peaceful "retirement".
I remain,
SOROS |
