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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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To: ild who wrote (46790)12/7/2005 4:09:48 PM
From: ild  Read Replies (1) of 110194
 
Date: Wed Dec 07 2005 16:52
trotsky (Pyrite@COMEX and GLD) ID#248269:
Copyright © 2002 trotsky/Kitco Inc. All rights reserved
i actually believe that those are for the most part different sets of traders. there may be some cross trading going on, hedging and arbitrage, but futures traders usually don't stray into equity type products , at least not to the detriment of their futures exposure.

Date: Wed Dec 07 2005 16:28
trotsky (a scary development) ID#248269:
Copyright © 2002 trotsky/Kitco Inc. All rights reserved
WASHINGTON ( AFX ) -- Consumer credit posted a large, unexpected drop in October, falling by $7.2 billion, according to the Federal Reserve. It was the largest drop since the Fed began keeping records. Economists surveyed by MarketWatch were expecting consumer credit to rise in October, by $3.7 billion. Revolving credit fell by $1.6 billion, or 2.4%, while nonrevolving credit declined 5%, to $5.6 billion"

the consumer finally tapped out? i don't think that's good for sustaining the credit bubble, which in turn sustains the debt-berg itself ( roughly in the manner of a Ponzi scheme ) . it also probably signals beginning stresses in the housing bubble, which has stopped bubbling in mid year. now inventories are piling up sky-high in some of the bubble regions. methinks we will get to know Uncle Ben's helicopter side sooner than originally expected.
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