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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 368.29+0.6%Nov 7 4:00 PM EST

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To: TobagoJack who wrote (6801)10/6/2007 12:07:53 AM
From: elmatador  Read Replies (1) of 217591
 
Remember May 06? Bernanke cunningly used Bartiromo to leak something off-the-record and markets roiled?

Message 22490585

The markets roiled but stood up once again. That was followed by the cries of: 'carry-trade unwinding' would cause problems in the world economy.

It is important to note: No one was saying sub-prime was a disaster waiting to happen. You might have read what the guys in the Davos Forum were saying in January 07. No mention of sub prime disaster waiting to happen.

And what REALLY roiled the markets? Not carry trade unwinding, nor being dovish on inflation. It was the sub prime.

The lesson of all that is: Don’t expect the guys who are subject to a disaster to start speaking about that disaster risk. The truth must be found elsewhere.
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