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Strategies & Market Trends : Waiting for the big Kahuna

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To: GROUND ZERO™ who wrote (90241)9/9/2009 5:26:34 AM
From: Real Man  Read Replies (2) of 94695
 
I do think so. I am concerned about the effect of putting the
600 Trillion OTC derivatives shadow banking system into light -
err, real markets. This is kinda like a mine field, if things
don't go smoothly, they will tend to blow up. Another thing
that happens in October - December is ... the Fed will stop
printing. So, in general, I would expect the markets
to go up into January 2010 on that basis, but I'd be careful then.

Overall, that is the biggest Ponzi scheme ever. It is a
right step to bring it out of the shadow into real market,
and it is the right step to do so when there are few
signs of stress (derivatives are now overliquified).

However, I would be far more comfortable if the size of
that thing was much smaller. The government tries to disarm
a mine field with 100 Megaton mines littered all over it.

Yes, I am careful -g-
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