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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives
SPY 688.93+0.5%4:00 PM EST

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To: Wayners who wrote (37435)9/6/2012 11:38:06 PM
From: Keith Feral2 Recommendations  Read Replies (1) of 222218
 
There is so much slack in the system to accomodate all PIIGS debt.

Bond payout ratios in US, Germany, England and Japan are near all time lows, while they are crippling all the PIIGS. It's a total farce that's gone on for too long. Screw Germany, they are happy to get rates negative while PIIGS are the biggest spreads in history. It will be over soon, if it's not already.

England never joined the Euro because they knew the Germans could never be trusted. Dictorships from Spain and Italy just never understood the consequences. Now, the ECB is run by the Italians, so things will get back to normal in 4 to 5 years.

Greece has the lowest housing costs in percent of GDP of any country in the world. Spain needs 2 or 3 years to get back to normal, France is still way out of line. England is a perpetual bubble like NYC, who cares. It's one thing to have overpriced homes in capital cities like NYC, London, Paris or other financial capitals. Quite another thing when the bankers export their growth models in every seondary market and on down the line.
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