Tom,
sorry, sept 23.
OT Chicken Little stuff.
After forcing myself to watch Greenspan and Rubin today, I have just about given up all hope for any type of near term recovery.
If the only solution those two came up with is funding the IMF, the world is in sad shape. The senator who makes the most sense was this Sanders guy. Looks like he did his homework and if he has his way, IMF is history. Greenspan gave Sanders' well thought out speech pointing out the lack luster performance of the IMF an insulting response in disagreement. His snobbish attitude is making a lot of enemy on capital hill and he will pay the price one day. Any 3 year old can figure out that IMF, World Bank or whoever simply cannot send any money to Russia under current circumstances. It will simply go right into the mafia's pockets and not one cent to the economy.
These guys have the gall to acuse the Japanese of no action. What have they done? I am going to stick my neck out and predict Greenspan will be the goat within a year, responsible for doing too little too late for the US economy, dragging the world down when we head into recession. Though he wasn't positive, he definitely overstated the "recovery" of IMF bail outs such as Korea. Just the fact that their interest rates are lower now does not mean a thing.
S Korea farmers are facing bankruptcy with loans they cannot repay and crop which costs more to ship to Seoul than what they could sell it for.
Indonesia is starting to go after Suharto himself. Not that he does not deserve whatever his people give him but it is going to be ugly, especially when the mob is hungry.
Malaysia is about to arrest Anwar.
Reflation, this is the key to recovery to Asia. The bottom line is US and Europe cannot stop consuming. That may mean some controlled inflation in the US, or even some irrational exuberance.
How am I doing, Maurice. Sorry to all for the ranting, still fuming from the total display of arrogance by the two most "respected" men in the financial world today.
Ramsey |
