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To: Thomas M. who wrote (46968)	12/13/2000 9:32:27 AM
From: robnhood	Respond to of 436258

Quack quack quack

To: Thomas M. who wrote (46968)	12/13/2000 9:34:50 AM
From: Thomas M.	Respond to of 436258

This guy is great! ------------------------------------------------------ Mogambo Guru Observations on the U.S. securities markets and the economy and the best index forecaster in the universe since 1991 by Prof. Richard Daughty, grumpier than usual Smith Consultant Group 9241 54th Street North Pinellas Park, Florida 33782 (727) 546-5568 Tuesday morning, December 12, 2000 In a surprise move, the Fed didn't increase credit to the banks last week. But then, the banks are so flush with money that even rates on CD's are plunging. In related vein, Greenspan is urging banks to continue lending, even as their bad debts mount and credit-worthiness drops. Does this sound like good advice? It used to be that the Fed was supposed to take the punchbowl away when the party started getting good. Greenspan kept filling the bowl with higher and higher octane refreshments, and now that the party is winding down, is urging, "Party on, dudes!" The only really good news is that Alan Greenspan will soon be revealed, and reviled, as the idiot that he is. The first thing that Dubya ought to do is fire this loser. The astonishing level of open interest on SP500 futures continues to build to record after record. Something very, very weird is going on. The "irrational exuberance" crowd has moved into bonds, and have now bid the long T-bond up to yield a miserly 5.5%. The 10-year T-note is going off the boards at 5.3%. Net of inflation and taxes, real losers. In response to Greenspan's tacit pledge to lower interest rates, the dollar is tumbling. Money is fleeing the country, as it should: why would anybody in their right mind want to invest in overvalued US assets on the cusp of a recession, or even, ceteris paribus, a low-interest rate environment? The current account deficit will make short work of lower interest rates. To get the cash to finance the debt-o-holic USA, interest rates will have to climb to attract foreign money, absent a coordinated, international rate-bashing party. The stock market is rising and falling with each development in the race for President. Every time Bush gets a favorable court ruling, the market goes up. When Gore gets a favorable ruling, the market tanks. The money knows who will take care of it and who will confiscate and redistribute it when push comes to shove in the coming recession. Gold is starting to rise, the result of the dollar falling out of bed. There will be accelerated central bank sales to capitalize on the price rise. But that hoard is finite, and when it is gone we will find out why the Founding Fathers stipulated that money must never be fiat money (like now), but only gold and silver. The Treasury is back to raising cash. The vaunted "budget surplus" is all gone. You ain't seen nothin' yet; deficits "as far as the eye can see" are in the cards. Consumer installment debt increased to a staggering $1,509.6 b, as Americans, like greedy little children, continue to cram their houses full of imported stuff. Unemployment is rising fast, as the bubble economy painfully deflates. Ugh. * The Mogambo Indicator, below, is the one-week-horizon stock market forecast. The disrespectful diatribe above is just the usual blatant editorial loathing and contempt. *