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Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?


To: ahhaha who wrote (891)1/28/2001 1:36:01 PM
From: ahhahaRead Replies (1) | Respond to of 24758
 
Amateur time from a patzer's thread:

R/P's were originally meant to dampen down the effects of Federal Reserve increases/decreases as and when interest rates were changed.

Vaguely accurate. The purpose of RPs is to fix or control(fine tune) the price of federal reserve credit. When daily interbank borrowing develops a dearth or excess the RP agreements create or destroy instantaneous liquidity in the banking system by causing a net change in T accounts of member banks at their federal reserve banks. It's a counter action to marginal changes in supply or demand for bank reserves which attains the goal of fixing the price of those reserves.

Increases in Swaps, Derivatives and R.Ps tend to increase time based speculation in Junk bonds, stock prices, Real estate. etc.

False. Perhaps the real question is what "time based speculation" means.

Currently the outstanding derivatives are at $28trillion..The capital markets too are affected by this.

Very funny. I wonder what other affectations are available?

The Capital markets were traditionally focussed on long term growth, profits etc. Today, it is speed of return as dictated by the demands of the Money market.

Absurd if not completely nonsensical. "speed of return" can't be made coherent. Speed? No matter how I try to decipher the author's intent, I can't.

Because of this , the Capital markets led by the Brokerages and Money banks are now more centered on short term goals using currencies, Stocks, Commodities etc.

Capital markets led by brokerage houses and Money banks? Again, one thinks that one could decipher these sentences, but they are elusive and escape interpretation.

All this is great news for traders ; bad news for Investors since there are no fundamentals that can justify short term changes in stock prices.

Unbelievable. This sentence is both true and false, contradictory, asserts its own falsity and truth, and perfectly elusive in meaning.



To: ahhaha who wrote (891)1/29/2001 1:34:55 PM
From: sea_biscuitRead Replies (1) | Respond to of 24758
 
If the Fed stays out of the picture, don't you think that declining stock markets will result in a weaker economy which in turn will result in lower profits which will result in plummeting stock markets and layoffs which will result in the economy weakening further which will result in... and it will all lead to massive deflation?

And deflation = Depression. I suppose most people agree with that. It is probably better to live with inflation than to die in a Depression.



To: ahhaha who wrote (891)1/29/2001 3:27:59 PM
From: the truthRead Replies (1) | Respond to of 24758
 
Excellent summation of Greenspan and his losing battle with controlling the money supply. Greenspan has opened the door for consumers with few assets and no cash to walk into a bank and get 50,000 dollar credit limits. Does this make sense? The fact that many people hedge their stock portfolios against loans for houses, cars, vacations, you name it, creates a scary picture for the impending credit crunch.

I do not think we have felt the full effects of the soaring energy prices on all industry. Energy prices are here to stay and don't hold your breath on the fuel cells. 70 percent of North America's energy still comes from fossil fuel, and a good percentage from ultra polluting coal.

North Americans will have to take a break from the "party." We have all enjoyed a substantial increase in living standards because of the availability of credit. The rest of world starves and we worry about the if we can afford the next SUV to come out on the market. This generation, the thirty-something group, has never felt the effects of a major recession. Nor have they been faced with decisions that their parents had to make.

Greenspan, no more manipulation, we all need a good dose of reality.

truth



To: ahhaha who wrote (891)1/29/2001 5:25:50 PM
From: David RRead Replies (1) | Respond to of 24758
 
RE: That means you'll only be safe in PMs

What is a PM. Forgive me if I am missing the obvious.

D



To: ahhaha who wrote (891)1/29/2001 11:43:56 PM
From: jack bittnerRespond to of 24758
 
wotsa PM?



To: ahhaha who wrote (891)1/30/2001 12:00:08 AM
From: jack bittnerRead Replies (1) | Respond to of 24758
 
PayMaster, Peripheral Module, Phase Modulation, Plant Management, Police Magistrate, Post Meridiem,
PostMaster, PostMortem, Presentation Manager [IBM]
Pressurized Module, Preventive Maintenance, Prime Minister,
Process Manager, Program Manager, Provost Marshal,
Publications Manual, Premenstrual Syndrome?



To: ahhaha who wrote (891)1/30/2001 1:10:39 AM
From: AgamemnonRead Replies (1) | Respond to of 24758
 
I grabbed this from another thread: origin: prudentbear.com

THE TRULY HORRIFYING THING ABOUT THIS BUBBLE IS IT’S INVISIBILITY! I AM INDEBTED TO DOUG NOLAND, PUBLISHER OF THE "CREDIT BUBBLE BULLETIN" FOR THE FOLLOWING: TOTAL CREDIT MARKET DEBT IN THE UNITED STATES INCREASED FROM $14 TRILLION IN 1991 TO OVER $27 TRILLION IN MID 2000!

The fact that it took from 1776 to 1991 to compile $14 billion is probably......

Any thoughts? These figures seem unbelievable. Know of any place where it can be verfied?

regards