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Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?

To: sea_urchin who wrote (18374)	5/24/2003 12:15:59 PM
From: Ahda	Read Replies (1) \| Respond to of 81960

Searle it is my belief if you are to see any type of severe down turn it will begin with the publics where the debt load is too large for them to pay. That sets off the circle of depression within the nation. To me we are losing our middle class. If the emperor has no clothes China has kept the rest of dressed. The most costly store that caters to extreme wealth is doing fine. Saks Nordstroms who catered to the upper mid and middle are in trouble. The middle class has moved to Target a much lower priced store here. You can't get a five star hotel room in Vegas they are booked well in advance but you sure can get less costly ones. Doesn't mean to much as Vegas is the world and I suppose that means that upper wealth in the world is increasing. It also means however that average surplus income in local US is definitely decreasing.

To: sea_urchin who wrote (18374)	5/24/2003 11:18:59 PM
From: Jamey	Read Replies (1) \| Respond to of 81960

The game can only go for so long. Banks and S&Ls have crashed before and will again. Debt has to be flushed out of the system eventually else we will continue to see 0% profits in the stock market and super high P/Es maintained . Look at some of the huge Bankruptcies where graft and debt was only hidden until it busted the seams of the companies. Sadly, analysts are still pushing these high PE companies for profit, CEOs will still get 400 times the average workers pay and millions of free stock options even though they do squat to save their company and the stockholders. When investors lose complete confidence in the market where do they go? They go to real value in precious metals. That is the only thing besides oil and material holdings that will have any value in the not so distant future. The government will keep the debt from crashing down on our heads but only for so long. They cannot falsify reports and figures forever. Too many honest gatekeepers, imo. I figure that we will see high P/Es for at least another ten years or more. In the meantime, is the poor consumer going to continue to keep the economy afloat? I think not. James

To: sea_urchin who wrote (18374)	5/25/2003 7:39:23 AM
From: mcg404	Read Replies (2) \| Respond to of 81960

Searle:<I suppose I must leave that to your imagination. After all, if someone can't pay, he can't.> I very much see 'if someone can't pay...we'll make it easier for him to pay by printing some extra dollars to put in his hands'. The bias in the US is tilted towards the debtor (business loves the debtor - he is the spender and business depends on the spender - what do they care about the squirrel hoarding his nuts, doesn't help them selling their widgets). When you've bankrupted your society, you need to turn to those holding the money to bail you out - the debtors can't help you, they're broke, so you rob your savers through inflation. This scenario doesn't require any imagination. It has been played out many times. No? And hasn't greenspan suggested as much? Here's a couple interesting charts (imo) that this goldbug finds disturbing... (See charts 54 and 55) stockcharts.com[s11998019]&disp=O John