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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: russwinter who wrote (4940)	1/13/2004 1:15:53 PM
From: loantech	Respond to of 110194

Bingo! Plus loose debt to income ratios and lowering of credit standards etc.

To: russwinter who wrote (4940)	1/13/2004 2:51:37 PM
From: Jim Willie CB	Read Replies (2) \| Respond to of 110194

wait!!! GreenMan said Real Estate is not a bubble Fanny Mae is in the process of ripping another big tear in her big fat dress, which covers her big fat ass we can already see her exposed big fat legs when her bum is exposed for all to see, it will cause vomiting episodes on a scale never seen before I have to laugh at American stupidity we saw the great Japanese housing bubble, and how their entire banking system was inextricably linked to lofty prices which could not stand the pressure of gravity their bank system imploded so the American housing bubble is tied instead to big fat Fanny Mae and her equally fat Freddy Mac obese cop-til-we-drop husband WE REPEATED THE JAPANESE ERROR, BUT CONCENTRATED THE EXPOSURE IN SUCH A WAY AS TO GAURANTEE ITS FAILURE, WHOSE EVENT WILL BE MUCH MORE SPECTACULAR, MORE VISIBLE, AND MORE REPLETE WITH PUBLICITY TO DISCREDIT OUR NATIONAL PRE-OCCUPATION AND PROCLIVITY TOWARD BUBBLE ECONOMICS now we will see the GSE agencies implode dont think for a minute that US banks will get off scott-free they own a ton of agency debt and stock in the last two years a major sea change has taken place our economy produces no wealth anymore, no jobs, no output so we power our entire economy with financially engineered bubbles in assets the shock comes when Americans expect the Asians to finance the broken Agency pig when it fails they will not Asians now reportedly purchase about one third of agency debt they will pull back before too many more unfortunate months the Fed will pick up the slack with monetized funds THAT WILL BE JUST ONE MORE LOG ON THE USDOLLAR FIRE / jim

To: russwinter who wrote (4940)	1/13/2004 4:54:57 PM
From: mishedlo	Read Replies (1) \| Respond to of 110194

From Harmy who lives down under Federal Reserve Chairman Alan Greenspan said on Tuesday he saw no problem for now in funding the massive U.S. trade gap, but warned that rising protectionism could make the global economy less flexible. Mish What he is really saying is that the massive trade gap is manageable providing the US has access to foreign markets but, as we have discussed here a number of times, those foreign markets are closing to US exports precisely because of the inflexible US protectionism. The US has the opportunity to gain access to the Australian market through the current FTA talks. Those talks have reached an impasse because the US will not modify it's current level of protectionism. The Australian drug market alone is worth $4 billion which US drug makers are salivating over but because of the stupid protectionism given to sugar farmers and the like that market alone will remain closed. The BSE scare has 40 or more countries banning US beef excluding the 13 EU countries - how much of that was political and how much through a genuine fear of BSE remains conjectural but you can bet that some of the bans were political. The other side of the coin to Greenspans comment is that the massive trade gap will become, or is already, unmanageable if the export scene doesn't change quickly. Regards Harmy