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

To: mishedlo who wrote (44841)	11/6/2005 8:38:44 AM
From: russwinter	Respond to of 110194

Inflation du jour: Procter & Gamble still expects higher commodity costs, namely for raw materials, energy and transportation. Along with cutting costs to offset these increases, the company is raising prices on its products. Some examples the company mentioned in its conference call include: increasing Prilosec OTC prices by 10% in September, raising the list price of Charmin and Bounty by 6.7% on January 31, and increasing tissue prices by 5% in January. The company noted that it has not seen any significant reductions in market sizes or major shifts away from premium price products as they have increased prices. prudentbear.com

To: mishedlo who wrote (44841)	11/6/2005 11:35:50 AM
From: Sunny Jim	Read Replies (1) \| Respond to of 110194

I would certainly agree that consumer debt is a real problem, since consumers have to repay that debt when they hit the limit of refinancing it (unlike the federal govt). However, the real real problem may be the unfunded liabilities of the Federal government. While the Federal debt is $8 trillion, the total debt including unfunded liabilities is around $45 trillion. I can assure you there are no unbooked assets to handle those unfunded liabilities, and the debt market will not allow them to be financed with anything short of the worst "developing third world" interest rates.