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

To: GST who wrote (54055)	2/17/2006 9:25:06 AM
From: Wyätt Gwyön	Read Replies (1) \| Respond to of 110194

What was the US government deficit at that time? What was the trade deficit? The current account deficit? they were already at all-time highs and dollar bears had already been making the same arguments you're making now for the previous decade. There will be no way to pay it back. LOL! why do you think US Treasurys are considered the safest investment? because, unlike an AAA-rated private company, the US govt can just print the dollars it uses to pay creditors. there is no question of paying it back. that is why short-term Treasurys are the safest security. with long-term, the risk is not with credit but with duration, because nobody knows what the nominal payback dollars will be worth in 10, 20, or 30 years. therefore, longer bonds have much higher standard deviations than 5-yr and shorter. unfortunately, the historical evidence does not suggest long bondholders are sufficiently compensated for their extra risk. the returns on the 20yr barely exceed the returns on the 5yr.

To: GST who wrote (54055)	2/17/2006 10:53:08 AM
From: mishedlo	Read Replies (1) \| Respond to of 110194

The US added trillions of dollars of additional foreign indebtedness between 2001 and 2006 -- and it is this indebtedness that sits like a 'timebomb' under the dollar. Is this an admission that monetary/credit expansion is at the root of the problem? Fancy that. Mish

To: GST who wrote (54055)	2/17/2006 6:59:47 PM
From: shades	Read Replies (1) \| Respond to of 110194

There will be no way to pay it back. And there is no reason to believe that our dependence on foreign debt will lessen when the economy slows and the demands on government increase while tax revenues dwindle. All the jews asked was that we not forget what gave rise to EXTREME political regimes to appease the ever increasingly poorer people who could vote in warmongers to control a powerful military machine. The US has a powerful military machine, and if the voters get thrust into rank poverty - I don't see why the oprah types would not vote in a warmonger who says that if they will let him use the military to control oil and resources and such he can gaurantee thier same standard of living at the expense of other humans on the planet. So what if a few ragheads have to work the oil fields in slave like conditions, or the children of latin america have to dig the silver or coal for our energy - or the children of china have to work as slaves in sweatshops - we have the big guns and the lazy oprah types that dont want to go out in the field and work for thier own food - better to make mexico boy do that eh? Be honest GST - wouldn't you rather your daughter have time to spend a nice day with you watching fear factor or going to disney world than both of you hot in the blazing sun digging for oil or planting crops? Much better to let some uneducated third worlder do the hard work right? President Bush's grandpa invested in companies seeking great return on his capital - he found it - companies that went over to poland and put jews to work as slave labor in the mines over there - talk about labor abritrage - how do you compete with FREE labor with NO wages and NO bennys - Prescott Bush made GREAT PROFIT off the backs of those folks - places like auschwitz came about - did we forget what they asked us not to forget? Will the voters of today - when all their standard of living is taken away - remember the people around the globe? Or will they say FUGG THE RAGHEAD - I want my MTV - go get em bush! Hitler was elected at the beginning no?