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

To: kris b who wrote (75822)	12/16/2006 3:29:11 PM
From: russwinter	Read Replies (2) \| Respond to of 110194

Good point, I basically agree, but that 10%-20% Bully class is still in overdrive, and may be (?) holding things marginally together until a few more of the rest drop into Brazil America status. As I said there is a tipping point where the whole edifice comes tumbling down. Right now, I'd guess any number of events could cause it, an energy spike, more erosion in credit conditions, or maybe a portion of borderline Brazil Americans will just overspend for XMAS and really bury themselves.

To: kris b who wrote (75822)	12/16/2006 3:37:24 PM
From: re3	Read Replies (1) \| Respond to of 110194

there was a statistic about there being more payday loan outlets in one state than fast food outlets...saw it in barrons but left the paper somewhere...does anyone have it? it seems to tie into this article... nefe.org

To: kris b who wrote (75822)	12/16/2006 3:48:44 PM
From: benwood	Read Replies (1) \| Respond to of 110194

yes, look at Nordstrom flying while Wal-Mart crashes. Last few times I've passed through Nordy's or looked at their ads, I've been amazed at the prices (ditto Eddie Bauer). I expect to see a divergence on the highways as the credit bubble pops, when the middle class will allow their autos to get much older before replacement but at the same time there will be a continuing boom in sales of for Lexus, Volvo, Mercedes, etc. There's a growing interest in Washington State (mainly Seattle area) for imposing variable electronic tolls for driving certain roads. It doesn't take a rocket scientist to understand that this will only benefit the wealthy as their would be no financial incentive for them to vary their driving habits (with tolls greatest during peak times), whereas all the poor will be so inclined, if possible, and a share of the middle classes, too. It actually could be cheaper, bottom line, if your car is expensive enough, because of lower insurance rates due to lower collision rates.