Hello Pezz, Today’s Report:
(1) On the one hand, I purchased a tranche of Enerplus finance.yahoo.com at CAD 39.2, per Mike 'Misheldo' reminder of something I had owned awhile back for a long time – it may turn out to be a good idea in the middle of an arena with few options;
(2) On the other hand, I am cognizant that deflation is full-on, surging, merciless, shooting prisoners Message 24202731 . The useless but precious monetary gold is rising against an aggregate group of useful but ever cheaper necessities. Yes, and gold is rising in all fiat currencies. So, perhaps something as yet unrevealed has gone terribly wrong, or something we haven’t inkling about has made the uncelebrated transition from merely wrong to horribly dire;
(3) Oh, yes, and by the way, America’s last great hope is turning out to be a war-monger Message 24202655 . The condition seems to be truly systemic and genuinely chromosomal, and so maybe all will truly be lost;
(4) Speaking of systemic, this was in in-tray as well, and speaks darkly about schema and convolution, all involving our wallets
The Real Story on Countrywide….
January 10th, 2008
blogs.marketwatch.com
We’ll know it soon enough, but with the leak that Bank of America is near acquiring Countrywide, several things would appear apparent (at least while we’re playing the guessing game):
a. The Fed is behind the deal.
b. The Fed is behind the deal because the rumors yesterday of a near bankruptcy were probably true.
c. As part of the deal, the government likely agrees to guarantee BofA against Countrywide-related losses.
d. Lost in the in the noise yesterday was that Moody’s downgraded the ratings on 30 (count ‘em — THIRTY!) tranches of Countrywide’s mortgage debt by more than a few notches. They did something similar before American Home Mortgage filed for bankruptcy.
e. Investors bid the stock higher assuming a premium when it’s likely that BofA still needs to fully assess the value of the assets before the deal’s full value will be known.
f. Big question, of course, is what Countrywide investors will get.
g. Rule of thumb with bankruptcies: Stocks often double on their way to zero.
h. BofA gets a free bank and a put to the government.
Menawhile, Jon Najarian of Optionsmonster.com writes, “To say there was HUGE unusual activity in Countrywide Financial ahead of today’s news that Bank America was close to finalizing a deal to buy the troubled mortgage giant would be as surprising as seeing Dennis Kucinich end his presidential run! We show over 304,000 calls traded against 248,000 puts, but the interesting thing here is that the bulk, some 76 percent of these calls were bought before the announcement! To us this means the likelihood of someone being tipped off was quite high. Like Burj Dubai Tower high!”
(5) recommendation: buygold, and believe in marginal pricing power of 1.3 billion chinese with reawakened gold gene segment, enhanced by their officialdom intent on replacing US$ under the mattresses with irredeemable gold certificates on Shanghai Gold Exchange - and note that the 1.3 billion chinese is joining forces with 1.3 billion indians with gold gene in perfect working order!
I am guessing that folks at some point will be buying a few grams of gold before they swing for their first cellular phone to talk about their gold fortune ;0)
(6) A reminder of something I had mentioned in passing to you, that as the communist party of the people firmly believes that the party will eventually have to allow political pluralism, and yet the elite communist party must never put itself at the mercy of the ignorant electorates, party funding begging cup in hand, and that they are well aware that the taiwan / singapore model of state-owned transition to party foundation-owned enterprise system is no guarantee to continued party funding in perpetuity, a new funding model must be found for prc communist party.
Can anyone think of one, where the cadres who matter can secure and control funding on on-going basis without suffering the risks of r&d, matketing, distribution, after-sales services, and fungibility? just a simple question.
And so I wonder what the 9 years old gold market reform in a communist/socialist and or capitalist-with-chinese-characteristic society is really about?
(7) Question, again, with all the gold ETFs in all the geographies, is time different than 1981?
(8) Events are not clear, doesn't have to be clear, because they are phucked, and my urge to take greedy and scary profit is precisely balanced by my fear of 0% FED money before year end
I have no plans, only fired up agility, ready to pounce and might just as well scram
I am now guided not by human intellect, but animal intuition
Gold bless, comrade, in the Force we trust, or suffer, and now ... to battle, for lucre and survival, surge forth, 4 digit slavation is in sight and on the run
Chugs, TJ
P.s. regarding your critically important question ... <<Damn is there no top in this stuff?>> ... I note that gold has no correct price, just as the last working parachute on a doomed airplane with 6 billion seats is bid-only
A question - do I need to spell out your imperative for you again? |
