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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Pitera who wrote (10328)	10/22/2008 12:39:28 AM
From: nspolar	Respond to of 33421

John, thanks. You did well on the first part ... maybe I think so because I tend to think my LT chart predictions (which I like to do most) match with some of your comments. Every market move is a precursor to the next one. So ... we look at the longterm chart of 30 yr rates. A doozy of a chart. How high and when for the next major peak? Ah for the timing, if only we knew beforehand eh? But then there would be no challenge. TF

To: John Pitera who wrote (10328)	10/22/2008 8:18:41 AM
From: ajtj99	1 Recommendation Read Replies (2) \| Respond to of 33421

John, I believe we should have a moratorium on new credit default swap issues. Old ones should be regulated, and any new system would need these instruments to be treated no different than regulated insurance policies secured by assets rather than alchemy. Every effort should be made to wind down the outstanding swaps. It will likely take 5-years, and that's probably also how long it will take for a substantial recovery in the markets. I am just waiting for someone with brains to propose this solution. I believe 500 out of 535 members of Congress don't have a clue what a credit default swap is. Heck, when McCain was flying back to Washington to "assist" in the bailout package, he admitted he hadn't read the draft yet. That draft by Paulson was all of 3-pages long.