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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?


To: Terry Whitman who wrote (91589)11/25/2009 10:04:20 AM
From: Real Man  Read Replies (1) | Respond to of 94695
 
Oil was not a bubble, but it was overpriced. A large short fund
blew up, and then the globe fell into depression because
of oil going to 150. What do you expect? It will rise again,
and more.

Many commodities went ballistic on Ben's cuts and crashed in
2008, including wheat. I guess they are very volatile

US unfunded liabilities are about 800% of GDP, and the credit
bubble was added to these last year. A bit of transfer happened,
Govt. debt to WS pockets. Some folks are getting a little
concerned. I mean, how do you pay 118 Trillion if your revenue
is way negative? Everyone kinda knows how, they see Ben utilizing
the appropriate tool, and project he will continue doing
so. Thank God the rating agencies still rate US AAA. I mean,
they say that 90 Trillion SS/Medicare concerns them, but
they are OK with it for now.

Then the whole mortgage bubble was transferred on that balance
sheet. It did not really add much to it. Everyone happy. Some
even buy the bonds because of deflation. -g-



To: Terry Whitman who wrote (91589)11/25/2009 10:24:42 AM
From: Real Man1 Recommendation  Respond to of 94695
 
Thank God for all these derivatives models that take
US AAA sovereign rating into account. We know the
agencies will never downgrade. Cause, otherwise,
fundamentals simply say:

Quantitative easing = partial sovereign default. It's a D,
damn it! <g>

Gold is definitely lagging this chart: