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Strategies & Market Trends : Technology Stocks & Market Talk With Don Wolanchuk -- Ignore unavailable to you. Want to Upgrade?

To: Runomo™ who wrote (49119)	12/10/2009 4:46:27 AM
From: Real Man	Read Replies (1) \| Respond to of 208150

Yep. It will, and gold moving up is not always a positive like chiefy thinks. That was my point. The truth is, the credit bubble was transferred on Government balance sheets, and the blowup possibility for these balance sheets exists if the economy does not recover quickly, as we saw in Dubai and Greece. This does not ALWAYs happen in the context of a financial crisis, but it happens a lot. And, our gov't is pretty broke. ftalphaville.ft.com Gold is moving up on some printin'. Without it T-bond yields will rise and US will lose AAA rating. Zat's bad. -g- In any event, if anything will grow fast, it will be Asia and emerging markets. BWDIK? I tend to agree more with DB assessment, but here is Goldman's for this thread. Note top #2 trade, thou, and their projection for growth in China. -g- ftalphaville.ft.com My personal thought? QE will be extended beyond March 2010, cause if it ain't, T-rates will start to rise. Currently, credit crap is exchanged for treasuries and monetized, and zat's what keeps the world (and gold) moving. But Zad cud be inflationary -g-

To: Runomo™ who wrote (49119)	12/10/2009 5:04:46 AM
From: Real Man	Read Replies (1) \| Respond to of 208150

The point is, if QE is not extended beyond March 2010, I will become bearish on equities. I think T-yields will rise, as there will be fewer buyers than sellers. The main seller is US govt, of course. The main buyers are financial institutions, who swap crappy MBS for treasuries with the Fed. Without the process of MBS monetization there is no way to fund US government spending. Gold loves the current environment of printin' and sovereign risk. -g-