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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives -- Ignore unavailable to you. Want to Upgrade?


To: Real Man who wrote (5279)6/6/2010 5:11:41 PM
From: ggersh  Read Replies (1) | Respond to of 219180
 
"It's a bit different from 2007-2008. The
concern is over govt. debt, and there are two ways out,
devalue or default. The second is SHTF, while the first
is gold-positive, obviously"

A bit different yes, but Gold should do well
either way. Dow at say 3-4,000 and Gold @ $700
and the ratio continues to trend. Correct????



To: Real Man who wrote (5279)6/7/2010 9:00:14 AM
From: DebtBomb1 Recommendation  Respond to of 219180
 
One thing for sure....people give the fed way too much credit for manipulating the markets. I don't think he can do anything at this point. And, so you see....no PRINTING.
He has no interest rates to cut.
He shot his wad.
He is powerless now, IMHO.
Could the fed stop the dollar from skyrocketing in 2008?
Could the fed stop the Dow from going down, and going from 14,000 to 6600?
Could the fed prevent a "flash crash"?
Answer....
NO
I think Faber gives the fed way too much credit.
I don't think anyone can stop this now.
Is the fed stopping the euro from going down and the dollar from going up now?
NO.
The central banksters can't stop it.
They are already trying to piss away 850 billion euros on the PIIGS. Even China said they would support the euro.
They can't stop it.
And, IMHO....they can't fix it. How can you fix a debt bubble by more PRINTING?
Stick with your model IMO....it's working....the pig is going down, IMO.
;-)



To: Real Man who wrote (5279)6/7/2010 9:02:57 AM
From: DebtBomb1 Recommendation  Respond to of 219180
 
I think this is where we are: The Bailout Bubble – the Bubble to End All Bubbles
by Gerald Celente

The biggest financial bubble in history is being inflated in plain sight. This is the Mother of All Bubbles, and when it explodes, it will signal the end to the boom/bust cycle that has characterized economic activity throughout the developed world. Either unwilling or unable to call the bubble by its proper name, the media, Washington, and Wall Street describe the stupendous government expenditures on rescue packages, stimulus plans, buyouts, and takeovers as emergency measures needed to salvage the severely damaged economy.

All of this terminology is econo-jargon. It's like calling torture "enhanced interrogation techniques." Washington is inflating the biggest bubble ever: the Bailout Bubble. This is much bigger than the Dot-com and Real Estate bubbles which hit speculators, investors, and financiers the hardest. However destructive the effects of these busts on employment, savings and productivity, the Free Market Capitalist framework was left intact. But when the Bailout Bubble explodes, the system goes with it.

The economic framework of the United States has been restructured. Federal interventionist policies have given the government equity stakes, executive powers and management control of what was once private enterprise. To finance these buyouts, rescue and stimulus packages – instead of letting failed businesses fail and bankrupt banks and bandit brokerages go bankrupt – trillions of dollars are being injected into the stricken economy.


Phantom dollars, printed out of thin air, backed by nothing ... and producing next to nothing ... defines the Bailout Bubble. Just as with the other bubbles, so too will this one burst. But unlike Dot-com and Real Estate, when the Bailout Bubble pops, neither the President nor the Federal Reserve will have the fiscal fixes or monetary policies available to inflate another. With no more massive economic bubbles left to blow up, they'll set their sights on bigger targets. Given the pattern of governments to parlay egregious failures into mega-failures, the classic trend they follow, when all else fails, is to take their nation to war. Since the Bailout Bubble is neither called nor recognized as a bubble, its sudden and spectacular explosion will create chaos. A panicked public will readily accept any Washington/Wall Street/Main Stream Media alibi that shifts the blame for the catastrophe away from the policy makers and onto some scapegoat.

At this time we are not forecasting a war. However, the trends in play are ominous. While we cannot pinpoint precisely when the Bailout Bubble will burst, we are certain it will. When it does, it should be understood that a major war could follow.

May 15, 2009

lewrockwell.com