Global economic situation for liveaboard cruising yachties

[Zed]

Inflation is hardly a 'Black Swan' event, it's already happened and is ongoing, we are more than a little bit pregnant. By the time the marketing types have finished with the term it will be a meaningful as 'inflation' has become.... a lost and distorted concept.

I'm not sure that the broader investment community will have what it takes to bet on Taleb's fat tail events, its a real lose often but win big strategy. This is sounding like "Black Swan" lite!

On it goes... John Paulson's hedge fund is offering investors accounts denominated in gold, as I'm sure you know.... which is no doubt accounting for his big long position in GLD. Do you think his customers are hedging inflation? Nup it was a 'Black Swan', never saw it coming yur onner! Now he better hope that the people suggesting that there are multiple claims on the GLD gold are dead wrong. Imaginative accounting in ETF's, never!!!! Mind you naked shorting GLD is a bucketload cheaper and easier than actually using futures! Even legit shorting... no time horizon yey!

The USD still looks like that tropical storm that is yet to break fully, will it? It has to be the bet Du Jour! LOL it may just slide away to the south! Now if the dollar was to receive further strength from some improbable event driving her to new highs, that would be a darkish coloured Swan... she is getting quite deeply into over sold territory here on the USDX, unrepresentative some argue, a bounce around the 77.74 level would have us on the way to painting what would look like a large head and shoulders pattern and no doubt will have the internet T/A's all in a lather.... it's not valid with out good volume data but that will not stop the froth if we get there! Anyway, POG heading toward 1K, USDX hitting support... I will be looking for a POG correction and a USD bounce, either that or armageddon, LOL --> not again I hear the goldbug crowd yell! The sky is falling, the sky is falling! Nope, just the USD, now is it a super ball, a squash ball or the tennis ball my dog chewed!

Ramble, ramble, ramble...

[Zed]

Hey what about Obama eh? Love him, hate him --> the guy is a class act when it comes to presentation. I don't think we have seen better use of the media since Kennedy! Old Billy wasn't bad but this guy is in a league of his own! Pity about the whole lend and spend thing but.........

[Zed]

Originally Posted by Zed

Geithner summons to China to appease the bank manager.

http://www.marketwatch.com/story/gei...e-bad-marriage

More...

Geithner & China: Who Are You Fooling?



I think the main theme is becoming --> for god sake keep Americans in the bond market, Americans leaving the ship is in reality a bigger concern than the Chinese leaving the ship, they still have ulterior drivers. The conversation will go along the lines --> So Mr Geithner what are you going to do to contain the bond market, in China we can tell the banks to support it, now you own the banks surly you can do the same ---> its Joyce, by the way, and you know what she is doing!

[Zed]

Federal Reserve puzzled by yield curve steepening

Are they not!

Why oh why is it tollerated?

[Zed]

Geithner Speaks to CNBC From Beijing

Some what diminished fear of deflation!

If you are not laughing by this point then what can I say --> "Joyce has left your building!"

I like this one...

"Chinese assets are very safe," Geithner said in response to a question after a speech at Peking University, where he studied Chinese as a student in the 1980s.

His answer drew loud laughter from his student audience, reflecting scepticism in China about the wisdom of a developing country accumulating a vast stockpile of foreign reserves instead of spending the money to raise living standards at home.

The movie...

Still more...

China’s Yu Tells U.S. Not to Be Complacent About Debt

[Zed]

Sell in May...?! I continue to believe this will hold very true for this year!


Anything But Academic

[Zed]

Merkel mauls central banks

[Zed]

Gerald Celente is one of those guys you'd like to ignore at the moment however he has a remarkable track record.

[Zed]

This is just a classic example of Gresham's Law : Bad Money Drives Out Good Money! So maybe, just maybe the mad old goldbugs have a point about money!

[Zed]

The next crisis has already begun

On the Fed...

But therein lay the seeds for the funding crisis -- which, as I noted in my daily column at FleckensteinCapital.com on May 21, appears to have started.

This is a much more subtle but pernicious crisis in some ways, as it's not so apparent but is disastrous in the long term.

My reason for saying so? Because if the dollar is called into question (as now appears to have begun) and if the Federal Reserve's monetization cannot lower interest rates (and in fact causes them to rise, due to the consequences of printing so much money), then the Fed is trapped. The more it tries to solve the problem by printing more money, the worse it all becomes.

On the quant funds...

"The only logical answer would be that the stock-price characteristics have behaved in a way that makes Renaissance's computer -- obviously programmed by someone -- think these funds are a good thing to buy, regardless of the fact that their valuation is beyond absurd. . . .

"That's what the computer-driven models at quantitative funds do, setting aside the fundamental questions of what a company actually makes or does and what that business is really worth."

[Zed]

Former Chinese Central Bank Advisor Questions Geithner's Math, Calls Federal Reserve Assets "Rubbish"

It may be helpful if “Geithner can show us some arithmetic,” said Yu. “We need to know how the U.S. government can achieve this objective.”

O the lack of trust... what is the world coming to.

[Zed]

[Boston]

Isp ?

[Zed]

National debt at $545,668 per household

[mydauphin]

Zed, your correct about everything you say, but this has nothing to do with this thread. I know things are going down the toilet. I hope to make some money in currency trading in future, except I have no money left over because of inflation and boat. It seems that someone in US government is proping dollar and stock market and it is hard to bet against the house.

Oh it can get much worse that this... Money is not the only problems.
Governments at all levels throughout the world are acting like thugs and confiscating our money, assets, and rights. And this is only the beginning... IT is going to get worse.