"CRUDE" oil, an absolute must see program !!!

Long while it may seem that way and I agree with what you say about the lack of respect shown sometimes when someone is being helped.

The thing is we are all on the same planet and we just cant have part of it developing and the other part staying in caves.

Wow big subject really but one day you will sell stuff to the Somalis and will make money from them . Might be a while.

Writing off debt is sometimes cheaper than helping them more.

Your government will negotiate on taxes owed by an individual, you will maybe get off the interest. Uk not a chance --you will go to prison which makes things much worse. Also the government will not now ever get thier taxes but thats the law.

 

id give ya a point frosty ,,I never take some of the septic jokes or anything serious ,,its all fun... but to be the but of the joke is different ,,and you can always tell if it is ment to be real or not and you sir are a wise ,,old ,old ,old old, old, old , old, old, old man,,,,not like that young fella safy

 

I don't know who was really talking about this at all aside from Rick?

 

That idea is fundamentally flawed... you loan your money to the bank and take the risk, you have a choice it does not have to be in the bank. Absolute security cannot be offered anywhere, it does not exist. For the government to guarantee security merely means they will force everyone to pay for one organisations mismanagement. The mere act of offering security engenders risky behaviour.. read up on moral hazard.

And the banks that made bad decisions would be allowed to go on making worse decisions and losing more money. This represents a basic corruption of the system and will result in larger failures later. Risk must be real and respected otherwise idiots get to live longer and do more idiotic things.

Yey! Absolutely... as a rule the market sets rates the central bank follows, they can lead the market within a small range when they have credibility, but the market is the final arbiter. You are watching the loss of central bank credibility and the market applying pressure to correctly price money.

Irresponsible lending underwritten by irresponsible central bank actions... the concept of moral hazard goes back to the source. Central banks are not good at setting interest rate policy, they have an appalling history, why we tolerate this vestige of communism in market economies is beyond me.

They will be if they go broke, as must the depositors as the enablers of the behaviour. Next time the will be more careful about the bank they choose and think about it more... If depositors where not lazy deposit rates would be higher and the banks would be sharper, they get away with what we let them. Take responsibility for your bad choices. Life don't come with a guarantee and living is risky but it beats the poop outa dying.

 

The reason for the contagion comes from the credit default swap market, one or two large failures will bring this market crumbling down, that in turn will effect a large number of companies, banks and funds through out the US. Contagion is a very real threat here, its no where near as simple as not paying back a bank loan. This is a systemic flaw introduced through an opaque and unregulated market. The complexities here and the knock on effects will make the sub prime mess look like a picnic, this is not a straight forward situation... they are scared of contagion, and rightly so, the problem is that every cure is worse than the disease.

 

Especially when you consider the cost of printing the money... next to zip. Read "Confessions of an Economic Hit Man" and you will look at the true purpose of the debt in a totally different light. It will explain why so many apparently resource wealthy countries stay dirt poor with corrupt regimes... the truth masquerades as kindness but the net result is the vilest of exploitations. It is a sinisterly clever mechanism, indeed an empire controlled through debt... read the book, you will probably have trouble coming to terms with it and if you do it should revolt you.

Its a contentious read but the mechanism he describes works, and you can see how it has worked in many areas. If you choose not to except his description of the way things work (my initial position) you are left thinking that the success rate of these "loans" is appalling and supposedly intelligent people are messing up big time on a regular basis.... It very much leaves you thinking there is alot of truth in what he says.

 

Heinz, 13:30 AEST and gold is AU$998.31, do you feel that may be about the bottom for the next day or so?

 

The flaw is the country and many of its people live beyond their means. Not much different to here but we have exploited our mineral wealth and spread it across a smaller population.

The US economy has become highly dependent on value adding internally and dependent on other economies for resources. The under investment in resources worldwide through the 1900s has pushed prices to extreme levels. The US economy is so oil dependent that the high prices are killing the economy. It is a huge drag along with the accumulated, and growing, debt that has to be serviced.

My contention holds that if/when the US becomes a basket case the rest of the world will experience the pain. Australia is already suffering despite record commodity prices.

As it all shakes out, the prices of resources will fall and this, in time, will help the developed economies recover. For the time being, China will continue its buying spree to acquire access to resources across the globe.

Rick W.

 

HA?
I'm from Melbourne....
and dont ask why I'm in Sinagpore now
cheers
powerabout

 

OK I wont, but I guess you like nasi-goering and Asian spicy foods? After work......

 

I didn't talk about or disagree with any of that. The fact remains a large threat exists in the OTC Derivatives market which is why they are pulling stunts like they did with Bear where the company was all but destroyed BUT default on its OTC book was avoided. Which goes back to my original point the system is not sound as Bush asserts...which is evidentially true.

 

In the paper here today
Saudi has promised to spend a few billion in Russia if Russia stops supporting Iran.
Is that coz when the US spanks Iran, they dont want Russia in there to support it?
(Saudi's dont like Iranians..wrong religion)
It strange that Iran is one of the pariahs of the middle east when you consider it has the oldest running civilisation in the world with unchanged boundaries for over 1000 years.

 

all day actually
I also have a spicy Asian at home

 

Emperor?

He was an ISP.... no?

 

Meanz Beanz
The paper today also stated the CDO obligations of th emajor banks here of just a few hundred million.
How do they limit that with a CDO? I thought you stood an unlimited downside?

Cheers