Monday, March 10, 2008

Buy your Ammo and canned goods

3/10 - Early Stages of Deleveraging  by Analyst Brad Hintz of Sanford C. Bernstein. He reckons that it's only the early stages of the de-leveraging and that the peak of the pressure will happen sometime over the next six months. "Buy your ammo and canned goods," he likes to joke. The markets won't come back until the relentless selling is over, and investors standing awash in cash return to the market.
 
3/7 - Pres. Bush Dismisses Iraq Recession: The War Has 'Nothing To Do With The Economy'. This morning on NBC's Today Show, President Bush denied that the there's any link between the faltering U.S. economy and $10 billion a month being spent on the Iraq war. In fact, according to Bush, the war is actually helping the economy:
 
We had warned a couple of months ago that a colleague with serious connections into the Treasury and Fed told us they were working on plans for a quasi-nationalization of the banking system. Their view was that while banks would technically be solvent, they'd have enough bad credits that they would be unable to extend new loans....But the Bernanke Fed has branched out. It has sought to lend against a wide-range of assets, actively seeking to replace securities about which the market seems spooked with safe-haven Treasuries on bank balance sheets without creating new cash. By doing this, the Fed hopes to square the circle of helping banks through their "liquidity crisis" without provoking a broad inflation.
 
3/5 Trading the Dow's Inevitable Breakout (parabolic curves)
Wed, 03/05/2008 - 19:14 — The Trader
by Michael Nystrom.  ".....  Now that gold and oil are going up like rockets, the timing simply isn't fortuitous for newcomers to get in on the action for short term trades. These markets are going parabolic, and parabolic rises tend to be followed by parabolic declines. The trick to making big money trading is to get in on the trends early, ride them for a long time, and sell out to the newbies, just as they're going parabolic. Dig? "
 
Comments - Norton West:
 
 

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