Archive - 2010 - Blog entry

If the engineered bear market rally is running off of the FASB generated lies, then we certainly do have another crash coming, don't we? It truly is a damn shame how the financial integrity of this country has been sold to the highest bidder through the most influential lobbyist. Don't they realize they are destroying the essence of what makes the American markets the global leader - the perception of transparency, honest accounting and reliable financial reporting?

Quebec pension-fund manager La Caisse de Dépôt et Placement du Québec generated a return from its investments of 10% in 2009, a sub-par number when compared to other Canadian pension funds but a dramatic turnaround from its catastrophic loss of $40 billion in 2008.

A yet to be verified story from Rough & Polished, a Moscow based website, reported that China had “confirmed its decision to acquire 191.3 tons of gold auctioned by the International Monetary Fund.” Of course, until official confirmation comes from China, no one will really know if this story is true or not. However, if true, here’s why this story would be hugely significant to the gold market.

Why is it that the data of the current economic reports coming out are "unexpected" by most economists? Today new unemployment claims and durable goods orders came out and were termed "unexpected." There is a reason. You should learn to ignore (most) economists.

"In a 13 month period from May 2003 to June 2004, the Federal Reserve sent nearly $12 billion in cash, mainly in $100 bills from the United States to Iraq. To do that, the Federal Reserve Bank in New York had to pack 281 million individual bills ... onto wooden pallets to be shipped to Iraq. The cash weighed more than 363 tons and was loaded onto C-130 cargo planes to be flown into Baghdad"

Team Obama wants us consumers to spend, spend, spend. Somehow Comptroller of the Currency John Dugan didn't get the message since he supports 'America Saves Week' and wants us to save and feel financially secure. I like this guy.

Since everyone is expecting it, maybe it won't happen?

Add a real unemployment rate of 17% to the 25% who have negative home equity, and who is left to buy houses? Only those who are bribed. Graduating from the negative equity city the negative equity state. Net baby boomer demand for housing is shrinking by tens of millions of square feet per year.

In his testimony on Wednesday, Fed Chairman Ben Bernanke did not rule out the possibility that deflation risks could revive. Is he worried about what's going on in Japan right now? Or maybe he's worried about what Bob Prechter is calling the biggest bubble in history...

After running firmly in place, going absolutely nowhere, for 29 weeks, the BKX Bank Index is (still) coiling, (still) marking time before it leaps off the ledge. Tik-Tok, Tik-Tok. In the meantime, a very quick glance at daily, weekly & 135 min charts.

Ron Paul's questions today sounded nutty ... but seem to be backed by an economist with the U.S. House of Representatives Financial Services Committee for eleven years, assisting with oversight of the Federal Reserve, and subsequently Professor of Public Affairs at the Lyndon B. Johnson School of Public Affairs at the University of Texas at Austin

Obviously, even if they're right, gold could seriously correct in the meantime ...

Diamond prices have jumped 30% since March, but the business is being turned on its ear. Your local neighborhood jewelry store is about to get wiped out. A 5% annualized return, with benefits. Eating Blue Nile’s lunch. The stock plunges a nausea inducing 20% in one day. What’s up with those toothpaste tubes? A consumer spending play with a turbocharger, and the reverse.