Archive - Jul 4, 2013 - Blog entry

An unprincipled, deceitful, unreliable scoundrel. A vicious and solitary animal. An organism that shows a variation from the standard. What are we talking about? Rogue Traders! Does the cap fit?

When enough of us realize the extent of inflation, bond buyers will likely demand higher coupon rates; the government's cost of debt service could soar. 

Stolen from US consumers this week...

At 25% of GM's market cap, yet sporting just 0.6% of GM's sales, Tesla Motors is extremely overvalued.

Independence? Corzine's cooked and so is the Fed.  But why did it take the CFTC two years to hunt down Corzine?

Since 1694 and the ensuing three centuries’ of Bank of England history, the base rate has never been this low (see chart). Draghi, emulated his fellow Goldman Sachs banker, Carney and kept rates at 0.5%. Ultra loose monetary policies involving record low base rates have been in place in the UK since March 2009, a lengthy 4½ years. In the Eurozone 0.5% record low rates have been seen since May this year. 

When Charles Ponzi was around, it took just a tad longer to rake in the cash and commit financial fraud, escaping with the proceeds to better climates. Today, the internet and the power of the virtual world have made the transfer of funds so much quicker.