The Government can monitor the incomes and finances of 300+ million Americans and maybe 5+ million businesses but can not determine how 208 banks used $162 billion of which most was given to 20-30 banks? This is utterly preposterous. I think the more likely explanation is the Treasury does not want the public to know [...]
During bull markets, PEs range from 15-20. During bear markets, they range from 10-12. That means that the PE effect alone will cause the markets to fall between 33% and 40% from the October 2007 highs. Now, consider that earnings will decline, on average, around 50% in a normal recession. Throw that on top of [...]
Our government, and the corporations and banks that control them, endlessly beat into us the “importance of money”, first through flooding the market with easy money, then by withdrawing it.
Boom and bust.
The neverending pillaging of the working/middle class.
Did you earn something?
Don’t worry, first we’ll make your assets worthless, then we’ll inflate your currency to worthlessness, [...]
It must, because so many adverse factors are already with us and need time to be resolved. Let us look at some of the basic facts:
1. most world shipping is currently idle;
2. the banking system is still not functioning;
3. that there is a crisis in trust and confidence;
4. that manufacturing output is pre-programmed to decline [...]
One important thing regarding recent market movements is something that hit me when I made losses during the tech crash and bear market of 2000to 2003 and when happening for most of the crash many feel that markets may recover to former levels. In reality many companies disappear along the way and many individual shares [...]
But the Frankfurt giant managed to turn a third-quarter profit of $575 million, and that’s because it took advantage of a new European Union accounting change.
Deutsche Bank was able to shift 825 million euros, or roughly $1.1 billion, in assets before tax to its loan bank from its trading book — meaning that it doesn’t [...]
“It’s not based on any particular data point,” a Treasury spokeswoman told Forbes.com Tuesday. “We just wanted to choose a really large number.”
Hmm… that really inspires confidence, doesn’t it?
At any rate, is there any doubt that we are well on our way to 5 Trillion dollars plus of taxpayer money being thrown at this [...]
“Three-month U.S. dollar LIBOR, a popular measure of the rate at which banks lend to each other, dropped to 4.06% from 4.42%.”
http://www.marketwatch.com/news/story/us-stock-futures-shoot-higher/story.aspx?guid=05189DCE-D80C-4001-AF01-778B5984C234&dist=SecMostRead
It seems increasingly likely that Lehman was the last big financial to be allowed to fail, hence confidence between the financials is improving.
Unfortunately for those picking up the bill, the cost is likely to [...]
The U.S. Federal Reserve Bank announced an expansion of deals with European nations Friday in an effort to stabilize global financial markets.
The Fed said it is boosting reciprocal-currency arrangements with the European Central Bank and the Swiss National Bank by $13 billion.
The agreement allows the Fed to make another $13 billion available to the two [...]
Their quotes just a few months ago.
“I have great, great confidence in our capital markets and in our financial institutions. OUR FINANCIAL INSTITUTIONS, BANKS AND INVESTMENT BANKS, ARE STRONG. OUR CAPITAL MARKETS ARE RESILIENT. THEY’RE EFFICIENT. THEY’RE FLEXIBLE.”
– Treasury Secretary Henry Paulson, March 16, 2008
“Our policy in this administration — LAWS SHOULDN’T [...]
TALK BACK: Buffett Is Doing His Thing - Investing Wisely
Last Update: 9/25/2008 7:53:54 AM
The comment below responds to the following question we posed on Dow Jones
NewsPlus: Does Warren Buffett’s $5 billion investment in Goldman Sachs give you
more confidence in shares of the remaining banking companies?
Email us at TalkBackAmericas@dowjones.com.
A reader from Newport Beach, Calif. wrote:
I think [...]
Warren Buffett was interviewed live by telephone on CNBC’s Squawk Box this morning about his surprise investment of at least $5 billion in Goldman Sachs.
This is part one of the complete transcript of that conversation.
BECKY QUICK: We know you get all kinds of deals, all kinds of people who come knocking asking you to [...]
* Treasury securities outstanding as of March 31, according to the Fed’s Flow of Funds (report page 87, pdf page 95): Also $5.3 trillion.
If Fannie’s and Freddie’s obligations were equivalent to 10% or even 20% of the U.S. Treasury debts, the idea that they could fit under the Treasury’s “full faith and credit” umbrella might [...]
“The dollar has and continues to be the main influence on the gold price, so when today it pushed back to the upper limit of its trading range, it influenced the gold price to the downside again,” said Julian Phillips, an analyst at GoldForecaster.com.
“The factors pushing the price down are not in … substantive [...]
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