Scratching Our Heads on Stimulus; Plus, Sounding-Off on Wen at Davos!

A nice gesture – is that what the US government is hoping to pass under our noses with their most recent stimulus bill?

And listening to the Federal Open market Committee monetary policy statement yesterday (as with most of the FOMC announcements), it seemed as though they were just refraining from speaking reality; it’ll all be hunky dory eventually, they think.

With confidence numbers at dreadfully awful lows, it seems we’re getting extra large doses of lip-service these days. Back to the stimulus bill, it’s goal (or so we were told) is to reduce burdens on the US consumer and the US worker.

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Published: 29 January 2009
Written by Editor

Bailout fatigue! Gold anyone?

I don’t know about you, but I’m becoming bailout fatigued. I’m to the point where I want all talking and commenting on the bailout to end. Sure there are all kinds of technical/logistical considerations. Sure it all is extremely important. Sure it is a jobs program to help take the neo-Keynesians off the dole (read funneling that stuff at our “institutions of higher learning”).

But as John Ross summed up in his missive yesterday; it comes down to either a belief and respect for the invisible hand of the market (private property rights which is the cornerstone of liberty), through the magic of its pricing system most efficiently allocating private capital investment to create real wealth and sustain a vibrant job market.

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Published: 28 January 2009
Written by Editor
Forex  

The Market Process Lives!

Turning to the news ...

We got a bit of a surprise yesterday. In the US, existing home sales rose. That’s right ... sales of existing homes did not fall ... sales of existing homes did not stay the same. They rose.

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Published: 27 January 2009
Written by Editor
Forex  

New High in Gold and a GBP Rogers rally?

All things gold are glittering in light of a deepening global recession/depression as the muckedy-mucks file into Davos to once again enlighten the world and cook up assorted conspiracies for the New Year, and in addition huddle to determine who was responsible for the grand scheme going badly wrong in 2008 (they will likely blame the many leading flames of finance who won’t be attending this year for assorted reasons ranging from job loss to jail time). Are we finally seeing the fear move into gold that many have been predicting? Maybe! Gold made fresh new all-time high today!

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Published: 26 January 2009
Written by Editor
Forex  

Fiday Hodgepodge!

Yuppy-fication is killing us!

One of the problems I’ve lamented about over the last several years is what I refer to as the Yuppy-fication of Wall Street. Instead of the guys who made it to the top because of their guts, instincts, and brains, we now are faced with a world of Ivy-league MBA’s with spreadsheet running this institutions. Often guys that have never had to worry about how to feed their kids, or make their mortgage payments or scrape together just enough of their own funds to launch a venture that later failed miserably; instead we have an incestuous pool of people with powerful contacts populating the upper echelon.

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Published: 23 January 2009
Written by Editor
Forex  
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