Depression in the USA - Deflation verus Inflation

[Hoop]

My two biggest holdings NZX-NZO at $1 ASX-STX 25c these make up 65% of all my funds invested.

-Both companies are cheap even if energy prices pulled back 30%.(not likely)

-If I had put my unloaned funds into the safe bank for 8% return I'd then have to pay 39% tax on the 8% leaving 5% if I took real inflation into the mix my 5% increase on funds invested wouldn't really buy me much more the it did 12 months earlier.
-I plan on making serious money the two above companies will be the cornerstone to this

It sounds like you have had a good year too.
It's good policy to have a goal to reach for, yours is a lot more demanding than mine but I wish you all the best.
As they say.. "you have to be in to win".
Hoop

Emails from the USA popping up on my computer 7.00am over there
Crude oil futures down stock futures up
Possible war with Iran reason for Gold and Oil spike on friday?

[trendy]

FED holdings of treasuries have dropped from $800B to $539B. More drop is to come as AAA/aaa swapped securities are going to blow up.

http://www.bloomberg.com/apps/news?p...G3A&refer=home

Rubenstein Says `Enormous' Bank Losses Unrecognized (Update2)

By Ryan J. Donmoyer and Alison Fitzgerald

................

Another few months and we are now down to $476B. Almost half of the FEDs treasury bonds swapped for junk bonds.

http://www.ny.frb.org/markets/soma/s...choldings.html


Lenders took possession of 73,794 houses in May -- 158% greater than the 28,548 REOs in May 2007
• 1.2 million foreclosed single-family homes will enter the market
• Foreclosures will account for 30% of national home sales in 2008
• Bank repossessions (REOs) accounted for 28% of total foreclosure activity
• Default notices increased 35% year over year
• The 3 highest foreclosure rates by state are Nevada (1 in every 118 households), and California (1 in every 183) Arizona's (1 out of 201) in May 2008
• Auction notices were up 13% year over year (but decreased 3% from the previous month)
• Foreclosed properties typically sell for ~20% less than comparable homes
• Foreclosed properties depress local home prices by 6%

....and Wall Street and the FED will say the worst is over.

[The Big Ease]

i love these capitalist c-sucking cowboys, masters of the universe, begging for government intervention to save their a$$es due to their own incompetence.

NO, i am not a socialist commy mofo. I just like to see those who hold poor people down by telling them they need to take responsibility for their own actions and earn their way up, also take responsibility for themselves. unfortunately, if this were to happen we would all pay very dearly.

im sure you will all be pleased to know bonuses were still paid out at investment banks. frauds, crooks and cowards.

[STRAT]

Hi Trendy, I lived in the US for a while but most of the people I knew there have moved away. Whats the word in the street. Are people spooked or walking around with blinders on?

PS I have met a lot of wonderful people there and the US will always be the centre of my musical universe

[trendy]

Hi Trendy, I lived in the US for a while but most of the people I knew there have moved away. Whats the word in the street. Are people spooked or walking around with blinders on?

PS I have met a lot of wonderful people there and the US will always be the centre of my musical universe

Most noticeable is that there is less traffic on the intestate I-91 an I90. Up here the Normal cruising speed was 75 to 85 MPH, now traffic seems to be moving along at about 65 to 70. I'm now passing the big rigs at 70 MPH while they drive with governors set at 65MPH to save gas. Diesel is actually about $5/gallon while gas is $4.10/gallon

Dressed up folks now shopping at WalMart and CostCo.

The other big issue is flying, only yesterday and today both United and US Airways announced they are now charging $15 to check 1st bag and $25 for second bag. It won't be long and I expect the airlines to fly on one engine once at cruising level and keep the other for reserve.

Most folks are now vacationing nearby and back to camping in VT.


http://www.youtube.com/watch?v=r7dq9pB_Tz8

[STRAT]

Dressed up folks now shopping at WalMart and CostCo.


http://www.youtube.com/watch?v=r7dq9pB_Tz8

Crap
If ever there was a sign the world is coming to an end that has to be it.

Which part of the big country do you reside in?

[trendy]

Happy weekend to you folks down under. Still Friday here but here are some funny songs to listen to in these interesting times. Cheers.

http://www.youtube.com/v/rY_iz0y2hYM&hl

http://www.youtube.com/v/wQPvrAxT_Sk&hl

http://www.youtube.com/v/r7dq9pB_Tz8&hl

http://www.youtube.com/v/0sbzZ4nNvuo&hl

http://www.youtube.com/v/37pal-PYTUQ&hl

[Dr_Who]

i love these capitalist c-sucking cowboys, masters of the universe, begging for government intervention to save their a$$es due to their own incompetence.

NO, i am not a socialist commy mofo. I just like to see those who hold poor people down by telling them they need to take responsibility for their own actions and earn their way up, also take responsibility for themselves. unfortunately, if this were to happen we would all pay very dearly.

im sure you will all be pleased to know bonuses were still paid out at investment banks. frauds, crooks and cowards.

You have the nail bang on target mate. Just have to look at the investments banks over in Aussie falling over like flies this year to know that even the self labels "masters of the universe" are just an ego hungry bunch of disillusioned buffoons.

Loaded up on debt for an asset only works in a boom market. The real investors are the ones still standing and making money in a depressed market.

[JBmurc]

I see the hunt brothers have sold there oil interests for many billions whats the bet they be looking at entering the silver market again maybe this time having the last laugh

#1 protection IMHO is the old hard currencey- silver & gold bullion

[tricha]

I see the hunt brothers have sold there oil interests for many billions whats the bet they be looking at entering the silver market again maybe this time having the last laugh

#1 protection IMHO is the old hard currencey- silver & gold bullion

Bullion is looking good JBmurc, yes, it is a recession in the States and it seems like NZ is mirroring it.
BRIC will be the key to Australia's surival.
This is very, very serious..


Crude oil at a fresh high of $140


OPEC believes oil prices could go as high as $170 a barrel this year


The price of oil has surged to a fresh high passing the $140 a barrel level.
Light sweet crude for August delivery touched $140.39 on the New York Mercantile Exchange before edging down slightly.
The combination of soaring oil prices, rising inflation and fears about the health of the global economy sent stock markets tumbling.
In the US, the Dow Jones industrial average fell 2.29% to 11,539.7 in early evening trade.
Wall Street's tumble soured sentiment in Europe where shares fell to their lowest close since October 2005.
The UK's FTSE 100 closed down 2.6%, or 147.9 points, at 5518.2, the lowest level since March this year.
In Paris, the CAC 40 lost 2.4% to close at 4,426.19 and Germany's DAX index also lost 2.4% ending up at 6,459.60.
Added pressure
The spike in the price of oil followed comments from the producers' organisation Opec about the prospect of oil at $170 a barrel this summer.
Oil producer Libya added to the pressure after signalling it may cut output, while a falling US dollar also pushed up the price of crude.
Analysts said a raft of bad news about the health of corporate America, the impact of higher oil on company profits and fears about US financial sector hurt investor confidence.
"I felt we were going to have a garden variety recession, but if oil goes up goes up to $170 and stays in the $170 area, who knows," said Al Goldman, chief market strategist at Wachovia Securities.
General Motors shares fell to their lowest level in 30 years after analysts gave a gloomy outlook for the auto giant. Global banking giant Citigroup fell too after a downbeat assessment for the sector, while shares in Belgian bank Fortis fell sharply after it announced a rights issue to shore up its finances. Gloom spread to the technology sector, where software company Oracle and Blackberry maker Research In Motion painted a pessimistic picture for the future.