Not your average TV blurb!
FED FIXES STOCK MARKET INDECES! Ain’t that ten times worse than fixing LIBOR? From http://www.examiner.com/article/fed-admits
“The Fed has artificially sustained markets.” – Dick Fisher, President of the Dallas Federal Reserve bank
Latest (November ’13): Would you believe it? Banks fix forex rates for their own benefit too! Absolute perfect crime! And no bank chief ever gets jailed. You couldn’t make it up in a fantasy novel, could you?
Why did the Pope really resign?‘Moral corrosion in his own shadowy cabal’ says Mail (U.K.) news article. “It is to save the Catholic Church from ignominy: He has voluntarily delivered himself up as a sacrificial lamb to purge the Church of what he calls ‘The Filth’” – John Cornwell.
What are the markets doing now (2013)?
Note: This is ALL comment by an individual and should not be taken as advice.
March 2013: All against the general consensus, gold and silver are going down,the dollar is going up; interest rates are nudging at the upside too (see U.S. Treasury long bond). How long now before the equity markets follow Japan i.e. down big-time followed by a decade of deflation?. Or, would they dare print enough money to swallow all the outstanding debt (more than $500 trillion dodgy debt if questionable derivatives are written down)? If the printing presses go mad the dollar and the pound could be decimated but reflation (in monetary terms) would only occur coupled to exceedingly high inflation.
Update October 2013: Some market indeces climbed to new highs and there are few bears around. This often denotes an upcoming change in direction. Gold and silver remain in a long downturn, as well as commodities, and the U$D still climbing. Note: This is the exact opposite to what most pundits predicted over recent times. Government employees pay has declined for the first time in many decades. Pay is a lagging indicator of what is happening. Long term interest rates are climbing. Shorts should follow. So, if we are experiencing the start of the big deflation (I remain convinced is inevitable), it’s time to get out of stocks, property and bonds. Some big banks could go bust. Money printing is reducing so bail-outs, we are warned, will soon become a thing of the past. In such a scenario many Nations will be forced to renege on their debts in one way or another because they can’t repay it or get enough bond buyers to enable continuation of spending beyond their means – and deflation will set in just like it did in Japan more than a decade ago.
Cyprus banks and all that.
Tighten your belts! If deflation wins the battle (inflation vs. deflation) it will strike like a sword. To pay off all that extra debt, expanded during the (ha ha) ‘recovery’, they’ll get the money from you and me in the form of taxes, levies etc.
Latest (2014) Deflation is definitely setting in. Reflation has failed, despite trillions ( €, £, $, ¥,) of funny money being injected economies around the globe recently. Straight economics is winning the day i.e. when debt can’t be repaid, reflation cannot happen until the debt is liquidated.
Truth: U.K. house prices
All markets work on supply / demand. More demand than supply and price goes up. More supply than demand and price goes down. In a (UK housing) market where volume traded (2013) is down 80% compared to 2005. There is a lot more supply than demand, despite what the news media report. So, what’s holding back the price slide? Answer: Most properties available for sale are not actually on the market. For years now, when someone fails to sell near the asking price, they remove it from the real estate shops and either sit still or rent it out. That’s a supply side problem building up. Behind it all the re-possessors are mostly not putting the properties up for sale or auction, like they did in the 1980s, to get what the market can afford to pay. Balance sheets of the lenders are so bad they cannot do that. They’re hanging on to the properties and valuing them ‘falsely’ in their accounts – buoyed up by the funny money being channelled through to technically bankrupt banks. There’s actually a massive over-supply situation but sellers find it hard to ask less than their imagined worth. The truth is not helped by websites such as ‘zoomla’, which persuades people that their property is still worth a fortune. Watch out for the cracks to appear. Don’t always believe the news media which is encouraged to say the best words possible in the attempt to restore confidence. In my view, the market is more or less ‘stuck’, living on hope and waiting to go down.
Note: The indeces used to denote house prices do not track the price of houses; they track the average amount people spend on buying a property (during any given month or year). So, if you can see “new price” on any properties for sale in your local newspaper, remind yourself it’s obvious that house prices are stagnant or falling, regardless of what the indeces show – because the indeces only show the average spend per property. To reiterate, the average spend per property has very little – sometimes almost nothing – to do with the price movement of individual properties.
The true state of affairs is not helped either by the constant whip wielded by the government who bleat on about ‘tremendous shortage of supply’ and ‘a property bubble’ in the hopes that the public will go bananas for property again (to lift the economy). Not least the UK economy is a large portion reliant on Brits selling their properties to each other – a fairly hopeless state of affairs that cannot last forever. In truth there is a shrinking minority out there who are willing to pay the extortionate prices asked. I’m convinced today’s buyers will eventually see themselves as the last of the big spenders. Local newspapers are stashed full of properties for sale, regardless of folk temporarily renting out or removing from the market on houses they want to sell. In a true under-supply situation there are very few properties offered in the local newspapers, as happened in the early 1970s.
UK referendum on the EU
The poli’s bogus re-negotiation should be ignored. It’s absolute rubbish to say the British public want to decide based on the tiny matter of how much welfare for whom. The real points of contention are obvious:
1 No more laws made by a corrupt organisation abroad
2 Dispense with such unsuitable laws already established
3 Complete independent control of UKs boundaries & immigration rules
4 Return of our fisheries and agriculture industries
The EU simply will not go along with these. It’s a soviet control mechanism. Je suis Brexit!
“When truth is said, love is felt. When truth is faced, love prevails” Anon
“What we think is life is a cosmic dream.” Gururaj Ananda Yogi
“To be or not to be: There is NO question.” Repusa Tekram
“Every moment is a meditation. Recognise this!” Anon
‘Gossip can be a vile weapon, besmirching people’s characters unendingly, unfairly; invisible shots fired low, defaming the innocent.
Gossip harms the gossiper too, feeding the ego – thereby reinforcing personal weakness.
Preferably, try to stop it coming out. If you can’t, reflect on your weakness multiplied and fortified by each babble, let alone beefing up your karmic debt.
Minding one’s own business strengthens the soul immensely, synchronous with benefitting the community.’
The diamond’s just a million reflections,
The pretty sky’s not really azure blue,
When we feel a series of emotions,
That’s all imagination too.The solid form’s a zillion electrons,
It seems as if we’re here and then we’re dead,
This cosmic dream’s a marvellous attachment,
To an idea invented in the head.
The glory of our Self is full awakening,
To consciousness of nowness without time,
The whole of us, suppressed by constant thinking,
The only “I” we’ll ever find sublime.
©John Lamb 2014