Monthly Archives: March 2012
Ten days ago, Goldman’s Peter Oppenheimer published the “Long Good Buy, The Case For Equities“, a big research piece, full of pretty charts and witty bullets, which actively urged the rotation out of bonds and into stocks, yet not only marked the peak of the market so far, but drew ridicule even from the likes […]
Spain’s honeymoon with its new government is over. Following months of hope that Spain will somehow tiptoe around the sensitive topic of austerity, despite promises of such and slow leaking of bond yields wider, yesterday the government promised to generate savings of €27 billion of about $36 billion (Spanish GDP is less than one tenth […]
YES RANT! Letting a few frustrations out here without yelling
“On February 9, 2012, Attorney General Kamala D. Harris announced an historic $18 billion settlement with banks to bring relief to hundreds of thousands of home owners… “ Below is a link to an excerpt from the AEI event last week, “Bubble Trouble: Beginning of the End?” My presentation starts about 0:52 into program. […]
A few weeks ago I penned a series of articles relating to the “cancerous” policies of the Federal Reserve and how said policies are killing the basic principles of Democratic Capitalism. Of those basic principles, one stands out as being absolutely vital in order for business to thrive. That principle is the principle […]
Submitted by Chris Martenson Charles Biderman: The Problem With Rigged Markets “Even Wile E. Coyote had to come back down to earth sooner or later”, says Charles Biderman, founder of TrimTabs Investment Research. In his opinion, the prices of stocks and bonds – enabled by excessive financialization of our economy and central bank money printing – […]
Everyone makes mistakes. The best thing one can do is face up to the facts and acknowledge the error; fix the problem to the extent possible and do what is necessary to avoid repeating the mistake. Ben Bernanke's inability to admit his (and his predecessor's) mistakes condemns the Fed to repeat the sins of the past. In […]
In America, we’ve had an economic slowdown, or recession, every 4 to 6 years since the beginning of the Republic. So you can do the addition, by 2013 or 2014 we’re going to have another . . . we’re overdue for another recession. – in ETF Daily Ne…
Two years ago, when introducing then promptly enacting Obamacare, the president stated that healthcare law reform would not cost a penny over $1 trillion ($900 billion to be precise), and that it would not add ‘one dime’ to the debt. It appears that this estimate may have been slightly optimistic… by a factor of 1700%. […]
"Even Wile E. Coyote had to come back down to earth sooner or later", says Charles Biderman, founder of TrimTabs Investment Research. In his opinion, the prices of stocks and bonds – enabled by excessive financialization of our economy and central bank money printing – have been defying gravity for a dangerously long time.
If we continue to do all we can to preserve the status quo — to maintain "phoney" asset price levels as Charles calls them — at best we will restrict overall growth and handicap the economy.
The problem isn’t so much the unfairness and malinvestment evident in a rigged market. As Charles shrewdly asks: what happens when the market becomes un-rigged?
We’ve never experienced the unwinding of an entirely manipulated financial system, so we can’t predict for sure. But at this point, a painful collapse of our markets and loss of the US dollar as the world’s reserve currency seem entirely plausible.