All speculation is over for now, the biggest speculators (banks) are broke!

Discussion in 'Economics' started by crgarcia, May 25, 2009.

  1. Don't hold your breath on anything (stocks, oil, euro, homes, etc.) for at least 5 years, maybe 10 years.

    The biggest speculators (banks) are broke.

    All those "Oil is gonna rally" "dollar will crash hard" statements are nonsense.
    Banks don't even have money to pay deposits, much less to speculate with oil, euro, etc.
  2. What are you talking about? Banks dont have money? Thats all banks do have! If a bank doesnt have money, its not a bank anymore. Banks have money, and they WILL dump their american dollars soon. Before this year is over, you will see the dollar crash.

    Banks dont have money....thats like saying cows dont have hamburgers in them, or pigs dont have bacon....sheesh.
  3. And oil is going to rally, I might add.
  4. Banks have little money, compared to their deposits.

    Just look at M3
  5. So where did the trillion dollars of Tarp money go?
  6. They are in reserve for the next 2 trillion in coming foreclosures.
  7. Banks never had money.
  8. Banks have money, courtesy of Bush-Paulson-Obama-geithner-Bernanke and their masters.

    They just need to hold it and use it to repair their capital base as their losses come due, continuously, for who knows how long...

    ...oh, and they're going to be asking for quite a bit more money as soon as the autocrats think the political furor over the last round of bailouts has calmed down a bit.
  9. 1.) You're comparing farm animals to banks.

    2.) Banks don't have any money in the sense that the liabilities on their balance sheets far are much bigger than the assets.
  10. This is what I mean, money relative to what they should have.

    Or relative to what they say they have?
    #10     May 27, 2009