Davidowitz: The DOW Could Fall 6,000 Points. Government gone Mad

Discussion in 'Wall St. News' started by bearice, Mar 26, 2011.

  1. Why You Should be Freaked Out About the Stock Market

    By Phoenix Capital Research
    Created 03/25/2011 - 18:35
    I doubt you will see this chart in the mainstream media any time soon... if EVER.


    [​IMG]

    This is a chart of the US monetary base. In simple terms, it charts how much money the Fed has pumped into the system (at least that it admits). So it’s a kind of visual of the Fed hitting the PANIC button: when the monetary base explodes higher, the Fed is FREAKING out.


    You'll note that during the Financial Crisis the Fed didn't do much until the autumn of 2008 when it pumped nearly $1 trillion into the system. Think about that, the Fed didn’t go nuts pumping money until the stuff REALLY hit the fan.

    You'll also note that there's only one other time when the monetary base went absolutely vertical: TODAY.

    Indeed, the Fed has pumped nearly $500 billion into the system since the start of 2011. Don't even try to tell me this is QE 2. If it was then the monetary base should have spiked in late 2010, NOT in 2011.

    No, this is the Fed FREAKING OUT about the financial system again. And it's a freak out on par with 2008.

    So if you think that all is well "behind the scenes" you're in for a rude surprise. Something BIG is going down and it's NOT good.


    And rest assured, by the time the mainstream media announces what it is, it will already be in full swing.

    Mark W. Kellstrom, CFA
    Strategic Energy Research and Capital, LLC
    Kellstrom@Strategicenergyresearch.com
     
    #11     Mar 29, 2011
  2. Dollar selling? It could be my fault selling USD before the ship sinks...dollar collapse/depreciation big time.
     
    #12     Apr 2, 2011
  3. Nine_Ender

    Nine_Ender

    The best thing a smart trader can do is invest properly in the market and ignore nutbars like you and the sources you actively seek out. In fact, this is exactly what is happening.

    Successful corporations are actively seeking out investments right now and buying up assets at today's prices. This sends a message about valuations that fools like you ignore. You are living in a fantasy land of hysteria. It would not surprise me honestly if you were residing in a mental hospital, almost nothing you post is rational.

    We are at a point now where this site can only loosely be described as a trading site. It is full of idiots like yourself spewing "the world is over" garbage. If I were a sponsor of this site, I would seriously consider pulling out. The quality of posts has reached an all time low the last few weeks, as the crusade of permabears that spam this site are yet again rebuffed by the real market and get even more hysterical and desperate to be right about something.
     
    #13     Apr 2, 2011
  4. Obama: Dollar just an Illusion, the US currency was actually not worth anything

    In a sensational interview President Barack Obama provided some deep insight into the monetary system: "The dollar is just an illusion" - the US currency was actually not worth anything.

    In the program "60 Minutes" of an US TV channel that is to be broadcast next sunday, the idea had actually been to put US President on the spot about the causes of the financial crisis and possible approaches to resolve it. But the assembled journalists were astonished to hear Obama tell them that the crisis was more deeply rooted than a lot of people thought.

    Specifically, Obama explained that the trigger for the financial crisis - the subprime crisis - wasn't actually a US-specific problem, but was a problem of the monetary system itself. This system involved compound interest effects that caused more and more debt, which in turn made it necessary to search for ever more debtors. The logical consequence therefore was that even people who were not credit-worthy were being lent huge amounts of dollars. Literally, Obama said: "Our money is an illusion."

    The group of journalists then asked him to elaborate. Obama did not hold back: "Money is nothing other than debt. The money that you carry in your pocket is other people's debt. Money only comes into existence through debt. And that is precisely the problem that we are having right now."

    A senior economist amongst those present questioned this stance, asking whether this meant that paying back money would also destroy money. Obama said that that was the case.

    Paying back debt destroyed money. That was also the reason why the dollar was running short and therefore increasing in value compared to other currencies: "Most loans are made in dollars. When these are paid back even in part, money is destroyed, and the dollar becomes scarce and expensive." That was the only reason why the greenback was rising against other currencies, because what was actually in people's interest was a weak dollar.

    But in his view the fundamental problem was the fact that the monetary system was reliant on ever-increasing debt levels. However, you could not take on debts without limitation. "That is precisely why we are in such a deep mess," were the US President's precise words.

    "Are you saying that money doesn't really exist in its pure form?" one journalist wanted to know. Obama nodded and said that that was precisely the case. And because everybody was indebted up to their limit now, the money in your pocket was practically worthless, and that's why we were having a big problem now. However, this wasn't just a dollar-specific problem, but a problem affecting all currencies.

    Complete article:

    http://www.mmnews.de/index.php/english-news/7593-obama-dollar-just-an-illusion-
     
    #14     Apr 2, 2011
  5. bearice is this supposed to be funny or something? Your recent campaign of non-stop spamming I mean.
     
    #15     Apr 2, 2011
  6. Posted by highly intelligent member:

    Bearice, keep creating threads which makes people think. I understand. Good trading.
     
    #16     Apr 3, 2011
  7. If you open an account in Bank OF China and hold their currency guess what its FDIC insured. You can invest in Everbank commodity funds CD's which gurantee your principal etc.... will the dollar die who knows... Ultimatley its your military that will hold your currency. Food shortages who knows but Americans are fairly fat and we grow most of our food. I think this is all polital we just don't want to pay back our debts so once everyone is selling dollars fed will start buying back thier debt from our debtors... who knows just few gueses and ideas if anyone wants to add please throw in.
     
    #17     Apr 3, 2011
  8. So why doesn't he advise buying currencies opposite the dollar ? No need to shovel manure there .
     
    #18     Apr 4, 2011



  9. of course you do realize that this base money is up against about 46 trillion of debt. that is being deleveraged ( destroyed).
     
    #19     Apr 4, 2011
  10. I am only replying since I posted an advise. Be careful of these longs.
     
    #20     May 12, 2011