That is one of the reasons how the world economy will suffer further loss of $1200 Trillion. People who have money now, will become greedy when they see "low priced investments" and they will invest in loss-making investments and ultimately world economy will further lose $1200 Trillion from the available $1400 Trillion.
====================== Pretty clear television illustration, T net. Well certainly a catastrophe for C, LEH...; and those 2 tried to blame game short sellers . I wouldnt want to try to catch a falling dino,falling knife, or anything like that . And Toyota Motor Co was formed in 1933 i think; so i dont want to be too general. Animals make good organic fertilizer, & most scientists think oil & coal were helped formed that way.
When you want to avoid panic, focus on tangible assets. The state of collective infrastructure and services, how long can they last during a crisis? The rate of depletion of natural ressources needed for a rebound vs the development in recycling of waste. Diplomatic relationship between the main players, are they putting pragmatic people in place? or they try to appeal to paranoid population who wants to show the ennemy it can beat them, therefore making the other side suspicious about what they're trying to hide. If unemployment grows too high, can they police mass protest and sabotage from angry trade-unions who lost their job due to government not intervening to avoid moral hazard? How long can they do that? All these things give you information about where you need to be, what you need to practice at home. Talk with people everywhere, ask questions about many things, don't focus only on armageddon* but also how they cope with it or how they cope with stagnated economy. *hyperinflation then civil war then state breakup then low supply chain except old black market therefore high criminality due to newfound power for criminal syndicate
More indicators of approaching massive financial catastrophe. Germany has predicted that its economy will shrink by 2.25% in 2009, which would be its worst performance in the post-World War II era. The downgraded forecast is much lower than the previous prediction of 0.2% growth, made in October. Germany's economy accounts for about a third of eurozone output. Germany is a export power-house for heavy industrial machinery. This means worldwide giant industries are shutting down Goldman Sachs says "0% Interest rate is too high." A new analysis by Goldman Sachs (GS) concludes that the Federal Reserve's cut in the federal funds rate to a record low of zero to 0.25% on Dec. 16 isn't going to be nearly enough to get the economy going again. The report says the Fed would need to reduce the federal funds rate to negative 6% by the end of 2010 to supply the needed amount of monetary stimulus. The problem: It's literally impossible to cut interest rates below zero. As a result, "we are entering a world with interest rates that are far too high for the economy's good," Goldman Chief U.S. Economist Jan Hatzius wrote in a Jan. 16 research note. All this means is that printing money is inevitable with all the consequences that brings. Once the USA and UK does it by the spring or summer the Dollar and Pound will be worth about the same as a baked bean and the country bankrupt. That is the worst thing the government can do. By just increasing the amount of money by printing more means that you just devalue the currency. This is what killed the economy in Germany after World War I and ushered Hitler into power, when the deutschemark was so devalued it took a wheelbarrow full of money to buy a loaf of bread. Barack Obama's home state "Chicago" is famous for corruption. Few days back somebody was trying to sell Obama's vacant senator position. There is high possibility Barack Obama bribed his way to USA presidency. Barack Obama is the "biggest fool" in this world. It is highly surprising how did Obama became USA President. Barack Obama is also a Muslim. Maybe Obama is an Al-Qaeda Spy/operative now controlling USA president position.
In 2007, USA real estate were worth $20 trillion. By June 2008, USA real estates would be worth $40 Trillion. China & India real estates are 5 or 10 times more expensive than USA real estates. Now think of worldwide real estates, stocks, commodities.
I dont know for sure if shtf is coming soon but I know its coming within a generation. I do think it will be a buyers market for many years to come in the US. One of the reasons I expect this is because I expect the economic problems to persist for a long time. Not only that the baby boomers are retiring soon. They have massive amounts of real estate, businesses, stocks, bonds and other assets to sell to fund their retirement.
ca⋅tas⋅tro⋅phe [kuh-tas-truh-fee] 1. a sudden and widespread disaster: the catastrophe of war. - no 2. any misfortune, mishap, or failure; fiasco: The play was so poor our whole evening was a catastrophe. - yes 3. a final event or conclusion, usually an unfortunate one; a disastrous end: the great catastrophe of the Old South at Appomattox. - no
Wow!! Holy crap!! 450 post is less than 2 months!!! Hey talknet when do you EVER get to trade??? Seems like you spend way too much time on E.T.
I'd say that the posters here that say that a worldwide credit lockup is part of a normal business cycle are... it's hard to find a word for such abysmal judgment... That is similarly stupid as thinking that the expansion-bubble would go on forever.. OK, I'm speaking slowly and using not-big words [picture Jeffrey Donavan in Burn Notice]: banks have toxic assets. Banks won't lend to each other. Banks are in trouble due to the toxic assets and inability to borrow, they tightened up lending practices to try to avoid worse trouble. People can't get loans, are scared anyhow, and are not buying. The savings rate in the USA currently is amazingly high compared to the recent past. The government's attempts to fix the problem are exceedingly expensive and very flawed. The basic problem is the toxic paper. They have not addressed that directly at all. They might never. Meanwhile they are printing lots of money. That will lead to inflation. We will have the situation where the banks are still insolvent, interbank lending is impossible, the currency is falling in value, businesses are going bankrupt and the Obama administration, orchestrated by George Soros is installing Socialistic garbage as fast as it can figure out how to do it.. all at the same time... When the dust settles we might not recognize the USA. We might not own it anymore. I think that personally, we should become very determined to hang on to the constitutional rights we have and play the rest of the chips wherever they fall....