Hey Ivan, I miss you over at Kitco. Not too many sane voices. They are still bashing you - in absentia. (Smaug)
. Ivanovich: First, my "no" was just to shut up SA. His babble has been on these forums in one kind or another forever. **************** September 20, 2007 SouthAmerica: I am back, I was away for the last 3 days and had no access to the internet. When the banks that I mentioned lost a ton of money in the derivatives market that market was very small compared with its size today. Today if we have a meltdown on the derivatives market there is nothing that the Fed or major central banks could do about it. Basically the global derivatives market is in automatic pilot and we donât have any global agency supervising what is really going on inside that market. Today the global derivatives market is much too big and if that market starts spinning out of control â we will have a major global financial crisis. And if that happens then the subprime crisis is going to look like nothing. .
Can anyone explain this to me, kind of a rhetorical question. If the Brits have a higher percentage of debt than the US person, why is GBP worth 2 X USD? I will give my educated guess........because every country uses a fiat money system the value is based on the perception of debtor to repay. I honestly don't think the US government is going to default on their debts like say Brazil or Argentina, but who knows right?
. Dandxq: I honestly don't think the US government is going to default on their debts like say Brazil ********** September 20, 2007 Southamerica: Your statement shows that you donât have a clue about the current and future financial position of the United States compared with Brazil. Now that the global markets started talking and started re-pricing risk â watch out. Can the rest of the world allow the United States to continue hogging the total global savings year after year when the world takes a close look at the future of the US economy when you consider that all the liabilities that are in the pipeline and the cash flow generated by the US economy in future years will not be enough to meet the US government obligations that are coming due? .
Cmon now don't take it so personally that I am talking about your continent. I give alot of credit to Brazil for becoming OPEC independent, but Brazil has defaulted twice as I recall. What we do know is the history repeats itself.
. SouthAmerica: I am talking about the future and not about the past. You will understand what I am talking about when my nest article is finally published and you have a chance to read it. The article is finished and I just need the article to be edited for one last time and it will be published in 4-parts. The article pretty much describes why Brazil will become very quickly one of the major countries of the future and I propose a detailed economic plan on how to achieve it. .