Friday, September 19, 2008

Close Call, and it ain't over yet...

I wonder if Americans realize just how close to the precipice of a banking and financial collapse the U.S. is or was.  "Was" remains to be seen.

You can't cure a fire hazard in a building by arresting the guy out on the street who is pointing it out to the people thinking of entering the place.

This is a tradable rally, and I am going to trade it - even though I despair for the future.  Thank G-D! I am not short!  But when this rally ends, I will be short with a vengeance.

If you are not buying Gold, Silver, and Ag land with your cash NOW, it will be too late at some point should the oil import numbers stay on trend.  At some point the market is going to notice that boogey man.  What is the point of working hard and being frugal only to have your asset values destroyed?  You would be better off taking a trip around the world and spending all your money.  In the end you will be in the same financial place, but you will have lived a more interesting life.  

Good Luck!

Mentatt (at) yahoo (d0t) com


Bureaucrat said...

Fortunately even the Republicans aren't thrilled with "bailout nation" right now.

Anonymous said...

Have you been noticed that the Russians are getting pretty aggressive in the international arena? New Russian naval bases in Syria. Negotiations with Cuba for a military presence. Verbal fisticuffs with every western pronouncement. Russian nuke bombers & naval ships visiting Venezuela.

A few weeks ago, news came out that the Russian leadership believed the US was facing an "existential" crisis in the near future.

Why? Maybe because Russia has lost patience with a the US military operations around its borders and throughout the ME. The best way to bring the US down is an economic defeat at a particularly vulnerable time.

So what may be happening is that Russia is organizing (with other powers?) a massive dumping of the US dollar. Part of this operation is a public demonstration that the US is not to be feared and likely cannot strike back effectively at any individual country who cuts USD ties. In other words- beefing up the morale of the troops before the main event?

Just an opinion....