Financial Vagabond

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I don’t normally completely republish posts, however I thought this one important enough to take such action.  We know that history tends to repeat itself, well humans do the same things [...]

Bonds, bonds, bonds…  United States Government bonds ARE the safest investment in the world besides cash.  Right?  They are aren’t they?  I mean they are backed by the taxing power of the United States Government so they have to be.  Well, sure you will get your money back at a measly 2.x% these days.  Isn’t [...]

Hold your hats folks as here are some of the forecasts for 2009 (link):

GDP falling by 2.2%
Slow recovery in 2010
> 9% unemployment by 2010
Decline in inflation (hmmmm… if monetary policy says anything this will reverse or at least eventually destroy the dollar)
Continued decline in housing prices
Decline in real consumption of more than 1%
Indeterminate on the [...]

If my emotional barometer is any indication of where people’s minds are at the moment then I can only label it as coming down or recovering from a major hangover. It is the Sunday afternoon after a big night out sipping on your bloody mary to ease the pain.
We have been living on credit and tons of [...]

Ever watched a sci-fi movie where the crew goes into stasis while they travel from one end of the galaxy to the other?  Ever contemplated Purgatory where heaven and hell meet?  
I feel as though this is a period of semi-consciousness awaiting judgement…  Last night I was catching up on some news online when I was [...]

 
As I write this the Nikkei is down 580.52 points to 7,880.36.  All of Asia is down across the board.  A sea of red you might say.  It will be interesting to see what happens with the European markets once they open.  I imagine if Asia is down so will be Europe.  None of the [...]

The theory was beautiful (well in the abstract)…
Give troubled banks more credit and they will lend it out and the economy will stop its free-fall.  Now, that sounds like utopia to me.  Create credit and we will all be saved for unemployement, slowing production, decreased consumer spending, and rising interest rates.
HOLD ON… let’s put a [...]

I received an email from a friend and here is my response.  You ought to be able to decipher what the questions were about.  These are my opinions of the present situation, and are by no means recommendations.  
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1) Voting for McCain…
I really don’t think voting for A or B is going to matter. [...]

I watch the markets on a daily basis, and attempt to stay informed as to what is happening in the world.  To be honest it isn’t a easy task as there is so much information to digest.  Alas, that is the beauty of the Internet.  
Anyways, I started to notice a similar feeling that creeps [...]

I agree that we are probably going to see a continued decline in commodity prices especially PMs.  However, given the increases in the monetary supply I forsee this trend reversing.  When the trend reverses, which isn’t going to happen immediately because we are headed towards a major recession, with unemployment rising, and more likely interest rates as well, inflation [...]