Custom Search

Sunday, March 2, 2008

Financial Ninja Favs: February

In case you missed them, here are YOUR favourite Financial Ninja posts for the month of February:

1) Really Scary Fed Charts, Why Bernanke Will Furiously Cut
2) Fed CHANGES Really Scary Fed Charts
3) Fact Sheet: The Bush Stimulus Package
4) Fannie Mae, Freddie Mac: The Dumbest Idea Ever
5) Simply Insane

As far as the first two posts goes, they will be updated now that the February numbers are out. I can’t imagine that the situation improved.

I’ve collected some scary facts and figures regarding stimulus packages. I can tell you right now that stimulus packages give the tiniest of boosts for the shortest amount of time and then create the worst kind of long run economic hangovers. Pick a country. Any country. Same results.

In the short run, the prices of risky assets will continue to primarily trade off of developments, or the rumours of developments, in these names:

· Fannie Mae (FNM)
· Freddie Mac (FRM)
· MBIA (MBI)
· Ambac (ABK)
· Citigroup (C)
· Bank of America (BAC)
· Countrywide (CFC)

To simplify, watch how these indices behave:

· Bank Index ($BKX)
· Mortgage Finance Index ($MKX)
· Dow Jones Transportation Average ($TRAN)
· Volatility Index ($VIX, $VXN)
· US Dollar Index ($USD)
· Japanese Yen Index ($XJY)

Bottom line: Economic conditions are deteriorating the world over... and the pace is accelerating. Bottom callers will get annihilated.

Now for the good news: This is not the end of the world. While YOU may have grown fat and complacent, economic cycles have always existed and always will. Sometimes the amplitudes of these cycles can be greater or smaller. This is one of those times when the distance from peak to trough will be positively MASSIVE. But, as always, the beauty of capitalism lies in its nature. It is the most dynamic and adaptive system out there. Period. Recoveries, despite any interventions, will occur when they are supposed to. That is to say, once the excesses have been flushed and the weak hands have folded through the process of creative destruction. Not before. Then from a strengthened base the next ‘Golden Era’ is launched, where the previous economic peak is not only eclipsed, but easily doubled and trebled.

5 comments:

eda said...

101煙火,煙火批發,煙火工廠,製造浪漫煙火小舖,煙火小舖,衣蝶,衣蝶,情趣用品,情趣商品,情趣,情趣,衣蝶情趣精品百貨,衣蝶情趣精品百貨,煙火批發,情趣禮品,成人用品,情趣內衣,情趣精品,情趣商品,情趣用品,情趣,情趣,真愛密碼情趣用品,真愛密碼,真愛密碼,真愛密碼情趣用品,貓裝,自慰器,性感內褲,角色扮演,丁字褲,,跳蛋,AV,丁字褲,煙火,情趣用品,情趣用品

Unknown said...

nice post!!
We do kinds of casual clothing wholesale online, welcome to visit!!
Polo Shirts On Sale
Cheap Polo Shirts
Burberry Polo Shirts
ski jackets
The North Face Clothing
Mens ski jackets
Womens ski jackets
Ralph Lauren Polo Shirts
men's down jackets
cotton polo shirts
polo shirts
cheap polo shirts
discount polo shirts
polo shirts wholesale
womens polo shirts
mens polo shirts
polo clothing
polo long sleeve shirt
short sleeve polo shirt
long sleeve polo shirts
embroidered shirts
discount north face jackets
winter jackets
short sleeve polo shirt

Groupon Clone said...

Thanks for sharing. It was very interesting and meaningful.
Fiverr clone script| airbnb clone| Yelp Clone Script| Angry birds clone|

jersey shore season 4 said...

Great post thanks fro the read!!

osma said...

Hello Everybody,
My name is Ahmad Asnul Brunei, I contacted Mr Osman Loan Firm for a business loan amount of $250,000, Then i was told about the step of approving my requested loan amount, after taking the risk again because i was so much desperate of setting up a business to my greatest surprise, the loan amount was credited to my bank account within 24 banking hours without any stress of getting my loan. I was surprise because i was first fall a victim of scam! If you are interested of securing any loan amount & you are located in any country, I'll advise you can contact Mr Osman Loan Firm via email osmanloanserves@gmail.com

LOAN APPLICATION INFORMATION FORM
First name......
Middle name.....
2) Gender:.........
3) Loan Amount Needed:.........
4) Loan Duration:.........
5) Country:.........
6) Home Address:.........
7) Mobile Number:.........
8) Email address..........
9) Monthly Income:.....................
10) Occupation:...........................
11)Which site did you here about us.....................
Thanks and Best Regards.
Derek Email osmanloanserves@gmail.com