Re: Reality Returns to the Crazed, the Greedy and theInsane ....

by Brass Monkey Tue 22 Jan 2008, 12:45

tac wrote:
Until thunderdome . . .

Quite liked thunderdome, the thing that stuck in my throat was the Tina Turner song at the start. What c*nt allowed her to do that? It makes it a bit of a camp charicature. If you can move on from that, it isn't a bad film.

Tina f'kin "We don't need another hero"(or some sh!t) Turner in-f'kin-deed.

by *Buckaroo* Tue 22 Jan 2008, 15:36

UBS the swiss bank is saying 1% recession in US.

Fed forecasts no recession - yet.

I guess they still have 3.5% of headroom to play with before hitting rock
bottom Rolling Eyes

by Merlin Tue 22 Jan 2008, 16:46

The Fed just slashed an unprecedented 3/4 percent off their base rate.
UK should follow next week .... hoping the investors return!

Clearly they are expecting a serious plunge if this move doesn't come off whilst hoping it does a holding job !!
if the plunge happens ... it's Black Wednesday all over again tomorrow.

by taipan Tue 22 Jan 2008, 20:30

Merlin wrote:The Fed just slashed an unprecedented 3/4 percent off their base rate.
UK should follow next week .... hoping the investors return!

Clearly they are expecting a serious plunge if this move doesn't come off whilst hoping it does a holding job !!
if the plunge happens ... it's Black Wednesday all over again tomorrow.

Groundhog day?

by Batman Wed 23 Jan 2008, 05:43

Good developments for people waiting to buy. Since two days now I have been on a shopping spree of stocks I had an eye on but found beyond my reach. I am buying, I am buying, I am buying.

There will be stability in a month's time. Investments made now will pay off by next two quarters hopefully.

by Merlin Wed 23 Jan 2008, 07:57

Batman wrote:Good developments for people waiting to buy. Since two days now I have been on a shopping spree of stocks I had an eye on but found beyond my reach. I am buying, I am buying, I am buying.

There will be stability in a month's time. Investments made now will pay off by next two quarters hopefully.

Wow !!
That's one helluva call Vicks !
Perhaps buy on the Mumbai SE maybe ... but risking London and NYK ...... ??

The Feds move yesterday was panic driven - if it fails to
bring about stability and/or recovery by March, the US (and as such western markets)
will definitely go into a deep spiralling recession and Interest rates would hike up again as a counter measure.
And as taips said .... groundhog day !

So, anything bought before the "signs" appear could dive faster than Fink on a promise!
Play cautiously ... the market's too volatile. affraid

by Batman Wed 23 Jan 2008, 08:50

Merlin wrote:
Batman wrote:Good developments for people waiting to buy. Since two days now I have been on a shopping spree of stocks I had an eye on but found beyond my reach. I am buying, I am buying, I am buying.

There will be stability in a month's time. Investments made now will pay off by next two quarters hopefully.

Wow !!
That's one helluva call Vicks !
Perhaps buy on the Mumbai SE maybe ... but risking London and NYK ...... ??

The Feds move yesterday was panic driven - if it fails to
bring about stability and/or recovery by March, the US (and as such western markets)
will definitely go into a deep spiralling recession and Interest rates would hike up again as a counter measure.
And as taips said .... groundhog day !

So, anything bought before the "signs" appear could dive faster than Fink on a promise!
Play cautiously ... the market's too volatile.

Of course I did mean for India stocks. I am not in a position to try US or UK investments [I was dying to have some Corus stock before Tata Steel took over. I would have retired rich in Hawaii].

by Batman Wed 23 Jan 2008, 08:54

Perhaps some of the yankies can invest in Indian stocks. It will recover and get in the hay much faster.

by The One Wed 23 Jan 2008, 09:33

they already are. where do you think the bulk of the fii money is coming from. with interest rates in the us lowered even more expect more cash to flow into asia

by *Buckaroo* Wed 23 Jan 2008, 15:50

people are predicting 0.5% further fed rate cut in early Feb.

and EU markets are all falling today. looks like the "balm" wore off.

interestingly george soros says the subprime crisis signals the end of the
dollar as the worlds reserve currency. this simple statement if true has a
world-changing effect on the american way of life and living standards going
forward...no longer perhaps would US be able to recycle its paid dollars back
into US bonds and maintain stability even with -ve savings and trade deficits.

someone has gotta cut back on the steak, PS3 and 50" LCD panels

people like Soros are the canny jungle fighters, loyal to no cause but their
own.....prolly just the first kid to called the emperor naked.

http://www.bloomberg.com/apps/news?pid=20601087&sid=aaqgpmbosZVM&refer=home

Soros Sees End of Dollar as World's Reserve Currency (Update2)

By Edward Evans and Simon Kennedy
More Photos/Details

Jan. 23 (Bloomberg) -- Billionaire investor George Soros said the fallout from the U.S. subprime crisis will bring about the end of the dollar's status as the world's reserve currency.

``The current crisis is not only the bust that follows the housing boom, it's basically the end of a 60-year period of continuing credit expansion based on the dollar as the reserve currency,'' Soros said in a debate today at the World Economic Forum in Davos, Switzerland. ``Now the rest of the world is increasingly unwilling to accumulate dollars.''

The dollar's share of global foreign-exchange reserves fell to a record low of 63.8 percent in the third quarter as demand for U.S. assets waned after the collapse of the U.S. housing market, according to International Monetary Fund data. It accounted for 65 percent three months earlier. The euro's share rose to 26.4 percent from 25.5 percent. IMF quarterly figures go back to 1999, the year the euro was introduced.

The U.S. currency has dropped 11 percent against the euro and 13 percent against the yen in the past year. It has declined in five of the past six years.

Soros made $1 billion in 1992 betting against the pound, forcing the British government to abandon a peg to a basket of European currencies. He was also the biggest financial backer of the failed effort to deny President George W. Bush a second term in office. The euro has gained 55 percent against the dollar since Bush entered the White House on Jan. 21, 2001.

`Gone Too Far'

``From the 1980s we had the belief in the magic of the marketplace, and the authorities were so successful that they started to believe in this market fundamentalism,'' he said. ``That's gone too far.'' In times of crisis, ``they suspended the rules and they bailed out the banks. That created an asymmetric incentive system, a moral hazard, that allowed the expansion of credit.''

Rising defaults on U.S. subprime mortgages sparked a rout in the credit markets in August, leading banks to cut money for consumer lending, hurting the U.S. economy's main engine. The Fed yesterday lowered its benchmark rate in an emergency move for the first time since 2001 after stock markets tumbled from Hong Kong to London amid signs the world's largest economy is sliding into recession.

Soros has used past appearances in Davos to predict the dollar's decline. In January 2004, he said the U.S. currency would drop for a third year. It then fell 7 percent, according to a Federal Reserve trade-weighted index of the currency.

Stephen Roach, chairman of Morgan Stanley in Asia, said in Davos that while he remains a ``dollar bear,'' the U.S. currency's slide may be reversed in the first half of this year as other economies in Asia and Europe are hurt by the U.S. slowdown.

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