I am surprised at the resilience of iron ore. It's not all gloom and doom. It's just gloom. Or is it?
"Combined public and private debt has jumped by 36 percentage points since then to 265pc of GDP in the the developed economies."
That would be the economic recovery then!!
Matthew, 30 Jan 2016, 09:21 AM Your simplistic view is so flawed it is not worth debating. The current oversupply will be swallowed in 12 months. By the time dumb shits like you realise this prices will already be rising.
The commodities market is already saturated, even as more capacity is coming online from Brazil (recently downgraded to junk status) and heavily indebted small cap miners desperate for cash flow and market share.
The writing's on the wall for banks. There won't be another credit boom. Fear of a recession (the first in 20 years) has gripped the suburbanite.
People see miners expanding and assume there is a market for all the shit but in reality a lot of what we see has no purpose other that credit creation. Everyone knows debts must be increased else we fall into deflation and financial armegeddon but when there is no viable place to loan money you create it and give to anyone.
And then is the derivative pyramid to manage. Many observers believe AIG insurance and GM were bailed out to prevent a credit default swap catastrophe. All markets are bullshit now and all serves one purpose. To take wealth out of the hands of the average person and transfer it to the hands of the wealthy elite. As it has been throughout all history. Once you come to that realization you can begin the process of extracting yourself from the ponzi and consolidating real wealth. Or you can stay in and try and game the game. Good luck with that.
No there won't be another credit boom will there. No room with interest rates and nothing bigger than the housing bubble to steer it into.
"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Stuart Mill
"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Stuart Mill
Can't wait for FOMC. I think it's gonna tank either way: 25 basis, 10 basis, QE4, or on hold.
Just degree of collapse that will differ.
Nothing can save this bear market. "Structural" as you mentioned. The MSM and and general mom and pop investor has been implanted with the meme that the Fed are a bunch of clueless idiots who can't fix shit. And if the Fed can't, what hope does PBC, RBA, ECB, or even the psychopathic BoJ has?
I dare say equities investors have gone "vigilante" like bond vigilantes.
I suspect that some of the under performance of the ASX of late is due to the rise of the SMSF and the extra control given to most people with super. I've been defensive with my super for over a year and missed some of the gains but avoided the drop. Just imagine what happens to the economy when people decide to put their super into cash. Big problem.
Can't wait for FOMC. I think it's gonna tank either way: 25 basis, 10 basis, QE4, or on hold.
Just degree of collapse that will differ.
Nothing can save this bear market. "Structural" as you mentioned.
We're following the US down again, just goes to show that the pricing of the aussie market has nothing to do with the fundamentals of the listed companies.
They are probably trying to either manage the repricing or just warming up to do a complete rug pull.
"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Stuart Mill
With nearly all world markets finishing the week in the red, I predict our markets will take a dive monday. I thought it might be fun to take a punt, like a sweep, to see who can guess the outcome. Lets stick with the asx all ords to make it simple, and I'll go with 95 off, that will put the close under 5100. http://www.marketindex.com.au/all-ordinaries
"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Stuart Mill
With nearly all world markets finishing the week in the red, I predict our markets will take a dive monday. I thought it might be fun to take a punt, like a sweep, to see who can guess the outcome. Lets stick with the asx all ords to make it simple, and I'll go with 95 off, that will put the close under 5100. http://www.marketindex.com.au/all-ordinaries
Not sure. Dollar is holding up quite well.
I'd say 65 down.
Whenever you have an argument with someone, there comes a moment where you must ask yourself, whatever your political persuasion, 'am I the Nazi?'
Matthew, 30 Jan 2016, 09:21 AM Your simplistic view is so flawed it is not worth debating. The current oversupply will be swallowed in 12 months. By the time dumb shits like you realise this prices will already be rising.
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