Bank coverage ratio farce
TPC has a good piece from Annaly Capital Management on the banks profit “mirage”: If banks had held their coverage ratio steady at 63.6%, where it was in the previous quarter, this would have called...
View Article“Fat cat bankers on wall street” is just Obama BS
Tech Ticker is very cynical on the Obama Administration. So too is the American public – as evidenced by the recent poll numbers. The excuse to spend until the world ends was that we need to avoid...
View ArticleGospel according to Geithner: “No second wave crisis”
Treasury secretary Timid Tim Geithner has predicted there will be no “second wave” financial crisis to follow the crisis of last year. “We are not going to have a second wave of financial crisis,”...
View ArticlePoll: Commodity price forecast for 2010
Will commodity prices be higher or lower at the end of 2010 compared to now? Higher Lower pollcode.com free polls
View ArticleEcho: MOVE YOUR MONEY
Denninger is again calling for a boycott of the big banks. We at Swamp Report support this 100%. The TBTF’s will not be TBTF if we move our money out of them. We however believe the boycott should...
View ArticleMove your deposits from TBTFs AND…
If you are underwater on your home loan and can’t afford to make the mortgage payment, give the TBTFs the keys rather than “cooperate” with them. You are better off AND the TBTFs are then forced to...
View ArticleThe debt is still here
TPC has a good post from Comstock, as summarized below: So let’s sum this up. Even in this big “recovery” that is being spun so heavily on financial TV, employment is still down 5.2%, retail spending...
View ArticleSimon Johnson goes crazy
Simon Jonson has suggested that (ultra liberal inflationist and debt multiplier) Paul Krugman be made Fed Chairman – instead of the bankster Bernanke. Bernanke definitely needs to go …but to replace...
View ArticleHistory Repeats
A 1934 Chicago Tribune cartoon…From the looks of Obama’s new budget, the plan to take over the United States hasn’t changed:
View ArticleGo back to 2007 spending – is that so hard?
Republican senator George LeMieux of Florida was appointed to fill the unexpired term of Mel Martinez, who resigned. His analysis shows that ALL WE HAVE TO DO TO BALANCE THE BUDGET is go back to 2007...
View ArticleWe have plenty of oil?
The U. S. Geological Service issued a report in April 2008 that only scientists and oil men knew was coming, but man was it big. We have plenty of oil right here within the borders of the United...
View ArticleIllusions of Cost Control
Robert J. Samuelson has a good article at the Washington Post on some of the Illusions of Cost Control. He makes a pretty good point about politics in this country: We ALWAYS take the easy/obvious way...
View ArticleNew debt creates money/inflation – reverse is also true
Washington’s blog is encouraging debate on what monetary system we should have in the United States. In the discussion, Australian economist Steve Keen advocates that equity shares owned by the...
View ArticleEven liberals hate the Healthcare Bill?
Fire Dog Lake separates supposed myth from reality. However, there’s no reference to taxpayer funded abortions that the bill makes possible, nor the moral hazard designed to drive private insurance...
View ArticleGovernment buys votes with jobs
Government jobs now exceed private sector jobs (ht Clusterstock).
View ArticleUS government’s main job is to transfer wealth?
TPC quotes Annaly Capital Management, who uses the following chart: This chart makes the point that: The primary function of government now seems to be transferring wealth from one group to another...
View ArticlePE ratios tell the tale
Dave Rosenberg in his “Breakfast with Dave” for Thursday, May 20th points to the Shiller PE ratio: In the past 130 years, whenever the Graham/Dodd/Shiller normalized P/E ratio goes above 20.6x (it is...
View ArticleIt’s the debt level -not money, stupid
You don’t have to be a bank to inflate or deflate. Jimmy Songwriter sitting at the bar has a flash of inspiration and quickly writes down a new song. His somewhat inebriated friend, Joey Songsinger...
View ArticleDollars are debts
Look at the photo of a dollar below: See where it says “Federal Reserve Note” and where it says “This note is legal tender…”? Dollars are notes or debts, that is, obligations of the Federal Reserve....
View ArticleThe downward pressure on Long Term Treasuries
Market Ticker often posts this graph of total debt (public and private) in the US: We can see from that graph that the trend is now changed to “down” after 50 years of “up”. The Federal government has...
View ArticleThe Real yield curve
Rosenberg argues the nominal yield curve would be inverted right now if it were not for the fact that short term rates are essentially at zero. The Treasury shows the Friday July, 9 nominal yield...
View ArticleThe Failed Policies of Barack Obama
A picture is worth a thousand words. The Dallas Fed provides this chart depicting, better than words can articulate, the Failed Policies of Barack Obama:
View ArticleWhat if all bonds are bought by the FED?
Robert Prechter writes (emphasis added): Economists hint at the Fed’s occasional impotence in fostering credit expansion when they describe an ineffective monetary strategy, i.e., a drop in the Fed’s...
View ArticleFED is as powerful as the Black Knight
Boston Fed president Eric Rosengren, “with a straight face” talks about how the FED can affect the economy with nominal interest rates at zero: I’ve called this talk “How Should Monetary Policy Respond...
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