"We're lucky that inflation is lower due to oil prices dropping"
Just so you know, our measure of inflation doesn't include oil prices or any other energy costs. We obviously feel it, but we don't measure it.
Marshall Y.
· 1 year ago
We're jumping headfirst into a liquidity trap.
Asterix
· 1 year ago
Gotta have easy money to make the machine work. Look for a game of chicken in the international banks with rate cuts, starting with an emergency cut this week on the part of the Fed.
Unfortunately, the US consumer has nothing but lint in his pockets and bills in his mailbox.
brian
· 1 year ago
I am actually scared. If this keeps up I might just have to move back full time to Italy, which is in better shape. The people who caused this should be tried!!!
lucky hussein
· 1 year ago
rate cut sounds like a good idea, but as far as the dow goes, it should be good for a temporary 3-hour 100 pt rise in the dow ;)
nikto
· 1 year ago
Perhaps Hawaii's fire god, Pelee could be called upon to stop the Crisis.
All we have to do is throw McCain & Palin into the flaming caldera of Mauna-Loa & everything will be OK.
Hey, it's worth a try, I reckon.
Ben Dover
· 1 year ago
Thought that only worked if you used virgins. And besides, I bet Palin has been passed around more than a bag of chips at a campfire.
KerrynowCampau
· 1 year ago
I feel strongly that it should be tried anyway
Ben Dover
· 1 year ago
Sorry to be OT but...
Sarah also may have a little bit of a problem with the IRS.
One of the scary things about the London Interbank Offering Rate (LIBOR) skewing so quickly is the LARGE impact this has on various exotic financial instruments like Swaps and Derivatives. Many of these instruments are pegged to LIBOR.
So, not only is credit drying up, but some very very big players are not so big anymore.
The Derivative market is mega-trillions $$$ and its mostly smoke and mirrors. It really doesn't relate to the provision of goods and services. Its more like a Wall Street gambling system. Its no longer a hedge or insurance.
maudegonne
· 1 year ago
The International Monetary Fund today added its weight to the growing calls for a comprehensive and coordinated international response to the global financial crisis, which it says has become disorderly and more damaging than it previously thought.
In its latest twice-yearly Global Financial Stability Review, the Washington-based institution dramatically raised its estimate of losses to the US banking system to around $1.4 trillion (£800bn), 45% up from the $945bn it estimated in April and reaffirmed just two months ago.
It also estimated that the major global banks need to raise some $675bn in new capital in the next few years.
The IMF report was released as shares in Britain's banks plunged once again, following emergency talks with the government last night over a possible injection of billions of pounds of taxpayers' money into the banking sector. http://www.guardian.co.uk/business/2008/oct/07/...
nicho
· 1 year ago
Since Bush was inaugurated, the Dow -- adjusted for inflation -- has lost 30 percent of its value.
Mission Accomplished!
Wild_Weasel
· 1 year ago
McCain does NOT have clean hands. His advisors pimped for some of the Wall Street maestros who brought this world crisis on.
Now these same White Collar terrorists are pimping McCain. Great article by Mother Jones.
Iceland is on the brink of collapse. Inflation and interest rates are raging upwards. The krona, Iceland's currency, is in freefall and is rated just above those of Zimbabwe and Turkmenistan. One of the country's three independent banks has been nationalised, another is asking customers for money, and the discredited government and officials from the central bank have been huddled behind closed doors for three days with still no sign of a plan. International banks won't send any more money and supplies of foreign currency are running out.
People talk about whether a new emergency unity government is needed and if the EU would fast-track the country to membership. On Friday the queues at the banks were huge, as people moved savings into the most secure accounts. Yesterday people were buying up supplies of olive oil and pasta after a supermarket spokesman announced on Friday night that they had no means of paying the foreign currency advances needed to import more foodstuffs. http://www.guardian.co.uk/world/2008/oct/05/ice...
Andrew
· 1 year ago
Niether party has clean hands when it comes to the manipulation of the economy and pumping in more make believe dollars isn't the answer. In the 90's Clinton had the Glass Stegal act killed which began a wild west atmosphere with dollars being created out of thin air which then gave us the tech bubble. Then the great Greenspan gave his irrational exuberence speech. So what does he do? Tells people to go run out and buy a home with an adjustable mortgage, pumps more dollars into the economy and the housing bubble was created. At the same time banking regulators under Bush looked the other way as anyone, even if you worked at 7-11 could buy a McMansion with no proof of income and nothing down. if your looking to place the balme at anyones door step, look no further than Congress. it made no difference whether the Congress was controlled by the Dem's or Rep's. They both are just as culpable and the American people were sold out by both patries going as far back as 1913 when the Congress allowed the printing of money to be taken over by a private cartel of banks that today make up the Federal Reserve system. Another sad fact is that most of you reading this don't even realize that it is un-constitutional to use tax payer dollars however imaginary they may be, to bail out private enterprises such as AIG, Bear Sterns and others. it's time to wake up from your slumber and apathy and demand that Congress do the right thing. Call for a national banking holiday for three days as they did in 1933. Absorbe the Federal Reserve into the US. Treasury. Nationalize the banks making them Treasury banks and back the dollar with gold and silver as it was prior to 1933. Printing more and more imaginary dollars is not the answer and paying interest to a private banking cartel is total insanity. Remind yourselves just how corrupt the system is an re-watch America From Freedom To Facisim. The message is the same today as it was in Jeffersons time. Return the creation of money to "The People" where it belongs as the days of living beyond ones means is over.
munjoyfan
· 1 year ago
The best way for the govt to unfreeze the economy--the banks are playing chicken---is to offer it some competition. The govt should immediately set up a small business loan program, managed by the Dept of Agriculture loan offices in every single county in the country. Get the money out there by Dec. 1. Watch the banks start to lend again. This works beautifully in a number of sectors.
All Comments
Just so you know, our measure of inflation doesn't include oil prices or any other energy costs. We obviously feel it, but we don't measure it.
Unfortunately, the US consumer has nothing but lint in his pockets and bills in his mailbox.
All we have to do is throw McCain & Palin into
the flaming caldera of Mauna-Loa & everything will be OK.
Hey, it's worth a try, I reckon.
Sarah also may have a little bit of a problem with the IRS.
HT to Towelroad.
http://taxprof.typepad.com/taxprof_blog/2008/10...
So, not only is credit drying up, but some very very big players are not so big anymore.
The Derivative market is mega-trillions $$$ and its mostly smoke and mirrors. It really doesn't relate to the provision of goods and services. Its more like a Wall Street gambling system. Its no longer a hedge or insurance.
In its latest twice-yearly Global Financial Stability Review, the Washington-based institution dramatically raised its estimate of losses to the US banking system to around $1.4 trillion (£800bn), 45% up from the $945bn it estimated in April and reaffirmed just two months ago.
It also estimated that the major global banks need to raise some $675bn in new capital in the next few years.
The IMF report was released as shares in Britain's banks plunged once again, following emergency talks with the government last night over a possible injection of billions of pounds of taxpayers' money into the banking sector.
http://www.guardian.co.uk/business/2008/oct/07/...
Mission Accomplished!
Now these same White Collar terrorists are pimping McCain. Great article by Mother Jones.
http://www.motherjones.com/mojoblog/archives/20...
People talk about whether a new emergency unity government is needed and if the EU would fast-track the country to membership. On Friday the queues at the banks were huge, as people moved savings into the most secure accounts. Yesterday people were buying up supplies of olive oil and pasta after a supermarket spokesman announced on Friday night that they had no means of paying the foreign currency advances needed to import more foodstuffs.
http://www.guardian.co.uk/world/2008/oct/05/ice...
if your looking to place the balme at anyones door step, look no further than Congress. it made no difference whether the Congress was controlled by the Dem's or Rep's. They both are just as culpable and the American people were sold out by both patries going as far back as 1913 when the Congress allowed the printing of money to be taken over by a private cartel of banks that today make up the Federal Reserve system.
Another sad fact is that most of you reading this don't even realize that it is un-constitutional to use tax payer dollars however imaginary they may be, to bail out private enterprises such as AIG, Bear Sterns and others. it's time to wake up from your slumber and apathy and demand that Congress do the right thing. Call for a national banking holiday for three days as they did in 1933. Absorbe the Federal Reserve into the US. Treasury. Nationalize the banks making them Treasury banks and back the dollar with gold and silver as it was prior to 1933. Printing more and more imaginary dollars is not the answer and paying interest to a private banking cartel is total insanity.
Remind yourselves just how corrupt the system is an re-watch America From Freedom To Facisim. The message is the same today as it was in Jeffersons time. Return the creation of money to "The People" where it belongs as the days of living beyond ones means is over.