Global Economy Bursting?

[Workbox]

Fed Takes a Break to Weigh Outlook

It's so hard to know what to believe in anymore. I am talking too so many folks from both spectrums. They all feel worried. Even those that are doing OK at this point are at the point of breaking even only. Good luck folks and many blessings.

 

[Terrel L. Shields]

hard to know what to believe in

If you can't believe what you read in the funny papers, what can you believe in? - Bullwinkle Moose

At coffee this morning... an engineer, a retired farmer, a Mennonite farmer, a retired construction manager, a junk dealer, an auto repair man and me.... the view is mixed as well.

The concensus that the economy was doing better but not by much.

But, the concensus was that real estate always goes up. The concensus was that a New Ice Age was about to happen. The concensus was that global warming is caused by man. The concensus was that Piltdown Man was a real missing link. The concensus was that it wasn't going to be that bad (07)... The concensus was it can't get worse (08) and the concensus was that it did...

The learned opinions of others isn't a very good proxy for what actually happens. We just never know. Truth only reveals itself on its own timetable.

 

[Workbox]

TS, many want to be hopeful, yet experience keeps you cautious. Best remedy will work for one, but not for the others. Unfortunitly as appraisers we can see the some of the cracks and wonder how long the foundation will last.

I guess my heart went out for some of my neighbors and friends and pray for their families.

 

[Workbox]

Bank stocks weak over Fed stress-test disclosure

What ever happened to "Transparency"? How come the banks lobbing group does not want you to see all of the data?

 

[Terrel L. Shields]

The government is not helping the banks nor punishing them. They are creating policy that does nothing to stem fraud or hold anyone truly accountable, yet at the same time, setting up rules making it difficult for banks to profit or making money cheap to borrow from the Fed then turn around and lend it right back to the government. Makes little sense to me.

 

[Big ole Boy]

Economist Krugman says the only way out is to .

.... Economist (I use the term loosely here) ..... says the only way forward now is to bail out all the states in the union and hire more public workers ........ to get the economy going again .......

..... in other words .... like all Keynesians .... spend, spend and spend .....

.............................................................

.... you have to have a lot of fancy degrees to tell people to spend?

.... heck ......

.... I got a BS degree .......... if spending is the answer .... why not just spend ... I don't know about another quadrillion everyday ......

...I mean ..... you have to go to fancy schools to come up with ideas like Krugmans ?

..... what we need is a spiritual advance ... not a monetary one ...

... the secularists threw away basic common sense when they left the church ...

... yea, the church ...... we out grew ..... but they threw the baby out with the bath water ....

.....

.... So ... Eco 101 ......... final term paper ... could read ...... "Lets just spend the #hit out of our future" ...... so we can be collective cult worshipers of personalities ......

 

[Randolph Kinney]

Fed Study of Student Debt Outlines a Growing Burden

http://www.cnbc.com/id/46638310

A report released Monday by the Federal Reserve Bank of New York renews concerns about the growing debt load of college students and graduates.

The report suggests that as many as 27 percent of the 37 million borrowers have past-due balances of 30 days or more.

“In sum, student loan debt is not just a concern for the young,” the report said. “Parents and the federal government shoulder a substantial part of the postsecondary education bill.”

 

[Randolph Kinney]

I Have No Choice but to Own Stocks: 'Black Swan' Author

http://www.cnbc.com/id/46718912

"I own stocks," Nassim Taleb told CNBC Tuesday. "I don’t trust Treasury bonds. I’d rather have a dividend than a coupon. I am afraid of hyperinflation. So I have no choice but to own stock and some real estate to preserve my financial situation."

Can America live with austerity? "We are doing it to the Greeks," he said. "We should do it to ourselves. We want jobs, we want a healthy economy. I want to live in a country that has the energy to rebuild things. This is gone. We have a metastatic government...You need to do something drastic."

The whole system "is rotten," he added. "The advisers around [President] Obama who were part of the problem were friends with the bankers. I don’t trust the Republicans with deficits. Look at what we had under the Republican administrations including George [W.] Bush. I want the main problems to be addressed and I want a major cleanup.

 

[Terrel L. Shields]

Nassim Taleb told CNBC Tuesday. "I don’t trust Treasury bonds. I’d rather have a dividend than a coupon. I am afraid of hyperinflation

If you read the Black Swan you know that Nassim's ancestors held millions in government bonds...Lebanese Bonds pre-war Beruit which was once the Wall Street of the Middle East. The bonds became worthless and remainded so.

 

[Randolph Kinney]

Treasuries Hammered as "Operation Twist" Unwinds; Another Triumph of the 1% Over the 99%

http://globaleconomicanalysis.blogs...lysis+(Mish's+Global+Economic+Trend+Analysis)

Anyone notice the backup in Treasury yields?