Andy Xie, writing for Cajing, questions the durability of China's recovery. He argues that much of the upsurge in lending, which was one of the developments that cheered commentators, is fueling asset speculation, in this case in commodities, Reports this spring has suggested that as much as a third of the new lending was going into the stock market.
Observers have argued that China is stockpiling commodities as a diversification strategy., Xie adds an important tidbit to this equation, that banks are lending against commodities, using mortgage-like structures, and argues that the current price levels of commodities are a function of easy credit, not fundamentals.
Dear Xerxes, I said when Goldman came out with the 85 target on OIL.
BS!
YEs, again BS.
Not that I disagree with a potential for 100 OIL.
But now! and for them to come up with this kind of statmnet inidicates how indicently they manipulate public.
they and clients must have needed the cover for a nice distribution which that statment provided.
Of course, just the same time we were harping that not "Oil" was that good with OIL and it and Stocks market were looking for the same pin to puncture them.
Well, those that listen to Goldman deserve what comes to them
A lack of competition and a surge in revenues from trading foreign currency, bonds and fixed-income products has sent profits at Goldman Sachs soaring, according to insiders at the firm.
Dear Boris....There is meme that floats about that there are all these idiots around that get sheared by the sharks...And people are getting fleeced for sure...But I don't understand the pejorative contempt that successful traders have for the losers...A doctor doesn't call his patients names for not being able to perform surgery on themselves...An airline pilot doesn't view passengers as shmucks for not learning to fly themselves....So why are people that are trying to protect themselves from monetary debauchery so scorned and mocked...It seems to me that the GS types are more akin to child predators as they use esoteric knowledge and inside info to disgorge the pelf from the largely producing class to the detriment of the community at large....Rant over :-)
Dear Xerxes, Ther reaseon that is is the same. You mentioned all the professions. The common line between all of them is that they had a long study period of years to be at the top of their game.
Unformtunately a lot of traders/starters and some not so starters, think that trading is easier than being docotor or pilot or air traffic controlloer and they can wing it. And that is why they/most deserve the title IDIOTs.
How can they assume that they can understand investment world without paying their dues and studying very hard the subjects of market... I do not know.
But I can tell you I was one of them IDIOTS sometime ago, so here we go...
Well Dear Boris, they talked the talk of dumping the buck but they apparently haven't been walking the walk...
Bloomberg / June 09, 2009, 0:11 IST
The Brics(Brazil, Russia, India and China) are buying dollars at the fastest pace since before credit markets froze in September, protecting exports even as leaders of the biggest emerging markets consider alternatives to the US currency.
Brazil, Russia, India and China increased foreign reserves by more than $60 billion in May to limit currency gains as the first global recession since World War II restricted exports, data compiled by central banks and strategists show. Brazil bought the most dollars in a year, India’s reserves gained the most since January 2008 and Russia added the most foreign exchange since July.
While Russian, Chinese and Brazilian leaders suggest substituting the dollar, the central bank purchases show just how dependant they remain on the world’s reserve currency.
----------------
I wonder if they're really buying dollars...The euro is king these days...It must be Orwellian doublespeak where the euro is the new dollar....
Actually , the real reason Dollar seems to be constantly depreciated is partially( Big part I mean) connected with the fact that dollar is the oil that allows the world trade machine not to come to holt ( which it was/is still close to that state, after the crisis).
BRICs must thank the start of the Bernanke that he unleashed the incredible amount of Dollars to greece , whatever remains the wheels of the world trade.
Of, course, in this process of WORLD monetary spigot that made the USA polititians and FED PIGS and allows them to manipulate the world, while the real loser is an ordinary AMERICAN , whose , worth per hour of work has been coming down relentlessly for years and is to continue for a while at least.
I feel for my brother citizens of USA. For I am in the same boat as they all are.
Their worth is constantly diminished by depreciating their per hour income and/or savings, private or via social (in) security.
Dear Boris, Early indeed! Not my usual sleep pattern, but figured if I was up I might as well check on my local currency. And, of course, check in with you:)! Have a great day!
32 comments:
Dear Boris,
Good morning.
Thanks and good trading.
Bert
Well dear Boris, we are finally told why, what you said would happe, happened :-)
http://www.nakedcapitalism.com/2009/06/xie-chinese-banks-funding-commodities.html
Andy Xie, writing for Cajing, questions the durability of China's recovery. He argues that much of the upsurge in lending, which was one of the developments that cheered commentators, is fueling asset speculation, in this case in commodities, Reports this spring has suggested that as much as a third of the new lending was going into the stock market.
Observers have argued that China is stockpiling commodities as a diversification strategy., Xie adds an important tidbit to this equation, that banks are lending against commodities, using mortgage-like structures, and argues that the current price levels of commodities are a function of easy credit, not fundamentals.
Dear Bert,
very, very early up ha.
Good Morning, My Very Dear Friend
Good Trading to you
Dear Xerxes,
I said when Goldman came out with the 85 target on OIL.
BS!
YEs, again BS.
Not that I disagree with a potential for 100 OIL.
But now! and for them to come up with this kind of statmnet inidicates how indicently they manipulate public.
they and clients must have needed the cover for a nice distribution which that statment provided.
Of course, just the same time we were harping that not "Oil" was that good with OIL and it and Stocks market were looking for the same pin to puncture them.
Well, those that listen to Goldman deserve what comes to them
GOod Trading Dear Xerxes
Speaking of GS Dear Boris...
A lack of competition and a surge in revenues from trading foreign currency, bonds and fixed-income products has sent profits at Goldman Sachs soaring, according to insiders at the firm.
Dear Xerxes,
If they have so many stupid listening to every utterence of their nonsence, why not.
Thank Gold The Idiots are not in short supply in this world and GS counts on that.
Good Trading Dear Xerxes
Dear Boris....There is meme that floats about that there are all these idiots around that get sheared by the sharks...And people are getting fleeced for sure...But I don't understand the pejorative contempt that successful traders have for the losers...A doctor doesn't call his patients names for not being able to perform surgery on themselves...An airline pilot doesn't view passengers as shmucks for not learning to fly themselves....So why are people that are trying to protect themselves from monetary debauchery so scorned and mocked...It seems to me that the GS types are more akin to child predators as they use esoteric knowledge and inside info to disgorge the pelf from the largely producing class to the detriment of the community at large....Rant over :-)
EURUSD moving towards 5th high...
Dear Xerxes,
Ther reaseon that is is the same.
You mentioned all the professions. The common line between all of them is that they had a long study period of years to be at the top of their game.
Unformtunately a lot of traders/starters and some not so starters, think that trading is easier than being docotor or pilot or air traffic controlloer and they can wing it. And that is why they/most deserve the title IDIOTs.
How can they assume that they can understand investment world without paying their dues and studying very hard the subjects of market... I do not know.
But I can tell you I was one of them IDIOTS sometime ago, so here we go...
Good Trading Dear Xerxes for your rant
Well Dear Boris, they talked the talk of dumping the buck but they apparently haven't been walking the walk...
Bloomberg / June 09, 2009, 0:11 IST
The Brics(Brazil, Russia, India and China) are buying dollars at the fastest pace since before credit markets froze in September, protecting exports even as leaders of the biggest emerging markets consider alternatives to the US currency.
Brazil, Russia, India and China increased foreign reserves by more than $60 billion in May to limit currency gains as the first global recession since World War II restricted exports, data compiled by central banks and strategists show. Brazil bought the most dollars in a year, India’s reserves gained the most since January 2008 and Russia added the most foreign exchange since July.
While Russian, Chinese and Brazilian leaders suggest substituting the dollar, the central bank purchases show just how dependant they remain on the world’s reserve currency.
----------------
I wonder if they're really buying dollars...The euro is king these days...It must be Orwellian doublespeak where the euro is the new dollar....
Dear Xerxes,
I am sorry, the problem with EURO is that it is not a reserve currency, YET at least.
The reason is simple, EUROP is as dependent on exports as BRIC countries are and they do not important as much as USA is.
There are many reasons for this and cultural and political included.
So, the BRICs knwo where their food comes from and they keep the animal ( USA) well supplied with stocks in exchnage for buck(:-
GOod Trading Dear Xerxes
Actually , the real reason Dollar seems to be constantly depreciated is partially( Big part I mean) connected with the fact that dollar is the oil that allows the world trade machine not to come to holt ( which it was/is still close to that state, after the crisis).
BRICs must thank the start of the Bernanke that he unleashed the incredible amount of Dollars to greece , whatever remains the wheels of the world trade.
Good Trading Dear Xerxes
Of, course, in this process of WORLD monetary spigot that made the USA polititians and FED PIGS and allows them to manipulate the world, while the real loser is an ordinary AMERICAN , whose , worth per hour of work has been coming down relentlessly for years and is to continue for a while at least.
I feel for my brother citizens of USA. For I am in the same boat as they all are.
Their worth is constantly diminished by depreciating their per hour income and/or savings, private or via social (in) security.
Good Trading Dear Xerxes
Frankly My Dear Readers,
Best thing that would happen to USA ordinary citizens is that their currency becomes theirs and only theirs again.
Then they can count on being able to preserve the value of their work and savings
Good Trading
whose , worth per hour of work has been coming down relentlessly for years and is to continue for a while at least......
When the USDX settles in somewhere between 20 and 40, the bottom will be in. That will make EURUSD around 3.500 Dear Boris :-)
Dear Boris,
Early indeed!
Not my usual sleep pattern, but figured if I was up I might as well check on my local currency.
And, of course, check in with you:)!
Have a great day!
Bert
Dear Bert,
I like you checking with me any time you plelase(:- My Very Dear Friend
Good Trading
Dear Bert
Didn't think we'd make the 5th high after only a few hours today Dear boris...
Boris,
good morning
old john
Good Morning Dear John,
Good Trading my Very Deaer Friend
Dear Xerxes,
I did not think we would make it to 5th either.
In fact we acceeded a lot on CHF
Good Trading
Does Everybody see the market gliding over the path of trendlines we outlined a long time ago.
Please note on emini115, how the lows are kissing this line all along
Good Trading
Dear Boris...The Euro is showing the world who's boss...It just won't quit...Has gold passed the crown to the new hegemon?
Dear Boris...I didn't get the new emini chart
Your turns pack a punch Dear Boris :-) now I'm wondering what will happen with the euro if there is a rally in the afternoon session in equities...
I have manually resend to you my Dear Friend Xerxes,
Is there anybody else who did not get this chart?
Good Trading
Dear Subscribers
Boris,
Stocks should be doing better with weak dollar, trying to tell us something? Gold stocks doing ok, but that is it.
old john
Dear John,
I think there some message there.
And it is...
We shall discuss that in our message to subscribers
GOod Trading
Dear My Dear Friend John
I believe the silent approach is adequate today as the PRE FED day should or almost always, is...
Good Trading Dear Readers
Hi Boris,
sent you an e-mail about a yellower canary.
;-)
Hi Boris,
Joke:
Economic statistics are like a bikini. They show a lot but reveal nothing.
:-)
Good Trading My Friend.
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