Comments on: The “Fix” Is In!

By: Chris

Chris — Mon, 21 Dec 2009 04:09:35 +0000

Greg, Any thoughts on the US$ 4% rise this past week? Is the market (mistakenly in my opinion) anticipating higher interest rates or is it a flight to safety? with the odds stacked against the US$ I can’t help but believe this is a short-term run up.

By: Greg

Greg — Mon, 21 Dec 2009 04:08:41 +0000

Chris,
Many say the fundamentals for the dollar and the U.S. economy have not changed. Thanks for the comment.
Greg

By: Carlos

Carlos — Wed, 16 Dec 2009 23:06:00 +0000

Greg, what about silver. Gold is just too expensive for the little guy to own much of. Do you think the ratio will ever begin to favor silver on the upside??

By: Greg

Greg — Wed, 16 Dec 2009 23:05:16 +0000

Carlos,
Silver is yery cheap but volatile.
Greg

By: Dane Howell

Dane Howell — Wed, 16 Dec 2009 23:04:42 +0000

I have to agree that Bernarke is scared to death to rase interset rates. His little remembered rapid rate hikes of mid 2007 were the trigger that sent the ball rolling for the first round of defaults in the subprime libor-Fed rate tied, 6 month resets of early 2008 effectively ending the Heloc driven portion of our consumer economy. He now knows further rate hikes will put even greater downward pressure on property values ie. extending to portfolios of many already distressed banks,

By: Greg

Greg — Wed, 16 Dec 2009 23:03:22 +0000

Dane,
It is all about real estate. Thank for the comment.
Greg

By: George

George — Tue, 24 Nov 2009 23:26:36 +0000

Both Kohn and Bernanke say, “…it is not obvious there are any large misalignments in asset prices today.”
Greg, forgive me for being jaded but “white man speak with forked tongue”. I believe that the DOW is grossly overpriced unless there is significant unrecognized inflation. Of course, just like the daring duo above, my saying that doesn’t make it true. But in my case, the math supports my position. Does basic math support theirs?

By: Greg

Greg — Tue, 24 Nov 2009 23:25:40 +0000

George,
The math looks bad to me. Thanks for the good comments.
Greg