The definition of an asset is, something that creates future economic benefit.
So, just exactly what ASSETS the Government has that will create future economic benefit? That is where you are completely WRONG.
And to whom? Tanks? Aircraft carriers? The white house? Sorry Dunrunnin but on this you are wrong.
The debts can never be paid back. That is the simple truth.
The code is as follows.
int SetRtn1( 0 ),
int SetRtn2( 0 ),
float GVhighMA( 0 ),
float GVlowMA( 0 );
max1 = maxlist(high,high,high,high,high,high,high,high,high,high);
max2 = maxlist2(high,high,high,high,high,high,high,high,high,high);
min1 = minlist(low,low,low,low,low,low,low,low,low,low);
min2 = minlist2(low,low,low,low,low,low,low,low,low,low);
If use2bar then begin
GVhighMA = ROUND2FRACTION((max1 + max2)/2) ;
GVlowMA = ROUND2FRACTION((min1 + min2)/2) ;
GVhighMA = ROUND2FRACTION(Averagefc( high, Length )) ;
GVlowMA = ROUND2FRACTION(Averagefc( low, Length )) ;
What is going to make the train derail? "they" have control of the stocks that "they" need to control to make it look ever so pretty. Indexes are created for this purpose.
C is trading a little above 5 % of it's all time high. 41.08 is 5%. ALL TIME high is 570 a share.........I would say that C is telling you just how bad C really is.
It simply does not matter. Can you not see the death spiral? If there is a deal so what. If no deal so what. It's either take the medicine now or die later via currency devaluation.
That is all there is to it. Nothing more than that. Stocks take time to get the effects of this type of thing. Look how long it took the banks that had all that sub prime garbage to get purged from the system.
And what happens with bad pregnancy? Usually not something very good.
through the system? It took quite some time. The housing bubble had already burst but the after shock took time to actually filter through and have an impact.
This is the same thing. USA GOV debt is pretty much sub prime at this point. It has all the same characteristics considering the way subprime debt was generated.
No documentation, lying about income, debt to income ratios totally wrong to justify making a loan.
This is the same thing now when it comes to this debt ceiling non-sense. What is the debt to tax revenue ratio now? About 6.53? Clearly that is not going to work out.
Schiff makes the points that things take time to filter through. He was right and he will be right again. How it effects certain stocks remains to be seen.
If you understand the DOW and how they play with it, then know what the true all time high and all time low is for THIS DOW. You will likely never see the numbers print on a chart but they do exist.
The real true crash level for THIS DOW INDEX is 9609.72. And to avoid it, all that has to be done is change the components yet again.
No matter what, Key support level was broken yesterday in DIA for starters. 148.84.
166.54 for SPY. If a bid was not put in today then more sellers would have shown up.
Now that it is known that is can be broken, let losers come in again and buy above it.
Then slam it down again.
Want to know why you get so many thumbs down? Because you tell the truth. You have been wrong about just how much these clowns have the power to get away with as evidenced by the direction of the indexes. On the other hand you will be right over the longer term.
Based on the idea of 100% debt to gdp ratios then it's over anyway. The thmbs downers probably are unwilling to accept this.
The default started the moment that the gov had to keep borrowing to operate. The gov has been in default for quite some time. Amazing to me that no one really sees this for what it is.
There just comes a point where you simply can not make ends meet and here we are. I believe the tipping point occurred some time ago anyway. It will simply be more damaging now.
None of it matters. It simply does not and here's why. I would not loan any government any money at this point under any circumstance. If you ran up your credit cards 6 times your salary do you really think that you could find another sucker to loan you any money?
It will take time for this to all play out but in the mean time the DOW is back down to it's current yearly pivot (more or less).
DOW futures level peak yearly pivot was 14735. So we get a little bounce as shorts ring the register.
Over 100 % debt to gdp ratio is the kiss of death. Anyone who disputes that is simply unwilling to accept reality.
I think what he keeps saying is that the percentages are smaller. Suppose you run a 1 trillion dollar deficit and the out standing debt is 5 trillion. So that's adding another 20 percent to what is already there. Then you get to 6 trillion. Big increase.
So now that we are at 17 trillion.......to keep it simple......add another trillion........heck, that's only adding a little more compared to what it was. A much smaller percentage.
It's all horse #$%$. That debt that is sitting out there will NEVER BE PAID BACK. So it is really worthless paper. However, as a tax payer you technically are entitled to stay at Barry's house too because you helped pay for it.
I think there will be a gap up on Monday based on the new dow divisor and its components.
If there is no debacle, then the open should be above 15540's give or take.
There are still YM shorts in trouble. Anyone else seeing this possibility?
It's really just a question of what level of debt to GDP tosses us over the cliff. I really don't know what that level is but my guess is probably around 110 percent or above. Maybe it already began.
If you ran your credit cards up to the max do you really think that if you called the bank and asked for a higher credit limit they would just give it ?
I think that is has already started. There are cracks in the pavement. But that does not mean that the humpers won't try to get some more stocks up and reprice them higher. It's simply what they do.
I was looking at Japan. Their stock market really fell off the cliff when their debt to GDP ratio hit 113 %.