08 April 2010

Partners in Crime

"See, China's in a Catch-22. They have to keep loaning us money, so we keep buying their cr[ud]. So they're stuck. They can't bail out of bucks, because they have to keep this scheme going. So they're in a fix as well. And by the way, they're also holding on to those Euros. And you know jumping out of the Euro and jumping into the Dollar is like bailing out of the Titanic and going into the Lusitania. [...]Every country in the world... is continuing to stimulate. The stimulus is going to run out, the crash is going to happen."

--Gerald Celente

8 comments:

Anonymous said...

Sigh. Orthodox Catholics are poor enough without sitting out market rallies for exaggerated fears. On all the financial sites the most popular articles are always the irrational doom and gloom warnings. Perhaps the disaster reading assuages their anger at losing money or feeling powerless, but it doesn't help them to wisely use the money they do have. Please people, at least buy a safe utility stock or two, or the utility Index XLU so that you can get 4-5 percent on your money each year, and so double it in ten years assuming you reinvest the dividends. Safe, lucrative, and it outperformed all the major indexes for the last ten years.

thetimman said...

I would think diversification beyond stocks of any kind is the key. The "safe" utility stock may not be that safe. But consider me irrational.

Anonymous said...

I don't think you are irrational at all, or I wouldn't read your blog :) However, some of the doom and gloom mongerers are immune to contrary evidence, others are not irrational but just cautious bears-by-temperament. We should always be open to changing our minds as the evidence comes in--no matter how little faith we have in current politicians, etc. The flood of economic data now shows that the market will continue to recover--as many bears now admit. I am thrilled for everyone that we will avoid a double dip recession. My wife and I have means but live in a poor urban neighborhood. The poverty, foreclosures and joblessness that I see everyday is stunning. Things will be better here but in a couple years...

Anonymous said...

This presumes we actually have extra money beyond taxes, housing, taxes, food, taxes, utilities, taxes, clothing, taxes, transportation, taxes, medical, taxes, insurances and taxes, to invest. I wish I had this problem of where to invest!

15:15 said...

To Anon--

Sigh. Typical Repcon.

Anonymous said...

I bought XLU a few weeks ago. Is it crazy that seeing it recommended in the comment section of a blog makes me less confident in my investment decision?

thetimman said...

Anon, thanks for the not irrational thing. I don't know if you're right, but I appreciate the sentiment.

Your point of view on the economy is more popular than mine, I believe, but I still disagree. The great thing is I would be happier if you were right.

just wondering said...

the economy may recover momentarily, but if child killing continues you will be burning your garage to keep warm and using printed money for toilet paper, because that will be all that it is good for. God will not be mocked. rest secure in the bouncing ball theory if you wish, but i, for one, am counting on the Lord to end the slaughter of the innocent ones, how will He do it you ask? He will defund the killing machine.