Tuesday, January 05, 2010

MORE BROWN SHOOTS

OMG, Japan car sales have fallen to LOWEST LEVELS IN 38 YEARS!!!!! Despite benefitting from our AMAZING cash for klunkers plan as Japanese economy continues to slow.

Richard Koo PLEASE STAY AWAY from America! I read a Baron's article that said he is suggesting we follow what JApan did to avoid a Great Depresssion, have their government fill the SPENDING VOID.....yeah Richard that's worked out GREAT hasn't it? As the country is mired in deflationary stagnation caused by the bursting of a ? REAL ESTATE BANKING BUBBLE! uhmmm back in 1990??!!! their stock market is STILL barely 25% of what it was then! SO YUP let's follow their ideas of how NOT to pay the piper let's STRETCH out our issues over a generation.......

TRY THIS ON FOR SIZE, JAPAN IS ONLY BEATEN BY ZIMBABWE !!! for thier DEBT as % of GDP, this piece says we are at 60%....comforting.

From barron's I found this on NY TIMES "U.S. LOAN EFFORT IS SEEN AS ADDING TO HOUSING WOES" by PETER GOODMAN

There's a good reason why $TRILLIONS of intervention amounted to just 2.2% GDP gain and has has little effect in returning us to a SUSTAINABLE thriving economy.....you can't print your way nor sweep your way under a rug to prosperity......values continue to fall yet there is no MARK TO MARKET VALUE for paper back by mortgages.

The UNPRESCEDENTED LIQUIDITY and intervention of 2009 is behind us, it is not likely that pace can be or will be kept up......and IMHO is the MAIN DRIVER OF STOCK PRICES THAT NEVER REACHED A BEAR BOTTOM VALUATION.

You don't deal with REAL ISSUES they just don't go away

Duratek

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