Wednesday, April 06, 2011


First......I am not here to argue that money can be made riding a rally....especially if diversified into metals and energy......OK if I am riding something higher I am happy....especially if I don't care why..... But I DO care why. FED has come out and without any hint of doubt, their MAIN goal is to make it SO PAINFUL to hold cash, that you are FORCED INTO RISK ASSETS......that's their plan for recovery.
STocks are up 88% from 2009 lows, but it hasn't come at some cost. FED balance sheet has gone from $800 B to $2.5 raised from QE targeted for stocks....a rally that defies logic and volume, but it does technically look like a bull market....even if cyclical. OIL, GOLD< SILVER< WHEAT CORN ETC ETC...thru the perverbial roof. Costs of ALL things that matter GOING THRU THE ROOF. SO sure, when I hear some asshole coming onto CNBC (without anyone offering a counter that why I read their ratings continue to falter?) and try to tell me "FED HAS DONE GREAT JOB during this crisis"....and " CORE INFLATION IS QUITE MANAGABLE, not a problem.....US doing better than others....." I get pissed....sick.

DO I care if an ipad has dropped in price? Or a pair of socks is still $2.99?????? But I do care if it now costs $80 to fill my tank,I do care if Rice Krispies Box cost me $5, and I DO care if I get 0% on my conservative allocations..... When someone tries to FORCE a reaction, especially a HERD REACTION out of one thing into another....OH it will work for awhile, but it's not real....directly caused by their actions instead of free market will, this can be 100%'s unatural.

WHY now this far into RECOVERY are more people than at anytime in history needing Government assistance? food stamps? WHY did the Banksters debts get foisted onto the American people? WHY is 60 Minutes still showing how the housing market is getting worse and the tens of thousands in severe pain and distress? SO here we come to a deadline Friday, for govt funding....."OH MAN THE GOVT MIGHT SHUT DOWN...." gee what would happen then? No one could enter the Lincoln Memorial? I think they are playing it up so when they cut some kinda deal the stock market can use it as excuse to rally. My guess so we will see come Friday and next Monday.

WHY is the Exxon gas card I THOUGHT I wanted coming with measley $600 credit line and a 25% rate? What good is the 0% Fed funds rate doing me? doing the housing market? doing the Banks? ahaaaa I don't have all the answers, maybe I have none, but I do know this, if the economy is doing so much better, if a 90% runup in stocks is supposed to tell us something...leaving rates at 0% for an EXTENDED PERIOD of time, when the ONLY thing that can be seen as benefitting by that is commodities (inflation) and RISK ASSETS (like stocks ).....I guess I have my answer

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