Archive for the 'Economy' Category

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Schwarzenegger to Cut Most California State Workers’ Pay to Minimum Wage?

July 24th, 2008

It’s not the Onion. Via: San Francisco Chronicle: Gov. Arnold Schwarzenegger plans next week to slash the pay of more than 200,000 state workers to the federal minimum of $6.55 per hour to help ease the state’s budget crisis, according to a draft executive order obtained by The Chronicle on Wednesday. The governor also will […]

WACHOVIA BANK IN FLORIDA DISTRIBUTING COUNTERFEIT $100 BILLS

July 23rd, 2008

We already knew that Wachovia was/is in deep trouble. And there is no way that this is a coincidence. Ten counterfeit $100 bills in one transaction, from a struggling bank, in the middle of a banking crisis!? No way. I know. I know. People will say, “If this was a conspiracy to keep a large, […]

Bush, Thinking Cameras Were Turned Off: “Wall Street Got Drunk”

July 23rd, 2008

It looks and sounds to me like the monkey got drunk: Alternate links 1, 2.

Oil: Trading Opportunity

July 23rd, 2008

WARNING: This is not a recommendation to buy, sell or hold any financial instrument. Oil longs, lock and load. WTI @ $126 even, stop $125.70. I already provided the strategy and background for this in a previous post. Watch yourself. You’ve got bearish engulfing on the weekly… Either that weekly stochastic is going to go […]

Record Decline in U.S. Home Prices in May From a Year Ago

July 22nd, 2008

Via: IHT: A government report says U.S. home prices fell a record 4.8 percent in May from the same month last year. The Office of Federal Housing Enterprise Oversight also says prices, on a seasonally adjusted basis, fell 0.3 percent from April to May. The index is down almost 5 percent from its peak in […]

UK: Plan Would Allow Banks to Seek Emergency Funding in Secret

July 22nd, 2008

Via: Telegraph: The City watchdog has laid out plans to allow banks to tap the Bank of England for emergency funding without informing the market, in a move which might avoid a repeat of the run on the bank which led to the collapse of Northern Rock. Under the European Union’s market abuse directive, regulated […]

Wachovia Has Record $8.9 Billion Loss

July 22nd, 2008

WARNING: This is not a recommendation to buy, sell or hold any financial instrument. If Wachovia goes down, it would wipe out FDIC liquidity about 16 times over. That calculation is based on the following numbers: Wachovia’s assets, $808 billion, divided by $49 billion, which is roughly what the FDIC may or may not have […]

Is America Too Big to Fail?

July 22nd, 2008

Via: IHT: In the narrative that has governed American commercial life for the last quarter-century, saving companies from their own mistakes was not supposed to be part of the government’s job description. Economic policymakers in the United States took swaggering pride in the cutthroat but lucrative form of capitalism that was supposedly indigenous to their […]

Economist: “America May Default On Its Debt”

July 22nd, 2008

Via: Economist: Only six months ago, politicians were counting on Fannie Mae and Freddie Mac, the country’s mortgage giants, to bolster the housing market by buying more mortgages. Now the rescuers themselves have needed rescuing. After a headlong plunge in the two firms’ share prices (see chart 1), Hank Paulson, the treasury secretary, felt obliged […]

The Global Economy Is at The Point of Maximum Danger

July 22nd, 2008

Via: Telegraph: It feels like the summer of 1931. The world’s two biggest financial institutions have had a heart attack. The global currency system is breaking down. The policy doctrines that got us into this mess are bankrupt. No world leader seems able to discern the problem, let alone forge a solution. The International Monetary […]

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