F Dominicus Blog

A politically incorrect blog about matters of money, government, bureaucracy, freedom and sometimes something else.

Do you like Thriller?

With an open end? Or are a fan of horror movies? Now I've found something for you: http://wallstreetpit.com/13428-total-us-savings-rate-lowest-in-recorded-history

Do you feel the cold of death? Or do you fell hells heat? Well whatever it is pray that this chart changes soon.

Or if you are against government as I am pray that the State goes bankrupt. It will be on of the ugliest things you ever will imagine, But then "markt" will be the only thing left to survive. I just can tell you see the problems we Germans had. And we got a really good revival. But now we are following the US to our own bankrupt.

Yes savings are now starting and yes that is good, but still there is too much debt in the developed countries. What will happen if the money will be used for buying things? You can see the assets are rising but are they raising because of good business? That's the question.

I found two very different videos on youtube about it: http://www.youtube.com/watch?v=hZNkYdsd7_0&feature=related and http://www.youtube.com/watch?v=fRV_b2AFnKw&feature=related We must also keep in mind the Fed has pumped literally tons of money into the economy. They name it the quantitative easing. But the Fed has accepted securirties which do not deserve that name. And the banks surely have not lend overly much of the money but the bought bonds and I bet assets. So a question not answered to met yet is. How much of the raising stock prices is due to money looking for profitable investment and how much is really driven by more profits from the corporations. AFAIKT is the unemployment rate still raising. http://www.youtube.com/watch?v=0nsehkDwxBA&feature=related A profitable recovery looks a bit different to me.

So I'm afraid the recovery still seems to be debt driven and not profit driven. So in my judgment peter Schiffer may lie but there still is no recovery but the money is driving up all the prices. So the higher stock markets are currently bubbled and not sustainable. I don't know if this will change the next months. But because of all the hampering of free markets I'm not very optimistic. And I just can see the signs that inflation is a problem and this of course is due to the insane printing of money. But the FED never ever will admit that. It's everything else but the loose money policy of the FED. It's the greedy bankers, the speculators and everything else. And even if it's worse now it would be even more worse without all the "actions" That's the fed way and you can not reject it. The unemployment may be even higher without all the interventions and so they are "good". But is that really true?

I'm afraid it will get worse and worse, there comes the day the bonds will mature and then? There will come the day where the asset bubbles will bust.... I just can repeat myself, don't trust government. If you do you'll be among the first losers... Do not buy anything but values yet. Do not buy any bond of the US or you'll be sorry. That's my opinion, feel free to decide differently.