It's Never Different This Time | Forex Factory

  • It's Never Different This Time

    From zerohedge.com

    Japan's years of quantitative easing, forced financial repression, and Koo-nesian stimulus efforts are an altogether too accurate test-tube for the accelerated policies that Bernanke has engaged. A glance at the charts below and one wonders how many times did Japanese investors look at the equity market's exuberance relative to bond yields and scoff greedily; how many times did Japanese equity managers ask "what are you gonna do, buy JGBs?" But time and again, the Japanese equity market realized the errors of its ways and attempted to 'creatively destruct' the status quo - only to be dragged kicking and screaming ... (full story)

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spekitox
Dec 5, 2012 3:26am
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Wise words, foto. In the end it's always the working class people footing the bill. In Strindberg's words:
"What is economics? A science invented by the upper class in order to acquire the fruits of the labour of the underclass."
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spekitox
Dec 5, 2012 3:47am
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Interesting theory, Mr. Spreadbetter. Nothing lasts forever (not even cold november rain, ha-ha), so I think there are bound to be good and bad times, peaks and crises;

There's one thing I just don't get. Why is that they're paying half of what petrol costs on this side of the pond? Am I missing something or is the rest of the world subsidising US prices?
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foto
Dec 5, 2012 3:08am
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There really is much complacency in the markets at this time.
Markets are totally beguiled by Mr.Potter over at the Fed and Obama in chief simply because they are going after all those evil people who work hard and save.
In the end does it really matter who pays the bill for the welfare state as long as the money gets extracted from someone?

Well all you young people are just so lucky, guess who will pay the Tab junior, don't you get it, you are.
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Spreadbetter
Dec 5, 2012 3:33am
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The USSA is the largest user of benefits/welfare globally, circa 95% of adults in the USA have used welfare at some stage. There's currently 48 million on SNAP - the food stamps. It's a socialist state in denial whose muddled classes thinks it's capitalist. And when that capitalism fails (as it routinely does) the losses are socialised, but the poorest blamed and punished for the failure.

Quoting foto
There really is much complacency in the markets at this time.
Markets are totally beguiled by Mr.Potter over at the Fed and Obama in chief simply because they are going after all those evil people who work hard and save.
In the end does it really matter who pays the bill for the welfare state as long as the money gets extracted from someone?

Well all you young people are just so lucky, guess who will pay the Tab junior, don't you get it, you are.
Reply
foto
Dec 5, 2012 3:50am
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Always it is those who live hand to mouth that pay the bill. For where else are the billions of mindless laborers looking for the next meal who are willing to toil endlessly, capable of generating the wealth for the political class to hold power by redistributing.
Two things that life teaches are first there are no free rides, second don't be the bag holder.
The State exerts greatest power by eliminating the individuals ability to choose the path of their own life. This is accomplished by currency devaluation (destroying individual savings), Taxation of what remains.
So in the end a person really must learn who is doing what in ones own best interests. The preachers of we are just one big happy family would be more the ones to be wary of.
Me i prefer living a life that is based upon good fences make good neighbors.
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Spreadbetter
Dec 5, 2012 3:56am — Edited
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Well, circa 65% of what is paid at the pump in the UK is tax. But your subsidising theory does hold water. Has the tipping point for foreign crusades in order to steal mineral wealth been crossed? Perhaps that's why we're reading many articles in the MSM citing the USA being potentially energy independent by 2020.

If the USA petrodollar hegemony is threatened then there is violent consequences. If this new heralded energy 'independence' is a smokescreen to have the USA 700+ military bases eventually stand down, with false pride still intact, and signifies the USA becoming insular and protectionist then the long term benefits could outweigh the deficits.

Quoting spekitox

There's one thing I just don't get. Why is that they're paying half of what petrol costs on this side of the pond? Am I missing something or is the rest of the world subsidising US prices?
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Trader#7312
Dec 5, 2012 3:18am
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look at that chart, everytime it reaches a new low QE inflates it back up for the market to fade it back down which is a huge oscillating pattern and that is the pattern that i think all the markets are going to be doing because every time it threatens to keep heading south the feds will step into inflate more and i think they can do this for many years to come
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foto
Dec 5, 2012 3:30am
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Yep, the economic model being pandered, well they leave out the part that says batteries not included.
It is going to be a wild ride.
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Trader#7312
Dec 5, 2012 4:31am
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Quoting Spreadbetter
Well, circa 65% of what is paid at the pump in the UK is tax. But your subsidising theory does hold water. Has the tipping point for foreign crusades in order to steal mineral wealth been crossed? Perhaps that's why we're reading many articles in the MSM citing the USA being potentially energy independent by 2020.

If the USA petrodollar hegemony is threatened then there is violent consequences. If this new heralded energy 'independence' is a smokescreen to have the USA 700+ military bases eventually stand down, with false pride still intact, and...
interesting thoughts there
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