Great Depression of 2016

[rufus]

This is the problem, you complain about China and then buy knives from them.
Just keep buying from the Chinese, and then wonder where they get the money to do what they do.
Don't buy American goods and then wonder why there are no jobs here.
Blame the companies blame the government but don't blame the people buying the Chinese goods.

Lets see how that works out.

Sorry Dennis, they fooled me. Usually, I will not buy stuff made in China. It is better to buy something used in the second hand store than something made in China. My eyesight is not what it used to be.

 

[rufus]

It's a sellers day. I can sell today and take the profit and not have to worry about the taxes for more then a year. You may see as much as a couple of weeks of down markets, not a big or unexpected thing.

It doesn't appear that you really know what QE was or did.

Quantitative Easing. That is infusing cash into the system to stimulate the economy. The banks never lent out the money, but put it into the stock market. I suspect that produced a bit of a bubble. Let's watch the next six weeks and see what happens.

 

[hemet dennis]

Quote:
So now your going to put a time on something. Great.
So how was this cash infused into the economy ?
They bought treasury bonds from bank reserves with cash, that cash had to stay in the bank because it's there reserves, unless the bank bought more treasuries. Bank reserves must be very safe no risk, that's why the use cash and/or treasuries, they didn't put it in the stock market.
Now all this buying of bonds drove up the price, and drove the yield down. So that treasuries were less attractive to regular investors. that drove regular investors to look for better yields. So they invested in a lot of things, stocks, commodities and businesses.

 

[hemet dennis]

http://www.wsj.com/articles/dollar-surges-to-11-year-against-biggest-rivals-1420221525

What I didn't see mentioned there was that the stronger dollars make imports less expensive. I would hate to see the benefits of lower fuel prices going to overseas and employing non U.S. workers.

 

[rufus]

What I didn't see mentioned there was that the stronger dollars make imports less expensive. I would hate to see the benefits of lower fuel prices going to overseas and employing non U.S. workers.

Read that again Dennis. The stronger dollar makes US exports more expensive for those buying them abroad. However, I am not sure what we really export anymore.

 

[MrsBrooke]

Read that again Dennis.  The stronger dollar makes US exports more expensive for those buying them abroad.  However, I am not sure what we really export anymore.

Oil/energy, GMO food, paper dollars, weapons, misery... That's really about it.

MrsB

 

[hemet dennis]

Quote:
This shows exports in dollars.
http://www.tradingeconomics.com/united-states/exports
We have been exporting a net of about 2 million barrels a day of refined oil products.

I read it and understood it, I was expanding on it to add imports. Don't you agree that a strong dollar makes imports cost less ?

 

[hemet dennis]

Quote:
You left off NON GMO food.

 

[MrsBrooke]

Quote:

You left off NON GMO food.

Do you really believe Monsanto is worried about sending ORGANIC, NON-GMO CORN to another country when they want our populace to eat genetically modified food and heaps of bread and sugar?

Come on, man. Do you REALLY believe that?

I love how there's no argument on "misery." When a country bombs weddings and children, yet takes the "moral high ground," I find that to be unsure footing.

MrsB

 

[rufus]

When foreigners buy our real estate and businesses, that shows as an export. Be prepared to learn Mandarin or Cantonese so that you can talk to your new landlord. Wave good bye to your jobs.

Also, we export a lot of metals, gold, silver, copper and scrap iron.

I have to wonder just how much gold is left in Fort Knox? If you watch Kitco Gold, the price always seem to creep up, until the market opens on the east coast. Then the price drops just about the time that government bureaucrats are done with their morning coffee.

I don't think there has been an audit of Fort Knox since 1954. Maybe now is a good time.

There is a lot of talk about some gold bullion being tungsten coated with a layer of gold. That worries me. Has the government done something with the nation's gold reserve? Were they suckered by some con men? What has happened?

https://www.google.com/search?q=tun...v&sa=X&ei=EmqtVLKFEsXtoATK-4DQBg&ved=0CDIQsAQ

There are a lot of answers that are not yet voiced.