Monday, October 10, 2011

Hot air. Heads down mindless boogie

Hot Air © fintag

News comments:
Some of the hot air being spouted at present beggars belief.

Belgium government bails out Dexia
...Belgium is nearing Greek levels of debt so will be downgraded
...Dexia is so toxic that nationalisation was the only way to keep it off the streets (just like RBS)
...Dexia can now offload its crap without the rest of us knowing where it has gone
...Tax payers are securing ANOTHER bank bonus pool

Merkel and Sarkozy agree to have talks about talks about talks and a roadmap on 23rd October
...Will be too late
...Greece will have defaulted by then
...Greek government will be forced to Nationalize its banks and so screw the French who own most of them
...Soc Gen and BNP will be merged together and Nationalised
...DB will be seen as the next toxic bank

US avoids recession
...But still has trillions in debt that it cannot pay in our life times
...Obama will still be kicked out
...Bernanke gets a pat on the back and prints even more money
...Inflation will erode the average Americans income and savings further
...US debt to be worth even less
...(although if it can grow fast it will rule once more)
...TARP 2.0 will be resurrected to keep Goldman Sachs alive

UK Austerity Cuts help it keep its AAA
...And yet its debt goes up every month to highest levels ever
...Unemployment and Inflation just keep on rising
...Turns into the next Japan as King cannot turn the printing press off

Today's shorts:
Greece and the Anarchists (telegraph)

Today's longs:
Hedge Funds. Too little, too late (bloomberg)

Being a banker to be made a criminal offence.