Ron Paul: Predicts 15-year depression

reply to post by tide88


As jon stewart said, it's not a !@#%&^* game. You are making money off of people while contributing nothing worthwhile to society. My father does it (your strategy) and I know how to do it...but I don't. I know this argument doesn't work with the business crowd.

I think this rally is a ruse to flush out the suckers and the remnants of their money and scoop it up when things come crashing down for real.

reply to post by tide88


Are you selling on your gains? I would, i think its ripe time to take the last few weeks' profits off the table. There's probably one more valley-peak to climb before the stock market goes steady upward, in lockstep with the mild-to-bad inflationary mid term.

sell now, buy back after the phony rally. the SDR will forever change the dollar currency value to something denominated higher than ever. remember the term "a million dollars doesn't go as far as it used to" well, im not calling for ultra hyper inflation, but im calling for millionaires to be way more common due to currency, a $50 bill is the new $10. plus the monetary pool may have been flooded by 15 times where it was. The only certainty in the mid term is the uncertainty, so to speak. Theres certain to be more volitility, in other words.

all these developments will certainly bring the market up in relation, but the gain will be taxed by the inflation. Volatility, though, is a great time to profit. but sell liberally.

2 cents from an unknown

Are you guys kidding me - please - what caused this failure simply over priced housing ? Poor loans ? If you believe that is all it was you are in la la land.

There is a systemic over valuation in the economy - we have also passed peak oil meaning the cost of production on every item in society is going to go through the roof meaning there will be huge devaluations in real production.

Financial markets are NOT going to recover to where they were - end of story. China will still be the major production country with a massive trade imbalance to America with a massive surplus of government bonds it is desperately seeking to dump.

The only thing to have changed since this ALL started is that America has had their entire economy devalued as stock markets fell through the floor, the level of debt has gone stratospheric through government bailouts on top of the huge debt already rung up by bush, while asia and specifically china continues to grow by 7% -

So please - tell me how has the value of American stocks improved ? Where is the amazing new value to be found ?

If you think that investing in banks or credit merchants (amex) is a good thing when the consumer credit default crisis has not hit - as we wait for the tidal wave of redundencies to kick in - then you are borderline mental.

The US market will continue to fall for 12 months - the IMF and everyother institution worth a pinch agrees with this.

Ridiculous comments by tidal.

reply to post by tide88


GE credit rating was recently reduced.

www.bloomberg.com...

This might temporarily increase share prices as rating worries ease for a while, but credit downgrades opens up companies like GE to layoffs and R & D spending cuts which could hurt future market value and force further Credit Rating Cuts. It may even "Force" the nationalization of GE because it is an important institution under contract to the US government for many decades.

If you time it right sure, this would have been a positive investment. but this isn't a long haul investment, and with inflation and economic stagnation at the most fundamental levels investing in any financial instruments that are not hard assets will prove to be a major loss over the next decade and a half, possibly much longer.

Ron Paul for president.. of Texas. Chuck can be Vp.

All Texans, call for a secession of your state now and insist upon the ouster of globalist/bankster buddies,er.. Rick perry. We have 80% of the refineries and plenty of food and guns.

Remember the Alamo and the bailouts.

...and in other news, the market soars 500 points after news of "the government’s plan to help banks remove bad assets from their books and also welcoming a report showing a surprising increase in home sales."

"But wait! This can't make any sense! The government's the enemy, and Obama is the anti-Christ! Why are they doing things to HELP the economy? No, only when the market is down is Obama at fault..."
/conservatives

Ron Paul... wrong again. Maybe it's just me, but I always found it hard to take anyone serious who disbelieves the theory of evolution...

The economy may very well be in a worse state than they're letting us know, but to suggest Obama is systematically engineering the downfall of America is ridiculous. Right-wingers will NEVER have the decency to give Obama rightful credit for his successes... but you can bet they'll continue crying: "BIG GOVERNMENT is taking our freedumz." Yeah, well... just remember the FACTS, kids: Lack of government oversight created this turmoil... government intervention will bring us out of it. "He's supporting government... he must be a disinformation agent!"

Originally posted by seabisquit
Ron Paul for president.. of Texas. Chuck can be Vp.

All Texans, call for a secession of your state now and insist upon the ouster of globalist/bankster buddies,er.. Rick perry. We have 80% of the refineries and plenty of food and guns.

Remember the Alamo and the bailouts.

... a classic example of Texans/ conservatives: "Screw the country! It's all about my survival! And if any of you poor, starving folk get near my house - I'm filling ya with lead!" Talk about a disregard for human life.

[edit on 24-3-2009 by Blagojevich]

[edit on 24-3-2009 by Blagojevich]

reply to post by tide88


Then you might not want to forget to put in a "stop loss" on those positions. They'll come in handy in a few months.

Originally posted by cryingindian
God Help America.

Perhaps this is G-d's way of helping individual Americans who were born in into a country which no longer yields to its founding philosophy. Modern Americans and their parents were sold a bill of goods.

Originally posted by tide88
Originally posted by johnny2127
Originally posted by tide88
reply to post by baseball101

 

Three months ago the market was much higher than it is now. Good attempt though

It called dollar cost averaging. If you read my link you would of known my strategy and the advice I gave. What do you think I just bought stocks three months ago and sat on then. Nope! I have been buying stock every week for the past three months. I was also doubling and tripling up as those particular stock went down. The average I paid on Bank Of America was 3.50. No too bad of a return. You would be suprised how well this method works. Good Try Though!

Click the links I posted. Love it when people blindly respond without reading posted links. Regardless the point I was making is he has no clue what he is talking about. Over time you will realize this.

[edit on 23-3-2009 by tide88]

Apparently we have a clairvoyant Warren Buffett replica in our midst. Or he's full of it. Or he's lucky. Or he truly savvy.

If you did dollar cost average in as you say, good job. I find it very hard to believe you kept buying when the govt was talking about seizing Citi and Bank of America, which would have wiped out your entire position. But if you did, congrats. Although, I would question the wisdom of buying the worst of the big banks.

Originally posted by Perseus Apex
reply to post by tide88

 

Then you might not want to forget to put in a "stop loss" on those positions. They'll come in handy in a few months.

Absolutly, already done. I have a feeling there is going to be some major profit taking soon. ONe more downturn before the markets start to head up for real.

reply to post by johnny2127


As I said on the other thread I always felt BOA was a safe bet and the government would never nationalize. I also said it was money that I could afford to lose and warned not to throw your life savings at these stocks. It was just a risk I was willing to take and could of easily backfired. I also want to apoligize, i wasnt trying to brag, just got a little exicited. I still think BOA (BAC) will hit 20$ in 2010 be on its way to 40 or 50 after they pay the government back. Of course if Ron Paul was right it will be worth nothing.

[edit on 24-3-2009 by tide88]

Originally posted by Caminhando
reply to post by tide88

 

Stocks are a ridiculous way to make money. Don't get me wrong. I'm not saying you can't make money buying and selling stocks. What I'm saying is that it is a ridiculous system. It's fake. If you want to invest, invest locally so you have trustworthy businesses you can depend on in your community that will provide things to you that you need.

Giving more and more investment to these massive companies is just worsening the situation of personal freedoms. Sure, you'll make a lot of money investing in them, but you can also make a lot of money selling saline solution on the street as flu vaccine; that doesn't make it right, and a resulting epidemic doesn't serve you anymore than the victims of your activity.

Please understand what I'm saying: even the form of investment we do in these start-up, younger company only further emboldens them. What's the difference between Chili's, Maccaroni Grill, and your local mom and pop restaurant? They all started as mom and pops...the difference is that your local mom and pop's is still owned by mom and pop and still revolves around the food...Meanwhile, Chili's and Macaroni Grill kept growing and are now owned by the same corporation, do not focus on the food. Mom and pop are long gone as the number-crunchers and marketing people took over to create "an experience" with faux-cuisine, hyper-marketing and lack of real authenticity.

The worst part is that these superchains explode and the next thing you know tourists only eat at them when they travel...never grazing the local restaurants that have been a staple of the community they're visiting, eventually leading to their decline and disappearing.

So...keep investing in these companies, but I think there is a better way to be wealthy without selling out. It could also help circumvent this problem RP has showed to exist.

Sorry, mods, but I had to quote the whole thing for emphasis. In fact, I wish I could have it tattooed on the forehead of every American.

Caminhando, you have nailed it. The "bubble" is the result of the fraud that comes from large companies, the crap they serve the American public, and the crap they offer as "investments." Perfect analogy. If we want to grow this economy (for real), we have to do it one person, one small company, one town at a time, and that means private ownership of the wealth and the risks.

No kidding, I wish I could use bluebeam to shine this in the heavens as a constant reminder of who we need to be.

reply to post by tide88


you had just better hope I don't pick any of the stocks you have. I have a notorious record of devaluation. In fact, I have joked about opening up an investment counceling firm and using the strategy of telling my clients to do the polar oposite of what I suggest.

I did buy some GM, Ford, and Rite Aid. Maybe some day. I bought Lucent and Nortel when they started to tank. That one sure did pay off.

What do you think GE will do over the long haul?

I Iove GE. Yes they lost their AAA rating but that was well priced into the stock before it ever happened. They have their hand in everything, and should profit from obamas energy policies. In 3 years you will see it back till its all time highs, which gives even the person with the minimum amount of money to start amassing shares. Even $50 a week adds up over three years. Plus they will eventually raise the dividend back up, which is nice. As for the poster who disagrees with everything I say and all the pros disagree with me, you did see that john stewart video that was posted. How many times were they wrong there? How many times did they claim we were at the bottom? The fact of the matter is they don't know what is going to happen anymore then I do. These are my personal opinions. All I can say I am right so far. What have they been right about? We are in unchartered territory, they have no idea what is coming next. I believe we are heading towards a recovery. Also that rite aid scares me. They are close to defaulting on their debt payments and cant hold a candle to CVS or rite aid. UYG is another stock I have been buying. It is an etf financial stock that has some of the top banking stocks in it. If the banks recover this could be a huge money maker. I think I am also going to buy some blockbuster next week. I think they will be able to renegotiate their debt and are going to be able to cut cost effectively. And at 70 cents a share it sure is cheap. I also thought about buying both lucent and nortel a few years back. Glad I didnt though.

[edit on 24-3-2009 by tide88]

reply to post by tide88


Unfortunately the Feds actions as of late may put the brakes on any energy plan GE could benefit from. I'm not saying your optimism is completely unfounded, but any energy plan will be a long term investment probably stretching a couple of decades. By the time I'm 45 years old we will only have made it through about 3/4 of the work necessary to meet energy efficiency. In the short-to-mid term the conversion will be costly and by this time inflation will have already caused stagnation in economic function at nearly all levels. If we don't wind up with hyperinflation we will end up with government defaults and bankruptcies. Government has turned into a GIGANTIC bubble. While over the last 8 years the private sector grew by an average of 2 or 3 % per year the government grew by 8 to 12 % per year. It is the only sector currently growing in this environment now. And now it wants to get in the business of private capital management, health care, construction, housing, the automotive industry, the internet, agriculture, and even small business.

Where does this money come from? And when it does come what are the consequences of being the only sector? It pretty much guarantees gargantuan inflation for the long haul. All fed by our ridiculous debt.

GE would eventually collapse in this environment. So would almost all industry in America. And this is the most likely scenario, because it is no longer up to American politicians, and it is no longer up to Americans. The systemic failure not only has a mind of it's own, but it is being fed by the Feds actions and China's actions. It's a chess game and we're losing.

[edit on 24-3-2009 by projectvxn]

reply to post by projectvxn


Obviously under your scenario any stock would basically be worthless and the USA as we know it would cease to exist. However yours is based on the worse case scenarios and mine isnt. Obviously I do not believe what Ron Paul is saying. If I did I wouldnt put a dime in the stock market. Warren Buffet doesnt believe him either. If he did he currently would be trying to buy 43 millions shares of Goldman Sachs @ $115/share.

reply to post by tide88


Except that Warren's Berkshire Hathaway is experiencing alot of pain right now. It is not likely that alot of these large financial institutions will survive the wave of credit destruction, and it is not likely that the government can stem the tide with quantitive easing.

It is a worst case scenario. The problem is that one cannot ignore the worst case scenario. Because as I said, we are in a chess game internationally and moves are being made to dethrone the economic king of the world. When the Fed begins buying Treasuries it is a bad, bad sign. They are going to dump hundreds of billions into an unstable bond market. This devalues currencies because it may be the first clear sign that our debt will no longer be purchased by outside powers.

What do people use the dollar for? What is the point of Reserves in Dollars? To buy commodities like oil and Gold.

What has China been doing for the last 15 years? Buying HUGE amounts of oil world wide. And since 2002 they have allowed the private purchase of gold and silver. These are very important first steps when you're manipulating your currency, positioning the American government for default(US Trade and budget deficits are at beyond record levels and rising) through dependency, and then using those same dollars to purchase American resources like steel, oil, gold, platinum(Chinese car industry is expected to explode over the next five years), and a whole host of other commodities.

They are starting to realize they don't need us and will likely take much of the world with them. I'm just saying that you should hedge your investments. Over the next 4 years your GE shares will make you quite a bit of cash if we can postpone inflation for that long(And there are ways of doing this, but it depends on what the Chinese do). But I would match that at a comfortable percentage with hedges like foreign currencies, gold, silver, and platinum both on paper and the solid stuff. I even recommend oil stocks as inflation will force them up, of course, know when to get out, and convert to another source of currency before inflation spins out of control. You seem to be pretty aware and optimistic, so I feel confident that you will see the silver lining in the storm cloud and get out while you still have some wealth.

But I always hedge.