Ready for Bounce?

Help Support CattleToday:

OP
H

HerefordSire

Well-known member
Joined
Aug 2, 2006
Messages
5,212
Reaction score
0
Location
Arkansas
I am not sure about how accurate this is...but I am sure it is hitting the street. Look out below!


The Turner Radio Network has obtained the stress test results. They are very bad. The most salient points from the stress tests appear below.

1) Of the top nineteen (19) banks in the nation, sixteen (16) are already technically insolvent. (Based upon the “alternative more adverse” scenario which had a 3.3 percent contraction of the U.S. Economy in 2009, accompanied by 8.9 percent unemployment, followed by 0.5 percent growth of the U.S. Economy but a 10.3 percent jobless in 2010.)

2) Of the 16 banks that are already technically insolvent, not even one can withstand any disruption of cash flow at all or any further deterioration in non-paying loans. (Without further government injections of cash)

3) If any two of the 16 insolvent banks go under, they will totally wipe out all remaining FDIC insurance funding.

4) Of the top 19 banks in the nation, the top five (5) largest banks are under capitalized so dangerously, there is serious doubt about their ability to continue as ongoing businesses.

5) Five large U.S. banks have credit exposure related to their derivatives trading that exceeds their capital, with four in particular - JPMorgan Chase, Goldman Sachs, HSBC Bank America and Citibank - taking especially large risks.

6) Bank of America`s total credit exposure to derivatives was 179 percent of its risk-based capital; Citibank`s was 278 percent; JPMorgan Chase`s, 382 percent; and HSBC America`s, 550 percent. It gets even worse: Goldman Sachs began reporting as a commercial bank, revealing an alarming total credit exposure of 1,056 percent, or more than ten times its capital! (HSBC is NOT in the top 19 banks undergoing a stress test, but is mentioned in the report as an aside because of its risk capital exposure to derivatives)

7) Not only are there serious questions about whether or not JPMorgan Chase, Goldman Sachs,Citibank, Wells Fargo, Sun Trust Bank, HSBC Bank USA, can continue in business, more than 1,800 regional and smaller institutions are at risk of failure despite government bailouts!

The debt crisis is much greater than the government has reported. The FDIC`s "Problem List" of troubled banks includes 252 institutions with assets of $159 billion. 1,816 banks and thrifts are at risk of failure, with total assets of $4.67 trillion, compared to 1,568 institutions, with $2.32 trillion in total assets in prior quarter.

Put bluntly, the entire US Banking System is in complete and total collapse.
 
OP
H

HerefordSire

Well-known member
Joined
Aug 2, 2006
Messages
5,212
Reaction score
0
Location
Arkansas
HerefordSire":30aep7gy said:
I am picking up some danger signs. Time for me to liquidate in a day or so. I will be out (liquid) before the end of April 18th.


This is the main reason but there are others....Look at the bold print below...note there are enough followers to make this a self fulfilling prophecy even if the following doesn't happen. Better to be liquid to play another day even if prices are higher.

Timewave zero is a theory that purports to calculate the ebb and flow of novelty in the universe as an inherent quality of time. It is an idea conceived of and discussed at length by Terence McKenna from the early 1970s until his death in the year 2000. Novelty, in this context, can be thought of as newness, density of complexification, and dynamic change as opposed to static habituation. According to McKenna, when "novelty" is graphed over time, a fractal waveform known as timewave zero or simply the timewave results. The graph shows at what times, but never at what locations, novelty is supposedly increasing or decreasing. According to the timewave graph, great periods of novelty occurred about 4 billion years ago when Earth was formed, 65 million years ago when dinosaurs were extinct and mammals expanded, about 10,000 years ago after the end of the ice age, around late 18th century when social and scientific revolutions progressed, during the sixties, around the time of 9/11, in November 2008, and with coming novelty periods in October 2010, with the novelty progressing towards the infinity on 21 December 2012. Important graphic points in 2009, appear around 19 April, 29 August and 23 October 2009, indicating the possibility of significant events around these dates[1].


http://en.wikipedia.org/wiki/Novelty_theory


This could be related to the swine event.
 

1982vett

Well-known member
Joined
Feb 3, 2008
Messages
9,522
Reaction score
318
Location
Central Texas
1982vett":1sh1df38 said:
jedstivers":1sh1df38 said:
HerefordSire":1sh1df38 said:
There is an outside chance she could hit $20 per share soon. Closed @ $25.41. I would wait for the $20. It broke strong support in the $28 range. Let's see if she can make it to $20. Other than that, she is a steal at these price levels. Be patient. Great brand name.
Thanks, it will be a few days before my acct. goes trough so we'll see what it does. Also watching Agrium to see if it goes under $30.

Keep your head and don't chase 'em. Nothing in the leadership gives reason to economic recovery anytime soon. Many stocks do pay dividends greater than any CD at the moment, but just as with CD's those rates change, even worse when the principle erodes with them. So DE with a 4.4% dividend @ $25.41 looks pretty good till it goes to $21.68 and you've lost 11.6% even with the 4.4% dividend.
:oops: What great advice that didn't turn out to be $17.56 a share later. :lol:




S&P Closes Pennies Shy of Yearly High

By Rev Shark
RealMoney.com Contributor
10/9/2009 4:51 PM EDT


The bulls made a strong push in the final hour of the week and managed a close in the S&P 500 just a few pennies short of the highest close this year. Volume was a little slower, but breadth improved nicely today. A big reversal in semiconductor stocks and a strong move in International Business Machines (IBM - commentary - Trade Now) led the way. Oil and commodity-related stocks took a rest as the dollar strengthened, but the overall tone of the market remained extremely upbeat.



The most notable aspect of the market today was how we once again bounced straight back up to highs after teetering on the brink of a major technical breakdown. Last Friday, the focus was on the poor jobs data, but once we started to bounce on Monday, we barely paused all week. The bounce came on low volume, which typically isn't to be trusted, but that rule of technical analysis has proven to be quite costly since the lows of March. When this market bounces, it just keeps on going, and it doesn't matter what the technical-analysis rulebook may say about it.

One of the consequences of these straight-up, low-volume bounces is that they create much frustration for those who don't catch the move. All these underinvested folks sitting on the sidelines as we go up become very anxious to buy pullbacks, so we end up with a huge supply of dip-buyers who provide very solid support....
 

ga. prime

Well-known member
Joined
Aug 30, 2004
Messages
3,856
Reaction score
0
Location
So. Cent. Ga.
Anybody ever been to the Post Rock museum in La Crosse, Kansas? Right next to the Barbed Wire museum. Worth a look!
 

Latest posts

Top