Best of the Week
Most Popular
1. Five Charts That Show We Are on the Brink of an Unthinkable Financial Crisis- John_Mauldin
2.Bitcoin Parabolic Mania - Zeal_LLC
3.Bitcoin Doesn’t Exist – 2 - Raul_I_Meijer
4.Best Time / Month of Year to BUY a USED Car is DECEMBER, UK Analysis - Nadeem_Walayat
5.Labour Sheffield City Council Election Panic Could Prompt Suspension of Tree Felling's Private Security - N_Walayat
6.War on Gold Intensifies: It Betrays the Elitists’ Panic and Augurs Their Coming Defeat Part2 - Stewart_Dougherty
7.How High Will Gold Go? - Harry_Dent
8.Bitcoin Doesn’t Exist – Forks and Mad Max - Raul_I_Meijer
9.UK Stagflation Risk As Inflation Hits 3.1% and House Prices Fall - GoldCore
10.New EU Rules For Cross-Border Cash, Gold Bullion Movements - GoldCore
Last 7 days
Government Shutdown Ends – Markets Ignore Looming Debt and Bond Market Threat - 23rd Jan 18
Stock Risks to Watch: Choose Your Bear Market Dashboard - 23rd Jan 18
Worse than Watergate - Release the Memo - Investigate Uranium One - 23rd Jan 18
CAT Stock Bouncing after JPM Upgrade How High and How Long Can This CAT Jump? - 23rd Jan 18
Why Banks Will Be Slammed In The Next Crisis—And That May Be Good News - 23rd Jan 18
Medicare Premiums Are A Shared Pool - Coming Changes That Will Transform Retirement - 23rd Jan 18
Charged Atmosphere of Heavy Police and Security Presence at Sheffield Street Tree Felling Protests - 23rd Jan 18
Pension Crisis And Deficit of £2.6 Billion At Carillion To Impact UK - 22nd Jan 18
Two Factors for Gold That You Don’t Want to Miss - 22nd Jan 18
Why You Must Own Silver in 2018 - 22nd Jan 18
This Could Be The Hottest Mining Stock Of 2018 - 22nd Jan 18
Stock Index Trend Trade Setups for the SP500 & NASDAQ - 22nd Jan 18
Stock Market Deceleration / Distribution - 22nd Jan 18
US Markets vs Govt Shutdown: Stock Markets at all time highs - 22nd Jan 18
Land Rover Discovery Sport - 1 Month Driving Test Review - 22nd Jan 18
Why should you use high-quality YouTube to mp3 converter? - 22nd Jan 18
Silver As Strategic Metal: Why Its Price Will Soar - 21st Jan 18
Stocks, Gold and Interest Rates Three Amigos Ride On - 21st Jan 18
Why Sometimes, "Beating the S&P 500" Isn't Good Enough - 21st Jan 18
Bunnies and Geckos of Sheffield Street Tree Fellings Protests Explained - 21st Jan 18
Jim Rickards: Next Financial Panic Will Be the Biggest of All, with Only One Place to Turn… - 20th Jan 18
Macro Trend Changes for Gold in 2018 and Beyond - Empire Club of Canada - 20th Jan 18
Top 5 Trader Information Sources for Timely, Successful Investing - 20th Jan 18
Bond Market Bear Creating Gold Bull Market - 19th Jan 18
Gold Stocks GDX $25 Breakout on Earnings - 19th Jan 18
SPX is Higher But No Breakout - 19th Jan 18
Game Changer for Bitcoin - 19th Jan 18
Upside Risk for Gold in 2018 - 19th Jan 18
Money Minute - A 60-second snapshot of the UK Economy - 19th Jan 18
Discovery Sport Real MPG Fuel Economy Vs Land Rover 53.3 MPG Sales Pitch - 19th Jan 18
For Americans Buying Gold and Silver: Still a Big U.S. Pricing Advantage - 19th Jan 18
5 Maps And Charts That Predict Geopolitical Trends In 2018 - 19th Jan 18
North Korean Quagmire: Part 2. Bombing, Nuclear Threats, and Resolution - 19th Jan 18
Complete Guide On Forex Trading Market - 19th Jan 18
Bitcoin Crash Sees Flight To Physical Gold Coins and Bars - 18th Jan 18
The Interest Rates Are What Matter In This Market - 18th Jan 18
Crude Oil Sweat, Blood and Tears - 18th Jan 18
Land Rover Discovery Sport - Week 3 HSE Black Test Review - 18th Jan 18
The North Korea Quagmire: Part 1, A Contest of Colonialism and Communism - 18th Jan 18
Understand Currency Trade and Make Plenty of Money - 18th Jan 18
Bitcoin Price Crash Below $10,000. What's Next? We have answers… - 18th Jan 18
How to Trade Gold During Second Half of January, Daily Cycle Prediction - 18th Jan 18
More U.S. States Are Knocking Down Gold & Silver Barriers - 18th Jan 18
5 Economic Predictions for 2018 - 18th Jan 18
Land Rover Discovery Sport - What You Need to Know Before Buying - Owning Week 2 - 17th Jan 18
Bitcoin and Stock Prices, Both Symptoms of Speculative Extremes! - 17th Jan 18
So That’s What Stock Market Volatility Looks Like - 17th Jan 18
Tips On Choosing the Right Forex Dealer - 17th Jan 18
Crude Oil is Starting 2018 Strong but there's Undeniable Risk to the Downside - 16th Jan 18
SPX, NDX, INDU and RUT Stock Indices all at Resistance Levels - 16th Jan 18
Silver Prices To Surge – JP Morgan Has Acquired A “Massive Quantity of Physical Silver” - 16th Jan 18
Carillion Bankruptcy and the PFI Sector Spiraling Costs Crisis, Amey, G4S, Balfour Beatty, Serco.... - 16th Jan 18
Artificial Intelligence - Extermination of Humanity - 16th Jan 18
Carillion Goes Bust, as Government Refuses to Bailout PFI Contractors Debt and Pensions Liabilities - 15th Jan 18
What Really Happens in Iran?  - 15th Jan 18
Stock Market Near an Intermediate Top? - 15th Jan 18
The Key Economic Indicator You Should Watch in 2018 - 15th Jan 18
London Property Market Crash Looms As Prices Drop To 2 1/2 Year Low - 15th Jan 18
Some Fascinating Stock Market Fibonacci Relationships... - 15th Jan 18

Market Oracle FREE Newsletter

6 Critical Money Making Rules

Gold Fever Boils Over and the Master Forecasters of 2009

Stock-Markets / Financial Markets 2009 Dec 06, 2009 - 06:06 AM GMT

By: Nadeem_Walayat

Stock-Markets

Best Financial Markets Analysis ArticleThe big news story of the week was the improving Jobs picture in the U.S. which saw the unemployment rate dip back to 10% from 10.2%, triggering a surge in the stock indices early Friday. Last weeks news of Dubai World's debt default hit Emirate stock markets hard this week with the UAE's main exchange in Abu Dhabi down more than 20%.


In Britain RBS Bank announced that it would award £1.5 billion of bonuses on the basis of £6 billion of profits, whilst conveniently ignoring the fact that these profits are wholly as a consequence of unprecedented bank bailouts and easy money terms engineered for the purpose of the bankrupt bailed out banks to rebuild their balance sheets, instead of which those in charge of RBS threatened to resign if the bonuses were not paid out. If the Labour government has any credibility left it should call the bankster's bluff, as I suspect the RBS board would not honour the threat as there exists a wide gap between the word honour and banking these days. With the pre-budget report due on Wednesday, this may be an opportunity for the Government to introduce a Bankster's Bonus Tax and win votes in the run up to the general election.

I also hear that Goldman Sachs executive officers in New York are arming themselves on fears of a potential popular uprising against bankster bonuses.

In my opinion bonuses paid out by bailed out banks is tantamount to legalised theft from the tax payers who are destined to foot the bill in terms of much higher taxes to come after the next election as this Labour Government looks set to repeat the same outcome of all past Labour governments i.e. to leave a virtually bankrupt economy behind.

Additionally the National Audit Office revealed what we already know that the bank bailouts have saddled tax payers with liabilities of more than £850 billion, or more than 100% of National debt. Whilst a truly shocking admission, it is however pretty much inline of where we should be by now from my projection of 12 months ago with more bank bad debt losses to come. The Labour government estimates the ultimate losses of between £20 to £50 billion, which is a ridiculous figure as the Government has already lost an estimated £15 billion on Northern Rock Bank alone, I estimate the actual real losses to run as high as £500 billion.

Financial Markets Quick Update

Stock market - Stocks reversed the Unemployment report bounce by closing at Dow 10,388. As mentioned in Thursdays quick analysis, the stock market appears to be resolving towards an expanding triangle which is bearish for stocks, the measuring move for which confirms the normal correction objective of several weeks ago i.e. Dow 9950 to 9900.

U.S. Dollar - The Dollar surged higher Friday to 76, though it remains in the weak overall downtrend with the initial buy trigger remaining at 77.00

Gold - Corrected sharply from an extremely overbought state to $1160, and should continue to target a move to below $1,100 though short-term volatility remains high.

The Market Oracle Master Forecaster Awards of 2009

The Market Oracle has for another year endeavoured to provide our readership with the highest quality of analysis. Now our readers have the opportunity to help us award authors who's market and economic judgment calls for 2009 hit the nail on the head. Our aim is to present Master Forecaster Awards to the Top 20 authors voted as the most accurate forecasters of 2009. Voting remains open until the end of of December.

How to Vote

The process of voting is to simply add ?vote2009 AFTER .html in your browser address bar and press enter which will record your vote for that article on our server. The aim is to vote on articles published between late 2008 and early 2009 thus enabling outcomes to be compared against forecasts.

Example Vote For Article9999.html

Click Here for the Voting Guide and for popular and quarterly lists of articles from late 2008 in to mid 2009.

Fibonacci Trading - Ebook worth $79 for Free!

The FREE Fibonacci Trading ebook mentioned last weekend is still available to download, though you only have approx 48 hours to do so until midnight on 7th December 2009. The ebook is a concise resource at just 42 pages and FREE to download, Grab it while you can!

Source: http://www.marketoracle.co.uk/Article15596.html

Your analyst.

By Nadeem Walayat
http://www.marketoracle.co.uk

Copyright © 2005-09 Marketoracle.co.uk (Market Oracle Ltd). All rights reserved.

Featured Analysis of the Week

Most Popular Financial Markets Analysis of the Week :

1. Britain's Inflationary Debt Spiral as Bank of England Keeps Expanding Quantitative Easing

By: Nadeem_Walayat

Over the coming years we will witness the systematic destruction of the British currency as witnessed through the inflation and commodity / asset price data as the Inflation Mega-trend starts to unfold following the asset price destruction induced Deflation of 2008 into early 2009.

Read Article

2. Run on the U.S. Dollar ....Soon

By: Porter Stansberry

It's one of those numbers that's so unbelievable you have to actually think about it for a while...

Within the next 12 months, the U.S. Treasury will have to refinance $2 trillion in short-term debt. And that's not counting any additional deficit spending, which is estimated to be around $1.5 trillion.

Read Article

3. Federal Reserve Allowing Bailed Out TARP Banks To Restrict Commercial Lending

By: Bob_Chapman

The following information may be the most important we have ever published. One of our Intel sources, highly placed in banking circles, tells us that on 1/1/10 all banks that have received TARP funds have been informed by the Federal Reserve that they must further restrict any commercial lending. Loans have to be 75% collateralized, 50% of which has to be in cash, which is a compensating balance.

Read Article

4. Gold Nexus for Powerful Struggle Underway for New Global Financial World Order

By: Jim_Willie_CB

Gold Desafio: Global Struggle - The gold market has become, despite little recognition by the financial press, the battlefield for global control of the financial world. To the winner go the spoils and access to the helm. To the winner goes control of global banking, dominance in commerce, and the advantage in some degree of printing money on a credit card that all nations must finance indirectly. Nevermind the military aspect. In the Untied States, the custodial control of the USDollar as global reserve currency enabled it to spawn numerous syndicates with criminal impunity, since under the USGovt aegis (if not management).

Read Article

INO TV - Watch From Your Computer for FREE

INO TV - Watch From Your Computer for FREE

Here are the newest authors: Jack Schwager, John Murphy, Jake Bernstein, and Ron Ianieri. All experts, all well recognized, and highly trafficked by our current members. http://tv.ino.com/

 

5. Dubai Property Crash Delivers Debt Black Swan to Deflationists

By: Nadeem_Walayat

This weeks major market event came late in the week whilst American's took the day off on Thursday for Thanksgiving, Dubai declared that it will be freezing repayments for at least 6 months on part of its approx $90 billion or so of visible debt at the state run Dubai World company ($20 billion). The ratings agencies responded by cutting the ratings on Dubai bonds to junk status.

Read Article

6. Devastating Oil Crisis Ahead?

By: Joseph_Dancy

John Hess, the Chairman of the US independent producer Hess Corporation, issued a warning last month to global governments claiming a “devastating oil crisis” looms large on the horizon if global action is not instituted. In a speech delivered at the Money & Oil conference, Hess said that once economic growth recovers, it is likely the world will return to the market conditions of one year ago:

Read Article

7. At Financial Markets and Economic Crossroads

By: John_Mauldin

This week he touches on several topics, all of which I find interesting. As he notes: "We face two possible states of the world. One is a world in which our economic problems are largely solved, profits are on the mend, and things will soon be back to normal, except for a lot of unemployed people whose fate is, let's face it, of no concern to Wall Street. The other is a world that has enjoyed a brief intermission prior to a terrific second act in which an even larger share of credit losses will be taken, and in which the range of policy choices will be more restricted because we've already issued more government liabilities than a banana republic, and will steeply debase our currency if we do it again. It is not at all clear that the recent data have removed any uncertainty as to which world we are in."

Read Article

8. Gold $1,200 Means Defacto Resurrection of the Gold Standard

By: Gary_Dorsch

One-way bets against the US-dollar have been building-up over the past eight-months, and are now estimated to total about $550-billion, in what’s popularly dubbed the US-dollar “carry trade.” Its predecessor, the infamous “yen carry” trade, also gained a lot of notoriety, when the Bank of Japan pegged its interest rates far below those of any other economy on the planet. At its peak in the summer of 2007, the “yen carry” trade grew in size to $1.2-trillion, providing the high-powered octane that pumped-up commodity and stock markets worldwide. 

Read Article

Subscription

How to Subscribe

Click here to register and get our FREE Newsletter

About: The Market Oracle Newsletter

The Market Oracle is a FREE Financial Markets Forecasting & Analysis Newsletter and online publication.
(c) 2005-2009MarketOracle.co.uk (Market Oracle Ltd) - The Market Oracle asserts copyright on all articles authored by our editorial team. Any and all information provided within this newsletter is for general information purposes only and Market Oracle do not warrant the accuracy, timeliness or suitability of any information provided in this newsletter. nor is or shall be deemed to constitute, financial or any other advice or recommendation by us. and are also not meant to be investment advice or solicitation or recommendation to establish market positions. We recommend that independent professional advice is obtained before you make any investment or trading decisions. ( Market Oracle Ltd , Registered in England and Wales, Company no 6387055. Registered office: 226 Darnall Road, Sheffield S9 5AN , UK )

Terms of Use | Privacy Policy


© 2005-2018 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules