Best of the Week
Most Popular
1. US Housing Market House Prices Bull Market Trend Current State - Nadeem_Walayat
2.Gold and Silver End of Week Technical, CoT and Fundamental Status - Gary_Tanashian
3.Stock Market Dow Trend Forecast - April Update - Nadeem_Walayat
4.When Will the Stock Market’s Rally Stop? - Troy_Bombardia
5.Russia and China Intend to Drain the West of Its Gold - MoneyMetals
6.BAIDU (BIDU) - Top 10 Artificial Intelligence Stocks Investing To Profit from AI Mega-trend - Nadeem_Walayat
7.Stop Feeding the Chinese Empire - ‘Belt and Road’ Trojan Horse - Richard_Mills
8.Stock Market US China Trade War Panic! Trend Forecast May 2019 Update - Nadeem_Walayat
9.US China Trade Impasse Threatens US Lithium, Rare Earth Imports - Richard_Mills
10.How to Invest in AI Stocks to Profit from the Machine Intelligence Mega-trend - Nadeem_Walayat
Last 7 days
How To Time Market Tops and Bottoms - 24th June 19
5 basic tips to help mitigate the vulnerability inherent in email communications - 24th June 19
Will Google AI Kill Us? Man vs Machine Intelligence - 24th June 19
Why are Central Banks Buying Gold and Dumping Dollars? - 23rd June 19
Financial Sector Paints A Clear Picture For Stock Market Trading Profits - 23rd June 19
What You Should Look While Choosing Online Casino - 23rd June 19
INTEL (INTC) Stock Investing to Profit From AI Machine Learning Boom - 22nd June 19
Here’s Why You Should Drive a Piece of Crap Car - 22nd June 19
How Do Stock Prices React to Fed Interest Rate Cuts? - 22nd June 19
Gold Bull Market Breaking Out! - 21st June 19
Post-FOMC Commentary: Delusions of Grandeur - 21st June 19
Gold Scores Gains as Draghi and Powel Grow Concerned - 21st June 19
Potential Upside Targets for Gold Stocks - 21st June 19
Gold Price Trend Forcast to End September 2019 - 21st June 19
The Gold (and Silver) Volcano Is Ready to Erupt - 21st June 19
Fed Leaves Rates Unchanged – Gold & Stocks Rally/Dollar Falls - 21st June 19
Silver Medium-Term Trend Analysis - 20th June 19
Gold Mining Stocks Waiting on This Chart - 20th June 19
A Key Gold Bull Market Signal - 20th June 19
Money Saving Kids Gardening Growing Giant Sunflowers Summer Fun - 20th June 19
Investing in APPLE (AAPL) to Profit From AI Machine Learning Stocks - 20th June 19
Small Cap Stocks May Lead A Market Rally - 20th June 19 -
Interest Rates Square Minus Zero - 20th June 19
Advice for Financing a Luxury Vehicle - 20th June 19
Stock Market Final Blow Off Top Just Hit… Next Week Comes the FIREWORKS - 20th June 19
US Dollar Rallies Off Support But Is This A Top Or Bottom? - 19th June 19
Most Income Investors Are Picking Up Nickels in Front of a Steamroller - 19th June 19
Is the Stock Market’s Volatility About to Spike? - 19th June 19
Facebook's Libra Crypto currency vs Bitcoin: Five Key Differences - 19th June 19
Fed May Trigger Wild Swing In Stock Index and Precious Metals - 19th June 19
How Long Do Land Rover Discovery Sport Brake Pads Last? - 19th June 19
Gold Golden 'Moment of Truth' Is Upon Us: $1,400-Plus or Not? - 18th June 19
Exceptional Times for Gold Warrant Special Attention - 18th June 19
The Stock Market Has Gone Nowhere and Volume is Low. What’s Next - 18th June 19
Silver Long-Term Trend Analysis - 18th June 19
IBM - Watson Deep Learning - AI Stocks Investing - Video - 18th June 19
Investors are Confident, Bullish and Buying Stocks, but… - 18th June 19
Gold and Silver Reversals – Impossible Not to Notice - 18th June 19
S&P 500 Stuck at 2,900, Still No Clear Direction - 17th June 19
Is Boris set to be the next Conservation leader? - 17th June 19
Clock’s Ticking on Your Chance to Profit from the Yield Curve Inversion - 17th June 19
Stock Market Rally Faltering? - 17th June 19
Johnson Vs Gove Tory Leadership Contest Grudge Match Betfair Betting - 17th June 19
Nasdaq Stock Index Prediction System Is Telling Us A Very Different Story - 17th June 19
King Dollar Rides Higher Creating Pressures On Foreign Economies - 17th June 19
Land Rover Discovery Sport Tailgate Not Working Problems Fix (70) - 17th June 19
Stock Market Outlook: is the S&P today just like 2007 or 2016? - 17th June 19

Market Oracle FREE Newsletter

Gold Price Trend Forecast Summer 2019

Pompous Financial Market Prognosticators Revisited

Stock-Markets / Market Manipulation Jul 09, 2009 - 04:32 PM GMT

By: Nick_Barisheff

Stock-Markets

Best Financial Markets Analysis ArticleThe experts go into denial as the credit crisis unfolds- In 2001, Colin Seymour published an article entitled 1927-1933 Chart of Pompous Prognosticators. In it, he documented the many Depression-era assurances given by politicians, economists, financial experts and the media to the public, protesting that everything was fine and there was nothing to worry about. Meanwhile, the stock market would decline by 92%, the US dollar would be devalued by 40%, real estate would drop 30% and unemployment would soar to 25%.


Today, we have a similar situation. Politicians, economists and the media are assuring the public that everything is fine. But governments around the world are frantically borrowing trillions of dollars to fund bailout and stimulus plans, the stock markets have lost over 40% of their value, real estate over 50%, and unemployment is approaching 10% in most major countries.

2004

1. “The ability of lending institutions to manage the risks associated with mortgages that have high loan-to-value ratios seems to have improved markedly over the past decade.”

– Alan Greenspan [February 2004]

2005

2. “Home sales are coming down from the mountain peak, but they will level out at a high plateau, a plateau that is higher than previous peaks in the housing cycle.”

– David Lereah, Chief Economist, National Association of Realtors [December 2005]

2006

3.  “I don’t know, but I think the worst of this may well be over.”

– Alan Greenspan, [October 2006]

2007

4. “We have a very strong global economy… and I feel very comfortable with the global economy.”

– Treasury Secretary Henry Paulson [March, 2007] 

5. “The impact on the broader economy and financial markets of the problems in the subprime markets seems likely to be contained.”

– Ben Bernanke [March 28, 2007]

6. “In today's environment, it is virtually impossible to violate rules.”

– Bernie Madoff [November 2007]

2008

7. “Over the next few months, existing-home sales are expected to hold fairly steady as indicated by pending sales activity, then rise later in the year and continue to improve in 2009.”

– National Association of Realtors [January 2008]

8. “Although recent data suggest that the probability of a recession in 2008 has increased, CBO does not expect the slowdown in economic growth to be large enough to register as a recession.”

– US Congressional Budget Office [January 2008]

9.  “I don't think we're headed to a recession.”

– President George W. Bush [February 2008]

10. “I don't anticipate any serious problems of that sort among the large internationally active banks that make up a very substantial part of our banking system.”

– Ben Bernanke [February 28, 2008]

11. “No! No! No! Bear Stearns is not in trouble.”

–Jim Cramer, CNBC commentator [March 2008]

12. “Later this year, I expect growth will pick up.”

– Henry Paulson, just after Treasury had mailed out 130 million economic stimulus cheques [May 2008]

13. “Fannie Mae and Freddie Mac are fundamentally sound. They're not in danger of going under.... I think they are in good shape going forward.”

– Barney Frank, chairman of the House Financial Services Committee [July 2008]

14. “My own belief is if we were going to have some sort of big crash or recession, we probably would have had it by now.”

– Canadian Prime Minister Stephen Harper [September 2008]

15. “We're probably somewhere pretty close to a bottom.”

– Fund manager Barton Biggs [September 2008]

16. “The fundamentals of our economy are strong.”

– US Senator John McCain [Sept 15, 2008]

17. “We remain committed to examining all strategic alternatives to maximize shareholder value.”

– Lehman Bros. CEO Dick Fuld, shortly before Lehman went bankrupt [Sept 2008]

2009

18.  “It’s a huge bull market rally.”

– Jim Cramer, CNBC [June 2009]

Just as Seymour’s Pompous Prognostications proved devastating for those investors who remained complacent due to those false assurances, today’s investors would be wise to educate themselves on the real risks and vulnerabilities they face today. In order to preserve their wealth over the coming years, investors need to make wise, informed decisions, stop being complacent, and avoid following the false assurances of politicians and financial experts. With countless risks and vulnerabilities facing the world, the next 20 years will not be the same as the last 20 years.

Sources: FederalReserve.gov, BusinessWeek, CNBC.com, Realtor.org, Marketwatch.com, USA Today, Washington Post, Reuters, Associated Press, Bloomberg, BBC.com, TimesOnline.

By Nick Barisheff

www.bmginc.ca

Nick Barisheff is President and CEO of Bullion Management Group Inc., a bullion investment company that provides investors with a cost-effective, convenient way to purchase and store physical bullion. Widely recognized in North America as a bullion expert, Barisheff is an author, speaker and financial commentator on bullion and current market trends. He is interviewed monthly on Financial Sense Newshour, an investment radio program in USA. For more information on Bullion Management Group Inc. or BMG BullionFund, visit: www.bmginc.ca .

© 2009 Copyright Nick Barisheff - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 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