Use access key #2 to skip to page content.

alstry (35.99)

Time Has Run Out

Recs

19

October 17, 2009 – Comments (9)

Following an uptick in the second quarter, investments in U.S. venture-backed companies fell 38% to $5.1 billion from $8.2 billion in the year-ago period. The figure fell 6% from the second-quarter total of $5.4 billion.

Imports dive at ports of Los Angeles and Long Beach

As dismal as those figures are for the two ports, which rank first and second in the U.S. in container volume and together rank fifth in the world, a greater worry goes beyond the immediate and substantial loss of local trade-related jobs: Some of the ports' most important tenants were so poorly positioned for the downturn that they might sink completely in a sea of billions of dollars of red ink, experts say.

"Without a doubt, the Southern California ports should be worried," said Neil Dekker, an analyst at Drewry Shipping Consultants in London who produces container industry forecasts. "Companies will go bust; freight rates may take years to recover."

Venture Investing Collapsing

Imports and Exports Diving

Tax Receipts Evaporating

Corpororate Revenues Shrinking

Commercial Real Estate Crashing

Credit Contracting At Record Rates

Dollar Crashing

Oil Prices Increasing

Wages Contracting

Job Losses Growing as Government and Health Care are starting to shut down

ALL OF THE ABOVE DESPITE GOVERNMENT RUNNING A DEFICIT OF APPROXIMATELY $5000 FOR EVERY MAN, WOMAN AND CHILD IN AMERICA. 

Kids...this is not a recession...it is a Depression and a MASSIVE ONE being masked by an unprecedented deficit.  Revenues for many industries in America are now down 20-50% and more yet GDP is down only single digits?  We only count a few people receiving unemployment checks as unemployed?  At some point, you will realize you are the one being played for the Fool by your own Federal Reserve.

Now the World moving away from the dollar????  PROBABLY THE SINGLE MOST CONVULSIVE ECONOMIC DEVELOPMENT IN AMERICA SINCE OUR FOUNDING....and it is barely making press in our media??  My what a pickle Benny The B and Timmy G have put us into..........and some of you think this is simply a cyclical recession????

At this point, we are simply left with two choices....either restructure our debt and accept the pain of a massive depression setting the foundation for future growth........or prepare the fight the world militarily because America will be economically decimated if few accept our currency.

If we restructure, you will learn that the bankers looted America and simply infected our economy with an unservicable amount of debt that is toxified our pensions, corporations, and banking system....and now that credit has been cut off....the collapse is inevitable.

Based on the lack of awareness most Americans have of their present condition, the indifference by our representatives to deal with the economic issues and simply bail out the banks, it appears military conflict has already been decided........prepare for troop build ups in a few weeks and the draft in the not too distant future.

Whenever your bankers are making money when the economy and people they lend to are deteriorating.....you know something is wrong.  Up until this cycle, the two went hand in hand.......now you know you have been looted, the only thing you are unsure of is ......which side are the bankers on if we go to war?????

9 Comments – Post Your Own

#1) On October 17, 2009 at 2:01 PM, JibJabs (85.43) wrote:

I thought you were on vacation. I hope you're wrong.

Report this comment
#2) On October 17, 2009 at 4:19 PM, alstry (35.99) wrote:

At this point....there is little chance because of the depth of what we are facing....

U.S. state tax collections tumbled the most in almost half a century in the second quarter as the economic recession curbed levies on incomes and sales.

“We’re looking at a multiyear problem hitting essentially every state,” Robert Ward, the institute’s deputy director, told reporters. “It has happened during recessions before, but the depth of this decline is unprecedented in modern times.”

Collections dropped in 49 states in the second quarter as sales and personal-income taxes slid for the third consecutive period, the institute said. Income tax was down 27.5 percent and sales tax fell down 9.5 percent, its study said. Both categories fell by the most in 45 years.

As millions more lose their jobs and/or wages cut....the distress will only get worse......We must restructure debt very soon or deficits will get so high that our currency will be essentially worthless.....which will leave us with only one option at that point.

Report this comment
#3) On October 17, 2009 at 4:48 PM, alstry (35.99) wrote:

SYRACUSE, N.Y. -- The Onondaga County Legislature voted 11-8 along party lines Tuesday to lay off 133 county employees to balance the 2010 budget without raising property taxes.


Legislators also adopted a car registration fee proposed by County Executive Joanie Mahoney, which will raise $2.1 million a year by adding $5 to $10 to the cost of DMV registrations.

TO BALANCE THE FEDERAL BUDGET...YOU WOULD NEED TO TAX A FAMILY OF FOUR IN THE TOP 10% of TAXPAYERS $200,000, TOP 5% OF TAX PAYERS $400,000, OR TOP 1% OF TAXPAYERS $2,000,000.

Basically our economy is now bankrupt....debt has wiped out profits and sucking cashflow out of the system.  The world is aware of this fact.....the American people are still in the dark, until the world tells us one morning where to shove our counterfeit dollars.....the question at that point will be how Obama responds.

 

The Trade Promotion Organization of Iran (TPOI) announced this week that it plans to exclude the U.S. dollar from Iran’s foreign exchange reserves.

In line with this plan, Iran has informed Japan that it should use the yen instead of dollars to pay for the oil it buys from the Islamic Republic.

ONCE YOU START PRINTING OUT OF THIN AIR.....YOUR ONLY OPTIONS ARE TO BACK IT UP WITH WEAPONS OR REFORM....IF THE CHOOSE WEAPONS, YOU BETTER PICK FIGHTS YOU KNOW YOU CAN WIN.

Report this comment
#4) On October 17, 2009 at 5:02 PM, thefatalist (< 20) wrote:

This future you decribe is historically made manifest by indirect events.  A far off country invading a far off country, a singular act which causes widespread panic, an assassination.  It is when these things happen that the truth is then released widely that somehow a sort of rescue can be obtained for the greater dilemna by responding massively to the situation at hand.  Nobody can afford to admit the problem until they have a grasp of some sort of solution.  The solution presents itself and we act to respond not to the action itself but rather to defend the greater notion that we as people within particular physical, spiritual and/or philosophical borders are somehow entwined.  You speculate as to which side the bankers will be on and I'll tell you exactly which side they will be on:  Their own.

 If you listen real close, you can almost hear the sound of the waterfall off somewhere in the distance...

Report this comment
#5) On October 17, 2009 at 7:12 PM, alstry (35.99) wrote:

The dollar under assault around the world......

LEFTIST Latin American leaders agreed today on the creation of a regional currency, the Sucre, aimed at scaling back the use of the US dollar.

Nine countries of ALBA, a leftist bloc conceived by Venezuelan President Hugo Chavez, met in Bolivia where they vowed to press ahead with a new currency for intra-regional trade to replace the US dollar.

"The document is approved,'' said Bolivia's President Evo Morales, who is hosting the summit.

The new currency, dubbed the Sucre, would be rolled out beginning in 2010 in a non-paper form.

That move echoes the European Union's introduction of the euro precursor, the ECU, an account unit designed to tie down stable exchange rates between member states before the national currencies were scraped.

ALBA's member states are Venezuela, Bolivia, Cuba, Ecuador, Nicaragua, Honduras, Dominica, Saint Vincent and Antigua and Barbuda.

YET THIS MAKES ALMOST NO PRESS IN AMERICA????

Report this comment
#6) On October 18, 2009 at 12:04 PM, jddubya (< 20) wrote:

Lemme remind you of something:

"#8) On May 20, 2009 at 3:59 PM, alstry (99.24) wrote:
"...Remember, Alstrynomics is all about being right.....and if Alstry is not right....he should not exist!!!!!!  Especially with his arrogance, confidence and characteristically cocky attitude."

You've been oh so WRONG many times since you wrote this.

Report this comment
#7) On October 18, 2009 at 12:45 PM, NOTvuffett (< 20) wrote:

Alstry, your constant blogs are annoying.

But you are right about this one as far as the deficit.  That is debt incurred just for THIS year.  During the last year W. was in office, the debt per capita was about $1400, and I thought was reckless and irresponsible.

The accumulated debt and unfunded liabilities for the future are what scare me, not deficit spending in any particular year.

 

Report this comment
#8) On October 18, 2009 at 1:12 PM, prose976 (< 20) wrote:

One thing greatly overlooked by most:

Perhaps the "crash" was bull scat, and the consolidation of business and the cutting of fat from payrolls and government is actually very good for the economy.  Hence, the "recovery" is being justified, but is actually just a return to reality.

The market is about where it should be, perhaps.

Maybe we're exactly where we should really be...even with the unemployment levels as high as they are.  While many may wish this wasn't true, and that we should really be at Dow 6000 or less, with the dollar going down in value, interest rates in the toilet and gold bubbling, a much better place to put your "money" is into something - a real asset that actually does something for you personally or for other people in your state, country or across the globe.

The market does not reflect the economy, but instead it reflect economics of the market ecosystem.  Efficient companies are worth more than inefficient companies inherently.

Here's an example of how people have looked at the market in the past.

The market was lean an mean for many years.  Then it became bloated, as did spending by the companies that composed the market.  But that bloating was recognized as valuable, because those companies were displaying "prosperous" window dressing in the form of buying more than was needed, hiring more than were needed, stocking more than was needed, paying more dividends than made sense, etc.

Smart companies have taken the opportunity to "get fit" over the last year or two.  This has made them more valuable, especially because they are still able to meet demand, innovate and also because the world is not shrinking, which gives them even more opportunity.  Conversely, current business competition IS shrinking, thus giving greater market share to the standing, more efficient companies who made it out alive.

The market companies are leveraging the long tail (read about it in Wikipedia).  There is a lower common denominator.  If you can't sell a $100 item to 100 people then sell a $10 item to 1,000 people.  With technology, it can be done, and is being done.  That's why Tech has led this thing.

I think we're fairly valued and may spend a long while between Dow 9000 and 12000, but it is very likely we could even push past our beginning 14000 because of the new value companies are bringing, not in jobs but in solid, upward trending revenues that has been enabled by the global technology revolution.

Fool on! 

Report this comment
#9) On October 18, 2009 at 3:39 PM, NOTvuffett (< 20) wrote:

prose976,

I think your point about how this recession has forced companies to 'get fit' is a good one.  Alcoa is a good example of this- they were one of the most poorly run companies in that industry.  Hardship has made them 'get fit'.  I really didn't expect them to make a profit for a couple years, but they did manage one in the quarter just reported even though aluminum prices still are depressed.

Now I am sorry I sold my rl shares of AA, lol.  

 

 

Report this comment

Featured Broker Partners


Advertisement