US could be due financial and economic Armageddon

[Daal]

# Panic of 1819 - pervasive USA economic recession w/ bank failures
# Panic of 1825 - pervasive British economic recession in which many British banks failed, & Bank of England nearly failed
# Panic of 1837 - pervasive USA economic recession w/ bank failures; a 5 yr. depression ensued.
# Panic of 1857 - pervasive USA economic recession w/ bank failures
# Panic of 1873 - pervasive USA economic recession w/ bank failures; a 4 yr. depression ensued.
# Panic of 1893 - pervasive USA economic recession w/ bank failures
# Panic of 1901 - limited to crashing of the New York Stock Exchange
# Panic of 1907 - pervasive USA economic recession w/ bank failures
# Panic of 1929 -pervasive USA economic recession w/ bank failures; worst depression in history ensued.
# Panic of 2008 - pervasive USA economic recession w/ bank failures; X ensued.

What do you think X is?

 

[austinp]

Next up is a powerful dead-cat bounce. The Dow will rally +1,000 index points off its intraday low by the closing bell. It will hit 10,000 level soon after that.

The newfound permabears will be shorting all the way up... getting creamed to the same extent they did on the way down while bullish.

A lower high will fail, existing lows will be tested again and then we will see if that's a hard bottom for years to come, or just another speed bump for lower levels from there.

 

[Gringinho]

The X strongly correlates to how the US will be able to handle their debts.
This will not be counted in years - but in decades!

This is much worse than any world war and ensuing ruins... in economic terms it is monstrous - and a mixed economy nightmare.

 

[CaptainObvious]

Quote from austinp:

Next up is a powerful dead-cat bounce. The Dow will rally +1,000 index points off its intraday low by the closing bell. It will hit 10,000 level soon after that.

The newfound permabears will be shorting all the way up... getting creamed to the same extent they did on the way down while bullish.

A lower high will fail, existing lows will be tested again and then we will see if that's a hard bottom for years to come, or just another speed bump for lower levels from there.

From a traders perspective you're probably right. Unfortunately that bounce will do nothing to help the average 401K investor. They are going, going, gone...FOREVER! It will do nothing to help the economy.

 

[Daal]

I just hope roubini is wrong. I hope and hope

 

[K Y O]

X = lost decade

 

[Clubber Lang]

Quote from K Y O:

X = lost decade

Don't you mean ANOTHER lost decade?

 

[K Y O]

Quote from Clubber Lang:

Don't you mean ANOTHER lost decade?

exactly but actually might be worse

I guess this "X" might be "the begining of the end of leveraging" but not leveraging by financial institutions around the globe - here we've seen the end already. Something more serious. The end of of leveraging of the biggest Mr. Financier in the world - the US. As the extent of excess of 'credit dollars' over 'real' dollars reached the boiling point.

 

[Gringinho]

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David M. Walker says that the US is technically bankrupt... but what does he know. He was only US comptroller general for 10 years until February 2008, and he probably does not know what he is talking about.

Of course the US can just issue some more 10-yr and 30-yr... there will be takers, right? Just like the Cantor Fitzgerald representative on Bloomberg Weekend news said - "a USD 4 rebate on the old US 10-yr bonds, that is just crazy cheap - when it should be like a 20 cent difference between the old and the new" when talking about Asian sell-off.
http://en.wikipedia.org/wiki/Cantor_Fitzgerald


Then Larry Summers in his weekend interview saying - "there was nothing fundamentally wrong with CDOs and those instruments, just that there was lacking oversight over FNM, FRE, LEH, AIG etc when they used them." What a nice authoritarian and totalitarian touting "gentleman" who blames anyone but himself, not admitting even a single gramme of guilt for his role in the credit crisis...
http://en.wikipedia.org/wiki/Larry_Summers

He basically supported much of Greenspan, as he had formerly done as well - just distancing himself slightly from the "overly de-regulating" Greenspan. What a total weasel - all of them are actually. Corruption runs deep in US politics and bureaucracy.

 

[Aok]

Quote from Gringinho:

He basically supported much of Greenspan, as he had formerly done as well - just distancing himself slightly from the "overly de-regulating" Greenspan. What a total weasel - all of them are actually. Corruption runs deep in US politics and bureaucracy. [/B]

All you need to know-

http://www.youtube.com/watch?v=VB9EM7cQMkE