Author Archive

60 Seconds to Trim Your Spending

Food and gas price are raising while your salary stay the same or on the verge of losing your job. Although there are signs of economic recovery recently, but job market won’t stabilized until late 2010 as many economists expected. Whether you have a job or not right now, trimming your spending will be a [...]

What makes you think E-trade can survive?

Commentary: E-trade will issue more shares or even reverse split is inevitable.
The recession will be long and painful as Buffet described. The losses for all the banks are increasing. Etrade will continue to lose money. Many companies will not make it.
Those that survive will depend on finding investors to take the losses [...]

New record: 7 banks down so far this week!

Bank Closing Information - July 24, 2009
These links contain useful information for the customers and vendors of these closed banks.
1) Security Bank of Jones County, Gray, GA
http://www.fdic.gov/bank/individual/failed/sb-jones.html
2) Security Bank of Houston County, Perry, GA
http://www.fdic.gov/bank/individual/failed/sb-houston.html
3) Security Bank of Bibb County, Macon, GA
http://www.fdic.gov/bank/individual/failed/sb-bibb.html
4) Security Bank of North Metro, Woodstock, GA
http://www.fdic.gov/bank/individual/failed/sb-metro.html
5) Security Bank of North Fulton, Alpharetta, GA
http://www.fdic.gov/bank/individual/failed/sb-fulton.html
6) [...]

If you don’t take some money off the table from time to time, the market will do it for you.

Stocks gain 4$ this week built on unsustainable 2Q earning reports and weak economic data. Economy is nothing more dangerous than market. People are easily fall into the fantastic economic numbers or companies earning and rush into market as manipulators advocated.
The depression deepens.
“These are not layoffs…they’re permanent job losses,” said Barry Ritholtz yesterday [...]

E-trade may not survive despite economic condition improved

Increasing debate about the possibility of E-trade bankruptcy grabs me attention. E-trade, the one of biggest brokerage service provider has been experiencing the most difficult time in it’s lifetime. Many service users are worry about the financial health of E-trade, whether it can survive or not.
You have to realize how is the economy has impact [...]

Crisis after crisis, still can’t get banks to behave.

Banks, the center of the darkness, caused all the crisis, one way or the other. When they have and control the most cash flow of the economy, they can manipulate it. However, they are never big enough to save themself, and the creation of Fed makes them even more powerful. Banks and Fed are too [...]

Don’t you believe Microsoft can beat Google?

Don’t jump into the conclusion and answer the question. The recent quarterly report released by Google boost the possibility Microsoft is able to crash Google. Microsoft has been doing some bold approach to against Google and the timing couldn’t be more right for Steve Ballmer to take more actions to stick his words, “Steve Ballmer: [...]

Modern Investing: Google up Goldman Sachs’ Moves

If you want to be a successful investor or trader, Goldman Sachs will be your best mentor. You just have to respect GS, because he knows more than you do about the market. I’ve been read a few articles about GS such as: The Great American Bubble Machine by by Matt Taibbi and The Wall [...]

The CDOs collateral calls, it is counting in trillion!

Credit-default swaps — contracts that protect against or speculate on corporate defaults by paying the buyer the face value of a bond or loan if a company fails to meet its debt agreements — ballooned almost 100-fold within seven years to represent about $62 trillion by the end of 2007, according to estimates from the [...]

CPI goes up, half a million people in a month lose their jobs.

“The government says consumer prices shot up in June by the largest amount in 11 months, reflecting the biggest jump in gasoline prices in nearly five years”
Price of everything (utility, oil, foods) is going up and you have no income. Certainly a picture flash into your mind.

How can you raise price when people actually [...]

Worsening conditions in commercial real estate is a big problem.

“July 9 (Bloomberg) — The $3.5 trillion commercial real estate market is a ticking “time bomb” that may lead to a second wave of losses at large U.S. banks, congressional Joint Economic Committee Chairwoman Carolyn Maloney said.”
There is currently about $3.5 trillion of debt associated with commercial real estate, about half of which is on [...]

ETFs are both a big positive for investors and when they are very narrow (not all that liquid) markets focused a very big negative.

One of the things people fail to realize as an investment community is that ETFs like UGA, USO, UNG, etc… HAVE to put new money to work. Even if the fund is about to hit a peak… here is an example.
Oil rallies a lot in 2 weeks.. people start buying USO.. they pour $50 million [...]

Developing countries start to trading in Yuan

While it is unacceptable weakening dollar keep buying up raw materials from developing countries, start trading in Yuan is for the great interest of developing countries. It’s perfect time for China to convince countries like India and Brazil to trade in it’s currency.
As every crisis started in U.S or the European countries where most [...]

“Spot and Futures Markets are another method to manipulation of oil prices”

“The oil spot market was created in 1969 by the Lazard/Rothschild-allied Philipp Brothers, then the world’s largest metals trader. Philipp Brothers, largely in the person of their top trader Marc Rich, began by selling small quantities of Iranian crude oil to independent refiners. The oil shocks of 1973 and 1979, which were orchestrated by the [...]

California is already in depression

CA has the highest sales taxes, highest income taxes and what other state has more 1 million plus dollar homes??? The property taxes in CA are HUGE because of the pure volume of real estate and the highest prices in the nation, for the middle class neighborhoods!
And stop blaming Arnold! He said 3 years ago [...]

The sign of deflation: BT Group offers a year off for salary cut

LONDON (MarketWatch) — U.K. telecommunications group BT Group is offering workers a year off in return for 75% drop in salary.
In an unusual cost savings move, BT Group is offering employees the opportunity to get their discounted salary upfront. They also are offering 1,000 pounds ($1,633) to switch to part-time.
The U.K. company lost 1.28 billion [...]

The financial system isn’t (or part of) the economy, it wrecks the economy.

Some of you may confuse the financial system with the economy. They are related but not the same thing. I’ve researched over the internet to find out how are they interact, especially the structure of the U.S financial system. U.S has the biggest economy in the world, that’s why people participate in finance earn the [...]

Unemployment may continue to get much worse into next year, much more than even the most pessimistic possibly. Why?

DEBT DESTRUCTION will reaccelerate next year along with the rollover game for all but the bailed out or the fascistly connected is done. This will continue to put the petal to the metal on the easiest thing for businesses to cut - workers. Plus a lot of state governments going bankrupt but not really because [...]

The bubble produced jobs that long-term were not sustainable.

Go to your mall. How many of those stores are selling the exact same merchandise? You could wipe out half the malls and still have plenty of merchandise to go around. If what I am saying is true, half the businesses making that merchandise will need to severely downsize. That is what is happening. Instead [...]

Government needs to fill up the gap for consumer spending to delay the collapse

I am not trying to cause panic but telling the truth, so you can protect yourself from the collapse. Also I hope government can really come up with a plan can heal the economy in the long run. Government spending now account for 21%+ of GDP and growing. U.S keep borrowing and spending while a [...]

Record 7 banks closed today by FDIC. Tally crosses 50 .

77 banks failed since 2008, 25 in 2008 and 52 in 2009 till now.
6 banks were closed only in Illinois.
Today Illinois has most number of bank failures with 12 bank failures till now this year.
This follows by Georgia with 9 and California with 6 banks failures.
Check the complete list of all the failed banks at [...]

BofA seeks to repay $45bn by end of year

By Patrick Jenkins in London and Greg Farrell and Francesco Guerrera in New York
Published: May 20 2009 23:30 | Last updated: May 20 2009 23:30
Bank of America wants to pay back $45bn in bail-out funds by the end of the year, in a faster-than-expected move made possible by an accelerated programme to raise capital.
BofA is [...]

BANK of AMERICA(BAC) TO ENJOY $22 BILLION TAX WINDFALL THANKS TO ACCOUNTING RULE, THE RICH GET RICHER!!!

MAYBE THAT’S WHY KEN LEWIS IS SO CONFIDENT ABOUT REPAYING TARP THIS YEAR…..
JPMorgan $29 Billion WaMu Windfall Turned Bad Loans Into Income
May 26 (Bloomberg) — JPMorgan Chase & Co. stands to reap a $29 billion windfall thanks to an accounting rule that lets the second-biggest U.S. bank transform bad loans it purchased from Washington Mutual [...]

Focus on paying off credit-card debt, not credit scores

I just finished the article of You owe it to yourself by Chuck Jaff. I totally agree of what he said about credit scores.
Credit scores is not only a measurement about the ability of one can replay what he/she borrow to spend, it is also a trick that get someone to spend. People may think [...]

Outrage: Citi Raised Rates On Up To 15 Million Cardholders!!

The banks result from 2Q should look good because more whining and complaining about the banks by the costumers.
“NEW YORK (MarketWatch) — Citigroup Inc. said it has raised its rates on some credit cards this year as it reviewed its risk exposure and its needs to counter rising business costs.
The move came ahead [...]

Are you working a few hours less or feel insecure about your job?

Yes, the current economic downturn is threatening your working hours and your job, but how exactly?
This collapse wasn’t caused by the real economy, it was caused by a bubble bursting in housing, with huge implications for financial institutions. The overwhelming losses caught many institutions totally off guard. Now that some time has passed, and the [...]