Category: Financial Crash
The analysis published under this category are as follows.Tuesday, September 01, 2009
Legendary Investor Betting on Another Stock Market Crash / Stock-Markets / Financial Crash
By: Graham_Summers
 Having studied under two legendary  value investors Max Heine and Michael Price, Winters has a long history of  producing outsized gains: before he was 40, he was overseeing some $35 billion  in assets as Chief Investment Officer for Franklin Templeton Advisors. During  this period (2001-2004), David outperformed the S&P 500 by an average of  10% a year.
Having studied under two legendary  value investors Max Heine and Michael Price, Winters has a long history of  producing outsized gains: before he was 40, he was overseeing some $35 billion  in assets as Chief Investment Officer for Franklin Templeton Advisors. During  this period (2001-2004), David outperformed the S&P 500 by an average of  10% a year.
Monday, August 31, 2009
History Repeating Towards Dollar, Bonds and Stocks Crashing in Unison / Stock-Markets / Financial Crash
By: Captain_Hook
 Many  are now talking about how the markets appear to be managed these days, and  these people are now taking conspiracy theories in this regard far more  seriously. And without a doubt the Fed and Treasury are working overtime to  keep the bubbles afloat, the bubbles in both equities and debt. The key in this  regard for now is keeping interest rates low, however this will not be enough  forever if revenues keep shrinking in the face of rising costs. Sooner or  later, foreigners will see the US has no hope of honoring it’s debts short of  hyperinflation and continued acceleration in monitization efforts (particularly  in debt markets), and will begin pulling sufficient assets out of American  markets to send market interest rates past the margin consumers can handle.
Many  are now talking about how the markets appear to be managed these days, and  these people are now taking conspiracy theories in this regard far more  seriously. And without a doubt the Fed and Treasury are working overtime to  keep the bubbles afloat, the bubbles in both equities and debt. The key in this  regard for now is keeping interest rates low, however this will not be enough  forever if revenues keep shrinking in the face of rising costs. Sooner or  later, foreigners will see the US has no hope of honoring it’s debts short of  hyperinflation and continued acceleration in monitization efforts (particularly  in debt markets), and will begin pulling sufficient assets out of American  markets to send market interest rates past the margin consumers can handle. 
Friday, August 28, 2009
Protecting Profits and Deflecting Threats, Climacteric Crash is Coming! / Stock-Markets / Financial Crash
By: DeepCaster_LLC
 Truth would destroy U.S. economic system, Fed   warns…
Truth would destroy U.S. economic system, Fed   warns…
The U.S. Federal Reserve asked a federal judge not to enforce her order that it reveal the names of the banks that have participated in its emergency lending programs and the sums they received, saying such disclosure would threaten the companies and the economy…
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Wednesday, August 26, 2009
Efficient Market Hypothesis: True "Villain" of the Financial Crisis? / Stock-Markets / Financial Crash
By: EWI
 Robert Folsom writes: Editor's Note: The following article discusses Robert Prechter's view of the   Efficient Market Hypothesis. For more information, download this free 10-page   issue of Prechter's Elliott   Wave Theorist.
Robert Folsom writes: Editor's Note: The following article discusses Robert Prechter's view of the   Efficient Market Hypothesis. For more information, download this free 10-page   issue of Prechter's Elliott   Wave Theorist. 
Monday, August 24, 2009
October is the Cruelest Month for Stock and Financial Markets / Stock-Markets / Financial Crash
By: Tarek_Saab
 T.S. Eliot famously declared "April is the cruelest month" in his poem, The   Wasteland. Apparently, Eliot was no stock investor. For those holding stocks, it   is October which has been the cruelest month. October 1929. October 1987.   October 2008 . . . Wasteland indeed.
T.S. Eliot famously declared "April is the cruelest month" in his poem, The   Wasteland. Apparently, Eliot was no stock investor. For those holding stocks, it   is October which has been the cruelest month. October 1929. October 1987.   October 2008 . . . Wasteland indeed.
Friday, August 21, 2009
Robert Prechter New Warning on Financial Crisis and Economic Depression / Stock-Markets / Financial Crash
By: EWI
 Dear reader,
Dear reader,
Our friends over at Elliott Wave International (EWI) are offering Bob Prechter’s recent 10-page market letter, free. It challenges current recovery hype with hard facts, independent analysis, and insightful charts. You’ll find out why the worst is NOT over and what you can do to safeguard your financial future. Learn more.
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Monday, August 10, 2009
SPX Post Crash Pattern Same as Nikkei, History Repeating / Stock-Markets / Financial Crash
By: Captain_Hook
 Just  about everybody has heard the truisms ‘history repeats’, and if this is not  true ‘history rhymes’, however it’s been my observation that a far as present  day stock market participants are concerned, not many take the validity of  these statements as seriously as they should. After all, people are people  right, even if they were acting in the context of another era, and in this  case, other market bubbles. This is the important understanding that many are  missing you see, that people are no different in the way they react to extreme  market conditions (stress) today than they were during previous post crash  episodes, including those that inspired Charles Mackay to pen the timeless Extraordinary Popular Delusions And The Madness Of Crowds all those years ago now.
Just  about everybody has heard the truisms ‘history repeats’, and if this is not  true ‘history rhymes’, however it’s been my observation that a far as present  day stock market participants are concerned, not many take the validity of  these statements as seriously as they should. After all, people are people  right, even if they were acting in the context of another era, and in this  case, other market bubbles. This is the important understanding that many are  missing you see, that people are no different in the way they react to extreme  market conditions (stress) today than they were during previous post crash  episodes, including those that inspired Charles Mackay to pen the timeless Extraordinary Popular Delusions And The Madness Of Crowds all those years ago now. 
Monday, August 10, 2009
Stock Market Collapse Trigger Pattern Repeating / Stock-Markets / Financial Crash
By: Graham_Summers
Stocks are overbought.
And by overbought, I mean WAY overbought.
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Monday, June 29, 2009
Stock Market Summer Crash Forecast / Stock-Markets / Financial Crash
By: Captain_Hook
 A  skyrocketing yield curve is normally a sign the economy is dangerously heating  up, and that market rates in fixed income securities are signaling the  likelihood of higher administered rates soon as well. Along these lines then,  short-term rates have been rising on the expectation that the Fed will need to  talk about higher rates at its next meeting on July 22nd, with a  corresponding collapse in both the yield curve and gold. It should be noted  gold is tracing out an exact pattern match on the yield curve, and rate  expectations.
A  skyrocketing yield curve is normally a sign the economy is dangerously heating  up, and that market rates in fixed income securities are signaling the  likelihood of higher administered rates soon as well. Along these lines then,  short-term rates have been rising on the expectation that the Fed will need to  talk about higher rates at its next meeting on July 22nd, with a  corresponding collapse in both the yield curve and gold. It should be noted  gold is tracing out an exact pattern match on the yield curve, and rate  expectations. 
Tuesday, June 16, 2009
The Coming Stock Market Crash: Time to Review / Stock-Markets / Financial Crash
By: Brian_Bloom
 Yesterday this analyst had the bizarre experience of watching two consecutive and conflicting items on the evening Television news:
Yesterday this analyst had the bizarre experience of watching two consecutive and conflicting items on the evening Television news:1. A well respected economic forecasting organization is expecting Australian domestic real estate prices to rise by around 19% over the coming three years.
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Monday, June 08, 2009
Stock Market Summer Trend Into a Crash / Stock-Markets / Financial Crash
By: David_Petch
 The daily chart of the S&P 500 Index is  shown below, with upper 21 and 34 MA Bollinger bands riding the index higher  while lower BB’s continue to rise alongside the index, along with a potential  Elliott Wave count displayed (which has a lower probability of occurrence  compared to the other displayed patterns. Full stochastics 1, 2 and 3 are shown  below in order of descent, with the %K above the %D in stochastics 1 and 3. If  the %K can manage to remain hooked up and cross the %D in stochastic 2, it  increases the likelihood that the continued price movement in the S&P 500  index drifts between 900-1000 over the course of the next 1-2 weeks at a  minimum before topping out. As the Captain noted and as Elliott Wave charts  will later show, there is a chance the markets simply go sideways for the  summer before having a fall crash…to risky for most to even attempt playing, so  use risk capital and no more than 5% on any given market trade.
The daily chart of the S&P 500 Index is  shown below, with upper 21 and 34 MA Bollinger bands riding the index higher  while lower BB’s continue to rise alongside the index, along with a potential  Elliott Wave count displayed (which has a lower probability of occurrence  compared to the other displayed patterns. Full stochastics 1, 2 and 3 are shown  below in order of descent, with the %K above the %D in stochastics 1 and 3. If  the %K can manage to remain hooked up and cross the %D in stochastic 2, it  increases the likelihood that the continued price movement in the S&P 500  index drifts between 900-1000 over the course of the next 1-2 weeks at a  minimum before topping out. As the Captain noted and as Elliott Wave charts  will later show, there is a chance the markets simply go sideways for the  summer before having a fall crash…to risky for most to even attempt playing, so  use risk capital and no more than 5% on any given market trade.
Wednesday, June 03, 2009
How Stock and Currency Markets Behave After a Financial Crisis / Stock-Markets / Financial Crash
By: John_Lee
 Debt-based monetary systems are inherently unstable. Money is created out of   thin air by the banks and lent to government, consumers and businesses. In order   to service and replay those debts, the borrowers take on more debts. Asset   prices are inflated, and the vicious cycle continues until the debtors are   unable to borrow or the banks are unwilling to lend. At that point the system   snaps, everything is sold off, and we have a financial crisis at hand. In this   paper we examine what happens to equity and currency markets in the aftermath of   financial crisis.
Debt-based monetary systems are inherently unstable. Money is created out of   thin air by the banks and lent to government, consumers and businesses. In order   to service and replay those debts, the borrowers take on more debts. Asset   prices are inflated, and the vicious cycle continues until the debtors are   unable to borrow or the banks are unwilling to lend. At that point the system   snaps, everything is sold off, and we have a financial crisis at hand. In this   paper we examine what happens to equity and currency markets in the aftermath of   financial crisis. 
Tuesday, June 02, 2009
Fed Fears Treasury Bond market Collapse / Interest-Rates / Financial Crash
By: Global_Research
 Robert Wenzel writes: The Federal Reserve appears to be increasingly nervous about   the long term bond market. This is serious. How panicked are they? After leaking   a story on Friday, they are back at it on Sunday.
Robert Wenzel writes: The Federal Reserve appears to be increasingly nervous about   the long term bond market. This is serious. How panicked are they? After leaking   a story on Friday, they are back at it on Sunday. 
Tuesday, May 26, 2009
Financial Markets and Economic Crash, the Next Leg Down Will be Worse / Stock-Markets / Financial Crash
By: Mike_Whitney
 Collapsing home prices and credit markets continue to put downward pressure   on consumer spending, forcing the Federal Reserve to take even more radical   action to revive the economy. Last week, Fed chief Ben Bernanke raised the   prospect of further monetizing the debt by purchasing more than the $1.75   trillion of Treasuries and mortgage-backed securities (MBS) already committed.   The announcement sent shock-waves through the currency markets where skittish   traders have joined doomsayers in predicting tough times ahead for the dollar.   Foreign central banks have been gobbling up US debt at an impressive pace,   adding another $60 billion in the last three weeks alone. That's more than   enough to cover the current account deficit and put the greenback on solid   ground for the time-being. But with fiscal deficits ballooning to $3 trillion in   the next year alone, dwindling foreign investment won't be enough to keep the   dollar afloat. Bernanke will be forced to either raise interest rates or let the   dollar fall hard.
Collapsing home prices and credit markets continue to put downward pressure   on consumer spending, forcing the Federal Reserve to take even more radical   action to revive the economy. Last week, Fed chief Ben Bernanke raised the   prospect of further monetizing the debt by purchasing more than the $1.75   trillion of Treasuries and mortgage-backed securities (MBS) already committed.   The announcement sent shock-waves through the currency markets where skittish   traders have joined doomsayers in predicting tough times ahead for the dollar.   Foreign central banks have been gobbling up US debt at an impressive pace,   adding another $60 billion in the last three weeks alone. That's more than   enough to cover the current account deficit and put the greenback on solid   ground for the time-being. But with fiscal deficits ballooning to $3 trillion in   the next year alone, dwindling foreign investment won't be enough to keep the   dollar afloat. Bernanke will be forced to either raise interest rates or let the   dollar fall hard. 
Sunday, May 10, 2009
Stock Market Crash Necessary to Boost Weak U.S. Dollar and Treasury Bonds / Stock-Markets / Financial Crash
By: Clive_Maund
 When The Rose  Tinted Glasses Fall Off... We are going to start this article with a premise, which is that the bond market   and the dollar are much more important to the powers that be in the US than the   stock market. Two months ago the stock market was plumbing new lows and the end of   the world was nigh. Now, instead, you walk down Wall St and everything is   smelling of roses. Unfortunately, however, there is a massive storm threatening   to break that will necessitate the immediate sacrifice of the stock market, and   especially those mugs who have been taken in by the recovery hype being doled   out by the media and have been buying the market in the recent past.
When The Rose  Tinted Glasses Fall Off... We are going to start this article with a premise, which is that the bond market   and the dollar are much more important to the powers that be in the US than the   stock market. Two months ago the stock market was plumbing new lows and the end of   the world was nigh. Now, instead, you walk down Wall St and everything is   smelling of roses. Unfortunately, however, there is a massive storm threatening   to break that will necessitate the immediate sacrifice of the stock market, and   especially those mugs who have been taken in by the recovery hype being doled   out by the media and have been buying the market in the recent past. 
Saturday, May 09, 2009
Imminent Global Stock Market Crash to Support U.S. Dollar / Stock-Markets / Financial Crash
By: Global_Research
Continued from Page1 .... Employers are letting up a bit on the mass layoffs they resorted to earlier this year to cope with the recession, but the unemployment rate is climbing because many businesses remain wary of hiring given all the economic and financial uncertainties.
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Saturday, May 09, 2009
Imminent Global Stock Market Crash to Support U.S. Dollar / Stock-Markets / Financial Crash
By: Global_Research
 Bob Chapman writes: On Friday the dollar completely broke down, with the USDX collapsing to about 82.5, as monetizations by the Fed became a stark reality.  A world stock market collapse could be imminent as a source of dollar support. We wonder how low they will let the dollar go before they collapse the stock markets to chase people back into US treasuries, which have also broken down, with treasury interest rates on the rise despite various Fed purchases of treasuries in the hundreds of billions.  So much for the bogus stress tests as things turn much uglier than anticipated by the boneheads in Goldman Sachs South who are attempting to resurrect the Goldilocks Matrix.
Bob Chapman writes: On Friday the dollar completely broke down, with the USDX collapsing to about 82.5, as monetizations by the Fed became a stark reality.  A world stock market collapse could be imminent as a source of dollar support. We wonder how low they will let the dollar go before they collapse the stock markets to chase people back into US treasuries, which have also broken down, with treasury interest rates on the rise despite various Fed purchases of treasuries in the hundreds of billions.  So much for the bogus stress tests as things turn much uglier than anticipated by the boneheads in Goldman Sachs South who are attempting to resurrect the Goldilocks Matrix. 
Friday, May 08, 2009
The Free Market Did Not Cause the Financial Crisis / Stock-Markets / Financial Crash
By: LewRockwell
  Thomas Woods writes: 
In March 2007 then-Treasury   secretary Henry Paulson told Americans that the global economy was “as strong as   I’ve seen it in my business career.” “Our financial institutions are strong,” he   added in March 2008. “Our investment banks are strong. Our banks are strong.   They’re going to be strong for many, many years.” Federal Reserve chairman Ben   Bernanke said in May 2007, “We do not expect significant spillovers from the   subprime market to the rest of the economy or to the financial system.” In   August 2008, Paulson and Bernanke assured the country that other than perhaps   $25 billion in bailout money for Fannie and Freddie, the fundamentals of the   economy were sound.
Thomas Woods writes: 
In March 2007 then-Treasury   secretary Henry Paulson told Americans that the global economy was “as strong as   I’ve seen it in my business career.” “Our financial institutions are strong,” he   added in March 2008. “Our investment banks are strong. Our banks are strong.   They’re going to be strong for many, many years.” Federal Reserve chairman Ben   Bernanke said in May 2007, “We do not expect significant spillovers from the   subprime market to the rest of the economy or to the financial system.” In   August 2008, Paulson and Bernanke assured the country that other than perhaps   $25 billion in bailout money for Fannie and Freddie, the fundamentals of the   economy were sound.
Wednesday, May 06, 2009
The Current Financial Market Collapse: Contours of Crisis: Fiction and Reality Part II / Stock-Markets / Financial Crash
By: Global_Research
Continued from.... The Boundaries of IrrationalityBut not all is lost. Convention has it that there is nonetheless order in the chaos, a certain rationality in the irrationality. The basic reason is that greed tends to operate mostly on the upswing, whereas fear usually sets in on the downswing. “We tend to label such behavioral responses as non rational,” explains the ever-quotable Alan Greenspan, “But forecasters’ concerns should be not whether human response is rational or irrational, only that it is observable and systematic.”[Note 25] Regularity puts limits on irrationality; limits imply predictability; and predictability helps keep the faith intact and the laity in place.
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Wednesday, May 06, 2009
The Current Financial Market Collapse: Contours of Crisis: Fiction and Reality Part II / Stock-Markets / Financial Crash
By: Global_Research
 Shimshon Bichler and Jonathan Nitzan write: This is the   second in our Contours of Crisis paper series. The first   article set the stage for the series. It began by outlining the conventional   view that this is a finance-led crisis, that this turmoil was triggered   and amplified by “financial excesses”; it then described the domino sequence of   collapsing markets—a process that started with the meltdown of the U.S. housing   and FIRE sectors (finance, insurance and real estate), expanded to the entire   financial market, and eventually pulled down the so-called “real economy”; and,   finally, it situated the pattern and magnitude of the current decline in   historical context.
Shimshon Bichler and Jonathan Nitzan write: This is the   second in our Contours of Crisis paper series. The first   article set the stage for the series. It began by outlining the conventional   view that this is a finance-led crisis, that this turmoil was triggered   and amplified by “financial excesses”; it then described the domino sequence of   collapsing markets—a process that started with the meltdown of the U.S. housing   and FIRE sectors (finance, insurance and real estate), expanded to the entire   financial market, and eventually pulled down the so-called “real economy”; and,   finally, it situated the pattern and magnitude of the current decline in   historical context.

 
   
	