Comment: Just because you keep saying doesn’t make it true

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In reply to comment: Goldspan, you can call me wrong (see in situ)

Just because you keep saying doesn’t make it true

We are not in a deflationary credit contraction….the world is awash in Yen, pounds and dollars. We had a credit contraction ……you bet…….. Devalued capital of a broke banking system. But like I said QE1& 2 cured that, QE 3&4 is about re-inflating the world anew. You Keynesians just NEVER admit your failed policies are what got us in this mess. The reason Austrians concentrate on monetary matters is because we know the true source of the inflation starts with the central banks. No one documents the money and credit inflation better than the Austrians.

I documented the velocity in the M3; if you have read any of my post on here I was talking about this long before you. I also mentioned the “master stoke of genus” of paying interest for excess reserves. Now they are talking about creating a floor and ceiling as a way to revive the funds market to normalize interest and end the zero rate policy….we will have to see how that works out.

You keep telling me how right you have been and how well you have done for “all” your clients as if that supposed to impress me.

But weren’t you wrong on the Euro?

Weren’t you wrong on you call for a market top in 2012 in the stock market?

“In September, when the S&P was at 1435, I started warning investors of a stock market bubble based on the data I saw at the time. Today, the S&P 500 has fallen 85 points since that warning, as seen in the chart below. Perhaps we are due for a bounce, but what economic reasoning would there be for such a bounce?”

Bounced is an understatement!.......bounced straight to 1900 on the S&P…that’s a 35% bounce in 18 months…….hope your clients weren’t short.

Is this your call on Gold in 2012

That’s why you buy gold.
The Fed has to be ready to help their buds across the pond in all those failed economies, and of course the ECB, because we are all one now. No risk of anything bad happening right America? I mean, 2008 was so long ago everyone’s forgotten about it. That was last decade! Bernanke saved us then and he’s doing the right thing now right?

Wrong again

So tell me Doug……where are all these “right calls” I wouldn’t have asked but you were the one that keeps bringing it up as if I should be impressed…..and therefore should just give up this debate. You met the wrong guy for that. I retired from clients in 1994….I only trade my own money. It’s all about the strategy. I was wrong on a trade on Friday and still made money. That’s how it’s done!
ETF can be crap…..if they don’t manage the cantango and just roll the positions; I would never buy an ETF (except from Jim Rogers) or a bond mutual fund. Why are you recommending paper derivatives if you are such a hard money guy.

All economic data is reported for one reason and one reason only…….to determine the direction of interest rates. If we are at a zero rates policy there is only one way rates can go……plan for that it will happen……unless you need to make a commission….then trade around the senseless government reported data.

The cost of capital is what determines the values of every other investment.

There is a philosophical thought that goes something like this….i don’t remember the name of it so I call it “Station In life”.
People can justify their action based upon how they make their way in the world….how they make a living. Their perception is based upon their own personal reality…….doesn’t make it right, just makes it so they can live with themselves for some of the things they do.”
Take a politician….say Bill Clinton (ok maybe extreme case). If you asked him……he can justify what he thinks based how he makes a living. Take his wife…how does she justify all of it….and she can, she actually thinks she is a good person.

You Doug……you make your way in life managing other people’s money……you have to justify your next trade, just so you know…..I stopped managing other people’s money in 1994 after the Mexican debt crisis and learning how countries go broke in this Keynesian world. I walked away from a 6 figure salary , plus bonuses because it was the right thing to do…..I couldn’t invest other people’s money knowing the dollar was eventually going to fail….I put my money were my mouths was. Since then I just manage my money trading options……it’s all about the strategy ……I don’t guess on which way any product is going to move. I know EXACTLY when I am getting in, getting out, my profit and how much I am risking…..on every trade, before I trade it.
And once again you were wrong……This conversation started because of your condescending disparaging remarks about John Williams and he’s just hawking his newsletter (and Peter Schiff and Lew Rockwell). You stated there was never going to be right on this “hyperinflation” call or the destruction of the dollar because we are the greatest country in the world (paraphrasing) No one every mention Zimbabwe, in fact I pointed specifically to Great Britain as being the only world reserve currency example. Doug I will go one further……the hyperinflation has already occurred, it sitting as the reserves of other nations banking systems…….a negative 11 trillion position……that is cold hard fact…..period. The most inflation in the history of the world……like I said before…..NOT ONE IN A MILLION CAN SEE IT!
You come on a Libertarian web site for what… disparaging Libertarians……talking about all your successes and who you’ve me……for what….to hawk your next book. Bet you never thought you find a libertarian with an attitude….lucky you.

Let's just let the people decide.