The Big 3: Cronyism, Ponzi, and Stimulus

1. Cronyism Don’t Make Me Confident

2. Our Ponzi Economy

3. Bankrupt Government Stimulus

1. So with this latest direct banking capital infusions -- we’ve gone from saying we were going to extract maximum pain on those who took risks of ownership of shares (shareholders) in any financial institutions that took in tax dollars in the bail out plan to simply handing them the money. Cronyism don’t me me confident.

2. Trillions of value-less dollars are coming down the pipe in the next six months. That will certainly stimulate this economy, though only temporarily. Might even cause some new bubbles. Is that bullish for the near-term?

3. Eric and I have discussed the idea that going long gold since it’s a value retainer and short oil since it’s an asset of utility is probably a good trade. It has been, and probably will continue to be as the economy tanks and the socialists in charge keep printing more money for their cronies.