THE 10 YEAR BOND IS GOING TO 7%!! BE WARNED!!
SELL ALL RALLIES!!
AND, GET TO KNOW THE "JOY OF CASH" FOR THE REST OF 2004.
The terrific collapse of the bond market and indeed all income
instruments has been swift.
Greenspan lied! The "considerable period" was about a month! And,
anyone who relies on Fed "patience" is on the way
to the poor house.
Curiously, it's not really about the "jobs numbers," which are
probably FAKES!
It's really about the dollar and oil! Or, as I would call it the
dollar/oil! The two are inseperable really.
How FAKE was the jobs number? Well, jobs were the "sine quo non" for
a long over due rate hike. And, Mr G had to
stop the Carry Trade, and the commodities bubbles somehow. ASAP.
But, "his hands were tied" by punk jobs, right?
ENTER THE JOBS MIRACLE! BETTER YET, THE "GOOD JOBS MIRACLE!"
Consider:
Last month I complained that the jobs were suspiciously "spread out"
too evenly in all parts of the economy.
Well, this month they "corrected" that mistake; and jobs are
CONCENTRATED in "BUSINESS AND PROFESSIONAL
SERVICES!"
YES SIREE! NO RESTURANT AND BAR WORKERS IN DUBYA'S GOOD OLE USA!
NO BURGER FLIPPERS IN DUBYA'S RECOVERY! Just high paid BUSINESS AND
PROFESSIONAL JOBS!
So, wassup?
Clearly, the Republican cabal at the Fed/White House know that the
KERRY REVOLUTION will be the end of
business-centric finance as we have know it! Even Clinton only "felt
our pain," but did nothing about it. Deferring instead
to the Bubble-Masters at the Fed.
SO, WHILE DUBYA NEEDS A "GOOD JOBS MIRACLE."
GREENSPAN NEEDS TO RAISE RATES TO BOOST THE DOLLAR, AND STOP THE OIL
INFLATION. HENCE THE
CURRENT SITUATION.
THE MACRO ECONOMICS ALL SHOW A US ECONOMY IN EXTREMIS.
HOW CAN YOU HAVE A BOOM WHEN YOU NEVER REALLY HAD A BUST, EXCEPT IN
THE DOTCOM BUBBLE?
(See my posting Jobs! Jobs! Jobs! below, for more fake aspects of
this "recovery.")
BOTTOM LINE?
IT'S NOT ABOUT JOBS! FAKE OR REAL!
IT'S ABOUT OIL AND THE DOLLAR!
(Look how strange gold is acting. If inflation is real, shouldn't
gold be up? Instead gold is plunging to protect the dollar
from the bond crash! Bond sellers are surely "buying dollars" in a
panic, but the dollar shortage will not last. At some
point the "sick dollars" that caused the bond crash will also be the
"sick dollars" that buy gold! Or oil!)
NET-NET?
SELL ALL RALLIES!! GET TO KNOW THE ZEN-LIKE JOY OF CASH!!
Postscript: It will be interesting to see if the bond market rallies on Monday. There is a notion that big sell offs need to
be "corrected up." But, I'm not so sure this time. This is a very, very sick monetary situation; and the BOND CRASH
may continue unabated on Monday!! With TOTAL PANIC now in themarkets, income investors might get the "Fallujha
Treatment." NO MERCY FOR THE EVIL ONES! ANYWAY: I'M SELLING ANY AND ALL RALLIES EVEN UNTO 100%
CASH!
