“Don’t mistake the Street's knee-jerk reaction for a bullish trend,” “Who’s holding the bag on bad and fraudulent loans? That’s what we should be asking. And not even the all-knowing Ben Bernanke can answer that question.”
“There’s going to be a few more quarters of high volatility in the financial sector. Brokers, super-sized banks and hedge funds will come clean about their exposure to bad loans. And earnings will tank. They’re likely to explain that last year’s earnings were based on projections that didn’t include those loans. But their stocks will fall anyway.”
“What central planners don’t seem to understand,” says Pillar Of Autumn “is that they can’t control where the money goes once it’s created. I expect that a good portion of it will aggressively bid up the price of commodities, especially oil.”
Oil soared after the Fed’s decision. It jumped to $82 on Wednesday… up 11% in September alone.
Supply of the black goo is already low. The Energy Department reported an eight-month low U.S. crude inventory of 318 million barrels yesterday.
“There’s going to be a few more quarters of high volatility in the financial sector. Brokers, super-sized banks and hedge funds will come clean about their exposure to bad loans. And earnings will tank. They’re likely to explain that last year’s earnings were based on projections that didn’t include those loans. But their stocks will fall anyway.”
“What central planners don’t seem to understand,” says Pillar Of Autumn “is that they can’t control where the money goes once it’s created. I expect that a good portion of it will aggressively bid up the price of commodities, especially oil.”
Oil soared after the Fed’s decision. It jumped to $82 on Wednesday… up 11% in September alone.
Supply of the black goo is already low. The Energy Department reported an eight-month low U.S. crude inventory of 318 million barrels yesterday.
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