Tuesday, August 09, 2011
May Day! May Day!
Cracking Up On The Good Ship Lollipop?
Emergency Hard Landing
…One Without Props
…or, at Least …Domestic Ones.
We Are NOW …Experiencing Wind Shears
Please, Fasten Your Seat Belts!
What is value if there is a lack of demand …in a market awash with supply?
Then, what is liquidity if there are not adequate demand?
Stay calm, the President and Timothy Geithner have your backs!
Well, don’t they?
When this administration chose to make banks the whipping child of the housing bubble, it chose to suffer the unintended consequences of throwing the American banks under the buss by reason of its populist politically-driven angst.
Number one …the annual federal budget took a hit in terms of reducing the banks ability to generate badly needed tax receipts …primarily from the activities which came from the banks’ internal prop desks.
And if that was not bad enough, the loss from America’s banks and financial institution’s internal activities extend on into an added lost dimension from which American equity markets may be currently suffering.
Number two, in the last two weeks …could the rapid daily sell-offs be viewed as suffering …even to somewhat of some extent …from an imbalance that could be attributable to a market condition where there are measurably …more sellers …in a sea which is missing and wanting enough buyers?
For political reasons …this administration’s hell bent intentions of making American banking institutions its own political objective has …in my humble opinion, forevermore changed American equity market’s landscape by damaging a critical internal institutional mechanism which …once upon a time …professionally participated in domestically grading VALUE …outsourcing this to components which may now be off-shored to European and other foreign institutions.
In the cross hairs of the Obama administration, this mechanism was shot dead recently by Dodd-Frank … and now, no longer is available for the first time …to provide a badly needed …critical participation in discerning what actually is value.
Can you see the administration limping around …after having shot itself and all others in the foot?
Way to go boys!
When are you going to win one for the Gipper!?
Americans …one and all, now …are …without that more certain added degree of institutional participation, being asked to experience the slings and arrows in a turbulent market’s new unintended dynamic effects.
Be careful America, if you are not careful …the administration may take your carrier’s flaps landing gear next.
Whether or not there actually is adequate liquidity in today’s equity markets …private portfolios need to know HOW to fly through a new thinner atmosphere …one in which flying through wind shears …without props may have increasingly dire consequences …especially in turbulent times.
Attention ladies and gentlemen …the President has turned on the no smoking sign.
Please return to you seats and fasten your seatbelts and hold on to your gold.
In the meantime, “Do the Tighten Up†…now …HhAaauGh!
A new dance …from archie bell and the drells …for your listening pleasure …while you are going down …in it.
Get down on the banks while you’re at it ….yes?
http://www.youtube.com/watch?v=Wro3bqi4Eb8
And while you are getting down, think about this …
What goes around …comes around …save for props.
Now, save yourselves. for who else is going to catch you when you fall, your good ole Uncle Ben?
Yeah! Right! How’s that been working for you lately?
Good luck with that, now! Its going to cost you for certain …more without props.
Happy landings boys and girls! Happy Landings On A Chocolate Bar!
http://www.lyricsg.com/142593/shirley-temple/on-the-good-ship-lollipop-lyrics
Good luck and don’t crack up …while you are cracking down!
