wulfgar

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About wulfgar

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  1. It might stop a lot more often as hair brained economic practice takes its toll. If the Australian governments hopes for iron ore is the case, then modern governments no longer have the slightest clue about economics. This is idiocracy at its best. Presently the USD is being domestically devalued at 6.5% pa ( 5 year average) while benchmark 10 year treasuries pay 2%. This monetary confiscation just like in the 1970's.
  2. Changing political winds. At the time of the 1929 crash the world population had risen to 2 billion. The estimated 1 billion at the time of the Napoleonic wars is the maximum sustainable without recourse to modern technologies. The 2 billion was reached on the back of steam technology. Following the widespread application of oil technology the world population exploded. In essence "refugees" have become a permanent fixture. The modern states they seek admittance to will not politically be able to cope with the millions on the rove. There is nothing new in this, populations have moved escaping less desirable circumstances or seeking greener pastures throughout history. It has generally being the best interests of Nations to repel them. The strange thing is the media completely overlooks the collapse of Syria being due to its population going from the 7 million of 40 years ago to the 22 million of today. Millions of these were refugees. Syria only has a river with the water flow of the Murray that has been dammed by Turkey reducing that water flow. Imagine what would be the case if the 22 million of Australia were clustered around the Murray as their main resource.
  3. The problem is until recently China lived outside the Basel rules following the old "beggar they neighbor" principles. From about two years ago they have been attempting to conform to the Basel standards. If they succeed then the Yuan will be treated as a reserve currency. But getting the markets to trust it will take time. They were supposed to start conforming to Basel post Olympics, but failed to do so.
  4. Dick derives the name Richard which means "wealth". It also means "thick" or "fat". Since in the Dark Ages if you were fat then you must be rich. Although being fat might have health issues, the opposite of starving to death was more obvious!
  5. Wulfie prediction from long ago, AUD to peak 110 cents. To eventually dip to 40 or even 30 cents (maybe less?). Armstrong? I thought Peter Fraser crazy on APF crazy for predicting a 150 cents peak! I see, he has been bested! However official prices and market liquidity can be two different things. They would like them to be the same, but it doesn't always work out! Aus is Squanderville, impoverishing itself increasingly with each cycle until one day nothing will be left! Aus will be the first part of the West to sink into the Abyss! Enjoy! What could possibly go wrong!
  6. My conclusion for years is eventually we'll the AUD hit lows of 40 or even 30 cents. Why do I think this? Because it has all happen before! There was a commodities boom in late 1960's and 1970's and of course the AUD becomes strong. But when commodities lose favor the AUD becomes weak. Even worse since this time around ever more of the Aus lifestyle is a product of overseas. I wonder if they will produce those funny little 55 cents AUD notes in protest this time around? However there is a risk, investing your money in USD usually means banking or bonds. In a turn of events if currency controls are slapped on then you can't access your money normally. The risk is liquidity, no matter what the official price your holdings are.
  7. This is hilarious. A banking system that thrives on the standard Western currencies being devalued at something like 6% pa. At the same time the benchmark treasuries pay 2.5%. That's a 3.5% loss pa of purchase power......then they talk about "fair value". These people are clowns feeding on their own BS. It would require real positive interest rates to bring gold down to this price for anything but a brief moment. Investor demand for gold increases as the price falls. They are quite happy to hang on to their precious and they want more! They are not selling up as much as the banks wish they would! The investors know the end scenario for the fiat money that does return value. At the time of the GFC there was 860 billion USD in circulation. Today there 1380 billion USD in circulation. Yet they expect gold to trade at ratio to USD that existed prior to the GFC. How deluded!
  8. An interesting concept, below 1k, but somehow I don't see it. However a massive opportunity to buy cheap gold before the central banks send it to $3000+.
  9. Buy, buy, buy! Target is in sight!
  10. Yes, that was a good one!
  11. Yes, well the most recently published balance statement of the Greek Central Bank showed a couple of liabilities to the ECB. The smaller one is the "normal" facility deposit of the ECB. This one started the year at 10 billion and rose to 17 billion a few months later. The larger one is the "abnormal" facility deposit of the ECB. This one started the year at 75 billion and rose to 100 billion a few months later. So in the course of the first few months the ECB injected 32 billion into the Greek central bank. Much of it was to replace the savings the Greek depositors pulled from the banks. So basically Greeks hardly have a cent in their own banks, only wages that have been going in and such like. So from the looks of things the total loan assets of the Greek banks was down 130 billion. Early this year liability was to 30 billion of Greek retail deposits and 100 billion of Euro funds to replace Greek deposits that had already walked. Now there is zip. Greece is simply a chronic kleptocracy. It will spin any story, do any dance to get more money from the Euro's. Pull the plug on it and set it adrift. Find all the Greek stamped Euro's and trade them for Drachma. Make sure those are German stamped Euro's you got under your bed.
  12. http://www.abc.net.au/news/2015-07-16/greece-bailout-parliament-passes-reforms/6623512 Amazing how they all purr like kittens when offered a fist full of Euros, 86 billion of them. The reality is Greece doesn't pay a cent back, instead we get a permanent train of Euro's plunging down the Greek black hole.
  13. Well, not at all surprising. Saudi Arabia has gone from 4 million people in 1960 to 30 million, this half century later. So yeah lots of oil was plenty money for a smaller population, but not any longer. The Muslims plan to out-breed everybody else to conquer the planet.
  14. Fusion reactions on the small scale are nothing new. However a self sustaining process only occurs under tremendous scales of pressure and heat. The trick is getting vastly more energy output than the input. The latter is still a problem for conventional nuclear power. After 50 years conventional nuclear power still requires more input than the output when everything is taken into account. I'd be more impressed if they found a fix for the latter. As it is 300 years from now the energy limit will be reached and mined commodities will become uneconomic. Followed by the slow death of Human civilization with the lights going out about 3000 AD. Meanwhile resources are being frittered away to build and power SUV's.
  15. The Greeks did try sell themselves but the devil saw as a bad deal! It appears the Greeks will be sent packing out of the Euro.