Posts by "macrosam"

The only thing I would ask is: is the spectre of increased regulation and financial institution scrutiny, public outrage, and politicians taking center stage inflationary or deflationary?

Gold's run up has not been inflation based, it has been inflation expectation based. With no actual velocity or multiplier effect on this money, gold is just another asset to be sold/liquidated when risk aversion calls and there are profits to be had. Gold is still in a secular bull market (I agree with Ashraf) but I believe the drivers of its eventual breakout have yet to occur but are inevitable.

John Paulson, not Hank, correctoin

SEC charges Goldman Sachs with fraud relating to subprime CDOs

My understanding is that a departure from the union would follow a bailout so that bond holders would not be harmed. The departure itself would be necessary post-bailout in order for Greece to right its fiscal situation presumably via a return to the drachma and subsequent devaluation. The departure wouldn't be married to the notion of a default and the reason for all this hysteria rather than just defaulting is to find a solution that will prevent contagion.

Take this with a grain of salt as I have lived my entire life in the States and don't have the global perspective aside from the services I subscribe to and the likeminds I converse with, but I think the euro is already on its path to parity. The only event that would make me bullish on the euro aside from unexpected rate hikes is the departure of Greece, and the weaker peripherals, no disrespect intended. from the monetary union. I am not necessarily including the PIIGS in entirety in this grouping, but imagine a euro where the member nations were comprised of Germany, Norway, Finland, and France (the latter moreso for the political and geopolitical perspectives). Maybe Poland as well? My knowledge of the eurozone aside from technicals is fairly limited, I admit.