Posts tagged ‘Market’

Thank You Mr. Fed for your intervention on market failure; Cut the interest and allowed home loans
Adam Smith said No Intervention Please from Government! Market will be equilibrium again by Invisible Hand. Hello Mr. Smith, Who is the Mr. Invisible Hand? One I ask to Adam Smith, George Soros doesn’t believe to Invisible Hand. He doesn’t believe to free fight enterprise, free competition. He doesn’t believe that the miracle of invisible hand come from France Language.
Who is Mr. Invisible Hand? Market, demand and supply? No, John Maynard Keynes didn’t believe that. So who is the Mr. Invisible Hand? Christianity Thought said that business is evil, so businessmen must be cleaned by charity.
When market gone failure in 1930 an, Invisible hand didn’t come. Invisible hand is not real. So who replace Mr. Invisible Hand? Government? Yes Government is Mr. Invisible Hand. He came in the big recession.
Now, he came back, Government (Central Bank of course) back to clear all market failure. Fed has done it in near. When American Economy gone crazy, world economy also gone failure. American economy is the leader, and we (others economy is only follow) are behind. Fed back again after in January fed cut the interest rate. Fed backs again to stabilize American economy so we can breathe again. Through What Fed stabilizes American economy?
Let us see the failure first so we can analysis and suggest what is fed tool?
World turn to recession, high unemployment, and business doesn’t work well; flying oil price, stock declined significantly, Politic problem in Tokyo, Recession in property credit in United States and many more problems caused market failure.
In America, The most problem is Business Property; specifically failure in Home loans crash. Fed come likes Jesus and allowed millions dollar to help. Stabilize, and refresh American problem.
More detail about those cases, market failure, read related post below.
An additional opinion, Market Failure in American is also caused by Mr. Bush because he make his American economy as second target, otherwise Iraq is his first target so my predict the next American president comes from Republicans.
Recommendation Post:

FED cuts interest again on NYtimes.com
The reduction of the benchmark interest rate to 2.25 percent was less than investors had been hoping for, though it was one of the deepest in Fed history
The Fed cut the fed funds rate by 3/4 point to 2.25%. Ron Insana, of Insana Capital Partners, and CNBC’s Erin Burnett, Steve Liesman, Bob Pisani and Rick Santelli share their analysis. Read full article on CNBC news.
Bond gurus Bill Gross, of PIMCO, and Ken Volpert, of Vanguard, react to the Fed’s decision to cut a key rate by 3/4 point.
Fed cuts key interest rate on Los Angeles Times.com
By Peter G. Gosselin
In a forceful move to contain the growing credit crisis, the central bank slashes its benchmark interest rate by three-quarters of a percentage point to 2.25%.
Rate cut aims to push fearful investors to take risks
By Tom Petruno and David Colker
The Fed’s intent is to coax money from low-yielding accounts back into stocks.
WASHINGTON/NEW YORK (Reuters) – The Federal Reserve slashed U.S. interest rates on Tuesday, boosting Wall Street, which was already higher on stronger-than-expected investment bank earnings. on reuters.com

Play Forex (Foreign Exchange Market Live Desk)

I was a stupid speculator. Stupid Speculation means I can’t do accurate analysis, perhaps the graph shows the trend and I follow it. I just want to find junk dollar from the surplus on big investors. When the trend shows down, I followed it. It’s hard to sharp your analysis because you are just only a micro speculation.

Learn, how much money Investor got when they won?

Here is a simple illustration. I take the picture from my virtual live desk on Marketiva.

I like GBP/JPY because the fluctuating is higher than others. So I can save my time. Profit or Loss! Just that, other currencies like EURO/Dollar is slow moving fluctuating.

I bit GBP/JPY at 204.16 levels in March 13th with $ 10 USD. Each point I get $0.10 USD. You can see if a speculator bids around $ 100 USD, She/he get $1.00 USD. In many cases, if huge speculator bid around $100.000 USD, he get $1.000 USD in every point.

Today Metro TV news ‘Market Review’ said that lowering USD against Yen Japan to 96.88 in this morning caused the oil price up to 111 USD per barrel. Fantastic Investor! Investors do in the right place. They won much. They become richer and richer. The reporter also said that while Yen Japan appreciation against USD, some of Asia Stock is down around 1 to 2.5 percent. Fantastic! Investors gain and won many dollars.
The chief of OPEC said that raise upper 111 USD per barrel is not caused by oil supply but caused by the lowering of USD against some currencies include Yen Japan, Euro, GBP and other currencies from big countries.

What did Investors do to us? They make us suffer. They make us pay more for one liter oil. Investors only think about how to take more profit but they think about their profit will suffer others.
As poor countries which have net oil import, increasing of oil price make their government must rearrange their budget, their plan and their subsidies.

Investors do right action. We need profit because of speculation, but speculation on oil price is stupid action. Anyone knows that oil become limited and very sensitive with price. The lowering of USD not only causes the increasing oil price but disturb all market, stock market and real market. Businessmen also suffer by the investors taking profit action. They make the businessmen credit on Dollar will higher.

Lastly, we can see in this week the movement and the fluctuating of Dollar. America must do something. I know that government intervention on market is not allowed but if there is no intervention, it means government suffers millions people and consumers because all price based on oil and commodities price increase and we have lost our ability to pay because real money down significantly.

In my opinion, Hello Investor, please stay down and hold your money. How much money that you want? You have been rich. Just stay and put on hold your money. Let oil price down.
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Dollar holds losses vs yen after TIC data