Market Talk / Jan. 15 - 21

[Wizard]

The next two are already priced in. No need to overheat the marketplace by changing course and causing uncertainty.

FOMC is painted into a very very small corner.

The treasury is trying to sell 200B of new debt this quarter. Around $350B next quarter (this is just a guess).

Will be very hard to find "buyers" of this newly minted debt if they stop raising rates.

FOMC charter is to control inflation not to worry about asset prices. Meaning if the stocks get slammed because the speculators are to stupid to get out then that is their problem (remember 2000?). Their problem is inflation. If they can not sell new debt that would cause inflation and inflation they could not control.

 

[Wizard]

01/19/2006 $8,176,948,650,558.59

We are around $7B from hitting the debt ceiling.

Just something else you do not hear on tv.

 

[Wizard]

Since when are the Russians, Chinese, and Koreans capable of feeding their populations without imports of agricultural products from our midwestern farmers.

Dennis

Mid west farmers are mired in a drought and a lot of them are getting debt relief from the U.S. tax payer because they lost their crops. Heck, we do not even get a majority of our produce from mid west farmers. Remember NAFTA? To bad a lot of the NATFA countries are starting to turn against us. We will go it alone, just buy our debt, please.


http://drought.unl.edu/dm/monitor.html

Something else you do not hear on TV.

 

[Wizard]

Hey Dennis,
Could ya quit shot'n from the hip and tell us how ya really feel. LOL! What about Brazil? Chavez (the CIA target nut case) is feverously courting Brazil and Brazil is becoming a agricultural power house.

And shoot from the hip with facts not spin.

 

[Birchtree]

Last year droughts...

Wizard,

The new year undoubtedly will bring a bumper crop planting - with adequate product returns in the fall. Every year is another year to do it better - I own some aggy stocks and will wait for the positive cap-ex returns. Food is an important strength this country has to its benefit - we can live just fine without ag exports. But important players on the global scene need our grains.

 

[Wizard]

Wizard,

The new year undoubtedly will bring a bumper crop planting - with adequate product returns in the fall. Every year is anothewr year to do it better - I own some aggy stocks and will wait for the positive cap-ex returns. Food is an important strength this country has to its benefit - we can live just fine without ag exports. But important players on the global scene need our grains.

Just for fun, next time your need to go food shopping go the same time they are restocking the produce and read the boxes. I do agree we are the grain superpower of the world. However, if the drought continues expect much higher prices for bread and less we can export.

 

[Spaf]

Looking!

Just looking! The RBP button got pushed! Hmmmmm!

Spaf​

 

[Spaf]

Thats all!

Thats all! Closing this week's thread! See ya next week!

Spaf