August 4, 2007
Cramer: “Bernanke, wake up”
Posted by Prieur du Plessis under Business, Economy, Finance, Investment, Markets, Money
Mad Money host Jim Cramer made a passionate, and quite amazing, plea to Federal Reserve Chairman Ben Bernanke on CNBC yesterday. He urged Bernanke to cut interest rates and, in turn, help the market and the people who were losing their jobs on Wall Street.
This is video footage at its alarming best: entertaining and controversial, with all the potential of causing furious debate. After all, Jim, is it the Fed’s role to come to the rescue of investment banks at the first sign of trouble after years of record-breaking profits?
Source: www.cnbc.com
Also read good friend Barry Ritholtz’s comments on Cramer’s tirade on his Big Picture blog.
Cramer perhaps has reason to be ranting and raving, at least the price charts of a number of investment houses seem to be telling a pretty sad story.
Source: StockCharts.com
Source: StockCharts.com
Source: StockCharts.com
Source: StockCharts.com
August 6, 2007 at 2:43 am
Ok Jim, but really, the Fed is only in charge of a Scam called Fiat Currency. Let the markets (people and capital interests) decide what is excess and what isn’t. What’s bid and what’s asked. Come on… asking Bernanke to help is like asking the wolf to come into the chicken coup to decide which ones live!
Maximus.
August 6, 2007 at 5:44 pm
Fiat currency is not itself a scam, it is a necessary tool to ensure price stability and sufficient money supply in a large economy. However, fractional reserve banking and the Federal Reserve system are, if not outright scams, definitely contributing to the problem.
Unfortunately these elements of the system probably cannot be changed, they are too fundamental to how the system works.
August 9, 2007 at 5:16 pm
Cramer is right on this time.
Too long the Fed has viewed inflation as their only target. They even have the audacity to view a rising stock market as “inflationary.”
Thus, they have become the enemy of growth. Thank God someone has the courage to confront them.
August 12, 2007 at 9:59 am
“No matter how you slice it today’s market ranks among the most expensive in the last hundred years when considering value, whether it be P/E ratio, dividend yield, book value or cash flows…Today we have and entire generation which has never experienced an era of cheap stocks, their education, no doubt, will end in an MBE degree ─ Master of Bear Education.”
−Charles Allmon, “Growth Stock Outlook”
While we can expect the last bit of this rally to carry us back up in a powerful Spike, by the close on Tuesday, August 14th, you should liquidate all longs and position yourself 100% short. The next drop should be dramatic, violent and swift. It will contain the point of recognition, when the masses wake up in a panic to the Biggest Grizzly in 300 years.
The best shorts are the Proshares UltraShort Financials, Proshares UltraShort Real Estate; Homebuilder’s Spider short.
If you are too conservative to go short, then just convert your money into Australian Dollars. The only long in our opinion remains the Australian currency, FXA, with a current yield of 6.25% and a very high probability of double digit returns this year and next, coupled with negligible risk. Going forward the big risk is in the Greenback. For an elaboration of these choices and an intro to Bear Markets 101, please visit our website. The best reason to subscribe is to improve YOUR performance.
Eduardo Mirahyes
Exceptional Bear
http://www.Exceptional-Bear-Market-Letter.com/
August 16, 2007 at 4:21 pm
[...] under Markets , Wall Street , Investment , Economy , Finance , Humor , Money , Business The video clip of Jim Cramer ranting and raving about the credit squeeze stirred up huge interest in the financial [...]