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Written by Harry Dent
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Pipeline Denied By - Expect the Oil to Go to China - Rodney Johnson / HSDent 01/18/12) The proposed XL Pipeline was rejected by President Obama under the pretense that the proposal had not been around long enough for sufficient study. Study of what? It’s a pipeline to bring in oil from Canada through a region that already has a lot of pipelines. Haven’t we studied this area before? Don’t we know what’s in it? And the pipeline proposal isn’t new., it’s been around since 2008. This is the same posturing that we have seen a million times over from both parties. The dance is familiar. |
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Written by Harry Dent
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Where Positive Spin Meets Negative Reality - Rodney Johnson / HSDent Is it just me, or does it seem that every time a piece of data comes out, no matter what it is, there is huge media hype to make it appear like a positive? This morning we are greeted with the news that China’s economy grew at its slowest pace since Q2 2009. Now, a growth rate of 8.9% in the 4th quarter of 2011 is not exactly falling into a death spiral, but it is a marked slowdown for the hottest economy on the planet. When this news was announced did the markets go into freefall? Did the markets take a turn lower? No! In fact, the Chinese stock market shot up by over 3% and other markets, especially those that supply China like Australia, moved up dramatically. The reason? Why, intervention must be near, of course! |
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Written by Harry Dent
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Let Me Run FNMA - Rodney Johnson / HSDent Michael Williams announced that he is leaving FNMA. The CEO has been at the firm since 1991 and was promoted to run the place in April 2009. It would be fair to say that he has a great working knowledge of Fannie Mae. He also recieved a pay package of $900k per year and $6 million in deferred/bonus pay. He will leave his post as soon a the board finds a successor. |
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Written by Harry Dent
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Fed "Profits" of $76 Billion Sent To Treasury - Rodney Johnson / HSDent Today the WSJ reported that the Fed remitted $76.9 billion of profits to the US Treasury last year. What a load of bull! To say that the Fed earns a "proft" on what it purchases implies that the Fed could incur a "loss." This makes no sense. The Fed sends all excess funds to the US Treasury. There is no accounting for good or bad purchases. I took a few minutes to write an email to the authors of the article. I've included it below. |
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Written by Harry Dent
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Greece is so Far Gone it is Almost a Parody of A Country - Rodney Johnson / HSDent It is no secret that the Greek government cannot 1) collect taxes, 2) sufficiently cut their budget, or 3) develop any program that fosters economic growth. These attributes seem to play out every month, and have been the same for years. Even so, the influential members of the EU keep acting as if there are some hidden revenue streams or economic levers that have been left un-pulled in Greece and, if the EU only talks about it enough, something new and wonderful will happen. Well, part of that does occur. New things do happen, they just aren’t wonderful. |
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