Scribd Logo
Upload

Welcome to Scribd!

  • 113 views

    RPT MMC 2012 08 MM Peek

    Uploaded by

    lcmgroupe
    Aug. MONTHLY MARKET COMMENTARY BIG PICTURE - KEEPING YOUR PERSPECTIVES. 4 HIGHLIGHTS - WHAT YOU NEED TO KNOW. 7 "BERNANKE's BOX": Political Pressures Greater than escalating economic pressures.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd

    RPT MMC 2012 08 MM Peek

    Uploaded by

    lcmgroupe
    113 views2 pages
    Aug. MONTHLY MARKET COMMENTARY BIG PICTURE - KEEPING YOUR PERSPECTIVES. 4 HIGHLIGHTS - WHAT YOU NEED TO KNOW. 7 "BERNANKE's BOX": Political Pressures Greater than escalating economic pressures.

    Original Title

    rpt-MMC-2012-08-mm-Peek

    Copyright

    © Attribution Non-Commercial (BY-NC)

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Aug. MONTHLY MARKET COMMENTARY BIG PICTURE - KEEPING YOUR PERSPECTIVES. 4 HIGHLIGHTS - WHAT YOU NEED TO KNOW. 7 "BERNANKE's BOX": Political Pressures Greater than escalating economic pressures.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    113 views2 pages

    RPT MMC 2012 08 MM Peek

    Uploaded by

    lcmgroupe
    Aug. MONTHLY MARKET COMMENTARY BIG PICTURE - KEEPING YOUR PERSPECTIVES. 4 HIGHLIGHTS - WHAT YOU NEED TO KNOW. 7 "BERNANKE's BOX": Political Pressures Greater than escalating economic pressures.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    You are on page 1of 2

    Monetary Malpractice

    Moral Hazard, Unintended Consequences & Dysfunctional Markets

    Gordon T Long
    7/14/2012

    August 2012 Edition


    1

    Copyright 2012 GordonTLong.com

    Restricted
    All Rights Reserved

    general@GordonTLong.com

    Monetary Malpractice
    Moral Hazard, Unintended Consequences and Dysfunctional Markets

    AUGUST MONTHLY MARKET COMMENTARY


    BIG PICTURE - KEEPING YOUR PERSPECTIVES............................................................................................ 4
    HIGHLIGHTS - WHAT YOU NEED TO KNOW .................................................................................................. 7
    SUMMARY ANALYSIS .............................................................................................................................................................................. 7
    "BERNANKE'S BOX": Political Pressures Greater than Escalating Economic Pressures .............................................................. 12
    Defining Chart #1 - Long Term.......................................................................................................................................................... 12
    Defining Chart #2 - Long Term.......................................................................................................................................................... 13
    Defining Chart #3 - Intermediate Term............................................................................................................................................. 14
    Defining Chart #4 - Short Term ......................................................................................................................................................... 15

    MONETARY MALPRACTICE .................................................................................................................... 18


    Moral Malady ............................................................................................................................................................................................. 18
    Dysfunctional Markets .............................................................................................................................................................................. 19
    Distortions ............................................................................................................................................................................................ 19
    Deceptions ........................................................................................................................................................................................... 21
    Delusions ............................................................................................................................................................................................. 22
    Death of Equities ....................................................................................................................................................................................... 22
    Investing, Speculating or Gambling?................................................................................................................................................ 24

    STAGE 1 SYMPTOM - MORAL HAZARD ..................................................................................................... 25


    Penalize Savers, Reward Debt ............................................................................................................................................................... 27
    Attitude Shift: From "We" to "They" ........................................................................................................................................................ 27
    Misplaced Incentives on Wealth Creation.............................................................................................................................................. 27
    Malpractice, Malfeasance & Malinvestment .......................................................................................................................................... 31

    STAGE 2 SYMPTOM - UNINTENDED CONSEQUENCES.................................................................................. 31


    US Markets Now Addicted To Endless QE ........................................................................................................................................... 31
    US Corporations Now Addicted To Endless QE ................................................................................................................................... 34
    Bond Markets Corrupted By QE Resulting in a "Maturity Crunch" ..................................................................................................... 35

    STAGE 3 SYMPTOM - DYSFUNCTIONAL MARKETS ...................................................................................... 39


    Delusional Expectations ........................................................................................................................................................................... 39
    Absurd Schemes Underpin the Markets: ............................................................................................................................................... 41

    CONCLUSION....................................................................................................................................... 42
    Policy of "Smudge & Fudge" ................................................................................................................................................................... 42
    Where it Leads: STATISM ....................................................................................................................................................................... 43

    August 2012 Edition


    2

    Copyright 2012 GordonTLong.com

    Restricted
    All Rights Reserved

    general@GordonTLong.com

    You might also like