Asset prices across the world have risen to heady levels not seen since the credit boom five years ago and may be losing touch with economic reality yet again, the Bank for International Settlements has warned. http://www.telegraph.co.uk/finance/...esh-credit-bubble-Switzerlands-BIS-warns.html
^ No jokes. The Dow Jones is nearly back to its all time high of 13,700 pts. Wayyyy over valued. Yet others like the Aust All Ords is about 4,500, way off its 6,700 high. Given the two economies, you'd think the markets would be the other way round!
http://www.zerohedge.com/news/2012-12-11/hong-kong-feds-epiphany-bernanke-wrong-about-everything You don't say....
[youtube]http://www.youtube.com/watch?v=mkNn4WUwtCA[/youtube] What can you really say about it all? Hopium is addictive. That said, it stands to reason that nominal values are still going up when you see how much printing is going on and how rates are being kept artificially low internationally. Give people enough rope...
Yes, but what are they when you adjust for currency movements. The Dow doesn't look anywhere near as rosy once you adjust for that.
Derivatives Blowup is Inevitable: "Whalen notes that the financial industry is reluctant to change the way derivatives are managed because they generate large returns at a time when banks are less profitable than before. "The super normal returns that they earn from derivatives subsidize the rest of the business," he says. One way or the other, Ritholtz and Whalen believe the financial industry needs to get used to the idea of making less money." http://www.financialsense.com/node/9943 Everyone seems to be hoping no one rocks the boat and points out the obvious, the world economy is broken and all value has been squeezed out by the parasitic financial institutions. Keep stacking boys! :lol:
Slightly off topic, has anyone else started receiving letters from the bank informing you that "You've been approved for a $XX,XXX loan!"? I've gotten a couple in the past few months after years of nothing, and a couple of offers to up the limit on my credit card.
Yep. There was a pause for a few months due to Swannies anti-credit advertising laws and everyone had to get people onto approved mailing lists and now they're probably making up for lost time.
Must be because you agreed to sign up for further credit offers from your bank. If you didn't then they are not allowed to send you those offers any more.
Policy Interest Rates - Selected Advanced Economies http://www.rba.gov.au/chart-pack/im...-pradv-small.gif?accessed=2012-12-15-08-12-59 Policy Interest Rates - G3 http://www.rba.gov.au/chart-pack/im...r-prg3-small.gif?accessed=2012-12-15-08-12-59 Policy Interest Rates - Asia http://www.rba.gov.au/chart-pack/im...prasia-small.gif?accessed=2012-12-15-08-12-59
