So, for those who think we're through the woods, think again. Europe is hurting even more now with this collapse in Eastern Europe and South America with their large exposure there. Japan's stock market is now down to a historic low, down to levels in 1982.
But I found the following interesting. Apparently, there was a division of Goldman Sachs that was selling mortgage debt to state retirement funds. What does that mean you ask? Well, it likely means that these same state retirement funds have lost large reserves that were going to be used to pay retirees. What I found even more humorous though: apparently there was another division of Goldman Sachs that was shorting these sales. In other words, Goldman Sachs was selling shit they knew was going to fail and so decided to profit twofold on the sale. Good thing they self-regulated, right Greenspan?
In other, related news: Greenspan has acknowledged that he, Alan Greenspan, is full of epic fail. Well no shit Alan. We knew that already.
We'll all see what happens when the true shit storm begins. Currently, there is just a lot of fluctuation. I think the end result has yet to be seen. Can you saw hyperinflation? See what that's like here. I hope you don't plan on retiring in the next few years. Fixed incomes are worthless when hyperinflation hits. Granted, it would be unlikely for the US currency to experience hyperinflation to this magnitude. But imagine if in the year the US were to experience a year of 30% inflation? This is certainly doable, and probably very likely. Good times are here again I guess. . .
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