Do you remember I said another huge wave of defaults in the US was coming?

[Cosmo]

Do you remember I said another huge wave of defaults in the US was coming?

https://perb.cc/vbulletin/showthread.php?p=796932#post796932

In that post I said,

The dirty secret in the US nobody wants to talk about publically is the other exotic mortgages that are just cresting the horizon.

Subprime had resets of 2-3 years and they started coming due in 2006.

There are another set of mortgage products (Jumbo Prime, Alt-A, Opt-ARM`s etc) that have resets of 5-7 years and they are just coming due later this year.

Moodies predicts another Trillion dollars in mortgage defaults over the next year.

The ride has only just begun folks.

In case you thought I was full of shite, last Sunday 60 Minutes profiled the coming crisis from these other exotic mortgages and how bad it will be.

From the intro to the story...

"When it comes to bailouts of American business, Barney Frank and the Congress may be just getting started. Nearly two trillion tax dollars have been shoveled into the hole that Wall Street dug and people wonder where the bottom is.

As correspondent Scott Pelley reports, it turns out the abyss is deeper than most people think because there is a second mortgage shock heading for the economy. In the executive suites of Wall Street and Washington, you`re beginning to hear alarm about a new wave of mortgages with strange names that are about to become all too familiar.

If you thought sub-primes were insanely reckless wait until you hear what`s coming..."

To see the full story, follow this link to the 60 Minutes site:

http://www.cbsnews.com/stories/2008/12/12/60minutes/main4666112.shtml

 

[Fudd]

Thanks for the heads up Cosmo!!!!

When this Imperialist Capitalist system breaths its last breath my Brothers and Sisters throughout the world will be ready to take to the streets for the Great Revolution!!!!!

 

[Cosmo]

When this Imperialist Capitalist system breaths its last breath my Brothers and Sisters throughout the world will be ready to take to the streets for the Great Revolution!!!!!

Last breath???? Economic fearmongering???

This isn't about gloom and doom.

If you know what's coming... and you prepare... it's tremendous opportunity.

There are a great many people in the last two generations that would have given their eye teeth to be around at the start of something like this.

Know what is happening around us - fully appreciate what it really happening - and don't allow the opportunity to pass you by.

 

[Cosmo]

What is coming... and where to find opportunity

I'll give the reader's digest prediction.

There is a school of thought that believes there will be two recessions, back-to-back. And it will last four years.

This is the basic thinking:

Right now, we have a deflationary mess in which assets – houses, commodities, financial asses – are all plunging, taking jobs, consumer prices and wages along with them. If we’re lucky, this stays a recession. If we’re not, we get the Big D.

But what comes after that? Well, look at the Fed today, cutting interest rates to 0%, pledging to buy up government securities, while the incoming US president is committed to spending a few trillion on top of the trillions burned through since Labour Day. Governments in Beijing, Bonn, London, Ottawa and everywhere else are doing the same thing – raking up deficits, running up historic debts and blowing their wads to forestall depression.

So, first we have a deflationary recession, lasting maybe two years. Then, as the recovery takes hold, as those trillions need to be repaid and as the world is awash in liquidity, we get inflation, probably severe. That will immediately start reflating real estate and oil and Vespas, and cause central banks to ratchet up interest rates in order to choke off too-rapidly rising prices.

(study the late 70's/early 80's)

That will take us to 2012.

And the opportunity?

If you can't see it... spelling it out won't help either.

 

[therealrex]

If your presdiction comes true make sure and let us know so we can shower you in praise all seeing one

 

[rafterman]

How about some info we can use like say some Lotto 649 numbers......