Panic !

[gingerjedi]

I've got a mate who sold his London flat at the beginning of the year to try and make a killing on any downturn, he piled some of the proceeds into NR the day before it crashed as he had heard something was about to be announced but obviously got it completely wrong, I'm not sure how much as he won't say.

Schadenfreude in full effect.

[Churchill]

I've got a mate who sold his London flat at the beginning of the year to try and make a killing on any downturn, he piled some of the proceeds into NR the day before it crashed as he had heard something was about to be announced but obviously got it completely wrong, I'm not sure how much as he won't say.

Schadenfreude in full effect.

How much did he lose in NR?

[gingerjedi]

How much did he lose in NR?

He won't say but he had 350k to play with, he's all talk and no balls so probably no more than 20k.

[Lucifer Box]

Can someone dig up what were the best investments during the last crash
in 77 or 92 ? should I buy houses/gold/silver/tulips ?

Pork bellies.

[Marina]

Who was that poster who a few years ago (probably more like 5!) was always going on about "house prices will fall by 30% next year, I've already sold my house" yada yada yada

This time he could finally be right (mind you my house has probably doubled in value since he last said it)

That would be Jarek or (?) Janek. Or so I've heard, 'cos I'm new round here.

Apparently (again, so a little birdie told me) he still posts on the forum at http://www.propertypricecrash.com/

[IR35 Avoider]

Can someone dig up what were the best investments during the last crash
in 77 or 92 ? should I buy houses/gold/silver/tulips ?

77 would have been a good year to buy shares, 92 would have been good for commercial property.

(77 was probably good for gold as well, but I tend to ignore it as an investment. I think a couple of guys in America cornered the silver market in about 1979, the price went through the roof, but (securities?) law caught up with them and if you'd sold a day to late you would have lost everything.)

[GreenerGrass]

I was flicking through the Metro yesterday and there was a piece on some 30 yr old bloke who had 100% of his pension in commercial property funds and was saving for a BTL deposit.


Anyway at least the BRIC markets have perked up a bit from the Fed cut. For how long though, who knows.

[rootsnall]

Anyway at least the BRIC markets have perked up a bit from the Fed cut. For how long though, who knows.

The normal routine is if the established markets suffer the emerging markets get absolutely battered and take years to recover. I flogged all my emerging stuff a few months back assuming the same old routine but the theory that India, China etc are going to step in and prosper when the yanks go down the pan is being used to justify the toppy share prices. I reckon when the yanks go down then everyone is going down and the BRIC shares will get uber hammered in the end but ............................

[realityhack]

You can ignore me all you want, but look at the facts: Years ago I predicted...

Amazing, our very own pet Nostradamus has found his way back, all by himself. <pat pat> Well done. Good boy. Would you like a biscuit?

[AlfredJPruffock]

The fevered efforts to save the financial system, typified by today's panicked three-quarter-point interest rate cut by the Federal Reserve and the Bush/Paulson stimulus plan not only will not work, but will backfire spectacularly, and soon, economist Lyndon LaRouche warned today

The financial system is dead, and any attempt to save the fictitious values of the trillions of dollars of worthless financial paper will not only fail, but will destroy any nation foolish enough to attempt to do so, LaRouche said.

The global financial system, emphatically including the United States, is entering a period comparable to that of Weimar Germany in the Autumn of 1923, but on a far larger scale.

Whereas the damage from the runaway hyperinflation in Weimar Germany was largely restricted to Germany itself, the current crisis is global in scale. No national system will survive its effects, and the nations might not even survive the present year, he warned.

Under the Versailles Treaty ratified at the end of World War I, Germany was hit with war-reparation payments so high as to make it impossible for the nation to function.

To meet its obligations, Germany began printing money, funding its reparations payments and the needs of its economy at the cost of debasing its currency. The monetary stimulation soared to such unprecedented heights that the term hyperinflation was coined to distinguish its debilitating horror.

As the German economy began to shut down, the government responded by printing more money as a stimulus, and the value of the Reichsmark began to plummet.

During the 1913-1915 period the Reichsmark was in the range of four to the dollar, rising to some six to the dollar in 1917 and 1918. The situation began to deteriorate badly thereafter, from 20 Reichsmarks to the dollar in 1919, to 63 Reichsmarks in 1920, and 105 Reichsmarks in 1921.

Then the bottom fell out, jumping to 1,886 Reichsmarks in 1922 and an astounding 535 billion Reichsmarks to the dollar in 1923. During that same period the cost of living index soared, from 100 in 1913 to 1,019 in 1920, and a staggering 657 billion on Nov. 23, 1923, according to the German Statistical Office.

The world is now approaching a Weimar-style hyper-inflationary collapse, for similar reasons. The actions of the Federal Reserve and the European Central Bank, as well as other central banks and the governments themselves, their determination to try to stimulate the dead corpse of this financial system back to life, their blind refusal to recognize the truth, is the making of a classical tragedy. Gripped by fear, these modern-day Hamlets are choosing to destroy all they hold dear, rather than break with their belief in failed monetary policies.

The nations of Europe, under the sovereignty-killing Maastricht treaty agreements, have abandoned their capabilities to react to this crisis, so it falls to the United States, under the powers and responsibilities vested in it by the Constitution, to lead the rescue of not only itself, but the world as a whole. Rather than continuing the foolish attempts to stimulate the corpse, the United States Government must use its sovereign powers to put its own financial system through bankruptcy proceedings, setting a precedent and providing the context in which other nations can act.


The crucial first step is the passage of LaRouche's Homeowners and Bank Protection Act, which will erect the fire-walls necessary to protect the public and essential aspects of economic infrastructure to keep the economy functioning as the damage is sorted out.

Lyndon LaRouche and his political action committee will have more to say on this vital issue in the coming days, as the scope of the disaster now engulfing the nation begins to sink in to the public's consciousness.