VelocityShares Daily 2x VIX ST ETN (TVIX)

[TheWallStreetPoet]

Been awhile since I read a Schiff article, but he has some interesting view points, to say the least. Harvard alum Harry Dent and Johns Hopkins/Penn alum Jim Rickards are a couple of other Economists that have unique insights to the subjective realm of our currency and stock/bond markets.

The bad thing about these truthful conspiracies is that they could take a decade to eventually develop. In the movie, based off of real life events, that Scion fund manager who originally bought and created inverse swaps about lost everything waiting for two years for Mortgage Backed Securities Market to fall apart, eventually, he walked away with Billions. In the game of cause and effect, the one who is going to lose will do all he can to prevent the loss; e.g. it can take many years to bring a issue to light.

True, this lose credit is allowing companies to borrow cheaply to buyback shares, thereby, mitigating the drawback from reduced earnings; however, this can't last forever, this borrowing will be a drain on the balance sheet because interest costs and debt overhang. Maybe, if they know rates will rise, then that could eventually pacify the debt further.....but still it is a drain on future earnings.

Don't lose sight of the reality that the world sees The Dollar and our Market as stable means to gain returns and interest.....this is what The Street is attempting to entice.