Replies to post #79647 on Value Microcaps Motherboard

[kipp440]

My bearish list.

These are things that I feel will continue to be negative on the market.

There are $50 billion in mortgage resets coming every month for the next few months.

Home prices are falling and will not recover anytime soon (years). Housing activity is a huge part of the economy and is toast. There is no money available for people who have problems with their loans. I could go on and on about housing but the bottom line is housing related stocks are toxic.

The Yen is strengthening and will cause more unwinding of the carry trade. A lot of hyper-leveraged derivatives are going to be unwound, this will cause pressure on ALL asset classes including commodities. Selling causes more selling and so on.

Inflation is headed our way. The dollar is going down and the price of everything that matters is going up. The fact that food and energy are not counted by the FED is pure folly. Most governments are pumping double digit money growth to keep systems liquid, I think last week alone was $400 billion of injections with more on the way.

There will no doubt be many more surprise headlines, "XYZ hedgefund goes under". "Fortune 500 investment bank discloses billions in loses" etc.

Buckle up!

Kipp

[bbotcs]

c|001:

Telling people to withdraw money from banks starts panics. If we start to see lines at banks, the bank failures will occur next week, not months from now. We don't need anything to accelerate this mess.

We don't want to see lines at banks. People should withdraw their money electronically if they think their bank is shaky!

The surviving banks will be stronger than ever. We should be buying stocks of the bigger, stronger banks. Their stocks already moved up this week.

This whole mess makes me sick to my stomach. I'm afraid that millions of people with the nonconventional mortgages don't even have the money to pay the fees for a switch into fixed rate mortages. When Bernanke cuts the Fed funds rate next month, it will be their last opportunity, imo. If they are smart, they will beg, borrow or steal the money they need to pay the points and costs for a fixed rate mortgage. Sell their car. Anything.

[MikeKato2002]

I agree that AUY is looking pretty cheap,I bought in last Wednesday at 9.82 on the $3 drop over the last month. I'm thinking we could see $10.25-$10.50 this week on the announcement of the results of the special meeting of Northern Orion Shareholders to be held on August 22, 2007. In this market if I see that move I will take that profit.

Good Luck!