‘There’s No Money Left,’ U.K. Minister Learns From Predecessor
(so you have that going for you)
May 17 (Bloomberg) -- Arriving for work at the U.K. Treasury last week, the incoming chief secretary, David Laws, found a note from his predecessor, Liam Byrne, offering advice on the job.
According to Laws, it read: “Dear Chief Secretary, I’m afraid to tell you there’s no money left.”
“Which was honest,” Laws, whose position is the No. 2 in the Treasury after the chancellor of the exchequer, told a press conference in London today. “But slightly less than I was expecting.”
The note underscores the task facing Britain’s coalition government as it seeks to reconcile demand for improved health and education services with promises to reduce the largest budget deficit since World War II.
It was also in the tradition of Reginald Maudling, Conservative chancellor of the exchequer from 1962 to 1964. Leaving his residence after election defeat, he was reported by James Callaghan, his successor, to have remarked, “Sorry, old cock, to leave it in this shape.”
Byrne didn’t respond to requests for comment.
Here - I found a nickel. If I can find another one, you'll have two (so you can rub them together). If they're "wooden", you can start yourself a fire and roast some weenies...
With your trusty dog by your side!
BIG ASS WEDGE
---
(reprint of Andy T - 5/16/10)
Good Evening Capitalists,
There's not much change to the S&P and DXY counts, so I decided to take some time on the Gold model. It seems to be very "hot" right now and worthy of some focus. My last large report (Dec. 20th) on the topic noted that $1,026 was an important level to hold--Bears had no case for a major peak until that level was taken out. Alas, it was never violated, with Gold printing a low of $1045 on February 5th.
One of the main reasons I haven't published anything on Gold in awhile was due to the complexity of the model. As the price action unfolded the last several months, I began to have more doubts on previous counts/theories. The work here represents my latest thoughts and a MAJOR recounting of the larger Gold model.
Bottom Line: This market is quite "frothy" right now with plenty momentum. Bullish sentiment is quite high and Speculators are positioned very long, thought not quite as long as they were into the December peak. This would be a perfect moment to "shake out" some of the new length. The medium term wave count also supports this idea as we seem to be in the final stages of triangle pattern--we're seeing the E-Wave of the triangle right now.
Gold Report 16 May 2010
227 comments:
«Oldest ‹Older 201 – 227 of 227 Newer› Newest»AmenRa,
... and dream about armageddon...?
Nic, agree on the USD. You said last week that EURAUD might have found a bottom, today would support that.
@ karen -
oh me of little faith
@Nic
Have you looked through Andy's gold charts above? Specifically page 9? That chart seems most plausible to me given Bucky's forecasted trend over the next 5 years or so. I would imagine in 5 years Bucky might be the last fiat currency not trashed and then what people spent 2007/8/9/early 10 forecasting will happen...
this is likely some short covering, put/call stayed above 1 from 11am on, there was some great action that could have been caught today so no surprise here.
DL
Pretty much since the dream gets ruined during day trading hours.
FWIW
If you want to call the October 2007 highs to the March 2009 lows a "5 wave pattern"...
May 19, 2008 was the top of P2 in that...
Markets LOVE "anniversary dates"...
"If you want to call the October 2007 highs to the March 2009 lows a "5 wave pattern"...
I like this count as a five, some don't, the difference means everything.
I'm trying to decide to sell or push higher. TNA has been going higher since purchased @ $53.62.
@McF
I really don't know how to count waves...
But My "instincts" tell me that the year 2000 was the REAL top...
CV would be counting from there...
1150 seems like a given right now. Anyone long is praying for it. Anything higher than 1157 kills the idea that today concluded intermediate 1.
to piggyback off my 3:49, in looking at a lot of the overseas markets they are also likely due for a bounce....I'll hunt again for puts tomorrow thinking we are going higher on the day. I'm going to keep sticking to these quick intraday trades until I have some more clarity.
CV,
Certainly, a long GLD/short SPY position has paid off handsomely since 2000.
C,
According to Prechter/EWI 2000 was the real top, but that doesn't eliminate the Primary 3 count.
I sold all FAS and TNA today.
If what I think is going to happen happens, I'm not going to sweat over 15-20 points on SPX.
Not a bad day though, made money.... that is rare for me.
spy on the 15 min chart looks toasty..
check back for the wrap! (DL, this pic is not the real me!)
because I'm McFearless, I may short gold tonmorrow. I'll disclose here if I do.
Karen @ 4:09
I bet you're a pussycat.
McF,
O.K. if we just call you "fearless", and dispense with the "Mc"...?
http://www.bloomberg.com/apps/quote?ticker=US0003M:IND
How long now until CNBC has a countdown the the libor survey everyday?
DL,
use whatever is easiest, ben is fine.
Looking at a chart for copper, crude, lumber, sugar, rice, wheat, soybeans etc for the past quarter you would never buy the inflation argument.
Having said that it is annoying when crude goes up a dollar and the price at the pumps goes up overnight yet here we are down 17% in the past month and I have not noticed any significant drops at the pump.
Nic, how else are they going to juice the consumer spending numbers?
A DEFLATIONARY RED FLAG IN THE $U.S. DOLLAR
http://www.ritholtz.com/blog/2010/05/retail-sales-look-good-but-under-the-hood-not-so-good/
I also believe that gasoline/diesel is a larger percentage of building materials cost than they allow for.
From Nic's Link:
"Of course, the inflationistas will argue that gold is rising in anticipation of inflation"
I love this statement by the inflationists, or this argument by anyone about anything because markets never anticipate anything....I had this discussion with LB a few weeks ago, do we think, for example, in 1929, markets were anticipating that 10 years forward that the greatest depression would have hit and Japan and Germany would be bombing everyone?
What was gold anticipating at it's highs three decades ago?
Even the idea that gold goes up during inflation is called into question by anyone that's every looked at a chart of gold from 1980-2000.
I dunno, sounds pretty silly to me, of course, the majority of the pundits out there, college prof's, economists, etc, believe in efficient markets so what do I know.
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