Day: June 23, 2008

Note from JWR:

Today we present a guest article from Mike “Mish” Shedlock, a registered investment advisor representative for SitkaPacific Capital Management. I highly value his investing analyses and his “big picture” view of the global economy.


Two Trillion Dollar Reduction In Credit Card Lines Coming Up, by Mish Shedlock

Credit is drying up everywhere. Banks are now concerned (finally), about rising credit card debt. They have every reason to be. The bankruptcy reform act of 2005, which encouraged such reckless lending is now blowing up in lenders’ faces. Banks and credit card companies wrote that bill. They got everything they wanted. It goes to show you two things: 1.) Be careful of what you ask, you might get it. 2.) Greed kills. Furthermore, I expect many of the debt slave provisions of the bill to be undone after Obama is elected. That will increase defaults. Even if an unwinding …


Tomorrow’s Headlines? — A Nationwide Banking Panic

Since September of 2007, I’ve been warning SurvivalBlog readers about the potential for bank failures and bank runs in the US, spawned by the unfolding global credit collapse. I am now raising my warning to multiple red flags. There are certainly some ominous signs. These include: New banking scrutiny–especially for investment banks. Plunging bank reserves. A few more bank failures this year than in a typical year. A record increase in “bank owned” (foreclosed) houses. New FDIC rules on assessing risks at major banks.To be ready for bank runs, the FDIC has even re-hired some former employees from its division …


Odds ‘n Sods:

Hawaiian K. mentioned a glow-in-the-dark paint product. This could have numerous uses at a retreat, such as painting firearms front sights. In my experience, luminescent paint is quite useful for painting light switch plate covers.    o o o There are now just 10 days left in BulletProofME.com’s special sale on Interceptor Body Armor and Kevlar helmets, just for SurvivalBlog readers.    o o o Chris Laird predicts economic and political trends by following precious metals market behavior. In Dangers – Danger period 2008 and 2009 posted at the Silver Bear Cafe. Laird writes: “…the US, the world’s biggest grain …


Jim’s Quote of the Day:

"A nation is the more prosperous today the less it has tried to put obstacles in the way of the spirit of free enterprise and private initiative. The people of the United States are more prosperous than the inhabitants of all other countries because their government embarked later than the governments in other parts of the world upon the policy of obstructing business." – Ludwig von Mises