tag:blogger.com,1999:blog-1527840491496268397.post3604508170584348791..comments2024-03-08T11:20:30.095-07:00Comments on Credit Bubble Stocks: RadioShack Zombie Kept Alive By Sellers Of Credit Default SwapsUnknownnoreply@blogger.comBlogger8125tag:blogger.com,1999:blog-1527840491496268397.post-1222677894211280302014-12-18T17:44:08.780-07:002014-12-18T17:44:08.780-07:00I thought everyone knew RSH was in run off mode an...I thought everyone knew RSH was in run off mode and only operating through the holiday season. Rob Dawghttps://www.blogger.com/profile/10042154106850545479noreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-58769990283344045672014-12-18T17:22:34.193-07:002014-12-18T17:22:34.193-07:00AXIOM II:
George Soros can spot an unsustainable ...AXIOM II:<br /><br />George Soros can spot an unsustainable parabola much, much better than Jim Rogers can.<br /><br /><b>May 26, 2008</b><br /><a href="http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/2790539/George-Soros-rocketing-oil-price-is-a-bubble.html" rel="nofollow">George Soros: rocketing oil price is a bubble</a><br /><br /><i>"Speculation... is increasingly affecting the price," he said. "The price has this parabolic shape which is characteristic of bubbles," he said.</i>Stagflationary Markhttps://www.blogger.com/profile/04568993350246477976noreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-78153782106253012582014-12-18T16:22:52.792-07:002014-12-18T16:22:52.792-07:00Parabolic Theory
AXIOM I:
No parabolic trend will...Parabolic Theory<br /><br />AXIOM I:<br />No parabolic trend will continue forever.CPhttps://www.blogger.com/profile/12701174164478027499noreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-6249051833694654942014-12-18T16:09:19.041-07:002014-12-18T16:09:19.041-07:00One more important point.
Every parabolic economi...One more important point.<br /><br />Every parabolic economic trend is guaranteed to fail. Every single one of them.<br /><br />How they fail is open for debate.<br /><br />Put another way, economic stability cannot be found in an economic parabola. It's not mathematically possible.<br /><br />Take the parabola within the link I offered for example. It cannot continue forever. At the very least, it will fall to 0%. Since it is impossible to have a negative number of employees working in retail, leisure, and hospitality, the trend must fail at that point.<br /><br />In reality, it will obviously fail much sooner than that, one way or another.Stagflationary Markhttps://www.blogger.com/profile/04568993350246477976noreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-50538994718010999002014-12-18T16:04:46.432-07:002014-12-18T16:04:46.432-07:00I wonder how many marginal retail stores and resta...I wonder how many marginal retail stores and restaurants are barely holding on right now.<br /><br />"Only when the tide goes out do you discover who's been swimming naked." - Warren Buffet<br /><br />The tide isn't even out yet and RadioShack seems very exposed. Sigh.<br />Stagflationary Markhttps://www.blogger.com/profile/04568993350246477976noreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-2301242029935601542014-12-18T16:00:38.456-07:002014-12-18T16:00:38.456-07:00If you look closely, the trend failed during the G...If you look closely, the trend failed during the Great Recession and we're attempting to recover.<br /><br />As seen in the following chart, we are currently making excellent progress getting back to the parabola.<br /><br /><a href="http://research.stlouisfed.org/fred2/graph/?g=UW9" rel="nofollow">YoY Change</a><br /><br />We won't stay above 0% forever though. Who knows what's going to happen in the next recession.<br /><br />Further, even if we do make it back to the parabola, the long-term outlook looks horrible.<br /><br />We were getting a tailwind in the 1980s and 1990s (riding the parabola up). Looks like a headwind from here (riding the parabola down).Stagflationary Markhttps://www.blogger.com/profile/04568993350246477976noreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-27761149098277529752014-12-18T15:46:07.460-07:002014-12-18T15:46:07.460-07:00That has the makings of a failed parabolic trend?That has the makings of a failed parabolic trend?CPhttps://www.blogger.com/profile/12701174164478027499noreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-74493754006083323682014-12-18T15:45:00.424-07:002014-12-18T15:45:00.424-07:00Retail, Leisure, and Hospitalilty Career Outlook (...<a href="http://illusionofprosperity.blogspot.com/2014/12/retail-leisure-and-hospitalilty-career.html" rel="nofollow">Retail, Leisure, and Hospitalilty Career Outlook (Musical Tribute)</a><br /><br /><i>The following chart shows the 10-year moving average of retail, leisure, and hospitality employment as a percentage of the population.</i>Stagflationary Markhttps://www.blogger.com/profile/04568993350246477976noreply@blogger.com