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CA renter.
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August 19, 2007 at 11:50 AM #78026August 19, 2007 at 11:50 AM #78048
Bubblesitter
ParticipantThis Millenium band sounds very high risk.
Hat tip to Davidt1…….
http://www.fatwallet.com/forums/arcmessageview.php?catid=52&threadid=667…
http://www.bankaholic.com/2006/millenium-bank-900-5-year-best-cd-rate/
If you have more than 100K and are concerned about your deposits, spread it among a number of banking institutions. I would feed much safer in CW bank than Millenium
As the old adage goes, if it sounds too good to be true, it probably is!. 7%+ return on a CD is too good to be true!
August 20, 2007 at 8:52 PM #78545ParticipantMore info on Money Market Funds. Troubling news for those who thought their MM funds were safe. I’m shifted out.
Gold (ETFs), US Treasuries and 6 month CDs at FDIC insured institutions. That is the my entire portfolio now.
I would suggest you scrub and rescrub your portfolios for MBS, and MBS Derivatives. This is gonna get alot worse.
http://www.bloomberg.com/apps/news?pid=20601087&sid=aJbhFOZ2T.R4&refer=home
http://www.bloomberg.com/apps/news?pid=20601109&sid=aEUtlgwzL_qc&refer=h…
(Excerpt from above link)
“Subprime Infects $300 Billion of Money Market Funds, Hikes RiskAug. 20 (Bloomberg) — Money market funds were invented 37 years ago to offer investors better returns than bank savings accounts while providing a high degree of safety. Most of the $2.5 trillion sitting in these funds is invested in such assets as U.S. Treasury bills, certificates of deposit and short-term commercial debt.
Unlike bank accounts, money market funds aren’t insured by the federal government. They almost never fail.
Unbeknownst to most investors, some of the largest money market funds today are putting part of their cash into one of the riskiest debt investments in the world: collateralized debt obligations backed by subprime mortgage loans………”
August 20, 2007 at 8:52 PM #78673ParticipantMore info on Money Market Funds. Troubling news for those who thought their MM funds were safe. I’m shifted out.
Gold (ETFs), US Treasuries and 6 month CDs at FDIC insured institutions. That is the my entire portfolio now.
I would suggest you scrub and rescrub your portfolios for MBS, and MBS Derivatives. This is gonna get alot worse.
http://www.bloomberg.com/apps/news?pid=20601087&sid=aJbhFOZ2T.R4&refer=home
http://www.bloomberg.com/apps/news?pid=20601109&sid=aEUtlgwzL_qc&refer=h…
(Excerpt from above link)
“Subprime Infects $300 Billion of Money Market Funds, Hikes RiskAug. 20 (Bloomberg) — Money market funds were invented 37 years ago to offer investors better returns than bank savings accounts while providing a high degree of safety. Most of the $2.5 trillion sitting in these funds is invested in such assets as U.S. Treasury bills, certificates of deposit and short-term commercial debt.
Unlike bank accounts, money market funds aren’t insured by the federal government. They almost never fail.
Unbeknownst to most investors, some of the largest money market funds today are putting part of their cash into one of the riskiest debt investments in the world: collateralized debt obligations backed by subprime mortgage loans………”
August 20, 2007 at 8:52 PM #78695ParticipantMore info on Money Market Funds. Troubling news for those who thought their MM funds were safe. I’m shifted out.
Gold (ETFs), US Treasuries and 6 month CDs at FDIC insured institutions. That is the my entire portfolio now.
I would suggest you scrub and rescrub your portfolios for MBS, and MBS Derivatives. This is gonna get alot worse.
http://www.bloomberg.com/apps/news?pid=20601087&sid=aJbhFOZ2T.R4&refer=home
http://www.bloomberg.com/apps/news?pid=20601109&sid=aEUtlgwzL_qc&refer=h…
(Excerpt from above link)
“Subprime Infects $300 Billion of Money Market Funds, Hikes RiskAug. 20 (Bloomberg) — Money market funds were invented 37 years ago to offer investors better returns than bank savings accounts while providing a high degree of safety. Most of the $2.5 trillion sitting in these funds is invested in such assets as U.S. Treasury bills, certificates of deposit and short-term commercial debt.
Unlike bank accounts, money market funds aren’t insured by the federal government. They almost never fail.
Unbeknownst to most investors, some of the largest money market funds today are putting part of their cash into one of the riskiest debt investments in the world: collateralized debt obligations backed by subprime mortgage loans………”
August 21, 2007 at 10:26 AM #78708JES
ParticipantIs there a reason to go with a money market fund when you can just put the cash in an interest earning checking account and earn 5-5.5% right now? EG: Wamu, more than 25k, earns 5+%
August 21, 2007 at 10:26 AM #78838ParticipantIs there a reason to go with a money market fund when you can just put the cash in an interest earning checking account and earn 5-5.5% right now? EG: Wamu, more than 25k, earns 5+%
August 21, 2007 at 10:26 AM #78858ParticipantIs there a reason to go with a money market fund when you can just put the cash in an interest earning checking account and earn 5-5.5% right now? EG: Wamu, more than 25k, earns 5+%
August 21, 2007 at 10:32 AM #78717Critter
ParticipantWaMu has an online savings account that links with an online checking account. No minimums, pays 5% in whatever is in the savings account.
To me, that is preferable to keeping $25K as a minimum balance in a checking account. Plus, you can easily transfer funds online just minutes before your check would bounce – only a click away!
August 21, 2007 at 10:32 AM #78847ParticipantWaMu has an online savings account that links with an online checking account. No minimums, pays 5% in whatever is in the savings account.
To me, that is preferable to keeping $25K as a minimum balance in a checking account. Plus, you can easily transfer funds online just minutes before your check would bounce – only a click away!
August 21, 2007 at 10:32 AM #78867ParticipantWaMu has an online savings account that links with an online checking account. No minimums, pays 5% in whatever is in the savings account.
To me, that is preferable to keeping $25K as a minimum balance in a checking account. Plus, you can easily transfer funds online just minutes before your check would bounce – only a click away!
August 28, 2007 at 5:17 PM #82255ParticipantConsumer sentiment is now starting to erode per today’s consumer confidence numbers. The reverse wealth effect may be starting to take hold. People now feel less wealthy, and will spend less.
Consumer spending accounts for >75%+ of economy. A drop in this will lead us rapidly to recession. I hope I am wrong.
October 21, 2007 at 2:17 PM #90390ParticipantI have progressively become more risk averse since July.
We are probably in for a rough week ahead after friday’s big selloff on Wall street.
I still remain extremely bearish and now have an even larger gold % holding since July. I’ve held off acquiring an even larger gold position due to the likely gold selloff to cover margin calls in the event of a steep Wall street drop.
We saw a similar thing in late July, gold dropping a number of percent due to liquidations to cover Margin calls. Since then gold reached further heights, with the dollar reaching all-time lows against the Euro. Since July, I’ve continued to convert some of my US Dollar-based liquid assets (currently in CDs at FDIC-insured institutions) into foreign currency. I believe there is fundamentally nothing that can prevent the continued erosion of Dollar’s value.
I’m planning to convert the remaing US Dollar cash reserve to acquire more gold (after a big stock market selloff) and diversify completely away from the Dollar.
Root cause of this remains the collapsing housing market and associated MBS and derivative markets. This SIV bailout plan is likely to fail and credit markets will probably be in trouble into next year.
The remaining leg holding up the economy, the US consumer is tapped out. We are very likely already in recession. The call for a starts of recession are always determined after the fact, after revisions in previous month’s GDP numbers come in.
Are there any stock bulls out there?
Bubblesitter
October 21, 2007 at 2:17 PM #90399ParticipantI have progressively become more risk averse since July.
We are probably in for a rough week ahead after friday’s big selloff on Wall street.
I still remain extremely bearish and now have an even larger gold % holding since July. I’ve held off acquiring an even larger gold position due to the likely gold selloff to cover margin calls in the event of a steep Wall street drop.
We saw a similar thing in late July, gold dropping a number of percent due to liquidations to cover Margin calls. Since then gold reached further heights, with the dollar reaching all-time lows against the Euro. Since July, I’ve continued to convert some of my US Dollar-based liquid assets (currently in CDs at FDIC-insured institutions) into foreign currency. I believe there is fundamentally nothing that can prevent the continued erosion of Dollar’s value.
I’m planning to convert the remaing US Dollar cash reserve to acquire more gold (after a big stock market selloff) and diversify completely away from the Dollar.
Root cause of this remains the collapsing housing market and associated MBS and derivative markets. This SIV bailout plan is likely to fail and credit markets will probably be in trouble into next year.
The remaining leg holding up the economy, the US consumer is tapped out. We are very likely already in recession. The call for a starts of recession are always determined after the fact, after revisions in previous month’s GDP numbers come in.
Are there any stock bulls out there?
Bubblesitter
October 21, 2007 at 2:24 PM #90392desmond
Participant“Let’s take the money and run”
We took the money and “walked down the street and rented”
“but most of our equity is phantom equity that came to us with the blowing up of the bubble, and which will go away as it deflates”
We also took that “phantom equity” and invested it and now it is “Real”?
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