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sure.  but he is talking about a huge change in the economic system, and a very small investment in various ways of playing the futures markets would lead to very nice returns.  And I would guess by his description of the economy and investment world, he knows how to make those leveraged bets.  He's talking about an unexpected catastrophe--and a correct call, plus maybe some margin or a home equity loan to further leverage the bet--he could get returns of 10 to 100 times his money, depending on what level of risk he wants to take and how firm his convictions are.

but my question is really trying to test the strength of his convictions.  I hope that Jerome has not been following this strategy on $100 oil over the last years--that would have been a catastrophe for sure.  You have to be right on the timing on the kind of bets i'm talking about--not just the final answer.  I also believe $100 oil would be reached, but the people that will do well on the investment side on this one, will also be able to call the timing.  I certainly can not.

by wchurchill on Sun Apr 23rd, 2006 at 03:33:07 PM EST
[ Parent ]
I suppose if we believe the US will hit Iran within the year we should all be buying oil futures expiring in December...

tens of millions of people stand to see their lives ruined because the bureaucrats at the ECB don't understand introductory economics -- Dean Baker
by Migeru (migeru at eurotrib dot com) on Sun Apr 23rd, 2006 at 05:14:55 PM EST
[ Parent ]
Chart (such as it is) here:

www.larouchepub.com/graphics/2006/3317inflation_graph.jpg

It has a caption as well.  Anyone care to explain what's happening in the commodities markets? (I assume the chart  refers to industrial metals and petro primarily, but not sure.)

If this continues for months, aren't we looking at real hell?

by Gary McGowan on Mon May 1st, 2006 at 01:37:58 PM EST
[ Parent ]

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