Gold collapsing. Bitcoin UP.

[cypherdoc]

Jackson Hole:

"Blinder said there’s a “vigorous debate” among economists and investors about how sluggish the labor market still is. Its surprising strength suggests “we are closer to Fed liftoff than we were a year ago” and rates probably will be increased early next year, he said.

Interviews with other Fed officials in Jackson Hole showed a widening split over the outlook. "

"Unlike Yellen, and with euro-area unemployment at 11.5 percent, Draghi said ECB policy makers “stand ready to adjust our policy stance further” after the 18-nation economy stalled in the second quarter."

"In a sign of mounting concern over too-low inflation, he said investor bets on inflation had “exhibited significant declines at all horizons” this month. Price gains are running at less than a quarter of the ECB’s goal of just below 2 percent, potentially risking a deflationary spiral if consumers and companies pull back spending in anticipation of even weaker price pressures.

Draghi’s remarks reinforced speculation that the ECB will eventually start quantitative easing even after acting in June to cut interest rates to record lows and line up more cheap loans for banks."

http://www.bloomberg.com/news/2014-08-24/jackson-hole-message-is-labor-markets-don-t-justify-higher-rates.html

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[cypherdoc]

"interestingly, if Bitcoin only holds steady from here, i will have done better than him.

edit: for alot less work and headache. such is the power of the network effect of money."

Cypherdoc, because he is/was an astute investor, and given his son in law can advise him better than most about btc, what percentage of his portfolio is now invested in bitcoins?

he's too old and set in his ways as an immigrant.  he, unfortunately, could never begin to understand Bitcoin.

he never listened to me about gold so i've never talked to him about Bitcoin.  he does see that gold could've been good for him, though, at the time.  but now it's too late for that game.

[vuduchyld]

Buying a home at any time in the last 50 years would've been a good move except in years 2007, 2008:

www.census.gov/const/uspriceann.pdf

My father in law is a multi millionaire having bought primarily commercial real estate starting back then in LA.  Now his kids get a handsome annuity check monthly. It's amazing how long these trends keep going.

Dammit.  I did NOT choose my parents very well.

[cypherdoc]

https://twitter.com/cypherdoc2/status/503979254057799680

[cypherdoc]

Buying a home at any time in the last 50 years would've been a good move except in years 2007, 2008:

www.census.gov/const/uspriceann.pdf

My father in law is a multi millionaire having bought primarily commercial real estate starting back then in LA.  Now his kids get a handsome annuity check monthly. It's amazing how long these trends keep going.

Dammit.  I did NOT choose my parents very well.

well, it's not like i get any of that.  he set up a bypass trust where all his inheritance will go to his grand kids.

[cypherdoc]

10 yr chart:  what of volume on the Dow?  terrible:

[sidhujag]

most that volume is the fed and quant traders.. seems like we are coming to a textbook no demand situation in volume analysis.

[rocks]

Cypherdoc, because he is/was an astute investor, and given his son in law can advise him better than most about btc, what percentage of his portfolio is now invested in bitcoins?

I'm curious in this too, because this is something I've recently started to struggle with.

FDR so effectively sold previous generations on the need for government managed money to "save" us and that nothing worked before he banned gold ownership (despite the fact the US prospered in the 1800s and grew like China is doing today), that conversations on topics challenging the FED almost seem as if you are arguing for the antichrist.

My own father is so mentally tied to the FED that I'm not even sure how to even bring Bitcoin up as a discussion topic with him without a crazy negative reaction. This mindset was drilled into him by his parents who lived through FDR's re-education.

Edit: Nevermind, just saw you answered that in the latest posts. Looks like we are in the same boat. I'm contemplating trying to introduce bitcoin some point soon, will report later on if it was successful or not.....

[cypherdoc]

most that volume is the fed and quant traders.. seems like we are coming to a textbook no demand situation in volume analysis.

i know.

so how do you remain so bullish in the face of this?

[cypherdoc]

My own father is so mentally tied to the FED that I'm not even sure how to even bring Bitcoin up as a discussion topic with him without a crazy negative reaction. This mindset was drilled into him by his parents who lived through FDR's re-education.

why should it be so hard now that the Fed semi-regularly talks about Bitcoin?  show him the positive statements in their report from the Spring.  he can't argue with a published document from them.

then show him Kochlakota's Money as Memory paper and then the Bitcoin is Memory paper.

[rocks]

then show him Kochlakota's Money as Memory paper

Only had time to skim the conclusions right now, but this looks to be a fascinating read and I'm very much looking forward to it. Thank you for sharing. Any other recommendations on reading?

[adamstgBit]

also show him http://www.businessinsider.com/ben-bernanke-on-bitcoin-2013-11



how is bitcoin not at 10K i dont get it.

[adamstgBit]

10 yr chart:  what of volume on the Dow?  terrible:

its not like the gov is going to DUMP all its shares

do they plan to hold on to them forever?

new highs ahead for DOW, because fake!

[cypherdoc]

then show him Kochlakota's Money as Memory paper

Only had time to skim the conclusions right now, but this looks to be a fascinating read and I'm very much looking forward to it. Thank you for sharing. Any other recommendations on reading?

well, like i said Kocherlakota's paper dovetails with this:  http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2275730

[cypherdoc]

then show him Kochlakota's Money as Memory paper

Only had time to skim the conclusions right now, but this looks to be a fascinating read and I'm very much looking forward to it. Thank you for sharing. Any other recommendations on reading?

here's the Wences video:  https://www.youtube.com/watch?v=NERAN-89j8M

[cypherdoc]

i seriously don't understand who these ppl think they are:

"The search tool was designed to be the largest system for internally sharing secret surveillance records in the United States, capable of handling two to five billion new records every day, including more than 30 different kinds of metadata on emails, phone calls, faxes, internet chats, and text messages, as well as location information collected from cellphones. Metadata reveals information about a communication—such as the “to” and “from” parts of an email, and the time and date it was sent, or the phone numbers someone called and when they called—but not the content of the message or audio of the call."

https://firstlook.org/theintercept/article/2014/08/25/icreach-nsa-cia-secret-google-crisscross-proton/

[cypherdoc]

i seriously don't understand who these ppl think they are:

"The search tool was designed to be the largest system for internally sharing secret surveillance records in the United States, capable of handling two to five billion new records every day, including more than 30 different kinds of metadata on emails, phone calls, faxes, internet chats, and text messages, as well as location information collected from cellphones. Metadata reveals information about a communication—such as the “to” and “from” parts of an email, and the time and date it was sent, or the phone numbers someone called and when they called—but not the content of the message or audio of the call."

https://firstlook.org/theintercept/article/2014/08/25/icreach-nsa-cia-secret-google-crisscross-proton/

[cypherdoc]

https://twitter.com/cypherdoc2/status/504010024554074112

[iCEBREAKER]

OMG, that's a Brain Bug from Starship Troopers!  Cute when babies, but don't let them pick your brain or talk to you about Behemecoatyl.



Speaking of the Arachnid Empire's Marxist critique of commodification, let's reflect on the role of Real Estate ETFs, REITs, and REIT ETFs in the housing bubble. 

When the Winki BTC ETF goes live and starts sucking up BTC/IRA/institutional funds, will the impact be more like that of GLD/SLV on metals or Mortgage Backed Securities, etc. on real estate?

[cypherdoc]

When the Winki BTC ETF goes live and starts sucking up BTC/IRA/institutional funds, will the impact be more like that of GLD/SLV on metals or Mortgage Backed Securities, etc. on real estate?

the former