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Its rather simple


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#1 nimblebear

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Posted 11 April 2011 - 11:43 AM

Whether its trading or money in the bank, why people are making less money is actually quite simple. The vast majority of money has been made over the past 20 years, by financial instruments, that simply skim money off the productive sectors of the world's economy. Whether its derivatives, MBS's, HFT's, algo's, or simple trading, vast sums of money are skimmed from the people who are actually producing goods and/or providing valuable and needed services. The result of all of this, is that you can't create money out of thin air. So what we have as a result is trillions in debt. Then once debt is so far above ever being repayable, then the currency just gets destroyed so whatever you accumulate in the way of US dollars ultimately nets people far less wealth than they actually originally made.
OTIS.

#2 nimblebear

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Posted 11 April 2011 - 04:56 PM

I meant to add, at this juncture, I'd be more concerned about preserving that wealth, than trading fast enough to stay ahead of the ever devalued US dollar. That looks to me as what the big money players like Gross are now doing, and likely have been for awhile.
OTIS.