US Markets - Bank woes scare investors.

[Guest guest]

Hello dear list members,

 

Dow Jones had a biggest drop on 15th September, 2008, of nearly 500 points,

which is reported to be the worst in the last seven years.

 

Besides the astrological reasons clearly seen in the SAMVA USA (Perpetual

Union) chart, there are other reasons which are connected with the

Management of the Marketeers of the goods and services.

 

There are diverse reasons for this which appear to have escaped the

attention of economists and the so called financial markets experts.

 

ECONOMIES OF SCALES: The economies of the scale produce more goods and

services at a competitive price but the real market demand and supply has to

be manged keeping in view the paying capacity of the customers.

 

EMERGENCE OF DEBT & MORTGAGE INSTRUMENTS. When the market demand is not real

and backed by the power to buy, the incidence of debt market emerges. But

when the buyers have no stable capacity to pay back the mortgage is likely

to fail or the debt is likely to turn bad debt.

 

LUCRATIVE BUYING OPTIONS: Banking institutions and the goods producers like

the housing sector offers lucrative buying options to people ignoring their

real and stable capacity to pay. For example, when the launch of a new car

was anounced by an auto producer in India about a decade back, the Bank of

America launched a scheme to give loan to people for booking the car.

Naturally, they were seeing the opportunity for employing their funds. But

if they ignore the paying back capacity of the person taking loan, they are

likely to face trouble. See another example of financing a car loan. When

the person takes the car loan and mortgages the vehicle, there is sharp

depreciation in the price of the car in comparison to the repayment of the

loan made. The problem arises if the person who has taken loan fails to

make the agreed EMIs. When the banking institutions use aggressive marketing

strategies to deploy their funds without ensuring the real risk management

the problems are bound to come sooner or later. One can delay the incidence

of problems but one cannot avoid it.

 

STRATEGIC INTERVENTIONS: Debt markets, mortgages, supplementary / additional

mortgages, etc. are the market interventions made for marketing of the

products and specially the high value immovable properties or automobiles.

All experts go into the details in their own area of specialisation and do

not take a holistic view of the situation.

 

EVALUATION OF STOCKS: The market experts heavily base their decisions on

the units sold and profits generated by the Companies. The products of the

Company may be going to the debt market and this factor with the related

risk is ignored most of the time.

 

SELECTION OF MARKETS

 

If the market is not in the home country of the producer, the producer

should see the markets abroad satisfying the paying capacity of the

customers.

 

Here the investor should see the strength of the market in the long run in

terms of the real demand.

 

This is one of the reasons why the investments are going to the countries

where infrastructure and goods are being produced for untapped or marginally

tapped levels of the large markets with real demand.

 

VISION OF THE INVESTOR: The investors have to not only see the credentials

of the Company/institution they are investing in but they have to be

vigilant and see (i) if the Companies/institutions they are consider for

investment have real demand of their products (ii) the markets being

explored by the Companies/institutions are stable for the overall health and

survival of these companies/institutions.

 

Best wishes.

 

 

[Guest guest]

My dear ,

 

Thank you for the overview of the economics of credit.

 

Indeed, the lending exceeded prudential levels, especially in the

USA. In some cases the lending exceeded the ability of borrowers to

pay. In many instances there were also cases where speculators in the

housing market became unwilling to pay the loans back after the house

prices began to decline. The housing speculators, who invested in

many properties with no money down, simply walked away from the loans

when the equity became less than the loan value, leaving the homes at

a reduced value with the banks, who then incurred losses. This

behavior is also a form of " manipulation " that is clearly brought out

by the aspect of natal RAHU (manipulation) to transit 6th lord

(ability to service debt) JUPITER (banking) and transit 8th lord

(easy gains) SATURN (structures) in the SAMVA USA chart at this

time. With transit stationary RAHU conjunct 2nd lord (wealth) SUN

(government), the government had limited ability to respond at this

time - after rescuing Bear Sterns in March and Fannie Mae and Freddie

Mac in early September. It could not avoid letting some of the banks

to fail. Many also see it as necessary that the banking sector be

punished for the evident lack of prudence in their main job of

facilitating the collection of savings from the general public and

allocate them to profitable investment projects while reducing the

risk. In this they failed, harming untold savers.

 

While lending is the grease on the wheels of commerce that keep the

economy going, you are indeed right, lending for investment should be

predicated on projects that appear sound in terms of being based on

solid income growth and meeting real demand - and not reckless hopes

for easy gains.

 

Best wishes,

 

Thor

 

SAMVA , " SIHA " <vkchoudhry wrote:

>

> Hello dear list members,

>

> Dow Jones had a biggest drop on 15th September, 2008, of nearly 500

points,

> which is reported to be the worst in the last seven years.

>

> Besides the astrological reasons clearly seen in the SAMVA USA

(Perpetual

> Union) chart, there are other reasons which are connected with the

> Management of the Marketeers of the goods and services.

>

> There are diverse reasons for this which appear to have escaped the

> attention of economists and the so called financial markets experts.

>

> ECONOMIES OF SCALES: The economies of the scale produce more goods

and

> services at a competitive price but the real market demand and

supply has to

> be manged keeping in view the paying capacity of the customers.

>

> EMERGENCE OF DEBT & MORTGAGE INSTRUMENTS. When the market demand is

not real

> and backed by the power to buy, the incidence of debt market

emerges. But

> when the buyers have no stable capacity to pay back the mortgage is

likely

> to fail or the debt is likely to turn bad debt.

>

> LUCRATIVE BUYING OPTIONS: Banking institutions and the goods

producers like

> the housing sector offers lucrative buying options to people

ignoring their

> real and stable capacity to pay. For example, when the launch of a

new car

> was anounced by an auto producer in India about a decade back, the

Bank of

> America launched a scheme to give loan to people for booking the

car.

> Naturally, they were seeing the opportunity for employing their

funds. But

> if they ignore the paying back capacity of the person taking loan,

they are

> likely to face trouble. See another example of financing a car

loan. When

> the person takes the car loan and mortgages the vehicle, there is

sharp

> depreciation in the price of the car in comparison to the repayment

of the

> loan made. The problem arises if the person who has taken loan

fails to

> make the agreed EMIs. When the banking institutions use aggressive

marketing

> strategies to deploy their funds without ensuring the real risk

management

> the problems are bound to come sooner or later. One can delay the

incidence

> of problems but one cannot avoid it.

>

> STRATEGIC INTERVENTIONS: Debt markets, mortgages, supplementary /

additional

> mortgages, etc. are the market interventions made for marketing of

the

> products and specially the high value immovable properties or

automobiles.

> All experts go into the details in their own area of specialisation

and do

> not take a holistic view of the situation.

>

> EVALUATION OF STOCKS: The market experts heavily base their

decisions on

> the units sold and profits generated by the Companies. The

products of the

> Company may be going to the debt market and this factor with the

related

> risk is ignored most of the time.

>

> SELECTION OF MARKETS

>

> If the market is not in the home country of the producer, the

producer

> should see the markets abroad satisfying the paying capacity of the

> customers.

>

> Here the investor should see the strength of the market in the long

run in

> terms of the real demand.

>

> This is one of the reasons why the investments are going to the

countries

> where infrastructure and goods are being produced for untapped or

marginally

> tapped levels of the large markets with real demand.

>

> VISION OF THE INVESTOR: The investors have to not only see the

credentials

> of the Company/institution they are investing in but they have to

be

> vigilant and see (i) if the Companies/institutions they are

consider for

> investment have real demand of their products (ii) the markets

being

> explored by the Companies/institutions are stable for the overall

health and

> survival of these companies/institutions.

>

> Best wishes.

>

>

>

[Guest guest]

Hello my dear Thor, The impact of the transit MMP on the MEP of the second, fourth and eleventh houses is also notable in this distressing time.

 

Best wishes.

 

 

-

Cosmologer

SAMVA

Wednesday, September 17, 2008 10:10 PM

Re: US Markets - Bank woes scare investors.

 

 

 

 

Dear friends,

 

The US stock market is in a veritable rout today.

 

The condition of transit and natal 2nd lord SUN probably explains the increased anxiety about the condition of the banks, the efforts of the government (to spend $80 billion to save the insurance giant AIG) and the value of the company shares. After the loss of Lehman and the overtaking of Merrill Lynch, other banks stocks are being hammered. Notable high tech belleweather stocks like Apple and Google are sinking fast.

 

Today, 2nd lord SUN has been at 0°-1° Virgo in the 3rd house. Meanwhile, 3rd lord MERCURY at 26° 44' Virgo is still under affliction from transit RAHU at 24° 04' Capricorn and 7th house. Moreover, transit RAHU is in applying conjunction to natal SUN at 23° 44' Capricorn. To this we add the separating but close aspect of transit 6th lord JUPITER to transit 8th lord SATURN, with both afflicted by natal RAHU in the 10th house.

 

This is not an easy time at all. A CRISIS has emerged IN THE FALL as predicted.

 

http://cosmologer.blogspot.com/2008/09/crisis-in-fall.html

 

Best wishes,

 

Thor

 

 

U.S. Stocks Drop as Lending Freezes Up Following AIG Takeover

 

By Elizabeth Stanton

 

Sept. 17 (Bloomberg) -- U.S. stocks tumbled as bank lending seized up in the wake of the government's takeover of American International Group Inc., raising concern that more of the nation's biggest financial companies will fail.

 

Goldman Sachs Group Inc. and Morgan Stanley, the two largest U.S. securities firms, plunged more than 20 percent after Oppenheimer & Co. analyst Meredith Whitney cut profit estimates. General Electric Co., the world's third-biggest company, fell 8 percent and U.S. Steel Corp. slid 14 percent. Yields on three-month bills sank to at least a 54-year low and a measure of corporate borrowing costs surged to the highest since the crash of 1987.

 

``It's ugly,'' said Michael Mullaney, a Boston-based money manager for Fiduciary Trust Co., which oversees $10 billion in stocks and bonds. ``It's about the worst I've seen it in 25 years. You have to have free-flowing credit to lubricate the system. That's not happening right now.''

http://www.bloomberg.com/apps/news?pid=20601087 & sid=aXSfaQ5wyF2Y & refer=home

 

SIHA <vkchoudhry >SAMVA Sent: Tuesday, September 16, 2008 8:26:09 AM US Markets - Bank woes scare investors.Hello dear list members,Dow Jones had a biggest drop on 15th September, 2008, of nearly 500 points, which is reported to be the worst in the last seven years.Besides the astrological reasons clearly seen in the SAMVA USA (Perpetual Union) chart, there are other reasons which are connected with the Management of the Marketeers of the goods and services.There are diverse reasons for this which appear to have escaped the attention of economists and the so called financial markets experts.ECONOMIES OF SCALES: The economies of the scale produce more goods and services at a competitive price but the real market demand and supply has to be manged keeping in view the paying capacity of the customers.EMERGENCE OF DEBT & MORTGAGE INSTRUMENTS. When the market demand is not real and backed by the power to buy, the incidence of debt market emerges. But when the buyers have no stable capacity to pay back the mortgage is likely to fail or the debt is likely to turn bad debt.LUCRATIVE BUYING OPTIONS: Banking institutions and the goods producers like the housing sector offers lucrative buying options to people ignoring their real and stable capacity to pay. For example, when the launch of a new car was anounced by an auto producer in India about a decade back, the Bank of America launched a scheme to give loan to people for booking the car. Naturally, they were seeing the opportunity for employing their funds. But if they ignore the paying back capacity of the person taking loan, they are likely to face trouble. See another example of financing a car loan. When the person takes the car loan and mortgages the vehicle, there is sharp depreciation in the price of the car in comparison to the repayment of the loan made. The problem arises if the person who has taken loan fails to make the agreed EMIs. When the banking institutions use aggressive marketing strategies to deploy their funds without ensuring the real risk management the problems are bound to come sooner or later. One can delay the incidence of problems but one cannot avoid it.STRATEGIC INTERVENTIONS: Debt markets, mortgages, supplementary / additional mortgages, etc. are the market interventions made for marketing of the products and specially the high value immovable properties or automobiles. All experts go into the details in their own area of specialisation and do not take a holistic view of the situation.EVALUATION OF STOCKS: The market experts heavily base their decisions on the units sold and profits generated by the Companies. The products of the Company may be going to the debt market and this factor with the related risk is ignored most of the time.SELECTION OF MARKETSIf the market is not in the home country of the producer, the producer should see the markets abroad satisfying the paying capacity of the customers.Here the investor should see the strength of the market in the long run in terms of the real demand.This is one of the reasons why the investments are going to the countries where infrastructure and goods are being produced for untapped or marginally tapped levels of the large markets with real demand.VISION OF THE INVESTOR: The investors have to not only see the credentials of the Company/institution they are investing in but they have to be vigilant and see (i) if the Companies/institutions they are consider for investment have real demand of their products (ii) the markets being explored by the Companies/institutions are stable for the overall health and survival of these companies/institutions.Best wishes.---

[Guest guest]

Hello Mr. Vashishth, It has earlier been brought out on the list that the transit influences are continuously exerting unfavorable pressures on the economies of USA and India. While Venus is likely to gain strength, the Sun is likely to lose strength. The impact of Jupiter continues on Saturn in both the cases. The impact of Saturn in US chart continues for some time on the MEP of houses occupied and aspected.

 

Best wishes.

 

 

 

-

rahul vashisht

SAMVA

Thursday, September 18, 2008 5:12 AM

Re: Re: US Markets - Bank woes scare investors.

 

 

 

 

 

 

 

Dear Thor and Prof.

 

I appreciate your great work and as i mentioned before that your blog rocks and really one of the best blog to accumulate endless knowledge.

 

Now , i would like to request u and prof. to shed some light on when r u expecting easing of financial crisis in short term and please also explain the same .

As we know from late Oct and in middle Nov we can see some tough transits again ....so do we see any relief in short term i.e in first half of Oct or late Sep .. Also i can see jupiter is going to transit from 20 MEP of 6th house ...

 

But as Venus is now transiting in its own sign from tomorow which earlier was in its debliated Sign and seperation of major afflictions like Transits Saturn-Jupiter , Natal Rahu-to Saturn-Jupiter , Transit Rahu to Mars ,Mercury and Sun .....So luks like many malefic aspects are seperating now.

 

Please suggest how to interpret for short term market .

 

Regards

 

Rahul

--- On Wed, 17/9/08, cosmologer <cosmologer (AT) (DOT) .com> wrote:

cosmologer <cosmologer > Re: US Markets - Bank woes scare investors.SAMVA Date: Wednesday, 17 September, 2008, 10:53 PM

 

 

My dear ,Indeed, thanks for reminding of this additional stressful influence (I had noted this influence in an earlier message...). In any event, all the indications of the 2nd house (wealth) in the SAMVA USA chart are under siege at this time and it is showing up strongly in the national life of Americans.Best wishes,ThorSAMVA , "SIHA" <vkchoudhry@ ...> wrote:>> > Hello my dear Thor,> > The impact of the transit MMP on the MEP of the second, fourth and eleventh houses is also notable in this distressing time.> > Best wishes.> > > > > > - > Cosmologer > SAMVA > Wednesday, September 17, 2008 10:10 PM> Re: US Markets - Bank woes scare investors.> > > > Dear friends,> > The US stock market is in a veritable rout today. > > The condition of transit and natal 2nd lord SUN probably explains the increased anxiety about the condition of the banks, the efforts of the government (to spend $80 billion to save the insurance giant AIG) and the value of the company shares. After the loss of Lehman and the overtaking of Merrill Lynch, other banks stocks are being hammered. Notable high tech belleweather stocks like Apple and Google are sinking fast.> > Today, 2nd lord SUN has been at 0°-1° Virgo in the 3rd house. Meanwhile, 3rd lord MERCURY at 26° 44' Virgo is still under affliction from transit RAHU at 24° 04' Capricorn and 7th house. Moreover, transit RAHU is in applying conjunction to natal SUN at 23° 44' Capricorn. To this we add the separating but close aspect of transit 6th lord JUPITER to transit 8th lord SATURN, with both afflicted by natal RAHU in the 10th house. > > This is not an easy time at all. A CRISIS has emerged IN THE FALL as predicted.> > http://cosmologer. blogspot. com/2008/ 09/crisis- in-fall.html> > Best wishes,> > Thor> > > > U.S. Stocks Drop as Lending Freezes Up Following AIG Takeover > > > By Elizabeth Stanton> > > Sept. 17 (Bloomberg) -- U.S. stocks tumbled as bank lending seized up in the wake of the government's takeover of American International Group Inc., raising concern that more of the nation's biggest financial companies will fail. > > > Goldman Sachs Group Inc. and Morgan Stanley, the two largest U.S. securities firms, plunged more than 20 percent after Oppenheimer & Co. analyst Meredith Whitney cut profit estimates. General Electric Co., the world's third-biggest company, fell 8 percent and U.S. Steel Corp. slid 14 percent. Yields on three-month bills sank to at least a 54-year low and a measure of corporate borrowing costs surged to the highest since the crash of 1987. > > > ``It's ugly,'' said Michael Mullaney, a Boston-based money manager for Fiduciary Trust Co., which oversees $10 billion in stocks and bonds. ``It's about the worst I've seen it in 25 years. You have to have free-flowing credit to lubricate the system. That's not happening right now.'' > > > http://www.bloomber g.com/apps/ news?pid=20601087 & sid=aXSfaQ5wyF2Y & refer=home> > > > SIHA <vkchoudhry@ ...>> SAMVA > Tuesday, September 16, 2008 8:26:09 AM> US Markets - Bank woes scare investors.> > Hello dear list members,> > Dow Jones had a biggest drop on 15th September, 2008, of nearly 500 points, > which is reported to be the worst in the last seven years.> > Besides the astrological reasons clearly seen in the SAMVA USA (Perpetual > Union) chart, there are other reasons which are connected with the > Management of the Marketeers of the goods and services.> > There are diverse reasons for this which appear to have escaped the > attention of economists and the so called financial markets experts.> > ECONOMIES OF SCALES: The economies of the scale produce more goods and > services at a competitive price but the real market demand and supply has to > be manged keeping in view the paying capacity of the customers.> > EMERGENCE OF DEBT & MORTGAGE INSTRUMENTS. When the market demand is not real > and backed by the power to buy, the incidence of debt market emerges. But > when the buyers have no stable capacity to pay back the mortgage is likely > to fail or the debt is likely to turn bad debt.> > LUCRATIVE BUYING OPTIONS: Banking institutions and the goods producers like > the housing sector offers lucrative buying options to people ignoring their > real and stable capacity to pay. For example, when the launch of a new car > was anounced by an auto producer in India about a decade back, the Bank of > America launched a scheme to give loan to people for booking the car. > Naturally, they were seeing the opportunity for employing their funds. But > if they ignore the paying back capacity of the person taking loan, they are > likely to face trouble. See another example of financing a car loan. When > the person takes the car loan and mortgages the vehicle, there is sharp > depreciation in the price of the car in comparison to the repayment of the > loan made. The problem arises if the person who has taken loan fails to > make the agreed EMIs. When the banking institutions use aggressive marketing > strategies to deploy their funds without ensuring the real risk management > the problems are bound to come sooner or later. One can delay the incidence > of problems but one cannot avoid it.> > STRATEGIC INTERVENTIONS: Debt markets, mortgages, supplementary / additional > mortgages, etc. are the market interventions made for marketing of the > products and specially the high value immovable properties or automobiles. > All experts go into the details in their own area of specialisation and do > not take a holistic view of the situation.> > EVALUATION OF STOCKS: The market experts heavily base their decisions on > the units sold and profits generated by the Companies. The products of the > Company may be going to the debt market and this factor with the related > risk is ignored most of the time.> > SELECTION OF MARKETS> > If the market is not in the home country of the producer, the producer > should see the markets abroad satisfying the paying capacity of the > customers.> > Here the investor should see the strength of the market in the long run in > terms of the real demand.> > This is one of the reasons why the investments are going to the countries > where infrastructure and goods are being produced for untapped or marginally > tapped levels of the large markets with real demand.> > VISION OF THE INVESTOR: The investors have to not only see the credentials > of the Company/institution they are investing in but they have to be > vigilant and see (i) if the Companies/instituti ons they are consider for > investment have real demand of their products (ii) the markets being > explored by the Companies/instituti ons are stable for the overall health and > survival of these companies/instituti ons.> > Best wishes.> > > > > > > ------------ --------- --------- ------> >