Peter Schiff on Fox Business: Double-Dip Recession

Hedge Giant Jones Turns Gold Bug

Hedge fund icon Paul Tudor Jones has turned bullish on gold, based on concern of rising inflation and expectations of strong demand from central banks and exchange traded funds.

“I have never been a gold bug,” Jones, head of Tudor Investment, wrote in a letter to investors obtained by Bloomberg.

“It is just an asset that, like everything else in life, has its time and place. And now is that time.”

Jones is joined in his bullishness toward gold by two other hedge fund heavies, John Paulson and David Einhorn. The precious metal has risen to record highs above $1,070 an ounce in recent days. (more)

Criminal Rothschilds

FDIC Failures # 115

Seven Trading Lessons from a Legend

The late Jesse Livermore is considered one of the best traders of all time. His exploits have been chronicled in several books, with the most widely read being Reminiscences of a Stock Operator by Edwin Lefevre, originally published in 1923.

Livermore was wealthy and broke several times over during his tumultuous life, which ended in his suicide. His ability to make and lose millions garnered him many lessons which the trading community have enshrined over the decades since his death. Yet these lessons and rules remain as pertinent today as they were in the early twentieth century.

We’ll take a look at several of his trading rules to remind us why we must have a plan in place before trading a dollar of our hard-earned money. (more)

How Goldman secretly bet on the U.S. housing crash

In 2006 and 2007, Goldman Sachs Group peddled more than $40 billion in securities backed by at least 200,000 risky home mortgages, but never told the buyers it was secretly betting that a sharp drop in U.S. housing prices would send the value of those securities plummeting.

Goldman's sales and its clandestine wagers, completed at the brink of the housing market meltdown, enabled the nation's premier investment bank to pass most of its potential losses to others before a flood of mortgage defaults staggered the U.S. and global economies.

Only later did investors discover that what Goldman had promoted as triple-A rated investments were closer to junk. (more)

CIT failure to leave small businesses floundering

CIT Group Inc's (CIT.N) bankruptcy filing, while long expected, could still trigger a financing crunch for many of the hundreds of thousands of small businesses it finances.

CIT filed for bankruptcy protection on Sunday, and said its creditors have already approved the century-old commercial lender's reorganization plan.[ID:nN01408863]

The bankruptcy followed a failed struggle to refinance its debt amid the credit crunch and recession, and paves the way for it to restructure. (more)