Well, the final day of 2007 is upon us. And what a year it’s been...oh yes...an interesting year to say the least.
2007 was an eye-opening year for many...finally seeing the truth behind the housing market...the precarious state of the dollar...and the underlying strength of gold and other commodities.
Here at The Daily Reckoning we’ve covered each of these topics...and more. And today and tomorrow, we will be taking a trip down memory lane. So without further ado, we give you:
2007: The Year in Review – Part I
01/04/07 – The World’s Push for Power
by Chris Mayer “The North American power grid is the largest in the world. Chris Mayer explains that investment in the power grid will top $100 billion by 2015 - but that’s nothing compared to what other countries are going to spend...”
01/31/07 – The Rising Liquidity Wave
by Puru Saxena “During the past year, the ongoing monetary inflation, credit growth and expanding liquidity environment drove up prices in various markets. Apart from rising interest rates and unrest in the Middle East, we did not get any major negative developments on the economic front, which also helped the global markets. Puru Saxena looks forward to the year ahead to see what we can expect from the various asset classes...”
02/01/07 – Corporate America to the Rescue?
by Dr. Kurt Richebächer “The Good Doctor is back - and still wondering why our friends at the Fed seem to think that the U.S. economy is ‘sound’ - even though all the signs seem to be saying otherwise. Read on...”
02/27/07 – A Bad Hand for Bernanke
by Adrian Ash “It’s clear Bernanke’s been dealt a bad hand by the Maestro. But will the gold market fold, raise, or call his bluff...? Our U.K correspondent, Adrian Ash, explores...”
03/09/07 – Alphas, Betas, Scamps and Scalawags
by Bill Bonner “As the subprime industry continues its steady decline into the bowels of bankruptcy, we can’t help but wonder what these lenders were thinking. Bill Bonner explores this industry’s business model, and finds out that sometimes, thinking isn’t necessary - just showing up to work is enough. Read on...”
03/28/07 – “It’s the End of the World As We Know It”
by Doug Casey “Anyone paying even a little attention right now can’t help but notice the stunning array of problems that are menacing the global economy and threatening traditional investments. Doug Casey explains how you can profit from the unfolding crisis...”
04/17/07 – Oil Booms and Busts
by Byron King “Over the past 25 years, the ‘growth’ in oil reserves estimated to be in existing oil fields has actually exceeded the additions to reserves from new discoveries. The implication is that the existing oil fields of the world are as important, and maybe even more important, than the prospective new discoveries out in wildcat country. Byron King explores...”
04/19/07 – Standby Commodities
by Kevin Kerr “There are certain commodities that are staples of trading...beef...sugar..
05/12/07 – Where’s the Boom?
by Kate “Short Fuse” Incontrera “Using the mighty force of Fed-speak, Helicopter Ben and Ol’ Bubbles helped to push the Dow back up. They should really think about using their awesome powers to fight crime.”
05/29/07 – Alas, The Demise of the Dollar
by Addison Wiggin “The greenback is in a sorry state of affairs, down against most major European currencies. This weak dollar trend looks like it is nowhere near wrapping up, and below, Addison Wiggin details how a declining value of the dollar has far-reaching effects. Read on...”
06/02/07 – Is Ethanol Running Out of Gas?
by Kevin Kerr “The corn-based ethanol craze is probably not being shown the door, but may be getting handed its hat. Kevin Kerr explores...”
06/12/07 – Fighting the Last War
by Chris Mayer “You have probably heard the expression about generals always fighting the last war. Investors, too, tend to invest by looking in the rear-view mirror. In both cases, the consequences are costly. Chris Mayer explains...”
07/06/07 – Bear’s Market Blues
by Bill Bonner “With the housing market in free fall, it is sometimes difficult to decipher exactly where everything began to go wrong. This week, Bill Bonner sifts through CDO’s, MBS’s, and falling asset prices to explain what is really happening. Read on...”
07/10/07 – Gone, But Not Forgotten
by Mark Skousen “Hans Sennholz, who passed away two weeks ago, was a died-in-the-wool doomsayer, a charismatic speaker, and an influential player in the financial freedom movement. Mark Skousen, who was a close friend of Dr. Sennholz’s, gives us a snapshot of his life, below...”
08/09/07 – The Jekyll and Hyde Global Economy
by Bill Bonner “The symmetry of the system is simple: the East makes; the West takes. The East saves; the West spends. The East lends; the West borrows. The boom in the East is real; in the West it is a fraud.”
08/20/07 – The Currency Cavalry Rides Again
by Bill Bonner “On Friday, the Bernanke Fed looked a lot like the old Greenspan Fed...riding out to rescue speculators like the cavalry to the aid of desperate pioneers. The trumpet sounded...the rifles fired...and the savages were beaten back.
09/13/07 – The Effects of the Summer Market Shock
by Bill Bonner “Pity the poor American householder. Just a few months ago he had people lining up to lend him money. Now they’re on the phone wanting it back! He had gotten used to refinancing. But now refinancing is tough...and more expensive.”
09/22/07 – Brokedown Greenback
by Kate “Short Fuse” Incontrera “Wow, the dollar has certainly taken a beating this past week following the Fed’s rate cut. It has fallen to a 15-year low in the world dollar index, hitting the weakest level ever against the euro at just under $1.40.”
10/02/07 – Like Fed Head Like Son
by Bill Bonner “The results, announced two weeks ago, made it clear that Bernanke is heir to Alan Greenspan, not Paul Volcker. That is, the Bank of Ben Bernanke will not fight inflation...instead, it will battle deflation to the bitter end.”
10/20/07 – An All Season Hedge
by Addison Wiggin “The lesson not yet learned has everything to do with the reasons why the gold standard was so important. We have given control of economic forces over to government tinkering.”
11/15/07 – It’s All About the Euros
by Kate “Short Fuse” Incontrera “The dollar is quickly becoming the red-headed stepchild of the currency world. First, supermodel Gisele came out saying she didn’t want to be paid in dollars for her latest campaign. Then, rap superstar Jay-Z released a video in which he was doing something very odd - flashing money around.”
11/19/07 – More Than “Sheets” Hitting the Fan
by The Mogambo Guru “People want to know why things in the financial markets are so damned weird, and I answer that there are many reasons, all of them concerned with greed. And it may also have something to do with ‘making hay while the sun shines’.”
12/13/07 – So What’s Gold Worth?
by Ed Bugos “Writing from Vancouver, British Columbia, Strategic Investment contributor Ed Bugos estimates the value of gold adjusted for the exploding supply of dollars. He also provides a trader’s perspective on the likelihood of a gold correction. Read on...”
12/19/07 – A Recession Worth Having
by Bill Bonner “Yes, dear reader...a recession is probably on the way...And it will probably be a real recession this time, not just a phony recession such as we had in 2001. This time the consumer will actually have to cut back on his spending.”
Happy New Year from all of us here at The Daily Reckoning !
The Daily Reckoning