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Volcker rule could hurt liquidity in FX spot market

Marvin (nevercaughtup)
Sep 04 2012 at 08:26
11 posts
When it comes to greener grass I say the following in humor and without any political agenda.

When I lived in the USA I was in Texas in an area that sometimes would have over 100 days in a row of 100 degree temperatures and little rain. Since moving to the Philippines I have experienced three typhoons and just a few weeks ago we had one of the worst floods in Philippines history. Over a meter of rain a day fell for four straight days and it brought Manila to a halt with flooding everywhere. I kind of missed the dry Texas plains, but . . .

the grass is greener here. LOL

Where there's odds . . . there's hope.
TheLastBear
Sep 04 2012 at 12:38
186 posts
James_Bond posted:
Question is, why do they do that? I don't think this is by choice. The economy has slowed down since the melt down in 2008, and it appears its slowing again the past few months - I think the point of these rules is to show they are do trying to do something to help stabilize the economy, although it may be too little too late.

The Volcker rule is the same as reducing leverage - once you decrease exposure, risk reduces. I just hope the effect of traders moving their businesses elsewhere won't overweight the point of the rule, which is to help to the economy, not ruin it further.

As to the health care - this isn't new as far as I'm aware - USA simply doesn't invest in this field as other countries do. I'm sure you found some disadvantages in the Philippines which you haven't encountered in the US - as the saying goes: 'the grass is greener on the other side'.


I disagree James. The economy is not some playground where socialists should be allowed to try something just so they can claim we tried and tried and tried. Yes, they do try but everything they have done has been and will be counter-productive. They do not listen to those people with knowledge about the situation and try to please the angry general public which has nothing better to do then scream tax the rich.

The situation is getting worse by the minute and soon it will be time to pay for all the mistakes made.

Pax puts the X in Forex.
James_Bond
Sep 04 2012 at 14:24
556 posts
TheLastBear posted:
I disagree James. The economy is not some playground where socialists should be allowed to try something just so they can claim we tried and tried and tried. Yes, they do try but everything they have done has been and will be counter-productive. They do not listen to those people with knowledge about the situation and try to please the angry general public which has nothing better to do then scream tax the rich.

The situation is getting worse by the minute and soon it will be time to pay for all the mistakes made.


It's always easier said than done 😄. I'm sure in their point of view they're doing the best they can (to the best of their knowledge).

What would you do differently if you were in their shoes? I for example wouldn't try to scare off businesses out of the US for one, as that definitely can't be of any good for the economy.

Marvin (nevercaughtup)
Sep 04 2012 at 15:22
11 posts
I think a lot of it is because America today is run by Goldman Sachs. Special interests have shaped the country more than the voters.

Where there's odds . . . there's hope.
TheLastBear
Sep 07 2012 at 09:58
186 posts
I would start by throwing out the tax code and implement a very low flat tax. I would tax consumption and not earnings. I would kill all regulation and replace it by simply regulation that works. I would have never allowed a single tax payer dollar to be wasted on a bailout. This is a big topic and I just throw a few snippets your way as I do not have the time to write a paper on it. Hope you understand.

Pax puts the X in Forex.
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