Wednesday, February 17, 2010

Tearing Down Toyota is Easier than Improving Government Motors

The coming congressional hearings should go something like this:

Mr. Toyoda, please hand over the names of all the people you notified of acceration and brake problems, what those problems were, and how you intend to fix them.

Akio Toyoda: I refuse to release confidential corporate information to my largest commercial competitor.

Stand up. Walk out.

Congress owns GM, and they're tearing apart Japanese Toyota on a world stage? The commercial conflict of interest generated by our brain-dead governement is staggering. They've opened the door to huge legal payouts to Toyota on behalf of the People of the United States for international corporate sabotage and espionage.


  1. So true!!! I told a friend of mine last week, that the Government wants to destroy Toyota now that it owns GM. So obvious, but he did not see it until I pointed it out... Is this the Unions at GM dictating the policy of the government. This is the problem with fill in the blank, Communist Government, Socialist Government, National Socialist Government, .

  2. "International Monetary Fund to sell another 191 tons of gold"

    FDR, any comments?

  3. IMF: "We don't want to be the final bagholder," imo.

  4. As another poster said, so obvious but I admit it didn't even occur to me until pointed out. And I'm as cynical as they come, so how is the regular 99.9% of the populous going to get it? " a group we cannot avoid our fate..." - FDRAOA

  5. If Toyota is indeed under attack by US "Government Motors," its almost daily announcements of new potential problems seems to be a rather pathetic way of defending itself. Sort of like al quaeda running ads in the New York Times advising of conflicts among its chief members and problems with operational time tables.

    Whatever happened to your theory that Toyota's "problems" were a clever, backdoor way of dealing with over production and over capacity issues? I mean who is actually buying new cars these days anyway?

  6. "Whatever happened to your theory that Toyota's "problems" were a clever, backdoor way of dealing with over production and over capacity issues? I mean who is actually buying new cars these days anyway?"

    Toyota announced yesterday that they are shutting their US factories down in March and April (this is after a 3 month shutdown in late 2009). Tundra production was suspended indefinitely. The Tundra plant is using the down time to convert to cheaper Tacomas.

  7. Japan was supposed to grant US manufacturers similar access to their car stimulus program that the US extended to Japan. When that didn't happen Ray LaHood spoke out.

  8. Can't the FED just keep printing money and converting all the debt to equity? Seems to be working perfectly so far. They will probably fail but even a crash at this point can't compete with the returns in the equity market. Check out PCLN, that is up 522% in 8 months! What position would be better on the short side that could return that much in a market meltdown? I suppose a leveraged position of some kind. Do you like the leveraged ETF's for a downside play. I would love to get shorts, but the profits of these high beta stocks are impressive, and this is occurring during your great depression 2, imagine the earnings power of these companies if the economy keeps picking up steam. Things appear to be turning around here in chicago at least. The government is a mess but the empty commercial real estate is starting to fill in nicely and new retail construction is starting again. Their is finally concrete evidence of money starting to be invested and not scared off. We will see if it holds. I assume EWI will again get out their erasers next week when we take out 1115 on the ES and then look to new highs. This is by far the largest wall of worry any living being has ever seen and the market is acting accordingly, slowly grinding higher.

  9. "Can't the FED just keep printing money and converting all the debt to equity? "

    The Read Me First Section addresses why the Fed can't print money without a borrower.

    "Banks aren't lending" = "The Fed is not printing."

    That why the money supply has been diving for two years and counting....

  10. The fed's mbs buying program ends in March.

    I am expecting another round of deflation on a mass scale to commence because of this. It was soon after they started the program in early 2009 that the markets took off.

    So, I am expecting traders to pull their money from risk assets prior to end of the program.

    Last out = loses.

    Does this seem reasonable?

    The fed will need more justification to keep the program going. IE, if we get major market declines prior to ending the program.

    Either way, the market will have to decline, no?

  11. Lastest headlines, a grand jury investigation, to continue the no mercy policy for Toyota.


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On Nov 2, 2010, I plan to vote (FOR or AGAINST) my incumbent congressman

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