UNITED AIR LINES TO LAY OFF 950 PILOTS

I expect to see a lot more of this sort of thing occurring as the
economy worsens:


http://www.chicagotribune.com/travel...,0,81993.story
Today we announced initial details concerning the first wave of
pilot furloughs resulting from our plans to take 100 aircraft from
our mainline fleet due to record high oil prices and a softening
U.S. economy. The first notices to furlough approximately 100
pilots for the flying month of September will be issued in
mid-July.

By the end of 2009, when we expect to complete the full reduction
of our 94 B737 aircraft and six B747s (see June 4 NewsReal), we
anticipate the need to furlough approximately 950 active pilots.
This process is one of the difficult but necessary steps we need
to take to size our business appropriately to reflect the current
market reality....

Larry Dighera wrote:
I expect to see a lot more of this sort of thing occurring as the
economy worsens:

Time to burst the speculator-driven oil bubble once and for all:

"NEW YORK (CNNMoney.com) -- The Dow plummeted more than 350 points
Thursday as selling accelerated following a record surge in oil prices.
The three major indexes took a beating right out of the gate after
Goldman Sachs downgraded two key Dow components, and two tech leaders
disappointed investors."

"Khelil joins a long list of forecasters who have made bold oil price
predictions this year. Each new forecast—such as Goldman Sachs' recent
prediction that prices could rise as high as $200—causes a jump in
prices as speculative buyers are drawn into the market."
http://www.breitbart.com/article.php...show_article=1

"WASHINGTON (Marke****ch) -- The price of retail gasoline could fall by
half, to around $2 a gallon, within 30 days of passage of a law to limit
speculation in energy-futures markets, four energy analysts told
Congress on Monday."

So, really, the only thing that's actually driving the cost up today,
and causing stock market turbulence, is a) the jackass predictions and
b) the entities "drawn into the market" Maybe it's time to kill the
messengers after all.

Naturally, when the bubble finally bursts there will be a whole bunch of
hand-wringing and pleas for taxpayer-subsidized bailouts, ruined
retirements funds and calls for Congressional investigation. But the
economy will explode as the average American consumer feels as if a
crushing weight has just been lifted from his shoulders.

My rapidly-depreciating .02.

-c

gatt wrote:


"WASHINGTON (Marke****ch) -- The price of retail gasoline could fall by
half, to around $2 a gallon, within 30 days of passage of a law to limit
speculation in energy-futures markets, four energy analysts told
Congress on Monday."


Oh.. thank goodness. Congress will pass another law and solve all of our
problems. Lets keep on voting for the same law passers cuz they're doing
such a great job.

On Jun 26, 4:15*pm, gatt wrote:

"WASHINGTON (Marke****ch) -- The price of retail gasoline could fall by
half, to around $2 a gallon, within 30 days of passage of a law to limit
speculation in energy-futures markets, four energy analysts told
Congress on Monday."

Its wonderful to hear the opinion of people who have no idea how
economics and market financing works. Futures are key to the financial
stability of the industry. If you can't sell futures you don't know
what price you are guaranteed and you can't finance anything. Futures
contracts are somethin you can take to the bank.

-Robert

Robert M. Gary wrote:

"WASHINGTON (Marke****ch) -- The price of retail gasoline could fall by
half, to around $2 a gallon, within 30 days of passage of a law to limit
speculation in energy-futures markets, four energy analysts told
Congress on Monday."

Its wonderful to hear the opinion of people who have no idea how
economics and market financing works.

What's a CFII doing suggesting that four different energy analysts don't
know how economics and market financing works?

Futures are key to the financial stability of the industry.

I guess guys like me put the United States of America ahead of the the
almighty oil industry.

Futures contracts are somethin you can take to the bank.

Banks fail.

-c

Robert M. Gary writes:

Its wonderful to hear the opinion of people who have no idea how
economics and market financing works. Futures are key to the financial
stability of the industry. If you can't sell futures you don't know
what price you are guaranteed and you can't finance anything. Futures
contracts are somethin you can take to the bank.

Futures, like virtually all speculation based on worthless paper, are a form
of legalized gambling.

On Sat, 28 Jun 2008 18:40:34 +0200, Mxsmanic
wrote in :

Robert M. Gary writes:

Its wonderful to hear the opinion of people who have no idea how
economics and market financing works. Futures are key to the financial
stability of the industry. If you can't sell futures you don't know
what price you are guaranteed and you can't finance anything. Futures
contracts are somethin you can take to the bank.

Futures, like virtually all speculation based on worthless paper, are a form
of legalized gambling.


Of course, there is an element of gaming in equities, bonds, and
futures, but they do have a fundamental purpose:


http://www.pbs.org/newshour/bb/busin...ces_06-24.html
PETER BEUTEL: Well, Stephen is absolutely correct, but I'll tell
you the genesis of all commodities. It started with a farmer going
to a banker and saying, "Look, I need money to buy seeds and to
have somebody that will water my crops." The banker says, "Fine,
how do I know what price you're going to have in September when
you actually bring this corn to harvest?" The farmer says, "Well,
I don't know."

So the farmer then went to a futures market. And the futures
markets were created.

In March, the farmer goes and says, "I need to get a price for
corn in September." The speculator was born. The speculator says,
"I will give you $3 a bushel come September for your corn." The
farmer sells it to that speculator. The speculator now takes the
risk that the price will go lower, but also takes the potential
reward that maybe it will go higher.

But the farmer is happy, because he can now go to the banker and
say, "I will sell my corn for $3 a bushel in September. Please
loan me the money." The banker gives him the money. He plants the
corn.

This simple idea has been extended to a number, a plethora of
different commodities, and it's the same concept, but without the
speculator, this poor farmer could never get his bank loan.

What has happened now that is different than, say, what had been
going on for 100 years is that now we have some traders that
really don't know what they're doing. A lot of them are union
pension funds, college foundations, people we normally think of as
good guys.

They have been buying and holding commodities, unlike most
speculators, who buy, then sell, then sell, then buy, who are
equally as comfortable selling things they don't have as they are
buying things they don't want.

These guys, the new investors, have been buying and holding. And
this has created a different signal. The market interprets it as
long-term end users. These people are really speculators, only I'd
be willing to bet many of them don't even know it.

And I'd be willing to bet that, if you went and told some of these
people, one, that they're helping to push the price higher and,
two, what incredible risks that they're taking on that they'd be
mortified that they were actually doing this.

Mxsmanic wrote:
Robert M. Gary writes:

Its wonderful to hear the opinion of people who have no idea how
economics and market financing works. Futures are key to the financial
stability of the industry. If you can't sell futures you don't know
what price you are guaranteed and you can't finance anything. Futures
contracts are somethin you can take to the bank.

Futures, like virtually all speculation based on worthless paper, are a form
of legalized gambling.

Add futures to the list of things MX knows nothing about.

Far from being "worthless paper", a futures contract is a binding
contract to take delivery of a real product at a specified price.

A point that a few naive "investors" have overlooked when they got
the call asking where they wanted their pork bellies delivered.


--
Jim Pennino

Remove .spam.sux to reply.

writes:

Far from being "worthless paper", a futures contract is a binding
contract to take delivery of a real product at a specified price.

It's the price that makes it gambling.

On Jun 28, 9:40*am, Mxsmanic wrote:
Robert M. Gary writes:
Its wonderful to hear the opinion of people who have no idea how
economics and market financing works. Futures are key to the financial
stability of the industry. If you can't sell futures you don't know
what price you are guaranteed and you can't finance anything. Futures
contracts are somethin you can take to the bank.

Futures, like virtually all speculation based on worthless paper, are a form
of legalized gambling.

Of course that it totally false. If you don't sell the future when it
comes due you'll find your yard full of oil barrels. Now your broker
may help ensure that doesn't happen but you are getting a real, legal
contract to purchase commodities. Its like signing an agreement to
purchase a house. 30 days later after the escrow closes you can't walk
away and say "oh, it was just paper". A contract is tangible.

-Robert