Emirates tells the truth.
From Market Ticker:-
Oh Oh, Emirates Air Tells Truth?
The Market Ticker ® - Commentary on The Capital Markets
Posted 2012-03-22 14:04
by Karl Denninger
in Banking System
Oh Oh, Emirates Air Tells Truth?
Talk about burying the lede!
Emirates, the biggest airline by international traffic, said more carriers will go bust this year as fuel costs and sluggish economies undermine profitability.
“We can reel off a whole load of airlines that are teetering on the brink or are really gone,” Tim Clark, the Dubai-based carrier’s president, said in an interview. “Roll this forward to Christmas, another eight or nine months, and we’re going to see this industry in serious trouble.”
No no no, not that lede. That's the one Bloomberg wanted you to pay attention to.
THIS lede:
“You think you’re going to win, but in the long term you always lose,” Clark said yesterday at the Gulf carrier’s head office near Dubai International Airport. “When we enter into derivatives, betting whatever it may be with counterparties who actually control the price of fuel in the first place, you have to ask yourself, ‘Is that smart?’”
Aha -- truth. You enter into derivatives with those who have a license to steal as even if they misrepresent what they're selling nobody will prosecute them and if not they simply manipulate the market after selling you the position!
Why would you take a bet on the price of something with a guy who has a corner on the market in question? You'd be nuts to do so and yet this is exactly the model these banksters have devised -- peddle to you the "necessity" of hedging and then screw you when you take their advice.
"Heads I win, tails you lose" -- what a great game for the banksters.
The shocker is that Bloomberg printed this.
PS: How's it feeling up there in Jefferson County Alabama peasants? Still haven't figured it out have you? Maybe some day Americans will, and then will rise and put a stop to it, one way or another. Until then I hear that Jersey Shore will be back in production soon.
Discussion below (registration required to post)
Share