I am experiencing Internet problems and have difficulty accessing my data sources. This week’s video compilation is therefore posted without the usual introductory paragraphs. But I’m sure the interesting clips will speak for themselves.

Wall St Cheat Sheet: AIG - writing stories about people who play “it” safe “Evidently, AIG is a company that plays ‘it’ safe (whatever the hell that means) and knows how to manage risk better than anyone else in the known universe. Don’t believe me? Take their word for it. We let corporations falsely advertise all the time, and here is a perfect example of the cost.”

Source: Damien Hoffman, Wall St Cheat Sheet, July 15, 2009.

Bloomberg: Shiller, Roubini discuss “anemic” economic recovery “Nouriel Roubini, professor at New York University’s Stern School of Business, and Robert Shiller, chief economist and co-founder

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But for the many reasons we’ve described in these reckonings, we doubt that we’ve seen the last of this bear market.

“Either cuts in spending or increases in taxes will be necessary to stabilize the fiscal situation,” said Ben Bernanke in response to a question posed by a Member of Congress. Then, he added…

“The Federal Reserve will not monetize the debt.”

That last sentence has a ring to it. It reminds us of Richard Nixon’s “I am not a crook.” Surely, it is destined to make its way into the history books, alongside Bill Clinton’s “I did not have sex with that woman” and the builder of the Titanic’s “even God himself couldn’t sink this ship.”

Monetizing the debt is precisely what the Fed will do. But it will not do so precisely. Instead, it will act clumsily… reluctantly… incompetently… accidentally… and finally, catastrophically.

That’s our prediction, here at the Daily

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A long-awaited reversal in the monumental global stock market rally since early March finally arrived last week. As the first-quarter earnings season started winding down and post stress-test capital-raising weighed on some banks, investors were faced with a slew of gloomy economic reports suggesting the recent optimism about a global recovery might have been premature.

“This week, the hard economic data remind us that the global recession is ongoing: exports remain deep in the red; retail sales disappoint; inflation still volatile on food and energy but down on year; and industrial production declines. However, the data are consistent with the story of a slowing economic decline, foretold by several ‘green shoot’ survey reports,” said Rebecca Wilder (News N Economics).

Source: Tom Toles, Washington Post.

“Less bad” economic reports provided investors with little comfort, sparking a reassessment

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As stock markets attempt to notch up a sixth consecutive week of gains, the debate as to the longevity of the nascent rally rages on. The featured video material sees Steve Leuthold stating that the S&P 500 Index will rise to 1,100 this year, but Laslo Birinyi taking a bearish stance and advising that the “odds are not with you”. Similarly, Jim Rogers expects more “bottoms”, Nouriel Roubini claims markets to be “way too optimistic” and acclaimed Cazenove chartist Robin Griffiths is looking for a retest of the March 9 lows.

As far as the economic outlook is concerned, Martin Feldstain refers to the “faux recovery”, whereas Wilbur Ross and Abby Cohen comment on the slowdown in the econimic deterioration. Adding to the economic debate and related issues such as bank stress tests, the blame game, Goldman Sachs and commercial real estate, this week’s harvest

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First Russia, then China, now U.N.? Powers of the world move to ditch the dollar …Puru Saxena on why the Fed secretly wants inflation… the more the better…The 5 examines the future of energy… from deep-water drilling to “polywell fusion”… Another government biz on the verge of collapse… one that will affect us all… Plus, some good housing news, maybe… home prices retreat to historic range

“A new global reserve system,” a panel of United Nations economists declared yesterday, “could contribute to global stability, economic strength and global equity.”

We begin with this today not because the U.N. is saying anything revolutionary, but because the global chorus to ditch the dollar is quickly becoming deafening. The Kremlin last week, China’s central bank earlier this week, Tim Geithner yesterday and now this… a U.N. panel led by an American no less.

There is “a growing

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China calls dollar into question… why the red nation wants a new “international reserve currency”… Stocks boom… what happened the last time the Dow jumped 18% in 10 days…A smart way to solve the housing crisis… that will never survive Washington… Plus, signs of the times: UAE buys chunk of Mercedes-Benz, and a quiet change at AIG

So… here’s something interesting. The two biggest countries to have been left out of the “stimulus” spending due to the “Buy American” provision have come out in support of an IMF-controlled reserve currency in the last week.

Hmmnn… “What kind of international reserve currency,” asked Zhou Xiaochaun, head of the People’s Bank of China “do we need to secure global financial stability and facilitate world economic growth?”

With those words, Zhou added Beijing’s voice to the chorus begun by the Kremlin last week . “Beijing to

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Last Tuesday the Wall Street Journal published an op-ed by my friend Gary Shilling and Richard LeFrak. They offer a simple solution for the housing crisis: give foreigners who will come to the US and buy a home resident status, green cards). This is a very important proposal and one that deserves national attention and action. Gary was kind enough to send me two lengthier white papers offering more facts. In this week’s letter we are going to look at this proposal in more detail than the small space that an op-ed can offer. And while this letter will be somewhat controversial in some circles, I ask that you read it through, giving me the time to make the case. I will also add a few thoughts as to why this could not only help solve the housing crisis, but help put the nation back into growth mode.

Long-time readers know

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As submitted by The New Rules of Investing:

What do you think of when I mention “investment newsletter”?

Many will answer referencing the numerous emails (spam?) they receive on a daily basis with information “that’s guaranteed to triple your money!” While that’s a preposterous boast, I think the most important thing to do when starting a financial newsletter business is picking the theme of the newsletter.

Picking a niche topic versus building a general investment newsletter

The key in the investment newsletter business is positioning (see this for an explanation about your Unique Selling Proposition), just like in many other consumer-focused businesses. Success in branding, marketing and distributing your newsletter will be built upon your investment newsletter’s theme. e-books, like newsletters, follow similar rules.

So, is it better to go niche with your newsletter (and publish the clean technology newsletter) or stay

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It won’t be pretty folks. If Goldman and Shilling are right, and historically housing bubbles have always deflated back to about where they started, consumer spending will die out and we’ll see a recession by early next year.

Gary Shilling, who I chatted with today for this piece for CNBC and who is quoted below, thinks we will see a recession due to the housing crunch by the end of the year. Good luck folks.

If you think the decline in home prices is bad now, just wait.

I wasn’t paying attention yesterday, but an options pro on the street warned me this morning of what he called a “dispraportionate” rise in the VIX and VIXN yesterday relative to declines on Monday. Yes, fear remains as folks wrap up their summer holidays.

If you thought a “conduit” was a pipe that wires are run through, YOU ARE INDEED CORRECT, SIR (in my best Ed McMahon voice addressing Johnny Carson). However, in the financial markets “conduits” are typically bank-owned credit investment vehicles, or funds, which hold asset-backed securities that are bundled into packages and backed by short-term debt from the commercial paper (CP) market.