Luckily, We Have The Fed

Admittedly, I am more stupider than a lot of people when it comes to finances.  So someone please tell me how the stock market really works.  See, I thought the stock market reacted to what is going on in the economy.  I didn’t realize it was the economy.  

Apparently, I was wrong, because the Federal Reserve has announced an emergency rate drop to “fix” the stock market.

The Federal Reserve, confronted with a global stock sell-off fanned by increased fears of a recession, slashed a key interest rate by three-quarters of a percentage point on Tuesday and indicated further rate cuts were likely.

This move is not an instant fix,” said Ian Shepherdson, chief U.S. economist at High Frequency Economics

“Fix” is actually the perfect word.  Markets can be “fixed” kind of like a fight or the World Series can be “fixed”. 

So let me get this straight.  We (individually and as a country) have borrowed too much money, which has us headed towards a recession.  The obvious solution?  Lower interest rates to banks, which allows them to lower interest rates to consumers, which allows them to borrow more money.  Makes sense right?  Right?

“You can’t borrow your way out of debt”–Dave Ramsey

So rest easy tonight, all of ye lower and middle income Americans.  Though the cost of milk, gasoline, and Coors Light doth drift higher whilst thou income remaineth the same, panic disturbs not the slumber of bankers, barons, and brokers.  So long as the DJIA remaineth propped by policy, politicians, and ponzi schemes, you need not be troubled by the frightful prospect of competing on a level playing field and moving forward.

Ah, what the hell!  You can just put it on your credit card, right?  Rates have never been lower!!!

Poker South Florida Style

The day after Christmas Bear Toe and I drove up to Dania from Miami to check out the Dania Jai Alai and Poker Palace (or whatever it is called). Our buddy BGE lives in Ft. Lauderdale, and he said this was the place to play. The poker room there is a decent size–probably 20 tables, but most of them weren’t used while we were there.

They run a tournament at 3:00 pm daily, and I signed up for that. It’s a $5 entry, winner take all. 2000 units, 50/100 blinds starting out, with increases every 15 minutes. While I was waiting for the tourney I sat down at a cash table–$1/$2 no limit hold ’em with $100 MAX buy-in . After about 10 minutes at that table, I wished I hadn’t bothered with the tournament.

It seems like there were two types of players there, pretty good and pretty bad, and the split was about half and half. I noticed when the tournament started that the pretty good guys at my table didn’t play in it, and the pretty bad guys did. I decided to just push all in every chance I got to possibly double up and get back to the cash table. There were 60 player in the tournament, and I wasn’t about to sit there for 3 hours for a chance at only $300, especially when there was easy money bleeding into the cash games from guys getting put out of the tourney. If I could pile up chips early, fine. If not, fine too. I think I was the 8th or 9th person put out. I think the wise locals show up just to pick off guys as they are put out of the tourney.

The rest of the day was pretty productive. My chip stack was swinging, but not too wildly and always trending up. As I built it, I’d open up a little and give guys action, hoping they’d stick around. By 10:30 I’d built it up to ~$700. Not bad for buying in at $100. My mistake was not leaving at that point. The poker room closed at 12:00, and people started getting really crazy as closing drew near. It worked out well for Bear Toe who won the final pot of the night (everyone involved pushed all-in) for about $500. I got caught with middle pair post flop countless times and was a little to liberal in giving other guys action.

I ended up leaving with $575 and a newly learned lesson courtesy of one of the pretty good players. It only cost me $65 for him to show me a big gaping hole in my game–pretty cheap!

Overall, a decent poker room. There wasn’t really any variety of games. A 7 card stud game was going on when we got there, but it ended and everything went to $1/$2 NL hold ’em. The dealers were fine on the whole. A couple were excellent, and one in particular was horrible. There were a couple of rules that some players had a problem with, but I didn’t think they were too out of line. For instance, if you show cards before the showdown your hand is automatically mucked. The service was not all that great, but I wasn’t there to drink and eat, so that wasn’t a big deal either.

I can’t wait to go back next year with a little knowledge going in!

You Won’t Believe This

Another great cyclist has been disqualified from this year’s Tour de France for blood doping. Alexandre Vinokourov tested positive for doping after he won Saturday’s time trial. If you haven’t been keeping up with the Tour, he looked like an amateur during Sunday’s stage, only to come back and tear the field to shreds on Monday’s mountain stage.

I don’t mean to be cynical–okay, I guess I do mean to be cynical–but almost all of these guys cheat. You have to be nuts to think they don’t. I really shouldn’t be news to anyone when they get caught, it just means they failed to outsmart the latest tests.

In other breaking news you may find shocking…

Professional wrestlers use steroids.
Barry Bonds too.
The gov’ment wastes a lot of your tax dollars.
There isn’t a pill that can make you safely lose weight.
Breathing smoke on purpose is bad for you.
Bill Gates doesn’t send out checks to people for forwarding emails.
That guy in Africa who emailed you about the unclaimed money…he’s a scam artist.