tapuk: November 2010

wallpaper Here's Mud In My Eye

wallpaper I don't feel like a winner. My NaNo efforts this year were junkier than ever before. Worse than I remember of last year's which was so bad that I've yet to reopen that file to abuse my eyes upon it. That feeling of disgust combined with the death of my laptop just a few days later followed by several weeks of zero access to my files contributed to my not writing any fiction (except for a few days dabbling with a script concept for Script Frenzy in April) for eleven months. So here's to my barfing up another 50K of muck for my mind monkeys to make mud balls to throw at me.

wallpaper Tuesday Tits

wallpaper Sombre tit, Poecile lugubris. Who knew tits could be sombre?

wallpaper The Cost of Capital

Just a quick note for tonight.

The Cost of Capital
There has been a strange dynamic in play for about a year now in regards to the cost of capital. In normal markets rates are set by various inputs that in the end give both the borrower and the creditor a feeling that they are getting "fair value" both in taking the loan and in making it.

That is not how things work anymore. What would a mortgage written by a bank cost right now if they were left alone to set rates? With the double dip in home prices already here and a slew of inventory on the books, I think the 10 year US Treasury number would not even be in the ball park. Of course policy now is to make sure those rates stay ultra low.

CDS spreads have gone crazy for many European countries, but I have been watching CDS spreads for some time and they fail to make me take them too serious. What is serious is even a troubled state like Portugal is looking at rates going up to the 7% level(up from 4% in March) but along comes the ECB and they say "that is not right, we will lend money at 4% or 5%". The US FED has done much the same here. Add to this troubled US states like California have been taking advantage of US backed muni debt sales at rates far below what a open market would demand.

Now I think we all know that distortions cause problems....eventually. Easy money has a nasty habit of finding poor places to live. You can get things like bubbles or woefully miss priced instruments of all kinds that imply a lack of risk that simply does not exist. I think this should be clear. But let's look at another point.

If creditors are forced by the will and actions of government to lend at lower rates than they might want to, they are going to push rates where they can much higher. I would ask you all to review your credit card rates over the past year and see how they are moving. I just got a huge letter from my bank explaining the monster fees and penalties that will result now if I go into overdraft or miss any kind of payment on anything. Of course no one speaks for the little guy here, we will all just pay high rates and fees because that is where the banking system has pricing power now. They will chase return where they can.

Taking a step back, when you read that Ireland or whomever simply cannot pay debt back at such "high rates" as 7%, or even 10% there is an issue there. If a US state is on the verge of going bust over a 2% difference in a loan rate that is really walking a fine line. Yes, I know we are talking big bucks and it adds up, but really? I have argued that artificial low rates are now a structural necessity, not a short term support mechanism. Can the 10 year really be at 6% in 2 years without major issues? I would ask that the readers ponder what steps will be needed to keep rates of all stripes at all time lows for the next 5 years at a minimum and write them down or write them in the comments. Going further, ponder what avenues will be used by creditors to balance out their "fake risk" book with their "real risk" book. I think the answers will be useful in making investment decisions going forward.

Have a good night.

wallpaper That's Mighty White of You, Mr. President

In fairness, these aren't Obama's words, but those of the editorial board for The Achorage Daily News:

So President Obama has volunteered his work force -- 2 million federal employees -- to live with a pay freeze for two years as a contribution to reducing the $1 trillion-plus federal debt.

Now I really like the idea of volunteering others' income to cut the national deficit. I personally would like to volunteer that everyone pays FICA on all their income, not just the first ~100K. I'd like to volunteer 50% of long-term capital gains to be taxed as income, not just 15%, or 20% as it was before the Bush tax cuts. I'll also volunteer all members of the financial sector to pay a flat 50% rate on all bonuses and stock options above and beyond their declared salary. The freeze on federal employees' salaries is estimated to save 2/3 of 1% of the next decade's deficit. I'd be happy to bet a very substantial sum that my generous volunteering of other people's incomes would save a hell of a lot more than that.

wallpaper How to Keep a Cat Happy

wallpaper u mus pay toel 2 turn page wut iz toel? jus gess til iz happy or bored

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Your guess is as good as mine.

My Merlin is giving me fits. He is constantly on or grabbing at whatever item I'm trying to use (book, netbook, crochet thread or hook, mouse pad, headphones, pillow, blanket) or at my hand or arm. My right hand is covered in scratches. He's got food and water. He even has freedom (after 0pm) to leave the room and roam about the living room and kitchen, drink from the doggy water, sleep on Bruiser's bed, the couch or any one of four cushiony chairs. But no he has to plant himself by my right hip and play cat and mouse with my elbow as I type or mouse-click.

I guess he's feeling neglected.

As I type this, 24.2 hours left of NaNo.

Don't know my word count. Don't want to know. Haven't looked since my birthday on the 13th.

Tattoo-Care

Tattoo-Care

to make the tattoo can last longer, preserved in a few months or a year hence the need for care which can make a tattoo that you like does not easily fade or disappear .. for that some famous people in the manufacture of tattoos trying to create a material which can overcome some weaknesses in the tattoo after the paste on the body .. one of them is to use the tattoo care .. tattoo care can create shapes, motifs, and colors on the tattoo to be sunny, bright, and looks like new .. ways to create more beautiful tattoo for one of them is to keep the berries with cotton, and given a bandage (the first step to keep the tattoo is not damaged) .. to further the understanding you can use this link and this link http://www.ehow.com/how_5394_care-new-tattoo.html http://hubpages.com/hub/New-Tattoo-Care-Tips / .. to find out more about how to keep the tattoos look better ..

wallpaper Sunday Serenity #206

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wallpaper Sith Lords of the Star Wars Expanded Universe

I spent the better part of the last two days fixing up the half bathroom on the first floor. New counter vinyl covering, new light fixtures, and new bathroom sink and faucet. The sink was quite an issue as the supplied gasket for the drain would not seal and I went all over creation trying to find a larger gasket to fit the larger sink. I think I have it done now, but what a path to get there. At least the bathroom looks good and I also changed the hallway ceiling lights as well. Time for a break!

Sith Lords of the Star Wars Expanded Universe
Most of you know I am a monster Star Wars fan, especially for all things Sith related. I understand that not many know of the characters of the Expanded Universe, so here is a gallery and quick note on some Dark Lords of the Sith you may not know.

Darth Sion
One of the three members of the Sith Triumvirate in the game Knights of the Old Republic: The Sith Lords, Darth Sion was held together by his embrace of the darkside of the force:

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Darth Traya
Another member of the KOTOR Triumvirate, Darth Traya is as cool a character as there is in Star Wars:

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Darth Bane
The Sith Lord who made "The Rule of Two", Darth Bane is perhaps the greatest Sith in the Expanded Universe:

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My personal favorite.

Darth Zannah
Darth Bane's apprentice and eventual conqueror, Darth Zannah is a master of Sith Alchemy and uses a double bladed lightsaber:

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Darth Plagueis
The master of Darth Sidious, it is thought that Plagueis was the first to create life through influence on midichlorians (Anakin Skywalker) and next year there will be a new novel about this mysterious Sith Lord:

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Naga Sadow
An ancient Sith Lord, Naga Sadow pictured here with his meditation Sphere:

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The ancient Sith used Sith Swords which were created with alchemy and could withstand lightsaber battles.

Freedon Nadd
One of the first Sith Lords to have the ability to imbue his spirit to remain, Freedon Nadd is a curious Expanded Universe character:

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Of course the Sith used Holocrons like the Jedi, but Sith artifacts were triangle in shape:

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Nifty.

Of course the greatest of all the Sith, Darth Sidious, was a master of influence. Here is a picture I love of Sidious and the future Darth Vader: