Monday, 17 September 2007

Alan Greenspan: froth and bubbles

Alan Greenspan has been speaking of froth and bubbles in the US housing market, but it's all very confusing. He has spoken of froth before, but never a bubble. Now he's saying there could be a bubble. However, this bubble is made from the froth of smaller bubbles. The froth has turned into a big bubble, or maybe it hasn't. There is definitely some kind of bubbling froth in the housing market anyway. The present chairman of the Federal Reserve, Ben Bernanke, is trying to avoid using the word 'bubble.' Ex-chairman Mr Greenspan doesn't mind using the word.

I have been discussing this with Keith Busby, the award-winning financial psychic, and he tells me, 'It's not confusing at all. I use bubbles on a regular basis when I'm telling people's fortunes. I normally like to visit them at home while they're having a bath. I study the bubbles in the bathtub and base my predictions on the size of the bubbles, also their colour and shape. This is not as absurd as it sounds. Most people don't realize that bubbles are in tune with the cosmic forces controlling the universe. I remember reading once about the Hindu god Vishnu. Apparently, he created new galaxies by exhaling them as bubbles. I think that's right. I will have to check. The point I'm making is, Alan Greenspan is not wrong to speak of bubbles.'

Well, no one is saying that Mr Greenspan is wrong to speak of bubbles, I just don't think he has the same bubbles in mind. Unless he has been spending too much time in his bath lately.