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Strategies & Market Trends : Value Investing

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To: Michael Burry who wrote (4182)5/28/1998 5:25:00 PM
From: jeffbas  Read Replies (1) of 78673
 
Those were 2 interesting articles, especially the first one, relating to Japan. I have no opinion on whether we are going to have a major drop is US stocks. However, I am highly skeptical that it will be driven by higher US rates.

Asia and Japan are in the tank, so it seems is much less important Russia. I think the Fed will fall all over
itself to avoid raising rates. In fact, to paraphrase the first article, I think it will tolerate a reduction in real rates by permitting increased inflation. Does anyone really think they will be the agent of a US recession, which, in view of substantial weakness overseas already, could trigger the world-wide Depression of 1999?
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