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Strategies & Market Trends : John Pitera's Market Laboratory

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To: Jon Koplik who wrote (5136)11/29/2001 10:27:03 AM
From: John Pitera  Read Replies (2) of 33421
 
Great article Jon, you gotta love Stephen Roach's comment, about looking under every rock for inflation.
As the article points out we'll need to see housing and overall real estate prices go down and in a more forceful
fashion to increase the deflationary scenario.

"I've spent my whole career looking under every rock for the next wave of inflation, and
I've run out of rocks," says Stephen Roach, an economist with Morgan Stanley.
"We're going to get a lot closer to deflation than people think."


I see that the article notes the period of declining prices in 1949, It's interesting to note how many economists and
market watchers were expecting another depression in 1948-49, due in part to a slowdown in the economy
after the end of WWII.

John
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