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Politics : Stockman Scott's Political Debate Porch

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To: mt_mike who wrote (4282)8/10/2002 11:09:36 AM
From: Jim Willie CB  Read Replies (1) of 89467
 
how do you see Fed-inspired liquidity arriving?

lower rates have so far resulted in less lending
corporate bond market has reduced somewhat
corp spreads are widening
we are in a credit crunch

that is why I mention fed giveaways
gonna be much more hand2mouth with tax rebates, unemployment benefit extension, SBA loans, worker retraining, fed tax forgiveness

what else do you see for forms of liquidity?
I run out of ideas
the so-called BLUNT INSTRUMENT of rates is showing itself to be very ineffective
I have said many times that we are at the end of the road with stocks and bonds and currency
we are seeing exactly that
valuations are still high, rates are way low, dollar is still silly high
END OF THE ROAD, and that is why Fed policy is failing now

any ideas, Mr BankMan ?
/ jim
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