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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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To: russwinter who wrote (13485)5/8/2004 1:04:04 PM
From: austrieconomist  Read Replies (1) of 110194
 
Crying "Uncle" on this myself. However, MZM is a factor in "money supply" calculation, just not an exclusive factor.
My MZM observations show a rough link between MZM growth and raw materials price action a year later. There was very strong MZM growth, 15-17% annualized rate, a year ago this time. That growth continues until mid-August, on a one year lagged basis. The crash in the metals and the stocks of the companies that produce those metals may continue, but likely not, as it flies in the face of the monetary climate. I think recent action is due to some substantial speculative unwinding. But I won't overstay. It looks rough for the following 6 months.

research.stlouisfed.org
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