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

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To: jimsioi who wrote (15302)6/15/2004 10:51:54 PM
From: Jim Willie CB  Read Replies (1) of 110194
 
Fed made deal with the BOJ devil
Fed: keep cap on LT rates
BOJ: keep floor on USDollar
I suspect the Fed helped the bond market in the last 2 days

bigger mystery...
on Monday horrendous trade gap news: April $48.3B
but USDollar rallied hard against the JYen
go figure, evidence is clear
(see deal with devil above)

agree with Qin
as long as core CPI is low, all other inflationary pressure is really a wet blanket on the real economy

in other words, production cost and household cost inflation is economically deflationary !!!


what we have is core CPI reflecting real economy price inflation
with food & energy reflecting inverse of profit margin and household discretionary budget potential

make sense?
got milk?
show me some milf?
/ jim
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