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Strategies & Market Trends : Mish's Global Economic Trend Analysis

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To: Crimson Ghost who wrote (17378)12/2/2004 10:44:00 AM
From: mishedlo  Read Replies (1) of 116555
 
what is changing is the market is hell bent on forcing someone to cure the trade deficit and deficit spending.

Bush can either cut spending, raise taxes, or the market will be hell bent on forcing consumers to cut spending. The only way to force that will be to kill housing. Rising variable rate loans and rising 10-yr yields will do just that. Of course it will throw the world into a worldwide recession, but one was coming sooner or later anyway.

Mish
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