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Politics : Formerly About Advanced Micro Devices

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To: bentway who wrote (291923)	6/28/2006 1:47:51 PM
From: tejek	Read Replies (1) of 1582631

"Over the last six months, the biggest negative contributor to the leading index's drop has been declining housing permits." It's just the RE bubble deflating. It could very well lead us into a recession, but remember, recessions are a NATURAL part of the economic cycle. We should be expecting a corrective recession after this last, massive RE bubble. Bernacke should not quit fighting inflation from political pressure. Chris, listen carefully.......let's assume there was a bubble.....please note I am using the past tense......in commodities; then it got popped in April. That was the only serious threat to inflation. Its out of the equation now. The rising interest rates worked. Therefore the feds must stop if they don't want to throw the country into a recession. And dude, recessions are not a normal part of the economic cycle. Clinton showed that when we had the longest expansion in US history. If we have a recession at this point, then its because the fed went to far. Unfortunately, the FOMC is not a science........and too often Fed heads are too heavy handed with the only real tool at their disposal.

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