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

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To: Crimson Ghost who wrote (76004)12/18/2006 6:03:17 PM
From: Mike Johnston  Read Replies (2) of 110194
 
It can happen here too if the Fed were to aggressively slash rates despite huge balance of payments deficits in a hopeless attempt to repeal the business cycle .

The Fed has been fighting the business cycle since 1998.
And it is getting deeper into the hole as a result, creating untold damage to society and destroying the economy's long term prospects for temporary illusion of prosperity.

Now, there is no going back. Interest rates are negative across the spectrum.
Inflationary depression is guaranteed here. The only issue is how bad will inflation get and when will the dollar be replaced, is it going to be in 2012 or 2020.
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